* Historic Silver-Lead Mine Produced "Direct Shipping" High-Grade Ore From 1910 to 1973. * Drilling by Anaconda & Cyprus-Amax Defined High-Grade Strata-Bound Zinc Mineralization at Depth. * May Present Significant Permitting Challenges Due to Proximity to a Wilderness Area.
COEUR D'ALENE, Idaho, July 25, 2007 (PRIME NEWSWIRE) -- Timberline Resources Corporation ("Timberline") (OTCBB:TBLC) today introduced the Santa Rosa Zinc-Lead-Silver Project in Inyo County, California. The 70-claim property was included in Timberline's recent Conglomerate Mesa acquisition because it lies within an agreed-to Area of Interest, but was staked entirely by Timberline and constitutes a completely separate project. Prior exploration at Santa Rosa indicates the potential for a major zinc deposit with significant base and precious metal credits.
The historic Santa Rosa mining district was discovered in 1910 and produced from high-grade silver-lead veins reportedly averaging 11.6 ounces per ton (oz/t) silver and 16.3-percent lead through 1938. Anaconda Copper Company purchased the property in 1947, producing an additional 40,000 tons of "direct shipping" ore until 1973.
In the early-1950s, a 7-hole, 3,000-foot exploration drill program by Anaconda identified a broad zone of strata-controlled sphalerite (zinc) replacement mineralization grading up to 19.8-percent across zones up to 24 feet wide. Using minimum criteria of 2-percent zinc over a 5-foot thickness, vertically-drilled Hole DH-3 intersected 9 separate horizons within its total 510-foot depth, totaling an aggregate of 128.8 feet of mineralization averaging 8.8-percent zinc. The following table lists the 9 intervals and their zinc assays.
Mineralized Intervals from Historic Anaconda Drill Hole DH-3
Interval Length Zinc
(ft) (%)
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A 25.0 4.6
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B 11.0 9.2
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C 5.0 9.8
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D 20.0 2.4
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E 20.0 9.2
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F 24.0 19.8
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G 8.8 9.5
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H 5.0 3.4
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I 10.0 5.6
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Based on the size and grade potential of the property, along with an increase in the zinc price, Cyprus Mining conducted an 11-hole drill program at Santa Rosa in the early-1990s. All 8 of their completed holes intersected multiple intervals of ore-grade mineralization, with four vertical holes confirming the strata-controlled zinc mineralization identified by Anaconda. The following table includes the most significant intervals from those four holes. It should be noted that Hole SR-11 was drilled 1,600 feet east of Holes SR-1 through SR-3 and suggests a potentially substantial volume of strata-bound mineralization at Santa Rosa.
Most Significant Mineralized Intervals from Cyprus Drill Program
Drill Hole From To Length Zinc Lead Copper Silver
(ft) (ft) (ft) (%) (%) (%) (oz/t)
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SR-1 440.0 545.0 105.0 9.87 2.10 0.30 2.61
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SR-2 518.3 552.0 33.7 5.52 0.01 0.01 0.49
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SR-3 450.7 521.7 71.0 1.98 -- 0.02 0.18
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SR-11 1164.0 1225.5 61.5 3.01 3.12 0.08 2.02
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The Cyprus program confirmed the ore grades reported by Anaconda while encountering thicker and more frequent ore-grade intervals and vastly expanding the target area of the property. An IP geophysical survey, also conducted by Cyprus, indicates that only a small portion of potential zinc mineralization has been drill-tested.
Timberline VP of Exploration Paul Dircksen stated, "While we realize that significant permitting hurdles may be encountered because of its location bounded by and adjacent to a Wilderness Area, we believe that the opportunity presented at Santa Rosa is far too compelling to ignore. The strata-bound mineralization, along with the continuity and thickness of economic zinc concentrations, provide opportunity for a world-class discovery."
Next steps at Santa Rosa will include exploration permitting, an additional geophysical survey, geologic mapping, surface drilling, and extensive baseline environmental studies. As announced previously, Timberline has retained Klepfer Mining Services to perform the environmental and permitting services necessary to advance the project.
This press release has been reviewed and approved by Paul Dircksen, a Qualified Person as defined by NI 43-101.
Timberline Resources Corporation is a unique, growth-oriented company that combines positive cash flow from its ownership of Kettle Drilling, Inc. with "blue sky" upside from its mineral exploration division. Timberline common stock is quoted on the OTC Bulletin Board under the symbol "TBLC."
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