Norsemont Provides Update on Historical Resource and Previous Exploration Work Completed on Choquelimpie
Vancouver, B.C. - TheNewswire - July 30th, 2020 - Norsemont Mining Inc. (CSE: NOM) (CNSX:NOM.CN) (OTC:NRRSF) (FWB: LXZ1) (the "Company") is pleased to provide an update on previous exploration work completed on the Choquelimpie gold-silver project.
The Choquelimpie Project is a past producing, district scale, project covering an area of 5,757 ha. The project is located 185 km east of the city of Arica at an elevation of 4,600 to 4,900 meters in the Arica-Parinacota Region in northern Chile.
There are over 1,700 drill holes totaling more than 123,000 meters of drilling on the project, which have been relied upon to prepare the historic resource estimate in 2017, as discussed below.
Historic Resource Estimate
- The current table of resources is not intended to be declared in a public instrument such as a NI43-101 report.
- Mineral Resources are calculated as of the effective date January 19, 2017.
- Mineral Resources which are not mineral reserves do not have demonstrated economic viability.
- Mineral Resources are reported as based upon a cutoff grade of 0.3 g/t Au equivalent and volumes within a
resource pit based upon a price of US1,300/oz and defined processing costs.
- Mineral Resources are reported by category based upon data spacing, averages of drill holes, level of confidence in the estimations of grades, and traceability of drill hole information.
- The table above is extracted from the AMEC Foster Wheeler report as presented in Spanish in the original report and has been translated herein.
On January 30th, 2017 AMEC Foster Wheeler completed a preliminary resource estimate for the Choque and Espanola pits.
During the late 1980's and early 1990's, a joint venture amongst Royal Dutch Shell Plc, Northgate and Citibank produced approximately 400,000 oz of gold and 2 million ounces of silver. These ores were mined from the upper levels of the Choque pit.
The Choquelimpie project was optioned to Rio Tinto in 2006 until 2008. Rio completed a comprehensive review and analysis of the project to evaluate the potential of a significant porphyry copper-gold target at depth.
The summary results of this historic estimate are set out in the table above. The current resource is not NI 43-101 compliant given that much of the drilling was performed prior to the development of generally accepted best practices standards and procedures. Further, a qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves; and the Company is not treating the historical estimate as current mineral resources or mineral reserves. Additional confirmation drilling, metallurgical study, and modeling will be necessary to achieve a resource estimate which will be compliant with the requirements of NI 43-101. The AMEC Foster Wheeler historic resource estimate applies a cutoff grade of 0.3g Au equivalent per tonne and assumes recoveries and operating costs.
Allan Lamour, CEO of the Company stated "the well-known Choquelimpie gold-silver project in Chile represents one of the most advanced and prospective exploration projects to come to the public market in a long time, positioning Norsemont to enter the big leagues of mining in a friendly jurisdiction. It hosts a historic, non-compliant 4.1mm ounces of gold and 62mm ounces of silver, through the existing 1,700 drill holes. This is a golden opportunity to work on an advanced staged project that has the potential for significant and rapid growth not only on the gold/silver side but also on the copper-gold side with the potential of a significant deep copper-gold porphyry."
Qualified Person Confirmation - The technical information in this news release has been reviewed and approved by Darby I. Fletcher, PhD, CPG, an outside consultant to the Company, who is a Qualified Person as defined by NI 43-101.
On behalf of the Board of Directors,
NORSEMONT MINING INC.
For more information, please contact the Company at:
Telephone: (604) 669-9788; Facsimile: (604) 669-9768
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