TSX-V: MSR
TORONTO , Sept. 4,
2024 /CNW/ - Minsud Resources Corp. (TSXV:
MSR) ("Minsud" or the "Company"), is pleased to announce the
receipt of assay results from fifteen (15) additional drillholes,
which were completed as part of the ongoing Phase IV infill program
at the Chita Valley Project, San Juan Province, Argentina.
The infill drilling program is being carried out by Minera Sud Argentina S.A. ("MSA"), a joint
venture between a wholly owned subsidiary of South32 Limited
("South32") (50.1%) and a wholly owned subsidiary of Minsud
Resources Corp. ("Minsud") (49.9%). The program covers
approximately 2.5 square kilometres over the Chinchillones target,
for the purpose of generating a maiden Mineral Resource
Estimate.
Since February 2024, continued
drilling in Phase IV has been primarily concentrated in the SW-NE
corridor at the eastern end of the Chinchillones target. To date,
MSA has completed 15,796m in 25
drillholes, including up to hole CHDH24-124. An additional 3
drillholes, totaling 1,450m, are
still pending completion to finalize the infill program. Assays
have been received for drillholes CHDH24-104 to CHDH24-118,
totaling 9,113.50m, and are reported
below.
Key highlights and associated figures are provided below.
Summary of drilling results is shown in Table 1. Drillhole
locations are shown in Map 1. A long section with the best
intercepts in the recent holes is shown in Map 2.
CHDH24-117 was drilled with an orientation of 315°/-75°
to a depth of 669.0m:
- Significant Drill Intercepts:
- 526.0m @ 0.33% Cu,
0.19 g/t Au, 16.11 g/t Ag, and 0.38% Zn, from 140m depth.
- including 29.0m @ 0.84% Cu, 0.27 g/t Au, 129.38 g/t
Ag, and 1.75% Zn, from 209.0m
depth.
- Including 17.0m @ 0.68%
Cu, 0.55 g/t Au, 40.87g/t Ag, and 2.51% Zn, from 275.0m depth.
- Including 16.0m @ 1.24%
Cu, 0.27 g/t Au, 6.16 g/t Ag, from 554.0m depth.
- Geology:
- This drillhole, located in the same section as CHDH22-62,
CHDH23-73, and CHDH23-96, traverses the central and southeastern
edge of the project. Up to a depth of 614m, it intersects phreatomagmatic and
hydrothermal breccias with a dacitic matrix and
polymictic/polymodal fragments with some small intercalations of
Dacitic porphyry and Porphyry andesite. The alteration is
predominantly moderate phyllic with advanced argillic overprinting.
Sulphides are present at 5-7%, including pyrite, sphalerite, galena
and +/- chalcopyrite. From 207.7 to 238.0m, high-grade hydrothermal breccia is
encountered with 8-10% sulphides, including pyrite, sphalerite,
galena, chalcopyrite, and tennantite.
- Below 614m, the drillhole
intersects dacitic porphyry exhibiting moderate phyllic alteration
and pervasive silicification overprinted. Abundant mineralization
finely disseminated, cavity fills, and microveins. Sulphide content
is around 5%, with pyrite, chalcopyrite, and chalcocite.
Mineralization decreases towards the end of the interval.
- This intercept suggests the potential continuity of
higher-grade mineralization, similar to that in CHDH22-62,
CHDH23-73, and CHDH23-96, with Cu-Zn-As mineralization aligned NE
along the eastern edge of the Dome.
CHDH24-113 was drilled with an orientation of 315°/-75°
to a depth of 650.0m:
- Significant Drill Intercepts:
- 448.0m @ 0.28% Cu,
4.31 g/t Ag, 14 ppm Mo, from 158.0m
depth.
- including 4.0m @ 4.20% Cu, 0.39 g/t Au, 104.28 g/t
Ag, and 1.34% Zn, from 159m
depth.
- Geology:
- The drill hole is located southeast of CHDH24-116 and
CHDH23-84, at distances of 116m and
84m, respectively. It intersects a
phreatomagmatic breccia with a matrix-supported intercalated with
dacitic porphyry dikes up to 126.0m.
This breccia contains a dacitic matrix with fragments of quartzite,
andesite, and dacitic porphyry, showing moderate advanced argillic
alteration. Sulphides, mainly pyrite (2%), are present in the
matrix and fragments, but no veins are observed.
- From 126.0m, the drill hole
intersects medium-grained dacitic porphyry with abundant quartz
eyes, exhibiting moderate phyllic alteration and occasional
advanced argillic alteration. Up to 7% sulphides are present,
predominantly pyrite, with minor tennantite and chalcopyrite.
Notable high-sulphidation veins with up to 50% sulphides (pyrite,
tennantite, sphalerite, galena, and chalcopyrite) are observed
between 225.0-228.0m and
364-370m, with high-grade copper
mineralization extending deeper. Sectors with high-grade Cu
mineralization, both disseminated and in stockwork, remain open at
depth.
CHDH24-106 was drilled with an orientation of 135°/-80°
to a depth of 851.0m:
- Significant Drill Intercepts:
- 325.0m @ 0.16% Cu,
698 ppm Mo, and 0.13 ppm Re, from 526m depth.
- Including 93.0m @ 0.09% Cu, 1292 ppm Mo, and 0.24
ppm Re, from 758.0m depth.
- Geology:
- This drillhole intersects a body of early dioritic porphyry,
with strong B veins and UST -type veins, with dominant molybdenum
(Mo) mineralization. This Mo mineralization is accompanied with
anomalous values of Re, which increase at depth.
Chinchillones Infill Drilling Program Update
MSA is continuing the Chinchillones infill drilling program over
a 2.5 square kilometres area to generate a maiden Mineral Resource
Estimate for the property. Since the start of the Earn-in
Agreement, now a joint venture with South32, a total of one hundred
twenty-four (124) drill holes, covering 79,148m, have been completed up to hole
CHDH24-124.
The infill drilling program comprises 27,084m of diamond drilling, distributed across
41 drillholes. A total of 13 drillholes totaling 9,838m (CHDH23-86 to CHDH23-98) were completed by
the end of 2023. An additional 26 drillholes, totaling 16,196.60m, have been completed as of the date of
this release. This brings the total to 26,034m completed to date in the Phase IV infill
program. The grid interval/hole spacing is currently set at
approximately 100-150m, with the
average depth of the planned drilling at approximately 800m.
Ongoing 2024 Roadmap Items:
- Flotation metallurgical testing at ALS Kamloops is ongoing.
These metallurgical tests are a prerequisite for a maiden Mineral
Resource Estimate on the Chinchillones polymetallic deposit
discovery.
- Terraspec, TIMA, micro-XRF, and QXRD mineralogical studies have
been completed on representative samples from the 2023 drillholes,
with ongoing data collection for drilling
carried out in 2024.
- Continuation of the remainder of the infill program of
approximately 17,650m, expected to be
completed by Q3 2024.
- Beginning in Q4 2024, progressing with new Exploration Targets
identified during geological mapping surveys completed in
2023.
- Completion of an NI 43-101 maiden Mineral Resource Estimate for
the Chinchillones deposit within the Chita Valley Project by the
end of Q4 2024.
Ramiro Massa, president & CEO
of Minsud, said: "Our team remains committed to advancing the
project through a comprehensive exploration program, focusing on
identifying and delineating high-grade mineral zones. We are
expecting our strategic approach to deliver tangible results and
position the Chita Valley Project as a leading exploration asset
within the province of San Juan. We will continue to provide
regular updates on our progress as we work towards achieving our
goal of establishing a robust mineral resource estimate. We are
excited about the future of the Chita Valley Project and its
potential to contribute to our company's growth and value
creation."
Quality Assurance/Quality Control
All core samples were submitted by MSA 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. MSA 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.
Qualified Person (QP) Statement
María del Carmen Muñoz Lizarve, P.Geo., VP Exploration of the
Company, is a Qualified Person (QP) as defined by Canadian National
Instrument 43-101. Ms. Muñoz has visited the property and has read
and approved the contents of this release.
* intervals reported in the above table are not true
thicknesses
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 sulphide
composition that conformed an outcropping porphyry system 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.
On April 5, 2024, Minsud and
South32 entered into a shareholders' agreement (the "Shareholders'
Agreement") to govern the management and operation of MSA which
will include further exploration and, if economically feasible and
agreed by the shareholders, the development and exploitation of the
Chita Valley Project. Pursuant to the Shareholders' Agreement, the
business of MSA will be to conduct the exploration of MSA's
properties and potential new properties in the immediate vicinity
of the existing properties, evaluate the possible development on
the properties, and take the necessary steps to develop, construct
and operate a mining operation on the properties. The
Shareholders' Agreement provides that the board of MSA be comprised
of 5 directors, 2 of which are nominated by Minsud and 3 are
nominated by South32. The board of MSA is responsible for
managing the affairs of MSA and the Chita Valley Project.
Minsud will not be obligated to contribute any amount to an
approved program and budget until the later of (i) the date on
which the aggregate of the South32 Initial Capital Contribution and
future amounts contributed and funded by South32 in respect of MSA
approved programs and budgets equals C$42
million and (ii) April 5,
2026.
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's shares are listed on the
TSX-V under the trading symbol "MSR", and on the OTCQX under the
symbol "MDSQF".
About South32 Limited
South32 Limited 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 Limited is trusted by its owners and
partners to realise the potential of their resources. South32
Limited produces commodities including bauxite, alumina, aluminium,
copper, zinc, lead, silver, nickel and manganese from its
operations in Australia,
Southern Africa and South America. The company also has a
portfolio of high-quality development projects and options, and
exploration prospects, consistent with its strategy to reshape our
portfolio towards commodities critical for a low-carbon future.
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.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Minsud Resources Corp.