“We are particularly pleased with the results from ISC07-132 hole, the grades and intercepts, with over 260 feet of ore grade material in the one hole is quite favorable. Every 0.1% change in the grade implies a change of 2 pounds of tungsten. With the current tungsten price of $12.50 per pound, the implied metal value for this open pit deposit demonstrates its vast potential,” states Robert Hinchcliffe, President of Galway Resources.
Highlights of the current two drill results include:
- High Grade Intercept: Hole ISC07-132 intercepted 11 feet of 0.61% tungsten (WO3), and the same hole had a 45 foot intercept with an average grade of 0.28% tungsten (W03). The grade of these intercepts are considerably higher than the average grade of the deposit.
- Thick Intercept: Hole ISC07-132 also intercepted 40 feet of 0.16% tungsten, another intercept of 50 feet of 0.14%, and a 55 feet interval of 0.18% WO3. Hole ISC07-131 had an intercept of 29 feet of 0.22% WO3.
Hole Id | From | To (feet) | Intercept (feet) | Tungsten WO 3% |
ISC07-131 | ||||
(core) | 15.0 | 43.5 | 28.5 | 0.22 |
266.5 | 277.5 | 11.0 | 0.14 | |
ISC07-132 |
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|
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(core) | 4.0 | 14.5 | 10.5 | 0.30 |
31.0 | 57.8 | 26.8 | 0.18 | |
85.0 | 125.4 | 40.4 | 0.16 | |
195.0 | 245.0 | 50.0 | 0.14 | |
264.4 | 319.0 | 54.6 | 0.18 | |
332.0 | 346.5 | 14.5 | 0.24 | |
357.0 | 402.0 | 45.0 | 0.28 | |
460.5 | 471.0 | 10.5 | 0.61 | |
486.0 | 489.5 | 3.5 | 1.00 | |
504.0 | 519.0 | 15.0 | 0.12 |
A cutoff grade of 0.10% WO3 was used along with a minimum thickness of continuous ore for 15 feet.
To see the plan map and cross section for these holes, please click on the following links:
http://www.galwayresources.com/i/pdf/IS_pressrelease1207.pdf
http://www.galwayresources.com/i/pdf/IS_cross-section65.pdf
http://www.galwayresources.com/i/pdf/IS_cross-section66.pdf
Recent NI 43-101 Independent Resource Estimate
Galway announced on May 1, 2007 the first NI 43-101 resource estimate for the Indian Springs project prepared by SRK Consulting (U.S.) Inc. The resource estimate was based on 62,000 feet of drill data (299) holes and approximately 2,500 trench samples carried out by Utah International (which was later acquired by BHP Billiton). The new resource estimate also included the results from Galway’s 2006 drilling program which consisted of 20 holes (8,000 feet) of reverse circulation drilling and 3 core holes (1,000 feet).
Category | Tons (Millions) | %WO 3 (Tungsten) Grade | Pounds Of Tungsten |
| Indicated | 11 | 0.17 | 37,000,000 |
| Indicated | 8 | 0.17 | 25,000,000 |
* A cut-off grade of 0.10% WO3 was used for this resource estimate.
Current Tungsten Pricing
During the eighties and nineties tungsten pricing remained depressed, with prices trading between US$2.50 to $3.00 per pound. A significant decrease in exports from China served as the impetus for prices to rise sharply at the end of 2004. Since October of 2005, tungsten prices have remained above US$12.00 per pound with current prices at US$12.50 per pound.
QA/QC Statement
The Company has implemented a quality assurance and quality control (QA/QC) program to ensure collection and analysis of all drill samples is conducted in accordance with the best possible practices. Samples are stored in a secured area in Montello prior to transfer to lab personnel for shipping to the Chemex sample preparation facility in Elko, Nevada. Other QA/QC procedures include the insertion of blanks and control samples every 100 feet, and re-assaying duplicate pulps of 5% of all samples and 10% of samples assaying greater than 0.1% WO3. All duplicate samples are re-assayed at both Chemex and at a certified independent laboratory (SGS). WO3 is assayed at the Chemex Vancouver laboratory by two methods: (1) lithium borate fusion with an XRF finish and (2) pressed pellet XRF.
The results of the Company’s current drilling program have been reviewed, verified (including sampling, analytical and test data) and compiled by the Company’s geological staff (which includes Andy Johnson, Project Manager, and a “qualified person,” Peter Hahn, CPG, for the purpose of National Instrument 43-101 Standards of Disclosure for Mineral Projects, of the Canadian Securities Administrators).
Peter Hahn is Galway’s Qualified Person responsible for the activities at Indians Springs and has reviewed the technical content of this news release. Galway is following the “Best Practices Guidelines” in documenting, reporting, and conducting exploration activities at Indian Springs.
About the Company
The company is well capitalized with over $11 million in the treasury and is focused on developing three U.S. based exploration projects that are favorably located and have over 300,000 feet of historical drilling. We have established a solid technical team that has compiled all the historical data, and has carried out 5 drilling programs on its’ three U.S. based projects over the past 12 months. Management believes that its strategic portfolio of properties offers investors an interesting exposure to a unique blend of commodities (molybdenum, tungsten, copper, zinc, and silver).
For further information contact:
Galway Resources Ltd.
Robert Hinchcliffe
President and Director
1-800-475-2412
www.galwayresources.com
The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.
Forward Looking Statements:
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to the completion of transactions, the timing and amount of payments and share issuances, the completion of financings, the use of proceeds, future exploration, development and production activities and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete contemplated transactions, payments, share issuances and financings, the use of proceeds, the time and success of future exploration, development and production activities and the timing and amount of expenditures.