TORONTO, Dec. 29, 2017 (GLOBE NEWSWIRE) -- Minsud Resources Corp. (MSR.V) (“Minsud” or the “Company”) recently completed a 1,455 metre HQ diamond drilling program in the Chita South Porphyry sector of its Chita Valley Project. The program included 8 new holes together with deepening of 7 existing holes. The main objective was to continue outlining Cu-Au-Ag-Mo mineralization and Inferred Resources at relatively shallow depth beneath the zone of surface weathering and oxidation (See National Instrument 43-101 Technical Report dated February 1, 2016 available under the Company’s profile at www.sedar.com (the “Mineral Resource Estimate”).
The mineralized sections include disseminated sulphides as well as A, B and D-type veins hosted by multiple stages of epizonal intrusions and hydrothermal breccias. Better Cu values are typically associated with the zone of supergene enrichment and the transition to primary mineralization at depth. Epithermal quartz veins that typically post date the porphyry mineralization are known throughout the Chita Valley Project area. This vast under-explored target concept has widespread moderate to high grade Au-Ag values from drill holes and surface samples that remain untested.
Highlights include 86 metres (approximately 70 metres true thickness) averaging 0.65% Cu, 6.2 g/t Ag, 0.009% Mo and 0.07 g/t Au from hole PSU17-67. Individual Cu values above 2.0% and Ag values above 50 g/t were capped at that those levels in the Mineral Resource Estimate. Discrete high-grade Ag-Au sections (highlighted yellow) are not capped. See following table for a summary analytical results.
| Hole ID | From | To | Interval | Thickness | Au | Ag | Cu | Mo |
| | m | m | m | True m | g/t | g/t | % | % |
| PSU14-10 ext. | 86.0 | 148.0 | 62.0 | 50 | 0.035 | 1.25 | 0.341 | 0.016 |
| | 176.0 | 186.0 | 10.0 | 8 | 0.046 | 1.10 | 0.311 | 0.018 |
| PSU14-11 ext. | 48.0 | 176.0 | 128.0 | 98 | 0.044 | 1.18 | 0.327 | 0.02 |
| PSU14-21 ext. | 22.0 | 98.0 | 76.0 | 65 | 0.060 | 0.80 | 0.512 | 0.008 |
| PSU14-25 ext. | 44.0 | 138.0 | 94.0 | 78 | 0.038 | 3.08 | 0.269 | 0.028 |
| PSU17-60 | 42.0 | 50.0 | 8.0 | 7.1 | 0.110 | 13.58 | 0.362 | 0.027 |
| | 64.0 | 98.0 | 34.0 | 30 | 0.059 | 1.12 | 0.377 | 0.049 |
| PSU17-62 | 52.0 | 112.0 | 60.0 | 45 | 0.035 | 1.79 | 0.271 | 0.027 |
| PSU17-63 | 39.15 | 76.0 | 36.85 | 28 | 0.071 | 1.00 | 0.407 | 0.012 |
| PSU17-64 | 26.0 | 42.0 | 16.0 | 12 | 0.028 | 0.71 | 0.277 | 0.032 |
| | 56.0 | 64.0 | 8.0 | 6 | 0.077 | 1.70 | 0.297 | 0.032 |
| PSU17-65 | 22.0 | 42.0 | 20.0 | 17 | 0.196 | 5.31 | 0.462 | 0.018 |
| incl. | 39.4 | 40.0 | 0.60 | 0.50 | 3.93 | 73.00 | 1.325 | 0.006 |
| | 52.0 | 80.0 | 28.0 | 24 | 0.041 | 0.49 | 0.303 | 0.021 |
| PSU17-66 | 52.0 | 82.0 | 30.0 | 24 | 0.083 | 0.52 | 0.500 | 0.028 |
| PSU17-67 | 18.0 | 104.0 | 86.0 | 70 | 0.086 | 6.22 | 0.646 | 0.009 |
| incl. | 47.75 | 50.0 | 2.25 | unknown | 0.55 | 762.00 | 4.384 | 0.010 |
True thickness estimations for the longer Cu mineralized sections are determined by a combination of the January 2017 resource block model outline and current drill hole data. Exceptions to this thickness determination procedure are various drill holes containing lesser intervals of anomalous precious metal values where core angle measurements are utilized to determine an approximate true thickness (shown in italics in the above table). The high-grade Ag-Cu interval in PSU17-67 comprises breccia matrix sulphides of unknown orientation. Drill holes locations are shown on the following map. Historical drill holes locations are also shown.
A drill holes map accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/3d49b1e6-dc87-43bb-9835-8df9304d25f2
All core samples were submitted to the ALS Laboratories laboratory in Mendoza, Argentina for preparation and analysis. ALS is certified to ISO-9001 international standards. All samples were analyzed for Au by fire assay/ AA finish, 50 g, plus a 33-element ICP scan. Minsud includes field duplicates, standards and blanks with all sample shipments. A selection of pulps have been submitted to ISO-9001 certified referee laboratory, Alex Stewart (Assayers) Argentina SA in Mendoza for analysis and results are pending.
In 2016 and 2017 detailed mapping and sampling of epithermal Au/Ag vein areas in the Chita Porphyry was conducted mostly inside the Inferred Resource wireframe model. The precious metal veins are believed to have potential complementary benefits to the deposit’s economic model either as discrete high-grade areas of direct shipping material or as broader sectors of elevated Au/Ag inside the Cu wireframe. One epithermal prospect, the Condor Vein, shows extensive potential for high grade Au/Ag including a number very high or “Bonanza-type” assays. See Table below. The current drill hole PSU17-67 with a core length (unknown true thickness) of 2.25 m averaging 0.55 g/t Au, 762.0 g/t Ag & 4.38% Cu is another untested prospect of this type.
A table accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/d299b056-9d0a-48f2-b696-426c05292059
Minsud has retained P&E Mining Consultants Inc. of Brampton, ON to update the Mineral Resource Estimate within a constraining pit shell in light of the current drilling and other information. An updated NI 43-101 Technical Report on the Chita Valley Project is expected to be completed in the first quarter of 2018.
With maximum elevation in the sector below 3,100 m ASL (meters above mean sea level) field conditions are benign on a year-round basis and no active alpine glacial conditions are possible below approximately 4,100 m ASL.
Mr. Howard Coates, Professional Geoscientist, Director of the Company and a geological consultant, is a Qualified Person as defined by Canadian National Instrument 43-101. Mr. Coates visited the property and has read and approved the contents of this news release.
Carlos Massa, Minsud’s President & CEO, states: “We are pleased to report the results of this new drilling program, particularly noting the consistency of Cu grade with previous programs. A new intersection of mineralized structures with potential for high grade gold and silver within the Cu Mineral Resource Estimate area becomes a new priority target that requires further investigation. It is also worth to mention that the Chita porphyry has not yet been tested at depth.”
About the Chita Valley Project, San Juan Province:
The Chita Valley Project is a large exploration stage porphyry situation with classic alteration features, widespread porphyry style Cu-Mo-Ag-Au mineralization, and associated gold and silver-bearing polymetallic veins. In addition to the Chita South resource area, the project includes a cluster of largely untested mineralized porphyries including the Chita North, Chinchillones and Placetas porphyries. San Juan Province of Argentina has a robust mining sector and recognizes the important economic benefits of responsible development of its substantial mineral resource endowment.
About Minsud Resources Corp.:
Minsud is a mineral exploration company focused on exploring its flagship Chita Valley Cu-Mo-Au-Ag Project, in the Province of San Juan, Argentina. The Company also holds a 100% owned portfolio of selected early stage prospects, including 18,000 has in Santa Cruz Province, Argentina. The company has already resumed field work at the 100% owned La Rosita Project, a Low-sulphidation Ag/Au prospect in the Deseado Massif.
FOR FURTHER INFORMATION PLEASE CONTACT
Carlos Massa
President and Chief Executive Officer
cmassa@minsud.com
Mike Johnston
416-479-4466
mike@minsud.com
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