Sultan Minerals Inc.
TSX VENTURE : SUL
FRANKFURT : RZN

Sultan Minerals Inc.

November 08, 2006 12:15 ET

Sultan Minerals Releases NI 43-101 Resource Calculations for its Tungsten-Molybdenum Property, B.C., Canada

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 8, 2006) - Sultan Minerals Inc. (TSX VENTURE:SUL)(FWB:RZN) ("Sultan" or the "Company") is pleased to announce that it has now received the completed initial resource calculations for the Tungsten and Molybdenum Zones on its Jersey-Emerald Property in the Kootenay District of British Columbia. Resource calculations were prepared by Giroux Consultants Ltd. and the resulting National Instrument 43-101 Technical Report was co-authored by independent geological consultants Gary Giroux, P.Eng., of Giroux Consultants Ltd. and Perry Grunenberg, P.Geo. of P & L Geological Consultants Ltd.

The study demonstrates that significant deposits of tungsten mineralization remain within the East Dodger and the Invincible Tungsten Mines with excellent exploration potential in both the historically mined areas and the surrounding terrain. The authors recommend that a preliminary scoping study be undertaken to determine the requirements necessary for permitting of the site for mining.

Separate resource estimations were produced for tungsten in the Invincible and Dodger Zones based on 4,593 diamond drill holes cored at 25 to 50 ft. centres (7.0m to 15.0m centres) and molybdenum in the Dodger 4200 Zone based on 21 diamond drill holes. Within the tungsten zones assays were capped at 13.2% WO3 in the Invincible-Emerald Zone and 14.2% WO3 in the Dodger Zones, while within the molybdenum zone, assays were capped at 1.58% Mo. Uniform 10 ft down-hole composites were produced within all mineralized zones. Variography demonstrated anisotropic structures for both WO3 and Mo within the mineralized zones. Within the tungsten zones blocks 25 x 25 x 25 ft. were interpolated using ordinary kriging. For the molybdenum zone blocks 50 x 50 x 20 ft. were estimated by ordinary kriging. Blocks in all zones were classified using distance parameters tied to the ranges of semivariograms. Specific gravity determinations were made from 2006 drill core. Within the tungsten zones 9 measurements showed a definite correlation between grade of WO3 and specific gravity. Blocks with estimated grades less than 0.1% WO3 were assigned an specific gravity of 2.77 (11.57 cu. ft./ton), blocks greater than or equal to 0.1 and less than 0.3% WO3 were given a value of 3.25 (9.86 cu. ft./ton) and blocks with estimated grades greater than 0.3% WO3 were assigned a value of 3.36 (9.54 cu. ft./ton). Within the molybdenum resource area blocks were assigned an average of 8 measurements, a value of 2.68 which converts to a tonnage conversion factor of 11.96 cu. ft./ton.

Within the tungsten zones, using a cut-off grade of 0.15% WO3, the results show 2.51 million tons averaging 0.37% WO3 classed as measured plus indicated, with an additional 1.21 million tons averaging 0.40% WO3 classed as inferred. In the molybdenum zone, the results at a 0.05% Mo cut-off show 28,000 tons averaging 0.098 % Mo classed as indicated with a further 481,000 tons averaging 0.103% Mo classed as inferred.

The results of the resource evaluation are summarized in the following tables.



TOTAL WO3 RESOURCE FOR JERSEY PROJECT

------------------------------------------------------------------------
Tons greater
Classification Cutoff % than Cutoff WO3 % Pounds of WO3
------------------------------------------------------------------------
Measured 0.15 1,200,000 0.379 9,096,000
------------------------------------------------------------------------
Indicated 0.15 1,310,000 0.365 9,563,000
------------------------------------------------------------------------
Measured Plus
Indicated 0.15 2,510,000 0.372 18,674,000
------------------------------------------------------------------------
Inferred 0.15 1,210,000 0.397 9,607,000
------------------------------------------------------------------------


TOTAL MO RESOURCE FOR DODGER 4200 ZONE

------------------------------------------------------------------------
Tons greater
Classification Cutoff % than Cutoff Mo% Pounds of Mo
------------------------------------------------------------------------
Indicated 0.05 28,000 0.098 54,880
------------------------------------------------------------------------
Inferred 0.05 481,000 0.103 990,860
------------------------------------------------------------------------


The Company's consultants have suggested that until an economic evaluation is completed, 0.15% WO3 and 0.05% Mo are realistic cutoff grades for an underground mining operation in this location at current tungsten and molybdenum prices. The following tables set out the measured plus indicated resource at cutoff grades for WO3 ranging from 0.10% to 0.40% and for Mo ranging from 0.01% to 0.12%.



TABLE 21: TOTAL WO3 RESOURCE FOR JERSEY PROJECT

------------------------------------------------------------------------
MEASURED INDICATED
------------------------------------------------------------------------
Grade Grade
Tons greater Tons greater
greater than greater than
Cutoff than Cutoff than Cutoff
WO3 Cutoff ------- Cutoff -------
(%) (tons) WO3 (%) (tons) WO3 (%)
------------------------------------------------------------------------
0.10 1,700,000 0.304 1,880,000 0.291
------------------------------------------------------------------------
0.12 1,480,000 0.333 1,610,000 0.322
------------------------------------------------------------------------
0.14 1,290,000 0.362 1,410,000 0.350
------------------------------------------------------------------------
0.15 1,200,000 0.379 1,310,000 0.365
------------------------------------------------------------------------
0.16 1,120,000 0.397 1,260,000 0.374
------------------------------------------------------------------------
0.18 980,000 0.429 1,120,000 0.399
------------------------------------------------------------------------
0.20 880,000 0.454 1,000,000 0.423
------------------------------------------------------------------------
0.22 780,000 0.486 900,000 0.447
------------------------------------------------------------------------
0.24 730,000 0.504 810,000 0.472
------------------------------------------------------------------------
0.26 660,000 0.531 690,000 0.508
------------------------------------------------------------------------
0.28 610,000 0.554 610,000 0.541
------------------------------------------------------------------------
0.30 560,000 0.574 560,000 0.564
------------------------------------------------------------------------
0.32 510,000 0.601 500,000 0.591
------------------------------------------------------------------------
0.34 440,000 0.644 460,000 0.619
------------------------------------------------------------------------
0.36 400,000 0.678 410,000 0.647
------------------------------------------------------------------------
0.38 370,000 0.699 390,000 0.665
------------------------------------------------------------------------
0.40 340,000 0.725 370,000 0.682
------------------------------------------------------------------------


------------------------------------------------------------------------
INFERRED MEASURED PLUS INDICATED
------------------------------------------------------------------------
Grade Grade
Tons greater Tons greater
greater than greater than
Cutoff than Cutoff than Cutoff
WO3 Cutoff ------- Cutoff -------
(%) (tons) WO3 (%) (tons) WO3 (%)
------------------------------------------------------------------------
0.10 1,590,000 0.333 3,590,000 0.297
------------------------------------------------------------------------
0.12 1,400,000 0.362 3,090,000 0.327
------------------------------------------------------------------------
0.14 1,270,000 0.386 2,700,000 0.356
------------------------------------------------------------------------
0.15 1,210,000 0.397 2,510,000 0.372
------------------------------------------------------------------------
0.16 1,160,000 0.408 2,370,000 0.385
------------------------------------------------------------------------
0.18 1,080,000 0.427 2,090,000 0.413
------------------------------------------------------------------------
0.20 990,000 0.447 1,890,000 0.438
------------------------------------------------------------------------
0.22 920,000 0.468 1,680,000 0.465
------------------------------------------------------------------------
0.24 830,000 0.490 1,540,000 0.487
------------------------------------------------------------------------
0.26 770,000 0.510 1,350,000 0.520
------------------------------------------------------------------------
0.28 730,000 0.522 1,220,000 0.548
------------------------------------------------------------------------
0.30 680,000 0.541 1,120,000 0.569
------------------------------------------------------------------------
0.32 620,000 0.564 1,020,000 0.596
------------------------------------------------------------------------
0.34 560,000 0.586 900,000 0.631
------------------------------------------------------------------------
0.36 520,000 0.609 810,000 0.662
------------------------------------------------------------------------
0.38 480,000 0.627 760,000 0.682
------------------------------------------------------------------------
0.40 450,000 0.640 710,000 0.703
------------------------------------------------------------------------


-------------------------------------------------------
Dodger 4200 Mo Zone - Indicated Resource
-------------------------------------------------------
Tons
greater
than Grade greater than Cutoff
Mo Cutoff Cutoff -------------------------
(%) (tons) Mo (%) Pounds Mo
-------------------------------------------------------
0.01 49,000 0.067 65,660
-------------------------------------------------------
0.02 37,000 0.085 62,900
-------------------------------------------------------
0.03 37,000 0.085 62,900
-------------------------------------------------------
0.04 32,000 0.091 58,240
-------------------------------------------------------
0.05 28,000 0.098 54,880
-------------------------------------------------------
0.06 25,000 0.103 51,500
-------------------------------------------------------
0.07 25,000 0.103 51,500
-------------------------------------------------------
0.08 25,000 0.103 51,500
-------------------------------------------------------
0.09 17,000 0.112 38,080
-------------------------------------------------------
0.10 13,000 0.117 30,420
-------------------------------------------------------
0.11 8,000 0.123 19,680
-------------------------------------------------------
0.12 8,000 0.123 19,680
-------------------------------------------------------


-------------------------------------------------------
Dodger 4200 Mo Zone - Inferred Resource
-------------------------------------------------------
Tons
greater
than Grade greater than Cutoff
Mo Cutoff Cutoff -------------------------
(%) (tons) Mo (%) Pounds Mo
-------------------------------------------------------
0.01 3,377,000 0.034 2,296,360
-------------------------------------------------------
0.02 1,946,000 0.048 1,868,160
-------------------------------------------------------
0.03 1,190,000 0.064 1,523,200
-------------------------------------------------------
0.04 744,000 0.082 1,220,160
-------------------------------------------------------
0.05 481,000 0.103 990,860
-------------------------------------------------------
0.06 387,000 0.115 890,100
-------------------------------------------------------
0.07 265,000 0.138 731,400
-------------------------------------------------------
0.08 217,000 0.152 659,680
-------------------------------------------------------
0.09 188,000 0.162 609,120
-------------------------------------------------------
0.10 163,000 0.173 563,980
-------------------------------------------------------
0.11 155,000 0.177 548,700
-------------------------------------------------------
0.12 142,000 0.182 516,880
-------------------------------------------------------


Resource calculations for tungsten were determined for the un-mined mineralization in the drilled out portions of the Invincible and Dodger tungsten deposits. Within the tungsten zones, tonnages were adjusted to account for underground mining. The proportion of underground voids within each block was determined and this amount of material was subtracted from the tonnage calculated for that block.

The study indicates that average grades of molybdenum within the porphyry system are significant enough for potential underground mining methods of extraction, and includes limited zones with highly elevated grades.

The report concludes that based on the results of this preliminary resource calculation potential for both tungsten and molybdenum resources exist on the Jersey property.

The report makes a number of recommendations that can be summarized as follows:

1. Consultation be initiated with the Ministry of Mines of British Columbia to establish the terms of reference for re-permitting this historic mine.

2. A preliminary scoping study should be undertaken to determine the economic parameters and mining plan to develop the resource as well as the requirements necessary for permitting of the site for mining.

3. The Invincible Mine workings should be dewatered and the access portals stabilized.

4. The East Emerald Tungsten Zone and its projected extension should be tested with 11,000 metres of drilling in 60 drill holes.

5. The East Dodger Tungsten Zone should be tested with 5,000 metres of drilling in 35 drill holes.

6. The East Dodger Molybdenum Zone should be investigated to the north, south and at depth with 3,000 metres of diamond drilling in 15 drill holes.
The proposed budget for the recommended program is estimated at $4,120,000.

Sultan's directors are delighted with the results of this study. The study shows that a significant tungsten resource exists on the property. The resource is comparable in tonnage and grade with many of the world's largest producing tungsten mines and has potential for expansion both within the historically mined areas and within the surrounding terrain.

The following table compares the Jersey-Emerald tungsten resource with the published reserves of the western world's three largest tungsten mines.



---------------------------------------------------------------------------
Deposit Classification Tons WO3 % Pounds of WO3
---------------------------------------------------------------------------
Jersey-Emerald Measured & Indicated 2,510,000 0.372 18,674,000
---------------------------------------------------------------------------
Panasquiera,
Portugal Provn, Probabl &Indic. 4,649,000 0.250 25,960,000
---------------------------------------------------------------------------
Cantung, Canada Proven & Probable 1,030,600 1.170 24,116,040
---------------------------------------------------------------------------
Ferbertal,
Austria Proven & Probable 2,000,000 0.500 22,046,000
---------------------------------------------------------------------------


Mr. Ed Lawrence, P.Eng., former Manager of the Jersey and Emerald Mines, is managing the exploration drill program. Mr. Perry Grunenberg, P.Geo., of P&L Geological Services of Lac Le Jeune, BC, is the Company's project supervisor and "Qualified Person" for the purpose of National Instrument 43-101, "Standards of Disclosure for Mineral Projects".

For further information on Sultan's projects, visit www.sultanminerals.com.

Arthur G. Troup, P.Eng., Geological, President and CEO

This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company 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, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's filings that are available at www.sedar.com or the Company's website at www.sultanminerals.com

SEC 12g3-2(b): 82-4741


No regulatory authority has approved or disapproved the information contained in this news release.

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