Terra Balcanica Confirms Epithermal GOLD and Porphyry Copper Targets at Ceovishte in Serbia and Closes First Tranche of Financing
NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES
TERRA BALCANICA CONFIRMS EPITHERMAL GOLD AND PORPHYRY COPPER
TARGETS AT CEOVISHTE IN SERBIA AND CLOSES FIRST TRANCHE OF FINANCING
Vancouver, British Columbia – May 8th, 2023 – Terra Balcanica Resources Corp. (“Terra ” or
the “Company”) ( CSE:TERA; FRA:UB1) is pleased to announce positive assay results from
surface rock chip and soil sampling at its 80.4 km2 Ceovishte license in southern Serbia and closing
of the 1st tranche of the previously announced non- brokered private placement financing of units
(the ”Units”) for gross proceeds of $404,650 (the “Offering”).
Highlights
• Surface rock sample include concentrations as high as 53.5 g/t Au, 78.6 g/t Ag and 2.47 %
Cu with up to 0.39% Co and 0.45% Bi (Table 1);
• > 900 m strike length of Au -Ag-As-Bi-Cu-Te anomalism in soil geochemistry defines
new target, with soil assays returning up to 2.42 g/t Au (Figure 2);
• Mineralization is controlled by potassic altered diorites hosting quartz -chalcopyrite
veins with secondary copper mineralogy at surface (Figure 3) and a gold-bismuth-cobalt
rich epithermal assemblage;
• Drill-ready with both porphyry and epithermal mineralization visible at collar locations.
Terra Balcanica CEO, Dr. Aleksandar Mišković, comment ed: “Detailed prospecting, rock
chip and soil sampling at our Serbian Ceovishte licence not only confirm ed the existence of a
sizable hydrothermal system responsible for multi -ounce gold assays at surface near the
Medjurečje locality but also defined a new, 900-m-wide, topographically depressed, semi-circular
gold-silver-copper soil anomaly northeast of the high- grade Au zone that is characterized by
potassic altered andesites interpreting by Terra’ s technical team to represent a previously
neglected porphyry target. This confirms the potential of our Serbian assets and represents a
significant diversification of the Company’s polymetallic portfolio already defined by our Viogor
Zanik project. It sets the stage for drilling of the shallow high grade gold target later this year.”
The Ceovishte license totals over 80 km2 of highly prospective land for gold and copper
exploration in the historic Raska mining district of southern Serbia (Figure1). The license area
drapes southern slopes of the Golija Mountain, a part of the well -known Kopaonik metallogenic
zone. This area features the Kiževak and Sastavci Pb-Zn-Ag mines including the Karadak deposit,
all owned by Adriatic Metals plc. The historical Yugoslav GKZ, non- NI 43 -101 compliant
resource estimates for Kiževak is 3.9 Mt of ore grading 3.92 % Zn, 2.15 % P b a n d 3 1 g / t A g
categorized according to the Yugoslav A+B+C1 resource nomenclature (www.adriaticmetals -
serbia.com/our-projects/adriatic-metals-serbia-sastavci). The Raska mining district also holds the
Rudnica Cu-Au porphyry target and is a northerly extension of the partially exploited, world class
Trepča Pb-Zn-Ag skarn deposit of the norther Serbian province of Kosovo. Trepča features a non-
NI 43-101 compliant resource of 60.5 Mt of ore grading over 8.0 % Pb+Zn and >159 Moz of Ag.
Figure 1. Geological map of the Ceovis hte license area in southern Serbia. The black rectangle labelled
Figure 2 is Terra’s primary area of interest within the license. It encapsulates Au-Cu mineralized Neogene
volcanic rocks which intruded an ultramafic country rock of the West Vardar Ophiolite. Previous operators
conducted work in the south of the Ceovishte license and overlooked the Au-Cu potential of the north where
Terra has conducted a successful soil and rock chip sampling campaign and is planning a maiden drilling
program in early Q3 of 2023 (click here to view image).
Figure 2. Map displaying Au in soil (ppb), and anomalous Au-Ag-As-Bi-Cu-Te signature. Sampling verifies
the location of known mineralization and reveals > 900 m strike length of new prospective ground open to
the NE. Rock sample IDs can be correlated with results in Table 1. The drill target is labelled where rock
chips return up to 53.5 g/t Au and 1.45 % Cu. Note the location of anomalous Au in soil forming an arcuate
pattern around the depressed centre, interpreted as possible concentric fractures around a porphyry
intrusive which crops out in the south and northwest. (WGS84/UTM Zone 34N) (click here to view image).
Geology and Mineralization
The Company is focussed on exploring the overlooked Au- Ag-Cu (Bi -Co) occurrences in the
northern extents of the license where Neogene intrusive rocks of intermediate composition are
emplaced wi thin ultramafic rocks of the west Vardar Ophiolite Belt. Field observations and
microscopy confirms biotite-magnetite-k-feldspar potassic alteration within the diorites, which are
observed controlling the distribution of mineralization and are thus inferred as the causative
intrusion and target for further exploration. Intrusive contacts and vein -hosted sulphides in the
south dip shallowly to the NNE below ultramafic cover into an annular topography low.
Both hypogene sulphide mineralization and sup ergene oxide zones are present at Ceovishte and
returned very encouraging assay results of a well-endowed Au-Ag-Cu system. Quartz-chalcopyrite
veins are partially oxidised at surface producing a mixture of malachite, azurite and tenorite
(Figure 3) and occur within the same outcrops as quartz -arsenopyrite-bismuthinite veins .
Chalcopyrite is also observed finely disseminated within the potassic altered intrusives. Gossans
and vuggy silica host the highest Au values up to 53.5 g/t.
Figure 3. Macroscopically observed copper mineralization in samples 103281 and 103276 which returned
1.45 % and 2.47 % Cu , respectively. Mineralization is vein -hosted within potassic altered diorites and
comprises quartz, chalcopyrite, malachite, azurite and tenorite (click here to view image).
Mineralized rock samples also return high bismuth and cobalt, which may have been stripped from
the ultramafic country rocks by hydrothermal fluids and re -precipitated within the epithermal
veins. Ceovishte therefore has characteristics of the 5 -element vein (Ag -Bi-Co-Ni-As) style of
mineralization.
Sample Easting Northing Au (g/t) Ag (g/t) Bi (ppm) Cu (%) Co (ppm)
100851 476500 4815182 53.5 8.7 4490 0.03 12
100838 475554 4816186 0.19 78.6 2 0.01 71
100839 476417 4815188 11.0 10.1 3570 0.14 805
103273 476383 4815204 6.56 1.2 299 0.01 1300
103271 476335 4815157 0.48 1.8 20 0.12 21
103282 476479 4815173 10.95 0.82 299 0.02 3940
103264 476602 4815182 0.09 18.9 6 0.01 5.7
103267 475606 4816196 0.02 0.69 42 0.04 9
103262 475628 4816084 3.09 11.8 480 0.03 336
103269 475605 4816158 0.10 1.7 0.4 - 9
103276 476179 4815987 0.05 10.8 20 2.47 13
103279 476376 4815128 0.39 2.16 5 0.01 27
103280 476383 4815133 3.28 1.42 224 0.01 145
103277 476189 4815997 2.2 0.5 69 0.01 88
103281 476514 4815189 0.16 21.5 144 1.45 50
Table 1. Rock chip locations and assay results for key commodity elements . Samples can be seen with
anomalous Au in soil Figure 1. (WGS84/UTM Zone 34N).
Soil Geochemistry
Results from 386 B/C horizon soil samples successfully captured the signature of Au- Cu
mineralization at Ceovishte. Two known occurrences were highlighted by the sampling, verifying
the Au-Ag-As-Bi-Cu-Te grouping as representing mineralization, with a further 900 m strike
length anomaly being generated for follow up in the north of the survey. The newly defined target
area returned assays up to 2.42 g/t Au and 424 ppm Cu in soil. This area has not seen rock chip
sampling and offers significant exploration upside for extending the footprint of known Au- Cu
mineralization.
Elevated commodity and pathfinder elements in soil correlate to a K -Ba-Na element grouping,
indicating sub cropping intermediate composition intrusives rather than the ultramafic country
rock which has a strong Ni -Co-Cr-Mg signature. Soil anomalism generates an annular pattern
which surrounds a central topographic depression with enclosing ridges of ultramafic rock. This
correlation could indicate concentric and ring radial fractures, which have formed around a central
porphyry intrusive and focussed hydrothermal fluid flow . Potassic altered, Au-Cu mineralized
diorite intrusives have been observed and sampled at both the southern and northern extents of this
annular feature, with over 900 m of untested strike length in the northeast.
Future Exploration Program
The norther Ceovishte licence is drill-ready with pad locations designed to test the depth
extensions of the Au-Cu mineralization sampled on surface. Following positive results in maiden
drilling geophysics will be considered to guide a larger phase II drilling program.
Follow up of the anomalous soil geochemistry will be undertaken in the northeast through
geological/alteration mapping and rock chip assay. This will generate a pipeline of targets for drill
testing. Further soil sampling will be completed in the northeast where the anomaly remains open
to define its full spatial extent.
1st Tranche Private Placement Financing Closed
The Company issued an aggregate of 4,760,586 Units at a price of $0. 085 per Unit for gross
proceeds of $404,650 pursuant to the Offering announced on April 4 th, 2023. Each Unit consists
of one common share in the capital of the Company (each, a “Common Share”) and one Common
Share purchase warrant (each whole warrant, a “ Warrant”). Each Warrant entitles the holder to
purchase one Common Share at an exercise price of $0.13 until May 5th, 2026.
The Company intends to use the net proceeds of the Offering for working capital and to fund the
Phase II drilling across its portfolio of properties. Finders’ fees in the amount of $8,057 were paid.
Giulio Bonifacio, Chair of the board of directors, Steven Latimer, a director, and Kim Oishi, a
director (the “Insiders”) purchased 1,194,117 Units as part of the Offering. The issuance of the
Units to the Insiders constitutes a "related party transaction" as this term is defined in Multilateral
Instrument 61- 101 - Protection of Minority Securityholders in Special Transactions (“MI 61 -
101”). The Company is relying on the exemption from valuation requirem ent and minority
approval pursuant to subsection 5.5(a) and 5.7(a) of MI 61- 101, respectively, as the securities do
not represent more than 25% of the Company’s market capitalization, as determined in accordance
with MI 61- 101. The participation by Insider s in the Offering was approved by directors of the
Company who are independent in connection with such transactions.
Pursuant to applicable Canadian securities laws, all securities issued and issuable in connection
with the closing of the Private Placemen t will be subject to a four (4) month hold period
ending September 6th, 2023.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the
securities 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 or for the account or
benefit of any U.S. person or a ny person in the United States, unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption from such registration is
available. “United States ” and “U.S. Person ” are as defined in Regulation S under the U.S.
Securities Act.
QAQC
Representative rock samples were taken from surface outcrops and sent to ALS Bor, Serbia for
sample preparation and subsequent wet chemical analysis at the Loughrea laboratory in Ireland,
and ISO/IEC 17025:2017 certified test facility. Sample preparation PREP-31BY method involved
crushing the core to a 70% fraction less than 2 mm in size, rotary split 1.0 kg and pulverizing the
split to greater than 85% passing 75 microns. Silver and base metals were analysed by ICP MS
after a four-acid digest (ME-MS61). Gold was assayed by 30g fire assay with ICP AES finish (Au-
ICP21). Over limit samples for base metals were re- analysed by the four -acid digest ICP -AES
analyses termed ME-OG62. Over-limit gold analysis was conducted by fire assay and gravimetric
finish (Au-GRA21). Soil samples were taken in the B/C horizon and sent to ALS Bor, Serbia .
Analysis was undertaken after dry screening to 180 microns by method AuME-TL44 an aqua regia
digest followed by ICP analysis on a 50g sample. Over-assays were conducted by the OG-46 (base
metals) and Au-AROR44 (gold) techniques.
Qualified Person
Dr. Aleksandar Mišković, P.Geo, is the Company’s designated Qualified Person for this news
release within the meaning of National Instrument 43- 101 Standards of Disclosure of Mineral
Projects (“NI 43-101”) and has reviewed and validated that the information contained in this news
release as accurate.
About the Company
Terra Balcanica is a polymetallic exploration company targeting large- scale mineral systems in
the Balkans of southeastern Europe. The Company has 90% interest in the Viogor -Zanik Project
in eastern Bosnia and Herzegovina, 100% of the Kaludra and Ceovishte mineral exploration
licences in southern Serbia. The Company emphasizes responsible engagem ent with local
communities and stakeholders. It is committed to proactively implementing Good International
Industry Practice (GIIP) and sustainable health, safety, and environmental management.
ON BEHALF OF THE BOARD OF DIRECTORS
Terra Balcanica Resources Corp.
“Aleksandar Mišković”
Aleksandar Mišković
President and CEO
For further information, please contact Alex Mišković at [email protected], or
visit our website at www.terrabresources.com.
Cautionary Statement
This news release contains certain forward- looking information and forward- looking statements
within the meaning of applicable securities legislation (collectively “ forward-looking
statements”). The use of any of the words “will”, “intends” and similar expressions are intended
to identify forward -looking statements. These statements involve known and unknown risks,
uncertainties and other factors that may cause actual results or events to differ materially from
those anticipated in such forward-looking statements. Such forward-looking statements should not
be unduly relied upon. Actual results achieved may vary from the information provided herein as
a result of numerous known and unknown risks and uncertainties and other factors. The Company
believes the expectations reflected in those forward -looking statements are reasonable, but no
assurance can be given that these expectations will prove to be correct. The Company does not
undertake to update these forward-looking statements, except as required by law.