Lara Exploration's Lara optionee cancels option

Executive Summary

• Lara Exploration Ltd. has been notified by Minsur SA that Minsur is relinquishing its option to acquire the Lara copper project in Peru.
• The Lara project is a partly defined copper-molybdenum porphyry deposit located in the Laramate province of the Ayacucho department, Peru.
• The company has previously disclosed significant drilling results from the project, including intercepts of 108m at 0.81% Cu and 218m at 0.57% Cu.

Key Details

• Transaction: Minsur SA terminates its option to acquire the Lara copper project.
• Project Ownership: Lara Exploration Ltd. owns 45% of the Lara copper project.
• Project Location: Laramate province, Ayacucho department, Peru; approximately 40 kilometres inland from Palpa on the Panamerican Highway.
• Project Type: Copper-molybdenum porphyry deposit.
• Drilling History: 9,850 metres of diamond and reverse circulation drilling completed to date.
• Mineralized Footprint: 2,000 metres east to west and between 500 metres and 800 metres north to south.
• Drilling Highlights:
  • Hole LA-10-32: Intercepted 108 metres at 0.81% Cu and 0.015% Mo.
  • Hole LA-10-35: Intercepted 218 metres at 0.57% Cu and 0.042% Mo.
• Previous Disclosures: Drilling results were previously released on Jan. 21, 2008, Jan. 31, 2011, and Feb. 28, 2012.

Notable Quotes

• "Lara Exploration Ltd. has been notified by Minsur SA of its intention to relinquish its option to acquire the company's 45-per-cent-owned Lara copper project in southern Peru."