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Press release from CNW Group

Mandalay Resources Corporation Announces Completion of a New NI 43-101 Technical Report at its La Quebrada Cu-Ag Project

Thursday, April 15, 2010

Mandalay Resources Corporation Announces Completion of a New NI 43-101 Technical Report at its La Quebrada Cu-Ag Project07:30 EDT Thursday, April 15, 2010TORONTO, April 15 /CNW/ - Mandalay Resources Corporation ("Mandalay" or the "Company") (TSX-V: MND) is pleased to announce that it has completed a new technical report for its La Quebrada copper-silver manto project near La Serena, Chile, which updates previously disclosed technical information based on the most recent drilling program. This report, prepared by Leonardo Diaz (Qualified Person) in accordance with National Instrument 43-101, compiles results from the 2003 and 2006 drilling programs, which have not been previously disclosed, and documents recent Mandalay exploration work in preparation for resource definition drilling planned for later this year. The report demonstrates that significant stratabound Cu-Ag mineralization, intersected by core and reverse circulation drilling, occurs in two stratigraphic horizons within the project area and confirms lateral continuity of these mantos over distances of up to 2.5 km. The potential exists for surface-minable mineralization in at least two areas, Casa de Piedra and Leoncita-Dalmatas. Table 1 below is a summary of the more significant drill results from the 2003 drill program discussed in the report. Table 2 is a summary of the significant intercepts from the 2006 program.Table 1 - Mineralized Intervals from the 2003 drilling campaignMineralized intervals were calculated at a 0.2 % Cu cut-off, with a minimum 3 metre interval length and two metres maximum internal dilution. << ------------------------------------------------------------------------- Casa de Piedra mineralized intervals (2003) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- PQ-03 314,950 6,708,100 4 m (22-26) @ 0.47 Cu %, 3.5 gpt Ag 6 m (34-40) @ 0.6 Cu %, 5 gpt Ag ------------------------------------------------------------------------- PQ-04 314,547 6,707,616 6 m (19-25) @ 0.76 Cu %, 6.7 gpt Ag 5 m (31-36) @ 0.27 Cu %, 2.7 gpt Ag 4 m (46-50) @ 1.05 Cu %, 7.5 gpt Ag ------------------------------------------------------------------------- PQ-05 314,435 6,707,484 5 m (9-14) @ 0.76 Cu %, 8.6 gpt Ag 7 m (20-27) @ 0.19 Cu %, 4.2 gpt Ag 4 m (36-40) @ 0.69 Cu %, 6 gpt Ag ------------------------------------------------------------------------- PQ-06 314,435 6,707,176 6 m (23-29) @ 0.93 Cu %, 9 gpt Ag ------------------------------------------------------------------------- Cerro Colorado mineralized intervals (2003) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- PQ-09 312,025 6,704,925 3 m (12-15) @ 0.64 Cu %, 2 gpt Ag ------------------------------------------------------------------------- PQ-10 311,683 6,705,105 3 m (4-7) @ 0.86 Cu %, gpt Ag 4 m (15-19) @ 0.37 Cu %, gpt Ag 7 m (25-32) @ 0.58 Cu %, gpt Ag ------------------------------------------------------------------------- PQ-11 311,477 6,705,347 6 m (5-11) @ 0.31 Cu %, gpt Ag ------------------------------------------------------------------------- PQ-12 311,851 6,705,643 3 m (0-3) @ 0.37 Cu %, gpt Ag 3 m (10-13) @ 0.36 Cu %, gpt Ag ------------------------------------------------------------------------- Dalmatas mineralized intervals (2003) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- PQ-13 309,393 6,698,233 4 m (41-45) @ 0.7 Cu %, gpt Ag 5 m (47-52) @ 0.85 Cu %, gpt Ag 4 m (63-67) @ 0.29 Cu %, gpt Ag ------------------------------------------------------------------------- PQ-15 309,482 6,696,817 9 m (5-14) @ 0.62 Cu %, gpt Ag ------------------------------------------------------------------------- >> Table 2 - Mineralized intervals from the 2006 drilling campaignMineralized intervals were calculated at a 0.2 % Cu cut-off, with a minimum 3 metre interval length and two metres maximum internal dilution. << ------------------------------------------------------------------------- Casa de Piedra drill hole mineralized intervals (2006) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- RC-096 314,774 6,707,734 9 m (32-41) @ 0.15 Cu %, 3.4 gpt Ag ------------------------------------------------------------------------- RC-097 315,155 6,707,573 6 m (146-152) @ 0.35 Cu %, 6.4 gpt Ag 4 m (159-163) @ 0.83 Cu %, 8.4 gpt Ag 12 m (170-182) @ 0.38 Cu %, 4.3 gpt Ag ------------------------------------------------------------------------- DDH-11 312,263 6,709,320 3 m (11-14) @ 0.5 Cu %, 9.2 gpt Ag ------------------------------------------------------------------------- Dalmatas mineralized intervals (2006) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- DDH-07 307,902 6,699,239 3 m (4-7) @ 0.46 Cu %, 5.7 ppt Ag ------------------------------------------------------------------------- DDH-08 307,007 6,699,514 5 m (22-27) @ 0.31 Cu %, 0.8 gpt Ag ------------------------------------------------------------------------- RC-021 307,777 6,699,465 3 m (4-7) @ 0.4 Cu %, 4.9 gpt Ag 7 m (12-19) @ 0.49 Cu %, 4 gpt Ag ------------------------------------------------------------------------- RC-038 306,990 6,699,768 3 m (57-60) @ 3.3 Cu %, 9 gpt Ag ------------------------------------------------------------------------- RC-039 307,060 6,699,655 3 m (20-23) @ 0.26 Cu %, 1.4 gpt Ag ------------------------------------------------------------------------- RC-057 309,326 6,697,849 12 m (12-24) @ 1.08 Cu %, 3.6 gpt Ag ------------------------------------------------------------------------- RC-060 309,485 6,698,150 8 m (33-41) @ 0.34 Cu %, 3.2 gpt Ag ------------------------------------------------------------------------- RC-063 309,290 6,698,064 5 m (91-96) @ 0.58 Cu %, 5.7 gpt Ag ------------------------------------------------------------------------- RC-065 309,562 6,697,870 7 m (6-13) @ 0.36 Cu %, 3.5 gpt Ag 4 m (125-129) @ 0.18 Cu %, 1.5 gpt Ag 6 m (193-199) @ 0.22 Cu %, 0.2 gpt Ag ------------------------------------------------------------------------- RC-067 309,887 6,698,367 6 m (7-13) @ 0.28 Cu % 0.3 gpt Ag ------------------------------------------------------------------------- RC-068 309,821 6,698,634 17 m (146-163) @ 0.76 Cu%, 12.3 gpt Ag ------------------------------------------------------------------------- RC-078 307,762 6,699,700 5 m (0-5) @ 0.59 Cu %, 8 gpt Ag ------------------------------------------------------------------------- RC-079 307,893 6,699,650 3 m (12-15) @ 0.44 Cu %, 4.6 gpt Ag 4 m (37-41) @ 0.64 Cu %, 3.9 gpt Ag ------------------------------------------------------------------------- RC-084 309,665 6,699,314 3 m (6-9) @ 0.27 Cu %, 1.53 gpt Ag ------------------------------------------------------------------------- RC-098 307,005 6,699,512 3 m (0-3) @ 0.3 Cu %, 2.5 gpt Ag ------------------------------------------------------------------------- Leoncita mineralized intervals (2006) ------------------------------------------------------------------------- Hole_ID Location X Location Y Interval ------------------------------------------------------------------------- DDH-01 306,980 6,701,176 5 m (0-5) @ 0.95 Cu %, 1.7 gpt Ag ------------------------------------------------------------------------- DDH-02 307,605 6,701,189 18 m (4-22) @ 0.69 Cu %, 0.9 gpt Ag ------------------------------------------------------------------------- DDH-05 309,420 6,700,846 4 m (68-72) @ 0.34 Cu %, 2.2 gpt Ag ------------------------------------------------------------------------- RC-001 307,075 6,701,130 4 m (4-8) @ 0.46 Cu %, 2.7 gpt Ag 4 m (13-17) @ 0.31 Cu %, 1 gpt Ag ------------------------------------------------------------------------- RC-009 307,255 6,701,645 5 m (50-55) @ 0.15 Cu %, 1.2 gpt Ag ------------------------------------------------------------------------- RC-028 307,004 6,701,748 10 m (58-68) @ 0.62 Cu %, 2.3 gpt Ag ------------------------------------------------------------------------- RC-031 307,164 6,700,828 7 m (7-14) @ 0.8 Cu %, 2.3 gpt Ag 10 m (27-37) @ 0.79 Cu %, 7.1 gpt Ag ------------------------------------------------------------------------- RC-032 307,231 6,700,774 5 m (8-13) @ 0.29 Cu %, 1.5 gpt Ag 7 m (47-54) @ 0.33 Cu %, 0.6 gpt Ag 10 m (85-95) @ 0.25 Cu %, 0.25 gpt Ag ------------------------------------------------------------------------- RC-046 309,323 6,700,495 3 m (73-76) @ 0.29 Cu %, 2.2 gpt Ag ------------------------------------------------------------------------- RC-075 308,376 6,701,731 5 m (133-138) @ 0.83 Cu %, 6 gpt Ag ------------------------------------------------------------------------- RC-077 308,154 6,701,695 3 m (147-150) @ 0.39 Cu %, 5.1 gpt Ag ------------------------------------------------------------------------- RC-099 306,982 6,701,178 3 m (0-3) @ 0.39 Cu %, 0.97 gpt Ag ------------------------------------------------------------------------- RC-101 309,422 6,700,846 3 m (83-86) @ 0.26 Cu %, 2.5 gpt Ag ------------------------------------------------------------------------- >> A drilling campaign is recommended, and planned by Mandalay for later in 2010, to bound and characterize the grade and quantity of this mineralization. In addition, Mandalay plans to drill-test other targets within the property that are prospective for similar mineralization.Brad Mills, CEO of Mandalay, said, "This report is an excellent example of the disciplined approach that the new Mandalay management team brings to exploration project planning and delivery. Our team has spent the first few months of its effort integrating all of the available data on this project, creating accurate and detailed maps and sections. The emerging extent of the mineral potential of the district is now based on new, fundamental stratigraphic and structural geologic field work combined with a verified set of high-quality drilling data for the first time. The areas of mineral potential to be tested by our planned drilling are now well-defined and the drilling will result in a definitive and cost-effective assessment of the overall potential of the project for a significant, surface-minable copper-silver deposit." << Qualified Person: ----------------- >> Leonardo Diaz (PhD and MAusIMM), Principal Consultant with Antakori S.A. and a Qualified Person as defined by NI 43-101, has reviewed and approved the technical and scientific information pertaining to the La Quebrada project contained in this release. The complete report has been filed on www.sedar.com as of the date of this press release. << Annual General Meeting Date Clarification: ------------------------------------------ >> The Company's Annual General Meeting will take place on Wednesday, April 21, 2010. << About Mandalay: --------------- >> Mandalay is a Canadian-based natural resource company with assets in production. The Company is focused on executing a roll-up strategy which involves aggregation of gold, copper, silver and antimony projects, creating critical mass through the acquisition of near-term or in-production assets in Australia and the Americas. << Forward-looking Statements: --------------------------- >> This news release contains "forward-looking statements" within the meaning of applicable securities laws. Readers are cautioned not to place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, Mandalay's ability to secure additional financing, changes in commodity prices and general market and economic conditions. The factors identified above are not intended to represent a complete list of the factors that could affect Mandalay. Although Mandalay has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.THE TSX VENTURE EXCHANGE HAS NOT YET REVIEWED AND DOES NOT TAKE RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.For further information: Bradford Mills, Chief Executive Officer, Greg DiTomaso, Investor Relations, Contact: (647) 436-2592