Minera Andes Continues to Hit New High-Grade Gold/Silver Mineralization at the San Jose Projects' Huevos Verdes Vein


SPOKANE, Wash., July 12, 2005 (PRIMEZONE) -- Minera Andes Inc. (TSX-V:MAI) and (OTCBB:MNEAF) is pleased to announce that additional high-grade gold/silver mineralization has been discovered during the feasibility study core drilling at its San Jose project in southern Argentina. Results for an additional 25 in-fill holes, totaling 5,605 meters, drilled at the Huevos Verdes vein have been received.

Allen Ambrose, president of Minera Andes, said: "These drilling results are now being added to the feasibility study that is planned for completion at the end of summer. We look forward to presenting the feasibility study NI43-101 technical report to the markets shortly thereafter in early fall. The study will contain the details on the project including estimates of reserves, production rates, and cash flow models."

HUEVOS VERDES VEIN

Drilling and drifting underground to date has defined three areas known as the North, Central, and South shoots along approximately 2.1 km of vein strike length to a depth of 250 meters. Results are presented here for 29 drill holes (twelve from the North shoot, ten from the Central shoot and seven from the South shoot) (see table below).

The best intercept in the North shoot grades 50.12 g/t (1.6 opt) gold and 5,149 g/t (166 opt) silver over 0.55 meters in drill hole SJD-126. This interval is part of a broader intercept of 3.70 meters averaging 9.42 g/t (0.30 opt) gold and 954 g/t (30 opt) silver.

In the Central shoot 19.23 g/t (0.62 opt) gold and 598 g/t (19 opt) silver occur over 0.41 meters in drill hole SJD-171 within a broader interval of 2.15 meters averaging 8.59 g/t gold (0.28opt) and 388 g/t (12 opt) silver.

The best intercept in the South shoot grades 46.78 g/t (1.5 opt) gold and 2,093 g/t (67 opt) silver over 0.36 meters in drill hole SJD-141. This interval is part of a broader intercept of 1.28 meters averaging 14.10 g/t (0.45 opt) gold and 617 g/t (20 opt) silver.

The Huevos Verdes vein trend, as currently defined, is a 2.2 km long trend characterized by three shoots revealed by the current infill drilling and 3.5 km of underground workings and 56 previous drill holes. The vein is an intermittent quartz vein of high-grade gold/silver mineralization found in areas not covered by overburden.


      Drill results from the Huevos Verdes Vein, San Jose Project
 --------------------------------------------------------------------
               From          To       Interval       Au         Ag
 Drill Hole  (meters)     (meters)    (meters)      (g/t)     (g/t)
 --------------------------------------------------------------------
 North Shoot
 --------------------------------------------------------------------
 SJD-103         nil
 --------------------------------------------------------------------
 SJD-105        68.70        69.40        0.70       13.17     1,560
 --------------------------------------------------------------------
        and    114.77       119.22        4.45        4.12       302
 --------------------------------------------------------------------
 SJD-108         nil
 --------------------------------------------------------------------
 SJD-115       185.66       190.58        4.92        5.91       236
 --------------------------------------------------------------------
 SJD-117        50.30        51.35        1.05        2.50       310
 --------------------------------------------------------------------
        and     67.00        71.40        4.40       20.30     2,565
 --------------------------------------------------------------------
       incl.    69.50        70.40        0.90       58.46     8,126
 --------------------------------------------------------------------
        and    163.27       164.91        1.64        7.12       465
 --------------------------------------------------------------------
 SJD-119         nil
 --------------------------------------------------------------------
 SJD-120         nil
 --------------------------------------------------------------------
 SJD-121         nil
 --------------------------------------------------------------------
 SJD-122       141.30       141.67        0.37        1.98       445
 --------------------------------------------------------------------
        and    213.21       215.57        2.36       18.57       990
 --------------------------------------------------------------------
       incl.   213.21       214.12        1.39       29.76     1,650
 --------------------------------------------------------------------
        and    220.24       220.69        0.45        4.26       299
 --------------------------------------------------------------------
        and    243.85       244.25        0.40        4.11       272
 --------------------------------------------------------------------
 SJD-126       156.28       159.98        3.70        9.42       954
 --------------------------------------------------------------------
       incl.   156.28       156.83        0.55       50.12     5,149
 --------------------------------------------------------------------
 SJD-133       124.00       130.25        6.25        7.41       172
 --------------------------------------------------------------------
       incl.   126.20       127.00        0.80       42.85        82
 --------------------------------------------------------------------
        and    227.84       229.70        1.86        3.02       250
 --------------------------------------------------------------------
        and    245.82       246.62        0.80        7.05       713
 --------------------------------------------------------------------
 SJD-140       218.60       220.46        1.86        5.31       184
 --------------------------------------------------------------------
        and    246.28       249.20        2.92        3.81       283
 --------------------------------------------------------------------

 --------------------------------------------------------------------
 Central
  Shoot
 --------------------------------------------------------------------
 SJD-124         nil
 --------------------------------------------------------------------
 SJD-128         nil
 --------------------------------------------------------------------
 SJD-157         nil
 --------------------------------------------------------------------
 SJD-161         nil
 --------------------------------------------------------------------
 SJD-167         nil
 --------------------------------------------------------------------
 SJD-171       184.75       186.90        2.15        8.59       388
 --------------------------------------------------------------------
       incl.   185.28       186.00        0.72       19.23       598
 --------------------------------------------------------------------
 SJD-172        18.23        19.12        0.89        1.12       243
 --------------------------------------------------------------------
        and     71.57        71.90        0.33        2.90       279
 --------------------------------------------------------------------
        and    112.11       113.62        1.51        1.35       254
 --------------------------------------------------------------------
 SJD-173         nil
 --------------------------------------------------------------------
 SJD-175        97.20        97.67        0.47        6.05       239
 --------------------------------------------------------------------
        and     98.38        98.80        0.42        2.97       233
 --------------------------------------------------------------------
        and    102.15       102.50        0.35        8.89     1,070
 --------------------------------------------------------------------
        and    109.20       109.70        0.50        3.51       458
 --------------------------------------------------------------------
 SJD-177       101.19       103.01        1.82        2.96        96
 --------------------------------------------------------------------
        and    105.70       107.06        1.36        4.53       344
 --------------------------------------------------------------------

 --------------------------------------------------------------------
 South Shoot
 --------------------------------------------------------------------
 SJD-134       112.08       114.20        2.12        4.15       395
 --------------------------------------------------------------------
 SJD-141       191.31       192.59        1.28       14.10       617
 --------------------------------------------------------------------
       incl.   191.31       191.67        0.36       46.78     2,093
 --------------------------------------------------------------------
 SJD-147       144.15       144.56        0.41        1.77       332
 --------------------------------------------------------------------
 SJD-150         nil
 --------------------------------------------------------------------
 SJD-152         nil
 --------------------------------------------------------------------
 SJD-153       175.91       176.42        0.51        4.03       471
 --------------------------------------------------------------------
 SJD-163       135.31       135.71        0.40       12.85       679
 --------------------------------------------------------------------

The results from all drill holes and underground sampling will be used to estimate resources and reserves as part of the ongoing feasibility study. The reserve estimate and the feasibility study are slated for completion in the second half of this year. Assays are now in hand for all of the holes drilled.

The Huevos Verdes vein is 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 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 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.



            

Mot-clé


Coordonnées