Appleton Exploration Inc. Options the Sping Copper-Silver Property
May 29, 2007 - Vancouver, British Columbia. Appleton Exploration Inc. (TSX-V: AEX) has entered into an option agreement dated May 25, 2007 to acquire the Sping Copper-Silver property, located 160 kilometres north of Smithers, British Columbia, subject to acceptance for
filing by the TSX Venture Exchange. The Sping property is comprised of the Sping mineral claim (287.7 hectares). The Company has also staked an additional 11 mineral claims, which are contiguous with the Sping claim. The property package now totals 4,603 hectares.
Appleton may earn a 100% interest in the Sping claim, subject to a 2.5% net smelter return (“NSR”) royalty to the Vendor, by making cash payments totalling $170,000, issuing 200,000 common shares and completing $1,000,000 in exploration expenditures on or before the third anniversary date of acceptance for filing by the TSX Venture Exchange. Appleton has the option to purchase up to 1.5% (3/5) of the NSR, in increments of 0.5% for a total cost of $1,750,000.
The Sping property lies within volcanic and volcaniclastic with interbedded sedimentary rocks, of the Jurassic Hazelton Group on the eastern boundary of the Bowser Basin. Previous exploration has focussed on a dolomitic limestone that carries finely disseminated silver rich chalcopyrite. Drilling by Canadian Superior Exploration Limited in the early to mid 1970’s outlined a historical resource of 5,000,000 tons grading 0.5% copper and 11.9 grams/ton silver.
Appleton has not prepared nor confirmed this resource estimation and as it pre-dates National Instrument 43-101, it does not comply with NI 43-101 requirements for mineral resource estimation. No qualified person has done sufficient work to classify the historical estimate as a current resource. The Company does not treat these numbers as a current resource on the property and the resource should not be relied upon, but remains an historic figure.
A review of the assessment record shows programs of soil sampling and induced polarization (IP) geophysics were completed by Canadian Superior prior to drilling. There is no record of detailed mapping. Drilling concentrated on the mineralized dolomitic limestone. The IP survey located several additional unexplored anomalies in the area. Later prospecting during a 1993 property examination by Inco located a second occurrence of the mineralized dolomitic
limestone 200 metres to the south of the limestone drilled in 1973. This second occurrence returned copper and silver values from surface grab sampling that are similar to the surface values in the previously drilled limestone.
The persistency and consistency of copper grades between drill holes and its apparent coincidence with a dolomite unit suggests copper-silver mineralization on the Sping property represents sediment-hosted stratabound copper mineralization. This could suggest good potential for large tonnage. In addition, the Sping property has some similarities to the geological setting at the Eskay Creek Mine. The Sping property is located on the eastern edge of the Bowser Basin, whereas Eskay Creek lies on the western edge of the basin. Some comparable rock types, stratigraphy and style of copper mineralization occur at both. Therefore, the Company will also evaluate the Sping property for Eskay Creek style mineralization.
The Company plans an initial program of soil geochemistry, prospecting and mapping followed by ground or airborne geophysics on the Sping property.
On Behalf of the Board of Directors,
“R. Tim Henneberry”
R.Tim Henneberry, P.Geo.
President and CEO
National Instrument 43-101, who has reviewed and approved the technical content of this news release.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this