Plexmar Resources Inc.
TSX VENTURE : PLE

Plexmar Resources Inc.

December 10, 2009 10:04 ET

Plexmar Acquires High Grade Producing Property

QUEBEC CITY, QUEBEC--(Marketwire - Dec. 10, 2009) - Plexmar Resources Inc.(TSX VENTURE:PLE) Plexmar's is pleased to report that it has recently signed, through one of its subsidiaries, an option agreement to acquire 100% of the mining rights for the Hans XX concession located in Northern Peru.

This 400 hectare concession is located 21 kilometers northwest of Las Lomas in the Suyo district and adjacent to the south of the community where the Bolsa del Diablo project is located and structurally aligned. Channel samples taken across the vein structures vary from 5.0 g/t to 174.5 g/t Au. (5.3 ounces/ton). Current daily production from artisanal miners amounts to 120 tons per day with grades at 1.5 ounces/ton. The silver ratio is 1.5:1.0 Ag/Au.

As this community is heavily engaged in mining activities there are no foreseen problems and delays in obtaining community permission to start a drilling program. Detailed mapping and systematic sampling of all informal workings is currently under way.

"We are very happy to be able to option this important concession. It fits perfectly with our objective to consolidate the best properties in this emerging new mining camp. Current production from Hans XX accounts for about 50% of the tonnage mined daily in the whole area. Mine workings currently stop at a depth of 60 meters which is the water table level where wall stability is a concern and also the start of the sulphide zone which signifies harder rock. In those workings, we can observe the high density of the vein system. Potential is high to uncover many more high grade veins and the upside lies below the 60 meter level." says Guy Bedard, president.

Over 10 sub parallel structures oriented northeast and dipping at 800 have been mapped varying from 0.10m to 0.45m in width hosted by volcanoclastics rocks interlaced with bands of andesitic lavas. Known outcropping structures can be traced from 200 up to 1,000 meters in length. Part of the concession is covered with alluvial and colluvial material. Light to moderate oxidation zones are present superficially with an ensemble of hematite-limonite-jarosite-goethite where can be observed a milky massive silica matrix, calcite in small veins and sporadic massive pyrite. The oxidation goes to approximately 60 meters deep after which starts the sulphide zone. Current artisanal workings indicate the depth of the oxidation zone and clearly show many more large horizontal and vertical structures that do not outcrop. We believe that the mineralization is associated with a local granodioritic porphyric intrusion and the hydrothermal activity present in the area.

To acquire a 100% interest, Plexmar has to spend a total of $1M USD in exploration work over a five year period with $100,000 during the first year and $200,000 during the second and make payments totaling $1.6M over the same period with $300,000 during the first year of which $100k has already been made and $250,000 during the second year. A 1,7% NSR is also payable to the owner when commercial production is reached. Plexmar has a right of first refusal on the royalty.

This transaction is subject to approval from the TSX Venture Exchange and regulatory authorities.

This press release was prepared by Guy Bedard, P.Eng., Qualified Person as defined under NI 43-101 guidelines.

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

This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

168 M shares outstanding

Contact Information

  • Plexmar Resources Inc.
    Guy Bedard
    President
    418-658-6776 ext.107