Minsud commences Phase 3 drilling at Chita Valley Project, San Juan, Argentina
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TSX-V: MSR
May 12, 2021
Minsud commences Phase 3 drilling at Chita Valley Project,
San Juan, Argentina
TORONTO, ONTARIO – Minsud Resources Corp. (TSX -V: MSR ) (“Minsud” or the “Company” is
pleased to announce the commencement of Phase 3 drilling program at Chita Valley Project located
in the province of San Juan, Argentina. The program comprises a total of 6,100 meters, distributed in
24 holes, to test the Au-Ag-bearing oxidation zone at Chinchillones area through a systematic grid
shallow drilling and scout drilling targeting anomalous areas at the Chita polymetallic and porphyry
complex.
Map1: Chinchillones and Chita Polymetallic and Porphyry Complex
The analyses of results from the 9,377 meters drilled in 2020 through phases 1 and 2, in conjunction
with the review of historical drill results over the Chinchillones area , have demonstrated the
unequivocal presence of both shallow and deep Zn-Pb-Cu-(Ag-Au) polymetallic epithermal system
superposed on a deeper porphyry system. These spectrum of mineralization styles are hosted in an
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intrusion complex encompassing diorite porphyry through to dacites emplaced into sandstones and
dome-related diatreme breccias.
These mineralization characteristics, particularly the polymetallic intermediate sulfidation (“IS”) are
coincident with a targeted porphyry copper deposit (“PCD”). The intersected stockworked Cu -Mo
mineralization at CHDH20-04 (see press release June 23, 2020), albeit deep at 564m, demonstrated
that the PCD can host economic-grade (Cu up to 0.68%; Mo up to 0.075%).
Chinchillones target: Phase 3 drilling at Chinchillones target will total 4,900 meters, out of which
2,800 meters will be drilled in a systematic grid, comprising of 17 diamond drill holes with shallow
depths of approximately 120 meters (see Map 1). These drillholes will delineate the Au-Ag oxide-
transition zone. Additionally, 2,100 meters will be drilled in 4 holes with variable depths between
300 and 500 meters to test the NE extension of a conductive zone s interpreted to be related to a
porphyry-related mineralization intersected by drillholes CHDH20-04 and CHDH20-17.
Chita North (PNO) and South (PSU) targets: At the Chita porphyry a total of 900 meters in two (2)
drill holes will test the PCD continuity to the SE trend coincident with geophysical anomalous zones
(variable magnetics and induced polarization anomalous >20mS).
South Link Zone target: One drill hole (300 meters) will test an IP anomaly >30mS chargeable zone
interpreted to be related to a porphyry-breccia contact. This zone is located to the SW of the Chita
South Porphyry (PSU).
The current program is fully funded under an agreement with South32 whereby South32 has an
option to earn a 70% interest in the Chita Valley property upon contribution of exploration funds and
a prefeasibility study. To maintain its option in good standing, South32 mu st contribute minimum
exploration funding of CAD$14 million over a 4 -year option period . The 1 st year (2020) has been
successfully completed with a total contribution of CAD$4.1 million . The 2 nd year (2021) has an
approved budget for a total investment of CAD$ 3.5 million. Minsud will act as operator during the
option period.
Mr. Mario Alfaro, Professional Geoscientist, VP-Exploration of the Company, is a qualified person as
defined by Canadian National Instrument 43 -101. Mr. Alfaro visited the property a nd has read and
approved the contents of this release.
Ramiro Massa, Minsud’s President & CEO, states: “We are very pleased with the drilling results of
Phases 1 and 2 at the Chita Valley Project and now we are excited to begin Phase 3 drill program to
test the economic potential of this highly promising area at Chinchillones polymetallic epithermal
system. I am proud of our team who has been working tirelessly and against all the adversities caused
by the Covid-19 pandemic”.
About the Chita Valley Project, San Juan Province:
The Chita Valley Project is a large exploration stage porphyry system with classic alteration features,
widespread porphyry s tyle Cu -Mo-Ag-Au mineralization and associated gold and silver -bearing
polymetallic veins of intermediate sulfide composition that conformed a n outcropping porphyry
system at Chita and a lithocap of a porphyry system at Chinchillones. San Juan Province of Argentina
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has a robust mining s ector and recognizes the important economic benefits of responsible
development of its substantial Mineral Resource endowment.
About Minsud Resources Corp.:
Minsud is a mineral exploration company focused on exploring its flagship Chita Valley Cu-Mo-Au-Ag
Project, in the Province of San Juan, Argentina. The Company also holds a 100% owned portfolio of
selected early-stage prospects, including 6,000 ha in Santa Cruz Province, Argentina.
FOR FURTHER INFORMATION PLEASE CONTACT
Ramiro Massa
President and Chief Executive Officer
+54 (911) 5663 1512
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to, statements about strategic plans, spending commitments, future operations, results of
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Forward-looking information is necessarily based upon a number of estimates and assumptions that,
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differ materially from those anticipated in such information . Accordingly, readers should not place
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management and information available to management as at the date hereof. The Company
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