Piper Capital Inc.

Piper Capital Inc.

November 01, 2005 09:00 ET

Piper Capital Inc.: Final Phase I Drill Results Received from Golden Zone Project, Alaska

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 1, 2005) - Piper Capital Inc. (TSX VENTURE:PCL) is pleased to announce results from the second half of a sixteen-hole, Phase I exploration program at its Golden Zone project in Alaska. The initial eight holes of the program (for which results were announced August 10, 2005), mainly focused on the GZ Breccia Pipe within which a measured plus indicated resource of 253,000 ounces of gold at an average grade of 2.81 g/t had been delineated by past work. The remaining eight Phase I holes currently reported are mainly in through-going BLT and Mayflower zones in the mineralized corridor northeast and southwest of the GZ Breccia Pipe. One hole (50.5E-1) was largely in the GZ Breccia Pipe, and a single hole (LC-1) tested the Long Creek gold copper prospect, located 2 kilometres (km) south of the GZ Breccia Pipe within a separate and distinct mineralized zone.

All Phase I holes drilled intercepted gold mineralization. The more significant results include intercepts grading 2.02 g/t gold along 41.3 metres (m) and 1.08 g/t gold along 33.5m in Hole 50.5E-1 at respective depths of 99.0 and 190.5m within the GZ Breccia Pipe. Hole 61E-1, located within the Mayflower Zone 300m northeast of the GZ Breccia Pipe, intercepted 1.86 g/t gold along 4.5m at a depth of 27m and Hole 43.3E-1, located in the BLT Zone 100m to the southwest of the GZ Breccia Pipe, intercepted 1.09 g/t gold along 7.5m at a depth of 67m. These results and other potentially significant mineralized intercepts exceeding 1 g/t gold are summarized in the table below:

Drill Interval(m) Thickness Grade
Hole From To (m) g/t Au Target
-------- ------ ------ --------- ------- -----------------

50.5E-1 64.0 65.5 1.5 6.00 Porphyry-Hornfels

99.1 140.4 41.3 2.02 GZ Breccia
100.6 105.1 4.5 4.42
190.5 224.0 33.5 1.08 GZ Breccia
221.0 224.0 3.0 2.56

46E-1 16.8 18.3 1.5 3.51 Mineralized

RC-1 7.6 10.6 3.0 1.01 Central BLT
35.1 36.6 1.5 1.26

61E-1 61.0 62.5 1.5 1.10 BLT NE
83.8 85.3 1.5 1.41 BLT NE
108.2 109.7 1.5 1.68 BLT NE

61E-2 27.5 32.0 4.5 1.86 Mayflower NE

42.5E-1 13.7 15.2 1.5 3.73 BLT SW

43.3E-1 48.8 51.8 3.0 1.42 BLT SW
67.0 74.5 7.5 1.09 BLT SW

LC-1 47.2 48.7 1.5 2.04 Long Creek

(1) All holes were drilled in the GZ Breccia Pipe area except for
hole LC-1, which was drilled on the Long Creek prospect
(2) All holes were diamond core holes of HQ diameter, except RC-1
which was a reverse circulation hole
(3) Of the eight holes in the 2nd half of the Phase I program, only
one (50.5E-1) was planned as a Breccia Pipe hole. Other holes
were planned to establish an open pit outline or to further
define targets outside the immediate GZ Breccia Pipe area

The Phase I drill plan and longitudinal section illustrating positions of reported holes (designated by cross-sectional location) may be viewed under the project section of the Piper website: www.pipercapitalinc.com/s/GoldenZone.asp.

The core drilled at Golden Zone is HQ in size; it was split (sawn); one half sent for assay, and the remaining half (the split core and pulps) retained in a core storage facility at Golden Zone. Samples were prepared at the ALS Chemex facility in Fairbanks, Alaska and assayed at Chemex lab in Vancouver, BC. Dr. Charles Hawley, CPG, Chairman and Director of Piper Capital was the Qualified Person supervising the Phase I drill program and is responsible for the technical disclosure in the Piper news release; Phillip Larson, M.S., P.G. is the QP responsible for all sample protocol.

Based upon the Phase I program results Hidefield exercised its option to acquire a 50 percent interest in the Golden Zone project, as announced September 21, 2005, and implemented a Phase II program consisting of four holes to test depth extension of the GZ Breccia Pipe deposit. This program has now also been completed and results will be announced when received and evaluated.

Commenting on the results Chuck Hawley, Piper Chairman, said, "I'm very pleased with results of the Phase I drill program. Of special significance is the demonstrated continuity of gold grades within and below the delineated GZ Breccia Pipe deposit and new mineralization identified in the Mayflower and BLT Zones outside it. Hidefield's election to pursue acquisition of its 50 percent interest is further endorsement of our Golden Zone project".

John Prochnau, CEO of Hidefield commented, "These results in combination with the earlier results, have endorsed Hidefield's decision to exercise it option to acquire a 50 percent interest in the Golden Zone project. When evaluation of the Phase II results is complete, we will commence planning for a continuation of exploration at Golden Zone in the spring of 2006."


Piper is a gold exploration and development company focused on projects in the productive Tintina Gold Belt in central Alaska, where past production and reserves exceed one hundred million ounces of gold. The Company's principal focus is the advancement of the Golden Zone property, located 240 km north of Anchorage, which consists of mineral claims totaling over 8,000 hectares. The Golden Zone (GZ) Breccia Pipe contains a 43-101 compliant, measured and indicated resource (with an average grade of 2.81 g/t and using a 1.0 g/t per gold cut-off) of 2,801,371 tonnes, containing approximately 253,000 ounces of gold, 1,180,000 ounces of silver and 6,114,000 pounds of copper.


Hidefield is a mineral exploration company with a focus on the acquisition and development of highly prospective projects in North and South America. The Company has a diverse portfolio of projects, some of which are directly held, however the majority of which are held in independent, self-funded associate companies. Apart from its North American investments, Hidefield has substantial direct gold project interests in South America. In Argentina the Company has recently announced the acquisition, subject to legal due diligence, of several advanced stage gold projects in Santa Cruz Province from Yamana Gold Inc. and operates in joint venture with Minera Sud Argentina S. A. with whom it is currently exploring a number of gold exploration licences in the Patagonian provinces of Santa Cruz, Chubut, and Rio Negro. In Brazil the Company is focused on evaluation of the advanced stage Cata Preta gold project near the historic city of Ouro Preto in the productive Quadrilatero Ferrifero region of Minas Gerais state.


Kenneth P. Judge, President & CEO

This news release contains forward-looking statements regarding ongoing and upcoming exploration work and expected geology, geological formations and structures. Actual results may differ materially from those anticipated in these statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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