PPX Processes 2,239 tonnes of Bulk Sample Grading 9.38 gpt Au at Mina Callanquitas during November 2017
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NEWS RELEASE TSX.V PPX; BVL PPX; SSE PPX
PPX Processes 2,239 tonnes of Bulk Sample Grading 9.38 gpt Au at Mina
Callanquitas during November 2017
Vancouver, British Columbia – December 22, 2017 – PPX Mining Corp. (the "Company" or “PPX”)
is pleased to announce that over 2,239 tonnes of bulk sample grading 9.38 gpt gold were mined and
processed during the month of November 2017. Together with stockpiled “low -grade” mat erial, the
Company mined a total of 3,360 tonnes of bulk sample during the month , a rate of approximately 112
tonnes/day. In addition, over 353 metres of lateral development were completed during the month in
order to increase the bulk sampling rate to 150 tonnes/day in December . The Company’s mining partner
Proyectos La Patagonia S.A.C. (“ PLP”) provided the C ompany with a detailed report on operations at
Mina Callanquitas for November 2017 as part of our systematic test mining and bulk sampling program
to evaluate the potential commercial development of the Callanquitas gold and silver resource.
Highlights of the operational results for November include:
During the month of November 2017, PLP reports that ninety truckloads containing 2,239 tonnes
of gold mineralized rock were shipped to the Malin Plant of Silver Cascas S.A.C. (“Silver
Cascas”) during the November operating period . The average gold grade of the mineralized
material was 9.38 gpt gold, which is higher than the average grade of 8.56 gpt gold for bulk
samples processed to date , reflecting the bulk-sampling of higher grade portions of the
Callanquitas R esource. Gold recoveries from processing the mineralized rock at the Silver
Cascas processing plant ranged from 71.0 to 90.0%, consistent with g old recoveries observed in
previous bulk samples . Approximately 1,124 tonnes of “lower grade” mineralized rock
containing approximately 4.1 gpt gold were added to the mine stockpile for future processing.
Since the inception of the test mining program, PPX has bulk-sampled over 11,165 tonnes of
mineralized material from the previously defined Inferred Resource at Mina Callanquitas. The
Company remains on target to achieve our goal of mining 150 metric tonnes/day of bulk sample
by the end of calendar Q4 2017.
PLP also completed over 353 metres of lateral development during the month of November. This
development was planned in order to accommodate the increase in bulk sampling rate during
November and December 2017. It is important for the Company to test stoping methods under
real-life mining conditions , i.e. 150 tonnes/day, in order to evaluate mining costs and suitability
for future production in the Mina Callanquitas Pre Feasibility Study (“ PFS”) that is expected to
be completed in calendar Q1 2018.
Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no
certainty that all or any part of the mineral resource will be converted into mineral reserves. The
information in this press release and the test -mining/bulk sampling program do not represent a decision
by the Company to commence commercial production at the Igor Project. The test-mining/bulk sampling
program is designed to gather the required data to produce an accurate economic evaluation in the PFS.
Brian J. Maher, President and CEO of PPX Mining commented: “ November 2017 bulk sampling results
contain the highest gold grades mined to date at Mina Callanquitas. Total tonnage sampled was also a
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monthly record and we remain on track for achieving a 150 ton nes/day bulk sampling rate by the end of
2017. We are also on schedule for completing the Mina Callanquitas PFS in calendar Q1 2018 and
understanding the full value of the mine and the overall Igor Project.”
As disclosed previously by the Company (November 1, 2017), PPX has commenced the permitting
process for a gold and silver heap leach processing plant at the Company’s Igor Project in northern Peru.
Given the time line of the permitting process and the planned completion of a Pre Feasibility Study
(“PFS”) in Q1 2018, the Company has opted to start permitting in order to minimize or eliminate delays
in constructing the processing plant should that option be recommended by the PFS and/or due to further
delays in the construction of a separate processing f acility by AM Mining SAC . The Company will
permit the processing plant utilizing a Semi Detailed Environmental Impact Assessment (“EIAsd”)
submitted to the Gerencia Regional de Energía, Minas e Hidrocarburos (“GREMH”), Department of La
Libertad. The fir st step in the process, the submission of the Terms of Reference (“TOR”), has been
completed by the Company and approved by GREMH La Libertad. The TOR outlines the basic
engineering and design of the heap leach plant and also the specific steps required to complete the EIAsd.
As submitted in the TOR, PPX plans to build a 350 metric tonne/day heap leach processing facility on
Company owned land at the Igor Project. The facility will include a primary and secondary rock crusher,
loading conveyers, heap leac h pads, a Merrill -Crowe precious metal recovery plant capable of producing
dore on site, and associated support facilities. The crushing circuit will be permitted at 350 tpd but have
sufficient excess capacity to allow production of up to 700 tpd of crush ed material to facilitate future
expansion if warranted. Plant layout is being permitted so that other processing facilities, i.e. a
conventional milling and tank leaching circuit, can be added in the future without undue additional cost.
About PPX Mining Corp: PPX Mining Corp. (TSX.V: PPX.V, SSE: PPX, BVL: PPX) is a Canadian -
based exploration and development company with assets in northern Peru. Igor, the Company’s 100% -
owned flagship gold and silver project, is located in the prolific Northern Peru gold belt in eastern La
Libertad Department. PPX is pursuing a two -prong strategy to further develop and explore the Igor
Project. The Company has begun work on its underground test mining and bulk sampling program which
is designed to upgrade the resource es timate and generate data to evaluate the possibility of future mine
development at Igor through the PFS process. To date, PPX has processed over 10,044 tonnes of bulk
sample averaging 8.56 gpt gold. Simultaneously, PPX is accelerating its exploration prog ram at Igor in
order to fully evaluate the resource potential of the entire Igor project area. The Callanquitas Structure is
open along strike and at depth. Parallel structures are unexplored and, coupled with the Domo and
Tesoros areas; these drill targe ts highlight the exploration potential at Igor. Evaluating mine development
alternatives in parallel with exploration drilling provide dual catalysts for growth and increasing
shareholder value.
Previous exploration on the Callanquitas Structure discovere d a significant Inferred gold and silver
resource: 7,189,000 tonnes grading 1.94 gpt gold and 71.8 gpt silver containing 448,500 ounces of gold
and 16,600,000 ounces of silver at a cutoff grade of 1.5 gpt gold equivalent. Included within this resource
estimate is a higher grade zone consisting of 2,730,000 tonnes grading 2.73 gpt gold and 119.1 gpt silver
containing 239,400 ounces of gold and 10,500,000 ounces of silver using a 3.0 gpt gold equivalent cutoff
grade (Please see Technical Report, amended September 27, 2013, available on the Company’s website or
SEDAR). Mineral resources are not mineral reserves and do not have demonstrated economic viability.
There is no certainty that all or any part of the mineral resource will be converted into mineral reserves.
All scientific and technical information in this press release has been reviewed and approved by Quentin
J. Browne, P.Geo., Independent Consulting Geologist to PPX Mining Corp. , who is a qualified person
under the definitions established by National Instrument 43-101.
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On behalf of the Board of Directors
Brian J. Maher
President and Chief Executive Officer
FOR FURTHER INFORMATION, PLEASE CONTACT:
PPX Mining Corp.
Brian J. Maher, President and Chief Executive Officer
Phone: 1-530-913-4728
Email: [email protected]
Website: www.ppxmining.com
Cautionary Statement:
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. Certain disclosure in this release, may
constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995
and Canadian se curities legislation. In making the forward -looking statements in this release, the Company has applied certain
factors and assumptions that the Company believes are reasonable. However, the forward -looking statements in this release are
subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed
or implied in such forward -looking statements. Such uncertainties and risks are detailed from time to time in the Company's
filings with the appropriate securities commissions, and may include, among others, market conditions, and delays in obtaining or
failure to obtain required regulatory approvals or financing. There can be no assurance that such statements will prove to be
accurate, and actua l results and future events could differ materially from those anticipated in such statements. Readers are
cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any
intention or obligation to, update or revise any forward -looking statements whether as a result of new information, future events
or otherwise, except as required by law.