PRELIMINARY YEAR END FINANCIAL RESULTSStarfield drills 25,023 m on Nunavut in 2006
Starfield Resources Inc (C:SRU)
Shares Issued 259,242,701
Last Close 5/9/2007 $0.60
Thursday May 10 2007 - News Release
Mr. Andre Douchane reports
STARFIELD RESOURCES RELEASES PRELIMINARY YEAR END FINANCIAL RESULTS
Starfield Resources Inc. has provided preliminary financial results for the fourth quarter and fiscal year ended Feb. 28, 2007.
Highlights:
drilling on Nunavut property totalled 25,023 metres;
discovered large mineral deposit; National Instrument 43-101 report in progress;
Norman Betts named chairman of board of directors;
Andre Douchane appointed president and chief executive officer;
David R. Lewis appointed as chief financial officer;
ended fiscal year with $506,000 cash position;
subsequent to fiscal year-end, closed $15.1-million (gross) private placement; and
subsequent to fiscal year-end, graduated to Toronto Stock Exchange from TSX Venture Exchange.
"For Starfield Resources, fiscal 2007 was a year of transition and tremendous progress, both in corporate development and exploration results," said Mr. Douchane, president and CEO of Starfield.
Mr. Douchane, who was named to his current position in February, 2007, noted that during fiscal 2007 the company appointed Mr. Betts as chairman of the board of directors and Mr. Lewis as chief financial officer.
"These senior-level appointments provide Starfield with the resources needed to advance into production," said Mr. Douchane.
He also noted that Starfield's graduation from the TSX Venture Exchange to the TSX main board, which occurred in April, 2007, provides the company with a ready means to access development capital and increases recognition among institutional investors and portfolio managers who oversee funds that invest in mining companies.
"This will be important in the future because Starfield has discovered a very large mineral deposit on our Ferguson Lake property in Nunavut," said Mr. Douchane. "That brings the company to the end of its primary exploration phase and now moves into the development phase, which requires us to value and define the deposit."
During fiscal 2007 Starfield diamond drilled 116 resource delineation holes and 20 geotechnical holes totalling 25,023 metres. That brought the total to 359 holes drilled by Starfield to date at Ferguson Lake, a 1.3-million-acre property fully held by the company.
Exploration during fiscal 2007 resulted in Starfield submitting 5,400 one-metre core samples for analysis and assay. "The high quantity of samples sent for assay is a direct result of the infill drilling at closer spacing of known mineralized lenses in the west zone," said Mr. Douchane. "These results will be compiled and integrated with previous drill results to form an updated property-wide mineralization." Upon completion of detailed in-house modelling, the data will be audited and used to generate a new resource estimate by independent consultants.
Starfield has commissioned an independent NI 43-101 report scheduled for completion before the end of May. The report will form the basis for a scoping study to be completed by December, 2007.
Starfield released preliminary, unaudited fiscal year-end financial data. During the year, the company spent approximately $16-million on its Ferguson Lake property bringing its total investment to date to over $63-million.
At fiscal year-end, the company's cash totalled $506,000.
Subsequent to fiscal year-end, on March 27, 2007, the company completed a private placement of 31 million units and 27 million flow-through common shares for total gross proceeds of $15.1-million. Units consisted of one common share and one-half of one transferable common share purchase warrant. Net proceeds totalled approximately $13.5-million, and after paying approximately $2.5-million in year-end obligations, Starfield had approximately $11.0-million remaining.
"The private placement provides Starfield with sufficient working capital to continue advancing the Ferguson Lake project during the current fiscal year," said Mr. Lewis. He also noted the financing enables the company to complete its commitment to spend approximately $200,000 with SGS Lakefield Research Ltd., a world-renowned engineering and test facility until Dec. 31, 2007.
The agreement requires Starfield to partner and assist with the advancement of the testwork at Ferguson Lake and McGill University that is being overseen by Dr. Bryn Harris, an independent consultant.
Conference call and webcast
Management will hold a conference call and live audio webcast on Thursday, May 10, 2007, at 2 p.m. (EDT) to discuss preliminary financial results for the fiscal year ended Feb. 28, 2007, and to provide an overview of its objectives and priorities for the Ferguson Lake property in fiscal 2008. Analysts and institutional investors may participate by dialling 416-915-5873 or 1-866-250-4665. News media and others are invited to monitor the call in listen-only mode by dialling either of the above numbers.
) 2007 Canjex Publishing Ltd.