Oremex Resources Inc.

Oremex Resources Inc.

June 09, 2010 08:30 ET

Oremex Resources Updates Progress at Tejamen Silver Project

TORONTO, ONTARIO--(Marketwire - June 9, 2010) - Oremex Resources Inc. (TSX VENTURE:ORM) provides an update on its operations in Mexico.  

The company continues to be very active at the Tejamen silver project, where Oremex owns 100% of the mineral rights and the mining concessions continue to be held in good standing. The Company's Community Infrastructure Program (CIP) continues to provide employment opportunities aimed at improving the local infrastructure in the village of Tejamen and surrounding communities.

Currently the surface rights to the project area reside with the Federal government (see Press Release December 21, 2009). The Company has been actively pursuing the involvement of a variety of parties to facilitate the awarding of surface rights at Tejamen, including: the Village of Tejamen; the Municipality of Nuevo Ideal; The Tejamen Community Association; the Governor of the State of Durango; the Federal Senator for the State of Durango; the Ministry of Economia at both the Federal and State level, which incorporates the Mining Ministry; ProMexico, the Federal Government's trade and business development vehicle; the Reforma Agraria at both the Federal and the State level, which is responsible for legal decisions regarding land ownership; and the Office of the President.

Despite what Oremex understands to be a straightforward and established process, the Reforma Agraria has yet to render its decision regarding ownership of the surface rights. This is required to establish with whom Oremex would conduct negotiations to facilitate a surface access agreement. None of these potential decisions impact the Company's right or ability to preserve the associated mineral rights that it owns outright.

Executive Chairman John Carlesso stated: "While we are disappointed with the pace of the resolution of this issue, this is not a reflection of our level of activity or dedication. While it has delayed the progress of the project, our ownership rights at Tejamen are not, and have never been, at risk. Oremex is committed to maximizing the value of this asset for our shareholders and we will see this issue through to completion."

While awaiting conditions to be established that will allow access to Tejamen, Oremex has been actively evaluating corporate and project opportunities. Additionally the company has been preparing for work programs to advance other projects within its portfolio. The Company expects to make additional announcements regarding these work programs shortly.

Mr. Carlos Pacheco has been promoted to the position of Manager of Business Development in Mexico and acts as manager of all of Oremex's activities in the country. Oremex welcomes Mr. Pacheco's growing involvement with the company and is proud to have him as a member of the team. Mr. Pacheco has approximately 20 years of mining expertise and has wide ranging experience in Mexico. Mr. Pacheco will be granted 50,000 stock options at a price of $0.10/share.

About Oremex:

Oremex is a Canadian-based exploration company with a focus on the acquisition and development of mineral properties in Mexico. The Company's most advanced project Tejamen has an inferred mineral resource of 50.8 million ounces of silver in a total of 22.6 million tonnes grading a silver-equivalent of 69.8 grams per tonne (Wardrop Engineering Report NI 43-101 compliant April 2006). Snowden Mining Industry Consultants completed a Preliminary Assessment Study (NI 43-101 compliant October 2006) demonstrating that the project can support a 10,000 tonne per day open pit, heap leach mining operation.

National Instrument 43-101 requires the following statement: that the preliminary assessment is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized.

Forward-Looking Statements: The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future exploration programs, operation plans, geological interpretations, mineral tenure issues and mineral recovery processes. Although we believe the expectations reflected in our forward-looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Oremex Resources Inc.
    John Carlesso
    Executive Chairman