March 16, 2007 09:01 ET

RosCan Begins Drilling on Its Zinc-Silver Property in Sweden

TORONTO, ONTARIO--(CCNMatthews - March 16, 2007) -

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ROSCAN MINERALS CORPORATION ("RosCan") (TSX VENTURE:ROS) is pleased to announce a Phase I exploration drill program is underway at its Jokkmokk property in north-central Sweden. The program is budgeted at US $650,000 and will consist of up to 1250 metres (4100 ft.) of diamond drilling initially focused on the Sakevare permit.

RosCan is currently earning an 80% interest in the property from Intrepid Mines Limited (TSX:IAU)(ASX:IAU) upon making option payments to BHP Billiton of US $1 million over a period of 4 years. Intrepid will be the project operator and will retain a 20% carried interest, while BHP Billiton will retain a 3% NSR royalty.

The Jokkmokk project is made up of four exploration permits totaling approximately 10,435 hectares (25,800 acres). In two of the areas, the Tjerkis and Sakevare, former operator BHP Billiton, identified several two- to five-kilometer long geophysical features within a favorable geological environment. RosCan is exploring geological environments in Sweden which may host large meta-sediment hosted zinc, lead, silver deposits. The company is modeling its search using features which are characteristic of the Australian Broken Hill and Cannington deposits. Previous drilling by BHP Billiton was successful in defining zinc-lead-silver mineral potential in these areas. Regional geochemistry also indicates the potential for base metal and silver mineralization over a large area.

The Sakevare permit consists of two magnetic, highly conductive anomalous areas, MGO1 and MGO2 that contain zinc, lead and silver mineralization. The strongest mineralization occurred in hole MGO1-4 in which the top 150 metres of the hole contained significant sections of anomalous zinc, lead and silver values. A section in the hole assayed 65.6 ppm Ag, 6.5% Zn and 2% Pb over 1.2 metres within an altered unit that assayed 38.5 ppm Ag, 3.3% Zn and 1.3% Pb over 7.1 metres. Including an interval above and below this intersection gives a composite assay result of 15.4 ppm Ag, 1.3% Zn and 0.6 % Pb over 26.1 metres.

In the MGO-2 target area the key mineralized horizon was intersected at the top of hole MGO2-1 and consisted of fine veinlets of sphalerite, galena and pyrrhotite. The best mineralized section in the hole assayed 4.6 ppm Ag, 3.9% Zn and 0.9% Pb over 8.25 metres.

RosCan believes the Jokkmokk project has the potential to host a world class zinc-lead-silver deposit due to the unexplored extent of the favorable geological domain in the region. RosCan is encouraged by the successful application of geochemical and geophysical tools on its properties with corroboration by drilling by the former operator. In addition, to drilling during Phase I, electromagnetic surveying will be used to better define target mineral horizons and guide drill emplacement.

RosCan is currently completing a qualifying report to NI 43-101 standards for the Jokkmokk project under the supervision of Bruce W. Mackie, P.Geo.

To view the accompanying map please click the link below:

This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the Company's control that may cause actual results or performance to differ materially from those currently anticipated in such statements. Such forward-looking statements include comments regarding acquisitions, mineral resource statements and exploration program performance.

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Contact Information

  • RosCan Minerals Corporation
    William Chymyck
    (416) 293-8437
    (416) 293-3957 (FAX)
    Cobblestone Communications Inc.
    William Chymyck
    (519) 851-2242
    (519) 642-0839 (FAX)