Valencia Ventures Inc.
TSX VENTURE : VVI

Valencia Ventures Inc.

November 29, 2007 10:05 ET

Valencia Ventures Nears Completion of Resource Definition Drilling at Cachinal Silver Project

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2007) - Valencia Ventures Inc. (TSX VENTURE:VVI) is pleased to report the Phase III resource definition drill program on the Cachinal Silver Project is continuing to progress on schedule. A total of 7,325m (54 holes) have been completed and two RC drills are currently on site. The planned program of approximately 8,500m will be completed within the next 7-10 days.

Encouraging high grade silver intersections, consistent with earlier results from more widely spaced drill holes completed in the Phase II program, have been obtained on 50m line spacings in the Northern Extension zone (See press releases dated May 1 and September 11, 2007 for complete results of the Phase II program). Significant results include (Figure 2):



- CLRC-113 11.0m @ 141.45g/t Silver, 0.342g/t Gold, 1.21% Zinc
- CLRC-117 8.0m @ 111.63g/t Silver, 0.157g/t Gold, 0.15% Zinc
- CLRC-119 10.0m @ 149.80g/t Silver, 0.324g/t Gold, 0.04% Zinc
- CLRC-128 4.0m @ 107.75g/t Silver, 0.230g/t Gold, 0.23% Zinc
20.0m @ 199.55g/t Silver, 0.108g/t Gold, 0.12% Zinc


Doug Currie, Valencia's Executive Vice President, Exploration & Development, commented, "We continue to be very encouraged by the results we have received, particularly in the northern portion of the Northern Extension, where substantial high grade silver mineralization, including 20.0m at 199.55g/t silver has been located in CLRC-128." He added, "The drill contractors and our geological field crew are doing an excellent job to meet our goal of completing the infill resource definition drilling early in December so that a revised resource estimate is expected in January 2008."

Valencia released the first mineral resource estimate for the Cachinal Silver-Gold project in February, 2007 (Press Release February 19, 2007). The estimated mineral resources, at a 20g/t silver block cut-off grade, are as follows:

Indicated Mineral Resource: 4.11Mt @ 103.92g/t Silver, 0.11g/t Gold, 0.17% Zinc

Inferred Mineral Resource: 5.09Mt @ 78.22g/t Silver, 0.11g/t Gold, 0.16% Zinc

Results of the Phase I and Phase II drill programs, which included significant drill intersections which were not included in the above resource estimate, indicated a potential for adding 1,200m of mineralized strike length to the north of this existing mineral resource. The initial resource estimate was based on a 650 metre portion of the total mineralized structure, which is traceable on surface for up to 3,000 metres, and is open both along strike and at depth. Valencia geologists aim to establish a resource estimate of 75 million ounces of silver at the Cachinal property. However, such a resource estimate has not yet been substantiated.

The Phase III program, which commenced in late September, will consist of 7,000-9,000m of additional RC drilling, with drillholes along the existing 50m spaced section lines and, where necessary, 25m infill drill fences within the existing Cachinal resource area and the Northern Extension target to define potential resource areas in sufficient detail to enable a revised mineral resource estimation. Additional diamond drilling is also planned to verify RC drill results, and provide geotechnical information and samples for metallurgical testwork.

Valencia recently announced the appointment of SRK Consulting (Canada) Inc. ("SRK") to prepare an updated mineral resource model by the end of January 2008 and a preliminary assessment of the economic potential of a future mining operation at Cachinal towards the end of Q1 2008 (See press release dated, September 18, 2007). A team from SRK's Toronto and Santiago offices recently visited Cachinal and have initiated studies required to assist with the resource estimation and preliminary economic assessment and subsequent feasibility analysis. Geotechnical core logging, baseline environmental assessment, metallurgical testwork and resource modelling have commenced.

Cachinal Silver Project

The Cachinal de la Sierra area is located within the Paleocene Gold Belt of northern Chile, which hosts several significant gold and silver deposits including Meridian Gold's El Penon Silver-Gold Mine. The El Penon mine, 60km to the northeast, is a low sulphidation-style epithermal silver-gold deposit and one of the worlds lowest cost gold producers.

Silver mining began at Cachinal in 1862 and, including production of approximately 170,000 tons @ 280g/t Ag, 0.58g/t Au reported for a three year period 1985-1987, historical production is estimated at approximately 32 million ounces of silver in historical geological reports in the library and files of Chilean Government agency SERNAGEOMIN. Extensive historic workings at Cachinal reportedly extend to a depth of 320m although most of the workings only went to a depth of 120-150m, generally within the oxidized zone. Historical grades apparently averaged 500-600g/t silver with an unknown quantity of trace gold, with some local values of up to 2500g/t silver and as much as 3g/t gold reported. The production figures (tonnage and grade) referred to above are historical in nature and has not been verified by the issuer's Qualified Person, and should not be relied upon.

Valencia also recently announced an agreement to acquire up to an 80% interest in the Nuevo Juncal Property, approximately 125km southeast of Cachinal (See press release dated November 1, 2007).

Valencia is a Canadian resource company traded under the symbol VVI on the TSX Venture Exchange. Valencia's development strategy is focused on the exploration and development of silver and gold properties, including the Cachinal and Juncal Silver Projects in Chile and the Rancheria Silver Project in the Yukon Territory and British Columbia, Canada. With a focus on silver and gold exploration in the Americas, the Company also has a number of property acquisitions under consideration.

Regulatory Footnotes:

Mr. Douglas A. Currie, MAusIMM, Valencia's Executive Vice President-Exploration & Development, is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and has reviewed the technical disclosure in this press release. Field work in Chile has been performed under Mr Currie's supervision by SBX Consultores Ltda, Santiago, Chile.

All analytical work has been completed by ALS Chemex of North Vancouver, BC, Canada; ALS Chemex is an international analytical service which is accredited with NATA and complies with standards of ISO 9001:2000 and ISO 17025:1999. They employ a variety of international standards for quality control purposes.

Samples are transported from the field project to the ALS Chemex sample preparation facility in Coquimbo, Chile by the Contractor's personnel or a reputable commercial carrier. All analytical testing is performed utilizing a variety of industry standard analytical techniques, including: (i) ALS Analytical Code ME-MS41 - 50 element analysis using aquaregia digest and ICPAES analysis, (ii) ALS Analytical Code AA46 & AA62 - specific element analysis using aquaregia digest and AAS determination (Ag, Zn, Pb, Cu, As) and, (iii) Analytical Code Au-AA26 - Gold using a 50g Fire Assay-AAS finish.

All Reverse Circulation drill samples were geologically logged and sampled by the Contractor's geologists in one meter sample intervals; the archive portion of the sample is securely stored at the Contractor's facility in La Serena, Chile. The Company has initiated a QA/QC program consisting of utilizing field and prepared standards, duplicate and blank samples and laboratory cross-checks and routinely repeats sample analysis.

This press release contains "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information includes, but is not limited to, statements regarding exploration prospects, the identification of mineral resources, costs of and capital for exploration projects, exploration expenditures and timing of future exploration and the costs and timing of additional exploration activities on the property. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters, future prices of mineral prices; and risks of the mining industry. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.



TABLE 1
SIGNIFICANT RC DRILL RESULTS
PHASE III - 2007
(Update: November 27, 2007)

----------------------------------------------------------------------
Section Hole ID Depth From To Width Silver Gold Zinc
m m m g/t Ag g/t Au % Zn
----------------------------------------------------------------------
-50NNW CLRC-108 100.0 52 61 9 223.33 0.259 0.624
including 55 58 3 415.00 0.417 0.75
----------------------------------------------------------------------
-50 NNW CLRC-109 150 98 103 5 5.60 0.004 0.31
104 105 1 26.00 0.046 0.66
109 110 1 23.00 0.007 0.32
111 116 5 51.40 0.037 0.36
----------------------------------------------------------------------
00 NNW CLRC-110 180 12 16 4 8.25 0.008 1.10
18 20 2 362.50 1.312 0.28
----------------------------------------------------------------------
00 NNW CLRC-111 100 no significant values
----------------------------------------------------------------------
00 NNW CLRC-112 180 137 151 14 10.71 0.016 0.56
including 142 143 1 94.00 0.181 0.30
----------------------------------------------------------------------
50 NNW CLRC-113 180 49 58 9 pending assays
58 59 1 63.00 0.011 0.02
127 128 1 54.00 0.056 0.04
141 142 1 20.00 0.075 0.22
146 157 11 141.45 0.342 1.21
including 150 151 1 323.00 0.870 1.05
including 154 156 2 375.00 0.496 2.45
----------------------------------------------------------------------
100 NNW CLRC-114 164 122 130 8 41.50 0.067 0.29
----------------------------------------------------------------------
300 NNW CLRC-115 70 31 33 2 20.50 0.012 0.09
41 43 2 21.00 0.014 0.10
46 49 3 21.67 0.041 0.09
----------------------------------------------------------------------
300 NNW CLRC-116 180 148 150 2 35.00 0.095 0.14
----------------------------------------------------------------------
350 NNW CLRC-117 70 14 15 1 23.00 0.116 0.06
18 36 18 30.44 0.010 0.10
40 48 8 111.63 0.157 0.15
including 45 46 1 286.00 0.288 0.17
60 70 10 pending assays
----------------------------------------------------------------------
350 NNW CLRC-118 178 7 67 60 pending assays
134 142 8 61.50 0.097 0.29
161 163 2 26.50 0.116 0.14
----------------------------------------------------------------------
400 NNW CLRC-119 70 27 37 10 149.80 0.324 0.04
including 34 37 3 368.67 0.934 0.06
----------------------------------------------------------------------
400 NNW CLRC-120 170 33 35 2 21.00 0.052 0.07
112 114 2 117.00 0.121 0.05
140 142 2 200.00 0.080 0.29
146 149 3 78.67 0.164 0.58
----------------------------------------------------------------------
600 NNW CLRC-121 78 no significant values
----------------------------------------------------------------------
600 NNW CLRC-122 212 8 50 42 pending assays
206 208 2 131.00 0.401 0.07
----------------------------------------------------------------------
850 NNW CLRC-123 46 23 28 5 35.40 0.039 0.07
33 41 8 49.63 0.028 0.32
44 45 1 47.00 0.044 0.31
----------------------------------------------------------------------
850 NNW CLRC-124 234 160 168 8 70.25 0.084 0.05
----------------------------------------------------------------------
900 NNW CLRC-125 36 35 36 1 23.00 0.007 0.63
----------------------------------------------------------------------
900 NNW CLRC-126 200 146 160 14 66.21 0.052 0.15
including 147 149 2 261.00 0.177 0.18
----------------------------------------------------------------------
less
than
950 NNW CLRC-127 100 42 43 1 36.00 0.005 0.14
----------------------------------------------------------------------
950 NNW CLRC-128 190 129 133 4 107.75 0.047 0.23
137 157 20 199.55 0.108 0.12
including 147 149 2 526.00 0.185 0.12
including 154 155 1 585.00 0.193 0.09
157 158 1 pending assays
158 163 5 old workings - no
samples
163 190 27 pending assays
----------------------------------------------------------------------
1050 NNW CLRC-129 100 22 44 22 pending assays
44 53 9 21.89 0.035 0.12
61 84 23 32.17 0.049 0.16
----------------------------------------------------------------------
1050 NNW CLRC-130 190 61 64 3 31.33 0.030 0.12
86 88 2 20.00 0.064 0.07
102 104 2 34.00 0.029 0.09
106 108 2 39.50 0.051 0.12
112 125 13 35.54 0.198 0.35
137 145 8 39.63 0.178 0.49
158 190 32 pending assays
----------------------------------------------------------------------

NB: (1) All drillholes drilled at -60 degrees to the west on azimuth
250 degrees,
(2) Highlighted mineralization is shown as down hole intersection
widths; the current density of drilling precludes estimation of
"true thickness"
(3) Tabulated Significant Drill Results are selected on intersections
with Silver values greater than 20g/t Silver; emboldened
intersections have Silver greater than 60g/t Silver , Gold
greater than 0.20g/t Gold or Zinc greater than 1.0%


To view a map of "Valencia Ventures Inc. CACHINAL", please visit the link below:

http://www.ccnmatthews.com/docs/vvi_figure1.pdf

To view a map of "Resources Definition Drilling", please visit the link below:

http://www.ccnmatthews.com/docs/vvi_figure2.pdf

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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