TORONTO, ONTARIO–(Marketwired – July 30, 2013) – VVC Exploration Corporation (“VVC” or the “Company“) (TSX VENTURE:VVC) is pleased to announce the results of due diligence evaluations of the Samalayuca copper/silver property in Chihuahua State, and the Escondida gold/silver property in Sonora State, owned by Camex Mining Development Group Inc. as part of the acquisition of Camex by VVC, and the results of reverse circulation (RC) drilling on VVC’s Cumeral gold/silver Property, in Sonora State, Mexico. The three properties were visited and evaluated by Peter Dimmell, P.Geo., a QP and a director of VVC, over two days in early July 2013.
The Cumeral property totals 6 claims (6638 Ha), and is located 70 km to the south of Nogales on the US border in northern Sonora State, MX. The RC drilling was carried out by contractor, Drilling One, from its regional office in Cuauhtémoc, Chihuahua, Mexico and was the first phase of drilling based on the recommendations of the Company’s exploration team. A total of 1,020 meters in 14 drill holes tested five mineralized areas (Areas A,B,C,E,F) for extensions to the east, down dip, on the stratigraphy of the known mineralized structures. Intersection of the water table in some of the holes made the recovery of the rock unit fragments difficult in these areas. The drilling is summarized below:
Results were not encouraging for a mineralized system dipping to the east along the stratigraphy and fault systems as the exploration team had envisaged. No strong gold values over good widths such as the results from RC hole 2010-1 in Area B which gave 1.45 g/T Au and 6.74 g/T Ag over 14 m including 4 m at 4.19 g/T Au and 17.65 g/T Ag (NR Sept. 21, 2010) were intersected. Three holes gave values over 1 g/T over 1 m including RC-1 – 1.03 g/T – 52-53 m; RC-5 – 1.32 g/T – 67-68 m; and RC-12 – 1.06 g/T – 29-30 m. Three values >0.5 g/T were noted – RC-7 – 0.59 g/T – 16-17 m; RC-12 – 0.74 g/T – 10-11 m; and RC-13 – 0.54 g/T – 9-10 m; The widest section carrying anomalous gold values was located in RC-9 – 0.183 g/T / 6 m from 16-22 m. Other narrow zones in the 1-2 m range were also noted. Gold values were associated with zones carrying disseminated pyrite. No drill holes tested possible vertical or westward extensions of the zones located in the 2010 drilling and this potential will be tested in the next drill phase.
Check sampling using different methods, including a metallics screen analysis which gives total contained gold (Au-SCR21) at ALS Chemex gave similar results to the original values indicating that the values in the original sampling are most likely reflective of the actual values drilled unless there was a loss of gold/silver mineralization in the drilling, since the samples are brought to surface by entrainment in compressed air provided by the drill. The drill holes were sampled at 1 m intervals throughout the entire length of each hole, with the samples shipped to the ALS Chemex Laboratory in Hermosillo, Sonora for gold analyses using technique Au-AA25. Prior to analyses the samples were prepared by drying, crushing to -10 mesh with 1 Kg (obtained by splitting) crushed to -70 mesh with a 200 g sample (obtained by splitting) pulverized to -200 mesh and a 30 g sample split analyzed.
No diamond drilling has been carried out and the RC drilling has been by air track type drills which may not properly test the mineralized units. A phase 2 diamond drill program is planned to test the area of the known gambusino (artisinal) mineralization and the mineralized zones located in the 2010 drilling campaign. This program will give structural, lithological and alteration information that is more difficult to derive from the RC drill holes.
In June 2012, VVC announced the results of a geological mapping, rock and soil geochemical exploration program in the southern segment of the Cumeral property as a part of a National Instrument 43-101 report on the Property prepared by independent geological consultant Michel Boily, PhD, P. Geo., which is filed on SEDAR. Results from the mapping and rock sampling programs show anomalous gold values ranging from 0.5 to >10 g/t in hematized/pyritized quartz veins/veinlets associated with mylonitized units, located in gently eastward-dipping, low-angle (20° to 40°) faults. Geological mapping in the southern part of the property shows at least ten gold-mineralized structures generally confined to areas tested by the air track (RC) drilling program in 2010 (NR Sept, 21, 2010). Results for a soil geochemical survey, to the northwest of the known mineralization, located three anomalous areas with values of >50 ppb Au (Anomalies 1 to 3) in areas with limited outcrop or in unmapped regions, over a minimum of 2 km, remaining open to the northwest. The soil geochemistry, in conjunction with gold assays from rock and soil samples taken from 2010 to 2012, gives a crude NNW-SSE trend of elevated values extending for 4 km. The prospective trend in the property is approximately 10 km.
The combined 2010 to 2012 rock assay results for 407 samples taken on the property over an area of 3 km along strike by 1 km wide, gave 8 values from 10 to 40 g/t Au (2 %), 42 from 1 to 10 g/t (10 %), 31 from 0.5 to 1.0 g/t Au (8 %) and 64 from 0.1-0.5 g/t Au (16 %). Using these results, 36 % give gold values varying from a low of 0.1 to a high of 40 g/t with a little less than half in the lowest range. These samples are grab samples taken during geological evaluation and represent mineralized quartz veins, altered / mineralized units and altered only units. Approximately 25 samples, mainly quartz-hematite-goethite±tourmaline veins, give Ba values > 0.1 %.
Due diligence – 1 selected grab sample was acquired from Area F where sampling in 2012 had shown significant gold values in narrow quartz veins. The sample gave 6.37 g/T Au, 22 g/T Ag and 518 ppm Pb from a shallow dipping, 3 cm quartz vein, carrying euhedral pyrite, cutting sericite schists. Bright white sericite schist, assumed to be a potassic alteration of the original units, was noted in many of the areas drilled in 2013. This is considered to be evidence of strong fluid flow, required for significant gold deposition, although associated gold mineralization may be peripheral to the sericitic (potassic) alteration. Further exploration is required in these areas. The information derived from the drilling, along with the detailed geological mapping and geochemical sampling carried out in 2012 (NR June 12, 2012), will allow VVC to plan the next phase of exploration which will include diamond drilling.
The property of 1663 ha covers an advanced stage, stratiform, sediment-hosted, copper mineralized zone, located in northern Chihuahua State, approximately 35 km to the south of the cities of Juarez, MX / El Paso, TX on the US border. The Samalayuca Range has been explored for copper since the early 1960s with some, small scale, artisanal mining from open pits carried out over a few years in the 1960s. Previous work by the artisanal miners defines a potential lateral extension (strike length) of copper mineralization of at least 4 km. Camex work in the past few years has included 395 mostly chip/channel samples, from the various deposits / showings along the trend, most of which gave copper values ranging from 0.1 to 0.8 %, with a number of values >1% copper. From east to west the zones include: La Suerte, La Zorra, La Juliana, La Gloria and La Concha.
Due diligence – Three selected grab samples taken during the due diligence visit gave the following results: La Gloria Main Pit – 2.77% Cu, 21.2 g/T Ag; La Juliana – 21.6% Cu, 184.8 g/T Ag; La Suerte – 1.38% Cu, 9.5 g/T Ag. The high grade sample from La Juliana was a chalcocite vein in quartz carbonate approximately 2 cm wide while the samples from La Gloria and La Suerte were disseminated malachite and azurite in sandstone, typical of the mineralization noted along the Samalayuca trend.
A diamond drilling campaign is planned for 2013 once an exploration and drilling permit has been received.
The Escondida property is a silver/gold property (178 ha) located in the western Sierra Madre in northern Sonora State, approximately 120 km to the north-northeast of Hermosillo, MX. It covers a silver/gold vein system(s) that has been traced over 500 m, remaining open to the east and west along strike. Three known veins – La Abundancia, La Discreta and La Generosa have been evaluated / exploited by gambusinos (artisanal miners) through surface pits, small shafts and limited underground workings. No diamond drilling is known to have tested the vein systems. La Generosa vein is the most enriched in precious metals averaging 172 g/T Ag and 0.7 g/T Au. The alteration / vein systems are up to 30 m wide with strong iron carbonate and quartz veining throughout. Minerals identified include acanthite (Ag sulphide), enargite and jamesonite.
Due diligence – 1 sample acquired from the ore stockpile by the west shaft gave Ag – 1646 g/T; Au – 42 ppb; Cu – 1032 ppm; Pb – 0.56% and Sb – 0.52%.
All three properties visited, Samalayuca, Cumeral and Escondida show good potential for significant deposits of copper/silver, gold/silver and silver/gold respectively. Further work is justified on all three projects. Diamond drilling is recommended as it is important to define the geology that controls the mineralization and drill core is an important part of this definition process.
The technical aspects of this news release were reviewed by Peter Dimmell, P.Geo (NL, ON), who is a director of VVC and a Qualified Person (QP) as defined in National Instrument 43-101.
About VVC Exploration Corporation
VVC is a Canadian exploration company with projects in Mexico and Canada, which include a gold prospect in Sonora State and a gold placer prospect in Sinoloa State, both in Mexico and grass-roots gold prospects in the Timmins area of northern Ontario. In addition, VVC is aggressively searching for other projects – especially precious minerals and base metals at various stages of development in North America, mainly in Mexico, Québec and Ontario.
On behalf of the Board of Directors
Michel J. Lafrance, Secretary-Treasurer
Neither 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.
This news release contains “forward-looking information” (within the meaning of applicable Canadian securities laws) and “forward-looking statements” (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995). Such statements or information are identified with words such as “anticipate”, “believe”, “expect”, “plan”, “intend”, “potential”, “estimate”, “propose”, “project”, “outlook”, “foresee” or similar words suggesting future outcomes or statements regarding an outlook. Such statements include, among others, those concerning the Company’s anticipated operational plans and activities including the revenue and growth outlook. Specifically, they include the Company’s statement that: “All three properties visited … show good potential for significant deposits of copper/silver, gold/silver and silver/gold respectively” “Further work is justified on all three projects” and, “A diamond drilling campaign is planned for 2013 once an exploration and drilling permit has been received”.
Such forward-looking information or statements are based on a number of risks, uncertainties and assumptions which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. Assumptions have been made regarding, among other things, management’s expectations regarding future growth, plans for and completion of projects by the Company, availability of capital, and the necessity to incur capital and other expenditures. Actual results could differ materially due to a number of factors, including, without limitation, operational risks in the completion of Company’s anticipated projects, delays or changes in plans with respect to the development of Company’s anticipated projects by Company’s third party relationships, risks affecting Company’s ability to develop projects, risks inherent in operating in foreign jurisdictions, the ability to attract key personnel, and the inability to raise additional capital. No assurances can be given that the Company’s efforts will result in confirming potentially exploitable deposits of gold bearing mineralization. Additional assumptions and risks are set out in detail in the Company’s MD&A, available on SEDAR at www.sedar.com.
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