Horizonte Minerals Regulatory News (HZM)

18 Oct 2006 08:30

Horizonte Minerals PLC18 October 2006 Horizonte Minerals plc / Index: AIM / Epic: HMZ / Sector: Mining 18th October 2006 Horizonte Minerals plc ('Horizonte' or 'the Company') Hits Multiple High Grade Silver Intercepts Horizonte Minerals plc, the AIM listed exploration and development companyfocused on Brazil and Peru, is pleased to announce results from the initial 5holes of the 11 hole core drilling programme completed on its 100% owned ElAguila silver-lead-zinc-gold project, located in the Cerro de Pasco miningdistrict, central Peru. All the holes reported here returned economicintersections within zones of pervasive mineralisation and alteration. Highlights • DDH1 7.75 meters grading 101.9 g/t Ag with 1.23% Pb and 1.09% Zn• DDH2 2.25 metres grading 285 g/t Ag with 7.91% Pb and 9.90% Zn• DDH3 4.03 metres grading 229 g/t Ag with 4.77% Pb and 5.00% Zn• DDH4 10.43 metres grading 173 g/t Ag with 1.39% Pb and 1.22% Zn• DDH5 13.73 meters grading 137 g/t Ag with 2.65% Pb and 3.14% Zn The Company has drilled 11 holes totalling 1,350 metres with results for theremaining holes due shortly. The aim of the programme was to test the lateraland vertical continuity of the Veta Norte and Veta Sur polymetallic replacementstructures. These drill results confirm the data received from the surface andunderground sampling programme completed in July 2006, which indicatedsubstantial widths of mineralisation adjacent to the Veta Norte and Veta Sur.The drill confirmation of the high sulphidation replacement style mineralisationsimilar to that of the Cerro De Pasco ploymetallic mine is significant for thetonnage potential of the project. El Aguila is hosted within a hydrothermal breccia pipe below silicified PucarraLimestone, which is the main host rock to the producing polymetallic minesaround the Cerro de Pasco district. Mineralisation occurs in the form ofmassive sulphide and stockwork veins with associated mineralised hydrothermalbreccia. Two holes were drilled off Pad 1; HM-DDH1 at -50(o) and HM-DDH2 at -70(o) totest the part of the system at the 4,230 metre level. HM-DDH1 intersected 4zones of Ag-Pb-Zn mineralisation with the best zone being 7.75 metres from 76.25metres down hole grading 101 g/t Ag with 1.23% Pb and 1.09% Zn. HM-DDH-2 alsohit a number of silver zones with the best being 2.25 metres from 115.93 metersdown hole grading 285 g/t Ag with 7.91% Pb and 9.9% Zn which correlated with 3metres grading 141 g/t Ag in HM-DDH-1. These two holes confirmed the depthcontinuity of the Veta Norte and Veta Sur systems to 120 metres depth fromsurface. Drill holes HM-DDH3 at -50(o) and HM-DDH4 at -70(o) sited off Pad 2 were drilled50 metres along strike from Pad 1 and at an elevation of 4,260 metres. HM-DDH-3intersected an interval of 14.13 metres at 25.92 meters down hole grading 145. g/t Ag with 2.52% Pb and 2.45% Zn including the interval of 4.03 metres with 229g/t Ag with 4.77% Pb and 5.00% Zn. HM-DDH-4 confirmed the extension of the VetaSur to 120 metres depth where it returned 10.43 metres from 46 meters down holegrading 173 g/t Ag with 1.39% Pb and 1.22% Zn. HM-DDH-5 drilled at -50(o), was sited approximately 180 metres to the east ofHM-DDH-1 at an altitude of 4,288 metres intersected the Veta Sur. The entiredrill hole from surface to end of hole intersected 57.95 meters grading 64 gt/tAg with 1.43% Pb and 1.92% Zn, the mineralised zone being much wider thanexpected. The hole also returned a high grade interval of 3.23 metres from53.37 meters down hole grading 238 g/t Ag with 3.97% Pb and 2.97% Zn. Drill From To Interval Ag Pb Zn Hole (m) (m) (m) (g/t) (%) (%) HM-DDH1 2.00 10.00 8.00 49.50 2.30 1.21 51.25 56.50 5.25 139.19 1.39 0.78 76.25 84.00 7.75 101.96 1.23 1.09 92.46 106.80 14.34 66.49 1.79 1.53 Including 103.75 106.80 3.05 139.62 3.63 2.75 HM-DDH2 2.00 12.30 10.30 43.41 2.25 1.05 82.00 102.00 20.00 51.40 1.20 0.90 115.93 118.18 2.25 285.00 7.91 9.90 HM-DDH3 25.92 40.05 14.13 145.10 2.52 2.45 Including 28.97 33.00 4.03 229.07 4.77 5.00 HM-DDH4 46.00 56.43 10.43 173.99 1.39 1.22 69.57 70.00 0.43 289.00 4.21 2.02 HM-DDH5 0.00 57.95 57.95 64.22 1.43 1.92 Including 44.22 47.27 3.05 231.13 5.36 1.97 Including 53.37 56.60 3.23 238.81 3.97 2.97 Horizonte CEO Jeremy Martin said: "El Aguila is turning out to be very exciting;the initial drill results are extremely encouraging, especially as we aregetting mineralisation over extensive widths. Importantly the grades are inlinewith producing mines in the Cerro de Pasco district. We are confident once wereceive the results for the remaining 6 holes that on the basis of grade andmost importantly width continuity seen to date, we will be in a position to lookat a releasing a resource statement for El Aguila. The infrastructure in placeat the project is excellent, we have a granted mining licence and surfaced roadto Cerro de Pasco and the associated process facilities, permitting the fasttrack development of this project. "With this in mind and with the early encouraging results from Tangara in Braziland our developing pipeline, Horizonte is in a position to grow through itsfocused approach of generative exploration." Sampling, assaying, and QA/QC Procedures adopted by Horizonte in the collection, preparation and storage ofsamples from the auger drilling programme, conform to industry-wide bestpractice and with chain of custody being observed for all samples. Analysis isundertaken by ALS Labs at its laboratories in Vancouver, Canada, and the Companymaintains QA/QC on all analytical work via the inclusion of certified referencematerials and field duplicates and blanks, in addition to monitoring of thelaboratory's own internal check-analyses. The above information has been reviewed and verified by Mr. Jeremy Martin, aDirector and Chief Executive of Horizonte, for the purposes of the Guidance Notefor Mining, Oil and Gas Companies issued by the London Stock Exchange in March2006. Mr. Martin, with six years of mining and management experience, graduatedwith a degree in geology from the Camborne School of Mines, and an MSc inmineral exploration from the University of Leicester and is a member in goodstanding with the Society of Economic Geologists and the Institute of miningAnalysts. * * ENDS * * For further information visit www.horizonteminerals.com or contact: Jeremy Martin/David Hall Horizonte Minerals plc Tel: 020 7495 5446David Paxton Hichens Harrison Tel: 020 7588 5171Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7242 4477John Frain/Fergal Meegan Davy Tel: +353 1 679 6363 Notes to Editors: Horizonte Minerals Plc is an AIM listed mineral resources exploration groupfocused on the discovery, appraisal and development of gold and base metaldeposits in Brazil and Peru. The Group has two gold exploration projects inBrazil, and one silver-zinc-lead project in Peru. The two Brazilian goldprojects, Tangara and Falcao, are located to the south of the highly prospectiveCarajas Mineral Province. Both projects cover an area of approximately 300 sq kmand are centred over greenstone belts, with known gold mineralisation. The scaleof these project areas, the overall aerial extent of the mineralised system andthe high density and magnitude of related gold anomalies (identified in riversediments, surface soils and rocks), indicate the potential for multiple depositdiscoveries. The silver-zinc-lead project is located in the historic miningdistrict of Cerro de Pasco in Central Peru. Sampling and limited historicdrilling on this project has demonstrated the high grade potential of thisproject. The Group has a joint venture with Australian gold producer TroyResources NL's 70% owned local subsidiary Sertao Mineracao Ltda to advance itsGoias Velho gold exploration project in Brazil. This information is provided by RNS The company news service from the London Stock Exchange