Minsud reports 448m at 1.20% CuEq; expands polymetallic (Zn-Pb-Cu-Ag-Au) and porphyry Cu-Mo-Ag-Au mineralization at the Chita Valley Project
TSX-V: MSR
December 13, 2021
Minsud reports 448m at 1.20% CuEq; expands
polymetallic (Zn-Pb-Cu-Ag-Au) and porphyry Cu-Mo-Ag-Au
mineralization at the Chita Valley Project
TORONTO, ONTARIO - Minsud Resources Corp. (TSX -V: MSR) (“Minsud” or the “Company”), is
pleased to announce receipt of assay results from the additional eight (8) drillholes completed in the
ongoing Phase 3 program over the Chinchillones area, located at the Chita Valley Project, San Juan
province, Argentina. The Company is complet ing the largest annual drilling program over the Chita
project area, encompassing approximately 12,000 meters by the end of December 2021.
A total of twenty-four (24) drillholes are being completed by the end of this year. Twenty (20) drillholes
have been reported through several previous press releases with remaining four (4) drillholes awaiting
assay results.
Highlights are listed below, along with the accompanying figures. Scout drillholes CHDH21 -33 to
CHDH21-35 were drilled outside of the principal Chinchillones area.
• CHDH21-37 is the deepest drillhole of the project with 852 m depth. The most significant intercepts
included 448m with 1.20% CuEq; 3.59% ZnEq, from 404m to 852m EOH (0.29% Cu, 0.13 g/t Au,
24.08 g/t Ag, 353 ppm Mo, 0.27% Pb, 1.17% Zn) and a higher-grade zone of 114m from 490m at
2.67% CuEq; 8.00% ZnEq (0.52% Cu, 0.34 g/t Au, 67.30 g/t Ag, 0.79% Pb, 3.46% Zn).
This drillhole , with a NNW azimuth, dipping 80° , aimed at testing the extent of high-grade
polymetallic mineralization intersected at CHDH21-23 (please see press release dated August 26,
2021). High-grade intervals are hosted in magmatic-hydrothermal breccias from 409m to 600m,
with abundant sulphides in the breccia matrix. The breccia progresses at depth to a finer-grained
dioritic porphyry containing pervasive Cu-Mo mineralization within type “B” veins, accompanied by
strong sericite-quartz-pyrite alteration, until the end of the drillhole.
The mineralized diorite s intercepted at depth in CHDH21 -37, together with those observed in
drillholes CHDH21-23, 28, 04 and 38, confirmed the presence of a porphyry mineralized body, from
around 500m below surface extending down-dip to at least 850m. From the drilling conducted so
far, the apparent NS-trending porphyry body is at least 500m-long and 270m-wide.
The higher-grade polymetallic mineralization from 102m occurs in a zone characterized by well -
developed sulphide-cemented hydrothermal breccias and high-density vein network of sphalerite–
chalcopyrite-galena-pyrargyrite-tennantite-native silver which is demonstrably superimposed on
the Cu-Mo-Ag-Au porphyry body.
• CHDH21-38 intersected 387m at 0.50% CuEq, from 340m to 727m. (0.25% Cu, 0.06 g/t Au, 9.06
g/t Ag, 111 ppm Mo). This drillhole is located 250m NE of CHDH21-37, heading S, dipping 75° with
727m depth. This drillhole intersected mineralized dacitic and dioritic rocks. The principal Cu-Mo-
Ag-Au mineralization occur as disseminations, and in thin quartz type “B” and “A” veinlets of pyrite-
chalcopyrite and chalcopyrite -bornite. In conjunction with drillhole CHDH21-37 these drillholes
confirmed the presence of Cu -Mo porphyry at depth and demonstrate that the porphyry body is
open in various directions. Molybdenum values remarkably increased through to the end of the
drillhole, indicating further potential at depth.
The substantial and high-grade Zn-Pb-Ag-Cu-Au and Cu-Mo-Ag-Au mineralization at CHDH21-37 and
CHDH21-38 confirm the potential of Chinchillones to host high-grade polymetallic mineralization
transitioning to prospective cluster of porphyry Cu centres.
Ramiro Massa, Minsud’s President & CEO, commented: “We continue to be excited and encouraged
by results from our ongoing Phase 3 drilling program. This year we discovered a new porphyry center
at Chinchillones area with Cu-Mo mineralization overprinted by a hydrothermal system Zn-Pb-Cu-Ag-
Au. Our exploration program has expanded our understanding of the project and dramatically increased
its potential. We continue our ongoing exploration program and anticipate furthe r encouraging results
with support from our partner South32”.
PHASE III: Chinchillones Diamond Drilling Program – Summary of Analytical Results %
Hole ID
From To Length Au Ag Cu Mo Pb Zn
Zn Eq (**) Cu Eq (***)
(mt) (mt) (mts)
(*) g/t g/t % ppm ppm ppm
CHDH21-31 300 322 22 0.05 8.27 0.06% 7 1829 4679 1.09% 0.36%
376 422 46 0.04 13.94 0.08% 10 902 6809 1.42% 0.47%
CHDH21-32 6 16 10 0.08 3.98 0.17% 215 709 356 1.17% 0.39%
288 334 46 0.05 2.88 0.17% 80 21 223 0.83% 0.28%
CHDH21-33 112 135 23 0.16 14.10 0.03% 3 1266 4422 1.31% 0.44%
CHDH21-34 18 46 28 0.06 5.80 0.11% 90 29 25 0.73% 0.24%
148 276 128 0.05 1.96 0.10% 98 90 223 0.60% 0.20%
CHDH21-35 206 224 18 0.25 2.01 0.04% 39 112 1048 0.86% 0.29%
CHDH21-36 48 78 30 0.06 14.66 0.11% 1 1013 4527 1.34% 0.45%
CHDH21-37 102 240 138 0.17 25.14 0.20% 30 1016 8053 2.50% 0.83%
Inc 128 184 56 0.27 41.33 0.31% 26 1052 17584 4.39% 1.47%
404 852 448 0.13 24.08 0.29% 353 2699 11678 3.59% 1.20%
Inc 490 604 114 0.34 67.30 0.52% 31 7883 34555 8.00% 2.67%
CHDH21-38 340 727 387 0.06 9.06 0.25% 111 514 1888 1.49% 0.50%
Inc 586 589 3 0.11 69.13 1.68% 294 67 1009 7.52% 2.51%
References:
(*) Intervals reported in the above table are not true thicknesses
(**) ZnEq% formula is defined as: Zn(%)+[Cu(%)*Cu price (lb)/Zn price (lb)]+[Ag(%)*Ag price (lb)/Zn price (lb)]+[Au(%)*Au
price (lb)/Zn price (lb)]+[Pb(%)*Pb price (lb)/Zn price (lb)]+[Mo(%)*Mo price (lb)/Zn price (lb)]
(***) CuEq% formula is defined as: Cu(%)+[Zn(%)*Zn price (lb)/Cu price (lb)]+[Ag(%)*Ag price (lb)/Cu price (lb)]+[Au(%)*Au
price (lb)/Cu price (lb)]+[Pb(%)*Pb price (lb)/Cu price (lb)]+[Mo(%)*Mo price (lb)/Cu price (lb)]
Copper equivalent (CuEq) and Zinc equivalent (ZnEq) grades are for comparative purposes only. Calculations are uncut
and recovery is assumed to be 100% as no metallurgical data is available.
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.
Mr. Mario Alfaro, Professional Geos cientist, VP-Exploration of the Company, is a qualified person as
defined by Canadian National Instrument 43 -101. Mr. Alfaro visited the property and has read and
approved the contents of this release.
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 sulfide composition that conformed an outcropping porphyry system at Chita and a
lithocap of a porphyry system at Chinchillones. San Juan Pr ovince 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 subsidi ary of South32
in accordance with the earn-in agreement between the parties entered into on November 1, 2019.
The earn-in agreement grants to South32 the right to acquire a 50.1% direct interest in the Company’s
Argentinean operating subsidiary Minera Sud Argentina S.A. (“MSA”) at the end of the earn -in period.
Under the earn-in agreement, and having given the Company notice of its intention to continue funding
Chita Valley Project, South32 will prov ide further funding to MSA over the next 2 years such that its
aggregate funding is (i) not less than C$10.5 million by December 31, 2022; and (ii) not less than C$14
million by December 31, 2023. South32 has the right to withdraw at the end of each year.
If South32 exercises its earn-in right it may elect to fund a pre -feasibility study, with a minimum spend
of C$41 million, which would entitle it to elect to increase its 50.1% direct interest in MSA to 70%.
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 Limited
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 realise t he potential of their resources. South32
produces bauxite, alumina, aluminium, metallurgical coal, manganese, nickel, silver, lead and zinc at
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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