Argentex: Management summary of mineral resource
estimate and highlights of Pinguino project developments
Vancouver,
B.C., September 28, 2009 -- Argentex Mining Corporation (TSX-V: ATX, OTCBB:
AGXM) is pleased to summarize its recently completed mineral resource estimate
with highlights from the core diamond drilling completed to date on its
Pinguino property in Santa Cruz, Argentina.
Pinguino
Resource Estimate
In
a recent press release (dated September 14, 2009), Argentex announced the
completion of its first-ever National Instrument 43-101-compliant mineral
resource estimate for Pinguino, its 100%-owned polymetallic property in Santa Cruz province, Argentina.
At
a cutoff grade of 1.6 oz/t silver equivalent, the mineral resource estimate
includes:
? 35.4
million tonnes at 4.0 oz/t silver equivalent (inferred category) and
? 7.32
million tonnes at 5.5 oz/t silver equivalent (indicated category)
The
silver equivalency calculation combines individual silver, gold, lead, zinc and
indium grades at a specific cutoff grade and category into a single ?silver
equivalent? number. Argentex believes that this provides a simpler
representation of the nine individual veins with differing mineralogy used in
the recently completed mineral resource estimate at Pinguino. For additional details, please refer to the
September 14, 2009, news release.
Mineralization
at Pinguino has a strong geophysical signature from its sulphide-rich
mineralization within the vein itself (typically higher-grade material) as well
as the wide envelope of disseminated and veinlet mineralization (typically
lower-grade material) surrounding the veins. Nine veins of a total of 15
drill tested veins had sufficient density to be used in the mineral resource
estimate. More than 47 veins have been mapped to date on the property and
numerous geophysical targets remain to be tested.
?Our first mineral resource estimate was a significant milestone in our
company?s development as it confirms our confidence in Pinguino,? said Ken
Hicks, President of Argentex. ?Furthermore, we have many targets that
remain untested and provide excellent exploration potential for new
discoveries. We look forward to advancing Pinguino to the next level
through a preliminary economic assessment and an aggressive exploration program
to commence shortly.?
Silver
and Gold Highlights
?Significant
silver and gold drill intersections form part of the body of data that was used
to prepare the mineral resource estimate,? adds Mr. Hicks. ?The surface
weathering of the upper portions of the sulphide veins extends to approximately
30 to 50 meters
(98 to 164 feet)
deep and appears to have created an environment for silver and gold surface
enrichment as shown in some of the shallow drilling.?
The
following table displays highlights from previously released results of core
diamond drilling at Pinguino. A map of vein distribution and drill holes
at Pinguino is available on our web site: http://www.argentexmining.com/santacruz-pinguino.php.
Drill Hole
|
From
(m)
|
To
(m)
|
Length (m)*
|
Indium
(g/t)
|
Gold
(g/t)
|
Silver
(g/t)
|
Lead
(%)
|
Zinc
(%)
|
AREA: Marta Centro
|
P053
|
45.70
|
56.50
|
10.80
|
177
|
0..85
|
138.7
|
3..02
|
8..09
|
P073
|
34.90
|
37.50
|
2..60
|
27
|
5..52
|
704.0
|
1..28
|
0..06
|
P074
|
44.65
|
50.50
|
5..85
|
207
|
1..05
|
201.0
|
4..34
|
8..18
|
P075
|
43.25
|
64.00
|
20.75
|
46
|
0..22
|
38.0
|
1..59
|
3..72
|
P076
|
48.00
|
51.30
|
3..30
|
158
|
0..81
|
113.0
|
2..52
|
9..98
|
P080
|
67.60
|
70.00
|
2..40
|
127
|
1..17
|
85.0
|
1..39
|
11.29
|
P081
|
55.07
|
70.00
|
14.93
|
105
|
0..41
|
78.0
|
2..03
|
6..91
|
P082
|
59.10
|
71.40
|
12.30
|
188
|
0..58
|
101.0
|
1..95
|
9..37
|
P083
|
60.60
|
70.80
|
10.20
|
91
|
0..33
|
78.0
|
1..70
|
6..92
|
P085
|
86.60
|
88.98
|
2..38
|
185
|
0..70
|
201.0
|
6..76
|
16.14
|
P086
|
82.40
|
97.10
|
14.70
|
117
|
0..42
|
73.0
|
1..72
|
7..22
|
P090
|
68.94
|
70.75
|
1..81
|
108
|
14.90
|
100.0
|
1..19
|
7..74
|
P093
|
59.40
|
60.80
|
1..40
|
43
|
0..61
|
191.0
|
4..67
|
14.48
|
P131
|
113.20
|
114.70
|
1..50
|
148
|
0..50
|
108.0
|
1..90
|
11.30
|
P132
|
108.20
|
108.90
|
0..70
|
434
|
0..50
|
124.0
|
3..80
|
22.70
|
P133
|
105.82
|
112.50
|
6..68
|
165
|
0..58
|
113.7
|
2..52
|
9..69
|
P134
|
108.55
|
111.92
|
3..37
|
169
|
0..61
|
228.7
|
6..57
|
11.42
|
P138
|
123.30
|
127.10
|
3..80
|
135
|
0..40
|
119.0
|
3..30
|
9..90
|
P140
|
116.48
|
123.00
|
6..52
|
45
|
0..41
|
103.4
|
3..43
|
7..07
|
P163
|
213.26
|
219.54
|
6..28
|
69
|
0..51
|
83.9
|
2..83
|
12.11
|
P164
|
200.15
|
205.35
|
5..20
|
117
|
0..81
|
310.2
|
7..28
|
11.61
|
P173
|
247.56
|
253.30
|
5..74
|
79
|
0..69
|
142.1
|
3..44
|
10.10
|
AREA: Marta Este
|
P001
|
33.80
|
35.20
|
1..40
|
Na
|
7..35
|
140.0
|
na
|
na
|
P011
|
49.87
|
52.04
|
2..17
|
Na
|
5..89
|
362.0
|
na
|
na
|
P016
|
73.19
|
76.00
|
2..81
|
Na
|
3..83
|
272.3
|
na
|
na
|
P021
|
76.75
|
77.15
|
0..40
|
Na
|
12.43
|
24.0
|
na
|
na
|
P145
|
72.60
|
79.70
|
7..10
|
1
|
1..78
|
997.8
|
2..78
|
3..59
|
P146
|
74.54
|
79.00
|
4..46
|
1
|
0..90
|
484.1
|
2..75
|
2..57
|
P153
|
70.70
|
81.33
|
10.63
|
10
|
3..30
|
554.5
|
0..30
|
0..07
|
P154
|
67.80
|
77.83
|
10.03
|
2
|
3..02
|
718.9
|
0..15
|
0..07
|
P155
|
73.80
|
76.82
|
3..02
|
2
|
0..49
|
582.3
|
2..56
|
0..17
|
P208
|
107.85
|
112.95
|
5..10
|
5
|
0..81
|
316.9
|
4..09
|
6..54
|
P209
|
145.50
|
147.15
|
1..65
|
13
|
0..69
|
314.2
|
6..37
|
9..62
|
AREA: Marta
Norte
|
P029
|
37.14
|
39.05
|
1..91
|
Na
|
0..36
|
523.4
|
na
|
na
|
P031
|
43.60
|
46.50
|
2..90
|
Na
|
0..56
|
509.3
|
na
|
na
|
P032
|
28.30
|
37.10
|
8..80
|
Na
|
0..90
|
1094.9
|
na
|
na
|
AREA: Marta
Noroeste
|
P024
|
32.00
|
33.90
|
1..90
|
Na
|
8..19
|
916.7
|
na
|
na
|
P025
|
14.00
|
17.38
|
3..38
|
Na
|
1..14
|
525.9
|
na
|
na
|
P026
|
23.00
|
25.40
|
2..40
|
Na
|
2..26
|
620.3
|
na
|
na
|
P196
|
72.90
|
79.60
|
6..70
|
0
|
11.04
|
38.5
|
0..09
|
0..02
|
P197
|
99.15
|
100.50
|
1..35
|
0
|
6..99
|
100.0
|
0..15
|
0..11
|
AREA: Yvonne
|
P047
|
40.20
|
41.70
|
1..50
|
152
|
2..55
|
22.3
|
0..49
|
5..65
|
P048
|
22.30
|
23.30
|
1..00
|
73
|
30.64
|
100.0
|
0..57
|
0..31
|
P095
|
35.37
|
36.37
|
1..00
|
107
|
8..00
|
95.0
|
0..34
|
0..51
|
AREA: Marta Sur
|
P044
|
57.25
|
59.90
|
2..65
|
Na
|
8..69
|
37.2
|
na
|
na
|
AREA: Sonia
|
P113
|
31.45
|
33.30
|
1..85
|
121
|
0..73
|
273.6
|
5..33
|
12.35
|
AREA: Yvonne
Norte
|
P103
|
51.48
|
52.60
|
1..12
|
118
|
0..39
|
29.8
|
0..33
|
4..78
|
AREA: Yvonne Sur
|
P200
|
70.38
|
81.28
|
10.90
|
33
|
0..25
|
130.2
|
6..49
|
7..89
|
AREA: Kasia
|
P111
|
60.36
|
62.75
|
2..39
|
145
|
0..66
|
29.3
|
0..81
|
6..25
|
*True widths are estimated to be 85-90% of the stated core
length
Canadian
Institute of Mining (?CIM?) definitions were followed for Mineral
Resource estimation and classification. As defined, Mineral Resources do not
have demonstrated economic viability and Indicated Resources have a higher
degree of confidence than do Inferred Resources. The Mineral Resources fall
within a volume or shell defined using long term metal price estimates of US
$795.45/oz for gold, $13.83/oz for silver, $1.14/lb for zinc, $0.92/lb for lead
and spot price of $465 per kilogram for indium.
Silver equivalent calculation uses a
36 month rolling price average. London gold and Silver were determined
from the PM price fix in USD. Zinc and lead average prices were
calculated from 36 month rolling averages, International Monetary Fund
dataset. Indium does not have a world fixed price but trades on the spot
market. Indium prices quoted are current spot prices.
The Silver Equivalent (AgEq) calculation is as
follows:
AgEq = Ag(g/t) + (Au g/t * 25.57 / 0.44) + (Pb % * 20.282 / 0.44)
+ (Zn % * 25.132 / 0.44) + (In g/t * 0.465 / 0.44)
Indium mineralogy is dominated by
solid solution with sphalerite. Indium is recovered
in the smelting of zinc concentrates. At this time no metallurgy has been
completed on Pinguino, so for the purpose of creating the Silver Equivalent,
the study assumed 100%
recovery. Actual recoveries will undoubtedly be lower. In addition
to presenting the individual metal grades, we have used the Silver Equivalent
in an effort to simplify the presentation of all variables in a grade tonnage
table that allows for metal zonation and demonstrates the scope of the
mineralized system. The most likely cut-off grade for this deposit is not known
at this time and must be confirmed by the appropriate economic studies.
The estimation of mineral resources
may be materially affected by environmental, permitting, legal, title,
taxation, sociopolitical, marketing, and other relevant issues.
SI
metric units are used as the basis for this study; however Imperial units are
sometimes used in the mining industry therefore conversion factors are
provided: 31.103481
grams in one troy ounce, one metric tonne = 1000 kilograms = 2204.6 pounds, 1%
=22.046 pounds, one meter = 3.28
feet, one hectare = 2.471 acres
The resource estimate was prepared
by Gary Giroux, MASc., P.Eng., of Giroux Consultants Ltd (?Giroux?).
Robert Morris, P.Geo., of Moose Mountain Technical Services, an independent
Qualified Person as defined by Canada?s National Instrument 43-101
About Pinguino
Argentex?s Pinguino property is
located in Argentina?s Patagonia region, within the Deseado Massif of Santa
Cruz province. The 2006 discovery of silver-indium-zinc-lead-gold
mineralization at Pinguino marked a major exploration milestone for the
company. This was the first discovery of its kind in the region, unique
in that it contains both silver-gold and indium-enriched base-metal
mineralization. This mineralization is contained in multiple zones that
remain open-ended along strike and to depth. Since 2006, exploration of
base-metal-rich targets has expanded beyond the initial discoveries at Marta
Centro and Yvonne and now encompasses 15 drill-tested veins from more than 47
veins mapped on the property to date. Argentex has drilled a total of 269
holes at Pinguino for a total of 30,028 meters (98,517 feet).
Indium, a significant component of
Argentex?s polymetallic discovery at Pinguino, is used in flat-panel (LCD,
plasma) displays, and in leading-edge thin-film solar cell technology.
Pinguino is easily accessible,
situated approximately 400
meters (1,312 feet) above sea level in low-relief
topography. An existing system of all-weather roads provides year-round
access to the property.
The majority of mineralized zones at
Pinguino lie along the strike of the northwest-trending Tranquilo trend, which
is a dominant northwest trending regional fault structure cutting the
approximately 24,710-acre (10,000-hectare) property.
Quality Assurance
Samples selected for analysis are
sent to Acme Analytical Laboratories? sample preparation lab in Mendoza,
Argentina. From there sample pulps are sent to Santiago, Chile for fire
assay gold analysis and to Vancouver, Canada for Group 1DX multi-element MS-ICP
analysis. Samples with over-limit zinc, lead, silver and/or copper are
reanalyzed using an ore-grade high detection limit 7AR analysis, also conducted
in Vancouver. Acme Analytical Laboratories is an accredited ISO 9000:2001
full-service commercial laboratory with its head office in Vancouver.
Referee analyses will be carried out by Alex Stewart (assayers) Argentina S.A.
in Mendoza, Argentina. Argentex, Acme and Alex Stewart all maintain
comprehensive and independent Quality Control/Quality Assurance programs.
ABOUT ARGENTEX:
Argentex Mining Corporation is a Delaware corporation. It is
a junior mining company in the exploration stage with significant holdings in
the Patagonia region of Argentina. It holds an undivided 100% interest in
the mineral rights to the Pinguino property. In total, the company owns
100% mineral rights to more than 35 properties with approximately 307,981 acres (124,636 hectares)
of prospective land located in the Santa Cruz and Rio Negro provinces of Argentina.
Shares of Argentex common stock trade under the symbol AGXM on the OTCBB and on
the TSX Venture Exchange under the symbol ATX.
Exploration
on the Pinguino property is being conducted under the supervision of Mr.
Kenneth Hicks, P.Geo., Argentex's President and a Qualified Person as defined
by Canada?s National Instrument 43-101. Mr. Hicks has read and approved
the contents of this release and as part of company management, he is not
considered independent of the issuer.
Neither
TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
FURTHER INFORMATION:
Ken Hicks, President
Argentex Mining
Corporation
1-866-594-7687
info@argentexmining.com
Statements in this news release that
are not historical facts are forward-looking statements that are subject to
risks and uncertainties. Words such as ?expects?, ?intends?, ?plans?,
?may?, ?could?, ?should?, ?anticipates?, ?likely?, ?believes? and words of
similar import also identify forward-looking statements. Forward-looking
statements in this news release include statements about the company?s belief
that untested exploration targets at Pinguino provide excellent exploration
potential for new discoveries and that a preliminary economic assessment and an
aggressive exploration program can commence shortly. Actual results may
differ materially from those currently anticipated due to a number of factors
beyond the Company?s control. These risks and uncertainties include,
among other things, competition for qualified personnel and other risks that
are inherent in Argentex's operations including the risk that the Company may
not find any minerals in commercially feasible quantity and the Company?s
ability to raise the capital required to fund a preliminary economic assessment
and an aggressive exploration program and otherwise prosecute its exploration
plans. These and other risks are described in the Company's Annual Report
on Form 10-K and other filings with the Securities and Exchange Commission.
Cautionary
note to U.S. investors: The terms "indicated mineral resource", and
"inferred mineral resource" used in this news release have been
adopted by the Canadian Institute of Mining, Metallurgy and Petroleum Standards
on Mineral Resources and Mineral Reserves. Use of these terms in
disclosure is recognized and at times required by the Canadian Securities
Administrator?s National Instrument 43-101, Standards of Disclosure for
Mineral Projects ("NI 43-101"), but the Securities and Exchange
Commission (the ?SEC?) does not recognize them and prohibits use of them in
documents filed with the SEC. U.S. investors are cautioned that mineral
resources that are not mineral ?reserves? do not have demonstrated economic
viability and there can be no assurance that any part of a mineral deposit
included in the measured and indicated categories will ever be converted into a
reserve. "Inferred mineral resources" in particular have a great
amount of uncertainty as to their economic feasibility. It cannot be assumed
that all or any part of an inferred mineral resource will ever be upgraded to a
higher category. NI 43-101 provides that estimates of ?inferred mineral
resources? cannot form the basis of feasibility or other economic
studies. U.S. investors are cautioned not to assume that any part or all
of an inferred mineral resource exists, or is economically or legally mineable.