Last checked at 2 Dec 2010 07:00
Orosur Mining Inc. ('OMI' or 'the Company') (TSX-V: OMI) (AIM: OMI), a South American-focused gold producer and explorer, announces new drill results and the extension of the mineralized zone at the Vaca Muerta project in northern Uruguay.
Highlights
Best gold intercepts from the follow-up drilling at Vaca Muerta include 24 meters at 1.65g/t from 26 meters in hole VMRC024, 19 meters at 1.78g/t from 6m in hole VMRC025, 15 meters at 3.38g/t from 50 meters in hole VMRC026, 10m at 1.65g/t from 56m and 12m at 1.96g/t from 69m respectively in hole VMRC027 and 12m at 1.42g/t from 32m in hole VMRC034. The follow-up drilling in October and November has provided additional information on the dip and width of the mineralized zone, expanded the strike length of significant gold mineralization to 425 meters, and extended down dip continuation to 120m vertical from surface. Mineralization continues to be open down dip and along strike to the NW.David Fowler, CEO of the Company commented: "The follow up drilling at Vaca Muerta confirmed and expanded on the results we announced early in October. The Company plans to restart drilling in January 2011 to target a 43-101 compliant resource by mid 2011 which we expect to have significant potential to add to the San Gregorio mine plan. Additional exploration around Vaca Muerta and in the eastern end of the Isla Cristalina belt will continue in 2011 to investigate other gold targets."
Vaca Muerta Drill Results
Some 18 holes have been assayed in the follow-up round of drilling and the Company has completed a total of 25 holes (21 reverse circulation ("RC") and 4 diamond ("DD")) to date at Vaca Muerta totaling some 2,324 meters (1,758m RC, 566m DD). All 25 holes encountered anomalous gold values. The best intercepts, (results shown in the table below) demonstrate strong, shallow gold mineralization that remains open along strike to the NW as well as down dip. Note assays for holes VMDD02 through VMDD04 are pending.
Results for holes VMRC016, 018, and 019 were previously reported on October 5th 2010. The rest are from the recent follow up drilling.
| Hole | From | To | Interval (m) | Gold | ||||
| Au g/t | ||||||||
| VMRC016 | 43 | 64 | 21 | 2.15 | ||||
| VMRC018 | 53 | 54 | 1 | 1.82 | ||||
| VMRC018 | 63 | 69 | 6 | 1.53 | ||||
| VMRC019 | 49 | 79 | 30 | 2.16 | ||||
| Hole | From | To | Interval (m) | Gold | ||||
| Au g/t | ||||||||
| VMRC021 | 19 | 20 | 1 | 4.57 | ||||
| VMRC021 | 30 | 32 | 2 | 1.53 | ||||
| VMRC024 | 26 | 50 | 24 | 1.65 | ||||
| VMRC024 | 56 | 60 | 4 | 1.83 | ||||
| VMRC025 | 0 | 2 | 2 | 1.17 | ||||
| VMRC025 | 6 | 25 | 19 | 1.78 | ||||
| VMRC026 | 9 | 12 | 3 | 1.19 | ||||
| VMRC026 | 50 | 65 | 15 | 3.38 | ||||
| VMRC026 | 70 | 75 | 5 | 1.47 | ||||
| VMRC027 | 56 | 66 | 10 | 1.65 | ||||
| VMRC027 | 69 | 81 | 12 | 1.96 | ||||
| VMRC028 | 63 | 68 | 5 | 1.34 | ||||
| VMRC028 | 74 | 75 | 1 | 1.22 | ||||
| VMRC028 | 79 | 81 | 2 | 1.07 | ||||
| VMRC029 | 69 | 77 | 8 | 1.28 | ||||
| VMRC030 | 13 | 17 | 4 | 1.08 | ||||
| VMRC030 | 37 | 38 | 1 | 1.03 | ||||
| VMRC034 | 32 | 44 | 12 | 1.42 | ||||
| VMDD001 | 65.75 | 72.70 | 6.95 | 2.19 | ||||
| VMDD001 | 88.15 | 93.45 | 5.30 | 1.80 | ||||
| VMDD001 | 114.70 | 118.15 | 3.45 | 1.23 |
Weighted intercept grades were calculated using an external cutoff of 0.5g/t Au and up to 3m of internal dilution is reported. Samples were processed using OMI's in house laboratory using fire assay with atomic absorption finish. For quality control purposes 5% of samples are re-analyzed at external laboratories.
About Vaca Muerta
Vaca Muerta is located 85 kilometers east of the Company's San Gregorio gold mine in northern Uruguay in the Isla Cristalina Belt. Vaca Muerta is one of three prospects in the eastern portion of the Isla Cristalina Belt, including Vichadero and Curtume, identified by historic steam sediment sampling and follow-up mapping, rock/soil sampling and geophysics. Earlier drilling at Vaca Muerta by Crystallex in 1999 (18 holes for 1,378 meters) encountered only weak mineralization, with the best intercept being 37 metres at 0.5 g/t Au.
Vaca Muerta mineralization is similar in style to the San Gregorio deposits. Host rock granites are strongly foliated, fractured and sheared and contain zones of Quartz/Hematite/Sericite/Pyrite veining as well as disseminated pyrite mineralization.
The 18 additional holes drilled in October and November comprised both infill and extension holes on fences 25m apart in the 350m long central zone and extension drilling on 50m fences along strike in both directions. The mineralization is strongly structurally controlled and drilling to date indicates the zone strikes 295 degrees and dips 80 degrees SW. This additional drilling has expanded the strike length of the mineralization to 425m and although the mineralized zone appears to be weakening to the southeast, it is still open to the northwest and down dip.
Next Steps
Three additional holes are in progress to complete the current program and when all assay results are in, the Company plans to compile and evaluate all geological data, begin metallurgical studies and continue infill and extension drilling in January 2011 to target a 43-101 compliant resource by mid 2011.
Qualified Person's Statement
The information presented in this press release has been reviewed by William F. Lindqvist, a director of OMI. Dr. Lindqvist holds a Ph.D. in Applied Geology from Imperial College, London, has been a member of the AusIMM for 46 years, and has had 40 years of experience in international minerals exploration and property evaluation.
Forward-Looking Statements
All statements, other than statements of historical fact, contained or incorporated by reference in this news release, including any information as to the future financial or operating performance of the Company, constitute "forward-looking statements" within the meaning of certain securities laws, including the "safe harbour" provisions of the Securities Act (Ontario) and the United States Private Securities Litigation Reform Act of 1995 and are based on expectations estimates and projections as of the date of this news release. There can be no assurance that such statements will prove to be accurate; such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements include, without limitation success of exploration activities; permitting time lines; the failure of plant; equipment or processes to operate as anticipated; accidents; labour disputes; requirements for additional capital title disputes or claims and limitations on insurance coverage. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events and such forward-looking statements, except to the extent required by applicable law.
ENDS
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About Orosur Mining Inc.
Orosur Mining Inc. is a fully integrated gold producer and exploration company focused on identifying and developing gold projects in Latin America. The Company operates the only producing gold mine in Uruguay (San Gregorio), and has assembled an exploration portfolio of high quality assets in Uruguay and Chile. The Company is quoted in Canada (TSX-Venture Exchange: OMI) and London (AIM: OMI).
For further information, please contact:
Orosur Mining IncDavid Fowler, CEOIgnacio Salazar, CFO + 598 2601 6354; info@orosur.ca
Matrix Corporate Capital LLP (Nominated Adviser & Broker)Louis Castro, +44 (0) 203 206 7209Tim Graham, +44 (0) 203 206 7206
Blythe Weigh Communications (Public Relations and Investor Relations)Tim Blythe: +44 (0) 207 138 3205Ana Ribeiro: +44 (0) 207 138 3206Matthew Neal: +44 (0) 207 138 3224
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