TORONTO, ONTARIO--(Marketwired - May 13, 2015) - Darnley Bay Resources Ltd. (TSX VENTURE:DBL) announces that a 1,500- to 2,500-metre, 10 drill hole program operated by Eastmain Resources Inc. (TSX:ER) is underway to test approximately 10 very highly prospective VTEM geophysical targets coinciding with the Crete-du-Coq ultramafic intrusion. This ultramafic intrusion is located within Eastmain's Lac Lessard Project in the region of James Bay, Quebec, approximately 10 kms east of the newly constructed Route 167 North, infrastructure built as part of the provincial governments Quebec Nord initiative.
Highlights
- Drill-testing 10 highly conductive VTEM geophysical targets
- Surface sampling confirms anomalous Ni-Cu-PGM's within highly prospective host
- Excellent infrastructure - close proximity to Route 167 North and Eastmain Mine camp
- Project funded by DBL - $2.5 M to earn 50% over four years
In November 2014, Eastmain granted Darnley Bay Resources ("DBL") the right to earn a 50% interest in the Lac Lessard Project in exchange for $2.5M in work expenditures, cash payments of $200,000 and 1.6 M DBL common shares. The first year work commitment includes $500,000 in work expenditures and cash payments of $50,000, with the project to be managed by Eastmain. The transaction has been approved by the Toronto Stock Exchange and the TSX Venture Exchange.
In December 2013, Aeroquest completed an airborne geophysical survey (613 line-kilometres of VTEM and Magnetics) covering the Crete-du-Coq ultramafic intrusion on Eastmain's behalf. A number of isolated VTEM anomalies (electromagnetic conductors) were detected from the survey, including anomalies with very high conductivities, interpreted to represent potential disseminated to massive sulphide sources, possibly representing nickel-copper-PGM (Platinum Group Metal) mineralization.
Prospecting and geological mapping/targeting was completed by Eastmain during the 2014 field campaign, confirming the property was underlain by the Crete-du-Coq ultramafic intrusion. The program also confirmed that there was potential for nickel-copper-PGM mineralization as 86 of 235 rock samples returned elevated values of these metals (News Release Oct 1, 2014).
A follow-up drill program is underway to test these prospective targets as the next stage of exploration.
Darnley Bay continues to own its large gravity and magnetic anomaly located at Paulatuk, N.W.T. Unfortunately, difficult financial markets for the mining industry have not permitted the Company to raise additional funds to explore this property and so the program has reluctantly been put on hold. It is anticipated that when markets improve, work will recommence on this highly prospective target.
Darnley Bay continues to review additional mineral prospects across Canada.
Darnley Bay further announces that the board has approved incentive stock options under its Incentive Stock Option Plan to its directors and officers, entitling them to purchase up to a total of 900,000 shares at a price of $0.075 per share for a period of five years.
Stephen Reford, P.Eng., Chief Technical Officer of DBL, Qualified Persons under National Instrument 43-101, reviewed and approved the technical data presented in this press release.
Forward-Looking Information
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Darnley Bay expects are forward-looking statements. Although Darnley Bay believes the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. There are certain factors that could cause actual results to differ materially from those in forward-looking statements. These include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Darnley Bay, investors should review registered filings at www.sedar.com.
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 release.