Tenajon Resources Corp.

Tenajon Resources Corp.

April 10, 2007 08:00 ET

Tenajon Acquires Moly Brook Molybdenum Porphyry

221m drill intercept of 0.059% Mo including 66m of 0.091% Mo - Mineralized outcrops over 1,100m by 450m area

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 10, 2007) - Tenajon Resource Corp (TSX VENTURE:TJS) is pleased to announce it has entered into an agreement to acquire the Moly Brook Molybdenum Property. The property is located 2.5 km from the Hamlet of Grey River on the southern coast of Newfoundland, less than 4 kilometres from a deep water, ice free navigable fjord. The Moly Brook Property is an under explored molybdenum project with significant historic drill hole intercepts. Based on assessment reports filed by Royal Oak Mines Inc. and Tenajon's research, the Company has concluded that the property has the potential to host a significant molybdenum deposit.

"Quality molybdenum projects like Moly Brook are hard to find in this metals market," said Bruce McLeod, President & CEO of Tenajon. "The project is obviously under explored, given the potential already demonstrated by just four widely spaced historic drill holes. We anticipate drilling at Moly Brook to commence later this year after a brief period of data compilation and logistical planning."

Molybdenum was first discovered at Moly Brook in 1995 by the now defunct Royal Oak Mines Inc. while exploring for gold. On the basis of just four drill holes, Royal Oak was satisfied that it had discovered a significant porphyry-style molybdenum deposit. However, due to extremely low molybdenum prices at the time and Royal Oak's deteriorating financial situation, they discontinued all exploration in Eastern Canada shortly after the discovery.

Moly Brook Project

A review of government assessment reports shows Royal Oak Mines Inc. completed four NQ-size diamond drill holes within a 1,100m x by 450m area of outcropping mineralization. Drill holes were spaced approximately 150m apart (north-south) at and shallow angles. Previous drilling indicates that the mineralized system remains open in all directions.

Historic drill hole grades were significant; however, there is reason to believe that the grade was under-reported. Royal Oak geologists reran samples from drill hole FC95-01 using a 1 kg split vs. the original 0.4 kg split which was used to calculate the drill hole results tabulated below. The result was an average molybdenum grade increase of 31%. The table below reports the original grades from the assessment report from the four holes drilled without incorporating the reanalyzed samples.

Interval Interval
Hole ID (metres) (feet) Mo grade MoS2 grade
FC95-01 221 757.9 0.059 0.094
Including 92 301.8 0.080 0.128
Including 66 216.5 0.091 0.146
FC95-04 238 780.8 0.051 0.082
FC96-06 252 826.8 0.032 0.051
FC96-07 272 892.4 0.032 0.051

- The missing holes in the series were drilled on a group of satellite
gold targets arranged around the perimeter of the Moly Brook Stock. They
were located to the NE of the Mo deposit and, while part of the alteration
system, they are not pertinent to evaluating the molybdenum deposit itself.

Due to the large size of the area being tested, it appears that none of the historic drilling traversed much more than 1/2-way across the deposit. The holes, ranging from 221m to 272m in length, were drilled perpendicular to the axis of the porphyry and they began and ended in molybdenum mineralization, leaving the system open in all directions.

Moly Brook History and Geology

Molybdenum mineralization was first discovered on the property in 1995; outcropping mineralization was sampled over nearly 550m of section along an unnamed stream, subsequently named Moly Brook. The outcrop in the stream bed and adjacent walls exhibits typical porphyry textures, strong alteration and porphyry style molybdenum mineralization over the entire section. Coarse molybdenite is found in quartz veinlets and fractures cutting a hornblende and feldspar porphyritic quartz monzonite. It is associated with minor chalcopyrite, fluorite, gypsum and pyrite. Follow-up prospecting and mapping located similar mineralization in outcrops south of the stream and outlined an area approximately 1,100m long (north-south) by 450m wide (east-west) where these outcrops were noted. Geologists reportedly mapped hydrothermal alteration over an area approximately 2 km2 surrounding the molybdenum rich core of the porphyry. Ground based total field magnetics and a detailed soil geochemistry program show coincident anomalies over the porphyry stock and mineralized area.

Moly Brook Acquisition

Tenajon has entered into a binding agreement for the acquisition of 100% of the 675 ha Moly Brook property with an arms length syndicate of holders for the sum of $20,000 and 350,000 shares. The Moly Brook property will be subject to a 2% NSR, of which 1.5% can be purchased by Tenajon for C$1,500,000. A finders fee of $2,000 and 35,000 shares will be issued in respect to the Moly Brook acquisition. The agreement is subject to the approval of the TSX Venture Exchange.

Additional Information

Additional information on Tenajon can be found on the company website at http://www.Tenajon.com.

On Behalf of the Board of Directors


D. Bruce McLeod, President

This news release may contain forward looking statements which are not historical facts, such as ore reserve estimates, anticipated production or results, sales, revenues, costs, or discussions of goals and exploration results, and involves a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, metal price volatility, volatility of metals production, project development, ore reserve estimates, future anticipated reserves and cost engineering estimate risks, geological factors and exploration results. See the Company's filings for a more detailed discussion of factors that may impact expected results.

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

Contact Information

  • Tenajon Resources Corp.
    D. Bruce McLeod
    (604) 687-7545 or Toll Free: 1-888-338-2200
    (604) 689-5041 (FAX)
    Email: info@northair.com
    Website: www.tenajon.com