Feb 1 2013
Cornerstone Capital Resources Inc. ("Cornerstone" or "the Company") today provided an update on the status of key exploration projects in Ecuador, Chile and Canada.
ECUADOR
Cascabel
On January 24th, the Company and partner SolGold Plc announced that recent channel sampling at the Alpala Prospect within the Cascabel Project in northern Ecuador has returned highly encouraging gold and copper assays and confirmed the presence of a significant outcropping gold-copper porphyry system. Channel TR46 returned 45.63 m at 0.81 g/t gold and 0.59% copper. Grades across the entire channel are very consistent, indicating the potential for a bulk mineralized porphyry system. Furthermore, the TR46 mineralized section is covered by scree and vegetation at both ends and is therefore completely open.
The Alpala Prospect is located within the T1 target which has been identified on the basis of geological and alteration mapping, a compelling magnetic signature and coincidence with strong surface geochemistry (copper, gold and molybdenum). The T1 target is roughly circular with a diameter of 2 km. Results of a follow-up soil geochemistry survey are expected in February and final data for the helicopter-borne magnetic and radiometric survey has been received and processed. Further modelling and targeting is underway, and areas for 3-D modelling have been identified. The permitting process in the lead up to drilling is progressing well, with initial drilling expected to begin in early Q2.
Shyri
The Company has completed a thorough review of exploration results at the Gama prospect and is considering future plans for this northern portion of the Shyri property following Intrepid Mines Limited's decision to terminate the Shyri option agreement, which was announced on December 14th, 2012. Meanwhile, approvals which are required to commence Phase 1 drilling at both the Vetas Grandes and Cañaribamba epithermal prospects located in the southern part of the property are expected to be received in Q2 following the Ecuadorian Presidential elections scheduled for mid-February. The Company will continue to seek a new partner to fund exploration on these targets, which are drill-ready and provide excellent opportunities for a significant discovery.
Caña Brava
On December 20th, 2012, the Company announced results from prospecting and geological mapping surveys carried out on its wholly owned Caña Brava property located in south-central Ecuador. The surveys have identified two large high-sulphidation (HS) epithermal gold-silver zones defined by extensive hydrothermal breccia and silicic ribs developed within an advanced argillic alteration lithocap. The West Zone (Caña Brava Breccia) is developed over a 2.5 km by up to 2.0 km area and is coincident with a 3 km by 1 km multi-element soil geochemistry anomaly. The East Zone shows a similar HS system measuring 1.75 km by 1.0 km which is open in most directions. A porphyry gold-copper target has also been identified beneath the Caña Brava Breccia. The Company is continuing to seek a partner to fund more advanced exploration programs on the property.
Macara
The Macara project located in southernmost Ecuador is subject to a strategic alliance between the Company and Newmont Ventures Limited, a subsidiary of Newmont Mining Corporation. Force majeure has been in effect since April 2008, and will remain so until an Environmental License is issued by the Ministry of Environment for the 1,452 hectare Bellavista concession. Exploration on the large (2,500 km2) surrounding Area of Interest (AOI) covered by the alliance is suspended until such time as the Ministry of Non-Renewable Natural Resources opens the area for new mineral concession applications.
Bella Maria
On May 11th, 2012, the Company announced that it has received authorization to resume activities on the Bella Maria project and provided a summary of results for exploration work carried out prior to the April 2008 Mining Moratorium. Initial results indicate that the property has excellent potential for hosting significant gold and copper mineralization. Stream sediment samples collected across the property are exceptionally anomalous in gold, and a large coincident gold- and copper-in-soil anomaly accompanied by porphyry style mineralization has been identified in the central part of the property. Four mineralized prospects have been identified. The Company is actively seeking a partner to fund an aggressive exploration program on the property.
La Encrucijada
Prospecting work carried out by the Company during 2012 confirmed results from previous property owners which indicates good potential for significant shallow epithermal gold-silver mineralization and porphyry gold-copper style mineralization at depth. Recent work has provided a much better understanding of the alteration and mineralization processes and their controls. The work also increased the size of the Alumbre prospect and discovered the new Potrerillos HS alteration zone. Three altered and mineralized zones are present on the property. Many anomalous float samples, stream sediment anomalies and soil anomalies (precious and base metals, epithermal pathfinders) still require follow up and offer potential for new discoveries. The Company is seeking a partner to jointly explore this property.
CHILE
La Fortuna
As announced on January 11th, 2013, the Company has returned the La Fortuna copper-silver property to its Chilean owner due to an inability to secure a partner to fund the second year option commitment.
Miocene
A regional exploration program was completed on the Miocene project during the first half of 2012. Alteration mapping using Aster (Advanced Spaceborne Thermal Emission and Reflection Radiometer) satellite imagery, combined with historical airborne magnetic survey data and regional geological and structural data, was used to define prospective areas for ground follow up. Reconnaissance geological mapping at a scale of 1:25,000, rock sampling and widely spaced soil sampling (2,000 m by 500 m and 1,000 m by 250 m) were carried out over a large area of 70,000 hectares (70 km²) covering exposed and altered bedrock and adjacent soil and gravel-covered pampas. Soil samples were analyzed utilizing a combination of analytical techniques designed to detect deep and/or buried mineralization. Geological mapping and spectrometry work better defined the alteration zones (type, size and distribution) that were identified by the Aster satellite imagery. Geochemical anomalies were defined for base metals, precious metals and pathfinder elements associated with porphyry gold-copper and epithermal gold-silver styles of mineralization. The Company is continuing to seek a partner to help advance exploration on this exciting early-stage project.
CANADA
Little Deer
Planned infill diamond drilling at the Little Deer copper deposit by the Company and 50% partner Thundermin Resources Inc. remains contingent on project financing. The drilling is designed to upgrade the Inferred Resources to the Indicated Resource category in order that a pre-feasibility study can be undertaken on the deposit.
Cape Ray
The Company and Benton Resources Inc. signed a definitive option agreement respecting the Cape Ray project on December 19th, 2012. Under the terms of the agreement, Benton has the ability to earn an initial 70% interest in the property by spending CAN$2 million on exploration, and making payments of CAN$125,000 and 155,000 shares over 4 years. Benton can earn an additional 5% (taking their interest to 75%) by incurring an additional CAN$1 million in exploration expenditures at its sole election but such election must be made within a period not exceeding 18 months from the date that Benton's interest vests at 70%.
Since September 2012, Benton has carried out re-logging and re-sampling of historical drill core which has led to the identification of a new gold zone termed the "PW Zone", which they interpret to be a possible strike extension of the Windowglass Hill deposit (National Instrument 43-101 inferred resources of 1,810,000 tonnes grading 1.77 g/t gold and 11.28 g/t silver, containing 103,001 ounces of gold and 656,415 ounces of silver[1]) located 1.2 km to the southwest. Re-sampling of historical drill core is continuing, and in December upgrades were carried out on the approximately 20 km gravel access road to the project site. Planned work by Benton during 2013 includes establishing a picketed control grid, ground geophysical surveys and diamond drilling of high priority targets.
[1] NI 43-101 Technical Report entitled "Mineral Resource Estimate Technical Report for the Cape Ray Au-Ag Property, Isle Aux Morts Area, Newfoundland and Labrador, Canada, July 16th, 2012" was prepared by Mr. Paul Ténière, P.Geo., and Mr. Andrew Hilchey, P.Geo., of Mercator Geological Services Limited, both whom are independent Qualified Persons in accordance with NI 43-101. The technical report can be viewed on the Company's website at http://www.cornerstoneresources.com/i/pdf/Properties_CR_43-101.pdf and on SEDAR.
Source: http://www.cornerstoneresources.com/