La Mancha Resources Inc.
TSX : LMA

La Mancha Resources Inc.

May 26, 2009 09:28 ET

La Mancha Confirms the Presence of a Second Enriched Zone At the Hassai Property

MONTREAL, QUEBEC--(Marketwire - May 26, 2009) - La Mancha Resources Inc. (TSX:LMA)

HIGHLIGHTS:

- Follow-up drilling below the Hadal Awatib pits returns high-grade gold and copper intersections

- The enriched ore appears to be easily mineable by deepening the present pit

- Drilling intersects Cu/Au-rich primary ore corresponding to the stringer zone of the VMS lens

BEST INTERSECTIONS INCLUDE:

- 26 m at 1.19 g/t Au, 5.71% Cu and 1.17% Zn from 104 m(1)

- 11 m at 19.24 g/t Au and 51.64 g/t Ag from 5 m(1)

- 40 m at 0.68 g/t Au and 3.19% Cu from 10 m(1)

- 11 m at 9.1 g/t Au and 99.27 g/t Ag from 1 m

- 7 m at 21.53 g/t Au and 45.6 g/t Ag from 5 m

- 3 m at 2.35 g/t Au and 13.27% Cu from 16 m

(1) All depths are measured from the floor of the existing pit

La Mancha Resources Inc. (TSX:LMA), (hereinafter "La Mancha" or "the Company") is pleased to report that the 42 short and long holes drilled from the bottom of the Hadal Awatib pits at the Hassai property have returned high-grade gold, copper and silver values. Drill results are shown in Table 1 and 2 appended to this press release. These preliminary results A) suggest the presence of an enriched supergene zone at the top of the previously-identified volcanogenic massive sulphide (VMS) lens under these pits and B) confirm the presence at depth of a feeder zone adjacent to the massive sulphide lens. Some drill holes also intersected massive sulphides with elevated zinc and silver values.

The Hadal Awatib AB and CD pits are part of the second VMS target being explored on the Hassai property. As shown in Figure I, attached to this press release, most of the holes in this phase of the program were drilled from the floor of the existing pits. This second supergene zone seems to have a lower gold content than the supergene section identified on the first VMS target (the Hassai pit), but shows indications of surprisingly high copper grades (1 meter at up to 20.5% Cu) and silver content (up to 258 g/t Ag). These high grade results coupled with the width of the Hadal Awatib AB pit suggests that a significant portion of this enriched zone would be minable by open pit methods. Moreover, the identification of the stringer zone shown in Figure 2 increases the likelihood of confirming more high-grade mineralization in the area.

Michel Cuilhe, President and CEO of La Mancha, noted: "We are delighted by these results, as some of the intersections obtained from this second enriched zone compare favourably with some of the world's richest polymetallic deposits. The fact that some of these high-grade results have been intersected near the bottom of the pit, in an area where they would be easily minable by open-pit mining methods, adds to their quality, as this suggests that the exploitation of the two supergene zones in the early stage of the project could guarantee an early payback on the investment."

To date, the 75 holes drilled, totalling 8,504 meters, have allowed La Mancha to begin delineating two of the six VMS targets identified at the bottom of previously-mined pits at its Hassai property. While some of these holes were drilled from surface to intersect the massive sulphide lenses in the primary zone at depth, other holes were drilled from the floor of the existing pits in an effort to identify an enriched zone (supergene). The results of this exploration effort have confirmed the presence of a VMS massive sulphide lens under each of the Hassai and Hadal Awatib pits, and suggest the presence of an enriched zone at the top of each of these VMS lenses. The conceptual tonnage and grade of the primary zone of these first two targets were estimated using a manual polygonal method with parallel cross-sections spaced at 100 m. This estimate suggests a total potential to date of 60 million tonnes at 1.15-1.35 g/t Au and 0.9-1.3% Cu. The two supergene zones identified should add significantly to this.

The Hassai and Hadal Awatib conceptual estimates of potential tonnes and grade to date have insufficient exploration to define a mineral resource compliant with National Instrument 43-101. It is uncertain whether further exploration will result in the target deposit being delineated as a mineral resource. The estimate used the current geological interpretation of the lens with the intersections of copper and gold mineralization from the 12 new holes drilled to date and 7 previously-drilled holes at the Hassai pit and 8 new holes drilled to date and 7 previously-drilled holes at the Hadal Awatib pit. The estimate excludes copper and gold values outside the interpreted zones and all lead zinc and silver values, and does not take into account possible enrichment from the upper part of the lenses, mainly below the west pit of Hadal Awatib. The estimate also excludes dilution and recovery.

La Mancha decided to initiate an exploration program entirely devoted to the VMS potential of its 40%-owned Hassai mine in December 2007 on the basis of historical results of drilling by BRGM in the 1980s and 1990s. The objective of the first phase of the program was to test the potential of two of the six most prospective VMS lenses identified at the bottom of the previously-mined pits.

The presence of strong supergene enrichment similar to Hassai at the second target enhances the potential of this deposit, which is displaying a growing number of similarities with the Bisha deposit in neighbouring Eritrea.

TECHNICAL ANALYSIS

Forty-two holes totalling 3,212 meters were drilled from the floors of the Hadal Awatib AB and CD pits. More information on these holes is shown in Table 1 and Figure 1, attached to this press release. The holes were drilled down dip within the lens in the CD pit and obliquely in the AB pit, as shown in the five cross-sections in the appendix.

The portion of the VMS deposit that lies below the Hadal Awatib AB pit comprises a very large massive sulphide lens with a significant copper-rich stringer zone along the stratigraphic footwall. The copper stringer zone contains 15-40% sulphides, including chalcopyrite (CuFeS2), pyrite, magnetite and sphalerite (ZnS), as well as quartz, chlorite and minor carbonate minerals. The stringer zone is gradational, with a copper-enriched basal massive sulphide. Both are present on the inside of the (probable) overturned anticline shown in Section D-D.

Like at Hassai, three main types of enrichment have been identified:

- A gold-enriched, copper-depleted zone close to the floor of the pit;

- A gold- and copper-enriched zone at depth; and

- Localized zones of silver and zinc enrichment in addition to good copper and gold values.

Some additional holes are currently in progress (see Figure 1) to allow La Mancha to complete a first 43-101 resource calculation, expected to be released in the third quarter of 2009.

It should also be noted that the area between the AB and CD pits has not yet been drilled as it is currently being mined, but the enrichment can be expected to continue in this area (see Figure 1).

"Given the high gold grades currently being mined from the oxidized zone just above, this unexplored area should return results similar to those obtained from the enriched zone below the AB pit," said Jean-Jacques Kachrillo, Vice President Exploration for La Mancha.

NEXT STEPS

The VMS exploration program will continue as planned, with results disclosed as they become available. The following table outlines the expected news flow for the program, along with the expected news release dates.

The table is available at the following address: http://media3.marketwire.com/docs/lma1.pdf

TECHNICAL NOTE

The technical information in this news release was prepared under the supervision of Jean-Jacques Kachrillo, the Qualified Person under NI 43-101. Mr. Kachrillo is Vice President Exploration and a full-time employee of La Mancha Resources. He has sufficient experience in the style of mineralization and type of deposit to qualify as a Qualified Person as defined in "National Instruments 43-101, Standards of Disclosure for Mineral Projects". Based on his information, Mr. Kachrillo has consented to the content of this press release in the form and context in which it appears. Mr. Kachrillo has read National Instrument 43-101 and has ensured that this press release has been written in compliance with that instrument.

Analysis of the recent samples complied fully with the Analytical Quality Assurance Program put in place by La Mancha to control and assure the analytical quality of assays in its gold and base metal exploration. This program includes the systematic addition of blank samples, pulp duplicates and internal material references ("standards") to each batch of samples sent for analysis. Blank samples are used to check for possible contamination in laboratory, duplicates allow the overall precision to be quantified and standards determine analytical accuracy. All samples are half HQ or NQ diamond drill core or RC cuttings sampled on a one-metre basis. Samples were assayed at the ISO 17025-qualified Intertek laboratory in Indonesia using fire assays on 30g samples followed by AAS for gold and triple acidic digestion followed by AAS for base metals. The average true widths are more than 60% of the intersection length.

ABOUT THE HASSAI MINE

The Hassai mine is located in the Red Sea Hills desert of northeastern Sudan, some 450 km from Khartoum. Inaugurated in 1992, it is Sudan's first and only producing gold mine. Twelve pits have been mined over the years, generating a cumulative production of more than 2 million ounces of gold. La Mancha owns 40% of the mine through a subsidiary and is the mine manager. The Hassai mine's exploration budget is expected to total $4.9 million in 2009 ($2 million attributable to La Mancha), distributed among several gold (quartz, SBR and tailings) and VMS targets. The Hadal Awatib pit is 13 km from the Hassai camp and comprises three main pits (see schematic map in the appendix), where around 1.1 million ounces have been mined since the creation of AMC, a La Mancha subsidiary, in 1992.

ABOUT LA MANCHA RESOURCES Inc.:

La Mancha Resources Inc. is an international gold producer based in Canada with operations, development projects and exploration activities in Africa, Australia and Argentina. La Mancha's shares trade on the Toronto Stock Exchange (TSX) under the symbol "LMA". For more information, visit the Company's website at www.lamancha.ca.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

This press release contains certain "forward-looking statements", including but not limited to statements regarding the quantity of mineralization in place and its grade in Au and in Cu, the mineable character of the drill results, mining exploration risks, calculation and evolution of mineral resources, the presence of an enriched supergene zone with gold grade of at least 4g Au/t and 2.5% Cu, the impact of such enriched supergene zone on the financial viability of an eventual VMS operation, potential for additional resources, market price of gold, future work programs and objectives associated therewith, drill targets and anticipated results, interpretation of work results, development plans and anticipated timetables, in particular as regards the economic and technical potential for a mining and milling operation. Forward-looking statements express, as at the date of this press release, the Company's plans, estimates, forecasts, projections, expectations or beliefs as to future events and results. Forward-looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. Therefore, actual results and future events could differ materially from those anticipated in such statements. The Hassai conceptual estimate of potential tonnes and grade to date has insufficient exploration to define a mineral resource compliant with National Instrument 43-101. It is uncertain if further exploration will result in the target deposit being delineated as a mineral resource. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements include, but are not limited to, factors associated with fluctuations in the market price of precious metals, mining industry risks, risks associated with foreign operations, environmental risks and hazards, uncertainty as to calculation of mineral reserves and other risks referred to in La Mancha's 2008 Annual Information Form filed with the Securities Commissions and the Toronto Stock Exchange.

Table #1 Results from Hadal Awatib AB Pit

http://media3.marketwire.com/docs/lma2.pdf

Table 2 Results from Hadal Awatib CD

http://media3.marketwire.com/docs/lma3.pdf

Figure 1

http://media3.marketwire.com/docs/lma4.pdf

Figure 2 Cross section DD'

http://media3.marketwire.com/docs/lma5.pdf

Photos 1 & 2

Hadal Awatib AB pit (the arrow represents 250m): http://media3.marketwire.com/docs/lmapic1.JPG

Hadal Awatib CD pit: http://media3.marketwire.com/docs/lmapic2.JPG

Contact Information

  • La Mancha
    Martin Amyot
    Vice President Corporate Development
    514-987-5115
    info@lamancha.ca