Norcal Acquires Slate Falls Gold Prospect

Business Wire, May 30, 1996

VANCOUVER, British Columbia--(BUSINESS WIRE)--May 30, 1996--Norcal Resources Ltd. (VSE: NLR ) Mr. Fred G. Hewett, Vice President of Norcal Resources Ltd. (VSE-NLR) today announced the Company has entered into letter of intent to acquire a 100 percent interest in the Slate Falls Property. The property consists of 8 contiguous mining claims, comprising 117 units or 4,500 acres, located 120 km north of Sioux Lookout, Ontario in the Patricia Mining Division.

The Slate Falls property hosts a number of mineral occurrences that have produced assays up to 25.0 opt of gold and 35.0 opt of silver. Gold mineralization is commonly associated with polymetallic shear-vein systems in multiple zones related to the Slate Falls deformation zone. The property covers an 11 km strike length of this deformation zone with 14 known gold occurrences in outcrop. Five new gold occurrences discovered in 1995 returned assays up to 1.83 opt gold. A preliminary geochemical survey has indicated 39 gold anomalies reporting assays up to 691 ppb gold. Significant results from trenching on the Sanderson and Trail Zones included assays of 3.79 opt gold over 1.7 m and 1.06 opt gold over 2.5 m. Five chip samples taken across the Sanderson zone, over a 200 m strike length, returned a weighted average of 0.86 opt gold over 1.68 m. Three chip samples taken across the Trail zone, over a 35 m strike length returned a weighted average of 0.60 opt gold over 1.7 m. The strike extensions of both these zones are open and require further follow up.

Norcal can acquire a 100 percent interest in the Slate Falls Property by making payments totalling $500,000 and issuing 100,000 common shares over a period of four years to the vendor. Norcal has also agreed to expend a minimum of $50,000 per year on exploration. The vendor will hold a 3 percent NSR and Norcal will have a right to buy-back half (1.5 percent) of the NSR by paying to the vendor $1,500,000. A work program is being developed for the property and will commence shortly.

This agreement is subject to regulatory approval. NORCAL RESOURCES LTD. Fred G. Hewett, Vice President -0-

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

CONTACT: Norcal Resources Ltd.

James D. Romano, 604/687-7545

1-888-338-2200 (Toll Free)