ExGen Resources Inc. (TSXV:EXG) (OTC:BXXRF) (“ExGen”, the “Company”) is pleased to provide an update in respect of Phoenix Global Mining Ltd.’s (“Phoenix”) exploration and development activities at the Empire Mine Project in Idaho, USA. Further to previous ExGen news releases, ExGen owns 20% and Phoenix owns 80% of Konnex Resources, Inc. (“Konnex”), which holds the leases and claims to the Empire Mine Project. ExGen further has a 2.5% NSR royalty on the Empire Mine Project and is one of Phoenix’s largest shareholders, owning 1,330,000 common shares (4.18% of Phoenix).
ExGen is pleased to announce the results from the Company’s ongoing channel sampling program at the Empire Copper Mine in Idaho, USA (the ‘Empire Mine’).
Highlights:
- Significant copper grades exhibited in outcroppings and road cuts. Channel samples will be tied to near surface drill hole intercepts and included in the next Empire resource update. The copper equivalent grade (“Cu Equ”) is calculated on the basis of metal prices as follows – copper $6,000/tonne, zinc $2,325/tonne, gold $1,200/oz and silver $14.0/oz.
Dennis Thomas, Chief Executive Officer, said, “It is our pleasure to present the assay results from the initial phase of the Empire surface channel sampling programme. The copper skarn comprises a significant portion of the exposed rock at the Empire Mine so these surface results were expected. Moreover, we are pleased with the overall grades that we are seeing at the surface in the latest assay results. The extended intervals of 21.3 metres of 2.73% copper in CH18-21 and 32.0 metres of 1.60% copper in CH18-22, along with the extremely high-grade 1.5 metre intervals of 8.97% copper (CH18-21) and 9.45% copper (CH18-22) are just a few examples of the exceptional grades exhibited at the surface. The copper grades in the channel samples are consistent with near surface drilling results around the property. We have also reported material gold and silver grades in the channel sample results.
“…. We are now more encouraged than ever to see the grades associated with the surface outcroppings and the consistency of these grades compared with near surface drill hole intercepts elsewhere on the property.
“Thus far, the infill drilling programme and channel sampling programme results are encouraging and will be used to update the resource model, in which the current average grade of the “measured and indicated” resource is 0.52% copper. Our hope is that continued results, similar to those reported here and previously, both drilling and channel sampling, will have a positive effect on the overall grade and tonnage, which will materially enhance the economics of the project. We look forward to keeping the market updated on our progress.”
Mr. Jason Riley, CEO of ExGen commented: “We are very pleased with this first round of assays from the 2018 surface channel sampling program. The assay results continue to deliver impressive grades of copper and gold. We eagerly await the next drilling and sampling results and look forward to the follow up work at the numerous additional possible mineralized extensions, including Red Star before year end.”
CHANNEL SAMPLING
23 channel samples composed of 298 1.5 metre samples were collected from outcroppings and road cuts on the Empire property and inside the current resource. The channels ranged from 6.1 metres to 51.8 metres in length with the individual samples connected end-to-end. Only those outcroppings and road cuts orientated perpendicular to the dip of the skarn body were sampled to mimic the interception of a drill hole oriented perpendicular to the dip of the skarn, providing a better indication of true thickness. Of the 23 channels, 14 contained composite intervals greater than 0.20% copper, and 19 of the 23 contained composite intervals of greater than 0.20% copper equivalent. Additional channel samples will be collected as new road cuts and outcroppings of skarn present themselves.
The samples comprising each channel were composited and are presented in the following table. Copper equivalent grades (“CuEquiv”) were calculated based on metal prices as follows – copper $6,000/tonne, zinc $2,325/tonne, gold $1,200/oz and silver $14.00/oz.
All channel samples are within the current resource.
Copper, zinc and silver were determined by the ICP method. Copper and zinc >1%ICP are assayed using four-acid digestion and silver >100ppm by four acid digestion, whereas gold was determined by a 30gm fire assay followed by atomic absorption. The QP for this news release notes that Phoenix inserts at least 2 blanks, duplicates, or standards for every 20 samples submitted to the ALS assay laboratory in Nevada. Core samples are saw cut in half and stored in a secure facility. RC chips and channel samples are stored in the same secure facility. All samples are delivered to the laboratory under chain of custody protocol and submitted using sub-form sample numbers.
OTHER RESULTS PENDING ANALYSIS
There are currently 5 RC holes and 14 diamond drill holes awaiting assay results, as well as 25 surface channel samples from the new Red Star trend at Empire. The samples are at the ALS assay laboratory in Nevada. Red Star is 330 metres north-west of the northern end of the current resource and is a 20 metre-wide surface outcrop across the structure and is a mix of copper oxides and sulphide. These results will be announced following the receipt of assay certificates and QA/QC sign-off. The Company also plans additional drilling and surface channel sampling over the next several months. Assay results from this late 2018 work are anticipated to be available in October, November, and December.
QUALIFIED PERSON
Roger Turner A.C.S.M., M.Sc., M.I.M.M.M., C.Eng., a Qualified Person as defined by National Instrument 43-101, and Chief Technical Officer and Director of Phoenix Global Mining, has reviewed and verified the technical mining information provided in this release. Mr. Turner is a graduate mining engineer from the Camborne School of Mines with an MSc in Economic Geology from Leicester University with more than 40 years’ experience in …read more
From:: Investing News Network