Panoro Minerals Intersects 221.5 m at 1.13% Cueq, Cotabambas Project, Peru
Panoro Minerals Intersects 221.5 m at 1.13%
Cueq, Cotabambas Project, Peru
VANCOUVER, BC
,
Jan. 3, 2023
/CNW/ -
Panoro Minerals Ltd.
(TSXV: PML) (Lima:
PML) (Frankfurt: PZM) (OTCQB: POROF) ("Panoro", the "Company") is pleased to announce
results of five additional drill holes from its Cotabambas exploration program. The principal objective
of the program is to expand the high-grade component of the resource and upgrade inferred
resources to indicated category at the Company's Cotabambas Cu/Au/Ag Project in southern
Peru
.
The highlighted intersections are presented in the table below.
Drillhole
Location
Intersection (m)
Cueq%
1
CB-204
South Pit
317.5
0.56
95.0
0.83
44.0
0.71
CB-205
North Pit
79.2
1.05
CB-206
North Pit
341.7
0.91
115.6
2.02
68.6
2.93
CB-207
North Pit
290.2
0.55
153.6
0.69
89.7
1.01
35.7
1.50
CB-208
South Pit
404.0
0.48
66.5
0.91
122.8
0.61
The principal conclusions from the drill results are summarized as follows, see
Figures 1
and
2
for
drillhole locations:
Drillhole CB-204
intersected
317.5 m
of hypogene copper mineralization grading 0.56% Cueq
below the current limits of the South Pit, including
113 m
of a porphyry stock, with
95.0 m
grading 0.44% Cu, 0.45 g/t Au, 3.13 g/t Ag (0.83% Cueq) and
44.0 m
averaging 0.38% Cu,
0.38 g/t Au, 2.71 g/t Ag (0.71% Cueq)
Drillhole CB-205
at the North Pit was terminated at a shallow depth of
122.9 m
due to water
flow from the drillhole, the drillhole intersected
79.2 m
averaging 0.65% Cu, 0.44 g/t Au, 5.19
g/t Ag (1.05% Cueq) of hypogene copper mineralization, the hole will be recollared and drilled
to the east
Drillhole CB-206
delineated the extension of the high-grade zone to near surface at the west
side of the North Pit, intersecting
341.7 m
of primary copper sulphides averaging 0.56% Cu,
0.40 g/t Au, 2.75 g/t Ag, (0.91% Cueq) related to multiple porphyry dikes, including
115.6 m
averaging 2.02% Cueq and
68.6 m
with 2.93% Cueq
Drillhole CB-207
results delineate
290.2 m
of hypogene copper mineralization in the North Pit
averaging 0.55% Cueq, including intervals of
153.6 m
grading 0.69% Cueq,
89.7 m
averaging
1.01% Cueq and
35.7m
grading 1.50% Cueq, centered on a porphyry stock exposed in this
section with
87 m
width
Drillhole CB-208
intersected
404.0 m
of hypogene copper mineralization below the existing
limits of the South Pit, averaging 0.48% Cueq, including intervals of
66.5 m
grading 0.44% Cu,
0.54 g/t Au, 3.68 g/t Ag (0.91% Cueq), and
122.8 m
averaging 0.37% Cu, 0.27 g/t Au, 2.42 g/t
Ag (0.61% Cueq), hosted in a porphyry stock of
321 m
width of quartz monzonite composition,
that still open at depth.
Luquman Shaheen, CEO of Panoro Minerals states, "The drill results continue to fortify the potential
for increasing the size of the high-grade zone at both the North and South Pit. The drilling indicates
continuity at depth to below the limits of the pit shells while local structure controls and correlation to
geophysics results are serving as a good tool to trace the mineralization along strike. Mineralization
intercepts from
100 m
to over
300 m
with grades ranging from 0.91% Cueq to 2.02% Cueq reflect
well on the high-grade potential. The high-grade zone at the south pit is now traced to over 550
depth, well below the PEA pit shell and the porphyry is increasing significantly in thickness with
depth. We look forward to announcing additional results as they are received and analyzed."
DISCUSSION OF RESULTS
The purpose of Holes CB-205, CB-206 and CB-207 was to infill the area of high grade inferred
resources targeting and upgrade to indicated category in the high-grade zone located in the south
area of the North Pit. The continuity of this high-grade zone remains open at depth and along strike
to the south
(see Figure 1)
.
The goal of the CB-204 and CB-208 was to step out the high-grade Cu-Au mineralization to the
south, south-east and at depth at the South Pit. Each hole was stepped out approximately
100m
from previous drillholes targeting the addition of indicated resources
(see Figure 2)
.
The more significant mineralization intercepts from the five drillholes are summarized in the table
below.
Drillhole
From (m)
To (m)
Metres
Cu (%)
Au g/t
Ag g/t
Cueq%
1
Zone
CB-204
277.8
595.3
317.5
0.30
0.30
2.31
0.56
Primary
including
332.8
427.8
95.0
0.44
0.45
3.13
0.83
Primary
" "
370.0
426.3
56.3
0.47
0.52
3.56
0.92
Primary
" "
494.2
538.1
44.0
0.38
0.38
2.71
0.71
Primary
CB-205
43.7
122.9
79.2
0.65
0.44
5.19
1.05
Primary
including
77.6
122.9
45.3
0.90
0.57
5.46
1.41
Primary
CB-206
3.8
345.4
341.7
0.56
0.40
2.75
0.91
Primary/Mixed
including
3.8
46.3
42.6
0.63
0.63
4.94
1.18
Mixed
" "
46.3
267.8
221.5
0.71
0.49
2.97
1.13
Primary
" "
46.3
161.9
115.6
1.25
0.90
5.03
2.02
Primary
" "
46.3
114.9
68.6
1.80
1.32
6.93
2.93
Primary
CB-207
34.2
324.3
290.2
0.34
0.23
2.97
0.55
Primary/Mixed
including
2.1
34.2
32.1
0.24
0.09
1.42
0.33
Mixed
" "
34.2
80.1
45.9
0.32
0.14
4.67
0.48
Primary
" "
117.4
271.0
153.6
0.39
0.33
3.18
0.69
Primary
" "
117.4
207.1
89.7
0.56
0.51
4.06
1.01
Primary
" "
127.7
163.3
35.7
0.79
0.82
4.88
1.50
Primary
CB-208
228.3
632.3
404.0
0.27
0.24
2.20
0.48
Primary
including
350.0
416.5
66.5
0.44
0.54
3.68
0.91
Primary
" "
459.8
582.6
122.8
0.37
0.27
2.42
0.61
Primary
1.
Cueq grade is estimated at commodity prices of Au=USD 1771/oz, Ag=USD 20.13/oz and Cu=USD 3.52/lb
SOUTH PEA PIT
Drillhole CB-204
delineates the continuity of the high-grade zone to a depth of
200 m
to
400 m
below the high-grade zone intercepted CB-198 previously announced in the section 5W and to below
the limits of the PEA South Pit. After crossing the diorite and andesite in the hanging wall, the
drillhole intersected from depths of
277.8 m
to
595.3 m
the hypogene copper mineralization, or
317.5 m
averaging 0.30% Cu, 0.30 g/t Au, 2.31 g/t Ag (0.56% Cueq), including two intervals of
95.0
m
grading 0.44% Cu, 0.45 g/t Au, 3.13 g/t Ag (0.83% Cueq.) and
44.0 m
averaging 0.38% Cu, 0.38
g/t Au, 2.71 g/t Ag (0.71% Cueq). The quartz stockwork containing chalcopyrite with minor pyrite is
centered by a porphyry stock of
113 m
width, developing the mineralization to the hanging and foot
walls, with potassic alteration, and composed of orthoclase, secondary biotite, chlorite, and
magnetite assembly. See cross section in
Figure 3
.
Drillhole CB-208
delineated mineralization at the PEA life of mine average grade, some
100 m
to
300 m
below the CB-63 and below the PEA pit limits and also
100 m
to the northeast of CB-204, in
the section 4W. This hole identified
321 m
of the porphyry stock of quart monzonite composition
intruding the diorite host rock, intersecting
404.0 m
averaging 0.27% Cu. 0.24 g/t Au, 2.20 g/t Ag
(0.48% Cueq), of which almost 95% is hosted in the porphyry stock. The intersection includes two
intervals of
66.5 m
grading 0.44% Cu, 0.54 g/t Au, 3.68 g/t Ag (0.91% Cueq), and
122.8 m
averaging 0.37% Cu, 0.27 g/t Au, 2.42 g/t Ag (0.61% Cueq), both located inside the porphyry stock
domain. The hole was terminated in the porphyry domain, so the limits of the stock still undefined.
See cross section in
Figure 4
.
The drillholes CB-204 and CB-208 are defining the continuity of the high grade zone to over
550 m
depth to below the PEA pit limit and extending to the current resources pit-shell. The results confirm
a plunge of the high grade and the principal porphyry in south-southeast direction, where the drilling
exploration is still in progress.
NORTH PEA PIT
Drillhole CB-205
was terminated at a depth of
122.9 m
due to water flow. The drillhole was
recollared to the east, CB-214, where the target mineralization was recently crossed and assaying
is in progress. CB-205 intersected
42 m
of the porphyry stock hosting and expanding to the hanging
wall containing
79.2 m
of primary copper sulphide grading 0.65% Cu, 0.44 g/t Au, 5.19 g/t Ag
(1.05% Cueq) including, inside the porphyry, 45.3 m averaging 0.90% Cu, 0.57 g/t Au, 5.46 g/t Ag
(1.41%Cueq). See the cross section in
Figure 5
.
Drillhole CB-206
located
200m
to the northwest of the drillhole CB-205, at the same cross section
8E. This infill hole provides better definition of the high-grade distribution to the west side of the
North Pit, intersecting
342m
length of primary copper sulphide averaging 0.56% Cu, 0.40 g/t Au,
2.75 g/t Ag, (0.91% Cueq) related to a swarm of porphyry dikes of quartz monzonite composition
intruding the diorite host rock. The intersection includes
42.6 m
of copper oxides and mixed
mineralization averaging 0.63% Cu, 0.63 g/t Au, 4.94 g/t Ag (1.18% Cueq), underlain by
221.5 m
of
primary copper sulphides grading 0.71% Cu, 0.49 g/t Au, 2.97 g/t Ag (1.13% Cueq) including two
intervals of
115.6 m
averaging 1.25% Cu, 0.90 g/t Au, 5.03 g/t Ag (2.02% Cueq) and
68.6 m
grading 1.80% Cu, 1.32 g/t Au, 6.93 g/t Ag (2.93% Cueq). See the cross section in
Figure 5
.
Drillhole CB-207
, an infill drillhole located
100 m
to the northeast of the hole CB-205. The hole
delineated copper mineralization
450 m
below the surface in the North Pit. The results from CB-207
delineate
290.2 m
of mixed and hypogene copper averaging 0.34% Cu, 0.23 g/t Au, 2.97 g/t Ag
(0.55% Cueq) including intervals of
153.6 m
of primary copper sulphides grading 0.39% Cu, 0.33 g/t
Au, 3.18 g/t Ag (0.69% Cueq), including
35.7 m
averaging 0.79% Cu, 0.82 g/t Au and 4.88 g/t Ag
(1.50% Cueq), overall centered by a porphyry stock exposed with
87m
width in the section 9E. See
cross section in
Figure 6
.
EXPLORATION MODEL
In the North and South pits the high-grades of Cu-Au intersections are typically centered by the
quartz-monzonite porphyry in contact with the diorite host rock and following the local structural
controls striking north-northeast to north-south, over an area of approximately 3 km by 1.8 km. The
mineralization is composed of a swarm of porphyry dikes typically when the porphyry stock is
nearby or below, as shown by some drillholes along the cross sections.
The drilling at the South Pit is confirming the geophysics signatures delineating the north and south
extensions of the mineralization. A preferential plunge of the hypogene mineralization is observed
and controlled by staggered gravitational faulting.
The Company continues with the infill drilling program in the North Pit and the step out drilling
program in the South Pit, to incorporate new high grade mineral resources and upgrade inferred
resources to indicated category. In parallel, the re-logging of drillholes and updates of the geologic
modelling are progressing towards a more robust revision of the exploration model. The drilling
campaign started in
April 2022
and to date has accumulated over
10,000 m
of a plan of the planned
16,970 m
, distributed in
4,731 m
in the North Pit and
5,300 m
in the South Pit.
Finally, Panoro is preparing a group of platforms for start the exploration drilling in a Cu-Au Skarn
target located near to North Pit.
SOCIAL ENGAGEMENT
Also, Panoro is pleased to announce our Christmas celebrations in the communities of Cochapata,
Ccalla, Ccarancca, Guaclle and in the Cotabambas district with the schoolchildren of
Santa Rita
,
San Martin, Angelitos de Jesus and Cunamas Schools. Panoro continues to advance social
programs in harmony with the local communities. The company will remobilize the drilling program in
early January following the cessation for the Christmas and New Year's break.
About Panoro
Panoro is a uniquely positioned
Peru
-focused copper development company. The Company is
advancing its flagship Cotabambas Copper-Gold-Silver Project located in the strategically important
area of southern
Peru
.
The Company's objective is to complete a Prefeasibility study in 2023 with work programs
commencing in Q1 2022.
At the Cotabambas Project, the Company will first focus on delineating resource growth potential
and optimizing metallurgical recoveries. These objectives are expected to further enhance the
project economics as part of the Prefeasibility studies during 2022 and 2023. Exploration and step-
out drilling from 2017, 2018 and 2019 have already identified the potential for both oxide and
sulphide resource growth.
Summary of Cotabambas Project Resources
Project
Resource
Classification
Million
Tonnes
Cu (%)
Au (g/t)
Ag (g/t)
Mo (%)
CuEq %
Cotabambas
1
Cu/Au/Ag
Indicated
117.1
0.42
0.23
2.74
0.001
0.59
Inferred
605.3
0.31
0.17
2.33
0.002
0.44
@ 0.20% CuEq cutoff, effective October 2013, Tetratech
1. Cotabambas Project, Apurimac, Peru, NI 43-101 Technical Report on Updated Preliminary Economic Assessment, amec foster
wheeler and Moose Mountain Technical
Services, 22 September 2015
A PEA has been completed for the Cotabambas Project; the key results are summarized below:
Summary of Cotabambas Project PEA Results
Key Project Parameters
Cotabambas Cu/Au/Ag Project
1
Process Feed, life of mine
million tonnes
483.1
Process Feed, daily
tonnes
80,000
Strip Ratio, life of mine
1.25 : 1
Before Tax
1
NPV
7.5%
million US$
1,053
IRR
%
20.4
Payback
years
3.2
After
Tax
1
NPV
7.5%
million US$
684
IRR
%
16.7
Payback
years
3.6
Annual Average
Payable
Metals
Cu
thousand tonnes
70.5
Au
thousand ounces
95.1
Ag
thousand ounces
1,018.4
Mo
thousand tonnes
-
Initial Capital Cost
million US$
1,530
1. 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
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 PEAs 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. M.B.A., P. Eng, P.E.
President & CEO
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.
Examples of forward-looking information and statements contained in this news release include
information and statements with respect to:
Panoro delineating growth potential at the Cotabambas Project, while optimizing project
economics.
mineral resource estimates and assumptions; and
the PEAs, including, but not limited to, base case parameters and assumptions, forecasts of net
present value, internal rate of return and payback.
Various assumptions or factors are typically applied in drawing conclusions or making the forecasts
or projections set out in forward-looking information. In some instances, material assumptions and
factors are presented or discussed in this news release in connection with the statements or
disclosure containing the forward-looking information and statements. You are cautioned that the
following list of material factors and assumptions is not exhaustive. The factors and assumptions
include, but are not limited to, assumptions concerning: metal prices and by-product credits; cut-off
grades; short and long term power prices; processing recovery rates; mine plans and production
scheduling; process and infrastructure design and implementation; accuracy of the estimation of
operating and capital costs; applicable tax and royalty rates; open-pit design; accuracy of mineral
reserve and resource estimates and reserve and resource modeling; reliability of sampling and
assay data; representativeness of mineralization; accuracy of metallurgical test work; and
amenability of upgrading and blending mineralization.
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 or its partners' ability to enforce legal rights under permits or licenses
or risk that Panoro or its partners will become subject to litigation or arbitration that has an
adverse outcome
risks relating to Panoro's or its partners' 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 or its partners' right to explore or develop
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 or its partners' operations being subject to environmental and
remediation requirements, which may increase the cost of doing business and restrict
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 and its partners' properties are not yet in commercial
production; • risks relating to fluctuations in foreign currency exchange rates, interest rates and
tax rates
risks relating to Panoro's ability to raise funding to continue its exploration, development, and
mining activities; and
counterparty risk under Panoro's agreements.
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.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE
Panoro Minerals Ltd.
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For further information:
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.: Scott Logan, Account Manager, Phone: 416.644.2020 /
212.812.7680, Email: [email protected], Web: www.renmarkfinancial.com
CO: Panoro Minerals Ltd.
CNW 09:20e 03-JAN-23