Cerro Grande Mining Corporation Announces Results of Drill Hole PP 004 on its Porphyry Deposit of Pimenton

Published on Thursday, 09 February 2012 08:41 Written by TradersHuddle Staff

TORONTO, Feb. 9, 2012 /PRNewswire/ - Cerro Grande Mining Corporation (the "Company" or "CEG") (TSX-CEG; OTCQX-CEGMF) announced today the drilling results of its diamond drill hole PP 004 which has been drilled on the Company's Pimenton porphyry deposit.

Diamond drill hole PP 004 located at 385600E-6405830N with an azimuth of 90 and a minus 65 degree inclination was drilled to 638 meters.

The following mineralized intercepts were encountered.

The assay results above were conducted by fire assay and ICP-32 by Acme Analytical Laboratories, Santiago, Chile an ISO-9000 rated laboratory.

From 414 to 618 meters, over a length of 204 meters, the hole averaged 0.24 g/t gold and 0.372 per cent copper.

PP 004 was drilled 140 meters north of Rio Tinto's hole PM DD 004 which gave 279 meters of 0.43 g/t gold and 0.40 per cent copper. As the two holes have converging directions or azimuths the intercepts in the two holes vary from 90 to 25 meters apart.

The north south trending mineralization coincides closely with a mobile metal ion copper anomaly.

Hole PP 005 has just started drilling and is located 230 meters due north of PP 004 and is now drilling for the northern extension of the mineralization found in PM DD 004 and PP 004,  which is also indicated by the copper mobile metal ion anomaly referred to above.

This new release has been reviewed and approved by David R. S. Thomson, EVP of Exploration of Cerro Grande Mining Corporation and a Qualified Person in accordance with NI 43-101.

Cerro Grande Mining Corporation is a minerals producing, exploration and development company with properties and activities currently focused in Chile.

Cautionary Statement on Forward-looking Information

This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performance of CEG. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state 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 CEG to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release based on current expectations and beliefs and CEG disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. 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, the reader is cautioned not to place undue reliance on forward-looking statements.

SOURCE Cerro Grande Mining Corporation