Owner
Post by Franko10 ™ on Mar 20, 2006 8:32:30 GMT -5
El Capitan Final Report & Assay Update; Stage 3 Drilling Progress
07:09 EST Monday, March 20, 2006
SCOTTSDALE, Ariz. (Business Wire) -- El Capitan Precious Metals, Inc. (OTCBB:ECPN):
Stage 1 & 2 Final Report
Chuck Mottley, Company President and CEO, reported: "The final report on the Stage 1 and 2 drilling program is expected as soon as the metallurgists complete their confirming assays. Progress has been good and steady on the complex El Capitan material. Part of the extra time needed is due to the time required for the assayers to come to agreement on the exact version of the assay procedure to be used and to acquire the proper equipment and chemicals for the assayers' research labs. It is imperative that each assayer use the same type of furnace, chemicals and fluxes for the confirmation to be valid.
"There were three procedures under review. All three appeared to produce higher results than the previously mentioned baseline procedure. One of the three procedures has been selected for the assayers to use. This procedure is old and long established, but not often used by commercial labs. This procedure is common in analysis of precious metals as in the use of tin and alkali fusions for analyses.
"Composite Chain of Custody samples have been prepared for distribution to the three research laboratories. The flux and additives provided to each laboratory come from a single source to minimize variables. One of the assayers did not have the same furnace as the others and is in the process of purchasing one.
"All this takes time, but when the work is done, the evaluated and verified results will provide substantiated values for the geologist to use in his calculations."
Stage 3 Drilling Program
Mottley continued: "I am greatly encouraged by the possibility that the Stage 3 drilling project shows that the tonnage of the mineralized resource may be significantly larger than previously reported for Stages 1 & 2. Not only have we not found the boundaries of the resource in any direction we are also drilling more than twice as deep as before."
Dr. Clyde Smith, the Company's consulting geologist, states: "The El Capitan Stage 3 reverse circulation drill program now in progress is planned for a minimum of 12 holes totaling 5000 feet. The 12 holes are located as step-outs of no less than 400 feet from the previously drilled 14 holes of stages 1 and 2. The resource calculation based on these previous 14 holes is approximately 2.0 million ounces of gold equivalent. Because the El Capitan deposit was found to be open in all directions from the stages 1 and 2 drill programs, the Stage 3 holes are located around the perimeter of the previous holes in an attempt to expand or delineate the extent of the resource. As of March 16, seven holes of the Stage 3 program have been completed with an average depth of 386 feet, totaling 2705 feet. Although no assays have yet been received, geologic logging of these holes indicates that the geologic units hosting the mineralized material in stages 1 and 2 appear to exist in portions of the Stage 3 drill holes."
El Capitan Precious Metals, Inc. is an exploration stage company that owns a 40% interest in the El Capitan property located near Capitan, New Mexico as well as a joint venture and 20% ownership of 13 mining claims and other assets known as the C.O.D. mine located near Kingman, Arizona. In addition, the Company owns contractual rights to the Rainbow Valley property consisting of 1660 acres and 100 % of the Weaver mine, both near Phoenix, Arizona.
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. This press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, among others, the results of metallurgical testing, interpretation of drill results, the geology, grade and continuity of mineral deposits, results of initial feasibility, pre-feasibility and feasibility studies and the possibility that future exploration, development or mining results will not be consistent with past results and/or the Company's expectations, discrepancies between different types of testing methods, the ability to mine precious and other minerals on a cost effective basis, the Company's ability to successfully complete contracts for the sale of its iron ore and other products; fluctuations in world market prices for the Company's products; the Company's ability to arrange transportation from its mining properties to ocean ports on satisfactory terms; the Company's ability to obtain or maintain regulatory approvals; the Company's ability to obtain financing for the commencement of mining activities on satisfactory terms; the Company's ability to obtain necessary financing; the Company's ability to enter into and meet all the conditions to close contracts to sell its mining properties that it chooses to list for sale, and other risks and uncertainties described in the Company's filings from time to time with the Securities and Exchange Commission. The Company disclaims any obligation to update its forward-looking statements.
El Capitan Precious Metals, Inc.
Ron Perkins, 480-607-7093
www.elcapitanpmi.com
07:09 EST Monday, March 20, 2006
SCOTTSDALE, Ariz. (Business Wire) -- El Capitan Precious Metals, Inc. (OTCBB:ECPN):
Stage 1 & 2 Final Report
Chuck Mottley, Company President and CEO, reported: "The final report on the Stage 1 and 2 drilling program is expected as soon as the metallurgists complete their confirming assays. Progress has been good and steady on the complex El Capitan material. Part of the extra time needed is due to the time required for the assayers to come to agreement on the exact version of the assay procedure to be used and to acquire the proper equipment and chemicals for the assayers' research labs. It is imperative that each assayer use the same type of furnace, chemicals and fluxes for the confirmation to be valid.
"There were three procedures under review. All three appeared to produce higher results than the previously mentioned baseline procedure. One of the three procedures has been selected for the assayers to use. This procedure is old and long established, but not often used by commercial labs. This procedure is common in analysis of precious metals as in the use of tin and alkali fusions for analyses.
"Composite Chain of Custody samples have been prepared for distribution to the three research laboratories. The flux and additives provided to each laboratory come from a single source to minimize variables. One of the assayers did not have the same furnace as the others and is in the process of purchasing one.
"All this takes time, but when the work is done, the evaluated and verified results will provide substantiated values for the geologist to use in his calculations."
Stage 3 Drilling Program
Mottley continued: "I am greatly encouraged by the possibility that the Stage 3 drilling project shows that the tonnage of the mineralized resource may be significantly larger than previously reported for Stages 1 & 2. Not only have we not found the boundaries of the resource in any direction we are also drilling more than twice as deep as before."
Dr. Clyde Smith, the Company's consulting geologist, states: "The El Capitan Stage 3 reverse circulation drill program now in progress is planned for a minimum of 12 holes totaling 5000 feet. The 12 holes are located as step-outs of no less than 400 feet from the previously drilled 14 holes of stages 1 and 2. The resource calculation based on these previous 14 holes is approximately 2.0 million ounces of gold equivalent. Because the El Capitan deposit was found to be open in all directions from the stages 1 and 2 drill programs, the Stage 3 holes are located around the perimeter of the previous holes in an attempt to expand or delineate the extent of the resource. As of March 16, seven holes of the Stage 3 program have been completed with an average depth of 386 feet, totaling 2705 feet. Although no assays have yet been received, geologic logging of these holes indicates that the geologic units hosting the mineralized material in stages 1 and 2 appear to exist in portions of the Stage 3 drill holes."
El Capitan Precious Metals, Inc. is an exploration stage company that owns a 40% interest in the El Capitan property located near Capitan, New Mexico as well as a joint venture and 20% ownership of 13 mining claims and other assets known as the C.O.D. mine located near Kingman, Arizona. In addition, the Company owns contractual rights to the Rainbow Valley property consisting of 1660 acres and 100 % of the Weaver mine, both near Phoenix, Arizona.
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. This press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, among others, the results of metallurgical testing, interpretation of drill results, the geology, grade and continuity of mineral deposits, results of initial feasibility, pre-feasibility and feasibility studies and the possibility that future exploration, development or mining results will not be consistent with past results and/or the Company's expectations, discrepancies between different types of testing methods, the ability to mine precious and other minerals on a cost effective basis, the Company's ability to successfully complete contracts for the sale of its iron ore and other products; fluctuations in world market prices for the Company's products; the Company's ability to arrange transportation from its mining properties to ocean ports on satisfactory terms; the Company's ability to obtain or maintain regulatory approvals; the Company's ability to obtain financing for the commencement of mining activities on satisfactory terms; the Company's ability to obtain necessary financing; the Company's ability to enter into and meet all the conditions to close contracts to sell its mining properties that it chooses to list for sale, and other risks and uncertainties described in the Company's filings from time to time with the Securities and Exchange Commission. The Company disclaims any obligation to update its forward-looking statements.
El Capitan Precious Metals, Inc.
Ron Perkins, 480-607-7093
www.elcapitanpmi.com
