Daily News Tuesday, August 05, 2008

Probe shares down on McFauld's west results

Probe Mines (PRB-V) shares plunged 47% today after the company reported that drill results from its McFauld's West property in the James Bay Lowlands didn't correspond with geophysical anomalies identified in a ground survey program.

Probe shares fell 28¢ to 32¢ today on a trading volume of more than 1 million shares.

The company announced the results from eight drill holes, three of which intersected ultramafic intrusive rock the represent three different bodies.

Holes MW-02 cut through more than 80 metres of peridotite intrusive body that resembles the host peridotite. Probe pointed out that the host of Noront Resources' (NOT-V, NOSOF-O) famed Eagle One nickel-copper deposit is very similar.

The holes were supposed to test discrete geophysical anomalies found in a groundwork program, but Probe reported that those anomalies were not explained by that amount of sulphides found in the core.

Hole MW-01 was supposed to test the mafic dyke identified in an outcrop during the winter geophysics program and ended up intersecting two ultramafic dykes at depth that were barren of sulphide.

The company is waiting for assay results from both the peridotite and ultramafic dykes.

Probe says the results so far show that the previous surveys lacked either the depth penetration or resolution.

To make up for it, Probe is planning a VTEM survey for both its Victory and McFauld's West properties to gain a better understanding between the presence of nickel and platinum group metal host rocks and the geophysical and geochemical anomalies.

The VTEM will be followed by a deep penetrating, high resolution ground geophysical survey on McFauld's West.

The surveys will be in preparation of Probe's next drill program which is scheduled for this fall.

Probe also received results from its nearby Victory project. Hole V08-27 intersected a 30 metre thick unit of sulphide mineralized ultramafic intrusive and returned anomalous values of nickel, copper, platinum and palladium throughout the section.

Two other holes returned anomalous values of copper and zinc within sulphide mineralized sections in the volcanic sequence showing potential for a volcanogenic massive sulphide deposit, the company says.