Zincore CEO and President, Jorge Benavides, commented, "With each new
set of drill results we are making good progress towards Pre-Feasibility
for our Accha Zinc Oxide District Project. We are particularly encouraged
by the 19.98% Zn Eq* over 9.0 metres in hole YA-86 as it
is located near holes YA-4, 12, and 80 where we also intersected very high
grades of zinc mineralization. This is critical information as one of our
main goals for this program is to define the higher grade zones which we
may selectively extract in the early years of a mine plan to improve
project economics. We also continue to be encouraged that such a high
percentage of mineralization occurs at or near surface indicating that
Yanque may be amenable to development as an open pit operation. In
addition, three out of four sets of Yanque drill results have now
intersected good grades of silver over mineable widths and silver credits
could have a definite impact on the economics of the Accha Zinc Oxide
District Project."**
Mr. Benavides concluded, "All of this information will be used in the
Pre-Feasibility Study (PFS) we are currently undertaking. As some
investors are aware,and as evidenced by the recent C$663 million takeover
offer by Nyrstar NV for Breakwater Resources, many market participants see
the potential for a significant shortage of available zinc supply versus
global demand within the next few years. We firmly believe that the PFS
will confirm the technical and economic viability of the Accha Zinc Oxide
District Project as a mining operation. In a world of constrained zinc
supply, this could have tremendous ramifications for the value of our
Company."
| Table
1 – Yanque Project Definition Drilling |
| |
Drill Hole |
|
|
|
|
|
Hole
Number |
From
(metres) |
To
(metres) |
Drill
Hole Intersection (metres) (1) |
Zinc
(%) |
Lead
(%) |
Zn
Eq
(%)* |
Silver
(g/t) |
| YA-81 |
57.7 |
78.7 |
21.0 |
3.54 |
1.71 |
5.25 |
*** |
| |
including |
58.7 |
66.7 |
8.0 |
5.58 |
1.55 |
7.13 |
*** |
| |
|
|
|
|
|
|
|
| YA-82(2) |
17.0 |
51.3 |
34.3 |
2.16 |
3.30 |
5.46 |
*** |
| |
Including(2) |
24.0 |
36.3 |
12.3 |
3.36 |
5.47 |
8.83 |
*** |
| |
and |
41.3 |
51.3 |
10.0 |
1.84 |
3.25 |
5.09 |
*** |
| |
|
|
|
|
|
|
|
| YA-83 |
17.0 |
28.0 |
11.0 |
0.55 |
3.01 |
3.56 |
*** |
| |
and |
32.0 |
38.0 |
6.0 |
1.85 |
1.90 |
3.75 |
*** |
| |
|
|
|
|
|
|
|
| YA-84 |
32.4 |
40.4 |
8.0 |
0.20 |
1.78 |
1.98 |
*** |
| |
and(3) |
58.4 |
69.1 |
10.7 |
1.41 |
2.03 |
3.44 |
*** |
| |
and |
72.1 |
93.1 |
21.0 |
3.10 |
2.79 |
5.89 |
*** |
| |
|
|
|
|
|
|
|
| YA-85 |
0.0 |
8.0 |
8.0 |
1.37 |
1.07 |
2.44 |
*** |
| |
and |
26.0 |
37.5 |
11.5 |
0.56 |
3.64 |
4.20 |
19.87 |
| |
|
|
|
|
|
|
|
| YA-86 |
51.2 |
60.2 |
9.0 |
13.63 |
6.35 |
19.98 |
10.73 |
| |
|
|
|
|
|
|
|
| YA-87 |
10.0 |
20.0 |
10.0 |
1.55 |
1.66 |
3.21 |
*** |
| |
and |
26.0 |
33.5 |
7.5 |
3.96 |
5.00 |
8.96 |
*** |
| YA-88 |
45.2 |
57.2 |
12.0 |
2.24 |
0.91 |
3.15 |
*** |
| |
|
|
|
|
|
|
|
| YA-89 |
12.8 |
44.8 |
32.0 |
2.15 |
1.90 |
4.05 |
*** |
| |
and |
49.8 |
60.8 |
11.0 |
1.89 |
4.55 |
4.55 |
*** |
| YA-90 |
*** |
| 1.
Core Widths |
| 2.
Lost drill core between 30.9 and 32.3 metres |
| 3.
Lost drill core between 64.0 and 64.6 metres |
| (*)
Figures are expressed as zinc equivalents using a ratio of 1:1 lead
to zinc and do not include any potential silver credits.
Metallurgical recoveries and net refinery returns are assumed to be
100%. |
| (***)
No significant values |
These 10 holes represent 1,354 metres of drilling. The Company has now
completed 5,107 metres of a planned 10,000 metre drill program intended to
upgrade known Inferred Resources to Indicated. It is expected that the
drilling will better define the high grade portions of the Yanque ore
body. Given that a number of holes have intersected good grades and widths
of zinc and lead mineralization at the edges of the known resource, it is
clear that the Yanque deposit is open in a number of directions and the
resource is expected to grow in size.**
After the drill program is completed, Zincore will generate a new model
of the deposit and issue a new 43-101 Technical Report. The Company had
good success with a similar in-fill drilling program at its Accha deposit,
located 30 kilometres to the north. Zincore hopes to gain similar
information about Yanque and use this intelligence to help develop a mine
plan where a single facility could process zinc ores from both Yanque and
Accha, as well as nine other 100% owned District prospects yet to be
tested. Being able to selectively mine the higher grades of ore in the
early years of a mine plan would significantly enhance the economics of
the Accha Zinc Oxide District deposits.
(*) Figures are expressed as zinc equivalents using a ratio of 1:1 lead
to zinc and do not include any potential silver credits. Metallurgical
recoveries and net refinery returns are assumed to be 100%.
(**) Please see our news releases dated March 23, May 19 and June 21,
2011.
Vernon Arseneau, P.Geo., Vice President, Exploration for Zincore has
prepared or supervised the preparation of the information contained in
this news release and is the Qualified Person as defined under National
Instrument 43-101 for this news release.
Quality Control
Zincore has implemented a quality control program to ensure best
practice in litho geochemical sampling and analysis of rock chips, trench,
tunnel and drill core samples.
All drill core samples (approximately one metre, half-core composites)
are shipped in security sealed bags via a private trucking company
directly to the Acme Laboratories facility in Lima. All samples for the
resource drill program are analyzed using two techniques: zinc and lead
grades are determined by a four acid digestion and AAS finish, and if the
results exceed 10% they are re-assayed by volumetric methods. In addition,
all samples are assayed by ICP-ES for 36 elements including silver and if
values exceed 200 ppm of silver, samples are re-assayed by an ore grade
method with AAS finish.
The Company submits its own standards and blanks as a measure of the
accuracy of the analysis. All pulps and coarse rejects are recovered and
stored. Prior to a new resource estimate, 10% of all samples used in the
resource calculation will be re-assayed at a second laboratory using the
same analytical techniques described above. This includes re-assaying of
pulps from the coarse rejects.
About Zincore
Zincore is a Vancouver-based mineral exploration company focused mainly
on zinc and related base metal opportunities in the Americas, namely Peru,
Mexico and Canada. The Company's common shares trade on both the
Toronto and Lima Stock Exchanges under the symbol ZNC. For more
information, please see our website at www.zincoremetals.com.
Forward-looking Statements: Statements in
this release that are forward-looking, in particular, regarding the mine
potential of the Yanque deposit, are subject to various risks and
uncertainties concerning the specific factors disclosed under the heading
"Risk Factors" and elsewhere in the Annual Information Form of Zincore
dated March 18, 2011 which is filed with Canadian securities regulatory
authorities and available on SEDAR (www.sedar.com). Such information contained
herein represents management's best judgment as of the date hereof based
on information currently
available.
