REG - Orosur Mining Inc - Colombia update

Orosur MiningAnnouncement

21/10/2022 07:00

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RNS Number : 6369D  Orosur Mining Inc  21 October 2022

 

 

 

Orosur Mining Inc - Colombia Update

 

·    Assays from four additional diamond drill holes at Pepas and Pupino.

·    Holes PEP005 and PEP007 drilled from the same pad as PEP001 but in
different directions.

·    Holes PEP005 and PEP007 return substantial gold intersections, with
the best at PEP007 being 80.55m @ 3.05g/t Au from surface (including 41.75m @
5.24g/t).

·    Two holes are currently underway from new pads to attempt to better
define the geometry of this mineralised body.

 

London, October 21(st), 2022.  Orosur Mining Inc. ("Orosur" or the "Company")
(TSXV/AIM:OMI), is pleased to announce an update on the progress of
exploration activities at the Company's flagship Anzá Project ("Project") in
Colombia.

 

The Project is the subject of an Exploration Agreement with Venture Option
("Exploration Agreement") with Colombian company Minera Monte Águila
("MMA").  MMA is itself a 50:50 JV between Newmont Corporation (NYSE:NEM,
TSX:NGT) and Agnico Eagle Mines Limited (NYSE:AEM, TSX:AEM), and is the
Colombian vehicle by which these two companies jointly exercise their rights
and obligations with respect to the Exploration Agreement over the Project.

 

MMA is the operator of the Project after exercising its right to assume
operational control in the second half of 2021.

 

Assay Results

Assay results from four additional diamond drill holes (PEP004, PEP005, PEP007
and PUP001) from the Pepas and Pupino prospects have been received.

 

Both the Pepas and Pupino prospects are located in the northern region of the
Anzá Prospect, roughly 12km and 8km respectively north northeast from the
central APTA prospect that had seen most drilling at Anzá up until early
2022.

 

Key intersections are noted below.

 

 Hole Number   From (m)  To (m)  Interval (m)  Au (g/t)  Ag (g/t)  Zn (%)
 PEP004        No significant results
 PEP005        0.00      36.85   36.85         2.13      3.74      0.07
   including   1.70      3.70    2.00          12.70     2.78      0.02
   including   31.45     35.70   4.25          6.30      5.11      0.04
 PEP007        0.00      80.55   80.55         3.05      2.91      0.15
   including   36.45     78.20   41.75         5.24      2.82      0.21
 PUP001        No significant results

Table 1.  Drill Intercepts.

 

Geology and Drilling

Drilling activities commenced at Pepas in April 2022, and at the nearby Pupino
prospect soon afterward.  Assay results from the first three holes at Pepas
(PEP001, PEP002 and PEP003) were released on September 6(th), 2022, which
included an intersection of 150.90m @ 3.00g/t Au from surface in hole PEP001.

 

This first phase of drilling at Pepas and Pupino included holes across a wide
area, focussing on a number of geochemical, geological and/or geophysical
targets.  While the assay results from PEP001 were encouraging, the hole
provided limited information on the shape and orientation of the mineralised
zone.  This was to be expected being the first hole into a new target and due
to the fact that the hole started in mineralisation.  To obtain further
information on the shape and orientation of the mineralised zone further
drilling in different directions and from different locations is currently
underway.  However, the development of new drill sites is a complex and
time-consuming task in this region, and as such several interim holes were
drilled from the same pad as PEP001 while new pads were being constructed.

 

Figure 1.  Drill Plan, Pepas Prospect

 

PEP004

PEP004 was one of the original reconnaissance holes at Pepas, drilled some
700m north of PEP001 to a depth of 627m, to test lithostratigraphic targets
unrelated to the mineralisation encountered in PEP001.

 

No substantial mineralisation was intersected.

 

PEP005

PEP005 was drilled from the same drill pad as PEP001 but in a different
direction, with an azimuth of 94.6 degrees (roughly eastward) to provide
information to assist in defining the size and orientation of the mineralised
body intersected in PEP001.  The hole was drilled to a depth of 448m.

 

As expected, the hole entered mineralisation at surface before exiting the
breccia body at a shallow depth, returning an intersection of 36.85m @ 2.13g/t
Au.  This hole has provided some information suggestive of the likely strike
of the mineralisation that will require further confirmation.

 

PEP007

PEP007, like PEP005, was drilled from the same pad as PEP001 but in a more
southerly direction (azimuth of 170 degrees) and at a steeper dip (-69.9
degrees) to test the mineralised body at greater depth and, as with PEP005, to
provide information to assist in defining the orientation of the body.

 

This hole also entered mineralisation from surface, recording an intersection
of 80.55m @ 3.05g/t Au extending to greater depth to that intersected in
PEP001.

 

However, as with several other early holes at Pepas, broken ground and
difficult drilling conditions were encountered, and the hole was terminated at
a premature depth of 134m.

 

PUP001

PUP001 was drilled at the Pupino prospect to test a geophysical IP anomaly
that did not coincide with any anomalous geochemistry. The hole was drilled to
a depth of 490m.

 

This target was not considered the highest priority in the region, but as the
terrain at Pupino is challenging, this hole was drilled while access to more
prospective targets was being developed.

 

However, Pupino has proved more logistically challenging than anticipated,
especially because of the time lost for crews to walk to and from the rig from
a remote camp.  Following the recent completion of PUP002, it has been
decided to temporarily suspend drilling activities at Pupino until better camp
facilities can be developed.

 

A number of other holes at Pepas have been completed and are awaiting assays,
with several additional holes currently underway.

 

Following construction of new drill pads to the west of the mineralised zone
and interpreted structural trend of Pepas, two new holes (PEP008 and PEP009)
are currently underway.  It is anticipated that stepping back and drilling
from outside the mineralised zone should provide additional information
related to the shape and orientation of Pepas.

 

Orosur CEO Brad George commented:

 

"PEP001 was clearly a spectacular result, but being only the first hole,
caution was warranted.  It is encouraging therefore that further holes have
confirmed this first result and we eagerly await results from better
positioned holes that are currently underway to get a better sense of the
scale of what appears a most exciting prospect."

 

For further information, visit www.orosur.ca (http://www.orosur.ca) , follow
on twitter @orosurm or contact:

 

Orosur Mining Inc.

Louis Castro, Chairman

Brad George, CEO

Email:   info@orosur.ca (mailto:info@orosur.ca)

Tel:       +1 (778) 373-0100

 

SP Angel Corporate Finance LLP - Nomad & Joint Broker

Jeff Keating / Caroline Rowe

Tel:       +44 (0) 20 3 470 0470

 

Turner Pope Investments (TPI) Ltd - Joint Broker

Andy Thacker/James Pope

Tel:       +44 (0)20 3657 0050

 

Flagstaff Communications and Investor Communications

Tim Thompson

Mark Edwards

Fergus Mellon

Email:   orosur@flagstaffcomms.com (mailto:orosur@flagstaffcomms.com)

Tel:       +44 (0)207 129 1474

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the
European Union (Withdrawal) Act 2018.  Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this inside
information is now considered to be in the public domain.

 

Drill Hole Details - 2020/2022 Programme*

 Hole ID  Easting (m)  Northing (m)  Elevation asl (m)  Dip (°)   Azimuth (°)
 MAP-072  400088       694745        1075               -55       293
 MAP-073  400018       694503        1097               -58       295
 MAP-074  399981       694684        1110               -58       295
 MAP-075  400168       694723        1024               -55       295
 MAP-076  400019       694527        1107               -50       295
 MAP-077  400168       694723        1024               -69       295
 MAP-078  399917       694719        1112               -50       295
 MAP-079  399995       693976        960                -55       295
 MAP-080  400231       694580        966                -55       295
 MAP-081  400045       693950        920                -55       295
 MAP-082  400176       694797        1020               -50       296
 MAP-083  400176       694797        1020               -60       310
 MAP-084  400045       693950        920                -57       321
 MAP-085  400167       694552        1000               -46       247
 MAP-086  400067       694360        1068               -54       295
 MAP-087  400027       694168        988                -54       290
 MAP-088  400168       694723        1024               -55       341
 MAP-089  400067       694360        1068               -59       317
 MAP-090  400041       694630        1059               -56       296
 MAP-091  400060       694715        1089               -50       295
 MAP-092  399420       695235        1162               -50       138
 MAP-093  400055       694203        1006               -59       290
 MAP-094  399954       694347        1031               -64       303
 MAP-095  399722       695252        1113               -50       135
 MAP-096  399759       694632        1082               -57       127
 MAP-097  400054       694472        1087               -71       311
 MAP-098  399794       694730        1149               -65       130
 MAP-099  399098       695129        1157               -50       250
 MAP-100  400096       694431        1051               -59       283
 MAP-101  400286       694890        967                -50       331
 MAP-102  400095       694426        990                -61.5     303.5
 MAP-103  399793       694730        1162               -65.5     123.3
 MAP-104  399982       694294        1015               -60       297
 MAP-105  399793       694730        1162               -63.8     113.3
 PEP-001  403384       705000        1001               -50       150
 PEP-002  403384       705000        1001               -60       290
 PEP-003  403240       705142        1001               -49.60    95.2
 PEP-004  403508       705671        838                -59.8     99.8
 PEP-005  403373       704990        1008               -49.8     94.6
 PEP-007  403374       704990        1008               -69.9     170
 PUP-001  403572       700326        927                -49.8     250.5

*  Coordinates WGS84, UTM Zone 18

 

About Orosur Mining Inc.

 

Orosur Mining Inc. (TSXV/AIM:OMI) is a minerals explorer and developer focused
on identifying and advancing projects in South America.  The Company operates
in Colombia, Argentina and Brazil.  It has discontinued operations in
Uruguay.

 

About the Anzá Project

Anzá is a gold exploration project, comprising three exploration licences,
four exploration licence applications, and several small exploitation permits,
totalling 207.5km(2) in the prolific Mid-Cauca belt of Colombia.

 

The Anzá Project is currently wholly owned by Orosur via its subsidiary,
Minera Anzá S.A. ("Minera Anzá").

 

The project is located 50km west of Medellin and is easily accessible by
all-weather roads and boasts excellent infrastructure including water, power,
communications and large exploration camp.

 

The Anzá Project is subject to an Exploration Agreement with Venture Option
dated September 7(th), 2018, as announced on September 10(th), 2018, between
Orosur's 100% subsidiary Minera Anzá and Minera Monte Águila SAS ("MMA"), a
50/50 joint venture between Newmont Corporation (NYSE:NEM, TSX:NGT), and
Agnico Eagle Mines Limited (NYSE:AEM, TSX:AEM).

 

Qualified Persons Statement

The information in this news release was compiled, reviewed and verified by
Mr. Brad George, BSc Hons (Geology and Geophysics), MBA, Member of the
Australian Institute of Geoscientists (MAIG), CEO of Orosur Mining Inc. and a
qualified person as defined by National Instrument 43-101.

 

Orosur Mining staff follow standard operating and quality assurance procedures
to ensure that sampling techniques and sample results meet international
reporting standards.

 

Drill core is split in half over widths that vary between 0.3m and 2m,
depending upon the geological domain.  One half is kept on site in the Minera
Anzá core storage facility, with the other sent for assay.

 

Industry standard QAQC protocols are put in place with approximately 20% of
total submitted samples being blanks, repeats or Certified Reference Materials
(CRMs).

 

Samples are sent to the Medellin preparation facility of ALS Colombia Ltd, and
then to the ISO 9001 certified ALS Chemex laboratory in Lima, Peru.

 

30-gram nominal weight samples are then subject to fire assay and AAS analysis
for gold with gravimetric re-finish for overlimit assays of >10g/t.
ICP-MS Ultra-Trace level multi-element four-acid digest analyses is also
undertaken for such elements as silver, copper, lead and zinc, etc.

 

Gold intersections are reported using a lower cut-off of 0.3g/t Au over 3m.

 

Forward Looking Statements

 

All statements, other than statements of historical fact, contained in this
news release constitute "forward looking statements" within the meaning of
applicable securities laws, including but not limited to the "safe harbour"
provisions of the United States Private Securities Litigation Reform Act of
1995 and are based on expectations, estimates and projections as of the date
of this news release.

 

Forward-looking statements include, without limitation, the exploration plans
in Colombia and the funding from MMA of those plans, MMA's decision to
continue with the Exploration Agreement, the formation of a new mining company
or mining venture to hold the Project, the ability for Loryser to implement
the Creditors' Agreement successfully in Uruguay and other events or
conditions that may occur in the future.  The Company's continuance as a
going concern is dependent upon its ability to obtain adequate financing, to
reach profitable levels of operations and to reach a satisfactory
implementation of the Creditors' Agreement in Uruguay.  These material
uncertainties may cast significant doubt upon the Company's ability to realize
its assets and discharge its liabilities in the normal course of business and
accordingly the appropriateness of the use of accounting principles applicable
to a going concern.  There can be no assurance that such statements will
prove to be accurate.  Actual results and future events could differ
materially from those anticipated in such forward-looking statements.  Such
statements are subject to significant risks and uncertainties including, but
not limited, those as described in Section "Risks Factors" of the MDA and the
Annual Information Form.  The Company disclaims any intention or obligation
to update or revise any forward-looking statements whether as a result of new
information, future events and such forward-looking statements, except to the
extent required by applicable law.

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