Southern Hemisphere Mining Limited is pleased to report further positive developments at its flagship Llahuin Copper/Gold Project in central Chile following the receipt of further drilling results and the completion of positive preliminary metallurgical test work. An accelerated drilling program is continuing at the Llahuin Project with latest results highlighting the significant potential to grow the current resource inventory. Meanwhile, the preliminary metallurgical test work results support the Company’s plans to progress development of the Llahuin Project under its recently established joint venture with leading North American mining group, Lundin Mining Corporation.

The latest results include some outstanding broad intersections of copper/gold mineralisation, such as 314m @ 0.41% copper equivalent from 2m and 350m @ 0.41% copper equivalent from surface in the Central Porphyry Zone and 88m @ 0.53% copper equivalent from 40m from a test hole drilled in the Cerro de Oro Zone, 1km to the south. The results from preliminary metallurgical test work indicate that the Llahuin Project mineralization is highly amenable to a conventional flotation process, with a low unit energy requirement expected for crushing/grinding and copper recoveries of up to 91 % achieved.

These characteristics, together with the ability to produce a concentrate grading 28-32% Cu with low levels of deleterious materials in concentrate, support the commercial development potential of the Llahuin Project. Commenting on the latest developments, Southern Hemisphere’s Managing Director, Mr. Trevor Tennant, said:“We have started the New Year very strongly with an accelerated drill campaign at the Llahuin Project under the work plan agreed with our joint venture partner, Lundin Mining Corporation. The latest results from drilling are excellent and continue to highlight the significant upside potential within the key zones of mineralisation.

“In addition, the early stage results from metallurgical test work, which will be improved upon with optimization in the next stage of metallurgical test work, indicate the comparative advantages of  low unit energy requirements, high copper recoveries and commercially attractive concentrate grades. “We are looking forward to what should be a defining year for Southern Hemisphere and the Llahuin Project, which we expect to continue to develop as one of the more significant emerging mid-tier copper-gold opportunities in Chile.”