VANCOUVER, Nov. 8, 2017 /CNW/ - Tinka Resources
Limited ("Tinka" or the "Company") (TSXV &
BVL: TK) (OTCPK: TKRFF) is pleased to announce a Mineral
Resource update for its 100%-owned Ayawilca zinc-
indium-silver-lead sulphide deposit in Peru which includes the addition of ~15,000
metres of drilling completed so far in 2017. The zinc
resource at Ayawilca is now estimated to be 42.7 million tonnes
grading 7.3 % zinc equivalent (ZnEq). In addition, Tinka
announces an updated tin-copper-silver resource estimated to be
10.5 million tonnes grading 0.70% tin equivalent
(SnEq). The Tin Zone and Zinc Zone resources do not
overlap. Both of the Mineral Resources were assigned to the
Inferred category and reported at an NSR cut-off value of
US$55/tonne, as estimated by Roscoe
Postle Associates Inc. (RPA Inc.) of Toronto, Canada. Drilling beyond the
Mineral Resource boundaries is continuing.
Key Highlights of Resource Updates
- Inferred Zinc Mineral Resource of 42.7 million tonnes
grading 6.0 % zinc, 0.2 % lead, 17 g/t silver & 79 g/t indium
(7.3 % ZnEq), including:
-
- 5.6 billion pounds of zinc;
- 3.4 tonnes of indium;
- 23.1 million ounces of silver; and
- 209 million pounds of lead.
- Inferred Tin Mineral Resource of 10.5 million tonnes grading
0.63 % tin, 0.23 % copper, & 12 g/t silver (0.70 % SnEq),
including:
-
- 145 million pounds of tin;
- 53 million pounds of copper; and
- 4.2 million ounces of silver.
Dr. Graham Carman, Tinka's
President and CEO, stated: "These updated Mineral Resource
estimates are a major milestone for the Company. Ayawilca now has
5.6 billion pounds of contained zinc classified as Inferred
resources, with significant potential for more as the resources are
open in several directions. The updated Zinc mineral resource shows
a 130 % increase in total contained pounds of zinc since the last
resource estimate (May 2016), and a
127 % increase in overall tonnage (from 18.8 Mt to 42.7 Mt).
The zinc grade has gone up slightly to 6.0 % Zn (from 5.9 % Zn)
while the zinc equivalent grade has decreased to 7.3 % ZnEq (from
8.2 % ZnEq) due to a higher zinc price and a lower indium price.
Importantly, South Ayawilca now forms a high-grade core with 13.3
million tonnes grading 7.6 % Zn (9.5 % ZnEq) – see Table 3.
In addition, the Tin Mineral Resource has increased by 60 % since
the last resource estimate (May 2016)
to now include 145 million pounds of contained tin."
"I am very pleased to report that Tinka has exceeded its two
initial objectives for the year; firstly, an additional high-grade
zinc discovery was made at South Ayawilca; secondly, we doubled the
contained pounds of zinc in the resources. Furthermore, Tinka is
continuing to aggressively drill outside of the resource areas
looking for new zinc discoveries and/or extensions of known
mineralization - one rig is currently drilling at Zone 3, while the
second rig is testing the extensions of West Ayawilca."
Table 1 – Ayawilca
Deposit Inferred Mineral Resources – Zinc Zone (Base Case
Highlighted)
|
NSR $/t
Cut-off
|
Tonnage
(Mt)
|
ZnEq%
Grade
|
Zinc
%
|
Lead
%
|
Indium
g/t
|
Silver
g/t
|
40
|
47.2
|
6.9
|
5.6
|
0.2
|
74
|
16
|
50
|
44.6
|
7.1
|
5.8
|
0.2
|
77
|
17
|
55
|
42.7
|
7.3
|
6.0
|
0.2
|
79
|
17
|
60
|
40.1
|
7.5
|
6.1
|
0.2
|
82
|
17
|
70
|
33.8
|
8.1
|
6.6
|
0.2
|
92
|
18
|
Table 2 – Ayawilca
Deposit Inferred Mineral Resources – Tin Zone (Base Case
Highlighted)
|
NSR $/t
Cut-off
|
Tonnage
(Mt)
|
SnEq%
Grade
|
Tin
%
|
Copper
%
|
Silver
g/t
|
40
|
10.9
|
0.68
|
0.61
|
0.23
|
12
|
50
|
10.7
|
0.70
|
0.62
|
0.23
|
12
|
55
|
10.5
|
0.70
|
0.63
|
0.23
|
12
|
60
|
9.9
|
0.72
|
0.64
|
0.24
|
13
|
70
|
8.3
|
0.78
|
0.70
|
0.24
|
13
|
Detail of Mineral Resource Estimates
RPA updated the Ayawilca Mineral Resource estimate using the
drill results available to October 10,
2017 (Tables 3 and 4). Two types of
mineralization occur at Ayawilca, tin-copper mineralization ("Tin
Zone") and the zinc-indium-silver-lead mineralization ("Zinc
Zone").
The Zinc Zone Mineral Resources are hosted by Triassic Pucará
Group limestone approximately 200 metres thick and located beneath
the Goyllarisguizga Group sandstone unit which outcrops, and hosts
the Colquipucro silver oxide deposit located 1.5 km to the
north. The Zinc Zone deposit is made up of multiple, gently
dipping lenses or 'mantos' in the Central and East Ayawilca zones
and as massive replacement bodies within structural zones in the
West and South Ayawilca zones, all located above Paleozoic basement
rocks. The bulk of the polymetallic mineralization in central
Peru is located in a similar
geological environment. Inferred Mineral Resources within the
Zinc Zone, reported at a US$55/t Net
Smelter Return (NSR) cut-off value, are estimated to total 42.7
million tonnes at average grades of 6.0 % Zn, 79 g/t In, 17 g/t Ag,
and 0.2 % Pb.
The increase in tonnage and zinc grade as compared to the
May 2016 Mineral Resource estimate is
due to an increase in volume of the interpreted mineralized zones
as a result of the addition of the high-grade South Zone discovered
during the 2017 drilling campaign, higher metal prices, and lower
cut-off value.
Table 3 – Zinc
Zone Inferred Mineral Resources at Ayawilca as of October 10,
2017
|
|
|
|
|
|
|
|
|
|
|
|
Zone
|
Tonnage
(Mt)
|
ZnEq (%)
|
Zn (%)
|
Pb
(%)
|
In
(g/t)
|
Ag (g/t)
|
Zn (Mlb)
|
Pb (Mlb)
|
In (kg)
|
Ag (Moz)
|
West
|
9.0
|
7.2
|
6.1
|
0.2
|
64
|
14
|
1,206
|
37
|
577
|
4.0
|
Central
|
13.0
|
5.7
|
4.7
|
0.3
|
54
|
13
|
1,338
|
77
|
704
|
5.4
|
East
|
7.5
|
6.2
|
5.1
|
0.2
|
69
|
13
|
846
|
34
|
519
|
3.1
|
South
|
13.3
|
9.5
|
7.6
|
0.2
|
118
|
25
|
2,228
|
61
|
1,561
|
10.6
|
Total
|
42.7
|
7.3
|
6.0
|
0.2
|
79
|
17
|
5,617
|
209
|
3,361
|
23.1
|
|
|
Notes:
|
|
1.
|
CIM definitions were
followed for Mineral Resources.
|
2.
|
Mineral Resources are
reported above a cut-off NSR value of US$55 per tonne.
|
3.
|
The NSR value was
based on estimated metallurgical recoveries, assumed metal prices
and smelter terms, which include payable factors, treatment
charges, penalties, and refining charges. Metal price assumptions
were: US$1.15/lb Zn, US$300/kg In, US$18/oz Ag, and US$1.10/lb Pb.
Metal recovery assumptions were: 90% Zn, 75% In, 60% Ag, and 75%
Pb. The NSR value for each block was calculated using the
following NSR factors: US$15.34 per % Zn, US$6.15 per % Pb, US$0.18
per gram In, and US$0.27 per gram Ag.
|
4.
|
The NSR value was
calculated using the following formula:
NSR = Zn(%)*US$15.34+Pb(%)
*US$6.15+In(g/t)*US$0.18+Ag(g/t)*US$0.27]
|
5.
|
The ZnEq value was
calculated using the following formula: ZnEq =
NSR/US$15.34
|
6.
|
Numbers may not add
due to rounding.
|
The Tin Zone Mineral Resources are hosted as disseminated
cassiterite and chalcopyrite in massive to semi-massive pyrrhotite
lenses at the contact between the Pucará Group and underlying
phyllite of the Devonian Excelsior Group. Parts of the Tin
Zone mineralization can occur as quartz sulphide stockwork veinlets
hosted by the phyllite. Inferred Mineral Resources within the
Tin Zone, also reported at an NSR cut-off value of US$55/t, are estimated to total 10.5 million
tonnes at average grades of 0.63 % Sn, 0.23 % Cu and 12 g/t
Ag. Similar to the Zinc Zones, the increase in tonnage is due
to an increased volume of the interpreted zones due to the newly
discovered South Zone and a lower cut-off grade.
Table 4 – Tin Zone
Inferred Mineral Resources at Ayawilca as of October 10,
2017
|
|
|
|
|
|
|
|
|
|
|
Tonnage
(Mt)
|
Sn
Eq.
(%)
|
Sn
(%)
|
Cu
(%)
|
Ag
(g/t)
|
Sn
(Mlb)
|
Cu
(Mlb)
|
Ag
(Moz)
|
Tin
Zones
|
10.5
|
0.70
|
0.63
|
0.23
|
12
|
145
|
53
|
4.2
|
|
|
Notes:
|
|
1.
|
CIM definitions were
followed for Mineral Resources.
|
2.
|
Mineral Resources are
reported above a cut-off grade of US$55 per tonne NSR
value.
|
3.
|
The NSR grade was
based on estimated metallurgical recoveries, assumed metal prices
and smelter terms, which include payable factors, treatment
charges, penalties, and refining charges. Metal price assumptions
were: US$9.50/lb Sn, US$3/lb Cu, and US$18/oz Ag. Metal recovery
assumptions were: 86% Sn, 75% Cu, and 60% Ag. The NSR value
for each block was calculated using the following NSR factors:
US$164.53 per % Sn, US$39.95 per % Cu, and US$0.27 per gram
Ag.
|
4.
|
The NSR value was
calculated using the following formula:
US$NSR =
[Sn(%)*US$164.53+Cu(%)*US$39.95+Ag(g/t)*US$0.27].
|
5.
|
The SnEq value was
calculated using the following formula:
SnEq = NSR/US$164.53
|
6.
|
Numbers may not add
due to rounding.
|
The Ayawilca drill database includes 44,846 m in 122 drill
holes. A set of cross-sections and level plans were
interpreted to construct three-dimensional wireframe models at
approximate NSR cut-off value of $50/t for both Zinc and Tin Zones. Prior to
compositing to two metre lengths, high Zn, Sn, In, and Ag values
were cut to 25%, 4%, 500 g/t, and 100 g/t, respectively.
Block model grades within the wireframe models were interpolated by
inverse distance cubed. Despite lead grades being low it is
assumed that lead and silver will be recovered in a lead
concentrate. Density was estimated to be 3.6 t/m3
for the Zinc Zones and 3.9 t/m3 for the Tin Zones.
All Mineral Resources were assigned to the Inferred category due to
the widely spaced drilling. No Mineral Reserves have yet been
estimated at Ayawilca.
The Mineral Resource estimate for the Colquipucro silver oxide
deposit (Indicated Mineral Resource of 7.4 Mt at a grade of 60 g/t
Ag for 14.3 Moz Ag and Inferred
Mineral Resource of 8.5 Mt at a grade of 48 g/t Ag for 13.2
Moz Ag, using US$15/t cut-off and a metal price of $24/oz Ag) remains unchanged from the
February 26, 2015 news release.
The Mineral Resource estimates in this news release have been
classified in accordance with Canadian Institute of Mining
Metallurgy and Petroleum's " CIM Definition Standards - For Mineral
Resources and Mineral Reserves " 2014
Qualified Person – Mineral Resources: The Mineral
Resources disclosed in this press release have been estimated by
Mr. David Ross, P.Geo., an employee
of RPA and independent of Tinka. By virtue of his education
and relevant experience, Mr. Ross is a "Qualified Person" for the
purpose of National Instrument 43-101. The Mineral Resources have
been classified in accordance with CIM Definition Standards for
Mineral Resources and Mineral Reserves (May, 2014). Mr. Ross,
P.Geo. has read and approved the contents of this press release as
it pertains to the disclosed Mineral Resource estimates.
A National Instrument 43-101 Technical Report will be filed on
SEDAR within 45 days.
The qualified person, Dr. Graham
Carman, Tinka's President and CEO, and a Fellow of the
Australasian Institute of Mining and Metallurgy, has reviewed and
verified the technical contents of this release.
On behalf of the Board,
"Graham Carman"
Dr. Graham
Carman, President & CEO
About Tinka Resources Limited
Tinka is an exploration
and development company with its flagship property being the
100%-owned Ayawilca carbonate replacement deposit (CRD) in the
zinc-lead-silver belt of central Peru, 200 kilometres northeast of Lima. The Ayawilca Zinc Zone Inferred Mineral
Resource estimate now consists of 42.7 Mt at 6.0 % zinc, 0.2 %
lead, 17 g/t silver & 79 g/t indium, and a Tin Zone Inferred
Mineral Resource of 10.5 Mt at 0.63 % tin, 0.23 % copper & 12
g/t silver (this release). Drilling for resource extensions and the
testing of new targets is ongoing.
Forward Looking Statements: Certain information in this
news release contains forward-looking statements and
forward-looking information within the meaning of applicable
securities laws (collectively "forward-looking
statements"). All statements, other than statements of
historical fact are forward-looking statements. Forward-looking
statements are based on the beliefs and expectations of Tinka as
well as assumptions made by and information currently available to
Tinka's management. Such statements reflect the current
risks, uncertainties and assumptions related to certain factors
including, without limitations, drilling results, the Company's
expectations regarding mineral resource calculations, capital and
other costs varying significantly from estimates, production rates
varying from estimates, changes in world metal markets, changes in
equity markets, uncertainties relating to the availability and
costs of financing needed in the future, equipment failure,
unexpected geological conditions, imprecision in resource estimates
or metal recoveries, success of future development initiatives,
competition, operating performance, environmental and safety risks,
delays in obtaining or failure to obtain necessary permits and
approvals from local authorities, community agreements and
relations, and other development and operating risks. Should any
one or more of these risks or uncertainties materialize, or should
any underlying assumptions prove incorrect, actual results may vary
materially from those described herein. Although Tinka
believes that assumptions inherent in the forward-looking
statements are reasonable, forward-looking statements are not
guarantees of future performance and accordingly undue reliance
should not be put on such statements due to the inherent
uncertainty therein. Except as may be required by applicable
securities laws, Tinka disclaims any intent or obligation to update
any forward-looking statement.
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 news release
SOURCE Tinka Resources Limited