ECU Silver Mining Inc.

ECU Silver Mining Inc.

November 09, 2006 14:56 ET

ECU Purchases Second Mill

- Purchase of a second mill; - Pyrite circuit commissioning well under way; - Arrival of two additional drills purchased by ECU; - Contracted an additional two surface drills for a total of 6 onsite operating Drills;

TORREON, COAHUILA--(CCNMatthews - Nov. 9, 2006) - ECU Silver Mining Inc. (TSX VENTURE:ECU) 'the Company' is pleased to announce the purchase of a second mill located less then 100 meters away from the company's on-site lab enabling ECU the full use of the acquired mill without having to displace it from the current location. Furthermore, additional drills are to arrive on site shortly, and the Company's pyrite circuit is now at the commissioning stage.

Pyrite circuit and new mill

The Company's new pyrite circuit has been fully constructed and is now well into the commissioning stage. ECU's newly acquired mill which will operate at approximately eighty tonnes per day (80 TPD) will be initially used to complete the processing of the material that has been stored in inventory since May 2005 to recover and produce a gold-silver-pyrite concentrate.

After completing the processing of the available partially processed material, which as of June 30th, inventory figures contained approximately 15,000 ounces of gold and 180,000 ounces of silver, this newly acquired mill will be used for:

1) Large scale metallurgical testing, or

2) To increase the Company's overall milling capacity to 400 tpd including both mills.

The Company views this acquisition, along with the full utilization of the new pyrite circuit, as being a significant step to demonstrate the future potential revenue stream that can be expected from our current operations until the current economic studies to evaluate the possibilities of major mill expansions are finalized.

Two drills purchased have arrived in Mexico

The Company wishes to report that the two drills that were purchased in late summer from a Canadian manufacturing company have been built and sent to Mexico. The Company has been informed that they will be released from Mexican Customs this week and arrive at the mine the next day. In anticipation of the arrival of the new two drills, the Company, over the last few months, has prepared drilling stations and installed the electrical cable necessary for their immediate operations upon arrival. Both of the drills are expected to be fully operational by next week.

Further two drills contracted

Furthermore, the Company has contracted for an additional two surface drills, one of which has already arrived and the second which is expected to arrive shortly. These two new machines will be used to:

1) Test surface targets on our various properties;

2) Drill deeper holes in areas too difficult to reach from our extensive underground infrastructure;

3) Carry out definition drilling on portions of specific veins where the Company has already gathered solid data but additional drilling will be easier from surface.

With the arrival of the two drills purchased by the Company, along with the underground drill already on site, and with the two additional drills just contracted, ECU will be fully utilizing 5 drills over the next two weeks. In addition to these five drills, the company also has a 6th drill currently exploring the San Diego property. This will allow the Company to accelerate the drilling program significantly and further drills may be contracted as they become available.

Lastly, the Company is pleased to announce that the cross-cuts being driven on level 18 are progressing as expected and results are to be expected shortly.

Mr. Michel Roy, P. Geo., a "qualified person" within the meaning of NI 43-101, prepared the technical information disclosed in this news release.

ECU Silver Mining Inc is a junior Gold, Silver, Zinc and Lead producer in the prolific mining district of Velardena, Mexico where historically over 500,000 ounces of gold and 250,000,000 ounces of silver have been mined. Full scale production began in May 2005 at the Company's Santa Juana mine.

Statements in the release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially. We undertake no duty to update any forward-looking statement to conform the statements to actual results or changes in our expectations.

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

Contact Information

  • ECU Silver Mining Inc.
    Michel Roy
    President and Chief Executive Officer
    (416) 644-8640
    ECU Silver Mining Inc.
    Richard Buzbuzian
    Vice President
    (416) 644-8640
    (416) 644-8801 (FAX)