VANCOUVER, B.C. July 23, 2002 (PRIMEZONE) -- Andean American Mining Corp. (TSX: AAG) is pleased report that the Company has staked 2,300 hectares of land adjoining the eastern edge of the Santa Rosa Property. The Santa Rosa Property is within the southern Intercordilleran Belt of the Peruvian Andes and is approximately 550 kilometres southeast of Lima. The addition of this 2,300 hectares increases the size of the Santa Rosa Property to 15,740 hectares (an increase of approximately 17% in total area - see map at Company website).
The Santa Rosa Property is located in the centre of a greater than 200 km long northeast trend of deposits that is coincident with a 5 to 8 km wide structural corridor. This trend includes at least 22 gold-silver +/- copper deposits including 9 past or present producers. The total length of this structural corridor within the Santa Rosa Property has now increased to 16 kilometres. There is currently one known mineralized target within this new land package -- now called the Mamara Zone. This then increases the total number of known mineralized zones within the Santa Rosa Property to twenty (20).
Company geologists recently visited the Mamara Zone. The area is host to volcanic rocks belonging to the Tacaza Formation. The Tacaza Formation is regionally extensive in southern Peru and is correlative to the Calipuy Group Volcanics in the north of Peru. The Calipuy Volcanics are better known as the host rocks for both Pierina and Yanacocha. This reconnaissance work in the Mamara area has identified local zones of intensely silicfied volcanics with local calcedonic breccias. This target area is approximately 1.0 by 1.5 km in size and contains least 10 old workings. One 2 metre sample taken from within these workings graded 0.85 g/t gold.
The Mamara area will be the subject of a more detailed exploration program in the future.
Andean American's objective is to create shareholder value through low cost mine development. At Santa Rosa, through higher process rates and continued process refinements the aim is to have production costs in the lowest quartile for the industry. The mine is now in commercial production and this is seen as a realistic goal as Peru is host to two of the world's lowest cost producers of gold, Yanacocha and Pierina - both of which are high altitude heap leach operations.
To find more about Andean American Mining Corp. (TSX: AAG) visit our website at www.andeanamerican.com.
For further information, please contact John Devlin at 1-866-885-0484 and jdevlin@andeanamerican.com or the Company at (604) 681-6186 or toll free 1-888-356-4784 and email info@andeanamerican.com
On behalf of Andean American Mining Corp.,
"Ian Foreman" Ian Foreman, P.Geo. Exploration Manager
This news release may contain forward-looking statements regarding upcoming work programs and events.
Actual results may differ materially from those anticipated in such statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release. Andean American Mining Corp.