Tosca Mining Corp (TSQ-TSX-V;TSMNF-OTCBB;TQ41-FSE) announces that it has entered into a contract with Layne De Mexico SA de CV, to undertake a drill program on its Carol Copper project, Sonora, Mexico. Site preparation is now underway with drilling expected to commence by the end of April.
The initial drill program will consist of 5 to 7 HQ size holes totaling 500-700 metres. The planned drilling will investigate the continuity, extent and morphology of near surface skarn mineralization occurring within a shallowly dipping metasedimentary sequence, as well as possible porphyry-style mineralization The Piedras Verdes porphyry copper deposit, Mexico’s third largest copper producer, is located 4 km SW of the Carol Property.
The drill program is the first ever to be conducted on the property. It will focus on the Balde Sur area where 12 trenches previously excavated at widely separate locations within an area measuring approximately 1000 metres by 500 metres encountered significant Cu-Ag Zn- Au skarn-type mineralization.
Recently Tosca reopened select portions of two of these trenches, BS-06 and BS-08, to validate past results in preparation for a proposed drill program. Continuous chip-channel sampling, conducted at one-metre intervals, has confirmed the presence of significant mineralization in both trenches as shown in the attached table.
| Trench | Width (m) | Average Grade | |||
|---|---|---|---|---|---|
| Cu (%) | Ag (g/t) | Zn (%) | Au (g/t) | ||
| BS – 06 | 8.0 | 1.06 | 22.5 | 11.87 | 0.26 |
| BS – 08 | 11.0 | 0.38 | 22.4 | 0.48 | 0.08 |
| And | 8.0 | 0.48 | 16.5 | 0.62 | 0.07 |
Additionally, two grab samples taken from historic workings located in the immediate vicinity of trench BS-06 (one to the south and one to the north) returned significant high-grade results as shown in the attached table.
| Sample | Width (m) | Average Grade | |||
|---|---|---|---|---|---|
| Cu (%) | Ag (g/t) | Zn (%) | Au (g/t) | ||
| BS – 06 N | Grab | 7.00 | 94.3 | 34.00 | 0.61 |
| BS – 06 S | Grab | 3.70 | 30.3 | 19.00 | 0.67 |
The company also wishes to annouce a non-brokered private placement offering of up to six million units at a price of 6 cents per unit for gross proceeds of up to $360,000. Under the terms of the offering, each unit will consist of one common share in the capital of the company and one non-transferable common share purchase warrant. Each warrant will entitle the holder to purchase one additional share of the company for a period of two years from the date of issue, at a price of 8 cents in year one and 10 cents in year two. Finders’ fees may be payable. The private placement and finders’ fees are subject to regulatory approval.
Proceeds from the placement will be utilized for ongoing work on the Carol copper project located in Sonora, Mexico, and for general working capital.
Ian Foreman, PGeo, is the qualified person, as defined by NI 43-101, for the Carol project and is responsible for the technical information in this news release.
On behalf of the Board of Directors,
“Ron Shenton”
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.
Statements in this press release, other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, may include forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.
