Chase Resource - Mejillones Project - Drilling Intersects New Mineralized Zones.

VANCOUVER, British Columbia--(BUSINESS WIRE)--June 25, 1996-- Ian Rozier, president of the company, is pleased to report encouraging results from the second phase of drilling at the Mejillones Project, in Northern Chile.

This phase of drilling followed up the discovery of new zones of copper mineralization made during the initial exploration in 1995.

Geophysical surveys completed in late 1995 indicated potential extensions to the mineralization previously identified at the VT Mine showing and the Dos Papaya prospect. Eight holes were drilled in the "VT" area and 5 of these intersected significant new mineralization. Two of these holes have identified parallel zones 125m and 200m south of the original discovery with intercepts of 0.58 percent Cu over 6m and 1.03 percent Cu over 8m respectively. This drilling has also confirmed the down-dip and along strike extensions of the original discovery zone 125m to the southeast.

At Dos Papaya 5km to the south of the VT Mine, DP-96-1 intersected 4m of 1.05 percent Cu and 2m of 0.54 percent Cu 100m south of the 1995 discovery hole, which returned 12m grading 1.12 percent copper. Two other holes drilled to test geophysical anomalies associated with the mineralized zone returned anomalous copper values of 0.21 and 0.19 percent respectively at shallow depths.

These newly identified copper zones continue to expand the discovery at the Mejillones Copper Project. The mineralization and alteration are similar to that at Minera Rayrock's Ivan mine, 15 km to the east. Only a limited portion of the property has been explored thus far, and additional drilling is scheduled for this summer. Chase has the right to acquire a 75 percent interest in the Mejillones Project.

CONTACT: Chase Resource Corp.

Ian Rozier, 604/685-6851

800/510-8566 (Toll free in North America)

Michael Callahan, 604/685-6851

800-510-8566 (Toll free in North America)