FOR RELEASE AT 6:45 AM PST
June 22, 2006
PREMIUM EXPLORATION ANNOUNCES EXTENSION OF THE PINE CLAIM SHEAR ZONE
VANCOUVER, BRITISH COLUMBIA–(CCNMatthews – June 22, 2006) – Premium Exploration, Inc. (TSX VENTURE:PEM) (“Premium” or the “Company”) (http://www.premiumexploration.com) is pleased to announce the staking of 60 new quartz lode mining claims to cover a recently discovered southern extension of the Pine Claim Shear Zone in Montana (“Shear Zone.”) This southern extension of the Shear Zone was discovered during the Company’s 2005 Stillwater Complex exploration program which was terminated before completion due to early heavy snow fall in the Stillwater Complex.
The Pine Claim Shear Zone is a later occurring fault system cross-cutting the Stillwater layered rocks. The layered rocks include the JM reef, which hosts the Stillwater Mine and the East Boulder Mine that are currently being mined for platinum group metals by the Stillwater Mining Company (NYSE:SWC). The Shear Zone is approximately 2,250 feet long and is up to 100 feet wide, and is open along strike to the north and south, as well as down dip. The mineralization in the Shear Zone includes gold, platinum, palladium and rhodium. The newly staked claims cover the recently identified extension of the shear zone. This increases the strike length of the previously identified structure by approximately 1,000 feet. The Company’s exploration on the Shear Zone has consisted of geological mapping and sampling, geochemical analysis, and a 1,300 foot, 7 hole drill program conducted in 2004 that verified historic drilling results on the Shear Zone. The most notable historic drill results are as follows:
- PC-2 intersected 26.2 feet containing 16.9 grams/ton of Gold
- PC-3 intersected 3.5 feet of 10.3 grams/ton of Gold
- PC-5 intersected 8.6 feet of 29.7 grams/ton of Gold
- PC-6 intersected 4.5 feet of 11.9 grams/ton of Gold and a second intercept of 2.4 feet of 37.3 grams/ton of Gold
- PC-9 intersected 15.9 feet of 16.6 grams/ton of Gold
Three of the holes drilled by the Company were drilled on the west side of the Shear Zone and the remaining four holes were drilled on the north and east edges of the Shear Zone and verified the previous 1,000 foot length by 100 foot width delineation of the Shear Zone. The Company’s notable drill results from this program are presented in the following table:
Table 1 – Notable Assay Results from 2004 Drill Program
|
Drill Hole |
From |
To |
Interval Feet |
Au / |
Pt |
Pd |
|
Feet |
Feet |
GPT |
GPT |
GPT |
||
| PC2004-3 |
91.5 |
95 |
3.5 |
3.073 |
0.154 |
0.22 |
| PC2004-3 |
95 |
96.75 |
1.75 |
12.883 |
0.389 |
0.713 |
| PC2004-4 |
0 |
4.5 |
4.5 |
0.084 |
0.532 |
1.587 |
| PC2004-5 |
4 |
6 |
2 |
0.068 |
0.772 |
1.523 |
| PC2004-7 |
111 |
113 |
2 |
0.172 |
1.14 |
5.052 |
| PC2004-7 |
113 |
115 |
2 |
0.082 |
1.095 |
2.69 |
| PC2004-7 |
124 |
126.5 |
2.5 |
0.04 |
0.56 |
1.552 |
| PC2004-7 |
126.5 |
129 |
2.5 |
0.405 |
0.72 |
3.032 |
The Company is currently undertaking a through review of all available existing data on its Stillwater Complex Property and will announce its 2006 Stillwater Complex exploration program upon completion of this review. Mr. Wilf Struck, P.Eng., geologic consultant to the Company is the Qualified Person (“QP”) responsible for the technical disclosure in this press release, in accordance with National Instrument 43-101.
About Premium Exploration, Inc.:
Premium Exploration, Inc., is a Toronto Venture Exchange listed junior exploration company. Premium is being strategically developed to maximize the economic potential of the currently developing bull market in precious metals. The Company’s exploration prospects consist of three significant land packages, one is located in the Stillwater Complex in the State of Montana and two are located in the states of Nayarit and Sonora, Mexico, respectively. The Company’s exploration targets have indicated mineralization consisting of gold, silver, copper, nickel and platinum group metals. More information can be found on our website at http://www.premiumexploration.com or on the SEDAR website at http://www.sedar.com.
Contact Information:
Mr. Del Steiner
President and CEO
Premium Exploration, Inc.
(604) 682-0243
Email:
dsteiner@premiumexploration.com
The information in this press release is not NI 43-101 compliant and should not be relied upon as such. This press release contains certain “Forward-Looking Statements” within the meaning of Section 21E of the United States Security Exchange Act of 1934, and involve a number of risks and uncertainties. Important factors that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents files from time to time with the TSX Venture Exchange and the British Columbia Securities Commission. All statements, other than of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Information contained in this news release includes information about adjacent properties on which we have no right to explore or mine. We advise investors in the United States that the SEC’s mining guidelines strictly prohibit information of this type in documents filed with the SEC. United States investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.