Capstone Announces Additional Mineral Claims Acquired Adjacent to Cozamin Copper Mine, Mexico



    
    Three Claims Encompass potential Down Dip and Strike Extensions of High
    Grade Mineralization
    

    VANCOUVER, Sept. 8 /CNW/ - Capstone Mining Corp. (CS: TSX) today
announced that it and its wholly owned subsidiary, Capstone Gold SA de CV,
have entered into a definitive agreement with Golden Minerals Company
(AUM:TSX) of Golden Colorado whereby Capstone Gold will acquire three mineral
claims immediately adjacent to its Cozamin Mine in Zacatecas State, Mexico.
These three claims encompass potential down dip and strike extensions of the
mineral resources and mineral reserves in the principal San Roberto area of
the mine, as well as the down dip extension of the San Rafael area. The
mineral resources and mineral reserves for each of the San Roberto and San
Rafael areas are detailed in a news release dated June 1, 2009.
    "The acquisition of these three mineral claims immediately adjacent to
the Cozamin Mine provides some immediate opportunities for the discovery and
definition of additional mineral resources and mineral reserves," said Stephen
P. Quin, President & COO of Capstone. "Given the proximity to some of the best
mineralization in the San Roberto deposit and the development currently in
process in that area, we will begin evaluating this potential shortly. The
potential of these claims to host down dip extensions of the San Rafael and
the San Roberto mineral resources is an added bonus that we will look to
evaluate going forward."

    Mineral Claims Acquired

    The three mineral claims acquired (San Francisco, Santa Rita and La
Esperanza) lie within Capstone Gold's current mineral holdings at the Cozamin
Mine and immediately north of the current mining areas. Because the principal
Mala Noche vein, which hosts all of the currently known mineral resources and
mineral reserves, dips north, the Mala Noche vein crosses on to these claims
below the current mineral resources and reserves. Sections identifying the
location of these claims relative to the existing mineralization can be
accessed on Capstone's website at
http://capstonemining.com/s/CozaminPhotos.asp.

    Mineral Potential

    Capstone Gold has drilled down to the boundary of the San Francisco and
Santa Rita in the San Roberto area of the Cozamin mine which hosts the
majority of the mineral resources and all of the mineral reserves contained in
the June 1, 2009 news release. There is potential for continued down dip
extensions of the San Roberto mineralization on to these two claims. However,
the principal near term potential for mineral resource and mineral reserve
additions lies on the La Esperanza claim, which lies immediately east and on
strike of the highest grade and widest copper-silver mineralization in the San
Roberto area and immediately down dip of the zinc-silver rich San Rafael
mineral resources.
    Development of the wide, high grade areas (typically 20m to as much as
35m wide and grading better than 2.5% copper) in San Roberto is currently in
process and this acquisition will allow current development to be extended
along strike into the La Esperanza claim to determine its potential to host
immediate mineral resource and mineral reserve extensions. In addition, the
San Rafael area was drilled in 2008 evaluating this area for potential down
dip extensions of zinc-silver rich mineralization in the historic San Rafael
shaft area, which drilling successfully outlined the mineral resource outlined
in the June 1, 2009 news release. However, the most encouraging aspect of this
was that the mineralization at San Rafael appears to be transitioning to
higher copper grades at approximately the same elevation as occurs in the San
Roberto area. As a result, there may be potential for the discovery of
copper-rich extensions down dip of the current San Rafael mineral resources,
eventually extending on to the La Esperanza claim. In order to test this
latter potential, development of a drift is currently in progress to (a)
evaluate the higher copper grade portion of the current San Rafael mineral
resource and (b) provide drill platforms for the evaluation of down dip
extensions to the San Rafael mineral resource.

    Acquisition Agreement

    The three mineral claims are being acquired from Minera Largo S de RL de
CV, a wholly owned subsidiary of Golden Minerals Company (AUM: TSX). The
purchase price comprises (a) an upfront payment of US$1.0 million (paid) and
(b) future cash payments of a net smelter return of 1.5% on the first one
million tonnes of production from the acquired claims and (c) cash payments
equivalent to a 3.0% net smelter return on production in excess of one million
tonnes from the acquired claims. The net smelter return on production in
excess of one million tonnes also escalates by 0.5% for each US$0.50 increment
in copper price above US$3.00 per pound of copper.

    Completion of Transaction

    Definitive agreements have been executed and the initial cash payment of
US$1.0 million paid. Transfer of the title to the acquired claims will be
completed shortly.

    Looking Forward

    Capstone Gold will likely begin evaluating the potential of the La
Esperanza claim to host extensions of the wide, high grade San Roberto
mineralization in the latter part of 2009 by extending the development
currently in process in the area, while the potential for down dip extensions
of the San Rafael mineralization will likely commence in early 2010, on
completion of the development currently in progress in the San Rafael area.

    
    The TSX does not accept any responsibility for the adequacy or accuracy
    of this press release.
    

    Quality Assurance

    The technical information in this news release has been prepared in
accordance with Canadian regulatory requirements set out in National
Instrument 43-101 and reviewed by Stephen P. Quin, P. Geo., President & COO
for Capstone Mining Corp., Bob Barnes, P.Eng. Vice President, Operations -
Mexico with Capstone Mining Corp. and Hugh Willson, P.Geo. Vice President,
Exploration (Mexico) with Capstone Mining Corp.

    Forward-Looking Statements

    This document may contain "forward-looking information" within the
meaning of Canadian securities legislation and "forward-looking statements"
within the meaning of the United States Private Securities Litigation Reform
Act of 1995 (collectively, "forward-looking statements"). These
forward-looking statements are made as of the date of this document and
Capstone Mining Corp. (the "Company") does not intend, and does not assume any
obligation, to update these forward-looking statements.
    Forward-looking statements relate to future events or future performance
and reflect Company management's expectations or beliefs regarding future
events and include, but are not limited to, statements with respect to the
estimation of mineral reserves and mineral resources, the realization of
mineral reserve estimates, the timing and amount of estimated future
production, costs of production, capital expenditures, success of mining
operations, environmental risks, unanticipated reclamation expenses, title
disputes or claims and limitations on insurance coverage. In certain cases,
forward-looking statements can be identified by the use of words such as
"plans", "expects" or "does not expect", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates" or "does not anticipate",
or "believes", or variations of such words and phrases or statements that
certain actions, events or results "may", "could", "would", "might" or "will
be taken", "occur" or "be achieved" or the negative of these terms or
comparable terminology. By their very nature forward-looking statements
involve known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of the Company to be
materially different from any future results, performance or achievements
expressed or implied by the forward-looking statements. Such factors include,
among others, risks related to actual results of current exploration
activities; changes in project parameters as plans continue to be refined;
future prices of resources; possible variations in ore reserves, grade or
recovery rates; accidents, labour disputes and other risks of the mining
industry; delays in obtaining governmental approvals or financing or in the
completion of development or construction activities; as well as those factors
detailed from time to time in the Company's interim and annual financial
statements and management's discussion and analysis of those statements, all
of which are filed and available for review on SEDAR at www.sedar.com.
Although the Company has attempted to identify important factors that could
cause actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or intended.
The Company provides no assurance that forward-looking statements will prove
to be accurate, as actual results and future events could differ materially
from those anticipated in such statements.
    Accordingly, readers should not place undue reliance on forward-looking
statements.





For further information:

For further information: about Capstone, please contact: Darren Pylot,
Vice Chairman & CEO, Stephen Quin, President & COO; Or Investor Relations'
Mark Patchett at (604) 684-8894 or (866) 684-8894, info@capstonemining.com


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