Pan Global Announces First Drill Results from the Aguilas Project in Spain High Grade Intersects Include 22.15% PbEq or 815 g/t AgEq
Pan Global Announces First Drill Results from the
Aguilas Project in Spain
High Grade Intersects Include 22.15% PbEq or 815 g/t AgEq
Vancouver, British Columbia--(Newsfile Corp. - May 14, 2019) - Pan Global Resources Inc. (TSXV: PGZ) (OTC: PGNRF) (the
"Company") is pleased to announce results from its first exploration drill program at the Águilas Project in Spain.
The company
completed 20 wide-spaced drill holes for a total of 2,944 metres in April 2019.
This includes 13 drill holes along 4.1 kilometres
of the Zumajo Pb-Zn-Ag trend and 7 drill holes along a 5.2 kilometre segment of the Torrubia Cu trend. This is the first drilling on
these targets with high metal grades intersected in several drill holes.
Tim Moody, President and CEO, states: "These are encouraging results for the first drill holes in the Aguilas Project.
We believe
the exploration potential remains significant given the wide spacing and shallow depth of the drill holes completed to date.
The
drill holes on the Zumajo trend show that the high grade Pb, Zn and Ag mineralization extends beyond the historical mine
workings and remains open in all directions."
On the Zumajo trend, significant drill results are reported along approximately 1.5 km of strike extending from the San Juan, San
Rafael and Dos Centimos mine workings, open down dip and along strike.
This includes high grade polymetallic mineralization
(Pb, Zn, Ag ± Cu, Au) within an 8 to 20m wide, steeply dipping zone of multi-stage breccia and veins.
High grade intervals
include up to 16.85% Pb, 1.9% Zn, 85 g/t Ag (22.15% PbEq or 815 g/t AgEq) over 0.6 metres (drill hole VAC-006).
The drilling
also indicates that Pb and Ag mineralization near the San Luis and San Cayetano mine workings is open along strike and at
depth.
The drill holes on the Torrubia trend include 40-90 metre wide intervals of intense multi-stage breccia and hematite-quartz-
carbonate alteration. The breccia is anomalous in Cu in each drill hole.
The best grades include 2.65% Cu, 125ppm Co and 3
g/t Ag (2.76% CuEq) over 0.8m and 1.65% Cu, 240ppm Co and 2.1 g.t Ag (2.05% CuEq) over 0.7m in the northernmost drill
hole, TOR-001. Copper appears to increase to the North where the target remains open and untested. Recent exploration has
also extended the Torrubia trend a further 4 km to the south, giving a total strike length of 16 km.
Drilling highlights:
VAC-002: 17.5m @ 1.66% Pb and 8.5 g/t Ag, including
8.5m @ 3.38% Pb, 0.11% Zn, 0.02% Cu, 17.3 g/t Ag
(includes
0.9m @ 5.14% Pb, 0.12% Zn, 0.02% Cu, 34.8 g/t Ag
and
1.3m @ 14.85% Pb, 0.11% Zn, 0.04% Cu, 67.1g/t Ag
)
VAC-005: 15.3m @ 0.88% Pb, 0.27% Zn, 6.2 g/t Ag, including
7.85m @ 1.68% Pb, 0.48% Zn, 10.2 g/t Ag
(includes
0.85m @ 0.93% Pb, 3.22% Zn, 16.5 g/t Ag
and
1.9m @ 6.05% Pb, 29.8 g/t Ag)
VAC-006: 17.7m @ 0.84% Pb, 0.48% Zn, 5.1 g/t Ag, including
8.6m @ 1.72% Pb, 0.94% Zn, 0.15% Cu, 10.2 g/t Ag
,
(includes
0.6m @ 16.85% Pb, 1.9% Zn, 0.08% Cu, 85.1 g/t Ag, 0.02 g/t Au
and
1.6m @ 1.18% Pb, 1.9% Zn, 0.07%
Cu, 7.3 g/t Ag, 0.03 g/t Au
)
ZUM-003:
9.2m @ 2.4% Pb and 9.4 g/t Ag
, including
3.4m @ 5.55% Pb, 16.4 g/t Ag
TOR-001: 16m @ 0.30% Cu, 30.5ppm Co, 0.6 g/t Ag, 0.05 g/t Au , including
0.8m @ 2.65% Cu, 125ppm Co, 3 g/t Ag,
0.004 g/t Au
and
0.7m @ 1.85% Cu, 240ppm Co, 2.1 g/t Ag, 0.02 g/t Au
; 0.7m @ 0.55 g/t Au
Mr Moody added: "The next round of drilling on the Zumajo trend will focus on further testing the continuity, grade and extent of
the polymetallic mineralization.
The drilling on the Torrubia trend shows the breccia is anomalous in copper over several
kilometres of strike and provides an indication of a potentially strong mineralized system, with drill hole TOR-001 demonstrating
potential for high copper grades. We have applied for access to drill test the northern extension of the Torrubia trend where the
strongest and widest soil copper anomaly is located."
About the Aguilas Project
The Aguilas project covers more than 16,000 hectares in northern Andalucia, Spain.
Exploration to-date has focussed on major
fault structures cutting the Pedroches Batholith. This includes Pb Zn Ag mineralization along the >20 km long Northwest oriented
Zumajo historical Pb Ag mine trend and hematite-dominant iron oxide copper gold (IOCG) style mineralization along the >10 km
long Northeast oriented Torrubia trend.
None of the targets have been drill tested previously.
In 2018, soil sampling along a 5 km section of the Zumajo trend delineated two large lead-zinc-silver targets.
Surface sampling
returned very high values up to 8.9% Pb, 0.97% Zn, 17.5g/t Ag and 672ppm Cu in soils and up to >20% Pb, 20.7% Zn, 235g/t
Ag and 12.75% Cu in rock grab samples from mine dumps and occasional outcrop.
The historical mine workings along the trend
are mainly shallow, with the deepest shaft being approximately 120m depth. The mines operated from the late 1800's to 1958.
Exploration by the company in 2017 and 2018 resulted in the definition of two large copper anomalies on the Torrubia copper
trend at Torrubia and Cerro Aguila, with up to 0.69% Cu in soils and up to 28% Cu, 33% Fe, 1.7g/t Au, 15.5g/t Ag and 0.13% Co
in rock grab samples.
Drilling commenced in September 2018 designed to provide the first test of the polymetallic and IOCG targets, and provide
information on the geology and style of mineralization.
New exploration on the Torrubia trend in 2019 suggests the structure
extends a further 4 km to the South giving a potential total strike length of approximately 16 km with further exploration required.
The majority of the Aguilas Project has not yet been explored, including several areas still under mineral rights application.
Drill results are summarized in Table 1 and Table 2.
Drill hole collar information provided in Table 3.
Drill hole locations are
shown in Figure 1.
Zumajo trend
A total of 13 drill holes were completed along a 4.2 km section of the >20 km long Zumajo trend testing a combination of Pb-Zn-
Ag soil geochemistry, IP anomalies and down-dip or along strike from the historical mine workings at San Juan, San Rafael, San
Luis and San Cayetano (Figure 2).
High grade Pb, Zn, Ag ± Cu mineralization was encountered in several drill holes along
approximately 1.5 km of strike extending from the historical mine workings at San Juan, San Rafael and Dos Centimos.
High Pb
± Ag grades were also encountered along strike from the San Luis and San Cayetano mine workings. The mineralization
extends from surface and is open along strike and down-dip at both areas associated with multi-stage breccia, vein and stock
work. This includes coarse grained galena, pale sphalerite, chalcopyrite and chalcocite. Fracturing, veining and quartz,
carbonate, clay and weak hematite alteration increases approaching the Pb-Zn-Ag mineralization and chlorite-sericite-epidote
alteration more peripheral.
Scope exists to considerably extend the high grade polymetallic mineralization on the Zumajo trend at depth and along strike.
Average distance between drill holes is currently approximately 415m.
Distances of 450 to 680m separates the highest grade
intercepts in drill holes VAC-002, 005 and 006. A gap of >1.1km with very little exploration separates hole VAC-006 to the
nearest drill hole to the East at San Luis.
Torrubia trend
The first phase of drilling included 4 drill holes over approximately 800m of strike in the south of the Torrubia target and 3 drill
holes over approximately 360m of strike at the Cerro Aguilas target. The drill holes show intense IOCG-style hematite-quartz-
carbonate hydrothermal alteration and multistage breccia over widths of 40 to 90 metres and surrounded by a broader zone of
chlorite-sericite-hematite alteration.
The breccia contains anomalous levels of Cu ± Co, Ag and Au in each drill hole.
High
copper grades are confirmed over narrow intervals in drill hole TOR-001.
Drill holes TOR-001, TOR-002 and TOR-003 show increasing copper down-hole before being truncated by a post-mineral fault,
suggesting the full width of the copper mineralization has not been intersected (Figure 3).
The results show copper increasing at
depth and towards the North where the structure continues un-tested for a further 5 km.
Access is awaited to test the strongest
and widest soil copper anomaly extending approximately 1.7 km north of hole TOR-001.
The drill holes on the Cerro Aguilas target returned anomalous levels of copper (100's ppm to 0.33% Cu) in the breccia.
The
widest breccia intervals were encountered at Cerro Aguilas and appears to widen towards the intersection with the Zumajo
trend.
The results do not explain the source of the high copper grades found in boulders at surface.
Table 1
- Zumajo drill results summary
Hole_ID
From
(m)
To
(m)
Int.
(m)
Pb
%
Zn
%
Ag
g/t
Cu
%
Au
g/t
PbEq
%
AgEq
g/t
Comment
ZUM001
21.4
42
20.6
1.1
ZUM002
64
73
9
0.98
<0.01
3.9
<0.01
<0.01
1.12
42
including
64.8
67.4
2.6
3.02
0.01
9.3
0.01
<0.01
3.33
125
ZUM003
76.2
92.5
16.3
1.37
0.01
2.2
<0.01
<0.01
1.57
59
incl. halo
78
87.2
9.2
2.4
0.01
9.4
0.01
0.01
2.71
102
including
79
82.4
3.4
5.5
<0.01
16.4
0.01
0.01
5.99
225
including
85.4
86
0.6
2.2
<0.01
18.1
0.01
<0.01
2.74
103
ZUM004
Weakly anomalous Pb (maximum 2m @ 0.3% Pb from 56.0m)
ZUM005
Weakly anomalous Pb (maximum 1.4m @ 0.11% Pb from 64.0m)
ZUM006
138.1
144.6
6.5
0.58
0.01
4.5
0.01
<0.01
0.74
28
including
138.1
139
0.9
2.04
0.01
20.8
<0.01
<0.01
2.64
99
ZUM007
No significant results
VAC001
100.15
105.85
5.7
0.19
0.15
5.4
0.04
<0.01
0.69
26
Mine tunnel -
Low recovery
VAC002
166
183.5
17.5
1.66
0.06
8.5
0.01
<0.01
2.01
76
incl. halo
169
177.5
8.5
3.38
0.11
17.3
0.02
<0.01
4.06
152
including
170
170.9
0.9
5.14
<0.01
34.8
0.01
<0.01
6.14
230
including
173.7
175
1.3
14.85
0.11
67.1
0.03
<0.01
16.91
634
VAC003
122.8
134.1
11.3
0.2
0.5
3.6
<0.01
<0.01
1.03
39
VAC004
Abandoned in mine workings. Hole ends in 2.62% Pb, 0.22% Zn, 11 g/t Ag
VAC005
51
66.3
15.3
0.88
0.27
6.2
0.01
<0.01
1.48
55
incl. halo
57.15
65
7.85
1.68
0.48
10.2
0.02
<0.01
2.7
101
including
57.15
58
0.85
0.93
3.22
16.5
0.04
<0.01
6.16
231
including
60.1
62
1.9
6.05
0.08
29.8
0.03
<0.01
7.06
265
VAC006
59.3
77
17.7
0.84
0.48
5.1
0.08
<0.01
1.94
73
incl. halo
66.6
75.2
8.6
1.72
0.94
10.2
0.15
0.01
3.86
145
including
67
67.6
0.6
16.85
1.89
85.1
0.08
0.01
22.15
831
including
73.6
75.2
1.6
1.18
2.04
7.3
0.07
0.03
4.62
173
Note: AgEq and PbEq Metal prices used: Lead US$0.9 per pound, Zinc US$1.3 per pound, Copper US$2.90 per pound,
Silver US$15 per ounce, Gold US$1275 per ounce. Assumed 100% recovery.
Table 2
- Torrubia drill results summary
Hole_ID
From
(m)
To
(m)
Interval
(m)
Cu
(%)
Co
(%)
Ag
(g/t)
Au
(g/t)
CuEq
(%)
TOR001
90
106
16
0.3
30.5
0.6
0.05
0.36
including
91.15
91.95
0.8
2.65
127
3
0.04
2.76
including
100.4
101.1
0.7
1.85
240
2.1
0.02
2.05
TOR002
63.1
70.5
7.4
0.14
16.3
0.4
0.01
0.16
TOR003
No significant results
TOR004
54.3
59
4.7
0.17
40
0.3
0.02
0.22
CDA001
Weakly anomalous Cu (maximum 0.35m @ 0.12% Cu from 58.70m)
CDA001
Weakly anomalous Pb (maximum 1m @ 0.19% Pb from 81.0m )
CDA002
Weakly anomalous Cu (maximum 0.4m @ 0.33% Cu, 138ppm Co from 73.2m)
CDA003
No Significant results
Note: CuEq Metal prices used: Copper US$2.90 per pound, Silver US$15 per ounce, Gold US$1275 per ounce, Cobalt
US$20.0 per pound. Assumed 100% recovery.
Table 3
- Drill hole collar information
Hole_ID
Easting
1
Northing
1
Z (m)
Azimuth
True (
o
)
Dip
(
o
)
Length
(m)
ZUM001
377185
4238618
792.70
220
-50
104.7
ZUM002
377129
4238699
779.41
220
-60
141.5
ZUM003
376561
4239213
751.94
220
-60
119.8
ZUM004
376817
4238945
761.94
220
-70
147.7
ZUM005
376147
4239528
742.96
220
-65
146.5
ZUM006
376663
4239183
754.54
220
-65
176.8
ZUM007
377053
4238745
778.05
220
-65
141.3
VAC001
374704
4240683
738.47
215
-65
135.3
VAC002
374769
4240719
743.81
215
-60
224
VAC003
373965
4241137
712.51
210
-60
159.9
VAC004
374336
4240870
730.91
210
-60
44.6
VAC005
374337
4240871
730.87
210
-70
83.3
VAC006
375296
4240292
741.90
220
-60
122.7
TOR001
373603
4246593
650.20
120
-60
151.5
TOR002
373611
4246588
650.40
120
-45
88.2
TOR003
373525
4246568
644.00
130
-60
189.3
TOR004
373110
4245978
643.56
130
-60
181.4
CDA001
370703
4242288
697.92
130
-60
160.5
CDA002
370923
4242568
724.96
130
-50
193.4
CDA003
370870
4242523
715.94
130
-65
231.1
1
coordinates are in ERTS89 datum UTM30N
Figure 1 - Drill hole locations
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/5190/44724_cb690dc7d4e1d89e_001full.jpg
Figure 2
- Zumajo Long section (approximately 4.2km)
To view an enhanced version of Figure 2, please visit:
https://orders.newsfilecorp.com/files/5190/44724_cb690dc7d4e1d89e_002full.jpg
Figure 3
- Cross section TOR001, 002 and 003
To view an enhanced version of Figure 3, please visit:
https://orders.newsfilecorp.com/files/5190/44724_cb690dc7d4e1d89e_003full.jpg
QA/QC
Drilling was subcontracted to an independent drilling company. Typically, all holes were collared in PQ to approximately 10m and
continued in HQ. All drill hole collar positions were surveyed using a Differential GPS Leica 900 with centimetric precision. The
trajectory of each borehole was surveyed using a Mag Cruiser Sensor Module SM1 series 1801. Core was logged and
processed at PGZs secure core storage facility at Villanueva de Cordoba. Average core recovery for the program was 88%,
ranging from 95% to 53% (low recoveries were experienced in several holes after intersecting historic underground mine
workings). Nominal sample size was 1m (0.5m-1.5m) in prospective lithologies and 2m intervals in unaltered non mineralized
material. Samples were half core and competent drill core was cut using a bench water cooled diamond saw, and fractured
unconsolidated material was manually split. Core was photographed before and after cutting. Samples were hand delivered to
the ALS Sample preparation facility in Seville, Spain and crushed and pulverised using method CRU-31, SPL-22Y, PUL-31
protocol. Samples were analysed in the ALS analytical facility in Loughrea Ireland using ICP-AES 4 acid digest, ME-ICP61, Au-
ICP22 (50g Fire assay) and over grade samples re-analysed using atomic absorption spectrometry (OG). Quarter core
duplicates were inserted at a frequency of 1 per 50 samples and Certified reference materials inserted at a frequency of 1 per
30 samples. No notable issues were observed with the duplicates or standards, however local issues were observed between
drill hole recovery and grade where ground was highly fractured or historic mine workings were intersected. All sample reject and
pulp material and remaining half and unsampled core is stored at the PGZ warehouse.
Qualified Person
Robert Baxter (FAusIMM), a Director of Pan Global Resources and a qualified person as defined by National Instrument 43-101,
has reviewed the scientific and technical information that forms the basis for this news release. Mr. Baxter is not independent of
the Company.
About Pan Global Resources
Pan Global Resources Inc. is actively engaged in base and precious metal exploration in Spain and is pursuing opportunities
from exploration through to mine development.
The company is committed to operating safely and with respect to the
communities and environment where we operate.
On behalf of the Board of Directors
www.panglobalresources.com
.
FOR FURTHER INFORMATION PLEASE CONTACT:
Statements which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans,
expectations or intentions regarding the future. It is important to note that actual outcomes and the Company's actual results
could differ materially from those in such forward-looking statements. Risks and uncertainties include, but are not limited to,
economic, competitive, governmental, environmental and technological factors that may affect the Company's operations,
markets, products and prices. Readers should refer to the risk disclosures outlined in the Company's Management Discussion
and Analysis of its audited financial statements filed with the British Columbia Securities Commission.
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