Jun 26, 2006
Probe Mines Options Lumby Lake Base and Precious Metal Property, Northwestern Ontario
Toronto, June 26, 2006 - The Directors of Probe Mines Limited (TSX-V: PRB) are pleased to announce that an agreement has been reached to option the Lumby Lake property in the Norway Lake area near Atikokan, Ontario. The Lumby Lake property is underlain by a mixed sequence of volcanic and sedimentary rocks, which are host to a newly discovered base metal showing and numerous gold and base metal occurrences throughout the property. The new sulphide occurrence was discovered during recent trenching by the property owner along a 500m long induced polarization (IP) conductor, and is untested by drilling. Representative sampling of the seven meter wide mineralized exposure by Probe Mines returned values of up to 1.1% Cu, 7.7% Zn, 6.5% Pb, 36 g/t Ag and 0.5 g/t Au over one metre sections of the outcrop. Neither the footwall nor hangingwall were identified in the trench. A number of other gold and base metal occurrences have been identified on the property through limited drilling and trenching. Historical results include up to 10.5g/t Au and 2.6% Cu over one metre in drilling and up to 6.9% Cu in grab samples.
Initially, fieldwork will focus on the new base metal sulphide showing, in preparation for drilling, and will expand to include the other copper and gold occurrences as Probe begins to develop a geological model for mineralization in the area. A first phase exploration program, including diamond drilling, will commence shortly.
Probe has the right to earn a 100% interest in the property by making cash payments totaling $39,000 and issuing 200,000 shares over the three-year term of the agreement. The vendor maintains a 3% Net Smelter Royalty (NSR) interest on metals, while Probe Mines retains an option to buy back 2% of the NSR for $2,000,000 in 1% increments. This agreement is subject to regulatory approval.
About the Company:
Probe Mines Limited is a Canadian base and precious metal exploration company with a portfolio of highly prospective mineral properties. Probe has recently acquired the Greenlaw base metal project near Chapleau, Ontario, which hosts numerous base metal occurrences and untested conductors, and owns the Tamarack project in the James Bay Lowlands, Ontario, site of a significant copper VMS discovery. In addition, Probe has signed a joint venture agreement on its Bristol Township project located in the new Timmins West gold camp and adjacent to the Timmins West deposit of Lake Shore Gold Corp. Under the terms of the Bristol Township join venture, Sydney Resource Corp. is required to fund $2,000,000 in exploration over four years (see Probe News Release dated November 8, 2006). Probe's shares trade on the TSX Venture Exchange under the symbol PRB.
David Palmer, Ph.D., P.Geo., is the qualified person for all technical information in this release. To find out more about Probe Mines Limited, visit our website at www.probemines.com, or contact:
David Palmer, Ph.D.
Tel: (416) 777-6703
Harry J. Hodge, P.Eng.,
Tel: (416) 363-4376
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Probe, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially form those anticipated in such statements. Important factors that could cause actual results to differ materially from Probe's expectations are exploration risks detailed herein and from time to time in the filings made by Probe with securities regulators.
You can view the Next News Releases item: Mon Jul 31, 2006, Probe Mines to Begin Drilling Norway Lake Base Metal Project, Northwestern Ontario
You can view the Previous News Releases item: Mon Jun 19, 2006, Probe Mines to Option Greenlaw Base Metal Property Near Chapleau, Ontario
You can return to the main News Releases page, or press the Back button on your browser.