|April 19, 2010|
Seal Lake Re-Evaluation Yields Robust Results
|Playfair Mining Ltd is pleased to provide an update for the ongoing review and compilation of historical data for its wholly controlled and sizeable Seal Lake Copper-Silver Camp. Re-assessment of these data reveals that many of the historical mineralized zones have been significantly understated and undervalued, particularly in light of today's elevated commodity prices and greatly improved infrastructure in the Seal Lake region of central Labrador, Canada.|
This re-examination of historical documents is Playfair's first meaningful step towards understanding the extensively mineralized copper-silver sedimentary basin system at Seal Lake and will be a big part of the foundation of this season's planned drill program. The synclinal basin covers an area measuring about 33km long by nearly 5km wide and includes numerous copper-silver showings scattered along the outcropping sedimentary host rock: grey-green shales of the upper Adeline Island formation.
Past explorationists, working at a time of very low copper prices (est. $0.35 per pound in the 1950's) and with very limited local infrastructure, were obliged to consider only very high grade mineralized zones as potentially economic. Favourable current circumstances provide Playfair the timely opportunity to greatly expand and develop known copper-silver mineralization to include zones which were previously undervalued. As a result, many historical drill intercepts and trench lengths can be expanded significantly by incorporating past underrated copper-silver zones. For example, in 1956 Kennco Explorations Ltd reported a highlight composite rock trench result at the Ellis Prospect as 3.66 metres of 2.58% copper and 84.0 gpt silver, however Playfair's review of the data shows the zone is much more robust at 9.75 metres, grading 1.35% copper and 43.9 gpt silver. The table below illustrates a few additional examples from Ellis of significant mineralization expansion.
A detailed review of the Ellis Prospect, located on the northwest periphery of the Seal Lake Basin, shows that the area has notable mineralization, which was initially indentified in six surface trenches. In 1956, Kennco reported that "Trenching has exposed a mineralized zone 53.95 metres long with an average width of 4.48 metres, 1.64% Cu and 82.29 gpt Ag." Playfair's re-interpretation of the Ellis Prospect records has led to the following updated highlight results, also noted in the adjoining table. Another Ellis Prospect rock trench is reported to have average assays of 1.35% Cu and 43.9 gpt Ag across a width of 9.75 metres. Historical drill hole K10, located directly under this noteworthy trench, is reported to contain an intersection of 11.28 metres grading 0.98% copper and 30.4 gpt silver. Drill hole K12 was located 30.5 metres to the west of K10 and is reported to contain scattered mineralization over 19.92 metres with the best reported intersection of 0.51% Cu and 6.30 gpt Ag over 5.03m. Drill hole K14, located 30.5 metres to the east of K10, had very poor core recovery at only 27% within the 21.34 metre long interval of favourable host rocks. No assay values are reported from this interval. Drill hole K20 was located about 70 m west of K12 and contains a reported interval of 1.66%Cu over 0.91m, with unknown silver grades. Together these four drill holes indicate over 130 metres of continuous strike length of open ended copper and silver mineralization.
Donald G Moore, Playfair's Chairman states, "As we dig deeper into the Seal Lake historical data we are continually impressed by the region's untapped copper-silver potential. The positive re-evaluation of many historical prospects re-enforces Playfair's conviction that the basin hosts sizeable Kupferschiefer style Cu-Ag mineralization. The technical, logistical and economic challenges which hindered our predecessors are less of a factor today. We look forward to the opportunity to drill test a good many priority targets this year."
Comparison of select Ellis Prospect Cu-Ag Zones: Playfair re-assessment vs. Historical
NOTE: Results of the table above are historical in nature. Playfair has no knowledge of sampling and analytical procedures and protocols used. Playfair has not undertaken any independent investigation of these results, but believes them to be a fair representation of property mineralization as the exploration which was completed by Kennco (a Canadian Subsidiary of Kennecott, a major US copper producer) was reputable and the validity of the data can be expected to be reflective of the professional standards of the era. Playfair is not relying on the data but considers the records to provide a conceptual indication of the potential of the copper -- silver occurrences and are relevant to ongoing exploration.
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ON BEHALF OF THE BOARD
"D. Neil Briggs"
D. Neil Briggs
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Forward-Looking Statements: This Playfair Mining Ltd News Release may contain certain "forward-looking" statements and information relating to Playfair which are based on the beliefs of Playfair management, as well as assumptions made by and information currently available to Playfair management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, exploration and development risks, expenditure and financing requirements, title matters, operating hazards, metal prices, political and economic factors, competitive factors, general economic conditions, relationships with vendors and strategic partners, governmental regulation and supervision, seasonality, technological change, industry practices, and one-time events. Should any one or more of these risks or uncertainties materialize or change, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein.