Min­era Alamos drills 93.5 m of 0.65 g/t Au at San­tana

Stockwatch Daily - - MINES & METALS - Mr. Doug Ramshaw re­ports

MIN­ERA ALAMOS Inc. has pro­vided the ini­tial re­sults from its phase 1 drill pro­gram at the San­tana gold project, Sonora, Mex­ico. The 2018 drill pro­gram is the first ex­plo­ration drilling to be con­ducted at San­tana since 2011. The first three holes were drilled near or within the Ni­cho de­posit and were in­tended to eval­u­ate min­er­al­ized ex­ten­sions of pre­vi­ous ex­plo­ration pro­grams. All drill holes en­coun­tered zones of dis­sem­i­nated gold min­er­al­iza­tion. Ini­tial re­sults sup­port the com­pany’s long held be­lief that there are nu­mer­ous ex­plo­ration tar­gets in the San­tana project area that could add sig­nif­i­cantly to the con­tin­u­ing de­vel­op­ment plans of a pro­posed heap leach op­er­a­tion cur­rently await­ing re­ceipt of com­mer­cial-scale per­mits from the Mex­i­can au­thor­i­ties (see re­lease dated July 26, 2018). Drilling high­lights:

• Hole S118-116 — 93.5 me­tres of 0.65 gram per tonne Au (from sur­face);

• Hole S118-115 — 17.8 m of 0.73 g/t Au;

• Hole S118-114 — 15.5 m of 0.27 g/t Au and 14.9 m of 1.4 g/t Au.

“In ad­di­tion to near-term pro­duc­tion po­ten­tial, a cri­te­ria for all of the projects in the com­pany’s de­vel­op­ment port­fo­lio is that the con­ces­sion ar­eas con­tain sig­nif­i­cant ex­plo­ration up­side. While we have been ag­gres­sively pur­su­ing pro­duc­tion per­mits our ex­plo­ration team has been work­ing in par­al­lel to ex­pand ge­o­log­i­cal mod­els and tar­get high-pri­or­ity ar­eas for re­source ex­pan­sion po­ten­tial,” stated Dar­ren Konin­gen, chief ex­ec­u­tive of­fi­cer of Min­era Alamos. “These very en­cour­ag­ing drill re­sults at the San­tana project are the start of an on­go­ing ex­plo­ration

pro­gram de­signed to demon­strate the sig­nif­i­cant un­tapped value con­tained in our de­vel­op­ment as­sets.” Hole S118-116 was a stepout hole to as­sess the con­ti­nu­ity of the south­west min­er­al­iza­tion in the main Ni­cho zone. The hole re­turned 93.5 m of 0.65 g/t gold start­ing from just be­low the to­po­graphic sur­face. The ap­pli­ca­tion of a typ­i­cal open-pit heap leach cut-off grade of 0.15 g/t re­sults in over 60 m of min­er­al­iza­tion con­tain­ing ap­prox­i­mately one g/t gold (see at­tached ta­ble).

Holes S118-114 and S118-115 were tar­geted to ex­am­ine a satel­lite zone of gold min­er­al­iza­tion lo­cated im­me­di­ately to the north­east of the Ni­cho de­posit and its po­ten­tial con­ti­nu­ity with the main gold sys­tem. Both holes in­ter­sected mul­ti­ple zones of gold min­er­al­iza­tion. The new data are cur­rently be­ing in­ter­preted in the con­text of the up­dated ge­o­log­i­cal model for the de­posit and the area will be the tar­get of fol­low-up ef­forts as part of the phase 2 drill pro­gram.

The phase 1 drilling pro­gram has now con­cluded with the com­ple­tion of ten holes to­talling ap­prox­i­mately 1,500 m. The re­main­ing holes yet to be re­ported in­clude fur­ther test­ing of the south­west ex­ten­sions of the Ni­cho de­posit, in ad­vance of mine plan­ning ac­tiv­i­ties in ad­di­tion to new zones of min­er­al­iza­tion lo­cated north of the main Ni­cho de­posit.

(See MAI Ta­ble 1 on page 18)

As­say re­sults are pend­ing from the re­main­ing seven holes and the re­sults, as well as ad­di­tion ge­o­log­i­cal in­ter­pre­ta­tions will be re­leased as they are re­ceived over the com­ing weeks. All di­a­mond drill sam­ples were col­lected by Min­era Alamos per­son­nel in­clud­ing the com­pany’s ex­plo­ration ge­ol­o­gists. Drill core sam­ples were cut in half and di­vided into one to two m in­ter­vals. One-half of the sam­ple was bagged for anal­y­sis and the re­main­ing half was logged by Min­era Alamos per­son­nel and stored for fu­ture ref­er­ence. Blanks, du­pli­cates and stan­dards were ran­domly in­serted with the sam­ples sent for anal­y­sis as part of the nor­mal qual­ity as­sur­ance/ qual­ity con­trol pro­ce­dures. All sam­ples were pre­pared and an­a­lyzed for gold us­ing fire as­say­ing with AA/gravi­met­ric fin­ish. All sam­ples were sent for sam­ple prepa­ra­tion at the ALSChe­mex fa­cil­ity in Her­mosillo, Mex­ico. Dar­ren Konin­gen, PEng, Min­era Alamos’s chief ex­ec­u­tive of­fi­cer, is the qual­i­fied per­son re­spon­si­ble for the tech­ni­cal con­tent of this press re­lease un­der Na­tional In­stru­ment 43-101. Mr. Konin­gen has su­per­vised the prepa­ra­tion of, and ap­proved the sci­en­tific and tech­ni­cal dis­clo­sures in, this news re­lease.

About Min­era Alamos Inc. Min­era Alamos is an ad­vanced stage ex­plo­ration and de­vel­op­ment com­pany. Its grow­ing port­fo­lio of high-grade Mex­i­can projects in­cludes the La For­tuna open-pit gold project in Du­rango and the Guadalupe de los Reyes gold/sil­ver project in Si­naloa as well as the now com­bined San­tana/Los Verdes gold-cop­per project in Sonora. The com­pany is well fi­nanced to con­duct all of its planned ex­plo­ration and de­vel­op­ment ac­tiv­i­ties and con­tin­ues to pur­sue ad­di­tional project ac­qui­si­tions in Latin Amer­ica.

We seek Safe Har­bor.

Robert Bruce Durham, Dar­ren M Konin­gen, Ch­ester Fer­gu­son Mil­lar, Ruben Padilla, Dou­glas Wil­liam Ramshaw

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