- Outcropping epithermal gold targets with potential for each bulk mineable and bonanza-grade vein deposits
- 4,000 metres (“m”) by 1,000 m gold in soil anomaly coincident with gold-bearing, silica-rich breccia outcrops
- Further gold (“Au”) targets recognized beneath post-mineral cowl by 2020 geochemical survey
- Historic reverse circulation and core drilling by Newmont in 2014 that confirmed the presence of gold
- In 2019, a 70 line-kilometre IP survey recognized vertical, feeder vein targets that aren’t but drill examined
- 9 drill holes presently deliberate with permits established for as much as 25 drill holes
- Mineral concessions cowl ~1,750 hectares (“ha”; 4,324 acres)
- Mineral concessions cowl personal ranch lands
- Situated in Durango, a mining pleasant state in north-central México
- Good entry to the undertaking space, ~80 kilometres (“km”; 50 miles) west-northwest of town of Torreón
- Native infrastructure out there within the close by city of Mapimí
David Tupper , Southern Empire’s Vice President of Exploration, said: “Having been concerned within the Pedro Gold Venture discovery, I’m very excited to get a second probability to work with Commander’s Rob Cameron and to return to the mineral-endowed Mapim í space to check targets I needed to go away behind. Newmont’s 2014 drill program focused Carlin-style mineralization within the Caracol Formation and didn’t check the potential for epithermal, bonanza-grade gold and silver mineralization, particularly within the well-defined zones of silicification and brecciation.”
Geology and Exploration Historical past of the Pedro Gold Venture Space
The Pedro Gold Venture covers potential geology together with the HP Breccia, an epithermal gold system found in 2012 by regional grass roots prospecting that was immediately supervised by David Tupper , P.Geo., now Southern Empire’s Vice President of Exploration.
The HP Breccia happens all through a 4,000 m by 1,000 m space outlined at floor by a mixed gold (>10 ppb) and arsenic (> 100 ppm) soil anomaly coincident with in depth outcrops of Au-bearing, hematite-stained, silica-rich hydrothermal breccias hosted by conglomerates of the Tertiary-age Ahuichila Formation (sandstone, tuffaceous sandstone and conglomerate). Chosen floor seize samples from distinguished silica-rich ridges (that includes angular chalcedony fragments and silicified sedimentary rocks inside an angular, coarse breccia) returned as much as 2.26 grams gold/tonne (“g Au/t”). Parts of the soil anomaly are underlain by older carbonate rocks of the Aurora and Cuesta Del Cura Formations the place partially outlined soil geochemical anomalies point out potential for extra gold zones.
A drill program comprising 11 principally vertical drill holes totalling 1,744 m (5,722 ft), of which two holes ( 409 m ) have been cored and the remaining drilled by reverse circulation (“RC”), was accomplished in 2014 by Newmont de Mexico , S.A. de C.V (“Newmont”), an entirely owned subsidiary of Newmont Mining Company. This drill program was particularly designed to check for Carlin-style gold mineralization related to the Caracol Formation (interbedded to interlaminated sandstone, shale, siltstone and minor limestone), which underlies the Ahuichila Formation conglomerates and didn’t goal the outcropping epithermal breccias. Newmont’s drilling did, nevertheless, encounter gold inside epithermal breccias together with in gap LP-013-R which returned 10.5 metres grading 0.51 g Au/t from oxidized, silicified conglomerate of the Ahuichila formation.
Newmont’s 2014 drill outcomes (see Desk 1; supply: Bearing Lithium Corp. Information Launch, July 3, 2014 ) mirror the outcomes from floor sampling and present that gold is generally related to the Ahuichila Formation basal conglomerate with no Au values detected inside Newmont’s major drill goal, the underlying Caracol Formation. No supply or feeder construction for the Ahuichila conglomerate stratabound gold has been recognized by drilling and such programs can be focused by future Southern Empire drill applications.
Desk 1: Important Historic Newmont Drill Gap Intersections
(supply: Bearing Lithium Corp. Information Launch, July 3, 2014 – Suffix R- reverse circulation, D- core)
Drill Gap | From (m) | To (m) | Size (m) | Au (g Au/t) |
LP-007-R | 4.5 | 16.5 | 12.00 | 0.23 |
LP-008-R | 33.0 | 37.5 | 4.50 | 0.35 |
LP-010-R | 31.5 | 37.5 | 6.00 | 0.21 |
LP-011-D | 4.0 | 9.6 | 5.55 | 0.59 |
LP-013-R | 51.0 | 61.5 | 10.50 | 0.51 |
LP-017-R | 144.0 | 201.0 | 57.00 | 0.07 |
Newmont additionally accomplished a wide-spaced Managed-source Audio-frequency Magnetotellurics (“CSAMT”) ground-based geophysical survey over the HP Breccia space. CSAMT is a geophysical system able to estimating bedrock resistivity at depth and which may doubtlessly detect silicified constructions or horizons.
In late 2019, Commander adopted up on the CSAMT survey with a 70 line-kilometre Induced Polarization (“IP”) survey outlining targets, which present elevated resistivity with low to average chargeability, that correlate with recognized, surface-exposed Au zones discovered alongside the basal contact of the Ahuichila Formation conglomerate. The IP additionally outlined different zones having a distinguished, deep vertical expression reflecting potential constructions which are interpreted to be feeder veins to the floor Au zones. See Figures 1 and a couple of beneath. The IP survey additionally outlined targets beneath post-mineral cowl, suggesting a a lot bigger footprint to the recognized Au mineralized system.
Location, Entry and Infrastructure
The Pedro Gold Venture mineral concessions cowl personal lands and consequently keep away from points with Ejido’s (communal agricultural lands). The Pedro property is within the Municipality of Mapimí within the Mexican state of Durango , roughly 80 km (50 miles) west-northwest of town of Torreón (metropolitan space inhabitants ~1,500,000).
Entry to the Pedro Gold Venture is by paved Mexican Federal Freeway 30 and secondary gravel roads ~30 km (18.6 miles) west of the city of Mapimí. Given the arid native local weather and minimal annual rainfall, these gravel roads stay in good situation year-round.
Mapimí (inhabitants ~5,700) can present all vital primary infrastructure together with electrical energy, water, housing, workplace and safe core storage amenities and web communications. The city, initially named Santiago de Mapimí, was based on July 25, 1598 by Agustin de Espinoza , a Jesuit priest, and Captain Antón de Zapata, a soldier. The historic La Ojuela high-grade silver mine is positioned simply southeast of Mapimí and, in 1887 was the primary working mine of Compañía Minera de Peñoles , now Industrias Peñoles, S.A.B. de C.V., one of many largest Mexican mining corporations.
Materials Phrases of Southern Empire’s Choice to Purchase the Pedro Gold Venture
Pursuant to the Settlement, Southern Empire could, at its election and over a 3-year interval, purchase a 100% helpful curiosity in Minera BRG, S.A. de C.V., the Mexican subsidiary of Commander that owns a 100% curiosity in mineral tenements, by:
(a) | paying CAD $25,000 and issuing 100,000 widespread shares to Commander on the Completion Date; | |
(b) | on or earlier than the primary anniversary of the Completion Date, both paying to Commander an extra CAD $125,000 or issuing to Commander such variety of Shares of Southern Empire having a worth CAD $125,000; | |
(c) | on or earlier than the second anniversary of the Completion Date, both paying to Commander an extra CAD $250,000 or issuing to Commander such variety of Shares of Southern Empire having a worth CAD $250,000; | |
(d) | on or earlier than the third anniversary of the Completion Date, both paying to Commander an extra CAD $300,000 or issuing to Commander such variety of Shares of Southern Empire having a worth CAD $300,000; and | |
(e) | incurring Exploration Expenditures totalling CAD $1,500,000 as follows: | |
(i) | CAD $400,000 by the primary anniversary of the Completion Date; and | |
(ii) | incurring an extra CAD $1,100,000 by the third anniversary of the Completion Date | |
Commander will retain a 2% Web Smelter Return Royalty curiosity on future manufacturing from the Pedro Gold Venture.
The obligations of Southern Empire pursuant to the Settlement are topic to:
(a) | acceptance by the TSX Enterprise Alternate of any and all filings required to be made in respect of the Settlement and/or the subject material; and, |
(b) | a passable title opinion on the mineral concessions together with the identification of any encumbrances, reclamation prices and environmental liabilities. |
Southern Empire will give discover to Commander of its intention to proceed on the date that it satisfies the foregoing circumstances precedent (the “Completion Date”).
Certified Individual
The scientific and technical info contained on this information launch has been ready, reviewed and accepted by David Tupper , P.Geo. ( British Columbia ), Southern Empire’s VP Exploration and a Certified Individual (“QP”) inside the context of Canadian Securities Directors’ Nationwide Instrument 43-101; Requirements of Disclosure for Mineral Tasks (NI 43-101).
About Southern Empire Assets Corp .
Southern Empire is concentrated on the acquisition, exploration and growth of metals and minerals deposits in North America .
Within the Cargo Muchacho mountains of Imperial County, California , Southern Empire owns 100 per cent of the historic gold-producing American Lady mine property and holds choices to amass a 100-per-cent curiosity within the adjoining 2,160-hectare (5,338-acre) Oro Cruz property positioned roughly 22.5 kilometres (14 miles) southeast of the working Mesquite gold mine of Equinox Gold Corp.
At Oro Cruz, in depth historic drilling and large-scale open-pit and underground mining of the American Lady, Padre y Madre, Queen and Cross oxide gold deposits by the American Lady Mining Joint Enterprise (AGMJV; finally owned 53 per cent by MK Gold Firm and 47 per cent by Hecla Mining Firm) occurred between 1987 and 1996. Throughout that point, gold was recovered by both heap leaching of lower-grade, or milling of higher-grade ores till AGMJV operations ceased in late 1996 due to declining gold costs leaving the Oro Cruz property with many gold exploration targets along with the historic inferred useful resource estimate, reported In 2011 by Lincoln Mining Corp., totalling 341,800 ounces gold based mostly on 4,386,000 tonnes averaging 2.2 grams gold per tonne at a cut-off grade of 0.68 g/t Au (4,835,000 tons at 0.07 ounce gold per ton; Please consult with the Cautionary Discover Concerning the Oro Cruz Property Historic Useful resource Estimate beneath).
On behalf of the Board of Administrators of Southern Empire Assets Corp.,
Dale Wallster , CEO and Director
Cautionary Discover on Ahead-Trying Data
Data offered on this information launch could include forward-looking info or forward-looking statements which are based mostly on assumptions as of the date of this information launch. Such info or statements mirror administration’s present estimates, beliefs, intentions and expectations and aren’t ensures of future efficiency. Southern Empire cautions that each one forward-looking statements are inherently unsure and that precise efficiency could also be affected by plenty of materials elements, lots of that are past its respective management. Such elements embrace, amongst different issues: dangers and uncertainties referring to Southern Empire restricted working historical past, the necessity to adjust to environmental and governmental laws, outcomes of exploration applications on its initiatives and people dangers and uncertainties recognized in its annual and interim monetary statements and administration dialogue and evaluation. Accordingly, precise and future occasions, circumstances and outcomes could differ materially from the estimates, beliefs, intentions and expectations expressed or implied within the forward-looking info. Besides as required beneath relevant securities laws, Southern Empire undertakes no obligation to publicly replace or revise forward-looking info
Cautionary Discover Concerning Historic Useful resource Estimate
The historic useful resource estimate outlined above is disclosed in a technical report dated April 29, 2011 , ready for Lincoln Mining Corp. by Tetra Tech, Inc. and filed on Canadian Securities Directors’ System for Digital Doc Evaluation and Retrieval (SEDAR). It’s termed an inferred mineral useful resource, which is a class set out in NI 43-101. It was based mostly on historic reverse circulation and core drill gap pattern, underground channel pattern, and blasthole pattern assay outcomes and calculated utilizing unusual kriging to estimate gold grades in 10-foot-by-10-foot-by-five-foot blocks. Accordingly, Southern Empire considers this historic estimate dependable in addition to related because it represents key targets for future exploration work. Nonetheless, a QP has not finished ample work to confirm or classify the historic estimate as a present mineral useful resource and Southern Empire will not be treating this historic estimate as present mineral assets.
Neither the TSX Enterprise Alternate nor its Regulation Companies Supplier (as that time period is outlined within the insurance policies of the Alternate) accepts duty for the adequacy or accuracy of this launch.
SOURCE Southern Empire Assets Corp.
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