Further Expansion Of Major Silver Zone At Iska Iska Deposit

TORONTO - Eloro Resources Ltd. reported on the definition diamond drilling program in the potential Santa Barbara starter pit area in the Iska Iska silver-tin polymetallic project in the Potosi Department of southwestern Bolivia. To date 5,799.4m of diamond drilling have been completed in eleven (11) holes in this phase of definition drilling. PQ core size has been used in the majority of holes in this program to obtain larger, more representative core samples.

Hole DSB-75 intersected the highest grade and longest silver intersection yet obtained in the definition drill program in the potential starter pit area at Santa Barbara, returning 135m grading 151.47g Ag/t from 174.00 m to 309.00m within a wider 309m section grading 90.92 g Ag/t from 174.00m to 483.00m.

The high grade intersection in hole DSB-75 includes 962.23 g Ag/t over 9.75m within a wider zone of 34.50m grading 440.09 g Ag/t which is the highest grade Ag intersection obtained thus far from drilling at Iska Iska. Channel sampling along the Santa Barbara adit returned 165 g Ag/t over 166m length including 446g Ag/t over 56.19m. This high-grade interval at the Santa Barbara adit includes two exceptional sections with 1,024 g Ag/t over 8.11m and 870 g Ag/t over 12.3m suggesting that there is potential for more widespread high grade silver at Iska Iska.

Hole DSB-75 is the sixth definition drill hole completed in the current program into the Ag-Zn-Pb polymetallic domain in the potential Santa Barbara starter pit area and was collared 200m northwest of previously reported hole DSB-68, which intersected a high grade silver zone of 122.03m grading 126.10g Ag/t within a wider 289.13m section grading 66.90 g Ag/t.

Osvaldo Arce, P. Geo., Executive VP Latin American Operations said: “Hole DSB-75 intersected significant Ag grades including a new blind high-grade mineralized structure (962.23 g/t silver over 9.75 metres) that defines a broad and enriched zone of silver mineralization at Santa Barbara, together with high-grade tin and polymetallic mineralization, suggesting the potential of discovering larger mineralized volumes together with more blind enriched structures. The definition drilling campaign continues delivering consistent high-grade silver-tin-polymetallic mineralization, confirming the continuity of high-grade silver and tin that extend beyond the limits of our current mineral resource. As we infill drill, we are consistently converting formerly barren or low grade mineralization to larger silver-tin-polymetallic defined mineralized zones, whose grades are higher and intercept widths are significantly longer than those in the current mineral resource.

Iska Iska defines both a large epithermal silver system together with a newly discovered porphyry tin system which has all the hallmarks of a large group of hydrothermal mineral deposits known as Bolivian polymetallic deposits (BPD), which have traditionally supplied most of Bolivia's mineral wealth. These BPD are large, intrusive-volcanic related, sulphide-dominated, polymetallic vein systems formed at depths of between 0.5km and 2km. The BPD-type deposits include the world's largest historic hard rock silver mine at Cerro Rico de Potosi and the world’s largest tin mine at Llallagua (Siglo XX- Catavi). We believe that there is a tremendous opportunity to develop a major porphyry-epithermal transition deposit at Iska Iska that can join this world class group.”