Linear Metals Corporation
TSX : LRM

Linear Metals Corporation

November 09, 2010 16:00 ET

Linear Metals Provides an Update on the La Morena Project and Investor Relations Appointment

HALIFAX, NOVA SCOTIA--(Marketwire - Nov. 9, 2010) - Linear Metals Corporation (TSX:LRM) is pleased to provide an update on its 100% owned La Morena project in Coahuilla State, Northern Mexico. Linear is also pleased to announce the re-appointment of DSK Consulting Ltd. as Linear's investor relations consultant.

LaMorena Update

Additional follow-up of previously reported near surface mineralization (see October 26, 2010 press release) has resulted in the discovery of a potentially major extension to the Mina Porfido fault structure, now continuing through several newly discovered historical workings and new surface showings to over 500 metres ("m") in length (open), and averaging 3 to 4 m in width. Samples of the new occurrences have been submitted to the laboratory, but Linear's previous samples of the Porfido and Midway workings returned significant silver ("Ag") (59.5 to 1745 g/t), lead ("Pb") (1.2 to 17.4%), and zinc ("Zn") (0.15 to 30% overlimit), with consistently enriched gold ("Au") (0.10 to 0.68 g/t) and molybdenum ("Mo") (0.012 to 0.025%) from various grabs and chips of the highly oxidized samples.

The Mina La Morena structure is sub-parallel to the Mina Porfido structure, located approximately 200 m to the NE, and similarly has also been extended through discovery of additional old workings, to approximately 225 m in length (open). Although not as enriched in Au and Mo as the Porfido structure (Au and Mo contents appear to increase towards the main NW trending structure), previous Linear sampling of the oxide workings has returned significant silver and lead (e.g. 402 g/t Ag and 10.5% Pb over 2.5 m chip). Both structures are located within, and partially explain, the strong Zn-Pb soil anomaly previously reported.

The Pb-Zn-Ag mineralized structures described above are located NW of the near-surface manto-style Pb-Zn-Ag mineralization in the Mina El Refugio and Mina Sur area (see previous Press Release for Linear assay results). Linear recently received the final IP inversions for the Refugio grid area (see Linear website for maps), and these historical workings are underlain by a large chargeability anomaly, starting at presumed base of oxidation (B.Ox.) depths of 50 to 100 m. The anomaly appears to continue the NE trend of the Diana Grid anomaly, varying in width from approximately 350 to 500 m, along an open strike length of 700 m. Whether due to an oxidation effect or not, the depth of the anomaly corresponds generally to the presumed La Pena-Cupido formational contact depth, as it does beneath the Diana Grid, albeit there at great depth. This formational contact is a prime regional target for Carbonate Replacement Deposits (CRDs) in northern Mexico.

Investor Relations Appointment

Linear Metals is also announces that it has reappointed DSK Consulting Ltd. ("DSK") as Brigus' Investor Relations consultant. DSK, led by President Scott Koyich, will assist the Company with marketing and investor relations programs beginning immediately.

Brian MacEachen, President and CEO, commented, "Matt Rees, our Vice President of Exploration, has done a tremendous job with the current field exploration program at La Morena. Ongoing field work continues to identify significant mineralized trends and highly prospective drill targets. We are confident that the extensive mineralization we have identified thus far will translate into success with our recently commenced drill program. Along with ramping up our exploration and drilling efforts, we look forward to working with DSK in marketing the Company through what we believe will be a exciting period."

This press release was prepared under the supervision of Matthew Ian Rees, P.Geo., VP Exploration for Linear Metals, who is a Qualified Person as defined under National Instrument 43-101. Mr. Rees has reviewed the scientific and technical information in this press release.

Forward-Looking Information:

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, continuity of mineralization, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes that the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. The likelihood of future mining at LaMorena is subject to a large number of risks and will require achievement of a number of technical, economic and legal objectives, including obtaining necessary mining and construction permits, completion of pre-feasibility and final feasibility studies, preparation of all necessary engineering for pits and processing facilities as well as receipt of significant additional financing to fund these objectives, as well as funding mine construction. Such funding may not be available to the Company on acceptable terms or on any terms at all. There is no known ore at LaMorena and there is no assurance that the mineralization at LaMorena will ever be classified as ore. For more information on the Company and the risk factors inherent in its business, investors should review the Company's Annual Information Form at www.sedar.com.

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

Contact Information

  • Linear Metals Corporation
    Brian MacEachen
    President and Chief Executive Officer
    (902) 482-1240
    www.linearmetals.com