Mirasol Signs Letter Of Intent to Option its Virginia Silver Project in Argentina
NEWS RELEASE
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Mirasol Signs Letter Of Intent to Option its Virginia Silver Project in
Argentina
VANCOUVER, BC, February 27, 2020 — Mirasol Resources Ltd. (TSX-V: MRZ) (OTCPK: MRZLF) (the “Company”
or “Mirasol”) is pleased to announce the signing of a Letter of Intent (“LOI”) with Golden Opportunity Resources
Corp. (“Golden Opportunity”) (CSE:GOOP) for its Virginia Silver project (the “Project”) in the Santa Cruz Province
of Argentina. With its known resource and clear exploration targets, the Project is a compelling asset for Golden
Opportunity to further explore and advance.
Norm Pitcher, President and CEO of Mirasol stated: “We are pleased to partner with Golden Opportunity to see
the exploration upside at Virginia drill tested. With t his transaction , Mirasol will retain exposure to new
discoveries through our right to earn a significant share position in Golden Opportunity and as a royalty holder.”
Terms of the Transaction
Mirasol shall grant Golden Opportunity the option to acquire 100% of the Project over 3 years by:
- Making share issuances totalling 19.9% of the share s outstanding (the “S/O”) of Golden Opportunity at
the time of vesting:
o On signing of the definitive agreement: 9.9% of the S/O
o On first anniversary: 5% of the S/O
o On Second anniversary: 5% of the S/O
o On third anniversary: top up to 19.9% of the S/O (inclusive of the previous issuances)
- Completing US$6M in exploration expenditures
o Year 1: US$1M (firm commitment)
o Year 2: US$2M
o Year 3: US$3M
- Mirasol will be the operator of the project during the option period and receive a management fee.
Upon completion of the option, Golden Opportunity will have earned a 100% interest in the Project and Mirasol
will retain a 3% NSR royalty, of which 1% can be bought back by Golden Opportunity for US$2M.
The LOI is subject to customary conditions including exchange approval, definitive agreement drafting as well as
to Golden Opportunity completing an equity financing of not less than US$ 1 million within 90 days. Mirasol has
granted Golden Opportunity an exclusivity period to complete this transaction.
Virginia Silver Project Overview
Mirasol first discovered the Virginia silver deposit in 2009, following-up a high -priority reconnaissance target
identified by its generative team. Over the next few years, Mirasol defined high-grade, intermediate sulfidation
epithermal style mineralization in a series of prominent outcrops of vein -breccia that are associated with a
rhyolitic volcanic flow dome field. Rock chip and saw cut channel sampling over these outcrops defined significant
strike lengths of continuously mineralized vein -breccia, with many samples assaying over 1 ,000 g/t Ag . From
2010 to 2012, Mirasol completed a series of drill programs at the Project, drilling a total of 23,318 m of diamond
core in 223 holes, testing the mineralized structures to a maximum depth of 266m. This work was followed by
the filing of an amended NI 43-101 Resource Estimate report in 2016 defining seven outcropping bodies of high
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grade silver mineralization , constrained1 within conceptual pit s, with an indicated mineral resource of 11.9
million ounces of silver at 310 g/t Ag and a further inferred 3.1 million ounces of silver at 207 g/t Ag (figure 1
and amended NI 43 -101 technical report filed February 29, 2016).
Later that year , Mirasol reported that preliminary prospecting of new claims identified quartz vein and vein -
breccia rock float, scattered along a 2 km trend. With a strong belief in the exploration potential of the Virgin ia
district, Mirasol further expanded its property holdings in 2017 with an extra 27,017 ha of claims to the south of
the limit of previous drilling. In May 2018, high grade silver assay results were reported from the additional
prospecting of three new target areas, suggesting the potential for an unrecognized, shallow soil covered, high
grade mineralization that would expand the potential of the Virginia silver project (figure 2, 3 and 4).
Mirasol looks forward to testing the exploration upside at Virginia with Golden Opportunity at a time of
improving precious metal prices.
About Mirasol Resources Ltd
Mirasol is a premier project generation company that is focused on the discovery and development of profitable
precious metal and copper deposits, operating via a hybrid joint venture and self-funded drilling business model.
Strategic joint ventures with precious metal producers have enabled Mirasol to maintain a tight share structure
while advancing its priority projects that are focused in high -potential regions in Chile and Argentina. Mirasol
employs an integrated generative and on -ground exploration approach, combining leading- edge technologies
and experienced exploration geoscientists to maximize the potential for discovery. Mirasol is in a strong financial
position and has a significant portfolio of exploration projects located within the Tertiary Age Mineral belts of
Chile and the Jurassic age gold and silver district of Santa Cruz Province Argentina.
For further information, contact:
Norm Pitcher, President and CEO
or
Jonathan Rosset, VP Corporate Development
Tel: +1 (604) 602-9989
Email: [email protected]
Website: www.mirasolresources.com
Qualified Person Statement : Mirasol’s disclosure of technical or scientific information in this press release has been
reviewed and approved by Norm Pitcher , P.Geo. President and CEO for the Company. Mr. Pitcher serves as a Qualified
Person under the definition of National Instrument 43-101.
Forward Looking Statements: The information in this news release contains forward looking statements that are subject to
a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially
from those anticipated in our forward -looking statements. Factors that could cause such differences include: changes in
1 The Qualified Persons responsible for this amended Technical Report were commissioned by Mirasol Resources Ltd. to review all
geologic, geochemical, geophysical, surface trenching, diamond drill core sampling and metallurgical recovery data pertaining to the
Virginia Project for the purpose of completing a Mineral Resource estimate in accordance with the guidelines of the Canadian Institute of
Mining and Metallurgy (CIMM). For calculating conceptual pits , a silver price of US $20 per ounce was used. Sensitiv ity analyses by the
Qualified Persons indicate that the Mineral Resources are not particularly sensitive to operating costs or silver price fluctuations. Mineral
Resources which are not Mineral Reserves do not have demonstrated economic viability.
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world commodity markets, equity markets , costs and supply of materials relevant to the mining industry, change in
government and changes to regulations affecting the mining industry. Forward- looking statements in this release include
statements regarding future exploration programs, operation p lans, geological interpretations, mineral tenure issues and
mineral recovery processes. Although we believe the expectations reflected in our forward -looking statements are
reasonable, results may vary, and we cannot guarantee future results, levels of act ivity, performance or achievements.
Mirasol disclaims any obligations to update or revise any forward -looking statements whether as a result of new
information, future events or otherwise, except as may be required by applicable law.
Neither the TSX Ventu re 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.
Figure 1: Mirasol Virginia Project. February 2020
Ind: Indicated Resources
Inf: Inferred Resources
Mineral Resources label
Conceptual Resource Pits
at US$20 Ag (63 g/t Ag Cutoff) g/t – grams per tonne
Moz – million ounces
Continuous Vein Outcrop
Discontinuous Vein
Outcrop / Subcrop
Mineralized Structures
Vein Shoots
LEGEND
500 m
Julia South
Ind: 1.029 Moz @ 291 g/t Ag
Inf: 0.343 Moz @ 175 g/t Ag
Julia Central
Ind: 1.936 Moz @ 239 g/t Ag
Inf: 0.571 Moz @ 189 g/t Ag
Julia North
Ind: 7.251 Moz @ 402 g/t Ag
Inf: 0.055 Moz @ 344 g/t Ag
Naty
Ind: 0.412 Moz @ 285 g/t Ag
Inf: 1.241 Moz @ 268 g/t Ag
Ely North
Ind: 0.287 Moz @ 154 g/t Ag
Inf: 0.235 Moz @ 138 g/t Ag
Ely South
Ind: 1.012 Moz @ 184 g/t Ag
Inf: 0.457 Moz @ 187 g/t Ag
Martina shoot
Inf: 0.160 Moz @ 184 g/t Ag
New Virginia Extension Claims
Virginia Silver Claims
Resource
Area
Refer to Amended
NI 43 -101 Technical
Report filed
February 29, 2016
Margarita Target
N
Figure 2: Mirasol Virginia Project: Southern Exploration Opportunity at Julia and Margarita Targets. February 2020
Magi
1 km
Old Virginia Claims
New Virginia Claims
RD
Rhyolite
Flow
Dome
Rhyolite
Flow
Dome
Ely
North
Ely
South
Julia
South
Julia
Central
Julia
North
Naty
Martina
Margarita
Priscilla
Rhyolite
Flow
Dome
Magi
Julia South
and
Margarita
Extension
Julia South
Dome Target
Eastern Target
Zone
Zoom
Rock Chip Assays (Ag g/t)
250 to 29,387
120 to 250
30 to 120
15 to 30
5 to 15
-5 to 5
Julia and Margarita Extension Targets
Old Virginia Claims
New Virginia Claims
Margarita
Julia
South
Drill
Targets
Claims Boundary
Conceptual Pit Outline
Target Zone
Continuous Vein
Outcrop
Discontinuous Vein
Outcrop / Subcrop
Mineralized Structures
Mineralized Vein Float
Corridor
N
Figure 3: Mirasol Virginia Project. Southern Extension – Julia South Dome. February 2020
267.1 g/t Ag
319 g/t Ag
1,093.1 g/t Ag
1,083.7 g/t Ag
417.3 g/t Ag
Rhyolite Flow
Dome
Possible source areas
for mineralized vein float
LEGEND
Claims Boundary
Rhyolite Flow Dome
Mineralized Structures
Rock Chip Assays (Ag g/t)
Mineralized Vein Float
Corridor
Drillable Targets
250 to 6,587
120 to 250
30 to 120
15 to 30
5 to 15
-5 to 5
JULIA SOUTH
DOME TARGET
220.5 g/t Ag
683.2 g/t Ag
1,609.1 g/t Ag
6,586.3 g/t Ag
967.7 g/t Ag
639.4 g/t Ag
Julia South Dome Target
N
Figure 4: Mirasol Virginia Project. Southern Extension – Eastern Zone. February 2020
LEGEND
Claims Boundary
Mineralized Structures
Rock Chip Assays (Ag g/t)
Mineralized Vein Float
Corridor
Drillable Targets
250 to 2,610
120 to 250
30 to 120
15 to 30
5 to 15
-5 to 5
EASTERN
TARGET
ZONE
720.2 g/t Ag
462.1 g/t Ag
793.5 g/t Ag
492.2 g/t Ag
930.2 g/t Ag
883.9 g/t Ag
692.5g/t Ag
994 g/t Ag
2,609.7 g/t Ag
1,665.6 g/t Ag
359 g/t Ag
633.4 g/t Ag
548.2 g/t Ag
449.5 g/t Ag
475.7 g/t Ag
Old Virginia Claims
Eastern Zone Target
N