TORONTO, ONTARIO, Mar 7, 2016 (Marketwired via COMTEX) — Palamina Corp. (PA) has completed the processing of ground magnetic data and a surface rock sampling program on its 100%-owned Santuario Project in Hidalgo State, Mexico. Santuario consists of two mining concessions covering approximately 3,200 hectares that were acquired through transfer from Soltoro as part of the June 9th 2015 acquisition of Soltoro by Agnico Eagle Mines Limited. The Project has good infrastructure and is located approximately 75 km northwest of Pachuca, the capital city of Hidalgo, and 130 km north of Mexico City.
Detailed ground magnetic grids were completed over two areas which host different styles of mineralization: The San Clemente gold target and the La Presa polymetallic replacement lead-zinc-silver target. Mineralization at San Clemente consists of epithermal gold mineralization along fractures and in veinlets hosted by a rhyolite porphyry/flow dome complex and is exposed in numerous small historic mine workings. The La Presa target consists of widespread alteration in an area of Cretaceous sedimentary rocks near the contact with the rhyolite porphyry. Ground magnetic surveys covering 42.56 line-km on 25 m-spaced infill lines were completed over both targets to better understand structural controls on mineralization and potential structural offsets.
Detailed ground magnetic data was merged with ground magnetic data collected by Soltoro in 2012 and reprocessed resulting in the identification of several potential targets, the most interesting being a magnetic high located northwest of the historic fluorite mine at La Presa. This magnetic high is thought to represent a buried intermediate intrusion, which may be responsible for the widespread alteration in the area.
Sampling of the San Clemente gold target was intended to better understand the structural controls of the gold mineralization. Twenty-two (22) samples were collected from well-defined structures at various orientations, as opposed to broader sample intervals which often contain more than one structure, with the objective of understanding which structural orientations are mineralized. All but one of the 22 samples contained detectible gold with 12 of the 22 containing greater than 0.50 grams per tonne gold and four samples containing more than 1.00 grams per tonne gold. The highest grade sample returned 4.39 gpt gold. This data is being compiled with historic data in order to assist with drill hole planning.
Sampling in the La Presa polymetallic replacement lead-zinc-silver target was intended to investigate a strong northwest-trending fault system along the contact between Cretaceous sedimentary rocks and the rhyolite porphyry. Fifty-nine (59) chip-channel samples were collected from this zone, which measures more than 100 metres in width. The best interval is anomalous in gold and arsenic averaging 0.029 grams per tonne gold (29 ppb gold) over 10 metre sampled width, with a maximum value of 0.050 grams per tonne gold (50 ppb gold), and 2,323 ppm arsenic with a maximum of 4,060 ppm arsenic. No further work is planned for the La Presa area at this time.
Beginning in the 1980's the Consejo de Recursos Minerales ("CRM"), the equivalent of today's Mexican geological survey, conducted extensive mapping, sampling and geophysics to evaluate the gold potential of the area and, apparently, four core holes were completed. Only partial drilling results for one hole have been published. It is on the basis of the historic mining and the work performed by the CRM that Soltoro originally staked the concessions.
San Clemente hosts numerous small historic gold mines that are thought to date back to the turn of the 19th century. There are also numerous taunas (small devices for crushing rock to liberate free gold) in the area suggesting that local residents have worked the gold deposits on an informal scale in the past. More recently, the San Severiano mine was operated continuously for six years in the 1950's. No production data is available.
The existing taunas and the presence of gold flakes in some stream sediment samples indicate that at least a portion of the gold is present as relatively coarse-grained free gold. Soltoro analyzed all samples from the San Clemente area using a gold screen metallic assay method, specifically intended for samples thought to contain high-grade or coarse-grained gold.
QUALIFIED PERSONS
Mr. Steven T. Priesmeyer, C.P.G., is Vice President Exploration for Palamina Corp. He is a qualified person as defined by NI 43-101 and he has reviewed the geological contents of this press release. Analytical work is performed by ALS-Chemex. Samples are submitted to the ALS sample preparation facility in Guadalajara and pulps are shipped by ALS to their laboratory in Vancouver, B.C. for analysis. Analytical procedures for the La Presa samples include a 33 element ICP-AES analysis (ME-ICP61m) using a four acid digestion and a 30 g FA AA finish for gold (AA-23). Samples from the San Clemente area were analyzed by Au-SCR21, or gold screen metallic assay, specifically intended for samples thought to contain coarse-grained gold.
ABOUT PALAMINA
Palamina was formed following the acquisition of Soltoro Ltd. by Agnico Eagle Mines. Palamina is directed by a group of proven mine finders focused on securing and holding advanced mining assets in the America's. Palamina has 100% interest in three exploration projects in Mexico. Palamina has 14,574,504 shares issued and trades on the TSX Venture Exchange under the symbol PA.
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. This communication to shareholders and the public contains certain forward-looking statements. Actual results may differ materially from those indicated by such statements. All statements, other than statements of historical fact, included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
FOR FURTHER INFORMATION PLEASE CONTACT: Palamina Corp. Andrew Thomson President (416) 204-7536 www.palamina.com
SOURCE: Palamina Corp.
Original Article: http://www.marketwatch.com/story/palamina-reports-geophysical-and-sampling-results-for-the-santuario-project-2016-03-07
