peru
exploration and
royalty update
Vancouver, May 15, 2007: Gitennes Exploration Inc. (TSX-GIT) is pleased to announce that it has received
payments totalling US$ 1,500,000 in connection with the sale of its 2% Net
Smelter Return (“NSR”) Royalty on gold production at the Virgen Mine,
Peru. The
agreement to sell the royalty was announced February 9, 2007. A US$ 75,000 fee has been paid
to an unrelated party in connection with the transaction. Gitennes will not
receive any further payments under the original NSR agreement and the sales
transaction will now be concluded.
Field work
at the TotoRoko Property, in southern
Peru, will
re-commence before month-end, where consulting geologists will be following up
the strong copper-silver results announced April 16, 2007. A programme of detailed mapping,
sampling and geophysics is planned.
At the
Urumalqui Property, an epithermal silver-gold project that was last drilled in
2004 by Gitennes in joint venture with Meridian Gold (now 100% Gitennes), a
programme of re-mapping and re-logging of earlier drill holes has been started.
The objective here is to examine the potential of a peculiar, altered and weakly
mineralized volcanic conglomerate that occurs along strike of the main vein
system as well as nearby siliceous sinters. The wedge-shaped body of
conglomerate has historically been regarded as unfavourable, and tested by only
one drill hole. The significance of this geological setting in other epithermal
camps has prompted our re-examination. An exploration permit has now been
received for Urumalqui, and drilling can commence when equipment is
available.
The technical information in
this release has been reviewed by J. Blackwell (P.Geo.), a Qualified Person as
defined in National Instrument 43-101.
For further information
contact:
Jerry Blackwell, President
Cautionary Statement Regarding Forward-Looking
Statements
Some of
the statements contained in this release are forward-looking statements, such as
statements that describe or infer future plans, intentions, objectives or goals,
including words to the effect that Gitennes or management expects a stated
condition or result to occur. Since forward-looking statements are not
statements of historical fact and address future events, conditions and
expectations, forward-looking statements by their nature inherently involve
unknown risks, uncertainties, assumptions and other factors well beyond
Gitennes’ ability to control or predict. Actual results and developments may
differ materially from those contemplated by such forward-looking
statements.
The Toronto Stock
Exchange has neither approved nor disapproved the information herein.