Canasil Intersects 1.85 Metres with 5.49 g/t Gold and 432 g/t Silver (876 g/t AgEq*)
Suite 1760 – 750 West Pender Street
Vancouver, BC
Canada V6C 2T8
Tel: 604-708 3788
Fax: 604-708 3728
Email: [email protected]
NEWS RELEASE TSX-V: CLZ
January 27, 2022 www.canasil.com
Canasil Intersects 1.85 Metres with 5.49 g/t Gold and 432 g/t Silver (876 g/t AgEq*)
Including 8.83 g/t Gold and 706 g/t Silver (1,411 g/t AgEq*) over 0.60 Metres
at the Nora Project, Durango, Mexico
Vancouver, Jan. 27, 202 2 - Canasil Resources Inc. (TSX-V: CLZ , DB Frankfurt: 3CC, “Canasil” or the
“Company”) announces results from three drill holes, NRC-21-13 to NRC-21-15, completed in Nov./Dec. 2021
on the Candy vein at the Nora silver-gold project in north-central Durango State, Mexico. Core drill hole NRC-
21-13 targeted the Candy vein structure approximately 60 metres (‘m’) down dip below NRC-21-09, and drill
holes NRC-21-14 and NRC-21-15 tested a new step out section 60 m north along strike from drill holes NRC-
21-06 and NRC -21-09. All th ree drill holes intersected wide altered zones hosting the main Candy vein
structure and a separate footwall vein all returning gold and silver values consistent with previous drill holes.
Drill hole NRC-21-13 returned particularly high gold and silver grades, as detailed in the table below:
Nora Silver-Gold Project, Durango State, Mexico – 2021 Candy Vein Drill Results NRC-21-13 to NRC-21-15
Vein/Structure From To Width TW Gold Silver Copper Lead Zinc Ag. Eq.*
m m m m g/t g/t % % % g/t
Core Drill hole NRC-21-13
CANDY VEIN 295.20 299.00 3.80 3.46 2.96 241 0.15 0.02 0.21 489
INCLUDES 297.15 299.00 1.85 1.69 5.49 432 0.15 0.01 0.22 876
INCLUDES 297.15 297.50 0.35 0.32 9.69 530 0.33 0.02 0.25 1,323
AND 297.50 298.10 0.60 0.55 8.83 706 0.17 0.02 0.23 1,411
CANDY FW 303.00 304.00 1.00 0.91 2.12 199 0.00 0.01 0.01 363
Core Drill Hole NRC-21-14
CANDY VEIN 217.30 218.90 1.60 1.43 2.13 164 0.09 0.12 0.14 340
INCLUDES 217.90 218.90 1.00 0.85 2.14 207 0.06 0.04 0.12 381
CANDY FW 227.20 227.95 0.75 0.67 1.40 181 0.01 0.03 0.14 290
Core Drill Hole NRC-21-15
CANDY VEIN 185.15 186.85 1.70 1.54 2.21 211 0.06 0.03 0.21 390
INCLUDES 186.00 186.85 0.85 0.75 2.34 213 0.02 0.03 0.21 394
CANDY FW 210.00 210.50 0.50 0.45 2.73 83.70 0.00 0.04 0.13 296
*Silver Equivalent calculated based on metal prices below and assuming equivalent recoveries for all metals
Au US$ 1,850/Oz, Ag US$ 23.87/Oz, Cu US$4.40/lb, Pb US$ 1.07/lb, Zn US$ 1.63/lb; Pb & Zn less than 1% not included
The intercepts in core drill hole NRC-21-13 confirm the continuity of the high gold and silver grades to depth
in the Candy vein structure, and NRC-21-14 and NRC-21-15 confirm the strike extension of the vein structure
to the north. The Candy vein structure remains open in both directions along strike and to depth for continued
drill testing, and the low base metal values in these drill intercepts suggest drilling to date is still in the higher
levels of the system.
Canasil President and CEO, Bahman Yamini, commented: “The results from the second 2021 drill program on
the Candy vein at Nora are consistent with previous drill holes with high gold and silver grades from multiple
mineralized bands within a wide altered structure. The Candy vein structure remains open for expansion along
strike an d to depth , and with additional strong widespread geochemical anoma lies still to be tested
throughout the project area at Nora suggest the potential for a significant gold-silver mineralized system.”
Canasil Resources Inc.
News Release, Jan. 27, 2022 page 2/4
To date, the Candy vein structure has been tested with six core drill holes in 2020, NRC-20-01 to NRC-20-06,
and seven drill holes in 2021 , NRC-21-09 to NRC-21-15, which have all cut the vein structure returning gold
and silver mineralization over a strike distance of 500 m of the potential 3-kilometre strike, and to a depth of
250 m below surface. These core drill holes have confirmed very high gold and silver values within the central
175-metre mineralized panel, extending to a depth of 250 m. There has been no historical drilling at the Nora
project and the 2020 and 2021 drill programs are the first ever drill programs within the project area. The
consistently high gold and silver grades, together with the relatively low base metal values, confirm the upper
levels of a strong gold -silver mineralized system which is open for significant expansion along strike and to
depth.
The November-December 2021 drill program included three core drill holes, NRC-21-13 to NRC-21-15, for a
total of 892 m, targeted below NRC-20-06 and NRC-21-09 and on a new step out section to the north along
strike from these drill holes, as shown on the Candy vein long section below.
The drill program was implemented by the Company’s exploration team in Mexico under the direction of Eng.
Erme Enriquez (CPG). All core samples are logged and prepared at the Company’s core storage facility in
Durango, Mexico, and sent to ALS Laboratories in Zacatecas, Mexico, for preparation and then on to ALS
Global in Vancouver for gold and silver analyses by fire assay with an atomic absorption finish (“FA-AA”) on a
30 gram split, and for silver, copper, lead, zinc and trace elements by ICP analysis following digestion of 0.50
gram sample in aqua regia. Over limit silver and copper are assayed using an aqua regia digestion, followed
by ICP-AES or AAS finish, and over limit gold and silver assayed by gravimetric finish (Au-GRA21 and Ag-GRA-
21). The Company's QA/QC program includes inserting certified analytical standards and blanks into the
sample batches, and the subsequent diligent monitoring of results for quality analytical assurance.
The technical information herein has been reviewed and a pproved by Robert Brown (P. Eng.), a Qualified
Person as defined by National Instrument 43-101. Mr. Brown is a technical advisor to Canasil.
About Nora Silver-Gold-Copper-Zinc-Lead Project, Durango State, Mexico:
The Nora project is located approximately 200 km north -west of the City of Durango, with good access and
infrastructure. The geological setting is a Tertiary -aged volcanic flow -dome complex. Gold -silver
mineralization is hosted within two structurally-controlled epithermal veins, Candy and Nora. Mineralization
is typical of that found at many mines in the region, with gold and silver associated with galena, sulfosalt
minerals and lesser pyrite, sphalerite and chalcopyrite. There is evidence of some historical mining activity on
the Candy vein, which is exposed in discontinuous outcrops for over 900 metres. The fault structure hosting
the Candy vein has been traced for a distance of over 3 km. Samples of vein outcrop and mineral dumps from
the Candy vein returned significant gold, silver, copper, zinc and lead values. The second vein, Nora, is found
600 metres northeast of the Candy vein and can be traced for 230 metres with widths of over 9.0 metres.
Surface samples from this vein returned anomalous silver va lues associated with trace sulphides, with a
geochemical signature typical of the higher levels of epithermal vein systems in the region . The 2020 and
2021 drill programs are the first drill programs at the Nora project and have consistently returned encouraging
intercepts with high gold, silver and copper values from the Candy vein.
Historical systematic grid soil sampling over an area of 3 km by 2 km covering the Candy and Nora veins and
projected extensions, showed elevated silver, base metal (copper, lead and zinc) and pathfinder (antimony
and arsenic) values. The combination of the vein outcrops with large areas of anomalous silver and base metal
values in soil samples may indicate additional concealed mineral systems. Other major deposits in the region
include SSR Mining’s La Pitarrilla deposit located 50 km east of the Nora project.
Canasil Resources Inc.
News Release, Jan. 27, 2022 page 3/4
About Canasil:
Canasil is a Canadian mineral exploration company with a strong portfolio of 100% owned silver-gold-copper-lead-
zinc projects in Durango and Zacatecas States, Mexico, and in British Columbia, Canada. The Company’s directors
and management include industry professionals with a track record of identifying and advancing successful mineral
exploration projects through to discovery and further development. The Company is actively engaged in the
exploration of its mineral properties, and maintains an operating subsidiar y in Durango, Mexico, with full time
geological and support staff for its operations in Mexico.
For further information please contact:
Bahman Yamini
President and C.E.O.
Canasil Resources Inc.
Tel: (604) 709-0109
www.canasil.com
Neither 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 news release.
This news release includes certain statements that may be deemed to be “forward -looking statements”. All statements
in this release, other than statements of historical facts are fo rward looking statements, including statements that
address future mineral production, reserve potential, exploration drilling, exploitation activities and events or
developments. These statements involve known and unknown risks, uncertainties and other factors that may cause actual
results or events to differ materially from those anticipated in such forward -looking statements. Although the Company
believes the expectations expressed in such forward -looking statements are based on reasonable assumptions, s uch
statements are not guarantees of future performance and actual results or developments may differ materially from
those in the forward -looking statements. Factors that could cause actual results to differ materially from those in
forward-looking statem ents include, but are not limited to, changes in commodities prices, exploration successes,
continued availability of capital and financing, and general economic, market or business conditions. The reader is
referred to the Company’s filings with the Canad ian securities regulators for disclosure regarding these and other risk
factors. There is no certainty that any forward looking statement will come to pass and investors should not place undue
reliance upon forward-looking statements.
Canasil Resources Inc.
News Release, Jan. 27, 2022 page 4/4
Canasil Nora Silver-Gold Project, Durango, Mexico
Candy Vein Long Section - 2020 and 2021 Drill Intercepts