Britannica Resources Corp.

Britannica Resources Corp.

September 28, 2005 09:30 ET

Britannica Resources Corp.: Acquisition Furtherance

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Sept. 28, 2005) - Britannica Resources Corp. ("the Company") (TSX VENTURE:BRR)(PINK SHEETS:BRRF) is pleased to announce further information on its proposed acquisition of the Minanca-Machala producing gold project, located within the Portovelo-Zaruma mining district of Oro province, Ecuador.

The Company has retained the services of Mario Falquez Andrade, Professional Engineer, to examine the technical aspects of the project. Mr. Falquez Andrade is a registered mining and metallurgical engineer (Mexico University 1975) and is affiliated with a number of professional associations including the Ecuadorian Society of Engineers, the Association of Mining, Metallurgical and Geological Engineers of Mexico, as well as the Mining Engineers Association of Ecuador.

Mr. Falquez Andrade has over 30 years of experience in mining engineering at numerous production projects. From December 1997 to March 2000 he was the project manager at the Minanca project which is presently under review by the Company. Mr. Falquez Andrade is, therefore, well acquainted with all technical aspects of the project.

Mr. Falquez Andrade has also authored numerous published articles in engineering journals and has served as Undersecretary of Mines for the government of Ecuador.

The Portovelo-Zaruma mining district has a reported historical gold production of over 4.5 million ounces. Gold is located within a series of base metal rich shear, stock work and vein structures, adjacent to and bordering on alteration zones and halos associated with a cluster of acidic porphyry intrusives.

The property, comprising 45 hectares (112.5 acres), is located on the North bank of the Amarillo River, located within the town of Portovelo. The property is easily accessible by all weather roads with power and experienced personnel located in the immediate area.

The project was in production until 1950 when Asarco terminated production due to low gold prices, when gold was valued at $35.00 an ounce. Asarco had completed over 14 levels of underground development and workings below the adit entrance.

In 2002 underground mining resumed on the upper two levels of the mine, with modest production presently at the rate of 25,000 grams per month.

In 2004 the property produced in excess of 200,000 grams from 58,000 tonnes from one easily accessible vein structure using inefficient mining methods. From the above, the present owners reported net revenue from mining in excess of $1 million U.S.

Management of the Company believes that the property may host significant potential based on the past production history when Asarco was the operator, and the fact that even using inefficient small scale mining techniques, the mine is able to produce at present.

The Company will be carrying out a comprehensive due diligence and technical examination of the project assets and its exploration potential.

For general information on the area under consideration the web sites listed below are informative.


Lee A. Balak, President

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

Contact Information

  • Britannica Resources Corp.
    Lee A. Balak
    (604) 662-3004, ext. 114
    (604) 662-3063 (FAX)