Chase Resource Identifies Copper-Gold Porphyry and Skarn Targets at Jaclupan Project, Philippines.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Aug. 26, 1997-- Chase Resource Corp. (TSE/VSE:CQS) Mr. Michael Callahan, Director, is pleased to announce that field work has returned significant copper and gold values from the Jaclupan Copper-Gold Project, located on the island of Cebu, Philippines. Chase Resource Corporation, through its wholly owned subsidiary Plantation Mining Corporation, has filed an Exploration Permit (EP) over the project area and owns 100 percent of the EP. The Jaclupan EP covers 1,130 hectares approximately 20km from Cebu City, the regional commercial and supply center and second largest city in the Philippines.

Field surveys have identified two styles of mineralization on the property; copper-gold porphyry mineralization similar to that at the Atlas Copper Mine, 5km to the northwest, and copper-gold bearing magnetite skarns. The Atlas Mine is currently undergoing rehabilitation with a resumption of production scheduled for next year.

At the Bantoon Prospect, copper-gold porphyry mineralization hosted by altered and mineralized intermediate volcanic rocks and diorite intrusive has been mapped and sampled across a strike length of over 1000m. Detailed channel sampling has returned the following significant results: -0-

Length (m)       percent Copper        g/t Gold
   42                  0.24              0.21
   50                  0.19              0.34
   38                  0.34              0.43
   15                  0.20              0.63
   30                  0.32              0.32

Magnetite skarn mineralization with encouraging gold and copper values has been identified at the Kuanos and Manduang prospects. At the Kuanos prospect hematite veins are hosted by diorite intrusive near the contact with older volcanic rocks. Ten rock chip samples returned an average grade of 0.24 percent copper and 0.10 g/t gold. At the Manduang prospect mineralization is hosted by highly silicified volcanics crosscut by quartz veining with strong hematite staining. Eleven rock chip and float samples returned an average grade of 4.9 percent copper and 3.1 g/t gold. Other rock chip sampling at Manduang returned values of up to 83 g/t gold.

The Company is pleased with these results. Field work has identified copper-gold porphyry mineralization in an environment similar to that at the Atlas Copper Mine, which had pre-mining reserves of 898 million tonnes at a grade of 0.46 percent copper and 0.25 g/t gold. Porphyry copper-gold mineralization has been traced for over 1000m and remains open along strike. Very encouraging copper and gold values associated with magnetite skarn have been identified near the contact between the intrusive and volcanic rocks, and represent a potential high grade deposit.

Several interested parties are currently reviewing the data in Manila.

CONTACT: Chase Resource Corp.

Barbara Dunfield, 604/685-6851

Web site: http://www.chaseresource.com