Trevali Commences Resource Expansion Drill Program at Santander Silver-Lead-Zinc Project in Peru
September 15, 2009
Vancouver, British Columbia...Trevali Resources Corp. ("Trevali" or the "Company") (CNSX: TV, Frankfurt: 4TI, Pink Sheets: TREVF) is pleased to announce commencement of its 2009 Resource Expansion drill program at the Santander silver -- lead -- zinc project in Peru.
The Company has recently awarded the drill contract for the aggressive upcoming program and the drill rigs are being mobilized to site. The program is scheduled to complete a minimum of 8,000 metres of diamond drilling over an approximately 3-month period using three rigs. The balanced work program was designed by Trevali to build upon its highly successful 2008 campaign that delivered a 100% discovery record with three out of three targets tested resulting in the discovery and delineation of deposits in the Magistral area.
In detail the program will seek to expand upon and provide additional resource definition for the near-surface, potentially open-pittable portions of the presently defined Magistral deposits that host an independent National Instrument 43-101 indicated resource of 5,298,000 tonnes with an average grade of 3.34% zinc, 1.27% lead and 38 g/t silver (using a 2% ZnEQ* cut-off grade) -- for a contained metal inventory of 390 million lbs. zinc, 149 million lbs. lead and 6.5 million oz. silver (see NR-09-06 -- April 8, 2009 for details).
Additional goals of the drill program include:
- Follow-up of the new discovered and recently announced near-surface, high-grade silver-rich mineralization located between the Magistral Norte and Central deposits and under-represented E-W silver rich structural zones which returned intervals up to 6.95 metres at 498 g/t (14.5 oz/t) silver, 6.1% lead and 9.1% zinc (see NR-09-13 -- September 10, 2009 for details).
- Provide drill testing of the high-priority and silver-rich Puajanca mineralized body -- located only one kilometer NNE of the Magistral Norte deposit. Recent re-sampling of limited historic drilling indicates that mineralization extends from surface to at least 200 metres vertical depth and returned 14.55 metres at 97.8 g/t (2.8 oz/t) silver, 1.23% lead and 5.13% zinc within which 2.2 metres reported 197 g/t (5.7 oz/t) silver, 2.09% lead and 11.6% zinc (see NR-09-05 -- March 12, 2009 for details).
The program will also include a series of deeper holes to test for and provide additional information on the depth extensions of the Magistral deposits. All three Magistral deposits are partially defined to approximately 300 to 350 metres vertical depth and remain open. The deepest intercepts on each body to date returned the following values:
- Magistral Norte -- 6.3 metres at 62.8 g/t (1.8 oz/t) silver, 4.74% lead and 4.18% zinc
- Magistral Central -- 10.6 metres at 110.6 g/t (3.2 oz/t) silver, 2.14% lead, 7.62% zinc and 0.28% copper
- Magistral Sur -- 5.8 metres at 5.28% zinc
The Company will provide timely updates as and when assays are received. On completion of the drill program Trevali will update its independent Resource Estimate.
*ZnEQ = ((Ag Price(g) x Ag Recovery x Ag Grade) + (Pb Price(t) x Pb Recovery x (Pb Grade(%)/100)+(Zn Price(t) x Zn Recovery x (Zn Grade(%)/100)))/Zn Price(t). Golder Associates utilized the three year rolling average price for all three metals. Price for silver is per gram ($0.43339) and that for Pb ($1,983) and Zn ($2,742) is per tonne. A recovery of 85% was applied to Ag, 94% for Pb and 91% for Zn based upon Trevali's metallurgical testwork. A 2% ZnEQ* cut-off grade is the nominal base case estimated grade of material that can be mined and processed considering all applicable costs.
The Santander silver-lead-zinc mine project is located approximately 215 km by road from Lima, in the western extent of Peru's world-class Central Mineral Belt. The mine previously operated from 1958-1993 targeting a single Carbonate Replacement Deposit--type pipe and manto structure, the Santander Orebody.
Substantial site infrastructure includes a fully refurbished 200-man camp and associated support facilities, and the Tingo hydroelectric power-station located 17 km down-valley to the west. The Santander project and the considerable existing infrastructure form a highly strategic asset in this mining district. The Company commenced exploration at Santander in November 2007 discovering four new high-grade silver-lead-zinc replacement and massive sulphide bodies to date.
Qualified Person and Quality Control/Quality Assurance
EurGeol Dr. Mark D. Cruise, Trevali's President and CEO and a qualified person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information that forms the basis for this news release. Dr. Cruise is not independent of the Company, as he is an officer and shareholder.
The work programs at Santander were designed by, and are supervised by, Dr. Mark D. Cruise, President & CEO, Trevali, and Tim Kingsley (independent geological consultant), who together are responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project rigorously collect and track samples which are then security sealed and shipped to ACME Laboratories, Vancouver, for assay. ACME's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Blind certified reference material is inserted at regular intervals into the sample sequence by Trevali personnel in order to independently assess analytical accuracy. Finally, representative blind duplicate samples are routinely forwarded to ACME and an ISO-compliant third party laboratory for additional quality control.
The resource estimates on the Magistral North, Central and South deposits were conducted by and under the supervision of Kevin Palmer P.Geo., an independent qualified person employed by Golder Associates Ltd. of Vancouver, Canada.
About Trevali Resources Corp.
The Company in conjunction with partner Glencore International A.G. have entered into a definitive development agreement for the Santander project that will see Glencore provide and operate a 2,000-tonne-per-day concentrate plant, undertake mining operations on a 'contractor/toll basis' and enter into a long-term concentrate offtake agreement for 100% of Santander project production at benchmark terms.
Additionally, through its wholly owned subsidiary Trevali Renewable Energy Inc., the Company is undertaking a significant upgrade of the Tingo run-of-river hydroelectric generating facility along with transmission line upgrades and extensions to allow the potential sale of surplus power into the Peruvian National Energy Grid.
The common shares of the Company are currently listed on the CNSX (symbol TV). For further details on the Company, readers are referred to the Company's web site (www.trevali.com) and to Canadian regulatory filings on SEDAR at www.sedar.com.
On Behalf of the Board of Directors of
TREVALI RESOURCES CORP.
"Mark D. Cruise" (signed)
Mark D. Cruise, President
Contact Information: Steve Stakiw, Manager -- Corporate Communications
Phone: (604) 488-1661 / Fax: (604) 408-7499