TORONTO and VANCOUVER, Oct. 25, 2018 /CNW/ - Minera Alamos Inc. (the "Company" or "Minera Alamos") (TSX VENTURE:MAI) is pleased to report the discovery of a new broad zone of gold/silver mineralization in its Phase 1 drill program at the Santana gold project, Sonora, Mexico. The discovery drill hole into the new Divisadero zone, was drilled approximately 200m north of the known mineralization limits at the Nicho Main and Nicho Norte zones and returned a wide intercept of disseminated gold, silver and copper mineralization in a previously underexplored part of the Santana Property. The hole is the first drilled deep enough to intersect this new style of polymetallic mineralization that is associated with an andesite porphyry unit related to disseminated pyrite and intrusivebreccias. Basedonsurfaceexposuresandknowngeologythemineralizedsystemappears to be open to expansion in all directions.
Hole S18-121 – 95.7 m of 0.85 g/t Au, 9.8 g/t Ag and 0.33% Cu – (1.47 g/t AuEQ)
from 32 m
Including 70.0 m of 1.1 g/t Au, 11.8 g/t Ag and 0.56% Cu – (1.88 g/t AuEQ) beginning at 55 m down hole.
"This new discovery hole is an extremely exciting development for the Company" stated Darren Koningen, CEO of Minera Alamos. "One of the driving factors behind the merger between Minera Alamos and Corex earlier this year was the significant untapped potential we believed we could unlock once the two Companies' contiguous land packages were combined. As our knowledge base grows and we continue to better understand the regional geology we should continue to find additional mineralization. The discovery of the Divisadero area provides further evidence that the mineralizing events that occurred in the Nicho area are present at shallow depths elsewhere on our extensive property holdings."
Hole S18-121 (70-degree inclination) was the Company's first effort to assess the potential extensions of known mineralization on Corex's Santana claim group on to the Minera Alamos Los Verdes claim group directly to the north. Rather than exhibiting Nicho style mineralization, S18-121 returned a considerable interval of more porphyry style mineralization with broad, rather evenly distributed gold, silver and copper disseminated throughout much of the hole starting from 32 metres down the hole (see Table 1).
The Company is currently evaluating the significance of this new discovery and its relationship with the mineralized breccia systems that form the predominantly gold rich mineralization at Nicho Norte and Nicho to the southwest. Preliminary surface mapping immediately adjacent to the intercept shows that the mineralized porphyritic unit extends in all directions and appears to be distinct from the Nicho Main and Norte zones to the south. Additional holes are planned to further test the discovery as part of Phase 2 drilling at Santana.
The Phase 1 drilling program has now concluded with the completion of ten holes totalling approximately 1500 m. The remaining holes yet to be reported include further testing of the southwest extensions of the Nicho deposit (see Figure 1). Planning of the Phase 2 drill program will begin once the remaining drilling results have been received and evaluated.
Table 1 – Mineralized intervals from 2018 Santana Project drill program
Mineralized Interval 1,2
Gold Eq 3 (g/t)
Assay results are pending from the remaining three holes; the results, as well as additional geological interpretations, will be released as they are received over the coming weeks. All diamond drill samples were collected by Minera Alamos personnel including the Company's exploration geologists. Drill core samples were cut in half and divided into 1-2 m intervals. One half of the sample was bagged for analysis and the remaining half was logged by Minera Alamos personnel and stored for future reference. Blanks, duplicates, and standards were randomly inserted with the samples sent for analysis as part of the normal QA/QC procedures.
All samples were prepared and analyzed for gold using fire assaying with AA/gravimetric finish. All samples were sent for sample preparation at the ALS-Chemex facility in Hermosillo, Mexico.
Figure 1 – Drill Hole Location Plan (CNW Group/Minera Alamos Inc.)
Guadalupe de los Reyes Option Payment Extension
Minera Alamos and Vista Gold Corp. ("Vista") have agreed to extend the due date for the
second US$1.5 million option payment for the Guadalupe de los Reyes gold / silver project in Sinaloa, Mexico ("the GdR Project") by six months to April 23, 2019. The extension will better align development plans for the GdR project with those previously announced for the Company's Santana and Fortuna projects. Minera Alamos continues to advance engineering efforts for the GdR project and community discussions related to the development of a commercial gold mining operation at the site.
As consideration for the deferral, Vista will receive an additional US$150,000 in cash, US$50,000 of which has already been paid and US$100,000 of which will be paid no later than January 23, 2019. In addition, Vista will receive interest at a rate of 1.5% per month on the deferred amount beginning January 24, 2019.
Mr. Darren Koningen, P. Eng., Minera Alamos' CEO, is the Qualified Person responsible for the technical content of this press release under National Instrument 43-101. Mr. Koningen has
Grades/widths of mineralized intervals represent complete "from" "to" drill depths as shown.
The hole w as drilled at a 70-degree inclination. The true w idth of the mineralized zone in this new area is currently unknow n.
Gold Equivalent calculated using the following metal prices - $1250/oz gold, $16/oz silver and $2.85/lb copper.
supervised the preparation of, and has approved the scientific and technical disclosures in this news release.