Minera Andes Inc.
OTC Bulletin Board : MNEAF

Minera Andes Inc.

March 22, 2006 10:05 ET

Minera Andes' San Jose Project Receives Permit Approval of Enviromental Impact Assessment

SPOKANE, WASHINGTON--(CCNMatthews - March 22, 2006) - Minera Andes (TSX VENTURE:MAI) (OTCBB:MNEAF) is pleased to announce that the Environmental Impact Assessment (EIA), the primary document for permitting the San Jose silver/gold project, has been approved by the province of Santa Cruz, Argentina. This approval allows us to construct the infrastructure, mine, and processing facilities. We estimate production of silver and gold to begin in the first quarter of 2007.

Allen Ambrose, president of Minera Andes, said, "This is another important milestone in the advancement of the co-owned San Jose project that moves us closer to our goal of production. We look forward to attaining our portion of production and cash flow on a project whose annual production is anticipated to be 3.1 million ounces of silver and 61,000 ounces of gold."

The EIA for the San Jose project was submitted to the province in November of 2005 by Minera Santa Cruz (MSC), the joint venture corporation co-owned by Minera Andes (49%) and Mauricio Hochschild & Cia. Ltda. (51%). The EIA has been designed to fulfill the legal requirements in Argentina and also to comply with the procedures of evaluation widely accepted internationally (for example the World Bank and the International Finance Corporation guidelines and the Equator Principles) regarding environment and social protection measures. In addition, the EIA has been structured according to the national mining code, which the province of Santa Cruz has adhered to.

Minera Andes is a gold, silver and copper exploration company working in Argentina. Minera Andes holds about 500,000 acres of mineral exploration land in Argentina, including the co-owned San Jose silver/gold project now under construction for mine production. Minera Andes has also discovered an enriched copper zone at its Los Azules property and is acquiring other exploration targets in southern Argentina. The Corporation presently has 128,311,068 issued and outstanding shares.

Information used in this release was reviewed by Allen V. Ambrose, Minera Andes' president and an appropriately qualified person as defined by National Instrument 43-101.

Spokane Office Vancouver Office
111 East Magnesium Rd., Suite A 410-744 West Hastings Street
Spokane, WA 99208 USA Vancouver, B.C. V6C 1A5

FORWARD-LOOKING STATEMENT -The Corporation's results will be subject to known and unknown risks and uncertainties that may cause the Corporation's actual results in future periods to differ materially from forecasted or anticipated results. Among those factors which could cause actual results to differ materially are the following: the risks inherent in mineral exploration and the mining industry, the Corporation's needs for additional capital, and other risk factors listed from time to time in the Corporation's public filings. In addition, Minera Andes' joint venture partner, Mauricio Hochschild & Cia. Ltda., does not accept responsibility for the use of project data or the adequacy or accuracy of this release.


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