Spokane, Washington - June 27, 2008 - Minera Andes Inc. (TSX: MAI; US
OTC: MNEAF) is pleased to report that the final results from core holes
drilled during the 2007-2008 exploration field season at the Los Azules
porphyry copper project confirm that the copper target is open to the
north. Several positive indicators including hole AZ-08-37A drilled at
the northern limit of this seasons drilling, geologic mapping, and
historic drilling indicate that the copper target at Los Azules extends
another 3 kilometers to the north of the drilling completed this field
season (see attached map).
As previously reported, hole AZ-08-37A encountered 112 meters of 0.98
% copper within a larger zone of 217 meters of 0.77 % copper. This hole
represents the largest interval of primary copper mineralization
identified on the property to date. It extends the known mineralization
an additional 400 meters to the north and is the deepest hole drilled to
date on the property by Minera Andes, suggesting that the limits of the
copper system have not yet been defined. Also, additional check assay
work preformed as part of the geologic studies underway showed hole
AZ-08-41 to contain 152 meters of 0.81 percent copper within a zone of
236 meters of 0.62 percent copper (this represents an increase of 72
percent and 55 percent respectively over the previously reported copper
results).
Allen Ambrose, president of Minera Andes said "The success we
have had in the northern limits of our exploration program combined with
historic drilling on the property further north indicate significant
potential for target expansion."
The exploration program at Los Azules is designed to define an
inferred resource and provide sufficiently detailed engineering and
technical information to allow the completion of an economic scoping
study (a Preliminary Assessment as defined by NI 43-101) of the property
by the fourth quarter of this year. Due to the expansion of the copper
target at Los Azules, planning for next season's field program starting in
November of this year is underway to explore the 3 kilometers of target
to the north of the scoping study area.
The prospective area north of our current drilling contains several
drill holes from a 1998-1999 precious metals exploration program by
Battle Mountain Gold (see attached map). These holes encountered geology
and anomalous copper mineralization similar to that found in recent
drilling by Minera Andes to the south, providing some insight into the
potential of the area to host additional porphyry copper mineralization.
Minera Andes is advancing the Los Azules project under an option
agreement (see news release dated November 14, 2007) with Xstrata Copper,
one of the commodity business units within Xstrata plc (London Stock
Exchange: XTA.L and Zurich Stock Exchange: XTRZn.S). The scope and size
potential of the project increased dramatically in 2006 when the Minera
Andes drilling discovered a near surface high-grade area of copper
mineralization, when AZ-06-19 encountered 221 meters of mineralization averaging
1.62% copper that was 200 meters from hole AZ-06-20 containing 173 meters
of 1% copper. Drilling in several holes ended in copper mineralization,
including two holes that bottomed in high-grade copper over 1%.
During the last few years, more than half the drilling to define a
copper resource has been completed and drilling this field season was
over the known area of leachable (chalcocite) and sulfide (chalcopyrite)
copper mineralization as currently defined. The area drilled covers
approximately 2.5 kilometers by 0.9 kilometers within the enriched copper
target currently identified at Los Azules that is about 3.3 kilometers
long and 0..9 kilometers wide. Holes were drilled at a nominal grid
spacing of 200 meters east-west and 400 meters north-south. Where needed,
select infill holes were drilled on the 200 meter north-south grid lines.
All results have been reviewed by Brian Gavin, Minera Andes' vice
president of exploration, an appropriately qualified person as defined by
National Instrument 43-101. All samples were collected in accordance with
industry standards. Splits from the drill core samples were submitted to
Alex Stewart Assayers, Argentina, S.A., in Mendoza, Argentina, for sample
pulp preparation and to ALS Chemex Laboratories.
Minera Andes is a gold, silver and copper exploration company working
in Argentina. The Corporation holds about 304,000 acres of mineral
exploration land in Argentina including the 49% owned San Jos�
silver/gold mine that has recently commenced production. As discussed
above, Minera Andes is exploring the Los Azules copper project in San
Juan province, where an exploration program is underway to define a
resource. Other exploration properties, primarily silver and gold, are
being evaluated in southern Argentina. The Corporation presently has
189,439,935 shares issued and outstanding.
This news is submitted by Allen V. Ambrose, president and director of
Minera Andes Inc.
For further information, please contact: Art Johnson at the Spokane
office, or Krister A. Kottmeier, investor relations - Canada, at the
Vancouver office. Visit our Web site: www.minandes.com.
Spokane Office
111 East Magnesium Rd.,
Spokane, WA 99208 USA
Phone: (509) 921-7322
E-mail: mineraandes@minandes.com
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Vancouver
Office
Suite 911 - 470 Granville St,
Vancouver, BC. V6C 1V5
Phone: (604) 689-7017 / 877-689-7018
E-mail: ircanada@minandes.com
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Caution
Concerning Forward-Looking Statements:
This press release contains certain "forward-looking
statements", including, but not limited to, the statements regarding
the Company's strategic plans, evolution of mineral resources and
reserves, work programs, development plans and exploration budgets at the
Company's San Jos� Project. Investors should be aware that the
introduction of new technology such as ILR can create added risk in
achieving metallurgical performance. The forward-looking statements
express, as at the date of this press release, the Company's plans,
estimates, forecasts, projections, expectations or beliefs as to future
events and results. Forward-looking statements involve a number of risks
and uncertainties, and there can be no assurance that such statements
will prove to be accurate. Therefore, actual results and future events
could differ materially from those anticipated in such statements. In
particular, there can be no assurance that commercial production at the
San Jos� mine will be achieved on a timely basis, or at all, that
production capacity at the San Jos� mine will be successfully increased,
that resources and reserves at the San Jos� mine will be increased or
that Minera Andes will successfully raise the funds necessary to maintain
its interest in the San Jos� mine. Risks and uncertainties that could
cause results or future events to differ materially from current expectations
expressed or implied by the forward-looking statements include, but are
not limited to, factors associated with fluctuations in the market price
of precious metals, mining industry risks, risks associated with foreign
operations, the state of the capital markets, environmental risks and
hazards, uncertainty as to calculation of mineral reserves and other
risks. We refer readers to the risk factors and uncertainties described
in the Company's continuous disclosure record, a copy of which is available
under the Company's profile at www.sedar.com. Minera Andes' joint venture
partner, a subsidiary of Hochschild Mining plc, and its affiliates do not
accept responsibility for the use of project data or the adequacy or
accuracy of this release.
Cautionary Note to U.S. Investors:
The United States Securities and Exchange Commission (the
"SEC") permits mining companies, in their filings with the SEC,
to disclose only those mineral deposits with "mineral reserves"
that a company can economically and legally extract or produce. We use
certain terms in this press release, such as "mineral
resources", that the SEC guidelines strictly prohibit us from
including in our filings with the SEC, because these terms are common
usage in Canada and form part of our Canadian filing requirements.
THE TSX HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE
ADEQUACY OR ACCURACY OF THIS RELEASE.
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