Exploration Permitting For The Oro Cruz Project

VANCOUVER - Southern Empire Resources Corp. continued progress in exploration permitting for its Oro Cruz Project located in Imperial County, southeastern California. Southern Empire submitted an Exploration Plan of Operations (EPO) for the Oro Cruz Project to the United States Department of the Interior, Bureau of Land Management (BLM). The BLM have now completed their procedural review of the EPO and determined it to be administratively and technically complete and consistent with U.S. federal regulations.

Southern Empire's proposed surface exploration at Oro Cruz, as set forth in the EPO, includes: The establishment of as many as 65 surface drill pads for Reverse Circulation (RC) and core drilling; The establishment of surface laydown facilities for underground rehabilitation, exploration and development; Construction of approximately 10 kilometers (6.2 miles) of new, temporary access roads; and Improvement of approximately 3.2 kilometers (2.0 miles) of existing access roads.

The BLM decision regarding the EPO is a key step forward in Southern Empire's plans to confirm and expand known gold-mineralized zones at Oro Cruz, a brownfields site with a long history of mining dating up to 1996, where historical exploration operations yielded significant drill intercepts including: 10.7 meters of 20.9 grams gold per tonne (g Au/t) (35 feet (ft) of 0.611 oz gold/ton (opt); 11.4 meters of 10.1 g Au/t (37.5 ft of 0.294 opt); 12.2 meters of 13.4 g Au/t (40 ft of 0.391 opt); 6.9 meters of 23.1 g Au/t (22.5 ft of 0.675 opt); 8.4 meters of 17.9 g Au/t (27.5 ft of 0.523 opt); and 7.6 meters of 15.9 g Au/t (25 ft of 0.465 opt).

Dale Wallster, CEO, said, "Receiving this crucial BLM decision is an important milestone for us in the exploration and development of Oro Cruz. I thank the BLM, our technical team and our consultants for their diligent archaeological, cultural and environmental permitting efforts to date."

The BLM decision does not constitute authorization for Southern Empire to implement its exploration plans immediately; rather, it allows for the initiation of the National Environmental Policy Act (NEPA) environmental review process. Stantec Environmental Consulting has been selected by the BLM to perform an Environmental Assessment (EA) for NEPA. Following preparation and submission of the requisite NEPA documentation to the BLM, these filings and supporting technical documentation will be made available for public comment.

Also important to the Oro Cruz permitting process is the Imperial County Planning Department (ICPD). The ICPD requires an environmental study consistent and parallel with NEPA pursuant to the California Environmental Quality Act (CEQA). The ICPD is in the process of selecting a third-party environmental consultant for this work. Additionally, SMP has developed and submitted a Reclamation Plan to the ICPD as per the guidelines of California's Surface Mining and Reclamation Act (SMARA) and awaits their review.

Del Fortner, Southern Empire's permitting co-ordinator, said, "We very much appreciate the BLM's positive response to date. Southern Empire is committed to transparency, environmental stewardship and community engagement. As can be seen in our Exploration Plan of Operations, we take our commitment to preserving the natural and cultural environment seriously and are working with the BLM, Imperial County and the local Native American communities to address any and all concerns and explain the basis for our future project developments. We look forward to future engagement with all stakeholders and public input in the NEPA process."