May 9, 2007
News
Release
Development Progress at Santo
Domingo
VANCOUVER,
British Columbia – Far West Mining Ltd. (TSX: FWM) is pleased to provide
an update on the resource and engineering studies that are underway on the
Santo Domingo copper project in Chile. These studies will provide the
parameters required for the completion of a Scoping Study which is expected to
be completed by the end of the year.
Resource Estimates
Results of an updated
resource estimate for the Santo Domingo Sur deposit as well resource estimates
for the Estrellita and Iris deposits are expected early in July, 2007.
Currently, the Santo
Domingo Sur deposit has an Indicated Resource estimate of 139.4Mt @ 0.59% Cu
(NI 43-101, May 2006). The updated estimate will incorporate results from an
additional 24,732m of drilling from the 2006/2007 drill program. The additional
drilling extended mineralization at Santo Domingo Sur 300m to the northwest and
200m to the southwest of the previously outlined resource.
A resource estimate for
the Estrellita and Iris deposits will also be included. The mineralized zone
at Estrellita covers an area 500m by 250m and ranges from 40 to 70m in
thickness. The Iris mineralized zone covers an area 500m by 100m to a depth of
200m, with an average thickness of 120m that is plunging to the north.
Metallurgy
Metallurgical tests are
currently underway at SGS Lakefield (Canada
& Chile)
for the Santo Domingo Sur, Estrellita, and Iris deposits. Preliminary results
on sulphide mineralization from the Santo Domingo Sur deposit are favourable
and indicate above 90% recovery to a 30% copper concentrate at a relatively
coarse grind. Initial results indicate relatively low power consumption, given
the Rod Mill Work Index of 12 – 13kWh/t.
It is important to note
that these results are preliminary and more detailed testing is required to
optimize copper, and gold recoveries for both the sulphide and oxide
mineralized zones.
Results from samples
submitted for iron recovery are pending.
Water/Power
A water resource study
has been commissioned by AMEC Earth & Environmental to evaluate water
availability from a known aquifer located on the Santo Domingo Property. Test
wells will be drilled shortly to conduct pump testing.
Furthermore, in a public
meeting, the El Salvador
division of Codelco presented plans to several development companies working in
the Santo Domingo
region, to make available the resources utilized at their mine complex, including
water and power. These resources will become available as the El Salvador
mine shuts down, which is planned in stages over the next 5 years.
Environmental Report
Knight Piesold, Chile,
has been contracted to complete a Phase I environmental report (Environmental
Impact Declaration – “DIA”) and environmental baseline
studies for the Santo Domingo Property.
Phase II, which will
include an application for development, will commence following the completion
of the Scoping Study.
Scoping Study
Initial meetings have
been held with engineering companies to formulate a scope of work and negotiate
contract terms for the Scoping Study. Work will begin on the study following
completion of the resource estimates and metallurgical testing. Completion of
the Scoping Study is anticipated for the end of the year.
EXPLORATION
Santo
Domingo Property
As indicated in the FWM
news release of April 19, 2007 exploration continues on the Santo Domingo
Property. A follow-up thirty hole, 7,500m program is planned at Estrellita to
test the eastern and western extensions of the mineralized zone that was
defined in 2006. Subsequently a drill program is planned for the area between
Estefania and Santo Domingo Sur where multiple magnetic and gravity anomalies
remain to be tested.
Australia – 2007 Program
plan
A 3,500m drill
program is scheduled to begin late May or early June to test targets identified
through a ground geophysical survey conducted last summer. Native title
aspects have been cleared and exploration permits are in place. Some
additional ground geophysics is required in certain areas and will be
followed-up by heritage site surveys on potential new drill targets.
Far West Mining Ltd. is an
international mineral exploration company engaged in the evaluation,
acquisition, exploration and development of mining properties. The company
currently has an advanced exploration project in Chile
and has exploration projects in Australia
and Argentina
in collaboration with exploration partner BHP Billiton.
FAR WEST MINING LTD.
“Robert E. Hindson”
Robert E. Hindson, P.Eng.
President and C.E.O.
For further information investors should review the
Company’s filings that are available at www.sedar.com
or contact Marlene Mathison, Manager Corporate Relations at (604) 602-9144 or info@farwestmining.com ..
The TSX does not accept responsibility for the adequacy or accuracy of
this news release.
This news release contains certain statements that
may be deemed “forward-looking statements”. All statements in this
release, other than statements of historical fact, that address future
production, reserve potential, exploration drilling, exploitation activities
and events or developments that the Company expects to occur, are forward
looking statements. Forward looking statements are statements that are not
historical facts and are generally, but not always, identified by the words
“expects”, “plans” “anticipates”,
“believes”, “intends”, “estimates”,
“projects”, “potential” and similar expressions, or
that events or conditions “will”, “would”,
“may”, “could” or “should” occur.
Information inferred from the interpretation of drilling results and
information concerning mineral resource estimates may also be deemed to be
forward looking statements, as it constitutes a prediction of what might be
found to be present when and if a project is actually developed. Although the
Company believes the expectations expressed in such forward-looking statements
are based on reasonable assumptions, such statements are not guarantees of
future performance and actual results may differ materially from those in the
forward-looking statements. Factors that could cause the actual results to
differ materially from those in forward-looking statements include market
prices, exploitation and exploration successes, and continued availability of
capital and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ materially from those
projected in the forward-looking statements. Forward looking statements are
based on the beliefs, estimates and opinions of the Company’s management
on the date the statements are made. The Company undertakes no obligation to
update these forward-looking statements in the event that management’s
beliefs, estimates or opinions, or other factors, should change.
The news release uses the term “indicated resource”. The
Company advises investors that although this term is recognized and required by
Canadian securities regulations (under National Instrument 43-101
“Standards of Disclosure for Mineral Projects”), the US Securities
and Exchange Commission does not recognize this term. Investors are cautioned
not to assume that any part of or all of the mineral deposits in these
categories will ever be converted into reserves.