Printer Friendly

Vena Resources Announces the Initiation of a Pre-feasibility Study on its Azulcocha Base Metals Project.

TORONTO -- Vena Resources Inc. (TSX VENTURE:VEM) announces that it has commenced drilling and bulk sampling of its Azulcocha project near Huancayo, Peru, approximately 260 kilometers east from the City of Lima. All required environmental and land use permits have been received to start this work.

The Azulcocha project comprises the Gran Bretana mine (closed) as well as additional exploration lands. The mine operated at a design rate of 450 tonnes per day from 1965 until its closure in 1985. Munoz(1) estimated the remaining mine to be over 3 million tones grading 5% zinc and 20% manganese. Manganese was not recovered by the mine owner but Vena is currently testing a differential flotation flowsheet to recover this mineral.

Additionally, surface samples from the large stockpile of previously milled ore indicates the presence of high values of zinc (5%), manganese (10%) and gold (1 gpt). Based on historic plant records this stockpile contains 1.3 million tonnes of mineralized material.

Manganese occurs primarily as rhodochrosite (MnCO3) and pyrolusite (MnO2) and can be readily upgraded to electrolytic manganese dioxide (EMD) which currently sells for US$2,000 per tonne in the North American market. World consumption of EMD for alkaline batteries in 2002 exceeded 230,000 tonnes with an annual growth rate in excess of 9.6% between 1996 and 2002. End Users or this material include Energizer, Duracell, Eveready, Sony, Toshiba, Panasonic and Philips. Future growth in the EMD market is expected to exceed current growth rates as global demand for batteries increases in areas such as mobile phone communications, lithium manganese rechargeable batteries and hybrid electric vehicle batteries.

All products from the mine and previously milled ore will be available for purchase and refining at Doe Run's nearby La Oroya smelter and refinery complex which is connected directly to Azulcocha by a dedicated railroad.

With zinc and manganese dioxide prices at historic highs, the Company is well poised to modernize and re-open the Azulcocha operation under optimal economic conditions. The pre-feasibility study will evaluate the relative economics of producing either a manganese concentrate or EMD. To this end, Vena has contracted the services of Mr. Juan Zegarra, a well-known and respected Peruvian metallurgist with credentials from the Royal School of Mines in London, England to supervise the metallurgical testing and pre-feasibility design of a suitable mineral processing plant. This work will result in the calculation of an indicated and measured resource estimate.

All aspects of the program are being completed under the supervision of Murray Lytle, P.Eng., the Qualified Person for the project. Mr. Richard May, P.Eng. has also been retained to provide guidance on the metallurgical testing and design aspects of the project.

About Vena Resources Inc.

Vena Resources (TSX.V : VNA) is dedicated to aggressively acquiring, exploring and developing high quality projects throughout the country of Peru. Vena currently has a portfolio of five separate projects currently encompassing 16,000 hectares of strategically located and highly prospective ground. The Aucapampa property is currently being drilled; the Las Princesas property is completely encircled by Barrick Gold and PanAmerican Silver claims and is immediately adjacent to Barrick's Alto Chicama property; and has commenced a pre-feasibility study of the Azulcocha property. For further information please visit the Company website at www.venaresources.com.

Statements in this press release regarding the Company's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

Shares Outstanding: 32,039,013

Fully-Diluted: 37,392,513

(1) 1995, Cesar Munoz and Lluis Fontbote ; "El Yacimiento de Zn-As-(Au) Azulcocha Asociado a a Falla de Desgarre Cochas - Gran Bretana (Peru Central); Sociedad Geologica del Peru"

The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

Vena Resources Inc. (TSX VENTURE:VEM)
COPYRIGHT 2005 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Jan 5, 2005
Words:689
Previous Article:Agilent Technologies Announces Breakthrough for Cancer Researchers Studying Chromosomal Changes.
Next Article:Tahoe's Real Estate Market Proved Lucrative in 2004.


Related Articles
American Bullion - Production Alternatives Under Review at Red Chris.
Falco moves to prefeasibility stage on Nickel Rim. (Mining Around the North).
Vena Resources Inc.: Drill Program Announcement.
VENA Expands Mineralized Zone on Aucapampa Gold-Copper Discovery.
Vena Receives TSX Venture Exchange Listing Approval.
Vena Resources Announces Positive Geophysical Results on Azulcocha.
Vena Resources Appoints Harry Burgess to Board of Directors.
Vena Resources Acquires High Sulfidation Gold System and Expands Azulcocha Base-Metals Project in Peru.
Vena Resources Intersects 26.9% Zinc in Nested Veins at Azulcocha.
Vena Appoints Gordon Grams-Vice President, Engineering.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters