Further Wide Copper-Tin Intercepts With High Grades At Escacena Project

VANCOUVER - Pan Global Resources Inc. reported that drilling continues to expand the La Romana copper target at the Escacena Project with significant near surface high grade intercepts of copper and tin mineralization. La Romana is located approximately 6km southwest of the former Aznalcollar open pit mine and approximately 15km west of the Las Cruces copper mine, in the Iberian Pyrite Belt, southern Spain.

Tim Moody, Pan Global President and CEO states: "The new drill holes at La Romana continue to deliver some excellent results with near surface high-grades over wide intervals, including additional supergene enrichment style mineralization. Step-out holes in the west have extended the strike length of the mineralization to more than 800m and remains wide open. Results for 21 additional drill holes are pending and drilling is continuing. We fully expect to further expand the area of mineralization with the ongoing program."

Drill results

The latest drill results are from nine new holes in the Phase 4 drill program at the La Romana discovery. The drill program is testing extensions in all directions of the volcanic hosted massive sulphide associated mineralization.

Drill holes LRD43, LRD45, LRD46 and LRD50 tested extensions of the copper mineralization near surface and at depth in the west of La Romana. Holes LRD52, LRD55 and LRD58 targeted near surface mineralization in the east. Holes LRD44 and LRD47 tested down-dip potential. Copper mineralization was intersected in all nine holes, with the most significant grades reported from near surface intercepts in LRD45, LRD55 and LRD58.

The recent drill results at La Romana confirm the high-grade near surface copper mineralization continues over a strike length of approximately 800m and remains open along strike, down-dip and up-dip locally. The primary mineralization includes mainly stockwork, semi-massive sulphides and bands of massive sulphide, with chalcopyrite as the main primary copper mineral and cassiterite as the only observed tin mineral. The copper and tin mineralization is associated with elevated levels of silver, cobalt and gold. Supergene chalcocite is also evident in several recent drill holes and most significant in hole LRD58 with 14.7m at 1.24% Cu where chalcocite is the principal copper mineral.

LRD43, LRD45, LRD46 and LRD50 extend the copper mineralization in the west and it remains open in that direction. There is the potential for the copper mineralization to extend a further 400m to the west, in the direction of the historic La Romana mine workings. Tin grades also appear to increase in this direction.

Hole LRD43 extends the near-surface copper mineralization approx. 50m along strike to the east of hole LRD18, which included 21.6m @ 1.02% CuEq. The copper mineralization remains open down dip and to the west of hole LRD43. Significant results include: 31.15m at 0.62% CuEq (0.34% Cu, 0.07% Sn, 2.3g/t Ag, 0.02g/t Au) from 88m downhole, including several narrow close-spaced intervals with >1% CuEq.

Hole LRD44 is located approx. 50m west and along strike from hole LRD19 which returned 10m at 2.1% CuEq, including 0.65m of massive chalcopyrite with 13.6% CuEq. The results include several thin high grade copper intervals, including 0.45m at 4.88% CuEq (4.24% Cu, 9.8g/t Ag, 0.081% Co, 0.07g/t Au) from 238m down hole, indicating continuation of the massive sulphide from hole LRD19.

Drill hole LRD45 confirmed that the near surface high grade copper mineralization extends a further approx. 50m west from LRD20 which intersected 26.5m at 1.27% CuEq. The mineralization remains open along strike to the west and shows high tin values (up to 0.99% Sn). A supergene enriched chalcocite zone is also evident from 21.5 to 37.5m beneath approx. 15m of cover. Significant results include: 30.0m at 1.0% CuEq (0.50% Cu, 0.14% Sn, 2.1g/t Ag, 0.01g/t Au) from 19.5m, including; 14.4m at 1.7% CuEq (0.83% Cu, 0.27% Sn, 3.2g/t Ag, 0.011g/t Au) from 23.1m (supergene chalcocite).

Drill hole LRD46, in the west of the drill area, intersected 25m at 0.57% CuEq (0.24% Cu, 0.094% Sn, 1.3g/t Ag) from 81m with assay values up to 0.68% Cu and 0.41% Sn. The results confirm the copper-tin mineralization continues approx. 100m along strike from hole LRD43 and remains open to the west and down-dip.

Drill hole LRD47 tested the down-dip continuation of a downhole EM conductor anomaly. The hole intersected 17m at 0.52% CuEq (0.40% Cu, 0.022% Sn, 1.9g/t Ag) from 174m downhole, including 3m at 1.26% CuEq (0.9% Cu, 0.09% Sn, 4.1g/t Ag) from 176m and confirms copper mineralization continues more than 100m down-dip from hole LRD37.

Drill hole LRD50, located 50m up-dip to the south of LRD46, tested continuation of the copper mineralization to the west. The hole intersected 24.1m at 0.71% CuEq (0.35% Cu, 0.10% Sn, 2.1g/t Ag) from 41.9m, including several close-spaced higher-grade intervals ranging from 0.2 to 4m thick with >1% CuEq. The results indicate copper-tin grades increase towards surface and up-dip from hole LRD46 and remains open to the west.

Drill hole LRD52 tested 50m along strike to the east of hole LRD40, which intersected 52.6m at 1.0% CuEq, including 26.6m at 1.39% CuEq. The results include 23m at 0.41% CuEq (0.26% Cu, 0.026% Sn, 1.6g/t Ag) from 50m, including several close-spaced higher-grade intervals ranging from 0.2 to 1.5m thick with >1% CuEq. The results indicate a wide zone of alteration with anomalous copper and tin, but lower grade than hole LRD40.