Dry Mountain

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Target: Millrock is targeting giant, high-grade porphyry copper (+/- gold and molybdenum) deposits at its Dry Mountain project. The property is well located on the Morenci porphyry copper trends, 45 kilometers (28 miles). Morenci, one of the oldest and most productive open pit porphyry copper mines in Arizona, has production and reserves totaling up to 10 billion tons. The Safford deposits, upon which Freeport started production on in 2007, contain resources totaling at least six billion tons of copper ore in a series of four deposits. Geologic projections indicate that a large porphyry copper deposit may be present beneath post-mineralization volcanic cover rocks and alluvium at Dry Mountain. Millrock seeks to discover a large tonnage porphyry of sufficient grade to warrant extraction by open pit or block caving underground mining.

Location and Setting: The Dry Mountain claim block is situated to the south and southwest of the Safford and Morenci mining districts of southeastern Arizona. It is located approximately 24 kilometers (15 miles) southeast of the town of Safford, 43 kilometers (27 miles) southwest of Clifton, and 161 kilometers (100 miles) northwest of Tucson in Graham County. The land on the claims is flat in the north, but rises in the south, with elevations ranging between 1,006 to 1,311 meters (3300 and 4300 feet) ASL. Paved highway 191 passes 6 kilometers (4 miles) north of the claim block, as does a power transmission line a few miles further north. Local access is by good dirt road. The claims can be easily traversed by all-terrain vehicle; there is little vegetation consisting of scrub and mesquite.

Property and Agreement: The target concept was brought to the attention of Millrock by geologist Michael Schaefer of Tucson, Arizona, under a Finder's Fee agreement, and the property was subsequently secured with federal mining claims and state leases. Under the terms of this agreement, Millrock has paid Mr. Schaefer US$20,000 and issued 20,000 shares of the company. A further US$10,000 and 15,000 shares will be issued on each anniversary that Millrock holds claims in the Area of Interest defined in the Finder's agreement. If commercial production is achieved, Mr. Schaefer will be entitled to a payment of US$2 million. The property consists of 185 mining claims covering approximately 3,700 acres, which were staked by the Company in February 2008, and an Arizona State exploration permit that covers one 640 acre section, which was applied for in March, 2008.

Geology and Mineralization: Dry Mountain is located at the southwestern end of the Morenci porphyry copper trend. The trend is defined by structural features, and a series of magmatic intrusive complexes identified in bedrock and traced by geophysical methods under post-mineralization volcanic cover and alluvium. Geochemical and geophysical surveys indicate a mineralized porphyry may be present beneath the Millrock claims, beneath this cover.
A copper - molybdenum biogeochemistry anomaly at Dry Mountain defines a large area measuring 5 kilometers by 6 kilometers (3 miles by 4 miles). The anomaly indicates the potential for a large buried porphyry. The Dry Mountain geochemical anomaly is the southernmost in a string of significant anomalies that starts at the Safford deposits.

A magnetic high beneath the claims is thought to represent a porphyry intrusive complex at depth. Gravity data defines a regional pre-mineral basement high. Depth through post-mineral volcanic cover and alluvium is uncertain.

Exploration Program: Millrock will investigate a variety of cutting edge geophysical methods, and select the best system for detection and imaging of buried porphyry deposits. The selected surveys will be carried out in 2008. A major drilling campaign will be designed and planned for execution in 2009.