Toronto, ON, September 16, 2009 - HoneyBadger Exploration Inc. (TSX.V:TUF – “HoneyBadger” or the “Company”) announces that it has begun geological mapping and soil geochemical surveying over its Blackjack property (“Property”) located near Yerington, Nevada. The Company is employing state-of-the-art hand-held X-ray diffraction (XRF) technology to analyse soil samples in the field to rapidly return analyses to be used to identify copper porphyry targets. Previously the Company completed standard soil geochemistry employing laboratory analyses as an orientation survey on a small portion of the Property.
The orientation survey identified high priority copper targets which are likely related to extensions of the copper porphyry mineralization seen on the adjacent Blue Hills property of PacMag immediately to the east. The copper-in-soil anomalies are pronounced and it is felt that the XRF technology is well suited to the task of measuring and outlining the magnitude of copper anomalies already seen on the Property in a timely and cost effective manner. The utilization of XRF technology exhibits the Company’s commitment to using the most advanced and best-adapted technology available to complete its exploration.
Company consultants have applied for permits to conduct a drill program to start in the fall. Additional targets identified in the current round of soil testing may also be tested as part of the planned drill program.
HoneyBadger and Entrée Gold (TSX:ETG; NYSE Amex:EGI “Entrée”), operating on a joint-venture option agreement that calls for a $900,000 expenditure to complete the first phase of the agreement, intend to explore for and develop porphyry copper targets in the Yerington porphyry copper district of western Nevada. HoneyBadger has assembled a substantial land package covering over 12,500 acres (5,080 hectares), known as the Yerington West Project.
Aggressive Drill Program Planned Q4 2009
HoneyBadger and Entrée are planning an aggressive drill program commencing in the fourth quarter 2009. This program is expected to test targets generated from a recently completed high-definition airborne Geotech AirMt magnetotelluric survey along with geological and geochemical targets. This will be supplemented by the current program of geological mapping and soil geochemical sampling.
Prolific Mining Area
Considerable exploration and mining has been done in the Yerington region since the early part of the twentieth century. Between 1953 and 1978, Anaconda produced almost 2 billion pounds of copper from a single open pit. The area was generally inactive in the 1980s and 1990s, but has seen renewed interest in the past few years. The agreement between HoneyBadger and Entrée gives their respective shareholders a foothold into this highly prospective area.
The Company has initiated a non-brokered private placement with insiders and consultants of the Company aggregating $130,000 through the issuance of 2,600,000 units at $0.05 per unit. Each unit consists of one common share and one share purchase warrant exercisable at $0.10 for a period of two years from date of issuance. The units issued will have a 4 month hold period and is subject to approval by the TSX Venture Exchange.
Shares for Debt
In lieu of cash consideration, the Company has agreed to issue common shares to compensate insiders and consultants of the Company with respect to services rendered during the period from March 1, 2008 to June 30, 2009. The aggregate amount is $212,000 and is priced at $0.10 per share. Accordingly, the amount of common shares to be issued is 2,120,000. Approval for share issuance to insiders related parties was obtained from shareholders at the Annual General Meeting held on June 23, 2009.
Share issuances will have a 4 month hold period and is subject to the approval of the TSX Venture Exchange.
The Company granted 490,000 stock options to insiders and consultants of the Company exercisable at $0.10 per share with an expiry date of September 10, 2013 in accordance with the Company’s Stock Option Plan and as approved by the TSX Venture Exchange.
Robin Chisholm, P.Geol of Taiga Consultants Ltd., is the qualified person in regard to the technical data contained within this news release and oversees all aspects of the exploration program.
About HoneyBadger Exploration Inc.
HoneyBadger Exploration is a gold and base-metals exploration company headquartered in Toronto, Ontario, Canada. The Company’s current exploration projects are focused in the mining-friendly State of Nevada. The “Yerington Project” is a copper porphyry and skarn property near the town of Yerington, and positions the Company for new exploration in prolific copper districts. The Company's common shares trade on the TSX Venture Exchange under the symbol “TUF”.
About Entrée Gold Inc.
Entrée Gold Inc. is a Canadian mineral exploration company focused on the worldwide exploration and development of gold and copper prospects. In North America, the Company is exploring for porphyry-related copper systems in Arizona and New Mexico under agreements with Empirical Discovery LLC and now in Nevada through an option agreement with HoneyBadger Exploration Inc.
The Company is a large landholder in Mongolia, where it holds three exploration licenses comprising the 179,590 hectare Lookout Hill property. Lookout Hill completely surrounds the 8,500-hectare Oyu Tolgoi project of Ivanhoe Mines, and hosts the Hugo North Extension of the Hugo Dummett copper-gold deposit and the Heruga copper-gold-molybdenum deposit.
Ivanhoe Mines and Rio Tinto are major shareholders of Entrée, holding approximately 15% and 16% of issued and outstanding shares respectively.
For more information, please visit our website at http://www.honeybadgerexp.com
HoneyBadger Exploration Inc.
Vice President of Business Development
Tel.: (416) 364-4029
Fax: (416) 364-2753
or Kirk McKinnon, President & CEO, or Richard Schler, Chief Operating Officer & CEO
This News Release contains forward-looking statements. Forward-looking statements are statements which relate to future events. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.