SilverCrest Secures Surface Rights for Santa Elena Project, Mexico
||For Immediate Release|
VANCOUVER, B.C. December 20, 2007 � SilverCrest Mines Inc. (the �Company�) is pleased to announce that it has signed a community land occupation agreement with the community of Banamichi (Ejido) for the Santa Elena Project in Sonora, Mexico. This agreement, which involves up to 841 hectares, is for a period of 20 years and ensures that the exploration, development and mining activities of the Company may be carried out unimpeded.
J. Scott Drever, President stated; �We are extremely pleased to have completed this critical step in enhancing the value of the Santa Elena Project and moving it toward production. Our resources continue to expand and all the significant elements required to make a production decision are systematically being put into place. This agreement is an extremely important step in the process. Our positive relationship with community members of Banamichi and other local stakeholders is of the utmost importance in moving the project forward and this agreement reflects the growing cooperation amongst the various parties�.
The Company recently announced an updated resource for the Santa Elena Main Zone based on 40 drill holes that estimates the current Indicated Resource to be 7.3 million tonnes grading 1.81 gpt Au and 74.19 gpt Ag and contains 432,400 ounces of gold and 17.4 million ounces of silver based on a 0.5 gpt gold equivalent cut-off grade.. Inferred Resources are estimated to be 2.6 million tonnes grading 1.37 gpt Au and 73.06 gpt Ag and contains 114,800 ounces of gold and 6.1 million ounces of silver. Optimization of open pit configurations shows that an estimated 80% of the Indicated Resource will fall within the proposed pit limits and as a result of the pre-feasibility study presently being completed, are expected to become Proven and Probable Reserves.
The Company has reported the results of 48 core holes (SE06-01 to SE07-48) to date in a continuing program of in-fill and expansion drilling for the Santa Elena Main Zone. The program is currently completing hole SE07-66. Results will continue to be announced as they become available. In early 2008, drilling is expected to include an additional 10 holes to test the extensions of the Main Zone beyond the current proposed open pit as well as to test new targets defined by the recently completed geophysical program. A revised independent resource estimate is planned for the first quarter of 2008 and is expected to include the results of at total of approximately 75 core holes. This will add approximately 35 holes to the current resource estimate.
Cruz de Mayo
The Company also announces that is has filed on SEDAR the Cruz de Mayo NI 43-101 Technical Report and Resource estimate that was previously announced in a press release dated November 15, 2007. This report details the work completed on the project and establishes the initial Indicated Resource at 1.1 million tones, grading 64.15 gpt Ag based on a 30 gpt silver cut-off grade and containing 2.35 million ounces of silver. Inferred Resources have been estimated at 6.1 million tones, grading 66.5 gpt Ag, and containing 12.96 million ounces of silver. The gold resources are yet to be estimated but are expected to average approximately 0.1 gpt Au. The Company expects to carry out additional drilling along the 2.5 kilometer strike length of the known silver mineralized horizon to target a potential resource of 30-50 million ounces of silver.
1 Conforms to NI 43-101, 43101CP and current CIM definitions for resources. All numbers are rounded. Measured resources included in Indicated.
2 Cutoff grade for Santa Elena and El Zapote is 30 gpt Ag equivalent (0.5 gpt Au equivalent). Cutoff for Cruz de Mayo is 30 gpt Ag.
3 Conversion of gold to silver based on 60:1 silver to gold ratio, Assumes 100% metal recovery. This does not include zinc resource at El Zapote.
RP = results pending
The Qualified Person for this news release is N. Eric Fier, CPG, P.Eng. and Chief Operating Officer for SilverCrest Mines Inc. who has reviewed and approved its release.