TSX-V: MSR
TORONTO, Feb. 24, 2022 /CNW/ - Minsud Resources
Corp. (TSX-V: MSR) ("Minsud" or the "Company"), is pleased
to announce results from the last four (4) drillholes completed in
the Phase III program over the Chinchillones area, located at the
Chita Valley Project, San Juan province, Argentina. The Company
completed the largest annual drilling program over the Chita
project encompassing 11,970 meters distributed in twenty-four (24)
drill holes.
Highlights are listed below, along with the accompanying
figures.
- CHDH 21-39 intercepted 296m from 282m to
576m with 0.45% Cu, 0.09 g/t Au and
3.76 g/t Ag, and a higher-grade zone of 85m from 287m at
0.72% Cu, 0.13 g/t Au and 6.08 g/t Ag. Between 282m and 578m
mineralization and geological parameters are coincident with those
encountered at the CHDH21-30 (see press release dated
October 7, 2021). Mineralized
intercepts at the CHDH21-30 and CHDH21-39 confirm a Cu-Mo deep zone
of porphyry mineralization type open to the Northeast.
- CHDH21-40 intercepted several mineralized intervals,
with 27m from 33m to 60m with up
to 1.15% Cu (pyrite-chalcopyrite-covellite-chalcocite-enargite)
occurring as a distinctive NNE structural control. From
178m from 356m to 534m at
0.22% Cu, 0.16g/t Au, 3.81g/t Ag. Those veins cut early porphyry
and related breccia bodies.
- CHDH21-41 intersected 14m
at 0.19% Cu, 0.1 g/t Au, 9.58% Ag, 0.11 % Pb, 0.26% Zn before being
abandoned at a depth of 356m due to
drilling difficulties and could not reach the programmed depth.
Mineralization is hosted in Phreatic Hydrothermal breccias, apical
part of the porphyry system.
- CHDH21-42 intercepted 208m
from 398m at 0.21% Cu, 2.61g/t Ag,
0.1%Zn. The objective of this drillhole was to verify the
continuity of the mineralized dioritic porphyry, below the
quartzites of Agua Negra Fm outcrops. The mineralized zone
intercepted is very irregular and is cut by quartz veins type with
chalcopyrite-bornite mineralization, indicative of deeper presence
of a porphyry system.
During this recently completed Phase III drilling program,
several drillholes confirmed the extension of a Cu-Mo porphyry
system to the northeast of at least 800m x 800m and
open 850m in depth. This drilling
program also confirmed a broad zone of polymetallic Zn-Pb-Ag
mineralization superimposed over a porphyry Cu-Mo-system. The Chita
Valley porphyry system and related epithermal mineralization
represent a single, large magmatic-hydrothermal system, along 4 km
through the EW-trending Chita Valley corridor.
Ramiro Massa, Minsud's President
& CEO, said: "Due to the encouraging results at the
Chinchillones area obtained during Phase III drilling program, MSA
and South32 have approved an increased budget for Phase IV that
comprises a drilling program of approximately 26,000 meters to
pursue two main objectives: 1) infill deep drillholes at the
Chinchillones polymetallic-porphyry system; 2) Continue scout
drilling program testing additional porphyry targets".
|
PHASE III:
Chinchillones Diamond Drilling Program – Summary of Analytical
Results
|
Hole
ID
|
From
(mt)
|
To
(mt)
|
Length
(mts) (*)
|
Au
g/t
|
Ag
g/t
|
Cu
%
|
Mo
ppm
|
Pb
ppm
|
Zn
ppm
|
CHDH21-39
|
214
|
250
|
36
|
0.09
|
10.34
|
0.31%
|
5
|
87
|
439
|
and
|
282
|
578
|
296
|
0.09
|
3.76
|
0.45%
|
6
|
286
|
323
|
Incl
|
287
|
372
|
85
|
0.13
|
6.08
|
0.72%
|
4
|
573
|
954
|
CHDH21-40
|
32
|
116
|
84
|
0.24
|
15.03
|
0.59%
|
17
|
230
|
209
|
incl.
|
33
|
60
|
27
|
0.27
|
28.66
|
1.15%
|
7
|
430
|
384
|
and
|
188
|
220
|
32
|
0.13
|
5.22
|
0.26%
|
5
|
851
|
2526
|
and
|
356
|
534
|
178
|
0.16
|
3.81
|
0.22%
|
32
|
122
|
725
|
CHDH21-41
|
284
|
298
|
14
|
0.10
|
9.58
|
0.19%
|
12
|
1139
|
2598
|
CHDH21-42
|
210
|
284
|
74
|
0.30
|
4.09
|
0.30%
|
54
|
54
|
841
|
and
|
398
|
606
|
208
|
0.04
|
2.61
|
0.21%
|
73
|
188
|
1032
|
References:
|
|
|
|
|
|
|
|
|
|
(*) Intervals
reported in the above table are not true thicknesses
|
Quality Assurance/Quality Control
All core samples were submitted to the ALS Global Laboratories
in Mendoza, Argentina for preparation and analysis. All samples
were analyzed for Au by fire assay/ AA finish 50g, plus a
48-element ultra-trace four acid digest with ICP-MS and ICP-AES
finish. Minsud followed industry standard procedures for the work
with a quality assurance/quality control (QA/QC) program. Field
duplicates, standards and blanks were included with all sample
shipments to the principal laboratory. Minsud detected no
significant QA/QC issues during review of the data.
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.
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-Au and polymetallic Ag-Pb-Zn mineralization hosted by
Hydrothermal Phreatic Breccias 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.
Current exploration activities on the Chita Valley Project are
being funded by a subsidiary of South32 in accordance with the
earn-in agreement between the parties entered into on November 1, 2019.
The earn-in agreement grants to South32 the right to acquire a
50.1% direct interest in the Company's Argentinean operating
subsidiary Minera Sud Argentina S.A.
("MSA") at the end of the earn-in period. Under the earn-in
agreement, and having given the Company notice of its intention to
continue funding Chita Valley Project, South32 will provide further
funding to MSA such that its aggregate funding is (i) not less than
C$10.5 million by February 28, 2023; and (ii) not less than
C$14 million by February 28, 2024. South32 has the right to
withdraw at the end of each year.
If South32 exercises its earn-in right it may elect to fund a
pre-feasibility study, with a minimum spend of C$41 million, which would entitle it to elect to
increase its 50.1% direct interest in MSA to 70%.
About Minsud Resources Corp.
Minsud is a mineral exploration company focused on exploring its
flagship Chita Valley Cu-Mo- Au-Ag-Pb-Zn 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.
About South32
South32 is a globally diversified mining and metals company. The
company's purpose is to make a difference by developing natural
resources, improving people's lives now and for generations to
come. South32 is trusted by its owners and partners to realise the
potential of their resources. South32 produces commodities
including bauxite, alumina, aluminium, metallurgical coal,
manganese, nickel, silver, lead, zinc and copper at operations in
Australia, Southern Africa and South America. With a focus on growing its
base metals exposure, South32 also has two development options in
North America and several
partnerships with junior explorers around the world.
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.
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SOURCE Minsud Resources Corp.