Selwyn Resources Ltd.
TSX VENTURE : SWN

Selwyn Resources Ltd.

July 11, 2011 08:30 ET

Selwyn Drilling on Don Deposit Continues to Confirm Continuity

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 11, 2011) - Selwyn Resources Ltd. ("Selwyn") is pleased to announce additional drill results from the drilling of the 61 and 63 lenses of the Don deposit at Selwyn Project, Yukon Territory. These drill results are part of the definition drilling program in the Don deposit that is being conducted by Selwyn Chihong Mining Ltd. ("SCML"), the joint venture company equally owned by Selwyn and Chihong Mining Canada Ltd., a wholly owned subsidiary of Yunnan Chihong Zinc and Germanium Co. Ltd.

Drilling continues to confirm known mineral resources with one drill at the Don deposit and two drills at the XY West deposit.

Highlights: 61 and 63 Lenses of the Don Deposit

  • DON-209 intersected 14.73 metres true thickness grading 7.63% zinc and 3.26% lead, including 2.16 metres grading 19.20% zinc and 12.03% lead; and
  • DON-210 intersected 21.93 metres true thickness grading 8.90% zinc and 3.45% lead, including 2.69 metres grading 18.16% zinc and 8.65% lead.

61 and 63 Lenses Don Deposit Drill Results

The high-grade mineral resource for the Don deposit, undertaken to NI 43-101 standards, is composed of three lenses in the underground environment, each of which is structurally bounded by faults. The three main lenses are the 61-lens, 62-lens, and 63-lens.

Drill hole DON-209 intersected two sections of high-grade zinc-lead mineralization, including the bottom of the 61 lens and upper end of the 63 lens. The two intercepts in DON-209 are the result of structural duplication caused by faulting. The upper intercept is from 386.00 to 401.00 metres for a true thickness of 11.16 metres grading 6.47% zinc and 2.30% lead. The lower intercept is from 489.00 to 503.60 metres for a true thickness of 14.73 metres grading 7.63% zinc and 3.26% lead, including 2.16 metres grading 19.20% zinc and 12.03% lead.

Drill Hole From
(m
) To
(m
) Thickness
(m
) Zn
(%
) Pb
(%
) Zn+Pb
(%
) True Thickness (m )
DON-209 386.00 401.00 15.00 6.47 2.30 8.77 11.16
** 483.80 503.60 19.80 7.63 3.26 10.89 14.73
Including** 489.00 503.60 14.60 9.49 4.24 13.73 10.86
Including** 495.10 501.10 6.00 15.06 3.12 18.19 4.46
Including** 496.50 499.40 2.90 19.20 12.03 31.23 2.16
Note:
  1. ** denotes intersection of the 63 lens

The intercept in DON-210 is within the 61 lens and has a true thickness of 21.93 metres, from 40.00 to 84.00 metres grading 8.90% zinc and 3.45% lead. This includes a very high-grade intercept of 2.69 metres grading 18.16% zinc and 8.65% lead.

Drill Hole From
(m
) To
(m
) Thickness
(m
) Zn
(%
) Pb
(%
) Zn+Pb
(%
) True Thickness (m )
DON-210 40.00 84.00 44.00 8.90 3.45 12.35 21.93
Including 42.10 60.00 17.90 8.55 5.23 13.78 8.93
Including 64.20 84.00 19.80 11.14 5.06 16.20 9.87
73.40 78.80 5.40 18.16 8.65 26.81 2.69

Other intercepts from 2011 in the 61 and 63 lenses include drill holes DON-194, DON-204, DON-206, DON-208, DON-211, DON-212, and DON-216, all of which host zinc-lead mineralization.

Drill Hole From
(m
) To
(m
) Thickness
(m
) Zn
(%
) Pb
(%
) Zn+Pb
(%
) True Thickness (m )
DON-194 503.30 510.10 6.80 5.96 1.97 7.93 5.58
** 591.60 601.40 9.80 4.87 1.80 6.67 8.04
DON-204 107.00 138.70 31.70 4.77 1.39 6.16 22.28
Including 123.65 138.70 15.05 6.26 2.00 8.26 10.58
Including 124.44 134.61 10.17 6.96 2.11 9.07 7.15
DON-206 308.60 325.50 16.90 5.77 2.43 8.21 10.73
308.60 314.00 5.40 6.88 2.16 9.04 3.43
DON-208 449.30 464.30 15.00 4.12 1.38 5.51 9.52
Including 458.40 464.30 5.90 5.93 2.15 8.08 3.75
Including 458.40 460.60 2.20 7.63 2.48 10.11 1.40
DON-211 43.00 85.20 42.20 3.38 1.20 4.58 29.11
Including 43.00 50.75 7.75 3.03 0.80 3.83 5.35
Including 57.00 68.85 11.85 6.02 2.59 8.61 8.17
Including 62.00 65.90 3.90 10.57 1.64 12.20 2.69
Including 81.20 85.20 4.00 6.27 1.79 8.06 2.76
DON-212 ** 537.20 575.00 37.80 3.99 1.21 5.20 20.11
Including** 537.20 548.00 10.80 3.80 1.03 4.83 5.75
Including** 555.80 575.00 19.20 5.29 1.66 6.95 10.21
Including** 557.30 559.70 2.40 6.96 1.33 8.29 1.28
Including** 565.10 571.50 6.40 8.77 2.96 11.73 3.41
** 588.30 594.60 6.30 8.36 2.63 10.99 3.35
DON-216 496.08 505.00 8.92 3.64 1.21 4.85 1.63
Including 501.30 505.00 3.70 4.99 1.70 6.70 0.67
** 587.85 597.80 9.95 4.05 1.38 5.43 1.81
Note:
  1. ** denotes intersection of the 63 lens

Upon receipt of all assay results from the definition drilling program and after passing quality assurance and quality control review, SCML will incorporate the data into a new mineral resource estimate for the bankable feasibility study that it is advancing with Wardrop Engineering. Several drill holes were positioned to define limits of bounding fault structures and/or areas of lower-grade zinc-lead mineralization in order to refine limits of the high-grade mineralization for the mine plan. Results from the definition drilling program continue to confirm the 3D geological and structural models for Don deposit. The location of the new drill holes and lenses can be found on drill plan maps available at www.selwynresources.com.

The mineral resource for the Don deposit conducted to NI 43-101 standards includes an Indicated mineral resource for high-grade mineralization of 5,325,000 tonnes grading 9.98% zinc and 3.86% lead and an Inferred mineral resource of 5,335,000 tonnes grading 7.94% zinc and 2.95% lead. This mineral resource estimate was conducted by Independent Qualified Person, Cliff Pearson, P.Geo. and Non-Independent Qualified Person, John J. O'Donnell, P.Geo. (see January 29, 2008 news release).

The Selwyn Project exploration program is being reviewed by Vice President Exploration, Mr. Jason Dunning, M.Sc., P.Geo, and Mr. Wolfgang Schleiss, P.Geo., Manager of Exploration, who is responsible for on-site activities. Mr. Dunning and Mr. Schleiss are both Qualified Persons within the meaning of National Instrument 43-101. All assay data has undergone internal validation of quality assurance and quality control. Selwyn has established a sampling and assay control program with blind insertion of assay blanks, standards, and duplicates for the Selwyn Project. A quality control and quality assurance program is in place at ACME Analytical Laboratories Ltd. ("ACME") and includes blanks, standards, and duplicates. At ACME, silver and base metal analyses are conducted by a 23-element, four-acid digestion, ore-grade ICP-AES technique.

Selwyn's focus is the exploration and development of its properties that make up the Selwyn Project in the Yukon, which hosts large tonnages of zinc-lead mineralization. The known deposits have the potential for large scale production, and could provide a secure supply of zinc and lead to meet the future needs of these markets in Asia and beyond. The recently announced acquisition of the assets of ScoZinc Limited provides Selwyn with a second opportunity for growth and the potential for production revenues in 2012.

This press release contains forward-looking statements concerning mineralization at the Selwyn Project. These forward-looking statements are based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of geological variability and other risk factors beyond Selwyn's control. As a result, actual results may differ materially from the expected results. Additional drilling is required to confirm the potential of the new discovery areas, expansions of the current resource areas, and the extension of the higher grade deep mineralization to depth. There is no assurance that such additional drilling will expand mineral resources or that the resources being defined can be developed as an economically attractive mine. Uncertainties associated with permitting and other factors could delay such development.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Selwyn Resources Ltd.
    Dr. Harlan Meade
    President and CEO
    +1 (604) 801-7240 or Toll-free: +1 (888) 989-9188

    Selwyn Resources Ltd.
    Catalin Chiloflischi
    Manager of Investor Communications
    +1 (604) 801-7240 or Toll-free: +1 (888) 989-9188
    +1 (604) 689-8355 (FAX)
    info@selwynresources.com
    www.selwynresources.com