Recent Infill Drilling at Ivanhoe Electric’s Santa Cruz Copper Project in Arizona Identifies New High-Grade Soluble Copper Mineralization and Continues to Validate Mineral Resource Model Infill Drill Hole SCC-057 Intersected 78.0 Meters Grading 1.97%
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@robert_ivanhoe
@ivanhoeelectric
www.ivanhoeelectric.com
June 14, 2023
Recent Infill Drilling at Ivanhoe Electric’s Santa Cruz Copper Project
in Arizona Identifies New High-Grade Soluble Copper Mineralization
and Continues to Validate Mineral Resource Model
Infill Drill Hole SCC-057 Intersected 78.0 Meters Grading 1.97%
Copper, Including 50.8 Meters Grading 2.60% Copper
Santa Cruz Initial Assessment Remains on Schedule for Completion
by End of Q3 2023
PHOENIX, ARIZONA – Ivanhoe Electric Inc. (NYSE American: IE; TSX: IE) Executive
Chairman Robert Friedland and President and Chief Executive Officer Taylor Melvin are
pleased to provide an update on the drilling operations underway at the Santa Cruz
Copper Project, located west of Casa Grande, Arizona. Ivanhoe Electric controls private
surface land, the patented mineral rights and the associated water rights encompassing
the entire Santa Cruz Project (refer to Ivanhoe Electric’s May 24, 2024, news release).
Mr. Friedland commented: “Our hardworking team of women and men have been
making steady progress at the Santa Cruz Copper Project, uncovering high-grade
copper mineralization in areas that were previously unknown and expanding our
technical knowledge in underground areas near conceptual development. We remain on
track to deliver an important Initial Assessment of the Project by the end of Q3 2023.
This first detailed study will provide us with valuable insights into the economic
potential at Santa Cruz, moving us closer to building a modern, underground copper
mine in Arizona. By doing so, we are aiming not only to support United States supply
chain independence for electric metals but also create quality jobs for Arizonans.”
Mr. Melvin commented: “We continue to advance our understanding of the Santa Cruz
copper discovery through our extensive drilling program. Our ongoing infill and
geotechnical drilling have provided us with important information about the geologic
features that control high-grade copper mineralization and rock mechanics. This
knowledge plays a vital role in the preparation of our Initial Assessment. Our Q3
activities will include large-diameter pump tests that will further support our
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understanding of the hydrogeology of the Santa Cruz Project. With the continued
success of our drilling campaigns, the completion of our large surface land acquisition
in May and the continued advancement of our Initial Assessment, we are excited about
the future at Santa Cruz.”
Infill Drilling Continues to Support the Current Mineral Resource Model
The infill and development drilling program continues to characterize key geotechnical,
hydrogeological and metallurgical characteristics of the Santa Cruz Deposit. Multi-
purpose infill and development drill holes, not previously included in the December 31,
2022, Mineral Resource Estimate, have intersected high-grade copper oxide and
chalcocite mineralization, some in areas where copper mineralization was previously
undefined.
Drill hole SCC-125 targeted definition and expansion of the high-grade Exotic Copper
Domain in the current Mineral Resource Estimate and intersected visible atacamite,
chrysocolla, and chalcocite mineralization starting at a downhole depth of
approximately 586 meters.
Drill hole SCC-136, located in the northwestern region of the Santa Cruz Deposit,
targeted a mineralized and resource controlling fault, but also intersected visible copper
oxide and chalcocite mineralization starting at a downhole depth of approximately 432
meters in an area undefined by previous drilling.
These recent intersections continue to demonstrate and provide valuable insights into
the extent and consistency of the mineral resource and areas for potential additions.
The assay results for drill holes SCC-125 and SCC-136 are pending.
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Macro photo of a core sample from Santa Cruz Deposit drill hole SCC-125 at
654.41 meters depth showing an extraordinary specimen of deep green atacamite
mineralization (a leachable mineral that is approximately 60% copper by weight)
within an open fracture.
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Core sample from Santa Cruz Deposit drill hole SCC-136 at 587.77 meters depth
showing steely-gray chalcocite (a leachable mineral that is approximately 80%
copper by weight) mineralization along a vein.
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Macro photo of a core sample from Santa Cruz Deposit drill hole SCC-136 at
522.00 meters depth showing brilliantly blue chrysocolla (a leachable mineral
that is approximately 30% copper by weight) with intergrowths of deep green
atacamite (a leachable mineral that is approximately 60% copper by weight)
mineralization within a fracture.
Exploration and Step-out Drilling Supports the Texaco Ridge Exploration
Area for Potential Expansion
Texaco Ridge Exploration Area was previously identified by Ivanhoe Electric’s
proprietary Typhoon™ 3D Induced Polarization Survey (refer to Ivanhoe Electric’s
September 15, 2022, news release). Exploration drilling at Texaco Ridge has
methodically stepped out from mineralization intersected in drill hole SCC-122 (refer to
the map below).
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Drill holes SCC-129 and SCC-133, located approximately 200 meters to the southeast
and northeast of drill hole SCC-122, respectively, intersected visible copper oxide,
chalcocite and chalcopyrite mineralization. These observations support geologically
consistent mineralization between these drill holes and the Texaco Mineral Resource
located to the northeast. Both the Texaco Ridge Exploration Area and Texaco Deposit
remain open for expansion in multiple directions, and exploration drilling will continue
to leverage our proprietary Typhoon™-generated datasets for efficient targeting. Assay
results from recent drilling at Texaco Ridge are pending.
Core sample from Texaco Ridge drill hole SCC-129 at 527.16 meters depth
showing Oracle Granite with strong mineralization of deep green atacamite (a
leachable mineral that is approximately 60% copper by weight) in fractures and
disseminations and weak red iron oxide in fractures.
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Map showing drilling locations at the Santa Cruz Copper Project, Arizona
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Highlighted drill intercepts not previously disclosed from the Santa Cruz Project
Area (Assays for drill holes SCC-122, SCC-125, SCC-129, SCC-133 and SCC-136 mentioned
above are pending. Refer to the Santa Cruz Drill Results page on Ivanhoe Electric’s website for
complete details of all reported drill holes.).
DRILL HOLE LOCATION FROM
(M)
TO
(M)
INTERVAL
LENGTH
(M)
TOTAL
COPPER
(%)
TOTAL
SOLUBLE
COPPER
(%)
SCC-025 Santa Cruz 613.5 669.0 55.5 2.57 2.46
Including 624.0 661.0 37.0 2.99 2.86
SCC-026 Santa Cruz 462.0 540.0 78.0 1.97 1.77
Including 485.0 499.0 14.0 3.34 3.08
Including 508.0 521.0 13.0 3.59 3.18
SCC-053 Santa Cruz 559.4 598.0 38.7 1.90 1.82
SCC-054 Santa Cruz 519.0 559.0 40.0 2.25 2.22
SCC-056 Santa Cruz 599.0 640.9 41.9 2.35 2.10
Including 613.0 628.0 15.0 2.88 2.51
Including 633.0 640.9 7.9 3.18 2.85
SCC-057 Santa Cruz 627.0 705.0 78.0 1.97 1.91
Including 627.0 677.8 50.8 2.60 2.55
Including 639.0 667.7 28.7 3.30 3.22
SCC-068 Santa Cruz 569.0 625.0 56.0 1.63 1.55
Including 577.8 589.0 11.2 3.31 3.16
And 630.0 698.0 68.0 1.83 1.82
Including 630.0 667.0 37.0 2.45 2.42
*Total Soluble Copper is the calculated summation of all soluble copper derived from the sequential copper analysis suite.
*Reported intervals at the Santa Cruz Deposit are calculated at a cut-off grade of 0.70% total copper.
*Results are core intervals and may not be true widths but are believed to be representative of actual drill thicknesses.
*Some rounding errors may occur.