Orosur Mining Inc. – Argentina Update
Orosur Mining Inc. – Argentina Update
• Field work commencing at El Pantano
• Teams have mobilised for mapping and sampling program
London, March 21st, 2022. Orosur Mining Inc. (“Orosur” or the “Company”) (TSX-
V & AIM:OMI), is pleased to announce that its geological teams have mobilised to
Santa Cruz Province, Argentina, to commence the Company’s first field exploration
program at the El Pantano Gold/Silver Project (“Project”).
This field program is expected to last approximately two weeks and will involve
extensive mapping and surface sampling (soils and rock chip) programs over the two
most attractive prospects that had been identified following examination of historical
data and previous due diligence visits.
El Pantano
The El Pantano Project is subject to an Exploration & Joint Venture (“JV”) agreement
(“Agreement”) with private Argentinean company DESEADO DORADO S.A.S and its
shareholders (“Deseado”), the details of which were announced on February 15 th,
2022.
The general terms of the Agreement allow for the Company to earn 100% equity in
the Project by investing US$3m over five years in two phases:
• Phase 1, earn 51% by investing US$1m over an initial 3-year period.
• Phase 2, move to 100% ownership by investing an additional US$2m over a
subsequent 2 -year period and granting Deseado a residual 2% net smelter
return royalty on the Project.
Location and Geology
The Agreement covers nine contiguous licences owned by Deseado, that combined,
total 607km2 in the prolific Deseado Massif region of Santa Cruz Province in southern
Argentina, roughly 45km from Anglo Gold’s Cerro Vanguardia mining camp.
Access to the Project is by good, paved road several hours drive south from the
regional city of Comodoro Rivadavia, and then roughly 50km travel on go od quality
dirt roads west from the Tres Cerros Roadhouse.
The region is barren and sparsely populated, largely as a result of the near complete
devastation of the region’s agricultural industry by ashfall from the 1991 eruption of Mt
Hudson. Several large and widely spaced estancias (ranches) exist across the Project
area, that will provide accommodation for field teams, eliminating the need for
development of dedicated camps.
Figure 1. Regional Location
Figure 2. Licences
The Company has carried out extensive technical due diligence of the prospectivity
of the Project, including literature searches, field visits and detailed examination of
previous company work.
Government provided airborne geophysical data (Figure 3) demonstrates that the
Project area is bisected by a major SE-NE trending crustal scale structure, which is
the primary orientation known to control emplacement of gold and silver
mineralisation across the Deseado Massif.
Preliminary field inspections concentrated on this structural corridor have
demonstrated positive indications that a major epithermal system exists here and as
such two initial prospects have been identified and will be the subject of this initial
phase of exploration.
Figure 3. Regional aeromag data showing clear SE-NW structural corridor
San Antonio
The San Antonio prospect (Figure 4) lies within the SE of the Project area and
was explored in a cursory fashion by Minsud Resources Corp. (TSX-V:MSR)
(“Minsud”) for several years until 2016. Minsud carried out some low-level
mapping and sampling of epithermal veins along the main structure that were
the NW continuation of high grade veins that had been previously identified by
other local companies outside the Project area. A series of small resistivity
and IP surveys were also undertaken.
Work by Minsud demonstrated a highly prospective and potentially large
epithermal system associated with the eruption of dacitic domes, and
evidence of pervasive silicification and argillic alternation.
However, during Minsud’s tenure, San Antonio would appear to have been its
third-tier project, with most of its efforts concentrated on resource drilling
elsewhere in Argentina and Chile, with little attention directed toward San
Antonio.
Figure 4. Project satellite imagery
La Esfinge (The Sphinx)
So named because of a curious rock formation nearby (Figure 5.), La Esfinge
was not included in Minsud’s historical licence package.
Figure 5. The Sphinx
La Esfinge prospect lies approximately 5km along strike from San Antonio to
the NW, located directly on the primary regional structure. This prospect is
characterised by a large (8km strike length) silicified hill within a large erosional
window whereby the overlying basalts have been removed.
The prospect shows evidence of massive silica flooding and the development
of alteration and other features that suggest La Esfinge is part of the same
epithermal system as San Antonio, but slightly higher in that system.
No evidence of historical modern exploration has been uncovered, and it is
possible then the prospect is untouched.
San Antonio Prospect
Up to 0.5g/t Au in rock chips
Minsud Resources
La Esfinge Prospect
Untouched
Atlas Prospect
Local companies
Au in rock chips
Pingüino Silver Project
Austral Resources
Exploration plans and logistics
El Pantano is well located with good access, in a flat and open environment, and
therefore in general is reasonably easy to explore.
However, the winter months in Patagonia (mid-May to mid-July), in addition to being
very cold, are characterised by very short days, making field work logistically
inefficient.
In light of the imminent winter, the Company has decided to undertake a small
sampling program now, such that if results are positive, sufficient time may remain
for a second follow-up program before the winter break.
Figure 6. Sampling plan outline
Lasting approximately 2 weeks, the Company’s geological teams will complete a
large soil sampling programme over the entire La Esfinge prospect, as well more
detailed mapping and rock chip sampling at San Antonio.
During this phase, it is expected that approximately 400 soil samples, and 30-50 rock
chip samples will be taken.
Orosur CEO Brad George commented:
“With the hand over of Anzá, and the freeing up of financial and technical capacity,
our attention now turns to our new projects. El Pantano represents an exciting project
in that it demonstrates all of the early stage geological signs of a major epither mal
system – but is largely untouched by modern exploration.”
For further information visit www.orosur.ca, follow on Twitter @OrosurM or
contact:
Orosur Mining Inc
Louis Castro, Chairman,
Brad George, CEO
Tel: +1 (778) 373-0100
SP Angel Corporate Finance LLP – Nomad & Joint Broker
Jeff Keating / Caroline Rowe
Tel: +44 (0) 20 3 470 0470
Turner Pope Investments (TPI) Ltd – Joint Broker
Andy Thacker
James Pope
Tel: +44 (0)20 3657 0050
Flagstaff Strategic and Investor Communications
Tim Thompson
Mark Edwards
Fergus Mellon
Tel: +44 (0) 207 129 1474
The information contained within this announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR') which has been
incorporated into UK law by the European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this inside information is now considered to be in the
public domain.
About Orosur Mining Inc.
Orosur Mining Inc. (TSX -V: OMI; AIM: OMI) is a minerals explorer and developer focused on identifying and
advancing projects in South America. The Company currently operates in Colombia, Brazil and Argentina.
Forward Looking Statements
All statements, other than statements of historical fact, contained in this news release constitute “forward looking
statements” within the meaning of applicable securities laws, including but not limited to the “safe harbour ”
provisions of the United States Private Securities Litigation Reform Act of 1995 and are based on expectations
estimates and projections as of the date of this news release.
Forward-looking statements include, without limitation, the exploration plans in Colombia and the funding from
Monte Águila of those plans, Monte Águila´s decision to continue with the Exploration and Option agreement, the
ability for Loryser to continue and finalize with the remediation in Uruguay, the ability to implement the Creditors’
Agreement successfully as well as continuation of the business of the Company as a going concern and other
events or conditions that may occur in the fut ure. The Company’s continuance as a going concern is dependent
upon its ability to obtain adequate financing, to reach profitable levels of operations and to reach a satisfactory
implementation of the Creditor´s Agreement in Uruguay. These material uncerta inties may cast significant doubt
upon the Company’s ability to realize its assets and discharge its liabilities in the normal course of business and
accordingly the appropriateness of the use of accounting principles applicable to a going concern. There c an be
no assurance that such statements will prove to be accurate. Actual results and future events could differ materially
from those anticipated in such forward looking statements. Such statements are subject to significant risks and
uncertainties including, but not limited, those as described in Section “Risks Factors” of the MDA and the Annual
Information Form. The Company disclaims any intention or obligation to update or revise any forward -looking
statements whether as a result of new information, fut ure events and such forward-looking statements, except to
the extent required by applicable law.