Petaquilla Minerals Ltd.
OTC Bulletin Board : PTQMF

Petaquilla Minerals Ltd.

August 17, 2005 09:25 ET

Petaquilla Minerals Ltd.: Initial Trenching Summary for the Molejon Gold Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 17, 2005) - Petaquilla Minerals Ltd. (TSX:PTQ)(OTCBB:PTQMF) ("PTQ" or the "Company") has now completed in excess of 4,700 meters of trenching, with 2,759 samples collected and assayed, on the Company's advanced stage epithermal gold deposit in Panama.

Highlights from trenching results:

- Grades in the Main Zone are higher than previously indicated.

- The 244 Area of the Main Zone returned grades in excess of 100 gr/t.

- The Northwest Zone has been expanded and is now over 340 meters across.

- The NW Zone has returned grades in excess of 40 gr/t.

- The Central zone has returned grades in excess of 18 gr/t.

- New areas of mineralization have been discovered within the original pit boundaries.

Complete results were previously reported in news releases on March 4, March 30, May 24, June 23 and August 4, 2005.

The Company expects that the upcoming drill program will add both ounces and grade to its published resource estimate.

The trenching program was initiated to generate a geological model for the high-grade gold intersections encountered in a 1994-95 drill program and expanded to include Molejon's Central and Main Zone after early success trenching the NW Zone.

To view a the Zone Location Plan map, please click on the following link:

244 Area of the Main Zone

The 244 Area is located in the Main Zone and centered on a silicified hill approximately 45 meters in diameter at its base, 8 meters diameter at the top, and 16 meters in height.

Contiguous channel sampling was completed along a section at the base of the hill and a series of trenches were dug and sampled down the hill slope, with the object of confirming the gold grade potential indicated by drill hole DDH-244.

The results of the trenching confirm that the hill is completely mineralized and that the gold grade is higher than that suggested from the assay results of limited core recovery in the drill hole. The trenching indicates that the mineralization extends beyond the hill, across the creek to the Northwest and up the adjoining hill to the Southeast.

To view the Projected East West Section of the 244 Area map, please click on the following link:

Main Zone

Trenching was initiated to the south and east of the 244 Area, testing the main ridge of the Molejon project (approximately 80 meters above the valley floor).

Trenches exposed Quartz Breccia and pervasive silica alteration, very similar to that encountered in the Northwest Zone. It is postulated that the Main Zone is trending parallel to the ridge and is orientated so that it is dipping down the slope surface of the ridge. The trench composite lengths are an indication of mineralization continuity and are not a reflection of the true width of the zone.

The highest gold grade composites found in the trenches are located at the same elevation as in the 244 Area.

Central Zone

Initial trenching was concentrated on an east-west trending ridge approximately 250 meters long and up to 16 meters in height. The Central Zone ridge is situated 100 meters due north from the 244 Area.

The trench results to date indicate strong continuity of mineralization and a higher gold grade than the gold assays from the low recovery drill holes. The higher-grade mineralization encountered in the trenching suggests inclined drill holes could provide more representative gold assays for the mineralization of the ridge.

Because of these initial results, trenching will be expanded along strike on the ridge.

Northwest Zone

The trenching program exposed contiguous, insitu gold mineralization from within a meter of the surface in the Northwest zone. The zone is now interpreted as a gently SW dipping tabular body of quartz breccia and quartz stock work veining, from 2 to 5 meters thick.

Based on a 1995 report by SRK Consultants of Vancouver, BC (the "SRK Report"), the Molejon deposit contains 569,189 ounces of gold, consisting of probable resources of 5,032,870 tonnes at a grade of 2.81 gr/t for 454,803 ounces of gold and possible resources of 956,300 tonnes at a grade of 3.72 gr/t for 114,386 ounces of gold. These resources, if reported by today's standards, would be defined as an inferred resource. We have reviewed the data from the report, and consider the estimate of the resource to be relevant and reliable.

David Nowak, (P.Geo.), has reviewed the technical data, and is the Qualified Person under the definition of Canadian National Instrument 43-101.

All samples were collected in accordance with industry standards. Laboratory results were divided between Acme Analytical Laboratories and Global Discovery Lab's in Vancouver.

For Acme Laboratories, the channel samples were shipped directly to Acme Analytical Laboratories, Vancouver for sample preparation 1-ton gold fire assay, and multi-element ICP analysis.

With Global Discovery Labs, preliminary sample preparation was completed on site under the guidance of Dr. Juan Caelles and Global Discovery Labs in Vancouver ("GDL"). A 500-gram sample is shipped to GDL's Vancouver laboratory where final sample preparation is completed and a 1-ton gold fire assay is performed. Samples submitted included duplicates, blanks and standards, following industry established quality control practices.

On behalf of the Board of Directors of PETAQUILLA MINERALS LTD.

Kenneth W. Morgan, CFO and Director

No stock exchange has approved or disapproved the information contained herein.

Contact Information

  • Petaquilla Minerals Ltd.
    Kenneth W. Morgan
    CFO and Director
    (604) 694-0021
    (604) 694-0063 (FAX)