Element 29 Further Confirms past Drill Results Used in Historical Copper Resource Estimate at Flor De Cobre
Element 29 Further Confirms past Drill Results
Used in Historical Copper Resource Estimate
at Flor De Cobre
Vancouver, British Columbia--(Newsfile Corp. - June 1, 2022) - Element 29 Resources Inc.
(TSXV:
ECU) (OTCQB: EMTRF)
("
Element 29
" or the "
Company
") announces results of three additional drill
holes from the recently completed 4,500 metre ("
m
"), twelve-hole drill program at the Flor de Cobre
Copper Project ("
Flor de Cobre
" or "
the Project
") located in southern Peru (
Figure 1
).
Steve Stakiw, Element 29's President and CEO comments, "These latest Flor de Cobre drill results
continue to demonstrate strong correlation with historical holes and adds confidence to our planned
initial mineral resource estimate which we expect to complete following the receipt of the remaining
results. Additionally, we have continued to encounter copper mineralization significantly deeper than in
the historical holes, which supports the potential for primary sulphide resources at depth."
Flor de Cobre Drilling Highlights
These additional holes continue to show excellent correlation with their respective historical holes.
The position and thickness of enrichment intersected by the twinned holes is similar to their
historical counterparts.
Drill hole FDC003 intersected 295.65 m of 0.38% copper ("
Cu
") including 46.95 m of 0.69% Cu
as oxides and 67.30 m of 0.46% Cu in the enriched sulphide zone followed by 145.50 m of 0.30%
Cu in the primary sulphide zone below.
Drill hole FDC004 intersected 164.60 m of 0.43% Cu including 37.45 m of 0.75% Cu in an
enriched sulphide zone followed by 127.15 m of 0.33% Cu in the primary sulphide zone below.
Drill hole FDC005 intersected 143.00 m of 0.34% Cu including 57.40 m of 0.46% Cu in an
enriched sulphide zone followed by 85.60 m of 0.26% Cu in the primary sulphide zone below.
The objectives of the current drill program are to verify the historical resource estimate of 57.4 million
tonnes of 0.67% Cu associated with a supergene enrichment blanket formed on the Candelaria porphyry
("
Candelaria
") and to explore for primary Cu sulphide mineralization underneath the enrichment blanket
to depths of over 500 m.
The source of the historical resource estimate is the report Rio Amarillo Mining Ltd. - Candelaria
Porphyry Copper Deposit, Arequipa, Peru, Mineral Reserve Estimate, 1996. This historical resource is
relevant to Flor de Cobre as it suggests supergene-enriched mineralization of interest may be present at
Candelaria. However, the Company cautions that the parameters, assumptions, and methods used to
calculate the historical estimate are unknown. Additionally, the historical estimate does not use resource
categories described in CIM Definition Standards for Mineral Resources and Mineral Reserves (2014).
It is also unclear what portion of this historical resource estimate is within the current Flor de Cobre
property configuration. A Qualified Person has not done sufficient work to classify the historical estimate
as a current mineral resource and it is unclear if the current work plan will confirm the resource. For these
reasons, the historical resource has not been verified by the Company and the Company is not treating
the historical estimate as a current mineral resource.
Table 1
. Results of drill holes FDC003, FDC004, and FDC005. Grades are length-weighted averages
of samples within the intervals shown.
Hole
From
(m)
To
(m)
Length
2
(m)
Cu
(%)
Mo
(%)
Ag
(ppm)
As
(ppm)
CuEq
1
(%)
FDC003
14.35
310.00
295.65
0.38
0.009
1.1
111
0.42
oxide
14.35
61.30
46.95
0.69
0.005
0.7
16
0.72
enriched
97.20
164.50
67.30
0.46
0.018
0.6
31
0.53
primary
164.50
310.00
145.50
0.30
0.005
1.3
197
0.33
FDC004
74.40
239.00
164.60
0.43
0.006
0.7
12
0.46
enriched
74.40
111.85
37.45
0.75
0.003
0.8
19
0.77
primary
111.85
239.0
127.15
0.33
0.007
0.7
10
0.36
FDC005
65.40
208.40
143.00
0.34
0.004
1.3
59
0.37
enriched
65.40
122.80
57.40
0.46
0.004
0.7
19
0.48
primary
122.80
208.40
85.60
0.26
0.004
1.6
86
0.29
1
Copper equivalent grades (CuEq) are for comparative purposes only. Calculations are uncut and recovery is assumed to be 100% as
metallurgical data is insufficient to allow for estimation of metal recoveries. Copper equivalence (CuEq %) is calculated as: CuEq (%) = Cu (%) +
[3.55 × Mo (%)] + [0.0095 × Ag (g/t)], utilizing metal prices of Cu - US$3.34/lb, Mo - US$11.86/lb and Ag - US$21.87/oz. Metal prices are based on
a 2-year average of monthly LME metal prices.
2
Intervals are downhole drilled core lengths. Drilling data to date is insufficient to determine true width of mineralization. Assay values are uncut.
The Company's drill program consists of approximately 4,500 m of diamond drilling centred on the
Candelaria porphyry complex
(Figure 2)
. A total of 2,180 m was allocated to twin nine historical drill
holes to verify the accuracy of existing historical geochemical assays and drill logs (
Table 3
). These nine
drill holes are interpreted to represent 70% of the Cu contained in the historical copper resource
estimate and potentially verify the assay results and provide the level of confidence needed for
completion of a planned resource estimate that meets CIM best practice guidelines. The first three drill
holes of the 2022 Flor de Cobre drill program included 349 m of 0.77% Cu, including 123 m of 1.42%
Cu (refer to
April 19, 2022
press release). The remaining 2,320 m in three drill holes was allocated to the
drill program will test the primary copper sulphide mineralization potential below the supergene
enrichment blanket to depths of more than 500 m.
Drill hole FDC003 was collared in an early phase of quartz monzodiorite porphyry belonging to the
Candelaria porphyry complex, as shown in Figure 3 and intersected 46.95 m of 0.69% Cu in an oxide
zone above a chalcocite-dominated enrichment zone returning 67.3 m of 0.46% Cu. Primary sulphide
mineralization with a pyrite-chalcopyrite assemblage extended beneath the enrichment zone and
returned 145.5 m of 0.30% Cu. Strong potassic alteration overprinted by sericite-pyrite alteration
continued to the end of the hole at 394 m.
FDC004 intersected the strongly potassic altered, early quartz monzodiorite porphyry through its entire
length. Chalcocite-dominated enrichment was encountered at 74.4 m below surface and returned 37.45
m of 0.75% Cu followed by 127.15 m of 0.33% Cu of primary sulphide. Locally elevated copper grades
are present in the broader primary sulphide interval (see Image 1).
The southern edge of the early quartz monzodiorite porphyry was cored by FDC005, which intersected
an enrichment zone of 57.4 m of 0.46% Cu followed by primary sulphides returning 85.6 m of 0.26% Cu.
Alternating intervals of early quartz monzodiorite porphyry, later quartz monzodiorite porphyry,
hydrothermal breccia, and sedimentary host rocks were intersected.
Comparison with Historical Data
The primary objective of the drilling program is to verify results from historical drilling, which was a
combination of core and reverse circulation drilling completed in the mid-1990's by Rio Amarillo and
Phelps Dodge. Materials from these drilling programs are unavailable and prevented a Qualified Person
from verifying copper geochemical results. Therefore, twinning selected holes is required to verify results
from historical drilling such that it can be used in future resource estimation. Furthermore, analysis of
other elements of interest such as molybdenum and silver were incomplete in the historical database.
Multi-element analysis from twinned holes provides an opportunity to investigate a possible economic
contribution of these constituents.
The third hole of the 2022 program (FDC003) twinned historical reverse circulation drill hole CAR-190,
FDC004 twinned historical reverse circulation hole CAR-189, and FDC005 twinned historical core hole
M-008. Results from the latest batch of holes were very similar to their historical twins both in Cu grades
and the position of the enrichment zone. Graphic representations of the twin and historical drilling results
are plotted in Figures 5 and 6.
Table 2.
Comparison of intervals from the historical drill holes CAR-190, CAR-189, and M-008 with
twinned holes FDC003, FDC004, and FDC005.
FDC003
CAR-190
From
To
Length
Cu%
From
To
Length
Cu%
Zone
14.35
230.00
215.65
0.42
12.00
230.00
218.00
0.47
Total
14.35
61.30
46.95
0.69
12.00
54.00
42.00
0.82
Oxide
97.20
164.50
67.30
0.46
88.00
160.00
72.00
0.52
Enriched
164.50
230.00
65.50
0.36
160.00
230.00
70.00
0.36
Primary
FDC004
CAR-189
From
To
Length
Cu%
From
To
Length
Cu%
Zone
74.40
207.00
132.60
0.44
76.00
208.00
132.00
0.39
Total
74.40
111.85
37.45
0.75
76.00
112.00
36.00
0.79
Enriched
111.85
207.00
95.15
0.31
112.00
208.00
96.00
0.24
Primary
FDC005
M-008
From
To
Length
Cu%
From
To
Length
Cu%
Zone
65.40
208.40
143.00
0.34
73.15
208.65
135.50
0.35
Total
65.40
122.80
57.40
0.46
73.15
127.00
53.85
0.48
Enriched
122.80
208.40
85.60
0.26
127.00
208.65
81.65
0.27
Primary
The Company continues to progress drill permitting on the Atravesado porphyry target ("
Atravesado
") in
preparation for initial drill-testing of a priority porphyry target supported by coincident outcrop geology,
surface geochemistry, and geophysical responses. Atravesado is located approximately 2 kilometres
("
km
") northwest of Candelaria and is a 1.5 km x 1.6 km circular zone characterized by outcropping
copper oxide mineralization in association with quartz vein stockworks and potassic alteration (
Figure
2
). Late-mineral porphyry dikes are also mapped within the target area.
Analytical Quality Control & Quality Assurance
Candelaria Resources S.A.C., a wholly owned subsidiary of Element 29 Resources Inc., supervises
drilling and carries out sampling of HQ and NQ core. Logging and sampling are completed at a secured
Company facility situated on the Flor de Cobre project site. Sample intervals are nominally 2 m long. Drill
core is cut in half using a rotary diamond blade saw and samples are sealed on site before
transportation to the ALS Peru S.A.C. sample preparation facility in Arequipa by Company vehicles and
staff. Prepared samples are sent to Lima by ALS Peru S.A.C. for analysis. ALS Peru S.A.C. is an
independent laboratory. Samples are analyzed for 35 elements using an Aqua Regia digestion and ICP-
AES analysis (ME-ICP41). Samples reporting over limits are analyzed by Aqua Regia digestion with
ICP-AES finish (ME-OG46). ALS meets all requirements of International Standards ISO/IEC
17025:2005 and ISO 9001:2015 for analytical procedures.
Element 29 employs an independent, internal quality assurance/quality control program that includes
insertion of duplicate, blank, and certified reference samples at the field site. The Company is not aware
of any drilling, sampling, recovery, or other factors that could materially affect the accuracy or reliability of
the data reported.
Qualified Person
The scientific and technical content of this press release has been reviewed and approved by Paul J.
Johnston (PhD, P.Geo), Vice President of Exploration for Element 29 and is a "Qualified Person" as
defined in National Instrument 43-101 Standards of Disclosure for Mineral Projects.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined
in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this press release.
Table 3
: List of twelve drill holes forming the 2022 Flor de Cobre drilling program. Nine of the twelve drill
holes are designed to twin historical drill holes. The coordinates, depth, orientation, and hole type of the
historical holes are shown. Drill holes FDC001 through FDC012 are complete, with results pending for
FDC006 through FDC012.
Hole ID
Hole ID
(historical)
East
North
Elev
(m)
Length
(m)
Azimuth
(degrees)
Dip
(degrees)
Historical Hole
Type
FDC001
K-008
245888
8148409
2776
350
0
-90
DDH
FDC002
CAR-188
245812
8148419
2800
256
0
-90
RC
FDC003
CAR-190
246004
8148314
2791
230
0
-90
RC
FDC004
CAR-189
245911
8148317
2793
208
0
-90
RC
FDC005
M-008
245894
8148213
2786
294
0
-90
DDH
FDC006
K-006
245719
8148358
2825
231
0
-90
DDH
FDC007
K-010
246086
8148405
2801
257
0
-90
DDH
FDC008
I-008
245937
8148571
2752
147
0
-90
DDH
FDC009
CAR-186
246212
8148415
2772
211
0
-90
RC
FDC010
NA
245610
8148517
2743
NA
210
-55
NA
FDC011
NA
246104
8148478
2789
NA
44
-55
NA
FDC012
NA
246004
8148314
2791
NA
300
-55
NA
Coordinates are in WGS84 zone 18S UTM
About Flor de Cobre
Flor de Cobre is a porphyry copper exploration project that contains the Candelaria and the recently
outlined Atravesado porphyry copper targets. The property is in the Southern Peru Copper Belt and is 5
km northwest of Nexa Resources' Chapi mine and 26 km southeast of the Cerro Verde mine owned by
Freeport-McMoRan, Sumitomo Metal Mining, and Compañía de Minas Buenaventura. Candelaria is a
classic Andean porphyry system with primary copper sulphide mineralization associated with a multi-
phase quartz monzonite porphyry complex. Weathering redistributed primary mineralization into a sub-
horizontal enrichment blanket containing secondary copper oxide and sulphide minerals at the base of a
hematitic leached cap. Remnants of the upper jarositic component of the leached cap overlying the
hematitic cap are preserved on the higher hill tops around the Candelaria prospect. Atravesado is a
porphyry copper exploration target located about 2 km northwest of Candelaria. An IP/Resistivity
geophysical survey completed in 2020 outlined a core of moderate resistivity measuring 1.5 x 1.6 km
that coincides with widespread copper oxide mineralization, strong copper geochemistry, and late-stage
quartz monzodiorite porphyry dikes. The resistive core is surrounded by a high-chargeability halo
corresponding with weathered quartz-sericite-pyrite alteration.
About Element 29 Resources Inc.
Element 29 Resources Inc. is an emerging copper exploration and development company focused on
advancing its portfolio of Peruvian projects towards development in one of the world's lower-risk mining
jurisdictions. Element 29's growth strategy is led by our strong board and management, who have a
proven track record of discovery and delivering significant value to our shareholders.
The Company's principal objective is to explore and develop its flagship Flor de Cobre porphyry Cu-Mo
project located in southern Peru, 26 km southeast from Freeport-McMoRan's Cerro Verde Cu-Mo mine.
At the same time, the Company intends to build on its potential copper inventory with continued
exploration of its Flor de Cobre project as well as its remaining 22,000 hectares of mining concessions
in Peru, including the recently discovered Elida porphyry copper-molybdenum-silver system located 85
km from the coast in central Peru. Both projects are well located for potential mine development and will
benefit from nearby infrastructure including roads, powerlines, ports, water, and a skilled workforce.
More information is available at
www.e29copper.com
.
For more information:
David Jan
Investor Relations
1-888-246-7881
Forward-Looking Statements
This press release contains certain forward-looking information and forward-looking statements within
the meaning of applicable Canadian securities legislation (collectively, "
Forward-looking
Statements
"). All statements, other than statements of historical fact, constitute Forward-looking
Statements. Words such as "will", "intends", "proposed" and "expects" or similar expressions are
intended to identify Forward-looking Statements. Forward-looking Statements in this press release
include statements related the Company's resource properties, and the Company's plans, focus and
objectives.
Forward-looking Statements involve various risks and uncertainties and are based on certain factors
and assumptions. 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. Important
factors that could cause actual results to differ materially from the Company's expectations include
uncertainties related to fluctuations in copper and other commodity prices, uncertainties inherent in the
exploration of mineral properties, the impact and progression of the COVID-19 pandemic and other risk
factors set forth in the Company's prospectus under the heading "Risk Factors". The Company
undertakes no obligation to update or revise any Forward-looking Statements, whether as a result of new
information, future events or otherwise, except as may be required by law. New factors emerge from time
to time, and it is not possible for Element 29 to predict all of them or assess the impact of each such
factor or the extent to which any factor, or combination of factors, may cause results to differ materially
from those contained in any Forward-looking Statement. Any Forward-looking Statements contained in
this press release are expressly qualified in their entirety by this cautionary statement
Figure 1.
Regional setting of the Flor de Cobre Project is in the Southern Peru Copper Belt, between
the Cerro Verde and Chapi mines. The project is at a moderate elevation of less than 2,700 m, is road
accessible, and is close to excellent infrastructure for mine development and operation.
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/7414/126041_3979ccc8649ada3e_001full.jpg
1
The source of the historical resource estimate is a press release issued by Rio Amarillo Mining Ltd.
dated November 15, 1996 (Rio Amarillo Mining Ltd., November 15th, 1996: Aija Property Drill Results).
This historical resource is relevant to Flor de Cobre as it suggests supergene-enriched mineralization of
interest may be present at Candelaria. However, the Company cautions that the parameters,
assumptions, and methods used to calculate the historical estimate are unknown. Additionally, the
historical estimate does not use resource categories described in CIM Definition Standards for Mineral
Resources and Mineral Reserves (2014). It is also unclear what portion of this historical resource
estimate is within the current Flor de Cobre property configuration. A Qualified Person has not done
sufficient work to classify the historical estimate as a current mineral resource, and it is unclear what
work might be required to confirm the resource. For these reasons, the historical resource has not been
verified by the Company and the Company is not treating the historical estimate as a current mineral
resource.
Figure 2.
Simplified geology map of the southeastern end of the Flor de Cobre concessions illustrating
the Candelaria porphyry complex. Drill hole locations of the 2022 drill program and historical drill holes
are shown. The positions of sections containing holes FDC003, FDC004, and FDC005 are indicated
with white dashed lines.
To view an enhanced version of Figure 2, please visit:
https://orders.newsfilecorp.com/files/7414/126041_3979ccc8649ada3e_002full.jpg
Figure 3.
Section A-A' showing the position of FDC003, which is twinning historical hole CAR-190. Both
holes were collared vertically. Both holes intersected Cu oxide mineralization within the leached capping
above the enriched sulphide zone.
To view an enhanced version of Figure 3, please visit:
https://orders.newsfilecorp.com/files/7414/126041_figure3.jpg