Panoro Minerals Extends Potential of Oxides Mineralization in Maria Jose, Petra and David Targets of Cluster 1 at Cotabambas Project, Peru
Panoro Minerals Extends Potential of Oxides Mineralization in Maria Jose,
Petra and David Targets of Cluster 1 at Cotabambas Project, Peru
VANCOUVER, B.C., Dec. 11, 2017 -- Panoro Minerals Ltd. (TSXV:PML) (Lima:PML) (Frankfurt:PZM) ("Panoro", the
"Company") is pleased to provide an update of its exploration drill program at its 100% owned Cotabambas Cu/Au/Ag Project
in Peru. Highlights are as follows:
• Petra Target: Drillhole CB-172 intersected from 0 to 78.8m oxide copper mineralization in a quartz monzonite porphyry
intruding diorite and averaging 0.32% Cu, 0.08 g/t Au, 2.2 g/t Ag, including two intervals of 20.4m grading 0.48% Cu,
0.12 g/t Au, 2.6 g/t Ag, and 10.0m averaging 0.57% Cu, 0.14 g/t Au, 2.2 g/t Ag.
• Maria Jose 1 Target: Drillhole CB-180 intersected from 2.2m to 115.0m oxide copper mineralization at the contact
between andesite volcanics and quartz monzonite porphyry and averaging 0.23% Cu, 0.02 g/t Au and 1.1 g/t Ag,
including two intervals of 9.0m grading 0.43% Cu, 0.03 g/t Au, 1.1 g/t Ag and 34.9m averaging 0.30% Cu, 0.02 g/t Au,
1.3 g/t Ag.
• David Target: Drillhole CB-175 intersected from 54.8m to 142.4m oxide copper mineralization in a quartz monzonite
porphyry intruding andesite volcanics and averaging 0.20% Cu, 0.07 g/t Au, 1.8 g/t Ag, including two blankets of 7.6m
grading 0.39% Cu, 0.13 g/t Au, 2.4 g/t Ag, and 8.6m averaging 0.29% Cu, 0.08 g/t Au, 2.3 g/t Ag.
Luquman Shaheen, President & CEO of Panoro, states, “The drilling program continues to intersect oxide mineralization in the
satellite targets of Cluster 1 of the Cotabambas Project. The oxide mineralization intersected at or near surface is
demonstrating the potential to include a heap leach and SX/EW component to the current project plan outlined in the
Preliminary Economic Assessment (PEA). Panoro is waiting for additional drill assay results from drill holes targeting the
sulphide mineralization intersected in previously announced drill results from the Maria Jose Target. We look forward to
continuing the exploration program in 2018 to continue expanding the mineralized zones intersected in Cluster 1, around the
current resource, where the 2017 drill results will guide targetting of higher grade near surface mineralization. In 2018 Panoro’s
exploration work will also step out into Cluster 2 where skarn and porphyry-style copper mineralization has been identified by
rock chip sampling, mapping and geophysics.”
Petra Target
The target is located 500m to the West-Northwest of the PEA pit at an elevation 250m lower than the pit limit. Approximately
95% of the area is covered by soils and colluvial deposits.
Drillhole CB-172 is located 30m to the west of the previously published drillhole CB-171 but oriented in the opposite direction.
Drillhole CB-174 is located 90m to the west and oriented to the south where the quartzmonzonite was intersected without
significant values.
In summary, four holes, CB-171, CB-172, CB-173 and CB-174, were drilled along a SE-NW line across the Petra Target. The
results for CB171 and CB173 were published on October 11th. An oxide blanket with significant copper grades was intersected
by holes CB-171, CB-172, and CB-173 along a N-S structural control leaving mineralization open toward the David target
located 500m to the north.
A location plan can be found at the Company’s
website, https://www.panoro.com/site/assets/files/3954/press_release_december_map_modif.jpg
Drillhole
From
(m)
To
(m)
Intersection
(m)
Cu
%
Au
g/t
Ag
g/t
Mo
% Zone
CB-172 0.0 78.8 78.8 0.32 0.08 2.2 0.0022 Oxide
Including 9.5 29.9 20.4 0.48 0.12 2.6 0.0025 Oxide
Including 51.0 61.0 10.0 0.57 0.14 2.2 0.0010 Oxide
CB-174 No significant intersections
David Target
The David target is located 500m to the north of the Petra target and 800m to the Northwest of the PEA pit, at an elevation
260m lower than the pit limit. Four holes, CB-175, CB-176, CB-177 and CB-178, were drilled along a line across the same N-S
structural control seen at the Petra target.
A location plan can be found at the company’s
website, https://www.panoro.com/site/assets/files/3954/press_release_december_map_modif.jpg
Drillhole
From
(m)
To
(m)
Intersection
(m)
Cu
%
Au
g/t
Ag
g/t
Mo
% Zone
CB-175 54.8 142.4 87.7 0.20 0.07 1.8 0.0027 Oxides
Including 73.3 93.3 20.1 0.29 0.14 2.5 0.0023 Oxides
Including 73.3 80.8 7.6 0.39 0.13 2.4 0.0035 Oxides
Including 119.7 128.3 8.6 0.29 0.08 2.3 0.0014 Oxides
CB-176 20.7 25.8 5.1 0.09 0.26 3.4 0.0028 Hypogene
CB-177 0.0 21.0 21.0 0.17 0.04 1.6 0.0010 Oxides
CB-178 0.0 19.9 19.9 0.10 0.02 1.0 0.0008 Oxides
Maria Jose 1 Target
The Maria Jose 1 target is located 1.5 km to the Northeast of the PEA pit and 600m to the Southwest of Maria Jose 2 target.
At this target, four holes, CB-179, CB-180, CB-181 and CB-182, were drilled over an area of approximately 400m by 500m.
Drillhole CB-181 is located 130m to the southeast of drillhole CB-180 and intersected quartz monzonite porphyry intruding
andesite volcanics, including two blankets of oxide copper mineralization underlain by primary copper sulphides. See results in
the table below.
Drillhole CB-182 is located 210m to the southwest of drillhole CB-180 and also intersected quartz monzonite porphyry
intruding andesite volcanics. The oxide copper mineralization is hosted in both lithologies and is still open at depth.
In summary, drillholes CB-180 and CB-181 intersected near surface oxide copper mineralization, and drillhole CB-182
intersected similar mineralization starting from 48.7m below the surface. As with the oxide blankets intersected at other
targets, there may be structural controls on the distribution of higher copper grades that could be targeted with additional
drilling.
The following table details the more significant intersections. A location plan can be found at the Company’s
website, https://www.panoro.com/site/assets/files/3954/press_release_december_map_modif.jpg
Drillhole
From
(m)
To
(m)
Intersection
(m)
Cu
%
Au
g/t
Ag
g/t
Mo
% Zone
CB-179 No significant intersections
CB-180 2.2 115.0 112.9 0.23 0.02 1.1 0.0010 Oxides
Including 15.3 24.3 9.0 0.43 0.03 1.1 0.0014 Oxides
Including 53.7 88.6 34.9 0.30 0.02 1.3 0.0010 Oxides
" " 137.4 188.7 51.3 0.24 0.01 0.9 0.0015 Hypogene
CB-181 4.8 66.7 61.9 0.21 0.02 0.8 0.0005 Oxides
Including 20.0 62.7 42.7 0.23 0.02 0.9 0.0006 Oxides
" " 92.4 177.0 84.6 0.25 0.03 1.7 0.0009 Oxides
Including 107.6 126.8 19.2 0.30 0.03 1.3 0.0010 Oxides
" " 204.4 216.8 12.5 0.22 0.02 0.5 0.0017 Hypogene
CB-182 48.7 105.4 56.7 0.20 0.01 1.5 0.0020 Oxides
About Panoro
Panoro Minerals is a uniquely positioned, Peru-focused copper exploration and development company. The Company is
advancing its flagship project, the Cotabambas Copper-Gold-Silver Project and its Antilla Copper-Molybdenum Project located
in the strategically important area of southern Peru. The Company is well financed to expand, enhance and advance its
projects in the region where infrastructure such as railway, roads, ports, water supply, power generation and transmission are
readily available and expanding quickly. The region boasts the recent investment of over $US 15 billion into the construction or
expansion of four large open pit copper mines.
Since 2007, the Company has completed over 70,000m of exploration drilling at these two key projects leading to substantial
increases in the mineral resource base for each, as summarized in the table below.
Summary of Cotabambas and Antilla Project Resources
Project
Resource
Classification
Million
Tonnes Cu (%) Au (g/t) Ag (g/t) Mo (%)
Cotabambas Cu/Au/Ag Indicated 117.1 0.42 0.23 2.74 0.001
Inferred 605.3 0.31 0.17 2.33 0.002
@ 0.20% CuEq cutoff, effective October 2013, Tetratech
Antilla Cu/Mo Indicated 291.8 0.34 - - 0.01
Inferred 90.5 0.26 - - 0.007
@ 0.175% CuEq cutoff, effective May 2016, Tetratech
Preliminary Economic Assessments (PEA) have been completed for both the Cotabambas and Antilla Projects, the key
results are summarized below.
Summary of Cotabambas and Antilla Project PEA Results
Key Project Parameters Cotabambas Cu/Au/Ag Project Antilla Cu/Mo Project
Mill Feed, life of mine million tonnes 483.1 350.4
Mill Feed, daily tonnes 80,000 40,000
Strip Ratio, life of mine 1.25 : 1 0.85 : 1
Before
Tax1
NPV7.5% million USD 1,053 491
IRR % 20.4 22.2
Payback years 3.2 3.3
After
Tax1
NPV7.5% million USD 684 225
IRR % 16.7 15.1
Payback years 3.6 4.1
Annual Average Payable
Metals
Cu thousand tonnes 70.5 36.8
Au thousand ounces 95.1 -
Ag thousand ounces 1,018.4 -
Mo thousand tonnes - 0.9
Initial Capital Cost million USD 1,530 603
Project economics estimated at commodity prices of; Cu = US$3.00/lb, Au = US$1,250/oz, Ag = US$18.50/oz, Mo =
US$12/lb
The PEAs are considered preliminary in nature and include Inferred Mineral Resources that are considered too speculative to
have the economic considerations applied that would enable classification as Mineral Reserves. There is no certainty that the
conclusions within the updated PEA will be realized. Mineral Resources are not Mineral Reserves and do not have
demonstrated economic viability.
Luis Vela, a Qualified Person under National Instrument 43-101, has reviewed and approved the scientific and technical
information in this press release.
On behalf of the Board of Panoro Minerals Ltd.
Luquman Shaheen. PEng, PE, MBA
President & CEO
FOR FURTHER INFORMATION, CONTACT:
Panoro Minerals Ltd.
Luquman Shaheen, President & CEO
Phone: 604.684.4246 Fax: 604.684.4200
Email: [email protected]
Web: www.panoro.com
Renmark Financial Communications Inc.
Laura Welsh
Tel.: (416) 644-2020 or (416) 939-3989
www.renmarkfinancial.com
CAUTION REGARDING FORWARD LOOKING STATEMENTS: Information and statements contained in this news release
that are not historical facts are “forward-looking information” within the meaning of applicable Canadian securities legislation
and involve risks and uncertainties.
Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors which could
cause actual events or results to differ materially from those expressed or implied by the forward-looking statements,
including, without limitation:
• risks relating to metal price fluctuations;
• risks relating to estimates of mineral resources, production, capital and operating costs, decommissioning or
reclamation expenses, proving to be inaccurate;
• the inherent operational risks associated with mining and mineral exploration, development, mine construction and
operating activities, many of which are beyond Panoro’s control;
• risks relating to Panoro’s ability to enforce Panoro’s legal rights under permits or licenses or risk that Panoro’s will
become subject to litigation or arbitration that has an adverse outcome;
• risks relating to Panoro’s projects being in Peru, including political, economic and regulatory instability;
• risks relating to the uncertainty of applications to obtain, extend or renew licenses and permits;
• risks relating to potential challenges to Panoro’s right to explore and/or develop its projects;
• risks relating to mineral resource estimates being based on interpretations and assumptions which may result in less
mineral production under actual circumstances;
• risks relating to Panoro’s operations being subject to environmental and remediation requirements, which may increase
the cost of doing business and restrict Panoro’s operations;
• risks relating to being adversely affected by environmental, safety and regulatory risks, including increased regulatory
burdens or delays and changes of law;
• risks relating to inadequate insurance or inability to obtain insurance;
• risks relating to the fact that Panoro’s properties are not yet in commercial production;
• risks relating to fluctuations in foreign currency exchange rates, interest rates and tax rates; and
• risks relating to Panoro’s ability to raise funding to continue its exploration, development and mining activities.
This list is not exhaustive of the factors that may affect the forward-looking information and statements contained in this news
release. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect,
actual results may vary materially from those described in the forward -looking information. The forward-looking information
contained in this news release is based on beliefs, expectations and opinions as of the date of this news release. For the
reasons set forth above, readers are cautioned not to place undue reliance on forward-looking information. Panoro does not
undertake to update any forward-looking information and statements included herein, except in accordance with applicable
securities laws.
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