(TheNewswire)
27 MARCH, 2024 / TheNewswire / VANCOUVER, BC- Tribeca Resources Corporation (TSXV: TRBC)(OTCQB: TRRCF) (“ TribecaResources ”, the “ Company ”) ispleased to announce it has entered into a purchase option agreement(“the Agreement ”) with two groups of private owners (the “Project Vendors” ) to acquire a 100% interest in a 570 hectare propertylocated in the established Mantoverde district of the Chilean CoastalBelt, 15 km and 21 km from Capstone Copper Corporation’s(“ CapstoneCopper ”) Mantoverde mine and Santo Domingoproject, respectively (Figure 1) (the “ Chiricuto Property ”).Further, final assays from Phase 2 drilling at the Company’scornerstone La Higuera Project, which has delivered a 40% increase tothe size of the Gaby mineralised system, are reported.
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Binding purchase option executed for acquisition of a100% interest in the Chiricuto Property, hosting a rare undrilled ironoxide alteration system in the Mantoverde – Santo Domingo districtof the Chilean Coastal iron oxide copper-gold ( “IOCG" )Belt.
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IP and magnetic surveying results, combined withsignificant copper workings on adjacent licences suggest the potentialpresence of a large magnetite ± sulphide system.
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With a modest up-front payment, Tribeca Resources’novel “exploration levy” concept applied, and the final purchaseprice dependent on metal contained in a maiden Mineral ResourceEstimate (“ MRE ”), the Agreement provides Tribeca Resources’shareholders with a low-cost option on an exciting property withstrong IOCG potential.
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Pre-drilling activities at the Chiricuto Property willbe undertaken in parallel with preparation for further drilling at theCompany’s flagship La Higuera Project.
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Final drill results from a successful Phase 2 programat the La Higuera Project have now been received and are reportedbelow.
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Tribeca Resources will continue its pursuit ofhigh-quality exploration properties, seeking to capitalise on theopportunity offered by current market conditions, to incorporateexternal growth options on sensible commercial terms.
Tribeca Resources CEO, Dr. Paul Gowcommented:
“Hosting a strong untested IOCG target under shallowcover, the Chiricuto Property represents exactly the type ofopportunity that Tribeca Resources is well positioned to advance. Thechance to test – and potentially acquire a 100% stake in – anundrilled geophysical target in the emerging copper producingMantoverde district, is the type of opportunity that Tribeca Resourceswas founded to capitalise on. With this announcement, TribecaResources has demonstrated its ability to structure a propertyacquisition that will ensure funding is directed towards on-groundactivities, and ultimately discovery, which benefits TribecaResources’ shareholders, the Project Vendors and otherstakeholders.”
“In addition to this exciting portfolio addition, weare pleased to report completion of the Phase 2 drill program at theflagship La Higuera Project. The drill program provided a 40% increasein the potential size of the mineralised system at the Gaby discovery,representing an important milestone towards building a portfolio ofcopper properties that aims to attract the producers, onceM&A-driven growth strategies return.”
Figure 1. Location of the Chiricuto Property
The Chiricuto Property
Highlights
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6 exploitation concessions covering 570hectares
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Excellent infrastructure in the area including roads,powerlines, port, 50 km from the coast
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Situated between the Mantoverde IOCG mine and the SantoDomingo IOCG project (both owned by Capstone Copper)
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One of the few significant iron oxide alterationsystems in the Mantoverde district that remain untested bydrilling
The Chiricuto Property is located within theandesite-dominated lower unit of the Middle-Upper Jurassic La NegraFormation, which is the same rock unit that hosts Capstone Copper’sMantoverde deposit (>1 Billion tonnes of oxide and sulphide copperresource, Capstone Copper MRE dated 31 December 2022 - Measured andIndicated categories) 15 km to the west of the Chiricuto Property. Therocks are located in the hanging-wall to a major east-vergent thrust,parallel to, but located between, the regional Atacama and ChivatoFault Systems. Previous mapping in the project area has identifiedmagnetite-scapolite±quartz±chlorite±hematite alteration within theandesites. Other deposits within the La Negra Formation in this areainclude the Palmira combined oxide-sulphide copper deposit, which isreported to host chalcopyrite-rich hematite-cemented breccias andveins, and the Pirula deposit, both located within 1.5 km of theChiricuto Property.
Much of the Chiricuto Property area is located underinterpreted thin alluvial or colluvial gravel cover, however outcropis locally present and hosts several small copper or iron workings andpits. Ground magnetic data has been collected over the area (Figure 2)that suggests the magnetite alteration is widespread, with high intensity anomalies up to 3000nT. Tworeconnaissance lines of pole-dipole Induced Polarization (IP) havebeen surveyed and show high chargeability zones above 20 mV/V.
Tribeca Resources has, in large part due to our localnetworks and a growing reputation as a dynamic IOCG-focused copperexplorer in the Chilean Coastal IOCG Belt, positioned itself as apartner of choice for the Project Vendors.
Tribeca Resources plans to undertake mapping, surfacesampling and additional geophysics prior to proceeding with drillingat the Chiricuto Property.
Figure 2. Summary geology and ground magnetic data fromthe Chiricuto property.
Key Transaction Terms
The key terms under which Tribeca Resources has theright, but not the obligation, to acquire a 100% interest in theChiricuto Property (the "Purchase Option” ) are asfollows:
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Duration: 5-year option to purchase a 100% interest in the Chiricuto Property
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Option cost: Cash payment of US$20,000 upon execution of the Agreement(paid)
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Purchase price: US$0.01 per pound of contained copper equivalent metal contained inthe Measured Indicated categories of an independent NI 43-101compliant MRE. Purchase price will be at least US$1 million and willbe capped at US$10 million
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Holding costs: Tribeca Resources to pay annual concession fees (less thanUS$20,000/year)
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Past annual concessionsfees: Payment orreimbursement of certain past licence feestotalling approximately US$23,000.
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Exploration Levy payments: Annual 5% Exploration Levy cash payments to theProject Vendors with guaranteed minimum payment of US$20,000 andcumulative amount paid to the Project Vendors during the option periodcapped at US$1 million
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Deliverables: To exercise its Purchase Option, Tribeca must have delivered an NI43-101 compliant MRE (to a minimum Inferred level of confidence), andhave completed at least 3,000 metres of drilling over the geophysicalanomaly identified at the Chiricuto Property
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Extension right: Option period extendible to 6 years by paying the ProjectVendors US$50,000 and increasing the purchase price from US$0.01 toUS$0.011 per pound of contained copper equivalent in the MRE
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NSR Royalty: Ifthe Purchase Option is exercised, the Project Vendors retain a 0.5%NSR Royalty over the Chiricuto Property. No repurchase rights areincluded. 50% of Chiricuto Property purchase price to count as credittowards the NSR Royalty.
With the exception of the initial cash payment ofUS$20,000 to the Project Vendors and the reimbursement of pastconcession fees, the foregoing exploration expenditures, payments andwork commitments are optional; Tribeca Resources will not be obligedto make any payments, complete any work or deliver the MRE should itelect not to execute the Purchase Option.
Tribeca Resources will be the operator of the project.The Agreement is subject to approval of the TSX Venture Exchange.
La Higuera Project drill results
Final assay results from Phase 2 drilling at the Gabytarget have now been received and are reported below. Drill holesGBY015 and GBY016 were sited to test two geophysical anomalies(gravity and IP, respectively) to the east of the main trend, andGBY017 was sited within a 400m undrilled gap in the main north-southtrend.
Table 1. Summary of significant mineralizedintersections in drill hole GBY015.
HoleID | From (m) | To (m) | Downhole | Cu | Au | Co (ppm) | CuEq |
GBY015 | 20 | 34 | 14 | 0.27 | 0.07 | 75 | 0.30 |
GBY015 | 96 | 118 | 22 | 0.24 | 0.06 | 59 | 0.27 |
Note: The grade intersections are calculated overintervals >0.20% Cu with maximum internal dilution of 10m @ 0.05%Cu and a minimum interval width of 10m. CuEq (%) grades have beencalculated using recoveries from metallurgical test work undertaken in2006 on drill core from the Project, which are 90% for copper, 65% forgold and 50% for cobalt. Metal prices utilised were US$3.50/lb copper,US$1,900/oz gold and US$15.88/lb cobalt.
Drill hole GBY015 intersected intervals of copper-goldmineralisation from 20m and 96m downhole depth (Table 1). The coverthickness in this location, which is approximately 200m east of themain trend, is 14m downhole depth. The mineralization is dominantlyassociated with magnetite breccias in andesite, but some latecross-cutting hematite-chalcopyrite veins are also present.
Drill hole GBY016 and GBY017 intersected pyritealteration and local zones of 0.1-0.5% copper, but no significantcopper intersections greater than 10m width. The magnetic signature islower in the zone of the north-south trend where these holes arelocated (Section 5000N – Figure 3) reinforcing the importance of themagnetic data in targeting higher grade mineralization.
GBY015 to GBY017 are the final holes from the Phase 2drill program, which comprised 10 holes for 3,806m. With thecompletion of this program the mineralization at Gaby has now beenintersected in most holes over a strike length of approximately 1.4km, with significant thicknesses of mineralization ranging from 0.18%- 0.66% copper plus significant gold, cobalt and iron.
The logging, assay and other data from the Phase 2program is now being integrated with previous drilling, geological andgeophysical information to update the geological model at the Gabytarget. Together with work on additional targets from the La HigueraProject, this is being utilised to plan the next phase ofdrilling.
The drill hole collar information from both the Phase 1and Phase 2 drill programs is included in Appendix A.
Figure 3. Location of drill holesGBY015-017 with outline of key previously reported drillintersections.
Qualified Person
All scientific and technical information in this pressrelease has been prepared by, or approved by, Dr. Paul Gow, who is theCEO of Tribeca Resources. He is a Member of the Australian Instituteof Geoscientists (MAIG), a Member of the Australasian Institute ofMining and Metallurgy (MAusIMM) and a qualified person for thepurposes of NI 43-101. Dr. Gow has not verified any of the informationregarding any of the properties or projectsreferred to herein other than the La Higuera Property and theChiricuto Property. Mineralization on any other properties referred toherein is not necessarily indicative of mineralization on the LaHiguera Property and the Chiricuto Property.
About Tribeca Resources
Tribeca Resources is acopper exploration company focused on discovering and developingassets in the Coastal IOCG Belt of northern Chile. The Company’smanagement team, whose members are significant shareholders of theCompany, has world-leading expertise and a discovery history with ironoxide copper-gold deposits in the world’s great IOCG Belts of theCaraj ás district inBrazil and the Gawler and Cloncurry provinces of Australia.
Tribeca Resources’ objective is to provide themineral resources for the next generation of copper mines in Chile. Itis focused on building a portfolio of projects, with emphasis on midto advanced-stage copper exploration and resource developmentprojects. To this end, mineral targets are regularly assessed inpursuit of acquisition, strategic exploration and significantdiscovery.
Tribeca Resources’ flagship property is the LaHiguera Project that comprises 4,147 hectares of granted mining andexploration licences and is located towards the southern end of theChilean Coastal IOCG Belt in the Coquimbo Region of northern Chile.Further information about the project can be found in the NI 43-101Technical Report lodged by Tribeca Resources on SEDAR on 24 October2022.
On behalf of Tribeca ResourcesCorporation
Paul Gow | Thomas Schmidt | |
CEO and Director | President and Director | |
admin@tribecaresources.com | admin@tribecaresources.com | |
+1 604 685 9316 | +1 604 685 9316 |
Cautionary Note
Neither the TSX Venture Exchange Inc. nor its Regulation ServiceProvider (as that term is defined in the policies of the TSX VentureExchange Inc.) accepts responsibility for the adequacy or accuracy ofthis press release.
This press release does not constitute or form a part of any offer orsolicitation to purchase or subscribe for securities in the UnitedStates. The securities referred to herein have not been and will notbe registered under the Securities Act of 1933, as amended (the“Securities Act”), or with any securities regulatory authority ofany state or other jurisdiction in the United States, and may not beoffered or sold, directly or indirectly, within the United States orto, or for the account or benefit of, U.S. persons, as such term isdefined in Regulation S under the Securities Act (“Regulation S”),except pursuant to an exemption from or in a transaction not subjectto the registration requirements of the Securities Act.
Forward Looking Information
This press release contains forward-looking statementsand information that are based on the beliefs of management andreflect the Company's current expectations. When used in this pressrelease, the words "estimate", "project","belief", "anticipate", "intend","expect", "plan", "predict","may" or "should" and the negative of these wordsor such variations thereon or comparable terminology are intended toidentify forward-looking statements and information. Theforward-looking statements and information in this press releaseinclude statements regarding the Agreement and the Company’sPurchase Option in the ChiricutoProperty, the ability of theCompany to develop and define suitable drill targets at the ChiricutoProperty, the relationship between geophysical survey results andpotential mineralization, the ability of the Company to raiseappropriate funding to complete the work program at the ChiricutoProperty and other future plans and objectives of the Company,including exploration projects.
Such statements and information reflect the current view of theCompany. By their nature, forward-looking statements involve known andunknown risks, uncertainties and other factors, which may cause ouractual results, performance or achievements, or other future events,to be materially different from any future results, performance orachievements expressed or implied by such forward-looking statements.Such factors include, among others,: the ability of the Company toobtain TSX Venture Exchange approval of the Agreement, the ability ofthe Company to pay the purchase price as well as any other paymentsrequired by the Agreement, risks associated with mineral exploration,including the risk that actual results of exploration will bedifferent from those expected by management, and the risk that newlaws or regulations could adversely affect the business and results ofoperations of the Company and anticipated work on the Company’sprojects.
There are several important factors that could cause the Company’sactual results to differ materially from those indicated or implied byforward-looking statements and information. Such factors include,among others: reliance on key management; changes in the credit orsecurity markets; results of operation activities; unanticipated costsand expenses; fluctuations in commodity prices; and general market andindustry conditions. The Company cautions that the foregoing list ofmaterial factors is not exhaustive. When relying on the Company'sforward-looking statements and information to make decisions,investors and others should carefully consider the foregoing factorsand other uncertainties and potential events.
The Company has assumed that the material factors referred to in theprevious paragraph will not cause such forward-looking statements andinformation to differ materially from actual results or events. Theforward-looking information contained in this press release representsthe expectations of the Company as of the date of this press releaseand, accordingly, is subject to change after such date. Readers shouldnot place undue importance on forward looking information and shouldnot rely upon this information as of any other date. While the Companymay elect to, it does not undertake to update this information at anyparticular time except as required in accordance with applicable laws.
APPENDIX A.
Details of the drill collars from the Phase 1 and Phase2 drill programs at the Gaby target. Collar coordinates provided usingdatum/projection WGS84 Zone 19S.
HoleID | Easting | Northing | Elevation | Azimuth | Dip | Total Depth |
GBY001 | 284047 | 6734267 | 454 | 267.3 | -60 | 376.80 |
GBY002 | 284198 | 6734216 | 458 | 232.3 | -60 | 348.00 |
GBY003 | 284182 | 6734239 | 458 | 267.3 | -60 | 291.05 |
GBY004 | 284028 | 6734164 | 453 | 267.3 | -60 | 202.70 |
GBY005 | 283802 | 6734200 | 446 | 87.3 | -60 | 408.95 |
GBY006 | 283803 | 6734528 | 446 | 87.3 | -60 | 262.70 |
GBY007 | 283805 | 6734799 | 441 | 87.3 | -60 | 365.85 |
GBY008 | 284099 | 6734267 | 456 | 267.3 | -60 | 445.50 |
GBY009 | 283804 | 6734397 | 446 | 87.3 | -60 | 401.75 |
GBY010 | 283848 | 6734282 | 448 | 87.3 | -60 | 401.75 |
GBY011 | 283856 | 6734518 | 447 | 87.3 | -61 | 401.75 |
GBY012 | 283855 | 6734797 | 442 | 87.3 | -60 | 401.75 |
GBY013 | 284000 | 6735177 | 437 | 267.3 | -60 | 462.70 |
GBY014 | 283899 | 6735371 | 431 | 267.3 | -60 | 218.65 |
GBY015 | 284140 | 6734833 | 447 | 97.3 | -60 | 287.65 |
GBY016 | 284159 | 6735017 | 445 | 267.3 | -65 | 383.65 |
GBY017 | 284011 | 6735002 | 439 | 267.3 | -60 | 401.75 |
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