Kincora update on East TS exploration with drilling commenced at Bayan Tal
800–1199 West Hastings Street, Vancouver, BC V6E 3T5 Phone +1 604 283 1722 Fax +1 888 241 5996
Kincora update on East TS exploration
with drilling commenced at Bayan Tal
Phase 1 drilling at East Tsagaan Suvarga (“East TS”) completed for 3145 metres and 13
holes, with soil sampling analysis and initial follow up geophysics ongoing;
Drilling has been successful intersecting the Tsagaan Suvarga Intrusive Complex
(“TSIC”) at potential open cut depths and supporting a preserved down fault block(s);
Phase 1 drilling has started at the Bayan Tal target for approx. 2850 metres and 6
holes, with historic drilling on the margin returning 18 metres @ 0.66% Cu Eq
Vancouver, BC— October 12th, 2017
Kincora Copper Ltd. (the “Company”, “Kincora”) (TSXV:KCC) is pleased to announce first phase
drilling of porphyry copper targets has recently been completed at our East TS target and has
now commenced at our Bayan Tal target in the Southern Gobi, Mongolia.
The maiden drill program at the East TS target comprised 3145 metres for 13 holes, with 6 holes
intersecting the interpreted Devonian quartz monzodiorite of the TSIC, refer Exhibit 4. Visual
interpretation has deemed the drilling program at East TS a “technical success” having
intersected a felsic intrusive at or around target depth and providing geological information to
design the next stage geophysical programs and interpretation.
Having been at site overseeing activities at the East Tsagaan Suvarga target, Peter Leaman,
Senior Vice-President of Exploration, commented:
“The first phase drilling program consisting of reverse circulation and percussion pre-collars
with diamond tails totaling 3145 meters has been completed at the East TS target and been
successful, inline with our expectations for the program.
Phase one was designed to primarily test various ground magnetic targets and provide an
improved geological knowledge of our interpretations of the region. The program successfully
intersected interpreted Devonian age monzodiorite in 6 drill holes with further understanding
of the outcrop in the general target zone refined. A broad area of monzodiorite and various
structural corridors has been outlined over which ground infill magnetic and gravity surveys
have commenced in order to refine zones for more detailed induced polarization surveys and
specific target testing of mineralization in a fully funded second phase drilling program.
The monzodiorite is the dominant intrusive rock type hosting Tsagaan Suvarga porphyry
copper mineralization, and potential is also emerging to host to a large tonnage and higher
grade Hugo Dummett or Heruga equivalent system within the TSIC which may have been
preserved with materially better grades than the Serven Sukhait open pit on the western
margin of the Complex. We are looking to advance this latter new concept as well as the
potential for the original analogue for another Serven Sukhait open pit deposit on the eastern
margin of the TSIC.
The successful exploration efforts at East TS provide a template for which we are looking to
systematically replicate across the rest of our commanding portfolio in the world-class Oyu
Tolgoi-Tsagaan Suvarga Devonian copper belt”.
800–1199 West Hastings Street, Vancouver, BC V6E 3T5 Phone +1 604 283 1722 Fax +1 888 241 5996
A 100 x 100 metre soil sampling across select areas has been completed with infill mapping of
outcrop. Infill ground magnetic and maiden gravity surveys are nearing completion and will
assist in refining our interpretations with constraints provided from better knowledge of surface
and down-hole geology from exploration efforts over the last couple of months. The recently
commenced geophysical programs and more detailed Induced Polarization (“IP”) surveys
layered with the first phase drilling results are expected to provide vectors to support testing
multiple specific targets in the fully funded 5000m second phase drill program.
The visual inspection of core, XRF samples of soil samples, and stratigraphy inferred by fossils
supports the East TS target being analogous to the Devonian age Serven Sukhait open pit
(307Mt @ 0.54% Cu resource). Further encouragement is provided from both surface mapping
and drilling that has intersected interpreted lower Carboniferous cover above the Devonian
TSIC, which coupled with improved interpretations of key structural and fault features supports
the concept of a potentially preserved Devonian complex. The latter would be an analogue for
East TS and potentially hosting a preserved high grade Hugo or Heruga orebody as at Oyu
Tolgoi, a materially larger scale exploration prize.
Interpreted results for the first phase drilling program (including traditional assay results, age
dating, fertility and green rock analysis), ongoing and proposed geophysical programs, and their
integrated interpretations and follow up programs for the next stage of systematic target testing
will be provided following Kincora’s next Technical Workshop.
Figure 1: Location and summary of Kincora’s current exploration activities
Background on the Bayan Tal Igneous Complex (“BTIC”)
The BTIC sits almost half way between the Oyu Tolgoi and Tsagaan Suvarga Devonian porphyry
systems in a similarly interpreted favourable intersection of arc parallel and oblique structures.
Such a structural setting is common for most large-scale porphyry deposits globally.
Stage 2
5000m
Target #1
East TS
⌃
F62: 800m @ >0.40% Cu Eq, incl 37m @ >1% Cu Eq
Tourmaline
Hills
Intrusive
Complex
Bronze Fox
Intrusive
Complex
Red Well
Rio Tinto
Drilling
Bayan Tal
Ulgii
Red Well
Bronze Fox
Kharmagtai
Xanadu Mines
Tourmaline Hills
Oyu Tolgoi
(“OT”)1
Rio Tinto/TRQ/
Entrée Resources
East
TS
Tsagaan
Suvarga
(“TS”)
MAK/EBRD
NE OT trend
Shuteen
30 km
⌃
Ikh Shankh
private
XV-19315
TRQ/Rio Tinto
Target #2
Bayan Tal
Geo-
physics
13 holes
for 3145m
Current
Activities
Potential 2017 drill targets
for 6 different groups
Legend
Select newly issued
licenses, increasing
exploration & expansion
activities of incumbant2
Potential 2017 drill targets
for 6 different groups
Legend
Select newly issued
licenses, increasing
exploration & expansion
activities of incumbant2
KCC.TSXV
Targets: Two drill ready analogies to
the existing two large scale mines in belt
• First comparable stratigraphy to OT since OT
• 2016 activities highlighted previous exploration (2011/12)
was on margin of intrusive/target area still with good grade
East TS
“Brownfield” TS style target
- TS >US$1b project
Bayan Tal
“Oyu Tolgoi” style target
- OT >US$14b project
Bayan Tal - last results:
18m @ 0.66% CuEq
18m @ 0.75% CuEq
GMAG
feature
Tsagaan
Suvarga
⌃
F62: 800m @ > 0.40% Cu Eq,
incl 37m @ > 1% Cu Eq
Tourmaline
Hills Intrusive
Complex
Bronze
Fox
Intrusive
Complex
2 phase drilling +
infill geophysics
Red Well
Rio Tinto
Drilling
Up to
8,000m
• Severn Sukhait open pit, oxide resources & exploration targets
on Northern structural corridor within Western margin:
307Mt @ 0.54% Cu
2 phase drilling +
infill geophysics
30 km
East
Tsagaan
Suvarga
Up to
8,000m
• East TS:Northern structural corridor on Eastern margin
of intrusive with comparable geochemistry/fertility/age
to Northern corridor on the Western margin
7
Legend
Stage 2
5000m
Geo-
physics
6 holes
for 2850m
Current
Activities
KCC.TSXV
Targets: Two drill ready analogies to
the existing two large scale mines in belt
• First comparable stratigraphy to OT since OT
• 2016 activities highlighted previous exploration (2011/12)
was on margin of intrusive/target area still with good grade
East TS
“Brownfield” TS style target
- TS >US$1b project
Bayan Tal
“Oyu Tolgoi” style target
- OT >US$14b project
Bayan Tal - last results:
18m @ 0.66% CuEq
18m @ 0.75% CuEq
GMAG
feature
Tsagaan
Suvarga
⌃
F62: 800m @ > 0.40% Cu Eq,
incl 37m @ > 1% Cu Eq
Tourmaline
Hills Intrusive
Complex
Bronze
Fox
Intrusive
Complex
2 phase drilling +
infill geophysics
Red Well
Rio Tinto
Drilling
Up to
8,000m
• Severn Sukhait open pit, oxide resources & exploration targets
on Northern structural corridor within Western margin:
307Mt @ 0.54% Cu
2 phase drilling +
infill geophysics
30 km
East
Tsagaan
Suvarga
Up to
8,000m
• East TS:Northern structural corridor on Eastern margin
of intrusive with comparable geochemistry/fertility/age
to Northern corridor on the Western margin
7
Legend
Oyu Tolgoi
Tsagaan
Suvarga
800–1199 West Hastings Street, Vancouver, BC V6E 3T5 Phone +1 604 283 1722 Fax +1 888 241 5996
Age dating of a conglomerate in the BTIC has confirmed a Devonian age, supporting the
potential for “Oyu Tolgoi type” concealed mineralization. The conglomerate is a key indicative
marker at OT and is stratigraphically located above the high-grade mineralisation. The BTIC is
the only other confirmed significantly untested complex of Devonian age and similar
stratigraphy to OT known to date in the Southern Mongolia Arc.
Limited exploration to date including drilling has returned copper-gold mineralization (up to
18m @ 0.66% Cu Eq and 18m @ 0.75% Cu Eq) on the margin of a large target under shallow to
moderate cover.
A two-drill rig program has recently commenced at our wholly owned Bayan Tal license.
Outcropping mineralization and systematic exploration integrating geology and geophysics has
refined multiple potential drill targets that are the focus of the ongoing first phase 2850 metre,
hole 6 drill program.
The Devonian age, gold rich Oyu Tolgoi copper porphyry system in the southeast of the
Southern Mongolian Arc is a Tier 1 asset, being the largest high-grade group of Paleozoic
porphyry deposits known in the world, which coupled with the underexplored Tsagaan Suvarga
Devonian porphyry system encourages exploration in this underexplored district.
Figure 2: Reverse Circulation rig operational at Bayan Tal
Figure 3: Devonian conglomerate at Bayan Tal, first comparable stratigraphy to OT since
OT
800–1199 West Hastings Street, Vancouver, BC V6E 3T5 Phone +1 604 283 1722 Fax +1 888 241 5996
Figure 4: Summary illustration of Phase 1 drilling at East TS (over ground mag)
Figure 5: Illustration of phase 1 drilling at East TS at hole 3
800–1199 West Hastings Street, Vancouver, BC V6E 3T5 Phone +1 604 283 1722 Fax +1 888 241 5996
Figure 6: Infill soil sampling program at East TS with rig in background
About Kincora
Kincora is a junior resource company engaged in the acquisition, exploration and development of mineral
properties, with a focus on Tier 1 copper-gold projects in Mongolia. For further information:
www.kincoracopper.com.
For further information, please contact:
Sam Spring, President and Chief Executive Officer
[email protected] or +61431 329 345
Qualified Person
The scientific and technical information in this news release was prepared in accordance with the
standards of the Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43 -101
– Standards of Disclosure for Mineral Projects (“NI 43-101”) and was reviewed, verified and compiled by
Kincora’s geological staff under the supervision of Peter Leaman, Senior Vice-President of Exploration of
Kincora Copper, who is the Qualified Person for the purpose of NI 43-101.
Neither the 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 release.