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Tintina Announces Over One Billion Pounds of High Grade Measured & Indicated Copper Resources at its 100% Owned Black Butte Copper Project, Montana, USA

Mar 19 2013 12:00AM

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VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/19/13 -- Tintina Resources Inc. ("Tintina" or the "Company") (TSX VENTURE: TAU)(OTCQX: TINTF) is pleased to announce a new resource estimate for its Lowry Deposit, a part of the Black Butte Copper Project, Montana, USA (see Table 1). With the addition of the Lowry resources to those previously announced for the Johnny Lee Deposit, the Black Butte Copper Project (Fig. 2) now contains in excess of one billion pounds of copper in the Measured and Indicated resource categories. In addition, the Company is also progressing toward completion of an updated Preliminary Economic Assessment ("Updated PEA") which includes the new Johnny Lee Deposit Measured, Indicated, and Inferred resource estimates (see news release dated November 13, 2012). The planned Updated PEA will supersede the current SEDAR filed Preliminary Economic Assessment(i) ("PEA") dated August 30, 2012 (see news release dated September 4, 2012), which was based only on the Indicated and Inferred resource estimates for the Johnny Lee Deposit. The Company plans to include the new Lowry Deposit resource estimate announced in this news release in the Updated PEA, and expects the results of the Updated PEA by end of Q2 of 2013.

(i) Please see the Cautionary Note Regarding the PEA

Updated Resource Highlights

-- New Lowry Deposit Middle Zone Indicated and Inferred resources are as follows: -- Indicated: 4.099 MMt @ 2.94% Cu,0.10% Co, 15.1 g/tonne Ag, and 0.006 g/tonne Au -- Inferred: 0.801 MMt @ 2.58% Cu, 0.10% Co, 14.1 g/tonne Ag, and 0.008 g/tonne Au



Jerry Zieg, Vice President of exploration for Tintina, stated, "In-fill drilling on the Lowry Deposit Middle Zone upgraded most of the resource to Indicated status, resulting in a modest increase in average copper grade and total contained pounds of copper. Infill drilling has helped us confirm the continuity of high grade copper concentrations over zones up to 79 metres (260 feet) thick and averaging 29 metres (95 feet). Thicker mining zones generally result in lower cost mining methods and lower dilution. The addition of the Indicated resources on the Lowry Deposit achieves our goal of over one billion pounds of high grade copper resources. The additional M&I resources justify examining the opportunity for a significant expansion in mill throughput and/or a longer mine life for a future Black Butte Copper operation. These results will be incorporated into the Updated PEA now being worked on by the Company's engineering consultants."

Lowry Deposit Mineral Resource Estimate

The Lowry Deposit (Fig. 2) consists of multiple copper mineralized zones, of which the Middle Zone shows the highest and most continuous copper concentrations. To date the Lowry Deposit has been tested by 51 drill holes totaling about 29,500 metres (96,785 feet). Twenty-nine (29) drill holes totaling about 16,650 metres (54,625 feet) intersected copper-bearing horizons and were used to estimate and update resources for the Lowry Deposit. Mineralization reaches up to 79 metres (260 feet) thick and occurs as bands, veins, and masses of chalcopyrite with pyrite concentrated within a modestly dipping silicified breccia and shale layer. Mike Lechner, president of Resource Modeling Inc., provided the resource estimate.

Johnny Lee Deposit Mineral Resource Estimate

The Johnny Lee Deposit (Fig. 3) consists of two zones - an Upper Zone and a Lower Zone. The drill hole database that was used to estimate the Johnny Lee Deposit Mineral resource consists of 136 drill holes totaling 37,530.3 metres (123,130 feet), all containing one or more intercepts of significant mineralization. Of these, 106 drill holes, representing 23,704.5 metres (77,770 feet) of drilling, were used to estimate the Johnny Lee Deposit Upper Zone resource. In addition, 47 of the 136 holes were used to estimate the Johnny Lee Deposit Lower Zone resource. Further, 17 of the 136 holes were used to estimate both Upper Zone and Lower Zone resources. Mineralization occurs as lenses of high grade copper, primarily chalcopyrite which is hosted within thicker and more extensive massive pyritic sulfide lenses, all of which are contained in un-mineralized shale and carbonate country rock. Zone boundaries are either faults and/or diminishing copper grades. Mike Lechner, president of Resource Modeling Inc., provided the new resource estimate as reported in a news release dated November 1, 2012.

Black Butte Copper Mineral Resource Estimate as of March 12, 2013Table 1 - Undiluted Measured and Indicated ("M&I") Resources at Black Butte Copper Project, MT, USA----------------------------------------------------------------------------UNDILUTED MEASURED RESOURCES - Johnny Lee Deposit---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal ------------------------------------------------------- Cu Cu Co Ag Cutoff Tonnes Cu Co Au Ag Lbs Lbs Au Ozs (%) (000) (%) (%) (g/t) (g/t) (Millions) (Millions) Ozs (000)----------------------------------------------------------------------------Upper Zone 1.60 2,659 2.99 0.118 0.007 16.3 175 6.9 598 1,393--------------------------------------------------------------------------------------------------------------------------------------------------------UNDILUTED INDICATED RESOURCES - Johnny Lee and Lowry Deposits---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal ------------------------------------------------- Cu Co Cu Lbs Lbs Ag Cutoff Tonnes Cu Co Au Ag (Mill- (Mill- Au Ozs (%) (000) (%) (%) (g/t) (g/t) ions) ions) Ozs (000)----------------------------------------------------------------------------Johnny Lee- Upper Zone 1.60 6,520 2.770.125 0.009 15.5 398 18.0 1,887 3,249----------------------------------------------------------------------------Johnny Lee - Lower Zone 1.50 2,387 6.400.033 0.304 4.5 337 1.7 23,330 345----------------------------------------------------------------------------Lowry - Middle Zone 1.6 4,099 2.94 0.10 0.006 15.1 266 9.0 800 1,990----------------------------------------------------------------------------TOTAL 13,006 3.49 0.10 0.062 13.4 1,001 28.7 26,017 5,584--------------------------------------------------------------------------------------------------------------------------------------------------------UNDILUTED MEASURED AND INDICATED RESOURCES - Johnny Lee and Lowry Deposits---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal ------------------------------------------------- Cu Co Lbs Lbs Ag Tonnes Cu Co Au Ag (Mill- (Mill- Au Ozs (000) (%) (%) (g/t) (g/t) ions) ions) Ozs (000)----------------------------------------------------------------------------Johnny Lee Upper and Lower Zones 11,566 3.57 0.100 0.069 13.4 910 26.6 25,815 4,987----------------------------------------------------------------------------Lowry Middle 4,099 2.94 0.100 0.006 15.1 266 9.0 800 1,990----------------------------------------------------------------------------TOTAL 15,655 3.40 0.10 0.053 13.9 1,176 35.6 26,615 6,977----------------------------------------------------------------------------Table 2 - Undiluted Inferred Resources at Black Butte Copper Project, MT, USA----------------------------------------------------------------------------UNDILUTED INFERRED RESOURCES - Johnny Lee Deposit---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal -------------------------------------------------------- Cu Cu Co Ag Cutoff Tonnes Cu Co Au Ag Lbs Lbs Au Ozs (%) (000) (%) (%) (g/t) (g/t) (Millions) (Millions) Ozs (000)----------------------------------------------------------------------------Upper Zone 1.60 1,255 2.520.102 0.008 15.2 70 2.8 323 613----------------------------------------------------------------------------Lower Zone 1.50 205 5.330.025 0.207 4.1 24 0.1 1,364 27----------------------------------------------------------------------------TOTAL 1,460 2.910.092 0.036 13.6 94 2.9 1,687 640--------------------------------------------------------------------------------------------------------------------------------------------------------UNDILUTED INFERRED RESOURCES - Lowry Deposit---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal ------------------------------------------------------ Cu Cu Co Ag Cutoff Tonnes Cu Co Au Ag Lbs Lbs Au Ozs (%) (000) (%) (%) (g/t) (g/t) (Millions) (Millions) Ozs (000)----------------------------------------------------------------------------Middle Zone 1.60 801 2.58 0.10 0.008 14.1 46 2 200 363----------------------------------------------------------------------------TOTAL 801 2.58 0.10 0.008 14.1 46 2 200 363--------------------------------------------------------------------------------------------------------------------------------------------------------UNDILUTED INFERRED RESOURCES - Johnny Lee and Lowry Deposits---------------------------------------------------------------------------- Estimated Metal Grades Estimated Contained Metal ---------------------------------------------------------- Ag Tonnes Cu Co Au Ag Cu Lbs Co Lbs Au Ozs (000) (%) (%) (g/t) (g/t) (Millions) (Millions) Ozs (000)----------------------------------------------------------------------------Johnny Lee 1,460 2.91 0.092 0.036 13.6 94 2.9 1,687 640----------------------------------------------------------------------------Lowry 801 2.58 0.10 0.008 14.1 46 2.0 200 363----------------------------------------------------------------------------GRAND TOTAL 2,261 2.80 0.09 0.026 13.8 140 4.9 1.887 1,003----------------------------------------------------------------------------Notes:1. Mineral resources have been classified according to the "CIM Standards onMineral Resources and Reserves: Definitions and Guidelines" (November 2010).The PEA contained herein is preliminary in nature and includes inferredMineral resources that are considered too speculative geologically to havethe economic considerations applied to them that would enable them to becategorized as Mineral reserves and there is no certainty that the PEA willbe realized.2. It cannot be assumed that all or any part of an Inferred resource will beupgraded to an Indicated resource, or that an Indicated Mineral resourcewill be upgraded to a Measured resource, as a result of continuedexploration. Mineral resources are not Mineral reserves and do not havedemonstrated economic viability. There is no certainty that all or any partof the Mineral resources will be converted into Mineral reserves. Mineralresources are global in situ totals.3. For the Johnny Lee Deposit Upper Zone, cutoff grade calculation is basedon assumed metal prices of US$2.75/lb for copper and an 81% recovery. Amining cost of US$59.00/tonne, processing costs of US$16.00/Tonne, and G&Acosts of US$5.00/tonne were assumed to form the basis for the resource cut-off determination. For the Johnny Lee Deposit Lower Zone, cutoff gradecalculation is based on an assumed metal price of US$2.75/lb. for copper andan 84% Cu recovery. A mining cost of US$50/tonne, processing costs ofUS$16/tonne, G&A costs of US$5.00/tonne, and refining costs ofUS$5.53/tonne, were assumed to form the basis for the resource cut-offdetermination. For the Lowry Deposit Middle Zone,, the 1.6% Cu cutoff gradecalculation is based on an assumed metal price of US$2.75/lb. for copper andan 81% Cu recovery. A mining cost of US$57/tonne, processing costs of US$16/tonne, and G&A costs of US$5.00/tonne were assumed to form the basis forthe resource cut-off determination. Note: these costs differ from those usedfor the cash flow model in the PEA.4. Mineral resource tonnage and contained metal quantities have been roundedto reflect the accuracy of the estimate, and thus the numbers may not sumdue to rounding.



Planned Update of the PEA

Encouraged by the results of the previously-released PEA for an underground mine built around the Indicated and Inferred Johnny Lee Deposit, the Company is progressing toward the Updated PEA using the more recent Measured, Indicated, and Inferred Johnny Lee Deposit resource estimates publicly announced in November 2012. The firms working on the Updated PEA include Tetra Tech (Wardrop), who is responsible for the site infrastructure, mill design, operating and capital costs and overall report; Amec, who is responsible for all aspects of the underground design and costing; and Knight Piesold, who is responsible for the design of the Tailings Management Facility. The Company plans to include the new Lowry Deposit resource estimate announced in this release in the Updated PEA, and expects the results of the Updated PEA by end of Q2 2013.

2013 Development Plans

The Company is continuing engineering, geotechnical, hydrological, and metallurgical studies, and is continuing baseline environmental studies. As previously reported (see news release dated January 8, 2013), Tintina has submitted an application for an Exploration Decline to the Montana Department of Environmental Quality in Q4, 2012 with the approval expected in Q2, 2013. The Company also plans to commission a Pre-Feasibility Study (PFS) or final Feasibility Study (FS), assuming completion of the Updated PEA.

About the Black Butte Copper Project

Geologists with Cominco American Inc. and joint venture partners Utah International and BHP discovered the copper deposits during exploration programs in the 1980's. In 1993, Cominco turned the property back over to the ranch owners and the deposits lay dormant until 2010 when members of the original discovery team now with Tintina re-established contact with the property owners. In May of 2010 Tintina completed mining leases on over 5,000 acres of private ranch lands which contain all currently identified resources at Black Butte Copper. Present land holdings consist of 3,109.7 hectares (7,684.28 acres) of private ranch lands and 1,837.7 hectares (4,541 acres) of Federal mining claims. Tintina has completed over 54,500 metres (178,805 feet) of drilling since September of 2010, and from this work, as well as approximately 37,500 metres (123,030 feet) of previous historic drilling, has achieved resource estimates on the Johnny Lee and Lowry Deposits (described below). At least five additional copper mineralized zones have been identified in the resource area.

The Johnny Lee Deposit (Fig. 2) lies 3.2 km (2 miles) west of U.S. Highway 89, and is comprised of the Johnny Lee Deposit Upper Zone and the Johnny Lee Deposit Lower Zone. Both zones consist of tabular layers of copper-cobalt-silver mineralization as bands of massive chalcopyrite concentrated within fine-grained massive pyritic sulfide layers hosted by shale and conglomerate. The Johnny Lee Deposit Upper Zone deposit lies at depths ranging from 30 to 210 metres (100 to 690 feet) below the surface and is up to 29.17 metres (95 feet) thick. The Johnny Lee Deposit Lower Zone lies at depths ranging from 340 to 500 metres (1,115 to 1,640 feet) below surface and is up to 13.05 metres (43 feet) thick. Portions of both the Upper and Lower Zones are faulted away and have yet to be located. Additional sulfide zones lie above the Johnny Lee Deposit Upper Zone and contain variable concentrations of zinc and copper. The deposit has an undiluted Measured and Indicated resource of 910 million lbs. of copper (Cu) at an average grade of 3.57% and an undiluted Inferred resource of 94 million lbs. of copper (Cu) at an average grade of 2.91% Cu.

The Lowry Deposit (Fig. 2) lies 1.2 kilometres (0.75 miles) west of U.S. Highway 89 and consists of at least five mineralized copper zones. Of these, the Lowry Deposit Middle Zone is a tabular layer of copper-cobalt-silver mineralization reaching up to 79 metres (260 feet) thick with high concentrations of chalcopyrite (copper-iron sulfide) concentrated within fragmental, silicified and dolomitized shale and carbonate. The deposit dips gently to the south, lies at depths ranging from 265 to 718.5 metres (780 to 2,360 feet) below surface, and measures 600 metres (1,970 feet) by 300 metres (985 feet) in plan. The northeast trending Rose fault down drops the southeast portion of the zone, where two holes extend the zone by about 100 metres (328 feet). These holes have not been offset further east or south. The deposit has an undiluted Indicated resource of 266 million lbs. of copper (Cu) at an average grade of 2.94%, and an Inferred resource of 46 million lbs. of copper (Cu) at an average grade of 2.58% Cu.

The Johnny Lee and Lowry Deposits are amenable to underground mining (See Fig. 3), an approach consistent with the desires of the landowners and community. Community and regional support for the project is high due to the strong desire for jobs in this economically challenged rural Montana area. Permitting activities are ongoing using highly knowledgeable Montana-based consulting groups together with the in-house team. Base-line and other key studies for permitting are carried out in close cooperation with the Montana Department of Environmental Quality to ensure high quality and complete permit applications.

Qualified Persons

Mike Lechner, P.Geo. (Resource Modeling Inc.) completed the resource estimates and is a Qualified Person in accordance with NI 43-101, and is independent of the Company.

Jerry Zieg, Vice President of Exploration for the Company is a Qualified Person for the purposes of National Instrument 43-101 and has reviewed, approved and verified the information of a scientific and technical nature and has verified the data disclosed in this news release. Assays for this program have been completed by ALS Chemex including duplicates, standards, and blanks for QA/QC purposes.

About Tintina Resources Inc.

Tintina Resources Inc. is a well-funded Vancouver based resource company focused on the development and mining of its 100% owned Black Butte high grade copper project (Fig. 1) in central Montana. The Black Butte Copper Project is the third highest grade copper deposit in development in North America, with an M&I resource of 1.18 billion pounds of copper (Cu) at a grade of 3.4%, and Inferred resources of 140 million pounds of copper (Cu) at a grade of 2.8%. On August 31, 2012, the Company filed on SEDAR a Preliminary Economic Assessment ("PEA") for the Johnny Lee Deposit Indicated and Inferred resources on the Black Butte Copper Project entitled "Technical Report and Preliminary Economic Assessment for the Black Butte Copper Project, Montana" dated August 30, 2012. The Company plans to update the PEA to include the Johnny Lee Deposit Measured, Indicated, and Inferred resources publicly announced in November 2012. The Company also plans to include the results of the new Lowry Deposit resource estimate announced in this release in the Updated PEA.

Tintina is led by a highly experienced executive management team that has an impressive business and mining track record of successfully building shareholder value through exploration, corporate finance and mine development.

About Mining in Montana

Montana has been a mining state for a well over 100 years. Today, more than two dozen mining operations are active making mining a cornerstone contributor to the State's GDP. Tintina has met with State regulators and looks forward to presenting the Black Butte Copper Project as an underground mine with a small footprint located on private land. The project continues to benefit from broad local community support.

ON BEHALF OF THE BOARD OF DIRECTORS

Raj Chowdhry, CA, Executive Vice Chairman & CEO

To view Figures 1-3, please visit the following link: http://media3.marketwire.com/docs/TAU319I.pdf.

Cautionary Note Regarding the PEA:

The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Furthermore, there is no certainty that the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Readers are encouraged to read the technical report dated August 30, 2012, which discloses the basis for the PEA and the qualifications and assumptions made by the authors of the report.

Cautionary Note Regarding Forward-Looking Statements:

Certain disclosures in this release, including statements regarding the Company's plans for and intentions with respect to advancement of the Company's Black Butte Copper Project to production resource estimates, the upgrading of resource estimates, the PEA, estimates of capital and sustaining costs, mine production, estimated recoveries, mine life, planned exploration activities and the results thereof, development activities, including the receipt of approvals and permits, the preparation of an Updated PEA, any expansion of the PEA, and any pre-feasibility or feasibility study and other plans and objectives of the Company with respect to the Black Butte Project and surrounding area constitute "forward-looking statements" and "forward-looking information" (collectively, "forward-looking statements") within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including, but not limited to, and in addition to those assumptions set out in the PEA, that the Company is able to obtain in a timely manner and on acceptable terms any government or other regulatory approvals and any financing required to complete the Company's planned exploration and development activities, that the Company is able to procure equipment and supplies in sufficient quantities and on a timely basis, that the Company's exploration and development activities on the Black Butte Copper Project will not be affected by actions of environmental activists or other special interest groups, that actual results of exploration activities are consistent with management's expectations, that the proposed mine plan and recoveries will be achieved, that capital costs and sustaining costs will be as estimated, that the assumptions underlying mineral resource estimates are valid, and that no unforeseen accident, fire, ground instability, flooding, labor disruption, equipment failure, metallurgical, environmental or other events that could delay or increase the cost of development will occur, that the current price and demand for copper and other metals will be sustained or will improve; that general business and economic conditions will not change in a materially adverse manner; and the continuity of economic and political conditions and operations of the Company.

However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors relating to Tintina's operation as a mineral exploration company and the Black Butte Copper Project property that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks include, among others, actual results of the Company's exploration activities being different than those expected by management; uncertainties involved in the interpretation of drilling results and geological tests; delays in obtaining or inability to obtain required government or other regulatory approvals or financing; interference with Tintina's exploration or development activities by environmental activists or other special interest groups; inability to procure equipment and supplies in sufficient quantities and on a timely basis; the risk of unexpected variations in mineral resources, grade or recovery rates, of failure of plant, equipment or processes to operate as anticipated, of accidents, labor disputes, and unanticipated delays in obtaining governmental approvals, licenses, permits and completing other development activities; that estimated costs will be higher than anticipated and that the proposed mine plan and recoveries will not be achieved; equipment breakdowns and bad weather. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. Tintina does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

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.



Contacts:
Tintina Resources Inc.
Corporate Development
604.628.1162
info@tintinaresources.com
www.tintinaresources.com





Source: Marketwire