|Wed Jun 20, 2007|
• La Negra Mine Achieves 1000 tonnes / day • Exploration to be Accelerated
|Aurcana Corporation ("Aurcana or the Company") is pleased to announce that further to its news release on June 4th regarding the sale of copper concentrate, regular shipments of copper, zinc and lead concentrates are now underway from the La Negra mine. The company is now approaching the projected full capacity of mining and milling at a rate of 1000 tonnes per day. The estimated output from the mill is now expected to reach a cumulative average of 440 tonnes of concentrate per week.|
The Company is also implementing plans to expand the tonnage at La Negra. This will be accomplished by utilizing two approaches:
1) An accelerated underground exploration program around the Alacran zone which will contract an underground diamond drill rig to supplement the drill currently at work on site. Emphasis will be placed on additional drilling in the Stope 1980 zone where initial encouraging drill results were announced in a news release on April 26, 2007. It was reported that a total of four diamond drill holes returned an average thickness of 11.82 meters grading 162.5 g/t silver, 2.57% zinc, 1.28% copper, and 0.43% lead, with the zone still open in an up dip direction. A number of other important target areas are also being evaluated, which will include other known manto zones. It is also planned to test beneath some of the deposits that still remain open to depth. Of the 23 known deposits at La Negra, 4 have been tested below the 2000 haulage level, with many of the others untested below the 2200 level.
2) A re-evaluation of the extent of disseminated mineralization that surrounds the higher grade ore that was mined in the past from the Alacran ore body is now underway. Compilation of all historical underground sample results will be supplemented with recent underground sampling completed by the La Negra geology team. As a result of today's much higher metal prices compared to the prices in effect when the mine suspended operations in 2000, it is anticipated that an increase in the tonnage of the Alacran deposit will result from this study.
Other potential areas of disseminated mineralization that may exist around some of the other zones such as Monica, La Dificultad, Virginia, Alejandra, Santa Blanca, Silvia, San Pedro, and the main past producer, La Negra, are currently in the process of being sampled and re-evaluated as well. A number of the areas that will be further sampled were chosen because of their past production history which indicated that they are silver and zinc rich compared to the copper rich Alacran ore body. These targets include the Cecilia, Monica, La Dificultad, and Virginia ore bodies.
The Company's plan to increase the tonnage at La Negra refers to additions to a previously announced historical reserve estimate which was made prior to the implementation of NI 43-101 standards. As such it does not conform to those standards and should not be relied on as being indicative of a reserve or a resource with demonstrated economic viability. However, it is believed by the Company to be relevant and presents a reliable indication of the mineral potential of the property.
Aurcana is a Canadian junior mining company listed on the TSX Venture Exchange, symbol: AUN. The Company is currently in production and remains focused on the acquisition, development and operation of silver, zinc and copper mines with good infrastructure and ore reserves/resources that require minimal capital and time to re-start.
Ron Nichols, P.Eng, a Director and Vice President of Exploration for Aurcana, and a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this release.
ON BEHALF OF THE BOARD OF DIRECTORS OF
"Ken Booth", President
For further information, please contact:
Ken Booth, President or
Colin Farr, Investor Relations
Phone: (604) 331-9333
Web site: www.aurcana.com
The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy and accuracy of this Release.
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