|June 19, 2006|
Milagrito - New Project Acquired in
|Vancouver, B.C., June 19, 2006 - Condor Resources Inc. (TSX.V.CN) - ("Condor" or the "Company"), as part of its project generation strategy in Latin America, announces that it has signed a binding letter agreement with Sra. Silvia Rene Rodriguez, owner of the "Milagrito" gold project in Salta Province of Northwest Argentina. The agreement is subject to the approval of the TSX Venture Exchange.|
Under the terms of the agreement, Condor holds the exclusive option to acquire a 100% interest in the Milagrito property, subject to a 1.5% Net Smelter Return royalty, by making staged cash payments totaling US$817,000 over 3 years, including a down payment of US$12,000. Condor has the right to purchase the entire 1.5% Net Smelter Return royalty at any time, in consideration of a cash payment of US$400,000. There is no work commitment required on the property, and Condor may terminate the agreement upon giving 30 days written notice to the owner.
The 1,868 hectare Milagrito property is located in the high Andean desert "Puna" region of northwest Argentina, near the border with Chile and at elevations ranging from 4500 to 4700m above sea level and approximately 450 km west of the capital city of Salta, in the province of the same name. Access to the project is by paved and secondary dirt roads.
Milagrito occurs along the southern boundary of the Archibarca Transverse Lineament, a major NW-trending structure extending for more than 300 km in length by 40 to 60 km wide, and host to a number of mineral deposits and prospects. The Escondida, Escondida Norte, Zaldivar and Chimborazo porphyry copper deposits in Chile are located at the intersection of the Archibarca lineament with Chile's West Fissure Fault System. In Argentina, deposits and mineral occurrences associated with the Archibarca lineament include Mansfield Minerals' Lindero deposit (29MT grading 1.08 g/t Au) and the Rio Grande Cu-Au project.
The area of interest at Milagrito is a significant gold pathfinder element rock geochemical anomaly measuring 350 by 250m and is open in all directions under cover. Quartz-alunite is the dominant alteration assemblage along with abundant cinnabar.
The strong structurally-controlled gold pathfinder element rock geochemical anomaly at Milagrito is interpreted to represent a high-level epithermal acid sulphate sinter, and suggests the possibility for 'bonanza-style' Au or Au/Ag mineralization at depth. The target bears similarities to the El Indio gold deposit in Chile and Nansatsu-type high sulphidation systems.
Condor plans to conduct a Phase I exploration program on the Milagrito project to include prospecting, structural interpretation, geological mapping and rock sampling as soon as weather conditions permit. The location of the www.condorresources.com TSX.V:CN
Milagrito project near the border with Chile also falls within the jurisdiction of the "Mining Integration and Complementation Treaty" between Chile and Argentina, which provides for certain beneficial conditions in the event of any future mining operation.
Condor Resources Inc. was incorporated in 2003 by exploration specialists focused on the generation of copper and gold projects in South America, where management has extensive experience and a proven track record of discovery. The Company's long-term business plan offers shareholders access to a growing portfolio of properties, including five 100% owned projects in Chile along with the recently-acquired El Dorado gold project in Argentina, each providing a unique path to discovery.
For further information please contact:
Condor Resources Inc.
910-885 Dunsmuir Street
Vancouver, BC V6C 1N5
Patrick J. Burns, President
Saf Dhillon, Investor Relations
Forward-Looking Statements: Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Company's periodic filings with Canadian securities regulatory authorities. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume the obligation to update any forward-looking statement
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.
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