Creston Intersects 64.85 Metres
Averaging 0.080% Molybdenum, 0.17% Copper and 5.38 gpt
Silver
Additional Drilling to Commence
Creston Moly Corp. ("Creston" or the Company")
(TSX-V:CMS) announces assay results from six exploration and four geotechnical
holes recently completed at its El Creston molybdenum property located in the
state of Sonora, Mexico. In addition, the Company wishes to announce a
nine hole drill program totaling 1,200 metres in length with the purpose of testing areas that can
add resources to the existing measured and indicated categories.
Drill Highlights
Include:
- Hole EC10-116 intersecting 64.85 metres averaging 0.080% molybdenum, 0.17% copper and
5.38 gpt silver;
- Hole EC10-120 intersecting 89.65 metres averaging 0.063% molybdenum in which there is a
12.30 metre section averaging 0.177% Mo, 0.19 %
copper and 3.19 gpt silver;
- Hole EC10-121 intersecting 95.1 metres
averaging 0.053% molybdenum, 0.23% copper and 1.78 gpt
silver.
The holes were part of an exploration and geotechnical drilling program
completed in the late fall of 2010. The Geotechnical holes were drilled
to provide structural data for the proposed open pit. The exploration holes were drilled to:
- Expand the drill resource in selected areas;
- Complete in-fill drilling in areas of limited
drilling or where previous holes could not be used in resource modeling
due to poor recovery or lack of records of quality controls.
"Drill results from the El Creston molybdenum deposit continue to
impress", said Bruce McLeod, President & CEO of Creston.
"These and additional upcoming drill results will be incorporated into the
Feasibility Study, scheduled to be released by mid-2011, and will improve the
confidence of the current Resource Estimate contained in the Preliminary
Economic Assessment, filed on SEDAR on December 21, 2010."
Drill Results
Maps showing the drill hole locations are
available at www.crestonmoly.com or click the link
below to view the map showing the drill hole locations.
http://www.crestonmoly.com/i/pdf/2011-02-01_News_Release.pdf
Drill Holes EC10-116, 120 and 121 were in-fill holes drilled in areas
where previous drill holes could not be used in resource modeling due to poor
recovery or the lack of quality controls. Holes EC10-118, 119 and 122
were drilled to expand the copper rich portion of the main zone.
Geotechnical Hole GT10-13 was drilled to provide structural data relevant to
the southeast corner of the proposed pit while Holes GT10-15 to 17 were drilled to provide geotechnical data for the Red Hill
Area. The results
are summarized below.
Hole
|
Length (metres)
|
Azimuth
|
Dip
|
From (metres)
|
To
(metres)
|
Int (metres)
|
Mo
(%)
|
Mo Oxide
(%)
|
Cu
(%)
|
Ag
(gpt)
|
EC10-116
|
135.00
|
0
|
-90
|
3.05
|
70.15
|
67.10
|
|
0.030
|
|
1.91
|
|
|
|
|
70.15
|
135.0
|
64.85
|
0.080
|
|
0.17
|
5.38
|
|
|
|
Inc
|
115.90
|
128.10
|
12.20
|
0.045
|
|
0.23
|
23.18
|
|
|
|
|
|
|
|
|
|
|
|
EC10-118
|
149.45
|
0
|
-90
|
54.20
|
63.00
|
8.80
|
|
|
0.28
|
3.05
|
|
|
|
|
140.30
|
149.45
|
9.15
|
|
|
0.07
|
1.90
|
|
|
|
|
|
|
|
|
|
|
|
EC10-119
|
131.15
|
0
|
-90
|
51.85
|
106.75
|
54.90
|
|
|
0.08
|
2.03
|
|
|
|
|
106.75
|
131.15
|
24.40
|
|
|
0.16
|
3.49
|
|
|
|
|
|
|
|
|
|
|
|
EC10-120
|
150.65
|
0
|
-90
|
3.05
|
61.00
|
57.95
|
|
0.036
|
|
|
|
|
|
|
61.00
|
150.65
|
89.65
|
0.063
|
|
0.08
|
1.71
|
|
|
|
Inc
|
85.40
|
97.70
|
12.30
|
0.177
|
|
0.19
|
3.19
|
|
|
|
and
|
134.20
|
150.65
|
16.45
|
0.144
|
|
0.08
|
1.51
|
|
|
|
|
|
|
|
|
|
|
|
EC10-121
|
150.00
|
0
|
-90
|
3.05
|
54.90
|
51.85
|
|
0.036
|
|
|
|
|
|
|
54.90
|
150.00
|
95.10
|
0.053
|
|
0.23
|
1.78
|
|
|
|
Inc
|
54.90
|
82.35
|
27.45
|
0.068
|
|
0.32
|
2.66
|
|
|
|
|
|
|
|
|
|
|
|
EC10-122
|
122.00
|
0
|
-90
|
3.05
|
103.80
|
100.75
|
|
0.021
|
|
2.96
|
|
|
|
|
103.80
|
118.95
|
15.15
|
0.029
|
|
0.28
|
15.15
|
|
|
|
|
|
|
|
|
|
|
|
GT10-13
|
172.10
|
128
|
-83
|
65.35
|
86.70
|
21.35
|
0.047
|
|
0.14
|
|
|
|
|
|
|
|
|
|
|
|
|
GT10-15
|
114.35
|
242
|
-83
|
0
|
16.75
|
16.75
|
|
0.044
|
|
|
|
|
|
|
22.85
|
53.35
|
30.50
|
0.032
|
|
|
|
|
|
|
|
16.75
|
50.30
|
33.55
|
|
|
0.06
|
|
|
|
|
|
99.10
|
105.20
|
6.10
|
0.075
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GT10-16
|
135.00
|
88
|
-82
|
48.10
|
72.60
|
24.50
|
0.044
|
|
0.09
|
|
|
|
|
Inc
|
48.10
|
56.35
|
8.25
|
0.086
|
|
0.15
|
|
|
|
|
|
|
|
|
|
|
|
|
GT10-17
|
93.00
|
341
|
-87
|
13.70
|
90.35
|
76.65
|
0.044
|
|
|
|
|
|
|
Inc
|
13.70
|
35.05
|
21.35
|
0.058
|
|
|
|
|
|
|
And
|
65.55
|
90.35
|
24.80
|
0.064
|
|
|
|
The results are consistent to those predicted in the block model for the
Creston Deposit.
2010 Drilling
In 2010, Creston completed four phases of
drilling that resulted in the completion of 45 Exploration and 17 Geotechnical
Holes respectively totaling 7,835 and 3,085 metres on
its El Creston molybdenum deposit. The drilling intersected significant
above cut-off grade mineralization along the south, west and northern
boundaries of the Main Zone resource outline. In addition, drilling on
the Red Hill Zone has encountered significant near surface molybdenum and/or
copper mineralization that could potentially be mined as part of a larger open
pit that would include both the El Creston Main and Red Hill Zones.
Sampling and QA/QC
All of the samples collected were delivered by
Company personnel to ALS-Chemex's prep lab in
Hermosillo, Mexico where they were logged into the computer tracking system,
crushed, split and a pulp sample prepared. The pulp sample was sent to
ALS Chemex's laboratory in Vancouver, B.C for
analysis by Inductively Coupled Plasma. ALS-Chemex
is an ISO/17025 accredited laboratory. ALS-Chemex
monitors quality control through the introduction of blanks, standards and
duplicate sampling. In addition, Creston personnel routinely insert
blanks and standards into the sample stream. Dave Visagie,
P. Geo., a Qualified Person as defined by NI 43-101 is responsible for the
technical information contained in this release.
MINERAL RESOURCE ESTIMATES
In October 2010, an updated resource estimate was completed by SRK with
Gilles Arseneau, P. Geo. acting as the Independent
Qualified Person under NI 43-101. Subsequently, JDS Energy and Mining
Inc. undertook a conceptual optimized pit Resource calculation as detailed
below. Mike Makarenko, P. Eng., of JDS is
the Independent Qualified Person responsible for the calculations.
2010 Conceptual
Pit Resources(JDS)
|
|
|
|
|
|
0.036% Mo eq cut-off
|
Tonnes
|
Mo (%)
|
Cu (%)
|
Mo-Eq
(%)
|
Mo Lbs
Millions
|
Cu Lbs
Millions
|
Measured
|
56,325,346
|
0.074
|
0.058
|
0.082
|
91.3
|
71.6
|
Indicated
|
159,101,604
|
0.07
|
0.06
|
0.078
|
244.2
|
208.9
|
Mea + Ind
|
215,426,950
|
0.071
|
0.059
|
0.079
|
335.5
|
280.5
|
The stripping ratio in this conceptual pit is
estimated to be 0.96:1. This includes an allowance for an additional 5%
waste in lieu of design ramps, plus approximately 4.4% inferred material also
considered waste for this exercise.
The results of the above drill results will be
incorporated into the data base along with those from previously released drill
holes EC10-104 and EC10-107 to 115 and an updated resource estimate completed
at a later date. In addition the results from holes GT10-10 to 12, 14 and
EC10-117, 123 to 125 currently being assayed will be incorporated.
Proposed 2011 Drill Program
An initial nine hole drill program totaling
1,200 metres in length has been proposed that will test the Main Zone along the
west, north and east boundaries with the purpose of re-classifying those
inferred resources to a measured or indicated status so that they may be
included in the feasibility study scheduled to be released mid year. The
drill program is expected to commence shortly.
On Behalf of the Board of
Directors
CRESTON MOLY CORP.
Per: D. Bruce McLeod
D. Bruce McLeod, President
& CEO
For further information,
please contact:
Mr. Bruce McLeod, President & CEO
Or Investor Relations, Chris Curran at 604-687-7545 (TEL) or
(888)338-2200 (TOLL FREE)
Or Ken MacDonald at 604-694-0005 (TEL)
Website: www.crestonmoly.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.
Forward-Looking Statements
This document may contain "forward-looking statements" within
the meaning of Canadian securities legislation and the United States Private
Securities Litigation Reform Act of 1995. These forward-looking statements are
made as of the date of this document and Creston does not intend, and does not
assume any obligation, to update these forward-looking statements.
Forward-looking statements relate to future events or future performance
and reflect Creston management's expectations or beliefs regarding future events
and include, but are not limited to, statements with respect to the estimation
of mineral reserves and resources, the realization of mineral reserve
estimates, the timing and amount of estimated future production, costs of
production, capital expenditures, success of mining operations, environmental
risks, unanticipated reclamation expenses, title disputes or claims and
limitations on insurance coverage. In certain cases, forward-looking statements
can be identified by the use of words such as "plans",
"expects" or "does not expect", "is expected",
"budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such
words and phrases or statements that certain actions, events or results
"may", "could", "would", "might" or
"will be taken", "occur" or "be achieved" or the
negative of these terms or comparable terminology. By their very nature
forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements
of Creston to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements. Such
factors include, among others, risks related to actual results of current
exploration activities; changes in project parameters as plans continue to be
refined; future prices of resources; possible variations in ore reserves, grade
or recovery rates; accidents, labour disputes and other risks of the mining
industry; delays in obtaining governmental approvals or financing or in the
completion of development or construction activities; as well as those factors
detailed from time to time in Creston's interim and annual financial statements
and management's discussion and analysis of those statements, all of which are
filed and available for review on SEDAR at www.sedar.com. Although Creston has
attempted to identify important factors that could cause actual actions, events
or results to differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events or results
not to be as anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such
statements.
Accordingly, readers should not place undue reliance on forward-looking
statements.