TIMMINS, ONTARIO (TSX: ME)(BERLIN: ME)(FRANKFURT: MOP)(XETRA:
MOP) is pleased to announce that it has entered into an agreement
with Newmont Canada Limited, a subsidiary of Newmont Mining
Corporation (TSX: NMC)(NYSE: NEM)(ASX: NEM) ("Newmont") to acquire
Newmont's interest in a joint venture known as the Windjammer
Project ("Windjammer"). The Windjammer property is contiguous to
Moneta's Golden Highway Project centered in Michaud Township, 100
km. east of Timmins, Ontario.
Moneta will issue 4,380,000 common shares to Newmont as
consideration for the acquisition which will have a hold period of
12 months. Newmont holds a 50% interest and acts as the operator of
the Windjammer joint venture and Moneta will assume all of
Newmont's rights, obligations and liabilities under the joint
venture and associated mining leases. Moneta has also granted
Newmont an option for a period of 12 months from closing to
participate on a pro rata basis in any equity financing completed
by Moneta during the period. Completion of the transaction and
participation in an equity financing are subject only to regulatory
and TSX approval.
To view Figure 1. Windjammer Property in the Golden Highway Camp
east of Timmins
Please click on the following link:
http://www.ccnmatthews.com/docs/map1.doc
The Windjammer joint venture holds two mining leases comprising
22 mining claims in Garrison and Michaud Townships covering 356
hectares. Drilling in the 1980s by Noranda Inc. ("Noranda")
identified widespread gold mineralization in a number of zones and
resulted in two separate gold discoveries, Windjammer South and
Windjammer North, which have had little further development in the
intervening period. Windjammer South lies one kilometre easterly
along strike from Moneta's Southwest Zone, which has an inferred
historical resource of approximately 625,000 ounces of gold
calculated by Barrick Gold Corporation ("Barrick") (Moneta
Porcupine Mines Inc.: Meixner Report, SEDAR filing on April 21,
2005; see "Historical Resource Estimate" below).
Windjammer South in combination with Moneta's Southwest Zone and
the 55 Zone discovered by the Michaud Joint Venture (50/50 with
Acrex Ventures Ltd. ("Acrex")) represents a strike length of
approximately four kilometres with gold mineralization occurring
within Timiskaming sediments along the entire length. Several
exploration holes drilled in the area between Windjammer South and
the Southwest Zone produced intersections and grades similar to
those found in both zones and were not followed up with further
drilling.
Rod Whyte, Chairman of Moneta, stated "The acquisition of the
interest in Windjammer is a key building block in our Golden
Highway strategy. Our analysis of the prior drilling and digital
modeling of Windjammer South indicate that the deposit is part of
the same geological system as Moneta's Southwest Zone and the
acquisition of Windjammer will now enable Moneta to explore and
develop the area on an integrated basis".
Moneta intends to complete a National Instrument (NI) 43-101
technical report on Windjammer defining a resource to current
standards as soon as possible. The property lies within the
"area-of-interest" of the Michaud Joint Venture. Acrex has agreed
to waive its area-of-interest rights under the Michaud Joint
Venture and will not be participating in future exploration of
Windjammer.
Technical data in this press release has been obtained from
Newmont based on drilling conducted by Noranda, and has been
compiled and analyzed by Moneta. As of the present time, only a
limited review of the drill hole data and the quality assurance and
quality control procedures has been undertaken by Moneta and no
reliance should be placed on such data.
Windjammer South
The Windjammer property is located immediately adjacent to the
east of Moneta's Golden Highway Project and Windjammer South lies
just south of the Destor Porcupine Fault Zone ("Destor") on strike
from Moneta's Southwest Zone. Drilling on Windjammer South
consisted of 35 drill holes totaling almost 11,000 metres in the
1980s, in addition to a number of holes drilled prior to that
time.
The drilling identified several gold bearing zones within a
mineralized system currently extending for 400 metres along strike
to a depth of 350 metres. The system dips moderately to the
southeast and is open in both directions along strike and to depth.
Intersections reported include 9.4 grams/tonne (g/t) over 9.7
metres and 5.6 g/t over 6.5 metres (core lengths) among broad
intersections of lower-grade material.
Windjammer South appears to closely resemble the style of
mineralization in the nearby Southwest Zone. Gold mineralization is
typically hosted by fine quartz veining within a restricted window
of variably altered (hematite, silica and sericite) Timiskaming
sediments which form the hanging wall to a sequence of banded
magnetite iron formations.
To view Figure 2. Windjammer Drill Holes please click on the
following link:
http://www.ccnmatthews.com/docs/map2.doc
Windjammer North
The Windjammer North discovery is located one kilometre north of
Windjammer South on the northern boundary of the Destor and is on
strike with Moneta's Last Chance, Twin Creek, Miller and Landing
Zones. In total, this area represents a largely unexplored strike
length of 5.3 kilometres. Moneta's historical drilling on these
zones produced several encouraging gold intersections which
included 11.3 g/t over 3.7 metres, 20.6 g/t over 1.2 metres, 8.6
g/t over 2.5 metres, 13.0 g/t over 3.1 metres and 13.0 g/t over 1.8
metres (core lengths).
Windjammer North has been defined by 23 holes totaling 9,500
metres drilled by Noranda over a strike length of 400 metres with
reported intersections including 6.4 g/t over 5.9 metres (core
length). Gold mineralization is hosted in altered mafic volcanic
rocks within ultramafic volcanics and typically consists of quartz
carbonate veining in high strain zones with pyrite, ankerite,
silica, fuchsite and sericite alteration.
Historical Resource Estimate
In respect of the historical resource estimate of the Southwest
Zone calculated by Barrick set out above, a "qualified person" has
not done sufficient work to classify such historical resource
estimate as a current mineral resource or mineral reserve. Moneta
is not treating the historical estimate as current mineral
resources or mineral reserves as defined by NI 43-101. The resource
estimate lists Probable, Possible and Potential tonnages. Moneta
believes that these categories, in the case of the resource
estimate, are indicative of an "inferred resource" as defined by
the Canadian Institute of Mining Standards on Mineral Resources and
Reserves in NI 43 - 101. The historical resource estimate should
not be relied upon.
About Moneta
Moneta has 10 gold projects in the Porcupine and Golden Highway
Camps near Timmins, Ontario, located primarily along the Destor,
which include the Southwest Zone and the 50/50 Michaud Joint
Venture properties as part of Moneta's Golden Highway Project.
Moneta is in the process of aggregating and compiling drill and
geological data on the Southwest Zone, Windjammer and surrounding
areas in a comprehensive digital geological model which includes
the Michaud Joint Venture drill programs. The data is being used,
in part, to complete a re-interpretation of the Timiskaming
sedimentary corridor.
This news release includes certain forward-looking statements
concerning the future performance of our business, its operations
and its financial performance and condition, as well as
management's objectives, strategies, beliefs and intentions.
Forward-looking statements are frequently identified by such words
as "may", "will", "plan", "expect", "anticipate", "estimate",
"intend" and similar words referring to future events and results.
Forward-looking statements are based on the current opinions and
expectations of management. All forward-looking information is
inherently uncertain and subject to a variety of assumptions, risks
and uncertainties, including the speculative nature of mineral
exploration and development, fluctuating commodity prices,
competitive risks and the availability of financing, as described
in more detail in our recent securities filings available at
www.sedar.com. Actual events or results may differ materially from
those projected in the forward looking-statements and we caution
against placing undue reliance thereon. We assume no obligation to
revise or update these forward-looking statements.
The TSX does not accept responsibility for the adequacy or
accuracy of this release.
Contacts: Moneta Porcupine Mines Inc. Rod Whyte Chairman,
London, U.K. (44) 207-736-2212 Email: rodwhyte@btinternet.com
Moneta Porcupine Mines Inc. Kevin L. Snook CEO (705) 264-2296
Email: ksnook@monetaporcupine.com Website:
www.monetaporcupine.com