|Mount Pearl, NL, Canada: Cornerstone Capital Resources Inc. ("Cornerstone" or "the Company") (TSXV-CGP) (F-GWN) (B-GWN) (OTC-CTNXF) announces the following project update for the Cascabel copper-gold porphyry joint venture exploration project in northern Ecuador, in which the Company has a 15% interest financed through to completion of a feasibility study.|
All reported intervals referred to in this news release are core lengths. At present the true thicknesses are uncertain due to the early stage of drilling.
- First batch of assay results received for drill hole CSD-14-009 ("Hole 9");
- Drill hole 9 returns 160 m @ 1.56 g/t gold and 0.84 % copper (1.78% copper equivalent) from 650m depth;
- High grade section down hole from 730m depth, of 80m @ 2.72 g/t gold and 1.32% copper for 2.95% copper-equivalent (including 50m @ 3.90 g/t gold and 1.67% copper for 4% copper equivalent);
- The high grade zone is identified as an additional high grade mineralized zone to that intersected in Hole 5 which was located 120m south of Hole 9;
- The highest gold grade interval associated with highest magnetite content in drill core;
- Strong association of high grade with structures identifies significant predictable control to high grade mineralization zones above the Alpala porphyry complex;
- Mapping and vein orientation studies in core identify multi directional mineralized structures;
- Consistent copper/gold ratios and correlation with visible sulphides, and geophysical signatures, substantiates large size of broader Alpala porphyry system with higher grade gold copper ratios in strongly veined zones;
- Definition of high grade targets along the Alpala Structural Zone ("ASZ") and parallel and cross-cutting faults a priority at Cascabel;
- Further assays from mineralized zones in Hole 9 at Cascabel pending (430-650m);
- Hole 9 planned to over 1800m depth along the Alpala Structural Zone; and
- Alpala geophysical target updates to be released this week
References to figures, photographs and tables related to the version of this release on the Company's website (www.cornerstoneresources.com) or visible in PDF format by clicking the link below:
Hole 9 High Grade Copper-Gold Intersection
Hole 9 at Central Alpala is presently at a depth of 1214.70 (December 1) and is planned to drill to a depth of over 1800m.
Hole 9 has intersected visible copper sulphide mineralization over a 762.45m downhole interval from 452.45m to current hole depth with visible mineralization continuing down hole. The extensive intersection of visible copper sulphide mineralization in Hole 9 further broadens the zone of porphyry copper mineralization at Central Alpala, and substantiates the broad porphyry mineralization potential at Alpala.
An initial batch of samples from the interval 650m to 810m was submitted for assay, where visible mineralization was seen to increase steadily downhole towards the Magnetic Vector Inversion ("MVI") anomaly. This zone has delivered a high grade copper and gold intersection of:
650m to 810m -- 160m @ 0.84% Cu and 1.56 g/t Au (1.78% Cu-equivalent) (0.35% Cu-Eq cut-off)
Within this interval there are zones of very high grade, including:
730m to 810m -- 80m @ 1.32% Cu and 2.72 g/t Au (2.95% Cu-equivalent) (1% Cu-Eq cut-off)
760m to 810m -- 50m @ 1.67% Cu and 3.90 g/t Au (4.00% Cu-equivalent) (2% Cu-Eq cut-off)
Table 1 summarizes the intersections to date from Hole 9. Appendix 1 lists intersections from previous Holes 1-8 at Alpala.
|Intersections from Hole CSD-14-009 (First Assay Batch)
||Cu Eq (%)
||Cu Eq Cut-Off
||Open at depth
||Open at depth
||Open at depth
Table 1: Assay Intersections from initial assay batch from Hole 9
Note: Cu-Equivalent values do not take into account the percent recoverability of Au relative to Cu.
Cu-equivalent values are calculated using a copper price of US$6614/tonne and a gold price of US$40/gram ($1,244/ounce), the Cu-equivalent ("Cu Eq.") grade is calculated by [Cu Eq. = Cu% + (Au g/t x 0.6)].
The interval of highest gold grade (50m @1.67% Cu and 3.90 g/t Au) is associated with unusually high logged magnetite contents (7-8%) compared with surrounding intervals where the logged magnetite content is mostly in the range of 1-3%. Magnetite content continues to be a useful indicator of grade at Central Alpala.
Figure 3 shows a northeast-southwest cross-section through Hole 9, the high-grade intersection, the current depth of Hole 9 and the geology projected from an adjacent section through Holes 1, 2, 5 and 8.
Hole 9 is planned to a depth of 2000 metres to test the lateral and depth extensions of the high-grade copper-gold mineralization encountered in Hole 5.
The Company is awaiting assays from sections 430m to 650m and from 810m to 850m that both showed significant visual copper sulphide mineralization and quartz veining.
Alpala T1 Target Area Tested
Only 200m of the 1100m strike length of the Magnetic Vector Inversion ("MVI") anomaly that is bound by the Alpala Structural Zone has been drill tested to date. Figure 1 shows the extent of the T1 target and the area of drill testing.
High Grade Targets
SolGold, the Project operator, has now identified two zones of high-grade mineralization along and parallel to the ASZ within the Central Alpala region, as indicated on Figure 2.
The grade of 2.95% Cu-equivalent over 80m (and open at depth) encountered between 730m and 810m is considered by SolGold to represent an additional high grade resource target that augments the high grade target identified by Hole 5 near the Alpala Structural Zone. The true thickness of this second high grade zone is not known.
The geometry that is developing at Central Alpala is a series of multiple, steep and northwest-trending high-grade mineralized zones that reflect pre-existing fault conduits along which magmatic mineralizing fluids have ascended and concentrated porphyry quartz veins and mineralization along zones that had very high fluid-to-wallrock ratio, i.e. along structures that tap down into the main Central Alpala porphyry system. These steep sub-parallel zones of intense veining (porphyry B-veins and C-veins) are believed to be structurally-controlled, and are key targets for high grade copper and gold mineralization along northwest and northeast faults that occur above the deeper porphyry core.
The model for high grade mineralization at Central Alpala anticipates that these steep high-level zones of high-grade copper and gold mineralization may merge and broaden at depth where they tap into the carapace of the principal causative intrusion.
Constant and Predictable Copper / Gold Ratios
A relatively constant and predictable copper/gold ratio of approximately 1 g/t gold per 0.95% copper (with an R2 correlation coefficient of 0.62) based on all drill assay data for Holes 1-8 suggests that most of the mineralization encountered in drilling at Central Alpala is part of the same larger porphyry system, due to the relatively good constancy of the observed Cu/Au ratio (Figure 4).
Samples for the interval 430m to 650m in Hole 9 are currently at the ALS Chemex sample preparation laboratory in Quito and assay results are pending. Samples for the intervals below 810m depth will be submitted for assay this week.
SolGold Plc owns 85% of the equity of Exploraciones Novomining S.A. ("ENSA"), an Ecuadorean registered company that holds 100% of the Cascabel concession in northern Ecuador. Cornerstone owns the remaining 15% of ENSA, which also holds the rights to the La Encrucijada gold-silver project. SolGold is funding 100% of the exploration at Cascabel and is the operator of the project with Cornerstone Ecuador S.A. providing some exploration and administrative services. Cornerstone's 15% interest is financed through completion of a feasibility study.
Cascabel is located in north-western Ecuador in an under-explored northern section of the richly endowed Andean Copper Belt, 60 km northeast of the undeveloped inferred resource of 982 million tons at 0.89% Cu Junin copper project (0.4% Cu cutoff grade; Micon International Co. Ltd. Technical Report for Ascendant Exploration SA, August 20, 2004, pages 28 & 29). Mineralization identified at the Junin copper project is not necessarily indicative of the mineralization on the Cascabel Property.
Yvan Crepeau, MBA, P.Geo., Cornerstone's Vice President, Exploration and a qualified person in accordance with National Instrument 43-101, is responsible for supervising the exploration program at the Cascabel project for Cornerstone and has reviewed and approved the information contained in this news release.
Logging, sampling and assaying
Holes referred to in this release were or are being drilled using HTW, NTW, NQ and BQ core sizes (respectively 7.1, 5.6, 4.8 and 3.7 cm diameter). Geotechnical measurements such as core recovery, fracturing, rock quality designations (RQD's); specific density and photographic logging are performed systematically prior to assaying. The core is logged, magnetic susceptibility measured and key alteration minerals identified using an on-site portable spectrometer. Core is then sawed in half at Cornerstone's core logging facility and half of the core is delivered by Cornerstone employees for preparation at Acme Analytical Laboratories (ACME) affiliate laboratory in Cuenca. Core samples are prepared crushing 1 kg to 80% passing 2 mm (10 mesh), splitting 250 g and pulverizing to 85% passing 0.075 mm (200 mesh) (ACME code R200-250). Prepared samples are then shipped to ACME in Vancouver, Canada where samples are assayed for a multi-element suite (ACME code 1E, 0.25g split, 4-acid digestion, ICP-ES finish). Over limit results for Ag (> 100 g/t), Cu, Pb and Zn (each one > 1%) are systematically re-assayed (ACME code 7 TD1 or 7 TD2, 4-acid digestion, ICP-ES finish). Gold is assayed using a 30 g split, Fire Assay (FA) and AA or ICP-ES finish (ACME code G601).
Quality assurance / Quality control (QA/QC)
The ACME affiliate preparation facility in Cuenca was audited by Cornerstone prior to the start of the drilling program and ACME is an ISO 9001:2008 qualified assayer that performs and makes available internal assaying controls. Duplicates, certified blanks and standards are systematically used (1 control sample every 15 samples) as part of Cornerstone's QA/QC program. Rejects, a 100 g pulp for each core sample and the remaining half-core are stored for future use and controls.
Cornerstone Capital Resources Inc. is a well-funded mineral exploration company based in Mount Pearl, Newfoundland and Labrador, Canada, with a diversified portfolio of projects in Ecuador and Chile, 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 partnerships. Commitments from partners constitute significant validation of the strength of Cornerstone's projects.
Further information is available on Cornerstone's website: www.cornerstoneresources.com and on Twitter. For investor, corporate or media inquiries, please contact:
North America toll-free: 1 (877) 277-8377
This news release may contain 'Forward-Looking Statements' that involve risks and uncertainties, such as statements of Cornerstone's plans, objectives, strategies, intentions and expectations. The words "potential," "anticipate," "forecast," "believe," "estimate," "expect," "may," "project," "plan," and similar expressions are intended to be among the statements that identify 'Forward-Looking Statements.' Although Cornerstone believes that its expectations reflected in these 'Forward-Looking Statements' are reasonable, such statements may involve unknown risks, uncertainties and other factors disclosed in our regulatory filings, viewed on the SEDAR website at www.sedar.com. For us, uncertainties arise from the behaviour of financial and metals markets, predicting natural geological phenomena and from numerous other matters of national, regional, and global scale, including those of an environmental, climatic, natural, political, economic, business, competitive, or regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our Forward-Looking Statements. Although Cornerstone believes the facts and information contained in this news release to be as correct and current as possible, Cornerstone does not warrant or make any representation as to the accuracy, validity or completeness of any facts or information contained herein and these statements should not be relied upon as representing its views subsequent to the date of this news release. 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 except where outcomes have varied materially from the original statements.
On Behalf of the Board,
President and CEO
Further information is available on the Cornerstone Web site at www.cornerstoneresources.com; via e-mail at email@example.com; or toll free at 1-877-277-8377.
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.