VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 1, 2012) - Aurcana Corporation (AUN.V - News)(AUNFF - News)(AUNFF - News) ("Aurcana" or the "Company") is pleased to report that surface drilling has intersected a strong high grade zone between mining blocks in the "5200 area", providing support for potential continuity of ore in Block 3, currently under development. Figure 1 shows historic holes and location of Hole S-12-403.
Hole S-12-403 was drilled at an angle of -80 degrees oriented due East and cut 30 feet of mineralization from 382 feet to 412 feet with an average grade of 23.37 ounces of silver per ton. Significant trace amounts of gold are associated with several intervals. Core recovery was very good over the intersection, with the exception of one low grade interval within the zone. The core section of the high grade zone averages 36 ounces/ton over fourteen feet. Figure 2 is a section indicating the location of Hole S-12-403.
To view Figures 1 and 2, please click: http://media3.marketwire.com/docs/aur601_F1-2.pdf.
From To oz/ton oz/ton
382 384 30.81 0.03
384 386 15.54 0.01
386 388 9.51 0.01
388 390 2.38 0.01
390 392 13.53 0.01
392 394 46.28 0.02
394 396 16.28 0.01
396 398 37.44 0.00
398 400 45.06 0.01
400 402 46.63 0.01
402 404 30.96 0.02
404 406 31.51 0.03
406 408 8.81 0.01
408 410 6.27 0.00
410 412 9.39 0.01
Lenic Rodriguez, President of Aurcana Corporation, states, "This is the highest grade intersection encountered to date at the Shafter Mine and we expect to encounter more of the same as we develop the underground operation."
Vertical Hole S-12- 402 located approximately 180 feet south of S-12-403 intersected 41 ounces of silver over two feet from 378 - 380 feet.
Additional surface and underground drill holes are being processed and results will be released at a later date.
Quality Assurance - Quality Control
Sample intervals were 2 feet HQ core was cut and one half of the core was placed in polyethylene sample bags along with a sample tag and secured with a ziplock tie. Duplicates, control standards and blanks were inserted into the sample batch by technical staff. Samples were dried and reduced to minus ten mesh. A 250 gram sub sample was obtained and pulverized to 90% passing 150 mesh by ring and puck pulverizer. Silver was determined by Fire Assay with gravimetric finish using a 30 gm prepared sub sample. Multi-element analysis consisted of 4 acid digestion (Total) and analysis by ICP-OES. Samples were submitted via courier to Pinnacle Analytical Laboratories, Lovelock, Nevada, a laboratory with IAS accreditation compliant with ANS/ISO/IEC standard 17025:2005. Samples were analyzed for Au and Ag by Fire Assay and Gravimetric finish as well as multiple element ICP-OES.
The Company's shares are now also traded in the United States on OTCQX under the symbol "AUNFF". Investors can find current financial disclosure and Real-Time Level 2 quotes for the Company on www.otcqx.com and www.otcmarkets.com.
About Aurcana Corporation:
The Shafter Silver Mine is scheduled to produce 3.8 million ounces of silver in the first full 12 months of operation. It has an NI 43-101 Measured and Indicated Resource of 24.6 million ounces of silver and an Inferred Resource of 22.8 million ounces of silver using a 4.0 ounce per ton cut off. The 99.9% owned La Negra silver-lead-zinc-copper mine produced over 1 million ounces of contained silver in 2011 and 287,486 ounces for Q1 2012.
The reader should be cautioned that the Company has not completed a feasibility study to confirm the projected production capacity for La Negra and there is no certainty the Company's plans will be economically viable.
The scientific and technical information contained in this news release has been reviewed by Nils Von Fersen, P.Geo., Vice President of Exploration of the Company and a Qualified Person ("QP") as defined by National Instrument 43-101 (Standards of Disclosure for Mineral Projects).
ON BEHALF OF THE BOARD OF DIRECTORS OF AURCANA CORPORATION
Lenic Rodriguez, President & CEO
This news release contains certain forward-looking statements, including statements regarding forecast silver production, silver grades, recoveries, potential mineralization, exploration result, future plans and objectives of the Company and the business and anticipated financial performance of the Company. These statements are forward-looking statements that involve various risks and uncertainties. These forward-looking statements include, but are not limited to, statements with respect to mining and processing of mined ore, achieving projected recovery rates, anticipated production rates and mine life, operating efficiencies, costs and expenditures, changes in mineral resources and conversion of mineral resources to proven and probable reserves, and other information that is based on forecasts of future operational or financial results, estimates of amounts not yet determinable and assumptions of management.
Exploration results that include geophysics, sampling and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classified as a category of mineral resource. A mineral resource which is classified as "inferred" or indicated" has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an "indicated mineral resource" or "inferred mineral resource" will ever be upgraded to a higher category of resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable reserves.
Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or does not expect", "is expected", anticipates" or "does not anticipate" "plans", "estimates" or "intends" or stating that certain actions, events or results " may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-looking statements.
Actual results may differ materially from results contemplated by the forward-looking statements. Important factors that could differ materially from the Company's expectations include, among others, risks related to international operations, unsuccessful exploration results, conclusions of economic evaluations and changes in project parameters as plans continue to be refined as well as changes in metal prices, changes in the availability of funding for mineral exploration and development, unanticipated changes in key management personnel and general economic conditions. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements, oral or written, made by itself or on its behalf. Accordingly, readers should not place undue reliance on forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.