Salazar Resources Limited
TSX VENTURE : SRL
FRANKFURT : CCG

Salazar Resources Limited

January 26, 2012 03:00 ET

Salazar Intercepts VMS Mineralization 600 Meters East of El Domo

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 26, 2012) - Salazar Resources Ltd. (TSX VENTURE:SRL)(FRANKFURT:CCG) is pleased to report results from an additional four holes (1,223 meters) from the ongoing diamond drill program on its 100% owned (30,327 ha) Curipamba volcanogenic massive sulphide (VMS) project in Ecuador. These holes represent new exploratory drilling and are not included in the new El Domo resource estimate was which was released on January 12, 2012. The four widely spaced exploration holes were drilled east and southeast of the precious metals rich El Domo deposit to test for extensions of the mineralization under the andesite sill. Three of the holes intersected mineralization (Table 1).

Hole CURI-155 was drilled approximately 600 meters east of the El Domo indicated/inferred resource and close to the eastern boundary of the andesite sill. The hole cut three mineralized zones with strong gold and silver values and anomalous zinc and copper values. Holes CURI-152 and CURI-154, located respectively approximately 500 meters west and southwest of CURI-155, indicate the persistence of the El Domo mineralization. Further drilling is required to test and evaluate the significance of this new area immediately adjacent to the El Domo resource.

Table 1: Significant Intersections
Hole From To Width* Gold Silver Copper Lead Zinc
# (m) (m) (m) (g/t) (g/t) (%) (%) (%)
CURI-155 74.90 75.60 0.7 1.29 36.50
77.88 90.33 12.45 0.67 26.13 0.02 0.09 0.23
Including 77.88 80.53 2.65 1.52 33.05 0.04 0.20 0.39
186.43 207 20.57 0.59 33.54 0.04 0.08 0.33
Including 187.43 189 1.57 3.76 26.47 0.27 0.30 1.82
Including 197.42 198.22 0.8 1.80 146.7 0.05 0.13 0.29
Including 203.27 207 3.73 0.48 120.72
CURI-152 131.85 133.23 2.12 0.22 15.98
179.00 186.88 7.88 0.21 25.27
262.07 262.67 0.60 0.41 11.70 1.59 0.01 3.50
CURI-153 No significant mineralization encountered
CURI-154 160.55 162.60 2.05 0.42 10.20 0.26 0.47 1.61
185.42 186.10 0.68 0.06 80.90 1.20 0.05 0.58
*Widths represent down hole core lengths.

CURI-152 was collared south of El Domo and approximately 50 meters north of CURI-88 (3.81 m @ 4.77 g/t Au and 181.8 g/t Ag). The three mineralized intervals are related to shear hosted disseminated pyrite.

CURI-153 was collared 160 meters east CURI-147 (3.75 m @ 1.64 g/t Au and 124.2 g/t Ag). No significant mineralization was intersected.

CURI-154 was collared 50 meters east of CURI-135 (10.30 m @ 5.86 g/t Au, 173.2 g/t Ag, 1.29% Cu, 1.07% Pb and 6.55% Zn). It cut two mineralized intervals with lower grades than in CURI-135. However, all the metals (gold, silver, copper, lead and zinc) are present in the intersections which indicates the persistence of the mineralization into this area under the andesite sill.

CURI-155 was collared approximately 600 meters east of the indicated/inferred resource limit. It cut two zones of mineralization. From approximately 69 to 90 meters the mineralization comprises semi massive sulphide, disseminated pyrite with accessory chalcopyrite, and intense illite-gypsum alteration. From approximately 187 to 207 meters the mineralization comprises semi massive sulphide and hydrothermal breccias. Sulphide content ranges 5% to 40% pyrite with accessory chalcopyrite and sphalerite.

Table 2: Drill Hole Specifications
Hole-ID Easting Northing Elev Az° Dip° EOH
CURI-152 695499 9854750 980 270.00 -75.00 398.50
CURI-153 695550 9854900 999 90.00 -90.00 259.75
CURI-154 695218 9855008 951 90.00 -60.00 257.85
CURI-155 695751 9855150 1070 90.00 -90.00 307.85

Fredy Salazar, President and CEO, commented; "We are very encouraged by these latest drill holes, specifically DDH 155 located 600 meters east of the current resource estimate area as it considerably opens the potential to extend the El Domo deposit and/or to encounter new VMS lenses. This step out hole further validates the idea that the El Domo deposit has the potential to increase significantly beyond the current size of the resource."

Drill core samples are analyzed by ALS Chemex Labs Ltd. and IBS Inspectorate, ISO 9001:2000 certified laboratories. Salazar maintains a QAQC program whereby standard samples and blanks are inserted into each batch of samples to ensure quality control.

The above information has been prepared under the supervision of Kieran Downes, P.Geo., who is designated as a "Qualified Person", and has reviewed the information and verified the authenticity and validity of the data.

ON BEHALF OF THE BOARD OF SALAZAR RESOURCES LIMITED

Fredy Salazar, President & CEO

Salazar Resources Limited

About Salazar Resources: Salazar Resources Ltd. is a publicly-listed (TSX VENTURE:SRL)(FRANKFURT:CCG) mineral resource company engaged in the exploration and development of new highly prospective areas in Ecuador. Led by a senior Ecuadorian management team and most notably by its namesake Fredy Salazar, this team has been instrumental in other major discoveries throughout Ecuador. Being based in Ecuador, thus having thorough knowledge of local human and environmental issues, gives the company a strategic advantage, enabling it to complete exploration at a rapid pace.

With an excellent property portfolio (3 projects - 42,900 hectares), good geopolitical positioning and a number of strategic corporate and financial partnerships, Salazar has positioned itself to be a strategic player in Ecuador and throughout South America.

This press release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company's disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.

Neither the 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 news release.

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