HOUSTON METALS' MINE YIELDS POSITIVE RESULTS

  &lt;Houston Metals Corp> said the
  the first phase of the underground rehabilitation, extensive
  drilling and bulk sampling program at its Silver Queen Mine has
  yielded positive results.
      Houston said representative assays from the 2,750 ft and
  2,600 ft levels at the south end of the mine established ore
  deposits in the following ranges: copper, 3.7 pct to 5.08 pct,
  lead .99 pct to 1.5 pct, zinc six pct to 9.6 pct, silver 15.63
  pct to 79.92 oz per ton, gold .062 to .19 oz per ton, germanium
  93 to 103 grams per ton, gallium five to 18 grams per ton.
      In addition, Houston Metals said the weighted average of 25
  diamond-drilled holes 375 ft below the 2,600 foot level and 800
  ft along the strike assayed gold at .237 oz per ton, silver at
  10.91 oz per ton and zinc at 8.99 pct.
      An apparent parallel vein structure at the 2,600 ft level
  returned similar values, the company said.
      It added that preliminary metallurgical tests from
  representative bulk ore samples indicate the commercial
  feasability of producing a zinc and a copper-lead concentrate.
      Houston Metals said gold, silver and the base metals have
  recoveries of 90 pct to 95 pct, with 95 pct of gold recovered
  from better gold ores, while gallium, germanium and indium have
  recoveries of between 66 pct to 82 pct and are included in the
  zinc concentrate.
      The company's 1987 program of diamond drilling, underground
  drifting and metallurgical evaluation is scheduled to start on
  April.
      Houston Metals said it has a 60 pct interest in the Silver
  Queen mines.
      It added that funds for the program have been provided by
  First Exploration Fund, a Canadian limited partnership
  sponsored by Merrill Lynch Canada Inc and Dominion Securities
  Inc.
  

