MOUNT PEARL, NEWFOUNDLAND -- (Marketwired) -- 08/26/14 -- Cornerstone Capital Resources Inc. ("Cornerstone" or "the Company") (TSX VENTURE: CGP)(FRANKFURT: GWN)(BERLIN: GWN)(OTCBB: CTNXF) announces the following project update for the Company's Cascabel copper-gold porphyry joint venture exploration project in northern Ecuador.
HIGHLIGHTS:
-- Assays received for drill hole CSD-14-007 ("Hole 7") from 1251.26m to
1672.76m
-- From 654m to 1612m, 958m @ 0.40% copper (Cu) and 0.17 g/t gold (Au),
including the following intersections:
-- From 1056m to 1294m, 238m @ 0.65% Cu and 0.35 g/t Au
-- From 1160m to 1294m, 134m @ 0.75% Cu and 0.50 g/t Au
-- From 1200m to 1294m, 94m @ 0.84% Cu and 0.62 g/t Au
-- Hole CSD-14-008 ("Hole 8") commenced on August 15th
-- Orion 3D "Deep Earth Imaging" IP geophysical survey has completed the
acquisition of raw data from the Alpala grid
-- The Orion IP survey will move to the Aguinaga grid area for data
collection
-- Geological mapping project initiated over the Rio Cachaco drainage
divide
-- Metallurgical testwork on Hole 5 samples well advanced
-- Independent geological review confirms both size and high grade
potential at Alpala.
All reported intervals referred to in this news release are core lengths. At present the true thicknesses are uncertain due to the early stage of drilling.
References to figures and photographs related to the version of this release on the Company's website (www.cornerstoneresources.com) or visible in PDF format by clicking the link below:
http://www.cornerstoneresources.com/i/pdf/NR14-21Figures.pdf
Further Information
Hole 7
Hole 7 on the Cascabel concession was drilled at the Alpala porphyry Cu-Au prospect (Figure 1).
Hole 7 (located at 797078.72 UTME, 83303.33 UTMN and 1757.0m elevation, Azimuth: 220 degrees, Dip: -85 degrees ) was terminated on July 25th at a depth of 1672.76 metres (end of hole or EOH) and drilled along the southwest margin of a large magnetic body that was recently defined by Magnetic Vector Inversion (MVI) modeling which is one of the most advanced and sophisticated modeling technique available (Figures 1 and 2).
Extensive intersections of copper and gold mineralization were encountered in Hole 7, and these intersections are tabulated in Table 1 below.
The bulked intersection of 958m grading 0.40 % copper and 0.17 g/t gold is interpreted to reflect mineralization located along the margins of the recently modeled Central Magnetic Feature (Central Zone) whose lateral dimensions are around 1100m long by 500m wide at a depth of 800m below surface (Figure 1), and extending vertically for approximately 800m from this depth. The 958m intersection is a very long intersection of continuous mineralization located along the margin of the MVI magnetic anomaly, and bodes very well for lateral extension of copper and gold mineralization to the northeast, as well as to the north, east and southeast. The lower grades encountered from 1612m to the end of hole at 1672.76m are interpreted to reflect the drill hole exiting the mineralized system on its southwest side (refer Figure 2).
Table 1 - Hole 7 Assay Results
Previously reported and final assays of intersections from Hole 7, which is located on the southwest margin of the Central Magnetic Feature at Alpala.
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Depth Depth Interval Cu Au
Hole ID From To (m) (%) (g/t) Comment
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CSD-14-007 654 1251.26 597.26 0.46 0.18 Reported on July 16
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Incls. 1056 1251.26 195.26 0.67 0.36 Reported on July 16
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Incls. 1160 1251.26 91.26 0.83 0.57 Reported on July 16
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Incls. 1200 1251.26 51.26 1.05 0.85 Reported on July 16
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CSD-14-007 654 1612 958 0.40 0.17 Updated
Intersections
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Incls. 1056 1294 238 0.65 0.35 Updated
Intersections
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Incls. 1160 1294 134 0.75 0.50 Updated
Intersections
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Incls. 1200 1294 94 0.84 0.62 Updated
Intersections
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Hole 8
Hole 8 has been sited on the same drill pad as Hole 5 (797185.49 UTME, 83174.94 UTMN, 1608.5 m elevation) and is being drilled with an 85 degree inclination towards UTM (Universal Transverse Mercator) north (Figure 2). Drilling commenced on August 15th and on August 24th was at a depth of 347 metres.
The hole is targeted to intersect the MVI magnetic anomaly at a point that is approximately 100m north-northeast of the upper contact of the high-grade zone in Hole 5, and at a point approximately 170m north-northeast of the lower contact to the high-grade copper-gold intersection in Hole 5 (Figure 3). The hole will aim to generate a copper-gold intersection at the third apex of a triangle, with Holes 5 and 7 lying along the structurally controlled southwest margin of the MVI magnetic anomaly. Hole 8 is targeted to deliver an intersection within the anomaly 100m to 170m northeast of Hole 5.
IP Survey and Magnetic Modeling
The Orion 3D IP surveying of the Alpala grid commenced on 3 August. In early August an additional 3 Quantec personnel arrived on site to supplement the 13 personnel on site. The additional personnel were flown in to Ecuador by Quantec to optimize survey productivity at Cascabel.
Chargeability, conductivity and resistivity measurements have now been completed for the Alpala grid and this data will now be processed to deliver preliminary "inversion" models.
The Orion IP crew is presently mobilizing equipment from the Alpala grid area to the Aguinaga grid.
The IP survey over the Aguinaga grid covers an area of approximately 4 square kilometres.
Metallurgical Testwork
Preliminary testwork by Inspectorate in Vancouver is well advanced and results are expected before the end of September.
Rio Cachaco Mapping and Sampling Program
Preliminary geological inspection over the southern drainage divide of the Rio Cachaco catchment is underway, and will be followed by geological mapping and soil sampling. The soil sampling survey will extend the current soil sample coverage westward over strong magnetic anomalies that lie under the topographic divide south of Rio Cachaco and 2 kilometres west-northwest of Central Alpala.
Independent Geological Review
Well-known porphyry expert Dr. Steve Garwin carried out an independent review of the Alpala Prospect over a week in late July. This review included a site visit to the Alpala region and a detailed review of the drill core from Alpala, especially Holes 1, 5 and 7. While the project technical team is still reviewing the report, the conclusions of the geological review confirm both the large size and high-grade potential of the Alpala target at Cascabel. The other four porphyry copper (+/- gold) targets within the Cascabel concession, Aguinaga, Moran, Tandayama/America and Chinambicito, were not part of this review (see Figure 1 for location of these targets).
About Cascabel
SolGold Plc owns 85% of the equity of Exploraciones Novomining S.A. ("ENSA"), an Ecuadorean registered company that holds 100% of the Cascabel concession in northern Ecuador. Cornerstone owns the remaining 15% of ENSA, which also holds the rights to the La Encrucijada gold-silver project. SolGold is funding 100% of the exploration at Cascabel and is the operator of the project with Cornerstone Ecuador S.A. providing some exploration and administrative services. Cornerstone's 15% interest is financed through completion of a National Instrument 43-101 compliant feasibility study.
Cascabel is located in north-western Ecuador in an under-explored northern section of the richly endowed Andean Copper Belt, 60 km northeast of the undeveloped inferred resource of 982 million tons at 0.89% Cu Junin copper project. (Mineralization identified at the Cu Junin copper project is not necessarily indicative of the mineralization on the Cascabel Property).
Qualified Person:
Yvan Crepeau, MBA, P.Geo., Cornerstone's Vice President, Exploration and a qualified person in accordance with National Instrument 43-101, is responsible for supervising the exploration program at the Cascabel project for Cornerstone and has reviewed and approved the information contained in this news release.
Logging, sampling and assaying
Holes referred to in this release were or are being drilled using HTW, NTW, NQ and BQ core sizes (respectively 7.1, 5.6, 4.8 and 3.7 cm diameter). Geotechnical measurements such as core recovery, fracturing, rock quality designations (RQD's); specific density and photographic logging are performed systematically prior to assaying. The core is logged, magnetic susceptibility measured and key alteration minerals identified using an on-site portable spectrometer. Core is then sawed in half at Cornerstone's core logging facility and half of the core is delivered by Cornerstone employees for preparation at Acme Analytical Laboratories (ACME) affiliate laboratory in Cuenca. Core samples are prepared crushing 1 kg to 80% passing 2 mm (10 mesh), splitting 250 g and pulverizing to 85% passing 0.075 mm (200 mesh) (ACME code R200-250). Prepared samples are then shipped to ACME in Vancouver, Canada where samples are assayed for a multi-element suite (ACME code 1E, 0.25g split, 4-acid digestion, ICP-ES finish). Over limit results for Ag (greater than 100 g/t), Cu, Pb and Zn (each one greater than 1%) are systematically re-assayed (ACME code 7 TD1 or 7 TD2, 4-acid digestion, ICP-ES finish). Gold is assayed using a 30 g split, Fire Assay (FA) and AA or ICP-ES finish (ACME code G601).
Quality assurance / Quality control (QA/QC)
The ACME affiliate preparation facility in Cuenca was audited by Cornerstone prior to the start of the drilling program and ACME is an ISO 9001:2008 qualified assayer that performs and makes available internal assaying controls. Duplicates, certified blanks and standards are systematically used (1 control sample every 15 samples) as part of Cornerstone's QA/QC program. Rejects, a 100 g pulp for each core sample and the remaining half-core are stored for future use and controls.
About Cornerstone:
Cornerstone Capital Resources Inc. is a well-funded mineral exploration company based in Mount Pearl, Newfoundland and Labrador, Canada, with a diversified portfolio of projects in Ecuador and Chile, and a strong technical team that has proven its ability to identify, acquire and advance properties of merit. The company's business model is based on generating exploration projects whose subsequent development is funded primarily through partnerships. Commitments from partners constitute significant validation of the strength of Cornerstone's projects.
Further information is available on Cornerstone's website: www.cornerstoneresources.com and on Twitter.
Cautionary Notice:
This news release may contain 'Forward-Looking Statements' that involve risks and uncertainties, such as statements of Cornerstone's plans, objectives, strategies, intentions and expectations. The words "potential," "anticipate," "forecast," "believe," "estimate," "expect," "may," "project," "plan," and similar expressions are intended to be among the statements that identify 'Forward-Looking Statements.' Although Cornerstone believes that its expectations reflected in these 'Forward-Looking Statements' are reasonable, such statements may involve unknown risks, uncertainties and other factors disclosed in our regulatory filings, viewed on the SEDAR website at www.sedar.com. For us, uncertainties arise from the behaviour of financial and metals markets, predicting natural geological phenomena and from numerous other matters of national, regional, and global scale, including those of an environmental, climatic, natural, political, economic, business, competitive, or regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our Forward-Looking Statements. Although Cornerstone believes the facts and information contained in this news release to be as correct and current as possible, Cornerstone does not warrant or make any representation as to the accuracy, validity or completeness of any facts or information contained herein and these statements should not be relied upon as representing its views subsequent to the date of this news release. While Cornerstone anticipates that subsequent events may cause its views to change, it expressly disclaims any obligation to update the Forward-Looking Statements contained herein except where outcomes have varied materially from the original statements.
On Behalf of the Board,
Brooke Macdonald, President and CEO
Further information is available on the Cornerstone Web site at www.cornerstoneresources.com; via e-mail at ir@cornerstoneresources.ca; or toll free at 1-877-277-8377.
Neither 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.
Contacts:
Cornerstone Capital Resources Inc.
Investor, Corporate or Media Inquiries
Investor Relations
ir@cornerstoneresources.ca
North America toll-free: 1 (877) 277-8377
www.cornerstoneresources.com
