Salazar Reports Trench and Drill Results from Los Santos
May 31, 2022
Salazar Reports Trench and Drill Results from Los Santos
VANCOUVER, BRITISH COLUMBIA, May 31, 2022 -- SALAZAR RESOURCES LIMITED (TSXV: SRL; OTC QX:
SRLZF; Frankfurt: CCG.F) (“Salazar” or the "Company") is pleased to announce sampling results and an
update on the Los Santos drill program.
Phase 1 drilling is complete at Los Santos , El Oro Province , with thirteen holes completed for a total of
2,575 meters (“m”). Results from four holes have been received, with assays pending for nine holes.
Results from channel sampling and trenches are also reported. Final assays from all holes are anticipated
in the coming weeks.
Highlights:
• Brecha Sur trench #5 returned 14.5 m @ 19.5 g/t Au and 274 g/t Ag
• Esperanza – drillhole SAN-002 returned 1.2 m @ 1.9 g/t Au from 142.9 m
• Leon – drillhole SAN-003A returned 15.8 m @ 0.43 g/t Au from 57 m, and 32.7 m @ 0.2 g/t Au
from 292.7 m
• Rayo – drillhole SAN-004 returned 52.4 m @ 0.2 g/t Au from 78.1 m
Fredy E. Salazar, CEO, commented: “Results from Brecha Sur include spectacular grades in trenches. We
drilled a series of short holes to test the continuation of this surface mineralisation at depth. Elsewhere,
the final two holes in the program intersected strong alteration and mineralization in a hydrothermal
breccia at Fortuna. Assay results from both Brecha Sur and Fortuna are pending.
At Leon and Rayo, broad intersections of anomalous gold mineralization were intersected. The gold-
bearing structures identified at surface were confirmed at depth at Esperanza.”
Los Santos
Background i nformation to Los Santos is available at the Salazar Resources website:
https://salazarresources.com/projects/100-salazar-owned/los-santos/
Exploration at Los Santos has comprised mapping, sampling, and drilling. Many of the t argets shown in
Figure 1, below, have been drill-tested. Drilling is completed, and consisted of 2,575 m in thirteen separate
holes. Results from four holes have been received, with assays pending for nine holes.
The drill rigs have been demobilized from Los Santos. Next steps for the project will be established once
the remaining assays are included into a final report.
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New Drill Results, Los Santos
Results have been returned from the first four holes completed in Phase 1 Drilling at Los Santos. A further
nine holes have been drilled, comprising seven holes at the Brecha Sur target and two holes at the Fortuna
target. A map showing the location of the drill holes is shown in Figure 1, below.
Figure 1. Los Santos exploration targets and drill plan
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The collar locations of all thirteen holes are shown in Table 1, below.
Table 1. Los Santos Phase 1 drill program collar locations
Target Hole ID East North Dip Azimuth Total Depth
Esperanza SAN-001A 637947 9610689 -60 280 298.8
SAN-002 637938 9610647 -60 270 227.0
Leon SAN-003A 637619 9611896 -70 80 327.6
Rayo SAN-004 637548 9611980 -50 290 439.0
Brecha Sur SAN-005 636693 9607234 -60 125 245.0
SAN-006 636655 9607128 -50 130 174.6
SAN-007 636654 9607083 -50 130 94.2
SAN-007A 636654 9607083 -42 320 35.0
SAN-008 636754 9607165 -46 320 44.0
SAN-008A 636754 9607165 -42 320 34.4
SAN-008B 636754 9607165 -60 320 130.9
Fortuna SAN-009 635744 9613500 -60 110 224.1
SAN-010 635744 9613500 -85 290 275.0
The results from the first four holes are shown in Table 2, below. Assays from the remaining holes are
pending.
Table 2. Drilling results from Los Santos
Target Hole From To Width Results
Esperanza SAN-001A 125.2 130.5 5.3 0.3 g/t Au
and 142.9 144.1 1.2 1.9 g/t Au
SAN-002 No significant results
Leon SAN-003A 56.7 72.4 15.7 0.4 g/t Au
and 247.6 254.1 6.6 0.2 g/t Au
and 257.3 274.0 16.7 0.2 g/t Au
and 292.7 325.4 32.7 0.2 g/t Au
Rayo SAN-004 78.1 130.5 52.4 0.2 g/t Au
At Esperanza, two drill holes were collared in weakly sheared, partially metamorphized tonalites, oriented
almost due west, with a dip of 60 o. The holes targeted depth extensions of mineralization identified
through surface sampling. Both holes intersected sheared zones of veining and veinlets, with visible gold
reported at a depth of 132 m in SAN -001. Although the zone of shearing and sulphide mineralization in
SAN-001 was 10 m in thickness, the intersection carrying gold values was 1.2 m @ 1.9 g/t Au from a depth
of 142.9 m . The core was assayed with conventional fire assay atomic absorption spectrosco py and
metallic screen fire assay methods. The downhole intersection is lower grade and narrower than the
channel sampling reported previously from surface (21.5 m @ 3.0 g/t Au).
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The grade differences are interpreted to reflect enrichment of the geology at the surface relative to the
underlying geology. The narrower widths are interpreted to reflect the fact that the channel sample was
taken obliquely to the structure whereas the drillholes were orthogonal to structure.
Figure 2. Esperanza cross-section
At Leon and Rayo two holes were drilled across the main targets established by surface mapping and
sampling. At Leon previously reported mineralization at surface included 7.5 m @ 0.27 g/t Au and 0.25 %
Cu across one of a series of north-south sheeted vein sets, varying in intensity across approximately 180
m of east-west oriented outcrop. Additional results from the eastern section include 2 m @ 0.2 g/t Au and
0.25% Cu, and 2 m @ 2.2 g/t Au and 0.43% Cu. At Rayo previously reported sampling in an adit across a
similar orientation of vein sets returned a best intersection of 8.0 m @ 8.0 g/t Au in an adit.
The drilling in both areas intersected similar geology downhole as that seen at surface, namely mineralized
structures and vein sets with oxidation in fractures and quartz -pyrite mineralization, minor chalcopyrite
and trace arsenopyrite. At Leon t he results from SAN -003 indicate broad zones of gold min eralization,
with several intervals between 247 m and 325 m downhole returning 0.2 g/t Au, as shown in Table 2,
above. The results from the hole at Rayo, 52.4 m @ 0.2 g/t Au, are of a similar tenor and thickness to the
nearby geology at Leon . The high grades previously reported in the channel at Rayo are interpreted to
reflect surface enrichment due to oxidation processes.
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Figure 3. Leon cross-section, SAN-003
Figure 4. Rayo cross-section, SAN-004
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At Brecha Sur, mapping and trenching continues to reveal high grade mineralization at surface. The area
appears to represent a conjugate set of structures formed in a compressive environment. Locally at Brecha
Sur the host instrusive rock exhibits brittle deformation with en echelon tension cracks visible at the
metric to dec imetric scale. The tension cracks often contain elevated levels of sulfide mineralization.
These zones are associated with intense argillic alteration (kaolinite-alunite + illite-smectite-sericite) and
a mineral association of pyrite + enargite (Cu) + tenantite (As+Ag) + tetrahedrite (Sb+Ag) + Ag sulfosalts
(pyrargyrite). This suite of alteration and sulfides suggests these are high sulfidation (HS) lenses of
mineralization. Trenching and channel sampling was carried out over a number of zones, as shown in
figure 5.
Figure 5. Brecha Sur trench and drill plan
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The sampling at Brecha Sur was carried out by chip sampling in friable rock, and using a rock saw in
competent rock. Sample lengths were nominally 2 m, adjusted to lithologies.
Table 3. Brecha Sur trench results
Trench Length (m) Gold (g/t) Silver (g/t) Copper (%)
TBx1 6.5 2.2 3.5 -
TBx2 14.2 2.7 100.6 -
TBx3 5.7 19.6 328.9 0.4
TBx4 5.8 6.9 90.5 0.2
TBx5 14.5 19.5 274.0 0.2
Drilling to test the depth extent of these bodies has intersected similar alteration and mineral suites and
hydrothermal breccias within core. The intensity of mineralization does, however, appear to be much less
intense than that seen at surface. The altered and veined zones, and the hydrothermal breccias are
thinner at depth than those intersected at surface. Results for drill holes SAN-005, SAN-006, SAN-007,
SAN-007A, SAN-008, SAN-008A, and SAN-008B are pending.
Figure 6. Fortuna drill section, holes SAN-009 and SAN-010
At Fortuna, soil sampling identified a gold and copper anomaly centred on a tourmaline breccia. The
breccia outcrop shows alteration and disseminated sulfide mineralization. It is hosted within a medium -
coarse grained diorite. Two drill holes, SAN -009 and SAN -010, wer e collared within the breccia, and
intersected strongly sodic-calcic alteration, increasing with depth, characterized by actinolite, albite, and
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epidote. The alteration is associated with sulfide mineralization of pyrite, chalcopyrite, magnetite, and
molybdenite.
Diamond drill hole SAN -009, was completed at a depth of 224.1 m. From surface it intersected
hydrothermal breccias until a depth of 135.50 m. Diamond drill hole SAN -010, was drilled subvertically
away from SAN -009 and it was completed at a depth of 275.0 m. From surface SAN -010 intersected
hydrothermal breccias until a depth of 178.0 m. Assays for both holes are pending.
QAQC
Salazar maintains a rigorous chain-of-custody and quality assurance/quality control program that includes
the insertion of certified standard control samples and blanks, and re-analysis of samples with high levels
(over limit) of gold, copper and zinc. All samples were analysed by Inspectorate Services Perú S.A.C.
(Bureau Veritas), a certified ISO 17025:1999 and ISO 9001:2000 laboratory. The laboratory also maintains
a QAQC program that includes insertion of blanks, standards and duplicate reanalysis of selected samples.
Gold was analysed by fire assay – atomic absorption spectroscopy (FA-AAS). Silver, copper, zinc and other
elements were analyzed by aqua regia extraction with an Inductively Coupled Plasma (ICP-ES) finish.
Qualified Person
Kieran Downes, Ph.D., P. Geo., a Qualified Person as defined by National Instrument 43-101, has reviewed
and verified the technical information provided in this release.
About Salazar Resources
Salazar Resources is focused on creating value and positive change through discovery, exploration and
development in Ecuador. The team has an unrivalled understanding of the geology in -country, and has
played an integral role in the discovery of many of the major projects in Ecuador, including the two newest
operating gold and copper mines.
Salazar Resources has a wholly-owned pipeline of copper-gold exploration projects across Ecuador with a
strategy to make another commercial discovery and farm -out non -core assets. The Company actively
engages with Ecuadorian communities and together with the Salazar family it co -founded The Salazar
Foundation, an independent non-profit organisation dedicated to sustainable progress through economic
development.
The Company already has carried interests in three projects. At its maiden discovery, Curipamba, Salazar
Resources has a 25% stake fully carried through to production. A feasibility study for initial open -pit
development announced in October 2021 (the “Feasibility Study”) generated a base case NPV(8%) of
US$259 million (for further information, please refer to the Company’s news release dated October 26,
2021). At two copper-gold porphyry projects, Pijili and Santiago, the Company has a 20% stake fully carried
through to a construction decision.