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. SolGold Plc is funding 100% of the exploration at Cascabel and is the operator of the project.|
CSD-15-012 ("Hole 12") final assay results from high grade porphyry copper gold mineralization return intersection of:
- 1312m @ 0.67 % Cu, 0.63 g/t Au, for 1.05 % CuEq, including:
- 1002m @ 0.76 % Cu, 0.77 g/t Au, for 1.22 % CuEq, and
- 576m @ 1.03 % Cu, 1.19 g/t Au, for 1.75 % CuEq
All reported intervals referred to in this news release are core lengths. At present the true thicknesses of Hole 12 intersections are uncertain due to the early stage of drilling.
A location map of the Cascabel project on the main belt of Andean copper gold porphyry mineralization in Northern Ecuador is shown in Figure 1 and the location of the project in Northern Ecuador is shown in Figure 2.
Figures, photographs and tables refered to in this news release can be seen in PDF format by accessing the version of this release on the Company's website (www.cornerstoneresources.com) or by clicking on the link below:
"Results from Hole 12 confirm the potential size of the mineralized system at the Alpala prospect", said Brooke Macdonald, Cornerstone's CEO. "It appears that copper-gold mineralization is getting closer to surface going southeast, and that high-grade mineralized zones are open in several directions. Proposed Hole 14 will test the postulated coalescence of the eastern and main limbs at depth to the northwest".
Hole 12 was completed on September 30, 2015 at a depth of 1683.0 metres. Copper-gold mineralization was intersected in two distinct zones that SolGold geologists expect will coalesce into a broader zone of high grade mineralization at depth.
The mineralized zones encountered in Hole 12 are shown along a southwest-northeast cross-section in Figure 3.
The 238 metre intersection over the upper portion of the "Eastern Limb" zone is associated with chalcopyrite and bornite mineralization. The occurrence of this strong mineralization within the volcanic cover bodes well for stronger intrusive hosted mineralization at depth. Chalcopyrite is typically 35% copper and the bulk of the copper bearing mineral in a copper porphyry system. Bornite is significantly richer in copper at approximately 63% copper and is a sought after copper mineral species, for its contribution to high grade copper metal sulphide concentrate normally sold from a mine.
- The upper portion of the "Eastern Limb" zone from 128 to 366 metres depth, hosted within the San Juan de Lajas Volcanics, returned 238m @ 0.47 % Cu and 0.15 g/t Au (0.56% CuEq).
- The "Main Limb" zone (1002m) from 438 to 1440 metres depth, hosted within early diorite and quartz-diorite porphyry, returned 1002m @ 0.76 % Cu and 0.77 g/t Au (1.22% CuEq).
The 1002 metre intersection through the "Main Limb" zone, reflects a broad zone of intense stockwork quartz - magnetite - chalcopyrite and bornite mineralization hosted within early stage diorite and quartz diorite intrusives. These characteristics are common in many major porphyry copper-gold deposits around the globe.
The Hole 12 results now define a strike length of mineralization (confirmed by drill hole intersections) along the Alpala Structural Zone from Hole 13 at T1 in the northwest to Hole 12 in the south east, including 50 metres of strike length inferred each side of these holes of approximately 700m length. The mineralization is up to 300 m true width and exhibits a vertical column of up to 1800 metres.
A drill hole location map is provided in Figure 4. The results obtained from Hole 12 are summarized below in Table 1.
||Cu Eq. (%)
* Data Aggregation Method
- Intercepts reported with up to 10m internal dilution. (Excluding bridging to a single sample)
- Intercepts selected using Cu equivalent cutoff grades of 0.10, 0.20, 0.30, 0.50, 0.70, 1.0 and 1.50 indicated using a gold conversion factor of 0.6.
* Au and Cu grades are reported, with examples of Cu equivalent grades indicated using a gold conversion factor of 0.6.
* Gold Conversion Factor calculated from Cu price US$3/lb and Au price US$40/g
Table 1: Assay intersections from Hole 12. Note: Cu-Equivalent values are calculated using a copper price of US$3/pound and a gold price of US$40/gram. Cu-Equivalent ("CuEq") grade is calculated by the following equation: CuEq = Cu% + (Au g/t x 0.6).
Solgold is planning a resource statement at Alpala, the most advanced target at Cascabel, by mid 2016, in addition to drill testing the other key targets at Aguiņaga, Tandayama America and Chinambicito on the Cascabel concession. By the end of 2016 SolGold is planning further metallurgical testing, and completion of early stage mine and plant design and a scoping study for an economic development at Cascabel. Solgold is investigating both high tonnage / low grade open cut and high grade low tonnage underground development as a block caving operation.
SolGold Plc owns 85% of the equity of Exploraciones Novomining S.A. ("ENSA"), an Ecuadorean 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. 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 cut-off 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 the ENSA core logging facility, and half of the core is delivered by ENSA employees for preparation at ALS Minerals Laboratories (ALS) sample preparation facility in Quito. Core samples are prepared crushing to 70% passing 2 mm (10 mesh), splitting 250 g and pulverizing to 85% passing 75 microns (200 mesh) (ALS code CRU-31, SPL21 and PUL-32). Prepared samples are then shipped to ALS in Lima, Peru where samples are assayed for a multi-element suite (ALS code ME-ICP61, 1g split, 4-acid digestion, ICP-AES finish). Over limit results for Ag (> 100 g/t) and Cu, ( > 1%) are systematically re-assayed (ALS code Ag-AA62, 4-acid digestion, AAS finish). Gold is assayed using a 30 g split, Fire Assay (FA) and AA finish (ALS code Au-AA23).
Quality assurance / Quality control (QA/QC)
The ALS Laboratory is a qualified assayer that performs and makes available internal assaying controls. Duplicates, certified blanks and standards are systematically used (1 control sample every 15-20 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 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
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