Spider, KWG and Freewest begin Big Daddy drilling

2009-10-01 16:55 ET - News Release

See News Release (C-SPQ) Spider Resources Inc

Mr. Neil Novak of Spider reports

SPIDER RESOURCES INC., KWG RESOURCES INC. AND FREEWEST RESOURCES CANADA INC., COMMENCE DRILLING ON THE BIG DADDY CHROMITE PROSPECT

Spider Resources Inc., KWG Resources Inc. and Freewest Resources Canada Inc. have started up an 11,000-metre drill program on the Big Daddy chromite property, which comprises four 16-unit claims, one 12-unit claim plus two additional one unit claims (1,248-hectare property), pursuant to the first-year commitment on an amended option agreement with Freewest dated Sept. 10, 2009.

As stated on Sept. 14, 2009, KWG and Spider have committed to undertake an exploration program on the Big Daddy chromite property under which an aggregate of at least $5-million must be spent by March 31, 2010, in order for Spider and KWG to earn an additional 1.5 per cent each (3 per cent in aggregate), bringing each optionees respective interest level to 26.5 per cent. The field aspect of this program has commenced, with crews arriving on Sept. 20, 2009. Field operations are currently based out of the Billiken Management Services Ltd.'s base camp, located at McFaulds Lake. Cabo Drilling (Ontario) Corp. was recently awarded the diamond drilling contract portion of the program. It is anticipated that approximately 11,000 metres of diamond drilling will be completed during the current phase of exploration, the results of which will be incorporated into an initial resource estimate for Big Daddy. In addition, Aecom Canada has recently been awarded the contract for baseline environmental work and traditional knowledge studies both of which will involve the project's first nation neighbors, and will be undertaken to provide the necessary information for future development plans.

Drilling program

Drilling commenced Sept. 23, 2009, on hole FW-09-24 located on Line 1400 east at 1700 north; drilling at 135 degrees azimuth, with an initial dip of minus-50 degrees. Intermittent chromite beds in a serpentinized dunite were intersected between 64.6 and 86 metres downhole. Chromitite was intersected between 101.9 and 132.2 metres downhole (30.3 metres of massive chromite). The hole was stopped at 136.4 metres in pyroxenite on Sept. 26. Assay results are pending. This hole compares favourably with holes FW-08-22 and FW-08-23, both of which are located 100 metres to the southwest on section 1300 east. As previously announced on Jan. 14, 2009, Hole FW-08-22 encountered 42.08 per cent Cr2O3 over 34.8 metres, and FW-08-23 encountered 34.96 per cent Cr2O3 over 42 metres. These two holes also encountered intriguing platinum and palladium mineralization grading as high as 1.08 grams per tonne (g/t) Pt and 1.5 g/t Pd over four metres (in hole FW-08-23). True width of the chromitite and the platinum and palladium zone is not yet determined.

A second hole FW-09-25 was started on Sept. 26, 2009, on Line 1400 east at 1800 north with an initial azimuth of 135 degrees azimuth, with an initial dip of minus-50 degrees, designed to undercut hole FW-09-24. Intermittent chromite beds were intersected between 153.4 and 233.9 in a serpentized dunite. This was followed by chromitite from 233.9 onward to 271.9 metres downhole (38 metres of massive chromite). The hole was stopped at 341 metres in pyroxenite on Sept. 30, 2009. Assays are pending on this hole. The first drill is moving onto its third-hole setup.

The second drill crew arrived on Sept. 26, 2009, and is in the process of moving the second rig onto its first site. It is anticipated that this rig will commencing drilling on Oct. 1, 2009. There are about 28 holes planned for the current drill program, testing the Big Daddy chromite occurrence along its entire geophysically inferred strike length (estimated to be in excess of one kilometre) to a depth of 250 metres.

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