Cadillac Mining Corporation announces that it has entered into an option agreement with the Estate of Frank Onucki to acquire 567 hectares of mineral claims comprising the Herd Dome copper property. Located in the Omineca Mining Division of west central British Columbia, the prospect is situated 70 kilometers southwest of Houston, BC in a region which hosts several significant porphyry copper deposits, including the Huckleberry Mine located 69 km to the southeast.

Despite encouraging prospecting results over several decades, the Herd Dome prospect has not been methodically mapped or sampled, nor has there been any drilling. It and the surrounding area are virtually unexplored, due primarily to the rugged terrain and previously difficult access. More recently, a network of logging roads has penetrated to within 1.5 km of the main showing on the prospect. Extending one of the existing roads would therefore provide direct access to the upper reaches of the property.

The Herd Dome prospect was discovered in the 1970’s by ‘grassroots’ prospecting for porphyry copper mineralization. The claims staked at that time lapsed as the industry subsequently retrenched. Systematic chip sampling by the prospector-owner in 1982 produced encouraging results which included 15 meters of greater than 1.0% copper, 80 meters of 0.42% copper and 25 meters of 0.42% copper.

Strong copper mineralization is seen in three zones extending over an area measuring 1500 by 2000 meters in a mountainous setting. The most prominent showing is related to a breccia pipe carrying strong, broadly distributed copper mineralization and localized silver values up to approximately 4 oz per tonne. This zone was estimated by Placer Dome Mines, who held the property under option in 1991-92, to measure at least 250 meters in diameter. It also shows as a prominent air photo-identifiable feature of the same magnitude. Copper-bearing minerals chalcopyrite, bornite, covellite, malachite and chalcocite occur as veinlets, stringers, disseminations and pods. Two additional nearby copper showings exhibit very similar mineralogical characteristics, but with lower silver values.

Copper mineralization related to hydrothermal breccia-pipes is believed to represent the upper level expression of a porphyry copper-moly-gold-silver system. These are often found in copper districts where mineralized breccia pipes emanate from large economic porphyry deposits at depth. Examples include the Cananea Mine, Mexico, Galore Creek, British Columbia, and the Rio Blanco-Los Bronces Mine in Chile. Cadillac will commence exploration of the Herd Dome property this summer, based initially on this deposit model.

Subject to regulatory approval, Cadillac can acquire a 100% interest in the Herd Dome property by expending $350,000 on exploration over five years, and making payments totaling $135,000 and 300,000 shares over a 4-year period. The initial payment will comprise $5000 and 25,000 shares. The vendor will retain a production royalty comprising 3% of net smelter return, of which Cadillac can purchase two-thirds or 2% for $2,000,000 and 50,000 shares.

Andre J. Audet, P.Eng., Vice-President Exploration, is the Qualified Person who has reviewed and verified the technical information detailed in this release.

Cadillac Mining Corporation is a junior resource company focused on the acquisition, exploration and development of precious and base metal mineral properties across Canada. Current activities include exploration of a growing number of base-precious metal projects in British Columbia, and of a large gold exploration property near Rouyn-Noranda, Quebec.

Statements contained in this release that are not historical facts may be “forward-looking statements”. Such statements are subject to risks and uncertainties and other factors which may cause actual developments or results or level of activity or performance to vary materially from those projected by Management. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release, which has been prepared by Management.

For further information

First Canadian Capital Corp., (866) 580-8891
Victor Erickson, (604) 684-7300, Email: v.erickson@cadillacmining.com
Website: www.cadillacmining.com

Source: Cadillac Mining Corporation

This entry was posted by Mining News on Thursday, May 29, 2008 at 10:28 pm and is filed under Copper Mining, Precious Metal. Tags: acquisition, Base metal, base-precious metal projects, British Columbia, Cadillac Mining Corporation, Canada, Cananea Mine, Central British Columbia, Chile, Columbia, Company, Copper miner, Copper Mining, Corporation, drilling, Exchange, Exploration, Galore Creek, Gold, Gold Exploration, Halco, Houston, Huckleberry Mine, Hydro, Industry, metal, metal mine, Mexico, mine, Miner, Mineral, Mines, mining, Mining Corporation, moly, Noranda, Omineca Mining Division, Placer Dome, precious and base metal, precious and base metal mineral properties, Precious Metal, Qualified Person, Quebec, Rio Blanco-Los Bronces Mine, Shares, Silver, Southwest, The TSX Venture, TSX Venture, TSX Venture Exchange. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.