Further Positive Results from Channel Sampling at Itogon Gold Project

ECR MINERALS plc
(“ECR Minerals”, “ECR” or the “Company”)

 

AIM: ECR

US OTC: MTGDY

 

 

 

LONDON: 1 SEPTEMBER 2014 - ECR Minerals plc is pleased to announce further positive assay results from surface and underground channel sampling at the Itogon epithermal gold project in the Philippines.  

 

HIGHLIGHTS

 

* Assay results from third phase of channel sampling by ECR at Itogon project include, at surface, 18m averaging 2.78g/t gold and 34m averaging 0.71g/t gold

 

* Results continue to demonstrate gold mineralisation at surface outside the zones tested by previous drilling; please see accompanying maps

 

* Promising results from channel sampling in underground workings; 44m averaging 0.30g/t gold in one adit and grades of up to 7.38g/t over 1m in another

 

* Drilling expected to recommence at Itogon project during Q4 2014

 

Stephen Clayson, Chief Executive Officer of ECR, commented:

 

“We are pleased to be reporting another round of positive channel sampling results from Itogon.  Channel sampling continues at the project, and is focused on obtaining further information as to the extension of mineralisation at surface to the south, south-east, south-west and east in the central to southern sections of the main prospect area, outside the extent of previous drilling by ECR and historical drilling, and on helping to refine ECR’s overall geological interpretation of the main prospect area.   

 

The data being generated by the current work is very valuable and is being used to inform detailed planning of the next phase of drilling.  We anticipate that drilling will recommence at Itogon during Q4 2014, once a suitable drill rig becomes available from our contractors.”

 

 

 

Table 1:  Phase 3 Channel Sampling

Itogon Gold Project, Philippines

Channel Lengths and Average Grades

Mapping Point

From

m

To

m

Length

m

Average Grade

g/t Au

Surface channel samples

MP-37

0

16

16

0.32

MP-38

0

0.5

0.5

9.86

MP-39

0

0.5

0.5

3.29

MP-40

0

0.5

0.5

7.26

 

 

 

 

 

MP-41

0

18

18

2.78

inc.

0

2

2

2.69

inc.

8

10

2

9.08

inc.

10

12

2

1.85

inc.

12

14

2

6.52

inc.

16

18

2

2.43

 

 

 

 

 

MP-42

0

10

10

0.54

MP-43

0

6

6

0.47

 

 

 

 

 

MP-44

0

8

8

0.71

inc.

4

6

2

1.44

 

 

 

 

 

MP-45

0

6

6

0.96

inc.

0

2

2

1.30

inc.

2

4

2

1.27

 

 

 

 

 

MP-46

0

34

34

0.71

inc.

12

14

2

2.26

inc.

26

28

2

1.41

 

 

 

 

 

MP-47

0

4

4

2.03

inc.

0

2

2

3.50

 

 

 

 

 

MP-48

0

3.5

3.5

1.84

inc.

0

1.75

1.75

1.40

inc.

1.75

3.5

1.75

2.28

 

 

 

 

 

MP-49

0

1

1

0.32

 

 

 

 

 

Underground channel samples

Julio’s Adit (12 separate 1m channels)

 

0

1

1

2.48

 

0

1

1

0.49

 

0

1

1

0.19

 

0

1

1

7.38

 

0

1

1

6.34

 

0

1

1

0.63

 

0

1

1

0.42

 

0

1

1

1.18

 

0

1

1

0.57

 

0

1

1

0.08

 

0

1

1

2.73

 

0

1

1

0.01

Benguet Exploration’s Adit

 

0

44

44

0.30

inc.

16

18

2

1.23

 

 

 

 

 

 

0

12

12

0.34

 

A set of maps relating to the sampling results disclosed in this news release may be viewed at: 

http://www.ecrminerals.com/Itogon-channel-sampling-phases-1to3

The maps are for illustration only and should not be relied upon for technical purposes.

 

Geological mapping highlighted altered, mineralised and/or intensely oxidised occurrences for channel sampling, in some cases following trenching. 

 

Where channels comprised multiple samples, Table 1 discloses the weighted average gold grade for the length of each channel and the grades of any individual samples which exceeded 1 g/t gold.  No top or lower cut-off has been applied in calculating weighted averages.

 

A total of 97 samples were assayed (excluding QA/QC samples), each representing a channel length of between 0.5m and 2m, and representing an aggregate surface channel length of 108m and an aggregate underground channel length of 68m.  Channel lengths given in this news release do not necessarily equate to true widths of mineralisation. 

 

Assay values have been expressed in this news release as g/t (grams per tonne) gold but are received from the laboratory expressed as ppm (parts per million) gold.  For the purposes hereof ppm gold and g/t can be considered equivalent.

 

QA/QC

 

Sampling was carried out under geological supervision.  A secure chain of custody was maintained in the transport and storage of all samples, which were shipped to and analysed by Intertek Testing Services Philippines, Inc. (“Intertek”), an internationally accredited independent analytical laboratory in Metro Manila.  Upon arrival at Intertek samples were sorted, dried, crushed, split, and a fraction was pulverised.  The method of analysis for gold was fire assay (50g charge) with AAS finish.

 

QA/QC measures including the use of blanks and standards were implemented by ECR and separately by Intertek in relation to the analysis of the samples.  The assay data reported is considered acceptable in the context of these measures. 

 

Review by Competent Person

 

The contents of this announcement have been reviewed by Andrew Tunningley MAusIMM (CP), a geologist with the consultancy Exploration Alliance, which has been engaged by ECR in connection with the Itogon project.

 

About the Itogon Project

 

Exploration by ECR to date, including reverse circulation (RC) drilling completed in April 2014, indicates that gold mineralisation in the main prospect area at the Itogon project is hosted by north-north-west trending, south-west dipping to subvertical epithermal veins, with a subordinate set of generally north-east trending veins. 

 

Channel sampling and drilling has confirmed mineralisation over a vertical extent of 250m, open along strike and down dip.  ECR’s April 2014 drilling tested a strike length of 400m, and continuation of the strike approximately 200m SE is indicated by exposures observed along creeks and gullies.  These exposures are the subject of geological mapping and channel sampling with the objective of confirming this continuation.

 

The epithermal veins are composed of grey and white, saccharoidal and vuggy quartz with associated clay, calcite, pyrite, galena, sphalerite, chalcopyrite, and vein breccia, hosted by moderately to strongly oxidised and argillised medium grained diorite.  Individual veins rarely exceed 1m wide and tend to occur as approximately 0.2m wide, closely spaced, sheeted veins within the altered zones.  Establishing the continuity of the vein zones between intercepts at surface, in underground workings and by drilling is an important objective of further exploration. 

 

The highest gold grades are typically associated with multiple narrow, 1-2m wide occurrences of sheeted quartz veins and quartz vein breccia, with a mineralised selvedge grading approximately 0.30 g/t gold or higher associated with these structures. 

 

ABOUT ECR

 

ECR is a mineral exploration and development company with, among other interests, the right to earn a 50% interest in the Itogon gold project in the Philippines.  Itogon is an advanced exploration project located in a gold and copper mining district on the island of Luzon in the north of the Philippines.

 

ECR has a 100% interest in the Sierra de las Minas gold project in La Rioja Province, Argentina, the exploration strategy for which is to delineate multiple high grade, low tonnage deposits suitable for advancement to production on a relatively low capital, near term basis.

 

ECR holds a substantial minority stake in THEMAC Resources Group Ltd (TSX-V: MAC), which is focused on the development of the Copper Flat copper-molybdenum-gold-silver porphyry project in New Mexico, USA.

 

 

FOR FURTHER INFORMATION PLEASE CONTACT:

ECR Minerals plc    
Paul Johnson, Non-Executive Chairman Tel: +44 (0)20 7929 1010
Stephen Clayson, Director & Chief Executive Officer    
Email:This email address is being protected from spambots. You need JavaScript enabled to view it.    
Website: www.ecrminerals.com    
     
     
Daniel Stewart & Company plc    
Emma Earl/Harrison Clarke (Nominated Adviser) Tel: +44 (0)20 7776 6550
Colin Rowbury (Broker)    
     

FORWARD LOOKING STATEMENTS

 

This announcement may include forward looking statements.  Such statements may be subject to a number of known and unknown risks, uncertainties and other factors that could cause actual results or events to differ materially from current expectations.  There can be no assurance that such statements will prove to be accurate and therefore actual results and future events could differ materially from those anticipated in such statements.

 

Accordingly, readers should not place undue reliance on forward looking statements.  Any forward looking statements contained herein speak only as of the date hereof (unless stated otherwise) and, except as may be required by applicable laws or regulations (including the AIM Rules for Companies), the Company disclaims any obligation to update or modify such forward looking statements as a result of new information, future events or for any other reason.

 

GLOSSARY

 

AAS:                                       

atomic absorption spectroscopy

 

adit:                                        

an opening driven horizontally into the side of a mountain or hill for providing access to a mineral

deposit

 

alteration:

the chemical response of rocks to hydrothermal solutions causing mineralogical change

 

argillic alteration:                    

clay rich assemblages dominated by low temperature clays such as kaolinite, smectite, and

interlayered illite-smectite; these are formed by low temperature (<230°C), acid to neutral, low

salinity hydrothermal fluids

 

assay:                                      

a test performed on a sample of ores or minerals to determine the amount of valuable metals

contained

 

Au:                                          

gold

 

breccia:                                   

coarse (usually >2 mm) fragmental rock, consisting of generally angular clasts of one or more

lithologies; a complexly veined rock can have a brecciated appearance (if veins are multi-

generational and/or branching), but it is important to differentiate between the two; veins are

generally linear or sinuous, whereas a breccia matrix is highly irregular

 

channel sampling:                    

a sample composed of pieces of rock that have been cut out of a small trench or channel

 

chlorite:                                  

a group of platy, monoclinic, usually greenish minerals; associated with and resembling the micas;

widely distributed as alteration products of ferromagnesian minerals

 

epidote:                                   

a green monoclinic mineral

 

drussy:                                    

pertaining to an insoluble residue or encrustation of quartz crystal

 

epithermal:                              

mineralisation produced by near surface hydrothermal fluids related to igneous activity; originally

defined as having formed in the range 50-300°C

 

fault:                                       

a break in the Earth’s crust caused by tectonic forces which have moved the rock on one side with

respect to the other

 

footwall:                                  

the rock on the underside of a vein or ore structure

 

g:                                            

grams                                       

 

galena:                                    

a grey metallic mineral; has a perfect cubic cleavage; soft and very heavy; principal ore of lead

 

g/t:                                          

grams per tonne

 

hanging wall:                          

the rock on the upper side of a vein or ore deposit

 

hematite:                                 

a common iron mineral; occurs in rhombohedral crystals, in reniform masses or fibrous aggregate;

deep red earthy forms; an alteration product in hydrothermal systems

 

illite:                                       

a general name for a group of mica like clay minerals that are widely distributed in argillic altered

rocks

 

kg:                                          

kilogram

 

km:                                         

kilometre

 

m:                                           

metre

 

massive:                                   

said of rocks of any origin that are more or less homogenous in texture or fabric; also said of a

mineral deposit especially of sulphides, characterized by great concentration of ore in one place as

opposed to a disseminated or vein type deposit 

 

MDL:                                      

method detection limit

 

outcrop:                                  

an exposure of rock or mineral deposit that can be seen on surface, that is, not covered by soil or

water

 

oxidation:                                

a chemical reaction caused by exposure to oxygen which results in a change in the chemical

composition of a mineral

 

portal:                                     

the entry to an underground or sub surface access such as an adit, decline or tunnel

 

ppm:                                       

parts per million

 

propylitic alteration:               

chlorite-epidote-calcite alteration assemblage

 

RL:                                         

reduced level; calculated elevation in relation to a particular datum

 

saccharoidal:                           

granular aggregates of equant crystals having the appearance of sugar in hand specimen

 

selvedge:                                  

the area of the point of contact between a vein and the surrounding rock

 

silicification:                            

a hydrothermal alteration assemblage dominated by silica

 

smectite:                                  

mineral commonly found in argillic altered rocks

 

sphalerite:                               

a yellow, brown, or black, isometric mineral with a perfect dodecahedral cleavage and a resinous

to adamantine lustre; widely distributed ore of zinc; commonly associated with galena in

epithermal veins

 

stringer:                                  

a narrow vein or irregular filament of a mineral or minerals traversing a rock mass usually of

limited strike and dip compared to a vein

 

trenching:                               

utting of a narrow, shallow ditch across a mineral showing or deposit to obtain channel or other

samples or to observe geology

 

t:                                             

tonne

 

vein:                                        

material which was chemically deposited by fluids within a rock fracture; veins exhibit a range of

textures and minerals, depending primarily on the temperature, depth, and composition of the fluid

and host rock; may also contain a small amount (<10%) of entrained host rock and/or vein clasts

 

vein breccia:                            

rock consisting predominantly of vein fragments (<10% host rock clasts) in a chemically

deposited matrix; clasts are generally sub angular, and supported in a matrix of generally similar

vein minerals (such as quartz, chalcedony), which may be banded and enclose open cavities

 

vug:                                        

open cavity within a rock, usually in a vein or breccia cement, which is lined by euhedral

prismatic crystals that project into the cavity