VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/16/12 -- Zone Resources Inc. (Zone) (TSX VENTURE: ZNR)(FRANKFURT: 7ZR) reports that the Company is evaluating a range of possible strategic options for its Labrador Trough Iron Properties located in Northern Quebec. The Company wishes to accelerate the exploration and development of its Labrador Trough Iron Properties.
In 2011 the company reported initial drill results which have been encouraging. These initial results together with an extensive land package provide an opportunity to seek potential strategic alliances with interested major companies. Such companies could provide the capacity to expedite the exploration and development of the assembled Labrador Trough Iron Properties, maximizing shareholder value.
This strategic initiative is ongoing and the Company will inform its shareholders if there are material developments to report.
The Girard Iron Property has magnetic anomalies with an aggregate length of some 75 kilometers. Recent diamond drill results from the Girard property include drill hole ZR11-08 which intersected iron formation with an average grade of 35.77% Fe over 243.00 meters (see press release January 10, 2012) and drill hole ZR11-09 which intersected iron formation with an average grade of 35.64% Fe over 137.00 meters (see press release December 7, 2011). To date, preliminary field work and an initial 2011 drill program has resulted in two drill holes reporting significant widths and encouraging iron analyses. In 2012, further field work is required to test the potential of the Girard Iron Property and three additional claim blocks that make up the company's Labrador Trough Iron Properties.
The Company confirms the acreage/hectares of the Labrador Trough Iron Properties as follows:
--------------------------------------------------------------------------- PROPERTY ACREAGE HECTARAGE --------------------------------------------------------------------------- Girard 63,041.86 25,512.14 --------------------------------------------------------------------------- Moore-Ross 35,059.11 14,187.92 --------------------------------------------------------------------------- Bob Lake 5,080.39 2,055.96 --------------------------------------------------------------------------- Knob Hill 2,971,51 1,202.53 --------------------------------------------------------------------------- Totals 106,152.87 42,958.55 ---------------------------------------------------------------------------
Technical information in this news release has been prepared and/or reviewed by Michael Magrum, P.Eng., a Qualified Person as defined in NI 43-101. Analyses were performed by Activation Laboratories Ltd. using X-Ray fluorescence.
About Zone Resources Inc.
Zone Resources Inc. is a Canadian Iron exploration and development company with 4 major projects situated in the Labrador Trough of Quebec, Canada. The properties are near Adriana Resources' Lac Otelnuk Project and New Millennium's Kemag and Labmag Projects. The Company's shares trade on the TSX Venture Exchange under the symbol ZNR and on the Frankfurt Exchange under the symbol 7ZR.
Cautionary note:
This report contains forward looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Zone Resources Inc.
Vancouver Office
(604) 683 5445
(604) 687-9631 (FAX)
info@zone-resources.com
www.zone-resources.com
