Ecometals Limited
TSX VENTURE : EML

Ecometals Limited

November 27, 2007 06:00 ET

Ecometals Reports Encouraging Drill Results for Condor Project, Provides Status Update on Rio Zarza Project

Favourable Condor Results Prompt 2,500 Metre Drilling Extension

TORONTO, ONTARIO--(Marketwire - Nov. 27, 2007) - Ecometals Limited (TSX VENTURE:EML) -

Ecometals Limited (formerly Goldmarca Limited) is pleased to announce results of the diamond drilling program on the Condor Epithermal Gold Project and the status of the Rio Zarza Gold Project, both in Ecuador.

Condor Project

The Condor Epithermal Gold Project is located in the Zamora-Chinchepe Province of southern Ecuador, near the Peruvian border. The Condor gold deposit is hosted in Jurassic intrusive and volcanic rocks within a continental magmatic arc. Epithermal type gold and base metal mineralization is localized in intrusive, phreatomagmatic, hydrothermal and tectonic breccias within the Condor Breccia Complex, which comprises felsic intrusive and related fragmental textured lithologies.

The diamond drilling program at Condor aims to build mineral resources in the Los Cuyes and Soledad sectors using a bulk tonnage, low grade geologic model. The program is designed to upgrade the mineral resource to indicated and inferred categories in the Los Cuyes sector, and define and expand upon the geological boundaries of the Soledad sector. An updated independent mineral resource estimation is planned for the first quarter of 2008.

From August to November, 7,554.6 metres of drilling in 21 holes has been completed, with analytical results from approximately half of the core sampling received. The quality control protocols use industry-standard control samples including blanks, internationally Certified Reference Material (CRM) and duplicates. Samples are analyzed at Acme Analytical Assay Laboratory in Vancouver for gold and silver using Fire Assay/ICP and copper, lead and zinc analysed by AAS methods.

Gold and base metal mineralization and associated alteration is zoned within the Condor complex, reflecting variations in the temperature of the mineralizing hydrothermal fluids. Initial analytical results are encouraging, and confirm the consistency of the disseminated, network veinlet and replacement style of epithermal mineralization.

Some of the new drill holes in both the Los Cuyes and Soledad sectors have intersected higher grade mineralization over longer intervals than has been previously encountered in this area.

Exploration Drilling Results For Condor Project



Los Cuyes Sector

--------------------------------------------------------------------
ELEV DEPTH AZIMUTH DIP From To
HoleID (m) (m) (degrees) (degrees) (m) (m)
--------------------------------------------------------------------
DCU-27 1470.14 480.20 233 -80 0.00 480.20
769251.11E ---------------
9552679.12N 0.00 128.00
---------------
18.00 22.00
---------------
94.00 128.00
---------------
262.00 306.00
---------------
396.00 406.00
---------------
440.00 448.00
--------------------------------------------------------------------
DCU-31 1374.03 601.00 53 -60 68.00 596.00
769081.02E ---------------
9552543.24N 218.00 276.00
---------------
252.00 254.00
---------------
322.00 340.00
---------------
430.00 568.00
---------------
435.00 446.00
---------------
486.00 496.00
--------------------------------------------------------------------
DCU-32 1366.87 469.65 53 -55 12.00 40.00
769011.17E ---------------
9552572.18N 146.00 469.65
---------------
178.00 352.00
---------------
282.00 292.00
---------------
384.00 469.65
--------------------------------------------------------------------

--------------------------------------------------------------------
Intercept Au Ag Cu Pb Zn
HoleID (m) (g/t) (g/t) (%) (%) (%)
--------------------------------------------------------------------
DCU-27 480.20 1.54 6.18 0.02 0.03 0.18
769251.11E ------------------------------------------------------
9552679.12N 128.00 3.51 6.28 0.01 0.04 0.13
------------------------------------------------------
4.00 69.54 47.00 0.02 0.28 0.50
------------------------------------------------------
34.00 3.37 6.00 0.01 0.04 0.04
------------------------------------------------------
44.00 2.25 16.39 0.04 0.03 0.04
------------------------------------------------------
10.00 2.26 6.70 0.02 0.01 0.75
------------------------------------------------------
8.00 2.36 13.25 0.04 0.01 0.51
--------------------------------------------------------------------
DCU-31 528.00 0.65 5.11 0.02 0.03 0.16
769081.02E ------------------------------------------------------
9552543.24N 58.00 1.23 4.53 0.01 0.01 0.14
------------------------------------------------------
2.00 8.67 13.00 0.03 0.04 0.13
------------------------------------------------------
18.00 1.07 3.44 0.01 0.00 0.65
------------------------------------------------------
138.00 1.02 6.52 0.03 0.02 0.08
------------------------------------------------------
11.00 1.54 6.55 0.01 0.02 0.01
------------------------------------------------------
10.00 2.35 10.80 0.06 0.02 0.08
--------------------------------------------------------------------
DCU-32 28.00 0.39 13.54 0.00 0.20 0.25
769011.17E ------------------------------------------------------
9552572.18N 323.65 0.90 8.14 0.02 0.02 0.43
------------------------------------------------------
174.00 1.02 9.42 0.03 0.02 0.44
------------------------------------------------------
10.00 2.17 9.20 0.04 0.01 0.47
------------------------------------------------------
85.65 1.18 8.07 0.03 0.02 0.34
--------------------------------------------------------------------


Soledad Sector

--------------------------------------------------------------------
ELEV DEPTH AZIMUTH DIP From To
HoleID (m) (m) (degrees) (degrees) (m) (m)
--------------------------------------------------------------------
DSO-21 1355.00 430.50 92 -55 0.00 412.00
769219.01E ---------------
9551573.96N 250.00 380.00
---------------
294.00 310.00
---------------
318.00 332.00
--------------------------------------------------------------------

--------------------------------------------------------------------
Intercept Au Ag Cu Pb Zn
HoleID (m) (g/t) (g/t) (%) (%) (%)
--------------------------------------------------------------------
DSO-21 412.00 0.56 7.43 0.02 0.05 0.46
769219.01E ------------------------------------------------------
9551573.96N 130.00 1.13 8.76 0.01 0.10 0.69
------------------------------------------------------
16.00 1.67 7.88 0.02 0.11 1.10
------------------------------------------------------
14.00 2.28 6.71 0.02 0.07 1.21
--------------------------------------------------------------------
Drill hole coordinates UTMZ17S/PSAD56 datum


Cautionary Note: Analytical results reported herein should be considered in the context of the geological model currently being constructed for the new resource estimation.

"As a result of the encouraging results returned from this recent work, and the better understanding of the geological controls on mineralization, the diamond drilling program at the Condor Project will be extended an additional 2,500 metres," said Fran Scola, Chief Executive Officer of Ecometals.

The additional drilling will complete the information necessary for the resource estimation, and will test higher grade parts of the Condor Complex. In particular, the extension of the high grade Chinapintza veins through the complex to connect the isolated mineral occurrences at Reina del Cisne, Luna and Enma will be tested. In historical drilling, the Chinapintza veins have returned assay values from grab samples of more than 60 grams per tonne gold and 900 grams per tonne silver.

Previous metallurgical studies on mineralization from the San Jose occurrence (part of Soledad Sector) indicate free gold accounts for more than 53% of the total gold in the tested material, with column leach test extractions of 65% to 79% gold depending on the crushed size of the material. These results indicate the mineralized material from the Condor deposit is amenable to crushing and simple leach extraction of gold without flotation. More extensive metallurgical testing of representative types of mineralization and crushed size fractions are planned for the first quarter of 2008.

Rio Zarza Project

The Rio Zarza Gold Project is located in the same lithostructural domain as Condor, but is at a higher erosional level and is partly overlain by Cretaceous sediments. The Rio Zarza Project is located approximately 700 metres west of the Fruta del Norte discovery by Aurelian Resources Inc. Fruta del Norte is an epithermal type deposit with a reported world class inferred resource of 13.7 million ounces of gold and 22.4 million ounces of silver.

Preliminary exploration work on the Rio Zarza project included geological mapping, multi-element soil geochemistry and geophysics. Gold in soil anomalies are mostly transported reflecting the alluvial material in the fossil and present-day Rio Zarza and Machinaza river drainage. Although the alluvial gold is considered locally derived, other elements are more diagnostic for in situ epithermal type mineralization. Significant antimony and arsenic anomalies have been defined, which merit further investigation.

IP/Resistivity surveys have located several anomalies with a characteristic signature typical of epithermal type mineralization. The geophysical response suggests subvertical silicified zones with sulphide mineralization.

The process of environmental permitting of the exploration work is under way, with the field studies completed, community presentation and consultation in the impact area complete, and the Terms of Reference for the Environmental Impact Assessment (EIA) submitted to Direccion Nacional de Mineria (DINAMI) for approval. The next stage of the process is another round of public consultation and approval of the revised EIA, which addresses community concerns.

Diamond drilling significant geochemical and geophysical anomalies will start immediately on approval of the EIA study, which is anticipated in the second quarter of 2008.

The corporate philosophy of Ecometals strongly emphasizes protection of the natural and human environment of the areas in which the company works. To reduce the environmental impact of diamond drilling, Ecometals is using a Hydracore man-portable drill rig that eliminates the need for construction of access roads in many areas. Ecometals also supports communities in the direct impact area surrounding the Condor and Rio Zarza projects for education, health and infrastructure projects.

Qualified Person

Steven R. McMullan, P.Geo, Vice President of Exploration for Ecometals Limited, is a Qualified Person as defined by National Instrument 43-101 and has supervised the preparation of the technical information and verified the data reported in this news release. Mr. McMullan has reviewed and approved this news release for public disclosure.

About Ecometals

Ecometals Limited is a Canadian-listed mineral exploration and development company focused on mineral resources in Latin America. Ecometals also holds 44.4% of Atomaer Holdings Pty Ltd., a private Australian holding company.

Safe Harbor Statement: Statements contained in this release that are not historical facts are forward-looking statements which involve risk and uncertainties, which could cause actual results to differ materially from those expressed in forward-looking statements.

These include risks relating to changes in economic or environmental conditions and the company's ability to execute its business model and strategic plans. The company relies on litigation protection for forward-looking statements.

Contact Information