Sinchao Metals Corp.
TSX VENTURE : SMZ

Sinchao Metals Corp.

July 08, 2008 08:30 ET

Sinchao Metals Intersects 188 Metres Grading 2.02% Copper in Step Out Drilling

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 8, 2008) - Sinchao Metals Corp. (TSX VENTURE:SMZ) is pleased to announce the results from Drill Hole SDH-37, drilled on the Breccia Zone at the Sinchao Property in Peru. Assays have been received for the interval 0.0m to 408.15m, the bottom of the hole. Drill Hole SDH-37 intersected silicified dacite and breccia from 0.0 to 408.15m, with numerous zones of strong pyritization.

Significant intersections are as follows:



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

219.6 408.15 188.55 2.02 1.07 11.3


These are drill intersections and true widths have yet to be determined.

Drill Hole SDH-37 is located approximately 275 metres southwest of SDH-35, which returned 266.2m grading 0.37% copper, 0.30 g/t gold and 8.9 g/t silver and approximately 150 metres north of Hole SDH-34, which returned 341.8m grading 0.44% copper, 0.32 g/t gold and 6.1 g/t silver. For further information on these drill results, please see news releases of April 24, 2008 and June 18, 2008. Drill Hole SDH-37 is located at the west end of southwest - northeast Section 11, approximately 150 metres northwest of Section 12.

"We are pleased with the successive intersection of significant widths of mineralization as we systematically step out drill at the Sinchao property," said President Andrew Gourlay. "We are continuing step out drilling in order to define the limits of the mineralization."

There are currently three drill rigs working at the Sinchao Property, part of a 10,000 metre drill program. Mineralization has now been identified over approximately 750 metres by 300 metres and to depths of up to 450 metres, with the mineralization remaining open to both the northeast and southeast. The objective of the 2008 drill program is to define the mineralization at the Breccia and Skarn Zones, and to calculate an estimate of Inferred Resources.

Andrew Gourlay, P. Geol., President, 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 www.sedar.com.

Contact Information

  • Sinchao Metals Corp.
    Andrew W. Gourlay, P. Geol.
    President
    (604) 681-6186 or Toll Free: 1-888-356-4784
    (604) 681-3652 (FAX)
    Website: www.sinchaometals.com