Latin American Minerals Inc.
TSX VENTURE : LAT

Latin American Minerals Inc.

February 17, 2010 08:00 ET

High Gold Grades Trench Results (104 g/t Au over 1 m) and Soil Samples (up to 2 g/t Au) Expand New Gold Trend to 11 Km at Paso Yobai, Paraguay

TORONTO, ONTARIO--(Marketwire - Feb. 17, 2010) - Latin American Minerals Inc. (TSX VENTURE:LAT) ("LAT") reports that continuing soil, rock and trench sampling on the "New Gold Trend" continues to generate encouraging results.

Exploration Update

The New Gold Trend (see Press Release November 5, 2009) (see map on LAT's website; http://www.latinamericanminerals.com/PasoYobai.html) (Figure 1) is parallel to and 3.6Km NW of the original Paso Yobai trend. It was initially defined as being 10Km long. Additional soil, rock and trench sampling has extended the New Trend to 11Km. Limited trenching completed to date at the southern end of the trend returned a rock channel sample value of 104g/t over 1 m. Three more channel samples were completed in the same trench that yield negative results. Results from other trenches are pending.

A large multi-Km circular soil sample anomaly defines the northern end of the New Gold Trend. The northern end of New Gold Trend is comprised of a large gold anomaly defined by soil samples over 100ppb over an area of 1 km by 1 km. This circular anomaly has a high grade core composed of 28 samples running an average of 317ppb and one soil sample runs 2 g/t gold.

Overall, a total of 13,661 soil samples have been collected to date in the Paso Yobai area covering an area of approximately 14km x 14km. An impressive 60% of the samples contain detectable gold (greater than 3ppb) and 3% of the samples contain more than 50 ppb Au.

Trench excavation and sampling is ongoing at the southern end of the New Gold Trend (see map on LAT website, http://www.latinamericanminerals.com/PasoYobai.html). The company will continue testing the new gold Trend with large mechanized trenches and systematic channel samples. It is expected that this work together with drill programs will continue throughout the year since gold soil anomalies typically overlie mineralized host rocks at Paso Yobai.

The Paso Yobai project is comprised of Jurassic Sandstones intruded by ultra-potassic mafic plugs and mafic dykes intensively smectite and carbonate altered hosting fine quartz-carbonate stockwork veining containing gold mineralization. The host rocks are also mineralized with lower grades suggesting that the mineralization is regional in nature rather than being related to the emplacement of the dykes. This assumption is supported by the nature of the observed gold in the New Gold Trend which occurs as fine dendritic, crystalline gold (see photo on LAT website) (Picture 1). This is strong evidence of a regional, pervasive, low temperature, alkalic low sulphidation gold system. These tend to be very large and the field evidence at Paso Yobai confirms that it is a very large, camp-scale mineralized system that requires intensive exploration.

Soil sampling will continue during 2010 with the objective of increasing the total coverage from 70% of the area of both trends to 100%.

Waldo Perez, PhD, P.Geo and CEO and President of Latin American Minerals commented "Paso Yobai appears to be an extraordinary, emerging gold exploration camp. Every exploration program we undertake at Paso Yobai is successful and leads to more gold mineralization in an expanding mineralized system. Exploration logistics are excellent and the information return for every dollar spent is phenomenal".

Gold Processing Plant

The Paso Yobai property was acquired by LAT from private holders in 2007 (Press Release of February 21, 2007). The company has recently increased its Paso Yobai land package by acquiring additional properties from the Paraguayan Government to 15,615ha including 7200ha of mining licences and 8415ha of exploration licences.

The properties located at the southern end of the original Paso Yobai gold trend are Mining Licenses acquired from private companies in 2007. Properties subsequently acquired by LAT, including the entire 11Km long New Gold Trend, are Exploration Licenses held 100% by LAT. Paraguayan mining law requires that Mining Licenses be kept in production. The Minas Paraguay and Minas Guaira properties on the original mineralized trend are both Mining Licenses that were in small scale production when acquired by LAT in 2007. LAT stopped production on these properties since they did not conform to mining industry "best practices". The existing production consisted of artisan open pit mining feeding a hammer mill and gravity concentrators. LAT's objective was to systematically explore and expand the mineralization at Paso Yobai by undertaking a 3 year program of soil sampling, geophysics, trenching, drilling and metallurgical analysis. This $6 million "standstill" exploration program was undertaken based on a government approved three year mining moratorium that ends on May 1, 2010.

LAT conducted metallurgical tests on trench samples during 2009 in order to ascertain the nature of the mineralization in terms of grade size distribution and other operating parameters. The tests were conducted by SEPRO and Met-Solve at their laboratory near Vancouver, British Columbia. During the second half of 2009, SEPRO was commissioned to prepare a preliminary design for a 25 tonne per hour gold processing plant that would provide valuable technical and metallurgical information that would complement existing and future drill program data in the preparation of a 43-101 compliant resource study. In advance of gold processing plant production, LAT will install a laboratory scale scrubber, rod mill and Falcon concentrating unit on site in order to test both Mining License and Exploration License material. This laboratory scale unit is expected to be available on site at Paso Yobai in April, 2010. It is anticipated that a final gold processing plant design will be available for review by the LAT board in early March, 2010.

Latin American Minerals Inc. is an active mineral exploration company focused on the acquisition and development of mineral projects in under-explored but highly prospective countries of Latin America.

Notes:

Sampling and Analytical Protocols: The sampling and analytical protocols were established, implemented and supervised by or under the direction of Dr. Waldo Perez, the Company's internal Qualified Person as defined by National Instrument 43-101. The samples from the trenches weighted more than 5 Kg and were collected in continues channels 4cm deep and 4 cm wide and between 0.5m and 2m long. The sample preparation was carried on the Company's sample preparation facility, operated by Company technicians under the direct onsite supervision and QA/QC provided by professionals from Alex Stewart Laboratories. Alex Stewart Assayers Argentina S.A. ("ASAA") laboratory is an ISO 9001-certified laboratory with laboratory facilities in Mendoza, Argentina and headquarters in England. The trench samples were dried, crushed and split. A total of 200 grams of sample have been separated for analysis The prepared samples were shipped by bonded courier to "ASAA" laboratories in Mendoza Argentina for analysis. A total of 50 grams of each fraction in the sample have been separated for analysis. All samples were assayed for gold by Fire Assay with AA finish using 50 gram sample. Accuracy and Precision of results is tested through the systematic inclusion of duplicates, blanks and certified reference standards.

This news release contains forward-looking statements. The Corporation does not intend, and does not assume any obligations, to update forward-looking statements unless required by securities laws.

To view Figure 1, please visit the following link:

http://media3.marketwire.com/docs/FG1.pdf

To view picture 1, please visit the following link:

http://media3.marketwire.com/docs/P1.pdf

To view picture 2, please visit the following link:

http://media3.marketwire.com/docs/P2.pdf

The TSXV has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.

Contact Information