Torex Discovers Gold South of the Balsas River
TORONTO, ONTARIO -- (Marketwire) -- 06/13/12 -- Torex Gold Resources Inc. (the "Company" or "Torex") (TSX: TXG) is pleased to announce that the initial drill program at its Media Luna target, south of the Balsas River, on the Morelos Project in Mexico, has discovered consistent gold mineralization over a 900 meter strike length. The first five holes drilled into the Media Luna target are reported, with intervals that include 6.13 g/t Au, 58.7 g/t Ag, and 2.40% Cu over 4.8m in ML-01, and 4.27 g/t Au, 9.0 g/t Ag and 0.78% Cu, over 4.4m in ML-02, and 6.56 g/t Au, 10 g/t Ag and 1.15% Cu, over 7.1m in ML-08.
Fred Stanford, President & CEO of Torex stated: "This exciting new discovery was generated by targeting a magnetic anomaly that has a surface projection of approximately 3.0 km by 1.0 km, which is interpreted to be caused by a massive iron and sulphide skarn situated at depth at the main intrusive-sediment contact. The skarn has a mineralized thickness of between 4 to 21 meters, with the higher grade portions of the gold, silver, and copper mineralization being of 4 to 7 meters in thickness. To date we have only tested 900 meters of the strike length of this three km long by one km wide magnetic anomaly. At this early stage of the discovery, it is very encouraging to see the consistency of the gold mineralization, and the high silver and copper values over a significant strike length and thickness. Given the size of this target (300ha), and the pervasive mineralization discovered to date, we intend to continue to aggressively push forward with exploration of this and other magnetic anomalies, both north and south of the Balsas River."
Highlights of the first five holes drilled into the Media Luna discovery
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Intersection
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Core Au
From To Length Au Ag Cu Equivalent
BH I.D. (m) (m) (m) (g/t) (g/t) (%) (g/t) Lithology
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ML-01 408.6 413.4 4.8 6.13 58.7 2.40 10.81 Skarn
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ML-02 503.0 507.4 4.4 4.27 9.0 0.78 5.61 Skarn
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ML-06 282.0 286.1 4.0 0.20 3.9 0.46 0.96 Skarn
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ML-07 334.4 338.4 4.0 4.91 44.3 1.38 7.80 Skarn
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ML-08 514.5 521.6 7.1 6.56 10.0 1.15 8.47 Skarn
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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
Please refer to Table 1 for an expanded description of the intercepts and Figures 1-4 for borehole locations.
The Media Luna target, located adjacent to regional faults, was identified using aeromagnetics, surface geochemistry and geological mapping. The area is characterized by a structurally complex sequence of Morelos Formation (marble and limestone) and Mezcala Formation (shale and sandstone) within a geological setting broadly similar to the Guajes-El Limon deposit, located to the north of the Balsas River. The El Limon stock borders the sedimentary package at the north end of the Media Luna prospect and dips to the south-southwest beneath the sedimentary rocks. The Media Luna mineralization exhibits a higher iron and sulfide content than is observed at Guajes-El Limon, with elevated copper.
As presently modeled, the prospect area is defined by a sharp and intense magnetic high with dimensions of approximately 3 km x 1 km. The magnetic high defines the footprint of a large magnetite skarn at depth. The entire Media Luna target is considered prospective for skarn-style gold mineralization where calcareous sedimentary rocks are in contact with the granodiorite intrusive.
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 Acme Analytical Laboratories Mexico S.A. de C.V. ("ACME"). Sample preparation is done 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 by ACME at their analytical facilities in Vancouver, British Columbia, Canada. The Company has a Quality Assurance/Quality Control ("QA/QC") program in place that includes 2% 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 Gold Resources Inc. is a well-funded, growth-oriented, Canadian mining company engaged in the exploration and development of precious metal resources with a focus on gold. It owns 100% of the Morelos Gold Project, an advanced stage gold exploration property, located 180km southwest of Mexico City in the highly prospective Morelos Gold Belt. The project covers an area of 29,000ha of which more than 75% remains unexplored.
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 its 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 based on the reasonable assumptions, estimates, analysis and opinions of management made at the date that such statements are made. 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. 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 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. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. 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.
To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/TXG1306_Figure1.pdf.
To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/TXG1306_Figure2.pdf.
To view Figure 3, please visit the following link: http://media3.marketwire.com/docs/TXG1306_Figure3.pdf.
To view Figure 4, please visit the following link: http://media3.marketwire.com/docs/TXG1306_Figure4.pdf.
To view Table 1, please visit the following link: http://media3.marketwire.com/docs/TXG1306_Table1.pdf.
Contacts:
Torex Gold Resources Inc.
Fred Stanford
President and CEO
(647) 260-1502
fred.stanford@torexgold.com
Torex Gold Resources Inc.
Gabriela Sanchez
Vice President Investor Relations
(647) 260-1503
gabriela.sanchez@torexgold.com
www.torexgold.com