IMA Signs Drill Contract for the Island Copper Projectadmin
IMA Exploration Inc. has signed a drilling contract with Matrix Diamond Drilling Inc. of British Columbia to complete a minimum 5000m Phase I drill program on the Island Copper project in Port Hardy, BC. Drilling is planned to begin by early October. Phase I drilling will include a minimum of 2500m of drilling on the NW Expo gold and moly zone discovered by Lumina Copper in 2005. This recent discovery has seen limited follow-up and has significant potential as it is open to the north and west. Infill and step-out drilling will also be carried out on the Hushamu NI 43-101 compliant resource to confirm continuity of mineralization and to obtain additional data on the molybdenum grade distribution (molybdenum is not included in the current NI 43-101 resource estimate). Two diamond drill rigs will be used to accelerate the drilling and allow for testing the two targets simultaneously.
The NW Expo drilling will follow up on the considerable gold and molybdenum drill intersections (204m averaging 0.74 g/t gold, 120m of 1.25 g/t gold and 180m of 0.03% Mo(ii)) encountered in 2005 and 2007 drill programs. Drilling on the Hushamu resource area is focused on increasing the copper equivalent grade of the resource as well as, increasing tonnage. At a 0.2% copper cut-off Hushamu is estimated to contain 230.9 million tonnes grading 0.28% Cu and 0.31 g/t Au in the Indicated and Measured categories, containing 2.29 million ounces of gold and 1.425 billion pounds of copper, as well as an inferred resource of 52.8 million tonnes grading 0.28% Cu, 0.38 g/t Au, containing 326 million pounds of copper and 0.64 million ounces of gold. Using long term metal price projections(i) the current copper equivalent grade of the indicated and measured resource is 0.46%; quantifying the molybdenum mineralization known to be present in the resource area could increase the copper equivalent grade significantly.
The phase I drill program is part of the first-year, stage-1, $1.9 million CDN commitment to Western Copper as part of IMA’s 3-stage, 4-year option to earn up to a 70% interest in the Island Copper project. Work can take place year-round at the site and the Company plans to advance stage-1 quickly. Drill permit approval is expected shortly allowing drilling to start in early October.
“We are pleased to have secured two drill rigs to begin the highly anticipated first stage of our option with Western Copper,” stated Joseph Grosso, president and chief executive officer of IMA. “With only being committed to $1.9M, we get a very inexpensive look at this large project to first determine its quality and potential economics for IMA shareholder’s before committing further monies from our large treasury.”
IMA is a Vancouver based exploration company with $24M in its treasury. The acquisition of the Island Copper Project is Phase I of IMA’s business strategy and aligns with the Company’s objective to acquire projects that contain established resources and offer significant opportunities for expansion through continued exploration leading to near-term production decisions. A PowerPoint presentation on the project is available on the Company’s web site (www.imaexploration.com).