Orvana Provides Exploration Update FOR Spanish Operations; Strong Potential to Increase Mineral Reserves and Resources
6808649 v1
For Immediate Release TSX:ORV
Date: November 27, 2017 #13-2017
ORVANA PROVIDES EXPLORATION UPDATE FOR SPANISH OPERATIONS;
STRONG POTENTIAL TO INCREASE MINERAL RESERVES AND RESOURCES
TORONTO, ONTARIO, November 27, 2017 -- Orvana Minerals Corp. (TSX:ORV) (the “Company” or
“Orvana”) is pleased to announce the results of a twelve month infill drilling campaign during fiscal 2017
at its El Valle and Carlés Mines in northern Spain.
The drilling program consisted of 209 diamond drill holes (“DD”) totaling approximately 23,000 meters (“m”)
at the El Valle Mine and 45 DD holes totaling approximately 2,700 m at the Carlés Mine. A core objective
of the drilling executed during fiscal 2017 was to generate the information required to substantially de- risk
the fiscal 2018 mine plan overall, and also to lay the foundation for future in- mine exploration targeting
expansion of the mineral resource base.
Assay intersections relating to this drilling program are provided in this news release and include the
following highlights:
El Valle Mine
• 8.29 g/t Au and 1.92% Cu over 9.6 m in the Black Skarn Oxide area, which remains open to the west.
• 64.27 g/t Au over 4.9 m in the East Breccia zone, an oxide orebody drilled from surface and located to
the northeast of current mine development.
Carlés Mine
• 12.54 g/t Au over 10.2 m in a skarn orebody located in the Carlés Northwest area, which contains
higher than average gold grades and which remains open at depth.
Jim Gilbert, Chairman and CEO of Orvana stated: “We are very pleased with the results of the infill drilling
activities at the El Valle and Carlés Mines during the past fiscal year. One of our stated objectives in fiscal
2018 is to improve grade control of the ore coming from our Spanish operations by targeting the
development of higher-grade oxide areas, which will, in turn, positively impact our overall unitary costs. The
successful infill drilling campaign completed in fiscal 2017 means that we are now well-positioned to achieve
this objective, and also to increase mineral reserves and resources within the new higher-grade Black Skarn
Oxide areas identified by the program.”
2017 Exploration Program
The results reported in this release are from three areas (1) Black Skarn Oxide (“BSO”), an oxide zone
located in the upper part of Black Skarn towards the west, (2) East Breccia (“EBX”), an oxide zone located
to the east of the El Valle open pit; and (3) Carlés Northwest (“CNW”), a skarn zone located at depth (Figure
1).
Drilling in these areas was undertaken with the objectives of (i) converting inferred mineral resources to
measured and indicated mineral resources and (ii) adding to the base of inferred mineral resources.
Elsewhere in the El Valle Mine, infill drilling was done to better define development and production stopes
and targeted holes were drilled to assist in dewatering efforts. Selected exploration results are summarized
in the tables and figures below.
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Figure1: El Valle-Boinás and Carlés Maps Showing Location of BSO, EBX and CNW
El Valle Boinás Deposit Carlés Deposit
The mineralization in the upper part of BSO is located in a structure which trends almost e ast-west and is
in an altered calcic skarn, oxidized with disseminated mineralization of copper sulfides (chalcopyrite) and
native copper, containing some Au and Cu values. This structure is separated from the main skarn orebody
by a limestone band. This drilling campaign shows indications that the identified BSO mineralization is open
towards the west (Figure 2).
The EBX mineralized structure trends n orth-south and is located at the n ortheast of the El Valle historical
pit. It is an epithermal oxidized structure made by jasperoid and semi -jasperoid fragments inside a highly
oxidized clay matrix. The 2017 drill campaign of the EBX included five holes from surface (Table 1). Based
on the promising results from the 2017 drilling program, the Company expects that t his area will be an
important part of the Company’s future exploration programs, with the potential for adding to the current
inventory of mineral reserves and resources (Figure 3).
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Table 1: El Valle-Boinás – BSO and EBX Drill Results
Hole Zone Azimuth Dip From
(m)
To
(m)
True
Thicknes
s (m)
Au
(g/t)
Ag
(g/t)
Cu
(%)
Recovery
%
16V1481 BSO 276.7 25.2 48.1 51.2 2.3 5.66 13.75 0.17 100
16V1481 BSO 82.1 115.3 24.9 3.51 78.87 0.65 72
Including 1 BSO 82.1 102.4 15.2 4.14 34.56 0.59 69
Including 2 BSO 106.0 115.3 6.9 3.26 198.40 1.02 84
16V1482 BSO 330.9 -1.3 20.5 21.9 1.4 9.30 58.70 1.76 86
16V1482 BSO 25.0 26.5 1.5 2.55 12.80 0.23 100
16V1483 BSO 293.9 25.5 76.0 88.0 9.6 8.29 52.84 1.92 88
16V1484 BSO 260.2 24.5 100.1 103.1 3.0 3.56 1.54 0.02 87
16V1485 BSO 292.8 11.5 90.2 98.1 4.7 5.56 53.60 1.06 75
16V1485 BSO 102.2 118.0 9.5 6.78 50.00 1.28 92
16V1487 BSO 313.1 27.8 20.7 22.6 1.6 13.22 33.29 0.75 90
16V1487 BSO 68.5 69.9 1.1 14.49 71.60 1.81 79
17V1490 BSO 308.1 9.2 58.8 66.4 7.6 3.86 46.61 0.11 95
17V1496 BSO 324.6 18.1 49.7 53.9 4.2 5.49 32.82 0.38 56
17V1497 BSO 350.2 16.1 43.45 46.65 3.2 2.19 72.10 0.92 94
17V1499 BSO 324.7 4.8 No intercepts Au>2g/t
17V1501 BSO 307.8 -3.5 84.75 87.8 1.53 3.63 37.74 0.64 93
17V1502 BSO 290.6 3.9 66.1 80.5 7.2 4.26 33.30
0.87
1 64
Including 1 BSO 79 80.5 0.75 13.84 99.5 2.34 93
16EBX1017 EBX 154.6 -56.5 28.1 33.5 4.9 64.27 5.65 0.23 70
Including EBX 29.4 30.5 0.9 285.06 23.10 0.76 57
16EBX1017 EBX 146.4 147.5 0.9 4.05 2.90 0.95 100
16EBX1017 EBX 166.5 170.7 3.8 7.73 1.12 0.91 100
Including EBX 169.4 170.7 1.2 20.31 1.20 1.64 100
16EBX1017 EBX 182.0 183.2 1.1 2.23 4.40 0.16 100
16EBX1018 EBX 174.0 -52.8 28.3 31.8 2.6 3.09 2.9 0.04 57
16EBX1018 EBX 208.2 210.2 1.5 5.24 0.5 0.01 100
16EBX1018 EBX 224.1 227.1 2.3 3.02 1.75 0.12 100
16EBX1019 EBX 192.7 -64.9 23.2 24.3 1.1 2.46 0.5 0.23 55
16EBX1019 EBX 211.6 216.2 4.6 2.96 0.5 0.03 100
16EBX1019 EBX 241.9 243.1 1.2 5.36 0.5 0.34 100
16EBX1020 EBX 125.7 -49.6 162.3 170.6 6.7 1.86 4.25 5.15 100
16EBX1020 EBX 166.3 167.7 1.1 7.93 13.20
20.1
2 100
16EBX1021 EBX 188.3 -54.7 No intercepts Au >2g/t
Note: True thicknesses were determined graphically by measuring the distance approximately perpendicular to the contacts. No
values were capped.
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Figure 2: El Valle-Boinás – BSO Plan View - Level +120
Figure 3: El Valle-Boinás – EBX 3D View
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Table 2: Carlés– CNW Drill Results
Hole Zone Azimuth Dip From,
(m)
To
(m)
True
Thickness
(m)
Au,
(g/t)
Ag,
(g/t)
Cu
(%)
Recovery,
(%)
17CNW1051R CNW 302.6 -18.5 95.4 102.0 3.3 3.08 2.84 0.11 89
17CNW1052 CNW 300.8 -10.1 83.5 84.5 1.0 3.12 4.70 0.18 100
17CNW1053 CNW 299.8 5.9 64.1 66.1 2.0 3.12 1.28 0.11 97
17CNW1054 CNW 300.0 27.0 56.6 57.6 0.9 5.11 0.50 0.01 100
17CNW1055 CNW 306.3 -26.2 61.7 74.6 5.2 5.06 6.45 0.30 98
Including CNW 70.8 73.3 1.0 13.70 20.60 1.02 100
17CNW1056 CNW 306.6 -15.0 45.2 51.2 3.6 4.97 3.85 0.14 88
17CNW1057 CNW 307.3 9.2 31.5 37.2 5.7 4.10 2.75 0.13 98
17CNW1058 CNW 308.8 31.7 28.0 31.8 3.9 3.00 2.78 0.08 95
17CNW1059 CNW 281.2 -26.2 99.3 106.9 2.3 2.02 1.41 0.17 64
17CNW1060 CNW 280.5 -16.8 73.8 75.2 1.4 3.73 2.10 0.15 89
17CNW1060 CNW 88.3 89.6 1.3 2.27 0.50 0.01 100
17CNW1061 CNW 285.2 8.9 35.7 37.2 1.3 2.41 8.20 0.34 100
17CNW1061 CNW 38.0 40.9 2.6 9.41 7.95 0.47 90
17CNW1062 CNW 303.7 -33.8 89.9 115.5 10.2 12.54 4.74 0.15 96
Including CNW 101.2 115.5 5.7 20.09 8.06 0.26 98
17CNW1063 CNW 282.1 -8.5 46.3 47.3 0.7 2.43 0.50 0.00 100
17CNW1063 CNW 58.3 59.2 0.6 20.90 26.30 0.61 89
17CNW1064 CNW 300.3 -25.1 120.2 121.3 0.4 3.86 10.00 0.40 100
17CNW1064 CNW 125.7 128.9 1.3 5.25 15.39 0.70 100
17CNW1065 CNW 316.9 -23.3 115.0 116.6 0.8 2.85 4.00 0.17 100
17CNW1066 CNW 318.8 -6.1 77.6 82.2 4.7 2.17 0.50 0.00 90
17CNW1067 CNW 300.6 -12.8 48.4 50.4 1.2 2.31 0.50 0.00 98
17CNW1067 CNW 53.4 56.2 1.7 14.58 0.78 0.00 95
17CNW1067 CNW 62.2 63.2 0.6 2.82 0.50 0.00 68
17CNW1068 CNW 299.3 -32.9 106.4 133.2 10.7 3.72 1.98 0.11 94
17CNW1068 CNW 108.0 114.8 2.4 6.08 1.09 0.10 89
17CNW1069 CNW 281.1 -24.1 96.8 108.1 5.7 3.08 0.55 0.01 97
17CNW1069 CNW 121.5 124.4 1.5 2.49 0.50 0.01 93
17CNW1070 CNW 279.2 -11.1 61.5 63.7 1.3 4.75 1.44 0.00 100
17CNW1071 CNW 267.2 27.1 34.6 40.4 5.9 3.14 0.50 0.00 93
17CNW1072 CNW 298.8 -26.7 76.7 84.8 4.1 8.10 1.17 0.01 96
Including CNW 76.7 80.0 1.7 16.63 1.34 0.00 94
17CNW1073 CNW 299.7 -1.6 38.5 44.8 5.0 4.82 0.59 0.01 98
17CNW1074 CNW 279.6 -18.4 No intercepts Au> 2 g/t
17CNW1075 CNW 334.1 10.9 28.5 38.2 9.17 7.63 2.69 0.07 94
Including CNW 28.5 32.5 3.80 12.98 1.60 0.02 94
17CNW1076 CNW 318.6 4.9 No intercepts AU> 2 g/t
17CNW1077 CNW 319.4 -13.5 52.5 58.3 4.09 5.80 1.52 0.01 96
Note: True thicknesses were determined graphically by measuring the distance approximately perpendicular to the contacts. No values
were capped.
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The CNW area located in the northwest portion of the Carlés deposit is a calcic continuous and well-defined
skarn trending in the n ortheast-southwest direction. Drilling in the CNW area indicates that mineralization
increases at depth (Figure 4: Hole 17CNW1062 - 10.2 m with 12.54 g/t Au). Evaluation is underway of the
potential for incorporation in the fiscal 2018 mine plan of these CNW stopes with higher grade skarn ores,
together with other recently drilled areas in the El Valle -Boinás deposit , which may positively impact
projected unitary costs.
Figure 4: Carlés – CNW Cross Section
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Further information related to the El Valle Mine and Carlés Mine geology and mineralization can be found
on the Company’s website (www.orvana.com).
QA/QC and Data Verification
Security measures were taken to ensure the integrity and validity of the mineralization and proximal roc ks
in the new drill core under the supervision of Guadalupe Collar Menéndez , Chief Geologist, Orovalle
Minerals S.L., a qualified person for the purposes of NI 43-101. The core was sampled based on lithologic
and alteration considerations. Assays were completed by the on-site laboratory at Orovalle Minerals S.L
except DDH 17V1496 that was analyzed at ALS Laboratory Group SL Mineral Laboratories at Sevilla, Spain
(“ALS”). The QA/QC protocol included internal and laboratory certified reference materials, blanks,
duplicates and check assays. At the Orovalle Minerals S.L. laboratory, a 30-gram sample was analyzed by
fire assay with an atomic absorption spectroscopy for gold, and copper, silver, arsenic, bismuth, mercury ,
lead, zinc, fluorine , selenium and antimony were analyzed by ICP-optical emission spectroscopy. Pulps
were sent to the ALS laboratory for check analyses. A 30-gram sample was analyzed by fire assay methods
for gold and a conventional Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP-AES) analysis
was used for the analysis of 35 elements at ALS. Copper values exceeding 10,000 ppm and silver values
exceeding 100 ppm were re- analyzed by atomic absor ption using a 4- acid digestion. In addition, Ms .
Menéndez has verified the sampling, analytical, and test data underlying the information or opinions
contained herein by reviewing original data certificates and monitoring all of the data collection protocols.
Qualified Person
The technical information contained in this document was prepared under the supervision of Guadalupe
Collar Menéndez, a qualified person for the purposes of NI 43-101 and an employee of Orovalle Minerals
S.L., a subsidiary of Orvana.
About Orvana
Orvana is a multi-mine gold and copper producer. Orvana’s operating assets consist of the producing gold-
copper-silver El Valle and Carlés mines in northern Spain and the producing gold- copper-silver Don Mario
mine in Bolivia. Additional information is available at Orvana’s website (www.orvana.com).
For further information please contact:
Jeff Hillis
Chief Financial Officer
T (416) 369-6281
Cautionary Statements - Forward-Looking Information
Certain statements in this information constitute forward-looking statements or forward- looking information within the
meaning of applicable securities laws (“forward-looking statements”). Any statements that express or involve
discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, potentials,
future events or performance (often, but not always, using words or phrases such as “believes”, “exp ects”, “plans”,
“estimates” or “intends” or stating that certain actions, events or results “may”, “could”, “would”, “might”, “will” or “are
projected to” be taken or achieved) are not statements of historical fact, but are forward-looking statements.
The forward-looking statements herein relate to, among other things, Orvana’s ability to increase mineral reserves and
resources; Orvana’s ability to convert existing inferred mineral resources to measured and indicated mineral resources;
Orvana’s ability to improve grade control of the mineralized material at its Spanish operations; Orvana’s ability to reduce
overall unitary costs;; Orvana’s ability to optimize its assets to deliver shareholder value; the Company’s ability to
optimize productivity at El Valle; estimates of future production, operating costs and capital expenditures; mineral
resource and reserve estimates; statements and information regarding future feasibility studies and their results; future
transactions; future metal prices; the ability to achieve additional growth and geographic diversification; future financial
performance, including the ability to increase cash flow and profits; future financing requirements; and mine
development plans.
Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered
reasonable by the Company as of the date of such statements, are inherently subject to significant business, economic
and competitive uncertainties and contingencies. The estimates and assumptio ns of the Company contained or
incorporated by reference in this information, which may prove to be incorrect, include, but are not limited to, the various
8
assumptions set forth herein and in Orvana’s most recently filed Management’s Discussion & Analysis and Annual
Information Form in respect of the Company’s most recently completed fiscal year (the “Company Disclosures”) or as
otherwise expressly incorporated herein by reference as well as: there being no significant disruptions affecting
operations, whet her due to labour disruptions, supply disruptions, power disruptions, damage to equipment or
otherwise; permitting, development, operations, expansion and acquisitions at El Valle and Don Mario being consistent
with the Company’s current expectations; poli tical developments in any jurisdiction in which the Company operates
being consistent with its current expectations; certain price assumptions for gold, copper and silver; prices for key
supplies being approximately consistent with current levels; producti on and cost of sales forecasts meeting
expectations; the accuracy of the Company’s current mineral reserve and mineral resource estimates; and labour and
materials costs increasing on a basis consistent with Orvana’s current expectations.
A variety of inherent risks, uncertainties and factors, many of which are beyond the Company’s control, affect the
operations, performance and results of the Company and its business, and could cause actual events or results to differ
materially from estimated or anticipat ed events or results expressed or implied by forward looking statements. Some
of these risks, uncertainties and factors include fluctuations in the price of gold, silver and copper; the need to
recalculate estimates of resources based on actual production experience; the failure to achieve production estimates;
variations in the grade of ore mined; variations in the cost of operations; the availability of qualified personnel; the
Company’s ability to obtain and maintain all necessary regulatory approvals and licenses; the Company’s ability to use
cyanide in its mining operations; risks generally associated with mineral exploration and development, including the
Company’s ability to continue to operate the El Valle and/or Don Mario and/or ability to resume long-term operations at
Carlés Mine; the Company’s ability to acquire and develop mineral properties and to successfully integrate such
acquisitions; the Company’s ability to execute on its strategy; the Company’s ability to obtain financing when required
on terms that are acceptable to the Company; challenges to the Company’s interests in its property and mineral rights;
current, pending and proposed legislative or regulatory developments or changes in political, social or economic
conditions in the countries in which the Company operates; general economic conditions worldwide; and the risks
identified in the Company’s Disclosures under the heading “Risks and Uncertainties”. This list is not exhaustive of the
factors that may affect any of the Company’s forward -looking statements and reference should also be made to the
Company’s Disclosures for a description of additional risk factors.
Any forward-looking statements made in this information with respect to the anticipated development and exploration
of the Company’s mineral projects are intended to provide an overview of management’s expectations with respect to
certain future activities of the Company and may not be appropriate for other purposes.
Forward-looking statements are based on management’s current plans, estimates, projections, beliefs and opinions
and, except as required by law, the Company does not undertake any obligation to update forward-looking statements
should assumptions related to these plans, estimates, projections, beliefs and opinions change. Readers are cautioned
not to put undue reliance on forward-looking statements.
The forward-looking statements made in this information are intended to provide an overview of management’s
expectations with respect to certain future operating activities of the Company and may not be appropriate for other
purposes.