Minera Andes begins drilling at Los Azules
2010-01-12 15:59 ET - News Release
Mr. James Duff reports
MINERA ANDES EXPLORATION UPDATE
Minera Andes Inc. has provided an exploration update on its activities in Argentina. Two diamond drills arrived at Los Azules in December and initiated drilling. A third diamond drill arrived the first week of January. Drilling will continue until the field season closes in April.
The objective of the drilling program is to expand the known limits of the mineralization, look for extensions of high-grade mineralization, and to increase the confidence level of the current inferred resource. The company plans to drill approximately 8,800 metres of diamond drilling during the field season. More geological mapping and geophysical work will be conducted during the field season to target possible extensions of the mineralization.
Los Azules is a large copper porphyry system located in western San Juan province in a belt of porphyry copper deposits that straddles the border between Chile and Argentina. This belt contains some of the world's largest copper deposits, including Codelco's El Teniente and Andina mines, Anglo American's Los Bronces mine, Antofagasta PLC's Los Pelambres mine and Xstrata's El Pachon project, among others. The San Juan province is one of the most mining-friendly regions in Argentina.
Los Azules has an inferred mineral resource of 922 million tonnes grading 0.55 per cent copper and containing 11.2 billion pounds of copper at a cut-off grade of 0.35 percent copper. There is high-grade, near-surface core of 161 million tonnes grading 0.87 per cent copper and containing 3.1 billion pounds of copper at a cut-off grade of 0.70 per cent copper. The known resource covers an area approximately 3.7 kilometres by one kilometre in size and is open at depth and laterally.
In Santa Cruz
Minera Andes has plans to do ground magnetic and induced polarization geophysical surveys at its wholly owned Celestina, Martes and Telken properties during the first quarter of 2010 in order to define targets for drilling later in the year.
Legislation was recently passed in the province of Santa Cruz, Argentina, that provides for the creation of a special interest area in which mining activities may occur. Within the special interest area mining and processing activities would be restricted near cities and certain rivers and lakes. The company currently does not anticipate that the San Jose mine operations will be impacted. Although certain of the company's grassroots explorations properties may be affected, the company does not expect such restrictions to materially impact its exploration targets or exploration plans. The provincial government has not issued the administrative regulations to accompany the legislation. As such, no assurances can be made and it is not possible at this time to fully assess the impacts of this legislation.
We seek Safe Harbor.
