VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 12, 2013) - Constantine Metal Resources Ltd. (TSX VENTURE:CEM) ("Constantine" or the "Company") is pleased to report results for the first four holes of a 4000 meter drill program on its Palmer VMS Project, Alaska ("Palmer" or "Project"). The drill program is part of a US $3,000,000 budget for 2013 funded by Dowa Metals & Mining Co., Ltd. of Japan ("Dowa"). Drilling is focused on expanding the South Wall and RW Zones, which host a National Instrument 43-101 compliant 4.75 million tonne inferred resource grading 1.84% copper, 4.57% zinc, 0.28 g/t gold and 29 g/t silver*. Mineralized intersections are reported for the first four holes in the table below, and represent 35 to 100 meter step-outs.
Table 1. Assay Results
| Drill Hole | From | To | Width** | Width | Cu | Zn | Pb | Ag | Au | Zone |
| (feet) | (feet) | (feet) | (meters) | % | % | % | (g/t) | (g/t) |
| CMR13-43 | 700.7 | 783.4 | 82.7 | 25.23 | 1.17 | 0.43 | | 8.5 | 0.07 | SW Zone I |
| Includes | 748.6 | 783.4 | 34.8 | 10.63 | 1.77 | 0.27 | | 13.8 | 0.15 | SW Zone I |
| CMR13-44 | 535.5 | 546.5 | 11 | 3.36 | 0.51 | 9.18 | 0.92 | 46.2 | 0.21 | RW Zone |
| Includes | 539.4 | 544.4 | 5 | 1.5 | 0.82 | 15.05 | 1.52 | 76.2 | 0.34 | RW Zone |
| CMR13-45 | 469.3 | 540.6 | 71.3 | 21.71 | 2.36 | 9.06 | 0.13 | 28.8 | 0.33 | SW Zone I |
| Includes | 470.8 | 509.8 | 39 | 11.88 | 3.29 | 10.48 | 0.12 | 35.5 | 0.44 | SW Zone I |
| CMR13-46 | 684 | 751.5 | 67.5 | 20.58 | 0.92 | 7.18 | 0.25 | 45.3 | 0.32 | SW Zone II |
| Includes | 684 | 726.3 | 42.3 | 12.9 | 0.83 | 10.26 | 0.37 | 63.3 | 0.44 | SW Zone II |
| **Drill intercepts reported as core lengths are estimated to be 85-100% true width, except for CMR13-43 which is estimated to be 50 to 60% true width. Averages are weighted for length and density. |
Drill holes were designed to expand and test the outer edges of the existing resource. Drill holes CMR13-43, 45 and 46 successfully expanded the outer limits of South Wall mineralization (see Figure 1) and hole CMR13-44 confirmed mineralization between the RW East and West Zones (see Figure 2).
Hole CMR13-43 intersected strong chalcopyrite stringer style mineralization and represents an approximately 35 meter down-dip step-out on Zone I. This hole was drilled on an oblique angle and stayed in footwall mineralization and alteration and did not penetrate the main massive sulphide bearing horizon. Hole CMR13-45 is a 65 meter up-dip step-out on South Wall Zone I and intersected a thick zone of massive sulphides. Hole CMR13-46 intersected South Wall Zone II massive sulphide mineralization approximately 50 meters west and 50 meters up dip of previous drilling. This intersection significantly expands an area of thick Zone II mineralization, and opens the potential to add additional tons between the base of Zone I and the currently defined top of Zone II. Based on a revised geological model, South Wall Zone II is interpreted to represent the faulted offset of South Wall Zone 1. For additional drill sections and geological figures please visit www.constantinemetals.com.
Drill hole CMR13-44 targeted the RW Zone with an approximately 100 m eastward step out from the nearest drill intersection and confirms the presence of high-grade massive sulphide mineralization between the RW East and RW West resource areas.
Update on Metallurgical Work
A metallurgical test program is underway at SGS Canada's Vancouver facility. The work is being performed on a composite of 212 assay sample rejects from past drilling. The composite has responded well to flotation with the initial series of rougher and cleaner tests yielding high grade copper and zinc concentrates. Based on these results a conventional copper/zinc sequential flotation flowsheet has been developed for locked cycle test work. The locked cycle tests will be performed on the same sample composite with work to commence immediately.
About Palmer and the Dowa Agreement
Palmer is a high-grade VMS project located in a very accessible part of coastal southeast Alaska, with road access to the edge of the property and within 60 kilometres of the year-round deep sea port of Haines. Under the terms of an Option and Joint Venture Agreement signed February 2013, Dowa has the option to earn a 49% interest in the Project by making aggregate expenditures of US$22,000,000 over a four year period. Expenditures for each year shall not be less than US$3,000,000, with Dowa funding a minimum of US$3,000,000 in year one as a firm commitment. Included in the aggregate expenditure are cash payments to Constantine totalling US$1,250,000 over four years, of which US$500,000 was received upon signing of the Agreement. Constantine is Operator for work programs carried out during the earn-in period.
About the Company
Constantine is a mineral exploration company with multiple active projects located in premier North American mining environments. In addition to the flagship Palmer copper-zinc-silver-gold VMS Project, other major projects include; (1) the 100% owned Timmins area Munro-Croesus Project a past-producing mine property that yielded some of the highest grade gold ever mined in Ontario and includes strategically located claims immediately along trend from the Fenn-Gib gold deposit (1.35 million ounces indicated and 0.75 million ounces inferred); (2) the large Golden Mile property in the Timmins gold camp that is optioned to Teck Resources Ltd. who can earn up to 66% by spending $5M; and (3) the 50/50 Joint Venture with Carlin Gold Corporation exploring an approximately 800 sq. km land position in an emerging new Carlin-type gold district in Yukon. Please visit the Company's website (www.constantinemetals.com) for more detailed company and project information.
On Behalf of Constantine Metal Resources Ltd.
Garfield MacVeigh, President
* See the Company's technical report entitled, "Palmer VMS Project, Southeast Alaska, Mineral Resource Estimation and Exploration Update" dated March 4, 2010 and available on www.sedar.com. Resource estimate utilizes an NSR cut-off of US$50/t with assumed metal prices of US$700/oz for gold, US$12/oz for silver, US$2.25/lb for copper, and US$0.85/lb for zinc, with estimated metal recoveries of 55%, 55%, 90%, and 90% respectively.
Notes:
Samples of drill core were cut by a diamond blade rock saw, with half of the cut core placed in individual sealed polyurethane bags and half placed back in the original core box for permanent storage. Sample lengths typically vary from a minimum 0.3 meter interval to a maximum 2.0 meter interval, with an average 1.0 to 1.5 meter sample length. Drill core samples were shipped by transport truck in sealed woven plastic bags to ALS Minerals laboratory facility in North Vancouver for analysis. ALS Minerals operate according to the guidelines set out in ISO/IEC Guide 25. Gold was determined by fire-assay fusion of a 30 g sub-sample with atomic absorption spectroscopy (AAS). Various metals including silver, gold, copper, lead and zinc were analyzed by inductively-coupled plasma (ICP) atomic emission spectroscopy, following multi-acid digestion. The elements silver, copper, lead and zinc were determined by ore grade assay for samples that returned values >10,000 ppm by ICP analysis. Density measurements were determined at the project site by qualified Constantine personnel on cut core for each assay sample.
The 2013 exploration program for the Palmer project is managed by Darwin Green, VP Exploration for Constantine Metal Resources Ltd. and a qualified person as defined by Canadian National Instrument 43-101. Mr. Green has reviewed the information contained in this news release and has also verified the analytical data for drill core samples disclosed in this release by reviewing the blanks, duplicates and certified reference material standards and confirming that they fall within limits as determined by acceptable industry practice. The analytical results have also been compared to visual estimates for the base metals to check for any obvious discrepancies between analytical results and the visual estimates.
Forward-looking statements: This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements")." Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the expected. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on 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.
To see Figure 1 and Figure 2, please visit the following link: http://media3.marketwire.com/docs/Figure1-and-2.pdf.
