Vancouver, B.C. - June 10, 2008 - Pacific Ridge Exploration Ltd. (TSX Venture: PEX) continues to build its portfolio of phosphate projects with the recent acquisition of the Phos Property in the Fernie area of southeastern British Columbia.
The Phos Property, comprised of 3 claims totaling over 360 acres, covers the central and thickest 3 kilometre length of the approximate 15 kilometre long Mount Lyne Phosphate deposit. Thickness ranges from one to 3 metres. The Mount Lyne deposit saw extensive work by Cominco and Crows Nest Resources in the 1980s, who both outlined a non-compliant phosphate resource averaging 20% P2O5. The deposit is known to contain additional significant levels of rare earth metals and low carbonate content.
Under the terms of an agreement with two vendors, Pacific Ridge has the right, subject to regulatory approval, to earn a 100% interest in the Phos Property by making staged cash payments totaling $80,000 by December 31, 2009 and staged issuances of shares totaling 1.0 million shares by December 31, 2010. The vendors retain a 2% Gross Overriding Royalty ("GORR") from potential future production, of which 1% is extinguished after $2.0 million is paid. The GORR pertains to all commodities except coal.
General Phosphate Information
Phosphate ore is mined and then concentrated to phosphate rock, from which phosphoric acid (SPA) is produced. SPA, grading in the range of 70% P2O5, has seen a recent price increase to over $1,000 per tonne and is a key component in the manufacture of fertilizer products.
Exploration Plans for 2008 and Working Capital
Exploration will begin during the month of June at Pacific Ridge's BC Phosphate Project, located in the Tumbler Ridge area, which program is designed to prioritize drilling targets. Initial work at the Phos property will consist of compilation of historic exploration data. At the Baker Basin Uranium project, a proposal for engaging a joint venture participant is under discussion. Pacific Ridge is also considering joint venture participation in its Fyre Lake massive sulphide copper-gold deposit in Yukon.
At March 31, 2008, Pacific Ridge had a working capital of approximately $1.4 million.
Pacific Ridge's disclosure of a technical or scientific nature has been reviewed by Wayne J. Roberts, P.Geo and Vice-President Exploration for Pacific Ridge, a Qualified Person under the definition of National Instrument 43-101.
For further information, contact:
Pacific Ridge Exploration Ltd.
John S. Brock
Tel: (604) 604.641.2759
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation activities and events or developments that Pacific Ridge Exploration Ltd. ("Pacific Ridge") expects to occur, are forward-looking statements. Although Pacific Ridge believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Pacific Ridge does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.