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VANCOUVER,
BRITISH COLUMBIA--(Marketwire - May 29, 2008)
- Candente Resource Corp. (TSX:DNT)(BVL:DNT)(WKN:GW4)
("Candente" or the
"Company") is pleased to announce an updated mineral resource
estimate completed by SRK Consulting (Canada) Inc. ("SRK") on
its wholly-owned Canariaco Norte copper project located in Lambayeque
Department, northern Peru.
The updated mineral resource estimate by classification is (0.3% copper
("Cu") cut-off grade):
- Measured: 237 million tonnes ("MT") grading 0.51% Cu
containing 2.66 billion pounds ("lbs") Cu;
- Indicated: 385 MT grading 0.45% Cu containing 3.80 billion lbs Cu;
- Measured and Indicated: 622 MT grading 0.47% Cu containing 6.46
billion lbs Cu; and
- Inferred: 128 MT grading 0.43% Cu containing 1.21 billion lbs Cu.
Highlights of the upgraded Canariaco Norte mineral resource estimate:
- The level of confidence of the mineral resource estimate has
materially increased. The SRK mineral resource estimate is based on
stricter estimation methods than previously used and a more detailed
geological model. The mineral resource estimate was then constrained
within a shell generated by Gemcom
Whittle(TM) software ("Resource Shell") and demonstrates the
potential for extraction using open-pit mining methods. This is a stricter
method of reporting mineral resources than the traditional global
mineral resource estimate and is in accordance with National Instrument
("NI") 43-101 guidelines requiring the application of
economic and technical parameters.
- SRK has identified areas within the Resource Shell where additional
infill drilling has the potential to increase the mineral resource
tonnage by 15% to 20%. Drilling is underway to infill these areas to
allow them to be included in a further resource estimate. Completion of
this drilling is targeted for 3Q 2008.
- SRK's mineral resource model shows
potential for expansion of the mineral resource beyond the current
Resource Shell, potentially supporting a larger Resource Shell. This
potential is supported by six drill holes located below the current
Resource Shell, which intersected copper mineralization over a strike
length of 880
metres ("m"), a width of 300 m and a vertical
extent of 77 m
to 188 m.
All six holes bottomed in mineralization but were considered of
insufficient drill density to generate additions to the resource at
this stage.
- A higher grade, near-surface Resource Shell of 102 MT of Measured and
Indicated mineral resource grading 0.57% Cu containing 1.28 billion lbs
of Cu at a 0.3% Cu cut-off grade offers the potential for accelerated
production of this material and improved project economics.
Sample sections demonstrating the extent of mineralization and areas
for potential expansion can be viewed at http://media3.marketwire.com/docs/dnt529.pdf.
Updated Canariaco Norte Mineral Resource Estimate as defined by NI 43-101 (1)(2) --------------------------------------------------------------- (Tonnes and Contained Copper tonnes in millions ("M"), Contained Copper pounds in billions ("B")) Measured Mineral Resources Contained Contained Cut-off Copper Copper Copper Grade M Tonnes Grade (M tonnes) (B pounds) --------- --------- --------- --------- --------- 0.2% 280 0.47% 1.32 2.91 0.3% 237 0.51% 1.21 2.66 0.4% 175 0.57% 0.99 2.18 0.5% 112 0.63% 0.71 1.56 Indicated Mineral Resources Contained Contained Cut-off Copper Copper Copper Grade M Tonnes Grade (M tonnes) (B pounds) --------- --------- --------- --------- --------- 0.2% 542 0.39% 2.12 4.68 0.3% 385 0.45% 1.73 3.80 0.4% 230 0.52% 1.18 2.61 0.5% 107 0.60% 0.64 1.41 Measured and Indicated Mineral Resources Contained Contained Cut-off Copper Copper Copper Grade M Tonnes Grade (M tonnes) (B pounds) --------- --------- --------- --------- --------- 0.2% 822 0.42% 3.44 7.59 0.3% 622 0.47% 2.93 6.47 0.4% 405 0.54% 2.17 4.79 0.5% 219 0.61% 1.34 2.96 Inferred Mineral Resources Contained Contained Cut-off Copper Copper Copper Grade M Tonnes Grade (M tonnes) (B pounds) --------- --------- --------- --------- --------- 0.2% 231 0.35% 0.81 1.78 0.3% 128 0.43% 0.55 1.21 0.4% 63 0.52% 0.32 0.71 0.5% 28 0.61% 0.17 0.38 (1) Mineral Resources do not have demonstrated economic viability. An Inferred Mineral Resource is a classification of Mineral Resource for which quantity and grade can be estimated on the basis of geological evidence and limited sampling and can be reasonably assumed, but not verified. It cannot be assumed that all or any part of an Inferred Mineral Resource will be upgraded to a higher classification of Mineral Resource such as Measured or Indicated. (2) Numbers may not sum due to rounding.
Joanne Freeze, President and CEO,
stated, "SRK's work on the Canariaco Norte resource
gives us a very solid model to move forward with and complete the
definition of this deposit. This updated resource underscores our
belief that the Canariaco Norte
deposit is a very promising asset. Our team continues to advance
metallurgical, environmental and other studies towards the completion
of our Preliminary Economic Assessment and feasibility studies."
SRK is also working on estimates for potential by-product credits from
gold and silver, which are expected to be completed by 3Q 2008.
The updated mineral resource is based on 60,580 m of
drilling in 213 diamond drill holes. The mineral resource estimation
work completed by SRK includes all results from all Candente
drilling campaigns conducted from 2004 to 2007, as well as the Candente 2008 resource definition drilling program.
Copper assay results from 2,910 m of drilling in 11 diamond drill
holes completed between 1973 and 1999 by other companies were also
included following data verification.
Sections, diagrams and complete results are available on Candente's website at http://www.candente.com/s/PeruProjects_Canariaco.asp.
Sampling and analytical procedures conform to NI 43-101 standards. The
inclusion of certified copper standards, field blanks and sample
duplicates as well as check assays completed at independent
laboratories were included as part of the quality assurance and quality
control ("QA/QC") program. Chain of custody and data
verification procedures were followed to
ensure that QA/QC standards were met.
All samples were submitted to Actlabs-Skyline
Peru S.A.C. in Lima,
Peru, a
BVQI ISO 9001/2000 accredited laboratory. The analytical procedure for
the total copper results used in the resource estimate was a three acid
digestion on a 0.25
gram split with an Atomic Absorption finish. In
addition, sequential copper results for acid soluble, cyanide soluble
and residual copper components were carried out on all samples for use
in extraction processing trade off studies.
The independent mineral resource estimate prepared by SRK is reported
in accordance with Canadian Securities Administrators' NI 43-101 and
conforms to the generally accepted Canadian Institute of Mining
"Estimation of Mineral Resources and Mineral Reserves Best
Practices" guidelines. Copper grades were estimated using ordinary
kriging into a 3D block model with primary dimensions
of 15 m
x 15 m
x 15 m.
All missing assays were assigned 0.0% Cu grades. Copper assays were
capped at a maximum of 2.0% Cu in the highest grade domains. For
resource estimation, all assay results were composited
to two-metre lengths. The complete NI 43-101 Technical Report will be
released within 45 days of this news release.
Robert van Egmond, P.Geo., Manager
Geology Canariaco, is a Qualified Person as
defined by NI 43-101 for the Canariaco Norte project discussed above. Marek
Nowak, P. Eng., of SRK is the Qualified Person as defined by NI 43-101
for the resource estimate discussed above. They have reviewed and
approved the contents of this release.
Conference Call and Webcast:
On Friday, May 30th at 10:00 a.m. (EST) management will host a conference
call and webcast to discuss the Company's
updated mineral resources estimate of Canariaco
Norte. In order to join the conference call,
in the U.S. and Canada please dial 1 (866) 223-7781 and outside North
America please dial 1 (416) 641-6136. The conference call will be
broadcast live and recorded and archived on the web at www.candente.com. In order to access this service, you will need to have Windows
Media Player installed on your computer.
A replay of the call will be available until June 11, 2008 by dialing 1 (800) 408-3053 or 1 (416) 695-5800, passcode 3262525. If you would like to listen to a
replay of our conference call on the web, go to the home page on www.candente.com and click on the link.
About Candente Resource Corp.
Candente is a diversified exploration company
with copper, gold, silver, and zinc projects in Peru and Mexico. The Canariaco Norte property,
a copper deposit located in Northern Peru,
is currently in advanced resource definition and Preliminary Economic
Assessment stage. Candente's directors and
management have a track record in the discovery and development of
copper, gold and silver deposits and subscribe to principles which
ensure that exploration and development activities are 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.
NR242
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