Serengeti Resources Inc (SIR)

[Ed Monton]

Serengeti drills 111 m of 0.69% Cu, 0.54 g/t Au


2007-01-09 09:18 ET - News Release

Mr. David Moore reports

SERENGETI DRILLS MAJOR COPPER-GOLD INTERCEPT ON KWANIKA PROPERTY 111 METRES OF 0.69% COPPER AND 0.54 G/T GOLD

Serengeti Resources Inc.'s assay results of hole K-06-9, from the recently completed second phase of drilling on its 100-per-cent-owned Kwanika property, confirm the discovery of a potentially major new copper-gold mineralized zone. Kwanika is situated in the prolific Quesnel trough, between the operating Kemess mine and Mount Milligan development project, and is accessible by road from Fort St. James, B.C.

Hole K-06-9, which was drilled vertically, intersected a sulphide zone averaging 0.69 per cent copper and 0.54 gram per tonne gold over 111.13 metres including a high-grade zone located near its base averaging 1.49 per cent copper and 1.9 g/t gold over 22.15 metres. An overlying, 34-metre-thick native copper-bearing oxidized zone was intersected above the sulphide zone. Full results from the hole are presented in the table below. K-06-9 was drilled near the centre of a large induced polarization geophysical anomaly which potentially indicates a large sulphide system measuring 2,500 metres long by 300 to 700 metres wide. A plan map of the drill holes at Kwanika can be found on Serengeti's website.

"This is a significant result and represents one of the best holes drilled on a greenfields porphyry copper-gold discovery in British Columbia in a long time," stated president and chief executive officer David Moore. "The grade of this hole compares very favourably with the Kemess mine (0.21 per cent copper, 0.65 g/t gold) and Mount Milligan (0.25 per cent copper, 0.6 g/t gold). The potential size of the system is large and equally exciting is the fact that the best grades appear to be interrupted near the bottom of the hole by several more recent crosscutting dikes, which strongly suggests that the mineralized system may extend to greater depth," explained Mr. Moore. "We are currently planning a large follow-up drill program which will take advantage of the fact that Kwanika is a road-accessible, year-round project."

 
                       K-06-9 SIGNIFICANT RESULTS 
  
 Zone           From         To     Interval       Cu       Au      Ag 
                  (m)        (m)          (m)       %      g/t     g/t 
  
 Oxide         73.10     107.15        34.05     0.18     0.09     0.6 
 Sulphide     112.62     223.75       111.13     0.69     0.54     2.3 
           including 
 Sulphide     112.62      172.0        59.38     0.58     0.24     2.1 
                 and 
 Dike          172.0     183.85        11.85    trace    trace   trace 
                 and 
 Sulphide     183.85      206.0        22.15     1.49     1.90     4.6 
                 and 
 Sulphide      206.0     209.35         3.35     0.56     0.28     1.9 
                 and 
 Dike         209.35     217.15         7.80     0.02    trace     0.1 
                 and 
 Sulphide     217.15     223.75         6.60     1.02     0.34     3.4 
                         230.74  
 Dike         223.75        EOH         6.99    trace     0.09   trace 
 

..........


K-06-9 is the southernmost of five holes drilled in November within the central part of the large IP chargeability anomaly described above (see news reported in Stockwatch Dec. 8, 2006). Three of these holes plus an earlier hole (K-06-4) were drilled on a fence 250 metres north of K-06-9 and a fourth hole was drilled a farther 250 metres to the north, near the eastern edge of the IP anomaly. Altered and variably mineralized rocks were encountered in all five holes from the current program, with K-06-9 yielding the strongest visible signs of copper mineralization to date. The current interpretation by company geologists is that these northern holes may have been drilled either to too shallow a depth or peripheral to the mineralized intrusive(s). The target remains completely untested by diamond drilling south of K-06-9. The remaining holes from the current program have been submitted for analysis and the balance of the results will be provided when available.

Analytical results from the current program were completed at Global Discovery Labs in Vancouver, B.C. A comprehensive quality assurance/quality control program including duplicate samples, blanks and standards formed part of the sampling protocol in addition to the laboratory's own quality assurance program. The field program was supervised by Markus Vanwermeskerken, PGeo, who is an independent qualified person under the definition of National Instrument 43-101. The technical information in this news release has been prepared in accordance with Canadian regulatory requirements as set out in National Instrument 43-101, and reviewed by the company's qualified person, Mr. Moore, PGeo.