PPX Drills 31.9m (~ 24m tw) Grading 1.51 gpt Au Eq at Portachuelos, Begins Drilling at Tesoros
May 25, 2018
Vancouver, British Columbia – May 25, 2018 – PPX Mining Corp. (the “Company” or “PPX”) is pleased to announce that diamond core drilling at the new Portachuelos discovery has intercepted 31.9 metres grading 0.86 gpt Au, 48.7 gpt Ag, 1.51 gpt Au Eq in drill hole CA-18-99, the final drill hole of the current Portachuelos program. CA-18-99, oriented 036, -70 degrees, intercepted four mineralized zones as shown in the Table below:
|From (m)||To (m)||Length (m)||Weighted Average Grade|
|Gold (g/t)||Silver (g/t)||Gold Eq (g/t)|
|109.0||118.7||9.7 (7m tw)||0.69||12.0||0.85|
|207.5||230.0||22.5 (17m tw)||0.45||16.2||0.69|
|280.2||293.1||12.9 (10m tw)||0.53||11.9||0.69|
|419.6||451.5||31.9 (24m tw)||0.86||48.7||1.51|
|Total Hole:||557.8 (418m tw)||0.16||6.4||0.24|
*True width (“tw”) is approximately 75% of drilled interval
These mineralized zones correlate with multiple stacked mineralized breccias seen in adjacent drill holes which demonstrate that these breccia zones project from depth to the surface and confirm gold and silver mineralization over a vertical range in excess of 400 metres at Portachuelos. Based on the recently completed drilling, the Portachuelos system has a strike length of at least 1,000 metres. Mineralization remains open at depth, to the northwest, and to the southeast in the direction of the Tesoros drill target. A plan map depicting all the drill results to date at Portachuelos can be found on the Company’s web site: www.ppxmining.com.
PPX is also pleased to announce that drilling has commenced at the Tesoros target located 1,500 metres southeast of Portachuelos. Historic drilling at Tesoros (17 drill holes totalling 1,769 metres) cut a thick, tabular breccia zone, analogous to Portachuelos, that can be traced in outcrop over a distance of over 1,000 metres. Highlights of historic drilling include drill hole 9d which cut 75.2 metres grading 3.10 gpt Au, 109 gpt Ag, 4.55 gpt Au Eq at an average vertical depth of 50 metres. Results from the initial drill holes are expected shortly.
Brian J. Maher, President and CEO of PPX Mining commented: “The final drill hole of the Portachuelos drill campaign produced results consistent with earlier drilling: multiple stacked gold and silver mineralized breccias that correlate with mineralized horizons seen in adjacent drill holes. The volume of mineralized material seen at Portachuelos is impressive and underscores the intensity of mineralizing processes at Portachuelos. The robust nature of hydrothermal system is evidenced by the pervasive nature of gold and silver mineralization: the average grade of all intervals in drill hole CA-18-99 was 0.24 gpt Au Eq over nearly 560 metres. The Company is designing a second Phase of drilling at Portachuelos for the second half of 2018 with the objective of outlining the ultimate geometry of precious metal mineralization.”
Core sampling protocols and QA/QC: PPX geologists collect diamond drill hole samples from core immediately after geologic and geotechnical logging. Samples are collected based on natural breaks in geologic features and also on individual drill runs. Samples are broken at obvious geologic boundaries to correctly separate rock types, mineralization styles and hydrothermal alteration assemblages. Samples are collected by cutting the core in half using a diamond saw, preserving the second half for check analyses, further study and reference. Samples are sealed, labeled and stored in a secure area prior to shipment to SGS Laboratories in Trujillo, Peru. Gold and silver analyses are conducted by the fire assay method with a CN leach. Blanks and standards are inserted approximately every 10 samples; duplicate samples are included at the same intervals. Duplicate fire assays for approximately every 30 samples are sent to a second assay laboratory for umpire analysis. Au Eq is calculated as follows: Au Eq = (Au gpt) + (Ag gpt/75).
About PPX Mining Corp: PPX Mining Corp. (TSX.V: PPX.V, SSE: PPX, BVL: PPX) is a Canadianbased exploration and development company with assets in northern Peru. Igor, the Company’s 100%-owned flagship gold and silver project, is located in the prolific Northern Peru gold belt in eastern La Libertad Department. PPX is pursuing a two-prong strategy to further develop and explore the Igor Project. The Company’s underground test mining and bulk sampling program on the Callanquitas structure is designed to upgrade the resource estimate and generate data to evaluate future mine development at Igor through the PFS process. Simultaneously, PPX is accelerating its exploration program at Igor in order to fully evaluate the resource potential of the entire Igor project area. The Callanquitas structure is open along strike and at depth, parallel structures are unexplored. New discoveries at Portachuelos, coupled with the Domo and Tesoros exploration targets, emphasize that the Igor Project is evolving into a district-scale project with multiple deposits and mineralized zones. Evaluating mine development alternatives in parallel with exploration drilling provide dual catalysts for growth and increasing shareholder value.
Previous exploration on the Callanquitas Structure discovered a significant Inferred gold and silver resource containing 730,500 gold equivalent ounces: 7,189,000 tonnes grading 1.94 gpt gold and 71.8 gpt silver containing 448,500 ounces of gold and 16,600,000 ounces of silver at a cutoff grade of 1.5 gpt gold equivalent. Included within this resource estimate is a higher-grade zone consisting of 2,730,000 tonnes grading 2.73 gpt gold and 119.1 gpt silver containing 239,400 ounces of gold and 10,500,000 ounces of silver using a 3.0 gpt gold equivalent cutoff grade (Please see Technical Report, amended September 27, 2013, available on the Company’s website or SEDAR). Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the mineral resource will be converted into mineral reserves.
All scientific and technical information in this press release has been reviewed and approved by Quentin J. Browne, P.Geo., Independent Consulting Geologist to PPX Mining Corp., who is a qualified person under the definitions established by National Instrument 43-101.
On behalf of the Board of Directors
Brian J. Maher
President and Chief Executive Officer
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. Certain disclosure in this release, may constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks are detailed from time to time in the Company’s filings with the appropriate securities commissions, and may include, among others, market conditions, and delays in obtaining or failure to obtain required regulatory approvals or financing. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.