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Cerro Resources NL Commences Drilling at Its Namiquipa Project

24.05.2011  |  Marketwire

LONGUEUIL, QUEBEC -- (Marketwire) -- 05/24/11 -- Cerro Resources NL (ASX: CJO)(TSX VENTURE: CJO) ('Cerro' or 'the Company') is pleased to advise that drilling has commenced at its Namiquipa Silver Project, Mexico.


The Namiquipa project consists of three concessions totalling 4,400ha. It includes the La Venturosa silver mine, which was the site of underground mining operations for silver, lead and zinc from 1929 - 1936, 1948 - 1955 and 1990 - 2002. The Company controls the mineralized trend to the north and south of the La Venturosa Mine, where there has previously been only reconnaissance exploration undertaken.


Several high priority targets were flagged during due diligence undertaken for the Namiquipa project acquisition and will form part of a 10,000m drill core program which commenced last week. The Company will keep the market appraised of drilling progress.


In addition the Company is conducting an extensive geophysical program that includes ground magnetic and Induced Polarization (IP) surveys. Anomalies detected during this program are being assessed as the program advances.


The Company also announces that a second drill will be added at its Mount Philp project in Australia in June. Drilling results should be announced during the 2nd and 3rd quarter and the Company plans to initiate a resource calculation by the end of the year.


About Cerro Resources


Cerro Resources is a precious and base metals exploration and development company. The Company is currently focused on Mexico where it is developing the Cerro del Gallo gold/silver project in the central state of Guanajuato, Mexico and commencing exploration on the Namiquipa silver project. It also maintains an active working focus on the Mt Isa, Queensland, region where it is exploring the Mt Philp haematite project and it holds an interest in the Kalman molybdenum, rhenium, copper project.


Additional information about the Company is available on the Company's website at www.cerroresources.com and on SEDAR.


Forward-Looking Information


This news release contains certain 'forward-looking information' under Canadian securities laws. All statements that address future plans, activities, events or developments that the Company believes, expects or anticipates will or may occur are forward-looking information. Specifically, this news release contains forward looking information about the completion of work programs, announcement of results and plans to complete a resource estimate. Forward looking information is based upon assumptions by management that are subject to known and unknown risks and uncertainties beyond the Company's control, including risks related to mining exploration and the availability of financing for companies such as the Company. There can be no assurance that outcomes anticipated in the forward looking information will occur, and actual results may differ materially for a variety of reasons. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking information, except as may be required by law.


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts:

Tony McDonald, Managing Director;

John Skeet, Chief Operating Officer; or

Craig McPherson, Chief Financial Officer

61 7 3252 0122
admin@cerroresources.com


For North America, please contact:

Ms. Gerri Paxton,

Manager Investor Relations

1-514-544-2696
gpaxton@cerroresources.com



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