Silver Standard and Esperanza Extend San Luis' High-Grade to Depth
VANCOUVER, BRITISH COLUMBIA, May 14, 2007 (CCNMatthews via COMTEX News Network) -- Silver Standard Resources Inc. (NASDAQ:SSRI)(TSX:SSO) and Esperanza Silver Corporation (TSX VENTURE:EPZ)(PINK SHEETS:ESPZF) are pleased to announce more results of ongoing Diamond drilling at the San Luis high-grade gold and silver joint venture property in central Peru.
Ayelen Vein Extended to Depth
Drilling on the Ayelen Vein continues to extend the drill-tested gold and silver mineralization over 200 meters to depth. Significant drill results include:
- in drill hole SL-064, an angled hole drilled below drill holes SL-001, a 26.6-foot interval averaging 0.61 ounces per ton gold and 18.3 ounces per ton silver (8.1 meters averaging 21.1 grams per tonne gold and 628.2 grams per tonne silver).
- in drill hole SL-060, an angled hole drilled beneath hole SL06-12, two mineralized intervals were intercepted, the first a 8.9-foot interval averaging 0.52 ounces per ton gold and 18.4 ounces per ton silver (2.7 meters averaging 17.8 grams per tonne gold and 631.3 grams per tonne silver). The second interval included 16.4 feet averaging 0.63 ounces per ton gold and 19.0 ounces per ton silver (5.0 meters averaging 21.6 grams per tonne gold and 650.7 grams per tonne silver).
The vein is open along strike to the north and south and to depth. Drilling is now testing the Ayelen Vein along strike. Recent drill results for the Ayelen Vein are summarized below:
San Luis Project - Selected Diamond Core Drill Results - May 2007
AYELEN VEIN
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Inter- Inter-
Drill From To val(i) Gold Silver val(i) Gold Silver
Hole (meters) (meters) (meters) (g/t) (g/t) (feet) (oz/ton) (oz/ton)
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SL-053 171.1 173.2 2.1 22.9 554.8 6.9 0.67 16.2
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SL-057 194.4 195.6 1.2 1.1 216.0 3.9 0.03 6.3
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SL-060 147.7 150.4 2.7 17.8 631.3 8.9 0.52 18.4
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170.7 175.8 5.0 21.6 650.7 16.4 0.63 19.0
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SL-062 185.4 186.4 1.0 22.8 527.0 3.3 0.66 15.4
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210.7 212.5 1.8 3.6 99.3 5.9 0.10 2.9
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SL-064 187.2 195.3 8.1 21.1 628.2 26.6 0.61 18.3
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SL-066 273.5 275.1 1.6 10.4 392.9 5.2 0.30 11.5
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283.3 285.6 2.2 4.7 260.7 7.2 0.14 7.6
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(i) Intervals refer to core length rather than true thickness which
is to be determined.
Drilling of Other Veins
Drilling of other veins continues to intersect anomalous precious metals values. The joint venture partners are expecting the arrival late this month of another drill rig with the capability to test these veins to depth.
Reconnaissance work has recently identified a number of drainages in the joint venture's 250 sq. km (96 sq. mile) block with stream sediment anomalies higher than values in drainages from the already identified vein structures, indicating potential for other high-grade areas. Work has commenced on mapping, rock sampling and prospecting to identify the sources of the anomalies and preparation for follow-up drilling.
Joint Venture Interests
Silver Standard holds a 55% interest in the San Luis joint venture and Esperanza 45%. Silver Standard has elected to increase its interest in the joint venture to 70% by funding costs required to complete a feasibility study. Thereafter, Silver Standard has the right to increase its interest to 80% by funding the property through to production.
About Esperanza
Esperanza is an exploration company focused on precious metals and is founded on the experience and success of its management and field teams in discovering ore bodies. Its properties include the San Luis high-grade gold and silver discovery in central Peru and the 100%-owned Cerro Jumil bulk-tonnage gold project in Morelos State, Mexico. It has other exploration interests in Peru, Mexico and Bolivia. The company's objective is to take properties up to the resource definition stage and then find partners to take them into production.
About Silver Standard
Silver Standard is a well-financed silver resource company that continues to seek growth through exploration and development of its own silver projects. Silver Standard also has an approximate 14% equity ownership of Esperanza and participated in the recent equity offering and increased its percentage interest. (SSRI-SL)
QUALIFIED PERSON: Kenneth C McNaughton, M.A.Sc., P.Eng., vice president, exploration, Silver Standard Resources Inc., is the Qualified Person (QP) under NI 43-101 responsible for the San Luis exploration program. He has verified the data disclosed in this news release, including sampling, analytical and test data. Field work has been conducted by joint venture personnel under his supervision. All samples were submitted to ALS Chemex in Lima, Peru for analysis.
For silver, initial analysis was completed using four-acid digestion with an ICP finish. For samples over 200 ppm silver, re-analysis was completed using four-acid digestion with an AA finish. For samples over 1 kg silver, re-analysis was completed using fire assay with a gravimetric finish.
For gold, initial analysis of 30 gram samples was completed using fire assay with an AA finish. For samples over 10 grams gold, re-analysis of 30 gram samples was completed using fire assay with a gravimetric finish.
SAFE HARBOR: Some statements in this release are forward-looking in nature. The United States Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. Such statements include statements as to the potential of the San Luis property, the ability to finance further exploration, to permit drilling and other exploration work, and the availability of drill rigs. The forward-looking statements involve risks and uncertainties and other factors that could cause actual results to differ materially, including those relating to exploration and bringing properties into production. Please refer to a discussion of some of these and other risk factors in Silver Standard's Annual Information Form filed with the Canadian securities regulators and both companies' Form 20-F filed with the U.S. Securities and Exchange Commission. The forward-looking statements contained in this document constitute managements' current estimates as of the date of this release with respect to the matters covered herein. Silver Standard and Esperanza expect that these forward-looking statements will change as new information is received and that actual results will vary, possibly in material ways. Forward-looking statements are based on the beliefs, expectations and opinions of management on the date the statements are made, and the companies do not assume any obligation to update forward-looking statements if circumstances or management's beliefs, expectations or opinions should change. For these reasons, investors should not place undue reliance on forward-looking statements.
SOURCE: Esperanza Silver Corporation
Esperanza Silver Corporation
William Pincus
President and CEO
(303) 830-0988
(303) 830-9098 (FAX)
Website: www.esperanzasilver.com
Silver Standard Resources Inc.
Robert A. Quartermain
President
(604) 689-3846
Silver Standard Resources Inc.
Paul LaFontaine
Director, Investor Relations
(604) 484-8212 or Toll Free: 1-888-338-0046
Email: invest@silverstandard.com
Website: www.silverstandard.com