Atacama Copper Intercepts 7.9 g/t AuEq over 1.3 m and 6.1 g/t AuEq over 2.6 m at its Cristina Project in Chihuahua Mexico
Atacama Copper Intercepts 7.9 g/t AuEq over
1.3 m and 6.1 g/t AuEq over 2.6 m at its
Cristina Project in Chihuahua Mexico
Vancouver, British Columbia--(Newsfile Corp. - June 4, 2024) - Atacama Copper Corporation (TSXV:
ACOP) ("
Atacama
" or the "
Company
") is pleased to report results from five holes of a 10,000-metre
diamond drilling program at its wholly-owned Cristina precious metals project in southwestern
Chihuahua State, Mexico. Atacama has now reported ten holes totalling 3,094.5 metres of drilling as
part of a 40-50-hole drill program. The Cristina project consists of multiple outcropping quartz veins that
are frequently greater than 10 metres in width and extend for at least a five-kilometre strike length. Four
parallel mineralized vein zones have been mapped and sampled to date, with most of the existing
mineral resource estimate at Cristina contained within only one of the vein zones, the Guadalupe vein
(Figures 1 and 2).
Drilling Highlights
Highlights of the five holes reported here, all from the eastern portion of the main Guadalupe vein system,
include:
7.87 g/t AuEq over 1.3 m
estimate true width (1.08 g/t Au, 282.5 g/t Ag, 3.84% Zn, 1.50% Pb and
0.17% Cu) in hole
ACD24-226
This 1.3 m wide intercept occurs within a broader mineralized zone measuring
2.50 g/t AuEq
over 22.0 m estimated true width (0.63 g/t Au, 60 g/t Ag, 1.42% Zn, 0.55% Pb, 0.04% Cu).
8.10 g/t AuEq over 1.8 m
estimated true width (0.77 g/t Au, 214 g/t Ag, 5.18% Zn, 2.43 % Pb,
0.45% Cu) in hole
ACD24-229
This 1.8 m wide intercept occurs within a broader mineralized zone measuring
4.76 g/t AuEq
over 3.8 m estimated true width (0.93 g/t Au, 114 g/t Ag, 2.56% Zn, 1.38% Pb, 0.23% Cu).
14.88 g/t AuEq over 0.8 m
estimated true width (13.80 g/t Au, 29.6 g/t Ag, 0.99% Zn, 0.34% Pb
and 0.09% Cu) also in hole
ACD24-229
This 0.8 m wide intercept occurs within a broader mineralized zone measuring 2.49 g/t AuEq
over 14.5 m estimated true width (1.49 g/t Au, 31.5 g/t Ag, 0.83% Zn, 0.21% Pb and 0.02%
Cu).
6.11 g/t AuEq over 2.6 m
estimated true width (1.65 g/t Au, 50.1 g/t Ag, 5.67% Zn, 0.93% Pb and
0.26% Cu) in hole
ACD24-230
This 3.3 m wide intercept occurs within a broader zone of mineralization measuring 1.32 g/t
AuEq over 49.0 m estimated true width (0.53 g/t Au, 12.6 g/t Ag, 0.87% Zn 0.25% Pb and
0.04% Cu)
Tim Warman, Atacama's CEO, commented: "These latest holes continue to support our goal of
delineating and expanding the known higher-grade zones within the Guadalupe vein system to define a
robust underground resource at Cristina. Not only are we seeing the expected higher-grade zones, but
these are frequently set within broader intervals of lower grade material that may be amenable to bulk
underground mining as is carried out successfully at Fresnillo's nearby San Julian mine."
Geology and Context of Results
All five holes reported here were drilled in the eastern portion of the Guadalupe vein system and a
kilometer east of the first 5 holes released. Infill drilling should show that the high grade in these two
areas should connect:
ACD24-226 fills an information gap and brings veining closer to the surface at a higher grade than
adjacent drill holes. This intercept is also expected to convert a zone of Inferred resource to
Indicated as well as increasing the resource grade and ounces around the drill hole (Figures 3 &
4).
ACD24-227 deviated from its planned trajectory and abandoned early without reaching the
mineralized zone.
ACD24-228 fills in a gap and extends the resource at depth in an area at the eastern edge of the
resource blocks. This intercept is also expected to convert a zone of Inferred resource to Indicated
and add more Inferred blocks as well as increasing the resource grade and ounces around the drill
hole (Figures 3 & 5).
ACD24-229 fills in a gap and extends high grade from ACD19-101 further to the east. This
intercept is also expected to convert a zone of Inferred resource to Indicated as well as increasing
the resource grade and ounces around the drill hole. The higher-grade intercept to the south of the
main Guadalupe vein may indicate a new vein or splay that will be a target for future drilling
(Figures 3 & 6).
ACD24-230 fills in a gap and extends the resource at depth with higher grade gold. This intercept
is also expected to convert a zone of Inferred resource to Indicated and add more Inferred blocks
as well as increasing the resource grade and ounces around the drill hole (Figures 3 & 4).
The Cristina deposit is an epithermal to mesothermal vein system where the mineralisation is
predominantly gold and silver, with lesser base metal values. At least four known parallel vein zones
trend east-west to northeast-southwest and are hosted in an andesitic volcanic sequence which forms
part of the Lower Volcanic Sequence of the Sierra Madre Occidental range. The andesites are
intercalated locally with dacitic intrusions and related lava flows and breccias, and the sequence is in turn
cut by andesitic and hornblende-plagioclase porphyry following fault trends. In some areas the veins are
covered by post-mineral rhyolite of the Upper Volcanic Sequence.
Cristina is similar in style and grade to Fresnillo's nearby and very profitable San Julián underground
mine, which hosts mineralisation in two different types of ore bodies: (i) narrow low-sulphidation
epithermal veins and (ii) broader zones of lower-grade disseminated sulphides in subvolcanic and
volcanic felsic rocks. San Julián is the third largest silver mine in Mexico, having produced 13.3 Moz of
silver and 44.5 koz of gold in 2023. Fresnillo reported 2P underground mineable Reserves at San Julián
of:
Ore Type
Mt
Au (g/t)
Ag (g/t)
Zn (%)
Pb (%)
AuEq*
Epithermal Veins
4.3
1.52
327
6.06
Disseminated Ore Body
2.2
0.11
157
1.09
0.5
3.06
Total
6.5
1.04
269
5.05
*Fresnillo plc. 2023 Audited Ore Reserve Statement. Gold equivalent formula: AuEq = Au + 0.014*Ag + 0.532*Zn + 0.379*Pb + 1.525*Cu (recoveries
were assumed to be 100%). Metal Prices used: $1700/oz Au, $23.61/oz Ag, $1.32/lb Zn, $0.94/lb Pb and $3.78/lb Cu.
The drill program is expected to continue over the next several months, with results released periodically
as they are received and analyzed.
Figure 1- Known vein systems and existing drill holes at the Cristina Project
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Figure 2 - Location of drill holes from the current release, Guadalupe vein system
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Figure 3 - Long section through the Guadalupe vein system with drill holes from the current
release
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Figure 4 - Cross-section through the Guadalupe vein system with holes ACD24-226, and -230
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Figure 5 - Cross-section through the Guadalupe vein system with hole ACD24-228
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Figure 6 - Cross-section through the Guadalupe vein system with hole ACD24-229
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Table 1: Detailed Drill Results
Drill Hole
From
(m)
To
(m)
Drill length
(m)
Est. True
width
(m)
Au
g/t
Ag
g/t
Zn
%
Pb
%
Cu
%
AuEq
g/t
Vein
System
ACD24-226
230.6
257.3
26.7
22.0
0.63
60.2
1.42
0.55
0.04
2.50
Guadalupe
incl
.
248.9
250.5
1.6
1.3
1.08
282.5
3.84
1.50
0.17
7.87
Guadalupe
and incl.
252.5
255.8
3.3
2.7
1.36
87.3
3.27
1.78
0.06
5.09
Guadalupe
ACD24-227
Hole abandoned before mineralized zone
Guadalupe
ACD24-228
423.7
429.4
5.7
3.9
1.12
63.7
1.04
0.38
0.04
2.77
Guadalupe
incl.
426.7
428.4
1.7
1.2
1.28
135.3
2.12
0.66
0.09
4.68
Guadalupe
and
467.5
486.3
18.8
13.5
0.25
13.1
0.83
0.28
0.09
1.11
Guadalupe
incl.
483.6
484.8
1.2
0.8
0.78
47.0
6.07
1.10
0.18
5.36
Guadalupe
and
507.2
507.7
0.5
0.3
3.05
337.0
6.69
2.55
0.16
12.50
Guadalupe
ACD24-229
168.2
173.2
5.0
3.8
0.93
114.4
2.56
1.38
0.23
4.76
Guadalupe
incl.
169.4
171.7
2.3
1.8
0.77
214.0
5.18
2.43
0.45
8.10
Guadalupe
and
283.3
302.4
19.1
14.5
1.49
31.5
0.83
0.21
0.02
2.49
Guadalupe
incl.
287.1
293.7
6.6
5.0
3.32
46.4
0.89
0.23
0.02
4.56
Guadalupe
incl.
292.7
293.7
1.0
0.8
13.80
29.6
0.99
0.34
0.01
14.88
Guadalupe
ACD24-230
340.1
343.1
3.0
2.4
0.62
300.0
1.09
0.40
0.01
5.54
Guadalupe
incl.
340.1
341.1
1.0
0.8
0.76
867.0
2.06
0.56
0.01
14.13
Guadalupe
and
368.9
430.3
61.4
49.0
0.53
12.6
0.87
0.25
0.04
1.32
Guadalupe
incl.
371.2
374.7
3.5
2.7
4.11
49.0
1.06
0.22
0.03
5.48
Guadalupe
incl.
371.2
372.2
1.0
0.8
11.05
64.5
1.20
0.27
0.03
12.73
Guadalupe
and incl.
405.5
408.8
3.3
2.6
1.65
50.1
5.67
0.93
0.26
6.11
Guadalupe
Gold equivalent formula: AuEq = Au + 0.014*Ag + 0.532*Zn + 0.379*Pb + 1.525*Cu (recoveries were assumed to be 100%). Metal Prices used: $1700/oz
Au, $23.61/oz Ag, $1.32/lb Zn, $0.94/lb Pb and $3.78/lb Cu.
The goal of targeting the higher-grade zones within the main Guadalupe Vein, as well as other high-
grade veins in the area, is to both increase the size and the grade of the resource and demonstrate the
underground resource potential at Cristina. The current, primarily open-pit mineral resource estimate
comprises:
Indicated resources of 17.5 Mt at 0.51 g/t gold, 33.8 g/t silver, 0.47% zinc, 0.19% lead and 0.04%
copper (1.33 g/t AuEq grade), for a contained 752,000 gold-equivalent ounces.
Inferred resources of 19.0 Mt at 0.51 g/t gold, 27.5 g/t silver, 0.50% zinc, 0.19% lead and 0.05%
copper (1.27 g/t AuEq grade), for a contained 777,000 gold-equivalent ounces.
Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.
Quality Assurance and Quality Control Procedures
Drill core at the Cristina project is predominately HQ size with a diameter of 63.5 mm. Drill core samples
are generally 1.50 m long along the core axis with allowance for shorter or longer intervals if required to
suit geological constraints. After logging intervals are identified to be sampled, the core is cut and one
half is submitted for assay. Sample QA/QC measures include unmarked certified reference materials,
blanks, and field duplicates are inserted into the sample sequence and make up approximately 5% of
the samples submitted to the laboratory for each drill hole. Samples are transported to lab facilities in
Durango or Hermosillo Mexico, for sample preparation. Sample analysis is carried out by ALS Labs,
with fire assay, including over limits fire assay re-analysis, and multi-element analysis completed in North
Vancouver, Canada. Drill core sample preparation includes fine crushing of the sample to at least 70%
passing less than 2 mm, sample splitting using a riffle splitter, and pulverizing a 250-gram split to at least
85% passing 75 microns. Gold in diamond drill core is analyzed by fire assay and atomic absorption
spectroscopy of a 30 g sample (Au-AA25). Multi-element chemistry is analyzed by 4-Acid digestion of a
0.25-gram sample split (ME-ICP61) with detection by inductively coupled plasma emission spectrometer
for a full suite of elements. Gold assay technique Au-AA25 has an upper detection limit of 100 ppm. Any
sample that produces an over-limit gold value via the initial assay technique is sent for gravimetric finish
via method Au-GRA21. Silver analyses by ME-ICP61 have an upper limit of 100 ppm. Samples with
over-limit silver values are first re-analyzed by ICP with a larger 0.4 g sample split, which has an upper
limit of 1,500 ppm. Silver assays above 1,500 ppm are re-analyzed by fire assay with gravimetric finish
Ag-GRA21. ALS Labs is an ISO/IEC accredited assay laboratory.
Qualified Person
Mr. Charlie Ronkos, MMSA is Atacama's EVP Exploration and the Qualified Person for the technical
information disclosed in this release.
Mr. Jacob W. Richey, P.E. of IMC is the Qualified Person responsible for the MRE. Details of the
Cristina MRE can be found in the Company's press release of October 30, 2023, and in the National
Instrument 43-101 compliant report titled "Technical Report on the Mineral Resource for the Cristina
Project" prepared for TCP1 and Atacama Copper by Independent Mining Consultants Inc., with an
effective date of January 1, 2023, and issue date of December 1, 2023. This report is available under
the Company's SEDAR profile at www.sedarplus.ca and on the Company's website.
About Atacama Copper Corporation
Atacama Copper is a well-funded resource company adding value through the acquisition, exploration,
and development of copper and precious metals projects in the Americas. The company is carrying out
a drilling campaign at its Cristina precious metals project in Chihuahua Mexico, with the goal of
significantly expanding the existing mineral resource estimate. Drilling is also planned for the Yecora
copper project in Sonora Mexico. In Chile, the Placeton/Caballo Muerto project hosts several untested
porphyry copper targets situated between the large-scale Relincho and El Morro/La Fortuna copper-gold
deposits of the Nueva Union joint venture between Teck and Newmont Mining.
Atacama's corporate presentation can be found at:
https://atacamacopper.ca/investors/presentations/
Additional Information - Please Contact
Tim Warman
Chief Executive Officer and Director
Atacama Copper Corp.
Email:
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 the Company's Cristina project; the drilling program at Cristina and the
potential for MRE growth; future development plans; and the business and operations of the
Company. Forward-looking statements are necessarily based upon 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 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.
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.
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