U.S. Markets closed

Orosur Mining Inc. – Reports New High-Grade Gold Drill Results at APTA, Including 9.62g/t Over 6.0m, 9.42g/t Over 7.0m, 23.66g/t Over 1.0m, 5.28 g/t Over 12.0m & Further Extends Depth of Mineralization to Over 400m

MEDELLIN, Colombia--(BUSINESS WIRE)--

Orosur Mining Inc. (“Orosur” or “the Company”) (TSX/AIM: OMI) the South America-focused gold producer, developer and explorer is pleased to report new results from the ongoing step-out drill program at its 100% owned high grade Anzá project in Colombia. These are the last drill holes (MAP_63 to MAP_71) from the APTA target in this exploration campaign, with a further five drill holes planned and currently underway at Charrascala, a highly prospective and untested target within the broader Anzá land package.

HIGHLIGHTS

  • Orosur’s APTA geological model and understanding has improved and been validated by current drilling
  • Drilling has extended the mineralized zone a further 95m down dip, to a total depth of 400m
  • In the South of APTA, mineralization has been recognized at lower depths
  • APTA mineralization remains open along strike and at depth
  • Notable MAP_70 drill intercepts including:
    • 9.62g/t Au over 6.0m
    • 9.42g/t Au over 7.0m
    • 23.66g/t Au over 1.0m
    • 5.28 g/t Au over 12.0m

Ignacio Salazar, CEO of Orosur, said:

“We are delighted with progress in Colombia. Drilling results at APTA continue to extend the mineralized area, while also remaining open along strike and at depth, resulting in a drill tested and improved geological model for follow-on drilling campaigns. APTA represents only 10% of the land base of the Anzá project, which covers over 200km² and contains four additional gold targets. We are excited to be drilling Charrascala at present and look forward to testing the broader potential of our additional targets over time.”

Notable results to date from new drilling includes 20 intercepts from 4 diamond core drill holes focused on expansion drilling at the APTA deposit. These are highlighted below and include numerous significant intervals at high grades, including:

Table 1. New assay results from the APTA drill program, Anzá project

Hole Number   From (m)   To (m)   Interval (m)   Au (g/t)   Ag (g/t)   Zn (%)
MAP_064   116.00   122.00   6.00   1.57   17.98   1.73
147.00 151.00 4.00 0.84 0.60 0.04
190,00 197.00 7.00 3.45 1.00 3.79
Including 193.00 197.00 4.00 5.43 1.50 6.41
265.00 273.70 8.70 1.67 3.13 5.35
Including 269.00 272.00 3.00 3.43 4.17 6.86
283.70 285.30 1.60 3.18 1.94 3.03
292.00 294.00 2.00 2.04 1.75 5.90
    297.00   299.00   2.00   1.03   1.05   2.18
MAP_065 140.00 144.10 4.10 2.22 1.37 0.04
283.30 288.45 5.15 1.24 5.75 0.11
Including 284.30 286.10 1.80 2.70 10.30 0.09
    312.00   313.50   1.50   1.05   0.60   0.54
MAP_067 161.70 168.10 6.40 1.74 2.52 0.34
Including 162.80 165.00 2.20 4.14 3.05 0.79
176.40 192.20 15.80 1.07 2.04 0.06
Including 179.00 184.00 5.00 2.24 3.28 0.13
235.00 243.20 8.20 1.36 0.78 0.38
Including   237.00   241.20   4.20   2.09   0.87   0.49
MAP_070 168.00 192.00 24.00 1.84 1.64 1.09
Including 168.00 173.00 5.00 1.66 3.52 4.81
Including 183.00 184.00 1.00 23.66 3.60 0.04
Including 186.00 192.00 6.00 1.16 0.72 0.02
208.00 212.00 4.00 1.13 1.72 0.61
221.00 233.00 12.00 5.28 2.48 1.10
Including 222.00 226.00 4.00 6.38 3.10 2.28
Including 228.00 233.00 5.00 6.99 2.78 0.65
246.00 248.00 2.00 6.28 6.30 1.41
256.00 267.00 11.00 6.35 2.74 1.55
Including 256.00 263.00 7.00 9.42 3.93 2.27
284.00 298.00 14.00 5.02 2.23 1.10
Including 286.00 292.00 6.00 9.62 2.90 1.75
302.00 307.00 5.00 1.57 3.94 1.67
 

Notes:

1. Significant intervals are chosen based on continuity of mineralization and gold grade.
2. All intervals are reported as drilled thicknesses; true thicknesses are estimated to be 65-85% of drilled thicknesses. Gold grades have been calculated based on weighted averages.

Table 2. Hole location and orientation for the new nine holes assayed to date.

Hole Number   Northing (m)   Easting (m)   Elevation (m)   Azimuth (°)   Dip (°)   Total Depth (m)
MAP_063   694239.13   399777.17   933.97   104.00   -55.00   325.20
MAP_064 694712.71 399914.80 1112.00 109.00 -71.00 465.50
MAP_065 694153.43 399745.51 920.82 112.00 -61.00 375.70
MAP_066 695231.42 400081.90 951.00 105.00 -55.00 255.00
MAP_067 694094.00 399729.00 906.00 125.00 -55.00 320.00
MAP_068 695231.77 400081.90 951.00 320.00 -55.00 378.10
MAP_069 694094.00 399729.00 906.00 125.00 -70.00 428.30
MAP_070 694845.65 400075.07 1061.00 270.00 -75.00 339.70
MAP_071 693983.00 399730.00 887.24 120.00 -66.00 305.30
 

To date, Orosur has completed 18 holes (MAP_54 to MAP_71, Fig. 2) at APTA totaling 6,314m of drilling. Assay results for the first 9 holes were published in the press release dated February 20, 2018. Significant results of the remaining 9 holes at APTA are included in the table above.

MAP_70 Highlights

Throughout this exploratory drilling campaign, Orosur’s geological understanding has increased and the geological model updated. As a result of this increased geological confidence, MAP_70 was drilled, towards the central northern portion of the APTA deposit, with the aim of testing both the spatial orientation of the mineralized structure and its continuity down dip. The hole was successful on both objectives, with results demonstrating that the mineralized body in this sector of APTA dips to the east. As a result, continuity along strike can now be more accurately tested by future drilling. Additionally, MAP_70 demonstrates that high-grade gold mineralization extends a further 95 meters down from what was previously the deepest hole in the sector (MAP_60) resulting in a vertical continuity of high-grade gold mineralization in the area for over 400m while remaining open at depth.

Geological interpretation of hole MAP_70, confirming the mineralized structure to be east-dipping, opens up a new set of opportunities at the southern part of APTA, where such interpretation was previously not established.

Figures 1 and 2 below show the cross-section locations, body geometry, grade and correlation with adjacent previous drilling.

To view the full release, showing all maps and figures, please click here.

Near Term Exploration Program

The Anzá project contains four additional high priority targets with coincident geochemical and geophysical anomalies (Fig. 3). After APTA, the next highest priority target at present is Charrascala, which is located approximately 1.5 km to the west of APTA. Charrascala is defined by an extensive coincident gold in soil and magnetic anomaly that is approximately 3 km north-south by 1 km east-west and localized along a potential north-south structure. Surface mapping and sampling combined with interrogation of geophysical data sets share similar attributes to APTA.

Given the continued validation of APTA’s geological model by recent drilling, the last phase of this current exploration campaign is focusing on Charrascala with the aim of demonstrating the larger mineral potential of the broader Anzá project. To date, Orosur has completed three drill holes at Charrascala and plans to drill a further two in this campaign, for a total of five holes. Assay results of these five drill holes are expected to be received during May 2018 and announced shortly thereafter.

To view the full release, showing all maps and figures, please click here.

Quality Control and Reporting Protocols

This initial drill program recovered HQ/HQ3 core which was logged, split in half for sampling, with the remainder stored for reference in the secure core facility at Finca El Vergel, Anzá, Antioquia, Colombia. Samples are delivered to SGS lab and ALS lab both in Medellín, Antioquia, Colombia (ISO/IEC 17025), for analysis. At the Laboratory, samples are analyzed for gold by traditional fire assay with atomic absorption finish, with those samples returning >5 g/t gold repeated using a 50g aliquot and gravimetric finish. Samples are also analyzed for multi-elements including silver, cobalt, copper and zinc by total digestion ICP at the same labs. Selected samples will also be re-assayed by metallic sieve methods using up to a 350 g aliquot, based on gold and sulfide content.

Drill program design, Quality Assurance/Quality Control (“QA/QC”) and interpretation of results is performed by qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices. Standards, duplicates, and blanks are added at the lab as well as standards, blanks and duplicates submitted as unknowns by the Company every ten samples. Approximately 5% of sample pulps are sent to secondary laboratories for check assay.

Assays are reported as composited intervals using length weighted averages, with highly enriched zones reported separately. Assays are uncut at this time. Applicable true widths are determined by ongoing investigation of the continuity and geometry of zones and are typically expected to be 65% to 85% of the reported core lengths.

Qualified Person

The technical information related to the current assets of Orosur Mining in this announcement has been reviewed and approved by independent Mining engineer Miguel Fuentealba, a qualified person as defined by National Instrument 43-101.

About Orosur Mining Inc.

Orosur Mining Inc. (TSX: OMI; AIM: OMI) is a fully integrated gold producer, developer and explorer focused on identifying and advancing gold projects in South America. The Company operates the only producing gold mine in Uruguay (San Gregorio) and has assembled an exploration portfolio of high quality assets in Uruguay, Chile and Colombia.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation ("MAR"). Upon the publication of this announcement via Regulatory Information Service, this inside information is now considered to be in the public domain. If you have any queries on this, then please contact Ignacio Salazar, Chief Executive Officer of the Company (responsible for arranging release of this announcement) on: +1 (778) 373-0100.

Forward Looking Statements

All statements, other than statements of historical fact, contained or incorporated by reference in this news release, including any information as to the future financial or operating performance of the Company, constitute "forward-looking statements" within the meaning of certain securities laws, including the "safe harbour" provisions of the Securities Act (Ontario) and the United States Private Securities Litigation Reform Act of 1995 and are based on expectations estimates and projections as of the date of this news release. There can be no assurance that such statements will prove to be accurate. Such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements include, without limitation success of exploration activities; permitting time lines; the failure of plant; equipment or processes to operate as anticipated; accidents; labour disputes; requirements for additional capital title disputes or claims and limitations on insurance coverage. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events and such forward-looking statements, except to the extent required by applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20180403006558/en/