Virgin Metals Inc.
TSX : VGM

Virgin Metals Inc.

November 29, 2007 08:35 ET

Virgin Metals Announces Long Intervals of Copper-Molybdenum Mineralization at its Cuatro Hermanos Property

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2007) - Virgin Metals Inc. (TSX:VGM) ("Virgin Metals" or the "Company") presents assay results for an additional eight reverse circulation drill holes at the Company's 100% owned Cuatro Hermanos copper-molybdenum porphyry property located 145 km southeast of Hermosillo in Sonora, northern Mexico. Assay results presented here, for drill holes CHRC05-07 through CHRC12-07 represent part of an on-going 6,000 m drill program for which sixteen holes totaling 4,008.17 meters have been completed.

Highlights from the drill results include:

Hole CHRC06-07, 294.14m of 0.234% Cu; CHRC07-07 306.33m of 0.256% Cu;

CHRC11-07 256.35m of 0.226% Cu; CHRC12-07 253.48m of 020% Cu.

Virgin Metals' President and CEO, Chris Davie, commented, "With assay results now available for a dozen drill holes, we continue to demonstrate that Cuatro Hermanos is a copper-moly porphyry of immense scale. It has a surficial expression of more than 4.5 square kilometers of which only a small portion has been adequately explored and drill tested. The significance of these results lies in the substantial intervals of mineralization intersected, in some cases from surface and most ending in mineralization. Recognizing that many of the drill holes are bottoming in mineralization, we plan to follow up the reverse circulation phase of this exploration campaign with a diamond drill program, targeting substantially greater depths, scheduled to begin during the first quarter of 2008."

The drill holes lie within a 1,200 m long x 600 m wide band of hydrothermal alteration located along the northern and eastern sides of the porphyry system, in areas historically called the Sulfate Zone and the Main Zone, respectively. Virgin Metals believes that mineralization is continuous between the two zones and accordingly the present campaign is aimed at demonstrating this potential continuity, then calculating a resource for the area. Current drilling has targeted depths of up to 300 m, but some holes were stopped short of this depth due to mechanical, water, or geotechnical issues. Assay results for Virgin Metals' drill holes are summarized in Table 1 below:



Table 1. Reverse Circulation Drilling - Cuatro Hermanos Project

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Hole #
Inclina- Total From To Inter- True Cu Mo
tion Depth cept Thick-
ness
(degrees) (m) (m) (m) (m) (m) (%) (%)
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CHRC05-07 -90/Vert. 220.98 86.87 158.50 71.63 71.63 0.155 0.022
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CHRC06-07 -90/Vert. 309.38 15.24 309.38 294.14 294.14 0.234 0.019
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Including 105.16 135.64 30.48 30.48 0.323 0.014
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CHRC07-07 -90/Vert. 306.33 0 306.33 306.33 306.33 0.256 0.018
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Including 242.32 306.33 64.01 64.01 0.314 0.022
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CHRC08-07 -70 156.97 27.43 156.97 129.54 121.72 0.123 0.004
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Including 27.43 57.91 30.48 28.64 0.224 0.004
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CHRC09-07 -70 254.51 28.96 254.51 225.55 225.55 0.163 0.016
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CHRC10-07 -90/Vert. 304.8 22.86 304.80 281.94 281.94 0.176 0.030
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Including 22.86 245.37 222.51 222.51 0.197 0.036
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Including 97.54 124.97 27.43 27.43 0.379 0.041
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CHRC11-07 -70 297.18 24.38 297.18 272.80 256.35 0.226 0.029
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Including 137.16 230.13 92.97 87.36 0.330 0.046
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CHRC12-07 -70 303.28 33.53 303.28 269.75 253.48 0.200 0.010
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Including 204.22 263.66 59.44 55.86 0.302 0.013
-------------------------------------------------------------------------


Vertical hole CHRC05-07, drilled in the Sulfate Zone approximately 270 m northeast of CHRC01-07 (results for which were announced in a September 5th news release) intersected 71.63 m grading 0.155% Cu and 0.022% Mo. The mineralization occurs near the northern margin of the intrusive and is hosted by phyllically and to a lesser extent propylitically altered diorite and quartz diorite, containing pyrite, chalcocite, chalcopyrite, and molybdenite as disseminations and veinlets.

Drilled in the Main Zone approximately 670 m southwest of CHRC01-07, vertical hole CHRC06-07 returned a 309.38 m intercept (starting at a depth of 15.24 m) averaging 0.234% Cu and 0.019% Mo. The hole bottoms in mineralization, cutting an impressive thickness of phyllically-altered quartz diorite containing varying concentrations of pyrite, chalcocite, chalcopyrite, molybdenite, and minor bornite as disseminations and veinlets. Had limitations with the drill rig not prevailed, drilling would have continued to greater depth.

Vertical drill hole CHRC07-07 was completed on the eastern flank of Cerro San Felipe, at a site located approximately 150 m north of CHRC06-07. The hole returned a 306.33 m intercept, across its entire length, which averaged 0.256% Cu and 0.018% Mo. As in the previous drill hole, CHRC07-07 bottoms in mineralization cutting a long interval of phyllically altered quartz diorite containing sulfide minerals as disseminations and veinlets. What is perhaps most intriguing about the hole is that the final 64.01 m (from 242.32 to 306.33 m) returned 0.314% Cu and 0.022% Mo in an interval where patchy, pink potassic feldspar/orthoclase alteration has been logged by Company geologists.

CHRC08-07 was drilled to the north at -70 degrees from a site located approximately 290 m northwest of CHRC06-07, and 250 m west of CHRC07-07. CHRC08-07 was completed at a depth of 156.97 m, cutting variably phyllically altered and propylitized quartz porphyry and diorite. Although the hole stopped short of its target depth of 300 m due to difficult drilling conditions, it returned a modest intercept of 129.54 m (from 27.43 to 156.97 m) grading 0.123% Cu and minor molybdenum. Within this zone a 30.48 m interval (from 27.43 to 57.91), developed in a chalcocite-enriched shear zone, returned 0.224% Cu and similar low Mo grades.

West directed angle hole CHRC09-07 located approximately 360 m northeast of CHRC06-07 was completed at a depth of 254.51 m. Much of the hole intersects phyllically altered quartz diorite containing varying yet significant concentrations of chalcocite, chalcopyrite, and lesser molybdenite as disseminations and veinlets. CHRC09-07 returned a 225.55 m intercept (from 28.95 m to 254.51 m) averaging 0.163% Cu and 0.016% Mo, ending in low grade mineralization.

Vertical drill hole CHRC10-07 was completed at a depth of 304.80 m from a site located 320 m northwest of CHRC09-07. Almost the entire drill hole cuts phyllically altered quartz diorite containing varying quantities of pyrite, chalcocite, chalcopyrite, and molybdenite, as disseminations and veinlets. CHRC10-07 returned a 281.94 m intercept (beginning at a depth of 22.86 m) which averages 0.176% Cu and 0.030% Mo. The hole ended in low grade mineralization, and also contains a 27.43 m higher grade interval (from 97.54 m to 124.97 m) which assayed 0.379% Cu and 0.041% Mo.

CHRC11-07 was drilled to the west at -70 degrees from a site located 175 m northeast of CHRC07-07, and 135 m southwest of CHRC10-07, cutting strongly quartz-sericite-pyrite dominant phyllically altered quartz diorite and minor diorite. CHRC11-07 returned 272.80 m intercept (from 24.38 m to 297.18 m) grading 0.226% Cu and 0.029% Mo. Mineralization is associated with chalcocite, chalcopyrite, molybdenite, and minor bornite which occurs as disseminations and veinlets accompanied with varying amounts of pyrite. Within this intercept, a 92.97 m interval (from 137.16 m to 230.13 m) averaged 0.330% Cu and 0.046% Mo.

Drilled to the west at -70 degrees from a site located approximately 120 m east of CHRC07-07, CHRC12-07 cuts a long interval of phyllically altered quartz diorite containing pyrite, chalcocite, chalcopyrite, and minor molybdenite as disseminations and veinlets. CHRC12-07 returned a 268.75 m intercept (beginning at a depth of 33.53 m) which averages 0.200% Cu and 0.010% Mo. Within this zone a 59.44 m interval (from 204.22 m to 263.66 m) returned 0.302% Cu and 0.013% Mo.

Recently the drill rig was moved to another Cu-Mo porphyry target located 2.5 kilometers west of the Main Zone, in an area known for its high grade molybdenum values and historically called the West Zone. Here an additional four drill holes will be completed while awaiting assay results for holes CHRC13-07 through CHRC16-07 completed in the Main and Sulfate Zones. Present plans call for continued drilling into mid-December followed by a short recess over the holiday season. An induced polarization-resistivity geophysics survey is then scheduled to begin at Cuatro Hermanos in January 2008. This will be followed by an approximately 6,000 m diamond drill program which will allow the Company greater flexibility to target depths unattainable via reverse circulation drilling.

Samples of drill cuttings at Cuatro Hermanos are being collected at 1.52 m (5 ft.) intervals, and reduced in size whenever necessary to (ideally) 3 to 4 kg using a Jones riffle splitter. Plastic sample bags are immediately sealed on-site using pre-numbered security tags. The samples are stored for a short time at the Company's field office near the project, until they can be transported by Company personnel to ALS Chemex's sample preparation facility in Hermosillo. A duplicate pulp and the reject material for all samples are being securely stored for possible future use. All assay work is being carried out at ALS Chemex's ISO 9001-2000 certified laboratory in Vancouver, Canada. Virgin Metals has incorporated quality control measures for the analytical work including the insertion of standards, blanks, and duplicate samples, details for which will be made available in a future news release.

Exploration at the Cuatro Hermanos project is being supervised by the Company's recently appointed Vice President of Exploration: John C. Spurney. Mr. Spurney, a qualified person as defined under the terms of National Instrument 43-101, has reviewed the contents of this press release.

A map showing the location of the drill holes along with other information about the Company and its projects is available at: www.virginmetals.com.

About Virgin Metals

Virgin Metals is a junior exploration and development company; its projects include two copper/molybdenum porphyry properties in Sonora, northern Mexico. One of these, Los Verde, is undergoing a feasibility study and is expected to evolve rapidly towards production while the other, Cuatro Hermanos, is presently the focus of an intense exploration effort.

FORWARD-LOOKING STATEMENTS

This press release includes certain "forward-looking information" within the meaning of the Securities Act (Ontario), including, but not limited to, statements as to timing and extent of exploration programs and the availability of exploration results. As such, forward-looking information addresses future events and conditions and so involves inherent risks and uncertainties, as disclosed under the heading "Risk Factors" and elsewhere in Virgin Metals documents filed from time to time with the Ontario Securities Commission and other regulatory authorities. Actual results could differ significantly from those currently projected as a result of, among those factors, adverse weather, regulatory changes, delays in receiving permits, accidents and delays in completing exploration activities not all of which are in the control of Virgin Metals. The forward-looking information contained herein is Virgin Metal's reasonable estimate today of future events and conditions, but no assurance can be given that such events or conditions will occur.

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