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San Marco Announces Results of Phase I Drilling and Ongoing Joint Venture Exploration at the Chunibas Copper-Silver Project, Sonora, Mexico

Drill Results Mergers & Acquisitions Partnerships & JV

San Marco Announces Results of Phase I

Drilling and Ongoing Joint Venture Exploration

at the Chunibas Copper-Silver Project, Sonora,

Mexico

VANCOUVER

,

Jan. 17, 2019

/CNW/ - San Marco Resources Inc. (SMN: TSX-V) ("San Marco" or

the "Company") announces that Phase 1 exploration drilling results from its 100% owned

Chunibas copper/silver project, located in Sonora State,

Mexico

(the "Project") have been received.

San Marco

and a wholly-owned subsidiary of

Antofagasta

plc ("Antofagasta") have entered into an

earn-in agreement to jointly explore and drill test several copper-silver rich mineralized targets

mapped on surface. Antofagasta is funding all activities during the Phase I exploration program, to a

maximum of

US$700,000

.

Initial results from the program confirm the existence of a typical copper-silver "Manto-Type"

system. This initial program consisted of approximately 1,640 metres of diamond drilling distributed

over 7 shallow drill holes. Five holes tested 1.2 km of the NW-SE striking mineralized corridor, whilst

the remaining two holes tested approximately

400m

width along one NE - SW section perpendicular

to the corridor.

The initial drill campaign achieved and confirmed the down-dip and along strike continuity of

alteration, mineralization and receptive rock units mapped on surface. Highlights of the mineralized

intervals are as follows:

Drill hole CHD18-05: 7.45 meters @ 0.1% Cu and 2.3 g/ton Ag

22 meters @ 0.05% Cu and 0.7 g/ton Ag

Drill hole CHD18-06: 3.0 meters @ 0.08% Cu and 0.6 g/ton Ag

Drill hole CHD18-07: 6.0 meters @ 0.06% Cu and 0.3 g/ton Ag

San Marco CEO Christian Grijalva stated: "We are pleased that Phase I drill results have confirmed

the existence of a copper mineralized system and provided useful third dimension data to assist in

vectoring towards the source of mineralization, and potentially higher-grade copper zones. The

Company's goal is to identify a sizable mineralized "Manto-Type" system with the potential to meet

the high thresholds of its partnership with

Antofagasta

. The first phase drill program was designed to

broadly test the target for certain geological characteristics associated with the type of deposit

sought. The Company and its partner will evaluate the latest data for ongoing exploration and

vectoring guidance in planning a next phase of exploration."

Final interpretation of drilling results will continue through Q1, to help vector towards areas which

may host feeder zones of higher-grade mineralization.

Additional planned field work for Q1 will include detailed mapping and sampling of additional

prospective areas already identified by first-pass work. The additional areas to be explored are

represented by several volcanic units with strong evidence of alteration and mineralization, similar to

what has been seen over the drill tested zones.

* For related images, please click

here

.

About

San Marco

San Marco Resources Inc. is a Canadian mineral exploration company with a portfolio of promising

projects in mining-friendly

Mexico

, including the Espiritu SMR, Mariana and 1068 Projects in Sonora

State.

San Marco

actively pursues strategic project generation program focused on high-caliber, low

acquisition cost opportunities in the north-western

Mexico

. The Company has a committed

management team with extensive experience in

Mexico

and a proven track record of building

shareholder value.

San Marco

currently has issued and outstanding shares.

On behalf of the Board of Directors,

Christian Grijalva

, B.Sc.

Chief Executive Officer

National Instrument 43-101 Disclosure

This news release has been approved by

San Marco's

Co-Chairman,

Robert D. Willis

, P. Eng. a

"Qualified Person" as defined in National Instrument 43-101,

Standards of Disclosure for Mineral

Projects

of the Canadian Securities Administrators. He has verified the data disclosed, including

sampling, analytical and test data, underlying such technical information by reviewing the assay

reports provided to

San Marco

by its independent testing laboratory.

San Marco

has implemented quality assurance ("QA") and quality control ("QC") programs to ensure

sampling and analysis of all exploration work is conducted in accordance with the best possible

practices. All sampling programs are carried out in a careful and diligent manner using scientifically

established sampling practices designed and tested to ensure that the results are representative and

reliable. Quality control programs appropriate to the type of sample and the mineralization are

implemented, including such measures as external blanks, standards and duplicate samples. The

security of samples from sample acquisition to analysis is a vital component of the sampling

process. Procedures include the use of secure core logging, sampling, storage and preparation

facilities as appropriate and the prompt, secure and direct shipping of samples to the laboratories.

Appropriate sample security procedures are employed given the geographic and topographic

conditions and the logistics created by the site location.

Forward Looking Information

Information set forth in this document may include forward-looking statements. While these

statements reflect management's current plans, projections and intents, by their nature, forward-

looking statements are subject to numerous risks and uncertainties, some of which are beyond the

control of

San Marco

. Readers are cautioned that the assumptions used in the preparation of such

information, although considered reasonable at the time of preparation, may prove to be imprecise

and, as such, undue reliance should not be placed on these forward-looking statements.

San

Marco's

actual results, programs, activities and financial position could differ materially from those

expressed in or implied by these forward-looking statements.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of

Canada

accepts responsibility for the adequacy or accuracy of this release.

SOURCE

San Marco Resources Inc.

View original content:

http://www.newswire.ca/en/releases/archive/January2019/17/c6502.html

%SEDAR: 00025537E

For further information:

Roger Blair, Direct: (604) 646-1877, [email protected]

CO: San Marco Resources Inc.

CNW 10:00e 17-JAN-19