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

39,932,043 SHARES ISSUED

 

 

 

FOR IMMEDIATE RELEASE

Date: Sept. 10, 2004

Sept. 9, 2004 Close: $0.08

 

MILLSTREAM COMMENCES SUDBURY

AIRPORT PHASE 3 PROGRAM

 

Toronto, Ontario -- Millstream Mines Ltd. (MLM - TSX-V) wishes to announce that it, along with its 50:50 joint-venture partner, Crowflight Minerals Inc. (CML – TSX-V), is starting up the next phase of exploration on its Sudbury Airport Property. Millstream, as operator, plans to proceed on the Airport Property initially by cleaning out the past diamond drill hole (D.D.H.) M002 and re-pulsing the hole with a revised surface loop configuration. In the initial Phase 1 program, technicians were only able to obtain the “z” coordinate reading in the downhole geophysics (thereby coming up short on both the “x” and “y” coordinates). The intentions of these actions are that if off-hole conductors are indicated and found to merit further investigation, holes wedged off of DDH M002 will be drilled to target these conductors. Millstream is attempting to find the source of the induced polarization (I.P.) indicated anomaly in this area along with a better understanding of the I.P. survey results carried out over the property.

 

After the work done on D.D.H. M002 as outlined above, the drill rig will to be moved to the 4 South grid line area (SEE M003 MAP) for the drilling of D.D.H. M003. The targeted anomaly exhibits an extremely high chargeability coincident with a very low resistivity reading; making it one of the strongest and most significant of several anomalies found on the Airport Property, as defined by the Phase 1 I.P. survey. Upon the completion of D.D.H. M003 and the follow-up detailed logging and sampling of this hole, a downhole geophysical survey will be done to identify any off-hole conductors and, if merited, wedged holes will be drilled to target these conductors.

 

In Phase 1, Insight Geophysics Inc. carried out an extensive innovative deep penetrating (500 to 600 metres depth) I.P. Resistivity/Chargeability survey that identified significant geophysical anomalies. Consultant Insight Geophysics Inc. reported to Millstream that the Phase 2 Airborne MegaTEM II (EM) survey detected some shallow (less than 300 metres depths) geophysical anomalies that are corroborated by the Phase 1 geophysical I.P. survey.  Phase 3 will concentrate initially on investigating the deeper seated I.P. anomalies.

 

Consultant, John Gingerich, notes that the Airport Property has several long zones of untested Breccia and Psuedotachylite with numerous Cu-Ni-Co-PGM showings, indicating the potential for a significant deposit. Sudbury Breccia and Psuedotachylite are the known host structures for ores in the Sudbury Basin Footwall zones. These structures are found in the Nickel Rim South new discovery and at other mining locations around the Sudbury Basin. Consultant, Phil Brown, geologist and Qualified Person for the Airport Property, adds that two major faults, the Airport Fault and the Norduna Fault, cross the Property in a southeasterly direction and that Cu-Ni-Co-PGM mineralization has been associated with these faults (P.R. Jan. 21, 2002).

 

The Airport Property is located just outside the east rim of the Sudbury basin on the southeast horn of the Basin; and 1.2 Km east of Falconbridge’s past producer, Norduna Mines, and 4 Km southeast of Falconbridge’s (Nickel Rim South) hi-grade Cu-Ni-Co-PGM discovery near to their past producer, the Nickel Rim Mine (FL P.R. April 16, 2002, “the hi-grade intersection has a gross value of CDN$2,000/tonne”).

 

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

 

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

WWW.MILLSTREAMMINES.COM.

 

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

 

Phone:416-368-9595

Fax:  416-368-6827

 

Email: info@millstreammines.com Web:www.millstreammines.com

 

 

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