Vancouver, British Columbia – Arras Minerals Corp. (TSX-V: ARK) (“Arras” or “the Company”) is pleased to announce assay results from holes Bg21007 and Bg21008 from the ongoing exploration drill program at the Beskauga copper-gold deposit and surrounding area (“Beskauga” or the “Project”).
ARRAS MINERALS INTERCEPTS 1124.1 m @ 0.61% CuEq, INCLUDING
136.0 m @ 1.01 % CuEq AT BESKAUGA
October 19, 2022 TSX-V: ARK
Vancouver, British Columbia – Arras Minerals Corp. (TSX-V: ARK) (“Arras” or “the Company”) is pleased
to announce assay results from holes Bg21007 and Bg21008 from the ongoing exploration drill program
at the Beskauga copper-gold deposit and surrounding area (“Beskauga” or the “Project”).
Highlights:
Hole Bg21007 returned a significant intersection of 1,124.1 metres (“m”) of mineralization
grading 0.61 % copper-equivalent (“CuEq”) or 0.74 gram per tonne (“g/t”) gold-equivalent
(“AuEq”) (0.40 g/t gold (“Au”), 0.25 % copper (“Cu”), 1.7 g/t silver (“Ag”) and 28.2 ppm
molybdenum (“Mo”)) starting at 46.0 m from surface to end of hole.
o Including 136.0 m grading 1.01 % CuEq or 1.22 g/t AuEq (0.59 g/t Au, 0.46 % Cu, 3.4 g/t
Ag and 47.9 ppm Mo) from 50.0 m depth down-hole.
o Includes 70.0 m grading 1.40 % CuEq or 1.70 g/t AuEq (0.88 g/t Au, 0.61 % Cu, 4.6 g/t Ag
and 46.9 ppm Mo) from 87.0 m depth down-hole.
o And including 153.0 m grading 0.81 % CuEq or 0.98 g/t AuEq (0.55 g/t Au, 0.33 % Cu, 2.1
g/t Ag and 21.3 ppm Mo) from 457.0 m depth down-hole.
o And including 159.0 m grading 0.76 % CuEq or 0.92 g/t AuEq (0.56 g/t Au, 0.27 % Cu, 1.7
g/t Ag and 28.1 ppm Mo) from 897.0 m depth down-hole.
o The host diorite is continuously mineralized throughout the entire hole. Mineralization
remains open at depth with the hole ending in high grades up to 0.78% CuEq.
Hole Bg21008 returned an intersection of 568.7 m of mineralization grading 0.39 % CuEq or 0.47
g/t AuEq (0.23 g/t gold Au, 0.18 % copper Cu, 0.8 g/t Ag and 23.8 ppm Mo) starting at 41.9 m from
surface to end of hole.
o Including 192.7 m grading 0.59 % CuEq or 0.72 g/t AuEq (0.40 g/t Au, 0.24 % Cu, 1.0 g/t
Ag and 16.7 ppm Mo) from 286.3 m depth down-hole.
o And including 32 m grading 0.80 % CuEq or 0.97 g/t AuEq (0.31 g/t Au, 0.52 % Cu, 0.7
g/t Ag and 1.3 ppm Mo) from 504.0 m depth down-hole.
Diamond drilling is ongoing at Beskauga (Figure 1) and Beskauga South (Figure 2) with further
assay results expected in the coming months. In addition, a 20,000-metre shallow KGK drilling
program was initiated on the Company’s Beskauga and Stepnoi projects in September and is
expected to be completed by the end of November.
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Tim Barry, CEO, commented, “The Beskauga Project continues to produce thick, high grade, near surface
intercepts. Bg21007 successfully demonstrated the continuity of the copper-gold mineralization over 1-
kilometre vertical depth, with high-grade mineralization dipping to the SSW of the deposit and remaining
open at depth. Bg21008 demonstrates the presence of high-tenor quartz-magnetite-bornite-chalcopyrite
veins hosted within the potassic altered monzodiorite, suggesting that with continued drilling the margins
of this essentially undrilled intrusion could add significant volume to the Beskauga mineral resource
estimate which we published in March 2022.”
“In addition to Beskauga, we have also recently drill tested targets at “Beskauga South” [refer to Figure
2], located approximately 3.2 kilometres to the south of the Beskauga deposit. Visual confirmation of
sulphide mineralization in these holes demonstrates the size of the copper-gold mineralizing system in the
Beskauga area. This is further supported by the alteration footprint identified through our shallow KGK
drilling, which remains open in nearly all directions.”
A summary of the results announced in this news release is outlined in the table below.
Table 1. Summary table for holes Bg21007 and Bg21008.
Notes: Copper Equivalent (“CuEq”) grades reported for the drill holes at Beskauga were calculated using the following formula: CuEq % = Copper
(%) + (Gold (g/t) x 0.8264) + (Silver (g/t) x 0.0107) + (Molybdenum (ppm) x 3.3333). Gold Equivalent (“AuEq”) grades reported for the drill holes
at Beskauga were calculated using the following formula: AuEq g/t = Gold (g/t) + (Copper (%) x 1.2100) + (Silver (g/t) x 0.0129) + (Molybdenum
(ppm) x 4.0334). Assumptions used for the copper and gold equivalent calculations were metal prices of US$3.00/lb. Copper, US$1,700/oz Gold,
US$22/oz Silver, US$10/lb. Molybdenum, and metallurgical recoveries were assumed to be 100%.
Drill Program: In October 2021, Arras announced the start of the initial phase of a permitted 30,000-metre
diamond drill program targeting the extensions of the Beskauga deposit both laterally and at depth
(Figures 1 and 2). The drill program is being conducted under the Option to Purchase Agreement (“Option
Agreement”) executed on January 26, 2021, with Copperbelt AG (“Copperbelt”), a private mineral
exploration company registered in Zug, Switzerland.
Interval Au Cu Ag Mo Cu Eq Au Eq
Easting Northing RL From (m) To (m) (m) (g/t) (%) (g/t) (ppm) (%) (g/t)
588135 5739736 124 180 -70 1170.1 46 1170.1 1124.1 0.40 0.25 1.7 28.2 0.61 0.74
50 186 136 0.59 0.46 3.4 47.9 1.01 1.22
Includes 87 157 70 0.88 0.61 4.6 46.9 1.40 1.70
And includes 457 610 153 0.55 0.33 2.1 21.3 0.81 0.98
897 1056 159 0.56 0.27 1.7 28.1 0.76 0.92
587915 5739315 124 0 -70 610.6 41.9 610.6 568.7 0.23 0.18 0.8 23.8 0.39 0.47
225 264 39 0.36 0.19 1.0 34.8 0.50 0.61
286.3 479 192.7 0.40 0.24 1.0 16.7 0.59 0.72
504 536 32 0.31 0.52 0.7 1.3 0.80 0.97
571 580 9 0.36 0.46 1.3 8.3 0.77 0.94
And includes
Intersection
Hole_ID
Coordinates (UTM)
Azi Dip Hole depth
(m)
Bg21007
Includes
Bg21008
Includes
And includes
And includes
And includes
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In addition to testing the extents of the Beskauga deposit, the drill program is also targeting a series of
previously undrilled targets in the wider area. These wider targets are supported by both ground and
recently flown airborne geophysics, as well as in-situ geochemistry, derived using “KGK” drilling (a drilling
method akin to 'wet' reverse circulation drilling, that recovers a 1 to 3 m core sample from the top of the
underlying bedrock which is used by Arras to efficiently map lithology, alteration, and geochemistry across
the property beneath overburden).
For both the diamond and 2021 KGK drilling, Arras has been using the local company “Tsentrgeolsemka
LLP”. Arras has recently changed drilling contractors to “GRK Iskander Ltd” and mobilized a diamond drill
rig with the capacity to drill deeper holes, if required, as well as improved core orientation through triple
tube core barrel drilling. GRK Iskander Ltd is one of the leading drilling companies in Kazakhstan, with
clients including Rio Tinto, Kazzinc (Glencore), ESAN, and Kazakhmys. During 2021, Arras completed a
total of 385 KGK drill holes at Beskauga for a total of 19,526 metres. In September 2022, Arras initiated a
20,000-metre KGK drilling program at the Beskauga project and the neighboring Stepnoi exploration
licence using local company "KokshetauBurStroy LLP". The current KGK drilling program is expected to be
completed by the end of November. Tsentrgeolsemka LLP, GRK Iskander Ltd and KokshetauBurStroy LLP
are all independent of Arras.
Results of Bg21007 and Bg21008:
Bg21007: (see Figures 1, 3 and 4) was a step-back from hole Bg21001 (973.2 m of mineralization grading
0.82 % CuEq; for further information see our press release dated January 31, 2022 ), collared 75 metres
north of Bg21001 and drilled at an angle of 70o towards the south to a final depth of 1170.1 metres, where
it was terminated due to maximum depth capacity of the drill rig.. The hole was consistently mineralized
through to the end-of-hole, with mineralization remaining open at depth, ending in high-grade
mineralization up to 0.78 % CuEq. Together with the aforementioned Bg21001, and Bg21004 (1,120.4 m
of mineralization grading 0.60 % CuEq; for further information see our press release dated June 22, 2022),
hole Bg21007 demonstrates the continuity of the copper-gold mineralization to depth, now beyond one
kilometre vertical depth.
The mineralization observed in hole Bg21007 is hosted within a sodic (albite-hematite) altered diorite that
has been later overprinted by moderate, to very strong, argillic alteration. The argillic alteration consisted
of intense kaolinite-dickite-illite-smectite with local silicification down to a depth of 363 metres, before
transitioning to illite-smectite (confirmed by Arras using TerraSpec SWIR/NIR spectroscopy), decreasing
in intensity with depth. Mineralization occurs as a mixture of quartz vein, fracture-controlled zones and
hydrothermal breccias of tennantite, chalcopyrite, pyrite, magnetite (or hematite after magnetite) with
minor bornite and molybdenite locally (see Figure 7). Locally disseminated tennantite and/or pyrite occurs
as halos around quartz veining.
Bg21008: (see Figures 1, 5 and 6) was collared SE from hole Bg21005 (903.6 m of mineralization grading
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0.16% CuEq; for further information see our press release dated September 14, 2022 ) and drilled at an
angle of 70 o towards the north to a final depth of 610.6 metres. Bg21008 was designed to follow up on
the presence of bornite-rich quartz-magnetite veining observed near the monzodiorite-diorite contact in
historical holes drilled by Copperbelt AG. The hole started in mineralized diorite before the highly
magnetic, potassic-altered monzodiorite at a depth of 193.3 m. Moderate to strong argillic alteration
within the diorite comprises illite, kaolinite and smectite (confirmed by Arras using TerraSpec SWIR/NIR
spectroscopy). Locally strong silicification accompanies the highest-grade intercepts. Mineralization
within the diorite occurs as quartz vein, sulfide vein and fracture-controlled zones of tennantite,
chalcopyrite, pyrite, with minor bornite and covellite. Locally minor disseminated tennantite and pyrite
occurs.
The hole is inferred to have drilled into the southeastern contact of the monzodiorite intrusion, which
dips steeply towards the south. The monzodiorite forms an approximately 400 x 500 metre “bulls-eye”
circular magnetic high immediately west of the Beskauga deposit and is surrounded by a >500-metre zone
of demagnetization. Alteration within the monzodiorite comprises secondary (“shreddy”) biotite,
magnetite, k-feldspar, Mg-rich chlorite, and epidote, locally with weak argillic overprint comprising illite
and subordinate smectite localized around faults, fractures and proximal to the contact with the diorite
(confirmed by Arras using TerraSpec SWIR/NIR spectroscopy). Mineralization within the monzodiorite
occurs as quartz vein and fracture-controlled zones of magnetite, chalcopyrite, bornite, pyrite and
molybdenite with minor disseminated pyrite and chalcopyrite (see Figure 8). A dyke of post-mineral
potassic-altered xenolithic porphyritic diorite was intersected at depths of 266.4 to 286.3 m, hosted within
monzodiorite. A dyke of weakly argillic altered, post-mineral porphyritic andesite was intersected from
573.6 to 575 m, which had intruded along the upper contact of an earlier andesite dyke that is potassic-
altered and strongly mineralized (3.5 m grading 1.28 % CuEq) from 575 to 578.5 m, hosted within
monzodiorite. The hole ended in high-grade mineralization, with the final sample grading 0.69 % CuEq.
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Figure 1. Location of the holes completed to date as part of Arras’ planned 30,000-metre drill program on the Beskauga Main
deposit and wider area. The surface projection of the block model from the current NI-43-101 Mineral Resource Estimate is
shown for copper. The inset map shows the location of Beskauga Main relative to Beskauga South (see Figure 2).
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Figure 2. Location of the holes completed to date at the Beskauga South area, located approximately 3.2 kilometres SSW
from the Beskauga Main deposit, and outside of the current NI-43-101 Mineral Resource Estimate. The inset map shows the
location of Beskauga South relative to Beskauga Main.
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Figure 3. Cross-section showing hole Bg21007 in relation to several historical holes drilled by Copperbelt . Also shown are
grade contours based on the Beskauga block model for copper (only) developed for the purposes of the current Mineral
Resource Estimate for Beskauga (for further details, please see Arras’ press release on June 20, 2022). CuEq grades of key
intercepts in Bg21007 and historical holes are shown. The cross-section demonstrates the steep, southwest dipping high-grade
copper-gold-silver trend observed through Arras’ exploration to date. This trend is observed beginning at the paleo-bedrock
surface (43 m in depth), to average between 200-300 m wide and to be consistently mineralized down to at least 1,000 metres.
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Figure 4. Cross-section showing hole Bg21007 in relation to several historical holes drilled by Copperbelt. Also shown are
grade contours based on the Beskauga block model for gold (only) developed for the purposes of the current Mineral Resource
Estimate for Beskauga (for further details, please see Arras’ press release on June 20, 2022). AuEq grades of key intercepts in
Bg21007 and historical holes are shown. The cross-section demonstrates the steep, southwest dipping high-grade copper-gold-
silver trend observed through Arras’ exploration to date. This trend is observed beginning at the paleo-bedrock surface (43 m in
depth), to average between 200-300 m wide and to be consistently mineralized down to at least 1,000 metres.