Castillian Intersects 2.14 g Au/t and 0.45% Cu Over 29.6 Metres at Hope Brook, Newfoundland
11.12.2012 | Marketwire
All Twelve Drill Holes Completed to Date Have Intersected the Silicified Mineralized Zones as TargetedTORONTO, ONTARIO -- (Marketwire) -- 12/11/12 -- Castillian Resources Corp. (TSX VENTURE: CT) (OTCQX: CTIIF) ("Castillian" or the "Company") has completed 3,833 meters of drilling in 12 holes at four of the six major target areas of the 6,000 metre diamond drilling program at its Hope Brook Gold Project in southwestern Newfoundland.
Highlights from recent drilling include:
Unmined Stope Potential
- Hole HB 12-091: 2.14 grams gold per tonne (g Au/t) and 0.45% copper (Cu) over 29.6m core length; including 5.24 g Au/t and 1.47% Cu over 4.3m core length
- Hole HB12-094: 1.90 g Au/t and 0.12% Cu over 39.1m core length; including 3.95 g Au/t over 12.50m core length
Mine Zone to 240 Connector Target
- Hole HB 12-093: 0.64 g Au/t over 16.5m core length; including 1.66 g Au/t over 2.40m core length
- Hole HB 12-092: 0.52 g Au/t over 10.6m core length within a 22.5 metre wide mineralized silicified zone.
Drilling has progressed rapidly with four rigs now operating along a 3.4-kilometre long mineralized trend between the past-producing Hope Brook Mine southwest to the Chetwynd South Prospect (see press release dated November 5, 2012). All twelve drill holes completed to date have intersected the silicified mineralized zones as targeted from our geological and geophysical data. Currently holes are in progress on the Chetwynd, Connector Zone and NW target areas. Figure 1 shows the locations of the target areas and drill hole pierce points. Table 1 lists significant assay results. Assays have been received for the first four drill holes completed (HB12-091 to -094).
Dr. Bill Pearson, P.Geo., President and CEO of Castillian, commented: "We are on schedule to complete the planned 6,000m drill program before Christmas. This program is designed to open up major new target areas for future resource definition. I am very encouraged by the results to date. We have confirmed that the major silicified mineralized zones extend for at least 3.4km along strike and are open along strike and downdip. Drilling in progress is focussing on identifying areas with higher grade gold within these extensive alteration zones particularly in the Connector zone."
Unmined Stope Potential (4960-150 level Stope)
Two drill holes tested the potential for unmined ore remaining in the 4960-150 stope at the south west end of the former Hope Brook Mine. Hole HB12-091 and Hole HB12-094 (which was positioned to test the eastern end of the stope) intersected pyrite- and chalcopyrite-bearing, vuggy, buff and grey siliceous alteration over 76.4m and 54.1m respectively. This drilling confirms that the 4960-level stope was only partially blasted and remains in place, and is expected to add to the current mineral resource.
Hole HB12-091 intersected an altered zone containing chalcopyrite that graded 2.14 g Au/t and 0.45% Cu over 29.6m (13.4m true width) including 5.24 g Au/t and 1.47% Cu over 4.3m (2.0m true width). No zones of excessive broken core or zones of lost core were encountered during drilling suggesting that this portion of the former stope remains intact.
Hole HB12-094, a zone of chalcopyrite (1-2%) and bornite-bearing siliceous altered material assayed 1.90 g Au/t and 0.12% Cu over 39.10m (16.5m true width) including 3.95 g Au/t and 0.07% Cu over 12.50m (5.3m true width). The drill hole intersected small void spaces and blocky, locally oxidized rock, with approximately 20% lost core between 180.9m and 220.0m. The recovered core shows no sign of displacement or rotation hence this portion of the stope was likely fractured, but not blasted and mined.
Mine Zone to 240 Connector Target
The initial two drill holes, HB12-092 and 093 confirmed the continuity of the gold mineralized zone within the northern part of the Mine Zone to 240 Connector Target. These holes both intersected the mineralized zone approximately 200m southwest of the resource constraining shell (cutoff grade of 0.5 g Au/t) that outlines the current limit of potential open pittable resource at Hope Brook (Figure 1).
Hole HB12-092 encountered a zone of pyrite-bearing siliceous altered rocks from 314.4 to 330.9m that assayed 0.64 g Au/t over 16.5m core length (12.6m true thickness). Drill hole HB12-093 intersected a 22.5 metre core length of pyrite and chalcopyrite-bearing, locally vuggy, grey and buff siliceous altered rocks from 358.5 to 381.0m which included 0.52 g Au/t over 10.6m core length (7.0m true width). Geophysical data indicates that the intensity of alteration and mineralization likely increases further southwest to the 240 Zone-this area is currently being drill tested.
Table 1: Significant Diamond Drilling Results, Hope Brook Gold Project, December 11, 2012.
Core True
Length Width Au
Hole No. From (m) To (m) (m) (m) (g Au/t) Cu (%)
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Unmined Stope Potential
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HB12-091 133.00 138.70 5.70 2.6 1.10 0.00
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206.30 235.90 29.60 13.4 2.14 0.45
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incl. 217.60 232.20 14.60 6.6 2.69 0.58
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incl. 227.90 232.20 4.30 2.0 5.24 1.47
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and 253.40 260.40 7.00 3.2 0.98 0.01
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HB12-094 106.30 111.00 4.70 2.0 1.11 0.00
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and 180.90 220.00 39.10 16.5 1.90 0.12
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incl. 185.00 197.50 12.50 5.3 3.95 0.07
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Mine Zone to 240 Connector Target
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HB12-092 314.40 330.90 16.50 12.6 0.64 0.02
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incl. 319.60 322.00 2.40 1.8 1.66 0.04
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HB12-093 366.60 382.00 15.40 10.1 0.46 0.04
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incl. 370.40 381.00 10.60 7.0 0.52 0.04
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Table 2: Collar Coordinates and Orientations of Drill Holes, Hope Brook, December 11, 2012.
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Hole No. Target Status UTM Mine Grid
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Easting Northing Easting Northing
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HB12-091 4960 Stope Complete 417919 5287887 11529 5197
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HB12-092 Connector Zone Complete 417755 5287323 11071 4829
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HB12-093 Connector Zone Complete 417760 5287322 11074 4826
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HB12-094 4960 Stope Complete 417940 5287903 11555 5198
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HB12-095 Chetwynd South Assays Pending 415636 5285782 8451 4783
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HB12-096 Chetwynd South Assays Pending 415676 5285813 8502 4785
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HB12-097 Chetwynd South Assays Pending 415759 5285867 8601 4782
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HB12-098 Chetwynd Assays Pending 416603 5286493 9651 4810
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HB12-099 Chetwynd Assays Pending 416527 5286471 9576 4836
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HB12-100 Connector Zone Assays Pending 417224 5287264 10602 5086
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HB12-101 Connector Zone In Progress 417182 5287152 10503 5018
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HB12-102 Connector Zone In Progress 417627 5287230 10913 4827
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Total
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Hole No. Target Status Elev. Length Az Dip
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(i) (ii) (ii)
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HB12-091 4960 Stope Complete 5136 279.1 145 -49
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HB12-092 Connector Zone Complete 5134 367.0 325 -61
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HB12-093 Connector Zone Complete 5134 440.7 325 -72
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HB12-094 4960 Stope Complete 5132 223.0 145 -49
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HB12-095 Chetwynd South Assays Pending 5065 237.0 325 -45
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HB12-096 Chetwynd South Assays Pending 5062 320.0 325 -56
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HB12-097 Chetwynd South Assays Pending 5065 282.0 325 -56
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HB12-098 Chetwynd Assays Pending 5055 333.7 325 -53
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HB12-099 Chetwynd Assays Pending 5051 269.0 325 -51
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HB12-100 Connector Zone Assays Pending 5065 458.7 145 -51
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HB12-101 Connector Zone In Progress 5068 362.0 145 -57
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HB12-102 Connector Zone In Progress 5124 261.0 325 -65
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Total 3,833.2
(i) Elevations have 5000 metres added to actual measurements to conform
to historical practice.
(ii) All measurements are in metres except Azimuth (Az) and Dip, which
are measured in degrees.
SAMPLING, ASSAYING AND QUALITY CONTROL
The core (NQ (47.6 mm) and BQTK (40.54 mm)) is logged, photographed and then sawn in half with one-half sent to the laboratory for analysis and the other half retained and stored on site. All core samples were prepared and assayed at ALS Minerals, with sample preparation done in Sudbury and analytical work done in North Vancouver. All locations of ALS Minerals are ISO 9001:2000 certified. The entire sample received is weighed and crushed to = 70% passing 2mm (10 mesh). A sample split of up to 1000g is then pulverized to = 85% passing 75 microns (200 mesh) to produce a homogenized sample. A 50g aliquot is used for fire assaying with an atomic absorption (AA) finish to determine gold concentration. Copper is initially analyzed using a four acid digestion ICP (inductively coupled plasma-atomic emission spectrometry) method. Any results for copper greater than 10,000 ppm are assayed further by a four acid digestion and "ore grade" ICP method. Internal quality control includes the use of blanks, duplicates and standards in every batch of samples. The Company also conducts internal check assaying using certified external reference standards and blanks. Regular external check assays are performed at a second certified Canadian commercial laboratory. Castillian also inserts external reference standards as well as blank granite drill core in each sample batch as a further external check.
QUALIFIED PERSONS
David Copeland, P.Geo., Chief Geologist, who is a qualified person as defined by NI 43-101, supervised the diamond drilling program at Hope Brook. Mr. Copeland and Dr. Bill Pearson, P.Geo., President & CEO of Castillian, both qualified persons as defined by NI 43-101, have reviewed and approved the scientific and technical content of this news release.
ABOUT CASTILLIAN
Castillian Resources Corp. is a Canadian mineral exploration company listed on the TSX Venture Exchange under the symbol "CT" and on the OTCQX International under the symbol "CTIIF. The Company has gold and base metal properties in Canada and South America. Castillian's flag ship property is the Hope Brook Gold Project located in southwestern Newfoundland, which has 2.4 million tonnes at 1.48 g Au/t for 590,000 ounces of NI 43-101 compliant indicated mineral resources and 8.2 million tonnes at 2.07 g Au/t for 548,000 ounces of inferred mineral resources (see technical report entitled "Updated Mineral Resource Estimate Technical Report, Hope Brook Gold Project, Newfoundland and Labrador, Canada", effective October 1, 2012). Castillian has outlined an extensive new Gold-in-Soil anomaly trend on its Canadian Creek property in the Yukon that is adjacent to Kaminak's Sugar Gold-in-Soil trend.
Cautionary Note Regarding Forward-looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding exploration prospects and timing of future exploration. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", 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 but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; future prices of mineral prices; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and shortages and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. 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 statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Information Concerning Estimates of Indicated and Inferred Resources
This news release uses the terms "indicated resources" and "inferred resources". Castillian advises investors that although these terms are recognized and required by Canadian regulations (under NI 43-101), the U.S. Securities and Exchange Commission does not recognize them. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into mineral reserves. In addition, inferred resources have a great amount of uncertainty as to their existence, and economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, or economic studies except for preliminary economic assessments as defined under NI 43-101. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.
To view Figure 1. Hope Brook Longitundinal Section with targets and drill holes completed/in progress, please visit the following link:
http://media3.marketwire.com/docs/CTF1.pdf
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
Contacts:
Castillian Resources Corp.
Rob Hopkins, Investor Relations Manager
(416) 861-5899
rhopkins@castillian.ca
Castillian Resources Corp.
Bill Pearson, President & CEO
(416) 861-2968
president@castillian.ca
www.castillian.ca