New Geophysical Program Identifies 4 Additional Large Priority Targets At Zulema Project, Chile
(TheNewswire)
Toronto, ON / TheNewswire / Feb. 6, 2018 Chilean Metals Inc. (“Chilean Metals,” “CMX” or the “Company”) (TSX.V:CMX, OTCQB: CMETF, SSE:CMX, MILA: CMX).
Chilean Metals is pleased to announce the results of a property wide 10 sq kms ground magnetic survey conducted on its Zulema IOCG Project south of Copiapo, Chile. Conducted by SouthernRock Geophysics S.A., 242-line kilometers of data was collected along 55 north – south survey line segments in order to assist in target selection prior to the Company’s planned Phase II drill program. The results of the survey were positive, delineating 4 key target areas for detailed follow up in 2018.
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Figure 1. Reduced to Pole Magnetics and Zulema Targets
The Zulema project is located along the Atacama Fault system 35 kilometers south of Copiapo Chile and 30 kilometers south west of Lundin Mining’s Candelaria mine. In 2017, diamond drilling encountered IOCG style mineralization in numerous drill holes, the best intersections located along the west flank of an extensive Reduced to Pole magnetic anomaly. With copper mineralization identified on both the northern and southern project boundaries, Santa Candelaria and Mina Restauradora respectively, a phase 2 drilling program was warranted. Following consultation with industry partners, the Company proceeded with project wide ground-based geophysics, commencing with magnetics and to be followed by gravity and deep penetrating I.P. over select targets.
The magnetic survey delineated a 2km. wide corridor trending northeast from the southern margin of the survey area north to the Santa Candelaria workings as shown in Figure 1. A preliminary review of the data indicates there are 4 target areas that require detailed follow-up. From north to south, the targets are Santa Candelaria West, the West Flank, SW Magnetic High and SSE / DDH#1.
The Santa Candelaria target lies due west of the Santa Candelaria mine workings where Cu mineralization is characterized by chalcopyrite disseminations and veins within a magnetite / hematite calcsilicate skarn. Exposure is relatively abundant west of the workings and will be investigated prior to prior to the commencement of a gravity survey.
The West Flank of the magnetic corridor is a priority target due to the style of mineralization encountered in drill hole #5 where coarse-grained chalcopyrite was noted at depth. Elevated magnetics northwest of Drill hole #5 in addition to a large peak along the western edge of the corridor are priority targets.
In the western portion of the project, the SW Magnetic Target is easily identifiable and located due east of a copper showing and along a NW trending lineament. The target is covered by alluvial material and will require additional ground geophysics and processing to resolve its potential.
To the southeast of drill hole #1, a magnetic high has been identified along the eastern edge of the magnetic corridor. This target is along the eastern edge of a copper bearing hydrothermal breccia that was drilled in 2017. Its location along a very sharp magnetic boundary at an interpreted intersection of the same NW trending lineament crosscutting the SW Magnetic Target makes it a priority.
Gary Lohman, P. Geo & VP of Exploration stated “We are very fortunate to have engaged Southern Rock Geophysics. Their experience with IOCG exploration, specifically at Lundin Mining’s Candelaria Mine, is a great asset and has advanced understanding of the Zulema Project. Chilean Metals looks forward to Stage 2 of our Program”.
About Chilean Metals,
Chilean Metals Inc. is a Canadian
Junior Exploration Company focusing on high potential Copper Gold
prospects in Chile & Canada.
Chilean Metals Inc is 100% owner
of five properties comprising over 50,000 acres strategically located
in the prolific IOCG (“Iron oxide-copper-gold”) belt of northern
Chile. It also owns a 3% NSR royalty interest on any future production
from the Copaquire Cu-Mo deposit, recently sold to a subsidiary of
Teck Resources Inc. (“Teck”). Under the terms of the sale
agreement, Teck has the right to acquire one third of the 3% NSR for
$3 million dollars at any time. The Copaquire property borders
Teck’s producing Quebrada Blanca copper mine in Chile’s First
Region.
Chilean Metals Inc is the 100% owner of four Copper Gold exploration
properties in Nova Scotia on the western flank of the
Cobequid-Chedabucto Fault Zone (CCFZ); Fox River, Parrsboro, Lynn and
Bass River North respectively. Initial targeting and geophysics has
been conducted on all properties, At Bass River North, airborne
geophysics identified a major VTEM cluster on trend with the Pb/Zn/Ag
mineralization exposed at surface and in drill holes to the southwest.
Modeling of the airborne data by Minotaur (Australia) identified 3
priority targets recommended for ground-based geophysics prior to
drilling.
ON BEHALF OF THE BOARD OF DIRECTORS OF
Chilean Metals Inc.
“Patrick Cruickshank”
Patrick Cruickshank, CEO
Contact: patrick@chileanmetals.com
The Qualified Person for Chilean Metals Inc., as defined by National Instrument 43-101, is Gary Lohman, P. Geo., Vice President, Exploration.
Forward-looking Statements: This news release may contain certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that CMX expects to occur, are forward looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Forward-looking statements in this document include statements regarding current and future exploration programs, activities and results. Although CMX believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration success, continued availability of capital and financing, inability to obtain required regulatory or governmental approvals and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements.
Neither the 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.
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