Portex Minerals Inc. announced the latest drilling and geophysical survey results for the Lagoa Salgada deposit in South Western Portugal. The drilling was conducted to follow up on initial drilling results from the 2011 exploration program. The latest program also incorporated the analysis of results from the technical report and resource estimate completed by Tetra Tech.

The first two holes of the planned 7-hole Phase 2 program were completed. Percussion pre-collaring of overlying barren sediments was completed in the first half of March 2012. Diamond drilling commenced on June 25 and was completed on July 27, 2012.

As in the previous drill programs, samples were collected and shipped to an accredited assay laboratory owned by ALS Laboratories at its Seville Spain facility. Assay results were recently received, compiled and composited for disclosure. Drillhole PX02 was targeted to evaluate the eastern downdip extension of the SE massive sulphide lens delineated by 2011 drilling as presented in the technical report.

The hole encountered a residual gossan horizon at the contact between the overlying Tertiary sediments and the older Paleozoic volcanic sequence hosting the Lagoa Salgada deposit. Below the gossan, the hole encountered altered volcanic tuffs and sulphide stockwork mineralization and a narrow massive sulphide intercept between 169m and 179m depth. No significant assays were obtained from hole PX02.

Hole PX05 was located to further evaluate the tenor and continuity of the SE lens and was collared between previous holes PX04A and PX08, which were 111m apart. Hole PX05 intersected a thick gossan at the unconformity followed by 55m of massive and semi-massive sulphides. The hole confirmed the continuity of the SE lens and also the relatively higher grade upper section of the sulphide sequence which, as in PX03 and PX08, contains significant grades of gold, silver, lead and zinc. The upper sulphide zone contained a continuous section 18.10m in thickness grading 1.30 g/t Au, 72.03g/t Ag, 5.54% Pb and 7.33% Zn.

The gossan zone above the sulphides also contains appreciable gold, silver and lead. Immediately below the gossan an interval of enriched copper and silver exists, likely from supergene enrichment, which graded 112 g/t silver and 4.35% copper. Hole PX05 terminated in a clay-rich fault from 221-223.8m which prevented further drilling.

Portex is examining its options with respect to extending PX05 at depth. Hole PX02 detected the adjacent sulphide mass to the west (intersected in PX08 (2011)) and hole PX05 demonstrated two conductive responses: one strong anomaly for the sulphide zone intersected by the hole and a second weaker off-hole response interpreted to reflect the main sulphide body at Lagoa Salgada to the west. The conductive zones were interpreted to dip 78-75 degrees NE.

The interpreted dip is steeper than expected and may indicate that hole PX02 was terminated above the target sulphide horizon. Consideration will be given to extending this hole to depth if re-entry is possible. Portex expects that completion of the remaining five holes of the planned Phase 2 program will greatly assist in refining the geologic model and potential for resource expansion at Lagoa Salgada.