Papuan Precious Metals Corp.
TSX VENTURE : PAU
OTCQX : PAUFF

Papuan Precious Metals Corp.

November 10, 2011 09:24 ET

PPM Resamples Drill Hole KUD007 for Native Copper Analysis at Kuliuta Copper-Gold Prospect

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 10, 2011) - PAPUAN PRECIOUS METALS CORP ("PPM or the "Company") (TSX VENTURE:PAU)(OTCQX:PAUFF) announces that the Company is resampling and reassaying core from hole KUD007 for further analysis to determine reliable assay results for drill holes completed at the Company's Kuliuta copper-gold prospect. PPM earlier announced drilling a sequence of high-level intrusives and volcanic rocks at the Kuliuta copper-gold prospect containing hypogene (or primary) native copper varying from trace to locally high (visual estimates) concentrations as millimeter-thick void and fracture fillings over long intervals in holes KUD007, KUD008, KUD009 and KUD010 (see PPM news releases dated August 2nd, August 17th and September 23rd, 2011).

Drill core has been continuously sampled at either 1.0m or 2.0m intercepts throughout the mineralized interval, for all holes completed in this program. Drill core is then halved by sawing on site. One-half of the core is forwarded to the laboratory for analysis, with the remaining core stored in coretrays on-site. Conventional sample preparation of drill core taken from within the hypogene native copper zone (hole KUD007 from 112m – 273m down-hole) using crushing and pulverizing has not provided reliable analytical results. The preparation and analysis of samples containing native copper has proven difficult due to the copper being a malleable metallic substance that is prone to smearing on both crushing and pulverising surfaces during preparation. The apparent loss of copper from samples is clearly evident in samples where native copper was observed to be abundant. For example, in the 123.8m interval in Hole KUD007 (see photo http://www.ppmpng.com/KUD007_123.8m.jpg), where native copper concentration was visually estimated at >1% Cu, standard sample preparation using a preliminary jaw crush and pulverising and analysis using aqua regia digest and inductively coupled plasma optical (atomic) emission spectrometry were unable to verify the estimated copper content. A 1m assay including this interval returned an anomalous and surprisingly low result of 632ppm Cu.

The extreme variability in abundance/mode of occurrence of native copper at Kuliuta creates an additional layer of complexity in formulating an individualized specific programme of sample preparation. Solutions to sample preparation issues are case-specific, and seem to be dependent upon the abundance of native copper in the sample.

PPM re-sampled the interval 112m to 316.60m in hole KUD007 by splitting one-half of the remaining core from the interval containing visible native and sulphide copper. This drill core sample is now in Port Moresby en-route to accredited laboratory ALS-Chemex, Brisbane. The Company remains confident that a solution will be found for determining reliable native copper content in drill holes at Kuliuta.

Further updates will be provided when available.

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed on behalf of the company by Ian David Lindley, President & Chief Operating Officer of Papuan Precious Metals Corp, a Qualified Person. Dr. Lindley has First Class Honours and Ph.D. degrees in Geology, 34 years mining industry experience, and is a Fellow of the Australian Institute of Geoscientists.

This press release contains "forward-looking information" Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause PPM's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related exploration and development; the ability to raise sufficient capital to fund exploration and development; changes in economic conditions or financial markets; increases in input costs; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities; and labour relations matters. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. PPM disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.

ON BEHALF OF THE BOARD

David Lindley, President and COO

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