Argonaut Resources Commences 2008 Exploration Program at Terrace BC
Tuesday, August 5th 2008
CNR Capital Corporation is pleased to announce, through its wholly owned subsidiary, Argonaut Resources Inc. (“Argonaut”), the commencement of the 2008 summer field program on its 100% owned, 177 square kilometre or 17,738 hectare, Terrace Properties (the “Property”) which includes the Bornite Range and Fiddler Creek properties in northwestern British Columbia. The field work will include approximately 1500 metres of diamond drilling, 125 line-kilometres of airborne electromagnetic and magnetic geophysical surveys, 15 line-kilometres of induced polarization (IP) geophysics and local geological mapping.
Diamond drilling during 2008 will target the high priority M&K, Zona May, Pass and Golconda copper, silver (+/-gold-lead-zinc) showings.
Exploration by Argonaut during 2007 defined a 150 x 150 metre, greater than 200 parts per million (ppm) copper in soil anomaly at the M&K Showing where a series of historic trenches expose polymetallic massive sulphide mineralization. Historical high-graded production from 1914 to 1921 at the M&K included 233 tons of ore which returned 4,663 ounces of silver, 92,740 pounds of copper and 75,275 pounds of lead.
The Zona May Showing consists of a 0.5 to 1.1 metre wide, quartz vein complex exposed over a 915 metre strike length. The vein is flanked by an envelope of altered and brecciated wallrock between 0.5 and 10 metres in width. A 0.90 metre chip sample across the vein collected by Argonaut in 2004 returned assays of 61 grams per ton (g/t) gold (1.80 ounces per ton gold), 485 g/t silver, 0.26% copper, 4.98% lead and 3.14% zinc. At the Pass Showing, quartz-carbonate altered volcanic gossan is exposed over a 200 x 50 metre area. Chip sampling during 1989 by Mr. Ray Cook, President and CEO of Argonaut, returned 87 g/t silver, 4.2% copper and 4.3% lead over a 2 metre interval. At the Golconda Showing a 0.40 metre wide volcanic hosted shear zone is exposed over a 70 metre strike length. A 0.40 metre wide aplite dyke exposed in the footwall of the shear zone contains semi-massive bornite mineralization. A 2006 grab sample from the dyke returned assays of 8.67 g/t gold, 477 g/t silver and 13.9% copper.
The Terrace Properties host approximately 37 documented precious and base metal showings that include or adjoin 5 small past producing mines. Historical work in the Terrace area began in the late 1800′s with the development of silver and copper bearing quartz veins. Silver and copper +/- gold mineralization is widespread on the Property and typically occurs as quartz vein, shear hosted, stratabound, disseminated and replacement styles within intrusive rocks and associated volcanics. The principle focus of exploration within the Terrace Property is to discover silver and copper +/- gold bearing quartz vein, copper-gold Porphyry, Volcanic-Hosted Massive Sulphide, and Epithermal deposits.
The regional geology of the Terrace area includes island-arc assemblages and associated intrusions of the Mesozoic Stikine Terrane to the east and intrusions and metamorphic rocks of the Cenozoic Coast Plutonic Complex to the west. The Bornite Range Property is underlain by the Lower Jurassic Kleanza Pluton. The pluton intrudes, and is co-magmatic with, the Telkwa Formation, an andesite-dacite submarine to subaerial volcanic succession. A number of felsic accumulations occur within the Property and indicate proximity to eruptive centres. The upper levels of the pluton and Telkwa volcanics are extensively exposed on the Property and present a favorable environment for mineralization. The spatial distribution of mineral occurrences within the Property strongly suggests the Kleanza Pluton plays a key role in their formation.
The 2008 exploration program will be serviced from the cities of Terrace and Smithers located in northwestern British Columbia. Terrace is a modern community of 20,000 residents and is the major transportation centre for highway, rail and air traffic throughout northwestern British Columbia. The Company’s Bornite Range and Fiddler Creek properties are located twenty kilometres and 30 kilometres respectively northeast of Terrace each with good logistics. The main Bornite Range property is bordered to the west by the Yellowhead highway, CN railroad and major power lines with forest service plus logging roads accessing all of the property valleys.
CNR Capital Corporation has 16,744,575 shares issued and outstanding, is well funded, has experienced management and is pleased to commence exploration on the Terrace Properties.
