CHICAGO, IL--(Marketwire - February 23, 2010) - Tara Minerals Corp. (
To date, approximately 800 tonnes of material has been mined from San Felipe. Based on metal recovery test work performed on some of this material, the company has decided to modify its Phase One development plan to include production from the San Felipe structure.
The Don Roman mill is currently processing Silver, Zinc, and Lead at the rate of 240 tonnes per day. This production rate will be expanded to 360 tonnes per day by commissioning into operation the installed third circuit. Originally, the completion of Phase One called for installing a fourth 120 tonne per day circuit for processing additional Silver, Zinc, and Lead. Under the enhanced plan, a stand-alone circuit capable of processing 300 tonnes per day of Gold and Silver material will instead be installed. Once Phase One is completed, total plant production capacity will be 660 tonnes per day.
The mine and mill design engineering work, and estimation of project costs, has been initiated. The mine design includes developing the capability to produce a minimum of 300 tonnes per day from three levels. The expansion projects are anticipated to begin April 1, 2010 and completed within nine months. Processing and sale of the Silver, Zinc, and Lead concentrate will continue through this expansion.
Mr. Francis Biscan Jr., President of Tara Minerals Corp., stated, "With the strong economics of the San Felipe Gold and Silver vein and the strategic location of this structure to our existing plant, we expect to achieve an expeditious return on investment. With the development of San Felipe, we will add to the diversity of metals produced, add substantial cash flow beyond our original expectations, and give our shareholders leverage to the Gold price."
San Felipe is a Gold and Silver quartz vein located 1.5 km southeast of the Don Roman mine and mill. Recent channel samples returned an average grade of 10.06 grams per tonne Gold and 149.85 grams per tonne Silver. The structure has a known strike length of approximately 850 meters and an exposed vertical height of approximately 400 meters. The vein remains open both along strike and at depth.
About Tara Minerals Corp.
Tara Minerals Corp. is generating cash from the sale of Silver, Zinc, and Lead concentrate from its producing Don Roman mine and mill, located in Choix, Mexico. Management is focused on creating long-term shareholder value as this capital is deployed to increase throughput, enhance resources, further outline new discoveries/targets, and acquire additional strategic assets. Tara's strength in recognizing value early and strategy of reducing risk through a foundation of cash flow, positions it for low-risk value creation.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to market acceptance of new technologies or products, delays in testing and evaluation of products, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
Contact Information:
Website:www.TaraMinerals.com
Francis Biscan Jr.
Phone: (630) 462-2079