Silver Grail Resources Ltd. (“SVG”:TSX-V) (“Silver Grail”) and Teuton Resources Corp. (“TUO” TSX-V, “TFE”- Frankfurt ”) (“Teuton”) are pleased to provide the following progress report regarding four of their jointly owned properties in the Stewart region of northwestern British Columbia.
Konkin Silver property — Pad construction is complete and drilling is expected to begin imminently to test the King Konk and Konkin Silver structures at depth. Previous sampling of the King Konk returned trench intervals ranging from 13.1 feet of 4.21 oz/ton silver to 5.7 feet of 27.00 oz/ton silver; previous sampling of the Konkin Silver showing returned trench or chipline intervals ranging from 14.8 feet of 2.53 oz/ton silver to 29.5 feet of 34.94 oz/ton silver. The drilling will attempt to test the theory that the various surface showings may represent fingers and/or tails of replacement material from a much larger source at depth (similar to the style of mineralization at the formerly producing Torbrit Silver mine to the south).
Clone property — Seven holes totaling 3,240 feet have been completed in the initial phase of drilling on the property, all concentrating on targets within the Main Zone. Core logging and diamond sawing of the core is complete and samples have been shipped to Pioneer Laboratories in Richmond, BC for analysis.
The Clone gold-cobalt property is situated 12 miles southeast of Stewart and is under option to Canasia Industries Inc. (“Canasia”) (“CAJ”TSX-V). Canasia has announced plans for a second phase drilling program for the Clone in October after receipt and review of results from the initial program.
Tonga property — Seven holes totaling 4,500 feet have been completed testing various silver and silver-gold targets identified by prospecting, geochemical surveys and geophysical surveys. Core logging is complete and diamond sawing of the core is underway. Samples will be shipped when ready to Pioneer Laboratories in Richmond , BC for analysis. (For further details on the Tonga property please refer to the News Release dated Sept. 5, 2006).
Fiji (Tonga North) property — The Fiji property is situated due north of the Tonga property and adjoining to the west of the Homestake Ridge property of Bravo Ventures wherein Bravo reported a drill intersection of 14.8 metres grading 15.7 g/t gold. Recent investigation by Silver Grail-Teuton personnel of a prospect located near the common boundary of the Fiji and Homestake Ridge properties (but within the Fiji claims) has uncovered promising mineralization. Grab and chip samples were taken from two styles of mineralization and returned values ranging from trace to 1.37 oz/ton gold. The best gold values came from sulfide-rich fractures in a highly altered intrusive, possibly a Goldslide Intrusion. Lesser gold values were obtained from barite-sphalerite-galena-tetrahedrite bearing outcrops recently exposed by snow meltback to the west. This latter style of mineralization is similar to the exhalative Konkin Silver structures. Silver and base metal assays from these outcrops have not yet been received.
D. Cremonese, P.Eng., is the Qualified Person for Silver Grail Resources Ltd. and Teuton Resources Corp. in regard to data presented in this News Release.
“D.Cremonese, P.Eng.”, President
Silver Grail Resources Ltd.
Teuton Resources Corp
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This news release includes certain forward-looking statements concerning the future performance of our business, its operations and its financial performance and condition, as well as management’s objectives, strategies, beliefs and intentions. Forward-looking statements are frequently identified by such words as “may”, “will”, “plan”, “expect”, “anticipate”, “estimate”, “intend” and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks and the availability of financing, as described in more detail in our recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward looking-statements and we caution against placing undue reliance thereon.
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