Herencia Resources Regulatory News (HER)

22 Jul 2008 10:00



22 July 2008

Herencia Resources plc

("Herencia" or the "Company")

Latest Drilling Returns Multiple High Grade Intersections at Paguanta

Herencia Resources Plc (AIM: HER), the exploration and development company with a primary focus on identifying resource opportunities in South America, is pleased to provide an update of positive drilling results at its Patricia deposit, part of its 70% owned Paguanta zinc-lead-silver project in northern Chile. 

Highlights:

Multiple high grade assay results returned from drilling at the 'Patricia' deposit: 

Cathedral vein:

Central vein: 

- Diamond hole PTDD018 - 8m @ 4.05% Zn, 2.13% Pb and 122ppm Ag including:

- 2.5m @ 6.68% Zn, 3.91% Pb, 249ppm Ag and 0.44ppm Au from 214.5m

- 2m @ 5.54% Zn, 2.65% Pb, 123ppm Ag and 0.32ppm Au

Recent diamond drilling has returned several mineralised intercepts at depth on the Cathedral and Central Veins. 

Newly identified Rosada vein, a near surface vein adjacent to the Camp vein, returns high grade intersections:

- RC hole PTRC058 - 8m @ 4.6% Zn, 1.8% Pb and 157ppm Ag from 36m including:

- 3m @ 8.61% Zn, 3.16% Pb, 299ppm Ag and 0.48ppm Au 

- RC hole PTRC059 - 22m @ 3.2% Zn, 0.32% Pb and 18ppm Ag from 38m including:

- 3m @ 6.61% Zn, 0.5% Pb and 42ppm Ag

  Recent Drilling Success at Paguanta

The current 10,000m Diamond and RC drilling program at Patricia is continuing. Herencia have completed 14 diamond holes to a maximum depth of 300m, for approximately 2,500m of drilling and 42 RC holes, to a maximum depth of 230m, for approximately 5,000m of drilling. Assay results have been positive so far with high grade intercepts in all veins. A summary of significant assay results received to date is provided in Appendix 1.

Cathedral and Central Veins Extended at Depth

Recent diamond drilling has returned several visually mineralised intercepts at depth below the current resource. In particular, drilling on the Cathedral Vein has intersected visible sulphides between 183 and 213m depth in PTDD024, a 30m intercept, approximately 200m below the surface outcrop of the vein. Whilst the dip of the vein is thought to be close to the orientation of the drill hole, Herencia is encouraged to intersect mineralisation at depth at Patricia below the current resource. All veins remain open at depth. Assay results are expected in Q3 2008.

New Vein Identified

The recently identified Rosada vein that lies adjacent to the Camp vein has returned several high grade intercepts near surface (as seen in holes PTRC058 and PTRC059 set out in Appendix 1).  It is noted that the vein is also gold bearing. Further drilling is underway to delineate the extent of mineralisation in this vein.

Drilling is now scheduled to continue at Paguanta until early September 2008.  Drilling of the La Rosa porphyry-copper target, 3km to the north of Patricia on the same tenement group, is set to commence within the next seven to 10 days.

Commenting on the latest results of the drilling program, Herencia's Executive Director, Michael Bohm, said: 

"The intercepts of mineralisation at depth at Patricia are very encouraging and indicate the high potential of the project.  We are pleased to see that the new veins being found are of high grades similar to those encountered in the earlier defined veins."

Mr. James Sinclair, Exploration Manager (Chile) for Herencia, has reviewed the information contained in this announcement. Mr. Sinclair has 13 years experience in the resources sector and is a qualified person within the definition of the AIM guidelines.

Further background details on the Company and the Paguanta Project can be found at www.herenciaresources.com

Enquiries:

  Appendix 1: Recent Drilling Results

Drill Intersections based on >2% Zn cut off grade

All holes assayed by ALS La Serena 1kg 90% passing 75 micron HF-HNO3- HClO4 digest 

AAS AA26 ore grade finish DL - Pb 0.01-20%, Zn 0.01 -30% Ag 1-1500ppmAu 0.01ppm Au DL Fire assay AAS finish