KELLOGG, Idaho, Feb. 14, 2005 (PRIMEZONE) -- New Jersey Mining Company (OTCBB:NJMC) announces that an extensive geophysical and geochemical exploration program has been completed at its Silver Strand mine located in the Idaho Panhandle National Forest just east of Coeur d'Alene, Idaho. The Silver Strand mine hosts a known ore shoot with developed reserves and plans are in progress to bring the mine into production. The economics of the Silver Strand ore are about 50% in silver value and 50% in gold value.
Important anomalies were discovered by the program which consisted of five lines totaling 4 km in length straddling the Silver Strand mine. One major anomaly merits quick evaluation by drilling while several other anomalies are being studied.
The purpose of the geophysical program was to detect extensions of the Silver Strand orebody and to possibly find new mineralized zones on the property package. Geology of the Silver Strand mine area includes steeply dipping structures which cut Revett formation, a common quartzite host of orebodies in the Coeur d'Alene Mining District. The Kellogg fault, a major structure which branches off the dominant Osburn fault near Kellogg, passes nearby the Silver Strand. Other features include basalt dikes which have a strong magnetic signature.
Four different geophysical techniques were utilized, measurement of the earth's magnetic field, measurement of fields related to very low frequency radio waves (VLF), measurement of induced polarization of the rock, and measurement of electrical resistivity of the rock. The methods are capable of detecting anomalous conditions to a depth of more than 100 meters. In addition, soil samples were taken at each geophysical station and analyzed for a suite of 35 elements.
Measurement of the earth's magnetic field is particularly useful to locate the basalt dikes which are associated with the Silver Strand silver/gold mineralization. The results did show the location of basalt dikes on the property.
VLF radio signals are transmitted by the U.S. Navy to its submarines. As these waves pass through the skin of the earth, they are distorted by anomalous rock properties. These distortions are measured with extremely accurate instruments. The VLF data generated at the Silver Strand is still being studied, as it is quite complex, but several anomalous areas have been noted.
The induced polarization and electrical resistivity measurements have been examined to discover areas of high resistivity related to quartz and silicification of the rock mass which preceded deposition of the ore minerals. Areas of high induced polarization indicate the presence of metallic sulfides, which could be the ore minerals themselves. One major anomaly located about 350m from the Silver Strand orebody was discovered. Other subsidiary anomalies were also discovered.
The soil data indicates a strong metallic element anomaly which is offset upstream from the Silver Strand orebody and may indicate another ore shoot which has not been discovered.
The next step in the Silver Strand exploration program will be to design a drilling program to drill exploration drillholes into the anomalous rock masses detected by the geophysical program.
Of course, the addition of silver and gold resources to the Silver Strand mine would improve the economics of a mining operation and could lead to the justification of a mineral processing plant at the site.
New Jersey Mining Company is involved in exploring for and developing gold, silver and base metal ore resources in the Coeur d'Alene Mining District of northern Idaho. The Company has a portfolio of mineral properties in the Coeur d'Alene Mining District including the New Jersey mine, the Silver Strand mine, the Golden Chest mine, the CAMP project, the Scotch Thistle project, and the Silver Button project.
This release contains certain forward-looking statements within the meaning of the Federal Securities Laws. Such statements are based on assumptions that the Company believes are reasonable but which are subject to a wide range of uncertainties and business risks. Factors that could cause actual results to differ from those anticipated are discussed in the Company's periodic filings with the Securities and Exchange Commission, including its annual report on Form 10-KSB for the year ended December 31, 2003.
Further information about New Jersey Mining Company can be reviewed on the website of the Securities and Exchange Commission at www.sec.gov or on the company's website at www.newjerseymining.com.