Tintina Mines Limited

November 18, 2011 12:36 ET

Tintina Mines Limited Announces Completion of 48 KM Access Road to Red Mountain and Provides Corporate Update

TORONTO, ONTARIO--(Marketwire - Nov. 18, 2011) - Tintina Mines Limited (TSX VENTURE:TTS) announced today that it has completed a 48 km gravel road access to its Red Mountain deposit and plans to undertake geotechnical and acid/metal leachate work next season (Q2-2012) in preparation for collaring a decline in 2013 or 2014. It is expected that the decline would be driven into the heart of the deposit from the southern (Chalco Creek) side and would traverse approximately 1200 m prior to entering the deposit. The objective of the decline is to provide further geotechnical information, a bulk sample for metallurgical testing and provide an easier/lower access for underground definition drilling.

Tintina's Red Mountain molybdenum deposit is a vertical oblong cylinder about 1500 m long by 500 m wide and 400 meters below the surface. It has been drilled to 1200 m depth and is open at depth with the best grades (0.2 to 0.3 % MoS2) at depth. Following Amoco Petroleum's 21,000 metre drill program in 1982 of approximately 21,000 metres, D.W. Asbury provided an historical estimate of 187.3 million tonnes grading 0.167% MoS2 (using a 0.10% MoS2 cutoff), including 21.3 million tonnes grading 0.293% MoS2 (using a 0.25% cut-off) within a high-grade core of the deposit. Tintina is not treating the historical estimates as current mineral resources, and the historical estimates should not be relied upon. Mr. Randy Clarkson, P. Eng., a Qualified Person under NI 43-101, has approved the description of the above-referenced historical estimates.

Some baseline environmental work as well as some very preliminary acid rock characterization work has been done in the past and the Company plans to expand on this preliminary work. Tintina has a Class 3 Yukon mining land use permit and is fully permitted for the geotechnical/geochemical drill program. Additional permitting is required to complete the underground development in 2013/2014 and for the future underground mine development should it occur.

Tintina completed the all weather road at a cost of approximately $5 million, funded through a loan from the Company's principal shareholder. The road will provide full access from the South Canol Road through to Chalco Creek, which runs adjacent to the Red Mountain molybdenum deposit. The loan is presently unsecured and non-convertible.

Tintina is also pleased to announce the following Management appointments following its Annual Shareholders Meeting which took place in Toronto on November 1, 2011. Mr. Robert Spiegel, who has been a director of the Company since 2002 and has served as legal counsel to the Company, has been appointed Chief Executive Officer and will be responsible for managing Tintina's Canadian operations and planning. Mr. Ross Abbott will continue as Secretary-Treasurer. Tintina has also appointed Mr. Erik Nyland, P. Eng. of Whitehorse, Yukon as Tintina's Vice –President, Yukon operations. Mr. Nyland project-managed the building of the Red Mountain road which was completed in one season under very challenging weather conditions. Mr. Nyland oversaw the road design and has consulted to Tintina for many years.

Mr. Juan Enrique Rassmuss has been appointed Chairman of the Board, and Mr. Juan Rassmuss, the controlling shareholder, has been appointed Chairman Emeritus. Messrs. Rassmuss will continue to provide Tintina's Management Team with strategic direction and support as the Company executes on its plan to permit Tintina's Red Mountain molybdenum project to its next stage of development.

Tintina also welcomes two new directors to its Board. Mr. Ricardo Landeta brings many years of large mine operational experience to Tintina, having served as manager of Codelco's largest Chilean mine. Mr. Brock Bundy, CMA, brings banking and financial services expertise to the Board, having served overseas as a Managing Director at a major Canadian bank as well as managing several private equity investments and publicly held investments on behalf of a Toronto-based merchant bank.

Mr. Robert Spiegel, CEO, stated that "the conditions under which our team built a 48 km road in four short months under very difficult conditions is a tribute to the grit and dedication of so many people from Teslin and the Whitehorse area. This road has been several years in the making and a critical step in our planning. Representatives from the Yukon Government's Department of Energy Mines and Resources as well as Chief Peter Johnston of the Teslin Tlingit First Nation accompanied Management on a fly over of our road and targeted mine site earlier this month, with a view to initiating dialogue regarding next steps for permitting and eventually driving a decline into the heart of our deposit. While there is a lot of work ahead, we are very encouraged by the commitment and dedication we have seen from Yukoners to date".

Notice on forward-looking statements:

This release includes forward-looking statements regarding the Corporation and its business. Such statements are based on Management's current expectations. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and the Corporation undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

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

Contact Information

  • Tintina Mines Limited
    Robert Spiegel

    Tintina Mines Limited
    W. Ross Abbott