VANCOUVER, June 3 /CNW/ - Abbastar Resources Corp. ("Abbastar" or the "Company") (TSX-V: ABA) has completed the first phase drill program comprised of seventeen (17) holes totaling 4,577 metres. On March 30, 2010 the Company announced the results from the first two (2) holes of the drill program and on April 22, 2010 announced the results of an additional seven (7) holes completed at that time. The best intersection was from hole No. 3 that yielded 9.8 g/t Au over 4.7 metres from a quartz vein containing visible gold.
As of June 1, 2010, 1,559 samples from the remaining eight (8) holes were submitted to the lab in Thunder Bay, Ontario. The last 8 drill holes were testing geological/geophysical targets other than the known gold deposits to possibly discover additional gold bearing zones on the property. Results are expected in three to five weeks. After further research Abbastar has identified favourable geology and structure along strike from the existing Main and East Zone gold deposits. Consequently, the Company has staked a total of 178 claim units (2,848 hectares) contiguous with the original Talbot Lake claim block with plans to prospect this area in the coming months.
In addition, Abbastar is pleased to announce that it has entered into an investor relations agreement with David Goldman of Toronto, Ontario. The term of the agreement is 12 months. Mr. Goldman will be paid a monthly fee of $5,000. The agreement is subject to the approval of the TSX Venture Exchange.
About the Talbot Lake Gold Project
The Talbot Lake Project is located within the world-renowned gold producing "Uchi Subprovince" of northwestern Ontario. This prolific gold producing area is host to the Red Lake and Pickle Lake gold mining camps and has produced in excess of 40 million ounces of gold.
The Talbot Lake Project hosts the "Main Zone" gold deposit which was discovered by Placer Dome in 1985 and acquired by Denison Mines in 1998. It consists of an East-West striking and vertically dipping quartz vein containing visible gold, pyrite, copper sulphide and zinc sulphide. Channel sampling by Denison indicated an approximate strike length of the Main Zone to be 48m with a weighted average grade of 13.8 g/t Au over a width of 3.3m. One channel over a width of 1.8m yielded a spectacular value of 120.0 g/t Au. The gold deposit extends for a depth of approximately 200m and remains open. The following are some significant drill hole intersections by Placer Dome from the "Main Zone"; 16.4 g/t Au over 7.6m, 37.2 g/t Au over 2.5m, 26.9 g/t Au over 2.9m, 7.5 g/t Au over 7.5m. (source: Resident Geologist, Ministry of Northern Development and Mines, Thunder Bay). The historical assays have not been verified and as such should not be relied upon.
Abbastar has the right to earn 100% interest from Denison Mines Inc., subject to a 2% NSR, upon expenditures of $7,000,000 over 8 years.
Abbastar has 20,274,412 common shares outstanding. To learn more about Abbastar Resources Corp. (TSX-V: ABA), please visit www.abbastarresources.com.
On behalf of the Board,
President & CEO
The statements used in this News Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results may differ materially from the Company's forward-looking statements and expectations.
Neither the 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 ABBASTAR RESOURCES CORP.
For further information: For further information: Mr. Donald Gordon, President & CEO, at (604) 658-2040 or Mr. David Goldman, Investor Relations at (416) 487-0132