VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 23, 2013) - NGEx Resources Inc. (TSX:NGQ) ("NGEx" or the "Company") is pleased to announce assay results from six new holes and four extensions of previous drill holes from the Los Helados deposit. The 2012/2013 drill program was completed on March 28, 2013. A total of 32,707 metres was drilled during the season, with 25 new holes completed and 7 existing holes deepened. Results from the initial ten holes were released on January 31, 2013. Assays from the next ten holes are disclosed today and assays are pending for the remaining twelve drill holes. The holes included here are a combination of infill holes (Inferred to Indicated Resource conversion) and step-out holes (expansion of Inferred Resource). Please see attached maps: http://media3.marketwire.com/docs/NGQ0423.pdf
Highlights from the results reported today include: LHDH21 (extension of previously reported hole) with 1,286 metres of 0.58% CuEq (0.46% copper, 0.18 g/t gold) including 304 metres of 0.77% CuEq (0.63% copper, 0.20 g/t gold) and; LHDH55 with 886 metres of 0.68% CuEq (0.55% Cu, 0.19 g/t gold) including 304 metres of 1.06% CuEq (0.86% copper; 0.29 g/t gold).
Wojtek Wodzicki, President and CEO of the Company, commented, "This season's drill program included a combination of infill holes designed to convert the existing Inferred Resources to Indicated and step out drilling designed to test areas outside the existing resource boundary. The infill drilling increased the drill hole density in areas currently classified as Inferred, and has helped to confirm the geological model and grade distribution. Step out drilling was successful in intersecting mineralization beyond the current resource boundary. Drilling from this season's program will contribute to the resource update expected to be completed in the third quarter. The mineralization remains open to the north and at depth."
Intersections from the 10 holes released today are given below.
|Cu %||Au g/t||CuEq*|
|LHDH57||No Significant Values |
|LHDH64||No Significant Values |
|* Drillholes were typically composited based on a 0.3% CuEq cutoff. CuEq - Copper Equivalent calculated using US$3.00/lb copper and US$1,400/oz gold, with no provision for metallurgical recoveries. Los Helados is a porphyry deposit, characterized by a large volume of relatively homogeneous mineralization and drilled lengths are interpreted to be representative of the true width of the mineralized zone. |
LHDH14 was stopped in moderate-grade mineralization in the northeastern part of the deposit at a depth of 714 metres during the 2010/2011 drill program due to drill rig capacity. It was extended to 1,385 metres during the current program in order to test the breccia at depth. The hole encountered moderate grade in the breccia and ended in a lower grade late dyke.
LHDH21 was stopped in high-grade mineralization in the central part of the deposit at a depth of 750 metres during the 2010/2011 drill program due to drill rig capacity. It was deepened to 1,507 metres and is currently the deepest hole drilled into the deposit. It was successful in extending the mineralization to depth, ending in weakly mineralized breccia.
LHDH37 was drilled to a depth of 828 metres in the 2011/2012 season, and was deepened to 1,207 metres in order to test for an extension to the high-grade mineralization in the bottom of LHDH34. The hole was stopped due to technical problems in high-grade breccia with similarities to the high-grade breccia in LHDH34. The last 17 metres of the hole averaged 0.52% copper.
LHDH46 was drilled to a depth of 768 metres at the end of the 2011/2012 season when it was suspended due to the onset of winter. It was completed to a depth of 1,247 metres during the current program. It is on the same section as LHDH34, 200 metres to the east. This hole continued in well-mineralized granite to 905 metres and then crossed into and ended in mineralized breccia.
LHDH55 was drilled across the main breccia body from north towards the south, parallel to and 214 metres to the east of LHDH50. The purpose of this hole was to evaluate the possibility of a directional bias in the assay information, since almost all the holes to date have been drilled on east-west sections. This hole demonstrates the high-grade nature of the core of the deposit and is consistent with the east-west holes indicating no bias due to drill hole direction.
LHDH56 was drilled to a depth of 1,181 metres on line 4800N to test the southern extension of the high-grade mineralization intersected in LHDH28. This hole continued in altered and mineralized granite to a depth of 862 metres where it crossed into mineralized breccia to the end of the hole.
LHDH57 was drilled towards the south from the southern edge of the known deposit in order to explore beneath the intensely altered southern slope of the Los Helados basin. The hole was drilled to a depth of 798 metres and ended in weakly mineralized granite.
LHDH58 was drilled to a depth of 1,326 metres on line 4600N to extend the mineralization encountered in holes LHDH34 and LHDH46 by 100m to the south. The hole cored altered and mineralized granite to a depth of 997 metres where it crossed into weakly mineralized breccia to the end of hole.
LHDH64 was drilled on line 5100N to the west of the deposit area in order to explore the high IP chargeability anomaly in this area. The hole encountered altered and pyritic granite peripheral to the Los Helados deposit, explaining the IP anomaly but yielding no significant values.
Collar coordinates and drill hole orientations for the holes in this news release are shown below:
Update on other Projects
During the 2012/2013 field season the Company also drilled the Josemaria Project located approximately 12 kilometers to the southeast of Los Helados completing a total of 8,242 meters in 18 diamond drill holes. Drilling at Josemaria focused on extending the current resource to the north. Initial results released on March 25, 2013 extended a previously intersected zone of supergene enriched high grade mineralization approximately 100 metres to the north. The results of the remaining drill holes are pending. In addition, the Company completed four drill holes totaling 829 meters at the Filo del Sol Project. Results from Filo del Sol are pending. The objective of the Filo del Sol program was to extend a zone of high grade copper and silver mineralization identified in previous drilling. The Filo del Sol program was curtailed after 5 holes due to poor ground conditions preventing drill holes from being completed to the target depths. Alternate drilling methods will be evaluated over the winter prior to a more extensive drill program planned for next season.
NGEX is a Canadian mineral exploration company with exploration projects in Chile, Argentina, and Canada. The Company's shares are listed on the Toronto Stock Exchange under the symbol "NGQ". The Company's focus is on advancing its Vicuña Project which includes several large copper-gold systems including the Josemaria, Los Helados, and Filo del Sol projects, located on a contiguous land package that the Company holds in Chile's Region III and adjacent San Juan Province, Argentina. Los Helados and Filo del Sol are part of a joint venture in which the Company holds 60% and Pan Pacific Copper Corporation holds 40%. Josemaria is part of a joint venture in which the Company holds 60% and Japan Oil, Gas, and Metals National Corporation (JOGMEC) owns 40%. In addition to the Vicuña Project the Company holds an extensive portfolio of 100% owned early stage exploration projects located in Chile and Argentina. It also owns a 100% interest in the GJ copper and gold project located in British Columbia Canada. The GJ project is optioned to Teck Resources who are earning up to a 75% interest.
On behalf of the board
Wojtek Wodzicki, President and CEO
Qualified Person and Assay Methods
The drill core was logged, sawed, and half cores were sampled in their entirety in two meter intervals at the Company's core processing facility located in Copiapß╜╣, Chile. Samples were shipped to Acme Analytical Laboratories sample preparation facility also in Copiapß╜╣, and pulps were forwarded to the Acme lab in Santiago, Chile. Samples were crushed, split and 500g was pulverized to 85% passing 200 mesh. Gold analyses were by fire assay fusion with AAS finish on a 30g sample. Copper was analyzed by AAS using a 4 acid digestion and samples were also analyzed for a suite of 36 elements with ICP-ES. Copper and gold standards as well as blanks and duplicates (field, preparation and analysis) were randomly inserted into the sampling sequence for Quality Control. On average, 9% of the submitted samples correspond to Quality Control samples.
Mr. Bob Carmichael, B.A.Sc, P.Eng., is the Qualified Person as defined by National Instrument 43-101. Mr. Carmichael is Vice President, Exploration for the Company and has reviewed and approved the technical information contained in this news release. The Quality Control/Quality Assurance (QA/QC) program on Los Helados Project is under the management of Diego Charchaflie MSc., P.Geo (BC), a Qualified Person pursuant to NI 43-101.
Cautionary Note Regarding Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation, concerning the business, operations and financial performance and condition of NGEx Resources Inc. Forward-looking statements include, but are not limited to, statements with respect to the estimation of commodity prices, mineral reserves and resources, the realization of mineral reserve estimates, capital expenditures, costs and timing of the development of new deposits, the success of exploration activities, permitting time lines, currency exchange rate fluctuations, requirements for additional capital, government regulation of mining activities, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative connotations thereof. All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date such statements are made and are subject to important risk factors and uncertainties, many of which are beyond the Company's ability to control or predict.
Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks and uncertainties relating to, among other things, changes in commodity prices, currency fluctuation, financing, unanticipated reserve and resource grades, infrastructure, results of exploration activities, cost overruns, availability of materials and equipment, timeliness of government approvals, taxation, political risk and related economic risk and unanticipated environmental impact on operations as well as other risks and uncertainties described under "Risks Factors" in the Company's Annual Information Form available under the Company's profile at www.sedar.com and the Company's website.
Although the Company has attempted to identify important factors that would cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated, or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. All of the forward-looking statements contained in this document are qualified by these cautionary statements. Readers should not place undue reliance on forward-looking statements. Forward-looking statements are provided for the purpose of providing information about management's current expectations and plans and allowing investors and other to get a better understanding of the Company's operating environment. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, events or otherwise, except in accordance with applicable securities laws.
NGEx Resources Inc.
(604) 689-4250 (FAX)