Tinka Increases Indicated Zinc Resources at Ayawilca BY 68%
TINKA INCREASES INDICATED ZINC RESOURCES AT AYAWILCA BY 68%
Vancouver, Canada – Tinka Resources Limited (“Tinka” or the “Company”) (TSXV & BVL: TK) (OTCPK: TKRFF) is pleased
to announce an updated Mineral Resource estimate for its 100%‐o wned Ayawilca project in Peru. Mineral Resource
estimates for two Ayawilca deposits (the “Zinc Zone” and “Tin Z one”, respectively) have been updated as a result of
nearly 12,000 metres of drilling completed in the past 18 months.
Key Highlights of the Updated Mineral Resource Estimates at Ayawilca:
Indicated Zinc Zone Mineral Resource of 19.0 million tonnes grading 7.2% zinc, 0.2% lead and 16.8 g/t silver
containing:
o 3.0 billion pounds of zinc;
o 10.3 million ounces of silver; and
o 87 million pounds of lead.
Inferred Zinc Zone Mineral Resource of 47.9 million tonnes grading 5.4% zinc, 0.4% lead & 20.0 g/t silver
containing:
o 5.7 billion pounds of zinc;
o 30.7 million ounces of silver; and
o 370 million pounds of lead.
Inferred Tin Mineral Resource of 8.4 million tonnes grading 1.0% tin, containing:
o 189 million pounds of tin.
The Tin Zone and Zinc Zone resources do not overlap, with the Tin Zone situated predominantly beneath the Zinc Zone.
The Mineral Resources are reported above a net smelter return ( NSR) cut‐off value of US$55/tonne for the Zinc Zone
and US$60/tonne for the Tin Zone, as estimated by SLR Consulting (Canada) Ltd (SLR). A plan view showing all
estimated Mineral Resources at Ayawilca is presented in Figure 1, and Indicated and Inferred Zinc Zone Mineral
Resources are presented in Figure 2.
Dr. Graham Carman, Tinka’s President and CEO, stated: “We are very pleased to report an updated mineral resource
e s t i m a t i o n f o r t h e A y a w i l c a Z i n c a n d T i n Z o n e s . A m a j o r s t e p f orward is the large increase in Indicated Zinc Zone
resources to 3.0 billion pounds of contained zinc (previously 1.8 billion pounds), a 68% increase. The Indicated Zinc Zone
resource has remained at a high grade of 7.2% zinc (+ silver + lead), while the Indicated Mineral Resource category now
constitutes 35% of the total zinc inventory (previously 24%) at Ayawilca. New drilling also added resources to Inferred
Mineral Resources that effectively replaced those resources upgraded to the Indicated category, with contained zinc in
the Inferred category increasing 1% to 5.7 billion pounds zinc compared to the 2018 estimate.“
“In addition, the updated Tin Zone Mineral Resource is now at a substantially higher grade (1.0% Sn) compared to the
previous resource (0.63% Sn) with the discovery of new high grade tin mineralization at South Ayawilca.“
“Tinka has been growing the Ayawilca Mineral Resources consistently since 2015, and we have taken great strides
positioning it as one of the largest and highest grade undevelo ped zinc dominant deposits in the Americas. We look
forward to completing and announcing results of an updated PEA for Ayawilca in the coming weeks. The Company's
work programs are fully funded for the foreseeable future, with C$13 million in cash and no debt as at the end of June
2021.”
September 27, 2021
T: 604.685.9316 [email protected]
TSXV & BVL: TK OTCQB: TKRFF NEWS RELEASE
Figure 1 – Ayawilca drill hole map highlighting updated Mineral Resource wireframes and 2019‐2021 holes
Figure 2 –3D image of Ayawilca Zinc Zone resource wireframes an d resource classification
Detail of Mineral Resource Estimates
The updated Mineral Resource estimates for the Ayawilca Zinc Zo ne and Ayawilca Tin Zone, with an effective date of
August 30, 2021, were prepared by SLR Consulting (Canada) Limit ed (SLR). Estimated Mineral Resources prepared by
SLR used drill results available to February 28, 2021. The Aya wilca deposit resource database includes 209 drill holes
totalling 88,110 m of drilling. The Zinc Zone Mineral Resources are hosted as lenses and veins of semi‐massive to
massive sulphides (mostly sphalerite, pyrite, galena and pyrrho tite) and magnetite hosted by Pucará Group limestone
of Mesozoic age beneath a flat‐dipping sandstone 150 m to 200 m thick belonging to the Goyllar Group. The Zinc Zone
and Tin Zone Mineral Resources are reported separately as they host different metals and are spatially separated. The
Mineral Resource estimates conform to Canadian Institute of Min ing, Metallurgy and Petroleum Definition Standards
for Mineral Resources and Mineral Reserves dated May 10, 2014 (CIM 2014 definitions).
Indicated Mineral Resources are estimated to total 19.0 Mt at a verage grades of 7.15% Zn, 16.8 g/t Ag, and 0.21 % Pb
and Inferred Mineral Resources are reported at 47.9 Mt at avera ge grades of 5.36% Zn, 20.0 g/t Ag, and 0.35% Pb.
Mineral Resources within the Zinc Zone are reported at a US$55/t NSR cut‐off value ‐ Table 1.
Table Error! No text of specified style in document.: Ayawilca Zinc Zone Mineral Resources as of August 30, 2021
Tinka Resources Limited – Ayawilca Property
Classification/
Zone
Tonnage
(Mt)
NSR
($/t)
Grade Contained Metal
(% Zn) (g/t Ag) (% Pb) (Mlb Zn) (Moz Ag) (Mlb Pb)
Indicated
West 11.6 108 6.26 15.9 0.25 1,607 6.0 65
South 7.3 145 8.56 18.3 0.13 1,383 4.3 22
Total Indicated 19.0 123 7.15 16.8 0.21 2,990 10.3 87
Inferred
West 5.5 106 5.90 20.8 0.42 719 3.7 52
South 9.0 134 7.45 34.4 0.33 1,477 10.0 65
Central 17.4 81 4.55 13.8 0.34 1,747 7.7 132
East 10.6 88 5.04 14.4 0.20 1,177 4.9 46
Silver 0.4 93 3.58 106.7 0.65 33 1.4 6
Buffer 4.9 87 4.66 19.2 0.63 504 3.0 69
Total Inferred 47.9 96 5.36 20.0 0.35 5,657 30.7 370
Notes:
1. CIM (2014) definitions were followed for Mineral Resources.
2. Mineral Resources are reported above a cut‐off net smelter return (NSR) value of US$55/t.
3. The requirement of a reasonable prospect of eventual economic extraction is met by having a minimum modelling width for
mineralized zones of three metres, a cut‐off based on reasonable input parameters, and continuity of mineralization consistent with a
potential underground mining scenario.
4. The NSR value was based on estimated metallurgical recoveries, assumed metal prices, and smelter terms, which include payable
factors, treatment charges, penalties, and refining charges. Metal price assumptions were, US$1.20/lb Zn, US$22/oz Ag, and
US$0.95/lb Pb. Metal recovery assumptions were, 92% Zn, 85% Ag, and 70% Pb. The NSR value for each block was calculated using
the following NSR factors; US$16.23/% Zn, US$0.27/g Ag, and US$10.20/% Pb.
5. Payability is as follows; Zn 84%, Pb 94% and Ag 47%
6. The NSR value was calculated using the following formula:
NSR = Zn(%)*US$16.23+Ag(g/t)*US$0.27+Pb(%)*US$10.20
7. Numbers may not add due to rounding.
Indium was previously included in the Zinc Zone resource estimation but is no longer reported.
The Tin Zone Mineral Resources are hosted as disseminated cassi terite in massive to semi‐m assive pyrrhotite lenses
typically (but not always) near the contact between the Pucara Group and underlying phyllite of the Devonian Excelsior
Group.
Inferred Mineral Resources within the Tin Zone, reported at an NSR cut‐off value of $60/t, are estimated to total 8.4
million tonnes at average grades of 1.02% Sn. Two different NS R factors for tin were used to estimate the Tin Zone
resource depending on the ratio of Sn:Cu ‐ a higher NSR was app lied to mineralization with a higher Sn:Cu ratio. See
Table 2.
Table 2: Ayawilca Tin Zone Inferred Mineral Resources as of Aug ust 30, 2021
Tinka Resources Limited – Ayawilca Property
Classification Tonnage
(Mt)
NSR
($/t)
Grade
(% Sn)
Contained Metal
(Mlb Sn)
Inferred 8.4 103 1.02 189
Notes:
1. CIM (2014) definitions were followed for Mineral Resources.
2. Mineral Resources are reported above a cut‐off grade NSR value of US$60/t.
3. The requirement of a reasonable prospect of eventual economic extraction is met by having a minimum modelling width for
mineralized zones of three metres, a cut‐off based on reasonable input parameters, and continuity of mineralization consistent with a
potential underground mining scenario.
4. The NSR value was based on estimated metallurgical recoveries, assumed metal prices, and smelter terms, which include payable
factors, treatment charges, penalties, and refining charges. Metal price assumptions were, US$11.00/lb Sn. Metal recovery
assumptions were, 70% Sn for blocks with Sn:Cu ≥ 5 and 40% for Sn:Cu < 5. The NSR value for each block was calculated using the
following NSR factors, US$141.64 per % Sn for blocks with Sn:Cu ≥ 5 and US$80.94 for blocks with Sn:Cu <5.
5. The NSR value was calculated using the following formulae:
If Sn:Cu ≥ 5: US$NSR = Sn(%)*US$141.64
If Sn:Cu < 5: US$NSR = Sn(%)*US$80.94
6. Numbers may not add due to rounding.
Copper and silver were reported in the Tin Zone previously but are no longer reported because they are not expected
to contribute materially to the economics of the project.
Depending on the deposit area, high grade tin and silver values were capped to 4% Sn and 100 g/t Ag to 175 g/t Ag.
Assays within the wireframe domains were composited to two metre lengths. Block model grades within the wireframe
models were interpolated by the inverse distance cubed (ID 3) method. While lead grades are low, it is assumed that
lead and silver will be recovered in a lead concentrate. Densi ty was estimated to be 3.5 t/m 3 and 3.7 t/m 3 for the
Ayawilca Zinc Zone and 3.9 t/m 3 for the Ayawilca Tin Zone based on density measurements of typ ical mineralization
from each zone. The Buffer Zone area outside the resource wireframes was assigned a density value of 3.5 t/m3. The
Mineral Resources were assigned Indicated and Inferred category in the Ayawilca Zinc Zone and Inferred only in the
Ayawilca Tin Zone due to the widely spaced drilling. The drill hole spacing within the area assigned as Indicated category
commonly ranges from 40 m to 70 m. No Mineral Reserves have yet been estimated at Ayawilca.
The Mineral Resource estimate for the Colquipucro silver oxide deposit (also referred to as “Colqui”), located 1.5 km
from the Ayawilca deposit, remains unchanged since the 2016 effective date and is presented in Table 3.
Table 3: Colquipucro Silver Oxide Deposit Mineral Resources as of May 25, 2016
Tinka Resources Limited – Ayawilca Property
Classification/Zone Tonnage
(Mt)
Grade
(g/t Ag)
Contained Metal
(Moz Ag)
Indicated
High Grade Lenses 2.9 112 10.4
Low Grade Halo 4.5 27 3.9
Total Indicated 7.4 60 14.3
Inferred
High Grade Lenses 2.2 105 7.5
Low Grade Halo 6.2 28 5.7
Total Inferred 8.5 48 13.2
Notes:
1. CIM (2014) definitions were followed for Mineral Resources.
2. Mineral Resources are reported within a preliminary pit shell and above a cut‐off grade of 15 g/t Ag for the low grade halo and 60 g/t
Ag for the high grade lenses.
3. The cut‐off grade is based on a price of US$24/oz Ag.
4. Numbers may not add due to rounding.
Discussion and Analysis
A comparison of the 2021 and 2018 Zinc Zone resources at US$55/ t cut off is highlighted graphically in Figure 3. The
increase in Indicated Resources in the 2021 resource estimation is due to discovery of new mineralization as well as a
significant increase in the understanding of the litho‐structur al setting, following the completion of 11,633 metres of
diamond drilling between 2019 to 2021.
Figure 3 –Ayawilca Zinc Zone deposit classification model
The geological model and wireframes for the updated model were produced in‐house by Tinka. SLR refined the
resource domains to align with the stratigraphy and limited their extent to the Pucará and Lower and Mid‐Goyllar
Formations. Similarly, the domains were constrained by the faults that are known to limit the mineralization. The new
geological model, improved mineralization domains, as well as t he new infill drilling led to an increase in resources
19.0
47.9
11.7
45.0
‐
10.0
20.0
30.0
40.0
50.0
60.0
Indicated Inferred
Mineral Resource Tonnage (Mt)
2021 2018
2,990
5,657
1,778
5,585
‐
1,000
2,000
3,000
4,000
5,000
6,000
Indicated Inferred
Contained Zinc (Mlb)
2021
2018
assi g n e d t o th e I n di c at ed c at e g or y . SLR c on st r uc ted a b u f f e r zone to allow interpolation in a limited area of 50 m
surrounding the mineralization wireframe models. The Buffer Zone captures local high grade mineralization, in
particular post‐main stage zinc mineralization for which contro ls are not yet well constrained, and is highlighted in
Figure 4. A generalized layout of the Zinc Zones at South Ayawilca is shown in Figure 5.
Increased average grades of lead and silver in the Ayawilca Zinc Zone resource are due to the inclusion of new resource
areas higher in lead and silver (i.e., silver rich domains in t he South Area) but low in zinc. These new areas are now
included in the resource estimate due to higher NSR factors for both lead and zinc. The removal of indium from the
2018 NSR value calculation for the Ayawilca Zinc Zone has sligh tly improved the average zinc grade by narrowing the
resource wireframes to better represent the zinc mineralization . In addition, although the NSR cut‐off value is the
same as in 2018 (US$55/t), the NSR factors for each metal used to calculate the value of a block have all increased.
While the mineralization domains were expanded for the Ayawilca T i n Z o n e i n t h e c u r r e n t e s t i m a t i o n , t h e r e w a s
nevertheless a decrease in tonnage from the 2018 resource estimation. The decrease in tonnage was accompanied by
a significant increase in tin grade. The increase in average tin grade is due to several factors including:
The discovery of new high grade tin mineralization in 2020 and 2021;
A higher effective NSR cut‐off value applied to the Mineral Resource (US$60/t);
The removal of copper and silver mineralization from NSR value; and
A decrease in the tin factor in the NSR value calculation.
A National Instrument 43‐101 Technical Report will be filed on SEDAR within 45 days.
Figure 4 – 3D view of Ayawilca Zinc Zone wireframes
Figure 5 – Generalized E‐W cross section of Zinc Zones at South Ayawilca
Qualified Person – Mineral Resources: The Mineral Resources disclosed in this press release have bee n estimated by
Ms. Dorota El Rassi, P.Eng., SLR Consultant Engineer and Ms. Katharine M. Masun, MSA, M.Sc., P.Geo., SLR Consultant
Geologist, both independent of Tinka. By virtue of their education and relevant experience, Ms. El Rassi and Ms. Masun
are “Qualified Persons" for the purpose of National Instrument 43‐101. The Mineral Resources have been classified in
accordance with CIM Definition S tandards for Mineral Resources and Mineral Reserves (May, 2014). Ms. El Rassi and
Ms. Masun have read and approved the contents of this press release as it pertains to the disclosed Mineral Resource
estimates.
The Qualified Person, Dr. Graham Carman, Tinka’s President and CEO, and a Fellow of the Australasian Institute of
Mining and Metallurgy, has reviewed and verified the technical contents of this release.
Disclaimer: As a result of the new resource estimation, the Company’s previously disclosed preliminary economic
assessment on the Ayawilca project is no longer current and should not be relied on. The Company has commissioned
an updated PEA on the Ayawilca project based on the new resourc e estimate and upon receipt of the updated PEA
(expected in approximately 2 weeks), the Company intends to issue a news release disclosing the results of the PEA.
On behalf of the Board,
“Graham Carman”
Dr. Graham Carman, President & CEO
Further Information:
www.tinkaresources.com
Mariana Bermudez 1.604.685.9136
About Tinka Resources Limited
Tinka is an exploration and development company with its flagship property being the 100%‐owned Ayawilca zinc‐
silver‐tin project in central Peru. The Zinc Zone deposit has an estimated Indicated Mineral Resource of 19.0 Mt grading
7.15% Zn, 16.8 g/t Ag & 0.2% Pb and an Inferred mineral resourc e of 47.9 Mt grading 5.4% Zn, 20.0 g/t Ag & 0.4% Pb
(dated August 30, 2021). The Ayawilca Tin Zone has an estimate d Inferred mineral resource of 8.4 Mt grading 1.02%
Sn (dated August 30, 2021). Tinka also owns and is actively exp loring early stage copper‐gold skarn mineral systems
within its highly prospective land package in central Peru.
Forward Looking Statements: Certain information in this news re lease contains forward‐looking statements and forward‐looking
information within the meaning o f applicable securities laws (c ollectively "forward‐looking sta tements"). All statements, oth er
than statements of historical fact are forward‐looking statements. Forward‐looking statements are based on the beliefs and
expectations of Tinka as well as assumptions made by and information currently available to Tinka's management. Such statements
reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations: timing of planned
work programs and results varying from expectations; delay in obtaining results; changes in equity markets; uncertainties relating
to the availability and costs of financing needed in the future; equipment failure, unexpected geological conditions; imprecision in
resource estimates or metal recoveries; success of future development initiatives; competition and operating performance;
environmental and safety risks; the Company’s expectations regarding the Ayawilca Project PEA; the political environment in which
the Company operates continuing to support the development and operation of mining projects; risks related to negative publicity
w i t h r e s p e c t t o t h e C o m p a n y o r t h e m i n i n g i n d u s t r y i n g e n e r a l ; the threat associated with outbrea k s o f v i r u s e s a n d i n f e c t i o u s
diseases, including the novel CO VID‐19 virus; delays in obtaini ng or failure to obtain necessary permits and approvals from lo cal
authorities; community agreements and relations; and, other dev elopment and operating risks. Should any one or more of these
risks or uncertainties materialize, or should any underlying as sumptions prove incorrect, actual results may vary materially f rom
those described herein. Although Tinka believes that assumptio ns inherent in the forward‐looking statements are reasonable,
forward‐looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such
statements due to the inherent uncertainty therein. Except as m ay be required by applicable secur ities laws, Tinka disclaims a ny
intent or obligation to update any forward‐looking statement.
Neither the 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