Mongolian Resource Play

[Tackler]

Fortress Minerals increases Shiveen Gol zone to 2.6 km

Fortress Minerals Corp (TSX-V:FST)
Shares Issued 44,343,838
Last Close 7/13/2004 $0.40
Wednesday July 14 2004 - News Release

Mr. Steve Swatton reports

SHIVEEN GOL UPDATE - 2004 ROCK SAMPLING RESULTS EXPAND ZONE OF COPPER-GOLD MINERALIZATION TO APPROXIMATELY 2.6 KM(2)

Recent rock sampling results from Fortress Minerals Corp.'s 100-per-cent-owned Shiveen Gol copper-gold project in northwest Mongolia have significantly enhanced the surface extent of known mineralization. The project is drill ready and site preparation is under way to start a proposed drilling campaign of a minimum of 2,000 metres for later this month.

The Shiveen Gol project is located 1,100 kilometres west of Ulaanbaatar, the capital city of Mongolia. The project area was first investigated by the current exploration team in 2003. The mineralization is interpreted to represent an iron-oxide copper gold (IOCG) system located on the flanks of a large multistage Caldera complex (of approximately 35 square kilometres in size). The current zones of interest within the Shiveen Gol mineralized system, the Ring dike zone (RDZ) and Sino pit zone (SPZ), appear to have not been investigated by previous Russian and Mongolian expeditions as their attention appears to have been focused on nearby polymetallic veins. However, it is believed that approximately 10,000 tonnes of rock had been extracted from three pits within the SPZ by ancient miners (pre-18th century). The RDZ (1.6 square kilometres) and SPZ (one square kilometre) are located adjacent to each other and within a few hundred metres of a regional north-to-northwest-trending structure.

The Ring dike zone was recognized at the end of the 2003 field season and partially investigated by two diamond drill holes, a third was started but terminated prematurely due to bad weather. All three holes intercepted anomalous copper mineralization in the range 0.1 per cent to 0.5 per cent copper. These holes are now interpreted to be located on the edge of the Shiveen Gol mineralized system as determined by the results of ground magnetic work and rock geochemistry completed in 2004.

To date, a total of 98 rock chip and grab samples have been collected from the RDZ. Of these samples, 20 assayed in excess of 1 per cent Cu including one continuous 17-metre chip sample returning a value of 2.5 per cent Cu. The maximum value obtained to date from the RDZ is 5.9 per cent Cu. Precious metal results also indicate that local enrichment has taken place with results for Au up to 301 parts per billion, and Ag up to 102 parts per million.

The recently discovered Sino pit zone is approximately two kilometres by 500 metres and comprises disseminated chalcopyrite within quartz monzonites and metamorphosed diorites. Over 30 rock geochemistry sample results are pending for this zone but of the 36 samples collected to date 22 contain in excess of 0.5 per cent Cu and five contain Cu concentrations in excess of 1 per cent Cu (maximum 1.9 per cent Cu). The SPZ is scheduled to be drilled in the proposed upcoming drill program.

In summary, the 2004 exploration program at Shiveen Gol has been successful in significantly increasing the size of the zone of interest from less than one square kilometre to approximately 2.6 square kilometres. Fortress intends to drill a minimum of eight to 10 holes or approximately 2,000 metres into the Shiveen Gol prospect (RDZ and SPZ zones). The type of drilling scheduled is a combination reverse circulation/diamond drill capable of angled holes.

Fortress currently holds 100-per-cent interest in 1.75 million hectares of exploration permits in Mongolia. Besides Shiveen Gol, Fortress is also currently working on two other exploration fronts in Mongolia, the Erdenet copper-molybdenum (gold) belt and Huvsgol gold project. Further information on the proposed drilling program at Shiveen Gol and the exploration progress at the other programs will be released during the current field season.

Rock samples were prepared and pulped by Analabs (a subsidiary of SGS Laboratories) in Ulaanbaatar. Acme Analytical Laboratories Ltd., Vancouver, assayed the pulps. Fortress randomly incorporates one of six quality control laboratory standards into the analytical procedure. The standards were provided by Ore Research and Exploration Pty. Ltd. (Australia) and each standard has been evaluated by several recognized mineral testing laboratories in accordance with International Standards Organization (ISO) recommendations. The company's qualified person under National Instrument 43-101 is Greg E. McKelvey, a registered geologist in Wyoming and a certified professional geologist in accordance with the guidelines of the American Institute of Professional Geologists. Mr. McKelvey is also a member of the Society of Economic Geologists, and a fellow of the Geological Society of America.