UC Resources Discovers Significant Silver Vein Structure at XORA
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 12/05/12 -- UC Resources Ltd. ("UC" or the "Company") (TSX VENTURE: UC) is pleased to provide this update to its shareholders, stakeholders and interested parties.
Recent sampling at multiple narrow vein mining locations have now been sampled and site visited by management. The following observations and results were inspected on a recent site visit.
Los Cuatas Vein
The Los Cuatas Vein was mined on three levels to a small extent and on surface along strike to the north.
The Los Cuatas Vein to the north appears to disappear under over burden that outcrops periodically over a kilometre of strike length prior to disappearing under overburden. The vein to the south morphs into an area of stockworks. (a mineralized zone in the form of a network of veinlets diffused in the country rock) The vein and stockwork area appears to be approximately 8 meters wide in places and the following samples have been taken on strike from what remains of the footwall.
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Distance
Sample (meters) Au (g/t) Ag (g/t)
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69141-69154 14 .35g 307g
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69170-69174 5 .64g 136g
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69192-69195 4 .26g 284g
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South and east of the Los Cuatas Vein is Los Cuatas II Vein where sampling across a 7 meter area of the hanging wall has resulted in the following channel sample results.
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Distance
Sample (meters) Au (g/t) Ag (g/t)
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69271-69277 7 .17g 161g
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To the east of the Los Cuatas Vein, within approximately 200 meters lies the former El Mirador Mine. An adjacent mine referred to as the Mirador II Vein lies approximately 25 meters east of the El Mirador main mine. Channel sampling was conducted between the two mines and two areas of interest on surface were observed.
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Distance
Sample (meters) Au (g/t) Ag (g/t)
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69027-69031 5 .03g 141g
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69032-69042 11 .03g 157g
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A channel sample taken 25 meters west of the El Mirador Mine returned .12g of gold and 668g of silver over a one meter width. This showing can be followed on surface and a drill pad has been constructed to drill in an effort to follow the depth and strike of this spectacular assay.
South of Los Cuatas Vein, at approximately 70 meters, resides the Leona II Vein. The Leona Vein is an additional 125 meters south of Leona II. Both vein areas show extensive fracturing and brecciated welded rock with quartz veining. Channel samples taken from Leona II were taken along across the structure and samples taken from Leona were taken from inside the mined area. One interesting element about the Leona Vein, is that it strikes almost east west while all other occurrences are almost exactly north south.
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Distance
Sample (meters) Au (g/t) Ag (g/t)
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Leona II Vein
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69354-69356 4 1.59g 129g
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Leona
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69288-69291 4 1.5g 226g
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South of Leona Vein by 150 meters you will find Waterfall l Vein. This is least explored of our new occurrences and have been sampled randomly to date with samples taken over one meter widths. Highlights are as follows:
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Distance
Sample (meters) Au (g/t) Ag (g/t)
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Waterfall Vein
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69340 1 1.2g 74g
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69341 1 2.24g 86g
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69353 1 1.1g 130g
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69354 1 3.77g 198g
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69355 1 1.42g 114g
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Further sampling will be required in this area.
The analyses were completed by accredited ALS Chemex Laboratories of Vancouver.
John Archibald, PGeo, a qualified person pursuant to NI 43-101, has reviewed and approved the technical information in this press release on behalf of the company.
The Company drill rig, after its arrival on site, has had required repairs completed to facilitate efficient, economic and effective drilling. The Company is also in the process of coming to a final agreement with a recently surfaced, local land owner, for unrestricted land access on the UC Resources constructed road to drilling locations.
Some drilling has been completed and core samples are being sent for assays to an accredited laboratory. Results will be released as they are received in minimum two hole lots and the main drilling program plans will recommence in January.
The Company has completed the planned upgrade on the La Yesca milling operations, and now that the rainy season of August to October has concluded, tonnage processed is increasing and production is again moving toward the end goal of commercial production. A 25- year experienced milling consultant has recently visited the site with management and will be assisting in the streamlining of mining operations over the next few months. The company is committed to consistency and most importantly the ability to sustain ongoing production. Staff training, mill flow, strategic planning and all elements of mill operation will be thoroughly examined in January in consultation with our newly retained consultant.
The Company defines Commercial production for the La Yesca production mill as follows:
-- all major capital expenditures to bring the mine to the condition
necessary for it to be capable of operating in the manner intended by
management have been completed;
-- the completion of a reasonable period of testing of the plant and
equipment;
-- the ability to produce saleable product (e.g., the ability to produce
precipitate / concentrate within specifications);
-- the mill has reached a pre-determined percentage of design capacity;
-- mineral recoveries are at or near the expected production level;
-- the ability to sustain ongoing production
Management is of the opinion that of the items listed that determines commercial production, that the ability to sustain ongoing consistent production is the final challenge.
UC Resources is an active explorer and producer of precious metals in Mexico.
On behalf of the Board of Directors,
Gary Monaghan, Chief Executive Officer
We seek safe harbour.
Investors or interested parties are invited to visit the UC Resources Website at http://www.ucresources.net - where they can choose to join the opt-in e-mail list to receive all future press releases and updates in real time.
This news release includes certain forward-looking statements or information. All statements other than statements of historical fact included in this release, including, without limitation, statements relating to the potential mineralization and geological merits of the La Yesca properties and other future plans, objectives or expectations of the Company 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. Important factors that could cause actual results to differ materially from the Company's plans or expectations include risks relating to the actual results of current exploration activities, fluctuating gold prices, possibility of equipment breakdowns and delays, exploration cost overruns, availability of capital and financing, general economic, market or business conditions, regulatory changes, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
UC Resources Ltd.
Gary Monaghan
Chief Executive Officer
monaghan@ucresources.net
www.ucresources.net
