Adriana Continues Negotiations
TORONTO, ONTARIO -- (Marketwire) -- 05/18/11 -- Adriana Resources Inc. ('Adriana' or the 'Company') (TSX VENTURE: ADI) announces, in furtherance of a press release made on March 23, 2011 regarding the closing of a private placement with WISCO International Resources Development & Investment Limited ('WISCO') which also referenced a proposed Joint Venture Agreement between WISCO and the Company which was to be entered into by May 16, 2011, that as of today's date the Joint Venture Agreement has not been signed. The parties continue to negotiate its terms.
The Company recommenced diamond drilling on the Lac Otelnuk property on May 12 as part of its 2011 exploration program to increase and upgrade mineral resources on its Lac Otelnuk world-class iron deposit located in the Labrador Trough, Nunavik, Quebec. A drill program of 113 BQ holes totalling approximately 16,000 meters is planned for 2011 including the completion of in-fill holes on the South Zone of the deposit to upgrade 'indicated' resources to 'measured' category, delineation drilling on the North Zone of the deposit where most of the drilling was carried out in the 1970s, and wide spaced exploration drilling to test other un-drilled targets. In addition, a yet to be determined number of large diameter (PQ) holes are proposed to collect bulk samples for metallurgical grindability testing.
The Company has again retained Watts Griffis and McOuat to update the mineral resource estimate to include the results of 40 drill holes completed in 2010. Most of these holes are in-fill holes drilled on the South Zone. A total of 108 diamond drill holes totalling 13,258 have been drilled on the South Zone of the deposit since Adriana acquired the Project.
The NI 43-101 Report in respect of the South Zone was issued on behalf of the Company by Watts, Griffis and McOuat and filed under the Company's profile on SEDAR in May 2009.
As part of its 2011 Lac Otelnuk Property program, the Company has completed a geo-metallurgical study and has retained SGS Minerals to conduct bench scale testing. Environmental baseline monitoring under the supervision of Golder Associates is also scheduled to resume in the spring.
The Company has engaged Golder and Associates to undertake an 'Environmental and Social Impact Assessment' (ESIA) of the Project.
ON BEHALF OF ADRIANA RESOURCES INC.
Allen J. Palmiere, President and CEO
Certain information regarding the Company, including the completion of the definitive joint venture agreement with WISCO may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and uncertainties. Certain important risk factors could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements including, without limitation, completion of due diligence to the satisfaction of WISCO, approvals of the government of China, approval of the TSX-V, changes in the world wide price of mineral commodities and currency fluctuations, general market conditions, and the uncertainty of future profitability and access to sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements and caution should be exercised on placing undue reliance on forward looking information.
Neither 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 press release.
Contacts:
Adriana Resources Inc.
Allen Palmiere
President & CEO
416-363-2200
apalmiere@adrianaresources.com
Adriana Resources Inc.
Connie Dos Santos
Director, Investor Relations
416-363-2200
cdossantos@adrianaresources.com
www.adrianaresources.com