LONGUEUIL, QUEBEC -- (Marketwired) -- 06/04/13 -- Highland Copper Company Inc. (TSX VENTURE: HI) ("Highland" or the "Company") is pleased to announce results for all 35 diamond drill holes completed at the G-2 chalcocite prospect at the Keweenaw Copper Project in the Upper Peninsula of Michigan, U.S.A. Some of the higher grade intersections at a 0.75% Cu cut-off include the following:
-- MH106: 7.7 meters of 3.14% Cu and 2.9 g/t Ag-- MH116: 7.4 meters of 3.08% Cu and 10.0 g/t Ag-- MH109: 6.4 meters of 4.73% Cu and 12.7 g/t Ag-- MH105: 4.6 meters of 4.61% Cu and 1.7 g/t Ag-- MH107: 4.2 meters of 5.58% Cu and 3.7 g/t Ag
The G-2 prospect consists of at least three, near-vertical zones of chalcocite mineralization hosted by basalt lava flows of the Portage Lake lava series. The Company has completed 35 holes totaling 6,800 meters. See drill hole locations on Figure 1, results for composite assay intersections on Table 1 and cross section of the G-2 area on Figure 2. (Table and figures available at the following address: http://media3.marketwire.com/docs/hi-0604.pdf) In April, diamond drilling was suspended when melting snow made access to drill sites difficult. Additional drill targets have been identified and will be tested in due course.
The G-2 prospect is located about 18 km east of the 543S prospect where the Company has drilled 171 diamond drill holes totaling 26,972 meters since July 16, 2012. The Company has delivered the 543S database to independent consultants and a resource estimate in compliance with Canadian National Instrument 43-101 ("NI 43-101") is in progress.
"We are very encouraged with the G-2 results," noted Ross R. Grunwald, PhD, Vice president of Exploration for Highland. "Drilling has confirmed the presence of high grade copper mineralization over widths that justify further evaluation as an underground resource. At least three different zones have been intersected and these remain open laterally and at depth. Additional IP and soil geochemical anomalies in the area also remain to be tested. "
Lens-like zones of mineralization, largely in brecciated tops of scoriaceous amygdaloidal Precambrian basalt lava flows, consist mostly of primary chalcocite accompanied by small amounts of native copper and native silver. Traces of other sulfide minerals are also present. Mineralization comes to the surface, but supergene oxidation is weak and is restricted to depths of 1-2 meters. The G-2 prospect is in the eastern portion of a 20-mile long belt of chalcocite prospects that extends east from an area of large native copper mines, centered near the town of Calumet, Michigan, that were mined for about 130 years before closing in 1968 due to low copper prices.
The 2013 drill holes at G-2 are within an area of 33 historic diamond drill holes that was explored from 1973-1977 by a joint venture between Homestake Mining Co. and International Nickel Co. Drilling conducted in the 1970s indicated potential for chalcocite mineralization geologically similar to that found in the 543S deposit. The G-2 prospect contains a non-compliant historic resource estimate of 985,000 short tons averaging 2.8% Cu at a 1.0% Cu cut-off grade as described in a Technical Report by Behre Dolbear & Company, Ltd. titled "Centennial and Kingston Native Copper, 543S, and Other Copper Sulfide Properties, Houghton and Keweenaw Counties, Michigan, USA'' dated September 29, 2011. The Company has not completed the work necessary to classify the historical estimate mentioned above as compliant mineral resources as defined in NI 43-101. Therefore, the Company is not treating the historical estimate as a mineral resource and the historical estimate should not be relied upon.