|JASPER MINING CORPORATION
1020, 833 - 4TH AVENUE S.W.
CALGARY, ALBERTA, T2P 3T5
TELEPHONE: (403) 297-9480, FAX: (403) 266-1487
October 17, 2006
Trading Symbol: JSP (TSX-V)
News Release No. 06-139
JASPER MINING CORPORATION ANNOUNCES RESULTS OF AIRBORNE GEOPHYSICAL PROGRAM ON SAWYER PROPERTY
Jasper Mining Corporation (the “Company”) is pleased to announce it has remobilized a diamond drill to its 100% owned Isintok property (see Press Releases dated August 11, August 28, September 26 and September 28, 2006). The tenures comprising the property cover an area of approximately 60.3 square km (23.3 square miles), or 6,029 ha (14,898 acres) at the height of land between McNulty and Isintok creeks, approximately 27 km west-southwest of Summerland, BC and 20 km north of Hedley.
The Company’s diamond drill results from the property continue to document copper (Cu) +/molybdenum (Mo) +/- gold (Au) +/- silver (Ag) from the area of current interest. This area was previously identified during an initial drill program in 1972, with subsequent holes in 1981 and 1997 confirming anomalous Cu +/- Mo mineralization (see Press Release dated Mar. 15, 2006 for a tabulation of significant results from the property to that date). A total of 63 percussion and diamond drill holes have been documented on the property, with 28 percussion or diamond drill holes in the area of interest, which extends 960 m north-south by 440 m east-west.
A total of 10 diamond drill holes were completed on the property earlier this year within an area approximately 200 m east-west by 565 m north-south. The area is located on the fringe of coincident magnetic and resistivity anomalies identified from a Fugro airborne geophysical survey (see Press Release dated Nov. 16, 2005) characterized by anomalous mineralization. The drill program was temporarily suspended to allow sufficient time for receipt of analytical results in order to allow identification of any mineralized zones in the subsurface. This geophysical information was considered sufficiently important and the results would change the drilling program and accordingly the 2006 program was temporarily suspended.
A total of 8 pads have been approved for drill testing during the second phase of the 2006 drill program. Two holes are proposed to be drilled from each pad, with an upper hole at an inclination of -45 degrees and an underlying hole at -65 degrees. All holes will be drilled toward an azimuth of 045 degrees. In addition, an attempt will be made to re-enter and deepen hole ISIN-06-09 to test one or more mineralized zones as documented in hole ISIN-06-10 and numerous shallower drill holes.
Two of the drill pads are located between 2006 Pad 1 (holes ISIN-06-01 to 04) and 2005 Pad 3 (holes ISIN-06-03 and 04). A further three pads lie along a lower road extending north from the area of interest and three along an upper road. The two roads are separated a minimum of 210 m and diverge toward the north, with approximately 240 m between the northern holes. The northernmost pad is approximately 860 m from the southernmost pad, with pads separated from one another by between 92 and 420 m. The intent of the program is to test the extent and nature of mineralization between previously documented holes and to extend the area of known mineralization to the north.
Drilling has begun on the second phase of the drill program. Upon conclusion of the second phase of drilling, if all holes are drilled as planned, the area tested by the Company would extend approximately 930 m north-south by 270 m east-west. The Company has retained the services of a water truck and a large holding tank to facilitate drilling into December, if required.
Earlier this year, limited surface soil sampling was completed on two relatively small grids in order to evaluate the geochemical response of the soils with regard to sub-surface mineralization. Analytical results have been received and are interpreted to confirm a spatial association between surface soil anomalies and underlying sub-surface mineralized zones. The data document anomalous geochemical (i.e. copper) results extending north, east and south of the area currently being drilled. Copper values as high as 1635 ppm in soils were documented on the east side of the area currently being drill tested (the area of current interest). As a result, the soil grid will be extended to the north, east and south in an attempt to define the extent of the area of anomalous soils which is interpreted to overlie sub-surface mineralization.
On the basis of all results to date, the ongoing objective of the Company’s exploration program is to define a copper-molybdenum +/- silver +/- gold porphyry style deposit similar to the Brenda mine, located approximately 40 km north of the Isintok property, west of Peachland. “The Brenda mine began production in early 1970 with measured geological (proven) reserves of 160,556,700 tonnes grading 0.183 per cent copper and 0.049 per cent molybdenum at a cutoff of 0.3 per cent copper equivalent [eCu = % Cu + (3.45 x % Mo)]” (BC MINFILE 092HNE047) (Note: reported prior to implementation of, and therefore not compliant with, National Instrument 43-101).
The Company continues to be very encouraged by results from our ISINTOK property, which continue to document anomalous copper-molybdenum +/- silver +/- gold porphyry style mineralization. Holes ISIN-06-09 and 10 represent the deepest holes completed on the property to date and documented anomalous mineralization at depth. Mineralization currently identified remains open at depth and in all directions (north/south/east/west).
Based on all of the data already collected and the current drilling program the Company hopes to be in a position to obtain a third party resource calculation in early 2007.
This press release has been prepared by Richard T. Walker, B.Sc., M .Sc., P. Geo., the “Qualified Person” under National Instrument 43-101.
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The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
For further information contact:
Gordon F. Dixon, Q.C., President, Jasper Mining Corporation
Telephone (403) 297-9480, Fax (403) 266-1487,
email: firstname.lastname@example.org or visit Jasper’s website at www.jaspermining.com