TSX-V: MSR
TORONTO, May 12, 2021 /CNW/ - Minsud Resources
Corp. (TSXV: MSR) ("Minsud" or the "Company" is pleased
to announce the commencement of Phase 3 drilling program at
Chita Valley Project located in the province of San Juan,
Argentina. The program comprises a
total of 6,100 meters, distributed in 24 holes, to test the
Au-Ag-bearing oxidation zone at Chinchillones area through a
systematic grid shallow drilling and scout drilling targeting
anomalous areas at the Chita polymetallic and porphyry complex.
The analyses of results from the 9,377 meters drilled in 2020
through phases 1 and 2, in conjunction with the review of
historical drill results over the Chinchillones area, have
demonstrated the unequivocal presence of both shallow and deep
Zn-Pb-Cu-(Ag-Au) polymetallic epithermal system superposed on a
deeper porphyry system. These spectrum of mineralization styles are
hosted in an intrusion complex encompassing diorite porphyry
through to dacites emplaced into sandstones and dome-related
diatreme breccias.
These mineralization characteristics, particularly the
polymetallic intermediate sulfidation ("IS") are coincident with a
targeted porphyry copper deposit ("PCD"). The intersected
stockworked Cu-Mo mineralization at CHDH20-04 (see press release
June 23, 2020), albeit deep at
564m, demonstrated that the PCD can
host economic-grade (Cu up to 0.68%; Mo up to 0.075%).
Chinchillones target: Phase 3 drilling at Chinchillones
target will total 4,900 meters, out of which 2,800 meters will be
drilled in a systematic grid, comprising of 17 diamond drill holes
with shallow depths of approximately 120 meters (see Map
1). These drillholes will delineate the Au-Ag oxide-transition
zone. Additionally, 2,100 meters will be drilled in 4 holes
with variable depths between 300 and 500 meters to test the NE
extension of a conductive zones interpreted to be related to a
porphyry-related mineralization intersected by drillholes CHDH20-04
and CHDH20-17.
Chita North (PNO) and South
(PSU) targets: At the Chita porphyry a total of 900 meters in
two (2) drill holes will test the PCD continuity to the SE trend
coincident with geophysical anomalous zones (variable magnetics and
induced polarization anomalous >20mS).
South Link Zone target: One drill hole (300 meters) will
test an IP anomaly >30mS chargeable zone interpreted to be
related to a porphyry-breccia contact. This zone is located to the
SW of the Chita South Porphyry (PSU).
The current program is fully funded under an agreement with
South32 whereby South32 has an option to earn a 70% interest in the
Chita Valley property upon contribution of exploration funds and a
prefeasibility study. To maintain its option in good standing,
South32 must contribute minimum exploration funding of CAD$14 million over a 4-year option period. The
1st year (2020) has been successfully completed with a
total contribution of CAD$4.1
million. The 2nd year (2021) has an approved
budget for a total investment of CAD$ 3.5
million. Minsud will act as operator during the option
period.
Mr. Mario Alfaro, Professional
Geoscientist, VP-Exploration of the Company, is a qualified person
as defined by Canadian National Instrument 43-101. Mr. Alfaro
visited the property and has read and approved the contents of this
release.
Ramiro Massa, Minsud's President
& CEO, states: "We are very pleased with the drilling results
of Phases 1 and 2 at the Chita Valley Project and now we are
excited to begin Phase 3 drill program to test the economic
potential of this highly promising area at
Chinchillones polymetallic epithermal system. I am proud of
our team who has been working tirelessly and against all the
adversities caused by the Covid-19 pandemic".
About the Chita Valley Project, San Juan Province:
The Chita Valley Project is a large exploration stage porphyry
system with classic alteration features, widespread porphyry style
Cu-Mo-Ag-Au mineralization and associated gold and silver-bearing
polymetallic veins of intermediate sulfide composition that
conformed an outcropping porphyry system at Chita and a lithocap of
a porphyry system at Chinchillones. San Juan Province of
Argentina has a robust mining
sector and recognizes the important economic benefits of
responsible development of its substantial Mineral Resource
endowment.
About Minsud Resources Corp.:
Minsud is a mineral exploration company focused on exploring its
flagship Chita Valley Cu-Mo-Au-Ag Project, in the Province of San
Juan, Argentina. The Company also
holds a 100% owned portfolio of selected early-stage prospects,
including 6,000 ha in Santa Cruz
Province, Argentina.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION:
This news release includes certain information that may
constitute forward-looking information under applicable Canadian
securities laws. Forward-looking information includes, but is not
limited to, statements about strategic plans, spending commitments,
future operations, results of exploration, anticipated financial
results, future work programs, capital expenditures and objectives.
Forward-looking information is necessarily based upon a number of
estimates and assumptions that, while considered reasonable, are
subject to known and unknown risks, uncertainties, and other
factors which may cause the actual results and future events to
differ materially from those expressed or implied by such
forward-looking information including, but not limited to:
fluctuations in the currency markets (such as the Canadian dollar,
Argentina peso, and the U.S.
dollar); changes in national and local government, legislation,
taxation, controls, regulations and political or economic
developments in Canada and
Argentina or other countries in
which the Corporation may carry on business in the future;
operating or technical difficulties in connection with exploration
and development activities; risks and hazards associated with the
business of mineral exploration and development (including
environmental hazards or industrial accidents); risks relating to
the credit worthiness or financial condition of suppliers and other
parties with whom the Company does business; presence of laws and
regulations that may impose restrictions on mining, including those
currently enacted in Argentina;
employee relations; relationships with and claims by local
communities; availability and increasing costs associated with
operational inputs and labour; the speculative nature of mineral
exploration and development, including the risks of obtaining
necessary licenses, permits and approvals from government
authorities; business opportunities that may be presented to, or
pursued by, the Company; challenges to, or difficulty in
maintaining, the Company's title to properties; risks relating to
the Company's ability to raise funds; and the factors identified
under "Risk Factors" in the Company's Filing Statement dated
April 27, 2011. There can be no
assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. Accordingly, readers should not
place undue reliance on forward-looking information. All
forward-looking-information contained in this news release is given
as of the date hereof and is based upon the opinions and estimates
of management and information available to management as at the
date hereof. The Company disclaims any intention or obligation to
update or revise any forward-looking information, whether as a
result of new information, future events or otherwise, except as
required by law.
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.
SOURCE Minsud Resources Corp.