More silver hits for Levon and Valley High in Mexico

Vancouver – Following up on a successful initial drill program, joint venture partners Levon Resources (LVN-V, L09-F, LVNVF-O) and Valley High Ventures (VHV-V) have hit more long and good-grade silver intercepts at the Cordero project in northern Mexico.

The 20,000-hectare property, located 40 km northeast of Hidalgo Del Parral, is a porphyry deposit that along with the silver contains gold, zinc and lead. Levon has earned a 51% interest in the project from Valley High Ventures and is now operator.

The property hosts four main porphyry targets: Cordero, Sanson, Pozo de Plata and Dos Mil Diez.

The Pozo de Plata zone was discovered in November when hole 5 cut 152 metres grading 80.6 grams silver, 0.61 gram gold, 1.41% zinc and 1.22% lead. Dos Mil Diez was discovered by surface mapping and prospecting at Cordero in early 2010. With the discovery of the two new zones, Levon has defined the prospective mineralized belt through a strike length of 8 km and a width of about 3 km.

A second drill program started in January with two rigs targeting the Pozo de Plata zone. Drill holes were spaced 50 metres apart, with the 27 holes drilled so far covering an area roughly 350 metres by 325 metres.

In early April at Pozo, Levon hit 260 metres grading 45.8 grams silver, 0.34 gram gold, 0.44% zinc and 0.61% lead in hole 10, drilled 50 metres north of discovery hole 5. Hole 18 cut 242 metres grading 47 grams silver, 0.26 gram gold, 0.73% zinc and 0.69% lead. Hole 9, roughly 50 metres south of hole 5, hit 202 metres averaging 24.3 grams silver, 0.31 gram gold, 0.34% zinc and 0.35% lead.

Most recently, Hole 31, roughly 150 metres northeast of hole 5, cut 114 metres grading 126 grams silver per tonne, 0.49 gram gold per tonne, 0.93% zinc and 2.18% lead from 158 metres downhole and included 26 metres averaging 410.1 grams silver, 1.06 grams gold, 2.92% zinc and 7.06% lead. Hole 39, roughly 50 metres southwest of hole 5, intersected 136 metres carrying 69.6 grams silver, 0.52 gram gold, 0.91% zinc and 0.97% lead from 32 metres depth.

In the Josephina Mine area, a possible extension 450 metres southeast of Pozo, hole 23 returned 116 metres grading 49.7 grams silver, 0.1 gram gold, 1.28% zinc and 0.94% lead from 300 metres depth. Hole 32 hit 58 metres carrying 91.8 grams silver, 0.1 gram gold, 1.99% zinc and 1.09% lead starting at 230 metres.

The Pozo mineralization is associated with galena, sphalerite and very fine grained sulfides within diatreme breccia and discordant felsic breccia dikes. Mineralization remains open north, west and southwest but may be closed off to the east.

The project has road, power and water access. The nearby town of Hidalgo Del Parral has a population of 102,000.

Valley High Ventures has entered into a termination agreement with Freeport-McMoRan Copper and Gold (FCX-N) to end a back-in right to the property. Valley High must issue 400,000 shares to Freeport-McMoRan to terminate its right to buy back 70% of Valley High’s interest in the project.

Valley High Ventures closed at 53¢ on the day. The company’s stock hit a brief high of 83¢ following April’s results, and hovered around 10¢ for much of last year until November’s discovery. The company has 44 million shares outstanding.

Levon’s share price also got a big boost after November’s hit after trading at around 15¢ for some time. The company hit a high of $1.05 in early April and closed at 85¢ on the most recent news. Levon has 67 million shares outstanding.