Fredonia Mining Commences Maiden Mineral Resource Estimation on its El Dorado Monserrat Gold and Silver Project, Argentina Correction: In the Fredonia Mining Inc. announcement dated
CORRECTION:
Fredonia Mining Commences Maiden Mineral Resource
Estimation on its El Dorado Monserrat Gold and Silver
Project, Argentina
Correction:
In the Fredonia Mining Inc. announcement dated May 21, 2024, it was incorrectly stated
that Mr. Omar Salas would be remaining with the Company in an advisory role. The
complete corrected version follows.
The Company is preparing an initial mineral resource estimate at the El
Dorado Monserrat (“EDM”) project, targeted for release in Q3 of this
year.
The mineral resource estimate will be based on three drilling campaigns
carried out over the past three years, representing a total of 10,982.7
meters of diamond drilling, plus historical drillings of the project.
TORONTO, Ontario, May 28, 2024 – Fredonia Mining Inc. (“Fredonia” or the
“Company”) (TSXV:FRED) announces that it has commissioned the preparation of
an initial mineral resource estimate at the EDM project, targeted for Q3, 2024. The
work is being undertaken by the independent geologist Mario Alfaro and the
independent engineer Marco Alfaro.
The wholly-owned EDM gold and silver project comprises 5,793ha located in the
prolific Deseado Massif in Patagonia, Argentina. The EDM project has t wo large
mineralized sectors – the northern and southern sectors – that have been only partly
explored to date (Figure 1).
The northern “Monserrat” sector comprises an area 3.5 km long by 3.2 km wide,
made up of mineralized corridors hosted in andesitic lavas that form country rock,
and contains more than 20 kilometers of epithermal veins, not all of which have been
explored or drilled (Figure 2) . This sector contains a series of mineralized target
areas, including Main Veins, Bajo Pedernal, Monserrat West, Abanico, Gladys, and
Monserrat East, among others. Some significant drill results include: 6.0 m @ 14.43
g/t Au Eq. at Main Veins; 2.4 m @ 18.05 g/t Au Eq. at Monserrat West; 4.0 m @
2.42 g/t Au Eq. at Bajo Pedernal (see Fredonia news release, dated February 13th,
2023).
The southern “Mineralized Corridor” sector comprises an area 6.0 km long by
1.0 km wide, and including the advanced Herradura Hill target area; Beethoven
horst-epithermal veins (only scout drilling done so far); and Pamela target area (not
yet drilled).
The Herradura Hill target area consists of a maar -volcano-diatreme surrounded by
an extensive brecciated domes and dykes host system, the dimensions of which are
yet undefined - being geologically open in all directions (Figure 3). The latest work
has shown a new metallogenic interpretation at the Herradura Hill target area,
defined as flow domes and an epithermal veins complex with disseminated Au-Ag
mineralization with dimensions open in all directions. Drill holes confirm very broad
stockworks, wide hydrothermal breccias and veins hosted in a phreatomagmatic
breccias, felsic domes and dykes that intrude the andesite flows that form the country
rock. Some significant drill intercepts include 8.00 m @ 6.00 g/t Au Eq., including
3.00 m @ 12.65 g/t Au Eq. (Figure 4) at the Herradura Hill target (see Fredonia
news release, dated January 31, 2023).
See notes to Figures 2 and 3 below for information with respect to the assumptions
used to calculate Au Eq.
All of these target areas remain open along strike and dip.
Following the release of its maiden mineral resource estimate, future drilling at the
EDM project would contemplate three objectives: shallow drilling designed to expand
mineralized zones; deep drilling to test high grade feeders; and additional drilling to
test new target areas at the project.
Estanislao Auriemma, CEO of Fredonia Mining expressed: "After extensive
drilling campaigns over only a portion of the EDM project over the past three years ,
we are very pleased with the scope and size of the mineralized target areas so far
discovered, and very much look forward to the project’s maiden resource estimate,
which we believe will confirm the excellent potential of our flagship project."
Figure 1: Map showing the location of the two mineralized zones at the El
Dorado Monserrat gold-silver project (5,793 ha licenses).
Figure 2: Map showing drill holes location and intercepts at the Northern
Monserrat sector:
(*) Reported interval lengths are down-hole widths and not true widths.
(**) Gold equivalent (“Au Eq.”) is calculated using metal prices of US$ 1,800/oz for Au and US$ 24/oz for Ag. The
equation used is: Au Eq g/t = Au g/t + (Ag g/t ÷ 75).
Au Eq assumes Au recovery of 90%. The limited metallurgical studies by Fredonia (selective Bottle rolls from Main
Veins material) have indicated high (>90%) recovery of gold in oxide material. The Cerro Vanguardia mine to the east
of EDM with similar mineralization reports recoveries in the high 90% for Au.
Mineralization
Figure 3 . Cross section showing drill holes location and intercepts at the
Herradura Hill target:
See Table of Intercepts in Fredonia NR dated January, 31st 2023.
(*) Reported interval lengths are down-hole widths and not true widths.
(**) Gold equivalent (“Au Eq.”) is calculated using metal prices of US$ 1,800/oz for Au and US$ 24/oz for Ag. The
equation used is: Au Eq g/t = Au g/t + (Ag g/t ÷ 75).
Au Eq assumes Au recovery of 90%. The limited metallurgical studies by Fredonia (selective Bottle rolls from Main
Veins material) have indicated high (>90%) recovery of gold in oxide material. The Cerro Vanguardia mine to the east
of EDM with similar mineralization reports recoveries in the high 90% for Au.
Figure 4: Drill core images of HDDH047 from 269 to 277m contains 8.00m
@ 6.00 g/t Au Eq. Including 3.00 m @ 12.65 g/t Au Eq from Herradura Hill.
See Table of Intercepts in Fredonia NR dated January, 31st 2023.
(*) Reported interval lengths are down-hole widths and not true widths.
(**) Gold equivalent (“Au Eq.”) is calculated using metal prices of US$ 1,800/oz for Au and US$ 24/oz for Ag. The
equation used is: Au Eq g/t = Au g/t + (Ag g/t ÷ 75).
Au Eq assumes Au recovery of 90%. The limited metallurgical studies by Fredonia (selective Bottle rolls from Main
Veins material) have indicated high (>90%) recovery of gold in oxide material. The Cerro Vanguardia mine to the east
of EDM with similar mineralization reports recoveries in the high 90% for Au.
Mr. Fernando Ganem, Professional Geoscientist, is a qualified person (“QP”) as
defined by Canadian National Instrument 43-101. Mr. Ganem visited the property
and has read and approved the technical contents of this release.
U
pdate to Management Team
Fredonia Mining Inc. is pleased to announce the appointment of Mr. Carlos Espinosa
as Chief Financial Officer of the Company, succeeding Mr. Omar Salas.
Mr. Espinosa is a mining executive with over 30 years of experience within Canadian
capital markets, international business development and commercial banking.
Among other positions, Mr. Espinosa was Fredonia’s CFO between 2016 to 2022,
during which period he was part of the management team that completed the RTO
resulting in the Company’s listing on TSXV, as well as subsequent equity financing
and acquisition transactions. During his career, he has also served as a Director and
Officer of other mining companies with international operations. Mr. Espinosa earned
an MBA from Kellogg School of Management at Northwestern University and a
Bachelor of Business Administration from UNAM - Universidad Nacional Autónoma
de Mexico.
The Company wishes Mr. Salas well in his future endeavours.
About Fredonia
Fredonia holds gold and silver license areas totaling approximately 18,000 ha. in the
prolific Deseado Massif geological region in the Province of Santa Cruz, Argentina,
including its flagship advanced El Dorado-Monserrat pro ject (approx. 5,793 ha.)
located close to AngloGold Ashanti’s 300,000 oz./yr Au-Ag Cerro Vanguardia mine,
the El Aguila project (approx. 9,100 ha.), and the Hornía project (approx. 3,000 ha).
For further information
Please visit the Company ’s website at www.fredoniamanagement.com or contact:
Estanislao Auriemma , Chief Executive Officer, Direct +5491149980623, Email:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in policies of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This press release contains certain “Forward-Looking Statements” within the
meaning of applicable securities legislation relating to the Company and the EDM
project, including statements regarding expectations with respect to preparing and
releasing a maiden resource estimate in Q3 2024 and the merits of the results
thereof, the prospectivity of the EDM project for gold and silver mineralization,
including the potential for metal recoveries from any mineral processing activity, and
the Company’s future expl oration plans. Words such as “might”, “will”, “should”,
“anticipate”, “plan”, “expect”, “believe”, “estimate”, “forecast” and similar terminology
are used to identify forward looking statements and forward-looking information.
Such statements and informati on are based on assumptions, estimates, opinions
and analysis made by the Company considering its experience, current conditions
and its expectations of future developments as well as other factors which it believes
to be reasonable and relevant. Forward-looking statements and information involve
known and unknown risks, uncertainties and other factors, including, without
limitation, the factors described in the Company’s filing statement dated June 22,
2021 available on SEDAR+ at www.sedarplus.ca under the heading “Risk Factors”
that may cause actual results to differ materially from those expressed or implied in
the forward-looking statements and information and accordingly, readers should not