Toronto, Ontario �Linear Metals Corporation (TSX-V: LRM) enters 2008 with great anticipation and
confidence following exploration success at two significant
copper-molybdenum discoveries in 2007. Linear believes that the
Cobre Grande and KM61 Discoveries each have an excellent chance of being
developed into significant copper and molybdenum deposits and has planned
aggressive work programs to advance the properties during
2008. Highlights of the properties and overall 2008 plans and
objectives to be accomplished within a $10 million exploration budget
include:
Cobre
Grande Discovery - Oaxaca, Mexico
- copper-molybdenum-zinc-silver
mineralization confirmed over a strike length of 1.1 kilometres
- open for expansion along
strike
- 2007 drill results
included:
- Hole
CG40B returned 96.3 metres of 1.76% copper, 0.070% molybdenum, 0.55%
zinc and 59.8 grams per tonne silver; and
- Hole
CG41 returned 105.5 metres of 1.01% copper, 0.033% molybdenum and
12.1 grams per tonne silver
- Favorable location and
infrastructure
- Excellent additional
exploration potential
2008 Plans and
Objectives:
- completion of 43-101
compliant resource estimate by April 2008
- initiation of scoping study
with expected completion in Q4
- metallurgical and
environmental baseline studies
- 6,000 metre exploration
program to test highly prospective targets
KM61
Discovery � Ontario, Canada
- molybdenum-copper-silver
mineralization confirmed over a strike length of 1.1 kilometres
- open for expansion along
strike, width and depth
- 2007 drill results
included:
- Hole
K-07-16 returned 86.3 metres of 0.075% molybdenum, 0.13% copper, and
3.3 grams per tonne silver; and
- Hole
K-07-17 returned 56.9 metres of 0.148% molybdenum, 0.08% copper
and 1.8 grams per tonne silver
- Favorable location and
infrastructure
- Excellent additional
exploration potential
2008 Plans and
Objectives:
- completion of 43-101
compliant resource estimate in Q3/Q4
- initiation of scoping study
- metallurgical and
environmental baseline studies
- 25,000 metre delineation
and exploration program
- test highly prospective SW
Zone with potential to double the size of the discovery.
Linear Metals�
President, Brian MacEachen, comments �2008 will be a break-out year for
Linear Metals with the completion of multiple milestones for each of the
Cobre Grande and KM61 projects. We have the resources and the team in
place to deliver on our aggressive but achievable objectives for both
projects during 2008 and we have designed drill and work programs that will
see both properties systematically advanced. We look forward to reporting
on the results of these drill programs and our overall progress throughout
2008.�
A summary of the
Cobre Grande and KM61 projects and additional details on Linear�s 2008
programs and plans are included below. Detailed descriptions of both
properties are available on the Company�s website www.linearmetals.com.
The Cobre Grande
Project, located 60 kilometres east of Oaxaca City, Mexico, is Linear�s
most advanced project. The project hosts a skarn system with
copper-moly-zinc-silver mineralization confirmed by drill results over a
strike length of 1,100 metres, at widths varying between 50 to 200
metres, along the combined strike of the North and South Zones. The
mineralized elongate skarn follows the eastern flank of a porphyry dike
swarm and shows consistent zoning in all sections across the skarn. Given
the outstanding results of 2007, Linear has decided to fast track Cobre
Grande towards scoping and feasibility and has set the following plans and
objectives for 2008:
Completion of a
43-101 Resource Estimate:
Delineation
drilling over the 1,100 metres of combined strike along the trend of the
North and South Zones is complete along with an additional 300 metres for
which results are pending (on 17 drill holes) and work on a 43-101
compliant resource estimate will begin as soon as all assays are received.
The report, to be prepared by Scott Wilson Roscoe Postle Associates Inc.,
is expected to be completed by the end of April.
Detailed
Metallurgical Testing:
Metallurgical
testing on 5 sulfide samples and 20 oxide samples has been initiated with
results expected by the end of the first quarter. These will
determine the extent and nature of a second round of more detailed tests to
be completed by year end.
Initiation of
Baseline Environmental Studies:
Fauna, flora,
water quality, and air quality baseline data will be collected by Mexican
environmental consults over the course of 2008. The data will provide
the foundation for anticipated detailed environmental assessment work in
2009.
Completion of a Positive
Scoping Study:
Data from the
43-101 resource estimate and initial metallurgical tests will be
incorporated into a scoping study to be completed as rapidly as practical,
but no later than the end of 2008.
Exploration
Success Leading to a New Discovery:
Cobre Grande has
excellent untested exploration potential and Linear is confident the
current 6,000 metre drill program will result in one or more new
discoveries in the first half of 2008. Prime targets include:
- the
North Zone extension beyond the currently identified area of
mineralization;
- the
Northwest Skarn Zone which has produced a strong geochemical anomaly and
ore grade assays such as one road cut which returned 16 metres of 0.35%
copper, 2.41% zinc, and 19 grams per tonne silver;
-
IP targets from the 2007 IP program where all 18 E-W IP lines, spaced 200
metres apart, encountered strong IP anomalies, most of which have never
been drill tested.
The KM61 Project,
attractively located along an all weather gravel road 60 kilometres east of
Armstrong, Ontario and only 11 kilometres north of the main CN rail line,
hosts a molybdenum-copper-silver porphyry. As a result of the
excellent project location and infrastructure, few challenges are anticipated
for any future development of KM61. Drilling during 2007 increased the
strike of molybdenum-copper mineralization to 1,100 metres over a width of
up to 350 metres and extending to at least 250 metres depth. The
mineralization at KM61 appears to be similar in age and grade to Moly
Mines� Spinifex Ridge deposit which is reported to host a measured and
indicated resource of 469.8 million tonnes grading 0.058% molybdenum, 0.09%
copper and 1.7 grams per tonne silver. The 2008 objectives for the KM61 program
include:
Delineate Deposit
and Complete a 43-101 Resource Study:
Two drills have
recently began work on a 25,000 metre program with one drill dedicated to
delineation of the Main Zone of molybdenum-copper mineralization, currently
extending over 1,100 metres in strike length. At the conclusion of the
drill program, or earlier if justified by results, Linear will contract out
a 43-101 compliant resource estimate. The most probable timing for
completion of the resource study is the end of the third quarter.
Exploration
Success Leading to a New Discovery in SW Zone:
A recently
completed IP survey, and follow-up trenching, has identified a second
stockwork zone, now termed the SW Zone. This zone starts just 100
metres to the southwest of the Main Zone, and based on the IP data appears
to continue for at least 900 metres along strike widths comparable to the
Main Zone. If confirmed by drilling, the SW Zone could double the
potential size of KM61.
Initiate
Metallurgical Testing:
Initial samples of
characteristic mineralization will be collected for metallurgical testing during
the first quarter. Results will be available for consideration in the
resource study.
Property-wide
Exploration:
The KM61 property
covers the drainage basins of several lakes with strongly anomalous
molybdenum in lake-bottom silt samples. Some of the anomalies cannot
be linked back to either the Main or SW Zones indicating additional
alteration-mineralization zones are present on the claim block. As soon as
possible an airborne survey will be commissioned, to be followed by
prospecting, mapping, soil sampling, ground geophysics, and drilling of any
identified targets.
Initiation of
Baseline Environmental Studies:
Flora, fauna and
water quality baseline data will be collected by an environmental
consulting firm commencing in the spring/summer of 2008. The data will
provide the foundation for anticipated detailed environmental assessment
work in 2009.
Linear also has a pipeline of earlier stage base metal
projects in Mexico and Canada. While the Company�s primary focus will
be on advancing the Cobre Grande and KM61 projects, the Company will
continue to manage its pipeline of projects by systematically advancing
properties to determine their relative merit and where appropriate, drill
testing selected targets. At present, only the Ecatepec Project in Oaxaca
is scheduled for drilling in 2008. This copper-zinc-silver skarn
prospect was optioned from the community of Santa Maria de Ecatepec during
2007 and will see a 1,000 metre reverse circulation drill program in the
first half of 2008. The Company will consider additional drilling,
subject to favorable results from the initial program.
Linear has filed a
listing application with the TSX and anticipates graduation to the Toronto
Stock Exchange early in 2008.
This press release
was prepared under the supervision of Linear Metals� Vice President of
Exploration, Dr. Robert Page, P. Geo., who is a Qualified Person as defined
under National Instrument 43-101. Dr. Page has reviewed the scientific and
technical information in this press release.
For further
details on Linear Metals Corporation and its Cobre Grande Project, please
visit the Company's website at www.linearmetals.com
or contact investor relations at (416) 216-4708 or within North America
toll free at [1-866-376-7683].
Brian MacEachen, President
The TSX Venture Exchange has not reviewed and does not
accept responsibility for the adequacy or accuracy of this 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,
continuity of mineralization, exploration drilling, exploitation activities
and events or developments that the Company expects are forward-looking
statements. Although the Company believes that the expectations expressed
in such forward-looking statements are based on reasonable assumptions,
such statements are not guarantees of future performance and actual results
or developments may differ materially form those in the forward-looking
statements. The likelihood of future mining at Cobre Grande and KM61 is
subject to a large number of risks and will require achievement of a number
of technical, economic and legal objectives, including obtaining necessary
mining and construction permits, completion of pre-feasibility and final
feasibility studies, preparation of all necessary engineering for pits and
processing facilities as well as receipt of significant additional
financing to fund these objectives, as well as funding mine construction.
Such funding may not be available to the Company on acceptable terms or on
any terms at all. There is no known ore at Cobre Grande and KM61 and there
is no assurance that the mineralization at Cobre Grande and KM61 will ever
be classified as ore. For more information on the Company and the risk
factors inherent in its business, investors should review the Company's
Annual Information Form at www.sedar.com.
|