Category: Breaking LA Mining Record

Purchase Agreement for the Tepal Gold-Copper Project

VANCOUVER, BC – Geologix Explorations Inc. reported the execution of a definitive agreement between the Company and Arian Silver Corp. granting Geologix the exclusive Option to Purchase a 100% interest in the Tepal Gold-Copper Project, Mexico, subject to a 2.5% net smelter return royalty to the underlying vendor.

Under the terms of the previously announced Letter of Intent and Option to Purchase Agreement, Geologix can complete the purchase of 100% of the property, subject to a 2.5% net smelter return royalty to the underlying vendor, by delivering to Arian US$1.45 million before February 23, 2010 and a further US$1.55 million to Arian before February 23, 2011. Of the first payment, US$517,500 will be satisfied by Geologix forgiving a loan in the same amount made to Arian. At Geologix’s election, up to 50% of both payments may be satisfied in Geologix shares, subject to Toronto Stock Exchange approval. The Company will also assume the remaining underlying property option agreement payments of US$900,000 payable before June 6, 2010, and a further US$2.3 million before June 6, 2011 to the underlying vendor.

Dunham Craig, President & CEO stated, "With the definitive agreement now executed, we’re pleased to have the opportunity to initiate geophysical surveys, trenching, and drilling programs as we aim to systematically advance the project in the coming months."

The company’s address is Suite 1753, 595 Burrard Street, P.O. Box 49172, Three Bentall Centre, Vancouver, BC V7X 1K8, 604.694.1742, fax: 604.694.1744, email: [email protected].

Capital Gold Reports Preliminary Production

NEW YORK, NY – Capital Gold Corporation reported preliminary production results for its second fiscal quarter of 2010 (ended January 31, 2010) at its 100% owned and operated El Chanate mine in Sonora, Mexico.

John Brownlie, Capital Gold’s President and Chief Operating Officer, said that gold production continues to increase at El Chanate. "The installation of an additional crushing plant earlier this year has increased crushed ore production to the leach pads that, in turn, has resulted in a considerable increase in gold production for January," he said.

"With the recent improvements made at the mine, we anticipate gold production to continue at the rates we have seen in January," said Brownlie. "As is typical with all heap leaching processing, it takes time to reach equilibrium of gold placed on the leach pad and actual gold produced. January’s results show that we are nearing equilibrium and can expect to maintain and improve upon these higher production numbers."

The Company also continues to make progress at its exploration property, Saric, where five core holes have been completed out of a planned 13. Brownlie said that the reverse circulation drill program to test for additional gold and silver mineralization will resume "once the results of the five completed holes are reviewed and we have a better understanding of the geological setting."

The company’s address is 76 Beaver Street, 14th floor, New York, NY 10005, (212) 344-2785, fax: (212) 344-4537, email: [email protected].

Esperanza Begins Cerro Jumil Expansion Drill Program

VANCOUVER, BC – Esperanza Silver Corp. reported that it has begun a new drill campaign at its wholly-owned Cerro Jumil gold project in Morelos State, Mexico. The drill program will focus on expanding the currently defined gold resource primarily in the Calabasas zone. Earlier drilling has encountered gold mineralization in this area that will now be further defined and quantified.

An additional focus of the drill program will be to upgrade resources currently categorized as inferred to the measured and indicated categories. Also new exploration targets in the immediate resource area will be tested. Esperanza anticipates a minimum of 10,000 meters will be drilled during this program adding to the 32,000 meters already completed in earlier drill campaigns.

A recently completed Preliminary Economic Assessment recommended further metallurgical testing. Accordingly a sample has been shipped to SGS Laboratories in Durango, Mexico and column testing to further define heap leach characteristics will begin shortly. This will be the first in a series of subsequent metallurgical investigations designed to further optimize the heap-leach process parameters for use in a feasibility study.

Bill Pincus, Esperanza’s President said, "We are excited to start on this new drill program and the metallurgical testing as it now moves Cerro Jumil into the feasibility stage of development. We expect that the results of this new work will enhance Cerro Jumil’s already considerable potential and move the project that much closer to production."

Esperanza is a gold and silver company focused on advancing the development of its two principal properties: the 100%-owned Cerro Jumil gold project in Morelos State, Mexico and the San Luis gold and silver joint venture in Peru. It also holds an extensive portfolio of exploration properties in Mexico and Peru.

The company’s address is 570 Granville Street, Suite 300, Vancouver, BC V6C 3P1, (604) 685-2242, fax: (604) 688-1157.

New Gold Rich Zone At El Rosario Target

VANCOUVER – Yale Resources Ltd., on behalf of its partner, American Sierra Gold Ltd., reported the discovery of a new gold-rich zone within the underground workings of the El Rosario Target in the Urique Project, Chihuahua State, Mexico.

The new gold zone was found within a previously unknown extension to the El Rosario tunnel during a program that included reconditioning, mapping and sampling in preparation for a planned underground drill program. The Rosario tunnel is the largest of three known workings within the larger El Rosario target area.

This gold-rich zone may represent a ‘clavo’, or ore shoot, and is approximately 60 metres long. A total of 22 samples were taken in the zone with values ranging from 0.06 to 11.57 g/t gold and 6.6 to 358.7 g/t silver.

Sampling of the veins underground was limited by the narrow width and size of the workings, however surface sampling some 150 metres above the Rosario tunnel, encountered bonanza grades up to 10.6 g/t gold and 8,290.0 g/t (or 241.5 ounces per ton) silver (see news release dated February 6, 2008) within 10 to 40 cm wide veins that make up vein-sets that have been mapped as being 1 to 7 metres wide.

At El Rosario fieldwork in 2008 identified at least five vein-sets hosted within altered andesite. Multiple +1 kilogram per tonne silver assays have been collected from various veins throughout the El Rosario target. Significant silver mineralization of up to 257 g/t silver and 0.78 g/t gold over five metres also occurs within the altered andesite host rocks, which adds to the bulk tonnage potential of the target.

The El Rosario target, as currently defined, measures approximately 175 metres wide by 400 metres long. The mineralization and alteration mapped on surface and underground is open along strike and to depth and has never been drilled.

The company’s address is 400 – 409 Granville St., Vancouver, BC V6C 1T2, 604-678-2531, fax: 604-678-2532.

Eaglecrest Prepares Drilling Plans, Extends Surface Gold

VANCOUVER, BC – Eaglecrest Explorations Ltd. reported the expansion of the surface high-grade gold zone at the Buriti area of the San Simon project in Northeastern Bolivia. Ground crews have now extended the area of anomalous gold and gold-mineralized rock at Buriti to approximately 1,000 metres by 2,500 metres, elongated east-west. A total of 119 additional surface rock chip samples were collected and analyzed – they were focused on sampling mineralized rock that has been exposed in trenches and pits in and around the Buriti prospect. Of these, 19 of the samples had results greater than 1 gram per tonne gold. Assay results from surface rock chip and channel samples in this sample set varied from below detection to 28.1 grams per tonne gold. The most promising zone is between the east-west trending faults that lie north and south of the mineralized areas.

"The Buriti zone continues to expand as we dedicate more time to mapping and sampling between the Buriti and Paititi areas," reports Eaglecrest’s President Hans Rasmussen. "These new results also validate our focus on our district-wide data compilation, mapping and sampling program. Trenching is currently underway in an effort to better expose and map the extent of gold mineralization between Buriti and Paititi. The trenching program is also focused on locating areas of disseminated gold mineralization between the high-grade gold structures that we are finding. All of these steps will enable us to better position our drilling efforts, which we anticipate resuming once funding is achieved in early 2010."

As part of the on-going district-wide exploration program (described in the Company’s October 20, 2008 news release) the ground teams started a systematic, district-wide program of mapping and data compilation from old reports that existed in our files. The Paititi-Buriti zone was given highest priority because it has the strongest, most contiguous gold-arsenic geochemistry in the 2007 soil data set (refer to news release dated July 9, 2007) and its proximity to the Company’s existing infrastructure. Paititi-Buriti soil sample assay results ranged from below detection to 1.57 grams/tonne gold.

The Buriti zone is at the west end of the east-west Paititi-San Francisco-Buriti trend (see www.eaglecrestexplorations.com/Paititi-Buriti_June2009.pdf). The high-grade gold zone at Buriti was initially sampled and announced in our January 14, 2009 news release. And, as announced in a June 8th news release, surface sampling has extended the Paititi-San Francisco-Buriti trend to seven kilometres length.

The company’s address is 1055 West Hastings Street, Suite 300, Vancouver, BC V6E 2E9, 604-684-7160, fax: 604-684-7162, email: [email protected].

Dorato Further Defines Lucero Discovery

VANCOUVER, BC – Dorato Resources Inc. reported the receipt of follow-up rock assay results received from Minera Afrodita relating to the high priority Lucero discovery, Condor Gold-Copper Belt, Peru (previous News Release NR09-03, NR09-13). Recent follow-up rock sampling has returned highly anomalous results from 290 rock samples, ranging from below detection to 11.17 g/t gold, with coincident copper, zinc and lead anomalies. Dorato has a right to acquire 100% of Minera Afrodita.

The Lucero Target is located 5 km from the flagship Taricori Gold Zone – it was previously unknown and is not exposed by informal miners. The initial discovery of the Lucero Zone was based on the interpretation of magnetic and electromagnetic (EM) geophysical data combined with regional geochemistry. Initial sampling on the ground returned very encouraging gold grades in rock samples (from below detection to 3.27 g/t gold) and defined several broad areas of gold and base metal anomaly. Follow-up mapping and sampling has now added significant weight to those initial results and brought Lucero a step closer to drill testing.

The company’s address is #1920, 1188 West Georgia Street, Vancouver, BC V6E 4A2, 604-638-5817, fax: 604-408-7499.

Drill Program at Esquilache Gold/Silver/Copper Property

TORONTO, ON –  Vena Resources Inc. reported that a 3,000 meter drill program will commence on the Esquilache polymetallic property in Puno, Peru. A contract has been signed with Canchi Perforaciones Peru S.A.C. to immediately mobilize a track-mounted drill to the property and complete 3,000 meters of diamond core drilling in 12 holes.

The historical Esquilache silver mine has been a centre for mining activities since pre-Inca times. Mineralization occurs in stockworks and rosary-type veins exposed on two hills named Cerro Creston and Cerro Mamacocha within a large Miocene caldera. Vena has concentrated on Cerro Mamacocha where mining activities have been relatively restricted compared to Cerro Creston where mine workings extend to a depth in excess of 450 meters. Individual drill holes have been planned to test multiple structures and are based on a compilation of extensive surface mapping and sampling, rehabilitation and sampling of underground workings and geophysical studies that have been conducted on the property over the past year.

Although Esquilache is known principally as a high-grade silver producer, mineralization is polymetallic with important values in lead, zinc, copper and gold. Recent studies have shown a rough zonation of the mineralization with copper and gold increasing in the area of the western flank of Cerro Mamacocha. The current drill program will concentrate on targets in this area including a gold stockwork zone in the structurally complex hanging wall of the Elvira structure.

Gold occurs in a complementary set of extensional veins and veinlets with the highest values at intersections of the larger veins as typified by the Aydee – Ivett intersection and within sigmoidal structures along the vein systems. The stockwork zone as outlined on the accompanying plan has a width in excess of 100 meters and an exposed length of approximately 160 meters in a northeast – southwest direction with potential extensions covered by overburden. Values on surface peak at 15.3 g/t Au and the maximum value in the associated underground workings is 38.48 g/t Au across 0.60 m in the Ivett structure as detailed in a press release issued by the Company on June 16, 2009.

Another priority target will be the high grade silver and copper mineralization in the Santa Cruz and Juan veins that are exposed in cross-cuts off of the Mamacocha adit. The veins are separated by approximately 50 meters and can be tested by a single hole.

The company’s address is 2700, 130 Adelaide Street West, Toronto, ON M5H 3P5, 416-364-7739, fax: 416-364-5400, email: [email protected].

Vena Moves Azulcocha Project to Development Phase

TORONTO, ON – Vena Resources Inc. reported that planning is in progress with a partner to begin a pilot test program and final economic assessment of the Azulcocha tailings deposit in Peru. A NI 43-101 compliant probable reserve estimate for the tailings of 908,400 tons grading 3.27% zinc, 10.04% manganese and 1.13 gpt gold was announced in July 2005 and metallurgical testing showed that a marketable zinc concentrate grading over 55% zinc can be produced at a total recovery of 66% and a manganese dioxide product can be produced at a total recovery of 71.1%. Gold credits were not used as part of the 2005 pre-feasibility study economic assessment.

The pre-feasibility study was based on a plant production rate of 500 tonnes per day generating two saleable products – manganese dioxide and a zinc concentrate. The base case results of the analysis indicated that the project is economic, returning a net present value of US$37,200,000 and an internal rate of return of 157%. The study used a zinc metal price of US$0.50 per pound and manganese dioxide price of US$0.70 per pound, which are well below current and forecasted prices for the next few years. Key components of the capital assets required to achieve these financial results have already been purchased by the Company, including a zinc floatation mill capable of processing up to 1,400 tpd as well as the installation of a 3 MvA electrical substation and additional supporting infrastructure.

The Azulcocha tailings Probable Ore Reserve of 908,400 tonnes contains approximately 30,000 tonnes of zinc metal and 91,000 tonnes of manganese metal. Vena expects that pilot testing using current metallurgical methods should improve the published total recoveries achieved previously.

If pilot testing confirms the economics of the project, the Company plans to move forward with permits to begin the re-processing operation of the tailings deposit. Cash flow from this operation will fund final construction of a much larger tailings deposit capable of containing 3 to 4 million tons of new tailings expected from the eventual underground operation as well as any additional resources found on the mine property and the adjoining Azulcocha West joint venture project with Glencore.

The company’s address is 2700, 130 Adelaide Street West, Toronto, ON M5H 3P5, 416-364-7739, fax: 416-364-5400, email: [email protected].

Yale Samples 2.02 g/t Au And 31.2 g/t Ag

VANCOUVER, BC – Yale Resources Ltd. reported results from the ongoing work program at the 100% owned Orofino Project.

Within the La Perla pit Yale sampling returned 18.5 metres with a weighted average of 2.02 g/t gold and 31.2 g/t silver. Detailed mapping indicates that the shallow La Perla pit is located at the intersection of a vertical and a shallowly dipping mineralized structure. These parallel structures each have been traced over several hundred metres of strike length.

Approximately 200 metres northeast of the La Perla pit within the central portion of the La Perlita targets a hand dug trench uncovered 17 metres with a weighted average of 1.20 g/t gold and 10.8 g/t silver from a second set of parallel veins.

This work program continues to prove up strong targets for the planned drill program at Orofino. Initial work by Yale geologists has confirmed the validity of the significant amount of historical, non 43-101, data inherited by Yale upon purchase of the property. Having this large quantity of data gives Yale a huge advantage as we can advance towards a drill program that much quicker, stated Yale president, Ian Foreman.

In addition, two samples from a large stockpile of mineralization from the previous mining at Orofino returned 1.76 g/t gold and 1.48 g/t gold respectively from 1.5 metre deep pits.

The Orofino Project is located approximately 135 km southeast of Hermosillo, Sonora State and is approximately 83 square kilometres in size. The Project area is host to 9 known mineralized targets and 6 historic open pit workings.

The company’s address is 400 – 409 Granville St., Vancouver, BC V6C 1T2, 604-678-2531, fax: 604-678-2532.

43-101 Compliant Tocantinzinho Resource Estimate

HOUSTON, TX – Brazauro Resources Corp. reported an NI 43-101-compliant resource update at its 100%-owned Tocantinzinho Gold Project (TZ) in the Tapajos region of Para state, Brazil. Total mineral definition drilling at TZ is represented by 40,960 meters developed in 139 diamond drill holes. Not considered in this resource estimate are 12 holes drilled by Brazauro to explore other targets in the vicinity of TZ, totalling 2,215 meters.

The new estimate demonstrates that approximately 28% of the resources, 629,000 ounces, are measured (15.834 Mt at 1.23 g/t Au); 55% are indicated, 1,264,000 ounces, (35.572 Mt at 1.10 g/t Au); and 17%, 389,000 ounces, are inferred (12.400 Mt at 0.98 g/t Au). The denser drilling pattern has created a more robust database, resulting in a significant increase in the confidence and accuracy of this new resource estimate.

Chairman and CEO Mark Jones said, This new resource indicates the significant production potential of TZ. We will incorporate this data into our new economic evaluation of this deposit which is due to be completed in January 2010.

This estimate was based on a grade shell of 0.20 g/t Au. The samples contained within this solid were selected, transformed to 2 meters composites and used to study the variography. Ordinary kriging was used to interpolate gold grades into 10mx10mx5m blocks. The categorization was undertaken based on number of samples adjacent to each block. To define blocks with reasonable prospects of economic extraction, a Whittle envelope was estimated, based on economic and technical parameters considered feasible to occur along the life of the project. Resources were defined as the blocks contained within this envelope and above the marginal cut-off of 0.254 g/t Au.

The company’s address is 16360 Park Ten Place, Suite 217, Houston, TX 77084, (281) 579-3400, fax: (281) 579-9799, email: [email protected].