Rochester Resources Ltd.

COMPANY DATAINTRODUCTION  PROJECT IN HAND | MANAGEMENT
NEWS UPDATE | CHINESE

Address:  400 - 535 Howe Street
Vancouver, B.C.
Canada V6C 2Z4
Tel No.:  (604) 484-6614
Fax No.: (604) 688-3348
Web Site:  www.rochesterresourcesltd.com 
Corporate Email: info@empireir.com 
Contact Person: eff Tindale 
Position:  Investor Relations

COMPANY DATA

Traded Market:  TSX-V   Frankfurt Stock Exchange  NASDAQ OTCBB
Traded Symbol: RCT  R51 RCTFF
Outstanding Shares:  25,701,695  
52 Week High: $ 3.03 
52 Week Low:  $ 0.70 
Present Price: Click Here 

INTRODUCTION

Rochester Resources Ltd. is a junior gold and silver producer that commenced milling operations at its high-grade gold and silver Mina Real mine in Nayarit, Mexico in January 2007. Nayarit is located in the Sierra Madre Occidental range - the largest epithermal precious metal region in the world - which hosts the majority of Mexico's gold and silver deposits. In March of 2007 Rochester entered into an agreement to acquire a 70% interest in the promising 3,800 hectare Santa Fe gold-silver property located immediately east of the Mina Real property.

PROJECT IN HAND

(1) Mina Real Property, Mexico
Rochester1.jpg (14377 bytes)
In December 2006 Rochester Resources Ltd acquired the remaining 49% interest, and now holds 100% interest in the Mina Real gold and silver property comprising of 3,400 hectares of exploration and mining concessions located east of the capital city of Tepic, in the state of Nayarit, Mexico. On January 30, 2007, Rochester added to its land position by staking an additional 3,981 hectares adjacent to the 3,400 hectares.

Highlights include:

  • 100% ownership of the high grade Mina Real Mine propertyRochester2.jpg (12388 bytes)

  • Commenced high-grade gold/silver milling operations in January 2007

  • The Mina Real Mine recently produced average grades of 12.1 g/t of gold and 209 g/t of silver on channel samples over 775 metres of development mining with higher gold grades subsequently reported in ramping to lower levels.

  • Potential for up to US$24 million in gross smelter revenues in first full year once plant reaches targeted recovery rates at 250 tpd capacity level

  • Experienced and highly qualified Mexican exploration, mining and milling management team in placeRochester4.jpg (50861 bytes)

  • Scaleable mill design to provide short time frame and minimum cost to increase mill capacity to 300 tonnes per day level

  • Identified over 10 km of gold/silver vein systems.

The Mina Real mill is still in the start-up phase and has just undergone modifications to allow mill production to approach 250 tonnes/day and recovery of over 90% for gold. The material produced from the ongoing mine development has been stockpiled as mill feed. Mill recovery rates for silver are expected to reach close to the same levels as gold upon installation of a process to deal with the varying levels of manganese. The modular design of the mill should allow for the planned increase in capacity to be quickly implemented at a minimal cost.
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(2) Santa Fe Property, Mexico

On March 12, 2007 Rochester entered into an agreement to acquire a 70% interest in the Santa Fe gold-silver property located immediately east of its high-grade Mina Real Property in the State of Nayarit, Mexico. The property covers approximately 3,800 hectares, and previous work has identified ten zones of epithermal veining and mineralization on the property. This brings Rochester's total land package to 11,181 hectares.

Highlights include:

  • 70% interest in the promising 3,800 hectare Santa Fe gold-silver property

  • Ten (10) vein structures identified to date

  • Mineralization occurs over an elevation of up to 700 metresRochester6.jpg (25914 bytes)

  • Structures range from high-level discrete veins to broad zones of alteration containing multiple veins

  • Surface grades identified are comparable to Mina Real vein structures

  • Significant mineralized structures identified in close trucking proximity to the Mina Real Mill

  • The Santa Fe property is within trucking distance of the Company's Mina Real Mill and has the potential to provide additional mill feed to support a material increase in capacity at the Mina Real Mill or possibly support the development of a second mill in the area by late 2008.

MANAGEMENT

Rochester Resources Ltd. has a well management team with experience in different areas.
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Dr. Alfredo Parra, President & CEO
Dr. Parra has an extensive background in mining exploration and operations at a senior management level. He was employed by CIA Minera Penoles from 1973-1978 in roles ranging from Mine Production Superintendent to General Manager. After obtaining his M.Sc. and Ph.D. in Mineral Economics in 1982 from the Colorado School of Mines, he returned for a brief period as General Manager for CIA Minera Penoles before taking on the position as Vice President of Kennecott where he stayed until 1985. For the following seven years he assumed various executive positions in the mining industry leading up to President and CEO from the period 1987 through to 1992. For the past 12 years Dr. Parra has run his own exploration and development company where, for the past three years, he has concentrated on developing the Mina Real property to its current state. Dr. Parra is a QP Member of the Mining and Metallurgical Society of America with special expertise in mining.

Jose Manual Silva, CFO
Mr. Silva has a strong background in accounting and taxation in Mexico. He was a Controller with Luismin S.A. from 1979 to 1988 and has held positions of Internal Audit and Budget Manager and Controller with two other Mexican based mining companies from 1988 to 1997. Since 1997 he has been a consultant who has provided accounting services to Canadian public companies operating in Mexico.

Nick DeMare, CA, Chairman & Director
Mr. DeMare holds a Bachelor of Commerce degree from the University of British Columbia and is a member in good standing of the Institute of Chartered Accountants of British Columbia. Since May, 1991, Mr. DeMare has been the President of Chase Management Ltd., a private company which provides a broad range of administrative, management and financial services to private and public companies engaged in mineral exploration and development, gold and silver production, oil and gas exploration and production and venture capital.

Douglas F. Good, Director
Mr. Good has an extensive background in providing strategic planning, corporate restructuring, finance and senior management services to a range of companies in the start-up and early development phase. He has served as a director and in senior management positions of various public and private companies in the healthcare, software, mining and automotive industries in the US and in Canada. Mr. Good was a co-founder of Sonus Corp., a hearing healthcare provider, which grew from a single clinic in 1990 to a major North American provider of hearing healthcare. Mr. Good also has a strong background in commercial banking and leasing.

Gil Leathley, Consulting Director
Mr. Leathley has worked in the mining industry since 1962. He has held various senior positions with major mining companies with his last position being Senior Vice-President and Chief Operating Officer of Homestake Resources. Since 2000, Mr. Leathley has been an independent consultant to several senior and junior mining companies. His operating experience in the planning, construction and operation of numerous mining and milling operations will be an asset to the Company.

Joseph M. Keane, Consulting Director
Mr. Keane is a Registered Professional Metallurgical Engineer and since the mid-1980's has been President of KD Engineering Co. and Metcom Research Inc., both of Tuscon, Arizona. Since mid-2006 he has been a special advisor to the Company. He is a specialist in process design development, engineering supervision, equipment and instrument selection and has conducted numerous feasibility studies for the mineral processing and pollution abatement industries.

Lindsay R. Bottomer, P.Geo., Consulting Director
Mr. Bottomer has over 30 years experience in mineral exploration and mine development worldwide. He is currently a Director and Vice President Corporate Development of Entree Gold Inc. He was President and CEO of Southern Rio Resources Ltd. (now Silver Quest Resources Ltd.) from July 2001 to November 2005 and remains a Director.

Harvey Lim, CA, Secretary
Mr. Lim is a Chartered Accountant employed by Chase Management Ltd. as Controller. He currently serves as an officer and director of other public reporting companies.

NEWS UPDATE

On July 31, 2007, Rochester Resources Ltd. provided Mina Real mill production update. Its regular weekly shipments of gold and silver precipitate recommenced in early June and since then have shown significant increases in production value on a month-to-month basis. Shipments to the refinery for the four-week period ending June 29, 2007, had an estimated value of US$425,000, increasing to an estimated value of US$671,000 for the four-week period ended July 28, 2007.

During July, processed tonnage through the mill has averaged about 180 tonnes per day with throughput exceeding 200 tonnes per day on occasion. The Company remains positive about the prospects for significant increases in throughput tonnage and gold and silver production from current levels. The Company has not changed expectations of achieving commercial production at the 200 to 250 tonne per day level during the second half of 2007 and then moving to higher levels of production as mining activity dictates.

An update report on exploration results is pending from the Mina Real and Santa Fe properties.

On June 12, 2007, Rochester Resources Ltd. announced that it has granted stock options to directors of the Company to purchase up to 100,000 shares of the Company, at a price of $1.65 per share, for three years.

On June 8, 2007, Rochester Resources Ltd. reviewed its Mina Real mine in Mexico.

"The Mina Real plant has been operational for 11 days since resumption of milling operations and is performing satisfactorily," stated Dr. Alfredo Parra, President. "In spite of the global challenges involved in assembling equipment, materials and competent skilled labour, the Mina Real mill was put into production after only 12 months from receipt of permits." An update follows.

Operating results during the March 2007, period of the test-production phase indicated that it would be prudent to modify the grinding circuit to obtain throughout of about 250 tonnes per day and the gold/silver final recovery section to ensure planned recovery. Accordingly, the following major modifications planned for late 2007 have been brought forward:

  • Installation of larger-capacity solution pumps and a third grinding mill;

  • The installation of a cyanide destruction circuit to treat mill effluent.

 

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