PPX Samples 1.4m Grading 52.2 gpt Au and 1.1 m Grading 1,122 gpt Ag Underground at Igor
September 25, 2017
Vancouver, British Columbia – September 25, 2017 – PPX Mining Corp. (the “Company” or “PPX”) is pleased to announce results from 84 channel samples collected underground at Mina Callanquitas as part of the Company’s test mining and bulk sampling program at its Igor Project. The samples were collected from working faces along the Callanquitas structure on three separate levels of mine workings. Significant results are summarized below:
- Level 3440N: Twenty channel samples collected over a continuous strike length of 45 metres averaged 15.7 gpt Au and 122 gpt Ag and ranged in grade from 6.6 gpt to 52.2 gpt Au and from 3 to 950 gpt Ag (9154285 to 9154330 North on the mine grid). The Callanquitas structure ranged from 1.2 to 2.5 metres in true thickness over this strike length (please see plan view maps for all levels posted on the Company’s website). Twenty channel samples collected south of the proceeding sample set averaged 13.3 gpt Au and 119 gpt Ag ranging in grade from 1.8 to 30.7 gpt Au and from 3 to 664 gpt Ag (9154223 to 9154285N). The combined sample sets document continuous gold and silver mineralization over a strike length of 90 metres along the Callanquitas structure averaging 14.5 gpt Au and 100 gpt Ag over widths ranging from 0.7 to 2.5 metres. The channel samples, combined with bulk samples that mimic actual mining conditions, are designed to validate the resource block model. The nearest drill hole intercept to this portion of the Callanquitas structure is CA-12-68, which cut 1.0 metre grading 4.7 gpt Au and 18.2 gpt Ag.
- Sublevel Nv 2b (3419): Twenty-two channel samples collected over a continuous strike length of 45 metres averaged 18.7 gpt Au and 80 gpt Ag and ranged in grade from 4.1 to 50.6 gpt Au and from 0.5 to 329 gpt Ag (9154285 to 9154330N). The Callanquitas structure ranged from 0.5 to 1.5 metres in true thickness over this strike length. These samples are 20 metres below the high grade samples collected on the 3440 level, demonstrating vertical continuity of high grade gold mineralization in the Callanquitas structure. A continuous fifteen metre segment of high grade gold and silver mineralization within the 45 metre segment described above contained an average grade of 34.1 gpt Au and 120 gpt Ag based on seven channel samples. These results outline a very high grade, almost vertically raking, precious metal mineralized shoot almost 1.3 metres in width. This geometry would have been particularly difficult to identify from surface drilling. The nearest drill hole to these samples on Sublevel Nv 2b was CA-12-63, which cut 0.5 metres grading 7.2 gpt Au and 7.4 gpt Ag.
- Level 3390N: Twenty-two samples collected over a continuous strike length of 35 metres averaged 8.8 gpt Au and 152 gpt Ag and ranged in grade from 3.0 to 17.9 gpt Au and from 2 to 1,122 gpt Ag (9154175 to 9154210N). The Callanquitas structure ranged from 0.4 to 2.5 metres in true thickness over this strike length. It should be noted that the gold and silver mineralization seen on this level is located south of the high grade zone sample on Sublevel Nv 2b and the 3440 level. The test mining plan anticipates advancing the 3390 level to a position under the aforementioned high grade zone in the coming months. The nearest drill hole to the channel samples on the 3390 level was CA-12-66, which cut 0.5 metres grading 1.26 gpt Au and 352 gpt Ag.
The consistent and high grade tenor of gold and silver mineralization seen in the channel samples suggests that precious metal distribution within the Callanquitas structure and hydrothermal system is regular, predictable, and in general, higher grade than seen in drilling. While this is encouraging, The Company recognizes that the test mining and bulk sampling program is at an early stage and the pattern of grade distribution will have to be verified by further bulk sampling and channel sampling. Plan maps depicting the results of the channel sampling program are available on the Company’s website including a long section that allows the channel samples to be accurately located with respect to mine workings.
Brian J. Maher, President and CEO of PPX Mining commented: “We are pleased with results of our channel sampling program at Mina Callanquitas. The distinct, high grade, “clavos” that have been identified by the underground channel sampling and geologic mapping program, are an encouraging development. While the presence of these high grade zones was not unexpected, the apparent high-angle rake of these zones make them challenging to identify in surface drilling. Our geologists will focus on better understanding the controls to this high grade gold and silver mineralization so that we can more effectively explore for this high grade style of mineralization, both within the existing resource and elsewhere on the Igor Project”
Channel sampling protocols and QA/QC: PPX Mining geologists collect channel samples underground on each working face prior to advancing the excavation. Samples are collected orthogonal to the structure edge or boundary and do not exceed 2.0 metres in length. Channels are broken at obvious geologic boundaries to correctly separate rock types, mineralization styles and hydrothermal alteration assemblages. The samples are collected by cutting a channel approximately 2.5 cm deep by 25 cm wide along a line painted on the face by the mine geologist. Sample weight is typically 1.5 to 2.5 kg. Samples are sealed, labeled and stored in a secure area prior to shipment to a qualified assay laboratory. Gold and silver analyses are conducted by the fire assay method with a CN leach. Blanks and standards are inserted approximately every 15 samples; duplicate channel 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.
About PPX Mining Corp: PPX Mining Corp. (TSX.V: PPX.V, SSE: PPX, BVL: PPX) is a Canadian-based 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 has begun work on its underground test mining and bulk sampling program which is designed to upgrade the resource estimate and generate data to evaluate the possibility of future mine development at Igor through the PFS process. To date, PPX has processed over 3,516 tonnes of bulk sample averaging 8.17 gpt gold. 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 and, coupled with the Domo and Tesoros areas; these drill targets highlight the exploration potential at Igor. 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: 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
FOR FURTHER INFORMATION, PLEASE CONTACT:
PPX Mining Corp.
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.