UC Resources Ltd.
TSX VENTURE : UC

UC Resources Ltd.

March 05, 2007 13:00 ET

UC Resources' Update on La Yesca Silver & Gold Production in Mexico

TORREON, COAHUILA, MEXICO and VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 5, 2007) - UC Resources Ltd. (the Company) (TSX VENTURE:UC) is pleased to provide the second update on its newly commissioned plant at the La Yesca Project situated at La Yesca, Nayarit, Mexico.

As previously announced in a news release dated Tuesday, January 30th, 2007, the Company's copper-ammonium thio-sulfate facility at La Yesca, Mexico, was commissioned and began operations. The Company is pleased to report on the mills progress in this, the second bi-weekly progress report.

During the past 14 days, the mill has processed 513 tons of tailings material (an 18.74% improvement over the previous period) with grades averaging 2 g/t Au and 220 g/t Ag, (as stated in the NI 43-101 compliant report) for an average daily production of 57 tons per day over the nine day time span of operations. Modifications and process control work that was completed in this period resulted in reduced down time from six days in the initial start-up period down to five days in this period. The net result is a 12.5% increase in running time. Recovery rates of both Au and Ag remain the same at 70%.

An independent metallurgist is currently on site and will consult with management on a regular basis in an effort to improve on all aspects of the plant.

Management is pleased with the results of operations thus far and will continue to work diligently to increase productivity and operating efficiencies, while continuing to reduce down time.

The Company expects to process its precipitate at the Company's smelting facility located in Guadalajara, and to pour its first DORE bar in the mid to latter part of March, 2007. The Company is currently negotiating a refining and sales agreement with interested parties.

States Richard Hamelin, President of UC Resources: "Most successful milling facilities operate approximately 25 days per month; therefore, it looks like we are about half-way there as far as downtime is concerned. As our downtime is reduced, increases in processing rates are easier to attain, and efficiencies are realized all across the board."

This press release has been prepared by management of UC Resources Ltd. and has been approved for dissemination by Neil Novak, P.Geo., of Cambridge, Ontario, a Qualified Person under Canadian Securities guidelines, in his capacity as Vice President for UC Resources Ltd.

On behalf of the board of directors,

Richard J. Hamelin, President/Director

This 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 production, reserve potential, exploration drilling, exploitation 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 the 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. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at www.sedar.com.

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

Contact Information

  • UC Resources Ltd.
    Vancouver Head Office
    (604) 681-7265 or Toll Free: 1-800-366-8566 (Canada & USA)
    (604) 608-6163 (FAX)
    Website: www.ucresources.net