July 8, 2008
Explorator Announces Scoping Study Team
Explorator Resources Inc. ("Explorator" or the "Company") (TSX VENTURE: EXO) is pleased to announce that it has assembled a team of internationally recognized consultants to prepare a technical scoping study on its El Espino-Venus copper-gold deposit in Chile (the "Project").
The Scoping Study team will be managed and co-ordinated by Mr. Dave Prins, who is Chairman of Explorator's Technical Advisory Committee. Mr. Prins is an engineer resident in Santiago and with relevant experience in mine development and whose appointment was announced on April 8, 2008.
The Company has also contracted Mr. Roger Kelley to oversee the execution of the metallurgical test-work, which has been awarded to CIMM laboratories based in Santiago, Chile. Mr. Kelley has over 30 years of experience in the industry and spent 12 years working for Anglo American as the Vice President of Metallurgy. Bottle roll testing is underway and column leach testing will commence once results of bottle roll tests are available. In addition, samples are being selected of sulphide mineralization for flotation testing.
The technical and financial studies will be completed by AMEC, who have a major presence in Santiago and by Micon International in Toronto. AMEC will carry out a study of the technical aspects of the Project. Their report, expected to be completed in early Q4 2008, will exceed the requirements set out in NI 43-101. The objective of this work is to facilitate planning of the next detailed phase of the studies in order to advance the El Espino-Venus project towards a project development decision.
In addition, Micon will complete an update of the estimated mineral resources at El Espino-Venus, based on additional drilling completed subsequent to the resource audited by them in their report dated March 30, 2008. To date, approximately half of a planned 30,000 meter drill program has been completed. It is expected that this updated mineral resource estimate will have a considerable positive impact on the overall economics of the El Espino-Venus project to be described in the first phase scoping study. The updated resource estimate will include mineral resources from Phase III drilling in the Portuguesas, Pirata and Pichanilla areas, where drilling has intersected encouraging results (see Press Releases dated April 24, 2008, May 8, 2006 and May 26, 2008). These areas were not included in calculation of the earlier resource estimate on which this Scoping Study is being based. They will be included in a second phase scoping study.
Water Management Consultants, which is a world renowned consultant group and now a Schlumberger company, have been retained to study the availability of water supplies for the project, as well as management of water during the projected life of the mine. They will also undertake water monitoring to establish base line requirements.
The environmental and social aspects of the project will be studied by Gestion Ambiental Consultores S.A. ("GAC") who earlier completed a preliminary baseline study, which will be expanded into a definitive baseline study, followed by an Environmental Impact Statement.
"We are very pleased to have assembled such a capable and experienced team to complete a scoping study and mineral resource estimate update on our project and to take it through to final feasibility. These activities are an important step in increasing our estimated mineral resources and taking the El Espino-Venus property closer to project development" stated Mr. David O'Connor, President and CEO of Explorator.
National Instrument 43-101 ("NI 43-101") mineral resource estimates on the El Espino part of the deposit, audited by Micon International (see press release dated February 27, 2008) describes oxide mineralization containing 11.1 million tonnes grading 0.63% Cu and 0.17 g/t Au in an indicated category and 11.5 million tonnes grading 0.46% Cu and 0.27 g/t Au in an inferred category. This oxide component of the NI 43-101 mineral estimate overlies a part of the sulfide mineralization and would be mined as Stage I of the Project.
NI 43-101 mineral resource estimates contained in sulfides, describe 0.6 million tonnes grading 0.91% Cu and 0.39 g/t Au in an indicated category and 77.2 million tonnes grading 0.63% Cu and 0.18 g/t Au in an inferred category. It is anticipated that the sulfide part of the deposit will contain the majority of the economic value of the Project, which would be mined as Stage II of the project. Exploration is underway to define shallow sulfide mineralization which would allow the Stage II sulphide start-up to be accelerated.
About Explorator Resources
Explorator Resources is a Canadian-based mining exploration company focused on advancing its El Espino-Venus Copper-Gold Project in Chile. The Company is currently completing a Phase III 30,000 meter drill program. The Project lies within the prolific copper-gold mineral area of the Cordillera de la Costa and is central to an important cluster of "Candelaria-style" copper-gold deposits. It is located 3.5 hours drive north of Santiago. The El Espino-Venus block covers 75 square kilometres and is host to major gold and copper mineralized structures on which nine small operating mines have been developed.
Mr. Michael Schuler, Explorator Resources' Vice President, Exploration is the "Qualified Person" as defined under the National Instrument 43-101 and is responsible for the scientific and technical work on Explorator's exploration program and is responsible for reviewing the technical disclosure in this news release. All analytical work has been completed by ALS Chemex of La Serena in Chile; ALS Chemex is a respected international analytical service which is accredited with NATA and complies with standards of ISO 9001:2000 and ISO17025:1999. They employ a variety of international standards for quality control purposes. Samples are transported from the project to the ALS Chemex laboratory in La Serena sample by Company personnel or a reputable commercial carrier. All analytical testing is performed utilizing a variety of industry standard analytical techniques, including: (1) ALS Analytical Code Au-ICP22 (Au 50g fire assay with ICP-AES finish), (2) ALS analytical code Au-GRA22 (Au 50g fire assay with a gravity finish), (3) ALS analytical code ME-ICP61 (33 element analysis using a four acid digestion and ICP-AES analysis), (4) ALS analytical code Cu-AA62 (ore grade copper analysis using a four acid digestion and an AAS finish. All diamond drill core is geologically logged, cut in half using a diamond saw and sampled by Company geologists in one (1) to three (3) meter sample intervals depending on visual grade estimates; the archive portion of the sample is securely stored at the company's core shed adjacent to the office in the town of Illapel.
The Company has initiated a QA/QC program consisting of utilizing standards, duplicate and blank samples and laboratory cross-checks and routinely repeats sample analysis.
Certain statements contained in this news release may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information are identified by words such as "estimates", "intends", "expects", "believes", "may", "will" and included, without limitation, statements regarding the company's plan of business operations, production levels and costs, potential contractual arrangements and the delivery of equipment, receipt of working capital, anticipated revenues, mineral reserve and mineral resource estimates, and projected expenditures. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty of mineral reserve and resource estimates, equipment and supply risks, regulatory risks and environmental concerns. Most of these factors are outside the control of the company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.
Contacts: Explorator Resources Inc. Tony Wonnacott Corporate Secretary (416) 775-7540 Email: [email protected] Website: www.explorator.ca
SOURCE: Explorator Resources Inc.