Happy Creek Completes Exploration for 2011December 21, 2011 - Vancouver, British Columbia - Happy Creek Minerals Ltd. (TSX-V:HPY, the “Company”) announces that 2011 field exploration is complete.
Between February 18th and December 15th, 2011, continuous field exploration by the Company has produced positive results and achieved encouraging milestones. Additional results from seven properties are pending. The Company owns a 100% interest in seven mineral properties located in south central British Columbia (B.C.), Canada. These properties adjoin or are in proximity to mines and excellent resource-based infrastructure and total approximately 541 square kilometres in area.
Company Highlights for 2011
- At the Rateria property in Highland Valley drilling intersects additional positive copper grades in Zone 1 that extend continuous mineralization for a kilometre in length and locates a third new mineralized zone.
- The first ever drilling at the Ridley Creek zone on the Fox property intersects high tungsten grades near surface that confirm and expand previous strong trench results.
- The Company options one of its properties to Newmont Mining Corp. who now adjoin the Silverboss property.
- The Company added two experienced professionals to its Technical Advisory Board.
- In November and December, 2011, the Company completed approximately $2.9 million in financing.
Important results were returned from the Rateria copper property that adjoins the property of Teck’s Highland Valley Copper mine. The Highland Valley mine is Canada’s largest copper producer, currently mining material with an average grade of around 0.26% copper. On the Rateria property, Zone 1 and 2 are copper zones discovered by the Company and located approximately 6.5 kilometres south southeast of Teck’s currently producing Highmont open pits.
Highlights of 2011 drilling within Zone 1 include 95.0 metres of 0.67% copper, 3.62 g/t silver, 100.0 metres of 0.35% copper, 2.2 g/t silver, 250.0 metres of 0.25% copper, and 102.5 metres of 0.43% copper, 2.9 g/t silver. Step out drilling further south has returned 50.0 metres of 0.39% copper and 82.5 metres of 0.26% copper beneath and beyond previous shallow holes. Encouraging copper values beneath previous shallow holes is thought to reflect positively on the ultimate size of Zone 1 and the exploration potential of the property. Since discovery in 2006, approximately 30 drill holes in Zone 1 have defined continuous mineralization for one kilometre in length, up to 150 metres in width and 400 metres in depth. Zone 1 remains open in extent in several directions.
During 2011, 40 drill holes totaling approximately 12,800 metres were completed on the property, with about half focused within or nearby Zone 1. Drilling also tested beyond Zone 1 and identified encouraging geology with samples containing up to 2.5 metres of 3.45% copper, 33.6 g/t silver that is thought to be the extension of Teck’s adjacent Yubet prospect. Several other holes were completed around Zone 2. Previous drill highlights from Zone 2 include 126.0 metres of 0.46% copper, 0.008% molybdenum and 0.10 g/t gold and 113.0 metres of 0.33% copper and 0.05 g/t gold. Other results from Zone 2 include 6.4 metres of 1.65% copper, 0.017% molybdenum, 0.03 g/t gold, 9.4 g/t silver and 5.2 g/t rhenium, and 38.2 metres of 0.11% copper, 0.029% molybdenum 0.03 g/t gold and 2.14 g/t rhenium. Rhenium, with prices ranging from $4,500 to $9,000/kg, is a rare metal that occurs with molybdenum and is used in manufacturing high strength steel. From an exploration perspective, rhenium may indicate the presence of a porphyry copper system.
Other work completed on the Rateria property in 2011 included seven square kilometres of three dimensional induced polarization (3D IP) and magnetic geophysical surveys to the south of Zone 1. These surveys identified multiple new targets within a very favorable geological area that remain untested by drilling. Detailed geological work, deposit modeling of Zone 1, compilation, target ranking of untested prospects and 2012 drilling plans are underway. Additional drilling results from 2011 are pending.
During 2011, the Company performed prospecting, soil, stream sediment and rock sampling on its Silverboss, Hen, Art-DL, Hawk, and Fox properties, located northeast of 100 Mile House, B.C. Drilling was performed on the Fox property.
The 122 square kilometre Fox tungsten-molybdeum property returned strong results from the first ever drilling in the Ridley Creek area. Tungsten prices are currently around $40.00/kg W03 (tungsten trioxide), and 1.0% W03 equates to 10.0 kg W03 per tonne of rock.
Results from drilling include: 1.8 metres of 1.29% W03, 2.2 metres of 2.21 % W03, 4.7 metres of 1.02% W03 and 12.4 metres of 0.74% W03. These drill hole intersections include high grade intervals of 0.5 metres of 8.45% W03, 0.4 metres of 9.60% W03, and 0.65 metres of 8.15% W03. In addition, positive values up to 3.64% zinc, 19.2 g/t indium, 0.16 g/t gold, and 3.2 g/t silver occur within these higher grade intervals. Indium is a rare metal used in electronic components. Preliminary interpretation indicates the tungsten zones occur at or close to surface and are near horizontal in orientation. The area of initial drilling in 2011 represents approximately 10% of the greater than 2 kilometres of positive geology, soil and rock samples in the Ridley Creek area.
Prospecting on the Fox property has continued to locate additional mineralized zones at surface. A grab sample from a one metre wide showing located approximately two kilometres to the south of the drilling returned 3.0 per cent WO3, 0.70 per cent zinc, 6.81 g/t indium, 0.05 g/t gold and 1.41 g/t silver.
High tungsten grades in surface and drill core samples occur with 5 to 10% sulphides (pyrite, pyrrhotite). The 3D IP geophysical survey was designed to detect materials such as sulphides in rock below surface. Upon receiving the high grade drill results in late October, the Company performed a 3D IP geophysical survey covering the area drilled at the Ridley Creek prospect. Results from two drill holes, additional prospecting and the geophysical survey are pending.
The Fox property contains a large tungsten-molybdenum system approximately 10 by 3 kilometres in dimension. The positive drilling results obtained during 2011 have confirmed the high grade surface tungsten mineralization continues and remains open in extent. This is an important milestone for the Company on the Fox property.
The 155 square kilometre Silverboss property adjoins and surrounds the former Boss Mountain molybdenum mine, currently owned by Xstrata Plc. The Boss Mountain molybdenum mine was a relatively large producer with grades averaging around 0.20% molybdenum. Exploration by Happy Creek has identified large scale and positive copper and molybdenum values in soil and rock samples that extend outward from the known deposits and well onto the Silverboss property. The Horse Trail zone has returned numerous rock samples ranging from 0.10 to 1.69% copper, 0.108 to 0.637% molybdenum and 1.03 to 10.0 g/t gold. The Dogtooth and East Breccia zones have returned values of 0.30 to 5.0 g/t gold and up to 53.01 g/t gold, 343.0 g/t silver in grab samples and 9.29 g/t gold, 27.3 g/t silver over 1.17 metres in width. These veins are located within a positive gold in soil geochemical anomaly that is approximately 1.6 by 1.2 kilometres in dimension. The historical Silverboss shaft zone consists of a shear and quartz vein system, 1.0 to 3.0 metres in width that has been traced on surface for 350 metres. Rock sampling of this zone has returned values of 9.25 g/t gold, 514.8 g/t silver over 0.25 metres and 2.52 percent copper, 6.21 g/t gold, 295 g/t silver and 6.76 g/t indium in grab samples. Further north, the Company has also identified a second area where positive copper values occur in soil covering an area approximately 2 kilometres by 1 kilometre in dimension.
On March 25th, 2011, the Company announced that a recent Letter of Intent agreement between Xstrata and a South Korean controlled mining company (NMC Resource Corp) suggests that the former Boss Mountain molybdenum mine will see further exploration and development with a view to confirming and expanding the existing resource. Happy Creek’s Silverboss property comes within 350 metres of an existing open pit.
On July 20th, 2011, the Company announced that Newmont Mining Corp. has optioned the Company’s Eye mineral claim, and through additional acquisitions, Newmont is now a neighbour to the Company’s Silverboss property. The geological potential of this general area is reflected by active exploration performed by several private, junior and senior mining companies including Gold Fields, Newmont and NMC Resource Corp. The Company has completed additional soil geochemical sampling and prospecting beyond previous surveys on the Silverboss property and results are pending.
Other Cariboo Properties
Also during 2011, the Company performed systematic soil geochemical surveys as well as general prospecting and rock sampling on the Hen, Art-DL property and Hawk properties. Results from these surveys are pending.
Happy Creek Minerals is financed to continue exploration during 2012. The Highland Valley properties (copper) and the Fox (tungsten) contain new drilling discoveries with potential to create value for shareholders. The Company is pleased with the results obtained to date during 2011, and is looking forward to continued progress during 2012.
On behalf of the Board of Directors,
“David E Blann”
David E Blann, P.Eng.
David Blann, P.Eng. is a Qualified Person as defined by National Instrument 43-101 and is responsible for the preparation and approval of the technical information disclosed in the news release.
FOR FURTHER INFORMATION PLEASE CONTACT:
David E. Blann, President and CEO
Toll free: 1-877-459-5507
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 or accuracy of this release.
You can view the Next News item:January 12th, 2012, Happy Creek drills 7.3 metres of 0.33% W03 (tungsten trioxide), 2.5 metres of 0.89% W03 and a geophysical survey identifies a strong target on the Fox property, B.C.
You can view the Previous News item:November 28th, 2011, Happy Creek extends Zone 1 to a kilometre with 47.5 metres of 0.42% copper
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