From the ECU website:

http://www.ecu.ca/s/Velardena.asp?Re...

"San Mateo

The vein exhibits variable width, with an average of 0.4 m to 0.5 m within the intrusive. At the contact between the intrusive and the limestone, the vein is characterized by a mineralized chimney that can reach 7 m in width. Gangue minerals consist of calcite and quartz.

Grade is extremely variable. Calcite rich zones are generally low grade. Seven hundred samples from the database indicate a high of 16.5 g/t Au and 6,485 g/t Ag with an average of 2.82 g/t Au and 443 g/t Ag. Furthermore, there are consistent values of lead and zinc but only the most recent portion of the database has information on the base metals contents. " - ENDQUOTE

Now go to the ECU corp presentation and review slide 14, which shows the map of the vein structures. Note the location of the San Mateo vein:

http://www.ecu.ca/i/pdf/Corporate_Pr...

Here is more description of the vein, and a summary of some of the new discovery zones that are close to current underground development:

"The Terneras and San Mateo veins are silver/lead rich while San Juanes is more gold/copper rich. However, such veins can form thicker lenses called "chimneys" where the host rock consists of softer limestones. These "chimneys' have been the main target of the near surface historical production.

-and-

Two significant points concerning these results:

1) The discovery of a 7.9 meter wide (25.9 feet) intercept in the limestones in hole T-06-16 is typical of the "chimneys" model;

2) The continuous depth extension of the San Mateo vein which has been cut 537 meters (1,761 feet) below level 6, dramatically increasing the vertical extent of the system and yet still remains open at depth.

-and-

The other three chimney type structures encountered in hole T-06-18 were not linked to the San Mateo vein and were part of an entirely new and previously unknown veins system south of the San Mateo vein.

As a result, all four of these chimney type zones are now prime targets for underground development at the San Mateo mine as they clearly show significant grades in spite of very strong alteration and lixiviation. Of particular interest is the San Mateo vein cut in hole T-06-16 and the 4.24 meters cut in hole T-06-18 as they both carry high silver contents over wide intercepts..." - ENDQUOTE

http://www.ecu.ca/s/NewsReleases.asp...

I could spend all day reviewing data from prior NRs to make my point. The kind of intervals that ECU has been hitting on a regular basis for years would make almost every other junior explorer jealous. These new discovery zones are usually located in close proximity to the extensively developed workings of the mine, and production can commence with minimal additonal work and shipped directly to the wholly owned mill.

I do not know the plans for where ECU will go to begin producing. There are several other new discovery zones which have been reported lately that also bear high grades and continuity. My guess is that the company has already begun developing stopes and testing material, and they will announce it when they know they have working profitable operations in place. I would also expect that kind of news will justify halting the stock, and then drive the share price north of $2 as the shorts get crushed, but in this market, who knows?

cheers!

mike