Fred Stanford, President & CEO of Torex stated: “The gold mineralization in the known deposits north of the Balsas River are not associated with strong magnetic anomalies so we are intrigued by the discovery of gold-silver-copper mineralization south of the Balsas River outside the Media Luna magnetic anomaly. However, the significance of these new results is unknown at this time and will be followed up as part of our ongoing exploration program. We have 12 drill rigs that are aggressively advancing a resource drilling program that has a goal of delivering a maiden inferred level resource in Q1/2014. The resource program is focused on three areas in the center of the Media Luna target where we have optimal drilling access with the current road network. The three areas are outlined on the attached maps and are named the West, Central, and North East zones. All of the drill results reported today are associated with the resource drilling program and continue the encouraging pattern of demonstrating a large mineralizing system that now appears to extend beyond the magnetic footprint.” He added “An additional two drill rigs are testing targets outside of the resource area, exploring for new discoveries. These rigs will continue to operate from existing roads until we receive permits that will allow us to build new access roads into our high priority target area. As results become available, they will be reported separately from the resource program.”
Highlights of resource drilling at Media Luna
|BH I.D.||Intersection||Core Length||Au||Ag||Cu||Au equivalent||Lithology|
True thickness of the mineralized zone is unknown and is reported as drill hole length
The gold equivalent grade, including copper and silver values, is based on 100% metal recoveries. The gold grade equivalent calculation used is as follows: Au g/t (EQ) = Au g/t + (Cu grade x ((Cu price per lb/Au price per oz) x 0.06857 lbs per oz x 10000 g per %)) + (Ag grade x (Ag price per oz/Au price per oz)). The metal prices used were: Gold - $1600/oz, Copper - $3.50/lb, Silver - $29.59/oz
Media Luna (IF) = Infill Hole - Media Luna
Please refer to Table 1 for a complete list and expanded description of the borehole intercepts reported in this press release and Figures 1-8 for borehole locations. In-fill drilling at Media Luna has been divided into three sectors (West Zone (WZ), Central Zone (CZ) and Northeast Zone (NEZ) for logistical reasons. Figures 1-4 refer to these sectors.
One hundred one drill holes have been completed at Media Luna over a strike length of approximately 1.85 km and a width of 1 km. Gold-copper-silver mineralization is associated with skarn alteration (pyroxene-garnet-magnetite) and later sulfides, which developed at the contact of granodiorite with marble. There is a clear association of gold, copper and silver with retrograde amphibole, phlogopite, chlorite, calcite ± quartz ± epidote alteration of exoskarn. This mineral assemblage can occur as pervasive replacement of skarn minerals, sometimes preserving garnet and pyroxene outlines, or as veinlets with black chlorite or phlogopite halos cutting across massive skarn bands. Sulfidation of skarn assemblages is closely related to retrograde alteration and is extensively developed at Media Luna.
Within the sectors currently undergoing in-fill drilling, the granodiorite-marble contact dips at roughly 35 degrees to the southwest and is locally disrupted by apparent structural zones. The skarn is thicker and the grade and thickness of gold-copper-silver mineralization appears to increase in proximity to these irregular contact zones, especially where the contact steepens or forms a trough. A ZTEM survey is planned to help highlight significant structural zones that may have been critical mineralizing fluid conduits.
The focus of on-going exploration is to complete a resource drill program focused on the three sectors in the central portion of Media Luna, continue to drill test the length and width of the Media Luna and Media Luna West magnetic anomalies, and advance testing of additional highly prospective magnetic anomalies in the area. Additional target generation work is planned when ZTEM survey results and interpretation are received.
The potential quantity and grade of the exploration targets are conceptual in nature and there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the determination of a mineral resource.
QA/QC and Qualified Person
At the Morelos Gold Project, all of the Media Luna target analytical work is performed by SGS de Mexico S.A. de C.V. (“SGS”) in Mexico and/or Acme Analytical Laboratories Mexico S.A. de C.V. (“ACME”).
Sample preparation is done at a dedicated sample preparation laboratory operated by SGS at the project site in Nuevo Balsas, Guerrero, Mexico, and/or at a dedicated sample preparation laboratory operated by ACME at Guadalajara, Mexico. The gold analyses (fire assay with an atomic absorption or gravimetric finish) and multi-element geochemical analyses are completed at an analytical laboratory operated by SGS at the project site in Nuevo Balsas, Guerrero, Mexico and at their analytical facilities in Vancouver, British Columbia, Canada, respectively. The gold analyses (fire assay with an atomic absorption or gravimetric finish) and multi-element geochemical analyses are completed by ACME at their analytical facilities Vancouver, British Columbia, Canada.
The Company has a Quality Assurance/Quality Control (“QA/QC”) program in place that includes 5% of each of the certified reference materials, blanks, field duplicates and preparation duplicates for the grassroots exploration drilling program, with the objective of the QA/QC program to ensure the batch to batch relative bias remains constant and that absolute accuracy at anomalous to near cut-off grades is measured and acceptable. The QA/QC program as designed has been approved by AMEC and is currently overseen by Cristian Puentes, Chief Exploration Geologist for the Morelos Gold Project.
The scientific and technical data contained in this news release pertaining to the Morelos Project has been reviewed and approved by Mr. Barton Suchomel as a Qualified Person under NI 43-101. Mr. Suchomel is a Fellow of the Australasian Institute of Mining and Metallurgy and has experience relevant to the style of mineralization under consideration. Mr. Suchomel consents to the inclusion in this release of said data in the form and context in which it appears.
Torex is a growth-oriented, Canadian-based resource company engaged in the exploration and development of precious metal resources with a focus on gold. It owns 100% of the Morelos Gold Project, a development stage project, located 180 kilometres southwest of Mexico City in the highly prospective Morelos Gold Belt. Torex is aggressively exploring within its property to identify a pipeline of additional future economic deposits. The project covers an area of 29,000 hectares of which more than 75% remain unexplored.
For further information, please contact:
TOREX GOLD RESOURCES INC.
President and CEO
Tel. (647) 260-1502
Vice President Investor Relations
Tel. (647) 260-1503
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This press release contains “forward-looking statements” and “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, information with respect to the initial drill program at the Company’s Media Luna target and the results of the program contained herein. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects”, “estimates”, “intends”, “anticipates” or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might”, or “will be taken”, “occur”, or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including those risk factors identified in the Company’s current annual information form. Forward-looking information is based on the reasonable assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect. Although the Company believes that the assumptions and expectations reflected in such forward-looking information are reasonable, undue reliance should not be placed on forward-looking information because the Company can give no assurance that such expectations will prove to be correct. The forward-looking information contained herein is presented for the purposes of assisting investors in understanding the Company’s exploration results and the Company’s plans and objectives and may not be appropriate for other purposes. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.