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VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 26, 2009) -
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
Candente Resource Corp. (TSX:DNT)(BVLAC:DNT)(WKN:GW4)
("the Company") and Candente Gold
Corp. ("Candente Gold") are pleased
to provide more detail on historic resources on the El Oro gold and
silver project in Mexico as well as an outline of an exploration and
development program planned for the El Oro project.
El Oro Project
The El Oro mines operated almost continuously over a period of
approximately 40 years from the late 1890's until 1937. Thereafter
mining operations continued at a significantly reduced rate by an
employee cooperative until 1957. Based on historic records, estimates
of past gold-silver production range up to 20 million gold equivalent
ounces. Candente Gold personnel have reviewed
the extensive historic El Oro documentation and substantiated the
historic production of 8 million ounces of gold equivalent from the San Rafael and Verde
veins alone. Historic mining operations from the Spanish era have taken
place intermittently on a number of additional parallel vein structures
including the Borda and Corona veins, however gold-silver
production on these veins was only poorly documented and cannot be
verified.
Historic and non-43-101 compliant estimate indicating that a mineral
resource containing approximately 760,000 ounces
of gold and 9,750,000
ounces of silver in 6.89 million tonnes grading 3.44 grams per
tonne (gpt) gold and 44 gpt
silver was reported by Luismin (subsidiary of
Goldcorp) in 1992. This mineral resource lies within and adjacent to
the old workings of the San Rafael vein
and according to Luismin documentation
represents only 40% of the San
Rafael workings. Taking into consideration all
of the known San Rafael workings, Luismin
estimated a total remaining resource of 17 million tonnes of 3 to 4 gpt gold and 40 to 60 gpt
silver (non NI 43-101 compliant) which may contain in excess of 1.7
million ounces of gold equivalent. Candente
Gold cautions that this is an historical estimate and although it is
based on extensive historical records including 16,800 samples and
2,400 mine plan maps, a qualified person has not done sufficient work
to classify the historical estimate as current mineral resources or
mineral reserves and as such the historical estimate should not be
relied upon.
Drilling by Minera CCM S.A., now held by Candente Gold Corp., in 2007 on the four main veins
at El Oro intersected mineralized vein structures below the historical
workings demonstrating that the veins and precious metal mineralization
continues to depth. Recent petrographic work
including fluid inclusion analyses on vein material collected from 2007
drill intersections within three of the four main veins indicates the
sample positions are high in an epithermal gold-silver system (above
the system's boiling point) which indicates excellent potential for
additional gold-silver ore shoots below past production levels. Previous
work by Placer Dome on the El Oro property indicated the potential for
high grade ore shoots containing in excess of 1 million gold equivalent
ounces in the San Rafael
vein below the historic workings, and formed the basis for Placer
Dome's previous interest in the property (2003-2004). Mining at El Oro
took place over an average vertical range of only 250 metres. Several
similar vein systems in Mexico
are mineralized over 400
metres vertically and some are mineralized over
600 to 900 metres
vertically.
Exploration and Development Program
An exploration and development program is planned, pending approval of
the proposed Plan of Arrangement ("the Arrangement") and a
financing in Candente Gold Corp. (see Candente News Release #261 of June 16, 2009).
Exploration efforts at El Oro will focus on three objectives:
Identify Additional Resources in Known Veins
Rehabilitate access to and drive new development to the underground
workings on the main veins, establish underground drill stations and
conduct drilling targeted at identifying additional mineralized zones
and resources at greater depth and along strike. Excellent potential
exists for ore shoots to continue at depth for these veins.
Assess Existing Historic Resources for Production Potential
Utilize the rehabilitated underground access to the San Rafael Vein to
evaluate existing historical resources identified by Luismin for production potential and potential
upgrade of historic resource to NI 43-101 standards;
Discovery of New Veins
Exploration including mapping, geochemical sampling and geophysical
surveys have identified several key targets with excellent potential
for discovery of new vein systems especially in a large area previously
unexplored and unexploited.
Peru Projects
Candente Gold also plans to commence exploration
work to further delineate drill targets initially on three of its Peru
precious metal projects. Previous work by Candente
including prospecting, surface mapping and geophysics identified
anomalous zones of gold and/or silver mineralization and the potential
for precious metals deposits of significant size on each of these
properties.
About Candente Gold Corp.
Candente Gold's Management Team and Board of
Directors are senior mining industry executives with a track record in
the discovery and development of copper, gold and silver deposits. Candente subscribes to principles, which ensure
that exploration and development activities are consistent with best
practice and beneficial to the local communities.
This news release may contain forward-looking statements including but
not limited to comments regarding the timing and content of upcoming
work programs, geological interpretations, receipt of property titles,
potential mineral recovery processes, etc. Forward-looking statements
address future events and conditions and therefore involve inherent
risks and uncertainties. Actual results may differ materially from
those currently anticipated in such statements. Candente
relies upon litigation protection for forward-looking statements.
CAUTIONARY NOTE TO U.S. INVESTORS
We advise U.S. investors that this news release uses terms which are
not recognized by the United States Securities and Exchange Commission
("SEC"), including "mineral resources",
"measured resources", "indicated resources" and
"inferred resources". The estimation of measured and
indicated resources involves greater uncertainty as to their existence
and economic feasibility than the estimation of proven and probable
reserves. U.S.
investors are cautioned not to assume that mineral resources in these
categories will be converted to reserves. The estimation of inferred
resources involves far greater uncertainty as to their existence and
economic viability than the estimation of other categories of
resources. U.S.
investors are cautioned not to assume that estimates of inferred
mineral resources exist, are economically mineable, or will be upgraded
into measured or indicated mineral resources. U.S.
investors are cautioned not to assume that mineral resources in any of
these categories will be converted into reserves.
NR 262
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