MONTREAL, QUEBEC, Nov 20, 2013 (Marketwired via COMTEX) — Freyja Resources Inc. (“Freyja” or the “Company”) /quotes/zigman/15455944/realtime CA:FRA -25.71% announced today that it has begun the exploration program on its recently acquired Las Cristinas copper/silver project located in Northeastern Chihuahua State, Mexico (the “Las Cristinas Project” or the “Property”). This important milestone comes on the heels of the recently completed acquisition of 100% of the shares of Cyprium Mining Corporation (“Cyprium”) by Freyja on October 23, 2013.
Cyprium owns 51% of Coyame Copper SA de CV (“Coyame Copper”), a Chihuahua, Mexico based mining exploration company and has an option to increase its stake in Coyame Copper to 70% for a consideration of US $1.2 million payable over a period of eighteen months following the exercise of the option. Coyame Copper’s Las Cristinas Project consist of four adjacent exploration concessions (Las Cristinas, La Parita, La Verde and La Lagrimosa) covering 684 hectares. Coyame Copper also owns production assets located outside the town of Coyame, Mexico.
In a 43-101 report on the Las Cristinas property filed on www.sedar.com, Jacques Marchand, Geo Eng recommended the exploration program now underway. This program will take place primarily in the area south of the shaft located on the Las Cristinas concession along the copper hydrothermal system and will focus on the definition of a shallow economical copper body. More specifically, the author of the report recommended: (i) a geological survey covering of the entire Property with an emphasis on the structure and alteration and with detail work in the Las Cristinas area; (ii) completion of core drilling on a 100 meters by 50 meters grid (surface and deep) to structurally outline the mineralized body; and (iii) preliminary metallurgical tests. Although the Property is seven kilometers long the Company will focus on the first 1.0 kilometers from the south of the Property (with a width of 300 meters) where most evidence of mineralization has been identified to date including an outcrop with an elevation of 60 meters, shaft, addits and several old workings.
More specifically, the exploration currently underway focuses on the following priorities:
— Complete mapping and systematic sampling on surface and underground of
the copper oxide ore on the Las Cristinas area in order to better
delineate the Company’s 1.0 km long initial exploration target
— Detailed topography of the Las Cristinas area to support the mapping and
sampling activities, the preparation of environmental permitting
— Preparation of the 1,000 meter drilling campaign
— File two distinct permit applications by December 31, 2013: namely one
to obtain a drilling permit and one to obtain an exploitation and heap
leaching permit
— The drilling campaign will begin immediately following receipt of the
drilling permit, which is expected in early 2014. The drilling campaign
will target the oxide copper ore mineralized section of Las Cristinas as
well as to test the underground sulphide copper ore
— Metallurgic test are currently ongoing to determine the recovery rates
of copper and silver as well as providing indication of costs.
Lixiviation tests are also currently being conducted.
— Following the drilling campaign and subject to drilling results, the
Company intends to build on site a heap leach pad planned for the summer
of 2014 to test and fine tune the heap leach system.
— Investors should note that a feasibility study has not been completed
and there is no certainty that the proposed operation will be
economically viable.
About the Las Cristinas Project
The Las Cristinas Project is located in the Basin and Range Belt of north Mexico, at 150 km northeast of the town of Chihuahua. The Project is in the center of the Chorreras mineralized region, an area that contains numerous concentrations of iron, gold, silver, copper and zinc in epithermal/mesothermal vein deposits and in a skarn deposits. The Las Cristinas Project is easily accessible from Chihuahua and takes roughly two hours by automobile. The project is remote from any habitations. Mine can be operated all year long, there plenty of space for a mining operation and there is water and electricity in the vicinity. There is a train station in Estacion Falomir 30km north of the Project
The Las Cristinas Project includes four (4) adjacent exploration concessions, which cover an area of 683 hectares in northeast Mexico in the east center part of the Chihuahua State. The permits for the concessions are granted under the authority and administrated by the “Secretaria de Economia, Direccion General de Minas, Subdireccion de Mineria”.
The area is known by the presence of the copper hydrothermal veins in the Las Cristinas and El Caballo area. Within the Las Cristinas Project permit area, the copper system is seen spasmodically over 7 km. The mineralization is characterized by copper carbonate (azurite, malachite, crisocole) with patches of iron sulphide (pyrite) and copper sulphide (chalcopyrite, bornite) in centimetric veins within a calcite/barite/hematite veins environment, oriented 130 degrees and dipping 80 degrees southwest, intruding the Jurassic calcareous siltstone.
The city of Chihuahua has a population of approximately 1M people. It is the regional center for all goods and services, including private and international airport, a railroad terminus, communications, hotels, medical facilities, parts and supplies and skilled workers. The city is an important mining center and there are several mining offices. Within 30 kilometers of the project there are several small communities, these communities can provide workers and basic supplies and some lodging.
About Freyja Resources Inc.
Freyja Resources Inc. is a mining exploration company listed on the TSX Venture Exchange under the symbol “FRA”. Freyja Resources’ main operations are conducted through its wholly owned subsidiary Cyprium Mining Corporation (“Cyprium”). Cyprium is a mineral exploration company which targets the acquisition and generation of mining projects located solely in Northern Mexico that have a potential for profitable precious and base metal open pit production. Cyprium is committed to maximizing shareholder value by strategically ensuring efficient and profitable production and focusing on a hybrid exploration/production business model. Cyprium prioritizes projects accessible by well-maintained roads and/or railroad systems. Upon completion of a conclusive exploration campaign, Cyprium’s focus is to rapidly establish an economical production and maximize the project potential by funding further exploration through cash generated by production, thus limiting shareholder dilution. The Company’s main project is the Las Cristinas copper/silver project located in Chihuahua State, Mexico.
The geological information of this release have been verified by Jacques Marchand, P.Eng. P.Geo, and an independent Qualified Person.
This news release contains “forward-looking information” (within the meaning of applicable Canadian securities laws) and “forward -looking statements” (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995). Such statements or information are identified with words such as “anticipate”, “believe”, “expect”, “plan”, “intend”, “potential”, “estimate”, “propose”, “project”, “outlook”, “foresee” or similar words suggesting future outcomes or statements regarding an outlook. Such statements include, among others, those concerning the Company’s anticipated plans for developments of the Company and its mining projects”.
Such forward-looking information or statements are based on a number of risks, uncertainties and assumptions which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. Assumptions have been made regarding, among other things, management’s expectations regarding future growth, plans for and completion of projects by Company’s third party relationships, availability of capital, and the necessity to incur capital and other expenditures. Actual results could differ materially due to a number of factors, including, without limitation, operational risks in the completion of Company’s anticipated projects, delays or changes in plans with respect to the development of Company’s anticipated projects by Company’s third party relationships, risks affecting the ability to develop projects, risks inherent in operating in foreign jurisdictions, the ability to attract key personnel, and the inability to raise additional capital. No assurances can be given that the efforts by Company will be successful. Additional assumptions and risks are set out in detail in the Company’s MD&A, available on SEDAR at www.sedar.com.
Although the Company believes that the expectations reflected in the forward-looking information or statements are reasonable, prospective investors in the Company’s securities should not place undue reliance on forward-looking statements because the Company can provide no assurance that such expectations will prove to be correct. Forward-looking information and statements contained in this news release are as of the date of this news release and the Company assumes no obligation to update or revise this forward-looking information and statements except as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Alain Lambert, Chairman
(514) 219-7988
[email protected]
SOURCE: Freyja Resources Inc.
