TORONTO, ONTARIO -- 07/23/07 --
Anaconda Mining Inc. ("Anaconda" or "the Company") (TSX: ANX)(FRANKFURT: GJ2) is pleased to report that the first phase of a 3,000-m drill program has started at the Company's Restauradora copper-gold project, located near Copiapo, Chile.
The exploration objectives will explore for extensions of mineralized zones at the Restauradora mine towards the south and southeast, and to drill test for depth extensions below the former mine workings.
Previous exploration work
Previous exploration work completed by Anaconda outlined two significant geophysical anomalies defined by both induced polarization (IP) and magnetics surveys. This work was completed earlier this year. The first anomaly, a resistivity low, extends for 1,500 m south from the former Restauradora mine workings and is up to 700 m in width. This anomaly remains open towards the south and a follow up IP geophysical survey is planned to define the limits of the anomaly. The second anomaly extends for 1,000 m over the San Jose mineralized zone and is up to 600 m in width.
Anaconda has also completed an underground sampling program on the main Restauradora mine underground levels, which identified mineralized structures striking for 100 m, displaying widths up to 30 m and extending for 150 m at depth.
The average grades of the 286 channel samples completed are 0.87% total copper, 140 ppm molybdenum and 0.37 grams gold per tonne.
Mineralization
Mineralization at Restauradora is characterized by IOCG (iron oxide copper gold) mineralization which is typical for the Copiapo coastal range area of Chile. Copper-gold-molybdenum mineralization at Restauradora occurs in stock work zones with sulphide rich wall rocks. The upper 30 m is leached from surface whereas the oxidation zone extends to a depth of 100 m and is characterized by atacamite-malachite-cuprite-tenorite and chrysocolla oxide minerals. Primary sulphide minerals include chalcopyrite and pyrite.
The Company has the right to earn a 100% interest in the Restauradora project by making staged payments to the underlying vendors totaling US$1.28 million by November, 2009.
Other developments
In other developments, Anaconda has agreed to extend until August 10, 2007, the period in which Anaconda and Industrias Penoles, S.A. de C.V. ("Penoles") have agreed to enter into definitive agreements for Anaconda's Carmen copper-gold project near Copiapo, Chile. (See Anaconda Press Release dated June 7, 2007 for details about the Carmen-Penoles agreement at www.anacondamining.com).
John Cook, P.Eng., a designated Qualified Person as defined by NI 43-101 of the Canadian Securities Administrators, is responsible for reviewing the contents of this news release.
Anaconda Mining is an emerging gold producer with a portfolio of advanced stage exploration and development projects in Canada and Chile.
Certain statements contained herein constitute "forward-looking statements". These forward looking statements are based on current expectations. The nature, timing and extent of the exploration programs may materially change from current intentions for a number of reasons. Additionally, "forward looking statements" look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "may," "estimates," "expects," "indicates," "targeting," "potential" and similar expressions. These forward-looking statements, including statements regarding the Company's beliefs in the potential mineralization, are based on current expectations and entail various risks and uncertainties. Actual results may materially differ from expectations as more information regarding the property is gathered or if known and unknown risks or uncertainties affect the Company's business, or if the Company's estimates or assumptions prove inaccurate. The Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.
Contacts:
Anaconda Mining Inc.
Lew Lawrick
Chairman and CEO
(416) 864-3357
Email: llawrick@anacondamining.com
Anaconda Mining Inc.
Nick Tintor
President
(416) 987-0855
Email: ntintor@anacondamining.com
Website: www.anacondamining.com
