VANCOUVER, B.C. Catalyst Copper Corp. (Catalyst) today announced an updated Measured plus Indicated Resource of 408 million tonnes grading 0.41% Cu; 0.03 g/t Au; 2.4 g/t Ag at the La Verde copper porphyry deposit in Michoacán State, Mexico. This resource is estimated to contain 3.7 billion lbs of copper; 446,000 oz of gold; 31.7 million oz of silver (Tables 1 & 2). In addition, Inferred Mineral Resources are estimated at 338 million tonnes grading 0.37% Cu; 0.02 g/t Au; 1.9 g/t Ag and estimated to contain 2.7 billion lbs of copper; 250,000 oz of gold; 21.0 million oz of silver.
Table 1
La Verde Resource
September 19, 2012
Class Tonnes Cu % Au g/t Ag g/t
Measured 57,527,000 0.45 0.046 2.9
Indicated 350,442,000 0.40 0.032 2.3
Total 407,969,000 0.41 0.034 2.4
Inferred 337,838,000 0.37 0.024 1.9
· Please refer to cautionary notes following Table 2.
· Reported at 0.2% Cu cut-off (no gold or silver value added)
The resource has been completed by Tetra Tech Inc. (Tetra Tech). It incorporates all drilling to date and has an effective date of September 19, 2012. The complete NI 43-101 technical report will be filled on SEDAR within 45 days of this news release.
La Verde consists of two proximal deposits referred to as East Hill and West Hill. The deposits are amenable to low-cost open-pit mining methods and are located in an area of excellent infrastructure; rail, power, water and highways all cross the property.
A Preliminary Economic Assessment (PEA) of La Verde incorporating all work to date is currently being prepared by AMC Mining Consultants (Canada) Ltd. and is expected to be completed this month.
Catalyst is very pleased with the updated resources at La Verde. The numbers continue to grow and there is still room for expansion, says Terry Hodson, V.P. Exploration. With this resource update we can now complete our initial economic assessment of La Verde.
Catalyst has now completed more than 30,000 meters of drilling, more than 200 kilometers of geophysics (IP). La Verde property is subject to an option agreement with a Mexican subsidiary of Teck Resources Limited (Teck) whereby Catalysts 100% Mexican subsidiary, Minera Hill 29, may earn a 60% interest in La Verde by making US$10,000,000 in exploration expenditures (including 30,000 meters of drilling and 200 kilometers of IP) by December 31, 2012. Upon Catalyst earning a 60% interest, Teck has the option to increase its interest to 60% by incurring aggregate expenditures equal to two times the amount spent by Catalyst. Should Teck fail to exercise its option to earn a 60% interest, Catalyst can acquire a 100% interest in La Verde by paying to Teck US$20 million. The property is subject to an underlying
0.5% NSR.
The updated resource has been estimated by Mike OBrien, Pr.Sci.Nat.. Mr. OBrien is the Chief Geologist of Tetra Tech and an independent qualified person as defined by NI 43-101. The Mineral Resource estimate was completed using a 3D computer model. The drill hole database consists of 641 drill holes for a total of 114,823.93 meters, 49,597 assays. A composite interval of 3 meters was used and constrained to geological rock types. A single block model (20 x 20 x 15 meters) was created to envelope both mineralized deposits. Block grades were interpolated using ordinary kriging method. The estimate did not employ a high grade copper cap. A density (specific gravity) of 2.70 g/cm3 was used for the deposit (porphyry style mineralization). All QA/QC requirements have been followed including incorporating standards, blanks and duplicates into the assay procedures and independent check analyses by a second laboratory.
T.W. Hodson, P.Geo. has reviewed and approved the technical disclosure contained in this news release. Mr. Hodson is a qualified person as defined by NI 43-101, and is the V.P Exploration of Catalyst.
ON BEHALF OF THE BOARD OF DIRECTORS OF CATALYST COPPER CORP.
“Terence W. Hodson, P.Geo.“
TERENCE HODSON, V.P. EXPLORATION
For further information please contact Corporate Communications Officer: Denby Greenslade (604) 638-5900.
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to, risks associated with mineral exploration and mining activities, the impact of general economic conditions, industry conditions, dependence upon regulatory approvals, and the uncertainty of obtaining additional financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. 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.
Quality Assurance: The Company employs a system of quality control for drill results which includes the use of blanks, certified reference materials (standards) and check assaying. Core is logged on site and split with a diamond saw. Samples are shipped to Acme Analytical Laboratories Ltd. for analysis. All elements with the exception of gold are analyzed by Aqua Regia digestion and ICP-ES analysis. Gold is analyzed by fire assay method.
Table 2
Tetra Tech Resource Model
September 19, 2012
Class Ms+Ind | Cu COG >=0.100 | Tonnes 664,563,000 | Cu% 0.30 | Au g/t 0.03 | Ag g/t 2.0 | Cu lbs 4,439,000,000 | Au ozs 613,000 | Ag ozs 42,000,000 |
>=0.200 | 407,969,000 | 0.41 | 0.03 | 2.4 | 3,661,000,000 | 446,000 | 32,000,000 | |
>=0.300 | 266,379,000 | 0.50 | 0.04 | 2.7 | 2,907,000,000 | 326,000 | 24,000,000 | |
Inferred | >=0.100 | 765,040,000 | 0.24 | 0.02 | 1.4 | 3,997,000,000 | 464,000 | 34,000,000 |
>=0.200 | 337,838,000 | 0.37 | 0.02 | 1.9 | 2,748,000,000 | 256,000 | 21,000,000 | |
>=0.300 | 187,983,000 | 0.47 | 0.03 | 2.4 | 1,956,000,000 | 153,000 | 14,000,000 |
Tetra Tech Resource Model
January 19, 2012
Class Ms+Ind | Cu COG >=0.100 | Tonnes 552,447,000 | Cu% 0.31 | Au g/t 0.0374 | Ag g/t 2.0 | Cu lbs 3,798,000,000 | Au ozs 651,000 | Ag ozs 35,000,000 |
>=0.200 | 354,077,000 | 0.42 | 0.043 | 2.3 | 3,173,000,000 | 486,000 | 26,000,000 | |
>=0.300 | 216,275,000 | 0.51 | 0.0485 | 2.6 | 2,442,000,000 | 333,000 | 18,000,000 | |
Inferred | >=0.100 | 376,709,000 | 0.27 | 0.040 | 1.6 | 2,210,000,000 | 484,000 | 20,000,000 |
>=0.200 | 181,739,000 | 0.40 | 0.062 | 2.3 | 1,618,000,000 | 362,000 | 13,000,000 | |
>=0.300 | 99,439,000 | 0.54 | 0.0869 | 2.9 | 1,185,000,000 | 273,000 | 9,000,000 |
Notes: | 1. It cannot be assumed that all or any part of an Inferred Mineral Resource will be upgraded to an Indicated or Measured Resource as a result of continued exploration. |
2. Mineral Resources are not Mineral Reserves as there is insufficient studies to demonstrate economic viability. | |
3. The Mineral Resource is an in situ total without constraints to an economic pit. | |
Ms = | Measured Resources | Cu% = | copper percent | Cu lbs = | copper pounds |
Ind = | Indicated Resources | Au g/t = | gold grams per tonne | Au oz = | gold ounces |
Inf = | Inferred Resources | Ag g/t = | silver grams per tonne | Ag oz = | silver ounces |
Cu COG = | Copper cut–off grade | grams to troy oz = | grams/31.103 |
