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Gold/Mining/Energy : NANECO - NNE-A - The Big Time
NNE 34.73-3.8%Jan 23 9:30 AM EST

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To: Bob Lawson who wrote (89)3/10/1999 9:01:00 AM
From: Bob Lawson  Read Replies (1) of 106
 
cash flow coming soon !!!

NANECO MINERALS LTD.
Suite 2005, 355 - 4th Avenue S.W. Phone (403) 232-6833
Calgary, Alberta T2P 0J1 Fax (403) 232-6463

NEWS RELEASE March 10 1999

Metallurgical Tests at Jiawula Indicate Zinc & Lead Recoveries of 91.9% and
93.3% and 84.5% Total Recovery of Silver

Process Research Associates Ltd., of Vancouver, B.C., Canada, has completed a preliminary flotation test program on samples from the Naneco Minerals Ltd. (Alberta Stock Exchange - Symbol NNE ) Silver-Zinc-Lead-Copper Zone No. 2 deposit located at Jiawula, Nei Mongolia, China.

Results of this test program show substantial improvements in recovery of all metals, when compared to results obtained after similar earlier work by others. Evaluation of the PRA test data suggests that further improvements in recovery will be achieved after planned additional testing is completed which will be oriented to optimizing the flotation parameters and flowsheet used.

The representative head sample obtained from drill reject pulp samples, used for flotation feed assayed 137.00 g/mt Ag, 3.72% Pb and 7.7% Zn. Recoveries for Pb plus associated Ag concentrate and Zn plus associated Ag concentrate were as follows:

Pb + Ag Zn + Ag Total Recovery (%)

93.3% + 66.2% of Ag 91.9% + 18.3% of Ag 84.5%

Pb and Zn recoveries were 93.3% and 91.9%, respectively. Approximately 66.2% of the Ag reported to the Pb concentrate and 18.3% reported to the Zn concentrate, for a total recovery of 84.5%.

Further comprehensive metallurgical tests will now be conducted on bulk samples obtained from the deposit for final flowsheet design.

For more information please contact:

Archie J. Nesbitt, President
Raju Wani, Corporate Development
Telephone (403) 232-6833; Toll Free 1-877-2NANECO; Telefax (403) 232-6463
Email: miningco@ab.imag.net Website: www.naneco.com

The Alberta Stock Exchange has neither approved nor disapproved the information contained herein.
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