Century Mining Corporation

Century Mining Corporation

January 08, 2007 10:47 ET

Century Intersects 1.8 Meters of 46.7 g/t Gold and 26.3 g/t Silver at San Juan Property, Peru

BLAINE, WASHINGTON--(CCNMatthews - Jan. 8, 2007) - Century Mining Corporation (TSX VENTURE:CMM) is pleased to announce the results of surface diamond drilling at the San Juan mine. Hole 06SJ-02 intersected 1.8 meters at a grade of 46.7 grams/tonne (g/t) gold and 26.3 g/t silver. The true width of the Mercedes vein cut by the drill hole was calculated to be 1.2 m at a grade of 46.7 g/t gold and 26.3 g/t silver. The highest grades are along the upper and lower parts of the vein and range from 71.8 to 62.0 g/t of gold. These results are summarized in the table below:

Mercedes Vein Samples, Hole 06SJ-2

Drill Sample Au Ag From To Intersected
Hole Number (g/t) (g/t) (m) (m) Width (m)
06SJ-2 10 71.8 82.5 210.30 210.80 0.50
06SJ-2 11 35.0 6.3 210.80 211.30 0.50
06SJ-2 12 8.0 0.8 211.30 211.65 0.35
06SJ-2 13 62.0 6.1 211.65 212.10 0.45

The surface diamond drilling at San Juan de Chorunga began in November and a second contractor was added in December. A total of 924.5 meters were drilled in 2006. The first drill hole was lost at less than 40 meters. The second diamond drill hole (06SJ-02) intercepted the Mercedes vein from 210.3 to 212.10 meters. Core recovery was excellent and exceeded 98 percent across the vein.

The Mercedes vein has been mined extensively to the northwest of drill hole 06SJ-02 and the vein is thought to continue to the southeast across the Chorunga Quebrada and join with the Alpacay vein there. The drill hole 06SJ-2 intercepted the vein at 580 meters elevation and approximately 120 meters below the lowest working level on the vein where the hole was drilled. The drill hole confirms that the Mercedes vein is mineralized over an average strike length of 500 meters and a dip length of 150 meters from the lower workings of the mine to the drill hole with widths ranging from 0.6 to 1.2 meters. The grades in the mine workings at these levels range from 15 to 25 g/t gold.

The Mercedes vein is one of more than 30 different low sulfidation veins that have been exploited for more than 200 years in the district. The 1.2 million ounces of gold that have historically been produced over the last 22 years from the San Juan Mine came predominantly from the San Juan and Mercedes veins. As can be seen from the attached cross section the extension of the existing Mercedes workings is significant.

Additional drilling will test the extension to the east into the Chorunga valley and at deeper levels. The first drill contractor, with its 2 drills, has been removed from the property for lack of performance. Bradley Drilling is currently on the site and drilling will continue throughout the year.

A long section, plan and cross section of the vein accompany this news release and can be seen by clicking on the following link: http://www.ccnmatthews.com/docs/cmm0108.pdf

Assays and sample preparation were completed by ALS Chemex, Peru. Appropriate quality control samples and blind certified standards were used and chain of custody seals were used on all sample bags. The on-site supervision of the drilling and sampling was conducted by Mr. Larry Hillesland, Exploration Manager, South America. The results herein described have been prepared under the guidance of Mr. Ross Burns, P Geo., LG, Vice President of Exploration, who is designated as a Qualified Person with the ability and authority to verify the authenticity and validity of the data.

Margaret Kent, President & CEO commented: "We now have a reputable drill contractor on site that is performing well. The Company is currently negotiating to bring in another contractor. This is the first of many positive results that we expect will be generated from San Juan. The intersection demonstrates a major extension to the existing Mercedes workings. All indications are that the Mercedes and Alpacay veins are the same structure and are joined underneath the valley. If this is proven then the Mercedes/Alpacay vein has the potential to host more than a million ounces. This is one of more than 30 known vein structures. All the work that we are undertaking will be used for future NI 43-101 resource calculations".

About Century Mining Corporation

Century Mining is an emerging mid-tier gold producer that is aggressively acquiring producing mines and exploration properties in Peru. The Company owns and produces gold at the Sigma and Lamaque mines in Quebec that historically have produced over 9.4 million ounces of gold. In Peru this year Century acquired control of the San Juan Mine where the Company accounts for 100% of gold production. Century's growth strategy is to acquire gold producing assets in South America that will substantially reduce the Company's consolidated total cash cost of production and where there is exceptional exploration potential to expand production at these mines.

Margaret M. Kent, Chairman, President & C.E.O.

Caution Concerning Forward-Looking Information

This press release contains forward-looking information within the meaning of applicable securities laws. We use words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology to identify forward-looking information. It is based on assumptions, estimates, opinions and analysis made by management in light of its experience, current conditions and its expectations of future developments as well as other factors which it believes to be reasonable and relevant. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause our actual results to differ materially from those expressed or implied in the forward-looking statements and accordingly, readers should not place undue reliance on those statements. Risks and uncertainties that may cause actual results to vary include but are not limited to the speculative nature of mineral exploration and development, including the uncertainty of reserve and resource estimates; operational and technical difficulties; the availability to the Company of suitable financing alternatives; fluctuations in gold and other resource prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks arising from our South American activities; fluctuations in foreign exchange rates; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management's Discussion and Analysis and in other filings made by us with Canadian securities regulatory authorities and available at www.sedar.com.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this press release.

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