THEMAC Resources Group Limited
TSX VENTURE : MAC

THEMAC Resources Group Limited

November 17, 2011 07:30 ET

THEMAC Resources Group Limited: Copper Flat Mine 2011 Core Drilling Program Returns Encouraging Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 17, 2011) - THEMAC Resources Group Limited ("THEMAC" or "the Company") (TSX VENTURE:MAC) today provided an update on the 2011 core drilling program at the Company's Copper Flat project.

2011 CORE DRILLING PROGRAM—Results for Holes CF-11-01 through CF-11-07

The 2011 Copper Flat drilling program, addressing pre-feasibility study needs, began in June 2011 and ended October 4, 2011. Sixteen holes were completed for 16,539.1 feet of core drilled, in 14 locations. This represents a little over 25% of the 47 holes originally permitted. The remaining holes will be drilled during feasibility study work, as needed, scheduled for early in 2012.

Assay results have been recently received for eight of the 16 holes drilled in 14 sites; CF-11-01, CF-11-01b, CF-11-02, CF-11-03, CF-11-04, CF-11-05, CF-11-06, and CF-11-07 (see the assay data in Table 1, Appendix 1). A total of 8,058.0 feet of drilling was completed in these 8 holes. Figure 1, Appendix 1, is a map illustrating drill hole locations.

To view Appendix 1, containing Table 1 and Figure 1, please visit the following link: http://media3.marketwire.com/docs/mac1117i.pdf.

Drilling Assay Highlights:
Hole ID Interval Ft Length Ft Au ppb Ag ppm % Cu % Mo
CF-11-01 0 to 22 22 265 8.7 1.02 0.007
140.5 to 225 84.5 331 7.1 1.05 0.018
240 to 309.7 69.7 169 5.8 0.97 0.019
CF-11-01b* 0 to 25 25 304 11.3 1.44 0.030
117.1 to 160.4 43.3 226 6.6 0.70 0.011
179 to 194 15 190 11.6 1.18 0.023
209.2 to 241.5 32.3 163 3.8 0.73 0.024
263.5 to 282 18.5 437 5.9 0.93 0.029
315 to 345 30 213 7.4 1.09 0.012
385 to 400 15 193 9.3 1.50 0.013
672.6 to 725 52.4 580 7.0 0.97 0.032
CF-11-03 277.9 to 336.8 58.9 189 4.6 0.80 0.027
CF-11-04 5 to 45 40 165 3.6 0.98 0.058
80 to 90 10 197 4.1 1.07 0.653
168 to 178 10 244 4.6 1.05 0.038
CF-11-07 93.7 to 113 19.3 215 3.2 0.71 0.012
418 to 428 10 192 6.1 1.03 0.006
Note: Intervals were calculated greater than/equal to 10 feet of copper values equal to or greater than 0.65% Cu, with individual five foot intervals of less than 0.65% included between 0.65% Cu or greater.

The 2011 drilling was targeted to confirm existing grades, step out laterally and to depth to test for increases to the resources, and confirm and expand high grade mineralized areas. This program was designed to provide data to the pre-feasibility study to be completed first quarter 2012, and to provide geotechnical and geochemical information for the planning and permitting of future operations. Simultaneously, valuable data continues to be gleaned from historic data sources, and is being included in the pre-feasibility work that is progressing.

Table 2 summarizes the average grades for each of these holes from surface to total depth.

Table 2
Hole ID Interval Average Grades
From To Cu (% ) Mo (% ) Au (opt ) Ag (opt )
CF-11-01 0.0 309.7 0.695 0.011 0.006 0.156
CF-11-01B 0.0 1110.5 0.464 0.027 0.004 0.098
CF-11-02 0.0 1097.0 0.174 0.004 0.002 0.039
CF-11-03 0.0 1154.1 0.297 0.010 0.003 0.061
CF-11-04 0.0 811.9 0.388 0.038 0.003 0.058
CF-11-05 0.0 1200.0 0.225 0.012 0.002 0.039
CF-11-06 0.0 1176.6 0.194 0.006 0.002 0.054
CF-11-07 0.0 1098.0 0.306 0.008 0.002 0.044
* Values below the detection limit were converted to zero for calculation purposes

Results show 102 intervals with greater than or equal to 0.65% Cu, with a high of 2.26%. Table 3 below lists each of these intervals on a per hole basis. Holes CF-11-01 and CF-11-01b are drilled on the same pad within approximately 30 feet of one another. Poor drill methods caused hole CF-11-01 to fail at 309.7 feet. Comparing both holes from 1 to about 310 feet, there are 18 intervals in each hole with values equal to and above 0.65% Cu; a good check against one another (Appendix 1). About half of the 102 intervals are in holes CF-11-01 and CF-11-01b; and the remaining are found in holes CF-11-03, CF-11-04, CF-11-05 and CF-11-07. No high grade intercepts were encountered in CF-11-02 and CF-11-06.

"We are very pleased with the drilling results to date," said Andre Douchane, CEO. "There is excellent long hole confirmation of the mineralization that should have a positive impact in the project. The program is verifying previous work and giving us better insight into a potential deeper zone. Our next steps are to use this information to design next year's exploration and development drilling programs to include a deep drilling exploration program that will test the high grade potential at depth."

Table 3
Hole ID Interval Grades Comments
From To Length Cu (% ) Mo (% ) Au (opt ) Ag (opt )
CF-11-01 0.0 17.0 17.0 1.21 0.013 0.007 0.266 Extensions to breccia pipe high grade
CF-11-01 17.0 22.0 5.0 0.82 0.001 0.009 0.242 " "
CF-11-01 140.5 147.7 7.2 0.77 0.005 0.009 0.245 " "
CF-11-01 147.7 153.4 5.7 1.36 0.005 0.013 0.409 " "
CF-11-01 153.4 160.0 6.6 0.66 0.002 0.008 0.134 " "
CF-11-01 165.0 177.0 12.0 1.51 0.018 0.016 0.318 " "
CF-11-01 189.5 194.5 5.0 1.31 0.021 0.010 0.222 " "
CF-11-01 194.5 202.5 8.0 1.99 0.054 0.011 0.342 " "
CF-11-01 202.5 208.5 6.0 0.82 0.014 0.005 0.117 " "
CF-11-01 215.0 225.0 10.0 1.72 0.060 0.020 0.257 " "
CF-11-01 240.0 249.0 9.0 0.98 0.003 0.008 0.201 " "
CF-11-01 249.0 255.5 6.5 1.16 0.011 0.006 0.242 " "
CF-11-01 255.5 265.3 9.8 0.74 0.017 0.004 0.111 " "
CF-11-01 265.3 275.1 9.8 1.07 0.031 0.004 0.161 " "
CF-11-01 275.1 285.0 9.9 0.78 0.072 0.005 0.123 " "
CF-11-01 285.0 295.0 10.0 1.12 0.025 0.005 0.190 " "
CF-11-01 295.0 304.7 9.7 0.65 0.005 0.004 0.137 " "
CF-11-01 304.7 309.7 5.0 2.26 0.010 0.008 0.359 " "
CF-11-01B 0.0 15.0 15.0 2.09 0.047 0.013 0.517 " "
CF-11-01B 15.0 25.0 10.0 0.79 0.013 0.005 0.140 " "
CF-11-01B 124.4 129.4 5.0 0.66 0.026 0.010 0.134 " "
CF-11-01B 134.4 140.4 6.0 1.11 0.004 0.009 0.292 " "
CF-11-01B 140.4 145.4 5.0 0.79 0.002 0.007 0.190 " "
CF-11-01B 145.4 150.4 5.0 0.91 0.006 0.006 0.210 " "
CF-11-01B 155.4 160.4 5.0 0.67 0.008 0.005 0.193 " "
CF-11-01B 179.0 184.0 5.0 1.02 0.009 0.005 0.420 " "
CF-11-01B 184.0 189.0 5.0 1.41 0.042 0.006 0.368 " "
CF-11-01B 189.0 194.0 5.0 1.12 0.017 0.005 0.231 " "
CF-11-01B 209.2 215.0 5.8 0.81 0.028 0.006 0.117 " "
CF-11-01B 225.0 231.5 6.5 0.75 0.019 0.005 0.111 " "
CF-11-01B 231.5 236.5 5.0 0.97 0.041 0.005 0.146 " "
CF-11-01B 236.5 241.5 5.0 0.65 0.016 0.005 0.117 " "
CF-11-01B 263.5 268.5 5.0 0.84 0.032 0.016 0.158 " "
CF-11-01B 268.5 275.0 6.5 0.89 0.022 0.013 0.161 " "
CF-11-01B 275.0 282.0 7.0 1.05 0.034 0.009 0.199 " "
CF-11-01B 292.5 300.0 7.5 0.68 0.015 0.007 0.164 " "
CF-11-01B 315.0 320.0 5.0 0.85 0.003 0.005 0.155 " "
CF-11-01B 320.0 325.0 5.0 1.92 0.027 0.009 0.377 " "
CF-11-01B 325.0 330.0 5.0 1.07 0.008 0.007 0.207 " "
CF-11-01B 330.0 335.0 5.0 0.72 0.012 0.003 0.152 " "
CF-11-01B 335.0 340.0 5.0 1.11 0.014 0.009 0.225 " "
CF-11-01B 340.0 345.0 5.0 0.86 0.010 0.004 0.175 " "
CF-11-01B 355.0 360.0 5.0 0.83 0.009 0.004 0.128 " "
CF-11-01B 385.0 390.0 5.0 1.72 0.015 0.008 0.298 " "
CF-11-01B 390.0 395.0 5.0 1.87 0.013 0.005 0.345 " "
CF-11-01B 395.0 400.0 5.0 0.90 0.011 0.004 0.175 " "
CF-11-01B 440.0 445.0 5.0 0.85 0.016 0.005 0.152 " "
CF-11-01B 455.0 460.0 5.0 0.79 0.031 0.014 0.149 " "
CF-11-01B 672.6 677.6 5.0 0.81 0.019 0.015 0.190 " "
CF-11-01B 677.6 682.6 5.0 0.98 0.029 0.031 0.222 " "
CF-11-01B 682.6 687.6 5.0 0.96 0.048 0.022 0.199 " "
CF-11-01B 687.6 693.0 5.4 1.11 0.029 0.013 0.207 " "
CF-11-01B 693.0 698.0 5.0 0.70 0.029 0.018 0.126 " "
CF-11-01B 698.0 703.0 5.0 0.72 0.035 0.018 0.164 " "
CF-11-01B 703.0 708.0 5.0 0.86 0.037 0.022 0.216 " "
CF-11-01B 708.0 714.0 6.0 1.25 0.013 0.009 0.201 " "
CF-11-01B 714.0 720.0 6.0 1.11 0.058 0.010 0.228 " "
CF-11-01B 720.0 725.0 5.0 1.16 0.027 0.011 0.295 " "
CF-11-01B 945.0 950.0 5.0 0.94 0.078 0.006 0.158 " "
CF-11-01B 955.0 960.0 5.0 0.68 0.063 0.005 0.134 " "
CF-11-01B 960.0 965.0 5.0 0.82 0.053 0.007 0.231 " "
CF-11-01B 965.0 970.0 5.0 0.80 0.052 0.005 0.193 " "
CF-11-01B 975.0 980.0 5.0 0.85 0.036 0.006 0.158 " "
CF-11-01B 980.0 985.0 5.0 1.00 0.078 0.007 0.155 " "
CF-11-01B 985.0 990.0 5.0 1.28 0.142 0.008 0.201 " "
CF-11-03 105.7 110.7 5.0 1.24 0.135 0.004 0.111 Breccia pipe extensions in the southern pit area
CF-11-03 147.0 152.0 5.0 1.00 0.005 0.004 0.181 " "
CF-11-03 152.0 157.0 5.0 1.06 0.022 0.004 0.175 " "
CF-11-03 187.0 192.0 5.0 0.89 0.011 0.007 0.231 " "
CF-11-03 229.0 237.6 8.6 0.97 0.130 0.004 0.140 " "
CF-11-03 277.9 284.2 6.3 0.66 0.019 0.008 0.096 " "
CF-11-03 284.2 289.2 5.0 0.71 0.022 0.004 0.105 " "
CF-11-03 289.2 296.8 7.6 0.65 0.043 0.005 0.102 " "
CF-11-03 301.8 306.8 5.0 0.70 0.013 0.004 0.114 " "
CF-11-03 306.8 311.8 5.0 1.23 0.012 0.010 0.248 " "
CF-11-03 311.8 316.8 5.0 1.01 0.003 0.008 0.161 " "
CF-11-03 316.8 321.8 5.0 1.37 0.033 0.007 0.274 " "
CF-11-03 326.8 331.8 5.0 0.73 0.084 0.005 0.114 " "
CF-11-03 331.8 336.8 5.0 0.65 0.019 0.003 0.099 " "
CF-11-03 756.8 761.8 5.0 0.85 0.002 0.011 0.158 " "
CF-11-03 771.8 776.8 5.0 0.87 0.018 0.006 0.172 " "
CF-11-04 5.0 10.0 5.0 0.88 0.008 0.003 0.067 Confirmation and extensions to depth
CF-11-04 10.0 15.0 5.0 0.91 0.013 0.006 0.120 " "
CF-11-04 15.0 20.0 5.0 1.36 0.108 0.007 0.172 " "
CF-11-04 20.0 25.0 5.0 1.95 0.132 0.009 0.178 " "
CF-11-04 35.0 40.0 5.0 0.91 0.074 0.005 0.076 " "
CF-11-04 40.0 45.0 5.0 0.72 0.026 0.004 0.067 " "
CF-11-04 80.0 85.0 5.0 1.01 1.198 0.005 0.111 " "
CF-11-04 85.0 90.0 5.0 1.12 0.108 0.006 0.126 " "
CF-11-04 168.0 173.0 5.0 1.18 0.034 0.006 0.134 " "
CF-11-04 173.0 178.0 5.0 0.91 0.042 0.008 0.134 " "
CF-11-04 203.0 213.0 10.0 0.66 0.055 0.004 0.096 " "
CF-11-05 655.0 660.0 5.0 0.74 0.101 0.010 0.099 Southern portion of the pit; confirmation and extensions to depth
CF-11-05 660.0 665.0 5.0 0.79 0.037 0.007 0.123 " "
CF-11-05 665.0 670.0 5.0 0.68 0.030 0.007 0.085 " "
CF-11-05 670.0 675.0 5.0 0.85 0.029 0.008 0.111 " "
CF-11-05 675.0 680.0 5.0 1.32 0.280 0.010 0.149 " "
CF-11-07 93.7 99.7 6.0 0.66 0.014 0.005 0.082 Eastern portion of the pit; confirmation and extensions laterally and to depth.
CF-11-07 105.0 113.0 8.0 0.89 0.020 0.008 0.117 " "
CF-11-07 264.9 269.9 5.0 0.70 0.029 0.003 0.120 " "
CF-11-07 418.0 423.0 5.0 0.74 0.007 0.006 0.123 " "
CF-11-07 423.0 428.0 5.0 1.31 0.004 0.005 0.231 " "
CF-11-07 483.0 488.0 5.0 0.82 0.002 0.010 0.152 " "
* Values below the detection limit were converted to zero for calculation purposes

All of the holes summarized in Table 3 were drilled as angle core holes drilling across, beneath, and adjacent to previous drilling. Hole CF-11-02 was drilled as a vertical hole testing a deep (600-1,000 foot) IP target identified by a Titan 24 MT-DC/IP geophysical survey completed in Spring 2011. Core drilling was completed generally as HQ size core, although some holes were initiated as PQ to drill through the initial 20-70 feet of broken ground (previously shot mining benches). Hole CF-11-04 encountered an underground working (used for metallurgical bulk sampling in the early 1980s) at 158 to 168 feet; this hole was then necked down to NQ size core, and drilling resumed from 188 feet to 811.9 feet (td).

There are thirty-four (34) intercepts with values of greater than or equal to 300ppb Au. The highest Au value encountered in the drilling was in CF-11-01b, with a high of 1,050ppb. Of the 34 intercepts, twenty-seven (27) intercepts were encountered in holes CF-11-01 and CF-11-01b. Table 4 summarizes the intercepts and values.

Table 4
Hole Sample Number From To Length Au (ppb ) Ag (ppm ) CuT (% ) Mo (% )
CF-11-01B 617726 677.6 682.6 5.0 1050 7.6 0.98 0.029
CF-11-06 618040 682.6 448.0 -234.6 814 3 0.23 0.002
CF-11-01B 617727 682.6 687.6 5.0 767 6.8 0.96 0.048
CF-11-01B 617733 703.0 708.0 5.0 745 7.4 0.86 0.037
CF-11-01 617334 215.0 225.0 10.0 691 8.8 1.72 0.060
CF-11-01B 617732 698.0 703.0 5.0 625 5.6 0.72 0.035
CF-11-01B 617730 693.0 698.0 5.0 621 4.3 0.7 0.029
CF-11-01 617328 165.0 177.0 12.0 552 10.9 1.51 0.018
CF-11-01B 617632 263.5 268.5 5.0 537 5.4 0.84 0.032
CF-11-01B 617725 672.6 677.6 5.0 500 6.5 0.81 0.019
CF-11-01B 617737 725.0 730.0 5.0 495 2 0.24 0.003
CF-11-01B 617676 455.0 460.0 5.0 488 5.1 0.79 0.031
CF-11-01B 617675 450.0 455.0 5.0 466 5.1 0.62 0.016
CF-11-01B 617634 268.5 275.0 6.5 462 5.5 0.89 0.022
CF-11-01 617325 147.7 153.4 5.7 453 14 1.36 0.005
CF-11-01B 617728 687.6 693.0 5.4 451 7.1 1.11 0.029
CF-11-01B 617585 0.0 15.0 15.0 438 17.7 2.09 0.047
CF-11-01 617331 194.5 202.5 8.0 391 11.7 1.99 0.054
CF-11-01B 617736 720.0 725.0 5.0 385 10.1 1.16 0.027
CF-11-03 620158 756.8 761.8 5.0 380 5.4 0.85 0.002
CF-11-01B 617735 714.0 720.0 6.0 353 7.8 1.11 0.058
CF-11-07 618575 483.0 488.0 5.0 348 5.2 0.82 0.002
CF-11-05 618358 488.0 680.0 192.0 345 5.1 1.32 0.28
CF-11-03 620063 306.8 311.8 5.0 340 8.5 1.23 0.012
CF-11-01 617330 189.5 194.5 5.0 334 7.6 1.31 0.021
CF-11-01B 617602 124.4 129.4 5.0 326 4.6 0.66 0.026
CF-11-05 618354 129.4 660.0 530.6 326 3.4 0.74 0.101
CF-11-01B 617605 134.4 140.4 6.0 324 10 1.11 0.004
CF-11-01 617323 140.5 147.7 7.2 313 8.4 0.77 0.005
CF-11-01B 617644 320.0 325.0 5.0 313 12.9 1.92 0.027
CF-11-01B 617635 275.0 282.0 7.0 311 6.8 1.05 0.034
CF-11-01B 617734 708.0 714.0 6.0 307 6.9 1.25 0.013
CF-11-04 617830 20.0 25.0 5.0 306 6.1 1.95 0.132
CF-11-01 617302 17.0 22.0 5.0 302 8.3 0.82 0.001

The grades encountered when drilling across historic holes confirmed previous intercepts and grades; helped to define boundaries between the higher grade breccia pipe core and the surrounding quartz monzonite; extended previously drilled high grade zones; and extended mineralization into previously untested areas laterally and to depth. The overall grades of the assays received to date are comparable to what has been encountered in previous drilling campaigns, and provide for further confirmation of the mineralization.

Assay Methods

Assaying was undertaken at Skyline Laboratory in Tucson, AZ. Copper, molybdenum, gold and silver were determined by multiple methods; gold was by fire assay with AA finish; silver was by AA; and copper and molybdenum by ICP. Reference standards and blanks were inserted in the sample streams, along with duplicate sampling of the core.

Standard procedures for core handling were in place during the program, with core being logged into the core facility at every shift change. A geologist was on site for all sample preparation and shipping.

About the Copper Flat Project

Copper Flat is a former producing mine located approximately 20 miles southwest of Truth or Consequences in Sierra County, State of New Mexico, USA. Permitting for a return of the project to production is at an advanced stage, and a prefeasibility study is in progress and targeted for completion during first quarter 2012.

The Copper Flat project is a porphyry copper-molybdenum-gold-silver deposit. The deposit has NI43-101 Indicated Mineral Resources of 107 million short tons grading 0.303% copper and 0.01% molybdenum for 645 million lbs copper and 21.4 million lbs molybdenum, plus Inferred Mineral Resources of 46 million short tons grading 0.24% copper and 0.006% molybdenum for 222 million lbs copper and 5.6 million lbs molybdenum.

The gold and silver content of the deposit is evidenced by historic production and metallurgical test work, and gold and silver are targeted for incorporation into the deposit's NI43-101 Mineral Resource statement following completion and interpretation of a re-assay program using historic drill pulps.

An NI43-101 Preliminary Economic Assessment ("PEA") dated June 30, 2010 and updated February 25, 2011 has been completed for Copper Flat and can be viewed on SEDAR.

Civil infrastructure in place at Copper Flat includes a tailings dam, largely pre-stripped open pit, power lines, water well field and pipeline, access roads, diversion channels and building foundations. The project land package comprises in excess of 1,200 hectares. For more information visit www.nmcopper.com.

About THEMAC Resources Group Limited

THEMAC is a copper development company with a strong management team and as of May 18, 2011, a 100% ownership interest in the Copper Flat copper-molybdenum-gold-silver project in New Mexico, USA. We are committed to bringing the closed copper mine, Copper Flat, in Sierra County, New Mexico back into production with innovation and a sustainable approach to mining development and production, local economic opportunities and the best reclamation practices for our unique environment. The Company is listed on the TSX Venture Exchange (ticker: MAC) and has issued share capital of 74,117,622 common shares (fully diluted share capital 135,648,241).

Technical information in this news release has been approved by Mr. Barrett Sleeman, P.Eng., a Qualified Person under National Instrument 43-101, who is Executive Director of the Company.

For more information please visit www.themacresourcesgroup.com or review the Company's filings on SEDAR (www.sedar.com).

Neither the TSX Venture Exchange (the "TSXV") nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) has reviewed, nor do they accept responsibility for the adequacy or accuracy of, this release.

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