Valencia Buys Silver Standard's Remaining Interest in Cachinal Silver Project

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Valencia Ventures Inc. is pleased to announce that it has entered into an agreement to acquire Standard Resources Inc.'s remaining 20% interest in the Cachinal silver project. The CDN$5.5 million purchase price is payable in two instalments with the issue of Valencia common shares. The first instalment of CDN$4.0 million is payable upon closing of the transaction and the balance 12 months hence. As a result, Valencia now owns 100% of Cachinal. Valencia will also pay Silver Standard US$0.50 per ounce of additional silver ounces in excess of the current resource estimate of 27 million ounces of silver up to a limit of 10 million ounces of silver, payable at Valencia's discretion, in cash or common shares. The closing of the transaction is subject to regulatory approval and all shares issued will be subject to a 6-month hold period.

Successful exploration by Valencia in 2006 resulted in the delineation of a significant silver deposit at Cachinal; the initial mineral resource based on a strike length of 650 metres is estimated at 14 million ounces of silver in indicated resources (based on approximately 4.11 Mt at 103.92 g/t Silver, 0.11 g/t Gold and 0.17% Nickel) and a further 13 million ounces of silver in inferred resources (based on approximately 5.09 Mt at 78.22 g/t Silver, 0.11 g/t Gold and 0.16% Nickel). The Cachinal deposit also contains considerable gold and zinc mineral resources (See press release dated February 19, 2007).

Additionally, the first phase of Valencia's 2007 drill program intersected significant high grade silver mineralization within broad zones of silver-gold-zinc mineralization over an 800 metre strike length in the Northern Extension target to the north of the current mineral resource. The drill results also indicated the mineralized zone is also open along strike to the south and the Company believes the potential to expand the existing resource is excellent.

Valencia's President and CEO, Doug Bache, commented, "Our 100% ownership of Cachinal represents a major milestone for Valencia and our strategy to build a portfolio of significant silver and gold resources in the Americas." He added, "We believe there is good potential to substantially increase the silver resource at Cachinal and our exploration team in Chile will be focused on this task during the remainder of 2007."

Valencia will immediately commence an aggressive follow-up and resource definition drill program with the objective of updating the mineral resource and producing a preliminary assessment study on Cachinal by the end of 2007. This drill campaign and evaluation program is fully funded and Valencia expects to announce initial drill results in late summer.

Cachinal Silver Project

The Cachinal de la Sierra area is located within the Paleocene Gold Belt of northern Chile, which hosts several significant gold and silver deposits including Meridian Gold's El Penon Silver-Gold Mine. The El Penon mine is a low sulphidation-style epithermal silver-gold deposit and one of the worlds lowest cost gold producers. The past-producing Guanaco Gold Mine located 12km to the southwest is a high sulphidation-style epithermal deposit that was mined as a heap leach operation during the early 1990's by Amax Gold Inc. and then by Kinross Gold Corporation. Historical silver production in the Cachinal area is estimated at approximately 32 million ounces as documented in geological reports in the library and files of Chilean Government agency SERNAGEOMIN. The production figures (tonnage and grade) referred to above is historical in nature and has not been verified by the issuer's Qualified Person, and should not be relied upon.

Valencia is a Canadian resource company traded under the symbol VVI on the TSX Venture Exchange. Valencia's development strategy is focused on the exploration and development of silver and gold properties, including the Cachinal Silver-Gold Project in Chile and the Rancheria Silver Project in the Yukon Territory and British Columbia, Canada. With a focus on silver and gold exploration in the Americas, Valencia is considering various precious metal property acquisitions.

Cautionary Note:

Mr. Douglas A. Currie, MAusIMM, Valencia's Executive Vice President-Exploration & Development, is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and is responsible for reviewing the technical disclosure in this press release. Field work in Chile has been performed under Mr Currie's supervision by SBX Consultores Ltda, Santiago, Chile.

This press release contains "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information includes, but is not limited to, statements regarding exploration prospects, the identification of mineral resources, costs of and capital for exploration projects, exploration expenditures and timing of future exploration. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters, future prices of mineral prices; and risks of the mining industry. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.


Contact:

Doug Bache
Valencia Ventures Inc.
President and CEO
(416) 861-5884
Email: info@valenciaventures.com

Doug Currie
Valencia Ventures Inc.
Executive Vice-President, Exploration and Development
Email: dcurrie@valenciaventures.com

Source: Valencia Ventures Inc.

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