Herencia Resources Regulatory News (HER)

21 Feb 2007 15:57

Herencia Resources PLC21 February 2007 21 February 2007 Herencia Resources plc ("Herencia" or the "Company") New High Grade Silver-Zinc results from Paguanta Highlights: • Very high grade silver-zinc-lead results from surface sampling at Paguanta extends area of mineralisation identified in most recent drilling campaign. • Highest grades of 1,515 g/t Ag (48 oz/t Ag) and 14.85% Zn. • High silver grades returned from sampling a structure located 100m south of current drill area - suggests a mineralised 'fourth' vein. • Gold grades returned from both surface and drill core samples. Paguanta Project: As reported on 25 January 2007, drilling at Paguanta during the last quarter of2006 returned multiple high grade silver, zinc and lead results from thePatricia zone. Following on from the drilling program, a rock chip sampling program comprising41 samples was completed at Paguanta during January this year. The programtargeted extensions to the three mineralised veins which were identified duringdrilling. The following high grade results were returned: Sample East North Ag g/t Pb % Zn % Au g/t43265 495035 7809420 1,515 0.57 0.04 0.143266 495040 7809420 1,075 0.48 0.04 0.2243267 495040 7809425 556 0.77 0.05 0.1443268 495030 7809415 294 6.54 0.11 0.0443269 495020 7809415 315 6.51 0.11 0.0443274 494640 7809440 198 0.13 0.02 0.0543278 494565 7809450 131 5.46 0.1 1.7743281 494565 7809445 241 4.32 0.04 0.4543291 494405 7809770 280 21.2 0.43 0.9743293 494420 7809650 588 3.74 10.8 0.6843294 494420 7809645 800 4.44 14.85 1.0943295 494415 7809650 336 3.11 8.02 0.9743297 494445 7809590 358 4.46 0.3 0.5843302 494275 7809520 309 11.4 0.49 0.43 - Ag, Pb, Zn AAS sampling technique used- Samples 43265 and 43266 Ag by fire assay with gravimetric finish- Au by fire assay technique 0.01ppm DL- Co-ordinate system PSAD56 Of significance: • Samples 43265 and 43266 returned the highest silver grades (1,515 and 1,075 g/t Ag) yet recorded at the Project and were located 100m east of hole PTDD007(drilled in 2006) along the projection of the Cathedral vein. • Samples 43274 and 43281 returned high silver grades (198 and 241 g/t Ag)approximately 100m south of current drill coverage, along a structure whichmapping suggests could represent a 'fourth' mineralised vein. • Sample 43291 returned 280 g/t Ag and 21.2% Pb and extends mineralisation 200meast along the Camp vein from drill hole PTDD001 (drilled in 2006). • Samples 43293 and 43294 extend high-grade silver mineralisation 100m eastalong the Central Vein (588 and 800 g/t Ag and 10.8 and 14.85% Zn respectively). • In addition to the very high grade silver, lead and zinc assay results,several samples also returned elevated gold grades. In addition to the above sampling program, previously reported high grade Zn/Agdrill intersections (drilled in 2006), were re-assayed for gold by fire assaytechnique. Two intervals returned average gold grades of (greater than orequal to) 0.5 g/t Au: • PTDD004 - 8m @ 0.5 g/t Au from 83m• PTDD010 - 4m @ 0.76 g/t Au from 38m These results confirm the presence of gold within Paguanta's mineralised system. Commenting on the Paguanta results, Executive Director Michael Bohm said "We arenow seeing very high grade silver and zinc results, with the silver valuesreporting in terms of 'ounces per tonne', extending the known areas ofmineralisation identified by recent drilling. Given we are reporting multipleoutcropping veins, consistently returning high grades both at surface and atdepth, we see a significant development opportunity emerging at Paguanta". Meanwhile at the company's Iquique Project, follow up trench and spot samplingby Herencia at the old Rosa Amelia mine has returned high silver values hostedin two sub-parallel veins. Sampling along the previously untested north veinhas returned silver mineralisation over a strike length of approximately 300m,including 2m @ 180 g/t Ag, 3m @ 53 g/t Ag and spot samples along the vein of 942g/t Ag, 232 g/t Ag, 2.17% Cu and 1.17% Cu. The north vein remains open alongstrike. At the old Santa Rosa mine, first pass sampling has returned anaverage grade of 43 g/t Ag from 59 surface samples, including peak results of315 and 307 g/t Ag and 2.97% Cu. Sampling and mapping activities are ongoing. In relation to new business development, the Company has commenced fieldinvestigations of several properties containing potential porphyry-coppertargets north of La Serena in central Chile. The properties were previouslyidentified for evaluation by Mineral Securities and have been introduced toHerencia as part of the Alliance between the two companies. Herencia is in theprocess of acquiring these tenements and plans to complete this process in2Q2007" The Company is now finalising details of its proposed 2007 exploration programto commence in April 2007 with a second, more extensive drill program atPaguanta planned to get underway in June. Mr. James Sinclair, Exploration Manager (Chile) for Herencia Resources, hasreviewed the information contained in this announcement relating to the PaguantaProject. Mr. Sinclair has 12 years experience in the resources sector and is aqualified person within the definition of the AIM guidelines. A copy of this update can be downloaded from the Company website. Further background details on the Company and its Paguanta and Iquique Projectscan be found at www.herenciaresources.com **ENDS** Contact: Michael Bohm HERENCIA RESOURCES PLC +61 8 9221 7466 DAVID YOUNGMAN WH IRELAND LIMITED +44 161 832 2174 This information is provided by RNS The company news service from the London Stock Exchange