DEEP-SOUTH INTERSECTS 50 METRES OF 0.63% CuEq, INCLUDING 16 METRES OF 0.80% CuEq AND 4 METRES OF 2.57% CuEq FROM THE 2021 DRILLING PROGRAM UNDISCLOSED RESULTS Significant copper and molybdenum intersections include:
Suite 888, 700 West Georgia, Vancouver, British Columbia, V7Y 1G5
Tel: +1-819-340-0140. E-mail: [email protected]
Web site: http://www.deepsouthresources.com
DEEP-SOUTH INTERSECTS 50 METRES OF 0.63% CuEq, INCLUDING 16
METRES OF 0.80% CuEq AND 4 METRES OF 2.57% CuEq FROM THE 2021
DRILLING PROGRAM UNDISCLOSED RESULTS
Significant copper and molybdenum intersections include:
• HM11 : 0.62% CuEq over 10 metres, including 4 metres @ 0.97% CuEq
• HM11 : 0.46% CuEq over 26.36 metres including 4m @ 0.76% CuEq
• HM12: 0.76% CuEq over 20 metres including 4m @ 2.57% CuEq
• HM14 : 0.35% CuEq over 30 metres from surface and 0.48% CuEq over 26
metres
• HM22 : 0.63% CuEq over 50 metres including 0.80% CuEq over 16.00 metres
• HM26 : 0.37% CuEq over 16 metres from 26 metres below surface
Vancouver, B.C., Canada – August 3, 202 3 – Deep-South Resources Inc. (" Deep-
South" or “ the Company") (TSX-V: DSM) announces the fourth batch of assay results
from its drilling program interrupted in June 2021 at its Haib Copper project in southern
Namibia. The program was interrupted when the Ministry of Mines and Energy of Namibia
had denied the renewal of the Haib Copper licence EPL 3140. Results from 13 drill holes
have been received in full after the renewal denial of the licence , with partial results
received for 1 drill hole . The first 6 drill holes were previously reported. Following the
completion of QA/QC the results for the remaining 7 holes are disclosed here.
Pierre Léveillé, President & CEO of Deep -South stated that: ""We are extremely
enthusiastic by the results from the drill program. Previous drilling programmes
point to the presence of higher copper grade zones, probably associated with near
vertical structures (shears and faults) within the broader mineralised areas of the
project. The use of vertical drilling in the past potentially missed those structures resulting
in an underestimation of the overall grade. Our drilling program is focussing to redress this
through the use of inclined holes to identify and delineate thes e structures and test the
association with higher Cu grade zones. These results seem to support this updated
interpretation, showing substantial intersections at Cu grades considered high for
Haib. Additionally the presence of molydenum has been confirmed with high Mo
grades obtained in association with structures and alterations”.
The 7 holes for which assay results are reported here cover some 1,360.92 metres and
cover all 4 of the target areas. All holes were positioned to better delineate the previously
identified higher grade portions of the Haib Copper Project and to test the extension of
grade between these targets . Assay results of significant intersections are tabulated
below:
Significant Intersections
Hole# Zone From To Width CuEq Cu Mo
(m) (m) (m)1 (%)2 (%) (%)
HM05 Main 30.00 32.00 2.00 0.47 0.33 0.041
Main 96.00 102.00 6.00 0.58 0.16 0.126
HM11
Main 118.00 122.00 4.00 0.47 0.47 0.001
Main 166.00 176.00 10.00 0.62 0.62 0.001
Including 168.00 172.00 4.00 0.97 0.97 0.001
Main 186.00 212.36 26.36 0.46 0.45 0.003
Including 190.00 194.00 4.00 0.76 0.75 0.004
Including 208.00 212.36 4.36 0.61 0.60 0.001
HM12 Main 76.00 96.00 20.00 0.76 0.74 0.005
Including 92.00 96.00 4.00 2.57 2.35 0.005
HM13 Main 4.00 8.00 4.00 0.53 0.53 0.001
HM14
Main 4.00 34.00 30.00 0.35 0.27 0.024
Main 78.00 104.00 26.00 0.48 0.45 0.008
Main 148.00 156.00 8.00 0.48 0.45 0.010
HM22
Main 96.00 110.00 14.00 0.66 0.61 0.015
Including 102.00 110.00 8.00 0.83 0.77 0.018
Main 190.00 196.00 6.00 0.60 0.51 0.026
Main 232.00 250.00 18.00 0.45 0.43 0.006
Main 272.00 322.00 50.00 0.63 0.57 0.020
Including 272.00 280.00 8.00 0.73 0.68 0.017
Including 286.00 302.00 16.00 0.80 0.72 0.024
Main 346.00 370.00 24.00 0.69 0.68 0.003
HM26
Main 26.00 42.00 16.00 0.37 0.35 0.006
Main 68.00 76.00 8.00 0.48 0.47 0.001
Main 84.00 96.00 12.00 0.45 0.45 0.002
1. HM12 – assay results have been received for only the first 96m of the 341.15m drilled.
2. Width refers to intersection width; true widths have not been determined.
3. CuEq (copper equivalent) has been used to express the combined value of copper and molybdenum and is
provided for illustrative purposes only. No allowances have been made of recovery losses that may occur should
mining eventually result. Calculations use metal prices of US$3.00/lb copper, US$10/lb molybdenum using the
formula: CuEq% = Cu% + (Mo% [$10/$3])
Borehole Locations (Figure 1)
HM05 was drilled northeastwards in the Pit 2 target area to determine the
southwestern limit of the 0.3% Cu contour.
HM11 was drilled towards the southwest in the Pit 3 target area to determine the
northern limit of the high-grade (>0.4% Cu) mineralization previously identified here.
HM12 was drilled northwards in Pit 3 to better delineate the southern limit of the high
grade mineralisation identified here by reducing the drillhole spacing.
HM13 was positioned in Pit 3 and drilled approximately northwards. The
mineralization in Pit 3 is believed to terminate against an east -west trending, near
vertical shear zone in the north and HM13 was planned to test this.
HM14 was placed between the Pit 4 and Pit 2 areas. Cu Mineralisation in Pit 4 is
believed to be associated with east -west oriented, near vertical structures and this
borehole was positioned to test this model and the potential extension of higher grades
between the two target areas.
HM22 was drilled vertically in Pit 1 to delineate the southern limit of the higher -grade
mineralization here. Additionally, the hole was drilled to over 400m from surface to
test the depth to which this mineralisation extends.
HM26 was drilled in the northwest of the Pit 4 target area to test the presence of near-
surface mineralisation as well as the northern limit of this mineralisation.
Figure 1: Planview showing the positions of the boreholes being reported here.
Discussion of Pertinent Results
HM05
The results of this hole showed Cu grades to be low grade (typically <0.25%) in this
part of the Pit 2 area . However, Mo grades are high , especially within the top 100m
from surface e.g., 18m @ 0.041% Mo, 16m @ 0.042% Mo and 6 m @ 0.126% Mo.
Low Cu grades associated with high Mo grades have been observed in boreholes to
the west and east of HM05 and are probably associated with an approximately east -
west trending unidentified structure.
HM11
Results from this hole showed good correlation with the existing model resulting in no
changes to the 0.3% and 0.4% Cu contours. Unfortunately, the hole had to be stopped
when operations were forced to cease while still within high grade mineralisation (last
sample 0.75% Cu).
HM12
Only the first 96m of this hole had been submitted for assaying before operations
ceased. Results show a significant southwards lateral (~50m) shift of the high-grade
mineralisation here, with the last two samples returning the highest (2.55%) and third
highest (2.15%) Cu grades seen at Haib.
HM13
Despite the first 8m of this hole returning a composite grade of >0.3% Cu, the Cu
grades drop to 0.2% for the next 40m before dropping further to <0.1% for the
remainder of the hole. The <0.1% Cu portion correlates with a wide zone of highly
sheared veining logged in the core and is probably the large east-west vertical shear
zone previously identified to the north of Pit 3. Mo grades are low over the first 40m
but within the shear zone, they are typically below detection limits.
HM14
Results for this hole showed the presence of an approximately 45m wide, near vertical,
>0.3% Cu zone which had been missed by the vertical historical drilling. This zone
correlates well with borehole HM27 drilled some 200m to the west of HM14, where 2
near-vertical, east-west oriented zones were identified. Overall, results show the Pit 4
mineralisation probably extends eastwards to Pit 2.
HM22
For the first 80m from surface , Cu grades in this hole are low averaging about 0.1%
while Mo remains at the detection limit. From 80m to 230m Cu grades are closer to
the 0.3% level with some intersections exceeding 0.5%. From 272m Cu grades
increase significantly averaging 0.63% CuEq (0.57% Cu) over 50m along with
elevated Mo grades. Another 24m zone is intersected from 346m averaging 0.69%
CuEq (0.68% Cu) but with Mo at the detection limits. As no mineralisation had been
identified here by previous drilling, the results of HM22 repr esent a significant
improvement in tonnage and grade in the southern portion of Pit 1.
HM26
Results for this hole point to a relatively wide (~ 100m) zone of east-west oriented, near
vertical structures with Cu grades >0.35%. The results correlate well with those of
boreholes HM14 and HM27 (previously reported) supporting the idea that mineralisation
within the Pit 4 area is contained within multiple east-west trending, near vertical structures
extending to the Pit 2 area.
Drilling Program Update
Twenty-two holes were completed in 2021 and by the time the licence renewal was
declined in June 2021, samples for 19 holes had been submitted to the laboratory. Results
for eight holes were disclosed in May and June 2021, 6 holes were recently disclosed
while the remaining 6 holes are disclosed here. The program was planned for 10,000
metres, of which 4,800 meters was completed in 2021. The remaining 5,200 metres will
be completed as part of the development program to be resume as soon as possible. At
1.8 billion years (Archean), the Haib Copper Deposit is one of the oldest deposits in the
world. Over time, it has seen several transformations including shearing and faulting
events that have further concentrated Cu and Mo.
The specific focus of this drilling campaign is to further delineate and grow the higher-
grade area(s) of the Haib deposit uncovered by Deep-South in 2019 and 2020
with the ultimate goal of establishing a measured resource over that higher-grade section
of the deposit.
Quality Control
All drill cores were logged, photographed, and cut in half with a diamond saw. Half of the
cores were bagged and sent to ALS Laboratories Ltd. in Johannesburg, South Africa for
analysis (SANAS Accredited Testing Laboratory, No. T0387), while the other half was
quartered with one quarter archived and stored on site for verification and reference
purposes while the other quarter will be used for metallurgical test work. 33 elements are
analyzed by Induced Coupled Plasma (ICP) utilizing a 4 -acid digestion and g old is
assayed using a 30g fire assay method . Duplicate samples, blanks, and certified
standards are included with every batch a nd are actively used to ensure proper quality
assurance and quality control.
About the Haib Copper Project
The Haib Copper Deposit is a large copper/molybdenum deposit situated 40 kilometers
from the southern boundary of Namibia. The license covers 370 square kilometers (37,000
hectares). Over the years the project has seen 70,000 meters of drilling, several
metallurgical test work programmes, geophysical surveys, geological mapping, mine
modeling and even a feasibility study in 1996. Deep-South holds all the historical data.
Please note that: Mineral Resources that are not mineral reserves do not have demonstrated
economic viability. Mineral resource estimates do not account for mineability, selectivity, mining
loss and dilution. These mineral resource estimates are based on Indicated Mineral Resources that
are considered too speculative geologically to have the economic considerations applied to them
that would enable them to be categorized as mineral reserves . However, there is no certainty that
these indicated mineral resources will be converted to measured categories through further drilling,
or into mineral reserves, once economic considerations are applied. There is no certainty that the
preliminary economic assessment will be realized.
Qualified Person
Mr. Dean Richards Pr.Sci.Nat. , MGSSA – BSc. (Hons.) Geology, is the Qualified Person
for the Haib P roject as defined by National Instrument 43 -101 and has approved the
technical disclosure contained in this news release.
About Deep-South Resources Inc.
Deep-South Resources is a mineral exploration and development company. Deep-South’s
growth strategy is to focus on the exploration and development of quality assets in
significant mineralized trends and in proximity to infrastructure in stable countries. The
Company holds the Haib Copper Project in Namibia and holds an interest in three
exploration licences in the Copperbelt in Zambia. In using and assessing environmentally
friendly technologies in the development of its copper projects, Deep-South embraces the
green revolution.
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.
This press release cont ains certain "forward -looking statements," as identified in Deep - South’s periodic
filings with Canadian Securities Regulators that involve a number of risks and uncertainties.
There can be no assurance that such statementsl prove to be accurate and actua l results and future
events could differ materially from those anticipated in such statements.
This News Release contains forward -looking statements, which relate to future events. In some cases, you
can identify forward-looking statements by terminology such as "will", "may", "should", "expects", "plans", or
"anticipates" or the negative of these terms or other comparable terminology. All statements included herein,
other than statements of historical fact, are forward looking statements, including but no t limited to the
Company’s plans regarding the Haib Copper project. These statements are only predictions and involve known
and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of
activity, performance or ac hievements to be materially different from any future results, levels of activity,
performance, or achievements expressed or implied by these forward-looking-statements. Such uncertainties
and risks may include, among others, actual results of the Company' s exploration activities being different
than those expected by management, delays in obtaining or failure to obtain required government or other
regulatory approvals or financing, inability to procure equipment and supplies in sufficient quantities and on a
timely basis, equipment breakdown and bad weather. While these forward -looking statements, and any
assumptions upon which they are based, are made in good faith and reflect the Company's current judgment
regarding the direction of its business, actual results will almost always vary, sometimes materially, from any
estimates, predictions, projections, assumptions or other future performance suggestions herein. Except as
required by applicable law, the Company does not intend to update any forward-looking statements to conform
these statements to actual results.
More information is available by contacting Pierre Léveillé, President & CEO at
+1-819-340-0140 or at: [email protected] or
Paradox Public Relations at +1-514-341-0408.