Denver, Colorado, February 13, 2007 - Constellation Copper Corporation (TSX: CCU) is pleased to announce assay results from holes drilled in the La Trinidad and the Mesa Grande area of the San Javier copper project, located approximately two hours drive east of the capital city of Hermosillo, Sonora, Mexico, and immediately adjacent to Mexican Highway 16 and near the village of San Javier.
This is the first time that any assay results from the holes drilled in these two areas have been reported. The Mesa Grande area is located approximately 1.5 kilometers northeast of the central Cerro Verde area, with the La Trinidad area located about 1.0 kilometer north of Mesa Grande. The holes reported below are generally widely spaced and include a mix of
nine core holes originally drilled by Orcana/Outukumpu in the La Trinidad area in 1994, several core holes drilled by Phelps Dodge in the Mesa Grande area in 1997, along with reverse circulation holes drilled in the Mesa Grande area by Constellation in 2006. Complete half-core was available from the older Orcana and Phelps Dodge core holes and these holes were re-logged and re-assayed according to Constellation guidelines. The original assays and drill logs for both the Orcana and Phelps Dodge holes in these areas were not available to Constellation. Nine additional Phelps Dodge core holes in the general Mesa Grande area are in the process of being re-logged and re-assayed, and the results for these holes will be released when available.
Of the nine holes drilled in the La Trinidad area, significant assay results were obtained from four holes which are reported below. A drill hole location map for the La Trinidad and Mesa Grande areas can be found on the web site at www.constellationcopper.com on the San Javier project page.
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The holes in the La Trinidad area test copper mineralization in altered and brecciated andesite peripheral to an altered rhyolite. Mineralization appears to be both disseminated and localized along structural zones, and consists predominantly of oxide and secondary sulfide copper minerals. In 1981 the Consejo de Recursos Minerales, a Mexican Government agency, published a report on the mineralization in the La Trinidad area wherein they estimated a resource of 4,000,000 tonnes at an unspecified grade. This report also indicates the average grade of 40 samples taken from surface exposures and 88 samples taken from existing underground workings in the area was 0.6% and 1.6% copper, respectively. This tonnage estimate should be considered as historical information only and does not conform to current NI43-101 standards. Hole SC-01 was drilled near the northern end of the area of this historical resource estimate, while all the other holes are located farther to the north and west, and are drilled over an area measuring about 700 meters by 200 meters.
Road access and drill sites have recently been completed in the La Trinidad area to facilitate a limited drill program to be performed later this year. A photo of the deposit exposed by a new access road is posted to the web site. Based on the results of these wide spaced holes that the Company believes this area has the potential to become a significant satellite deposit to the main deposit at Cerro Verde where drilling continues to expand the extent of known mineralization
Significant assay results were received from three of the seven Constellation holes drilled in the Mesa Grande area to date. These results along with the assay results for the two Phelps Dodge holes drilled in this same area for which we have assay results are reported in the table below. Other Constellation holes not reported here include appreciable thicknesses of 0.1X % copper mineralization.
The copper mineralization in the Mesa Grande area is similar to that in the Cerro Verde area and occurs in altered Tarahumara andesitic rocks with variable amounts of specular hematite. Mineralization is primarily disseminated with the copper predominantly as oxides and secondary sulfides. The drill holes are generally widely-spaced, covering an area of approximately 400 by 400 meters. A detailed evaluation of the significance of the mineralization in this area is not possible at this time, but mineralization remains open in all directions. Additional drilling in this area is required to further delineate any potential deposit at Mesa Grande. Like La Trinidad, this area could also represent a significant satellite deposit to that at Cerro Verde. The terrain between La Trinidad and Mesa Grande areas is steep and currently inaccessible to a drill rig. Local copper staining is apparent between the two areas.
Drilling, sampling, and assaying are being performed under the supervision of Mr. Gary A. Parkison, Vice President Exploration & Development for Constellation Copper Corporation, a Certified Professional Geologist and a Qualified Person. Sample preparation and assaying are being performed by International Plasma Labs Ltd. at their facilities in Hermosillo, Mexico and Richmond, British Columbia, Canada, respectively. Prepared standards and duplicate samples are inserted on a regular basis into the sample stream prior to assaying to ensure assay precision and accuracy. Drill hole locations and orientations are referenced in the table below. Drill hole intercepts are thought to represent true thicknesses or widths.
The preparation of a resource estimate compliant with NI 43-101 standards on the main Cerro Verde deposit is currently underway and should be released in the first quarter of 2007. In addition, metallurgical tests and initial project engineering and related studies will be incorporated into a preliminary economic assessment also projected to be finalized during early 2007. This assessment will address the potential to develop the Cerro Verde deposit as an open pit heap leach copper project with recovery by solvent extraction and electrowinning to produce Grade A copper cathodes.
We are pleased with the assay results available to date from these potential satellite deposits at La Trinidad and Mesa Grande and look forward to drilling additional holes in both of these areas. Drilling continues at the main Cerro Verde deposit with one core rig. This release was prepared by Gary A. Parkison, a Certified Professional Geologist and a Qualified Person under National Instrument 43-101.
For further information please contact: Constellation Copper Corporation Gregory A. Hahn, President & CEO Michelle Hebert, Manager, Corporate Affairs Tel: (720) 228-0055 Toll Free: 1-877-370-5400 Fax: (303) 863-1736 email@example.com www.constellationcopper.com Renmark Financial Communications Inc. Neil Murray-Lyon : firstname.lastname@example.org Tina Cameron : email@example.com Media - Lynda Martineau : firstname.lastname@example.org Tel.: (514) 939-3989 Fax: (514) 939-3717 www.renmarkfinancial.com This press release contains certain forward-looking statements. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to changes in commodity and power prices, changes in interest and currency exchange rates, inaccurate geological and metallurgical assumptions (including with respect to the size, grade and recoverability of mineral reserves and resources), unanticipated operational difficulties (including failure of plant, equipment or processes to operate in accordance with specifications, cost escalation, unavailability of materials and equipment, delays in the receipt of government approvals, industrial disturbances or other job action, and unanticipated events related to health, safety and environmental matters), political risk, social unrest, and changes in general economic conditions or conditions in the financial markets. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements 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 statements.