Almadex Provides El Cobre Project Update: First Hole Completed IN Norte Zone; High Grade GOLD Porphyry Mineralization Found IN Outcrop Within the Undrilled Villa Rica Target Area
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NEWS RELEASE
March 29, 2017
Trading Symbols:
TSX-V: AMZ; OTCQB: AXDDF
www.almadexminerals.com
ALMADEX PROVIDES EL COBRE PROJECT UPDATE:
FIRST HOLE COMPLETED IN NORTE ZONE;
HIGH GRADE GOLD PORPHYRY MINERALIZATION FOUND
IN OUTCROP WITHIN THE UNDRILLED VILLA RICA TARGET AREA
VANCOUVER, B.C. Almadex Minerals Limited ("Almadex" or the "Company") (TSX-V: AMZ; OTCQB: AXDDF ) is
pleased to provide a project update. Drilling recommenced on the project in the Norte area in February. A second drill
has just been added to the Norte area and has also commenced coring. At the same time systematic mapping and
prospecting, which commenced in 2016, has identified copper and gold porphyry style mineralisation cropping out in
two separate locations in the Villa Rica target area, located roughly two kilometers south of the Norte Zone.
Results have been returned from 18 rock grab and chip samples of float, subcrop and outcrop taken from the largest
of these new zones of weathered and oxidized discontinuous porphyry outcrop, now called Raya Tembrillo. The Raya
Tembrillo samples were taken within a roughly 150 by 150 meter area and returned gold values averaging 1.51 g/t
(ranging from 0.06 to 5.38 g/t gold, with 13 samples returning greater and 0.40 g/t gold and 6 returning greater than
2.0 g/t gold) and copper values averaging 0.05% (ranging from 0.005 to 0.16%). Channel sampling has now been
carried out over specific outcrops in the Raya Tembrillo area and will be reported once results are received. Mapping
and prospecting continues throughout the Villa Rica and project area where previous exploration campaigns defined
high copper and gold in soils and high chargeability and magnetic responses from geophysical surveys. Once the
outcrop mapping is complete drilling is planned for the Villa Rica zone later in 2017.
The identification of an outcropping mineralized porphyry system in the Villa Rica area confirms that the El Cobre
project covers a cluster of porphyry systems. There has never been drilling in the Villa Rica area. More prospecting
and mapping, both currently underway, will better define this large area of alteration, and it is hoped, identify further
surface exposures of mineralization, prior to drilling getting underway.
J. Duane Poliquin, Chairman of Almadex commented, With the completion of the 2016 drill program at the El Norte
Zone, a picture is developing of the porphyry system we have intersected. We are now carrying out a systematic drill
campaign to follow-up the 2016 Norte Zone results. We are very pleased to have confirmed the presence of high
grade porphyry mineralization in the Villa Rica zone by discovering mineralized surface exposures in this area. As
surface work progresses our planned 2017 initial drill program for Villa Rica will be better defined.
About the El Cobre Project
The El Cobre Project has a total area of 7,456 hectares and is located adjacent to the Gulf of Mexico, about 75
kilometres northwest of the major port city of Veracruz, Mexico and has uniquely excellent infrastructure. The project
area is situated below 200 meters above sea level with extensive road access and is located less than 10 kilometers
from a power plant, highway, gas line and other major infrastructure. Major power lines cross the property area.
Almadex has its full drill permits from SEMARNAT and has land access agreements in place. The land ownership is
private over most of the project area, has previously been cleared and is used for local agricultural purposes.
The four copper-gold porphyry targets currently known within the El Cobre Project, Encinal, El Porvenir, Norte and
Villa Rica are defined by distinct Cu-Au soil anomalies, discrete, positive magnetic features and a large IP
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chargeability anomaly. The largest target area is the Villa Rica zone which has not been drill tested. Limited past RC
and diamond drill testing at Encinal, El Porvenir, and Norte has returned wide intercepts of porphyry copper-gold and
narrow zones of intermediate sulphidation epithermal gold-silver vein mineralization, with selected intercepts as
follows:
El Porvenir Zone: Drilling has demonstrated that the system persists at least to 400 m depth. Significant
copper and gold grades were intersected such as 0.16% Cu and 0.39 g/t Au over 290 m in hole DDH04CB1.
In addition, hole EC-13-004 intersected 0.23% Cu and 0.36 g/t Au over 106 m, to a depth of 504 m, again
indicating potentially significant mineralization at depth.
Deep IP Zone: To the north of the El Porvenir Zone a large area of high chargeability responses is located at
depth. This zone has been interpreted to be a possible core to the entire El Cobre porphyry system.
Encinal Zone: Hole CB5 intersected a highly altered breccia pipe containing fragments of stockwork veining
and porphyry mineralisation across which 15 meters returned 1.63 g/t Au and 0.12% Cu. The breccia pipe
occurs in a large alteration zone, IP chargeability high and magnetics low which has not been tested to
depth. On July 1, 2016, Almadex reported results of drilling at Encinal, which were consistent with the
interpretation that the drilling was located in a zone marginal to a potential copper-rich portion of the
porphyry system.
Norte Zone: All five holes drilled in the Norte Zone prior to 2016 intersected porphyry-style mineralization.
Hole 08-CBCN-022, one of the deepest holes drilled at Norte in 2008, returned values of 0.14% Cu with 0.19
g/t Au over 259 m and 08-CBCN-19 intersected 41.15 meters averaging 0.42 g/t gold and 0.27% copper to
the end of the hole at 187.45 meters. Drilling in 2016 and 2017 has been testing this zone to the south and
at depth.
In addition to the above, several anomalous areas remain untested by drilling, including the Villa Rica Zone, a roughly
2.5 kilometer by 1 kilometer area defined by a strong north-northwest trending magnetic-chargeability high and
associated copper-gold soil geochemical anomaly. More information on El Cobre is available on the Almadex website
at http://www.almadexminerals.com/ASSETS/PROJECTS/Cobre.html .
The Norte Zone is located at the north end of a large area (roughly 5 by 4 kilometer in size) of intense hydrothermal
alteration, high magnetics and chargeability geophysical responses as well as a broad zone of anomalous gold,
copper and molybdenum in soils. The mineralisation in the Norte Zone encountered to date is interpreted to be
lithologically controlled and hosted by country rocks distal to the core of a porphyry system which management
believes is yet to have been intersected. Geophysical sections highlight that the intersections are in a high level
feature connected to a large coincident Induced Polarisation IP chargeability and magnetic susceptibility high at
depth.
The recent drilling has been designed to provide geochemical and alteration vectors for future drilling while following
up significant results from historic drilling. The Norte Zone holes to date have been successful in defining the potential
of the El Cobre project to host a large porphyry copper-gold deposit. At the same time it is clear that the intersections
of porphyry mineralisation encountered in past drilling, which has been the focus of the recent drill programs, are
peripheral to a possible porphyry centre. In the past, the Company has conducted several campaigns of geophysical
surveys including airborne magnetics, shallow IP and 35.8 line kilometers of deep Titan-24 IP. The shallow IP survey
has highlighted a large area of high chargeability interpreted to represent sulphides which coalesces into a deep IP
chargeability feature which has never been tested.
Larry Segerstrom, M.Sc. (Geology), P.Geo., A Director of the Company, is a Qualified Person as defined by National
Instrument 43-101 ("NI 43-101") and has reviewed and approved the contents of this news release. The porphyry
mineralisation reported in this news release is associated with broad areas of alteration and stockwork veining.
Exploration at Almadex’s El Cobre Project is supervised by Morgan Poliquin, PhD, Peng, President and Larry
Segerstrom, Director, both qualified persons under NI 43-101. All technical information for the Company’s projects is
obtained and reported under a formal quality assurance and quality control (QA/QC) program. Rock chip, soil and
stream sediment samples are collected under the supervision of Company geologists that are qualified persons under
the meaning of NI 43-101, in accordance with standard industry practice. All assay results reported in this news
release are of surface rock outcrop and float samples. It is not known how representative these samples may be of
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the subsurface mineralization and true widths for these samples cannot be determined at this time. The analyses
reported were carried out at ALS Chemex Laboratories of North Vancouver using industry standard analytical
techniques. For gold, samples are first analysed by fire assay and atomic absorption spectroscopy (AAS). Samples
that return values greater than 10 g/t gold using this technique are then re-analysed by fire assay but with a
gravimetric finish. Silver is first analysed by Inductively Coupled Plasma - Atomic Emission Spectroscopy (ICP-
AES). Samples that return values greater than 100 g/t silver by ICP-AES are then re analysed by HF-HNO3-HCLO4
digestion with HCL leach and ICP-AES finish. Of these samples those that return silver values greater than 1,500 g/t
are further analysed by fire assay with a gravimetric finish. Almadexs El Cobre drilling program incorporates a quality
assurance and quality control (QA/QC) program under which blanks, field duplicates and certified standards are
inserted into the sample stream which complies with National Instrument 43-101 requirements. A NI 43-101 compliant
technical report on the El Cobre project entitled, "Technical Report on the El Cobre Property was filed in May 2015
and can be obtained from www.sedar.com.
About Almadex
Almadex Minerals Limited is an exploration company that holds a large mineral portfolio consisting of projects and
NSR royalties in Canada, the U.S., and Mexico. This portfolio is the direct result of over 35 years of prospecting and
deal-making by Almadex’s predecessor company, Almaden Minerals Ltd.
On behalf of the Board of Directors,
Morgan Poliquin
Morgan J. Poliquin, Ph.D., P.E ng.
President, CEO and Director
Almadex Minerals Ltd.
Neither the 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.
This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within it, other than
statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in
such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance
and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes,
continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances
that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties.
We do not assume any obligation to update any forward-looking statements, other than as required pursuant to applicable securities
laws.
Contact Information:
Almadex Minerals Limited
Tel. 604.689.7644
Email: [email protected]
http://www.almadexminerals.com/