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Bear Creek Announces the Filing of Legal Actions to Protect its Santa Ana Silver Deposit in Peru

July 13, 2011

VANCOUVER, July 13, 2011 /PRNewswire/ – Bear Creek Mining (TSXV: BCM) (BVL:
BCM) (“Bear Creek” or the “Company”) reports that it has filed an
application for a Constitutional injunction in Peru, known as an
Amparo, against the Peruvian Government. The objective of the legal
actions are to seek injunctive relief against the cancellation of the
Company’s rights to its Santa Ana mineral concessions until a court
determines whether the Peruvian Government violated the Company’s
constitutional rights when it issued a Presidential Supreme Decree in
June 2011 that resulted in the cancellation of the Company’s
authorization to own the Santa Ana mineral concessions.

The Company and its legal advisors continue to maintain that it has
complied with all legal requirements and Environmental and Social
Impact Assessment (“ESIA”) procedures, including public consultations
which exceeded the requirements of the law.  The Company maintains that
there was no basis for modifying the Presidential Supreme Decree
granted to Bear Creek in 2007 which granted the Company titles to the
mineral concessions in full accordance with the law.

Mr. Andrew Swarthout, Bear Creek CEO, stated “Despite the measures taken
recently by the Peruvian government which has forced Bear Creek to take
legal action to defend its rights under the law, the Company believes
that a political solution is yet possible.  Santa Ana exemplifies
exactly the kind of environmentally sound mining project that the
country needs to achieve the goal of further reducing poverty in Peru. 
Therefore, we see an opportunity with the incoming government by
expressing our commitment to being a part of Peru’s solution to poverty
issues.  Every effort is being made by the Company to assist the
national and local authorities in reaching a solution, while respecting
our local communities’ desire for Bear Creek to build the Santa Ana
Project as demonstrated by their strong support and ratification, after
more than 100 public meetings and workshops, at the final formal public
hearing on February 23, 2011.”

The Santa Ana deposit ESIA is based on a project design incorporating
international standards of environmental safeguards utilizing a
zero-discharge heap leach project design.  In addition to having no
discharge, the project is located in a separate hydrologic basin from
Lake Titicaca, so the potential for contamination of Lake Titicaca is a
misconception.   The ESIA also incorporates strong commitments to
social sustainability and benefits to local communities including job
training, agricultural, educational and health improvement programs.
The Santa Ana project will provide 1,000 direct jobs, 1,500 indirect
jobs, and provide over US$330 million in royalties and taxes for the
Peruvian people and our surrounding communities at the current silver
price, and current tax and royalty structure.

About Bear Creek: 

Bear Creek Mining has completed a Pre-Feasibility Study on its Corani
Silver Project and is currently in the process of completing a
feasibility study. The Pre-feasibility study showed that the Corani
Project could produce up to 10 million ounces of silver per year and
with the new feasibility study being prepared at a 50% greater
processing rate, the project is expected to produce up to 15 million
ounces per year during its 20 year mine life.  Additionally, the Corani
project is well endowed with both lead and zinc, so by-product credits
will result in low or negative cash costs per ounce of silver.  A
Feasibility Study for Santa Ana project was completed in the fall of
2010 and defined a low-cost “pure silver” mine producing 5 million
ounces annually in the first six years of an estimated 11-year mine
life (subject to the disclosure from June 25(th) 2011 press release).  Together both projects contain measured and
indicated resources in excess of 500 million ounces of silver of which
over 320 million ounces are in proven and probable reserves.

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

Regulatory footnotes:

All of Bear Creek’s exploration programs and pertinent disclosure of a
technical or scientific nature are prepared by or prepared under the
direct supervision of Marc Leduc, P. Eng., President and COO, Christian
Rios, P.Geo. Exploration Manager and the CEO, Andrew Swarthout, P.Geo.,
who serve as the Qualified Persons under the definitions of NI 43-101.
All diamond drilling has been performed using HQ diameter core with
recoveries averaging greater than 95%. Core is logged and split on site
under the supervision of Bear Creek geologists. Sampling is done on
two-meter intervals and samples are transported by Company staff to
Arequipa, Peru for direct shipping to ALS Chemex, Laboratories in Lima,
Peru. ALS Chemex is an ISO 9001:2000-registered laboratory and is
preparing for ISO 17025 certification. Silver, lead, and zinc assays
utilize a multi-acid digestion with atomic absorption (“ore-grade assay
method”). The assay QC/QA program includes the insertion of known
standards prepared by SGS Laboratories every 20th sample.  A section in
Bear Creek’s website is dedicated to sampling, assay and quality
control procedures.

Certain disclosure in this release, including management’s assessment of
Bear Creek’s plans and projects, constitutes forward-looking statements
that are subject to numerous risks, uncertainties and other factors
relating to Bear Creek’s operation as a mineral exploration company
that may cause future results to differ materially from those expressed
or implied in such forward-looking statements. These risks,
uncertainties and other factors are disclosed in Bear Creek’s
continuous disclosure filings with Canadian securities regulators
including its most recent annual information form, available on www.sedar.com. Bear Creek expressly disclaims any intention or obligation to update
or revise any forward-looking statements whether as a result of new
information, future events or otherwise.

SOURCE Bear Creek Mining Corporation


Source: newswire



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