Atacama Copper and TCP1 Announce a Maiden Resource Estimate for the Yecora Copper Project, Sonora Mexico
News Release No:23-04
TSX.V: ACOP
Atacama Copper Corp.
550 -800 West Pender Street | Vancouver | BC | V6C 2V6
www.atacamacopper.ca
1
Atacama Copper and TCP1 Announce a Maiden Resource Estimate for the Yecora
Copper Project, Sonora Mexico
Not for distribution to United States news wire services or for dissemination in the United States.
Vancouver, British Columbia – October 30, 2023 – Atacama Copper Corporation (TSXV: ACOP) (“Atacama” or the
“Company”) and TCP1 Corporation (“TCP1”)are pleased to report the results of a maiden mineral resource estimate
(“MRE”) at TCP1’s wholly-owned Yecora copper project in southwestern Sonora State, Mexico. The Yecora project is
located in the Laramide copper belt that extends from Arizona into northwestern Mexico and consists of multiple
tourmaline breccia bodies carrying copper-silver-molybdenum mineralization, and high-grade copper-silver veins
(Figure 1). Atacama and TCP1 recently announced a proposed business combination whereby the Company will acquire,
directly or indirectly, all the issued and outstanding shares of TCP1 in exchange for common shares of the Company.
Highlights:
Indicated resources of 25.3 Mt at 0.30% copper, 28.5 g/t silver, and 749 ppm molybdenum (0.79% CuEq grade),
for a contained 444 Mlb of Cu-equivalent.
Inferred resources of 11.2 Mt at 0.30% copper, 24.2 g/t silver, and 831 ppm molybdenum (0.78% CuEq grade),
for a contained 193 Mlb of Cu-equivalent.
The resource estimate is based on 34 diamond drill holes and 8 reverse circulation drill holes completed between
2014 and 2022 for 14,006 m of drilling in total.
Preliminary metallurgical test work projected a copper concentrate grade of 20-25% with a recovery of
approximately 90% and containing 75 to 85% of the silver. The molybdenum concentrate grade was projected
to be 50-55% with a recovery of 80 to 90%. Future testing will determine the feasibility of recovering lead and
zinc to a separate concentrate, and thus zinc and lead were not included in the current resource estimate.
The Yecora deposit is immediately adjacent to the active Minera Alamos Santana gold mine, and several other copper
and gold deposits occur in the area.
Tim Warman, Atacama’s CEO, commented “We’re extremely pleased with the maiden resource estimate for the Yecora
deposit, and see excellent potential to grow the deposit through further drilling. The current resource includes just one of
three known mineralised breccia bodies on the property, with the other two almost completely untested by drilling.
Additionally, the first breccia body remains open laterally and at depth. We’re confident that this maiden resource
represents only the tip of the iceberg at Yecora.”
Mineral Resource Estimate
The Mineral Resource Estimate for the Yecora deposit was prepared for TCP1 by Sepor Services LLC (“Sepor”), with
an effective date of August 4, 2023. The Qualified Person for the statement of Mineral Resources is Jaime Andres Beluzan
of Sepor.
The Mineral Resources were estimated in a single block model, including the main area of mineralized breccias to the
West and the veins area to the East. The block model contains 20-meter x 20-meter x 20-meter panels sub-celled up to
5-meter x 5-meter x 5-meter minimum block size. The elements Ag, Cu, Mo, Pb and Zn were estimated in the different
estimation units defined, although Pb and Zn were not reported in the resource estimate as metallurgical data were
lacking.
News Release No:23-04
TSX.V: ACOP
Atacama Copper Corp.
550 -800 West Pender Street | Vancouver | BC | V6C 2V6
www.atacamacopper.ca
2
Item Unit of Measure Value
Metal Prices
Copper Price USD/lb 3.78
Silver Price USD/oz 23.61
Molybdenum Price USD/lb 11.75
Operating Costs
Mining Cost (waste) USD/t 2.00
Mining Cost (ore) USD/t 2.25
Processing Cost USD/t-processed 14.00
G&A Cost USD/t-processed 1.00
Metallurgical Recoveries
Copper Recovery % 90.00
Silver Recovery % 80.00
Molybdenum Recovery % 90.00
Smelter Terms
Copper Concentrate TCRC USD/dmt 83.00
Copper Refining Cost USD/lb 0.08
Silver Refining Cost USD/oz 0.45
Molybdenum Concentrate Roasting Deduction % 15.00
Copper Payability % 95.00
Silver Payability % 90.00
Molybdenum Payability % 99.00
Royalty
Applied on revenue generated by all elements % 3.00
Freight Costs and Concentrate Characteristics
Copper Concentrate Humidity % 5.00
Molybdenum Concentrate Humidity % 5.00
Copper Concentrate Freight Cost USD/wmt 115.00
Molybdenum Concentrate Freight Cost USD/wmt 115.00
Based on the operating cost assumptions, a resource cut-off of 15.45 USD/t was defined to generate the conceptual
constraining pit shell using a 47° overall slope angle. The program was allowed to lay back pit slopes outside of the
property boundary, but any blocks outside of the property boundary were considered waste. Reasonable mining
assumptions were applied to evaluate the portions of the block model (Indicated, and Inferred blocks) that could be
“reasonably expected” to be mined from an open pit. The resulting pit shells extend onto lands where no mineral title is
held, and which have not been released for staking by the Mexican government. Approximately 40% of the estimated
resource is dependent on the government opening the lands for staking, and on the land being acquired by TCP1 to allow
the pit limits to extend into these lands. There can be no assurance that the government will re-open the lands for staking,
or that the lands will either be acquired by TCP1, or an agreement negotiated with the eventual concession holder.
A variable dilution was applied on ore blocks contacting waste blocks by volume inclusion of the neighboring blocks at
their estimated grades. The value applied varies depending on the surface of the ore block in contact with waste. The
maximum dilution percentage is 10% in case an ore block is surrounded by waste. No mining recovery factors were
applied.
News Release No:23-04
TSX.V: ACOP
Atacama Copper Corp.
550 -800 West Pender Street | Vancouver | BC | V6C 2V6
www.atacamacopper.ca
3
Table 1: Yecora Mineral Resource Estimate
Domain Category Type Tonnes
(Mt)
NSR
(USD/t)
Cu
(%)
Ag
(g/t)
Mo
(ppm)
Cu
(Mlb)
Ag
(Koz)
Mo
(Mlb)
Breccias Indicated
Mixed 2.59 31.58 0.17 20.73 652.5 9.66 1,727 3.73
Sulphide 21.03 45.62 0.31 27.97 778.7 143.16 18,912 36.10
Total Indicated 23.62 44.08 0.29 27.18 764.9 152.83 20,638 39.83
Inferred
Mixed 2.38 39.17 0.27 26.85 583.9 14.00 2,053 3.06
Sulphide 7.60 45.82 0.31 22.33 979.8 51.30 5,458 16.42
Total Inferred 9.98 44.23 0.30 23.41 885.5 65.31 7,512 19.49
Veins Indicated
Mixed 0.004 44.37 0.26 39.52 521.0 0.02 4 0.00
Sulphide 1.66 59.50 0.45 46.62 527.0 16.55 2,482 1.92
Total Indicated 1.66 59.47 0.45 46.60 527.0 16.57 2,487 1.93
Inferred
Mixed 0.16 36.47 0.34 24.55 291.2 1.22 130 0.11
Sulphide 1.04 44.45 0.38 31.20 392.0 8.60 1,043 0.90
Total Inferred 1.20 43.36 0.37 30.29 378.2 9.82 1,173 1.00
TOTAL Indicated
Mixed 2.59 31.60 0.17 20.76 652.4 9.68 1,731 3.73
Sulphide 22.68 46.64 0.32 29.34 760.3 159.71 21,394 38.02
Total Indicated 25.28 45.09 0.30 28.46 749.3 169.40 23,125 41.75
Inferred
Mixed 2.54 38.99 0.27 26.70 564.9 15.22 2,184 3.17
Sulphide 8.64 45.66 0.31 23.40 909.1 59.91 6,501 17.32
Total Inferred 11.19 44.14 0.30 24.15 830.8 75.13 8,685 20.49
Notes:
Mineral Resources are not Mineral Reserves and have not demonstrated economic viability.
The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political,
marketing, or other relevant issues.
The Mineral Resources were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards
on Mineral Resources and Reserves. Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions
and adopted by the CIM Council.
Numbers may not add due to rounding.
Mt are 1,000,000 metric tonnes; koz are 1,000 troy ounces; Mlbs are 1,000,000 imperial pounds; g/t are grams per metric tonne
Qualified Person
The Qualified Person for the statement of Mineral Resources is Jaime Andres Beluzan, Mining Engineer (Comisión
Minera de Chile) of Sepor. Mr. Charlie Ronkos is the Chief Operating Officer of TCP1 and is the Qualified Person for
the remaining technical information disclosed in this release. The QPs have reviewed and approved the technical
information disclosed herein. Details of the MRE will be presented in a technical report prepared in accordance with NI
43-101 which will be available under the Company’s SEDAR profile at www.sedarplus.ca and on the Company’s website
within 45 days of this news release.
About TCP1
TCP1 is a private mineral exploration company incorporated under the laws of Ontario and is based in Toronto, Ontario.
TCP1 in an exploration and development company that owns 100% of the Cristina project located in Chihuahua State,
Mexico and 100% of the Yecora project located in Sonora State, Mexico.
News Release No:23-04
TSX.V: ACOP
Atacama Copper Corp.
550 -800 West Pender Street | Vancouver | BC | V6C 2V6
www.atacamacopper.ca
4
About Atacama Copper Corporation
Atacama Copper is a resource company focusing on acquiring, exploring, and developing base and precious metals
properties in the Americas. It is committed to advancing the exploration and development of its Placeton/Caballo Muerto
copper project in Chile while looking to increase its asset portfolio through the acquisition and development of other
high-value exploration, development, and production opportunities. Atacama’s Placeton/Caballo Muerto project hosts
several porphyry copper targets situated between the giant Relincho and El Morro/La Fortuna copper-gold deposits of
the Nueva Union joint venture between Teck and Newmont Mining.
Additional Information – Please Contact
For more information, please contact:
Tim Warman
Chief Executive Officer and Director
Atacama Copper Corp.
Email: [email protected]
Tel: 416-566-6762
Cautionary Statements
This news release includes certain "forward-looking statements" under applicable Canadian securities legislation.
Forward-looking statements include, but are not limited to, statements with respect to: the maiden resource estimate at
TCP1's Yecora project; the drilling program at Yecora and the potential for MRE growth; the successful completion of
the Company's proposed business combination with TCP1 and the financing proposed to be completed in connection
therewith; future development plans; and the business and operations of the resulting issuer after the proposed business
combination. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while
considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause the
actual results and future events to differ materially from those expressed or implied by such forward-looking statements.
Such factors include, but are not limited to: failure to satisfy or waive all applicable conditions to the completion of the
business combination between the Company and TCP1 (including receipt of all necessary shareholder, stock exchange
and regulatory approvals or consents, and the absence of material changes with respect to the parties and their respective
businesses); business integration risks; fluctuations in general macroeconomic conditions; fluctuations in securities
markets; fluctuations in spot and forward prices of gold, silver, base metals or certain other commodities; fluctuations
in currency markets; results of exploration; the economics of processing methods; change in national and local
government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards
associated with the business of mineral exploration, development and mining (including environmental hazards,
industrial accidents, unusual or unexpected formations pressures, cave-ins and flooding); inability to obtain adequate
insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining;
employee relations; relationships with and claims by local communities and indigenous populations; availability of and
increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and
development (including the risks of obtaining necessary licenses, permits and approvals from government authorities);
and title to properties.
There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-
looking statements. Atacama 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.
News Release No:23-04
TSX.V: ACOP
Atacama Copper Corp.
550 -800 West Pender Street | Vancouver | BC | V6C 2V6
www.atacamacopper.ca
5
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of the
Company in the United States. The securities have not been and will not be registered under the United States Securities
Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within
the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws
or an exemption from such registration is available.
Neither 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 news release.
Figure 1: General Location Map of the Yecora Project