Minaurum Gold, Inc, (“Minaurum”) is pleased to announce results from its on-going drill program in the historic Alamos Silver District in Sonora, Mexico (Fig. 1). Hole AL17-07, the first hole ever drilled into the Europa-Guadalupe Vein system, intersected 8.25 metres grading 1,760 g/t (57 opt) Silver, 1.6% Copper, 1.5% Lead, and 2.6% Zinc, including 2.2 metres grading 5,098 g/t (164 opt) Silver, 2.76% Copper, 0.5% Lead, and 1.18% Zinc. The vein was cut 325m below surface (Fig. 2) and its true width is estimated to be 90% of the intersection. Hole AL17-07 also cut two blind veins that have no surface exposure as well as the Nueva Europa vein (See Fig. 1), which returned 1.2m grading 542 g/t (17 opt) Silver.
The Europa-Guadalupe vein system is located 1 kilometre west of the Promontorio-Quintera vein system which was the source of almost all of the historic production from the Alamos district. The narrow surface outcrop of the Europa-Guadalupe vein was prospected during Colonial times over more than 1.4 km but was never drill tested.
“We are excited by the grades and widths returned by Hole 7”, stated Stephen Maynard, VP Exploration of Minaurum. “As only the second hole ever drilled outside of the historic core of the district, it confirms our “piano-key” structural model and opens the door for drilling throughout the nearly untouched down-dropped blocks located on both sides of the up-thrown La Quintera-Promontorio block. With these results, we have now encountered significant mineralization in every target drilled in our initial drill program including; Minas Nuevas, Promontorio, Nueva Europa, Gap, and Europa-Guadalupe.”
“Hole 7 emphatically confirms our model that at least some of the narrow veins lacing the down-dropped blocks flanking the historic production zone are high-level expressions of significant underlying vein mineralization” said Dr. Peter Megaw, Minaurum Director and Co-Founder. “It is still early days, but this proves the Alamos District is bigger than previously conceived and now we have to focus broadly on stringer swarms throughout the district to determine just how much larger this system really is.”
The Alamos District produced an estimated 200 million ounces of silver between 1680 and 1907, largely from three outcropping high-grade veins in the Promontorio-Quintera block. Very little production came from outside of this block. Historical reports indicate that Alamos’ vein widths averaged 4 m and locally ranged up to 20 m with grades exceeding 2,000 g/t Ag. Minaurum’s drill program is the first modern exploration program to be conducted in the district.
Two additional drill holes (AL17-006 and AL17-008) were drilled into the Gap target, a 400 m long unmined segment of vein linking the historic La Quintera and Promontorio Mines. Hole AL17-008 was drilled from the same pad as AL17-007, but in the opposite direction, and returned 9.60 metres grading 88 g/t Ag, 0.24% Cu, 0.37% Pb, 0.33% Zn including 2.65 m averaging 147 g/t Ag. Hole AL17-006 was drilled 400 m to the south of Hole AL17-008 and intersected a wide zone of faulted quartz veining that returned 16.75 m grading 12 g/t Ag and 0.13% Cu, from 94.05 to 110.80 metres. The nature of the mineralization and the presence of stringer veins in both holes suggest that these are high-level intercepts and that the target lies deeper in the structure.
Table 1. Summary of mineralized intercepts, holes AL17-006, AL17-007 and AL17-008
|Hole||From (m)||To (m)||Interval (m)||Ag (g/t)||Au (ppb)||Cu (%)||Pb (%)||Zn (%)||Comment|
|AL17-006||94.05||110.8||16.75||11.8||11||0.13||0.04||0.05||Gap Vein System|
|273.3||274.5||1.2||541.5||16||0.28||0.44||0.88||Nueva Europa Vein Zone|
|521.55||524.6||3.05||114||4||0.19||0.07||0.22||Europa-Guadalupe Vein System|
|229.20||238.80||9.60||88||14||0.24||0.37||0.33||Gap Vein System|
Figure 1. Map of the central part of the Alamos project, showing known vein zones and surface projections of drilling to date. Tics on drill-hole traces are at 100-m intervals.
* Ag Equivalent is reported for comparison only, with no assumptions regarding metal recovery or smelter payments. Prices used are: Au: $1,321.00/troy ounce; Ag: $16.92/troy ounce; Cu: $3.20/pound; Pb: $1.17/pound; and Zn $1.54/pound (all amounts in U.S. dollars).Figure 2. Cross section of holes AL17-007 and AL17-008, showing locations of mineralized intervals and interpreted geology.
* Ag Equivalent is reported for comparison only, with no assumptions regarding metal recovery or smelter payments. Prices used are: Au: $1,321.00/troy ounce; Ag: $16.92/troy ounce; Cu: $3.20/pound; Pb: $1.17/pound; and Zn $1.54/pound (all amounts in U.S. dollars).
To date, Minaurum has drilled 2,770 metres of a budgeted 5,000-metre program at Alamos. Drilling of additional targets outside of the historic district center is slated to recommence soon.
Minaurum is a Mexico-focused explorer concentrating on southern Sonora State, the Oaxaca-Chiapas Region, and the Guerrero Gold Belt, is managed by one of the strongest technical and finance teams in Mexico. Minaurum’s goal is to continue its founders’ legacy of creating shareholder value by making district-scale mineral discoveries and executing accretive mining transactions. For more information, please visit our website atwww.minaurum.comand our YouTube Minaurum Video Channel.
ON BEHALF OF THE BOARD
“Darrell A. Rader”
Darrell A. Rader President and CEO
For more information, please contact: Sunny Pannu — Investor Relations Manager (778) 330 0994 or via email at [email protected] The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
Stephen R. Maynard, Vice President of Exploration of Minaurum and a Qualified Person as defined by National Instrument 43-101, reviewed and verified the assay data, and has approved the disclosure in this News Release. Cautionary Note Regarding Forward Looking Statements: Certain disclosures in this release constitute forward-looking information. In making the forward-looking statements in this release, Minaurum has applied certain factors and assumptions that are based on Minaurum’ s current beliefs as well as assumptions made by and information currently available to Minaurum. Although Minaurum considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements. Minaurum does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law. Quality Assurance/Quality Control: Preparation and assaying of drilling samples from Minaurum’s Alamos project are done with strict adherence to a Quality Assurance/Quality Control (QA/QC) protocol. Core samples are sawed in half and then bagged in a secure facility near the site, and then shipped by a licensed courier to ALS Minerals’ preparation facility in Hermosillo, Sonora, Mexico. ALS prepares the samples, crushing them to 70% less than 2mm, splitting off 250g, and pulverizing the split to more than 85% passing 75 microns. The resulting sample pulps are prepared in Hermosillo, and then shipped to Vancouver for chemical analysis by ALS Minerals. In Vancouver, the pulps are analyzed for gold by fire assay and ICP/AES on a 50-gram charge. In addition, analyses are done for a 48-element suite using 4-acid digestion and ICP analysis. Samples with silver values greater than 100 g/t; and copper, lead, or zinc values greater than 10,000 ppm (1%) are re-analyzed using 4-acid digestion and atomic emission spectrometry (AES) or atomic absorption spectrometry (AAS). Samples with silver values more than 1,500 g/t by AES or AAS are re analyzed by fire assay and gravimetric finish. Quality-control (QC) samples are inserted in the sample stream every 20 samples, and thus represent 5% of the total samples. QC samples include standards, blanks, and duplicate samples. Standards are pulps that have been prepared by a third-party laboratory; they have gold, silver, and base-metal values that are established by an extensive analytical process in which several commercial labs (including ALS Minerals) participate. Standards test the calibration of the analytical equipment. Blanks are rock material known from prior sampling to contain less than 0.005 ppm gold; they test the sample preparation procedure for cross-sample contamination. In the case of duplicates, the sample interval is cut in half, and then quartered. The first quarter is the original sample, the second becomes the duplicate. Duplicate samples provide a test of the reproducibility of assays in the same drilled interval. When final assays are received, QC sample results are inspected for deviation from accepted values. To date, QC sample analytical results have fallen in acceptable ranges on the Alamos project.