ExGen announces deep sulphide mineralization at Empire
NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR FOR DISTRIBUTION IN THE UNITED STATES
VANCOUVER, British Columbia, July 16, 2021 (GLOBE NEWSWIRE) – ExGen Resources Inc. (TSX.V: EXG; OTC: BXXRF) (“ExGen”, the “Company”) is pleased to provide an update regarding the exploration and development activities of Phoenix Copper Ltd. (“Phoenix”) at the Empire mining project in Idaho, United States. Further to previous ExGen press releases, ExGen owns 20% and Phoenix owns 80% of Konnex Resources, Inc. (“Konnex”), which holds the leases and concessions for the Empire mining project. ExGen also owns a 2.5% NSR royalty on the Empire mining project and owns 1,330,000 common shares of Phoenix.
ExGen is pleased to announce that Phoenix, (the operator of the Empire mining project), has intercepted sulphide-rich mineralization beneath the Empire copper oxide open pit deposit as part of the Deep Sulphide core drilling program. The Empire mine historically operated until the early 1940s at overhead grades of up to 8% copper.
- First completed drill hole of the 2021 4,500 meter deep sulphide drilling program, expected to consist of approximately 20 holes
- Drill hole KXD21-02 intersected 12.6 meters of sulphide-rich mineralization under the Empire copper oxide open pit deposit
- Concentrations of up to 25% sulphide minerals at a depth of 173 meters by 7.9 meters
- Increased concentrations of up to 75% of sulphide minerals at a depth of 181 meters by 4.7 meters
- Mineralization includes copper-containing sulphide mineralization including chalcopyrite, chalcocite and bornite, as well as other metallic sulphides, including visually identified galena, silver galena, sphalerite and molybdenite.
- Additional drilling is required to define the actual thickness
- Drill interception located below and to the east of the historic 1100 level underground works
- Samples being registered and prepared for shipment to ALS Laboratories, Nevada, USA.
Phoenix reports that its geologists visually identified a mixture of sulphides including, but not limited to, chalcopyrite, chalcocite, galena, silver galena, bornite, sphalerite and molybdenite in the hole number KXD21-02 at concentrations up to 25% sulphide minerals. 173 meters deep by 7.9 meters. The mineralization then becomes more intense at 181 meters over an interval of 4.7 meters and increases to about 75% total sulphides. This 12.6 meter intersection is just below and east of the historic 1100 level underground work. The actual thickness of the interception was not defined by the borehole alone, but will become more so. with additional drilling.
Hole KXD21-01, the first hole in the 2021 Deep Sulphide program, has encountered underground work at approximately 68 meters and will be completed in due course when the required equipment arrives. Photos of the core can be viewed on the Phoenix website at: https://phoenixcopperlimited.com/photo-gallery
Table 1: Drill hole details
|UTM E||UTM N|
|KXD21-01||330||-60||68||12 T 285 167.57m East||4862 983.54 m N|
|KXD21-02||330||-70||186||12 T 285 167.57m East||4862 983.54 m N|
Jason Riley, CEO of ExGen commented: “We look forward to assay results for this deep sulphide hole and subsequent drilling as Phoenix progresses with its exploration program through the end of the year. The exceptional results of the first hole suggest potentially high copper grades, as well as the presence of gold, silver, zinc, lead and possibly molybdenum by-products. This reinforces our geological model that the deeper levels of Empire mineralization could represent a major system, which we are just beginning to assess and understand. “
The reader is cautioned that visible sulphide mineralization does not necessarily equate to significant concentrations of copper, gold, silver, zinc, lead or any other molybdenum by-product and there is no guarantee that the results will be Analysis of samples from this borehole will yield significant metal grades.
Kieran Downes, Ph.D., P. Geo., A Qualified Person as defined by National Instrument 43-101, has reviewed and verified the technical information provided in this press release.
ABOUT EXGEN RESOURCES INC.
ExGen, formerly Boxxer Gold Corp, is a project accelerator that seeks to fund the exploration and development of our projects through joint ventures and partnership agreements. This approach significantly reduces technical and financial risks to ExGen, while maintaining upside exposure to new discoveries and potential cash flows. The company intends to build a diverse portfolio of projects across exploration stages and various product groups. ExGen currently has 5 projects in Canada and the United States.
For more information on ExGen, please contact ExGen Resources Inc.
Neither the 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.
Forward-looking information: This press release contains certain forward-looking information. All statements included in this document, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. In particular, this press release contains forward-looking information regarding: observations made on drill core from the diamond drilling program on the Empire mining project; continued exploration and development of the Empire mining project; the exploration and development strategy of the Empire mining project, including the exploration program, drilling, mining development and permits. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. There can be no assurance that development of the Empire mining project will be completed and, if development is completed, that such development will result in a producing mine. In the forward-looking information contained in this press release, ExGen has made numerous assumptions, based on practices and methodologies that are consistent with the mineral industry. In addition, ExGen assumed: continued market acceptance of its JV partnership model; the ability of ExGen and its partners to raise future equity funding, if necessary, at prices acceptable to ExGen or its partners; ExGen’s current and initial understanding and analysis of the Empire mining project; the ability of ExGen or third parties to discover viable exploration targets and exploration results on the Empire mining project; Phoenix’s ability to explore and develop the Empire mine project; exploration costs, including sampling, drilling and assays, on the Empire mine project, development costs of the Empire mine project and the costs and ability of Phoenix to produce a feasibility study in accordance with Regulation 43 -101; and ExGen’s general and administrative costs remain sustainable. Although ExGen considers these assumptions to be reasonable, these assumptions are inherently subject to significant uncertainties and contingencies. In addition, there are known and unknown risk factors that could cause ExGen’s observations, actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by the companies. forward-looking information contained herein. Known risk factors include, but are not limited to: the possibility that analytical results of core sampling do not return significant levels of copper, gold, silver, zinc, lead or any other molybdenum by-product; uncertainties related to the interpretation of drilling results and geology; continuity and grade of mineralization; there is no certainty that current work programs will result in significant or successful exploration of the Empire Mining Project or the development of the Empire Mining Project into a producing mine; uncertainty as to the actual results of exploration and development or exploitation activities; uncertainty about the availability and terms of future funding; uncertainty about the timely availability of permits and other government approvals; ExGen may not be able to comply with its outstanding obligations regarding its properties; the initial development of ExGen and its projects, and in particular, the Empire mine project; general business, economic, competitive, political and social uncertainties; capital market conditions and market prices for securities, junior market securities and mining exploration company securities; the prices of raw materials, in particular the prices of copper, gold, silver and zinc; competition; changes in project parameters as plans continue to be refined; accidents and other risks inherent in the mining industry; lack of self-confidence; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting ExGen; conclusions of economic evaluations; and the lack of skilled and skilled labor or the loss of key individuals. A description of the additional assumptions and risk factors used to develop such forward-looking information that may cause actual results to differ materially from forward-looking information can be found in ExGen’s disclosure documents on the SEDAR website at www.sedar.com. Although ExGen has attempted to identify important factors which could cause actual results to differ materially from those contained in forward-looking information, other factors may cause results not to be as anticipated, estimated or planned. Therefore, readers should not place undue reliance on forward-looking information. ExGen does not undertake to update forward-looking information except in accordance with applicable securities laws.