(TheNewswire)
Initial Drill Hole Returned Broad Zones of PorphyryMineralisation Including 226 Metres of 0.43% CuEq and 146 Metres of0.30% CuEq
Toronto – TheNewswire - June 28, 2022: AbraSilver Resource Corp.(TSXV:ABRA ) ; ( OTC:ABBRF) ("AbraSilver" or the “Company”) is pleased to announce the discovery of asignificant new copper-gold-molybdenum porphyry system at its LaCoipita project (the “Project”) located in the San Juan provinceof Argentina.
The Company has an option agreement to acquire a 100%interest in the Project which encompasses a large area, totalingapproximately 70,000 hectares, within theMiocene porphyry-epithermal belt of Argentina and Chile (see Aug. 17, 2021, newsrelease ). The Company’s maidendrill campaign at La Coipita consisted of two initial deep holes totest a potential large copper-gold-molybdenum porphyry target. Basedon the successful results, additional drilling is now being plannedfor the upcoming field season, which is expected to start inlate-September 2022.
Highlights include:
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Hole DDHC 22-002 : intersected a continuous copper-gold porphyry zone of 226m grading 0.43% CuEq marking a significant new discovery on the project.
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Mineralisation remains open at depth, as the hole endedwithin a separate interval of 146m of 0.30%CuEq down to a depth of approximately1,200m.
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Porphyry style mineralisation was encountered withinthe host rocks believed to be adjacent to the central porphyryintrusive progenitor, which has not yet been intersected.
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Hole DDCH 22-001 intersected high sulphidation mineralisation with multiplehigh-grade narrow zones of copper and gold veining.
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Drill results were targeted at a surface geochemistrypattern interpreted as being a reflection of an underlying porphyrysystem, with estimated approximate dimensions of 2.0km by 1.5km
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Additional drilling in this new major porphyry systemis being planned for the upcoming field season, with the objective ofintersecting the central porphyry intrusive progenitor.
John Miniotis, President and CEO, commented, “We aredelighted to have intersected a long interval of consistent,copper-gold porphyry mineralization at La Coipita, as part of thefirst-ever deep exploration drill campaign conducted on the Project.Our results demonstrate the presence of a large copper-gold system andwe have now successfully identified a large target area of interestfor future drilling programs on this new, exciting project.”
Dave O’Connor, Chief Geologist, commented, “Our LaCoipita discovery is located in one of the world’s most promisinggeological belts, featuring numerous large-scale copper-gold porphyryprojects running alongside the border of Argentina and Chile. Thediscovery hole, DDHC 22-002, intersected pyrite and associatedchalcopyrite mineralisation in fine disseminations and stockworkveining in a major porphyry system. Future drilling will now focuson identifying the progenitor porphyry intrusion, which will help usevaluate La Coipita’s size and grade potential.”
Table 1 – Summary of La Coipita Initial Drill Results
Drill Hole | From (m) | To (m) | Interval (m) | Cu % | Au g/t | Mo ppm | Ag g/t | CuEq 1 % | Hole Length (m) | ||
DDHC-22-001 | 25.0 | 32.0 | 7.0 | 0.68 | 0.48 | - | 13.3 | 1.25 | 865.0 | ||
35.0 | 36.0 | 1.0 | 0.53 | 0.25 | - | 8.8 | 0.85 | ||||
94.0 | 96.0 | 2.0 | 0.27 | 0.16 | - | - | 0.41 | ||||
100.0 | 101.0 | 1.0 | 1.06 | 0.42 | - | - | 1.42 | ||||
145.5 | 146.5 | 1.0 | 5.84 | 0.76 | - | 102.3 | 7.73 | ||||
194.0 | 195.0 | 1.0 | 2.62 | 2.85 | - | 51.7 | 5.67 | ||||
202.5 | 203.5 | 1.0 | 0.73 | 0.23 | - | 11.0 | 0.93 | ||||
816.0 | 850.0 | 34.0 | 0.16 | - | - | - | 0.16 | ||||
DDHC-22-002 | 505.0 | 587.0 | 82.0 | 0.02 | 0.03 | 105 | - | 0.09 | 1,202.5 | ||
735.5 | 746.0 | 10.5 | 0.23 | 0.05 | 45 | - | 0.29 | ||||
771.5 | 997.0 | 225.5 | 0.34 | 0.07 | 66 | - | 0.43 | ||||
including | 794.0 | 878.0 | 84.0 | 0.41 | 0.07 | 83 | - | 0.51 | |||
including | 818.0 | 852.5 | 34.5 | 0.48 | 0.09 | 96 | - | 0.60 | |||
1056.0 | 1202.5 | 146.5 | 0.27 | - | 75 | - | 0.30 | ||||
including | 1074.0 | 1110.0 | 36.0 | 0.34 | - | 141 | - | 0.40 | |||
including | 1074.0 | 1088.0 | 8 | 0.47 | - | 208 | - | 0.56 |
Note: All results in this news release are rounded.Assays are uncut and undiluted. Widths are drilled widths, not truewidths. True widths cannot be determined based due to the uncertaingeometry of mineralization.
1 Copper Equivalent (“CuEq”)grades were calculated using the following formula: CuEq % = Copper(%) + (Gold (g/t) x 0.85) + (Molybdenum (%) x 4.33) + (Silver (g/t) x0.012), based on USD $3.00/lb Cu, $1,750/oz Au, $13.00/lb Mo and$25.00/oz Ag. The calculations assume 100% metallurgical recovery andare indicative of gross in-situ metal value at the indicated metalprices.
Discussion of Drill Hole Results
Diamond drill hole DDHC 22-002 returned broad intervalsof copper-gold-molybdenum porphyry mineralizationincluding 226 metres grading 0.43% CuEq, followed by a separate interval of 146 metres grading 0.30% CuEq. Thehole successfully intersected a broad zone of consistent porphyrystyle mineralisation featuring abundant pyrite and chalcopyrite indisseminations and stockwork veinlets, with an overprint of laterquartz veining hosting molybdenite. The mineralisation is hostedmainly in granitoid, with upper quartz-sericite alterationtransitioning into underlying potassic alteration which includes moreconcentrated copper sulphide mineralisation.
Beneath the potassic alteration zone the holeintersected predominantly pyrite mineralisation, having deviatedeastwards and exited the main copper zone. Importantly, the holeremained in mineralisation through to its final depth of 1,202.5metres.
Diamond drill hole DDHC 22-001 was oxidized to a downhole depth of approximately 865 metres,having encountered a major fault, and penetrated through silicifiedignimbrite, where there is remnant high sulphidation epithermalmineralisation, and into underlying granite and dacitic rocks. Thehole encountered numerous narrow zones of tennantite and enargitedominant mineralisation with copper, gold and occasional silvervalues. It is believed the epithermal part of the system has largelybeen eroded away in this area. Evidencing porphydic style hydrothermalalterations with molybdenum anomalies on surface.
Upcoming Milestones and Catalysts
The Company anticipates announcing several upcomingmilestones over the next few months, including:
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Announcing the assay results from the remaining 16holes drilled as part of the recently completed Phase II drill programat Diablillos project
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Updated Mineral Resource Estimate for the Diablillosproject (September 2022)
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Results from the ongoing Phase III 15,000-metre drillcampaign at Diablillos project testing multiple high-priority targets(ongoing)
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Commencement of the follow-up drill program at LaCoipita project, with the size of the campaign currently beingdetermined (September 2022)
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Pre-Feasibility Study completed for Diablillos project(Q1/2023)
About La Coipita
The La Coipita project consists of over 70,000 hectaresin the western portion of Calingasta Department, located in themining-friendly San Juan Province of Argentina adjacent to the Chileanborder. Access to the area is via Calingasta, the nearest town,along 125 km of unpaved road to the Los Azules Cu-Mo porphyry project(Indicated Resource of 962 Mt @ 0.48% Cu and 0.06 g/t Au) (2) and then north along a dirt road tothe La Coipita Cu-Au project. Elevation across the property rangesbetween 3,500 and 4,500 MASL with moderate to high relief.
The project lies within the Miocene porphyry-epithermalbelt of Argentina and Chile. During the mid-Miocene, the areadeveloped an active magmatic arc, on its western side, and a back-arcextensional environment, to the east. Contemporaneous with thedeposition of volcanic/volcaniclastic rocks was the emplacement ofporphyry Cu-Mo-Au and/or epithermal Au-Ag (Cu) systems (e.g. Filo delSol HS with Cu-Au porphyry, Los Pelambres/El Pachón Cu-Mo porphyry,Los Azules Cu-Au-Mo porphyry, El Indio/Veladero/Pascua Lama HS Aucluster).
The Company has an option to earn a 100% interest inthe La Coipita project by making remaining staged-payments totalingUS$6.875 million by August 2026.
(2) Mineralization contained on nearby properties isnot indicative of similar mineralization being found on the La CoipitaProject.
Figure 1 – La Coipita Location Map
Figure 2 – Plan View of Drill Holes
Figure 3 – Drill Assay Section (Looking West)
La Coipita Collar Data
Hole Number | UTM Coordinates East North | Elevation (m) | Depth (m) | Azimuth | Dip | |
DDHC 22-001 | 383191.47 | 6614476.23 | 4298.13 | 869.4 | 0 | -70 |
DDHC 22-002 | 383087.61 | 6615262.48 | 4235.27 | 1202.5 | 350 | -75 |
QA/QC and Core Sampling Protocols
AbraSilver applies industry standard explorationmethodologies and techniques, and all drill core samples are collectedunder the supervision of the Company’s geologists in accordance withindustry practices. Drill core is transported from the drill platformto the logging facility where drill data is compared and verified withthe core in the trays. Thereafter, it is logged, photographed, andsplit by diamond saw prior to being sampled. Samples are then bagged,and quality control materials are inserted at regular intervals; theseinclude blanks and certified reference materials as well as duplicatecore samples which are collected in order to measure samplerepresentivity. Groups of samples are then placed in large bags whichare sealed with numbered tags in order to maintain a chain-of-custodyduring the transport of the samples from the project site to thelaboratory.
All samples are trucked to the SGS preparation facilityin San Juan city. From there, the samples are received by the SGSoffices in Salta who then dispatch them to the SGS preparationfacility in San Juan. From there, the prepared samples are sent to theSGS laboratory in Lima, Peru where they are analyzed. All samples areanalyzed using a multi-element technique consisting of a four aciddigestion followed by ICP/AES detection, and gold is analyzed by 50gFire Assay with an AAS finish. Silver results greater than 100g/t arereanalyzed using four acid digestion with an ore grade AASfinish.
Qualified Persons
David O’Connor P.Geo., Chief Geologist forAbraSilver, is the Qualified Person as defined by National Instrument43-101 Standards of Disclosure for Mineral Projects, and he hasreviewed and approved the scientific and technical information in thisnews release.
About AbraSilver
AbraSilver is a well-funded silver-gold focusedadvanced-stage exploration company. The Company is rapidly advancingits 100%-owned Diablillos silver-gold project in the mining-friendlySalta province of Argentina, which has a current Measured andIndicated Mineral Resource of over 90 million ounces of silver and 1.0million ounces of gold. The updated PEA study completed in November2021 demonstrates that Diablillos has the potential to be ahighly-economic project. The Company is led by an experiencedmanagement team and has long-term supportive shareholders includingMr. Eric Sprott. In addition, AbraSilver owns a portfolio ofearlier-stage projects including the La Coipita copper-gold project inthe San Juan province of Argentina. AbraSilver is listed on the TSX-Vunder the symbol “ABRA” and in the U.S. under the symbol“ABBRF”.
For further information please visit the AbraSilverResource website at www.abrasilver.com , ourLinkedIn page at , and follow us on Twitter at
Alternatively please contact:
John Miniotis, President and CEO
Tel: +1 416-306-8334
Cautionary Statements
This news release includes certain"forward-looking statements" under applicable Canadiansecurities legislation. Forward-looking statements are necessarilybased upon a number of estimates and assumptions that, whileconsidered reasonable, are subject to known and unknown risks,uncertainties, and other factors which may cause the actual resultsand future events to differ materially from those expressed or impliedby such forward-looking statements. All statements that address futureplans, activities, events or developments that the Company believes,expects or anticipates will or may occur are forward-lookinginformation. There can be no assurance that such statements will proveto be accurate, as actual results and future events could differmaterially from those anticipated in such statements. Accordingly,readers should not place undue reliance on forward-looking statements.The Company disclaims any intention or obligation to update or reviseany forward-looking statements, whether as a result of newinformation, future events or otherwise, except as required bylaw.
The Diablillos Mineral Resource Estimate is effectiveas of September 8, 2021. The Mineral Resource estimate and supportingTechnical Report are N.I. 43-101 compliant. Full details of theMineral Resources are available in a Company news release datedSeptember 15, 2021. For additional information please see TechnicalReport on the Diablillos Project, Salta Province, Argentina, datedOctober 28, 2021, completed by Mining Plus, and available onwww.SEDAR.com.
Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this news release
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