VANCOUVER, B.C., Aug. 6, 2002 (PRIMEZONE) -- Platinum Group Metals Limited (TSX Venture Exchange:PTM) is pleased to announce initial drilling results from the Company's Lac des Iles Platinum-Palladium project, located in the Thunder Bay Mining District of Northwestern Ontario. These drill intercepts are the most significant drill intercepts to date from the Lac des Iles Camp outside of the mine property.
The drill intercepts on the Stinger Zone correlate well with surface mineralization exposed in trenching and indicate a significant zone of PGEs associated with a particular horizon of the layered Towle Lake intrusion. The nature of the mineralization in a specific horizon of a layered intrusion is not known to have been found in the region outside of the mine property previously and significantly improves the potential compared to other styles of mineralization. This intrusion is known to occur for 19km and has excellent potential along its length. The current drilling has tested approximately 200 meters of this potential. PGE mineralization has been found along the Towle Lake Intrusion 6.5km to the southwest, at Powder Hill, and 3.6km to the northeast at Vande however these mineralized zones intersected in previous drill programs are thought to be at different horizons within the Towle Lake Intrusion.
Additional assays are pending for four drill holes which were drilled on other targets outside of the Towle Lake Intrusion. The layered style of mineralization discovered on the Towle Lake Intrusion has potential to also occur in the other intrusions in the area on PTM's properties.
The current exploration program is being funded through a joint venture agreement with Wheaton River Minerals Ltd. (WRM: TSX). In total, 1,290 metres of diamond drilling and 150 metres of trenching have been completed on two properties within PTM's 270 square kilometer property portfolio surrounding the Lac des Iles mine, (Reserves of 159 Million tonnes of 1.55g/t palladium, 7.9 million ounces) Canada's only primary PGE mine.
Initial drill testing of Stinger Zone has returned gold+platinum+palladium (Au+Pt+Pd) intercepts including 4.92g/t over 3.1 meters within a layered series of pyroxenite and hornblende leucogabbro which carries strongly elevated PGE mineralization over widths of up to 25 metres. The results include 19.00 metres grading 1.06g/t Au+Pt+Pd in hole ST02-04. Detailed results from the six holes, drilled into the Stinger Zone, are listed below:
Hole No East North From To Intercept Au Pt Pd Au+Pt+Pd Pd/Pt
(m) (m) (m) (ppb) (ppb)(ppb) (g/t) (ratio)
ST02-01 25E 15N 41.8 66.9 25.1 13 33 98 0.14 2.97
ST02-02 25W 15N 60.9 63.8 2.9 28 54 331 0.41 6.13
ST02-03 11W 44S ** Lost in Fault Above Zone
ST02-04 100E 15N 49.7 68.9 19.2 71 157 827 1.06 5.27
*including 2.6 3.47
ST02-05 100W 15N 56.3 62.8 6.5 68 176 1033 1.28 5.87
*including 1.3 5.48
ST02-06 6E 30S 125.3 138.95 13.65 22 238 1219 1.48 5.12
*including 3.1 4.92
which includes 1.1 6.71
Drill holes ST02-04 and ST02-05 were drilled 75 metres east and 70 metres west respectively, of the discovery trench on the Stinger Zone which returned channel samples including 2.02g/t over 4.60 metres and grab samples grading 7.97g/t PGE plus gold combined from sampling in the fall of 2001. Copper, Nickel and Rhodium (Rh) analysis are pending for the above intercepts and will be released with the other pending drill hole assays from other regional targets drilled in this program. Results from the 2001 sampling returned locally, strongly elevated Rh values (to 130 ppb). The ratio of palladium to platinum in these intersections indicates higher platinum than that typically reported at the mine nearby (8:1 Pd/Pt).
PTM is earning a 60% interest in the Shelby Lake Property from New Claymore Resources and a 60% interest in the Lac des Iles River Property from East West Resource Corporation and Maple Minerals Limited. The Stinger Zone is located on the Shelby Lake Property and the PGE mineralized target horizons within the Towle Lake Intrusion extends on to the Lac des Iles River Property.
Qualified Person and Quality Control and Assurance
PTM Exploration Manager, Mr. Darin Wagner, M.Sc., P.Geo, has acted as the qualified person for the Lac des Iles Project. PTM conducts one of the most rigorous quality control programs in the exploration industry. Drill core is split or sawn with half being retained for future study. The samples collected from the second half of the drill core are sealed on site and transported to the analytical lab by the QP. Blind blanks (one in 20 samples), duplicate samples (one in 20 samples) and certified reference materials (one in 24 samples) are inserted by the company in the sample stream sent to the lab to insure the lab results are contamination free, reproducible and accurate. Accurassay in Thunder Bay Ontario completed the assays for platinum palladium and gold by standard fire assay methods that included an internal quality control program.
About PTM
PTM is a diversified Company with significant properties in both Canadian and South African PGE districts. In addition to its Lac des Iles area project PTM controls the Agnew Lake Intrusion near Sudbury Ontario, Canada where Anglo American Platinum Corporation (JSE:AMS) and Pacific Northwest Capital (TSX:PFN) are carrying out a major exploration program. PTM also controls 100% optioned mineral rights in the Platreef area of the Bushveld Complex of South Africa. The Company has exposure to committed exploration programs now underway; totaling $1.55 M in Canada, funded by partners and the Company is continuing its property acquisition plans in South Africa.
The Company continues to have confidence in the long-term globally competitive mineral investment climate in South Africa. PTM recognizes the important need for and supports empowerment transactions in South Africa in order to provide opportunity to historically disadvantaged people and to provide direct benefits to local communities. The Company had initiated discussions with potential partners prior to its first property acquisition in the country. The Company also believes that innovative and commercial transactions can be structured and that the government of South Africa recognizes the need for and will maintain a globally competitive climate for mining investment.
For further information contact: R. Michael Jones, President Platinum Group Metals Ltd. Tel: (604) 899-5450 Jason Leikam Defero Corporate Communications Inc. Tel: (604) 734-1295 Larry Roth Roth Investor Relations Tel: (732) 792-2200
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this news release, which has been prepared by management. Note to U.S. Investors: Investors are urged to consider closely the disclosure in our Form 20F, File No. 0-30306, available at our office: Suite 800 - 409 Granville Street, Vancouver BC, Canada, V6C 1T2 or from the SEC: 1(800) SEC-0330.