Canadian Venture Exchange Inc.

Symbol MLM

Millstream Mines Ltd.

4 King St. W. Suite 1320            Toronto, Ontario, M5H 1B6      Tel: (416) 368-9595

Fax: (416) 368-6827

40,132,043 SHARES ISSUED





Date: Dec. 20, 2004

Dec. 17, 2004 Close: $0.09




Toronto, Ontario -- Millstream Mines Ltd. (MLM - TSX-V) wishes to respond to enquiries from some of its shareholders asking for more detail regarding the Tamarack Gold Property in Montana.

The location for drilling DDH 04-01 (MLM PR Dec. 14, 2004) was selected to determine if the enriched gold zone previously reported by Gold Fields Mining Corp.’s (in 1991) reverse circulation hole, named TR-2, had lateral extensions. The theory being that a relatively flat lying enriched zone (blanket) may exist on the east side of the Broadgauge fault that crosses the property in the direction of N. 30º E., and dips 45º N.W.

The significance of DDH 04-01 results establish that the enriched zone is relatively flat lying and does extend south of TR-2. To determine the extremities of the enriched blanket will require additional exploratory drilling. Additionally, it is believed that on the west side of the Broadgauge fault the ore zones are contained in veins striking east-west, north dipping as fissure filling within marble limestone beds. Diamond drilling is required to determine the downward extension of these veins below the old workings.

It is the Company’s view that there is a good possibility of discovering a relatively hi-grade deposit sufficient to support a low-tonnage operation to suit the existing infrastructure on the property. The property has road access, power transmission lines with sub-station, buildings and two separate mills that, if necessary, can be up-graded, and an assortment of equipment. The Company’s current plans are to try and support a gold production operation in the range of 150 to 200 tons per day.

HISTORIC REPORT: “Bedrock Geology of the Sheridan District, Madison County, Montana

A report (November 1967) submitted to the State of Montana, Bureau of Mines and Geology by H. Robert Burger III, titled “Bedrock Geology of the Sheridan District, Madison County, Montana”, concludes that ore deposits in the Sheridan District are formed by the filling of fissure veins and by metasomatic replacement of gneiss and marble country rock. The deposits associated with the fissure veins are mainly within marble beds or along marble gneiss contacts. Metasomatic replacement deposits are almost confined to marble beds. Replacement is localized along fractures cutting across marble beds; along marble-gneiss contacts; and along shear zones parallel to foliation, most likely developed by shearing related to intrusion.  

The report states “the Tamarack ore bodies occupy replacement zones within marble layers adjacent to intrusive masses. All of the ore is completely oxidized and the major fracture systems are the Broadgauge fault (N. 30º E., 45º N.W.) and the Tamarack fault (E. –W., 35º N.). Strong vein structures are found along the marble–gneiss contact; but the significant deposits occur along shear zones in the marble paralleling foliation. Additionally, the report states that the Broadgauge-Tamarack mines (today called the Tamarack property) reported producing 5,055 oz. of Gold and 380 oz. of silver from 1908 to 1938.

H. Robert Burger III reports the Buckeye mine’s (a past producer), which is adjacent to the east side of the Tamarack property, ore seems to have been subjected to the same mineralization controls as the Tamarack’s. The major fracture system at the Buckeye trends N. 30º E., but dips 35º N.W. The vein is completely within a local quartz-monzonite intrusive body and is of the replacement type. The ore minerals consist chiefly of auriferous pyrite, argentiferous galena, sphalerite, and chalcopyrite with alteration being intense”.  

Dr. Cam Cheriton, Millstream’s Qualified Person for the property, is encouraged that base minerals are established in the area and that it enhances the exploration potentials of Millstream’s property.  

The principle objective of Millstream Mines Ltd. is to enhance and develop known mineral properties to production potential.


Millstream, further wishes to announce and remind the interested public of its web site location,



WARNING: The company relies upon litigation protection for "forward-looking" statements.


For further information contact:



Mr. Ernest Harrison, EM, CEO       Mr. Marty Martinello, B.A., V.P.

Phone: 705-474-7282

Fax: 705-474-5491


Mr. Robert Chase, B.A., CFO



Fax:  416-368-6827





No regulatory authority or similar body approved nor disapproved the information contained herein.