TNR Gold NSR Royalty Update - Los Azules Copper, Gold and Silver Project – McEwen Copper Updates on Assay Results at Los Azules
NEWS RELEASE
TNR Gold NSR Royalty Update - Los Azules Copper, Gold and
Silver Project – McEwen Copper Updates on Assay Results at Los
Azules
Vancouver, British Columbia – March 5, 2023: TNR Gold Corp. (TSX-V: TNR) (“TNR”, “TNR Gold”
or the “Company”) is pleased to announce that McEwen Mining Inc. (“McEwen Mining”) has provided
an update on the Los Azules copper, gold and silver project in San Juan, Argentina. TNR holds a 0.4%
net smelter returns royalty (“NSR Royalty”) (of which 0.04% of the 0.4% NSR Royalty is held on behalf
of a shareholder) on the Los Azules Copper Project. The Los Azules project is held by McEwen Copper
Inc. (“McEwen Copper”), a subsidiary of McEwen Mining.
The news release issued by McEwen Mining on February 26, 2024 stated:
“McEwen Copper Inc., 47.7% owned by McEwen Mining Inc. is pleased to announce assay results from
the final unreleased drill holes of the last season (2022 -2023). The results from this period not only
validate previous drilling results but also confirm the continuity of mineralization and extend the
mineralization.
Remaining assays from the 2022-2023 season, highlights include:
• 446 m of 0.63% Cu, including 76 m of 0.92% Cu (AZ23228MET)
Selected Highlights:
• Hole AZ23205MET returned 257 m of 0.76% Cu within the Enriched zone.
• Hole AZ23228MET returned 446 m of 0.63% Cu in the Enriched zone, including 76 m of 0.92% Cu.
• Hole AZ23230MET returned 250 m of 0.68% Cu in the Enriched zone, including 192 m of 0.83% Cu.
The objective of the 2022 -2023 drilling campaign was to collect information needed as the project
advances towards the completion of a Feasibility Study in Q1 2025. Work continues during this field
season (2023-2024) and includes resource drilling that wil l convert the initial 5 -year pit resources to
Measured and Indicated categories and will further upgrade resources from Inferred to Indicated. In
addition to resource drilling, geotechnical, metallurgical, hydrogeological, exploration, and
condemnation drilling are also being performed.
#1120, 789 West Pender Street,
Vancouver, B.C.
V6C 1H2, Canada
T: +1 (604) 229-8129
E-mail: [email protected]
Website: http://www.tnrgoldcorp.com
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With the closing in October 2023 of a US$10.0 million investment by Nuton, a Rio Tinto venture, and
the ARS $42 billion investment by Stellantis, the Los Azules Project is fully funded for the 2023 -2024
drilling campaign. McEwen Copper is currently seeking funding to support feasibility-level engineering
and pre -construction work. Another record -setting drill season is underway at Los Azules with over
62,000 meters of drilling, of which 43,000 meters have been completed to date.
“Argentina’s new president is taking important initiatives to unlock the country’s potential to
become a significant supplier of critical minerals to the world, to combat climate change and at the
same time strengthening the economy,” said Rob McEwen, Chairman and Chief Owner.
“McEwen Copper’s Los Azules project is progressing at light speed towards completing a feasibility
study by Q1 2025 and it has already delivered significant economic benefits to the neighbouring
communities. It is a very large copper resource, where recent exploration drilling suggests it
definitely has room to grow,” said Michael Meding, Vice President and General Manager of McEwen
Copper.
Table 1 - Remaining 2022-2023 Los Azules metallurgical drilling results. All intercepts are approximate
true thickness.
Hole-ID Section Predominant
Mineral Zone
From
(m)
To
(m)
Length
(m)
Cu
%
Au
(g/t)
Ag
(g/t) Comment
AZ23199MET 31 Total 100.0 271.0 171.0 0.80 0.06 1.56
Enriched 100.0 271.0 171.0 0.80 0.06 1.56 Incl. 156.0m of 0.85% Cu
Primary
AZ23200MET 34-33 Total 94.0 394.5 300.5 0.43 0.04 2.89
Enriched 94.0 394.5 300.5 0.43 0.04 2.89 Incl. 172.0m of 0.59% Cu
Primary
AZ23204MET 39 Total 116.0 312.0 196.0 0.50 0.12 1.83
Enriched 116.0 275.5 159.5 0.54 0.13 1.87 Incl. 38.0m of 1.01% Cu
Primary 275.5 312.0 36.5 0.34 0.07 1.67
AZ23205MET 31 Total 105.0 374.7 269.7 0.73 0.08 1.77
Enriched 105.0 362.0 257.0 0.76 0.09 1.94
Primary 362.0 374.7 12.7 0.28 0.05 1.30
AZ23226AMET 33 Total 90.0 275.3 185.3 0.47 0.03 0.91
Enriched 90.0 275.3 185.3 0.47 0.03 0.91 Incl. 38.0m of 0.66% Cu
Primary
AZ23228MET 47 Total 170.0 616.0 446.0 0.63 0.07 3.58
Enriched 170.0 430.0 260.0 0.72 0.07 4.18 Incl. 76.0m of 0.92% Cu
Primary 430.0 616.0 186.0 0.49 0.07 2.74 Incl. 52.0m of 0.80% Cu
AZ23229MET 50-51 Total 92.0 262.4 170.4 0.46 0.04 1.80
Enriched 92.0 262.4 170.4 0.46 0.04 1.80 Incl. 76.4m of 0.52% Cu
Primary
AZ23230MET 30 Total 104.0 438.2 334.2 0.59 0.06 3.66
Enriched 104.0 354.0 250.0 0.68 0.06 3.67 Incl. 192.0m of 0.83% Cu
Primary 354.0 438.2 84.2 0.31 0.07 3.61
AZ23232MET 48-49 Total 94.0 464.0 370.0 0.40 0.04 0.95
Enriched 94.0 414.0 320.0 0.44 0.05 1.02 Incl. 76.0m of 0.58% Cu
Primary 414.0 464.0 50.0 0.12 0.03 0.45
GTK2315MET 52-53 Total 69.0 521.2 452.2 0.29 0.05 1.09
Enriched 69.0 260.0 191.0 0.45 0.04 0.86 Incl. 76.0m of 0.70% Cu
Primary 260.0 521.2 261.2 0.18 0.05 1.26
GTK2316MET 30 Total 94.0 319.1 225.1 0.38 0.02 0.88
Enriched 94.0 319.1 225.1 0.38 0.02 0.88 Incl. 48.0m of 0.64% Cu
Primary
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GTK2317MET 28-27 Total 156.0 326.0 170.0 0.42 0.02 2.15
Enriched 156.0 326.0 170.0 0.42 0.02 2.15 Incl. 58.0m of 0.49% Cu
Primary
AZ23210MET 30 Total 110.0 415.0 305.0 0.64 0.07 1.62
Enriched 110.0 352.0 242.0 0.73 0.07 1.59
Primary 352.0 415.0 63.0 0.28 0.06 1.73
AZ23223MET 32 Total 142.0 376.0 234.0 0.40 0.03 0.52
Enriched 142.0 376.0 234.0 0.40 0.03 0.52 Incl. 76.0m of 0.57% Cu
Primary
AZ23227MET 34 Total 69.0 334.0 265.0 0.68 0.07 1.27
Enriched 69.0 284.0 215.0 0.73 0.06 1.30 Incl. 137.0m of 0.80% Cu
Primary 284.0 334.0 50.0 0.44 0.09 1.13 Incl. 22.0m of 0.65% Cu
Results are summarized in three schematic cross sections (Figures 2, 3, and 4), which include simplified
interpretations of the Overburden, Leached, Enriched and Primary zones. The Enriched mineral zone
refers to a copper deposit enriched by precipitation -derived water circulation that carries copper
minerals downward through the rocks to accumulate in a thick, often horizontal “blanket”. Immediately
above the Enriched zone is the Leached zone, from which copper was removed and transported.
Weathering and oxidation often contribute to this process. Below the Enriched zone, the Primary (or
Hypogene) zone is formed by ascending copper -rich thermal fluids, originating from a much deeper
magmatic source. The green line indicates the pit floor of the 30-year pit shell from the 2023 NI 43-101
Preliminary Economic Assessment (PEA).
Figure 1 presents a plan view of the location of three sections and the holes reported. Adjacent cross
sections are located 50 m apart from each other, starting with the lowest numbered section at the
south end of the deposit and progressing to the north.
Figure 1 – Plan View Location of Cross-sections and Drill Holes in the Deposit
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Figure 2 displays an intercept of 446 m grading 0.63% Cu (AZ23228MET) and
includes 76 m grading 0.92% Cu within the Enriched zone. This hole extends higher-grade
mineralization further to the west within the Enriched zone.
Figure 2 - Section 47 - Drilling, Mineralized Zones and 30-year PEA Pit (Looking North)
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Figure 3 highlights a 257 m interval grading 0.76% Cu (AZ23205MET). Both this hole and hole
AZ23199MET (171 m grading 0.80% Cu) directly to the west confirm the continuity and grade of the
Enriched zone on this section.
Figure 3 - Section 31 - Drilling, Mineralized Zones and 30-year PEA Pit (Looking North)
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Figure 4 presents an intercept of 250.0 m of 0.68% Cu in hole AZ23230MET. This hole validates
mineralization in the center of this section. Hole AZ23210MET displays an intercept of 242.0 m of 0.73%
Cu and extends higher grade mineralization in the Enriched zone to the east. Hole GTK2316 contains
an intercept of 225.1 m of 0.38% Cu. These three new holes validate the continuity and strength of
mineralization on this section.
Figure 4 - Section 30 - Drilling, Mineralized Zones and 30-year PEA Pit (Looking North)
Technical information
The technical content of this press release has been reviewed and approved by Darren King, Director of
Exploration of McEwen Copper, who serves as the qualified person (QP) under the definitions of
National Instrument 43-101.
All samples were collected in accordance with generally accepted industry standards. Drill core
samples, usually taken at 2 m intervals, were split and submitted to the Alex Stewart International
laboratory located in the Province of Mendoza, Argentina, for the following assays: gold determination
using fire fusion assay and an atomic absorption spectroscopy finish (Au4-30); a 39 multi-element suite
using ICP-OES analysis (ICP-AR 39); copper content determination using a sequential copper analysis
(Cu-Sequential LMC-140). An additional 19-element analysis (ICP-ORE) was performed for samples with
high sulphide content and that exceeded the limits of the ICP-OES analysis.
The company conducts a Quality Assurance/Quality Control program in accordance with NI 43-101 and
industry best practices, using a combination of standards and blanks on approximately one out of every
25 samples. Results are monitored as final certificates are received, and any re-assay requests are sent
back immediately. Pulp and preparation sample analyses are also performed as part of the QAQC
process. Approximately 5% of the sample pulps are sent to a secondary laboratory for control purposes.
In additi on, the laboratory performs its own internal QAQC checks, with results made available on
certificates for Company review.
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Table 2 – Hole Locations and Lengths for Los Azules Drilling Results
HOLE-ID Azimuth Dip Length Loc X Loc Y Loc Z
AZ23199MET 250 -67 271.0 2383430 6558947 3659
AZ23226AMET 250 -77 275.3 2383311 6559016 3656
AZ23228MET 70 -60 616.0 2382837 6559585 3625
AZ23229MET 70 -70 262.4 2382846 6559746 3616
AZ23230MET 70 -73 438.2 2383344 6558864 3664
AZ23232MET 45 -70 464.0 2383226 6559780 3632
GTK2315MET 38 -70 521.2 2383192 6559976 3639
GTK2316MET 250 -78 319.1 2383348 6558863 3664
GTK2317MET 90 -70 326.0 2383561 6558835 3665
AZ23200MET 90 -70 394.5 2383467 6559120 3657
AZ23204MET 250 -76 312 2383292 6559323 3643
AZ23205MET 250 -74 374.7 2383504 6558973 3660
AZ23210MET 250 -76 415 2383533 6558930 3664
AZ23223MET 66 -73 376 2383253 6558932 3670
AZ23227MET 70 -79 334 2383305 6559059 3654
Coordinates listed in Table 2 based on Gauss Kruger - POSGAR 94 Zone 2
ABOUT MCEWEN COPPER
McEwen Copper is a well-funded, private company which owns 100% of the large, advanced-stage Los
Azules copper project, located in the San Juan province, Argentina. McEwen Copper is a 47.7% owned
private subsidiary of McEwen Mining, which is listed on NYSE and TSX under the ticker MUX.
Los Azules is being designed to be distinctly different from conventional copper mines, consuming
significantly less water, emitting much lower carbon levels and progressing to be carbon neutral by
2038, being powered by 100% renewable energy once in opera tion. The project’s recently updated
Preliminary Economic Assessment (PEA) projects a long life of mine, a short payback period, low
production costs per pound, high annual copper production, and an after-tax IRR of 21.1%.
ABOUT MCEWEN MINING
McEwen Mining is a gold and silver producer with operations in Nevada, Canada, Mexico and
Argentina. McEwen Mining also holds a 47.7% interest in McEwen Copper, which is developing the
large, advanced-stage Los Azules copper project in Argentina. The company’s goal is to improve the
productivity and life of its assets with the objective of increasing the share price and providing a yield.
Rob McEwen, Chairman and Chief Owner, has a personal investment in the company of US$220 million.
His annual salary is US$1.”
The McEwen Mining press release appears to be reviewed and verified by a Qualified Person (as that
term is defined by National Instrument 43 -101 – Standards of Disclosure for Mineral Projects ) and the
procedures, methodology and key assumptions disclosed therein are those adopted and consistently
applied in the mining industry, but no Qualified Person engaged by TNR has done sufficient work to
analyze, interpret, classify or verify McEwen Mini ng’s information to determine the current mineral
resource or oth er information referred to in its press releases. Accordingly, the reader is cautioned in
placing any reliance on the disclosures therein.
“We are pleased that significant developments on the advancement of the Los Azules Copper Project
towards feasibility have led to the increased Stellantis holdings in McEwen Copper as a strategic partner
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of this large copper, gold and silver project. In February 2023, Stellantis invested ARS $30 billion, and
with additional investment of ARS $42 billion made after the new preliminary economic assessment
(PEA) publication, has a total investment of ARS $72 billion. An aggregate of US $65 million in McEwen
Copper was also invested by Rio Tinto's Venture Nuton in 2022 and 2023,” stated Kirill Klip, TNR’s Chief
Executive Officer. “TNR Gold's vision is aligned with the leaders of innovation among automakers like
Stellantis, whose aim is decarbonizing mobility, and mining industry leaders such as Rob McEwen, whose
vision is ‘to build a mine for the future, based on regenerative principles that can achieve net zero carbon
emissions by 2038’.
“The green energy rEVolution relies on the supply of critical metals like copper; delivering "green copper"
to Argentina and the world will contribute to the clean energy transition and electrification of transportation
and energy industries.
“The new president of Argentina introduced important government policies aimed at supporting business
and unlocking the country’s economic potential. Mining is being recogni zed as an integral part of this
economic development plan providing jobs and enriching local communities.
“Strong team performance of McEwen Copper is accelerating the advance of Los Azules Project towards
completing a feasibility study. The Los Azules Project PEA results highlighted the potential to create a
very robust leach project, while reducing environmental footprint, and greater environmental and social
stewardship sets the Project apart from other potential mine developments.
“It’s also very encouraging to see an updated independent mineral resource estimate that has increased
significantly. These assay results not only validate previous drilling results but also confirm the continuity
of mineralization and extend the mineralization.
“Together with Nuton, McEwen Copper is exploring new technologies that save energy, water, time and
capital, advancing Los Azules towards the goal of the leading environmental performance. The
involvement of Rio Tinto with its innovative technology, may also accelerate realizing the enormous
potential of the Los Azules Project.
“Los Azules was ranked in the top 10 largest undeveloped copper deposits in the world by Mining
Intelligence (2022). TNR Gold does not have to contribute any capital for the development of the Los
Azules Project. The essence of our business model is to have industry leaders like McEwen Mining as
operators on the projects that will potentially generate royalty cashflows to contribute significant value for
our shareholders.”
ABOUT TNR GOLD CORP.
TNR Gold Corp. is working to become the green energy metals royalty and gold company.
Our business model provides a unique entry point in the creation of supply chains for critical materials
like energy metals that are powering the energy rEVolution, and the gold industry that is providing a
hedge for this stage of the economic cycle.
Our portfolio provides a unique combination of assets with exposure to multiple aspects of the mining
cycle: the power of blue-sky discovery and important partnerships with industry leaders as operators on
the projects that have the potential to generate royalty cashflows that will contribute significant value for
our shareholders.