VANCOUVER, BC, Sept. 3,
2024 /CNW/ - Callinex Mines Inc. (the "Company"
or "Callinex") (TSXV: CNX) (OTCQX: CLLXF) is pleased to announce
that it has commenced the fully funded 2024 exploration campaign at
the 100% owned Pine Bay Project (the "Project") located within the
Flin Flon Mining District of Manitoba (Figure 1: Flin Flon District
Overview). The recently consolidated Project area encompasses
11,859 hectares (approximately 120 square km) and benefits from a
mineral lease, water, hydroelectric power, historic shaft and
direct road access to an idle processing facility in Flin Flon, MB, located 16km away.
The 5,000m drilling campaign has
begun with testing of target area Poseidon with plans for a
step-out drill hole to be completed on the Descendent discovery
(Figure 2: Pine Bay Project Plan View with 2024 Exploration
Targets). While any necessary borehole electromagnetic surveys are
completed at Poseidon and Descendent the campaign will move on to
Odin and Ra, two previously announced target areas (See news
release dated May 22,
2024).
Max Porterfield, President and
CEO, stated, "We are excited to follow-up on our recent Descendent
discovery and the target areas that our team has outlined." Mr.
Porterfield continued, "Each target area being drill tested has the
potential to significantly expand upon the high-grade copper
resource that's defined at the Pine Bay Project."
Drilling has commenced on a 500m
drill hole to test target area Posiedon, which is located 1,300
meters along strike to the north of the Rainbow deposit (see Figure
2). This area was covered by the recent MT survey on the Descendent
line. The MT survey data outlined a very large resistivity low
anomaly interpreted to be mapping the alteration package between
the known Rainbow and Pine Bay horizons (Figure 3: MT Survey
Descendent Line Cross Section).
Poseidon has the potential to host a discovery that comes close
to the surface like the Rainbow deposit along strike to the south.
A surface pulse electromagnetic survey ("SPEM") and airborne
electromagnetic survey ("VTEM") previously completed each have
confirmed a highly conductive body near the surface that sits along
the interpreted Rainbow horizon and on the edge of the MT
resistivity anomaly. Callinex has only tested this area with a
single drill hole and there have only been a few very shallow
historic holes in the immediate vicinity.
Geology in the very limited drilling nearby has intersected
exceptionally favorable package of very strong black chlorite-rich
footwall alteration with several key VMS signature elements, such
as very strong Europium values, sitting within the same 'Rainbow'
volcanic package that is dominated by felsic flows / hyaloclastites
that are immediately overlain by cherty felsic tuffs.
BHPEM results from the single near surface hole drilled by the
Company in 2016, PBM-013, revealed a strong in-hole/off-hole
anomaly associated with 8 meters of mineralization intersected in
the hole. Additionally, PBM-024-DPN intersected the Rainbow
horizon at depth and is accompanied by a very strong BPEM off-hole
anomaly that corresponds with the horizon as well as the BPEM
anomaly identified closer to surface in PBM-013.
Once target area Poseidon is tested the drill will be mobilized
to follow-up on the Descendent discovery with a 350m step-out vertically below and to the north
of discovery hole DSC-111. The most significant section returned
from Descendent discovery drill hole DSC-111 returned
7.14m grading 1.70% copper
equivalent ("CuEq") with additional intersections including a
10.57m grading 1.36% CuEq.(see
news release dated September 12,
2023)
The grades intersected to date at the Descendent are comparable
to grades intersected at the top of the nearby Rainbow
deposit. At Rainbow, the average drill hole composite grades
are 1.55% CuEq (0.56% Cu, 0.46 g/t Au, 1.63% Zn and 9.27 g/t Ag)
within the first 200m (-100m to -300m
elevation) of the deposit. The abundance of zinc, gold and silver
indicates that the holes intersected into the Descendent to date
may have intersected the edge of the VMS system similar to what
occurs at the Rainbow deposit. Additionally, the significant width
of the massive sulphide intervals suggests that the system is
long-lived and robust.
The base and precious metal bearing massive sulphide
intersections into Descendent are associated with a major
alteration zone that's previously been identified at surface and
spans 1,100m by 700m as supported by lithogeochemical data. Since
the huge alteration zone seen at surface is believed to be
structurally overturned, the exploration thesis is that the massive
sulphides associated with this fluid mineralizing event would be
preserved at depth. Typically, there is a correlation between the
size of an alteration zone and the size of the VMS deposit it is
associated with. The alteration package around Descendent is
approximately ten times larger than the alteration package
enveloping the nearby Rainbow deposit.
The recent 2024 MT geophysical
survey over Descendent outlined a resistivity low anomaly that
strongly correlates with the halo of stringer mineralization
(alteration package) enveloping the Descendent (See Figure 3). It
is also important to note that the resistivity low anomaly
associated with the Descendent VMS system remains open at depth, as
supported by other geological, geophysical and geochemical data.
Additionally, MT survey results at depth further support the
Company's exploration thesis that the Descendent could potentially
sit at the nose of the fold where the horizon that hosts the
Descendent deposit meets the horizon that hosts the Pine Bay
deposit, located further to the south. Deposits that sit at the
nose of a fold can host significantly wider lenses of
mineralization and with it the potential to add significant tonnage
with minimal drillholes.
The Company also announces that it has granted 800,000 stock
options to directors, officers, employees and consultants. The
options are exercisable at $1.25 per
share, subject to certain vesting requirements and expire five
years from the date of the grant.
J.J. O'Donnell, P.Geo, a qualified person under National
Instrument 43-101, has reviewed and approved the technical
information in this news release.
About Callinex Mines Inc.
Callinex Mines Inc. (TSXV: CNX)
(OTCQX: CLLXF) is advancing its portfolio of base and
precious metals rich deposits located in established Canadian
mining jurisdictions. The focus of the portfolio is highlighted by
the rapidly expanding Rainbow deposit at its rich VMS Pine Bay
Project located near existing infrastructure in the Flin Flon
Mining District. Callinex prepared an indicated mineral resource on
the Rainbow deposit of 3.44 Mt grading 3.59% CuEq for 272.4 Mlb
CuEq (238.3 Mlb Cu, 56.9 Mlb Zn, 37.6 koz Au, 692.8 koz Ag, 2.3 Mlb
Pb), an inferred mineral resource on the Rainbow deposit of 1.28 Mt
grading 2.95% CuEq containing 83.4 Mlb CuEq (72.1 Mlb Cu, 19.5 Mlb
Zn, 11.1 koz Au, 222.2 Koz Ag, 0.8
Mlb Pb) and an inferred mineral resource at the Pine Bay deposit of
1.0 Mt grading 2.62% Cu containing 58.1 Mlb Cu (see news release
dated July 10, 2023). The second
asset in the portfolio is the Nash Creek Project located in the VMS
rich Bathurst Mining District of New
Brunswick. A 2018 PEA generates a strong economic return
with a pre-tax IRR of 34.1% (25.2% post-tax) and NPV8% of
$230 million ($128 million post-tax) at $1.25 Zinc (see news release dated May 14, 2018). The third asset, 100% owned
Point Leamington Deposit in Newfoundland, is located in one of the richest
VMS and Gold Districts in Canada.
Callinex prepared a pit constrained Indicated Mineral Resource of
5.0 Mt grading 2.5 g/t AuEq for 402 koz AuEq (145.7 koz gold, 60.0
Mlb copper, 153.5 Mlb zinc, 2.0 Moz silver, 1.5 Mlb lead), a pit
constrained Inferred Mineral Resource of 13.7 Mt grading 2.24 g/t
AuEq for 986.5 koz AuEq (354.8 koz gold, 110.2 Mlb copper, 527.3
Mlb zinc, 6.2 Moz silver, 7.0 Mlb lead) and an out-of-pit Inferred
Mineral Resource of 1.7 Mt grading 3.06 g/t AuEq for 168.5 koz AuEq
(65.4 koz gold, 13.3 Mlb copper, 102.9 Mlb zinc, 1.4 Moz Ag, 2.6 Mlb lead) (see news release dated
October 25, 2021).
Neither the 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.
Some statements in this news release contain forward-looking
information. These statements include, but are not limited to,
statements with respect to future expenditures. These statements
address future events and conditions and, as such, involve known
and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the statements. Such factors include, among
others, the ability to complete the proposed drill program and the
timing and amount of expenditures. Except as required under
applicable securities laws, Callinex does not assume the obligation
to update any forward-looking statement.
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SOURCE Callinex Mines Inc.