Izok Corridor drilling extends mineralisation at Hood

MELBOURNE, Sept. 13, 2012 /CNW/ – A ten-hole diamond drilling program
recently completed at the Hood 10 deposit, located 50 kilometres north
of the Izok deposit at Nunavut, Canada, has extended known
mineralisation by 175 metres to a depth of 400 metres.

The drilling results significantly increase the potential of the deposit
to add value to the Izok Corridor Project.

The Hood 10 prospect is a polymetallic volcanic hosted massive sulphide
deposit consisting of two steeply dipping, northerly plunging lenses.
Hood 10 is one of 3 deposits identified to date at the Hood Prospect,
which was first drilled by other companies intermittently between 1974
and 1993, when copper and zinc mineralisation was delineated over a
strike length of 250 metres and to a depth of 220 metres.

A total of ten diamond drill holes were drilled into Hood 10 in the 2012
season to test for down dip and strike extensions of the known
mineralisation. Eight of the ten holes intersected high grade copper
mineralisation with the most significant intervals listed below (all
intervals are true widths of mineralised zones):

    H10-12-035:  9.5m @ 2.3% Cu, 3.9% Zn, and 34g/t Ag from 274m

    H10-12-036:  5.7m @ 12% Cu, 1.9% Zn and 53g/t Ag from 366m

    H10-12-037:  24m @ 11% Cu, 1.1% Zn and 43g/t Ag from 345m

    H10-12-038:  3.8m @ 6% Cu, 0.4% Zn and 19g/t Ag from 393m

    H10-12-040:  3m @ 6.9% Cu, 1.9% Zn and 43g/t Ag from 375m and
                 6.6m @ 2.4% Cu, 0.9% Zn, and 24g/t Ag from 416m

The results show good continuity of high grade massive sulphide
mineralisation in the central portion of the Hood 10 deposit, over 100
metres in strike length and to a depth of 400 metres. Two holes drilled
at the northern end of the deposit did not intersect significant
mineralisation.

“These are exciting results”, said Mr Steve Ryan, Executive General
Manager – Exploration. “When considered alongside last year’s discovery
of new mineralisation at High Lake East, they reinforce our view that
MMG’s exploration licenses in the Slave district of Nunavut provide
significant opportunities to increase the mineral inventory of this
project.”

MMG is currently undertaking the Izok Corridor Project feasibility study
that includes polymetallic base metal resource inventories from the
Izok and High Lake deposits. Although not part of the current
feasibility study, Hood 10 could potentially add additional resources
and economic benefit to the project due to its proximity to the Izok
deposit. MMG is considering further exploration activities at Hood in
2013.

Izok Corridor

The Izok Corridor encompasses zinc-copper deposits located near Izok
Lake and High Lake.  The Company has approximately 2,000 square
kilometres of exploration tenements in the region including the High
Lake East, Gondor and Hood projects.

SOURCE MMG (Minerals and Metals Group)

PDF available at: http://stream1.newswire.ca/media/2012/09/13/20120913_C6247_DOC_EN_17815.pdf