Chakana Confirms Another Mineralized Breccia Pipe with 23.0m of 0.61 g/t Gold, 1.02% Copper and 26.1 g/t Silver (1.65% Cu-Eq) at Estremadoyro - Soledad, Peru 2024 Highlights at Soledad Project Include: Two shallow holes completed to test the grade of the Estremadoyro tourmaline breccia
Chakana Confirms Another Mineralized
Breccia Pipe with 23.0m of 0.61 g/t Gold, 1.02%
Copper and 26.1 g/t Silver (1.65% Cu-Eq) at
Estremadoyro - Soledad, Peru
2024 Highlights at Soledad Project Include:
Two shallow holes completed to test the grade of the Estremadoyro tourmaline breccia
pipe with mineralized intercepts of:
17.7 m @ 0.55 g/t Au, 0.77% Cu, and 39.7 g/t Ag (1.48% Cu-EQ) in hole SDH24-284
23.0 m @ 0.61 g/t Au, 1.02% Cu, and 26.1 g/t Ag (1.65% Cu-EQ) in hole SDH24-285
First reported occurrence of:
bornite associated with chalcopyrite in breccia mineralization
low-grade copper halo in wall rock of breccia
Drilling is now underway 900 m southwest in the Mega-Gold target area with 2 holes
completed and the third hole in progress (assays pending)
Vancouver, British Columbia--(Newsfile Corp. - May 8, 2024) -
Chakana Copper Corp. (TSXV:
PERU) (OTCQB: CHKKF) (FSE: 1ZX)
(the "
Company
" or "
Chakana
"), is pleased to report results
from two exploration holes drilled in the Estremadoyro breccia pipe and provide an update on drilling in
the Mega-Gold target area at the Soledad project, Ancash, Peru. These are the first drill results reported
for the southern half of the Soledad project based on a new expanded drill permit that was approved in
June 2023 and is part of the ongoing fully funded 3,000 m drill program that started April 5, 2024.
"We are excited to see excellent grades at Estremadoyro, comparable to the grade of our published
resource from 2022. We are also very encouraged to see bornite mineralization and mineralization
extending into the wall rock away from the breccia contact. We know from our drilling that the breccia
pipes are vertically extensive so these grades certainly support additional drilling in the future to
determine what tonnage potential the Estremadoyro breccia may have. In addition, the drilling at Meg-
Gold is progressing well with extensive alteration identified in the drilling to date. Importantly, we have
confirmed that the strong induced polarization chargeability response is related to sulfides and
chalcopyrite-molybdenite mineralization has been identified in all three holes thus far," stated President
and CEO David Kelley.
Results
Estremadoyro Breccia
DDH #
From
-
To (m)
Core Length
(m)
Au
g/t
Ag
g/t
Cu %
Cu-eq
%*
Au-eq g/t*
SDH24-284
54.2
71.9
17.7
0.55
39.7
0.77
1.48
2.24
and
73.0
85.15
12.15
0.085
9.76
0.16
0.30
0.46
SDH24-285
12.00
35.00
23.00
0.61
26.1
1.02
1.65
2.50
* Cu_eq and Au_eq values were calculated using copper, gold, and silver. Long-term CIBC metal prices (January 2, 2024) were utilized for the
calculations: Cu - US$3.81/lb, Au - US$1,724/oz, and Ag - US$22.71/oz. No adjustments were made for recovery as the project is an early-stage
exploration project and metallurgical data to allow for estimation of recoveries are not yet available. The formulas utilized to calculate equivalent
values are Cu-eq (%) = Cu% + (Au g/t * 0.65977) + (Ag g/t * 0.00869) and Au-eq (g/t) = Au g/t + (Cu% * 1.51567) + (Ag g/t * 0.01317).
Estremadoyro Breccia Pipe
The Estremadoyro breccia pipe is road-accessible and located in the central part of the project at an
elevation of 3,860 m within the new drill permit area for the southern half of the Soledad project (Figure
1). The breccia pipe is exposed at the lowest elevation of any breccia tested to date, is strongly
mineralized at surface in gold, copper, and silver, and is the closest mapped breccia to the Mega-Gold
porphyry target area currently being drilled.
Two shallow holes totaling 142.8m were completed to determine the grade of mineralization hosted
within the breccia pipe (Figures 2 and 3). Hole SDH24-284 was collared west of the exposed breccia
pipe and drilled back to the east, intersecting the breccia at 54.2 m depth and cutting 17.7 m of
mineralized breccia. Hole SDH24-285 was collared on the east side of the exposed breccia and drilled
steeply to the west. This hole cut 19.45 m of breccia from 14.2 m depth with mineralization extending 2.2
m into the wall rock on the east side, and 1.35 m on the west side. Examples of mineralized drill core
from these holes are shown in Figure 4.
Chakana's previous drilling on seven breccia pipes on the north half of the project led to an initial inferred
resource (see news release dated January 11, 2022) and showed that the breccias are vertically
extensive features with additional drilling warranted if the grade profile is considered significant. Based
on the mineralized intercepts reported here, additional drilling should be conducted to determine the
tonnage potential and grade of this discovery.
In addition to the significant grades encountered in drilling, the Estremadoyro breccia has the first
identified occurrence of bornite intergrown with chalcopyrite in drilling to date at Soledad. Bornite has a
copper content of 63.3% compared to Chalcopyrite with 34.6%. Another notable difference at
Estremadoyro is a low-grade copper halo in the wall rock adjacent to the breccia pipe. Normally the
grade drops abruptly at the contact between breccia and wall rock due to the permeability contrast, but in
the case of drill hole SDH24-284, a zone of chalcopyrite-pyrite mineralization in wall rock was
encountered from 73.00 m to 85.15 m (12.15 m) with a grade of 0.30% copper-equivalent.
This
indicates the potential for a greater volume of mineralization surrounding the breccia pipe at depth.
Exploration Drill Program Update
Two drill holes have been completed to date at Mega-Gold with the third hole in progress (Figure 5,
assays pending). The Mega-Gold target covers a very large area occupying 2.5 km
2
with anomalous
gold and molybdenum in soil overlying pervasive tourmaline-quartz-white mica alteration, overprinted by
localized advanced argillic alteration zones and tourmaline breccias. Within the soil anomaly are distinct
Offset (3D) induced polarization chargeability responses.
Hole MGDH24-001 was drilled to the northeast to a depth of 353.8 metres. The hole targeted strong soil
geochemistry responses up to 0.325 g/t gold and 54 ppm molybdenum. Both gold and molybdenum are
stable in acid oxidizing conditions and useful for drill targeting purposes. The hole also targeted a strong
induced polarization chargeability response of >40 millivolts per second, interpreted to indicate the
presence of sulfides. Volcanic units of the Calipuy Formation were encountered along the entire extent of
the drill hole, consisting predominantly of andesitic tuff, with lessor amounts of porphyritic dacite and
volcanic breccia. The hole is notable for having moderate to intense alteration along its entire length, with
deep oxidation to 92 m depth consisting of moderate to intense argillic alteration and up to 70% iron
oxides. This alteration is interpreted to be supergene in origin owing to the weathering of a sulfide-rich
parent rock. At 113 m depth, moderate to strong quartz-sericite-pyrite alteration occurs and continues to
the end of the hole. Pyrite occurs as disseminations and in association with quartz veins, and quartz-
tourmaline veins. Pyrite varies from 3% to 15% to the end of the hole. Molybdenite-pyrite in association
with sugary-textured quartz veins occur sporadically from 181 m depth to the end of the hole.
Chalcopyrite-pyrite occurs sporadically in quartz and quartz-tourmaline veins from 228 m depth to the
end of the hole.
Hole MGDH24-002 was drilled to the south from the same platform as MGDH24-001 to a depth of
453.15 metres. This hole targeted a magnetic body surrounded by strong induced polarization
chargeability to the north and south (Figure 5).
The hole cut a similar volcanic rock sequence as
MGDH24-001 to a depth of 225.8 where younger granodiorite is in contact with the andesitic tuff.
Oxidation from surface to 54.15 m depth is associated with moderate to intense argillic alteration with up
to 80% iron oxides. The alteration transitions to quartz-sericite-pyrite beneath the zone of oxidation with
pyrite reaching 10% in pyrite veinlets, quartz-pyrite-tourmaline veinlets, and disseminations. Quartz-
pyrite-molybdenite veinlets are noted below 118.8m depth. Tourmaline breccia cuts the andesitic tuff at
167.65 m depth over 9.4 m associated with pyrite and traces of molybdenite. The granodiorite exhibits
chlorite alteration overprinted by quartz-sericite-tourmaline-pyrite in veins and zones of replacement with
molybdenite and chalcopyrite as disseminations and in quartz-tourmaline veins. The granodiorite is cut
by 105.1 m of tourmaline breccia with highly altered quartz-tourmaline-replaced granodiorite clasts with
pyrite and traces of chalcopyrite and molybdenite. Beneath the breccia the granodiorite exhibits zones of
strong tourmaline replacement and veining with 0.5-1.0% chalcopyrite in quartz-tourmaline veinlets and
disseminations from 399.85-409.05 m depth. Trace chalcopyrite and molybdenite associated with
quartz-tourmaline veinlets occurs to the end of the hole.
Hole MGDH24-003 is being drilled from a platform 100 m south of MDGH24-001/002, testing a
moderate strength chargeability response adjacent to the same magnetic high (Figure 5). The hole is
currently at 137.65 m depth with oxidation to 46.3 m depth and up to 80% iron oxides in argillic
alteration. Andesitic tuff occurs from surface to 130.5 m depth, with moderate to strong quartz-sericite-
pyrite alteration. Chalcopyrite is associated with quartz-pyrite-tourmaline veinlets starting at 99.15 m
depth and traces of disseminated molybdenite starting at 120.4 m depth. At 130.5 m depth the tuff is cut
by a mineralized structure with 70% pyrite and a hydrothermal breccia to the current depth.
About Chakana Copper
Chakana Copper Corp is a Canadian-based minerals exploration Company that is currently advancing
the Soledad Project located in the Ancash region of Peru, a highly favorable mining jurisdiction with
supportive communities. The Soledad Project is notable for the high-grade copper-gold-silver
mineralization that is hosted in tourmaline breccia pipes. An initial mineral resource estimate for seven
breccia pipes was announced in Q1 2022 (see news release dated February 23, 2022), with an Inferred
Resource of 4.8 million tonnes grading 0.72 g/t gold, 61 g/t silver and 0.97% copper assumed to be
extractable by underground mining methods, plus an additional Inferred Resource of 1.9 million tonnes
grading 1.29 g/t gold, 37.1 g/t silver and 0.65% copper assumed to be extractable by open pit mining
methods. The total initial Inferred Resource contains 191,000 ounces of gold, 11.7 million ounces of
silver, and 130 million pounds of copper.
In addition, extensive multidisciplinary exploration has defined 154 exploration targets, 28 of which have
been tested to date (18%), confirming that Soledad is a large, well-endowed mineral system with strong
exploration upside.
Chakana's investors are well positioned as the Soledad Project provides exposure
to copper and precious metals. For more information on the Soledad project, please visit the website at
www.chakanacopper.com
.
Results of an initial inferred mineral resource estimate and additional information concerning the Project,
including a technical report prepared in accordance with National Instrument 43-101, are available on
Chakana's profile at
www.sedar.com
.
Sampling and Analytical Procedures
Chakana follows rigorous sampling and analytical protocols that meet or exceed industry standards.
Core samples are stored in a secured area until transport in batches to the ALS facility in Callao, Lima,
Peru.
Sample batches include certified reference materials, blank, and duplicate samples that are then
processed under the control of ALS. All samples are analyzed using the ME-MS41 (ICP technique that
provides a comprehensive multi-element overview of the rock geochemistry), while gold is analyzed by
AA24 and GRA22 when values exceed 10 g/t by AA24.
Over-limit silver, copper, lead and zinc are
analyzed using the OG-46 procedure. Over-limit sulfur is determined by oxidation, induction furnace and
infrared spectroscopy (S-IR08). Soil samples are analyzed by 4-acid (ME-MS61) and for gold by Fire
Assay on a 30g sample (Au-ICP21).
Results of previous drilling and additional information concerning the Project, including a technical report
prepared in accordance with National Instrument 43-101, are made available on Chakana's SEDAR
profile at
www.sedar.com
.
Qualified Person
David Kelley, an officer and a director of Chakana, and a Qualified Person as defined by NI 43-101,
reviewed and approved the technical information in this news release.
ON BEHALF OF THE BOARD
(signed) "
David Kelley
"
David Kelley
President and CEO
For further information contact:
Phone:
720-233-2166
Email:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Forward-looking Statement Advisory:
This release may contain forward-looking statements.
Forward-looking statements involve known and unknown risks, uncertainties, and other factors which
may cause the actual results, performance, or achievements of Chakana to be materially different
from any future results, performance, or achievements expressed or implied by the forward-looking
statements. Forward looking statements or information relates to, among other things, the
interpretation of the nature of the mineralization at the
Soledad copper-gold-silver
project (the
"Project"), the potential to expand the mineralization, and to develop and grow a resource within the
Project, the planning for further exploration work, the ability to de-risk the potential exploration targets,
and our belief in the potential for mineralization within unexplored parts of the Project. These forward-
looking statements are based on management's current expectations and beliefs but given the
uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such
forward- looking statements or information. The Company disclaims any obligation to update, or to
publicly announce, any such statements, events or developments except as required by law.
Figure 1 - Map showing defined targets by type for the Soledad project. Principal target areas on the
south side that are being drill tested in the current campaign include the Estremadoyro tourmaline
breccia pipe, the Mega-Gold porphyry target area, and the La Joya high-sulfidation epithermal alteration
zone.
Breccia pipes included in the initial inferred resource estimate labeled in dark blue.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2172/208343_0a67672894061b21_001full.jpg
Figure 2 - Map showing drill holes reported in this release and modeled breccia pipe at Estremadoyro
(light red shape) based on surface outcrop and drill intercepts. Light grey topography contours are at 5m
intervals. Blue rectangle in the inset map shows the area of Figure 2 within the overall Soledad property.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2172/208343_0a67672894061b21_002full.jpg
Figure 3 - 3D sectional view of Estremadoyro looking north. Light red 3D shape shows inferred breccia
pipe geometry based on surface outcrops and drill intercepts.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2172/208343_0a67672894061b21_003full.jpg