Valencia Ventures Inc.
TSX VENTURE : VVI

Valencia Ventures Inc.

October 01, 2007 17:05 ET

Valencia Locates New High Grade Silver Mineralization on Blue Heaven and Strong Airborne EM Target at QB, Rancheria Silver Project

Trench Results Include 7.90m @ 769.5g/t and 3.70m @ 778g/t Silver

TORONTO, ONTARIO--(Marketwire - Oct. 1, 2007) - Valencia Ventures Inc. (TSX VENTURE:VVI) is pleased to announce that initial results received for the 2007 exploration program on the Rancheria Silver Project in the southern Yukon have identified a new zone of high grade silver mineralization in the Don Zone, on the Blue Heaven property. Further, a strong airborne EM anomaly has been located at the QB property.

Excavator trenching (1535m in 25 trenches) completed in the Hall and Don Zones at Blue Heaven has exposed multiple altered and mineralized structures, with the most significant mineralized zones as follows (see Table 1 for complete results):



Hall Zone - TR-06-05
- 11.20m @ 555.20g/t silver
- 7.90m @ 769.5 g/t silver
- Including 1.70m @ 3050g/t silver

Don Zone - TR-07-31
- 3.70m @ 778g/t silver
- Including 0.65m @ 4350g/t silver


These targets have been tested by six (6) diamond drill holes (total 605m); drill assay results are expected later this month.

Doug Currie, Valencia's Executive Vice-President, Exploration & Development, commented, "Results of trenching at the Hall and Don Zones indicate there is good potential to define zones of United Keno Hill style, structurally controlled, very high grade silver mineralization at both these targets that are potentially open along strike and at depth." He added, "The VTEM anomaly at the QB property is very interesting because of its intensity and we anxiously await both the detailed geophysical interpretation and the results of recent soil geochemical sampling across the gossanous soil zone which our geologists have found in the field associated with the geophysical anomaly."

The Blue Heaven Property hosts 16 zones of anomalous and significantly mineralized high grade silver veins, zones of silver-lead-zinc Carbonate Replacement Mineralization (CRM) and tungsten +/- copper skarn mineralization. Historically anomalous zones have been identified by stream and soil geochemistry and shallow auger drilling. (See Press Release dated April 11, 2006 for a summary of historical work).

The Hall and Don Zones coincide with strong east to northeast trending linears that were deep auger tested in 2002, the samples from which were analysed in 2006 (Figure 1). Fracturing and strong alteration with massive galena was discovered in excavator trenches completed within the Hall Zone on the Blue Heaven Property in 2006 (Figure 1). Significant silver mineralization was encountered in six of seven closely spaced trenches over a strike length of approximately 75m (See Press Release November 20, 2006). The best result was 10.45m @ 492.9g/t silver, 1.30% lead in TR-06-05.

Sixteen excavator trenches were cut across the Hall Zone and nine trenches were excavated in the vicinity of a 7.4g/t auger drill sample, now referred to as the Don Zone, in 2007.

Re-sampling of the silver rich mineralized zone in 2006 trench TR-06-05 in the Hall Zone returned a similar weighted average grade of 555.19g/t silver and 0.59% lead across 11.20m (Table 1). The zone is hosted in granodiorite and consists of moderate to strongly bleached, rusty and manganiferous clay altered fractures with localized areas of moderate and strong silicification. One other trench excavated during the 2007 program, TR-07-03, 65m west of TR-06-05 returned 17.4g/t Ag and 0.11% Pb across 18.00m.

Diamond drilling (4 holes, BH-07-01 to BH-07-04) was completed in 2007 to test a 180m section of the projected Hall Zone mineralized zone. Encouraging alteration and narrow intervals of semi-massive galena were intersected; results of the diamond drilling are pending.

At the Don Zone, trenching beneath 4.7 and 7.4 g/t Ag silver auger drillhole anomalies exposed a 12cm massive galena bearing vein with minor amounts of tetrahedrite and chalcopyrite and moderate galena, sphalerite and pyrite in the selvages to the vein (Figure 2). Two additional veins occur within 3m either side of this exposure. There is widespread moderate to intense fracturing and intermittent manganese staining. The massive galena vein appears to be lensy and can only be traced for about 10m along strike; however, the structure continues.

Two trenches across the vein structure, TR-07-31 and TR-07-33, returned elevated silver and lead responses (Table 1). Chip samples across the massive galena rich vein returned the most significant values of 778g/t silver and 0.76% lead over 3.70m in TR-07-31.

Two drillholes, DDH-BH-07-05 and -06, spaced 25m apart were drilled to test the vein at a depth of 25m. Neither drillhole encountered massive galena but quartz-bearing structures were observed at the anticipated piercement points. Assay results are not available for these drill holes.

High grade silver mineralization on the Blue Heaven prospects is interpreted to be structurally controlled, not unlike the high grade shoots which were mined at the United Keno Hill Silver Mine (historical production approximately 239 million ounces silver). The dominant mineralized vein zones strike northeasterly and dip moderately to the northwest; however, the structural fabric observed within the discovery trenches excavated in 2007 is steeply either to the northwest or southeast. At Keno Hill the high grade shoots were developed where the structures intersected.

The Blue Heaven property is well located, with access to the property via a 40 kilometer all weather access road, 132 kilometers west on the Alaska highway from the community of Watson Lake.

A 180km VTEM airborne geophysical survey has been completed on the QB East (Area A) prospect where historical work has outlined a moderate to strong soil geochemistry anomaly over 1500m long by 600m wide and sulphide rich boulders sampled from glacial till in 1997 averaged 143.9 g/t Ag, 9.10 % Pb and 9.98% Zn. Two additional samples located 600 and 900 m southwest of the massive sulphide sites yielded up to 778 g/t Ag and 22% Pb-Zn combined. Previous drilling has returned encouraging results, including 107.5g/t Ag, 8.43% Pb and 13.5% Zn but the character and distribution of this mineralization does not explain the float boulders (See Press Release dated April 11, 2006 for a summary of historical work).

The exploration target at QB is massive sulphide and fracture style mineralization believed to be associated with Carbonate Replacement Mineralization. This style of mineralization commonly has metal contents ranging from 2-12% lead, 2-18% zinc, 60-600g/t silver and trace to 6g/t gold; examples of this style of deposit in a similar geological setting the Yukon include the Logan Deposit (zinc-silver) about 20km to the northeast and the Sa Dena Hes Mine (zinc-lead-silver) about 110km to the east.

Follow-up work at QB East in 2006 focused on hand pitting across previously identified but unexplored ground magnetic and VLF anomalies, hand trenching in the vicinity of silver-rich float discovered at the southwestern end of the target area, re-sampling of select massive sulphide material from the 1997 discovery site and prospecting southwest (up ice) from the massive sulphide locales.

Several pieces of new mineralization were located in the vicinity of the southwestern hand trenches including limonitic cobbles containing remnant massive pyrite and sphalerite (see Press Release dated July 3, 2007).

In order to locate the source of these very anomalous, silver-lead-zinc rich boulders a helicopter borne VTEM geophysical survey was completed as part of the 2007 program. Preliminary survey maps illustrate a very interesting series of sharp anomalies in the southeastern part of the grid, roughly 1 to 1.5km southeast of the main geochemical anomaly and historical 1998 drill area (Figure 3). Further data reduction and interpretation is required by Geotech Ltd; however, the data suggests that the conductor intensity is increasing in strength at depth.

No trenching, drilling or prospecting has historically been completed in this area. Cursory inspection of the anomaly has located a "kill" zone (an area devoid of vegetation possibly due to anomalous mineral content) roughly 30m by 10m in size containing a number of gossanous boulders comprising ferricrete breccia, limonitic fragments and limonitic siderite with remnant massive fine grained pyrite. Three soil sample lines have been run across the anomaly and much of the soil collected was gossanous. Results of this sampling have not been received.

Rancheria Silver Project

The Rancheria Silver Project is located approximately 300km east of Whitehorse in a 130km long by 50km wide belt that straddles the Yukon and British Columbia border (Figure 1). Valencia's seven properties collectively comprise 350 mineral claims and tenures for a total land position of about 9,200 hectares. Historical exploration has demonstrated that silver mineralization occurs within the Rancheria projects in both high grade vein and Carbonate Replacement (CRM) style settings similar to those found within productive silver camps elsewhere in the Cordillera of Canada, United States and Mexico.

Valencia has an option to earn up to 100% in the Rancheria Silver Project from Prye Company AB, subject to an existing agreement with Strategic Metals Ltd (See Valencia Press Release dated April 11, 2006 for full terms of the agreement).

Valencia is a Canadian resource company traded under the symbol VVI on the TSX Venture Exchange. Valencia's development strategy is focused on the exploration and development of silver and gold properties, including the Cachinal Silver-Gold Project in Chile and the Rancheria Silver Project in the Yukon Territory and British Columbia, Canada. With a focus on silver and gold exploration in the Americas, the Company also has a number of property acquisitions under consideration.

Regulatory Footnotes:

Mr. Douglas A. Currie, MAusIMM, Valencia's Executive Vice President-Exploration & Development, is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and is responsible for reviewing the technical disclosure in this press release.

Historical results referenced above have been extracted from a NI 43-101 Technical Report on the properties dated April 2006 prepared for Valencia Ventures Inc by William A. Wengzynowski, P. Eng., President of Archer, Cathro & Associates (1981) Limited, which has been filed with the TSX-V and filed on SEDAR April 25, 2006 (See Valencia Press Release dated April 11, 2006). The 2007 exploration program for the Rancheria Silver Project was carried out under the supervision of Mr. Wengzynowski, a Qualified Person under National Instrument 43-101, who has reviewed this information and has provided his consent for its release.

Samples were transported by Archer Cathro senior personnel to Whitehorse where they were shipped by surface freight to ALS Chemex in North Vancouver. ALS Chemex is recognized as an ISO 9000 registered laboratory. The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101.

This press release contains "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information includes, but is not limited to, statements regarding exploration prospects, the identification of mineral resources, costs of and capital for exploration projects, exploration expenditures and timing of future exploration and the costs and timing of additional exploration activities on the property. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters, future prices of mineral prices; and risks of the mining industry. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.



TABLE 1
Excavator Trench Results
Blue Heaven Property

Hall Zone Tr-06-05
-----------------------------------------------------------------------
From (m) To (m) Interval (m) Ag (g/t) Pb %
-----------------------------------------------------------------------
2006 samples 10.45 492.9
-----------------------------------------------------------------------

-----------------------------------------------------------------------
2007 samples
-----------------------------------------------------------------------

-----------------------------------------------------------------------
7.00 7.50 0.50 9.5 0.03
-----------------------------------------------------------------------
17.75 18.25 0.50 33.6 0.08
-----------------------------------------------------------------------

-----------------------------------------------------------------------
23.10 34.30 11.20 555.2 0.54
-----------------------------------------------------------------------
including
-----------------------------------------------------------------------
23.10 31.00 7.90 769.5 0.74
-----------------------------------------------------------------------
23.30 25.00 1.70 3050 1.40
-----------------------------------------------------------------------

Hall Zone Tr-07-03
-----------------------------------------------------------------------
From (m) To (m) Interval (m) Ag (g/t) Pb %
-----------------------------------------------------------------------

-----------------------------------------------------------------------
80.00 98.00 18.00 17.4 0.11
-----------------------------------------------------------------------
including
-----------------------------------------------------------------------
80.00 83.00 3.00 30.3 0.12
-----------------------------------------------------------------------
83.00 86.00 3.00 25.9 0.17
-----------------------------------------------------------------------

Don Zone Tr-07-31
-----------------------------------------------------------------------
From (m) To (m) Interval (m) Ag (g/t) Pb %
-----------------------------------------------------------------------

-----------------------------------------------------------------------
6.00 9.00 3.00 19.3 0.03
-----------------------------------------------------------------------
17.00 18.75 1.75 13.4 0.02
-----------------------------------------------------------------------

-----------------------------------------------------------------------
20.60 24.30 3.70 778 0.76
-----------------------------------------------------------------------
including
-----------------------------------------------------------------------
20.60 21.25 0.65 4350 3.97
-----------------------------------------------------------------------

Don Zone Tr-07-33
-----------------------------------------------------------------------
From (m) To (m) Interval (m) Ag (g/t) Pb %
-----------------------------------------------------------------------

-----------------------------------------------------------------------
13.50 14.00 0.50 8.7 0.02
-----------------------------------------------------------------------
41.75 43.25 1.50 10.0 0.12
-----------------------------------------------------------------------
61.00 62.00 1.00 14.1 0.04
-----------------------------------------------------------------------
73.50 74.25 0.75 10.1 0.12
-----------------------------------------------------------------------
82.75 85.25 2.50 16.5 0.02
-----------------------------------------------------------------------

Mineralised widths reported in the above table are sample widths; actual
true widths of mineralised zones are unknown and will only be determined
with drilling to establish the geometry of the mineralised structure.


To view the Rancheria Silver Project map, Figure 1; please visit the following link: http://www.ccnmatthews.com/docs/val1001fig1.pdf

To view the Rancheria Silver Project map, Figure 2; please visit the following link: http://www.ccnmatthews.com/docs/val1001fig2.pdf

To view the Rancheria Silver Project map, Figure 3; please visit the following link: http://www.ccnmatthews.com/docs/val1001fig3.pdf

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