Dhanoa Minerals Ltd.
OTC Bulletin Board : DHNA

Dhanoa Minerals Ltd.

June 05, 2007 08:30 ET

Dhanoa Minerals to Generate Additional $6.5 Million in Revenue Over Next 12 Months From Silver Production

TORONTO, ONTARIO--(Marketwire - June 5, 2007) - Dhanoa Minerals, Ltd (OTCBB:DHNA)(FRANKFURT:D7Z) announced today that the emerging mineral production company expects to generate an additional $6.5 million in revenue over the next 12 months from the production of silver at its three Bella Rica properties located in southern Ecuador.

With over 850,000 ounces of gold reserves, the company projects that silver reserves at the three Bella Rica properties are over 4 million ounces. At current market prices of approximately $13 per ounce, with the cost of production already priced in, Dhanoa's silver reserves translates into $52 million in revenues over the life of the mine for the company.

"We have concluded that there are approximately five times the amount of silver reserves at our properties than gold reserves," stated Mr. Lee Andrew Balak, President of Dhanoa Minerals.

Mr. Balak continued, "As previous stated the company projects to produce 100,000 ounces of gold over the next 12 months, resulting in revenue of approximately $67 million. However, today we are very pleased to report the addition of 500,000 ounces of silver production over the next 12 months. From this silver production we should be able to realize $6.5 million in additional revenue not previously projected over the next 12 months."

Over the next 24 months Dhanoa's production capacity is expected to more than double to approximately 250,000 ounces of gold and over 1 million ounces of silver.

About Dhanoa Minerals Ltd.

'Dhanoa' is a production stage company formed for the purpose of acquiring, exploring, and developing natural resource properties. Activities during the production and exploration stage include further development of the Company's business plan and raising capital. The Company has recently initiated a new program to evaluate undervalued assets for potential addition to its mineral claim portfolio.

Forward Looking Statements

Statements contained in this news release that are not historical facts are forward looking statements that involve risks and uncertainties. Actual results may differ materially from any forward looking statements due to many risk factors which include, but are not limited to, no operating history and no earnings, reliance on the Company's management team, the ability to successfully implement the Company's business plan, the ability to fund the Company's business strategy, competition and general economic conditions. Reference is made to our filings made with the United States Securities and Exchange Commission.

This news release is not intended for Canadian investors.

Contact Information

  • Dhanoa Minerals Ltd.
    Corporate Head Quarters
    Lee Balak
    (416) 838-4348 or (416) 742-6579
    Website: www.dhanoaminerals.com