|Solitario Announces Significant Drilling Results on its Pachuca Real Silver-Gold and its Triunfo Polymetallic Project
September 20, 2007
Denver, Colorado: Solitario Resources Corporation (AMEX:XPL;TSX:SLR) announces that it has intersected significant mineralization on its Pachuca Real silver-gold property in central Mexico and its Triunfo polymetallic property in Bolivia. The Pachuca Real silver-gold project is undergoing active exploration conducted by its joint venture partner, Newmont Mining Corporation ("Newmont"). The Triunfo polymetallic project is 100%-owned and operated by Solitario.
PACHUCA REAL SILVER-GOLD PROJECT, MEXICO
Newmont recently completed nine core holes totaling 3,368 meters on Solitario's Pachuca Real project. Two of the nine holes intersected significant silver-gold mineralization, while anomalous mineralization was intersected in all of the other seven holes. The target at Pachuca consists of high-grade silver-gold mineralization in veins. All nine holes were widely spaced on nine separate prospects within a large district. Holes PAC-08 and PAC-09 are very encouraging as they showed the best mineralization and are strategically situated in the central part of the large 46,350-hectare Pachuca Real claim block. Both holes targeted hidden veins beneath broad surface areas of high-level clay alteration. Significant results in the last two holes are as follows:
Newmont has completed about 40% of its phase-one 7,500 meter drilling commitment and is currently interpreting the drill results with emphasis on integrating and updating its district-wide exploration model. As part of this process, Newmont continues mapping and sampling of old underground workings to determine patterns for ore-controlling structures with concurrent district reconnaissance mapping and sampling to identify and prioritize new high-priority drill targets. Drilling is currently scheduled to resume in early 2008.
The historic Pachuca mining district was one of the most prolific silver districts in the world with substantial gold production. Past production totals at least 1.4 billion ounces of silver and just over 7.0 million ounces of gold. Solitario's property encompasses about 30 percent of the historic district, but more importantly, covers over 95% of the potential extensions of the district to the north ("North District"), a large area that has essentially sat dormant from exploration during the past 50 years. This drilling program was the first modern day exploration to test the North District, and consequently, Solitario believes these results to be very significant. Importantly, mineralization remains open in all directions with many drill targets to be tested in the future.
The venture agreement signed in September 2006, calls for annual work commitments totaling $12.0 million over a 4.5 year period for Newmont to earn a 51% interest in the project. Newmont will then have the right to earn an additional 14% (total 65%) by spending at least $5.0 million annually until such time as a positive feasibility study is completed for the project. Newmont has the right to terminate the agreement at any time following its initial work commitment.
TRIUNFO POLYMETALLIC PROJECT, BOLIVIA
At Solitario’s Triunfo property in west-central Bolivia about 80 kilometers east of La Paz, Solitario recently completed three holes totaling 679 meters of core, the first drilling ever conducted on the property. The target at Triunfo consists of sedimentary hosted polymetallic (lead-zinc-silver-gold) mineralization in bedding planes and cross-cutting veinlets. Complete results have been received from the first two holes, with results from the third hole still pending. The first two holes were located about 110 meters apart. Click here to view. Significant results from the first two holes were:
Mineralization intersected in the first two holes displayed wide and consistently mineralized zones that are near surface. The mineralization is also truly polymetallic in character with average economic values being about 39% for lead, 29% for zinc, 19% for silver and 13% for gold. The mineralization occurs at the crest of an antiformal fold with moderately intense fracturing parallel to the fold axis. This setting is conducive to a potentially large tonnage deposit, with surface mineralization suggesting good potential for on-strike mineralization. Solitario can earn a 100% interest in the property.
Chris Herald, President and CEO of Solitario, stated, "Although we are very early in the exploration process for both the Pachuca Real and Triunfo properties, we are very pleased with these initial results. We eagerly await additional drilling and believe the potential remains high for confirming significant discoveries on each."
The Triunfo drill hole information contained within this release is reported under a quality control program supervised by Mr. Walt Hunt, Vice President of Operations for Solitario, who is a qualified person as defined by National Instrument 43-101, and for the Pachuca Real project, operated by Newmont, the quality control program was reviewed by Mr. Hunt. Both projects derived samples from 50% splits of HQ and NQ (2.5 and 1.9 inch) diameter core. Samples are then shipped via secured third-party land and/or air transportation companies and analyzed by ALS Chemex Inc., North Vancouver, Canada, an ISO9002 registered company. In addition to the laboratory’s quality control program, a check assay program is ongoing.
Drilling began in late-August on Solitario's high-grade Bongara zinc project in northern Peru by its joint venture partner Votorantim Metais. The planned 14,500-meter program is scheduled to be completed by the end of 2007. Two core rigs are being utilized to complete the program.
Solitario recently completed a 3,251 meter drilling program on its Pedra Branca platinum-palladium property in northeastern Brazil. Assay results are expected in several weeks. Solitario's joint venture partner, Anglo Platinum, is funding all exploration costs on the project.
Solitario is a gold, silver, platinum-palladium, and base metal exploration company actively exploring in Brazil, Mexico, Peru and Bolivia. Besides Votorantim, Solitario has significant business relationships with Newmont Mining and Anglo Platinum. Solitario has approximately US$24 million in cash and marketable securities and no debt. Solitario is traded on the American Stock Exchange (AMEX: XPL) and on the Toronto Stock Exchange (TSX: SLR).
FOR MORE INFORMATION, CONTACT:
|Christopher E. Herald
President & CEO
This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Solitario, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Development of Solitario’s properties are subject to the success of exploration, completion and implementation of an economically viable mining plan, obtaining the necessary permits and approvals from various regulatory authorities, compliance with operating parameters established by such authorities and political risks such as higher tax and royalty rates, foreign ownership controls and our ability to finance in countries that may become politically unstable. Important factors that could cause actual results to differ materially from Solitario’s expectations are disclosed under the heading "Risk Factors" and elsewhere in Solitario’s documents filed from time to time with Canadian Securities Commissions, the United States Securities and Exchange Commission and other regulatory authorities. This release also contains information about adjacent properties on which Solitario has no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.