Calibre Mining Corp.

Calibre Mining Corp.

October 20, 2010 09:00 ET

Calibre Amends Borosi Option Agreement Securing 100% Interest in Advanced Gold-Silver Projects

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 20, 2010) - Calibre Mining Corporation (TSX VENTURE:CXB) ("Calibre" or the "Company") and B2Gold Corp. ("B2Gold") report that the area of interest covering the Borosi option agreement will be reduced from its existing 710 sq kilometres to 322 sq kilometres, covering highly prospective grass roots gold prospects in the Rosita and Eastern Epithermal Districts. As a result, Calibre has secured a 100% interest in the past producing La Luz Gold Mine and Rosita Copper-Gold Mine, the high grade gold and silver Riscos de Oro project, the newly discovered extension of the La Luna gold vein system, and the on-strike extensions of the Bonanza Group of Gold Mines. Concession areas that remain under the option agreement will be subject to B2Gold earning a 51% interest in by completing C$8 million in expenditures over an amended 5 year term. B2Gold may elect to carry an individual prospect within the amended concession area through to a Preliminary Economic Assessment for an additional 14% interest in the prospect. To date, C$2.9 million have been expended on the concessions in fulfilment of the year one option agreement obligations.

"B2Gold has been an excellent partner, providing valuable expertise and insight into our projects. We look forward to continuing our partnership on these highly prospective targets," stated Robert Brown, President and CEO of Calibre Mining Corporation. "By securing a 100% ownership interest in the advanced projects, Calibre will be able to advance and establish resources at the high grade gold and silver Riscos de Oro project, the La Luna gold project and the gold skarn system at the La Luz mine, while substantiating the Borosi Concessions as a significant gold camp."

Drilling during 2010 on Calibre's 100% owned Riscos de Oro Project confirmed multiple high grade gold and silver drill intercepts including: 4.23 g/t Au and 384.86 g/t Ag over 8.53 metres (DDH RD10-009); 9.04 g/t Au and 30.02 g/t Ag over 4.14 metres (DDH RD10-005); and 11.05 g/t Au and 72.30 g/t Ag over 2.3 metres (DDH RD10-003). Drilling during 2010 has tripled the known depth of mineralization to over 280 metres below surface and discovered an additional mineralized zone 250 metres to the northeast of previous mine workings. Drilling will resume on the high grade Riscos de Oro vein system in the first quarter of 2011.

Exploration during 2010 on Calibre's 100% owned La Luna Project outlined a 2,200 metre long low sulphidation gold vein system exposed at surface by trenching and confirmed at depth by drilling. Significant gold and silver mineralization exposed in the trenches including; 4.93 g/t Au and 191.80 g/t Ag over 3.2 metres in trench BTR10-011, were confirmed at depths of up to 150 metres below surface and highlighted by drill hole LL10-002 that intercepted 4.63 g/t Au and 39.75 g/t Ag over 9.00 metres at a depth of 75 metres below surface. The gold-silver vein system remains open on strike and at depth.

Historical drilling by the previous operator in 2007 and 2008 on Calibre's 100% owned past producing La Luz mine, outlined two noteworthy zones of gold mineralization; the footwall zone of Cerro Potosi gold skarn, and a structurally controlled, high grade gold zone at Cerro Aeropuerto. The Cerro Potosi zone is contained within the footwall sediment package of the past producing La Luz Mine, where historical records indicate that the mine produced 2.25 million ounces of gold (18.475 million tons grading 0.119 opt Au) from both open pit and underground reserves over a 56 year mine life. Highlights from the historical drill program at Cerro Potosi include: 2.5 g/t Au over 32 metres (CP-08-13); 4.18 g/t Au over 16.2 metres (CP-08-15); and 1.78 g/t Au over 15.00 metres (CP-08-18). Highlights from historical drilling on the Cerro Aeropuerto prospect, 500 metres to the south of Cerro Potosi, include 5.75 g/t Au over 24.00 metres (CA-07-01); 25.08 g/t Au over 2.00 metres and a second zone grading 16.4 g/t Au over 2.20 metres (CA-07-02). Calibre has completed a detailed compilation of the La Luz mine workings and past drilling in order to plan the next phase of drilling on the project.

Exploration on the Calibre-B2Gold Optioned Concessions is on-going with crews currently conducting regional field work on a new gold porphyry target in the Minnesota area, where porphyry style alteration and mineralization has been delineated over a 1.75 km by 1.25 km area, and on low sulphidation veins at the Santo Thomas, Primavera, and Fruta de Pan prospects where multiple artisanal miners are working on North East trending veins. Results from recent prospecting and rock sampling by Calibre have returned encouraging results (table 1) and will be followed up with soil sampling and trenching programs.

Table 1: Sample results from Calibre - B2Gold Optioned Concessions
Prospect Sample No. Gold (g/t Au) Silver (g/t Ag) Copper (% Cu)
Primavera B10R1371 14.5 7.8 1.33
Primavera B10R1372 33.5 13.8 2.41
Fruta de Pan B10R3159 7.5 9.7 -
Fruta de Pan B10R1362 24.5 54.9  
Santo Thomas B10R0274 5.3 - -
Santo Thomas B10R5038 8.4 6.3 -
Santo Thomas B10R5048 8.8 6.9  

The technical content in this news release was read and approved by Roger March, P.Geo., a professional geologist registered in the Province of Newfoundland & Labrador and a qualified person as defined by NI 43-101.

Calibre Mining Corp. is an aggressive, TSX Venture Exchange listed company (TSX VENTURE:CXB) that is focused on the acquisition, exploration and development of gold and copper deposits in Central America. Major shareholders of Calibre include gold producer Yamana Gold Inc. and investment fund Sun Valley Gold.

Calibre Mining Corp.

Robert D. Brown, B.Sc., MBA, President and CEO

Cautionary Note Regarding Forward Looking Statements

Safe Harbor Statement under the United States Private Securities Litigation Reform Act of 1995: Except for the statements of historical fact contained herein, the information presented constitutes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements including but not limited to those with respect to the price of gold, silver or copper, potential mineralization, reserve and resource determination, exploration results, and future plans and objectives of the Company involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Calibre Mining Corp. to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. There can be no assurance that such statements 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 statements.

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