Troymet Exploration Corp.
TSX VENTURE : TYE

Troymet Exploration Corp.

September 26, 2011 08:30 ET

Troymet Updates Exploration Programs

COMOX, BRITISH COLUMBIA--(Marketwire - Sept. 26, 2011) - Troymet Exploration Corp. (TSX VENTURE:TYE) ("Troymet" or the "Company") is pleased to update exploration plans and programs on its exploration properties. The Company recently closed a $1,844,850 private placement to fund on-going exploration programs at the Key and Golden Eagle properties in British Columbia.

Key Project

The Company has commenced the Phase II soil sampling program on its 100% owned (8,854 ha) Key project in British Columbia. The Key property is strategically located between and adjacent to the Blackwater gold deposit (New Gold Inc.) and the 3Ts gold-silver deposit (Silver Quest Resources Ltd.).

The Phase II program is targeting:

  • The northeast parts of the property adjacent to the Blackwater gold deposit which was acquired by New Gold Inc. through its recent acquisition of Richfield Ventures Corp.
  • The southwest corner of the property which is adjacent to the 3Ts gold-silver deposit of Silver Quest Resources Ltd.
  • Troymet anticipates collecting approximately 2,600 samples if all target areas are accessible.

Outcrop is sparse and limited to the peaks and ridges. As a consequence, soil geochemistry and geophysics are important exploration tools. As part of the Phase II program, access will be established to a number of drill targets in the area of Tsacha Mt., which were inaccessible during the winter program due to terrain and weather. These, and newly identified targets, will be tested when drilling resumes.

The Phase I program completed in June 2011 targeted the eastern side of the property, along the East Fault, and within and along a prominent aeromagnetic feature that appears to extend as far as the adjacent Blackwater gold deposit.

The 2011 winter reconnaissance drill program, the first ever on the Key property, identified porphyry style mineralization associated with a large magnetic complex in the area of Good News Lake.

Golden Eagle Project

The Company's program for the Golden Eagle project is commencing this week with an induced polarization survey (IP) and a diamond drilling program is planned for October. The 100% owned (8,178 ha) Golden Eagle property lies at the southern end of the Tintina Gold Belt, which contains many intrusion-related gold deposits such as Pogo (Alaska), Fort Knox (Alaska) and Dublin Gulch (Yukon). Exploration by the Company has identified the presence of a large intrusion-related gold system spanning the ~12-kilometre strike length of the northern half of the Golden Eagle property. This gold system is exposed in the granite/rhyolite of the Tannis zone but capped by sediments and mafic volcanics of variable thickness to the north, where multiple zones of gold-silver-arsenic-antimony mineralization occur in the Skarn, West Gully, and other zones. These zones are developed in the roof of the intrusion over an area of approximately 5x5 kilometres and are considered to represent leakage mineralization of a potentially larger mineralized system below and directly related to the underlying intrusive. The current exploration program is focused on the West Gully, Skarn and Tannis targets.

West Gully Target

A 15 km IP survey is underway to identify drill targets for immediate follow-up drilling in October 2011. The West Gully zone is a large (2.5 km²), overburden covered, greenfield gold target with potential for shallow mineralization. The 2009 gold-in-stream sediment sampling program indicates widespread anomalous gold draining from the target area (News Release - December 21, 2009). Hole N0901, the first and only hole drilled on the West Gully zone, intersected 0.11 g/t gold over 86.84 metres in variably sheared, silicified and chlorite-sericite altered felsic intrusive. The hole was shut down in anomalous gold mineralization (0.33 g/t gold over 15.24 metres). The mineralized zone is also anomalous in pathfinder elements: arsenic, lead, antimony, zinc and silver (News Release – February 17, 2010).

Skarn Target

Drilling on the Skarn zone is planned for October 2011 concurrent with the drill program on the West Gully zone. The Skarn zone is a structurally-controlled, gold-bearing, amphibole-sulphide skarn located along the Paddy Fault which tracks the west contact of the Stuhini Group with the Boundary Ranges Metamorphic Suite. The zone is overlain by a moderate to strong gold-in-soil anomaly (5 to 1800 ppb), approximately 500 metres long and 120 metres wide. Chip and channel samples collected from trenches returned 6.4 to 44.7 g/t over widths of 2.0 to 2.4 metres. Gold mineralization occurs as visible gold and associated with pyrite in quartz-calcite stringer veins and quartz-carbonate-sulphide veinlets. Past drilling was limited and shallow. Drill intercepts ranged from 1.28 g/t gold over 6.0 metres to 7.64 g/t gold over 3.45 metres (News Release – June 25, 2009). Significant areas of the zone remain untested

The structure controlling the Skarn zone extends at least another 1.5 km southwards to the Catfish zone. Streams anomalous in gold drain from this 1.5 km length and anomalous gold-in-soils occur locally. This 1.5 km long area has never been drilled, nor has the Catfish zone. Troymet plans to drill test the Skarn zone at depth and along strike of earlier drilling, the Catfish zone, and the intervening 1.5 km long structure to test for high impact intrusive-related gold mineralization.

Tannis Target

The Company plans to drill test the high-grade gold-silver mineralization deeper in the rhyolite/granite host. Drill permits are pending. High-grade gold-silver mineralization is hosted in pyrite and arsenopyrite bearing quartz veins/structures within rhyolitic intrusive, granitic intrusive and to a lesser extent in flanking metavolcanics. The best intersections returned 5.09 metres grading 7.93 g/t Au and 23.8 g/t Ag and 4.3 metres grading 2.05 g/t Au and 43.8 g/t Ag. The presence of granitic intrusive at depth indicates a composite, volatile-rich intrusive system in this locale. The possible roots of the vein system in the larger underlying granitic phase have not been targeted by any previous drill programs and deeper drilling in this area is required.

McClarty Lake Project

The Company anticipates a winter 2012 diamond drilling program on the HudBay joint venture claims as well as on its 100% owned claims. The McClarty Lake property is located near Snow Lake, Manitoba and lies ~45 kilometres south of HudBay's Chisel North and Lalor volcanogenic massive sulphide (VMS) deposits. The property comprises three claims (MAC-1, MAC-2 & MAC-3; 344 hectares) owned 100% by Troymet and two claims owned (DYC3606 & DOL78; 252 hectares) owned 60% by Hudson Bay Exploration & Development Ltd. ("HudBay") and 40% by Troymet (News Release – June 6, 2011).
Troymet is awaiting delivery of the technical data and confirmation of expenditures by HudBay. HudBay's participation in the project lends strong support to management's belief that McClarty Lake is a property of substantial merit with excellent discovery potential for a precious metal rich VMS deposit(s). Troymet identified a gold-bearing VMS system (Discovery zone) on the option claims in 2007.

Drilling by Troymet on its 100% owned claims identified the probable northern extension of the horizon that hosts the Discovery zone (News Release – April 11, 2011). Results of the first-pass reconnaissance drilling program are significant, as they indicate the presence of a +2,000-metre long stratigraphic horizon that carries base metal mineralization in the two locales, where tested. The identification of a productive, base metal mineralized horizon extending through Troymet's 100% owned claims substantially increases the possibility of a significant VMS discovery in this area.

Option Issuance

Troymet has today granted 3.0 million options to purchase common shares of Troymet to directors, officers, and consultants of Troymet in accordance with the Company's stock option plan. All of the options have an exercise price of $0.10 per share. Out of these options, 1.0 million options were issued to a consultant of the Corporation. These options expire two years from the date of grant and vest as to 25% of the options on the date of issuance and 25% on each of the 6, 12 and 18 month anniversaries of the date of grant (such that the options are fully vested 18 months from the date of issuance). The remaining 2.0 million options were issued fully vested to directors and officers of the Corporation with an expiry date of 5 years from the date of issuance.

Troymet has determined that exemptions from the various requirements of the TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 are available for the issuance of the options to the directors and officers of the Corporation (Formal Valuation - Issuer Not Listed on Specified Markets; Minority Approval - Fair Market Value Not More Than 25% of Market Capitalization).

President & CEO, Kieran Downes, P. Geo., a qualified person as defined by National Instrument 43-101, is responsible for and has verified the technical information provided in this release.

TROYMET EXPLORATION CORP.

Kieran Downes, Ph.D., P.Geo., President, CEO & Director

This press release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company's disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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