Tenajon Resources Corp.
TSX VENTURE : TJS

Tenajon Resources Corp.

May 15, 2008 13:10 ET

Tenajon Announces 75% Increase in Indicated Molybdenum Resources at Ajax Project

Now 98.9 Million Pounds Molybdenum in the Indicated Category

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 15, 2008) - Tenajon Resources Corp. (TSX VENTURE:TJS) (the "Company") today announced that the incorporation of results from the 2007 drill program has significantly increased the Mineral Resource estimate for the Ajax Molybdenum Deposit. Tenajon Resources Corp. holds a 100% interest in the Ajax Molybdenum Deposit, located 14 km north of Alice Arm, B.C.

Key Point Summary (at a 0.04% molybdenum cut-off):

- Indicated Resources increase by 75.4% over the 2007 resource estimate

- 98.9 million pounds of molybdenum in Indicated Resources

- Inferred Resources increase by 4.2% over the 2007 resource estimate

- 649.8 million pounds of molybdenum in Inferred Resources

- Ajax deposit is still open for expansion laterally and at depth

- Molybdenum is trading at approximately US$33.00 per pound

The upgraded resource estimate was prepared by Giroux Consultants Ltd., an independent consulting firm. Above a cut-off of 0.04% molybdenum ("Mo") Giroux estimates that the Ajax Deposit contains an Inferred Resource of 483.1 million tonnes grading 0.061% Mo, representing 649.8 million pounds of molybdenum, and an Indicated Resource of 69.0 million tonnes grading 0.065% Mo representing 98.9 million pounds of molybdenum. With the current resource base, Ajax is one of the largest undeveloped molybdenum deposits in North America and the deposit remains open laterally and at depth.

The current resource incorporates the results of 48 drill holes totaling 15,359 metres, including 13 holes that were drilled by Tenajon in 2007. Of the 48 drill holes, 22 were completed by Tenajon from 2005 through 2007, and 26 holes were completed by previous operators. Prior to the incorporation of the 2007 drilling, Giroux had calculated the Ajax Deposit hosted an Inferred Mineral Resource of 448.8 million tonnes averaging 0.063% Mo using a 0.04% cut-off and representing 623.4 million pounds of molybdenum. Indicated resources were calculated to be 38.8 million tonnes averaging 0.064% Mo representing 56.4 million pounds of molybdenum (see Tenajon Resources press release dated March 5, 2007 for details and disclosure).

Mineral Resource Estimate

The total contained metal at a 0.04% cut-off is 98.9 million pounds of molybdenum in the Indicated category and 649.8 million pounds of molybdenum in the Inferred category, representing a 75.4% and 4.2% increase over the previous resource estimate, respectively. The following table summarizes the Mineral Resource for the Ajax Deposit at various cut-off grades:



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Inferred Resources Indicated Resources
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Cut-off Mo Million Mo Million
Grade (%) Tonnes (%) lbs Mo Tonnes (%) lbs Mo
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0.04 483,120,000 0.061 649.80 69,000,000 0.065 98.90
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0.05 421,950,000 0.064 595.50 57,670,000 0.068 86.50
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0.06 260,260,000 0.069 396.00 41,220,000 0.074 67.30
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0.07 85,990,000 0.079 149.80 19,940,000 0.084 36.90
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0.08 32,040,000 0.088 62.20 9,090,000 0.095 19.00
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0.09 9,270,000 0.100 20.40 5,300,000 0.104 12.10
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0.10 4,410,000 0.106 10.30 1,930,000 0.118 5.00
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The Resource Estimate was completed under the direction of Gary Giroux, P. Eng., an Independent Qualified Person as defined by National Instrument 43-101.

Tenajon is currently compiling all data related to the Ajax project and formulating plans for 2008.

Mineral Resources for the Ajax Deposit were based on 48 holes totaling 15,359 metres in length, including 13 that were drilled in 2007. A 3-D model of the zone was created using GEMS ® software. This mineralized domain was largely based on the historical interpretations by previous operator Newmont Mines, resolved in the third dimension and incorporated the most recent drilling. The resulting solid represents an approximately 0.05% Mo grade shell. Assays were then composited for 12 metre intervals and statistical analysis and variography completed for the mineralized domain. Ordinary kriging was then used to interpolate the molybdenum grades into the block model, with individual blocks 50m x 50 m x 24 m high. Due to the density of the drilling as compared to the size of the deposit, most of the Mineral Resource is classified as Inferred.

Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Mineral Resource estimates do not account for mineability, selectivity, mining loss and dilution. Inferred Mineral Resources are normally considered too speculative to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is also no certainty that these Inferred Mineral Resources will be converted to Measured and Indicated categories through further drilling or into Mineral Reserves once economic considerations are applied.

Dave Visagie, P. Geo., a Qualified Person as defined by NI 43-101 supervised the Ajax exploration program.

On Behalf of the Board of Directors

TENAJON RESOURCES CORP.

D. Bruce McLeod, President

Cautionary Statement Regarding Forward-Looking Information

All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. Forward-looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. The Company does not undertake any obligation to update forward-looking statements even if circumstances or management's estimates or opinions should change. Investors should not place undue reliance on forward-looking statements.

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

Contact Information

  • Tenajon Resources Corp.
    Bruce McLeod
    (604) 687-7545
    or
    Tenajon Resources Corp.
    Brad Kopp
    (604) 687-7545
    Website: www.tenajon.com