THUNDER BAY, ONTARIO -- (Marketwire) -- 09/14/10 -- MetalCorp Limited ('MetalCorp' or the 'Company') (TSX VENTURE: MTC) is pleased to announce that the Company is moving ahead with plans to re-establish a resource at Gouda Lake gold zone on the Company's Hemlo East property. MetalCorp is also pleased to announce that geophysical and geochemical survey work at the Black Bear property near Red Lake, Ontario, has been completed, and that the Company plans to drill several precious metals targets on the property.
MetalCorp's resource definition program at its 100%-owned Gouda Lake Property near Hemlo, Ontario, is aimed at an identified mineralized zone upon which an in-house resource estimate was calculated in the early 1990's (that resource estimate pre-dated NI 43-101 and, accordingly, is non-compliant with the requirements of NI 43-101; it therefore cannot be relied upon). MetalCorp, in keeping with recent changes in its corporate strategy to include development efforts, has completed an internal review of the Gouda Lake resource which suggests that it may be viable to mine.
In order to move the Gouda Lake project forward, MetalCorp has completed a detailed geophysical survey of the area, and intends to move forward with a drill campaign which is scheduled to start in late September or early October 2010. The intent of the program is to begin the process of bringing the Gouda Lake resource up to current regulatory standards.
'Gouda Lake represents MetalCorp's first potential development project. If we are successful in defining a deposit and confirming or improving on its size and grade as previously estimated, we may be able to move it into production in as little as 18 months from a production decision, based on our current concept', said Chris Dougherty, MetalCorp's President.
The focus of the drill campaign at Gouda Lake will be to develop the data to allow a proper 43-101 compliant resource estimate to be completed. This will be followed by a pre-feasibility study, and with that in hand, MetalCorp would be in a position to make a production decision.
Chris Dougherty sees this as a major development for MetalCorp: 'If the resource is confirmed, this will be a watershed event for the company, and it will allow us to not only develop an economic deposit, but also graduate MetalCorp from an explorer to a producer,' he said.
On the Company's 100%-owned Black Bear gold property, good progress has been made and a drilling campaign is now planned. The property, which lies 20 km Northeast of Red Lake in northwestern Ontario, covers a key part of the East Bay deformation zone in the historic Red Lake gold camp. The East Bay zone hosts three past-producing mines and a number of exciting exploration projects, including the F2 Zone (Phoenix gold project) of Rubicon Minerals Corp., the GAZ Gold zone (East Bay property) of Premier Gold Mines Ltd. and Goldcorp Inc., and the Sidace Lake property of Planet Exploration Inc. and Goldcorp Inc.
'We are very excited about the information returned during the recently- completed work on our Red Lake property. The combined Mag, IP and MMI surveys have provided some excellent indications of potential mineralization, and we are looking forward to drilling at our Black Bear property', said Chris Dougherty.
The Company is moving ahead with planning and logistics to support the drilling, which will begin after freeze-up in December or January.
Finally, MetalCorp wishes to announce further progress in its efforts to change strategic direction from pure exploration to exploration and development. Metalcorp has completed a number of internal operational changes, which include:
-- securing a new office and working facility in Thunder Bay, Ontario, at
659 Maureen Street. The new facility provides MetalCorp with a new
corporate headquarters and a base of operations from which to coordinate
and direct its various projects, and to store and analyze drill core
returned from the field.
-- a change to the corporate logo and identity. The new corporate logo is a
reflection of MetalCorp's changing focus and the represents a
reinvigoration of the Company's efforts. These changes will include a
completely revamped website, scheduled to be unveiled in October. It
will be designed to provide shareholders and the investment community
with a much better interface for keeping up to date with the Company's
efforts, and for keeping in touch with its management team.
'Progress over the last two months has been significant for the Company, both in terms of its corporate infrastructure and in advancing its projects toward the goals of identifying economic deposits and pursuing potential development efforts. It has been a very busy time for MetalCorp, and the next several months will see many exciting developments', summarized Dougherty.
MetalCorp is a mineral exploration company based in Thunder Bay, Ontario, with gold and base metal projects in the Canadian Shield of Northern Ontario, Canada, one of the most prolific mineral districts in the world.
To find out more about MetalCorp visit its website at www.metalcorp.ca.
Except for statements of historical fact contained herein, information in this press release may constitute 'forward-looking information' within the meaning of Canadian securities law. Other than statements of historical fact, all statements are 'Forward-Looking Statements' that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this news release are cautioned not to place undue reliance on these 'Forward-Looking Statements'. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intention or obligation to update publicly any forward-looking information, whether as a result of new information, future events or otherwise. Historical results mentioned in this press release are not 43-101 compliant and should not be relied upon.
Neither 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, accuracy or contents of this news release.
Contacts:
MetalCorp Limited
Chris Dougherty, P.Eng.
President
(807) 683-1731
info@metalcorp.ca
