NEWS RELEASE
ECUADORIAN MINERALS CORPORATION
July 11, 2000
Trading: TSE.EMC
NEW HIGH GRADE RESULTS FROM UNDERGROUND WORKING
Ecuadorian Minerals Corporation (“EMC”) has commenced a second-phase core drilling program comprising 22 to 25 drill holes totaling approximately 3,000 meters on its 100%-controlled Beroen epithermal gold/silver property in Ecuador. The bulk of the program is focused on the Alejandra and Dorada zones (and their possible extensions) where a preliminary in-house, inferred resource estimate of 1.55 million ounces gold and 13 million ounces silver has been calculated by EMC (see news release dated September 1, 1999). Completion of the drill program is expected by the end of August and results will be announced when all quality control check sample analyses have been received.
New assay results have been received from tunnel-round and face-panel rock samples within the continuing exploration tunnel (adit) being driven through the Alejandra zone by EMC. The previously reported results (see news release dated April 13, 2000) for the first 17.4m of the adit returned average uncut values from 30 samples of 24.1 g/t gold and 311 g/t silver, with a 4.5m wide bonanza-style zone yielding average uncut values of 83.0 g/t gold and 1,060 g/t silver. The most recent results from the 17.4m to 27.2m section of the adit yield average uncut grades from 36 samples of 22.5 g/t gold (ranging from 0.88 to 159.4 g/t) and 200g/t silver (ranging from 9.4 to 1,262 g/t), and containincluding a 1.2m wide bonanza-style zone averaging (uncut) 86.8 g/t gold and 707 g/t silver from 5 samples.
Over the total 27.2m length of adit completed to date, average grades for all 66 samples are 23.2 g/t gold and 250 g/t silver with individual samples ranging from 0.3 to 159.4 g/t gold and 11 to 1,450 g/t silver. The adit is currently planned to continue for an additional 15 to 20m, dependent upon the extent of the alteration and mineralization encountered during its progress.
Paccha, Ecuador
Assay results have been received from Southern Metals Corporation for the seven core drill holes completed in April at the Paccha gold property in southern Ecuador under the terms of the joint venture letter agreement dated July 6, 1999 between EMC and Southern Metals. Only one of the drill holes encountered any significant gold intercepts, with PAC-4 reporting 11.5m at 2.5 g/t gold starting from surface, including 6.5m at 3.8 g/t gold. This drill hole was a "twin" of the previous property owner's (Cogema) drill hole HUA-2b(see news release dated February 8, 1999) which intercepted 30.7m at 8.3 g/t gold starting from surface, including 10.3m at 17.4 g/t gold.
Based on the results of the drill program and having fulfilled the required guaranteed US$150,000 first year work commitment under the agreement, Southern Metals has notified EMC that it will not carry out additional exploration work at Paccha and has returned the property to EMC. Future exploration activity on the property will be considered by EMC following a detailed review of Southern Metals’ technical data and drill results.
Gaby, Ecuador
EMC has received regulatory approval for the issuance of 401,036 common shares at a price of Cdn$0.90 to satisfy a past-due property payment of US$240,000 at the Gaby gold property in Ecuador. The property payment was made pursuant to existing agreements whereby EMC can earn up to a 100% undivided interest in the Muyuyacu concession at Gaby.
Stephen J. Kay, President and CEO
The Toronto Stock Exchange neither approves nor disapproves the information contained in this News Release.
For additional information, contact Linda North at Tel: (480) 483-9932 or Fax: (480) 483-9926.