Cuervo Averages 56.29% Fe Over 447.05 m of Reported Sampling

Tag : sulphur 99
FSC / Press Release


Cuervo Averages 56.29% Fe Over 447.05 m of Reported Sampling in NewHoles at Cerro Ccopane Iron Project in Peru

Toronto, Ontario CANADA, July 02, 2008 /FSC/ - Cuervo ResourcesInc. (IRON - CNQ, CRR - FWB), (Cuervo or the Company) releases theassay results from 15 new holes on its Cerro Ccopane iron oreproject in southern Peru. These latest results have a weightedaverage iron content of 56.29% Fe over 447.05 m of reportedsampling and include intersections of 55.08% Fe over 87.80 m in ODH- 90 (including 64.70% Fe over 31.95 m), 64.13% Fe over 67.00 m inODH - 92 and 59.50% Fe over 46.00 m in ODH - 99. These results,along with those from the 80 holes previously reported on, provideconfirmation of the consistent high values of iron mineralizationin the Orcopura zone over a strike length of at least 900 m. TheOrcopura zone is first of the five zones identified on the whollyowned Cerro Ccopane property to be drilled.

An NI 43-101-compliant Mineral Resource Report on the Orcopura zoneof mineralization is expected to be completed in July 2008. Initialresults from the Huillque zone, where drilling has recently begun,are expected in August 2008.

TECHNICAL RESULTS

Two diamond drills are currently operating on the property ADs- onedrill is completing the current program at Orcopura while a secondhas commenced drilling on the Huillque zone. The Company is in theprocess of exchanging a third drill for one of higher capacity;this will be supplied from a current contractor to the Company.Previous results from the drilling program were announced in elevenpress releases between October 22nd, 2007 and June 9th, 2008 thatincluded intersections of up to 57.31% Fe over 131.25 m (ODH - 01),41.29% Fe over 356.50 m (ODH - 33) and 51.70% Fe over 361.30 m (ODH- 70).

All drill holes were logged and sampled at the property campsite onthe property under the direction of Minera Cuervo's seniorgeologist, ing. Abraham Castillo Ll. A nominal sampling interval of1.5 m is currently being used within sections of typical ironmineralization. Analyses were performed by SGS Minerals Services attheir laboratory facilities in Lima (Callao), Peru. The reportedIron (Fe) analyses were determined by titration methods, sulphur(S) was carried out with a LECO furnace. All other reportedanalyses, which include phosphorus (P), manganese (Mn) and copper(Cu), were by performed ICP-AES after a multi-acid ("totalACI") digestion. Laboratory check analyses were performed onapproximately 10% of the samples submitted while field duplicatesamples are submitted on a rate of approximately 5% of the totalsamples sent to the laboratory. The Company is satisfied with thereproducibility of analyses for the elements reported. Thefollowing table presents a list of the significant intersectionsthat were sampled during the recent work program:

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DRILL INTERSECTION LENGTH TVD Fe S P Mn Cu
HOLE (m) (m) (m)* (%) (%) (%) (%) (%)

ODH-81 30.90-45.90 15.00 11 62.30 4.19 0.03 0.05 0.09 Other 57.30-73.80 16.50 12 58.04 3.04 0.01 0.05 0.10

ODH-86 25.50-46.10 20.60 20 55.12 4.05 0.04 0.11 0.14
ODH-90 1.20-89.00 87.80 87 55.08 0.93 0.05 0.05 0.09
Incl. 28.95-60.90 31.95 64.70 0.04 0.03 0.05 0.08
Incl. 71.20-80.10 8.90 57.76 2.87 0.02 0.07 0.10 Incl. 83.70-89.00 5.30 60.29 4.44 0.02 0.07 0.14 Other 110.40-116.00 5.60 5 54.06 4.19 0.01 0.05 0.12

ODH-91 3.50- 29.30 25.80 25 49.62 0.22 0.04 0.06 0.08 Other 35.70-58.20 22.50 22 56.62 3.49 0.04 0.06 0.13

ODH-92 2.70-69.70 67.00 67 64.13 0.09 0.05 0.06 0.04

ODH-93 12.75-18.80 6.05 6 61.64 0.06 0.03 0.08 0.02

ODH-95 1.00-43.00 42.00 42 52.64 0.16 0.07 0.05 0.03 Other 49.30-54.75 5.45 5 47.08 3.13 0.03 0.08 0.12
Other 68.20-88.45 20.25 20 44.00 2.92 0.02 0.11 0.10 Other 102.10-108.10 6.00 6 54.22 4.94 0.01 0.12 0.14

ODH-96 6.10-14.40 8.30 8 62.62 0.03 0.03 0.07 0.07

ODH-97 0.00-6.90 6.90 6 44.74 0.11 0.04 0.07 0.28 Other 16.65-26.35 9.70 9 62.24 0.06 0.03 0.07 0.06

ODH-98 3.40-39.00 35.60 35 53.93 1.19 0.03 0.07 0.17

ODH-99 2.50-48.50 46.00 46 59.50 2.20 0.03 0.11 0.11

*TVD-approximate total vertical depth from top to bottom ofintersection

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Several samples from certain drill holes in the current sequence ofreported holes (ODH - 85, ODH - 87, ODH - 88 and ODH - 89) werenoticed to be in a disrupted state when received at the laboratoryin Lima. These particular samples have not been analyzed and willbe replaced by new quartered sections of the original drill core.Assay results for the complete holes will be released when thereplacement samples become available. Drill holes that did notintersect, or only intersected low grade iron mineralization,including ODH - 82, ODH - 83, ODH - 84 and ODH - 94, are stillproviding valuable geological information regarding the attitude ofpost-mineralization structures that appear to be important incontrolling the orientation of the zone of mineralization atOrcopura. Location maps and further information for all drill holescan be found at www.cuervoresources.com.

The press release of June 9th, 2008 included incomplete results forODH - 76 due to missing sample material. The complete results ofsignificant intersections from that drill hole can now be reportedas follows:

-***-

DRILL INTERSECTION LENGTH TVD Fe S P Mn Cu
HOLE (m) (m) (m)* (%) (%) (%) (%) (%)

ODH-76 114.70-121.10 6.40 6 55.54 2.16 0.03 0.06 0.11
Other 128.60-206.95 78.35 78 55.56 3.61 0.02 0.01 0.12
Other 216.35-234.35 18.00 18 54.12 3.74 0.03 0.15 0.09
Other 290.35-391.70 104.35 104 46.32 4.02 0.03 0.13 0.12
Incl. 290.35-321.85 31.50 52.62 2.93 0.02 0.14 0.11
Incl. 329.35-342.85 13.50 55.70 4.25 0.03 0.12 0.14

*TVD-approximate total vertical depth from top to bottom ofintersection

-****-

These restated results bring the overall weighted averages on atotal of 5889.46 m of reported sampling to 53.24% Fe, 2.46% S and0.10% Cu.

Most intersections of iron mineralization (magnetite hematite)continue to report relatively high sulphur and copper values. TheCompany has carried out preliminary low-intensity magneticseparation (Davis Tube) testing on selected samples from the earlystages of the exploration program. The preliminary Davis Tuberesults indicate that most of the contained sulphur-bearingminerals as well as the copper can be removed with limitedprocessing while producing a very high-grade iron ore concentrate.Silica values were also found to be within acceptable limits byanalyses carried out as part of this testing. Cuervo plans anongoing program of metallurgical testing which will be recommendedby Dr. Ekkehart Mertins, recently appointed to the Company'sadvisory board as an expert in iron ore mineral processing.

In addition at this time, the Company's advisory board specialistin transportation, Mr. Frank Hanson, is in the process of sourcingout participants to prepare a detailed transportation study for theCerro Ccopane property area. As well, the environmental permittingprocess for the advanced exploration of the Aurora zones ofmineralization is progressing.

Exploration work and content of this release has been carried outunder the supervision of Mr. John M. Siriunas, P.Eng., thedesignated qualified person for Cuervo under the definition ofNI43-101. The Company has 30,179,750 shares outstanding (41,686,000fully diluted).

For further information, please contact Mr. Siriunas, a directorand President of Cuervo, at 416-203-3957 x701 or Mr. Tom Berner,Investor Relations, at 416-203-3957 x202. Additional informationabout Cuervo can be found at the Company's website atwww.cuervoresources.com.

The Canadian Trading and Quotation System Inc. has neither approvednor disapproved of the contents of this press release.


Cuervo Resources Inc.
65 Queen Street West, Suite 302,
Toronto, ON, M5H 2M5 Canada




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