Drilling At Dixie Flats Encounters More Webb Formation Material Than Expected

CALGARY - Showcase Minerals Inc. reported on the drill program on the Dixie Flats - North Star Gold Project located in Elko County, Nevada. The objectives of this first hole (DF24-01) were to drill into the NNE oriented S-Fault near the Devils Gate-Webb contact and test if mineralization extends from a similarly located mineralized hole (DX-5) along the S-Fault, and to test the S-Fault at the Webb Devils Gate contact. The hole is oriented at a 300° azimuth and -55° angle. The lithologies that the Company encountered include 148 metres of overburden (modeled 142 metres), 117 metres of Chainman Formation sandstone and siltstone (modeled 107 metres), and 88 metres of Webb Formation carbonaceous and pyritic mudstone with minor siltstone (modeled 19 metres). Showcase desires to complete the hole to the Webb-Devils Gate contact as no drill holes in the hanging wall of the S-Fault on the Showcase claims have tested this contact. The locations of current and previous drill holes, faults interpreted from gravity and the approximate limits of mineralization (0.08 ppm cutoff). HG highlights faults and density contrasts at depth by showing the rates of change in density in the underlying rocks. Hot colors reflect the greatest rates of change.

Factors that have affected the drill rate include: 1) The Webb Formation-Devils Gate Limestone contact is much deeper than the originally modeled 228 metres. 2) Large volumes of water (up to 160 gallons per minute) have been encountered that slow the progression. 3) The current daily drill schedule of 12 hours is limited due to time restrictions during the sage-grouse breeding season.

The second hole in Showcase's drill program is located 330 metres west of DF24-01 in the S-Fault footwall. The planned azimuth is 286° with a -80° inclination. The total depth is planned at 152 metres.

A third possible hole is under consideration adjacent to DF24-02 that would be oriented between 270° and 280° azimuth with a similar inclination. The objective is to test the S-Fault at a higher elevation and at nearly right-angles to the fault orientation. Anticipated depths are 360 to 370 metres.

Kirk Reed, President, said, "We are pleased with how drilling has proceeded to date and are encouraged by the fact that we have encountered more Webb formation material than anticipated. The nearby Emigrant Springs Mine and the Rain Mine deposits are located at the contact point between the Webb mudstone and the underlying Devils Gate limestone. These structures are also on trend with Orla Mining Ltd.'s Dark Star Gold Deposit."