Intercepts include 0.45% Cu over 158.7 meters, including 0.93% Cu over 25.2 meters
Trading Symbol: CCY
VANCOUVER, March 28 /PRNewswire/ - Catalyst Copper Corp. (the "Company" or "Catalyst") today announced it has intersected significant copper mineralization in the first drill holes of the 2011 drill program on the La Verde copper porphyry project in Michoacán state, Mexico.
Significant results include 0.45% Cu over 158.7 meters; including 0.93% Cu over 25.2 meters and 0.38% Cu over 59.7 meters (see Table 1 below for details). Also, visual inspection of the one hole with assay results pending exhibits porphyry style mineralization and alteration suggesting the possibility of an additional porphyry deposit at depth at the West Hill similar to the one seen at the East Hill of the property.
Drilling at La Verde restarted on January 28, 2011, with the first Phase 1 drill holes planned to test projected mineralized extensions associated with the East Hill and West Hill mineral deposits. To date four holes have been completed for a total of 2,851 meters, all on the West Hill. Today's release details results for the first three of these holes. Results for the fourth hole are pending. The drill is currently being moved to the East Hill mineral deposit.
During 2011, Catalyst plans to drill a minimum of 20,000 meters at La Verde. Additional work planned for 2011 includes environmental studies, metallurgical test work and updating the NI43-101 resource estimate incorporating all new drilling results.
Results in detail
Drill hole LV11-013 tested an east-west trending geophysical target located north of the West Hill deposit. Results show the presence of a second mineralized zone located approximately 200 meters north of the West Hill mineral deposit. Further drilling is planned to expand this zone.
Hole LV11-014, drilled south from the same location as LV11-013, was designed to intersect the extension of copper mineralization 100 meters below the West Hill zone. Assay results, 0.45% Cu over 158.7 meters, show copper mineralization continues to depth. As the hole failed to close off the mineralized zone another drill hole will be required down dip of LV11-014.
LV11-015 was a 100-meter step-out east of the West Hill zone towards the East Hill zone. The East Hill and West Hill mineral deposits are separated by approximately 800 meters with little drill testing of the gap between them. Results are encouraging as the intersections listed in the table below show copper mineralization remains present in this step-out hole. Gold values are also seen to be increasing in this direction. Further drilling is planned for this area. Assays are pending for the bottom 120 meters of this hole.
Hole LV11-016, the longest hole drilled on the property, visually exhibits encouraging porphyry style mineralization and alteration. Drilled for 894.45 meters at -50° to the north as an in-fill hole, LV11-016 was designed to better define copper mineralization on Section 810850E that was previously intersected in Catalyst hole LV10-008 (0.33% Cu over 508.7m and 0.55%Cu over 77.4m). Core logging indicates the upper portion of the hole is mineralized similar to the underlying LV10-008 hole with veined and fracture controlled copper mineralization. More significantly this hole was extended to a length of 894.45m as Cu mineralization continued and was increasing in intensity to depth.
Equally important is the presence of bornite and molybdenite previously only observed in the East Hill mineral deposit. The geological model developed by Catalyst has predicted the presence at depth of a porphyry deposit at West Hill similar to that seen at East Hill. The presence of bornite and molybdenite, plus associated alteration seen in LV11-016 are interpreted to be indicators of an East Hill style porphyry system. Detailed assay results for hole LV11-016 are pending. Because this hole ended in copper mineralization plans are being made to bring in a second drill rig with greater depth capabilities in order to deepen it.
A map showing previous and current drill holes is available on the Catalyst website at www.catalystcopper.com.
T.W. Hodson, P.Geo. is the qualified person as defined by National Instrument 43-101, and has reviewed the technical disclosure contained herein and accepts responsibility for such disclosure.
Catalyst currently has approximately $3.0 million dollars in working capital. It is anticipated the 2011 work program will complete commitments under the option agreement described below to exercise the Company's option to earn a 60% interest in the property.
About La Verde
The La Verde project is located in an area with excellent infrastructure. Power, rail and water all cross the property. Lazaro Cardenas, Mexico's third largest port on the Pacific ocean coast, is 180 km from the site. Significant upside potential remains for the two known zones of porphyry style copper, gold and molybdenum mineralisation as the 2010 drill program has shown both deposits remain open to depth and along strike.
La Verde property is subject to an option agreement with a Mexican subsidiary of Teck Resources Limited (Teck) whereby Catalyst's 100% Mexican subsidiary, Minera Hill 29, may earn a 60% interest in La Verde by making US$10,000,000 in exploration expenditures (including 30,000 meters of drilling and 200 kilometers of IP) by December 31, 2012. Upon Catalyst earning a 60% interest, Teck has the option to increase its interest to 60% by incurring aggregate expenditures equal to two times the amount spent by Catalyst. Should Teck fail to exercise its option to earn a 60% interest, Catalyst can acquire a 100% interest in La Verde by paying to Teck US$20 million. The property is subject to an underlying 0.5% NSR.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CATALYST COPPER CORP.
"Terence W. Hodson, P.Geo."
TERENCE HODSON, V.P. EXPLORATION
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to, risks associated with mineral exploration and mining activities, the impact of general economic conditions, industry conditions, dependence upon regulatory approvals, and the uncertainty of obtaining additional financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. 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.
Quality Assurance: The Company employs a system of quality control for drill results which includes the use of blanks, certified reference materials (standards) and check assaying. Core is logged on site and split with a diamond saw. Samples are shipped to Acme Analytical Laboratories Ltd. for analysis.
|Drill Hole||Location||Dip||Azm||From(m)||To(m)||Length(m)||Cu%||Au g/t||Mo%|
SOURCE Catalyst Copper Corp.