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 Atocha UpdateJuly 27, 2004 Esperanza Silver Corporation (the "Company" or "Esperanza") has now completed a total of 670 meters in four diamond-core drill holes within the Carmen zone at its Atocha project in Bolivia. Previous underground sampling in tunnels developed at higher levels on this zone returned bonanza-grade silver values contained in "mantos" within beds of a sandstone host rock (News Release Feb. 18, 2004). The current program in the Carmen area is designed to test the down dip extension of these mantos. Two of the drill hole (CAR2004-2 and 4) have successfully intersected the target zone. The other two drill holes (CAR2004-1 and 3) had to be abandoned without fully testing this same zone due to excessive caving of poorly consolidated sandstone and mudstone formations within the drill hole. This made completion of these drill holes impossible. CDS Drilling (La Paz, Bolivia), in consultation with Esperanza geologists, has implemented changes to the drilling methodology to avoid future problems. This includes the use of different drilling fluids and cement to stabilize the rock formations. Drill-hole CAR2004-2, which did cross the target zone, intersected two mantos characterized by silicification and moderate to abundant sulfides (primarily pyrite). The upper manto is 6.3 meters thick and contains from 3 to 50 percent sulfide. Assay results for this zone show silver values from below detection to 84 grams per tonne (2.45 ounces per ton) over 1.5 meters. The lower manto is a 4.2 meter thick zone with up to 8 percent sulfide. Silver values here varied from 3 to 54 grams per tonne (0.1 to 1.6 ounces per ton) over one meter. Drill-hole CAR2004-4 also crossed the target zone in which it again, intersected two mantos characterized by the introduction of silica and abundant pyrite. The first zone was four meters thick and the second is approximately three meters thick. No silver was detected. Drill hole CAR2004-1, which did not cross the target zone, had anomalous silver values of up to 18 grams per tonne (0.52 ounces per ton). The drill rig has now been moved to the Condor Iquiña zone 1.5 km. north of Carmen. Drilling will test the subsurface extension of up to four mineralized horizons observed on the surface or in shallow tunnels. "We are encouraged that we have found the mantos where we had anticipated them in drill holes CAR2004-2 and 4. This demonstrates the down-dip continuity of the mineral-bearing beds. It appears that we are identifying a zonation within the ore-bearing horizons that we need to better understand." said William Pincus, President and CEO of the Company. For further information contact: William Pincus The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release |
