Drill Results - Rio Grande Cu-Au-Ag Project - Argentina
DDH RGR-11-80: 187m @ 0.37 g/t Au, 0.34% Cu & 4.98 g/t Ag
Vancouver, British Columbia ? Pachamama Resources Ltd. (TSX.V ? PMA)
November 2, 2011
Pachamama Resources Ltd. (?Pachamama? or the ?Company?) is pleased to announce drilling results from the first four holes of the 15,000 metre drilling program in progress at the Company?s 50% owned Rio Grande copper-gold-silver project in Salta Province, Argentina. The Rio Grande project is a 50/50 joint venture between Pachamama and Regulus Resources Inc. ("Regulus" ? TSX.V - REG) with Regulus acting as the operator.
Drilling Results
Results have been received from the first four holes (2,969 m) of the planned 15,000 metre drilling program currently underway at the Rio Grande project. The drilling program is designed to test the following objectives: 1) infill and extension drilling in the northern area of the Sofia Zone, 2) extension drilling to the west of the existing drilling in the North Zone, 3) infill and extension drilling in the # 7 Zone, 4) initial testing of the underexplored southwest portion of the Rio Grande ring structure, 5) deep drilling into the deep porphyry targets in the center of the Rio Grande ring structure.
Of the two holes reported herein from the #7 Zone (78 and 80), drill hole 80 was designed to test for deeper sulphide mineralization utilizing results from a new Quantec Titan 24 survey. The other two holes, (79 and 81) located on the western side of the ring structure in the Sofia Zone, tested for extensions of known mineralization closer to the surface (see Figure 1). Drill hole 81 in the Sofia Zone also served to test a zone of molybdenum mineralization previously encountered outboard from the known Cu-Au zone. Results from the drilling are listed in Tables 1 and 2 and highlights for each zone are presented below.
#7 Zone: Drill hole RGR-11-80 in the #7 Zone successfully tested a deep extension of the ring structure utilizing the Quantec Titan 24 DC/IP and MT geophysical survey data and discovered a new zone with 187 metres grading 0.37 g/t Au, 0.34% copper and 4.98 g/t Ag, (0.58% Cu Eq). Included within the broader zone was a higher grade section of 74 metres grading 0.44g/t Au, 0.44% Cu and 7.54g/t Ag (0.75% Cu Eq). The mineralization is spatially related with partly and completely hematite altered magnetite in association with fine-grained disseminated chalcopyrite.
Table 1 Rio Grande of Drilling Results - November 2, 2011 |
Drill Hole Number | Zone | Interval | Length | Au (g/t) | Cu (%) | Ag (g/t) | Cu Eq (%) | Mineral Zone |
RGR-11-78 | #7 | 105 ? 143 m incl. 115 ? 131 m | 38 m 16 m | 0.29 0.34 | 0.29 0.35 | 2.97 3.23 | 0.48 0.56 | Oxide Oxide |
RGR-11-79 | Sofia North | 377 ? 397 m incl. 378 ? 391 m | 20 m 13 m | 0.33 0.43 | 0.45 0.56 | 3.99 5.32 | 0.67 0.84 | Oxide Transition |
RGR-11-80 | #7 | 772 ? 788 m 835 ? 1022 m incl. 835 ? 957 m incl. 835 ? 909 m | 16 m 187 m 122 m 74 m | 0.37 0.37 0.41 0.44 | 0.69 0.34 0.39 0.44 | 10.7 4.98 6.31 7.54 | 0.99 0.58 0.67 0.75 | Sulphide Sulphide Sulphide Sulphide |
RGR-11-81 | Sofia North | 367 ? 480 m incl. 369 ? 377 m | 113 m 8 m | 0.29 0.45 | 0.30 0.55 | 4.64 6.18 | 0.50 0.85 | Oxide/Transition Oxide |
* Copper equivalent calculation uses $1,100/Oz Au, $3/lb Cu and $20/Oz Ag and is not adjusted for metallurgical recoveries as these remain uncertain. The formula to calculate Cu equivalent is Cu Eq = (Cu x 1) + (Au x 0.5437) + (Ag x 0.0097).
Sofia Zone: Drill holes RGR-11-79 and RGR-11-81 were drilled to test for the down dip extension of the Sofia Zone as well as to test a previously identified zone of molybdenum mineralization located outboard from the Cu-Au zone. Both holes intersected Cu-Au mineralization as indicated in Table 1 and RGR-11-81 also intersected the best molybdenum mineralization on the project to date - a zone of 59 metres grading 0.144% Mo including a high grade section of 12 metres grading 0.43% Mo. The Mo mineralization occurs as disseminated molybdenite in red bed sedimentary rock spatially associated with minor intrusive phases outside of the main ring structure. The occurrence of a spatially distinct Mo zone indicates the possibility of another distinct mineralized intrusive centre that will require additional follow-up and drilling.
Table 2 Rio Grande Drill Results - November 2, 2011 |
Drill Hole Number | Zone | Interval | Length | Au (g/t) | Cu (%) | Ag (g/t) | Mo (%) | Mineral Zone |
RGR-11-81 | Sofia North | 572 ? 631 m incl. 572 ? 613 m incl. 601 ? 613 m | 59 m 41 m 12 m | 0.01 0.01 0.01 | 0.02 0.05 0.06 | 0.41 0.77 1.07 | 0.14 0.17 0.43 | Sulphide Sulphide Sulphide |
2011 Drill Program Update
Approximately 60% of the planned 15,000 metre Diamond 2011 drilling program has now been completed (10 holes for 9,179 metres). Assays are pending for the additional holes not reported herein. Given the initial success with extending the mineralized ring structure to depth, focus has been shifted towards testing the deeper targets. The remaining 6,000 metres of the planned 15,000 metre program will consist of 1) deep drilling into the deep porphyry targets in the center of the Rio Grande ring structure. 2) initial testing of the under-explored southwest portion of the Rio Grande ring structure, 3) infill and extension drilling in the # 7 Zone, 4) Infill and extension drilling in the northern area of the Sofia Zone.
Current Status of the Metallurgy and Resource Reports
The preparation of the initial resource estimate for the Rio Grande project is nearing completion with the delay largely due to the complex geometry of the system as well as competition for independent consultant?s time. Regulus has also chosen to undertake a battery of metallurgical studies on both oxide and sulphide mineralization to provide a better context for the resource estimate.
All results of the metallurgical test program have been received and a final report with interpretation of the results is anticipated within the next week. Tetra Tech WEI Inc (formerly Wardrop Engineering) has completed the first draft of the resource estimate and Tetra Tech and Regulus are now working to ensure that the model accurately reflects the complex geology of the system. This review process should be completed and a final resource estimate completed in Q4 2011.
North East Gold Target
Preliminary follow-up of the gold in soil anomaly in the Northeast target discussed in the March 3, 2011 press release has outlined an area of strongly sheared diorites with narrow quartz-magnetite stringers and minor pyrite. A series of trenches will be completed in the next quarter to provide better exposure for sampling the zone.
Figure 1: Rio Grande Drill Plan
This news release has been reviewed by John M. Leask, P.Eng., President and CEO of the Company, and a Qualified Person (?QP?) as defined by National Instrument 43-101 (Standards of Disclosure for Mineral Projects).
On behalf of the Board of Directors,
?John M. Leask?
John M. Leask, P.Eng.
President & CEO
For more information please contact us at (604) 681-4462 or see the Company?s website at www.pachamamaresources.com..
Security ? Chain of Custody & Quality Control: Regulus? security, chain of custody and quality control is described on their website at: http://www.regulusresources.com/BestPractices/SamplingMethodologies.aspx.
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