Vancouver, British Columbia – August 13, 2019 – PPX Mining Corp. (the “Company” or “PPX”) is pleased to announce that over 21,862 tonnes of ore grading 8.79 gpt gold were mined and processed during calendar H1 (January-June) 2019 at Mina Callanquitas, a rate of approximately 130 tonnes/day. In addition, 1,421 metres of lateral mine development and exploration were also completed during the quarter as the Company continues to focus on the development of underground mine infrastructure. Highlights of mining results for calendar H1 2019 are given below:
- The Company’s mining partner Proyectos La Patagonia S.A.C. (“PLP”) provided the Company with a detailed report on operations at Mina Callanquitas for calendar H1 2019. PLP reports that 21,682 tonnes of gold mineralized ore were shipped to the Malin Plant of Silver Cascas S.A.C. (“Silver Cascas”). The average gold grade of the ore was 8.79 gpt gold. Gold recoveries from processing the mineralized rock at the Silver Cascas processing plant ranged from 76% to 81%, consistent with gold recoveries observed previously. A total of 4,838 ounces of gold was recovered by Silver Cascas during the period. To date, PPX has mined over 81,000 tonnes o from the Measured and Indicated Resource at Mina Callanquitas which includes a portion of the project’s Mineral Reserves as defined in the Igor Pre-Feasibility Study (available on the Company’s website or SEDAR). PLP utilizes the proceeds from the sale of the mineralized material to advance underground development at Mina Callanquitas in anticipation of the expansion of the mining rate to 350 tonnes/day.
- The Company’s heap leach gold and silver recovery plant has been delayed several months while the company evaluates multiple business alternatives for the plant, including completing the plant as originally designed and described in the Igor Pre-Feasibility study versus seeking additional investment in the plant that allows for rapid future expansion.
- A new cross cut has been started on the 3290 level of Mina Callanquitas (“Crucero Don Manuel”) with the goal of cutting and developing both the main Callanquitas structure and Callanquitas Oeste (“West”). In this area, geologic modeling of the Callanquitas system shows significant gold and silver Resources and Reserves on both structures. The Callanquitas Oeste structure has not previously been observed or mined in underground workings, so this will be an opportunity to evaluate a significant parallel structure capable of hosting additional Resources within the Callanquitas system.
Brian J. Maher, President and CEO of PPX Mining Corp commented: “Mining results for the first half of 2019 continue to underscore higher than expected gold grades based on comparisons to our Resource and Reserve models. The changeover to our own fully-permitted heap leach facility has been delayed, but opportunities to optimize the funding of the plant and better prepare for rapid future expansion of processing capacity have necessitated the delay. We are particularly excited about the new cross cut being driven by PLP on the 3290 level. Not only will this be the deepest level in the mine but it also will allow us to directly sample and mine the Callanquitas Oeste structure. Callanquitas Oeste is important to the long range mine plan for Mina Callanquitas, both in terms of existing Reserves and Resources, but also in terms of future expansion of our Resource base: As noted in previous press releases, Callanquitas Oeste extends from the known Callanquitas Resource and Reserve over 800 metres to the Portachuleos Discovery, defining a large area for Resource expansion.”
About PPX Mining Corp:
PPX Mining Corp. (TSX.V: PPX.V, BVL: PPX) is a Canadian-based mining 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 developing the Callanquitas Mine and heap leach facility to exploit high grade, underground-minable gold and silver ore. Based on the Company’s Pre-Feasibility Study (“PFS”), PPX expects the Callanquitas Mine to produce up to 26,000 AuEq* ounces per year over a seven-year mine life at cash cost of less than US$610/AuEq* ounce (the Igor PFS is available on the Company’s website and SEDAR). 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.
*AuEq is calculated as follows: AuEq ounces = Au ounces + Ag ounces/75. Per PFS, inclusive of metallurgical recovery.
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, June 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 June 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 June 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.