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Intrepid Minerals Corporation: Deep Kamila Drilling Confirms High Grade Silver-Gold System and Confirms Extensions

Posted on: Tuesday, 7 February 2006, 09:00 CST

Intrepid Minerals Corporation (TSX:IAU) is pleased to report results from its ongoing diamond drilling program on the Casposo gold-silver project in San Juan Province, Argentina.

Seven diamond drill holes were completed in November-December, 2005 for a total of 2,155 meters. These holes were directed to in-fill zones within and below the currently optimised Kamila pit as well as to test deep extensions of the Casposo system to the southeast. The most significant of these results are summarized below and a map of the area can be viewed at the Company's website or by using the following link http://www.intrepidminerals.com/exploration_projects/kamila2006.pdf.

Drilling continues to demonstrate silver-rich intercepts below the proposed open-pit , including an intercept on the Aztec vein 155 metres vertically below surface of 12 g/t gold (0.35 oz/t) and 1,099 g/t silver (32 oz/t) over 4.5 metres( 14.8 feet). This intercept is close to true width and occurs 200 metres down dip on the Aztec vein.

Table 1 - HIGHLIGHTS (4) --------------------------------------------------------------------- Hole # From To Width Gold Silver Gold Equivalent(1) (m) (m) (m)(3) (g/t) (g/t) g/t oz/t (2) --------------------------------------------------------------------- CA-05-140 89.0 92.0 3.00 18.2 67 19.1 0.56 --------------------------------------------------------------------- CA-05-143 35.5 37.5 2.00 6.30 125 7.92 0.23 51.1 56.1 5.00 14.7 145 16.6 0.48 108.1 113.8 5.70 12.8 219 15.6 0.46 --------------------------------------------------------------------- CA-05-144 35.0 40.0 5.00 4.09 39 4.60 0.13 170.5 171.4 0.90 0.63 890 12.2 0.36 174.7 176.2 1.50 0.94 348 5.46 0.16 --------------------------------------------------------------------- CA-05-145 161.0 165.5 4.50 12.1 1099 26.4 0.77 --------------------------------------------------------------------- (1) Gold-silver equivalent calculated at 77 oz silver to 1 oz gold recovered (2) oz/t equals troy ounces per short ton (3) All intervals are close to true thickness and assays are uncut (4) CA-05-139,141,142 returned no significant values

Note: All diamond drilling on Casposo is being carried out using HQ diamond core with triple tubing to ensure maximum recovery. Chemical analysis was completed by ALS Chemex using 50 gram splits and fire assay/AA for gold. High gold and silver concentrations are retested using gravimetric techniques. Internal standards provided by an independent company and locally derived blank samples are being inserted for quality control purposes. Mr. William McGuinty P. Geo., V.P. Exploration is Intrepid Minerals' Qualified Person on this project.

Of equal importance are the results obtained from three reconnaissance holes drilled up to 300 metres southeast of the southern limit of the proposed Kamila pit. Hole CA-142, 200 metres south of the current pit boundary intersected extensive zones of altered andesite containing narrow intervals of banded quartz veins and wider intervals (up to 7 metres) of quartz-calcite stockwork. The deepest mineralized zone between 340 to 372 metres contains lattice bladed quartz-calcite-pyrite stockworks and quartz veins characterized by narrow (1-2 metre) intervals of anomalous silver (40 to 60 g/t) and gold (0.2 to 0.3 g/t). The stockworks also carry anomalous trace element values for arsenic, antimony and zinc which suggest a link to hydrothermal activity along structures in this area. These results suggest a continuation of the Kamila vein system within a down-faulted block delineated by geophysical surveys carried out in 2005.

"For the first time deep step-out holes have confirmed the presence of the upper portions of another mineralized system along the Rocio de Oro Corridor" said President Laurence Curtis. "Intrepid's drill campaign has been extended to accommodate further drilling for deep below-pit mineralization at Kamila and to continue targeting new structural extensions to the Kamila vein systems."

Intrepid is currently conducting its first phase of drilling at its Julieta target located 4 km to the northwest of the Kamila deposit. This area was discovered in early 2005 and significant gold results were obtained from surface sampling of quartz carbonate veins (see press release #05-17). Approximately 1,000 metres will be completed in the first quarter of 2006.

Drilling will continue on the Casposo property throughout most of the first quarter of 2006. Concurrently, the company continues to conduct its feasibility study of the Kamila deposit with lead consultant AMEC.

Intrepid Minerals is a TSX-listed company engaged in the acquisition, exploration and development of mineral prospects. Intrepid is currently completing a plan of arrangement with NuStar Mining Corporation Limited of Australia which will result in the merged entity having an international production, development and exploration profile. The Company, either directly or through joint venture partnership, holds interests in several gold-silver and silver-base metal properties in Argentina, El Salvador, and Canada. Intrepid has 49,969,552 shares outstanding.

FORWARD LOOKING STATEMENTS

This Press Release contains certain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX has neither approved nor disapproved the information contained in this press release.

Intrepid Minerals Corporation (TSX:IAU)

Source: Business Wire

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