Tejamen proves richer than first thought (April 19, 2004)

Vancouver — Drilling by Oremex Resources (ORM-V) has resulted in high silver values over longer-than-expected intervals at the Tejamen property in Durango state, Mexico.

The company has been drilling the 16.7-sq.-km property since late 2003. Most of the work is focused on both the Cerro Prieto shear zone, which is 500 metres long, 150 metres wide, and open along strike and at depth, and the adjacent El Manto zone.

Wide intersections in six new holes at Cerro Prieto exceed 3 oz. silver per tonne. Hole 18 intersected silver from surface and bottomed in similar mineralization at 656 ft. The thickest intersection was 485 ft. grading 4.12 oz. silver. Another intersection in the same hole assayed 5.53 oz. silver over 20 ft.

Drill results indicate the deposit is wide open to the east and along both strike directions.

Standouts from recent drilling at Cerro Prieto include the following:

— hole 13 — 171 ft. grading 3.49 oz. silver, including 20 ft. of 3.49 oz.

— hole 27 — 98 ft. of 3.92 oz. silver, including 33 ft. of 7.75 oz.

— hole 28 — 223 ft. of 2.62 oz. silver.

Previous highlights include 3.48 oz. silver over 216 ft., 3.22 oz. over 85 ft., and 2.80 oz. over 197 ft.

Meanwhile drilling has begun on the El Manto zone, where disseminated mineralization, as well as bonanza grades higher than 5,000 grams silver, have been intersected in the past. This larger, flat-lying zone will be tested by 81 drill holes.

Oremex recently raised $5.5 million by privately placing 5 million units priced at $1.10 per unit for a total of $5.5 million. A unit consists of one share and half a warrant, which can be used to buy a share at $1.25 within one year.