Sinchao Metals Corp.

Sinchao Metals Corp.

March 20, 2008 09:00 ET

Sinchao Metals Announces Further Drill Results From the Sinchao Property, Peru

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 20, 2008) - Sinchao Metals Corp. (TSX VENTURE:SMZ) is pleased to announce the results from Drill Holes SDH-17 and SDH-19A, drilled on the Breccia Zone at the Sinchao Property. Drill Hole SDH-17 was drilled approximately 200 metres to the southwest of Drill Hole SDH-12, which returned 161 metres grading 0.81% copper, 0.71 g/t gold and 37.1 g/t silver, and Drill Hole SDH-19A was drilled approximately 150 metres to the southwest of Drill Hole SDH-11, which returned 194 metres grading 0.43% copper, 0.69 g/t gold and 17.1 g/t silver.

Significant intersections are as follows:

Drill Hole SDH-17

From To Interval Copper Gold Silver
m m m % g/t g/t

37.2 48.7 11.5 0.45 0.24 23.5

Drill Hole SDH-19A

38.6 74.7 36.1 0.06 0.34 13.5

Both Drill Hole SDH-17 and SDH-19A were terminated prematurely at 80.45 metres and 141.25 metres depth respectively, due to poor ground conditions.

Drill Hole SDH-17 intersected silicified porphyritic dacite and hydrothermal breccia with trace to 5% disseminated pyrite, and trace to 1% chalcopyrite and enargite, in a broad shear zone.

Drill Hole SDH-19A intersected hydrothermal breccia, cut by numerous faults, with trace to 5% pyrite and traces of chalcopyrite and enargite.

"We are disappointed that both of these holes did not reach target depth," states President Andrew Gourlay. "The presence of mineralized porphyritic dacite in addition to the mineralized breccia is very encouraging and we are continuing to drill step out holes on the Breccia Zone, to define the size of the mineralized body."

The current drilling is part of a 5,000 metre drill program that will test the continuity and limits of the Breccia Zone. In addition, further targets defined by the 2007 geophysical surveys will be drill tested and an estimate of inferred resources will be completed in 2008.

Andrew Gourlay, P. Geol., President of Sinchao Metals Corp. is the Qualified Person for the technical disclosure in this news release. All samples were prepared and analyzed by the CIMM Peru S.A. laboratory in Lima, Peru, an ISO-accredited laboratory. Standard reference materials, blanks and field duplicate samples were inserted prior to the shipment from site to monitor the quality control of analytical data.

Sinchao Metals Corp. owns 100% interest in the Sinchao Property, which is located in Cajamarca Province, Northern Peru, and 30 kilometres from Yanacocha, the largest gold mine in South America.

On behalf of Sinchao Metals Corp.

Andrew W. Gourlay, P. Geol., President

About Sinchao Metals Corp:

Sinchao Metals Corp. (TSX VENTURE:SMZ) is focused on the exploration and development of the Sinchao property, located in Cajamarca province in Northern Peru, 30 kilometres from Yanacocha, the largest gold mine in South America. The company is dedicated to creating value for its shareholders by pursuing growth, expansion and enhancement of the Sinchao property.

This news release may contain forward-looking information within the meaning of the Securities Act (Ontario) ("forward-looking statements"). Such forward-looking statements may include the Company's plans for its mineral projects, the overall economic potential of its properties, the availability of adequate financing and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements expressed or implied by such forward-looking statements to be materially different. Such factors include, among others, risks and uncertainties relating to potential political risks involving the Company's operations in a foreign jurisdiction, uncertainty of production and costs estimates and the potential for unexpected costs and expenses, physical risks inherent in mining operations, currency fluctuations, fluctuations in the price of gold and other metals, completion of economic evaluations, changes in project parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those described in the Company's Financial Statements, Management Discussion and Analysis and Material Change Reports filed with the Canadian Securities Administrators and available at

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information

  • Sinchao Metals Corp.
    Andrew Gourlay
    (604) 681-6186 or Toll Free: 1-888-356-4784
    (604) 681-3652 (FAX)