Orko Silver Reports on the Progress of Ongoing Advanced Studies
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 06/05/12 -- Orko Silver Corp. (TSX VENTURE: OK) ("Orko") reports today that technical issues causing delays in the completion of the updated resource estimate have been solved. Orko is anticipating the results of a new independent resource estimate currently being prepared by Mining Plus, an international mining consulting firm later this month.
These delays to the updated resource estimate are attributed to a more detailed review of the deposit undertaken and subsequent development of a revised vein model from the veins that were modeled in the Aug 2011 resource estimate contained in the August 2011 Preliminary Economic Assessment (the "2011 PEA") prepared by our former joint venture partner, Pan American Silver.
The La Preciosa resource currently being modeled by Mining Plus has now been defined by a number of individual variably dipping and striking vein sets over an area with dimension of 3.3km by 1.8km and to a depth approaching 650m below surface. This resource is extensive; it remains open along the eastern flank, to the southeast and to depth thus presenting potentially increased value to the company.
Early in the study, a decision was made to devote a higher level of diligence to the preliminary geological interpretation and resource modeling. In addition, as a direct result of the increased size of the database, Mining Plus experienced significant software issues when utilizing industry standard resource modeling software. This resulted in a considerable extension in the predicted time to complete the update. The updated resource estimate is now anticipated for completion in late June barring any further unforeseen technical issues.
Gary Cope, President and CEO of Orko, noted, "Although we are frustrated by the delays with the delivery of the updated resource estimate, we are encouraged by the amount of diligence and detail due to the increased size of the database that will be included in the updated estimate and we look forward to announcing the results as soon as the new estimate is completed."
The updated resource estimate, originally scheduled to be completed and released in March, will be an integral component of the new Preliminary Economic Assessment currently being completed by AMEC Americas Limited ("AMEC"). Management believes the potential exists for improvement in the economics of the project relative to the preliminary economic assessment released in the 2011 PEA. Timing for the completion of the new PEA will be predicated on the final completion of the updated resource estimate.
Orko currently has approximately $11.6 million in cash and short-term investments and is well funded to continue to advance the project. Orko has taken over as operator and is in the planning stages of further optimization on the project.
Orko also reports that its investor relations agreement with Chardan Capital, LLC dated October 20, 2010 was not renewed, pursuant to the terms of the agreement.
George Cavey, P.Geo., is the Qualified Person for Orko Silver Corp. and takes responsibility for the technical disclosure in this news release.
About Orko Silver Corp.
Orko Silver Corp. is developing one of the world's largest undeveloped primary silver deposits, La Preciosa, located near the city of Durango, in the State of Durango, Mexico.
ON BEHALF OF THE BOARD OF DIRECTORS
Gary Cope, President
This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements and Orko undertakes no obligation to update such statements, except as required by law.
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 release.
Contacts:
Orko Silver Corp.
Gary Cope
President
(604) 687-6310
www.orkosilver.com