News Article
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| TSX: BGL October 18, 2006 Cinco Minas Exploration Update for October 2006 As previously reported in the exploration update of September 20, 2006, Bandera?s thrust of the program is to increase the geological knowledge of the property and develop significantly greater resource definition. The Company was successful in identifying three zones outside of the main workings at Cinco Minas including other structures adjacent to, but independent of, the main mine workings that show considerable potential for development. From this work it appears that the potential of very high grade workings can be developed in the footwall structures. Assay values of Au between 1.5 and 2.2 ppm and Ag between 192 and 400 ppm have been obtained from exposed vein rock. The exploration success continues. Bandera?s exploration team has been successful at locating ore zones containing significant volumes of higher grade in the upper San Juan, El Cohete and El Abra areas of Cinco Minas. Further sampling will be taking place in these areas and in particular, at El Abra, where past drilling programs have encountered over 2 kg/tonne zones of Ag in areas originally thought to have been mined out. In conjunction with these exploration activities a more comprehensive small scale mapping program was carried out at the Cinco Minas site to understand geologically where potential high grade shear zones are located. The completion of this mapping program will assist greatly in being able to define locations where high grade ore can be obtained for processing. All of the information obtained from the continued field exploration will be used to enhance indicated and inferred resource estimates in the upcoming NI43-101 report which will be completed in the near future. Production Update Construction and fabrication at the site of the 60 tonne per day pilot plant is progressing nicely and it is expected that test production will take place by mid to late November. The rainy season is nearly ended for this year and therefore any further delays as a result of weather should be minimal. Metric conversion: 1 ppm (1 gram per tonne) equals 0.0292 troy ounces per ton 1 meter equals 3.215 feet A further update will follow in the next several weeks regarding timing of the construction of the intermediate sized mill and planned exploration going forward. The technical information contained in this news release was collected, compiled and reviewed by Richard Munroe, B.Sc., FGAC, P.Geo., a qualified person under NI43-101. Bandera Gold Ltd. is a Junior Canadian Exploration Company whose corporate strategy is to build shareholder value by finding and developing overlooked and undervalued mineral properties in North America and South America. By partnering with an experienced mining and mineral exploration entity, the Company?s core focus will be the continued exploration and advancement of the Cinco Minas property in Mexico to production, exploration of the Gran Cabrera property in Mexico and the exploration of the Belmira property in Colombia. On behalf of the Board Kelvin Williams, CEO For further information please contact: Kelvin Williams, President (780) 465-4129 Web: www.banderagold.com Or Micro Cap et al, Investor Relations at: (877) 642-7622 E mail: info@microcapetal.com The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The foregoing information may contain forward-looking statements relating to the future performance of Bandera Gold Ltd. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially. These risks and uncertainties are detailed from time to time in the Corporation?s filings with the appropriate securities commissions. Suite 6, 3908-97 Street, Edmonton, Alberta, Canada T6E 6N2 ∙ Tel (780)465-4129 ∙ Fax (780) 469-6040 |
