Anglo American Exploration turns up heat at MAN project

Anglo American Exploration (USA) Inc. completed phase 2 program of its exploration on Area 1 (Fish Lake-Dunite Hill Area) of the MAN Alaska property June 20, according to owner Nevada Star Resource Corp. A total of 7,330 feet of drilling was completed in eight holes. The MAN Alaska property is 164 miles southeast of Fairbanks and 248 miles northeast of Anchorage. Exploration by Nevada Star began in 1995 in this large area which is characterized by its extremely anomalous nickel, PGE, and gold concentrations. Exploration results to date indicate the property has the potential for a significant discovery of nickel, platinum-group elements, and gold metals.

Tentatively scheduled for August, Anglo American plans to further refine and identify new targets for winter-spring drilling in 2006, committing additional funding above its contract, Nevada Star said. The extended exploration will include surveys over selected target areas identified in previous exploration programs.

Fish Lake, Dunite Hill phase 2 focus

In phase 2, Anglo American sought to identify nickel sulphide mineralization through drill testing of selected priority geological, geochemical and geophysical targets. The focus of the program was the Fish Lake and Dunite Hill intrusions, which together comprise 150 square miles of the 271 square mile MAN Alaska project area. Assay results will be released after quality assurance and quality control confirmation by Anglo American.

The MAN Alaska project consists of five distinct project areas: Canwell, Rainy/ Eureka, Summit Hill, Dunite Hill/Fish Lake and Broxson. Under the terms of its joint venture agreement with Nevada Star, Anglo American can earn a 51 percent interest in the southern portion of the MAN Alaska property by spending a total of $12 million by 2008. Anglo America also has the right to increase its interest by an additional 19 percent by completing a positive feasibility study, at its expense, and an additional 5 percent by arranging production financing for Nevada Star and itself.

Nevada Star currently has projects in Alaska, Nevada and Utah.