Caerus Resource Corporation

Caerus Resource Corporation

May 04, 2011 11:05 ET

Caerus Resource Corporation: El Cafetal Parte Alto Adit Returns 24 Meters of 8.16 gpt Au

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 4, 2011) -Caerus Resource Corporation (TSX VENTURE:CA) ("The Company") is pleased to report the final results from an ongoing exploration program at the El Cafetal Gold Mine, located in Valparaiso District, Colombia. Work has included a surface Mobile Metallic Ion (SGS Laboratories Proprietary Process) sample program and a chip sample program within existing adits. Over fifty adits and prospects have been identified throughout the property. Gold-silver mineralization occurs within a zone of generally east-west striking, vertical to steeply dipping, sub-parallel sulfide veinlets. This zone has been identified as a "stockwork" zone, and has been the focus of exploration by the Company. Historic and present mining has focused on locations where the veinlets intersect and form higher grade zones. The intent of the program was to confirm the potential for dissemination outside of the higher grade zones.

The final results from the Parte Alta adit averaged 8.16 g/tonne Au over 24 meters of depth. The zone running from 5 to 11 meters from the portal averages 17.26 g/tonne Au. The Au assay values in the El Cafetal Parte Alta adit ranged from 1.02 g/tonne Au to 22.15 g/tonne Au. The Parte Alta adit lies within the 600 meter by 300 meter stockwork zone.

All sampling was done by contract geologists under the supervision of Paul Pelke, a Qualified Person. MMI samples were analyzed by SGS Laboratories in Lima, Peru, an ISO 9001 certified laboratory. Rock samples were fire assayed by Inspectorate America Laboratory in Reno, Nevada, an ISO 9001 certified laboratory.

All of the samples were channel samples across the back, including the vein, which according to the given results was about 10 cm wide. The rest of the channel, which in total length ranged from 0.50 meters to 1.47 meters in length, consisted of wall rock. Channels were cut at 1 meter intervals across the back. Every three channels were combined to form one sample for submittal to the assay laboratory. The average length of the channel samples was 0.84 meters.

In addition to the El Cafetal Parte Alta adit, five surface channel samples were taken from the Quebrada La Honda to the east of all of the adits from which results were previously reported. These channels were all 3 meters in length. They averaged 0.17 g/tonne Au, with a high value of 0.272 g/tonne Au and a low value of 0.025 g/tonne Au. These samples are from country rock, away from mineralization exposed in the adits.

Based upon results to date, Company personnel are now designing a drill program to test the mineralized zone at El Cafetal.

Mr. Paul A. Pelke, a registered geologist in the state of California and a Qualified Person as defined by NI 43-101 has reviewed the content of this press release.

On Behalf of the Board of Directors of Caerus Resource Corporation

Adrian F.C. Hobkirk, President and Chief Executive Officer

This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward looking statements. The reader is cautioned not to place undue reliance on forward-looking statements. The transaction described in this News Release is subject to a variety of conditions and risks which include but are not limited to: regulatory approval, shareholder approval, market conditions, legal due diligence for claim validity, financing, political risk, security risks at the property locations and other risks. As such, the reader is cautioned that there can be no guarantee that this transaction will complete as described in this News Release. We seek safe harbour.

The TSX Venture Exchange has not reviewed the content of this News Release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this News Release.

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