Burlington, Ontario–(Newsfile Corp. – January 18, 2022) – Silver Bullet Mines Corp. (TSXV: SBMI) (‘SBMI’ or ‘the Company’) is pleased to report excellent assay results from a bulk sample from its Washington Mine in Idaho (the ‘Property’). The assay results from SBMI’s own assay lab on site have been corroborated by a third-party accredited lab.
“The importance of these results cannot be overstated,” said A. John Carter, the Company’s CEO. “These results support three important conclusions. First, they are in line with historical data, which increases our comfort level with using that data for guidance. Second, they show the Property is still mineralized with silver and gold. Third, and I think most importantly, it confirms that QA/QC processes both in our own lab and at the third-party lab return very similar results. This further validates our lab.”
The results are below. Lines 1, 2, 3 and 4 were processed in SBMI’s lab in Arizona. Line 5 was processed by Paragon Geochemical, a third-party lab. These values are in oz/ton silver.
Q1
Q2
Q3
Q4
SBMI
1
69.6
55.4
44.2
48.8
SBMI
2
68.8
55.4
43.0
51.6
SBMI
3
74.0
57.0
44.0
54.0
SBMI
4
70.4
56.8
44.2
51.4
Avg per Quarter
70.7
56.2
43.9
51.5
Avg across all Quarters
55.5
Paragon
5
70.1
67.1
50.0
46.6
Diff between SBMI & Paragon
0.8%
-16.2%
-12.2%
10.5%
Paragon also assayed for gold, which across the four quarters returned 1.82g/t, 2.49g/t, 1.77g/t, and 1.4g/t respectively. SBMI did not assay for gold.
As indicated above the SBMI average across all quarters was 55.5 oz/ton silver. This equates to over 1,902 g/t silver at a conversion rate of 34.285.
SBMI collected the bulk sample from eight locations at the Property. The material from each of the eight locations was blended into an 80-kilogram bulk sample, with the result being crushed and quartered. Five kilograms of material was removed from each quarter and processed by SBMI as sixteen assays in total. Five kilograms of material was removed from each quarter and processed by Paragon as four assays.
The Company intends to send the fourth quarter of the bulk sample for ore characterization and metallurgical testing to Montana Technical University, Centre for Advanced Mineral Processing. The remaining parts of the bulk sample including the pulps and rejects have been retained by SBMI as part of its QA/QC practices.
SBMI’s assay lab on-site in Arizona is managed by Robert Budd, a Metallurgical Process Engineer who began his career in metallurgical engineering in 1972. He has held various positions with various employers including Senior Engineer, Superintendent, Engineer, Technical Assistant, Technician, and Lab Assistant. Most recently, prior to joining SBMI he was involved in designing and creating an internal assay facility in Arizona for Freeport McMorran Inc. He has also been the Chief Metallurgist for Northern Sphere Mining Corporation in Arizona, the Principal Process Specialist for Fluor Canada out of Vancouver, the Senior Metallurgical Engineer for Doe Run Lead, the Project Engineer for the commissioning of a copper concentrator start-up at Oz Minerals’ Prominent Hill Mine in South Australia, Senior Metallurgical Engineer for Cyprus Miami/Phelps Dodge Miami in Arizona, Metallurgical Engineer and Metallurgical Lab Supervisor for Newmont Gold in Nevada, and Chief Metallurgist for Inspiration/Cyprus Miami in Arizona among other positions.
Working with Mr. Budd in SBMI’s assay facility is Vic Power, a Registered Professional Assayer for the state of Arizona.
“We have an extremely high level of confidence in our team and in the accuracy of our assays,” said Mr. Carter. “Today’s results only add to that confidence.” SBMI’s management believes these assays confirm the tenor and range of grades reported historically from the silver veins, but cautions they may not be representative of the average grade of mineralization within the full width or extent of any of the muck piles or mineralized structures present on the Property.
The next steps at the Property are to continue sampling, to take the steps necessary to go underground for visual inspection and sampling, and then to take a larger bulk sample. As the Property is on patented lands the process of permitting required to re-open the Washington Mine is more streamlined. SBMI is in discussions with third parties for the purchase of the resulting ore and/or concentrate and has identified potential mill facilities near the Property. SBMI is also considering whether to ship larger samples from the Washington Mine to SBMI’s assay facility in Arizona.
Meanwhile, in Arizona, SBMI continues to advance work at the mill site and mine site at its massive Black Diamond property, which hosts among others the Buckeye Silver Mine. SBMI has been advised it has been moved up the list for the unloading of its shipping container at Long Beach, but cannot provide a firm date upon which such unloading will take place. Assuming it takes place in the next two weeks, SBMI is still on a timeline for pilot production at the Buckeye Silver Mine by the end of this quarter.
QA/QC at SBMI’s Facility
The samples analyzed by SBMI at its facility near Globe, Arizona were processed through the Lab Jaw Crusher, Lab Hammer Mill and Splitter Box into an aliquot. Most of the pulverized aliquot was mixed with a flux and flour combination and melted in a crucible at 1,850 degree Fahrenheit, with the remainder being logged and archived. Upon cooling, the poured melt was in the form of a metal button and slag, following which a bone ash cupel was utilized to eliminate the lead in the button to form a bead. The bead was then weighed, following which a solution of 6 to 1 distilled water to nitric acid was utilized to dissolve the silver in the bead at approximately 175 degrees Fahrenheit. A much more detailed description of the process and a picture of the assay lab can be found at https://www.silverbulletmines.com/qaqcassaylab.
QA/QC at Paragon
The samples reported above were collected by the Company’s project geologist and then bagged, labeled, securely stored and sent to Paragon Geochemical in Sparks, Nevada following the Company’s standard QA/QC protocols and the use of independent testing labs. Silver and gold values were determined using fire assay with gravimetric finish using SOP-230. Paragon Geochemical is an IAS accredited full service geochemical laboratory in compliance with ISO/IEC Standard 17025:2017. It also holds a Certificate of Registration for its Quality Management System under ISO 9001:2015 for the testing of metal content in metal and mineral samples for mining companies.
The Qualified Person for this press release is Mr. Ron Wortel, P.Eng., who oversaw all of SBMI’s work referred to herein. Mr. Wortel is also President and a director of the Company.
For further information, please contact:
John Carter Silver Bullet Mines Corp., CEO cartera@sympatico.ca +1 (905) 302-3843
Peter M. Clausi Silver Bullet Mines Corp., VP Capital Markets pclausi@brantcapital.ca +1 (416) 890-1232
Cautionary and Forward-Looking Statements
This news release contains certain statements that constitute forward-looking statements as they relate to SBMI and its subsidiaries. Forward-looking statements are not historical facts but represent management’s current expectation of future events, and can be identified by words such as “believe”, “expects”, “will”, “intends”, “plans”, “projects”, “anticipates”, “estimates”, “continues” and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct.
By their nature, forward-looking statements include assumptions, and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this new release, SBMI will also set out the material risk factors or assumptions used to develop the forward-looking statements. Except as expressly required by applicable securities laws, SBMI assumes no obligation to update or revise any forward-looking statements. The future outcomes that relate to forward-looking statements may be influenced by many factors, including but not limited to: the impact of SARS CoV-2 or any other global virus; reliance on key personnel; the thoroughness of its QA/QA procedures; the continuity of the global supply chain for materials for SBMI to use in the production and processing of ore; shareholder and regulatory approvals; activities and attitudes of communities local to the location of the SBMI’s properties; risks of future legal proceedings; income tax matters; fires, floods and other natural phenomena; the rate of inflation; availability and terms of financing; distribution of securities; commodities pricing; currency movements, especially as between the USD and CDN; effect of market interest rates on price of securities; and, potential dilution. SARS CoV-2 and other potential global viruses create risks that at this time are immeasurable and impossible to define.
Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.
Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.
Figure 2
Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.
Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.
Figure 3
3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area. The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.
3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area. The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.
TORONTO, Jan. 18, 2022 (GLOBE NEWSWIRE) — Eloro Resources Ltd. (TSX-V: ELO; OTCQX: ELRRF; FSE: P2QM) (“Eloro”, or the “Company”) is pleased to provide an update on its Iska Iska silver-tin polymetallic project in the Potosi Department, southern Bolivia. By the end of 2021, the Company completed 40,468 metres (m) in 73 drill holes at Iska Iska, as shown in Figure 1. Table 1 summarizes drill holes with assays pending. Currently there are two surface drill rigs and one underground drill rig on site. Drilling with all rigs recommenced on January 17, 2022. Highlights of work in progress are as follows:
Definition drilling has been substantially completed over the Santa Barbara target zone which extends for over a strike length of approximately 1,400m, across a width of 500m and to a depth of 600+m. All drill holes in the Northwest Extension intersected significant mineralization confirming that the Santa Barbara mineralization extends across the full 1,400m long resource definition target zone. The mineralized system remains open along strike to the northwest and southeast as well as to the southwest.
More assay results are expected to be released in the next 2-3 weeks, but further delays have been experienced due to the impact of Covid-19 on staffing at the laboratories. All drill core completed prior to shutdown of drilling on December 17, 2021, has been logged, sawn and sampled with samples shipped to the laboratories.
The Iska Iska caldera complex, which we now know has both a main caldera and two nested secondary calderas, extends along strike in a northwest-southeast direction for at least 2.5km, a width of at least 2km and likely extends to a depth of more than 1km.
Going forward exploration drilling will be focused on testing the major targets in the Porco and Mina 2 areas along with the potential for a tin porphyry at depth. We are working closely with Micon International Limited to facilitate the National Instrument (“NI”) 43-101 mineral resource estimation process which we are now targeting to be completed in Q2 2022.
Tom Larsen, CEO of Eloro commented: “The last two years have proven to be Eloro’s most transformative and exciting to date. Our decision in 2019 to pursue a new mineral resource project, which resulted in the January 2020 signing of the Iska Iska silver-tin polymetallic property option agreement, has proven to be the catalyst for the Company’s upward trajectory and promising future. In just 15 months since the start of diamond drilling, Iska Iska has advanced from a promising grass roots project to being on the verge of outlining a significant NI 43-101 compliant mineral resource. Under the leadership of Dr. Osvaldo Arce, P. Geo., our in-country General Manager, and Dr. Bill Pearson, P, Geo., our Executive Vice President Exploration, we have built a very strong in-country technical team based in Tupiza, Bolivia. This team is supported by several excellent local contractors including Leduc Drilling who have completed more than 40,000 metres of diamond drilling since we started. As outlined in this update, we have a tremendous amount of work in progress, which will lead to the inaugural mineral resource, confirmation of metallurgical recoveries and drill-testing of more major targets in this remarkable mineralized system.”
Dr. Bill Pearson, P.Geo., Eloro’s Executive Vice President Exploration, added: “Work is progressing well on completing an updated geological model for the Santa Barbara Target Zone. The bore hole induced polarization (IP) survey results are being processed and the resulting 3D inverse model should help in determining the internal geometry of the deposit, especially of higher sulphide zones, which generally have the best grades. We are working closely with Micon International Limited to facilitate the mineral resource estimation process which we are now targeting to be completed in Q2 2022. Both the ALS and AHK Laboratories are working to reduce the backlog of samples waiting for analysis, however, the recent surge in Covid has created staffing issues for the laboratories, hence there may be further delays in receiving assay results although it is expected that more results will be available for release in the next 2-3 weeks. Definition drilling on our 1,400m by 500m wide by 600m deep mineral resource definition target zone in Santa Barbara is almost complete with the final two holes to be completed in the next two weeks. All drill core completed prior to shutdown of drilling on December 17, 2021 has been logged, sawn and sampled with samples shipped to the laboratories. Going forward exploration drilling will be focused on testing the major targets in the Porco and Mina 2 areas along with the potential for a tin porphyry at depth.”
Dr. Osvaldo Arce, P.Geo., General Manager of Eloro`s Bolivian subsidiary, Minera Tupiza S.R.L. (“Minera Tupiza”), said: “The Iska Iska silver-tin polymetallic deposit is hosted in Miocene breccia pipes, dacitic domes as well as granodiorite stocks and Ordovician sandstones, but especially in the breccia pipes. These breccia pipes were formed by explosive fluids derived from a large magmatic plumbing system, likely comparable to several major deposits in southern Bolivia. Such as Chorolque, Tasna, Tatasi, Chocaya and Siete Suyos. However, in contrast to these other deposits, the Iska Iska system shows a uniqueness of preservation due to the intense and ubiquitous silicification that affects all rocks but especially those with closer proximity to the vents marked by the breccia pipes. The basement Ordovician quartz sandstones are also very erosionally resistant. The combination of the silicification and erosionally resistant basement has preserved an almost complete volcanic edifice at Iska Iska which extends 1km vertically from the valley floor. We now know that the Iska Iska caldera complex consists of a large main caldera covering an area of approximately 1.6km by 1.8km with two nested secondary calderas approximately 1.2 km by 1.0 km in the northwest and approximately 800m in diameter in the southeast as shown in Figure 1. The Iska Iska caldera complex extends along strike in a northwest-southeast direction for at least 2.5km, a width of at least 2km and likely extends to a depth of more than 1km. Iska Iska was not discovered historically because of extensive leaching of metals at surface forming a very depleted oxide zone barren of metals.”
Definition Drilling Santa Barbara Target Area
Definition drilling in the Santa Barbara Mineral Resource Definition Drilling Target Area, as shown in Figure 1, has been substantially completed except for one section with holes DSB-26 and DSB-27 that will be drilled in the next few weeks. Overall, 25 surface (18,443m) and 19 underground (8,124m) holes totalling 26,567m have been completed to test the Santa Barbara target zone over a strike length of approximately 1,400m, across a width of 500m and to a depth of 600+m, as shown in Figure 1. The drill holes testing the Northwest Extension all intersected significant amounts of mineralization confirming that the Santa Barbara mineralization extends across the full 1,400m long target zone. Fill-in drilling from underground in the Santa Barbara adit also intersected significant mineralization and completed addition drill coverage in the eastern part of the SBBP. Assay results are pending for 22 of these mineral resource definition holes, as listed in Table 1.
An updated geological interpretation is in progress which will be used to refine the current model developed in Leapfrog mining software. The upper boundary of sulphide mineralization marked by the sulphide/oxide interface is well defined by geological logging and the magnetic susceptibility inversion model. The base of the mineralization, which is up to 600m thick, is defined by the lower limit of the high magnetic susceptibility. The northeast limit of the mineralization is defined by geology near the contact of the basement Ordovician quartz sandstones with the dacitic intrusive domes. The mineralized target zone is open along strike both to the northwest and southeast, as well as to the southwest. Data from the borehole IP inverse model is expected to aid in defining the internal geometry of the mineralization. Zones of higher sulphide content which have greater chargeability and much lower resistivity tend to be higher grade. These zones are also more magnetic because of the presence of pyrrhotite.
Exploration Drilling Porco Breccia Pipe, Gap Area and Mina 2 Targets
The focus of drilling in 2022 will shift to drill-testing the Porco Breccia Pipe (“PBP”) and the area between the PBP and Central Breccia Pipe (“CBP”) where there is a major magnetic anomaly (see press release October 21, 2021, and Figures 2 and 3), and testing the potential for a tin porphyry at depth. Figures 1 and 3 show the initial planned drilling. Holes DPC-07 and DPC-08, will initially test the Porco area targets with more follow-up drilling planned. Hole DM2-01, to be collared near the Mina 2 portal, will test for the potential tin porphyry at depth. In addition, an underground drill hole from the drill bay in the Santa Barbara adit, hole DSBU-07, will be drilled to the southwest to test the magnetic anomaly in the northern part of the CBP. Underground geological mapping and channel sampling is also in progress in the Mina 2 workings in the southern part of the property (see Figure 1 for location) with drilling also planned in this area later in the year. This area appears to be associated with a secondary caldera (Figure 1).
Eloro is currently using two laboratories, ALS Global and AHK Laboratories, both of whom have sample preparation facilities in Oruro, Bolivia and laboratories in Lima, Peru. The Company is also planning to use the ALS laboratory facility in Galway, Ireland, to achieve a faster turnaround and to help reduce the large backlog of samples with assays pending. Unfortunately, the recent wave of Covid-19 is impacting staffing at both ALS and AHK laboratories, hence there may be additional delays.
Metallurgical Drill Holes
Two diamond drill holes, METSBUG-01 and METSBUG-02 were drilled to provide larger samples of drill core for metallurgical testing. Hole MESTSBUG-01 was directed to intersect the mineralized breccia of the Santa Barbara Breccia Pipe (“SBBP”) near the centre of discovery hole DHK-15 which intersected 129.6 g Ag eq/t over 257.5m (see press release January 26, 2021). The second metallurgical hole, METSBUG-02, intersected the centre of hole DHK-18 in the mineralized envelope east of the SBBP. Hole DHK-18 returned 129.65 g Ag eq/t over 300.75m (see press release July 28, 2021). These holes have been sawn and one-quarter core sent for analysis with three-quarters core to be used for metallurgical testing.
Metallurgical Testing
A program of preliminary metallurgical testwork has been completed by the Mineral Concentration Laboratory of the National Faculty of Engineering of the Technical University of Oruro (UTO). The testwork used eight (8) composite samples assembled from early-stage resource definition drilling. These samples were selected to represent oxide and sulphide mineralization from the Huayra Kasa Mine (“HKM”) area, the SBBP and the CBP targets. Four of the samples were from HKM, three from SBBP and one from CBP. These early-stage drilling samples from these mineralized areas contained relatively low amounts of tin and therefore the conceptual testwork program was focussed on other valuable components particularly silver, zinc and lead.
The objective of this preliminary metallurgical testwork was to develop an early-stage conceptual understanding of the metallurgy. Although the program included basic mineralogy using X-ray diffraction (XRD) analysis, preliminary gravity and leach tests, and work index determinations, the main focus of the scoping level testwork program was to investigate froth flotation, without regrinding, to recover silver into separate lead and zinc concentrates. Detailed development work still needs to be done to investigate the recovery of tin, gold and other potentially valuable elements, such as indium, cadmium and bismuth.
Several open circuit flotation tests were completed using each composite sample and the results provided useful insight into the metallurgy of the Iska Iska project. The program was successful in providing a potential pathway to the successful recovery of lead, zinc and silver into saleable concentrates and will be used as a starting point for further metallurgical optimization during the next phase of testwork.
Richard Gowan, P.Eng., Principal Metallurgist for Micon International Limited, reviewed the preliminary open circuit flotation test results and considers that lead recovery of around 80% to 85% into a saleable lead concentrate could be expected once the flotation conditions were optimized. The projected zinc recovery to a final saleable zinc concentrate is around 80% to 90%. The lead concentrate would also contain considerable valuable silver and potentially payable amounts of gold, while the zinc concentrate would also contain payable amounts of silver and potentially valuable cadmium and indium. Total silver recoveries into the combined lead and silver rougher concentrates were around 73%, but with optimization Micon believes that the total flotation silver recovery can be increased up to 80%. Note that the projected recoveries based on the preliminary test data require confirmation from additional metallurgical testing hence should not be relied upon.
The next phase of testwork will be undertaken by Blue Coast Research Ltd. (“Blue Coast”) based in Parksville, BC and will optimize the flotation flowsheet to maximize lead, zinc, silver and gold into saleable concentrates and develop an appropriate flow sheet for the recovery of tin. Recovery of other more minor valuable metals including bismuth, indium and cadmium will also be considered. Blue Coast has world-class metallurgical testing, analytical services, flowsheet development, consulting and operational support. Their excellent team has been augmented with the addition of Mr. Mike Hallewell, C.Eng. a senior independent mineral processing consultant based in Cornwall, England, who has extensive specialist knowledge in the recovery of tin at mining operations and exploration projects worldwide.
Eloro, in consultation with Micon International Limited and Blue Coast, has selected four representative metallurgical samples from existing drill core in addition to the two new metallurgical holes: 1) Mineralized breccia in discovery drill hole DHK-15; 2) Mineralized dacitic envelope from hole DHK-15; 3) mineralized dacitic envelope from hole DHK-18 and 4) Sn-rich zone in hole DSB-06. Approximately 60m of core from each drill hole has been quarter cored. These samples, in addition to approximately 60m from the two metallurgical holes noted above (three-quarter core), are in the process of being shipped to Blue Coast with the testing likely to begin in the first part of February.
Bore Hole Induced Polarization Survey
The Bore Hole IP program at Iska Iska, carried out from August 2021 to December 2021, has progressed well with sixty-two (62) separate cross-hole surveys completed using many of the drill holes in the north-northeast part of the property. This program, which is being directed by Eloro’s Chief Geophysicist, Dr. Chris Hale, P.Geo., initially focused on the mineralization of the SBBP. A further nineteen (19) cross-hole surveys have also been completed to outline the PBP mineralization. In addition, forty (40) profiles have been obtained from twenty-one individual SBBP and PBP drill holes.
Two types of surveys have been carried out with two distinct objectives:
1. Pole Dipole surveys are used to profile the resistivity and chargeability of each drill hole, and
2. Cross-Hole surveys to test the continuity of mineralization between the drill holes.
In pole-dipole surveys current is injected into each hole being surveyed; one dipole length deeper than the lowest potential dipole. The current point changes throughout the survey as the entire array is lowered or raised in the drill hole.
For cross-hole surveys, current is injected at fixed points in several other drill holes around each candidate hole so that the sensitivity of the survey can be concentrated in the various volumes enclosed between different pairs of drill holes.
Low resistivity and high chargeability indicate the presence of metallic mineralization, in both survey types. Dipoles of 10, 25 and 50 m lengths were used to profile different cylinder radii around each drill hole and an additional potential was measured from the collar to depth. This provides a maximum off-hole measurement radius up to several hundred meters for the deepest stations. Profile data from the pole-dipole surveys calibrate the IP/Res response against the known mineralization in the drill core. Cross-hole data are used for inverse modelling with the UBC DCIP3D software and for interpretation of the off-hole distribution of mineralization.
The mineralization of the SBBP is being modeled using current injection from Santa Barbara and Huayra Kasa holes. PBP holes will provide a separate model of mineralization for the southern part of the property including the major target zone between the CBP and PBP.
Synchrotron Study
Synchrotron mineral cluster analysis was performed on 84 drill core samples by Dr. Lisa Van Loon of LisaCan Analytical Solutions and Dr. Neil Banerjee, P.Geo. of Western University, Department of Earth Science. These samples were selected to be representative of higher-grade areas of major and important minor metals including Ag, Sn, Zn, Pb, Au, Bi, In, Cu and Cd. This work builds on previous analytical work done on the underground channel samples from the due diligence program at Huayra Kasa (see press release June 25, 2020). The synchrotron is a type of circular particle accelerator that is an extremely powerful source of broad-spectrum electromagnetic radiation (e.g., visible light, infrared, UV, & X-rays), approximately 10 billion times brighter than the sun that provides a rapid, high-resolution analytical technique for mineral exploration.
Four (4) mineralogical domains were identified. These domains all have the same or very similar mineralogy. These mineralogical patterns are the result of the time-integrated effects of geological processes with the domains representing every event that has happened to these rocks since they were originally formed, including mineralization. Domain 2 is the largest and includes 60 samples while Domain 1 includes 17 samples, Domain 3 includes 6 samples, and Domain 4 consists of 1 sample. Within the 4 domains, Au-, Cd-, Cu-, Pb-, Sn, and Zn-dominant sub-domains are identified. The sub-domains are interpreted using the available geochemistry data to determine the predominant elements of interest within each sub-domain. These sub-domains can be used in a predictive way to better understand the spatial distribution of these elements of interest.
Domain 2 contains two Sn-dominant sub-domains. In one sub-domain Sn is associated with high Cu, Ag, Bi, and In. Cassiterite was positively identified as the Sn-bearing mineral. In the other sub-domain, Sn is associated with high Ag, but no Sn-bearing minerals were identified but this may reflect the limited number of samples (2) available in the second subdomain.
The sub-domains are interpreted to be likely related to variations in fluid composition, precipitation mechanism, or host rock interaction. The 3D distribution of the sub-domains will be evaluated in the context of lithological and structural variability within the deposit as they have important implications for geometallurgy and processing. Further work will investigate if these 3D subdomains can be used to identify blocks with different processing requirements. Additional testing is planned to further refine this pattern.
Enersoft Inc. GeologicAI Scanning Unit
Eloro has contracted Enersoft Inc. to provide a GeologicAI Scanning Unit on site in Tupiza to enable systematic scanning of diamond drill core. The GeologicAI unit has multiple scanners including XRF, Spectroscopy, 50xMicroscopic images and Laser Profilometer. The scanner, which is in a compact self-contained trailer, will provide real time processing of diamond drill core on-site. It will allow generation of mineral maps including distribution of sulphides of the polymetallic mineralization. Data from the synchrotron study will be used to help calibrate the AI to maximize its efficiency in generating these mineral maps which will be very helpful in defining metal and mineral zonation. The scanner is currently en route by boat to Bolivia and it is hoped that it will be on-site and fully operational by the end of February.
Environmental Studies
The following studies are being carried out by the environmental staff of Minera Tupiza SRL and environmental consultants at Iska Iska:
Collection of existing environmental documentation on the Porvenir concession, where the Iska Iska project is under exploration, including the review of environmental legal documents.
Environmental inspection and evaluation of the Porvenir concession.
Implementation of warning and information signs.
Preparation of detailed environmental studies required by the Bolivian environmental authority.
Regular monitoring of soil, noise, air and water in accordance with current environmental regulations, in all the exploration work.
Control of solid and liquid waste in exploration work.
Construction of sedimentation and infiltration pits for the final disposal of sludge from the cutting of samples.
Construction and implementation of sanitation stations.
Evaluation of all existing underground workings on the property including Huayra Kasa, Santa Barbara, Porco and Mina 2 area.
Preparation of a baseline environmental study for Iska Iska.
Environmental Social Governance (“ESG”) Program
Eloro has a very active program led by ESG Manager Ana Moran, Attorney at Law and Dr. Osvaldo Arce, P.Geo. Major ESG initiatives completed in 2021 include the following:
Community support for COVID-19 in Tupiza and surrounding communities.
Building of 110 sanitation stations in homes in the communities of Almona and La Torre, the closest communities to the Iska Iska property at 5km east and 5km southeast, respectively.
Working with the Women’s Association of Almona and La Torre to support training courses in baking and embroidery as well as other social activities.
Support for school programs including providing classroom materials, snacks during breaks and support to teachers.
ESG activities planned for 2022 include:
Continued implementation of courses, workshops, classes, materials, and other requirements of social projects focused on women, children, and youth groups in Almona, La Torre and additional surrounding communities.
Construction of an additional 134 sanitation stations in the communities of Almona, La Torre and other surrounding communities.
Delivery of equipment for community medical centers.
Improving educational services of the community schools by delivering computer equipment.
Support for local community strengthening and development through specialized services in consultation with the communities.
Table 1: Summary of Diamond Drill Holes Completed with Assays Pending and Drill Holes in Progress at Iska Iska from November 17, 2021 press release.
Hole No.
Type
Collar Easting
Collar Northing
Elev
Azimuth
Angle
Hole Length m
Surface Drilling Northwest Extension Santa Barbara
DSB-12
S
205072.7
7656867.5
4165.0
225
-40
806.2
DSB-13
S
205072.7
7656867.5
4165.0
225
-60
696.5
DSB-14
S
205283.0
7656587.2
4175.0
225
-65
968.5
DSB-15
S
204973.1
7657053.8
4165.0
225
-40
731.2
DSB-16
S
204973.1
7657053.8
4165.0
225
-65
862.0
DSB-17
S
7656765.4
205131.3
4173.0
225
-40
841.0
DSB-18
S
7656676.3
205207.1
4175.0
225
-40
890.4
DSB-19
S
7656676.3
205207.1
4175.0
225
-65
803.3
DSB-20
S
7656765.4
205131.3
4173.0
225
-65
896.5
DSB-21
S
7657138.0
204870.0
4135.0
225
-40
557.3
DSB-22
S
7657208.4
204799.4
4145.0
225
-40
258.4
DSB-23
S
205341.0
7656535.0
4177.0
225°
-40
661.3
DSB-24
S
205341.0
7656535.0
4177.0
225
-65
343.4
DSB-25
S
205283.0
7656587.2
4175.0
225°
-40
615.3
Subtotal
9,931.3
Underground Drilling Santa Barbara Adit
DSBU-1
UG
205285.2
7656074.8
4165.0
90
-10
260.5
DSBU-2
UG
205285.2
7656074.8
4165.0
270
-20
563.6
DSBU-3
UG
205285.2
7656074.8
4165.0
270
-20
443.5
DSBU-4
UG
205285.2
7656074.8
4165.0
180
-20
570.0
DSBU-5
UG
205285.2
7656074.8
4165.0
0
-40
491.7
DSBU-6
UG
205285.2
7656074.8
4165.0
0
-65
253.5
Subtotal
2,582.8
Underground Metallurgical Drill Holes Santa Barbara
METSB-01
UG
205285.2
7656074.8
4165.0
10
-35
351.0
METSB-02
UG
205285.2
7656074.8
4165.0
40
-10
303.1
Subtotal
654.1
Central Breccia Pipe – Surface Radial Drill Program – North Setup
DCN-06
S
204902.0
7655860.0
4420.0
180
-80
626.4
DCN-07
S
204902.0
7655860.0
4420.0
270
-60
680.4
Subtotal
1,306.8
Central Breccia Pipe – Surface Radial Drill Program – South Setup
DCS-04
S
204852.1
7655612.3
4429.7
180
-60
644.4
Subtotal
644.4
Porco Central – Surface Radial Drill Program
DPC-02
S
205457.2
7655110.9
4175.0
225
-60
908.2
DPC-03
S
205457.2
7655110.9
4175.0
135
-60
524.5
DPC-04
S
205457.2
7655110.9
4175.0
0
-60
371.4
DPC-05
S
205457.2
7655110.9
4175.0
90
-60
407.5
DPC-06
S
205457.2
7655110.9
4175.0
243
-60
716.4
Subtotal
2,928.0
TOTAL
18,047.4
S = Surface UG=Underground; collar coordinates in metres; azimuth and dip in degrees. Total drilling completed since the start of the program on September 13, 2020 to December 17, 2021 is 40,468 m in 73 holes. (26 underground holes and 47 surface holes).
Dr. Osvaldo Arce, P. Geo., General Manager of Minera Tupiza, and a Qualified Person in the context of NI 43-101, has reviewed and approved the technical content of this news release. Dr. Bill Pearson, P.Geo., Executive Vice President Exploration Eloro, and who has more than 45 years of worldwide mining exploration experience including extensive work in South America, manages the overall technical program working closely with Dr. Arce. Dr. Quinton Hennigh, P.Geo., Senior Technical Advisor to Eloro and Independent Technical Advisor, Mr. Charley Murahwi P. Geo., FAusIMM of Micon International Limited are regularly consulted on technical aspects of the project.
Eloro is utilizing both ALS and AHK for drill core analysis, both of whom are major international accredited laboratories. Drill samples sent to ALS are prepared in ALS Bolivia Ltda’s preparation facility in Oruro, Bolivia with pulps sent to the main ALS Global laboratory in Lima for analysis. More recently Eloro has had ALS send pulps to their laboratory at Galway in Ireland. Eloro employs an industry standard QA/QC program with standards, blanks and duplicates inserted into each batch of samples analyzed with selected check samples sent to a separate accredited laboratory.
Drill core samples sent to AHK Laboratories are sent to their preparation laboratory in Oruro. With pulps sent to AHK laboratory in Lima, Peru. Check samples between ALS and AHK are regularly cone as a QA/QC check. AHK is following the same analytical protocols used as with ALS and with the same QA/QC protocols. Turnaround time is being impacted by the recent surge in Covid-19 cases which has caused disruptions in staffing.
The magnetic survey was carried out by MES Geophysics using a GEM Systems GSM-19W Overhauser magnetometer. Dr. Chris Hale, P.Geo. and Mr. John Gilliatt, P.Geo. of Intelligent Exploration provided the survey design, preparation of the maps and interpretation from data processed and quality reviewed by Rob McKeown, P. Geo. of MES Geophysics. Messrs. Hale, Gilliatt and McKeown are Qualified Persons as defined under NI 43-101. The 3D magnetic inversion model was prepared by Mr. Joe Mihelcic, P.Eng., P.Geo. of Clearview Geophysics in consultation with Messrs. Hale and Gilliatt. Mr. Mihelcic is a QP under NI 43-101.
Borehole IP surveys were carried out by MES Geophysics with data processing, modeling and interpretation by Dr. Chris Hale, P.Geo. and Mr. John Gilliatt, P.Geo. of Intelligent Exploration.
About Iska Iska
Iska Iska silver-tin polymetallic project is a road accessible, royalty-free property, wholly controlled by the Title Holder, Empresa Minera Villegas S.R.L. and is located 48 km north of Tupiza city, in the Sud Chichas Province of the Department of Potosi in southern Bolivia. Eloro has an option to earn a 99% interest in Iska Iska.
Iska Iska is a major silver-tin polymetallic porphyry-epithermal complex associated with a Miocene possibly collapsed/resurgent caldera, emplaced on Ordovician age rocks with major breccia pipes, dacitic domes and hydrothermal breccias. The caldera is 1.6km by 1.8km in dimension with a vertical extent of at least 1km. Mineralization age is similar to Cerro Rico de Potosí and other major deposits such as San Vicente, Chorolque, Tasna and Tatasi located in the same geological trend.
Eloro began underground diamond drilling from the Huayra Kasa underground workings at Iska Iska on September 13, 2020. On November 18, 2020, Eloro announced the discovery of a significant breccia pipe with extensive silver polymetallic mineralization just east of the Huayra Kasa underground workings and a high-grade gold-bismuth zone in the underground workings. On November 24, 2020, Eloro announced the discovery of the SBBP approximately 150m southwest of the Huayra Kasa underground workings.
Subsequently, on January 26, 2021, Eloro announced significant results from the first drilling at the SBBP including the discovery hole DHK-15 which returned 129.60 g Ag eq/t over 257.5m (29.53g Ag/t, 0.078g Au/t, 1.45%Zn, 0.59%Pb, 0.080%Cu, 0.056%Sn, 0.0022%In and 0.0064% Bi from 0.0m to 257.5m. Subsequent drilling has confirmed significant values of Ag-Sn polymetallic mineralization in the SBBP and the adjacent CBP. A substantive mineralized envelope which is open along strike and down-dip extends around both major breccia pipes. Continuous channel sampling of the Santa Barbara Adit located to the east of SBBP returned 442 g Ag eq/t (164.96 g Ag/t, 0.46%Sn, 3.46% Pb and 0.14% Cu) over 166m including 1,092 g Ag eq/t (446 g Ag/t, 9.03% Pb and 1.16% Sn) over 56.19m. The west end of the adit intersects the end of the SBBP.
Since the discovery hole on the SBBP, Eloro has released a number of significant drill results on this target, including:
122.66 grams g Ag eq/t (35.05 g Ag/t, 0.72% Zn, 0.61% Pb, 0.11% Sn and 0.06 g Au/t) over 123.61m including 205.74 g Ag eq/t (92.30 g Ag/t, 0.57% Zn, 0.85% Pb, 0.18% Sn and 0.07 g Au/t) over 32.32m (DSB-07).
105.41 g Ag eq/t (8.55 g Ag/t, 1.01% Zn, 0.48% Pb, 0.06% Sn and 0.38 g Au/t) over 173.58m including 199.77 g Ag eq/t (21.90 g Ag/t, 1.18% Zn, 0.93% Pb 0.12% Sn and 0.94 g Au/t) over 39.08m (DSB-07).
69.89 g Ag eq/t over 252.89m from 355.12 to 608.02m including several higher-grade sections of 196.60 g Ag eq/t including 131.13 g Ag/t over 14.52m, 134.62 g Ag eq/t including 93.25 g Ag/t over 21.08m and 145.35 g Ag eq/t including 2.38% Zn over 10.11m (DSB-08).
114.96 Ag eq/t including 0.325% Sn over 56.2m including a higher-grade section of 187.98 g Ag eq/t including 0.535% Sn over 28.86m; 80.71 g Ag eq/t including 0.213% Sn over 74.39m and 118.69 g Ag eq/t over 10.77m (DSB-10).
129.65 g Ag eq/t (18.38 g Ag/t, 2.14% Zn, 0.67%Pb, and 0.047% Sn) over 300.75m from 65.14m to 365.91m, including higher grade intervals of 215.54 g Ag eq/t over 72.76m, 163.35 g Ag eq/t over 31.83m and 224.48 g Ag eq/t over 19.39m. 82% of this 446.5m long hole contained reportable intervals (DHK-18).
234.19 g Ag eq/t (70.58 g Ag/t, 2.31% Zn, 2.74% Pb and 0.042% Sn) over 53.2m including a higher-grade portion of 931.73 g Ag eq/t (367.29 g Ag/t, 5.64% Zn, 13.67% Pb and 0.10% Sn) over 9.26m (DHK-20).
108.24 g Ag eq/t (3.14g Ag/t, 0.24 g Au/t, 2.03% Zn and 0.58% Pb) over 48.2m including a higher-grade interval grading 180.76 g Ag eq/t (4.46 g Ag/t, 0.35 g Au/t, 3.57% Zn and 1.05% Pb) over 15.02m (DHK-19). 160.22 g Ag eq/t (36.53 g Ag/t, 1.63% Zn, 1.20% Pb and 0.10% Sn) over 194.14m (DHK-21) including higher grade portions of:
250.50 g Ag eq/t (51.31 g Ag/t, 3.35% Zn, 1.78% Pb and 0.10% Sn) over 18.24m.
257.40 g Ag eq/t (75.83 g Ag/t, 2.29% Zn, 2.40% Pb and 0.12% Sn) over 16.33m.
350.91 g Ag eq/t (112.57 g Ag/t, 1.41% Zn, 3.08% Pb and 0.33% Sn) over 30.06m.
64% of this 512.9m long hole contains reportable intersections.
94.68 g Ag eq/t (3.87 g Ag/t, 0.067 g Au/t, 1.63% Zn, 0.43% Pb and 0.05% Sn) over 169.93m including a higher-grade zone that graded 158.64 g Ag eq/t (9.35g Ag/t, 0.016 g Au/t, 3.43% Zn, 0.71% Pb and 0.03%Sn) over 29.84m (DHK-22).
100g Ag eq/t (including 38.71 g Ag/t, 0.88%Zn and 0.51%Pb) over 188.5 m from 58.67m to 247.13m including a higher-grade portion of 154 g Ag eq/t (including 75.51 g Ag/t, 0.96% Zn, 0.65% Pb and 0.16%Cu) over 65.8m (DHK-23).
On May 4, 2021, Eloro released results from the first drill hole on the CBP. Hole DCN-01 intersected multiple mineralized intercepts including 196.09 g Ag eq/t (150.25 g Ag/t, 0.10% Sn and 0.05 g Au/t) over 56.2m and containing 342.98 g Ag eq/t (274.0 g Ag/t, 0.16% Sn and 0.16 g Au/t) over 27.53m.
Hole DCN-04 drilled at -80 degrees to the north from the northern radial platform of the CBP, intersected seventeen (17) mineralized intersections, principally Sn-Ag-bearing, over its 851.4m length. Best results include: 71.54 g Ag eq/t (32.58 g Ag/t and 0.10% Sn) over 97.10m from 134.40 to 231.5m; 101.52 g Ag eq/t (28.74 g Ag/t and 0.19% Sn) over 62.01m; 70.42 g Ag eq/t (28.74 g Ag/t and 0.16% Sn) over 22.59m; and 236.96 g Ag eq/t (92.21 g Ag/t and 0.25% Sn) over 17.45m. Hole DCS-02 was drilled southeast at -60 degrees from the south radial platform of the CBP. This hole, which was drilled to 800.5m, intersected nine (9) reportable Ag-Zn-Pb-Sn mineralized intervals. Best results include 79.53 g Ag eq/t (including 0.21% Sn) over 19.42m, 101.01 g Ag eq/t (32.76 g Ag/t, 0.76% Zn, 0.75% Pb) over 10.47 and 130.95g Ag eq/t (34.14 g Ag/t, 0.10 g Au/t, 1.35% Zn and 0.56 % Pb over 7.40m.
A detailed ground magnetic survey of the Iska Iska property, reported on June 6, 2021, confirmed the extent of the Iska Iska Caldera as determined from geological mapping and satellite interpretation, including Aster data. The SBBP and CBP, both of which have been confirmed by drill-testing, are marked by prominent low anomalies reflecting strong alteration. The magnetic data suggests that the Central and Porco Breccia Pipes likely merge at depth. In addition, there is a prominent area of low intensity magnetics northwest of the SBBP which was reported on in this press release.
Geological mapping and satellite interpretation identified a third major breccia pipe target, Porco (South), that is approximately 600m in diameter (South) located southeast of the CBP in the southern part of the Iska Iska caldera complex. The Porco (South) Breccia Pipe target has a similar magnetic signature to the Santa Barbara and Central Breccia Pipes, further confirming the likelihood of it being a major breccia pipe. Six (6) drill holes have been completed on Porco; assay results are pending. Previous channel sampling in the Porco adit located adjacent the target area 200m to the southeast returned 50m grading 519.35 g Ag eq/t including 236.13 g Ag/t, 1.89 g Au/t, 0.87% Cu, 0.22% Bi and >0.05% Sn over an average sample width of 2.49m.
Currently three diamond drill rigs are active at Iska Iska, two surface rigs and one underground drill. Planned drilling in the current program for Iska Iska is 51,000m of which 40,000m has been completed with the aim of outlining an initial inferred NI 43-101 compliant mineral resource by Q2 2022. The target zone at the SBBP and the surrounding mineralized envelope is 1400m along strike, 500m wide and extends to a depth of 600m. This zone is open along strike to the northwest and southeast as well as to the southwest. A borehole induced polarization/resistivity (IP/Res) survey is in progress to further define drill targets and aid resource definition drilling. Preliminary metallurgical tests are also in progress. An updated NI 43-101 Technical Report is being prepared by independent consultant Micon International Ltd.
About Eloro Resources Ltd.
Eloro is an exploration and mine development company with a portfolio of gold and base-metal properties in Bolivia, Peru and Quebec. Eloro has an option to acquire a 99% interest in the highly prospective Iska Iska Property, which can be classified as a polymetallic epithermal-porphyry complex, a significant mineral deposit type in the Potosi Department, in southern Bolivia. Eloro commissioned a NI 43-101 Technical Report on Iska Iska, which was completed by Micon International Limited and is available on Eloro’s website and under its filings on SEDAR. Iska Iska is a road-accessible, royalty-free property. Eloro also owns an 82% interest in the La Victoria Gold/Silver Project, located in the North-Central Mineral Belt of Peru some 50 km south of Barrick’s Lagunas Norte Gold Mine and Pan American Silver’s La Arena Gold Mine. La Victoria consists of eight mining concessions and eight mining claims encompassing approximately 89 square kilometres. La Victoria has good infrastructure with access to road, water and electricity and is located at an altitude that ranges from 3,150 m to 4,400 m above sea level.
For further information please contact either Thomas G. Larsen, Chairman and CEO or Jorge Estepa, Vice-President at (416) 868-9168.
Information in this news release may contain forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company’s plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company. There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
· New drill results from the Cortadera copper-gold porphyry deposit in Chile confirm growth of shallow resources at both Cuerpo 1 and 2. These include:
· Exploration drilling commenced across the Productora central porphyry target, immediately adjacent to the Productora Mineral Resource – several large copper-gold targets scheduled for testing this year
· Further assay results from Cortadera being compiled for release in advance of a major resource upgrade in Q1 this year, following over 46,000m of additional drilling completed in 2021
Hot Chili’s Managing Director, Christian Easterday, said 2022 is shaping up to be an exciting year following a very strong set of achievements in 2021.
“We commence the year with $34 million in treasury, 100 percent ownership of Cortadera, Glencore as a strategic investor and our Company now consolidated and dual-listed in Canada.”
To access the announcement please click on the link below.
Cortadera’s maiden Mineral Resource positions Hot Chili with the largest copper Mineral Resource and one of the largest gold Mineral Resources for an ASX-listed emerging company.
The Cortadera maiden Mineral Resource of 451Mt at 0.46% copper equivalent (CuEq) takes the total Mineral Resource estimate for Costa Fuego (Cortadera, Productora & El Fuego) to 724Mt at 0.48% CuEq for 2.9Mt copper, 2.7Moz gold, 9.9Moz Silver and 64kt molybdenum. Cortadera also contains a higher grade component of 104Mt at 0.74% CuEq, and this has strong potential to continue growing rapidly with further drilling.View the Cortadera Copper Deposit
Hot Chili Limited. (ASX: HCH) (TSXV:HCH) (OTCQB: HHLKF) (“Hot Chili” or “Company”) is pleased to announce that it has entered into a consulting agreement (“agreement”) with Harbor Access LLC (“Harbor Access” or “Harbor”) to provide investor relations consulting service to the Company in compliance with the policies and guidelines of the TSX Venture Exchange (the “TSXV”) and applicable legislation.
Harbor Access will provide investor relations and consulting services to the Company effective January 1, 2022. Under the terms of the agreement, Harbor will receive USD$10,000 per month from the Company for an initial term of 12 months and is subject to extension by mutual agreement. Harbor Access does not control any common shares in the Company.
Harbor Access is a strategic investor relations advisory firm with offices in Stamford, Connecticut and Toronto, Ontario. With over 100 years of collective capital markets experience, Harbor specializes in working with small and mid-cap companies that are looking to build, support or expand their existing investor relations strategy and capabilities.
“As copper continues to gain attention from North American investors, so too will Hot Chili’s large scale copper development projects in the mining friendly country of Chile. We are excited to work with Christian Easterday and the entire Hot Chili team as 2022 is shaping up to be a transformative year for the Company.” Stated Jonathan Paterson, Managing Partner of Harbor Access.
Additionally, Hot Chili is pleased to announce that, subject to regulatory approval, it has engaged the services of Independent Trading Group (“ITG”) to provide market-making services in accordance with TSX Venture Exchange (“TSXV”) policies. ITG will trade shares of the Company on the TSXV and all other trading venues with the objective of maintaining a reasonable market and improving the liquidity of the Company’s common shares.
Under the agreement, ITG will receive compensation of CAD$7,500 per month, payable monthly in advance. The agreement is for an initial term of three months and will renew for additional one-month terms unless terminated. The agreement may be terminated by either party with 30 days’ notice. There are no performance factors contained in the agreement and ITG will not receive shares or options as compensation. ITG and the Company are unrelated and unaffiliated entities and at the time of the agreement, neither ITG nor its principals have an interest, directly or indirectly, in the securities of the Company.
ITG is Canada’s only brokerage firm dedicated specifically to professional trading. As Canada’s foremost Market Making Firm, ITG provides Market Making and Liquidity Provider services that are objective and focused. With its head office in Toronto, ITG employs real traders and provides real liquidity, with an underlying emphasis on integrity and success.
This announcement is authorised by the Board of Directors for release to ASX and TSX Venture Exchange.
About Hot Chili Ltd
Hot Chili Limited is a mineral exploration company with assets in Chile. Their flagship project, Costa Fuego, is the consolidation into a hub of the Cortadera porphyry copper-gold discovery and the Productora copper-gold deposit, set 14 km apart in an excellent location – low altitude, coastal range of Chile, infrastructure rich, low capital intensity.The Costa Fuego landholdings, contains an Indicated Resource of 391Mt grading 0.52% CuEq (copper equivalent), containing 1.7 Mt Cu, 1.5 Moz Au, 4.2 Moz Ag, and 37 kt Mo and an Inferred Resource of 334Mt grading 0.44% CuEq containing 1.2Mt Cu, 1.2 Moz Au, 5.6 Moz Ag and 27 kt Mo, at a cut-off grade of 0.25% CuEq.The Company is working to advance its Costa Fuego Project through a preliminary feasibility study (followed by a full FS and DTM), and test several high-priority exploration targets.
Qualifying Statements
Forward Looking Statements
Certain statements contained in this news release, including information as to the future financial or operating performance of Hot Chili and its projects may include statements that are “forward‐looking statements” which may include, amongst other things, statements regarding targets, estimates and assumptions in respect of mineral reserves and mineral resources and anticipated grades and recovery rates, production and prices, recovery costs and results, and capital expenditures and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions.These forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Hot Chili, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies and involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward‐looking statements.
Hot Chili disclaims any intent or obligation to update publicly or release any revisions to any forward‐looking statements, whether as a result of new information, future events, circumstances or results or otherwise after the date of this news release or to reflect the occurrence of unanticipated events, other than as may be required by law. The words “believe”, “expect”, “anticipate”, “indicate”, “contemplate”, “target”, “plan”, “intends”, “continue”, “budget”, “estimate”, “may”, “will”, “schedule” and similar expressions identify forward‐looking statements.
All forward‐looking statements made in this news release are qualified by the foregoing cautionary statements. Investors are cautioned that forward‐looking statements are not a guarantee of future performance and accordingly investors are cautioned not to put undue reliance on forward‐looking statements due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Hot Chili Limited (ASX: HCH) (TSXV:HCH) (OTCQB: HHLKF) (“Hot Chili” or “Company”) is pleased to announce the appointment of experienced mining and global capital markets professional, Dr Nicole Adshead-Bell, to the Board of Hot Chili. The appointment coincides with the Company’s successful Canadian dual-listing on the TSX Venture Exchange on 4th January, and remains subject to approval by the TSX Venture Exchange.
Dr Nicole Adshead-Bell is a geologist with a deep understanding of the mining industry from over 25 years bridging the gap between the technical, corporate (executive and non-executive director), institutional investor and investment banking segments of the business – within an ESG framework.
Nicole resides in Canada and is currently a non-executive director of Altius Minerals Corp. (TSX) and Matador Mining Ltd (ASX). Her career includes Managing Director and CEO of ASX-listed Brazilian gold producer Beadell Resources Ltd (prior to its acquisition by TSX/NYSE American listed Great Panther Mining Ltd); Director of Mining Research at Sun Valley Gold LLC (SEC registered precious metals focused fund); Managing Director, Investment Banking, Haywood Securities Inc. (Canadian independent investment dealer) and Mining Analyst covering copper, zinc and uranium commodities and companies at Dundee Securities Corp. (former Canadian independent investment dealer). While at Haywood she was involved in approximately 20 public transactions including streaming, mergers, acquisitions and divestures and raising approximately C$1.8Bn in equity/convertible debenture financings.
More recently she established Cupel Advisory Corp. to focus on investments and advisory services in the mining sector. Over the past 10 years Nicole has held directorships with several public companies including First Majestic Silver Corp. (TSX/NYSE), Pretium Resources Inc. (TSX/NYSE) and Dalradian Resources Inc. (TSXV, acquired by Orion Mine Finance in 2018).
Dr Adshead-Bell has PhD in structural/economic geology from James Cook University, Townsville, Australia where she also completed her geology undergraduate and honours degrees.
The Directors welcome Nicole’s appointment to the Board of Hot Chili and look forward to the addition of her strong skillset and experience following the Company’s successful Canadian dual-listing.
This announcement is authorised by the Board of Directors for release to ASX and TSX Venture Exchange.
About Hot Chili
Hot Chili Limited is a mineral exploration company with assets in Chile. The Company’s flagship project, Costa Fuego, is the consolidation into a hub of the Cortadera porphyry copper-gold discovery and the Productora copper-gold deposit, set 14 km apart in an excellent location – low altitude, coastal range of Chile, infrastructure rich, low capital intensity.The Costa Fuego landholdings, contains an Indicated Resource of 391Mt grading 0.52% CuEq (copper equivalent), containing 1.7 Mt Cu, 1.5 Moz Au, 4.2 Moz Ag, and 37 kt Mo and an Inferred Resource of 334Mt grading 0.44% CuEq containing 1.2Mt Cu, 1.2 Moz Au, 5.6 Moz Ag and 27 kt Mo, at a cut-off grade of 0.25% CuEq.The Company is working to advance its Costa Fuego Project through a preliminary feasibility study (followed by a full FS and DTM), and test several high-priority exploration targets.
Qualifiying Statements
Forwad Looking statements
Certain statements contained in this news release, including information as to the future financial or operating performance of Hot Chili and its projects may include statements that are “forward‐looking statements” which may include, amongst other things, statements regarding targets, estimates and assumptions in respect of mineral reserves and mineral resources and anticipated grades and recovery rates, production and prices, recovery costs and results, and capital expenditures and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions.These forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Hot Chili, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies and involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward‐looking statements.
Hot Chili disclaims any intent or obligation to update publicly or release any revisions to any forward‐looking statements, whether as a result of new information, future events, circumstances or results or otherwise after the date of this news release or to reflect the occurrence of unanticipated events, other than as may be required by law. The words “believe”, “expect”, “anticipate”, “indicate”, “contemplate”, “target”, “plan”, “intends”, “continue”, “budget”, “estimate”, “may”, “will”, “schedule” and similar expressions identify forward‐looking statements.
All forward‐looking statements made in this news release are qualified by the foregoing cautionary statements. Investors are cautioned that forward‐looking statements are not a guarantee of future performance and accordingly investors are cautioned not to put undue reliance on forward‐looking statements due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Vancouver, British Columbia–(Newsfile Corp. – January 4, 2022) – EMX Royalty Corporation (NYSE American: EMX) (TSXV: EMX) (FSE: 6E9) (the “Company” or “EMX”) is pleased to announce results from recently completed geochemical surveys at EMX’s 100% owned Mt Steadman and Yarrol gold projects in central Queensland, Australia. Numerous gold-in-soil anomalies have been identified by surveys conducted on both projects, with several anomalies extending to the edges of the survey grids, meaning that they remain open for expansion. A total of 895 samples were collected, with results including 2.17 ppm gold in a new target area at Mt Steadman. Results from the Yarrol project also delineated several robust gold-in-soil anomalies, as well as a new target area with high levels of cobalt and nickel in rock chip samples. These results highlight the additional exploration potential of both projects.
EMX will continue executing exploration programs on both projects in the coming year, and both projects are currently available for partnership.
Mt Steadman Project. The 5,700 hectare Mt Steadman project is an intrusion-related gold system (“IRGS”) in the New England Orogenic Belt in Queensland, Australia, a province that hosts IRGS-type gold, porphyry and epithermal deposits. Mt Steadman is located along the Perry Fault system, a major structural feature in the area (see Figure 1). The Mt Steadman project was the focus of exploration in the 1990’s when shallow reconnaissance drilling programs led to the recognition and definition of historical gold resources. However little exploration has taken place since (see EMX News Release dated April 26, 2021).
In Q3 and Q4 2021, EMX conducted a broad soil geochemical survey to the north of the Fitzroy historical resource (see Figure 2). A total of 351 samples were collected on 200 meter and 400 meter spaced traverses with samples collected every 50 meters along each line. This program resulted in the delineation of multiple anomalous gold-in-soil trends. The most prominent anomaly extends for 400 meters along trend and reaches a maximum width of 200 meters at its northern extent. The anomaly remains open to the north and includes a sample of 2.17 ppm gold. This new soil anomaly is similar in scale and tenor to those around the historic Fitzroy prospect located 1km to the southeast. This anomaly also exhibits coincident anomalous molybdenum and tellurium geochemistry, similar to geochemical signatures seen at Fitzroy, and closely correlates with the mapped extent of a zone of hydrothermal breccias, quartz veining and alteration.
Yarrol Project. The 17,500 hectare Yarrol project is located between EMX’s Queensland Gold royalty property and Evolution Mining’s Mt Rawdon gold mine, and is positioned along the regional scale Yarrol Fault. Several other historical mines and active exploration projects lie along the Yarrol Fault structural trend. EMX’s Yarrol Project was the site of historical mining activities from the late 1800’s through the 1930’s. Further exploration carried out in the 1980’s and 1990’s led to the definition of two historical gold resources on the Yarrol Project, but little exploration activity has taken place since that time (see EMX news release dated April 26, 2021).
EMX’s 2021 programs at Yarrol included the collection of 544 soil samples, which identified two new gold-in-soil anomalies (see Figure 3). The northern anomaly, known as the Limestone Creek area, lies approximately five kilometers northwest of the historical Yarrol gold resources. This new anomaly has dimensions of 200 by 600 meters, with the strongest results along the southernmost line. The area was identified as a target by EMX on the basis of magnetic inversion geophysical models, previous geochemical results and the presence of numerous historical prospecting pits. The Limestone Creek anomaly also coincides with a zone of albite-silica-goethite alteration developed adjacent to a monzonite porphyry and remains open to the south. The anomaly has a scale and tenor that resembles those over the historical gold resources on the Yarrol Project.
Other gold-in-soil anomalies have been delineated immediately northwest of the historical Yarrol resources, along a contact zone between geological formations within folded and faulted sediments, which also merit follow-up exploration.
In the process of carrying out the sampling programs at the Yarrol Project, EMX geologists also noted boulders of dark manganiferous material in several drainages in the northern part of the exploration license. The boulders were traced back to an outcropping stratigraphic horizon of dark, manganiferous material that has the appearance of a conglomeratic unit.
Nine rock chip samples collected from various boulders, float materials and outcrop exposures averaged 1.1% cobalt, 0.15 % nickel and 10.0% manganese, with a high of 1.6% cobalt with 0.25% nickel. EMX considers this to be a significant discovery of additional mineral potential on the Yarrol Project, as previous efforts had strictly focused on Yarrol’s intrusion-related gold mineralization. Additional sampling programs are underway to better quantify the extent of this unit and its degrees of enrichment in cobalt, nickel and manganese. Barium is also enriched in this material, with eight of the nine samples submitted for analysis exceeding the upper analytical limit of 1% barium.
Upcoming Exploration Plans. Additional geochemical sampling programs will be carried out at both the Mt Steadman and Yarrol projects in the coming months with the goal of extending the soil anomalies and identifying additional drill targets. Drill programs are being planned for mid-2022.
EMX’s Australian Royalty Generation Program. EMX maintains an active royalty generation program and continues to review new project opportunities throughout Australia. The Company currently holds two royalty projects in Australia (Koonenberry and Queensland Gold) and has three exploration projects in Queensland that are available for partnership. More information on these projects can be found on the EMX website (www.EMXroyalty.com).
Comments on Sampling, Assaying, and Nearby Mines and Deposits. EMX’s exploration samples were collected in accordance with industry standard best practices. EMX conducts routine QA/QC analysis on its exploration samples, including the utilization of certified reference materials, blanks, and duplicate samples. All samples were submitted to ALS Brisbane for sample preparation and analysis (ISO 9001:2000 and 17025:2005 accredited).
The soil samples were analyzed using the AuME-TL-44 method which is a trace level gold and multi-element technique consisting of an aqua-regia digest and an ICP-MS finish.
The rock chip samples were analyzed with a four-acid super trace technique (ME-MS61) with an ICP-MS finish. The rock chip samples were also analyzed with a lithium borate fusion prior to acid dissolution (three-acid) and an ICP-MS finish (ME-MS81). Over limit cobalt and manganese samples were analyzed by a HF-HN03-HCL04 digest, HCL leach and ICP-AES (OG62) finish.
The nearby mines and deposits discussed in this news release provide context for EMX’s properties, which occur in a similar geologic setting, but this is not necessarily indicative that the properties host similar mineralization.
Dr. Eric P. Jensen, CPG, a Qualified Person as defined by National Instrument 43-101 and employee of the Company, has reviewed, verified and approved the disclosure of the technical information contained in this news release.
About EMX. EMX is a precious, base and battery metals royalty company. EMX’s investors are provided with discovery, development, and commodity price optionality, while limiting exposure to risks inherent to operating companies. The Company’s common shares are listed on the NYSE American Exchange and the TSX Venture Exchange under the symbol EMX, as well as on the Frankfurt Exchange under the symbol “6E9.” Please see www.EMXroyalty.com for more information.
For further information contact:
David M. Cole President and Chief Executive Officer Phone: (303) 973-8585 Dave@emxroyalty.com
Scott Close Director of Investor Relations Phone: (303) 973-8585 SClose@emxroyalty.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This news release may contain “forward-looking statements” that reflect the Company’s current expectations and projections about its future results. These forward-looking statements may include statements regarding perceived merit of properties, exploration results and budgets, mineral reserves and resource estimates, work programs, capital expenditures, timelines, strategic plans, market prices for precious and base metal, or other statements that are not statements of fact. When used in this news release, words such as “estimate,” “intend,” “expect,” “anticipate,” “will”, “believe”, “potential” and similar expressions are intended to identify forward-looking statements, which, by their very nature, are not guarantees of the Company’s future operational or financial performance, and are subject to risks and uncertainties and other factors that could cause the Company’s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and factors may include, but are not limited to: unavailability of financing, failure to identify commercially viable mineral reserves, fluctuations in the market valuation for commodities, difficulties in obtaining required approvals for the development of a mineral project, increased regulatory compliance costs, expectations of project funding by joint venture partners and other factors.
Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, including the risks and uncertainties identified in this news release, and other risk factors and forward-looking statements listed in the Company’s MD&A for the quarter ended September 30, 2021 and the year ended December 31, 2020 (the “MD&A”), and the most recently filed Revised Annual Information Form (the “AIF”) for the year ended December 31, 2020, actual events may differ materially from current expectations. More information about the Company, including the MD&A, the AIF and financial statements of the Company, is available on SEDAR at www.sedar.com and on the SEC’s EDGAR website at www.sec.gov.
Figure 1. Location map for the Yarrol and Mt Steadman projects.
The summary of historic production at Mt Morgan is cited from Mt. Morgan: A. Taube; The Mount Morgan gold-copper mine and environment, Queensland; a volcanogenic massive sulfide deposit associated with penecontemporaneous faulting. Economic Geology; 81 (6): 1322-1340.
Figure 2. 2021 Soil Results from the Mt Steadman Project.
Higher highs are on the horizon in 2022 for three critical reasons
A favorable jurisdiction in Nevada- Momentum build and the value proposition is improving
Two groups in the know have made significant investments
The shares continue to offer value, risk-reward favors the upside for Nevada Copper
The leading stock market indices have been bumpy over the past weeks. The prospects for higher interest rates and taxes in 2022, new COVID-19 variants, inflation at the highest level in decades, and other factors have created uncertainty, which tends to cause indigestion in the stock market. However, many leading stocks remain near or at record highs.
Copper is a bellwether commodity that many market participants look to for clues about the health and wellbeing of the global economy. Copper’s nickname is Dr. Copper because it tends to move higher during economic expansion and lower when the global economy contracts. In May 2021, copper rose to its highest price in history when nearby COMEX futures rose to just shy of $4.90 per pound, and LME forwards moved to over $10,700 per ton for the first time. Over the past year, copper has taken on a new role, increasing the demand side of its fundamental equation. The red nonferrous metal is a critical requirement for decarbonization, leading Goldman Sachs to call copper “the new oil.”
In the world of commodities, higher prices and growing demand lead to more production. However, the global copper market faces a challenge as it will take years for new supplies to come to market, creating deficits that push the price higher. While copper corrected since the May high, the price remained around $4.40 per pound level as of December 24.
Locating value in the US stock market is not easy these days. Nevada Copper Corp. (NEVDF) is a promising emerging US producer. Two seasoned commodity groups recently invested in NEVDF, seeing tremendous value in the burgeoning producer.
Copper reached a new high in 2021 Copper closed 2020 at the $3.52 per pound level on the nearby COMEX futures contract and $7,757 per ton on the three-month LME forwards.
Source: CQG
The chart highlights COMEX copper futures move to a high of $4.8985 in May. With the active month March contract at the $4.40 level on December 24, the price moved 25% higher in 2021 with only one week until 2022.
Source: LME
Three-month copper forwards rose to a high of $10,724.50 in 2021 and was at the $9,568 level on December 24, 23.35% higher than at the end of 2020.
While copper is closing 2021 below the year’s high, the trend remains bullish with impressive gains since the end of last year.
Higher highs are on the horizon in 2022 for three critical reasons
Three reasons support higher highs and new all-time peaks in the copper market in 2022 and beyond:
Copper is critical for electric vehicles (EVs), wind turbines, and other clean energy initiatives. The red metal is a crucial ingredient for decarbonization, making the fundamental equation’s demand-side grow.
It takes eight to ten years to bring new copper production online from exploration to output. Copper is still in the early phases of expanding global production, with the leading mining companies scrambling to find new ore deposits. As demand increases, supplies will struggle to keep pace over the coming years.
Inflationary pressures will continue to rise, putting upward pressure on all commodities, and copper is no exception. At the latest December FOMC meeting, the US central bank forecast a 0.90% Fed funds rate for 2022 and a 1.60% rate for 2023. Even if inflationary pressures recede, real interest rates are likely to remain negative, which is bullish for raw material prices in the coming years.
Copper faces an almost perfect bullish storm for the coming years. Goldman Sachs’s forecast of $15,000 per ton by 2025 would put nearly COMEX futures over the $6.80 per pound level. While higher prices will encourage more production, existing mines cannot keep pace with the rising demand.
Chile is the world’s leading copper producer. The recent election of Gabriel Boric, a 35-year-old former student activist who carries a new generation’s socialist dreams to the presidential palace, threatens Chile’s capitalist economy fueled by copper output. Taxes are likely to rise along with wages and addressing climate change could cause a new wave of regulations that weigh on copper output over the coming years. Moreover, the new Chilean government could move to nationalize copper mines, which would impact output and efficiency. The bottom line is that a supply-demand deficit in the global copper market is likely to widen over the coming years, putting upward pressure on the red nonferrous metal’s price.
A favorable jurisdiction in Nevada- Momentum build and the value proposition is improving
The world’s leading copper producers are searching the globe for new reserves and output. Australian mining giant BHP recently said it is considering a challenging Democratic Republic of Congo copper project. The DRC is notorious for political and regulatory issues.
Meanwhile, the US remains a friendly mining environment, and Nevada is a state that supports the industry and is mineral-rich.
Nevada Copper (NEVDF) is an emerging producer with a lot going for it these days. The company mines copper in Nevada in the USA, and the Canadian Fraser Institute ranks the state as the world’s #1 mining jurisdiction. In 2021, momentum has been building for NEVDF:
Underground mine operation improvements have resulted in 100% growth in development rates.
New equipment in the second half of 2021 has accelerated development.
An operational efficiency plan took effect in the second half of 2021 and is forecasted to increase output in H1, 2022.
To put more meat on the bone, in a December 21 press release, the company provided updates on its Pumpkin Hollow underground mine project:
Nevada Copper is on track to advance over 1,100 lateral equivalent feet of development in December 2021.
Development is running at the highest rate for 2021, with December nearly 50% higher than November and almost 100% above the level in August 2021.
New equipment should enhance further development and growth in January 2022.
Ventilation fan infrastructure should be completed in Q1 2022.
Mining of the Sugar Cube, the first high-grade area in the East North Zone of the underground mine, is on schedule for Q1 2022.
In December, CEO Randy Buffington said, “We are on track to complete 1,100 feet of lateral development this month, which puts the Company in a position to mine the first stope of high-grade Sugar Cube as planned next month.”
Accelerated development increases NEVDF’s value proposition:
The current enterprise value is less than the value of the company’s machinery and equipment.
NPV at current prices is close to the US $3 billion level.
The company will be cash-flow positive in 2022.
Open-pit mining development will accelerate in 2022.
The company’s prospects are compelling, leading two influential groups to invest in NEVDF.
Two groups in the know have made significant investments
Solway Investment Group is a private international mining and metals group with headquarters in Switzerland. Solway specializes in nickel production with mines and smelting plants in Guatemala, Ukraine, Russia, Indonesia, and Macedonia. The group has over 5,000 employees, is expanding its focus in battery metals, and recently invested US$30 million for a 10% stake in Nevada Copper.
Mercuria Energy Group Ltd. is a multinational commodity trading company active in global energy, metals, and agricultural markets. The company dates back to 2004 when two ex-Phibro executives, Marco Dunard and Daniel Jaeggi departed after Citigroup sold Phibro to Occidental Petroleum. The company recently closed an oversubscribed $2.2 billion multi-year secured borrowing base credit facility with a collection of international financial institutions. Mercuria is one of the world’s leading and growing commodities trading companies, with core exposure in energy. Mercuria’s goal is a 50% portfolio in renewable energy over the coming five years and invested US$30 million for a 10% stake in Nevada Copper.
Solway and Mercuria are top organizations in the international commodities business, with tentacles reaching across the globe. Both companies put their capital up as they see the compelling potential for Nevada Copper’s properties and business plan.
The shares continue to offer value, risk-reward favors the upside for Nevada Copper
Nevada Copper shares remain inexpensive at the end of December 2021. Aside from the Solway and Mercuria investments, insider buying is another bullish sign for the company. After a recent blackout period, CEO Randy Buffington purchased 200,000 shares, and the company’s directors have been buyers of the shares. Nevada Copper shares (NEVDF) peaked at $2.40 value in May when copper prices reached the high at nearly $4.90 per pound. Copper closed around the $4.40 level on December 23, and NEVDF shares having fallen dramatically in early December hitting yearly lows, could be a golden opportunity for investors that see the same potential as Solway and Mercuria.
Source: Barchart
The chart shows that NEVDF shares corrected to a low of 38.78 cents on October 1 as nearby copper futures moved to test the $4 per pound level. At 53.0 cents per share on December 23, Nevada Copper had a $236.328 million market cap.
Development companies are risky businesses as their future depends on delivering from their mines. The backing of two well-established commodities trading and investment companies, insider buying, and accelerated progress are positive signs for the company as we head into 2022.
New copper production is scarce, and mining companies are scouring the globe for new reserves. Nevada copper’s location, proven and probable reserves, management, progress, and investors bode well for the company’s future. Further progress could transform NEVDF from an emerging producer to a takeover candidate or established producer as the world’s leading miners are hungry for output. Risk is always a function of reward with any investment. At 53.0 cents per share, NEVDF’s potential compensates for the risk.
Any investment involves substantial risks, including, but not limited to, pricing volatility, inadequate liquidity, and the potential complete loss of principal. This document does not in any way constitute an offer or solicitation of an offer to buy or sell any investment, security, or commodity discussed herein, or any security in any jurisdiction in which such an offer would be unlawful under the securities laws of such jurisdiction.
VANCOUVER, BC / ACCESSWIRE / December 23, 2021 / Granite Creek Copper Ltd. (TSXV:GCX)(OTCQB:GCXXF) (“Granite Creek” or the “Company“) is pleased to announce that the board of directors of Granite Creek has approved the settlement of up to CAD$86,162 of debt (the “Debt Settlement“) through the issuance of 344,648 common shares of the Company (the “Shares“) at a deemed price of 0.25 per share, subject to the approval of the TSX Venture Exchange.
All Shares issued will be subject to a statutory hold period of four months plus one day from the date of issuance.
About Granite Creek Copper
Granite Creek, a member of the Metallic Group of Companies, is a Canadian exploration company focused on the 176 square kilometer Carmacks project in the Minto copper district of Canada’s Yukon Territory. The project is on trend with the high-grade Minto copper-gold mine, operated by Minto Metals Corp., to the north, and features excellent access to infrastructure with the nearby paved Yukon Highway 2, along with grid power within 12 km. More information about Granite Creek Copper can be viewed on the Company’s website at www.gcxcopper.com.
Ms. Debbie James, P.Geo., a qualified person for the purposes of National Instrument 43-101, has reviewed and approved the technical disclosure contained in this news release.
Forward-Looking Statements
This news release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts including, without limitation, statements regarding potential mineralization, historic production, estimation of mineral resources, the realization of mineral resource estimates, interpretation of prior exploration and potential exploration results, the timing and success of exploration activities generally, the timing and results of future resource estimates, permitting time lines, metal prices and currency exchange rates, availability of capital, government regulation of exploration operations, environmental risks, reclamation, title, and future plans and objectives of the company are forward-looking statements that involve various risks and uncertainties. Although Granite Creek Copper believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Forward-looking statements are based on a number of material factors and assumptions. Factors that could cause actual results to differ materially from those in forward-looking statements include failure to obtain necessary approvals, unsuccessful exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, risks associated with regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, uninsured risks, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the companies with securities regulators. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral exploration and development of mines is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. For more information on Granite Creek Copper and the risks and challenges of their businesses, investors should review their annual filings that are available at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
YERINGTON, Nev., Dec. 21, 2021 (GLOBE NEWSWIRE) — Nevada Copper Corp. (TSX: NCU) (OTC: NEVDF)(FSE: ZYTA) (“Nevada Copper” or the “Company”) today provided a further positive operations update at its underground mine at the Company’s Pumpkin Hollow Project (the “Underground Mine”).
December Underground Operations Highlights:
Development Achieves Record Rates
In line with the continued ramp-up, the Company is on track to advance over 1,100 lateral equivalent feet of development in December.
Development is running at the highest rate for 2021, and rates achieved month-to-date in December are almost 50% higher than November (representing almost a 100% increase since August 2021).
Additional Mobile Equipment Delivered and Commissioned
The first planned bolter has been delivered and is now operating underground, resulting in increased development rates and supporting further increases continuing into Q1 2022.
Two additional bolters are on track to be delivered to the underground mine in January enhancing further development rates.
First Delivery of Surface Ventilation Fans Arrived on Site
The first of three deliveries of the ventilation fan infrastructure has arrived on site, with full installation and commissioning continuing to be planned to be completed in Q1 2022.
The final package delivery is expected for the first week of January 2022.
Preparing to Mine Sugar Cube
Mining of the Sugar Cube, the first high-grade area in the East North Zone of the underground mine, continues to be planned for Q1 2022 (News Release, November 30, 2021).
“The Company continues to build on the operational improvements achieved over the past two quarters, providing further acceleration to the development and production ramp-up,” stated Randy Buffington, President and Chief Executive Officer. “The implementation of additional equipment, manpower and operational efficiencies led to the highest development rates attained this year. We are on track to complete 1,100 feet of lateral development this month, which puts the Company in a position to mine the first stope of the high-grade Sugar Cube as planned next month.”
Qualified Persons The technical information and data in this news release was reviewed by Greg French, C.P.G., VP Head of Exploration of Nevada Copper, and Neil Schunke, P.Eng., a consultant to Nevada Copper, who are non-independent Qualified Persons within the meaning of NI 43-101.
About Nevada Copper Nevada Copper (TSX: NCU) is a copper producer and owner of the Pumpkin Hollow copper project. Located in Nevada, USA, Pumpkin Hollow has substantial reserves and resources including copper, gold and silver. Its two fully permitted projects include the high-grade Underground Mine and processing facility, which is now in the production stage, and a large-scale open pit project, which is advancing towards feasibility status.
NEVADA COPPER CORP. www.nevadacopper.com
Randy Buffington, President and CEO
For further information contact: Rich Matthews, Investor Relations Integrous Communications rmatthews@integcom.us +1 604 757 7179
Cautionary Language
This news release includes certain statements and information that constitute forward-looking information within the meaning of applicable Canadian securities laws. All statements in this news release, other than statements of historical facts are forward-looking statements. Such forward-looking statements and forward-looking information specifically include, but are not limited to, statements that relate to mine development, production and ramp-up objectives and equipment installation.
Forward-looking statements and information include statements regarding the expectations and beliefs of management. Often, but not always, forward-looking statements and forward-looking information can be identified by the use of words such as “plans”, “expects”, “potential”, “is expected”, “anticipated”, “is targeted”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements or information should not be read as guarantees of future performance and results. They are subject to known and unknown risks, uncertainties and other factors which may cause the actual results and events to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information.
Such risks and uncertainties include, without limitation, those relating to: the ability of the Company to complete the ramp-up of the Underground Mine within the expected cost estimates and timeframe; requirements for additional capital and no assurance can be given regarding the availability thereof; the impact of the COVID-19 pandemic on the business and operations of the Company; the state of financial markets; history of losses; dilution; adverse events relating to milling operations, construction, development and ramp-up, including the ability of the Company to address underground development and process plant issues; ground conditions; cost overruns relating to development, construction and ramp-up of the Underground Mine; loss of material properties; interest rates increase; global economy; limited history of production; future metals price fluctuations; speculative nature of exploration activities; periodic interruptions to exploration, development and mining activities; environmental hazards and liability; industrial accidents; failure of processing and mining equipment to perform as expected; labor disputes; supply problems; uncertainty of production and cost estimates; the interpretation of drill results and the estimation of mineral resources and reserves; changes in project parameters as plans continue to be refined; possible variations in ore reserves, grade of mineralization or recovery rates from management’s expectations and the difference may be material; legal and regulatory proceedings and community actions; accidents; title matters; regulatory approvals and restrictions; increased costs and physical risks relating to climate change, including extreme weather events, and new or revised regulations relating to climate change; permitting and licensing; volatility of the market price of the Company’s securities; insurance; competition; hedging activities; currency fluctuations; loss of key employees; other risks of the mining industry as well as those risks discussed in the Company’s Management’s Discussion and Analysis in respect of the year ended December 31, 2020 and in the section entitled “Risk Factors” in the Company’s Annual Information Form dated March 18, 2021. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. The forward-looking information or statements are stated as of the date hereof. Nevada Copper disclaims any intent or obligation to update forward-looking statements or information except as required by law. Readers are referred to the additional information regarding Nevada Copper’s business contained in Nevada Copper’s reports filed with the securities regulatory authorities in Canada. Although the Company has attempted to identify important factors that could cause actual actions, events, or results to differ materially from those described in forward-looking statements, there may be other factors that could cause actions, events or results not to be as anticipated, estimated or intended. For more information on Nevada Copper and the risks and challenges of its business, investors should review Nevada Copper’s filings that are available at www.sedar.com.
Nevada Copper provides no assurance that forward-looking statements and information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or information.
Vancouver, British Columbia–(Newsfile Corp. – December 21, 2021) – EMX Royalty Corporation (NYSE American: EMX) (TSXV: EMX) (FSE: 6E9) (the “Company“, or “EMX“) is pleased to announce the execution, by its wholly-owned subsidiary Bronco Creek Exploration Inc., of exploration and option agreements (the “Agreements”) for four precious-metals projects (the “Projects” or individually a “Project”) located in Idaho and Nevada to Hochschild Mining PLC (LSE: HOC) (“Hochschild”). The Agreements provide EMX with work commitments and cash payments during Hochschild’s earn-in period, and upon earn-in for a given project, a 4% net smelter return (“NSR”) royalty, annual advance royalty payments, and milestone payments. Prior to final execution of the agreements, EMX and Hochschild agreed to, and commenced, initial exploration programs on all four Projects.
The three Idaho Projects, Valve House, Timber Butte, and Lehman Butte are located in southern and south-central Idaho (see Figure 1). Valve House and Timber Butte host Carlin-style gold mineralization in prospective carbonate-rich lithologies. Lehman Butte hosts epithermal style veins in Eocene volcanic rocks and jasperoids in older Paleozoic carbonate rocks. The Speed Goat Project hosts an intrusion-related gold-copper target located in the greater Battle Mountain-Eureka gold belt of north-central Nevada.
The Projects were recently acquired by staking prospective open ground during EMX’s ongoing regional scale, field-oriented royalty generation gold program. The Agreements with Hochschild serve as an example of the Company’s successful execution of the royalty generation aspect of its business model. Part and parcel to EMX’s business model, the Projects are now advancing with funding from a quality international mining company with EMX receiving pre-production payments while retaining upside optionality with retained NSR royalty interests.
Commercial Terms Overview. Pursuant to the Agreements, Hochschild can earn a 100% interest in a Project by (all dollar amounts in USD): (a) making option payments totaling $600,000, (b) completing $1,500,000 in exploration expenditures before the fifth anniversary of a given Agreement, and (c) reimbursing EMX the previous year’s holding costs. For clarity, the above terms are per individual Agreement covering an individual Project.
Upon an option exercise, EMX will retain a 4% NSR royalty on a Project. Hochschild may buyback up to a total of 1.5% of the royalty by first completing an initial 0.5% royalty buyback for a payment of 300 ounces of gold (or the cash equivalent) to the Company prior to the third anniversary of the option exercise. If the first buyback is completed, then the remaining 1% of the royalty buyback can be purchased anytime thereafter for a payment of 1,700 ounces of gold (or the cash equivalent) to the Company. Hochschild will also make annual advance royalty (“AAR”) payments of $50,000 that increase to $100,000 upon completion of a Preliminary Economic Assessment (“PEA”). The AAR payments for a Project cease upon commencement of production. In addition, Hochschild will make Project milestone payments consisting of: (a) $500,000 upon completion of a PEA, (b) $1,000,000 upon completion of a Prefeasibility Study, and (c) $1,000,000 upon completion of a Feasibility Study.
Project Overviews and 2021 Work Programs. The Projects optioned to Hochschild represent diverse styles of precious metals mineralization within, and along extensions of, key mineral belts in Idaho and Nevada.
Valve House, Idaho. Valve House is located approximately 25 kilometers southeast of Pocatello, Idaho. The Project covers 9.5 square kilometers of Carlin-style alteration and mineralization hosted within lower Paleozoic silty carbonate units. Gold mineralization is both structurally and stratigraphically controlled. The last noteworthy exploration, conducted in the 1980’s, identified three separate areas of gold mineralization and jasperoid replacement in limestone lithologies. Historical drill intercepts from this work included 42.7 meters averaging 0.87 g/t gold (from 10.7 to 53.4 m, true width unknown) and 21.3 meters averaging 0.71 g/t gold (from 0 to 21.3 m, true width unknown)1. Mineralization remains open for expansion.
To date, Hochschild has conducted additional reconnaissance mapping and rock chip sampling, a property-wide soil survey and an induced polarization (“IP”) geophysical survey. As well, Hochschild expanded the property position by staking additional claims. Hochschild’s exploration results are pending.
Timber Butte, Idaho. Timber Butte is located approximately 15 kilometers northeast of Carey, Idaho. The Project is a Carlin-style target characterized by anomalous gold mineralization associated with jasperoid and decalcified carbonate bearing rocks along north-northwest oriented structures cutting Roberts Mountains Formation, a key host to Carlin-style mineralization in Nevada. Cordex explored a portion of Timber Butte in the 1970’s and completed three rotary holes that intersected anomalous gold mineralization. EMX’s work has extended beyond the historical target area with additional targets identified along trend and under shallow colluvial cover. EMX’s rock chip sampling of altered outcrops on the main structural trend returned assay results including 1.25 g/t gold (n=19, avg. 0.1 g/t Au) along a strike length of approximately 3.2 kilometers.
After completing additional reconnaissance mapping and rock chip sampling, Hochschild expanded the land position, completed soil sampling geochemical surveys over key target areas, and collected stream sediment samples. An IP survey is planned for the first part of 2022 while awaiting assay results from the geochemical sampling programs.
Lehman Butte, Idaho. Lehman Butte is located in south-central Idaho, approximately 15 kilometers west-northwest of Mackay. The target at Lehman Butte is low sulfidation epithermal precious metals mineralization in quartz-sulfide veins cutting Eocene lavas and tuffs which overlie Paleozoic carbonate units. The quartz-sulfide veins are commonly greater than one meter wide and associated with widespread quartz-clay-adularia alteration in intermediate volcanic rocks, as well as with jasperoid alteration in the underlying Mississippian age limestone. The Project was identified from an EMX regional stream sediment geochemical program. Follow-up reconnaissance work included a rock chip sample of 3.1 g/t gold and 19.8 g/t silver (n=35, avg. 0.185 g/t Au and 6.7 g/t Ag) coincident with silicified zones and quartz-pyrite feeder veins. EMX and Hochschild are targeting bulk-tonnage precious metals mineralization hosted within permeable tuffaceous units.
Hochschild’s recently completed work program entailed property-wide geologic mapping and rock chip sampling along with an 800-sample soil survey and ground magnetic geophysical program. Results are pending. An IP survey together with an initial drill test is planned for the spring of 2022.
Speed Goat, Nevada. Speed Goat is located within the Battle Mountain-Eureka Trend, approximately 30 kilometers northwest of the Phoenix-Fortitude intrusion-related skarn system in north-central Nevada. EMX identified gold-copper mineralization composed of sheeted quartz-iron oxide after sulfide veins cutting Jurassic granodiorite. Mineralization appears to be related to a series of north-south striking porphyry dikes. Reconnaissance soil sampling by EMX outlined a 0.6 by 1 kilometer gold-in-soil anomaly (n=73, avg. 82 ppb Au) coincident with rock chip assays from outcrop that included 5.1 g/t gold (n=20, avg. 0.67 g/t Au). The mineralization is also anomalous in pathfinder geochemical elements (e.g., Bi-As-Sb-Cu), consistent with other intrusion-related gold systems in the nearby Battle Mountain district.
At Speed Goat, Hochschild completed additional geologic mapping and select channel sampling across the target zone in addition to ground magnetic and IP geophysical surveys in preparation for an initial drill test.
Comments on Sampling, Assaying, QA/QC, and Historical Exploration Results. EMX’s exploration samples were collected in accordance with industry standard best practices. The samples were submitted to ALS laboratories in Reno, Nevada and Vancouver, Canada (ISO 9001:2017 and ISO/IEC 17025:2017 accredited) for sample preparation and analysis. Gold assays were performed by fire assay with an ICP/AES finish. EMX conducts routine QA/QC analysis on its exploration samples, including the utilization of certified reference materials, blanks, and duplicate samples. Gold assays were performed by fire assay with an ICP/AES finish. Silver and other elements were analyzed by four acid digestion with ICP-AES or AAS finish.
From EMX’s independent field work, including geological mapping and geochemical sampling, the historical drill results referenced from Meridian and Cordex are judged to be representative and relevant.
Michael P. Sheehan, CPG, a Qualified Person as defined by National Instrument 43-101 and an employee of the Company, has reviewed, verified, and approved the disclosure of the technical information contained in this news release.
About EMX. EMX is a precious, base and battery metals royalty company. EMX’s investors are provided with discovery, development, and commodity price optionality, while limiting exposure to risks inherent to operating companies. The Company’s common shares are listed on the NYSE American Exchange and TSX Venture Exchange under the symbol EMX, as well as on the Frankfurt Exchange under the symbol “6E9”. Please see www.EMXroyalty.com for more information.
For further information contact:
David M. Cole President and Chief Executive Officer Phone: (303) 973-8585 Dave@EMXroyalty.com
Scott Close Director of Investor Relations Phone: (303) 973-8585 SClose@EMXroyalty.com
Neither the TSX-V nor its Regulation Services Provider (as that term is defined in policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This news release may contain “forward looking statements” that reflect the Company’s current expectations and projections about its future results. These forward-looking statements may include statements regarding perceived merit of properties, exploration results and budgets, mineral reserves and resource estimates, work programs, capital expenditures, timelines, strategic plans, market prices for precious and base metal, or other statements that are not statements of fact. When used in this news release, words such as “estimate,” “intend,” “expect,” “anticipate,” “will”, “believe”, “potential” and similar expressions are intended to identify forward-looking statements, which, by their very nature, are not guarantees of the Company’s future operational or financial performance, and are subject to risks and uncertainties and other factors that could cause the Company’s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and factors may include, but are not limited to: unavailability of financing, failure to identify commercially viable mineral reserves, fluctuations in the market valuation for commodities, difficulties in obtaining required approvals for the development of a mineral project, increased regulatory compliance costs, expectations of project funding by joint venture partners and other factors.
Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, including the risks and uncertainties identified in this news release, and other risk factors and forward-looking statements listed in the Company’s MD&A for the quarter ended September 30, 2021 and the year ended December 31, 2020 (the “MD&A”), and the most recently filed Revised Annual Information Form (the “AIF”) for the year ended December 31, 2020, actual events may differ materially from current expectations. More information about the Company, including the MD&A, the AIF and financial statements of the Company, is available on SEDAR at www.sedar.com and on the SEC’s EDGAR website at www.sec.gov.
Figure 1: Locations of the EMX Projects optioned to Hochschild
