SULLIDEN EXPLORATION INC.
TSX : SUE

SULLIDEN EXPLORATION INC.

September 29, 2005 09:19 ET

Sulliden Exploration Inc.: Arbitration Process Resumes

MONTREAL, QUEBEC--(CCNMatthews - Sept. 29, 2005) - Sulliden Exploration Inc. (TSX:SUE) through its wholly-owned subsidiary Minera Sulliden Shahuindo S.A.C., is very pleased to report that it has been notified by the Arbitration Tribunal of its decision to continue with the remaining stage of the Arbitration Process.

The resolution immediately follows the recent unanimous decision of the Superior Court to revoke the Injunction that had temporarily suspended the Arbitration Process in May. Since that time, the Institution of Arbitration has received widespread support from the highest levels of the Peruvian judiciary. In July 2005, the Supreme Court of Peru issued a Directive endorsing the constitutionality of Arbitration being autonomous in its own procedural regulations and guaranteed to be free from outside intervention.

In addition, the Arbitration Tribunal has called upon the parties for the closing arguments to be held in October, 2005 following which, according to the guidelines of the Arbitration Rules, a final decision is expected to be rendered within the following month of November.

"We are gratified that the Arbitration Process is back on track and that there is now a timeframe for the conclusion of this challenge by Algamarca", said Jacques Trottier, President & CEO. "I reiterate our every confidence that justice will ultimately be served and that Sulliden's legal right to the Shahuindo property will be confirmed."

Sulliden Exploration Inc. is a mineral exploration company focused on the development of precious mineral interests in Peru, including the Shahuindo project located 25 km north of Lagunas Norte and 70 km south of the Yanacocha district. The Shahuindo project currently contains 1.5 million ounces of gold at an average grade of 0.85 g/t Au and 35.2 million ounces of silver at an average grade of 19.83 g/t Ag, for a total gold equivalent of 2.1 million ounces of gold (see Met-Chem report of April 2005 on www.sedar.com). In addition, an option interest to acquire 66% of an adjacent 1,900 hectares known as the Vikingo concessions brings the Company's land holdings in this exciting gold district to almost 10,000 hectares. Sulliden also has an option to earn a 50% interest in the Torrine gold project with Aruntani SAC and affiliates in southern Peru.

Certain of the information contained in this news release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include without limitation, statements regarding estimates of reserves and resources, future plans and objectives, results of exploration, uncertainty with respect to changes in general economic or political conditions, title to properties, litigation, legislative, environmental and other judicial, regulatory and competitive developments in areas in which the Company operates. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Sulliden's expectations are disclosed under the heading "Risk Factors" in its 2005 Annual Report as well as in its Annual Information Form (AIF) both of which are filed with Canadian regulators on SEDAR. For further background on the litigation, please refer to 'Legal Proceedings' in the Company's Annual Information Form available on Sedar (www.Sedar.com).

Contact Information

  • Sulliden Exploration Inc.
    Mr. Jacques Trottier
    President
    (514) 861-1953
    sulliden@colba.net
    or
    Sulliden Exploration Inc.
    Donna Yoshimatsu
    VP Investor Relations
    (416) 362-8809
    dyoshi@sulliden.com