Selkirk Metals Corp.
TSX VENTURE : SLK

Selkirk Metals Corp.

June 29, 2009 07:00 ET

Selkirk Metals Corp.: Exploration Confirms Potential to Expand Fandora Gold Deposits

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 29, 2009) - Selkirk Metals Corp. ("Selkirk" or the "Company") (TSX VENTURE:SLK) is pleased to provide this summary of the recently completed exploration program on the Fandora Gold Property. The 100% owned Fandora Gold Property is located 20 km northeast of Tofino, BC (the "Property"), at the head of Tranquil Inlet.

In early June a field crew completed a program of stream and soil sediment sampling, surface and underground geological mapping and prospecting on the property and surrounding area. Soil and stream sampling results indicate that the original Fandora vein system extends to both east and west of the area of the existing development, indicating a potential strike length of at least 5 kilometres. Geological mapping has confirmed that the Fandora vein system is mesothermal in character and as such should continue to significant depth. With the extensions to the Fandora vein and the discovery of additional mineralized structures, the prospective area for gold mineralization within the Fandora Property is now in excess of 25 square kms.

In addition to the positive Fandora results there are numerous widespread gold anomalies in both stream sediments (22,903ppb) and soil (807ppb) associated with the Fandora vein system and new areas indicating the presence of at least two other parallel vein systems. These are located to the north and south of the Fandora structure. With this expansion of the Fandora gold camp it is likely that additional veins will be uncovered with future work programs. Selkirk has now acquired additional claims to encompass these extensions.

The Fandora claims are located 5 km from tidewater in an area of active logging with excellent forestry road access. The Property covers 4,423.69 ha and consists of five crown granted mineral claims (79.4 ha) and 13 cell claims (207 cells / 4,344.29 ha). The Property consists of several parallel gold bearing quartz veins striking at 070 degrees and dipping steeply (70 degrees) north. The veins are shear hosted within Triassic-aged Sicker Group andesite and basalts. The vein system has been explored, by trenching and drifting along the vein, for a horizontal distance of 1,000 m and a vertical distance of 300 m with the gold bearing system being extremely consistent throughout. The mineralogy consists of pyrite, sphalerite, galena, chalcopyrite, and arsenopyrite with fine grained visible gold. The gold grades increase with the overall sulphide content. Preliminary metallurgical work completed in 1999 confirms that the gold is non-refractory, and a gold and silver recovery of approximately 97% is possible with a cyanide leach.

A review of the historic work on the 1700, 1900 and 2100 levels, where there is detailed historic channel sampling, was completed. While the historic data is non-43-101 compliant the Company feels that the information is significant in the evaluation of this project. The following table represents uncut channel sampling of the entire levels, which happens to be greater than the 0.3 oz/ton cutoff, and the weighted average of the levels using a 0.4 oz/ton cutoff:



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Length (ft.) Width (ft.) Oz/ton (0.3 cutoff) Oz/ton (0.4 cutoff)
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2100 Level
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448 (entire level) 4.52 0.327
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308 4.40 0.420
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1900 Level
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748 (entire level) 5.47 0.360
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486.5 5.35 0.440
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1700 Level
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543 (entire level) 5.11 0.322
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425 5.11 0.419
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The field crews also located the Gold Flake workings, located 500m along strike of the Fandora vein system, and the historic Free Gold underground workings located northwest of the Fandora on the east side of Warn Bay. The adit is still accessible and was examined and found to contain a vein system of similar width and orientation to the Fandora. With the addition of the Free Gold and Gold Flake veins there are now three known mineralized structures within the property boundaries.

This news release has been reviewed and approved by the Company's Qualified Person (as defined by NI 43-101), Jim Miller-Tait, P.Geo., Vice President of Exploration. The Company is in the process of evaluating and enhancing its property portfolio to reflect current market conditions and commodity prices, the advanced Ruddock Creek zinc-lead-silver and Catface copper porphyry projects remain the Company's highest priority projects.

On Behalf of the Board of Directors:

Gordon Keevil, President

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com for further information.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of content of this press release.

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