Photo Release -- Minera Andes Reports Drilling Hits 155.51 g/t Gold and 11,619 g/t Silver at San Jose Project: Feasibility Study Nearing Completion


SPOKANE, Wash, June 23, 2005 (PRIMEZONE) -- Minera Andes Inc. (TSX-V:MAI)(OTCBB:MNEAF) is pleased to announce that core drilling at its San Jose project in southern Argentina has encountered significant gold and silver mineralization at the Frea vein trend. Results for an additional 50 in-fill holes, totaling 12,825 meters, have been received and will form part of the reserve/resource estimate that is the basis of the overall San Jose feasibility study.

A photo accompanying this release is available at: http://media.primezone.com/cache/2896/file/1995.html

In this drilling campaign the highest grade intercept in the Frea vein is 155.51 g/t (5.00 ounces per ton - opt) gold and 11,619 g/t (374 opt) silver over 0.40 meters in drill hole SJD-174. This interval is part of a broader intercept of 3.38 meters averaging 30.88 g/t (1.00 opt) gold and 2,096 g/t (67 opt) silver. Other highlights include 8.87 meters of 4.86 g/t (0.16 opt) gold and 462 g/t (15 opt) silver (SJD-118), 5.65 meters of 11.14 g/t (0.36 opt) gold and 608 (19 opt) g/t silver (SJ-129) and 3.75 meters of 9.39 g/t (0.30 opt) gold and 1,051 (34 opt) g/t silver (SJ-135). These assays complement the results presented in the news release dated April 28, 2005.

Drilling results at the Frea vein (previously called Huevos Verdes East) indicate that the vein should add a significant tonnage of high-grade mineralization to the resource/reserve estimate. Drilling to date has tested approximately 500 meters of vein strike length to a depth of 250 meters. These results indicate an exceptional success rate with 85 percent of the holes intercepting high-grade mineralization (see table below).

Allen Ambrose, president of Minera Andes, said: "The drilling results from the Frea vein show consistent high-grade mineralization that will be added to the project's reserves and resources. The feasibility study has taken longer than planned due to expansion of the project in size and scope through drilling of new mineralized zones and plans to increase the size of the mill processing facility from 500 to 750 ton per day. We anticipate these expansions will increase Minera Andes potential future cash flows from the San Jose Project based on a positive feasibility study outcome."

The discovery area at the Frea vein trend is located 2 km northeast of the Huevos Verdes vein (see attached map) on a separate, parallel vein trend. The Frea vein trend, as currently defined, is a 6 km long trend characterized by a 3 km long geophysical anomaly in the north, with intermittent quartz veining and/or high-grade gold/silver mineralization found in areas not covered by overburden in the south. The current drilling was done on the south central portion of a 3 km long geophysical anomaly.



  Drill results from the Huevos Verdes Vein, San Jose Project

                      From        To      Interval   Au      Ag
  Drill Hole         (meters)   (meters)  (meters)  (g/t)   (g/t)
 ---------------------------------------------------------------
  Frea Vein

 SJD-100              272.68     273.88    1.20      10.95   218
 SJD-101              nil
 SJD-102              317.06     318.35    1.29      12.78   23
 SJD-104              234.30     238.13    3.83      9.18    370
             incl.    234.30     234.97    0.67      6.6     612
             incl.    236.09     238.13    2.04      14.56   443
 SJD-106              304.70     304.99    0.29      7.19    14
             and      307.93     308.90    0.97      7.10    232
 SJD-107              112.00     112.40    0.40      1.29    322
             and      167.30     168.41    1.11      6.15    863
             and      176.70     178.52    1.82      3.29    430
             and      202.35     202.68    0.33      15.07   1,514
             and      230.95     232.40    1.45      3.79    340
             and      242.14     244.52    2.38      25.28   686
 SJD-109              185.88     186.18    0.30      9.92    365
 SJD-110               91.72      93.45    1.73      3.00    310
 SJD-111              123.29     134.00    10.71     1.76    281
             incl.    124.10     125.29    1.19      3.72    789
             incl.    129.33     130.61    1.28      3.63    465
 SJD-112     nil
 SJD-113              322.30     324.43    2.13      2.96    34
 SJD-114              141.97     142.75    0.78      2.32    527
             and      158.58     162.07    3.49      2.13    293
 SJD-116              136.80     137.58    0.78      18.95   2,724
             and      223.82     224.13    0.31      20.37   867
             and      259.51     260.52    1.01      14.90   281
 SJD-118              152.10     152.40    0.30      16.32   4,118
             and      158.65     159.55    0.90      2.53    326
             and      167.13     176.00    8.87      4.86    462
             incl.    174.50     175.00    0.50      14.01   1,421
 SJD-123              166.03     167.31    1.28      4.78    1,061
             incl.    166.85     167.31    0.46      10.22   2,450
 SJD-125              122.35     123.82    1.47      22.46   2,828
             and      284.42     285.92    1.50      18.75   273
 SJD-127     nil
 SJD-129              209.73     215.38    5.65      11.14   608
             incl.    209.73     212.05    2.32      23.12   1,183
 SJD-130              87.77      88.25     0.48      4.16    750
             and      109.50     111.32    1.82      4.80    208
 SJD-131               99.60     103.12    3.52      3.66    372
             incl.    101.60     103.12    1.52      6.04    496
 SJD-132              126.16     134.37    8.21      3.17    377
             incl.    126.16     128.42    2.26      4.37    613
 SJD-135              125.45     129.20    3.75      9.39    1,051
 SJD-136              332.61     333.70    1.09      3.83    154
 SJD-137              130.06     137.88    7.82      2.42    327
             incl.    134.45     136.53    2.08      5.38    733
 SJD-138              132.50     132.73    0.38      2.91    358
             and      289.37     293.44    4.07      9.33     32
             incl.    292.12     293.00    0.88      38.12    72
 SJD-139              105.38     106.10    0.72      21.33   200
             and      108.78     109.10    0.32      3.01    200
             and      124.81     126.38    1.57      4.03    201
 SJD-142              114.89     115.89    1.00      3.95    529
             and      116.78     119.04    2.26      2.99    331
             and      120.54     125.45    4.91      3.55    316
             incl.    121.12     121.62    0.50      10.63   1,263
             incl.    123.40     125.45    2.05      5.17    352
 SJD-143              110.55     111.30    0.75      4.16    200
             and      273.05     273.50    0.45      2.86    170
             and      285.37     287.46    2.09      26.79   126
 SJD-144              276.77     277.14    0.37      7.15     90
             and      283.38     283.68    0.30      10.45   1,133
             and      287.23     288.23    1.00      10.94   215
 SJD-145              230.10     230.63    0.53      2.35    249
             and      273.33     274.78    1.45      53.52   1,055
             incl.    274.18     274.48    0.30      184.51  4,104
 SJD-146              255.72     256.77    1.05      4.43    391
             and      258.59     261.17    2.58      4.73    321
 SJD-148     nil
 SJD-149              310.77     311.68    0.91      81.79   571
 SJD-151              232.33     234.96    2.63      4.12    217
             and      250.90     251.51    0.61      7.18    65
 SJD-154              58.50      60.50     2.00      8.17    186
 SJD-155              171.57     172.20    0.63      19.61   1,303
             and      295.84     297.60    1.76      3.58    287
 SJD-156              213.02     213.38    0.36      9.31    172
             and      221.95     222.50    0.55      2.68    269
 SJD-158     nil
 SJD-159     nil
 SJD-160              295.65     297.35    1.70      5.84    51
 SJD-162              124.35     125.00    0.65      1.42    232
 SJD-164     nil
 SJD-165              224.88     226.44    1.56      9.81    80
 SJD-166              263.15     264.50    1.35      4.81    186
 SJD-168              234.32     235.53    1.21      66.79   1,926
 SJD-169              102.56     103.01    0.45      2.14    341
             and      112.32     113.17    0.85      7.86    711
             and      116.45     117.00    0.55      11.50   1,452
 SJD-170              135.62     136.56    0.94      6.55    614
             and      138.30     139.05    0.75      5.01    724
             and      145.85     148.10    2.25      3.57    273
             and      150.60     151.89    1.29      3.21    141
             and      154.14     155.25    1.11      6.25    664
 SJD-174              155.31     158.69    3.38      30.88   2,096
             incl.    156.17     156.57    0.40      155.51  11,619
 SJD-176              193.22     193.66    0.44      5.60      96
             and      195.41     195.68    1.17      10.56   599
             and      198.59     201.26    2.67      5.74     70

FEASIBILITY STUDY

The results from all drill holes and underground sampling will be used to estimate a definitive ore reserve as part of the ongoing San Jose feasibility study. The ore reserve estimate and the feasibility study are slated for completion by the end of summer. Assays are now in hand for all of the holes drilled at the Frea vein.

The Huevos Verdes and Frea veins are part of the San Jose project, held by Minera Santa Cruz ("MSC") the joint venture corporation co-owned by Minera Andes (49%) and Mauricio Hochschild & Cia. Ltda. (51%). There are currently several core drill rigs operating at the San Jose project; Minera Andes is also core drilling other, 100% held, gold-silver projects in southern Argentina.

Assay results for the drilling were reviewed by Brian Gavin, Minera Andes' vice president, exploration, who is an appropriately qualified person as defined by National Instrument 43-101. All samples were collected in accordance with industry standards. Splits from the drill core samples were submitted to Alex Stewart Assayers, Argentina, S.A., in Mendoza, Argentina, for fire assay and ICP analysis. Accuracy of results is tested through the systematic inclusion of standards, blanks and check assays.

Minera Andes is a gold, silver and copper exploration company working in Argentina. The corporation is funded with working capital of about US$4.0 million and a pending credit facility of up to US$2 million for feasibility study completion and underground construction at its advanced-stage silver/gold project in Santa Cruz province. Minera Andes holds about 500,000 acres of mineral exploration land in Argentina, including the co-owned Huevos Verdes/San Jose silver/gold project now under construction and feasibility consideration for possible mine production. Minera Andes has also discovered an enriched copper zone at its Los Azules property and is acquiring other exploration targets in southern Argentina. The Corporation presently has 90,549,719 issued and outstanding shares.

This news is submitted by Allen V. Ambrose, President and Director of Minera Andes Inc.

FORWARD-LOOKING STATEMENT -- Although Minera Andes believes many of its properties have promising potential, its properties are in the early stages of exploration. None have yet been shown to contain proven or probable mineral reserves. There can be no assurance that such reserves will be identified on any property, or that, if identified, mineralization may be economically extracted. There can be no assurance that the San Jose/Huevos Verdes gold/silver project will be found to be economically feasible or that a mine will be successfully constructed. In addition, Minera Andes' joint venture partner, Mauricio Hochschild & Cia. Ltda., does not accept responsibility for the use of project data or the adequacy or accuracy of this release.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.



            

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