- Site preparation in progress; Drilling planned for mid-February
- Exciting new and previously unexplored field of the epithermal Ag-Au veins
VANCOUVER, British Columbia, Jan. 26, 2021 (GLOBE NEWSWIRE) –Mirasol Resources Ltd. (TSX-V: MAR) (OTCPK: MRZLF) (the “Companies“or”Mirasol“) Happy to announce that following the approval of the company’s environmental report by the SEA (Servicio de Evaluación Ambiental, Chilean Environmental Evaluation Agency), mobilization for the 1,500m Phase I diamond drill program at the Inca Gold Project has begun Chile. The drilling is focused on the Sandra trend in the southern portion of the project which is a large epithermal vein field with intermediate sulphidation that is believed to be highly likely to host significant Ag, Au and other related base metal mineralization . The construction site preparation for the planned start of drilling in mid-February 2021 is underway.
Mirasol Chairman and Interim CEO Patrick Evans commented, “We are very pleased that we have brought our self-financed Inca Gold project to a drill-ready stage. The surface exploration program completed at Inca Gold last year identified a number of attractive drill targets. The Sandra Aderfeld is our first target for drilling. Sampling at Sandra has revealed anomalous gold and silver values over a strike length of more than 1.2 km. “
The initial 1,500 m diamond drill program will target three of the most prospective zones along the main Sandra trend and test them to a depth of 80 to 200 m vertically below surface exposures. The three targets (Lomo Ballena, Veta Escuela and Veta Valle) represent the most heavily eroded parts of the previously recognized outcrop system (<2,450 m above sea level), which have the highest Au and Ag grades encountered to date and which are prioritized as targets They are considered geologically, structurally and geochemically attractive for this Phase I drilling program (See press release of November 25, 2020).
The 16,300 hectare Inca Gold Project (the “Project”) is located in Region III of Chile in the Inca Del Oro mining district and approximately 100 km north of Copiapó at an altitude of 2,000 to 3,000 meters above sea level. The project is characterized by good access, which allows year-round exploration. Mirasol is currently involved in the project under an option agreement with Newmont Corporation.
Summary of the agreement
On January 13, 2020, Mirasol announced that it has signed an option agreement (the “Agreement”) with subsidiaries of Newmont Corporation (“NEM”). Under this agreement, Mirasol was given the option to earn 100% of the project over a period of 5 years, subject to a 1.5% NSR license fee through:
○ Drilling 1,000 meters on the project over 2 years; and
○ Exploration expenses of $ 3 million over a five year period.
After completing this option, NEM will have the right to get 70% of the project back in two steps by:
○ Cash payment of USD 3 million to Mirasol; and
○ Financed exploration expenditures of $ 6 million over a period of three years.
If NEM completes phase 1 but not phase 2, Mirasol retains 100% of the project and NEM receives an additional 0.5% NSR license fee, which Mirasol can buy back at fair market value.
○ To provide a NI 43-101 pre-feasibility study that will reflect a resource of at least 2 million ounces of gold equivalent using agreed limits; or
○ Additional exploration expenses of $ 15 million over three years.
When NEM completes Phase 2, Mirasol and NEM will own 30% and 70%, respectively, of a joint venture company that owns the project. Mirasol will then have the option to either fund its 30% stake or reduce it to 25% in order to obtain a loan from NEM to finance project development for commercial production.
About Mirasol Resources Ltd.
Mirasol is a well funded exploration company with a focus on Chile and Argentina. Mirasol has six partner-funded projects, two with Newcrest Mining Ltd (Chile) and one each with First Quantum Minerals (Chile), Mine Discovery Fund (Chile), Mineria Activa (Chile), and Silver Sands Resources (Argentina). Mirasol is currently self-financing on two projects, Inca Gold (Chile) and Sacha Marcelina (Argentina).
For more information, please contact:
Patrick Evans, Chairman and Interim CEO
or
Jonathan Rosset, VP Corporate Development
Tel .: +1 (604) 602-9989
E-mail: contact@mirasolresources.com
Website: www.mirasolresources.com
Qualified Person Statement: Mirasol’s disclosure of technical and scientific information in this news release has been reviewed and approved by Tim Heenan (MAIG), VP Exploration for the Company, serving as a Qualified Person as defined by National Instrument 43-101.
Forward-Looking Statements: The information in this press release contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, stock markets, the cost and delivery of materials relevant to mining, changes in government and regulations affecting mining, as well pandemic-related social and environmental issues. Forward-looking statements in this press release include statements regarding future exploration programs, operating plans, geological interpretations, mineral tenure issues and mineral extraction processes. Although we believe that the expectations contained in our forward-looking statements are reasonable, results may vary and we cannot guarantee future results, levels of activity, performance or success. Mirasol disclaims any obligation to update or revise any forward-looking statements as a result of new information, future events or for any other reason, unless required by law.
Neither the TSX Venture Exchange nor its regulator (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
