AsiaBaseMetals Announces New Discovery of Anomalous Cobalt (0.58% Co) together with Zinc (up to 5.99%) and Manganese (up to 10.6%) from a Soil Geochemical Survey at the Gnome Property
AsiaBaseMetals Announces New Discovery of Anomalous Cobalt (0.58% Co)
together with Zinc (up to 5.99%) and Manganese (up to 10.6%) from a Soil
Geochemical Survey at the Gnome Property
VANCOUVER, British Columbia, Oct. 29, 2018 -- AsiaBaseMetals Inc. (the "Company") (TSX-V: "ABZ") is pleased to
announce the results from the 2018 exploration work program conducted on its 100% owned Gnome Project. The results
indicated anomalous values of cobalt, zinc, manganese, silver and other elements.
Of particular interest are the results of up to 5,812 parts per million (ppm) (0.58%) cobalt with six samples over 2000
ppm (0.20%) cobalt and 17 samples over 1,000 ppm (0.10%) cobalt, in addition to the results of up to 5.99% Zinc (Zn)
and up to 10.6% Manganese (Mn).
Highlights of 2018 soil and rock samples results:
Soil Sample Results – Highlights (Table -1 - below):
• Cobalt (Co) values up to 0.58% Co: values are in the range of 0.6 parts per million (ppm) to over 5,812 ppm (0.58%)
Co, where six samples are over 2,000 ppm (0.20%) Co and 22 samples are over 1,000 ppm (0.10%) Co.
• Zinc (Zn) values up to 5.99% Zn: values are from 10.5 ppm to 59,908 ppm (5.99%) Zn, where 69 samples are over
1,000 ppm (0.10%) Zn.
• Manganese (Mn) values up to 10.62% Mn: values are in the range of 6 ppm to over 106,223 ppm (10.62%) Mn, where
34 samples are over 1% Mn, and 54 samples are over 1,000 ppm (0.10%) Mn.
• Iron (Fe) values up to 51.84% Fe: values are in the range of 0.19% to 51.84% Fe, where 35 samples are over 40% Fe
and 75 samples are over 10% Fe.
• Nickel (Ni) values up to 0.82% Ni: values are in the range of 2.6 ppm to 8,255.8 ppm (0.82%) Ni where 38 samples
are over 1,000 ppm (0.10%) Ni.
• Molybdenum (Mo) values up to 0.04% Mo: values are in the range of 1.6 ppm to 429.29 ppm (0.04%) Mo, where nine
samples are over 100 ppm (0.01%) Mo.
• Copper (Cu) values up to 0.01% Cu: values are in the range of 0.81 ppm to 139.49 ppm (0.01%) Cu, where three
samples are over 100 ppm (0.01%) Cu.
• Barium (Ba) values up to 0.41% Ba: values are in the range of 1.4 ppm to 4,163.9 ppm (0.41%) Ba, where four
samples are over 1,000 ppm (0.01%) Ba
Rock Sample Results - Highlights (Table -2 - below):
• Grab rock samples results indicate cobalt values in the range of 0.8 ppm to 808 ppm (0.08%) Co, zinc 22.6 ppm to
9,839.5 ppm (0.98%) Zn, nickel 6.9 ppm to 819.9 ppm (0.08%) Ni, Manganese 14 ppm to over 10,000 ppm (over 1%)
Mn and iron 0.4% to over 40% Fe.
The 2018 sampling work was carried out on four (4) exploration areas of the Gnome Property where top soil has shown
limonitic and hematitic alteration with high nickel, cobalt, manganese and zinc mineralization. The four (4) areas, being Area
C (approximately 50,000 sq m area), Area D (approximately 60,000 sq m area), Area E (approximately 80,000 sq m area),
and Area F (approximately 2,500 sq m area), together with Area A , Area B and Area C where exploration work was
performed previously, are shown below (see Figure 1).
Figure -1: Exploration Areas – A, B, C, D, E & F is available at
http://www.globenewswire.com/NewsRoom/AttachmentNg/262a993a-272c-4c64-bd0b-6503ccb9380e
The areas in between Area C and Area D (separated by 3 km distance), Area D and Area E (separated by 3 km distance), and
Area E and Area F (separated by 2 km distance) though not tested in the 2018 sampling program will be tested in due
course. The total sampled area in the current 2018 sampling program covered an approximate area of 192,500 sq meters,
where the mineralization is open in all directions along an eight-kilometer-long promising exploration belt in strike length.
Typically, these nickel-cobalt laterite deposits in other parts of the world, especially the deposits in the Democratic Republic of
Congo (DRC), range in thickness from 10-40 m. The Company will carry out subsurface exploration to investigate thickness of
this mineralization.
Raj Chowdhry, the founding director, Chairman, CEO and President stated , “We are excited about this cobalt discovery
alongside anomalous zinc, manganese, nickel and other elements. Although our zinc results are excellent and are
comparable to historical surface sampling data on the Gnome Property (the “Property”) and surrounding areas, we believe this
is the first time an exploration program in this area has shown high values of cobalt. The Company’s technical team is
considering various nickel-cobalt-zinc-manganese deposit models for planning further exploration work. These deposit models
include but are not limited to nickel-cobalt laterite deposits located in the Congo Copper Belt in DRC, and in some parts of
Brazil and Australia (US Geological Survey Open File Report 2017-1155).”
Historical work on the property was mostly focused on Areas A, B, and C. Surface soil alteration in these areas (Areas A, B,
and C) is lateritic nickel-cobalt types (with additional zinc and manganese). The results of 2008 and 2012 soil sampling
indicate cobalt 0.4 ppm to 1,840 ppm (0.98%) Co, zinc 20 ppm to 46,900 ppm (4.69%) Zn , nickel 7 ppm to 5,490 ppm
(0.0.55%) Ni, manganese 10 ppm to 63,800 ppm (6.38%) Mn, and copper 8 ppm to 2,900 ppm (0.0.29%) Cu. Similarly, the
results of (2008 & 2012) grab rock samples indicate cobalt 0.2 ppm to 871 ppm (0.08%) Co, zinc 10 ppm to 22,600 ppm
(2.26%) Zn , nickel 2.2 ppm to 1,160 ppm (0.0.12%) Ni, manganese 17 ppm to 11,600 ppm (1.16%) Mn , lead 1.2 ppm to
13,850 ppm (1.385%) Pb, and copper 1.9 ppm to 2,740 ppm (0.27%) Cu.
Quality Assurance and Quality Control (QA/QC).
A total of 123 soil / sediment samples and 34 grab rock samples were collected from four selected exploration areas (Areas C,
D, E & F) in the 2018 exploration work program. This sampling also included 10% field duplicates as part of Quality Assurance
and Quality Control (QA/QC) program. All samples were recorded as to location (UTM - NAD 83), sample type (grab,
composite grab, chip, soil, silt etc.), exposure type (outcrop, subcrop, float, etc.), lithology, colour, texture and grain size. For
the Soil Sampling work, conventional soil samples were collected from the B-horizon (being generally below vegetation)
wherever possible. Silt samples were collected from active creeks whenever possible. All samples shipped to ACME
Analytical Laboratories (Bureau Veritas) in Vancouver were assayed using laboratory (Acme) analytical codes: AQ252-EXT for
rock samples, and AQ252 for soil / silt samples. Eight samples for cobalt and several samples for other elements were found
to be over the laboratory’s method detection limit and were re-assayed using laboratory’s method MA270). Grab samples are
selected samples and are not necessarily representative of the mineralization hosted on the property.
Afzaal Pirzada, P.Geo., a Consultant to the Company, is an Independent Qualified Person for the purposes of NI 43-101 and
has reviewed, verified and approved the information of a scientific or technical nature contained in this news release.
About Gnome Project.
The Gnome Project, 100% owned by AsiaBaseMetals Inc., encompassing approximately 5,868 hectares (12 mineral claims in
the heart of an area that is home to both the Cirque and the Cardiac Creek Deposits) is located 35 kilometers SE along trend
from Teck Resources Limited (“Teck”) & Korea Zinc’s (“KZ”) joint ventured (“T-KZ JV”- 50% each) Cirque deposit and 15 km
south east from the Cardiac Creek deposit (ZincX Resources Inc.). The Cirque deposit, the Cardiac Creek deposit, Pie, Cirque
East and Yuen properties, the Cirque Property and the Gnome property are all in in the same geological belt, NE of Williston
Lake, in north western British Columbia, Canada, within a north-northwest-south-southeast-oriented geological trend in the
southernmost part (Kechika Trough) of the regionally extensive Paleozoic Selwyn basin. The Selwyn basin is already
recognized as one of the most prolific sedimentary basins in the world for the occurrence of sedex zinc-lead-silver and
strataform barite deposits discovered in the heyday of northern B.C., Canada, Pb-Zn-Ag exploration (late 1970s and early
1980s). On June 20, 2018, ZincX announced results of a preliminary economic assessment (“PEA”) of the Cardiac Creek
deposit (hosted within the Akie project).
About AsiaBaseMetals Inc.
AsiaBaseMetals Inc., a mining company led by an experienced and successful business and mining team, is prudently
advancing its 100% owned Gnome Project (Cobalt / Zinc) and its 100% owned Jean Project (Iron Ore) in world-class mining
districts in Canada, one of the safest and mining friendly jurisdictions in the world. In addition, the Company is seeking to
further diversify its portfolio, with special attention directed to advanced acquisition targets in the Americas, Asia and Africa for
base metals [Copper (Cu)], alkali metals [Cobalt (Co) / Lithium (Li)] and precious metals [Gold (Au) / Silver (Ag)]. The
Company is in an advanced stage of reviewing additional mining projects for acquisition in Asia in the gold and Lithium
sectors.
The Company intends to retain commodity focus as projects are identified and acquired by plan of arrangement spin-out
transaction(s) in the same manner as when AsiaBaseMetals Inc. was originally formed.
Highlights of the Soil & Rock Samples Analytical Results
(from 123 soil/sediment & 34 grab rock samples – 2018 exploration work program)
are shown on the next page – see Table 1 and Table 2
Highlights of Soil & Rock Samples Analytical Results (2018) –Table 1 & Table 2
Table 1: Highlights of Soil Samples Analytical Results – Gnome Project (AsiaBaseMetals Inc.)
Sample ID
Location NAD 83
Zone 10 Area
Method AQ252 / MA270
Analyte Mo Cu Zn Ag Ni Co Mn Fe Ba
Unit PPM PPM PPM PPB PPM PPM PPM % PPM
MDL 0.01 0.01 0.1 2 0.1 0.1 1 0.01 0.5
Easting Northing Type
GN18-001
S 407110 6337869 F Soil 3.15 2.95 26260 28 8256 5812 106223 33.5 475.6
GN18-002
S 407123 6337844 F Soil 42.83 7.31 9609 95 632.4 147 817 48.31 167.6
GN18-050
S 410366 6339314 E Soil 39.34 45.74 56010 113 4294 803 29048 32.6 320
GN18-051
S 410366 6339314 E Soil 32.96 44.37 59908 80 4371 826 30223 32.78 317.2
GN18-055
S 410389 6339298 E Soil 147.4 55.02 23584 326 3359 550 16665 27.53 439.2
GN18-056
S 410359 6339299 E Soil 53.99 40.21 32321 396 2979 491 16051 22.45 395.5
GN18-106
S 407445 6341612 D Soil 5.78 4.02 8509 98 2410 1980 28414 43.16 399.5
GN18-108
S 407442 6341588 D Soil 11.52 6.96 10789 96 3917 2033 43291 39.18 812.6
GN18-109
S 407459 6341590 D Soil 6.47 3.04 9314 79 2952 2148 32624 43.03 638.4
GN18-110
S 407481 6341597 D Soil 8.66 14.02 5136 220 1773 1959 35659 38.51 748.5
GN18-111
S 407491 6341602 D Soil 8.36 43.57 5666 601 1877 1451 29382 35.82 938.8
GN18-112
S 407491 6341602 D Soil 8.34 46.41 5649 639 1862 1534 30213 35.23 948.6
GN18-113
S 407502 6341575 D Soil 3.79 10.63 5212 164 2141 2113 44377 39.11 800.4
GN18-115
S 407455 6341569 D Soil 11.31 3.11 10994 67 3692 2185 40220 41.94 725.5
GN18-117
S 407501 6341536 D Soil 5.79 13.83 12339 136 4204 3234 60582 38.67 1315.5
GN18-118
S 406042 6345118 C Soil 41.7 8.62 28374 171 2515 1926 38126 40.34 444.1
GN18-119
S 405973 6345173 C Soil 33.47 91.48 4112 3109 552.3 1265 18519 37.55 488.1
GN18-120
S 406098 6345036 C Soil 109.2 18.62 17752 1914 2237 1817 36315 30.71 677.8
GN18-121
S 406097 6345060 C Soil 89.29 21.51 10596 2326 1670 1276 28757 18.27 4094.6
GN18-123
Set 406062 6345097 C Soil 74.22 19.79 15954 1482 1801 1372 25423 36.17 2314.5
Table 2: Highlights of Rock Samples Analytical Results– Gnome Project (AsiaBaseMetals Inc.)
Sample ID
Sample Location
NAD 83 Zone 10 V Area
Method AQ252
Analyte Mo Cu Zn Ag Ni Co Mn Fe Ba
Unit PPM PPM PPM PPB PPM PPM PPM % PPM
MDL 0.01 0.01 0.1 2 0.1 0.1 1 0.01 0.5
Easting Northing Type
GN18-002 R 407116 6337849 F Rock 174.18 21.2 4378.7 98 210.2 22.8 231 >40.00 136.2
GN18-003 R 407123 6337844 F Rock 32.03 23.73 4659.3 136 293.3 30.3 128 38.68 153.8
GN18-015 R 407358 6341749 D Rock 6.31 420.73 1917.1 25 82.5 6.7 73 >40.00 1
GN18-025 R 407439 6341617 D Rock 6.27 2.21 6824.6 22 169.4 30.7 210 >40.00 11.1
GN18-026 R 407481 6341597 D Rock 22.49 3.78 5821.5 56 819.9 808.3 >10000 >40.00 322
GN18-029 R 407437 6341625 D Rock 9.69 1.73 9839.5 16 654.2 412.6 5396 >40.00 63.8
GN18-030 R 407437 6341625 C Rock 15.33 2.08 6606.7 21 206.8 43.7 342 >40.00 22.5
For more information please email [email protected].
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.
The ZincX PEA referred in this news release is considered preliminary in nature and includes inferred mineral resources that
are considered too speculative geologically to have the economic considerations applied to them that would enable them to be
categorized as mineral reserves. Mineral resources that are not mineral reserves have not yet demonstrated economic
viability. Due to the uncertainty that may be attached to mineral resources, it cannot be assumed that all or any part of a
mineral resource will be upgraded to mineral reserves. Therefore, there is no certainty that the results concluded in the ZincX
PEA will be realized. Mineralization hosted on the Cirque and Cardiac Creek (Akie Project) Properties is not indicative of the
mineralization hosted on the Company’s Gnome Zinc Project at its current stage of exploration.
Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release, including statements
regarding the intention to acquire advanced acquisition targets via plan of arrangement spin out transactions and the
exploration plans and the advancement of the Company’s Gnome Project, may constitute "forward-looking information" within
the meaning of Canadian securities legislation. In making the forward-looking statements in this release, the Company has
applied certain factors and assumptions that the Company believes are reasonable, including that the Company will obtain the
necessary regulatory approvals and permits and any required financing. However, 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. Such uncertainties and risks include, among others, financing
risks, delays in obtaining or inability to obtain required regulatory approvals. There can be no assurance that such statements
will prove to be accurate, and actual results and future events could differ materially from those anticipated in such
statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company 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.
Contact Information
AsiaBaseMetals Inc.
Raj Chowdhry, Chief Executive Officer
Email: [email protected]