McEwen Mining Inc.: Los Azules Copper Project Exploration Drilling Update

Thu Mar 28, 2013 7:30am EDT

* Reuters is not responsible for the content in this press release.

  TORONTO, ONTARIO, Mar 28 (MARKET WIRE) --
McEwen Mining Inc. (NYSE:MUX)(TSX:MUX) is pleased to announce assay
results for nine new core holes from the Los Azules copper project in San
Juan Province, Argentina. Most importantly, drilling continues to
intersect significant intercepts of high to medium grade copper
mineralization over long intervals west of the original deposit. In
addition, the mineralization has been successfully extended at depth.

    Exploration Highlights


--  Drilling west of the resource has intersected high-grade copper
    mineralization in Hole 12114, returning 0.70% copper over 150 meters.
    This hole was located on the periphery of the resource and continues to
    extend what is becoming an important new parallel trend. 
    
--  Hole 1297, which was drilled on the western edge of the resource,
    returned 0.50% copper over 414 meters, including 1.07% over 54 meters. 
    In addition to Hole 12114, this hole helps demonstrate that there is
    excellent potential to increase the size of the resource. 
    
--  Drilling below the previously known resource successfully extended the
    depth of the mineralization by over 300 meters in Hole 1295, returning
    0.49% copper over 338.5 meters. This result was part of a longer
    intercept that went through two known zones of mineralization. The
    overall intercept from this hole was 0.51% copper over 618.5 meters. 
    
--  The Company will incorporate these drill results plus an additional 3
    holes not yet released into an updated resource estimate that is
    expected to be available by the end of May. 


    "These results continue to illustrate the growth potential of this world
class copper asset. Los Azules is both large and high-grade, which makes
it unique among the world's undeveloped projects," stated Rob McEwen,
Chief Owner.


                 Table 1. Los Azules Exploration Highlights                 
                                                                            
----------------------------------------------------------------------------
                                     From      To   Thickness   Copper Grade
Hole                                  (m)     (m)         (m)            (%)
----------------------------------------------------------------------------
1295                                  426  1044.5       618.5           0.51
  including                           580     618          38           1.07
  including                           720     744          24           1.16
  including                           970  1044.5        74.5           0.61
----------------------------------------------------------------------------
1297                                  276     690         414           0.50
  including                           436     490          54           1.07
----------------------------------------------------------------------------
12114                                 224     374         150           0.70
----------------------------------------------------------------------------


    This season was the first time that exploration had drilled below 700
meters. The discovery of deeper mineralization at the project has
significantly expanded the potential to grow the resource. Drilling this
season has continued to focus on expanding the resource with 15,800
meters completed to date. The drill results in this news release, plus 3
additional holes not yet finalized, will be incorporated into a new
resource estimate that will be released by the end of May. This updated
resource would form the basis of a new Preliminary Economic Assessment
(PEA), which is due by the end of the third quarter 2013. Los Azules is
one of the largest, highest grade copper-porphyry deposits not owned by a
major base metal company. 

    A table of assay results is provided below in Table 2. A drill hole
location map and cross sections of the Los Azules resource are provided
below in Figures 1 to 4, respectively.

    About the Los Azules Copper Project

    Los Azules is a large copper porphyry system located in western San Juan
Province within a belt of porphyry copper deposits that straddles the
Chilean/Argentine border. This belt contains some of the world's largest
copper deposits, including Codelco's El Teniente and Andina mines, Anglo
American's Los Bronces mine, Antofagasta PLC's Los Pelambres mine and
Xstrata's El Pachon project, among others. 

    The mineral resources for Los Azules were calculated in January 2013 and
are summarized in the table below with a cut-off grade of 0.35% copper. 


----------------------------------------------------------------------------
                                         Contained                          
Mineral Resource        Tonnes  Copper      Copper         Gold       Silver
Category            (millions)     (%)    (MM lbs)  grams/tonne  grams/tonne
----------------------------------------------------------------------------
Indicated                  310    0.65        4.45         0.07          1.8
Inferred                 1,302    0.49       13.95         0.06          2.0
----------------------------------------------------------------------------


    About McEwen Mining (www.mcewenmining.com) 

    The goal of McEwen Mining is to qualify for inclusion in the S&P 500 by
2015 by creating a high growth gold producer focused in the Americas.
McEwen Mining's principal assets consist of the San Jose mine in Santa
Cruz, Argentina (49% interest); the El Gallo complex in Sinaloa, Mexico;
the Gold Bar project in Nevada, US; the Los Azules project in San Juan,
Argentina and a large portfolio of exploration properties in Argentina,
Mexico and Nevada.

    McEwen Mining has 296,024,859 shares issued and outstanding. Rob McEwen,
Chairman, President and Chief Owner, owns 25% of the shares of the
Company (assuming all outstanding Exchangeable Shares are exchanged for
an equivalent amount of Common Shares). As of December 31, 2012, McEwen
Mining had cash and liquid assets of approximately US$79 million and is
debt free.

    Technical Information

    James K. Duff, Senior Consultant to the Company and a Registered Member
in good standing of the Society for Mining, Metallurgy and Exploration,
who is a Qualified Person as defined by National Instrument 43-101 ("NI
43-101") has reviewed and approved the technical contents of this news
release. Bruce Davis, PhD, FAusIMM, who is a Qualified Person as defined
by NI 43-101 and responsible for the quality control for the assaying of
the Los Azules drill core has reviewed the assay quality control
information. All samples were collected in accordance with industry
standards. Split drill core samples were submitted to Alex Stewart
International laboratory in Mendoza, Argentina for fire assay and ICP
analysis. Accuracy of results is verified through the systematic
inclusion of standards, blanks and duplicate samples. 

    For additional information about the Los Azules project see the Technical
Report titled "Los Azules Porphyry Copper Project, San Juan Province,
Argentina" dated August 1, 2012, with an effective date of June 15, 2012,
prepared by D. Ernest Winkler, P.Eng, Robert Sim, P.Geo, Bruce Davis,
PhD, FAusIMM and James K. Duff, P.Geo, all of whom are qualified persons
and all of whom are independent of McEwen Mining, each as defined by NI
43-101. The foregoing report is available under the Corporation's profile
on SEDAR (www.sedar.com).

    The mineral resource estimate referenced in this news release was
prepared in January 2013 by Robert Sim, P.Geo. and Bruce Davis, PhD,
FAusIMM, each a qualified person and independent of McEwen Mining, each
as defined by NI 43-101 and first disclosed in the Corporation's news
release dated February 5, 2013 titled "McEwen Mining Continues to Expand
Los Azules' Large, High-Grade, Mineral Resource.

    Cautionary Note to U.S. Investors

    McEwen Mining reports its resource estimates in accordance with standards
of the Canadian Institute of Mining, Metallurgy and Petroleum referred to
in Canadian National Instrument 43-101 (NI 43-101). These standards are
different from the standards generally permitted in reports filed with
the SEC. Under NI 43-101, McEwen Mining reports measured, indicated and
inferred resources, measurements which are generally not permitted in
filings made with the SEC. According to Canadian NI 43-101 criteria, the
estimation of measured resources and indicated resources involve greater
uncertainty as to their economic feasibility than the estimation of
proven and probable reserves. Under SEC Industry Guide 7 criteria,
measured, indicated and inferred resources are considered Mineralized
Material. The SEC considers that in addition to greater uncertainty as to
the economic feasibility of Mineralized Material compared to proven and
probable reserves, there is also greater uncertainty as to the existence
of Mineralized Material. U.S. investors are cautioned not to assume that
measured or indicated resources will be converted into economically
mineable reserves. The estimation of inferred resources involves far
greater uncertainty as to their existence and economic viability than the
estimation of other categories of resources.

    Caution Concerning Forward-Looking Statements

    This press release contains certain forward-looking statements and
information, including "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995. The forward-looking
statements and information expressed, as at the date of this press
release, McEwen Mining Inc.'s (the "Company") estimates, forecasts,
projections, expectations or beliefs as to future events and results.
Forward-looking statements and information are necessarily based upon a
number of estimates and assumptions that, while considered reasonable by
management, are inherently subject to significant business, economic,
political and competitive uncertainties, risks and contingencies, and
there can be no assurance that such statements and information will prove
to be accurate. Therefore, actual results and future events could differ
materially from those anticipated in such statements and information.
Risks and uncertainties that could cause results or future events to
differ materially from current expectations expressed or implied by the
forward-looking statements and information include, but are not limited
to, risks related to the cost of transferring or otherwise allocating
funds between operating jurisdictions, factors associated with
fluctuations in the market price of precious metals, mining industry
risks, political, economic, social and security risks associated with
foreign operations, risks associated with the construction and permitting
of mining operations and commencement of production and the projected
costs thereof, risks related to litigation, property title, the state of
the capital markets, environmental risks and hazards, uncertainty as to
calculation of mineral resources and reserves and other risks. Readers
should not place undue reliance on forward-looking statements or
information included herein, which speak only as of the date hereof. The
Company undertakes no obligation to reissue or update forward-looking
statements or information as a result of new information or events after
the date hereof except as may be required by law. See McEwen Mining's
Annual Report on Form 10-K for the fiscal year ended December 31, 2012
and other filings with the Securities and Exchange Commission, under the
caption "Risk Factors", for additional information on risks,
uncertainties and other factors relating to the forward-looking
statements and information regarding the Company. All forward-looking
statements and information made in this news release are qualified by
this cautionary statement.   


                   Table 2 - Summary of Drill Hole Results                  
                                                                            
----------------------------------------------------------------------------
                                   From  To   Thickness  Cu                 
    Hole Northing Easting   Dip    (m)   (m)     (m)    (%)        Zone     
----------------------------------------------------------------------------
                             90                                             
1)  1290 6559000  2383750 degrees  0    61      61      -      Overburden  
----------------------------------------------------------------------------
                                                              Leached oxide 
                                    61   142     81     0.02       cap      
                                  ------------------------------------------
                                   142   152     10     0.06   Mixed oxide  
                                  ------------------------------------------
                                   152   366     214    0.24    Partially   
                                                              enriched with 
                                                                   weak     
                                                               chalcopyrite 
                                                              and chalcocite
                                                             Includes 30m at
                                                              0.41% Cu from 
                                                               288m to 318m 
                                  ------------------------------------------
                                                               Weak primary 
                                                                   with     
                                   366  757.5   389.5   0.13   chalcopyrite 
                                  ------------------------------------------
                                  Step-out hole completed to target depth.  
                                  Average core recovery was 93%.            
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
2)  1293 6559621  2383360 degrees  0    61      61      -      Overburden  
----------------------------------------------------------------------------
                                                               Caving - no  
                                    61  74.5    13.5     -        sample    
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                                   weak     
                                                               chalcopyrite 
                                   74.5  106    31.5    0.18  and chalcocite
                                  ------------------------------------------
                                  Infill hole lost before reaching target   
                                  depth. Average core recovery was 50%.     
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
3)  1295 6558598  2382993 degrees  0    67      67      -      Overburden  
----------------------------------------------------------------------------
                                                              Leached oxide 
                                    67   80      13     0.07       cap      
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                              calcocite and 
                                    80   112     32     0.31   chalcopyrite 
                                  ------------------------------------------
                                                                 Primary    
                                   112   140     28     0.18   chalcopyrite 
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                               chalcopyrite 
                                   140   164     24     0.24  and chalcocite
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   164   426     262    0.22   and bornite  
                                  ------------------------------------------
                                   426 1044.5   618.5   0.51     Primary    
                                                               chalcopyrite 
                                                               and bornite  
                                                             Includes 38m at
                                                              1.07% Cu from 
                                                              580m to 618m, 
                                                                And 24m of  
                                                              1.16% Cu from 
                                                              720m to 744m, 
                                                               And 74.5m of 
                                                              0.61% Cu from 
                                                             970m to 1044.5m
                                  ------------------------------------------
                                  Twin of hole T-01 (drilled in 2010)       
                                  completed to target depth. Average core   
                                  recovery was 99%.                         
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
4)  1296 6558158  2323223 degrees  0   60.2    60.2     -      Overburden  
----------------------------------------------------------------------------
                                                              Leached oxide 
                                   60.2 66.2      4     0.03       cap      
                                  ------------------------------------------
                                                               Caving - no  
                                   66.2 72.7     6.5     -        sample    
                                  ------------------------------------------
                                                                 Primary    
                                   72.7  156    83.3    0.25   chalcopyrite 
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   156   244     88     0.92  and chalcocite
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   244  523.2   279.2   0.24   and bornite  
                                  ------------------------------------------
                                  Reattempt of hole 12101 lost before       
                                  reaching target depth. Average core       
                                  recovery was 86%.                         
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
5)  1297 6559203  2382889 degrees  0    69      69      -      Overburden  
----------------------------------------------------------------------------
                                    69   72       3     0.03   Mixed oxide  
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                               chalcopyrite 
                                    72   218     146    0.18  and chalcocite
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   218   276     58     0.18   and bornite  
                                  ------------------------------------------
                                   276   690     414    0.50     Primary    
                                                               chalcopyrite 
                                                               and bornite  
                                                             Includes 54m at
                                                              1.07% Cu from 
                                                               436m to 490m 
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   690  980.8   290.8   0.23   and bornite  
                                  ------------------------------------------
                                  Step-out hole completed to target depth.  
                                  Average core recovery was 97%.            
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
6) 12104 6558803  2383200 degrees  0    114     114     -      Overburden  
----------------------------------------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                              chalcocite and
                                   114   172     58     0.18    chalcocite  
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   172   270     98     0.23   and bornite  
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   270   374     104    0.39   and bornite  
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   374  706.4   332.4   0.25   and bornite  
                                  ------------------------------------------
                                  Infill hole completed to target depth.    
                                  Average core recovery was 92%.            
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
7) 12106 6559621  2383360 degrees  0    79      79      -      Overburden  
----------------------------------------------------------------------------
                                                              Leached oxide 
                                    79   106     27     0.02       cap      
                                  ------------------------------------------
                                                              Enriched with 
                                                              chalcocite and
                                   106   222     116    1.01   chalcopyrite 
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                               chalcopyrite 
                                   222   428     206    0.55  and chalcocite
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                               chalcopyrite 
                                   428   496     68     1.18  and chalcocite
                                  ------------------------------------------
                                                                 Primary    
                                                               chalcopyrite 
                                   496  866.4   370.4   0.30   and bornite  
                                  ------------------------------------------
                                  Offset hole 1048 (drilled in 2010)        
                                  completed to target depth. Average core   
                                  recovery was 91%.                         
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
8) 12100 6559046  2383378 degrees  0    30      30      -      Overburden  
----------------------------------------------------------------------------
                                                              Leached oxide 
                                    30   104     74     0.02       cap      
                                  ------------------------------------------
                                   104   136     32     0.30   Mixed oxide  
                                  ------------------------------------------
                                                                Secondary   
                                                             chalcocite with
                                   136   222     86     0.55      pyrite    
                                  ------------------------------------------
                                   222   282     60     0.29    Partially   
                                                              enriched with 
                                                                 pyrite,    
                                                               chalcopyrite 
                                                              and chalcocite
                                  ------------------------------------------
                                                             Primary pyrite,
                                                               chalcopyrite 
                                   282  751.3   469.3   0.21   and bornite  
                                  ------------------------------------------
                                  Infill hole completed to target depth.    
                                  Average core recovery was 97%.            
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                             90                                             
9) 12114 6559820  2382635 degrees  0    101     101     -      Overburden  
----------------------------------------------------------------------------
                                   101   138     37     0.09   Mixed oxide  
                                  ------------------------------------------
                                                                Partially   
                                                              enriched with 
                                                                pyrite and  
                                   138   174     36     0.16    chalcocite  
                                  ------------------------------------------
                                                              Enriched with 
                                                              chalcocite and
                                   174   224     50     0.39   chalcopyrite 
                                  ------------------------------------------
                                                              Enriched with 
                                                              chalcocite and
                                   224   374     150    0.70   chalcopyrite 
                                  ------------------------------------------
                                                             Primary pyrite,
                                                               chalcopyrite 
                                   374  814.5   440.5   0.22   and bornite  
                                  ------------------------------------------
                                  Step-out hole completed to target depth.  
                                  Average core recovery was 95%.            
----------------------------------------------------------------------------


    To view the figures associated with this release, please visit the
following link: http://media3.marketwire.com/docs/MUX328_maps.pdf. 

    The NYSE and TSX have not reviewed and do not accept responsibility for
the adequacy or accuracy of the contents of this news release, which has
been prepared by management of McEwen Mining Inc.

Contacts:
McEwen Mining Inc.
Jenya Meshcheryakova
Investor Relations
(647) 258-0395 ext 410 or Toll Free: (866) 441-0690
(647) 258-0408 (FAX)

Mailing Address
McEwen Mining Inc.
181 Bay Street Suite 4750
Toronto, ON M5J 2T3
PO box 792
info@mcewenmining.com

Facebook: www.facebook.com/mcewenrob
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