SPOKANE, Wash., Dec. 22, 2003 (PRIMEZONE) -- Minera Andes Inc. (TSX Venture Exchange:MAI) (OTCBB:MNEAF) (the "Corporation") is pleased to announce the 2003-2004 Argentina exploration program is already underway. According to Allen Ambrose, president of Minera Andes, "we are focused on the potentially large copper/gold system located at Los Azules in San Juan province where we have retained a South American porphyry copper expert to advance the project and define drill targets." This program is part of a larger program to explore geologic targets in Minera Andes' property portfolio, and to add other prospective precious-metal assets. These properties are 100 percent owned by Minera Andes.
A program including geologic mapping, sampling, and ground geophysics has begun at Los Azules, a 3,495-hectare (8,633 acres) property discovered by Minera Andes. Rehabilitation of the access road is completed, and core drilling to test for mineralization at depth is planned for the first quarter of 2004. Several drill sites are already prepared. One of the identified targets at Los Azules straddles the boundary line between Los Azules and an adjacent property where drilling has discovered significant levels of porphyry copper mineralization in several holes. The holes were drilled through a leached cap into secondary and primary copper mineralization.
Los Azules is an attractive exploration target because copper grades and thicknesses discovered on the adjacent property increase toward Minera Andes' land position. This drilling encountered up to 0.55 percent total copper and 2.1 g/t silver over 143 meters in holes that ended in mineralization. Former joint venture operator Battle Mountain Gold drilled 18 holes on the adjacent property, and of these the three highest-grade holes were the closest to the Los Azules boundary. The holes intersected a barren leached zone from the surface to about 70 to 100 meters followed by an enriched copper oxide zone and then a mixed oxide-sulfide zone. The holes ended in mineralization. The closest hole, 220 meters from the boundary, included a 117-meter interval of 0.61 percent copper and 2.3 gm silver.
Porphyry Expert Retained
Minera Andes has added a prominent South American porphyry copper geologist to its exploration team to manage exploration at Los Azules, through contracting with Nivaldo Rojas and Associates, a geologic consulting firm based in Argentina. Nivaldo Rojas, principal of the firm, formerly was the Argentina country manager for BHP Minerals, and prior to work in Argentina, was closely involved in BHP's early work at the Escondida copper mine in Chile, one of the largest and most successful copper mines in the world.
Elsewhere in Argentina, the Corporation's joint venture project continues to advance at the Huevos Verdes gold/silver discovery at the San Jose project in Santa Cruz, where underground development is currently in progress. Minera Andes recently funded its 49 percent interest in this joint venture and is well funded with working capital of approximately US$3.5 million to carry out its exploration programs. A mine development decision is planned for 2004.
Minera Andes is a mining exploration corporation that is involved with approximately 10 projects on about 198,000 hectares (about 489,000 acres) of mineral exploration land in Argentina. The properties primarily contain gold, silver and copper mineralization targets. The Corporation is presently pursuing the further development of its co-owned gold/silver discovery property in Santa Cruz province, and is prospecting in other Argentine provinces. The Corporation presently has 59,740,865 issued and outstanding common shares.
For further information, please contact: Art Johnson at the Spokane office, or Krister A. Kottmeier, investor relations -- Canada, at the Vancouver office. Visit our Web site: www.minandes.com.
Spokane Office Vancouver Office 3303 N. Sullivan Road 1000-355 Burrard Street Spokane, WA 99216 USA Vancouver, B.C. V6C 2G8 Phone: (509) 921-7322 Phone: (604) 689-7017; 877-689-7018 E-mail: mineraandes@minandes.com E-mail: ircanada@minandes.com
FORWARD-LOOKING STATEMENT -- Although Minera Andes believes many of its properties have promising potential, its properties are in the early stages of exploration. None have yet been shown to contain proven or probable mineral reserves. There can be no assurance that such reserves will be identified on any property, or that, if identified, mineralization may be economically extracted. The Corporation's results will be subject to known and unknown risks and uncertainties that may cause the Corporation's actual results in future periods to differ materially from forecasted or anticipated results. Among those factors which could cause actual results to differ materially are the following: the risks inherent in mineral exploration and the mining industry, the Corporation's needs for additional capital, and other risk factors listed from time to time in the Corporation's SEC reports.
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