VANCOUVER, Sept. 17, 2018 /PRNewswire/ - Capstone Mining
Corp. ("Capstone" or the "Company") (TSX: CS) today announced high
grade results from step-out drilling at its Cozamin Mine in
Mexico, which will be included in
a re-estimation of mineral resources in the Mala Noche Footwall
Zone ("MNFWZ") later this year. Since the last Mineral Resource
estimate, effective March 31, 2018,
Capstone has completed 46 additional holes, including 23 step-out
holes beyond the boundaries of the March
31 model. Drill intercepts underpinning Capstone's decision
to re-estimate the Mineral Resource are summarized below in Table
1.
Table 1 – Selected MNFWZ Drilling Completed Since
March 31, 2018 Mineral Resource
Estimate
Section
ID #
|
Drill hole
ID
|
Type
|
From
(m)
|
To
(m)
|
Width
(m)
|
True
Width*
(m)
|
Cu
(%)
|
Zn
(%)
|
Pb
(%)
|
Ag
(g/t)
|
Au
(g/t)
|
4
|
CG-18-S323
including
|
step-out
|
657.4
662.4
|
673.3
673.3
|
15.9
10.9
|
15.4
10.6
|
3.88
5.39
|
0.12
0.17
|
0.01
0.01
|
63.1
88.6
|
0.02
0.02
|
6
|
CG-18-S331
|
step-out
|
690.4
|
698.5
|
8.1
|
8.0
|
2.08
|
0.07
|
0.01
|
69.9
|
0.15
|
9
|
CG-18-S337
including
|
step-out
|
648.8
663.5
|
666.7
666.1
|
17.9
2.6
|
17.1
2.5
|
2.19
4.47
|
0.07
0.11
|
0.01
0.01
|
39.3
68.3
|
0.01
0.02
|
12
|
CG-18-S343
including
|
step-out
|
542.3
548.6
|
558.5
557.8
|
16.2
9.2
|
14.8
8.4
|
5.34
8.00
|
0.80
1.02
|
0.03
0.04
|
112.3
157.9
|
0.05
0.06
|
16
|
CG-18-U474
and
|
step-out
|
661.5
676.9
|
672.0
678.9
|
10.5
2.0
|
9.7
1.9
|
2.26
1.80
|
0.19
0.07
|
0.02
0.01
|
40.3
29.0
|
0.01
0.00
|
*estimated true width of vein intercept for inclined drill
holes
"Given the grade and substantially thicker intervals in multiple
new drill intercepts, including holes well up-dip of the
March 31 resource model, we have
decided to re-estimate the MNFWZ Mineral Resource," said
Brad Mercer, Senior Vice President
of Exploration at Capstone. "We have completed drilling up-dip and
along strike, and to a lesser extent down-dip, from the
March 2018 Mineral Resource estimate.
We intend to keep drilling with five to six drills for the
remainder of 2018, both stepping out and infilling the MNFWZ
extension."
A Cozamin technical review is underway and a technical report is
expected to be completed later this year. The review will target
the March 31 Mineral Resource for
conversion to mineral reserves, update the resource estimate to
include the additional drilling since the March 31 update and will also include the
materials handling study currently underway. This study is
assessing options to increase Cozamin's copper output by
debottlenecking the mine in order to take advantage of the current
20% unutilized mill capacity.
"We are extremely optimistic about Cozamin's future
based on our recent exploration success," said Darren Pylot, Capstone's President and CEO.
"This low cost mine is going through a paradigm shift as we
continue to unlock its potential value through ongoing exploration
and evaluation of various scenarios to increase copper
production."
The full results for all MNFWZ holes completed since the
March 31, 2018 Mineral Resource
estimate are in Table 2 below. For drill hole location and context
please view the long-section of the MNFWZ at:
http://capstonemining.com/files/images/maps/MNFWZ-Sept2018.pdf.
Table 2 – All MNFWZ Drilling Completed Since March 31, 2018 Mineral Resource Estimate
Section
ID #
|
Drill hole
ID
|
Type
|
From
(m)
|
To
(m)
|
Width
(m)
|
True
Width*
(m)
|
Cu
(%)
|
Zn
(%)
|
Pb
(%)
|
Ag
(g/t)
|
Au
(g/t)
|
1
|
CG-18-S315
|
step-out
|
681.9
|
695.4
|
13.5
|
12.0
|
1.50
|
0.47
|
0.01
|
22.9
|
0.01
|
2
|
CG-18-S317
|
step-out
|
728.4
|
729.0
|
0.6
|
0.6
|
0.95
|
0.07
|
0.01
|
24.3
|
0.01
|
3
|
CG-18-S318
|
step-out
|
970.7
|
971.2
|
0.5
|
0.4
|
2.69
|
0.12
|
0.03
|
33.5
|
0.00
|
4
|
CG-18-S323
including
|
step-out
|
657.4
662.4
|
673.3
673.3
|
15.9
10.9
|
15.4
10.6
|
3.88
5.39
|
0.12
0.17
|
0.01
0.01
|
63.1
88.6
|
0.02
0.02
|
5
|
CG-18-S325
|
step-out
|
686.2
|
688.2
|
2.0
|
1.8
|
0.06
|
0.21
|
0.04
|
22.2
|
0.04
|
6
|
CG-18-S331
|
step-out
|
690.4
|
698.5
|
8.1
|
8.0
|
2.08
|
0.07
|
0.01
|
69.9
|
0.15
|
7
|
CG-18-S332
|
step-out
|
640.3
|
642.3
|
2.0
|
2.0
|
5.85
|
0.19
|
0.01
|
97.7
|
0.04
|
8
|
CG-18-S334
|
step-out
|
641.8
|
651.3
|
9.5
|
9.3
|
1.50
|
0.06
|
0.01
|
32.0
|
0.01
|
9
|
CG-18-S337
including
|
step-out
|
648.8
663.5
|
666.7
666.1
|
17.9
2.6
|
17.1
2.5
|
2.19
4.47
|
0.07
0.11
|
0.01
0.01
|
39.3
68.3
|
0.01
0.02
|
10
|
CG-18-S339
and
|
step-out
|
483.7
499.0
|
486.8
503.5
|
3.1
4.5
|
2.6
3.8
|
0.90
1.75
|
0.03
0.07
|
0.01
0.01
|
21.0
34.3
|
0.03
0.09
|
11
|
CG-18-S342
|
step-out
|
674.8
|
675.5
|
0.7
|
0.6
|
3.32
|
0.12
|
0.01
|
59.0
|
0.02
|
12
|
CG-18-S343
including
|
step-out
|
542.3
548.6
|
558.5
557.8
|
16.2
9.2
|
14.8
8.4
|
5.34
8.00
|
0.80
1.02
|
0.03
0.04
|
112.3
157.9
|
0.05
0.06
|
13
|
CG-18-S344
including
|
step-out
|
611.0
611.0
|
618.2
615.9
|
7.2
4.9
|
7.0
4.7
|
1.42
1.85
|
0.05
0.06
|
0.01
0.01
|
31.1
40.2
|
0.01
0.01
|
14
|
CG-18-S346
and
|
step-out
|
568.3
599.0
|
569.4
601.2
|
1.1
2.2
|
0.9
1.8
|
0.47
0.72
|
0.07
0.20
|
0.01
0.15
|
8.2
43.0
|
0.07
0.02
|
15
|
CG-18-U472
and
|
step-out
|
663.7
677.1
|
665.0
677.6
|
1.3
0.5
|
1.1
0.4
|
0.76
0.99
|
0.02
0.06
|
0.00
0.01
|
9.0
21.0
|
0.01
0.04
|
16
|
CG-18-U474
and
|
step-out
|
661.5
676.9
|
672.0
678.9
|
10.5
2.0
|
9.7
1.9
|
2.26
1.80
|
0.19
0.07
|
0.02
0.01
|
40.3
29.0
|
0.01
0.00
|
17
|
CG-18-S348
including
|
step-out
|
609.5
635.7
|
642.7
642.7
|
33.2
7.0
|
28.5
6.0
|
0.67
2.1
|
0.05
0.17
|
0.03
0.13
|
15.6
44.3
|
0.03
0.06
|
18
|
CG-18-S347
|
step-out
|
assays
pending
|
19
|
CG-18-S349
|
step-out
|
assays
pending
|
20
|
CG-18-S351
|
step-out
|
assays
pending
|
21
|
CG-18-S352
|
step-out
|
assays
pending
|
22
|
CG-18-S353
|
step-out
|
assays
pending
|
23
|
CG-18-S354
|
step-out
|
assays
pending
|
24
|
CG-18-S355
|
step-out
|
in
progress
|
25
|
CG-18-S356
|
step-out
|
in
progress
|
26
|
CG-18-S357
|
step-out
|
in
progress
|
27
|
CG-18-U477
|
step-out
|
in
progress
|
28
|
CG-18-S314
|
infill
|
777.1
|
782.3
|
5.2
|
4.4
|
5.20
|
0.93
|
0.26
|
130.8
|
0.03
|
29
|
CG-18-S316
|
infill
|
759.9
|
765.9
|
6.0
|
5.4
|
1.12
|
0.26
|
0.01
|
24.0
|
0.02
|
30
|
CG-18-S319
and
|
infill
|
788.5
797.6
|
791.7
801.9
|
3.2
4.3
|
3.0
3.8
|
3.13
1.14
|
0.34
1.50
|
0.01
0.41
|
52.0
116.6
|
0.06
0.18
|
31
|
CG-18-S320
|
infill
|
704.7
|
708.0
|
3.3
|
3.1
|
3.57
|
1.30
|
0.02
|
61.2
|
0.03
|
32
|
CG-18-S321
and
|
infill
|
626.5
776.3
|
636.9
790.8
|
10.4
14.5
|
9.2
12.9
|
1.45
2.11
|
3.25
0.23
|
4.26
0.01
|
87.1
37.8
|
0.08
0.01
|
33
|
CG-18-S322
|
infill
|
884.7
|
894.5
|
9.8
|
8.0
|
1.25
|
0.08
|
0.03
|
22.2
|
0.00
|
34
|
CG-18-S326
|
infill
|
753.1
|
760.4
|
7.3
|
7.1
|
7.89
|
0.84
|
0.30
|
128.2
|
0.03
|
35
|
CG-18-S328
|
infill
|
872.2
|
878.8
|
6.6
|
5.6
|
0.69
|
0.03
|
0.01
|
11.4
|
0.01
|
36
|
CG-18-S329
|
infill
|
no significant
intercepts
|
37
|
CG-18-S333
|
infill
|
865.6
|
869.8
|
4.2
|
3.8
|
1.76
|
0.07
|
0.01
|
24.9
|
0.01
|
38
|
CG-18-S338
including
and
including
|
infill
|
807.0
817.7
846.9
859.9
|
824.2
824.2
871.3
866.1
|
17.2
6.5
24.4
6.2
|
14.9
5.7
21.2
5.4
|
1.57
2.77
1.96
5.52
|
0.06
0.10
0.50
1.20
|
0.02
0.02
0.06
0.18
|
36.5
45.7
35.6
96.2
|
0.06
0.02
0.01
0.01
|
39
|
CG-18-S358
|
infill
|
in
progress
|
40
|
CG-18-U461
|
infill
|
632.0
|
633.2
|
1.2
|
1.0
|
1.32
|
0.02
|
0.01
|
9.0
|
0.01
|
41
|
CG-18-U464
|
infill
|
641.5
|
647.3
|
5.8
|
5.6
|
4.15
|
0.67
|
0.01
|
71.9
|
0.06
|
42
|
CG-18-U465
|
infill
|
656.1
|
658.9
|
2.8
|
2.6
|
2.52
|
0.69
|
0.02
|
52.5
|
0.04
|
43
|
CG-18-U466
|
infill
|
557.2
|
566.3
|
9.1
|
8.0
|
1.81
|
0.11
|
0.00
|
42.1
|
0.09
|
44
|
CG-18-U467
|
infill
|
605.3
|
611.4
|
6.1
|
5.8
|
1.46
|
0.18
|
0.04
|
26.7
|
0.06
|
45
|
CG-18-U468
|
infill
|
577.4
|
587.6
|
10.2
|
9.7
|
3.83
|
0.72
|
0.03
|
65.3
|
0.04
|
46
|
CG-18-U469
including
|
infill
|
665.1
669.0
|
670.4
669.9
|
5.3
0.9
|
4.7
0.8
|
0.49
1.55
|
0.05
0.08
|
0.01
0.01
|
9.3
22.0
|
0.01
0.02
|
47
|
CG-18-U470
including
|
infill
|
635.7
641.4
|
656.2
656.2
|
20.5
14.8
|
18.1
13.1
|
1.27
1.43
|
0.38
0.51
|
0.09
0.12
|
57.5
73.7
|
0.14
0.18
|
48
|
CG-18-U471
and
|
infill
|
701.1
718.0
|
709.0
721.3
|
7.9
3.3
|
7.0
2.9
|
3.20
3.69
|
0.15
0.30
|
0.03
0.06
|
49.2
66.4
|
0.01
0.01
|
49
|
CG-18-U473
including
|
infill
|
687.0
695.0
|
698.0
696.0
|
11.0
1.0
|
9.1
0.8
|
0.84
3.38
|
0.05
0.13
|
0.01
0.02
|
13.2
46.0
|
0.01
0.02
|
50
|
CG-18-U475
|
infill
|
assays
pending
|
51
|
CG-18-U476
|
infill
|
assays
pending
|
52
|
CG-18-U478
|
infill
|
in
progress
|
*estimated true width of vein intercept for inclined drill
holes
All samples were submitted for preparation by ALS at its
facilities in Zacatecas, Mexico,
followed by analysis at the ALS Laboratory in North Vancouver, Canada. The entire sample is
crushed to a minimum of 70% passing -10 mesh. A 250g subsample of
the crushed material is then pulverized to 85% passing -200 mesh.
Copper, zinc, lead and silver are determined by ICP analysis after
4 acid digestion of a 0.4g subsample of pulverized material. Gold
is determined by fire assay of a 30g sub-sample with AA finish.
QAQC samples in each batch of 20 samples include a blank, a
certified reference material and a duplicate (one of a field,
coarse reject or pulp reject).
About Capstone Mining Corp.
Capstone Mining Corp. is a
Canadian base metals mining company, focused on copper. We are
committed to the responsible development of our assets and the
environments in which we operate. Our three producing mines are the
Pinto Valley copper mine located in Arizona, US, the Cozamin polymetallic mine in
Zacatecas State, Mexico and the
Minto copper mine in Yukon, Canada. In addition, Capstone has the
large scale 70% owned copper-iron Santo
Domingo development project in Region III, Chile, in partnership with Korea Resources
Corporation as well as a portfolio of exploration properties.
Capstone's strategy is to focus on the optimization of operations
and assets in politically stable, mining-friendly regions, centred
in the Americas. Our headquarters are in Vancouver, Canada and we are listed on the
Toronto Stock Exchange (TSX). Further information is available at
www.capstonemining.com.
Cautionary Note Regarding Forward-Looking
Information
This document may contain "forward-looking
information" within the meaning of Canadian securities legislation
and "forward-looking statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995
(collectively, "forward-looking statements"). These forward-looking
statements are made as of the date of this document and Capstone
does not intend, and does not assume any obligation, to update
these forward-looking statements, except as required under
applicable securities legislation.
Forward-looking statements relate to future events or future
performance and reflect our expectations or beliefs regarding
future events. Forward-looking statements include, but are not
limited to, statements with respect to the continuing success of
mineral exploration, Capstone's ability to fund future exploration
activities, the realization of mineral reserve estimates, the
timing and amount of estimated future production and the success of
mining operations. In certain cases, forward-looking statements can
be identified by the use of words such as "plans", "expects",
"budget", "scheduled", "estimates", "forecasts", "intends",
"anticipates", "believes" or variations of such words and phrases,
or statements that certain actions, events or results "may",
"could", "would", "might" or "will be taken", "occur" or "be
achieved" or the negative of these terms or comparable terminology.
In this document certain forward-looking statements are identified
by words including "subject", "expected" and "intend". By their
very nature, forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause our actual
results, performance or achievements to be materially different
from any future results, performance or achievements expressed or
implied by the forward-looking statements. Such factors include,
amongst others, risks related to inherent hazards associated with
mining projects, future prices of copper and other metals, changes
in general economic conditions, and other risks of the mining
industry as well as those factors detailed from time to time in the
Company's interim and annual financial statements and management's
discussion and analysis of those statements, all of which are filed
and available for review under the Company's profile on SEDAR at
www.sedar.com. Although the Company has attempted to identify
important factors that could cause our actual results, performance
or achievements to differ materially from those described in our
forward-looking statements, there may be other factors that cause
our results, performance or achievements not to be as anticipated,
estimated or intended. There can be no assurance that our
forward-looking statements will prove to be accurate, as our actual
results, performance or achievements could differ materially from
those anticipated in such statements. Accordingly, readers should
not place undue reliance on our forward-looking statements.
National Instrument 43-101 Compliance
Unless otherwise
indicated, Capstone has prepared the technical information in this
news release ("Technical Information") based on information
contained in the technical reports, news releases and MD&A's
(collectively the "Disclosure Documents") available under Capstone
Mining Corp.'s company profile on SEDAR at www.sedar.com. Each
Disclosure Document was prepared by, or under the supervision of, a
qualified person (a "Qualified Person") as defined in National
Instrument 43-101 Standards of Disclosure for Mineral
Projects of the Canadian Securities Administrators ("NI
43-101"). Readers are encouraged to review the full text of
the Disclosure Documents which qualifies the Technical
Information. Readers are advised that mineral resources that
are not mineral reserves do not have demonstrated economic
viability. The Disclosure Documents are each intended to be read as
a whole, and sections should not be read or relied upon out of
context. The Technical Information is subject to the assumptions
and qualifications contained in the Disclosure Documents.
The technical information in this news release has been prepared
in accordance with Canadian regulatory requirements set out in
National Instrument 43-101 Standards of Disclosure for Mineral
Projects of the Canadian Securities Administrators ("NI 43-101")
and supervised and reviewed by Brad
Mercer, P. Geol., Capstone's Senior Vice President,
Exploration, a "Qualified Person" as defined in National Instrument
43-101 and the person who oversees exploration activities on the
Cozamin Mine property. In addition, Gregg
Bush, Capstone's Senior Vice President and Chief Operating
Officer, reviewed and approved this news release.
View original
content:http://www.prnewswire.com/news-releases/capstone-mining-announces-high-grade-step-out-holes-at-cozamin-mine-300713557.html
SOURCE Capstone Mining Corp.