Excellon Provides Operational Updatehttps://www.tradingmarkets.com/news/press-release/exllf_exn_excellon-provides-operational-update-990529.html
TORONTO, ONTARIO--(Marketwire - June 17, 2010) - Excellon Resources Inc.(TSX:EXN) wishes to provide, in advance of the upcoming Annual GeneralMeeting on Friday June 18th, 2010, an update on several importantinitiatives as follows:
Platosa
continues to produce consistent volumes in excess of the 2010mining plan. Year to date the mine has produced above the planned 200tonnes per day due to the application of disciplined mining methods andthe effective control of water inflows. The Company will provide aformal 2010 guidance update with the second quarter results due inAugust but
management expects this favourable volume trend to continue.
Excellon is
developing a mining plan, that management estimates,
willallow Platosa to expand production in 2011 and has begun planning forthis expansion. The
capital cost will be minimal; it includes theconstruction of a new fresh air raise, and incremental mine development.The three water-control doors have been constructed, one has beeninstalled and tested successfully, and the other two are on-siteawaiting installation. Other water-control measures are being developedin collaboration with the Denver-based hydrology consultants.
Additionalmining equipment in support of this expansion is en route to Mexicoafter undergoing final manufacturing modifications in Canada. Thisequipment has been paid for out of existing cash flow. The Mexicanoperations currently have more than adequate crushing and millingcapacity to accommodate a substantial increase in production.
In spite of these high degrees of activity and investment the
companyheld cash resources of $7million as at May 31, 2010.
"We are pleased with the continued progress that Excellon has been ableto deliver on the many exciting initiatives that the company ispursuing," stated Peter Crossgrove, Excellon's Chairman and CEO. "TheCompany is a unique junior company in that it holds a
large portfolio ofgrowth opportunities and the cash to fund them internally."
About Excellon
Excellon, a mineral resource company operating in Durango and ZacatecasStates, Mexico, is committed to building value through production,expansion and discovery. Excellon is producing silver, lead and zincfrom the high-grade manto Mineral Resource on its large PlatosaProperty, strategically located in the middle of the Mexican silverbelt. In fiscal 2010, Excellon's focus is on expanding its operatingcapacity and increasing its Mineral Resources at Platosa
through aCDN$12 million exploration program where five diamond drills are inoperation. The Platosa Property, not fully explored, has severalgeological indicators of a large mineralized system. The equally largeMiguel Auza property hosts an Indicated and Inferred Mineral Resourceand was the site of considerable historic mining for silver, (gold),lead and zinc. The exploration potential of Miguel Auza remains to befully evaluated and is the object of an ongoing exploration program,which began in the fall of 2009. A one-drill initial target testingprogram, which began in early April 2010 was completed in June.
On behalf of EXCELLON RESOURCES INC.
Peter Crossgrove, Chairman & Chief Executive Officer
This press release contains forward-looking statements within themeaning of Section 27A of the Securities Act and Section 27E of theExchange Act. Such statements include, without limitation, statementsregarding the future results of operations, performance and achievementsof the Company, including potential property acquisitions, the timing,content, cost and results of proposed work programs, the discovery anddelineation of mineral deposits/resources/reserves, geologicalinterpretations, proposed production rates, potential mineral recoveryprocesses and rates, business and financing plans, business trends andfuture operating revenues. Although the Company believes that suchstatements are reasonable, it can give no assurance that suchexpectations will prove to be correct. Forward-looking statements aretypically identified by words such as: believe, expect, anticipate,intend, estimate, postulate and similar expressions, or are those,which, by their nature, refer to future events. The Company cautionsinvestors that any forward-looking statements by the Company are notguarantees of future results or performance, and that actual results maydiffer materially from those in forward looking statements as a resultof various factors, including, but not limited to, variations in thenature, quality and quantity of any mineral deposits that may belocated, significant downward variations in the market price of anyminerals produced (particularly silver), the Company's inability toobtain any necessary permits, consents or authorizations required forits activities, to produce minerals from its properties successfully orprofitably, to continue its projected growth, to raise the necessarycapital or to be fully able to implement its business strategies. All ofthe Company's public disclosure filings may be accessed via
https://www.sedar.com andreaders are urged to review these materials, including the technicalreports filed with respect to the Company's mineral properties, andparticularly the January 15, 2010 NI 43-101-compliant technical reportprepared by Scott Wilson Roscoe Postle Associates Inc. with respect tothe Platosa Property. This press release is not, and is not to beconstrued in any way as, an offer to buy or sell securities in theUnited States.
The Toronto Stock Exchange has not reviewed and does not acceptresponsibility for the adequacy or accuracy of the content of this PressRelease, which has been prepared by management.