Minsud Confirms High Grade Polymetallic Breccia Zone Yielding 786m at 0.43% Cu, 0.23 g/t Au, 15.78 g/t Ag including 166.3m at 1.35% Cu, 0.54 g/t Au and 26.63 g/t Ag
TSX-V: MSR
May 8, 2023
Minsud Confirms High Grade Polymetallic Breccia Zone Yielding
786m at 0.43% Cu, 0.23 g/t Au, 15.78 g/t Ag including 166.3m at
1.35% Cu, 0.54 g/t Au and 26.63 g/t Ag
TORONTO, ONTARIO - Minsud Resources Corp. (TSX -V: MSR) (“Minsud” or the “Company”), is
pleased to announce the receipt of assay results from four (4) additional drillholes, which were
completed as part of the ongoing Phase IV scout drilling program at the Chita Valley Project, San Juan
province, Argentina.
Thirty-three (33) drillholes have been completed to date in the Phase IV program, encompassing a total
of 23,420 metres. Assay results have been received from the additional four drill holes totaling 3,153
metres, which include drillholes CHDH23 -69 through to CHDH23 -72. Key highlights and associated
figures are provided below.
Chinchillones Breccia Target: High -grade breccia body with mineralization extending below
1,200m depth
Hole CHDH23-69 was drilled to test the continuity of the polymetallic trend in the Chinchillones West
Area. It was drilled with an orientation of 135° /-80° and reached a depth of 1,242 metres (see Map 1
and Table 1 below). The results from this drillhole are highly significant, having intersected a 456-metre
interval of continuous high-grade polymetallic (Zn-Pb-Cu-Ag-Au-Mo) breccia.
The drillhole intersected a high -grade breccia body emplaced within precursor diorites that host early
mineralization A and B veins . This high-grade mineralization is largely hosted within a steep -sided
magmatic-hydrothermal breccia body, at least 1 20 metres-wide and remains open along strike . The
geometry and extent of this body are yet to be fully established.
This important breccia body exhibits broad textural and mineralogical zonation, characterized by zinc-
rich, sulphidic, hydrothermal shingle breccias from along the contact zone with the country rocks and
transitions down-dip to copper-rich mosaic breccias and then to molybdenite-rich fragment-supported
breccias (see Figure 1 below). This zoning pattern is interpreted here to reflect the accumulation of
over-pressured, volatile gases which has led to an eruptive column above a porphyry Cu-Mo intrusion,
without breaching the paleosurface.
Significant polymetallic (Zn-Pb-Au-Cu-Mo) mineralization intervals for drillhole CHDH23-69 includes:
● 786.0m @ 0.43% Cu, 368 ppm Mo, 0.23 g/t Au and 15.78 g/t Ag, from 456 to 1,242m (open
at depth)
o including 160.0m @ 0.35% Cu, 0.34 g/t Au, 45.72 g/t Ag, 3.58% Zn, 1.25% Pb, from
456 to 616m.
o including 166.3m @ 1.35% Cu, 0.54 g/t Au, 26.63 g/t Ag, 181 ppm Mo, from 616 to
782.3m.
These hydrothermal breccia characteristics are affiliated with , and are thought to form part of the
mineralized breccias found in drillholes CHDH21-37, CHDH21-38, CHDH21-23 and CHDH21-26. Thus,
this zone of higher-grade breccias has a drill-demonstrated strike length of at least 250m and a vertical
column of at least 600m. Follow up drillholes are testing the breccia’s NNE-continuity.
Link Zone Target
The Link Zone target is located between the South Porphyry (aka PSU) and Chinchillones targets.
Scout drilling in this area has confirmed the presence of high -grade mineralized structures hosted in
the sedimentary Agua Negra Formation and Tertiary-aged domes.
CHDH23-72 is located on the eastern edge of the Link zone. It was drilled with an orientation of 135°/ -
65° to a depth of 762 metres (see Map 1 and Table 1 below).
● Drill intercepts:
○ 166.0m @ 0.11% Cu, 180 ppm Mo, 515 ppm Zn, from 132.0 to 298.0m.
○ 34.0m @ 0.12% Cu, 8.39 g/t Ag, 0.15% Zn, from 684.0 to 718.0m.
● From 246m to 509m intercalated early dioritic and andesitic porphyries were intersected.
● Strong potassium alteration, Biotite +/- K-feldspar with moderate superimposed sericite-chlorite
alteration.
● It is considered that the porphyry intercepts could correspond to the West extension of the Chita
primary porphyry (PSU).
New Target to the NE of Chinchillones
During late 2022, the Company identified and drilled a new 1 km x 1 km target area to the NNE of the
principal Chinchillones system.
The new target area is covered by the Agua Negra sedimentary sequence, with quartzites and shale,
traversed by small andes itic/dacitic bodies hosting porphyry -related B and A veinlets. Scout drillholes
at this location included CHDH23-70 and CHDH23-71.
Hole CHDH23-70 was drilled to a depth of 618.2 metres (see Map 1 and Table 1 below). Highlights are
outlined below:
● Drill intercepts:
○ 8.0m @ 0.49% Cu, 0.19 g/t Au and 10.45 g/t Ag from 372.0 to 380.0m.
○ 16.0m @ 0.40% Cu, 1.14 g/t Au, and 4.56 g/t Ag, from 564.0 to 580.0m.
● Intersected narrow, high -sulphidation structures measuring 8 and 16 metres containing
chalcopyrite, pyrite and sphalerite.
● The drillhole intersected a sequence of sandstones and quartzites of the Agua Negra Formation
hosting weak illite and sericite +/- chlorite alteration. A few early andesite dikes cut through this
sequence.
PHASE IV: Diamond Drilling Program – Summary of Analytical Results
Hole ID From To Length Cu Au Ag Mo Pb Zn
(mt) (mt) (mts) (*) % g/t g/t ppm ppm ppm
CHDH23-69 456.00 1242.00 786.00 0.43% 0.23 15.78 368 2587 7591
Incl 456.00 616.00 160.00 0.35% 0.34 45.72 45 12485 35840
616.00 782.30 166.30 1.35% 0.54 26.63 181 147 959
782.30 1164.00 381.70 0.13% 0.09 1.58 645 26 181
CHDH23-70 372.00 380.00 8.00 0.49% 0.19 10.45 136 13 400
564.00 580.00 16.00 0.40% 1.14 4.56 4 24 139
CHDH23-71 478.00 492.00 14.00 0.18% 0.12 1.73 1 19 694
CHDH23-72 132.00 298.00 166.00 0.11% 0.03 3.88 180 112 515
684.00 718.00 34.00 0.12% 0.06 8.39 272 312 1541
References:
(*) Intervals reported in the above table are not true thicknesses
General outlook and exploration implications
The current results of the Phase IV exploratory activities, together with previous drilling phases, have
confirmed an expanded Chinchillones porphyry-epithermal system, now estimated to cover a minimum
area of 2 km x 2 km. The zone is open to more than 850m depth, which was the limit of previous drilling
equipment utilized on the project.
Ramiro Massa, Minsud’s President & CEO, said: “ Drillhole CHDH-23-69 has delivered our best drill
hole intercept to date and suggests that significant additional potential could be discovered at the Chita
Valley Project. We are extremely pleased with these new drill results, which further confirm the
presence of extensive mine ralization at the Chinchillones target, as well as presenting a porphyry
system with greater depth and lateral extent to anything else encountered on the project to date, with
a new target zone of 2km by 2km . The scale of this discovery continues to expand and is highlighted
by at least two different mineralized bodies of significant thickness and length.”
Quality Assurance/Quality Control
All core samples were submitted to the ALS Global Laboratories in Mendoza, Argentina for preparation
and analysis. All samples were analyzed for Au by fire assay/ AA finish 50g, plus a 48 -element ultra-
trace four acid digest with ICP-MS and ICP-AES finish. Minsud followed industry standard procedures
for the work with a quality assurance/quality control (QA/QC) program. Field duplicates, standards and
blanks were included with all sample shipments to the principal laboratory. Minsud detected no
significant QA/QC issues during review of the data.
Case Lewis, P.Geo., VP Exploration of the Company, is a qualified person as defined by Canadian
National Instrument 43-101. Mr. Lewis has visited the property and has read and approved the contents
of this release.
Map 1: Phase IV drillholes location
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 style Cu -Mo-Au and polymetallic Ag -Pb-Zn mineralization hosted by
Hydrothermal Phreatic Breccias and associated gold and silver -bearing polymetallic veins of
intermediate sulphide composition that conformed an outcropping porphyry system at Chita and a
lithocap of a porphyry system at Chinchillones. San Juan Province of Argentina has a robust mining
sector and recognizes the important economic benefits of responsible development of its substantial
Mineral Resource endowment.
Current exploration activities on the Chita Valley Project are being funded by a subsidiary of South32
in accordance with the earn-in agreement between the parties entered into on November 1, 201 9 and
amendments.
On April 13, 2023 South32 exercised its earn-in right to acquire a 50.1% direct interest in the Company’s
Argentinean operating subsidiary Minera Sud Argentina S.A. (“MSA”) at the earlier of: (i) the completion
of the Year 4 annual exploration program; and (ii) February 14, 2024 (“Completion”). At the time of
Completion, Minsud Argentina Inc. (“MAI”), a wholly owned subsidiary of the Company, and South32
will enter into a shareholders' agreement to govern the management and operation of MSA .
About Minsud Resources Corp.
Minsud is a mineral exploration company focused on exploring its flagship Chita Valley Cu -Mo-Au-Ag-
Pb-Zn 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.
About South32
South32 is a globally diversified mining and metals company. The company’s purpose is to make a
difference by developing natural resources, improving people’s lives now and for generations to come.
South32 is trusted by its owners and partners to realize the potential of their resources. South32
produces commodities including bauxite, alumina, aluminium, copper, silver, lead, zinc, nickel,
metallurgical coal and manganese from its operations in Australia, Southern Africa and South America.
With a focus on growing its base metals exposure, South32 also has two development options in North
America and several partnerships with junior explorers around the world.
FOR FURTHER INFORMATION PLEASE CONTACT
Ramiro Massa
President and Chief Executive Officer
www.minsud.com
+1 416-479-4466
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