July 26th, 2007
Drill Holes Indicate Strong Base Metal Values over Several Metres
- Initial drill intercepts
- 3.5 metres @ 435 g/t and 5.7 metres @ 365 g/t silver equivalent grades
- Mineralised structures are now confirmed at least 2.7 km west of the old San Jose headframe
- Approx. 65% of Phase-1, 5,000 metre drilling programme completed
- Strong base metal values increase economic potential
- Mineralised widths appear to support low cost mechanised mining
Arian Silver Corporation (“Arian” or the “Company”) is pleased to report results from the first two drill holes from its Phase-1, 5,000 metre diamond-drilling programme at the San Jose property, Zacatecas state, Mexico. These two holes have been drilled in an under explored area west of the old San Jose headframe and the results are outlined below:
|Drill-hole||From (m)||To (m)||Core Length (m)||True Thickness (m)||Gold
|Lead (Pb) (%)||Zinc (Zn)
* Silver equivalent grade is calculated on the basis of US$12.50/oz Ag, US$600/oz Au, 1.50/lb Zn, $0.50/lb Pb and $2/lb Cu. Silver equivalent calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.
Arian’s Chief Executive Officer, Jim Williams, said, “These assays confirm there are mineralised structures wide enough to support low cost, mechanised mining. These silver grades, combined with the high base metal values we are seeing, are potentially economic with large enough tonnage. Our goal over the coming months is to define a NI 43-101 compliant silver resource at the San Jose property.
In addition, the results of the underground chip-channel sampling programme attached (see Table 1) show lower silver values, which can be expected as the higher grade material has already been removed, but significant zinc and lead mineralisation, which has apparently been ignored in the past possibly indicates a multi-phase mineralisation of the vein system. This could indicate a much wider mineralised structure which would be suitable for mechanised mining, with significant base metal credits.”
A map showing drill-hole locations can be found at:
The high base metal values are typical of this type of epithermal vein.
Drill-hole SJ-07-001 terminated at 91.65 metres and was an inclined hole (-55°) and was designed to test for the mineralisation at depth of the San Jose Vein. The hole intersected 5 metres of the main vein at 86.7 metres before penetrating the western ramp at 91.65 metres where the hole had to be terminated. This has left the foot wall mineralisation untested by this hole.
Drill-hole SJ-07-001B terminated at 236.85 metres and was an inclined hole (-60°). This hole was positioned 50 metres south of the first hole and was designed to intersect the main vein at 150 metres depth. At 167.3 metres the hole intersected 8.1 metres (core thickness) of visible sulphide mineralisation, assumed to be the San Jose Vein, the results of which are reported in this release. After the mineralisation the hole then intersected further stockwork veining, with visible sulphide mineralisation. These results are still awaited from the laboratory.
Results from 14 more holes are pending at the assay laboratory.
Underground chip-channel sampling conducted over a total length of 100 metres in the Dois Nos Guie 70 metre level where the vein intersected the ramp (located 550 metres west of the San Jose headframe) returned consistent silver and base metal values, including 3.7 metres grading 345 g/t silver equivalent.
The sampling programme results are set out in Table 1 attached to this press release.
A plan of the sample locations can be viewed at the following link:
The San Jose property covers approximately 4,300 hectares, including the workings of the San Jose Mine that operated from 1973 until 2001, where approximately 2.2 million tonnes of material were extracted, grading 257 g/t Ag, with minor base-metal credits.
The San Jose property is relatively unexplored. Zimapan, a subsidiary of Industrias Peñoles S.A. de C.V. (Peñoles), drilled a number of shallow drill-holes to explore the San Jose Vein to a depth of 50m below surface, for approximately 3km west of the known workings. The last phase of exploration drilling was conducted during 1987-1989, and no further exploration work has been conducted on the property.
In addition to the main San Jose Vein, Arian has identified, from systematic work including remote sensing and aerial photo mapping, additional new vein structures, which have yet to be drill tested. The licence areas also hold great potential for additional deposit types, such as skarn and stockwork, and these will be investigated as part of the current and future programmes.
The proposed drill programme has been designed both to confirm the historical drill-hole data and to expand on a number of priority target areas.
All technical information for the San Jose project is obtained and reported under a formal quality assurance and quality control (QA/QC) programme. The core is logged and photographed by Arian staff and then split using a diamond saw. Half the core is stored on-site in a secure core shed and the other half is sampled, bagged and secured before transporting to the BSi/Inspectorate’s sample preparation facility in Durango, Mexico. The entire half-core is crushed and two kilograms is pulverized and homogenized. The chip-channel samples are also transported to the BSi/Inspectorate’s sample preparation facility in Durango, Mexico, where they are pulverized and homogenized. 150 gram pulp samples are then airfreighted to BSi/Inspectorate’s analytical laboratory in Reno, Nevada for analysis. Systematic assaying of duplicates is performed for precision and accuracy; check assays are regularly conducted by BSi/Inspectorate. Each sample has its own unique sample number. The BSi/Inspectorate’s laboratories in Mexico are ISO 17025 and ISO 9001:2000 accredited.
Approximately 5% of the analysed samples are re-sampled and sent to ALS Chemex preparation facility in Guadalajara, Mexico. The samples consist of both coarse reject samples and 150 gram pulp samples. The coarse material is crushed and pulverised, and all the pulp samples are air freighted to ALS Chemex’s analytical laboratories in Vancouver, British Columbia, for analysis. Results from all duplicate analyses are compared to identify potential analytical or sampling errors.
The BSi/Inspectorate and ALS Chemex laboratories are independent of Arian.
The samples were analysed for 32 elements by ICP (inductively coupled plasma), preceded by an Aqua Regia digestion. High-grade samples (gold >3 g/t and silver >100g/t) were re-analysed by fire assay with a gravimetric finish.
Additional information with respect to the San Jose property is contained in a technical report prepared by A.C.A. Howe International Limited, dated April 30, 2007, and entitled “Technical Report on the San José Project, Zacatecas, Mexico”.
Mr. Jim Williams, Eur Ing, Eur Geol, MSc, DIC, FIMMM, CEng, CGeol, and Chief Executive Officer of Arian, is a “Qualified Person” as defined in the AIM guidelines of the London Stock Exchange, and a “Qualified Person” as defined in the Canadian Securities Administrators National Instrument 43-101. This press release has been prepared under Mr. Williams’ supervision. Mr Williams has verified the data disclosed by this release (including sampling, analytical and test data underlying the information).
For further information please contact:
In London :
Jim Williams - CEO
Arian Silver Corporation
+44 (0)20 7529 7511
+44 (0)20 7851 7480
Grant Thornton Corporate Finance
+44 (0)207 385 5100
Daniel Brooks / Tom Beattie
Haywood Securities (UK) Limited
+44 (0) 207 031 8000
In Vancouver :
Vanguard Shareholder Solutions
+1 (604) 608 0824
Toll free: 1866 898 0825
Arian Silver Corporation is a silver exploration and development company listed on London’s AIM and “PLUS”, on Toronto’s TSX Venture Exchange and on the Frankfurt Stock Exchange. Arian is active in Mexico, the world’s largest silver producing country. The Company’s main projects are the Calicanto and San Jose projects in Zacatecas State and the Tepal project in Michoacán State. Part of Arian’s forward-looking strategy lies in the envisaged use of large scale mechanised mining techniques over wider mineralised structures, which reduces the overall operating cost per ounce of silver, and to build up National Instrument 43-101 compliant resources.
Arian was founded by Jim Williams, Chief Executive Officer, and Tony Williams, Chairman, who together have over 50 years experience in exploration, project construction and mining worldwide. Arian is supported by the Dragon Group in London, and the Endeavour Group in Canada.
Further information can be found by visiting Arian’s website: www.ariansilver.com or the Company’s publicly available records at www.sedar.com.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained in this release.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
This press release contains certain “forward-looking statements”. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding exploration results, potential mineralization , potential mineral resources, and the Company’s exploration and development plans and objectives) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things ,the possibility that future exploration results will not be sonsistent with the Company’s expectations, uncertainties relating to the availability and costs of financing needed in the future, changes in commodity prices, changes in equity markets, political developments in Mexico, changes to regulations affecting the Company’s activities, delays in obtaining or failures to obtain required regulatory approvals, the uncertainties involved in interpreting exploration results and other geological data, and the other risks involved in the mineral exploration and development industry. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Table 1: Results of Chip-channel Sampling Programme
|Sample Name||Sample Length (m)||Au
|* Silver equivalent grade is calculated on the basis of US$12.50/oz Ag, US$600/oz Au, 1.50/lb Zn, $0.50/lb Pb and $2/lb Cu. Silver equivalent calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.|