Cornerstone Capital Resources Inc. ("Cornerstone" or "the Company") announces the following project update for the Cascabel copper-gold porphyry joint venture exploration project in northern Ecuador, in which the Company has a 15% interest financed through to completion of a feasibility study. SolGold Plc is funding 100% of the exploration at Cascabel and is the operator of the project.
- Hole 15R2 is currently drilling at a depth of 1401m, and continuing to intersect copper mineralization, which is increasing with depth.
- Hole 17 is currently drilling at a depth of 519.4m in copper mineralization.
Figures referred to in this news release can be seen in PDF format by accessing the version of this release on the Company's website (www.cornerstoneresources.com) or by clicking on the link below:
At 7 am Ecuador time on Sunday April 24th, Hole 15R2 (CSD-16-015R2) was drilling at a depth of 1401m and Hole 17 (CSD-16-017) was drilling at a depth of 519.4m. Both drill holes have intersected porphyry style copper-gold mineralization at the Alpala deposit in Northern Ecuador (refer Figure 1 Location).
The Cascabel Project is located within the northern portion of the Andean copper belt, which hosts numerous large porphyry copper-gold targets identified by coincident geophysical and geochemical anomalies that are interpreted as a cluster of prospective porphyries. They occur in a relatively unexplored section of the northern Andean copper belt that produces very oxidized, gold rich porphyry deposits (refer Figure 2 Regional Setting).
Hole 15R2 has intersected over 400m of porphyry style copper sulphide mineralization thus far, as the hole progresses towards a planned depth of 1800m. Hole 15R2 is targeting extensions of the Alpala deposit to the north, and at depth, some 100m north of the deeper high-grade zone intersected in Hole 9, which returned 1050.8m @ 0.68% Cu and 0.92 g/t Au, including 420m @ 1.00 % copper and 1.34 g/t gold (see news release January 12, 2015 at http://www.cornerstoneresources.com/s/NewsReleases.asp?ReportID=690636&_Type=News&_Title=15-02-Drill-core-intercept-of-1058-metres-0.68-Cu-0.92-gt-Au-401m-true-width).
Hole 17 is being drilled from the same pad as Hole 16, and is targeting upper extensions of strong copper and gold mineralization intersected in Holes 5 and 12, both of which returned intersections of over 1000m grading above 1% copper equivalent. Subject to ground conditions, and mineralization encountered, Hole 17 has a planned depth of 1300m.
Three dimensional geological and mineralization models have been developed using the Leapfrog™ modeling software. The model is based on, and continually refined using, drill data from the Cascabel Project. Recent work on intrusive phases and geological markers at Alpala Central provide insight into the geometry of copper and gold mineralization and the potential source intrusions.
SolGold Plc owns 85% of the equity of Exploraciones Novomining S.A. ("ENSA"), an Ecuadorean company that holds 100% of the Cascabel concession in northern Ecuador. Cornerstone owns the remaining 15% of ENSA, which also holds the rights to the La Encrucijada gold-silver project. SolGold is funding 100% of the exploration at Cascabel and is the operator of the project. Cornerstone's 15% interest is financed through completion of a feasibility study.
Cascabel is located in northwestern Ecuador in an under-explored northern section of the richly endowed Andean Copper Belt, 60 km northeast of the undeveloped inferred resource of 982 million tons at 0.89% Cu Junin copper project (0.4% Cu cut-off grade; Micon International Co. Ltd. Technical Report for Ascendant Exploration SA, August 20, 2004, pages 28 & 29). Mineralization identified at the Junin copper project is not necessarily indicative of the mineralization on the Cascabel Property.
Yvan Crepeau, MBA, P.Geo., Cornerstone's Vice President, Exploration and a qualified person in accordance with National Instrument 43-101, is responsible for supervising the exploration program at the Cascabel project for Cornerstone and has reviewed and approved the information contained in this news release.
SolGold has announced it is planning a resource statement at Alpala, the most advanced target at Cascabel, during 2016, in addition to drill testing the other key targets at Aguinaga, Trivino, Alpala NW, Hematite Hill, Alpala SE, Cristal, Tandayama America and Chinambicito within the Cascabel concession. By the end of 2016 SolGold has reported it is planning further metallurgical testing, and completion of early stage mine and plant design and a scoping study (which may or may not be the approximate equivalent of a preliminary economic assessment as defined under National Instrument 43-101) for an economic development at Cascabel.