Arian Silver Corporation
TSX VENTURE : AGQ
LSE : AGQ

Arian Silver Corporation

December 05, 2006 09:30 ET

Arian Silver Corporation: Drilling Starts at Calicanto as Further Encouraging Results are Released From Underground Sampling

LONDON, UNITED KINGDOM--(CCNMatthews - Dec. 05, 2006) - Arian Silver Corporation ("Arian" or the "Company") (TSX VENTURE:AGQ)(AIM:AGQ)("PLUS": AGQ)(Frankfurt: I3A) announced today further encouraging results from underground sampling of the Calicanto vein system. Two diamond drill-rigs will be moved to the property immediately and drilling activity is expected to take place over the next 6 weeks at Calicanto, Zacatecas, Mexico.

Two ramps are currently being advanced along the Calicanto and San Buenaventura structures. They are approximately 4 metres wide and 4 metres high, and extend over 90 metres in total. Table 1 below summarizes the advancing face sample data from the Calicanto ramp.

The Calicanto ramp is being advanced along the Calicanto vein system towards the projected intersection of the Calicanto and San Buenaventura veins systems. Arian believes that the areas of vein intersection represent excellent targets to discover further bonanza grade silver mineralization.

The Phase 1 drill program consists of 19 diamond drill-holes for a total of 3,000 metres.

Arian's Chief Executive Officer, Jim Williams, stated, "We are getting consistently good grades as we advance along the Calicanto structure. Composite grades on the Calicanto structure are up to 400 grammes per tonne silver over widths up to 5.5 metres. We are extremely content with these results and are very excited to start our first phase of drilling on our Calicanto group of properties. Indications so far from underground sampling and mapping on the Calicanto vein system point to good potential for a wide, high-grade silver vein deposit, which may be amenable to underground bulk mechanised mining methods.

In addition we have expanded the drilling programme to cover El Misie as surface geological mapping of the El Misie system identified at least four parallel iron oxide-quartz veins which appear to have a strike length of at least 700 metres. With 3,000 metres of drilling planned, we aim to delineate a significant NI 43-101 compliant resource on the property in the near future."

The drill holes will target a number of areas identified by both surface and underground geological mapping and sampling, and will test for the down-dip, and along-strike vein extensions.

To date, Arian has identified 3 priority high grade vein systems (Calicanto, San Buenaventura and El Misie) that range from 420 to 800 metres strike-length on the property. The Company has completed substantial surface and underground mapping and sampling over these veins in advance of its drilling programme in order to develop its first National Instrument (NI) 43-101 compliant resource in 2007.

The Calicanto group of properties (Calicanto, Vicochea, Vicochea II and Misie) is partly contiguous with the Cozamin property where Capstone Mining Corp. is operating a 1,000 tonne per day underground mining operation.

Additional information with respect to the Calicanto property is contained in a technical report prepared by A.C.A. Howe International Limited, dated March 20, 2006, and entitled "Technical Report on the Calicanto and San Celso Projects, Zacatecas, Mexico".

Mr. Jim Williams, Eur Ing, Eur Geol, MSc, DIC, FIMMM, CEng, CGeol, and Chief Executive Officer of Arian, is a "Competent Person" as defined in the AIM guidelines of the London Stock Exchange, and a "Qualified Person" as defined in the Canadian Securities Administrators National Instrument 43-101. This press release has been prepared under Mr. Williams' supervision. Mr Williams has verified the data disclosed by this release (including sampling, analytical and test data underlying the information).

Table 1: Composite face sample results from the Calicanto ramp



---------------------------------------------------------------------------
ASSAY TAG INTERVAL
NUMBER LENGTH (m) Au (g/t) Ag (g/t) Ag (oz/t)
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38154 1.2 10.90 10,653 310.58
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38159 1.7 1.92 1,720 50.15
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---------------------------------------------------------------------------
38161 1 0.47 200 5.83
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38162 1 0.23 61 1.78
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38163 1 1.69 754 21.98
---------------------------------------------------------------------------
Composite 1 3 0.79 338 9.86
---------------------------------------------------------------------------

---------------------------------------------------------------------------
38164 1 0.17 112 3.27
---------------------------------------------------------------------------
38165 1 0.59 142 4.14
---------------------------------------------------------------------------
38166 1 1.55 81 2.36
---------------------------------------------------------------------------
Composite 2 3 0.77 112 3.26
---------------------------------------------------------------------------

---------------------------------------------------------------------------
38167 1.2 1.48 427 12.45
---------------------------------------------------------------------------
38168 1 0.17 10 0.30
---------------------------------------------------------------------------
38169 1 0.14 7 0.20
---------------------------------------------------------------------------
38170 1 2.13 866 25.25
---------------------------------------------------------------------------
Composite 3 4.2 1.01 332 9.69
---------------------------------------------------------------------------

---------------------------------------------------------------------------
38171 0.6 0.10 179 5.22
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38172 0.6 7.31 2,100 61.22
---------------------------------------------------------------------------
38173 0.8 0.33 30 0.87
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38174 1 0.05 12 0.35
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38175 0.95 0.01 15 0.42
---------------------------------------------------------------------------
38177 0.8 1.22 794 23.15
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38178 0.5 0.72 52 1.52
---------------------------------------------------------------------------
Composite 4 5.25 1.16 396 11.54
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---------------------------------------------------------------------------
38179 0.8 1.30 117 3.41
---------------------------------------------------------------------------
38180 1 0.04 6 0.16
---------------------------------------------------------------------------
38181 1 0.02 7 0.20
---------------------------------------------------------------------------
38182 1 4.00 1,375 40.09
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38183 0.8 0.28 17 0.48
---------------------------------------------------------------------------
Composite 5 4.6 1.16 325 9.47
---------------------------------------------------------------------------

---------------------------------------------------------------------------
38184 1 0.54 97 2.83
---------------------------------------------------------------------------
38185 1 0.06 49 1.43
---------------------------------------------------------------------------
38186 1 0.04 7 0.21
---------------------------------------------------------------------------
38187 1 0.48 14 0.41
---------------------------------------------------------------------------
38188 1.4 0.37 51 1.49
---------------------------------------------------------------------------
Composite 6 5.4 0.30 44 1.29
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---------------------------------------------------------------------------
38190 1.6 1.10 887 25.86
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38191 1 0.93 452 13.18
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Composite 7 2.6 1.03 720 20.98
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---------------------------------------------------------------------------
38192 1.1 0.18 26 0.77
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38193 0.5 0.04 9 0.27
---------------------------------------------------------------------------
38194 1 0.03 35 1.01
---------------------------------------------------------------------------
38195 0.5 0.48 71 2.06
---------------------------------------------------------------------------
38196 0.7 0.11 52 1.51
---------------------------------------------------------------------------
Composite 8 3.8 0.15 37 1.08
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---------------------------------------------------------------------------
1015 0.45 0.50 180 5.25
---------------------------------------------------------------------------
1016 0.65 0.50 45 1.30
---------------------------------------------------------------------------
1017 0.95 0.42 162 4.72
---------------------------------------------------------------------------
1018 1 0.43 51 1.50
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1019 0.7 0.51 69 2.02
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1020 0.4 0.38 31 0.89
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1021 1.2 0.41 17 0.49
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1022 1.3 0.02 10 0.29
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Composite 9 6.65 0.36 61 1.79
---------------------------------------------------------------------------

---------------------------------------------------------------------------
230905 0.9 4.15 1,440 41.98
---------------------------------------------------------------------------
230906 1.2 0.13 111 3.24
---------------------------------------------------------------------------
230907 1.3 0.11 101 2.94
---------------------------------------------------------------------------
230908 0.8 0.06 46 1.33
---------------------------------------------------------------------------
230909 0.5 0.19 72 2.11
---------------------------------------------------------------------------
Composite 10 4.7 0.89 347 10.13
---------------------------------------------------------------------------

---------------------------------------------------------------------------
230911 0.65 1.41 46 1.34
---------------------------------------------------------------------------
230917 0.6 0.08 25 0.73
---------------------------------------------------------------------------
230918 0.45 0.28 90 2.61
---------------------------------------------------------------------------
230919 0.5 6.43 1,735 50.58
---------------------------------------------------------------------------
230920 0.8 0.21 247 7.20
---------------------------------------------------------------------------
Composite 11 3 1.49 383 11.18
---------------------------------------------------------------------------

---------------------------------------------------------------------------
230921 0.7 0.01 15 0.44
---------------------------------------------------------------------------
230922 0.9 0.02 48 1.39
---------------------------------------------------------------------------
230923 0.45 0.04 70 2.05
---------------------------------------------------------------------------
230924 0.5 0.17 142 4.14
---------------------------------------------------------------------------
230925 0.7 0.02 21 0.62
---------------------------------------------------------------------------
230926 0.6 0.19 11 0.32
---------------------------------------------------------------------------
Composite 12 3.85 0.07 46 1.34
---------------------------------------------------------------------------

---------------------------------------------------------------------------
230942 1.6 0.57 661 19.27
---------------------------------------------------------------------------
230943 1.2 0.11 6 0.18
---------------------------------------------------------------------------
230944 1.1 0.26 11 0.33
---------------------------------------------------------------------------
230945 0.8 0.01 6 0.17
---------------------------------------------------------------------------
230946 1 0.42 249 7.26
---------------------------------------------------------------------------
Composite 13 5.7 0.31 234 6.81
---------------------------------------------------------------------------


Chip-channel samples are taken weekly as the ramp advances, typically at 2 to 3 metre spacing, across the face of the ramp to gauge the grade, and thickness of the Calicanto vein and to identify additional vein splays and mineralized zones.

All technical information for the Calicanto property is obtained and reported under a formal quality assurance and quality control (QA/QC) program. Samples of 5 kilogrammes are submitted to ALS Chemex preparation laboratory in Guadalajara, Mexico, for drying, crushing and pulverizing. ALS Chemex, Guadalajara then sends the sample pulps by air-freight to ALS Chemex laboratory in Vancouver, British Columbia, for analysis. Systematic assaying of duplicates is performed for precision and accuracy; check assays are regularly conducted by ALS Chemex. High-grade (greater than 750 g/t Ag) intervals are re-sampled and sent to ALS Chemex preparation facility in Guadalajara with sample pulps shipped to the ALS Chemex laboratory in Vancouver for analysis. The ALS Chemex laboratories are independent of Arian.

The samples were analysed for 32 elements by ICP (inductively coupled plasma) preceded by an aqua regia digestion. Gold was analysed by fire assay with an atomic absorption finish.

Arian Silver Corporation is a silver exploration company listed on London's AIM and "PLUS", on Toronto's TSX Venture Exchange and on the Frankfurt Stock Exchange. Arian is active in Mexico, the world's largest silver producing country. The Company's current main projects are the Calicanto and San Celso projects in Zacatecas state, and the recently acquired Tepal project in Michoac n State. Part of Arian's forward-looking strategy lies in the envisaged use of large scale mechanised mining techniques over wider mineralised structures, which reduces the overall operating cost per ounce of silver, and to build up NI 43-101 compliant resources.

Arian was founded by Jim Williams and Chairman Tony Williams, who together have over 50 years experience in exploration, project construction and mining worldwide. Arian is supported by the Dragon Group in London, and the Endeavour Group in Canada.

Further information can be found by visiting Arian's website: www.ariansilver.com or the Company's publicly available records at www.sedar.com.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained in this release.

Forward-Looking Statements

This press release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding exploration results, potential mineralization and resources, and the Company's exploration and development plans and objectives) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, uncertainties relating to the availability and costs of financing needed in the future, changes in commodity prices, changes in equity markets, political developments in Mexico, changes to regulations affecting the Company's activities, delays in obtaining or failures to obtain required regulatory approvals, the uncertainties involved in interpreting exploration results and other geological data, and the other risks involved in the mineral exploration and development industry. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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

Contact Information

  • In London:
    Jim Williams / Alexandra Harrison,
    Arian Silver Corporation
    +44 (0)20 7529 7511
    or
    Tim Blackstone,
    Britton Financial PR
    +44 (0) 20 7251 2544
    or
    Mike Jones / Ryan Gaffney,
    Canaccord Adams Limited
    +44 (0)20 7050 6500
    or
    In Vancouver:
    Investor Relations,
    Vanguard Shareholder Solutions
    +1 (604) 608 0824
    Toll free: 1866 898 0825