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Key highlights include:
- Very significant increase in mapped mineralization, now over an area of 420 metres by 250 metres; presently defined in two core areas - Puajanca North and Puajanca South.
- Samples returned values up to 907 g/t (26.5 oz/t) Ag, 54% Pb and 30% Zn. Grades average 172 g/t (5 oz/t) Ag, 11.61% Pb and 4.5% Zn from 54 samples (mineralized and barren geological samples).
- Mineralization at Puajanca North has been mapped over an area of 70 by 100 metres, returning average values of 220 g/t (6.4 oz/t) Ag, 15.59% Pb and 7.18% Zn (22 samples).
- Puajanca South mineralization returned channel samples of up to 24 metres @ 83 g/t (2.4 oz/t) Ag, 6.22% Pb and 4.46% Zn.
- Metal ratios (Pb values significantly higher than Zn) are interpreted to indicate that the Puajanca Zone could be located in the uppermost portions of a 'productive' polymetallic system - the fourth discovered to date on the property. Consequently Puajanca may contain significant depth potential (Puajanca is approximately 700 hundred metres higher, stratigraphically, than the past producing Santander orebody located approximately 2km SSE). Currently sampled mineralization resides in a shale rich geological unit with the more favorable 'cleaner' limestone host located at depth.
- Mineralization is spatially associated with and sits above the southeastern margin of a very large, approximately 1km2), geophysical anomaly that may represent the hydrothermal system source at depth. All mineralization discovered elsewhere on the property to date has a similar, strong geophysical response.
RESULTS IN DETAIL
The Puajanca Zone is located only 2.5 kilometres NE of the Santander Plant site and 1 kilometre NNE of the Magistral North deposit.
PUAJANCA NORTH
Structurally controlled mineralization (vein and stockwork) is currently present over a 70 by 100 metre area and remaining open to the northeast. An average of 22 characterization samples returned values of 220 g/t (6.4 oz/t) Ag, 15.6% Pb and 7.12% Zn with values ranging up to 907 g/t (26 oz/t) Ag, 54.38% Pb and 21.4% Zn respectively. It should be noted that sampling includes both low grade wall-rock and structures.
The area also contains numerous high-grade structures traceable on surface over appreciable strike lengths - examples include 355 metres strike by 0.4 metres average width at 250 g/t (7.3 oz/t) Ag, 20.11% Pb and 1.73% Zn (n = 5) and 125 metres strike by 0.4 metres width at 498 g/t (14.5 oz/t) Ag, 31.6% lead and 3.72% zinc (n = 3).
PUAJANCA SOUTH
Four detailed channel samples were collected normal to the Puajanca South replacement body. Channels were spaced approximately 20 metres apart, varied from 8 to 24 metres long and returned the following values:
Summary assay results - Puajanca South Body - Channels ordered north to
south.
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Interval
Channel (m) Ag g/t (oz) Pb % Zn % Cu %
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Channel 1 8m 50.4g/t (1.5oz) 5.68 5.16 -
(Northern most edge of body)
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Including 5m 72.4g/t (2.1oz) 8.31 7.27 -
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Channel 2 17m 90g/t (2.6oz) 5.11 3.58 -
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Including 9m 137.9g/t (4oz) 6.49 5.3 -
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Channel 3 24m 83.5g/t (2.4oz) 6.22 4.46 -
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Including 15m 120.8g/t (3.5oz) 8.44 6 -
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Including 6m 188g/t (5.5oz) 9.97 10.1 -
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Channel 4 9m 31.3g/t (0.9oz) 3.75 1.37 -
(Southern most edge of body)
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Samples comprised of 1m continuous sawn channel samples. N = 59.
PROJECT BACKGROUND
The Santander silver-lead-zinc mine project is located approximately 215 km by road from Lima, in the western extent of Peru's world-class Central Mineral Belt. The mine previously operated from 1958- 1993 targeting a single Carbonate Replacement Deposit-type pipe and manto structure, the Santander Orebody.
Substantial site infrastructure includes a fully refurbished 200-man camp and associated support facilities, and the Tingo hydroelectric power-station located 17 km down-valley to the west. The Santander project and the considerable existing infrastructure form a highly strategic asset in this mining district. The Company commenced exploration at Santander in November 2007 discovering four new high-grade silver-lead-zinc replacement and massive sulphide bodies to date.
A recently completed independent resource estimate of the three Magistral deposits reviews a total Indicated Mineral Resource of 5,298,000 tonnes with an average grade of 3.34% zinc, 1.27% lead and 38 g/t silver (using a 2% ZnEQ(i) cut-off grade) - for a contained metal inventory of 390 million lbs. zinc, 149 million lbs. lead and 6.5 million oz. silver in the Indicated category. An additional Inferred Mineral Resource of 2,244,000 tonnes grading 2.92% zinc, 0.50% lead and 18 g/t silver was also reviewed in the three deposits using the same cut-off grade - for contained metals of 144 million lbs. zinc, 25 million lbs. lead and 1.3 million oz. silver. All three Magistral bodies remain open at depth and to the East.
Additionally, a further 100 million contained lbs. of zinc are estimated to be present in the 1,656,000 indicated tonnes grading at 2.74% zinc (using a 2.0% zinc cut-off grade) at the Santander Tailings Impoundment.
(i) ZnEQ = ((Ag Price(g) x Ag Recovery x Ag Grade) + (Pb Price(t) x Pb Recovery x (Pb Grade(%)/100)+(Zn Price(t) x Zn Recovery x (Zn Grade(%)/100)))/Zn Price(t). Golder utilized the three year rolling average price for all three metals. Price for silver is per gram ($0.43339) and that for Pb ($1,983) and Zn ($2,742) is per tonne. A recovery of 85% was applied to Ag, 94% for Pb and 91% for Zn based upon Trevali's metallurgical testwork. A 2% ZnEQ(i) cut-off grade is the nominal base case estimated grade of material that can be mined and processed considering all applicable costs.
Qualified Person and Quality Control/Quality Assurance
EurGeol Dr. Mark D. Cruise, Trevali's President and CEO and a qualified person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information that forms the basis for this news release. Dr. Cruise is not independent of the Company, as he is an officer and shareholder.
The work programs at Santander were designed by, and are supervised by, Dr. Mark D. Cruise, President & CEO, Trevali, and Tim Kingsley (independent geological consultant), who together are responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project rigorously collect and track samples which are then security sealed and shipped to ACME Laboratories, Vancouver, for assay. ACME's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Blind certified reference material is inserted at regular intervals into the sample sequence by Trevali personnel in order to independently assess analytical accuracy. Finally, representative blind duplicate samples are routinely forwarded to ACME and an ISO-compliant third party laboratory for additional quality control.
The resource estimates on the Magistral North, Central and South deposits were conducted by and under the supervision of Kevin Palmer P.Geo., an independent qualified person employed by Golder Associates Ltd. of Vancouver, Canada.
About Trevali Resources Corp.
The Company in conjunction with partner Glencore International A.G. has entered into a definitive development agreement for the Santander project that will see Glencore provide and operate a 2,000- tonne-per-day concentrate plant, undertake mining operations on a 'contractor/toll basis' and enter into a long-term concentrate offtake agreement for 100% of Santander project production at benchmark terms.
Additionally, through its wholly owned subsidiary Trevali Renewable Energy Inc., the Company is undertaking a significant upgrade of the Tingo run-of-river hydroelectric generating facility along with transmission line upgrades and extensions to allow the potential sale of surplus power into the Peruvian National Energy Grid. The common shares of the Company are currently listed on the CNSX (symbol TV). For further details on the Company, readers are referred to the Company's web site (www.trevali.com) and to Canadian regulatory filings on SEDAR at www.sedar.com.
On Behalf of the Board of Directors of TREVALI RESOURCES CORP.
Mark D. Cruise, President
The CNSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contacts: Trevali Resources Corp. Steve Stakiw Manager - Corporate Communications (604) 488-1661 (604) 408-7499 (FAX) sstakiw@trevali.com www.trevali.com
SOURCE: Trevali Resources Corp.
mailto:sstakiw@trevali.com http://www.trevali.com
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