Plexmar Resources Inc.

Plexmar Resources Inc.

March 28, 2007 09:21 ET

Plexmar Resources Inc.: Update on Bolsa Del Diablo

SAINTE-FOY, QUEBEC--(CCNMatthews - March 28, 2007) - Plexmar Resources (TSX:PLE) wishes to inform its shareholders of recent developments on its Bolsa del Diablo project.

The ground geophysical program has been put on hold while the Company negotiates a formal cooperation agreement with members of the local community so that the first drilling program can commence. Plexmar has a friendly working relationship with many of the local communities. The Company has hired a number of locals and is supporting many social and sustainable development initiatives that benefit these communities. The Company is optimistic that an agreement shall be reached in a timely fashion.

Ground geophysics (I.P.) and soil geochemistry surveys will resume as soon as an agreement is formalized with the aim of better defining drill targets. Presently, drilling targets include the possible vertical extension of vein systems, anomalies from preliminary results from the IP and soil surveys, and geologically-induced targets below silicified and brecciated intrusives, known locally as silica caps. The Company is taking steps to secure a drilling permit while the aforementioned surveys are in progress.

At the same time, the Company's geologists are reviewing the entire mining district of its Bolsa concessions in order to further assess the metallogenetic environment.

Plexmar remains fully committed to the area and believes that a new mining district is in the process of being defined by informal miners in northern Peru.

The Bolsa del Diablo project bears many technical resemblances to the Rio Blanco porphyry copper project owned by Monterrico Metals, located close to the border with Ecuador. The Rio Blanco project represents the northern extremity of the copper-gold belt of the northern Peruvian Sierras. It is a copper-molybdenum porphyry located at approximately 100 km east/southeast from the Bolsa Del Diablo Project. At a cut-off grade of 0.4% copper, the non N43-101 measured and indicated resources of Rio Blanco are pegged at 870 millions tonnes at 0.59% copper and 234 ppm molybdenum.

This tertiary porphyry/epithermal metallogenetic belt, which extends for over 1,000 kms, hosts a number of world class deposits including Yanacocha, Santa Rosa, Alto Chicama, Shahuindo, Cerro Corona, Peirina, Sipan, La Granja, Michiquillay, and Carpa.

As in most of the deposits in Rio Blanco, tertiary igneous activity has been recognized and is spatially associated with this mineralization. The geology of the Rio Blanco porphyry system can be described as a multi-phased intrusive complex. Specifically, the mineralization is spatially associated to the Portocello batholith, a granodiorite that is part of a sequence of tertiary batholiths characteristic of the geology of southern Ecuador and northern Peru. The dominant alteration at Rio Blanco is typical of a porphyry system; in this case, a hugely phyllic zone, some 5 kms in area with an overprinted potassic zone.

With regards to Bolsa del Diablo, intrusive rocks have been recognized for the first time by the Plexmar team of geologists during the course of this exploration sequence. A datation of the intrusive will be conducted shortly to further constrain the metallogenetic environment. This intrusive is also affected by phyllic alteration. An alteration mapping program, assisted by PIMA technique, is underway at Bolsa del Diablo to further define the alteration pattern and its extent. The preliminary results from a gold-in-soil survey point towards an increase in both gold and copper content in the area worked by informal miners.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. M. Stephane Amireault, P. Eng., acting as Qualified Person in compliance with National Instrument 43-101 with respect to this release and has reviewed the contents for accuracy.

126 M shares outstanding

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.

Contact Information

  • Plexmar Resources Inc.
    Guy Bedard
    Paradox Public Relations