Avanco Resources yields positive results for Rio Verde Copper Project feasibility February 8, 2010

Avanco Resources (ASX: AVB) provides an update on the mine scoping study for the Rio Verde High Grade Copper Project in Brazil. Key aspects of the development plan are at an advanced stage and the Company is highly encouraged with results to date which illustrate the feasibility of a low cost, minimum risk project with a strong economic performance.

HIGHLIGHTS:

• Scoping study on the Rio Verde High Grade Copper Project nearing completion and illustrates ~5,000tpa of copper sales with ~US$57M total cash flow with ~$1.70 total cash costs for the opening six years under study.
• The high grade strategy focuses on the JORC compliant 210,000t at 11.6%Cu resource.
• Pre-production Capex of ~US$2M.
• Plant and infrastructures ~US$9M to be funded from early cash flows.
• Grade control drilling to increase and upgrade resources to measured and indicated categories to be completed during third quarter of 2010.
• High Grade resource moved into a “ready-to-mine” status.

Click here to view the full announcement.

For further information, please contact:

Tony Polglase
Executive Director
E-mail: info@avancoresources.com
Tel: +61 8 9321 6600

Media:
Fortbridge
Bill Kemmery
E-mail: bill.kemmery@fortbridge.com
Tel: +61 2 9331 0655
Mob: +61 400 122 449