Chase Resource Drilling Confirms Significant Gold Discovery at Sto. Nino Property, Philippines.

VANCOUVER, BRITISH COLUMBIA--(BUSINESS WIRE)--Oct. 30, 1997-- Chase Resource Corporation (TSE, VSE CQS.) Mr. Michael Callahan, Director, is pleased to announce the results of an initial drill program at the Company's Sto. Nino Gold Project on the island of Bohol, central Philippines. Egerton Gold N.L. of Australia is earning a 51 percent interest in the project by way of a joint venture.

Fifteen reverse circulation drill holes have been completed to date, which represent the initial follow-up on a mineralized breccia body that has been subjected to small scale mining on northwestern Bohol.

Assays for the first 14 of the drill holes, totalling 1700m, have been received to date. Significant results are as follows: -0-

Hole       From       To        Interval        Grade
            (m)        (m)         (m)         g/t Gold

SNRC-1      75          80          5            0.40
            85          90          5            0.35
SNRC-2       5          10          5            0.85
            55         115         60            1.28
inc.        60          70         10            3.79
SNRC-3       5          15         10            0.31
            70         110         40            0.63
SNRC-5      50          55          5            0.36
SNRC-7      65          80         15            0.31
           110         115          5            2.06
SNRC10      55          65         10            0.76
            70          75          5            0.24
            95         110         15            1.79
inc.        95         105         10            2.46
SNRC-13     30          35          5            0.40
            50          55          5            0.67

All results are for samples composited over 5m intervals. Analyses are by classical Fire Assay technique on a 50g charge, with AAS finish. Holes SNRC-1, 2, 3, 6, 7 and 10 bottomed in anomalous mineralization, and the results from Hole SNRC-15 are still pending. Samples assaying less than 0.3 g/t gold grades have not been included in the table above. Holes SNRC-4, 8, 9, 11, 12 and 14 were drilled on the southeast and northwest flanks of the soil anomaly and returned numerous mineralized intervals of greater than 0.1 g/t gold but none exceeding 0.3 g/t.

The gold mineralization is associated with an altered volcanic breccia hosted in andesitic volcanics. Mineralization is finely disseminated and associated with pyrite, magnetite, sphalerite and galena. The breccia is pervasively altered to chlorite with pyrite and magnetite, plus carbonate and weak silicification. The widespread drilling completed to date has tested a gold in soil anomaly of greater than 0.1 g/t, that is a minimum of 600m long by 450m wide.

The Company is pleased with the results of this first drill program, which confirm a new gold discovery on the island of Bohol. The drilling has identified gold bearing carbonate-basemetal mineralization in an area that has traditionally been considered a porphyry copper province. The mineralization is very similar to that at Philex Gold's Bulawan Mine on the nearby island of Negros, where the published resource is 26.6 million tonnes with a grade of 2.26 g/t gold. Both northern Bohol and the Bulawan area of Negros have long been recognized as areas of extensive copper porphyry systems. Through an FTAA application of 80,000 hectares over much of Bohol Island, Chase's subsidiaries control at least six copper porphyry bodies and several other gold occurrences in the area.

The project is held by the Company's subsidiary, Plantation Mining Company (PMC), through a Mines Operating Agreement with Philippine mining company, Philcoal Mineral Resources Inc. PMC has entered into an option and joint venture agreement whereby Egerton has the right to earn a 51 percent interest in the Sto. Nino Gold Project by paying to the Company a total of US $300,000 and funding exploration expenditures of US $800,000 over 3 years. Egerton also has a similar earn-in option over the Company's Trinidad Gold Project, located approximately 25km to the southeast of Sto. Nino.

The Company is the operator of these projects with program planning managed jointly by both companies. A Phase II drill program is currently being prepared for additional reverse circulation drilling in conjunction with diamond core drilling at Sto. Nino. Interpretation of the drilling to date, previously completed ground magnetics and soil geochemistry, suggests that only a portion of the mineralized body has been tested, and that mineralization remains open along strike and at depth.

The potential of the Sto. Nino Project was recognized as the result of ongoing regional exploration by the Company in the central Philippines. This work has resulted in the identification of several new mineral prospects on the islands of Bohol and Cebu over the last year.

CONTACT: Chase Resource Corporation

Edith Llamzon, 604/685-6851