Results Include 331m grading 0.63% Copper Equivalent on the largely undrilled Northeastern Side of the Deposit
Vancouver, British Columbia, London, UK and Santiago, Chile (May 30, 2022) – Los Andes Copper Ltd. (TSXV: LA) (OTCQX: LSANF) (“Los Andes”, “LA” or the “Company”) is pleased to report continued consistent positive results from recent drilling completed at the Vizcachitas Copper Project in Chile. The new results include 331 meters grading 0.63% Copper Equivalent (0.55 % Copper, 212 ppm Molybdenum and 1.28 g/t Silver) in hole CMV 012B on the northeastern edge of the deposit where almost no prior drilling has been completed. The results also include 122 meters grading 0.59% Copper Equivalent on the western edge of the deposit (0.55 % Copper, 223 ppm Molybdenum and 1.72 g/t Silver) in hole CMV 011.
The drill results continue to expand a Tier 1 large, advanced copper deposit, with a Pre-Feasibility Study (“PFS”) in progress, in a copper market with few development projects in the pipeline and a multi-million tonne supply deficit looming. Projects like Vizcachitas are expected to be in high demand by copper producers as they advance towards the development stage to help fill the supply gap.
The drill core assay results reported today will be also incorporated into the new resource assessment for the PFS targeted for the fourth Quarter 2022.
R. Michael Jones CEO of Los Andes said, “the drill results continue to show that the limits of the Vizcachitas Porphyry Copper deposit still have not been determined. On the east, west and southern areas we have yet to close-off the deposit with drilling. Our recent previously announced results of 152 meters of 1% Copper Equivalent in the south (CMV 009) and the results announced today on the western and eastern sides, show that further drilling is required to determine the full scale of the deposit.”
Vizcachitas is a classic porphyry copper deposit in the same setting as some of the largest copper mines in the world, which surround it to the north and south in Chile. Current Resources, as estimated in the Preliminary Economic Assessment (the “PEA”), which will be updated with the new drilling in 2022, are Measured Resources of 254.4 million tonnes having a grade of 0.489% copper equivalent and Indicated Resources of approximately 1.03 billion tonnes having a grade of 0.442% Copper Equivalent.
Future milestones for the Company include additional drilling assay results in the coming weeks and completion of the PFS in the fourth Quarter of 2022. Vizcachitas represents one of the few truly Tier 1 copper assets, as being a large resource in a leading jurisdiction for copper development with no major company holdings or offtake commitments. Los Andes Copper owns 100% of the Vizcachitas Project.
Drilling Results Details
The details of Holes CMV-008, CMV-011, CMV-012b, are shown in the table below.
|Drill Hole||Interval (m)||Meters||Cu %||Mo ppm||Ag g/t||CuEq %|
|CMV-008||12.2 - 592.1||579.90||0.07||8||0.57||0.08|
|CMV-011||15.05 - 1055.15||1,040.10||0.21||67||0.71||0.24|
|Including||804 - 926||122.00||0.50||223||1.72||0.59|
|CMV-012B||29.5 - 890.7||861.20||0.34||133||0.86||0.39|
|Including||560 - 890.7||330.70||0.55||212||1.28||0.63|
* Copper Equivalent grade has been calculated using the following calculation: CuEq (%) = Cu (%) + 0.000333 x Mo (ppm) + 0.00826 x Ag (g/t), using the metal prices: 3.00 USD/lb Cu, 10.00 USD/lb Mo and 17.00 USD/oz Ag. No allowance for metallurgical recoveries has been considered. These are the same reference prices as in reporting of 2019 PEA. This means that the reported intercepts can be compared directly with the results published in the PEA. Approximate relative value on the PEA pricing is 93% Copper, 6% Molybdenum and 1% Silver.
All thicknesses from the drill hole intersections are down-hole drilled thicknesses. True widths will be estimated as the deposit model is updated and information becomes available. Hole CMV-008 was drilled in an exploration area located on the southwestern side of the project site.
The Company is preparing a filing for the Environmental Court in Chile on the issues raised in a recent injunction that suspended drilling. Following considerable detailed work and documentation, the Company plans to submit substantial evidence to demonstrate that the drilling project can continue, in accordance with the Company’s permits, with no significant negative effects to fauna and the environment. Los Andes Copper welcomes continued open dialogue with all stakeholders in a climate of mutual respect to protect the environment and maximize the value of the project.
About Los Andes Copper Ltd.
Los Andes Copper Ltd. is an exploration and development company with an 100% interest in the Vizcachitas Project in Chile. Los Andes Copper Ltd. is listed on the TSX-V under the ticker: LA.
The Project is a copper-molybdenum porphyry deposit, located 120 kilometres north of Santiago, in an area of very good infrastructure. The Company’s Preliminary Economic Assessment (the “PEA”), delivered in June 2019, highlights that the Project has a post tax NPV of $ 2.7 billion and an IRR of 26.7%, based on a $3.50 per pound copper price.
Please refer to the technical report, compatible with NI-4301, dated June 13, 2019, with an effective date of May 10, 2019 and titled “Preliminary Economic Assessment of the Vizcachitas Project”, prepared by Tetra Tech.
The PEA is preliminary in nature, it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
Qualified Person (“QP”) and Quality Control and Assurance
Antony Amberg CGeol FGS, the Company’s Chief Geologist, is the qualified person who has reviewed and approved the scientific and technical information contained in this news release. The QP has validated the data by, supervising the sample collection process, through chain of custody records and inspecting the detailed technical data and quality control and assurance information.
Los Andes Copper has a strict Quality Assurance and Quality Control (“QA QC”) protocol, which is consistent with industry best practices. There is a strict chain of custody from the project site to laboratory via the Company’s core cutting facility. The QA QC protocol includes the insertion of field duplicates, coarse duplicates, pulp duplicate, pulp and coarse blanks and Certified Reference Materials supplied by Ore Research and Exploration, Australia.
The core was analysed by ALS in Lima, Peru. All samples were assayed using the method ME-MS61, a four-acid digestion with an ICP-MS finish. Samples with grades above 0.7 % Cu were analysed using ALS method Cu-OG62, a four-acid digestion with an ICP-AES finish. The Company uses a program of detailed QA QC and monitors the performance of the laboratory.
For more information please contact:
R. Michael Jones, P.Eng CEO
+44 203 4407982
Blytheweigh, Financial PR
Tel: +44 207 138 3203
E-Mail: firstname.lastname@example.org or visit our website at: www.losandescopper.com
Certain of the information and statements contained herein that are not historical facts, constitute “forward-looking information” within the meaning of the Securities Act (British Columbia), Securities Act (Ontario) and the Securities Act (Alberta) (“Forward-Looking Information”). Forward-Looking Information is often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “expect” and “intend”; statements that an event or result is “due” on or “may”, “will”, “should”, “could”, or might” occur or be achieved; and, other similar expressions. More specifically, Forward-Looking Information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such Forward-Looking Information. Such Forward Looking Information includes, without limitation, the timing of and ability to obtain TSX-V and other regulatory approvals and the prospects, details related to and timing of the Vizcachitas Project. Such Forward-Looking Information is based upon the Company’s assumptions regarding global and Chilean economic, political and market conditions and the price of metals and energy and the Company’s production. Among the factors that have a direct bearing on the Company’s future results of operations and financial conditions are changes in project parameters as plans continue to be refined, a change in government policies, competition, currency fluctuations and restrictions and technological changes, among other things. Should one or more of any of the aforementioned risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the Forward-Looking Information. Accordingly, readers are advised not to place undue reliance on Forward-Looking Information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise Forward-Looking Information, whether as a result of new information, future events or otherwise.
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2022 Drilling with the + 0.5% Cu Eq Model and the PEA ultimate 45 year Pit