THUNDER BAY, Ontario, Oct. 05, 2017 (GLOBE NEWSWIRE) -- Mexican Gold Corp. ("Mexican Gold" or the "Company") (TSX-V:MEX) / (OTCMKTS:SRXLF) / (FRA:4QW1) is pleased to announce that step-out diamond drilling at its Las Minas property, Veracruz State, Mexico, has intersected two intervals of chalcopyrite−bornite−magnetite mineralization in the first hole drilled beyond the current western limit of the El Dorado/Juan Bran zone. Assay results are pending and drilling of the second step-out hole is underway.
Diamond drill hole LM-17-JB-19 was drilled as a step-out hole to test the western extension of the El Dorado/Juan Bran zone. The hole, which was drilled at minus 50 degrees to a depth of 120.95 metres, intersected a 3.0 metre mineralized interval from 89 metres to 91 metres, followed by a further 8.0 metre mineralized interval from 99 to 108 metres. The 3.0 metre interval consists of visible chalcopyrite and magnetite containing up to an estimated 3% chalcopyrite by volume. The 8.0 metre interval is mineralized exoskarn with visible chalcopyrite and bornite within magnetite containing up to an estimated 5% chalcopyrite by volume. All intervals are core lengths measured along the axis of the core and true widths are unknown at this time.
Significantly, the drilling was guided by the recently completed ground magnetic and TDEM (Time Domain Electromagnetic) surveys at the El Dorado/Juan Bran, Cinco Senores and Las Minillas zones. The TDEM survey outlined a conductor in the area of the drill hole and extending further to the west. The TDEM survey also identified several additional conductors at the El Dorado/Juan Bran, Cinco Senores and Las Minillas zones.
Brian Robertson, President and CEO stated, “We are excited by the intersection of mineralization beyond the current western limit of the El Dorado/Juan Bran zone. The intersection not only convincingly expands the scale of the El Dorado/Juan Bran zone westward and beyond the current footprint of the El Dorado/Juan Bran zone, but also validates the results of the TDEM survey, proving it to be an effective geophysical method for identifying mineralized zones at Las Minas. We look forward to more drilling to further expand the El Dorado/Juan Bran zone and test conductors at the Cinco Senores and Las Minillas zones.”
2017 Phase 2 Diamond Drilling Program
The 3,000 metre drill program currently underway is designed to expand the initial mineral resource at the El Dorado/Juan Bran zone and further test for mineralization at the Cinco Senores and Las Minillas zones.
El Dorado/Juan Bran Initial Mineral Resource Estimate
The initial Mineral Resource Estimate for the El Dorado/Juan Bran and Santa Cruz zones estimated that the two zones contain a total Inferred Resource of 719,000 Au Eq ozs contained within 10,304,000 tonnes grading 2.17 g/t Au Eq, a total Indicated Resource of 299,000 Au Eq ozs contained within 4,908,000 tonnes grading 1.89 g/t Au Eq and a total Measured Resource of 5,000 Au Eq ozs contained within 62,000 tonnes grading 2.32 g/t Au Eq for a total Measured and Indicated Resource of 304,000 Au Eq ozs contained within 4,970,000 tonnes grading 1.90 g/t Au Eq (see press release dated August 1, 2017). The zone remains open for expansion on strike and down dip.
Qualified Person
The scientific and technical information in this news release has been reviewed and approved by Sonny Bernales, P. Geo., a registered Professional Geoscientist in the Province of British Columbia and a qualified person for the purposes of NI 43‑101. Mr. Bernales is responsible for logistics and supervision of all exploration activity conducted by Mexican Gold on the property.
About Mexican Gold Corp.
Mexican Gold Corp. is a Canadian based mineral exploration company committed to building long-term value through ongoing discoveries and strategic acquisitions of prospective precious metals deposits in Mexico. Mexican Gold is exploring the Las Minas Project, which is located in the core of the Las Minas district in the Veracruz State, Mexico. The district is host to one of the largest under-explored skarn systems known in Mexico and has a strong production history that dates back to the Aztec era.
For more information, please contact:
Brian Robertson, President & CEO
Phone: 807-474-4270 or 807-251-1816
Fax: 807-474-4272
E-mail: info@mexicangold.ca
Website at www.mexicangold.ca
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about the estimation of mineral resources, magnitude or quality of mineral deposits, anticipated advancement of mineral properties or programs, future operations, results of exploration, prospects, commodity and precious metals prices, future work programs, anticipated financial and operational results, capital expenditures and objectives and the completion and timing of mineral resource estimates. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the degree to which mineral resource estimates are reflective of actual mineral resources and the risks identified in the Company's disclosure documents available at www.sedar.com. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based on the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, 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.
Figure 1: Hole LM-17-JB-19 Location
To view Figure 1, please click on the following link: http://www.globenewswire.com/NewsRoom/AttachmentNg/6595fc33-d3c2-4672-a1b0-824686664dda
Figure 2: El Dorado/Juan Bran Zone Western Extension
To view Figure 2, please click on the following link: http://www.globenewswire.com/NewsRoom/AttachmentNg/89549434-0c68-4fe8-acb7-c7ebde4bad93