Plexmar Resources Inc.
TSX VENTURE : PLE

Plexmar Resources Inc.

February 24, 2011 10:51 ET

Plexmar Resources Inc.: Malin Plant and Project Update

QUEBEC CITY, QUEBEC--(Marketwire - Feb. 24, 2011) - Plexmar Resources Inc. (TSX VENTURE:PLE) announces that the gold circuit at the Malin plant will begin its operations in approximately 15 days.

The initial capacity of the circuit is 70 tonnes per day which will be increased to 100 tonnes per day in July 2011. Gold bearing ores are currently being stockpiled, over 900 tonnes of gold bearing oxide ores grading an average of 21 g/t Au have been purchased from different suppliers located in northern Peru.

The polymetallic circuit is presently operating at an average rate of 70 tonnes per day, custom milling an antimony and silver ore pile (See press release Jan.26, 2011). The polymetallic circuit capacity will be increased to 150 tonnes next April 2011 and to 200 tonnes per day during the month of July. The Joint Venture will start purchasing its own polymetallic ores during the month of March.

Following plant modifications, the total installed capacity at Malin will be 300 tonnes per day in July 2011.

The Malin plant is a custom mill processing plant located near the town of Trujillo and is being operated through a 50-50 joint venture with J&M Business SAC.

Concurrently, the Joint Venture partners are negotiating the purchase of a gold lixiviation processing plant located in the Suyo area, department of Piura in northern Peru. The plant is currently operating at a rate of 25 tonnes/day and processing high grade local gold ores. The capacity will be increased to a minimum of 60 tonnes/day in a timeframe of 120 days after closing. Once completed, this acquisition will facilitate the purchasing of the gold ores currently being extracted, by local miners, from the Bolsa del Diablo area. Full transaction details will be provided upon conclusion of the negotiations.

Marilia project

Also, an exploration program will be initiated on the Marilia group of concessions located near Cajabamba, La Libertad department, some 4 kilometres northeast of Sulliden's Shahuindo gold deposit. The Company owns three concessions totalling 1,600 hectares. A first reconnaissance trip is to take place in the coming days and will be followed by a full scale mapping and geochemistry program.

The 500 hectares, Marilia 1 property hosts the same stratigraphy as Shahuindo and the exploration program will be directed to outline mineralization consisting of oxidized disseminated gold-silver within permeable rock such as breccias and fractured sediments. 32 samples were collected in 2003, most of them coming from the western side close to a carbon rich horizon.

Most of the samples consisted of breccias showing various levels oxidation (hematite, limonite and goethite), quartz sericite alteration. Best values were 2,24 g/t Au and 27,8 g/t Ag within a fine grained oxidized breccia and 0,9 g/t Au and 67,1 g/t Ag over 1,5m at the hanging wall of the carbon rich horizon.

Guy Bédard, P.Eng, president of the Company acted as a Qualified Person in the preparation of this release as defined by NI 43-101.

This press 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 exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes 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 forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

PROFILE

Plexmar is a junior company focused on precious metals in Peru

PROPERTIES

Gold :Peru: Oro Del Norte, Marilia, Bolsa Del Diablo,

CORPORATE INFO

222 M shares outstanding

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

  • Plexmar Resources Inc.
    Guy Bedard
    President
    418-658-6776 ext.107
    www.plexmar.com
    or
    Paradox Public Relations
    866-460-0408
    514-341-0408