DRC outlines copper-gold zone at Ajax

Vancouver — Drilling between two previously mined pits at DRC Resources‘ (DRC-T) Ajax property, near Kamloops, B.C., has uncovered a large copper- and gold-mineralized system in a porphyry environment.

Crews outlined a near-surface, low-grade, sulphide copper zone with an interpreted thickness of more than 300 metres, extending deeper than the previous workings, and a strike length in excess of 400 metres.

Says DRC President John Kurzick: “We drilled between the Ajax East and West pits, and could see some continuity in the middle, which is possibly a continuation of the mineralization that exists between them. The length is something like five-hundred to seven-hundred metres between the pits. Previous work was limited.”

Three of the five drill holes returned wide intercepts of low-grade copper and gold including the following:

— Hole 1 — Multiple mineralized zones were encountered, including 51 metres (from 75 metres) of 0.232% copper and 0.145 gram gold per tonne, 121 metres (from 156 metres) grading 0.24% copper and 0.169 gram gold, 63 metres (from 307 metres) of 0.362% copper and 0.165 gram gold, and 31.2 metres (from 421 metres) of 0.249% copper and 0.126 gram gold.

— Hole 2 — 194 metres (from 26 metres) grading 0.233% copper and 0.141 gram gold, plus 123 metres (from 277 metres) grading 0.221% copper and 0.082 gram gold;

— Hole 4 — 278 metres (from 27 metres) grading 0.233% copper and 0.159 gram gold.

“We’ve got the information, we’re modeling it, and we want see if there’s a higher-grade core,” says Kruzick.

The Ajax pits were operated by Teck Cominco (tek-t) in the early 1990s; ore was shipped to the Afton mine, 10 km away (DRC has an option to earn a 100% interest in Afton, which is no longer producing).

In 2002 and 2003, the company identified a new, significant copper-gold deposit adjacent to the Afton open pit.

A scoping study has outlined a measured and indicated resource of 68.7 million tonnes grading 1.08% copper and 0.85 gram gold (an equivalent grade of 1.68% copper has been assigned). The proposed mining plan at Afton calls for underground panel (block) mining at the daily rate of 9,000 tonnes.

DRC is receiving tenders from mining contractors for the Afton mine and plans to make its selection and commence work by August 2004.

The company has 13.2 million shares outstanding and trades in the range of $5.50 per share.