Sunward Resources Limited (fka SNWRF)

[Tommy]

$SNWRF - $SWD.V -Sunward Announces Results of Metallurgical Program at Titiribi Yield an Optimized Flowsheet Which Incorporates a Conventional Processing Facility and High Gold and Copper Recoveries

http://www.sunwardresources.com/s/news_releases.asp?ReportID=589451


A conventional flotation test circuit on the Cerro Vetas Zone yields gold and copper recoveries averaging 76% and 90%, respectively; flotation tails from this same zone prove to be non-acid generating
Gold recovery for the predominantly gold-bearing Northwest Breccia Zone averages 81%
Gold recovery for the gold-bearing Chisperos Zone averages 84%


Vancouver, British Columbia: Sunward Resources Ltd. ("Sunward" or the "Company") (TSX: SWD; OTCQX: SNWRF) announced today that final metallurgical tests conducted on material sourced from the Cerro Vetas Zone ("Cerro Vetas"), of the 100%-owned Titiribi project confirmed that a conventional flotation system can produce a saleable concentrate and recover approximately 90% and 76% of the contained copper and gold, respectively. A further 6% of the gold from Cerro Vetas can be recovered to a pyrite flotation concentrate which can be processed by cyanidation. Additional testing of the same conventional system showed that an overall recovery of 81% of the gold contained in the Northwest Breccia Zone ("NW Breccia") can be achieved by producing limited amounts of pyrite concentrates which could in turn be sold or treated in a small Carbon-in-Leach ("CIL") facility. Locked Cycle flotation and cyanidation testing also demonstrated that an overall 84% Au recovery could be achieved for gold contained in the Chisperos zone.

Titiribi, located approximately 70 kilometers from the city of Medellin, Colombia, hosts 275.4 million tonnes of NI 43-101-compliant Measured and Indicated Resources containing 4.58 million ounces of gold and 615.4 million pounds of copper (grading 0.52 grams/tonne gold and 0.17% copper) and 359.6 million tonnes of Inferred Resources containing 6.44 million ounces of gold and 388.5 million pounds of copper (grading 0.56 grams/tonne gold and 0.09% copper). Cerro Vetas and NW Breccia account for approximately 75% and 100% of Titiribi's total gold and copper endowment, respectively. The metallurgical studies were conducted at the Truro laboratory of Wardell Armstrong International in Cornwall, England, a major international environmental and mineral processing consultancy.

"These final metallurgical test results are significant," said Gil Leathley, Sunward's Chief Operating Officer. "The extensive metallurgical testing was carried out to obtain results which could support the development of a Preliminary Economic Assessment (PEA) and demonstrate that significant gold and copper recoveries can be achieved by utilizing a conventional gravity, flotation and cyanidation process and thus produce saleable concentrates from Titiribi. We are currently working on completing a NI 43-101-compliant resource report for Cerro Vetas, NW Breccia and Chisperos that will include results from the most recent drilling in these areas. The outcome of these studies will serve as a basis for development of a technical and economic analysis to support the staged development of the Titiribi District".

ABOUT SUNWARD:

Sunward Resources is a well-capitalized, Canadian-based company focused on the exploration and development of gold/copper porphyry projects in Colombia. The 100%-owned Titiribi Project is located approximately 70 kilometres southwest of the city of Medellin, Colombia, in Antioquia department, within the historical Titiribi mining district (estimated total production to date of 1.5 to 2 million ounces gold equivalent). Access is by paved highway from Medellin.

Titiribi currently hosts NI 43-101 compliant Measured & Indicated Mineral Resource of 4.58 million ounces gold (within 275.4 million tonnes grading 0.52 grams/tonne gold, using a 0.3 grams/tonne gold cut-off), along with an additional Inferred Mineral Resource of 6.44 million ounces gold (within 359.6million tonnes grading 0.56 grams/tonne gold using a 0.3 grams/tonne gold cut-off.

Titiribi thus contains 6.28 million ounces of gold equivalent in the Measured & Indicated Resource categories and a further 7.51 million ounces of gold equivalent in the Inferred Resource category, calculated on the basis of gold price of $1,114 per ounce and copper price of $3.07 per pound. See the NI 43-101 technical report by Behre Dolbear & Company (USA) dated June 1, 2012, titled "Technical Report on the Titiribi Project, department of Antioquia, Colombia" as published on SEDAR and on the Company's website at www.sunwardresources.com

Gordon Antony Jackson, a Consultant Metallurgist at TJ Metallurgical Services Ltd, B.Sc. Hons. (Eng), is a Qualified Person under NI 43-101, has reviewed and is responsible for the contents of this news release.

Contact Information
Investor and media contact:
Kanapa Pitakpong
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[e-mail]