Great Panther Develops Gold Rich Vein at Topia Mine

 

VANCOUVER, BC - Great Panther Resources, Ltd. reported that continuing development along the Recompensa vein, at the Topia Mine, Durango, Mexico, is yielding exceptionally high gold grades in addition to silver, lead and zinc. The Recompensa Mine was one of many of the Topia mines that were reopened in January under new mining contracts. It contributed to the successful first quarter at Topia when record highs were set for silver production and ore grade. Production and unit costs at Topia are expected to improve further in 2009.

Development and stoping continue on the 1170 and 1212 levels in the Recompensa Mine. Along the main haulage level (1170), channel sampling has indicated that 133 metres of strike length averages 16.87g/t gold, 175g/t silver, 3.80% lead, and 3.17% zinc across an average width of 0.24 metres. This area is presently being stoped up to the 1212 level.

On the 1212 level, channel sampling has indicated that 120 metres of development from surface to the east face, averages 19.04g/t gold, 851g/t silver, 8.12% lead and 10.85% zinc over an average width of 0.28 metres. Sublevel development and stoping above the 1170 and 1212 levels confirm the tenor of grade on the levels. A third level (1245) will be developed, accessible by raise from the 1212 level.

Sixty metres west of the portal of the 1170 level, shallow development by previous operators is evident on the Recompensa vein (but here called the El Rincon Mine). Re-sampling of the El Rincon workings on the 1165 level, along 75 metres of strike, averaged 11.52g/t gold, 198g/t silver, 7.96% lead, and 5.98% zinc over 0.46 metres width.

Overall, 700 metres of strike length on the Recompensa vein has been sampled on a wide spacing on the Company's property. The eastern extent of the vein is unexplored, due to rugged terrain, and may well merge with the Oliva vein, currently in production. Despite the narrow widths of the Recompensa vein, the exceptional grades make it economic to mine using the same resuing methods in use at some of the Company's other mines in the Topia District.

An exploration program consisting of surface drilling is being considered to test the Recompensa vein along 500 metres of strike below the 1170 level and El Rincon development, and above the Recompensa cross cut on the 1120 level. If successful, the El Rincon Mine will be rehabilitated, and development on the vein commenced from the Recompensa cross cut.

The Recompensa vein is the lowest elevation vein being exploited at the Topia Mine. It is unique in the district considering the high grade gold values associated with high silver, lead and zinc. The vein is characterized by a quartz gangue with semi-massive sulfides constituting pyrite, galena, sphalerite, arsenopyrite and minor chalcopyrite. Topia District veins are more typically characterized by quartz or barite-quartz gangue with galena, sphalerite, minor pyrite, and trace to nil chalcopyrite.

The companys address is Suite 2100, 1177 W. Hastings St., Vancouver, BC V6E 2K3, 604-608-1766, fax: 604-608-1744, email: [email protected].