Cornerstone authorized to recommence
exploration at
Flagship Shyri
property in Ecuador
Mount Pearl, NL, Canada: Cornerstone Capital Resources Inc. (TSXV-CGP)
(F-GWN) (B-GWN) (OTC-CTNXF) announced today that the Company has been
authorized by the Ministry of Non-Renewable Natural Resources -
Ministerio de Recursos Naturales No Renovables (MRNNR)
to restart all
exploration activities, including diamond drilling, in Loma Quinuas
and
Aguarongos, two of its three wholly-owned Gama
prospect concessions in
Ecuador. Additionally the Company reports that, in accordance with the
new mining law and applicable regulations, it has been granted title to
these mining concessions for 25 years from the date of issue, with
options to renew for additional periods of 25 years.
"We are very pleased to be the first exploration company to receive
full authorization from MRNNR under the new mining legislation in
Ecuador," said Yvan Crepeau,
President, Cornerstone Ecuador S.A.
(CESA). "We have worked diligently in co-operation with MRNNR, the
Ministry of Environment (ME) and the Government of Ecuador since the
mining moratorium was imposed in April of 2008 to achieve this
important milestone. We have great confidence in the mineral potential
of Ecuador and we look forward to advancing our Gama prospect and our
other highly prospective properties to create significant shareholder
value for investors who have patiently supported the Company."
CESA has received all the substituted mining titles for its concessions
in Ecuador and, to date, the Gama Project has obtained all the
authorizations and permits required by Ecuadorean law. Approval to
resume work on the other wholly owned Gama prospect concession, Gama
Norte, is expected in the near future. CESA has maintained key staff in
Ecuador during the mining moratorium and is well-positioned to
re-activate exploration programs.
The GAMA Prospect
The Gama prospect comprises an extensive, sub-horizontal high
sulphidation alteration system occurring over a
minimum area of 8.5 km
by 3 km within the Aguarongos concession. The
strongly zoned alteration
system occurs between the 3500 m to 3800 m elevations and is centered
over two high level, porphyry-type intrusions.
Cornerstone has
completed extensive geological, geochemical and geophysical (magnetic
and IP) surveys over the prospect and has outlined several high
priority targets which will be the focus of the initial drilling
program, details of which will be announced in the next few days.
Iamgold's 3.4 million ounce Quimsacocha
gold deposit occurs at similar
elevations approximately 12 km southeast of Gama.
A post-mineralization, auriferous hydrothermal breccia
zone at Gama,
the Ermitas breccia,
contains a variety of altered and mineralized
fragments in a sulphide matrix. The breccia, which contains abundant
silica-pyrite-enargite clasts,
has returned values up to 3.8 g/t Au, 67
g/t Ag and 0.1% Cu over 1.4 m in channel samples from limited
outcroppings. It is interpreted that the mineralized fragments within
the breccia represent gold mineralization at depth
that has been
carried to the surface with the ascent of hydrothermal fluids (Press
Release dated July 31, 2006 -- available at SEDAR:
http://www.sedar.com/DisplayProfile.do?lang=EN&issuerType=03&issuerNo=00013027).
On October 29, 2009 Cornerstone and Intrepid Mines Ltd. (TSX-IAU)
(ASX-IAU) announced that they had signed a binding letter of intent
(LOI) outlining the terms of an option/joint venture arrangement for
Cornerstone's Shyri property in southern Ecuador
which includes the
Gama, Vetas Grandes and Ca�aribamba prospects. Cornerstone and Intrepid
are preparing the final terms and conditions of the earn-in and joint
venture and expect to conclude a Definitive Agreement in the near
future.
Related News
In a related event, Cornerstone, through its subsidiary Cornerstone
Ecuador, S.A. (CESA), has served notice of the limited lifting of force
majeure to Sierramin Minera
SA, the original vendor of the Shyri
concession. The terms of that agreement provided for payment of advance
royalties to Sierramin on a certain schedule
following the completion
of the 100% earn-in by Cornerstone, which was announced in January
2008. These payments and other obligations were suspended during force
majeure but will now resume according to the terms of the agreement.
Other Ecuador Properties
Concessions in Cornerstone's other project areas (Shyri
(7), Macara
(1), Monterrey (2) and Bella Maria (1)) are at an early stage of
exploration. Reconnaissance work is currently ongoing on Macara
in
partnership with Newmont. Preliminary environmental assessments were
prepared for the Vetas Grandes
and Ca�aribamba prospects on the Shyri
property in 2007 but will need to be updated according to new criteria,
publicized and submitted to the ME. Authorizations to restart
exploration activities on these other concessions will be announced as
they are received.
Database Ecuador
The Sierramin agreement also gave Cornerstone rights
to a detailed
regional geochemical database comprised of over 5000 heavy mineral,
BLEG, sand, silt and rock samples collected over approximately 5,500
km2 of southern Ecuador. The database had been generated in the mid to
late 1990's at a cost of approximately US$1.6 million but has seen
little follow-up. Cornerstone will be working to attract a partner to
form a regional exploration alliance to explore the area using the
database as a guide.
Other News
During the past two years CESA's team has been actively examining
exploration opportunities in other mining friendly South American
jurisdictions. Currently we have reached agreement on two such
opportunities and upon the successful conclusion of the earn-in
agreements the full details will be announced.
This press release was approved by Colin B. McKenzie, P.Geo., a
Cornerstone Director and a Qualified Person in accordance with National
Instrument 43-101.
About Cornerstone
Cornerstone Capital Resources Inc. is a mineral exploration company
based in Mount Pearl, Newfoundland & Labrador, Canada, with a
diversified portfolio of projects in Canada and Ecuador and a strong
technical team that has proven its ability to identify, acquire and
advance properties of merit. The company's business model is based on
generating exploration projects whose subsequent development is funded
primarily through joint venture partnerships.
Further information is available on Cornerstone's website:
www.cornerstoneresources.com or for investor, corporate or media
inquiries, please contact:
Investor Relations:
Email: communications@crigold.com
North America toll-free: 1 (877) 277-8377
Martti Kangas - Direct
Line: 1 (647) 521-9261
Paul Benwell / Pat Kairns -
Direct Line: 1 (514) 904-1333
Investors can access and join the following Cornerstone social media
channels:
Facebook
(http://www.facebook.com/pages/Cornerstone-Resources-Inc/152481978112151)
Twitter (http://twitter.com/Cornerstone_cgp)
YouTube channel (http://www.youtube.com/user/CornerstoneResource)
Flickr
(http://www.flickr.com/photos/cornerstoneresources)
The direct links to recent CEO interviews are:
January 4th, 2011
http://www.rblcommunications.com/webcasts/CGP04jan11/CGP04jan11.html
November 10th, 2010
http://www.rblcommunications.com/webcasts/CGPnov122010/CGPnov122010.html
Cautionary Notice:
Certain statements contained in this press release may be considered as
forward-looking. Such forward-looking statements are subject to risks
and uncertainties that could cause actual results to differ materially
from estimated or implied results. While Cornerstone anticipates that
subsequent events may cause its views to change, it expressly disclaims
any obligation to update the Forward-Looking Statements contained
herein.
On Behalf of the Board,
Glen H. McKay
President & CEO
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 release.
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