NEW WESTMINSTER, BC and NEW DELHI, India, June 27, 2011 /CNW/ - Pebble
Creek Mining Ltd. ("Pebble Creek" or "the Company") intends to engage
India Resources Ltd. ("IRL") to manage a fourth drilling campaign at
its Askot project in Uttarakhand state, India.
Askot is a VMS (volcanogenic massive sulphide) deposit of copper, zinc
and lead, with significant silver and gold. The Company's indicated and
inferred mineral resource estimates in respect of Askot were reported
in the Company's news release dated February 14, 2011.
Drill Program. Drilling will start from underground stations in the hanging wall of the
mineralized units, to go deeper than the 57 holes drilled by government
agencies in the period 1968 through 1988. Pebble Creek twinned 17 of
the government holes in 2006 and 2007 and verified the previous
The mountainous topography and the steeply dipping mineralized strata
require holes drilled from the surface to be collared at 1,150 to 1,300
metres elevation and drilled through hundreds of metres of wall rock
before reaching target depths of 700 to 850 metres elevation. The use
of underground stations that the Company has installed at 985 metres
elevation, will eliminate hundreds of metres of drilling. Also,
underground drilling will be more efficient than drilling from the
surface during the summer monsoon that usually takes place from July
through early October.
To drill still deeper, after the monsoon ends a second rig will be moved
into the valley on the footwall side of the mineralization to repeat
the method the Company used for drill hole 019A in 2010. That hole was
drilled to 230 metres at a minus 60 degree angle, then deflected to
minus 30 degrees. It intersected the mineralization at 363.7 to 373.4
metres down-hole for a true thickness of 6.7 metres. That intersection
extended the mineralization down to 720 metres elevation, or 160 metres
below the deepest previous hole in that vicinity.
The entire program is planned for approximately 7,500 metres of drilling
in 40 holes.
Drill Targets. The underground holes will target mineralization at 50 metre vertical
intervals below the average elevations of the deepest previous drill
holes, 850 metres; and repeated along strike. The deflected holes from
the valley will jump well below that zone to intersect the projection
of mineralization at elevations between 600 and 200 metres.
Several reasons argue for deep tests:
The northwest and vertical boundaries of the Askot deposit have not yet
A large regional syncline has folded the mineralized beds and the keel
of this fold is projected to lie at 200 metres elevation, about 650
metres below the known mineralization.
Folded VMS deposits are generally thicker in the axes of folds than they
are on the limbs.
Much of the observed mineralization has been remobilized and
re-deposited between layers of fissile schist - from a source under
high pressure during a post-depositional deformation and hydrothermal
event - and that source may lie deeper in the system.
India Resources Ltd. IRL is a company based in Perth, Australia whose main activity is
contract mining the underground Surda copper mine in Jharkhand state,
India, and milling the ore at the nearby Mosaboni concentrator. The
owner of Surda and Mosaboni is Hindustan Copper Ltd., a Government of
IRL is listed on the ASX and has a large management, engineering and
geologic staff and a total of 1,500 employees in India. IRL has
reopened, refurbished and re-engineered the mine and mill in 2007 and
has been operating the integrated facilities since. More information
can be found at http://www.indiaresources.com.au. IRL also holds mineral tenements and is developing other projects
elsewhere in India
IRL became interested in Askot in 2007 and has been a supportive
shareholder of Pebble Creek since that time.
Contracting IRL to manage the drilling under standard commercial terms
makes economic sense. It will make use of IRL's considerable pool of
operating expertise and will free up the Pebble Creek management for
other activities such as arranging additional financing and liaison
with the governments of India and Uttarakhand.
Qualified Person. Technical information in this release has been approved by Andrew E.
Nevin, PhD, PEng, President and CEO of Pebble Creek, a Qualified Person
under NI 43-101.
This news release contains forward-looking statements that address
future events and conditions and are subject to various risks and
uncertainties. The Company's actual results, programs and financial
position could differ materially from those anticipated in such
forward-looking statements as a result of numerous factors, some of
which may be beyond the Company's control. These factors include: the
application of laws and regulations where the Company's operations are
situated, the availability of funds; the timing and content of work
programs; results of exploration activities and development of mineral
properties, the interpretation of drilling results and other geological
data, the uncertainties of resource and reserve estimations, receipt
and security of mineral property titles; project cost overruns or
unanticipated costs and expenses, fluctuations in commodity prices;
currency fluctuations; and general market and industry conditions.
Forward-looking statements are based on the expectations and opinions of
the Company's management on the date the statements are made. The
assumptions used in the preparation of such statements, although
considered reasonable at the time of preparation, may prove to be
imprecise and, as such, undue reliance should not be placed on
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
SOURCE Pebble Creek Mining Ltd.
For further information:
Gyan C. Singhai, PEng, Executive Chairman, Telephone: +1 604 529 9076
Mike Romanik, Vice President, Telephone: +1 204 724 0613