Verena Minerals Corporation

Verena Minerals Corporation

April 10, 2007 08:00 ET

Verena Announces 10,000-Metre Drill Program at Volta Grande

TORONTO, ONTARIO--(CCNMatthews - April 10, 2007) - Verena Minerals Corporation ("Verena" or "Company") (TSX VENTURE:VML) today announced exploration plans for its wholly-owned Volta Grande gold project, including 10,000 metres of core drilling. Verena's Volta Grande gold project covers 7,943 hectares of the Tres Palmeiras greenstone belt in northern Brazil, and hosts an indicated resource of 240,000 ozs. Au (7.39 million tonnes at 1.01 g/t), and an inferred resource of 1.496 million ozs. Au (48.46 million tonnes at 0.96 g/t) using a 0.5 g/t cut-off. (See press release dated December 15, 2006).

The 10,000 metres of core drilling is a continuation of a larger, long-term program that began last year following completion of Verena's acquisition of Volta Grande. It will commence later this month and will include in-fill drilling on the existing resource and the testing of at least two new targets identified by positive geochemical sampling results. Additional new drill targets are expected over the next several weeks, following the receipt of additional geochemical assays and the completion of an airborne geophysical survey, also set to commence later this month, to be flown over the entire concession.

Widespread gold mineralization was identified at Volta Grande in the 1990s by past operators TVX Gold (now Kinross) and Battle Mountain Exploration (now Newmont) which combined to drill over 27,000 metres on the property. The shear-hosted resource is contained in eight areas, six of which have been developed by artisanal workings. Within these areas, there are many narrow zones of higher-grade gold mineralization, open along strike and at depth, with excellent potential for expansion. Preliminary metallurgical work by the prior operators indicated that Volta Grande mineralization is amenable to conventional processing methods, with gold recoveries of up to 95-per cent in bottle roll tests.

Late last year, Verena completed the first 5,000 metres of a planned 37,000-metre core drilling program to be conducted in several phases. The drilling focused on the Grota Seca West and Grota Seca East target zones and included the following near-surface highlights: 74.9 metres of 1.33 g/t gold, 66.0 metres of 1.59 g/t gold, 49.0 metres of 2.22 g/t gold, and 25.0 metres of 3.76 g/t gold, as announced in Verena's press release of December 15, 2006.

The Company also announced that pursuant to the policies of the TSX-V, the Company has granted 1,800,000 incentive stock options to the Company's directors, officers, employees and a consultant of the Company to acquire up to an aggregate of 1,800,000 common shares of the Company's amended and restated stock option plan most recently approved by shareholders of the Company at the Annual and Special Meeting of the Shareholders held on June 14, 2005. All the 1,800,00 options are exercisable at $0.60 per share, being greater than the closing price of Verena's common shares on the TSX-V on the date immediately preceding the grant, and expire on April 10, 2012. The options vest as to: (i) 40 per cent immediately, (ii) 30 per cent one year from the date of the grant, and (iii) the final 30 per cent two years from the date of the grant.

Verena Minerals Corporation is exploring for gold along the major mineralized belts of northern Brazil. Verena is focused on expanding and advancing its Volta Grande Gold Project, where a planned 37,000-metre core drilling program will resume this month. Verena has a strategic alliance with Kinross Gold Corporation, which owns 7.3 per cent of Verena and holds options on the Monte do Carmo and Patrocinio gold projects. Verena also holds the past-producing Bonfim Gold Mine, along with a portfolio of Brazilian diamond and gem properties. Verena trades on the TSX Venture Exchange under the symbol "VML" and has 97.5 million common shares issued and outstanding.

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

Contact Information

  • Verena Minerals Corporation
    Stephen Shefsky
    President and CEO
    (416) 924-4337