Eagle Plains/Pacific Imperial Announce Geophysical Program at Brownell Lake Copper Project, Saskatchewan

Rhea-AI Summary

Eagle Plains Resources Ltd. has announced that its option partner, Pacific Imperial Mines Inc., has mobilized a geophysical team to the Brownell Lake project in Saskatchewan. This project is located 17 km northwest of Deschambault Lake and spans 1863 hectares. PPM may earn up to a 60% interest by investing $5 million, issuing 1 million shares, and making $500,000 cash payments over four years. A Time Domain Electromagnetic (TDEM) survey will cover 12 line kilometers to enhance mineralization understanding. Historical drilling has shown promising results, including 3.35 m of 0.48% Cu and 2.28% Zn. Despite the positive data, Eagle Plains cautions these results are historical and not current mineral resources according to NI 43-101 standards. This exploration effort is part of a broader strategy to enhance shareholder value through mineral project development.

Positive

• Mobilization of geophysical team indicates proactive project development.
• Potential for up to 60% interest for PPM could lead to significant exploration advancements.
• Historical drilling results demonstrate promising mineralization with notable grades.

Negative

• Historical results are not classified as current resources or reserves under NI 43-101, raising concerns about credibility.
• The exploration program may not yield anticipated results, introducing uncertainty.

CRANBROOK, BC / ACCESSWIRE / April 6, 2023 / Eagle Plains Resources Ltd. ("EPL":TSX-V, or "Eagle Plains") has been notified by option partner Pacific Imperial Mines Inc. ("PPM":TSX-V) that a geophysical team has been mobilized to Eagle Plains' Brownell Lake VMS-polymetallic project, located 17km northwest of the community of Deschambault Lake, Saskatchewan. Under the terms of the agreement, PPM may earn up to a 60% interest in the 1863 ha property by completing $5,000,000 in exploration expenditures, issuing 1,000,000 voting class common shares and making $500,000 in cash payments over a 4 year period.

SJ Geophysics of Delta, BC will using a Time Domain Electromagnetic system (TDEM) to survey 3 separate loops totaling 12 line km. The focus of the survey will be to provide superior definition over the areas of known mineralization, improve the depth resolution below historical drilling depths and to resolve the postulated strike extension of the known mineralization east of the historic drilling.

Brownell Lake Project Summary

The Brownell Lake Project is host to regionally-sheared, highly-strained meta-volcanic rocks which are considered to be prospective for volcanogenic massive sulphide ("VMS") mineralization. Historical select drilling results include 3.35 m of 0.48% Cu, 2.28% Zn, 1.46 g/t Au; 2.2 m of 6% Zn; and 20.5 m of 0.49% Cu. Historic work has delineated a 2600m length EM/magnetic anomaly coincident with the VMS horizon, with an additional 1700 m of prospective magnetic anomaly that remains untested by electromagnetics and diamond drilling. Results are historical in nature and have not been confirmed by Eagle Plains, but are considered to be reliable and will form a basis for ongoing work.

In December 2003, Shane Resources released a geological resource for the Brownell Lake Property of 1,251,900 tonnes grading 0.56% Cu and 1.75% Zn (Saskatchewan Mineral Deposit Index 0339), based on 37 historic drill holes. Eagle Plains' management considers the mineral resource estimates to be historical in nature and cautions that a Qualified Person has not done sufficient work to classify the historical estimates as current mineral resources or mineral reserves in accordance with National Instrument 43-101. These estimates do not comply with current definitions prescribed by National Instrument 43-101 or the Canadian Institute of Mining, and are disclosed only as indications of the presence of mineralization and are considered to be a guide for additional work. The historical models and data sets used to prepare these historical estimates are not available to Eagle Plains, nor are any more recent resource estimates or drill information on the Property.

After acquiring the core tenures in 2018, Eagle Plains completed a comprehensive data compilation followed by a 2018 surface work program comprising soil sampling, geological mapping and prospecting, a ground based magnetic-VLF geophysical survey, and whole-rock lithogeochemical sampling of select surface rocks and historical drill core samples. These results along with additional modeling indicate that the Brownell VMS-style mineralization extends further east than previously interpreted. Additional geological mapping and soil sampling was completed in 2021 along the projected eastern extension of the mineralized horizon.

Technical information concerning the Brownell Lake and Olson properties has been reviewed and approved by C.C. Downie, P.Geo., hereby identified as the "Qualified Person" under N.I. 43-101, a director and officer of Eagle Plains.

About Eagle Plains Resources

Based in Cranbrook, B.C., Eagle Plains is a well-funded, prolific project generator that continues to conduct research, acquire and explore mineral projects throughout western Canada. The Company was formed in 1992 and is the ninth-oldest listed issuer on the TSX-V (and one of only three that has not seen a roll-back or restructuring of its shares). Eagle Plains has continued to deliver shareholder value over the years and through numerous spin-out transactions, has transferred over $100,000,000 in value directly to its shareholders, with Copper Canyon Resources and recently Taiga Gold being notable examples. The Company is committed to steadily enhancing shareholder value by advancing our diverse portfolio of projects toward discovery through collaborative partnerships and development of a highly experienced technical team.

In late 2022 Eagle Plains announced the formation of a separate division within the Company; Eagle Royalties Ltd. ("ER") which holds many of Eagle Plains' diverse portfolio of royalty assets. The restructuring will enhance the valuation of Eagle Plains' extensive royalty interests, enabling ER to market and develop its royalty assets while seeking additional royalty acquisition opportunities. Eagle Plains' royalties cover a broad spectrum of commodities on projects controlled by Cameco Corp., Iso Energy Corp., Denison Mines Corp., Skeena Resources Ltd. and Hecla Mining Co./Banyan Gold Corp., among others. Planning is underway to spin-out Eagle Royalties during H22023 which will enable Eagle Plains to continue to focus on its core business model of acquiring and advancing grassroots critical- and precious-metal exploration properties.

Expenditures from 2011-2022 on Eagle Plains-related projects exceed $30M, the majority of which was funded by third-party partners. This exploration work resulted in approximately 45,000m of diamond-drilling and extensive ground-based exploration work facilitating the advancement of numerous projects at various stages of development. Throughout the exploration process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.

On behalf of the Board of Directors of Eagle Plains

"Tim J. Termuende"
President and CEO

For further information on EPL, please contact Mike Labach at 1 866 HUNT ORE (486 8673)
Email: mgl@eagleplains.com or visit our website at https://www.eagleplains.com

Cautionary Note Regarding Forward-Looking Statements

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. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

SOURCE: Eagle Plains Resources Ltd.

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FAQ

What is the significance of the geophysical program at the Brownell Lake project for EPL?

The geophysical program aims to enhance the understanding of mineralization and improve exploration efforts for Eagle Plains.

What are the historical drill results reported for the Brownell Lake project?

Historical drilling results include 3.35 m of 0.48% Cu and 2.28% Zn, which are promising for the VMS mineralization.

What is the agreement between Eagle Plains and Pacific Imperial Mines Inc.?

PPM may earn a 60% interest in the Brownell Lake project by investing $5 million in exploration, issuing 1 million shares, and making $500,000 in cash payments over four years.

What risks are associated with the Brownell Lake project exploration?

The historical nature of drilling results means that current mineral resources are not confirmed, posing risks to the project's exploration success.

How does Eagle Plains plan to enhance shareholder value?

Eagle Plains aims to enhance shareholder value by advancing its mineral projects and potentially spinning out its royalty assets in the future.