RE: CANDENTE PRESS RELEASE MAY21-13
Press Note
In response to inaccurate information released by various media in regard to Candente’s news release (NR-050) May 17, 2013, Cañariaco Copper Peru SA, wishes to clarify the following:
Cañariaco Copper Perú S.A. continues to operate the Cañariaco exploration project located in the district of Cañaris Ferreñafe Province, Department of Lambayeque while actively promoting sustainable development projects and respecting environmental practices and standards. We regret that some news media and unauthorized persons have deliberately misinformed the general public regarding our current status and stage of development, The recent decision to reduce expenditures on the Project are the result of the current global downturn and are not motivated by political or social pressures in any way. We have strong support from both community and government for which we are very appreciative. The following are the facts about this project:
1. The company will continue to focus its efforts on social development projects to ensure sustainable development of the district of Canaris and the project.
2. The company retains its authorization to continue its drilling at any time, having successfully completed the exploration stage drilling at Cañariaco Sur and metallurgical drilling at Cañariaco Norte. The drilling program was carried out normally, uninterrupted and sustained according to the operational targets and deadlines previously outlined. As is well known, all mineral exploration drilling work has stages which are often seasonal.
3. The geotechnical drilling is planned to continue after a study of the results to date, and will be dependant on capital markets.
4. The company announced drilling has made excellent progress and results are promising so far, confirming Cañariaco has the potential to become a major project for mining development and therefore economic development in Peru.
5. Drilling at Cañariaco Sur has delineated a significant zone of copper, gold and silver mineralization, which extends over a mínimum of 700 meters ("m") north-south and 500 m east-west, and remains open in all directions (for further reference see NR's-044, 046, 047 and 049). Results from two holes are still pending.
6. The company also maintains fluid communication with the government of Peru, whom has commited strong support and necessary guarantees for development of the Cañaris district and the Cañariaco Project. These discussions are being carried out within Peru’s legal framework and in an environment of open and transparent communication with respect between government, community and the Company.
For these reasons, the company reaffirms that it remains fully committed to the economic and social progress of the Cañaris district and the country at large, promoting responsible mining, through its development programs and social responsibility.
It is our hope that this Statement will be distributed by various media to provide the public accurate information about our project and our Company.