Jaguar Mining Announces Additional Near-Term Production Growth Opportunities and Corrego Brandão Project’s Auger Drilling Extends Key Intersection to 21.32 g/t Au over 12.8m
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
NEWS RELEASE
June 4, 2019 TSX: JAG
FOR IMMEDIATE RELEASE
Jaguar Mining Announces Additional Near-Term Production Growth Opportunities and
Corrego Brandão Project’s Auger Drilling Extends Key Intersection to 21.32 g/t Au over 12.8m
Toronto, June 4, 2019 – Jaguar Mining Inc. ("Jaguar" or the "Company") (TSX: JAG) is pleased to announce
additional near-term production growth opportunities have been identified following positive exploration results
at both the Turmalina and Pilar Gold mines. In addition, the recently announced Corrego Brandão Exploration
Project has continued Auger drilling which has resulted in an extension the Discovery Auger Hole intersection.
These opportunities are expected to support the Jaguar strategy for organic growth by filling the Company’s
operating processing plants to capacity.
Key Growth Opportunities
• Pilar: Access development in the lowermost operational level provides growth potential from
higher-grade BIF Hosted Mineralization within the Sao Jorge Syncline over a 40m strike length
• Turmalina: New potential fourth mining area based on a higher-grade shoot on Orebody B that
has bee n re-defined following recent exploration success at Orebody C -Central (refer news
release February 27 and May 14, 2019)
• Corrego Brandão Exploration Project: Discovery Auger Hole intersection extended to 21.32gt
Au over 12.8m (including 60.08 g/t Au over 3.0m) – refer table 1 from previously reported 38.71
g/t Au over 5.80 m (refer new release May 14, 2019)
Ben Guenther Inter im CEO, Jaguar Mining commented: “The exploration results highlighted today support
Jaguar’s organic growth strategy to double the Company’s gold production within five years by filling current
operating processing plants to capacity while also reducing unit costs.”
“Pilar initiated a program in 2019 to develop and drill the Sao Jorge, SW, Torre, and BA structures , which are
all close to mine infrastructure and have historical production. Exploration activities are focused on increasing
ounces/vertical-meter that will allow for increase d production rates and mining flexibility. Pilar has accessed
gold mineralization within the Sao Jorge Syncline, close to existing operational areas and the main ramp.
Intercept grades have ranged between 2.8 to 12.8 g/t. The Sao Jorge Structure was previously mined by open
pit and there is evidence that mineralization extends from surface to the deepest level currently being mined
approximately 800m vertically below.”
“Corrego Brandão has near-surface open pit potential to add feedstock to the Caeté processing plant. A shallow
auger and trenching program are well underway. The depth, thickness and grade of the intercept received to
date is very encouraging. Once completed, we will be positioned to fast track the evaluation and permitting
process while we fully evaluate the size and grade potential of the project.”
“At Turmalina, following successful results in Orebody C-Central earlier this year, a re-evaluation of Orebody B
identified an additional opportunity to increase near-term economic grade production from a possible forth mining
area. Orebody B can be accessed from existing Orebody A infrastructure. Development of Orebody B could
start to positively impact production from 2020 onward and supports our organic production growth strategy.”
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Jon Hill, Expert Advisor, Geology and Exploration, commented: “ We are pleased with encouraging results that
have identified additional opportunities to increase production growth. Lateral exploration at both the Pilar and
Turmalina Operations via both drilling and development continues to return positive results.”
“We have confirmed the extension of the previously un-exploited gold mineralization at Pilar within the Sao Jorge
Syncline from surface to the deepest operational levels in the mine. These results highlight the potential already
exhibited by the ongoing access and evaluation of the BA, Torre, and SW mineralization throughout the mine.”
“At Turmalina, the knowledge gained from detailed geological structural mapping progra ms, both in-mine and
more regionally on surface, enabled constrained plunge controls on high grade mineralization on an orebody ,
mine and regional scale. These constrained parameters have been applied to drill targeting and the re-evaluation
of existing dr illing and development channel sampling data with immediate success on the C -Orebodies and
now Orebody B.”
“Corrego Brandão Project results are highly encouraging, and we look forward to systematically exploring this
emerging new project as a priority as part of the company’s high-quality project pipeline.”
Pilar Exploration Highlights - Sao Jorge Syncline
• The Sao Jorge Syncline occurs some 150m west along strike within the same structure and BIF package
which hosts the currently exploited Pilar orebodies (BA, BF and BF2 which are associated with
antiforms). Please refer to figure 1A, 1B, 1C, 2, and 3.
• The Sao Jorge Syncline was previously exploited at surface via open pit by Jaguar early in the Pilar
Mine´s history but has to date not been exploited from underground. The structure hosting Sao Jorge
as well as the other currently defined and producing orebodies extends further west where the BIF
package is also mineralized along the trend known as SW.
• The Mineralization within the plunging Sao Jorge Syncline is similar in nature to the epigenetic BIF
hosted replacement style of mineralization seen in the antiformal related BIF hosted orebodies further
along strike, (BF2, BF and BA).
• Development channel sampling has been undertaken where the mineralized BIF has been partially
exposed over a strike length of some 40m with potentially economic grades and thicknesses reported.
Estimated average true widths for the mineralized BIF intersected in the development achieved to date
through the Sao Jorge Zone is 3-5m.
• Preliminary channel sampling and diamond drilling results are presented below in figure 4.
• The best channel sampling intersection result reported to date is 12.78 g/t Au over 3.04m (close to true
width).
• The best diamond drilling intersection sampling result reported to date is 11.22 g/t Au over 2.05m (partial
BIF intersection – true width unknown)
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Definitions: ETW – estimated true width, g/t Au – grams per tonne gold, m – metres, Grade (g/t Au) x Thickness
(m) = GM (gram – meters)
Figure 1A, 1B, 1C . Pilar Mine – Schematic Plan (A), Section (B) and Oblique (C) Views showing t he
relative geological settings and location of Pilar Orebodies BA, BF, BF2, Torre, SW and Sao Jorge.
Schematic map showing the main structures in the Pilar mine.
The Torre block that hosts the Torre mine ralization is thrust
over the Pilar domain.
Schematic cross section showing the main structures in the Pilar
mine and the BA, BF, and BF2 sequence of BIF hosted orebodies
within antiforms. At Torre mineralization is associated will fine
grained arsenopyrite disseminated with sericite-quartz schists.
1A 1B
1C
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 2. Pilar Long Section showing location of Sao Jorge Syncline at surface and close to 13 level
where it was intersected by development relative to the BIF Orebodies (BF2, BF, and BA).
Surface location of
Sao Jorge Syncline
SW’s and
São Jorge’s Orebodies
São Jorge Syncline
intersection location
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 3. Plan View showing the location of the Sao Jorge Syncline at Pilar Mine relative to the SW
trend, the BF2, BF and BA orebodies and current mine operational areas on levels 12- 13.
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 4. Plan showing development channel sampling, diamond drill hole location and assay results.
Turmalina Exploration Highlights – Orebody B
• The newly re-defined higher grade payshoot is plunge persistent and extends some 100m along strike,
some 750m in vertical extent, has an average width of 3-4m and an average grade of 4.5 g/t. The plunge
of the higher grade shoot approximates that of the Orebody A and Orebody C higher grade shoots.
• This area is being evaluated as potentially a forth, near term production area (2020) as the high grade
shoot is within 50-100m from Orebody A development from which it can be accessed and already has
existing ventilation infrastructure from prior mining activities. (refer news release May 28, 2019).
• Orebody B Measured Mineral Resources totaled 353 kt at 3.34 g/t containing 38,000 ounces and
Indicated Mineral Resources totaled 192 kt at 4.26 g/t containing 26,000 ounces at December 31, 2018.
Orebody B, which is outside the current mine plan and does not have Proven and Probable Reserves,
has the potential to provide increased mine flexibility and production capability in 2019. (Refer to the
Press Release dated March 1, 2019 for more information on Mineral Reserves and Mineral Resources.)
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 5A and 5B. Plans showing relative location of Turmalina Orebodies A, B, and C-SE, C-Central and
C-NW at surface, and Orebody Wireframes projected to surface.
5A
5B
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JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 6A and 6B. Long Sectional Grade Block Model (A) and Grade – Thickness Views (B) of Orebody
B showing position and extent of higher grade shoot and plunge control direction.
Figure 7A and 7B. Plan view of Turmalina showing the position of Orebody B relative to Orebodies A
and C, C-SE, C-Central and C - NW and possible mining access options from development relative to
Orebody A. Figure 7A shows mine development at level 3 showing the proximity of Orebody B to
Orebody A and showing location of ventilation raises on both orebodies. Figure 7B shows a closer view
of the position of Orebody B in the hanging wall to and relative to Orebody A and showing a potential
access drift position from Orebody A to Orebody B
6A 6B
7A
7B
Orebody B
Orebody A
Access for B
Development
150 – 200m