Marathon Announces Updated Geordie Lake Resource Estimate

    TORONTO, July 8 /CNW/ - Marathon PGM Corporation ("Marathon" or "the
Company", MAR-TSX) is pleased to announce an updated NI 43-101 compliant
resource estimate for the Geordie Lake Deposit, located 14km west of the town
of Marathon, Ontario. The Geordie Lake resource has the potential to extend
the projected mine life of the Marathon deposit well beyond the current
forecast of 14 years. The combined measured and indicated resource for the
Marathon and the Geordie Lake deposits now exceeds 115 million tonnes.
    Phillip Walford, President and CEO of Marathon commented "The additional
tonnage from the Geordie Lake deposit provides significant additional
resources for the Marathon development project."
    The 2008 updated resource estimate for the Geordie Lake deposit is based
on 8 holes from a 1987 drill program by St. Joe Minerals, 9 holes from a
1999-2000 LEH drill program, 14 holes from a 2001 LEH drill program, 2 diamond
drill holes from the 2002 LEH drill program and 3 diamond drill holes from the
2006 DPGM drill program. Two holes drilled in 1997 were drilled parallel to
the dip of the mineralized structure and were not used. The updated resource
estimate was completed by independent geological consultants and Qualified
Persons, G.H. Giroux, P.Eng of Giroux Consultants of Vancouver, British
Columbia ("Giroux") and Alan Stanley, P.Geo and is expected to be filed on
Sedar ( this week.

    Geordie Lake Resource above $10.00/tonne GRV Cut-Off
                                                  Pd   Pt    Au           Ag
                        Pd   Pt   Au   Cu   Ag   000  000   000    Cu    000
                  Mt   g/t  g/t  g/t    %  g/t    oz   oz    oz  M lb     oz
    Measured    6.61  0.55 0.03 0.06 0.35  2.3 116.0  7.2  12.1  50.4  481.6
    Indicated  19.38  0.55 0.03 0.05 0.34  2.4 340.8 21.2  33.7 145.3 1456.8
    M+I        25.99  0.55 0.03 0.05 0.35 2.35 456.8 28.4  45.8 195.7 1938.4

    Inferred     9.4  0.51 0.03 0.05 0.31  1.9 153.5  9.1 13.90  64.9  569.7

    (1)   Mineral resources which are not mineral reserves do not have
          demonstrated economic viability. The estimate of mineral resources
          may be materially affected by environmental, permitting, legal,
          title, taxation, sociopolitical, marketing, or other relevant

    (2)   The quantity and grade of reported inferred resources in this
          estimation are conceptual in nature and there has been insufficient
          exploration to define these inferred resources as an indicated or
          measured mineral resource and it is uncertain if further
          exploration will result in upgrading them to an indicated or
          measured mineral resource category.

    Metal prices used in Giroux's estimate were Cu USD 2.50/lb, Au USD
550/oz, Pt USD 1,100/oz and Pd USD 300/oz, and Ag USD 12.50/oz. The US/CDN
exchange rate was $0.90. The metal prices and exchange rate utilized were
based on a 2-year average and exchange rate from February, 2008. Average
recoveries were taken from the bulk sample metallurgy test completed by
Process Research - Cu 87%, Pd 76%, Pt 73%, Au 87%, and Ag 68%.

    Geordie Lake Deposit

    Five main mineralized layers with the Geordie Lake deposit were
identified with each layer separated from the next by low grade
mineralization. Layers were established in drill core from assayed values of
Cu and Pd and checked for continuity using cross sectional plots. Each
mineralized layer was modeled as a three dimensional tabular sheet. The grade
distributions for each variable within each layer were examined and only a
single silver assay required capping. Composites 3 m in length were formed
from drill hole data passed through the mineralized layers. Blocks 10 m E-W,
20 m N-S and 5 m vertical were estimated for each variable by ordinary
kriging. Grades and tonnages were presented for just the mineralized portions
of the blocks and again for whole blocks which included dilution.
    To evaluate the results relative to some economic cut-off the various
calculated grades for each block were combined into a single Gross Recoverable
Value ("GRV") dollar value. The exchange rate for US dollars, and price for
Cu, Pt, Pd, Au and Ag were considered. Recoveries for each variable were
averaged from metallurgical tests.
    Blocks were classified within the overall resource as measured, indicated
or inferred based on geologic and grade continuity. At a $10 Can GRV cut-off
the measured plus indicated resource is 25.98 million tonnes at an average
grade of 0.34 % Cu, 0.034 g/t Pt, 0.55 g/t Pd, 0.06 g/t Au and 2.3 g/t Ag. At
the same cutoff there is an additional 9.4 million tonnes classed inferred at
an average grade of 0.31 % Cu, 0.011 % Ni, 0.007 % Co, 0.03 g/t Pt, 0.51 g/t
Pd, 0.05 g/t Au and 1.9 g/t Ag.
    The mineral resources in this press release were estimated using the
Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on
Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM
Standing Committee on Reserve Definitions and adopted by CIM Council December
11, 2005.

    2008 Exploration
    Marathon is confident that excellent potential exists to expand the
resource through prospecting, channel sampling and a strategically planned
infill drilling campaign. The work program for 2008 will be focussed on
defining geological contacts, as the deposit is open downdip to the west and
on-strike to the south.
    All exploration work is being performed under the guidance and
supervision of Phillip C. Walford, Marathon's President and Chief Executive
Officer, a professional geologist and Qualified Person as defined by National
Instrument 43-101. Mr. Walford has approved the contents of this press

    About Marathon PGM Corporation:

    Marathon is in the process of completing a definitive feasibility study
on the Marathon PGM-Cu deposit, which is on track for completion in September.
Marathon also has development and exploration stage properties in southeastern
Manitoba and western Newfoundland and Labrador. Marathon's management plans to
build on this focus through the advancement of its properties, focusing on
resource development and by examining other strategic PGM and base metal
opportunities within Canada.


    Except for statements of historical fact relating to the Company, certain
information contained herein constitutes "forward-looking statements".
Forward-looking statements are frequently characterized by words such as
"plan," "expect," "project," "intend," "believe," "anticipate" and other
similar words, or statements that certain events or conditions "may" or "will"
occur. Forward-looking statements are based on the opinions and estimates of
management at the date the statements are made and are subject to a variety of
risks and uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the forward-looking
statements. These risks and uncertainties include but are not limited to those
identified and reported in Management's Discussion and Analysis for the year
ended December 31, 2007. Circumstances or management's estimates or opinions
could change, and management disclaims any obligation to revise or update
forward-looking statements, whether for new information, future events or
otherwise. The reader is cautioned not to place undue reliance on
forward-looking statements.

    On Behalf of Marathon PGM:

    "Phillip C. Walford"
    Phillip C. Walford, P.Geo.
    President, Chief Executive Officer
    Tel: +1.416.987.0711

    %SEDAR: 00020574E

For further information:

For further information: David Leng, P.Geo: Tel: (416) 849-3432, Fax:
(416) 861-1925,

Organization Profile


More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890