Callinex Announces Soil Sampling Results to Follow-up on Silver Discoveries at the Nash Creek Project in Bathurst Mining District, New Brunswick
Callinex Announces Soil Sampling Results to Follow-up on Silver
Discoveries at the Nash Creek Project in Bathurst Mining District, New
Brunswick
Highlights:
Seven areas have been identified from elevated silver, lead and zinc soil anomalies along the controlling Fault that's associated with the recently
announced silver discoveries;
Drill hole NC20-313 intersected
28.6m
of 57 g/t silver including
16.5m
of 94 g/t silver and NC19-306, located 6.8 kms to the south, intersected
19m
of 36.53 g/t silver, 0.52% lead and 0.38% zinc; and
A drilling campaign is being planned to follow up on the seven target areas identified from the soil sampling campaign.
VANCOUVER, BC
,
Jan. 11, 2021
/CNW/ -
Callinex Mines Inc.
(the "Company" or "Callinex") (TSXV: CNX) (OTC: CLLXF) is pleased to announce results from the
soil sampling campaign (the "Campaign") at its 100% owned Nash Creek Project (the "Project") located within the Bathurst Mining District of
New Brunswick
(
See Figure 1
).
Callinex's technical team has identified seven new target areas based on elevated, silver, lead, and zinc soil anomalies that cover over 10 km of the southern
portion of the 18 km Black Point Arleau Brook Fault (the "Fault"). The Fault is spatially associated with two previously announced silver discoveries located 6.8 km
apart (
See Figure 2
).
Drill hole NC20-313 intersected
28.6m
of 57 g/t silver at a vertical depth of
120m
including
16.5m
of 94 g/t silver and NC19-306
which intersected
19m
of 36.53 g/t silver, 0.52% lead and 0.38% zinc at a starting depth of
34.0m
(
See News Releases dated
June 15, 2020
and
June 4, 2020
).
Nash Creek Soil Sampling Results Overview - Silver (CNW Group/Callinex Mines Inc.)
Max Porterfield
, President and CEO, stated, "The results from the soil sampling campaign provide an additional data set that will aid our team as we vector
towards higher grade silver mineralization and expand the two silver discoveries made last year." Mr. Porterfield continued, "Meeting this objective has the
potential to build upon the maiden Preliminary Economic Assessment ("PEA") that was published on the Bathurst Portfolio. It should be noted that today metal
prices are all higher than the metal price assumptions envisioned in the 2018 PEA, which outlined a mine plan that generates a strong economic return with a pre-
tax IRR of 34.1% and NPV8% of
$230 million
."
The 10 km area of interest has been subdivided into two target areas:
Target Area 313
Target Area 313 is the northern 5.0 km of the sampled area where NC20-313 was drilled. Of the potential 5.0 km of strike, 3.7 km show strong linear correlations
between silver/lead soil anomalies which supports the mineralization intersected in NC20-313 (
See Figure 3
). Additionally, this target area is associated with a
low resistivity Induced Polarization ("IP") anomaly which suggests alteration similar to what was observed in NC20-313 (
See Figure 4
). The elevated soil
anomalies and IP resistivity low coincide with the interpreted conductive airborne Versatile Time Domain Electromagnetic (VTEM) anomalies previously identified
which could suggest an increase in silver rich sulphide mineralization similar to what was intersected in hole NC20-313.
Nash Creek Soil Sampling Results - Target Area 313 Silver with Resistivity (CNW Group/Callinex Mines Inc.)
Target Area 306
This target area is the southern 5 km of the sampled area where NC19-306 was drilled. As seen in the northern area, soil results in the southern portion define
four targets recommended for drilling which span 1.7 km of prospective strike. Of particular interest from the soil sampling results are highlighted by anomalous
silver along the Fault (
See Figure 5
). The elevated silver anomalies are coincident with a much larger IP resistivity low anomaly and sits along a felsic/sediment
rock contact (
See Figure 6
). Drill hole NC19-306 was drilled vertically and did not test the main controlling fault. It should be noted that the 2006 VTEM survey that
was completed was limited to a small portion of Target Area 313 and did not cover any of Target Area 306.
Nash Creek Soil Sampling Results - Target Area 306 Silver with Resistivity (CNW Group/Callinex Mines Inc.)
The silver mineralization defined by the two discovery holes is interpreted to be hosted within faulted / brecciated rhyolites, with alteration consisting of silica,
pyrite, galena +/- calcite interstitial to the felsic fragments. Mineralization associated with faulting and the extensive soil anomalies defined along the Fault
highlights the potential for additional silver mineralization to be discovered along the 10km trend.
The Company has analyzed results from 2,000 soil samples submitted for analysis at a 25 metre sample spacing along section lines spaced at 100 metre
intervals over the 10 km of trend that encompasses both silver discoveries (
See Figure 2
). Analysis consisted of a selective cyanide leach (EDTA) process with an
ICP-MS finish with 54 elements analyzed. In addition to elevated silver and lead values, elevated metals including zinc, arsenic, cadmium, barium, and manganese
are highlighting areas of interest which support the minerals identified in holes NC20-313 and NC19-306.
Plans are underway to initiate a drilling campaign to follow-up on the seven target areas identified from the soil sampling campaign and the reprocessing and
interpretation of the VTEM geophysical survey data (
See News Release Dated
August 4, 2020
).
J.J. O'Donnell, P.Geo, a qualified person under National Instrument 43-101 and Exploration Manager for Callinex, has reviewed and approved the technical
information in this news release.
Figure 1: Bathurst Regional Overview
Figure 2:
Nash Creek
2020 Soil Sampling Results Overview with Silver
Figure 3: Nash Creek Soil Sampling Results - Target Area 313 Silver with Geology
Figure 4: Nash Creek Soil Sampling Results - Target Area 313 Silver with Resistivity and VTEM
Figure 5: Nash Creek Soil Sampling Results - Target Area 306 Silver with Geology
Figure 6: Nash Creek Soil Sampling Results - Target Area 306 Silver with Resistivity
About Callinex Mines Inc.
Callinex Mines Inc. (TSXV: CNX) (OTC: CLLXF) is advancing its portfolio of base and precious metals rich deposits located in established Canadian mining
jurisdictions. The portfolio is highlighted by the rapidly expanding Rainbow Discovery at its Pine Bay Project located near existing infrastructure in the Flin Flon
Mining District. Additionally, Callinex has emerging near-surface silver discoveries at its Nash Creek Project located in the Bathurst Mining District of
New
Brunswick
. A 2018 PEA on the Company's
Bathurst
projects outlined a mine plan that generates a strong economic return with a pre-tax IRR of 34.1% (25.2%
post-tax) and NPV8% of
$230 million
(
$128 million
post-tax).
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 release.
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future
expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which
may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or
implied by the statements. Such factors include, among others, the ability to complete the proposed drill program and the timing and amount of expenditures.
Except as required under applicable securities laws, Callinex does not assume the obligation to update any forward-looking statement
.
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For further information:
Callinex Mines Inc., Max Porterfield, President and Chief Executive Officer, Phone: (604) 605-0885, E-mail: [email protected]
CO: Callinex Mines Inc.
CNW 08:30e 11-JAN-21