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Press release from CNW Group

Dia Bras more than triples proven and probable reserves at its Yauricocha Mine, Peru

Thursday, September 06, 2012

Dia Bras more than triples proven and probable reserves at its Yauricocha Mine, Peru11:50 EDT Thursday, September 06, 2012VANCOUVER, Sept. 6, 2012 /CNW/ - Dia Bras Exploration Inc. (TSX-V:DIB) (BVL: DIB) ("Dia Bras" or the "Company") is pleased to announce new reserve and resource estimates on its Yauricocha Property, Yauyos Province, Peru.  The estimates are as of January 1, 2012.  Resource modeling and mine planning work were performed by Yauricocha staff and audited by Gustavson Associates, LLC of Lakewood, Colorado ("Gustavson"). Traditional underground estimation methods are used for mineral resources at Yauricocha. These are polygonal methods used in the longitudinal section with careful geologic controls and factors which have been established and refined over the 40 years of continuous exploitation.Press Release Highlights:The estimated total Proven and Probable Reserves for the Yauricocha Mine are 4,162,940 tonnes @ 420.8 g/t AgEq at a cut-off grade of 83 g/t AgEq:Average Grade: 119.7 g/t Ag, 2.81% Pb, 0.70% Cu, 2.57% Zn and 0.92 g/t Au.As of May 25, 2011, Proven and Probable reserves were 1,140,030 tonnes.The estimated total Measured and Indicated Resources, inclusive of reserves, are 4,181,390 tonnes @ 420.8 g/t AgEq at the same cut-off grade:Average Grade: 121.8 g/t Ag, 2.91% Pb, 0.72% Cu,2.54% Zn and 0.93 g/t Au.The estimated total Inferred Resources are 1,794,330 tonnes @ 276.4 g/t AgEq at the same cut-off grade:Average Grade: 58.62 g/t Ag, 1.57% Pb, 0,64% Cu, 1.08% Zn and 1.10 g/t Au.Daniel Tellechea, President and CEO of Dia Bras, commented: "These results demonstrate that the aggressive exploration done by the Company over the past year have paid off with this significant expansion of reserves.  We continue with our underground exploration drilling program in the Central Mine Area and expect to add significantly to the mine's reserves and resources over the coming year because we have significant geologic potential below the known mineralization."Gustavson has carefully audited Corona's mineral resource estimation methodology and estimations, as well as the experience of the geologic team and their adherence to a standard methodology.  Gustavson considers that the work meets industry standard practice, and considers these estimates to be compliant with CIM definitions and NI43-101 standards.  Based on the overall audit of methods and work products, Gustavson is of the opinion that the quality of Corona estimates meets criteria for classification as a "mineral resource" under the CIM definitions.Data used in estimation of resources and reserves consist of drift, sublevel, stope, raises and exploration drilling samples. The grades are assigned within the volume defined by the Yauricocha geologists, to provide the average grade of the block. The resulting average grade is adjusted for dilution and further adjusted by reconciliation with plant data from the previous two years.Traditional underground estimation methods are used for mineral resources at Yauricocha. These are polygonal methods used in the longitudinal section with careful geologic controls and factors which have been established and refined over the 40 years of continuous exploitation.The bodies are exploited using 8 mining methods depending on the material and rock mechanics characteristics of the resource.  Dilution factors vary between 10% for cut-and-fill mining and 25% for wet sub-level caving.  Yauricocha exploits three different types of mineral.  Each has a unique set of parameters for mine to mill reconciliation factors, which are presented in Table 1.All of the factors used have been refined by Yauricocha through their production history and can be verified by examination of the resource estimates and mine production reports.Table 1  Grade Adjustment for Mine-Mill ReconciliationPolymetallic BodiesCopper BodiesOxide BodiesAg-  8 %Ag-  6 %Ag-  10 %Pb-  6 %Pb-  0 %Pb-  10 %Cu-  10 %Cu-  6 %Cu-  5 %Zn-  8 %Zn-  0 %Zn-  5 %Gustavson has audited Yauricocha's work and accepts responsibility for the resource estimate.Yauricocha Reserve and Resource EstimatesThe estimated mineral resources are reported at an average cut-off grade of 83 gpt expressed in terms of silver equivalent grade (AgEq).  This is the grade reported by Yauricocha and the result of the estimates and adjustment factors previously discussed.AgEq= (Ag *Pag* Rag/31.1035)+(Pb*Ppb*Rpb*22.05)+(Cu*Pcu*Rcu*22.05)+(Zn*Pzn*Rzn*22.05)(Pag* Rag)Where the symbols representMetalSymbolGrade UnitsPricePrice SymbolRecovery SymbolSilverAgg/t26.28 $/tOzPagRagCopperCu%3.491 $/lbPpbRpbLeadPb%0.9988 $/lbPcuRcuZincZn%0.9531 $/lbPznRznRecoveryCopper BodiesLead OxidesLead SulfidesPolymetallicsRag65.50%29.50%12.50%66.10%Rpb61.72%58.09%6.85%32.80%Rcu90.09%11.44%20.50%55.92%Rzn85.95%6.71%11.34%87.92%*Gold is low grade and erratic and not included in the cutoff estimation.  (As of March 25, 2011, the average gold grade was 0.56 g/t in 1,140,030 tonnes of Proven and Probable Reserves.)The Yauricocha mineral resource estimation for January 1, 2012 is presented in Tables 2 through 5.  Mineral resources at Yauricocha are inclusive of mineral reserves.Mineral Resources are not Mineral Reserves and do not demonstrate economic viability.  There is no certainty that all or any part of the Mineral Resource will be converted to Mineral Reserves.  Quality and grade are estimates and are rounded to reflect the fact that the resource estimate is an approximation.Table 2 - Yauricocha Measured Mineral ResourcesORE TYPESMEASURED RESOURCESMETAL CONTENTm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)Ag(kg)Ag(oz*106)Pb(m-ton)Cu(m-ton)Zn(m-ton)Au(g) Polymetallic Ores1,026,840374.6685.021.860.704.330.4787,3022.80719,0997,18844,462478,487 Copper Ores117,130376.9786.290.382.081.210.4010,1070.3254452,4361,41746,852 Oxide Ores475,560776.66323.118.230.230.982.36153,6584.94039,1391,0944,6601,122,322TOTALS1,619,530492.87155.023.620.663.121.02251,0678.07258,68310,71850,5401,647,661Table 3 - Yauricocha Indicated Mineral ResourcesORE TYPESINDICATED RESOURCESMETAL CONTENTm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)Ag(kg)Ag(oz*106)Pb(m-ton)Cu(m-ton)Zn(m-ton)Au(g) Polymetallic Ores1,717,320261.3746.160.970.612.870.5579,2782.54916,60510,44249,334950,994 Copper Ores296,180382.4466.150.342.080.830.9919,5920.6301,0076,1542,463292,083 Oxide Ores489,860758.79318.539.230.230.461.95156,0355.01745,2141,1052,253955,227 Copper Oxide Ores58,500468.5719.250.543.192.490.401,1260.0363141,8661,45423,384TOTALS2,561,860375.2199.942.460.762.170.87256,0318.23163,13919,56655,5042,221,688Table 4 - Yauricocha Measured + Indicated Mineral ResourcesORE TYPESMEASURED + INDICATED RESOURCESMETAL CONTENTm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)Ag(kg)Ag(oz*106)Pb(m-ton)Cu(m-ton)Zn(m-ton)Au(g) Polymetallic Ores2,744,160303.7660.701.300.643.420.52166,5805.35635,70417,62993,7961,429,482 Copper Ores413,310380.8971.860.352.080.940.8229,6990.9551,4528,5913,880338,935 Oxide Ores965,420767.59320.798.740.230.722.15309,6939.95784,3532,1986,9142,077,549 Copper Oxide Ores58,500468.5719.250.543.192.490.401,1260.0363141,8661,45423,384TOTALS4,181,390420.78121.282.910.722.540.93507,09816.303121,82230,284106,0443,869,349Table 5 - Yauricocha Inferred Mineral ResourcesORE TYPESINFERRED RESOURCESMETAL CONTENTm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)Ag(kg)Ag(oz*106)Pb(m-ton)Cu(m-ton)Zn(m-ton)Au(g) Polymetallic Ores444,740302.9264.911.960.443.830.2828,8680.9288,7021,93717,047126,152 Copper Ores624,880231.0227.400.101.460.320.5917,1220.5506409,1262,013369,336 Oxide Ores204,710698.43288.339.170.170.111.7759,0241.89818,778342233361,927 High Grade Gold Ores (Adrico)520,000142.050.340.000.000.002.161770.0060001,123,200TOTALS1,794,330276.3858.621.570.641.081.10105,1913.38228,11911,40519,2941,980,615Gustavson has audited the detailed mine planning performed by the Yauricocha staff and has determined that the quality and level of detail of the work is sufficient to support a "mineral reserve" under the CIM definitions.  In addition to the dilution and reconciliation factors applied to resources, a mine recovery factor, differentiated by mining method is applied to the reserves.  This factor varies from 90% for sub level caving to 70% for sub level caving in the presence of water.The estimated mineral reserves are reported at an average cut-off grade of 83 gpt expressed in terms of silver equivalent grade (AgEq).  This is the grade reported by Yauricocha and the result of the estimates and adjustment factors previously discussed.The proven and probable reserves are inclusive of the measured and indicated resources.  Tables 6 through 8 summarize the Yauricocha mineral reserves.  The mineral reserve estimation for January 1, 2012 is presented in Tables 6, 7 and 8.Table 6  Yauricocha Proven Mineral Reserves ZONEPROVEN RESERVESm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)CACHI CACHI & MINA CENTRAL1,013,350534.04189.404.460.522.401.29 Polymetallic Ores517,350353.6987.401.830.643.980.38 Copper Ores48,610328.8673.800.181.960.620.41 Oxide - Mascota Lower Levels428,730755.77317.007.750.230.662.50 High Grade Oxides18,660974.27385.4013.040.233.411.12MINA IPILLO (Polymetallic)0      MINA VICTORIA (Copper Ore)0      TOTALS1,013,350534.04189.404.460.522.401.29Table 7 Yauricocha Probable Mineral ReservesZONEPROBABLE RESERVESm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)CACHI CACHI & MINA CENTRAL3,024,310373.2497.102.330.732.600.80 Polymetallic Ores2,295,920287.2952.001.100.683.210.53 Copper Ores254,970379.8063.900.222.060.861.05 Oxide - Mascota Lower Levels437,440774.22332.209.290.240.172.06 High Grade Oxides35,980935.67348.0010.620.246.070.96MINA IPILLO (Polymetallic)65,830503.88119.501.141.065.451.15MINA VICTORIA (Copper Ore)59,450367.7980.600.831.980.800.49TOTALS3,149,590375.8697.202.270.762.630.80Table 8 Yauricocha Proven + Probable Mineral ReservesZONETOTAL PROVEN + PROBABLE RESERVESm-tonAgEq (gpt)Ag(gpt)Pb(%)Cu(%)Zn(%)Au(gpt)CACHI CACHI & MINA CENTRAL4,037,660413.79120.202.860.672.550.93 Polymetallic Ores2,813,270299.8458.501.240.673.350.51 Copper Ores303,580371.2565.500.212.040.820.95 Oxide - Mascota Lower Levels866,170765.02324.708.530.230.422.28 High Grade Oxides54,640949.65360.8011.450.245.161.02MINA IPILLO (Polymetallic)65,830503.88119.501.141.065.451.15MINA VICTORIA (Copper Ore)59,450367.7980.600.831.980.800.49TOTALS4,162,940414.56119.702.810.702.570.92*Reserves from the Ipillo and Victoria Mines are conditional to negotiations with the local community and permit from the authority.The technical content of this news release has been approved by Thomas L. Robyn, Ph.D., CPG, RPG, a Qualified Person as defined in NI 43-101 and Head of Exploration for Dia Bras Exploration, Inc.  Zachery Black, EIT, SME-RM of Gustavson was responsible for the resource estimate.  Mr. Black is a Qualified Person as defined in NI 43-101 and an Associate Senior Resource Geologist.About Dia BrasDia Bras Exploration is a Canadian mining company focused on precious and base metals in Chihuahua State, other areas of northern Mexico, and at its Yauricocha silver-lead-zinc-copper-gold mine in Peru. The Company is accelerating exploration at the Yauricocha property as well as pursuing the development and exploration of its most advanced Mexican assets - the Bolivar Property (copper‐zinc‐silver) and the Cusi Property (silver) and is exploring in Mexico several precious metal targets such as La Sidra gold project at the Bolivar Property, the Las Coloradas silver project at Melchor Ocampo (Zacatecas State), the Bacerac silver project (Sonora State), and the La Verde gold project at the Batopilas Property (Chihuahua State).  Dia Bras is also exploring base metal projects in Mexico such as the Corralitos intrusion-hosted molybdenum deposit (Chihuahua State).The Company's shares trade on the Bolsa de Valores de Lima and TSX Venture Exchange under the symbol "DIB".Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.Forward-looking StatementsExcept for statements of historical fact, all statements in this news release without limitation regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements. SOURCE: Dia Bras Exploration Inc.For further information: For further information on Dia Bras Exploration Inc. visit www.diabras.com or contact: Daniel Tellechea President & CEO Dia Bras Exploration Inc. 1 (866) 493-9646 Matt Morrish Director, Investor Relations Dia Bras Exploration Inc. 1 (866) 493-9646