More NewsEXMIN And Hochschild Focus on Moris District: Resource Expansion at the Moris Mine and Exploration of Three Large Scale Targets in 2007
CCNMATTHEWS
EXMIN Resources Inc.
January 18, 2007 - 12:32:31 PM
EXMIN And Hochschild Focus on Moris District: Resource Expansion at the Moris
Mine and Exploration of Three Large Scale Targets in 2007
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 18, 2007) - EXMIN Resources
Inc. (EXMIN) (TSX VENTURE:EXM) is pleased to provide shareholders with an
overview of the potential to confirm and increase historical resources at its
30% owned Moris Mine and the ongoing district-wide exploration program in the
Moris district. A summary of Moris Mine due diligence data was provided by
EXMIN in a press release dated January 17, 2007. EXMIN believes that several
factors may lead to a significant increase in the historical resources at the
Moris Mine in addition to the operational changes that were discussed in the
January 17 release.
- The Santa Maria vein system has not been systematically explored down-dip
and along strike from the Moris Mine, and nearby areas of alteration and
veining within the Moris Mine land package have not been adequately explored.
- The land package included in the Moris Mine purchase includes two claims,
across the valley from the mine, that cover the strike extension of the
Tecolote vein system, one of the principal large scale drill targets of the
separate, earn-in exploration joint venture.
- Exploration will continue in 2007 on several additional, large scale, high
priority targets on EXMIN/Hochschild ground in the Moris district and outside
of the Moris Mine land package, including the drilling of the Tecolote vein
system.
Karl J. Boltz, President and CEO of EXMIN, stated, "Concurrent with the Moris
Mine due diligence program, the EXMIN/Hochschild exploration joint venture has
continued exploring the rest of the Moris district. We've focused on the
possible extensions of the Santa Maria vein system, as well as other large
scale, high priority targets, such as the nearby Tecolote vein system, the
Balleza bulk tonnage target and the Mesa de Las Tunas/El Pilar target area.
Our ongoing district-wide exploration program has identified additional areas
of mineralization on our exploration joint venture ground and will kick into
high gear now that we've acquired the mine."
Two joint venture agreements between EXMIN and Hochschild covering the Moris
district are in effect. The first agreement is an earn-in exploration joint
venture whereby Hochschild can earn up to 70% interest in EXMIN's 100% mining
concessions related to an area of approximately 23,158(J1) hectares that forms
the Moris exploration project and was announced on March 22, 2006 (Please see
News Releases of March 22 and July 18, 2006, for details on the earn-in
exploration joint venture agreement).
In the second joint venture agreement, EXMIN and Hochschild agreed to purchase
100% (EXMIN 30%, Hochschild 70%) of the Moris Mine and facilities from the
former owner, Minera Moris, for a total purchase price of US$6 million plus
15% VAT (see News Release of July 19, 2006).
Moris Mine - Further Exploration of the Santa Maria Vein System
The Santa Maria vein system consists of massive quartz vein material with
stockworks in the adjacent wall rock and varies from a few metres to more than
30 metres in width. The vein strikes approximately north-south and is exposed
as erosional remnants on three hills exposed over a 1.1 kilometre strike
length at the edge of the Moris valley. The vein dips moderately towards the
valley, providing an ideal geometry for bulk-tonnage mining with a low
stripping ratio.
The Santa Maria vein system has never been systematically explored at depth
below the historical resource blocks defined by Manhattan. As part of the due
diligence program, and to assess the additional resource potential of the
Santa Maria vein system, eleven holes were drilled to explore the vein system
from 80 metres to as much as 240 metres under the resource blocks.
In EXMIN's opinion, in general, the holes intersected the vein with textures
indicating that vein filling occurred at relatively high structural levels
permissible for ore deposition. A fluid inclusion study and analysis of clay
minerals also support this interpretation. Two holes returned values that
indicate that the Creston ore shoot may continue to depth and could be mined
underground once the base of the open pit is reached. Although it is early to
draw definite conclusions, because the holes are widely spaced and were
drilled a large distance below the historical resource blocks, the presence of
a well-formed vein, locally with interesting gold values, is a positive
indication for possible additional mineralization at depth(J2).
Assay results from deep drilling of the Santa Maria vein, Moris Mine
--------------------------------------------------------------------
Intercept Au Ag Depth Below
Hole (m) (g/t) (g/t) Resource(i) (m)
--------------------------------------------------------------------
HMC-8 2.95 4.30 4.7 120
includes 1.5 7.15 7.2 120
HMC-9 4.75 0.41 1.9 90
HMC-10 19.00 0.32 1.0 140
includes 6.00 0.48 2.4 140
HMC-11 0.85 3.12 2.6 120
HMC-12 1.75 0.52 0.6 240
HML-3 0.40 0.44 1.0 150
HMC-15 1.30 0.11 0.3 150
HMC-16 2.55 0.15 1.2 200
HMEM-1 0.25 1.96 0.9 80
--------------------------------------------------------------------
Intercepts are the length of the mineralized interval along the core
and are not true widths.
(i)Depth of vein intercepts below the base of the historical resource
blocks.
To EXMIN's knowledge, the Santa Maria vein system has never been
systematically explored along strike from the immediate area of the previously
defined historical resource. Preliminary geological work indicates that the
structure hosting the Santa Maria vein extends for several kilometres north
and south of the Moris mine. An exploration program to test the possible
strike extensions of the deposit is also planned for 2007.
Note: EXMIN considers data from the operation of Manhattan Minerals from
1996-2000 to be 'historical' in nature because they were generated before
current industry regulations were adopted under NI 43-101 standards. EXMIN has
engaged a Qualified Person to complete a report under NI 43-101 guidelines in
order to recalculate the 'historical resources' following CIM classifications,
and until complete, the 'historical information' should not be relied upon.
District-wide Exploration Upside - Potential Resource Expansion With New
Discoveries
The land package acquired with the purchase of the Moris Mine assets provides
additional potential for the joint venture. Two of the eleven concessions in
the land package contain the strike extensions to the Tecolote vein system,
which is one of the large, stand-alone exploration targets subject to the
EXMIN/Hochschild earn-in exploration joint venture. (See News Releases of
March 22 and July 18, 2006).
The Tecolote vein system is larger in scale and similar in mineralization
style to the Santa Maria vein and has been traced for several kilometres along
strike. Unlike the Santa Maria vein system, however, the Tecolote vein system
has not been significantly eroded and has an exposed vertical extension of
over 700 metres, including a silicified cap, indicating that it has the
potential to host several times the amount of mineralized rock as the Moris
Mine. Surface sampling on the Tecolote system yielded assays of as much as 20
grams per tonne (g/t) gold at high structural levels within the La Fe
concession and up to 20 g/t gold at the in deeper exposures some 500 vertical
metres below. (See News Release of February 22, 2006). The base of the exposed
Tecolote vein system is only a few kilometres from the Moris Mine and any
resources discovered there could potentially be processed using the mine
facilities. Drilling on the Tecolote vein system is planned to commence in
February, 2007.
In addition to the land package acquired in the Moris Mine acquisition and the
Tecolote vein system, the EXMIN-Hochschild earn-in exploration joint venture
controls two other areas in the district with potential for the discovery of
large stand-alone precious metal deposits. These areas, at El Pilar and La
Cienega, are road accessible and host outcropping mineralization. (See News
Release of July 18, 2006). EXMIN has defined drill targets in these areas, and
exploration will continue during 2007.
Quality Control - Quality Assurance
Individual samples were prepared and analyzed by ALS Chemex at their labs in
Mexico and Vancouver. Some samples from the Tecolote vein system were prepared
and analyzed by BIS Inspectorate at their labs in Mexico and Reno. Core was
cut into two approximately equal portions, with one half sent to the
geochemical lab for assay and the second half conserved on site. In certain
cases, the remaining half was removed for metallurgical studies. Gold analyses
were performed by fire assay with an AA finish, and silver analyses were part
of a multi-element package.
Hochschild completes its exploration programs and resource calculations under
the Australian Code for Reporting of Exploration Results, Mineral Resources,
and Ore Reserves (JORC Code) and has emplaced quality control procedures
consisting of insertion of standards and blanks (coarse and fine) in the
sample stream as well as submission of duplicate samples and repeated assays
of both fine (pulps) and coarse material.
Dr. Craig Gibson, PhD., Executive Vice President of Exploration, is the
authorized professional geologist for EXMIN Resources Inc. and the direct
manager of all technical programs and information on the part of EXMIN.
Neither EXMIN's joint venture partner, Minera Hochschild Mexico, nor
Hochschild Mining plc, or any of its subsidiaries, accept any responsibility
for the use of project data or the adequacy or accuracy of this release.
About Hochschild
Minera Hochschild Mexico (MHM) is a subsidiary of Hochschild Mining plc
(Hochschild) (HOC.L for Reuters, HOC LN for Bloomberg), a publicly held, Latin
American precious metals mining company, listed on the London Stock Exchange
in November 2006. Hochschild is a primary silver producer and also produces a
significant quantity of gold (approximately 10.5 million ounces of silver and
approximately 233 thousand ounces of gold in 2005). The company has over forty
years experience in the exploration, evaluation and extraction of precious
metal epithermal vein deposits. Currently, it has three underground,
epithermal vein mines supported by fully developed infrastructure, at the
Arcata, Ares and Selene operations in Southern Peru. Hochschild also has two
advanced stage development projects, one in Argentina and one in Peru, as well
as two early stage development projects both of which are in Mexico. In
addition to its development projects, Hochschild has over twenty long-term
prospects throughout Latin America. Hochschild's company headquarters are in
Lima, Peru.
About EXMIN
EXMIN Resources Inc. (EXMIN) is currently focused on the exploration and
development of precious metal properties of exceptional merit in the Sierra
Madre gold belt of Northwestern Mexico.
Note: EXMIN Resources Inc. (EXMIN) has taken all reasonable care in producing
and publishing information contained in this news release. Material in this
news release may still contain technical inaccuracies, omissions or
typographical errors, for which EXMIN assumes no responsibility. This news
release may include certain "forward-looking statements" including but not
limited to comments regarding predictions and projections. All statements,
other than statements of historical fact, included in this news release,
including, without limitation, statements regarding potential mineralization,
exploration results, and future plans and objectives of EXMIN, are
forward-looking statements that involve various risks and uncertainties. There
can be no assurance that such statements will prove to be accurate, and actual
results and future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed in documents filed
from time to time with the regulatory authorities.
FOR FURTHER INFORMATION PLEASE CONTACT:
EXMIN Resources Inc. Karl J. Boltz President & CEO 1-888-244-0304
EXMIN Resources Inc. Investor Relations 1-888-244-0304 Email:
info@exmin.com Website: www.exmin.com
The TSX Venture Exchange has not reviewed this release and does not accept
responsibility for the adequacy or accuracy of this news release.