OROCO CONTINUES NORTH ZONE SUCCESS

Vancouver, Canada, Jan. 11, 2023 (GLOBE NEWSWIRE) — Oroco Resource Corp. (TSX-V: OCO, OTC: ORRCF) (“Oroco” or “the Company”) announces further assay results from the North Zone drilling program at its Santo Tomas project (the “Property”) located in northwestern Mexico.  Holes N039 to N043 totalled 2,668 m of drilling which demonstrated continuity of good grade mineralization, including 135 m of 0.60 CuEq (see Table 1 and Figure 1 attached).  The strike length of the North Zone now spans approximately 1,600 m.  To view an interactive 3D model that includes the North Zone results announced today, use the following link: https://vrify.com or visit Oroco’s website: www.orocoresourcecorp.com.

Richard Lock, Oroco’s CEO, commented: “We are very pleased with the results of the first 43 drill holes of our 2021-2022 North Zone drill program.  They have confirmed and expanded the higher-grade, near-surface mineralization amenable to early-year open-pit mining.  We are also looking forward to the results of the horizontal drill program currently being conducted in the previously untested southwest area of the North Zone as it has the potential to significantly add to the mineral resource estimate in support of our upcoming Preliminary Economic Assessment.”

HIGHLIGHTS

  • Drill hole N039, drilled approximately 200 m downdip from N001 (255 m of 0.39% CuEq) and 200 m up dip from N029 (106.1 m of 0.31 CuEq) demonstrates the continuity of good grade mineralization in the North Zone at plate 59, confirming and expanding the Cu >0.30% Gradeshell model (the “Gradeshell”) defined in the Company’s 2019 Technical Report.
  • Drill hole N040 returned one of the deepest intersections of copper in the North Zone as it intersected a downdip extension of the North Zone to 200 m below sea level, demonstrating that mineralization extends 700 m downdip from surface while still being open downdip and to the west.
  • Drill holes N041, N042 and N043 continued testing the southern end of the North Zone as the Company continued its efforts to confirm shallow-seated higher-grade mineralization at the southern end of the North Zone and to define its southern extent.   
    • Drill hole N041, collared at plate 40, was drilled downdip of N032 (88.7 m of 0.34% CuEq), confirms the Gradeshell while defining the southern limit of the North Zone.
    • Drill hole N042, collared at Plate 44, 200 m north of drill hole N041, returned mineralization that is both broader and of higher grade than predicted by the Gradeshell. 
    • Drill hole N043, collared at plate 38, intersected only minor mineralization as it intersected a steeply dipping east-west fault that defines the southern extent of the North Zone.

DRILLING RESULTS

All drill holes tested the deposit perpendicular to its structural attitude. Core intervals are within approximately 10% of true thickness. Assay results and cross-sections through the first forty-three North Zone drill holes (21,379 m of drilling), the first seven Brasiles Zone drill holes (5,116 m) and the first three South Zone drill holes (2,054 m) are available at the Company’s website. 

North Zone Deposit to the West Side of the Ridge

Drill holes N039 and N040 continued the Company’s testing of the hanging wall side of the deposit in the north-west side of the central axis of the deposit.

Drill hole N039 (Plate 59) returned three mineralized intervals, with a main interval of 265.0 m of 0.36% CuEq commencing approximately 40 m above the Gradeshell and extending 50 m below it.

Drill hole N040 (Plate 65) returned four mineralized intervals, with a main interval of 152.1 m of 0.33 CuEq in a downdip extension approximately 200 m to the west of the Gradeshell.

Defining the Southern Extent of the Central Axis of the North Zone

The southern portion of the North Zone is blind to surface and beneath a blanket of post-mineralization volcanic rock. Modelling of the historical results and structural analysis has successfully delineated the North Zone 400 m south from drill hole N020 to the limit of the zone at drill hole N043.

The North Zone program now has confirmed good-grade mineralization in a gently north-plunging panel beneath the Santo Tomas ridge, extending 1,600 meters along strike, to  400 m and 800 m downdip below surface.  .

Drill hole N042 (Plate 44) returned 135.0 m of 0.60% CuEq extending across and below the Gradeshell.

Drill hole N041 (Plate 40), collared approximately 200 m south of N042, continued the confirmation of the Gradeshell with two mineralized intervals, with the first interval returning 20 m of 0.35 CuEq, and the second main interval commencing 5 m deeper returning 96 m of 0.52 CuEq.

Drill hole N043 (Plate 38), collared approximately 100 m south of N041, returned three minor intervals of mineralization. N043 intersects the faults that are the south termination of the North Zone.

Table 1: Significant Assay Intervals in the 2021-2022 Program, Drill Holes N039 to N043:

Drill Hole
No.
Dip From
(m)
To
(m)
Length
(m)
Cu % Mo % Au g/t Ag g/t* CuEQ %
N039 -55 230.2 288.2 58.0 0.14 0.002 0.010 1.09 0.15
-55 313.3 334.7 21.4 0.46 0.005 0.016 3.70 0.49
-55 355.0 620.0 265.0 0.31 0.010 0.020 2.18 0.36
N040 -85 431.0 472.0 41.0 0.21 0.007 0.012 1.70 0.24
-85 479.0 631.1 152.1 0.29 0.009 0.013 2.61 0.33
N041 -90 224.0 244.6 20.6 0.30 0.002 0.063 1.45 0.35
-90 249.0 345.0 96.0 0.47 0.006 0.038 2.48 0.52
N042 -55 254.0 389.0 135.0 0.53 0.005 0.075 2.99 0.60
N043 -55 330.9 356.0 25.1 0.21 0.002 0.023 1.86 0.23

Cu Equivalent (CuEq) % = Cu % + (Mo %*3.75) + (Au ppm*0.752).  The commodity prices (3-year Average) used are in $US: Cu $3.20 /lb, Mo $12.00 /lb, and Au $1,650.00 /troy oz.  * Ag values are not used in the CuEq calculations.

BALANCE OF THE NORTH ZONE PROGRAM

The Company’s has largely completed its North Zone drill program in support of the planned Preliminary Economic Feasibility Study. The balance of the program focusses on horizontal drilling from the base of the Santo Tomas ridge. Horizontal holes and shallow dipping holes will allow testing of the southern 400 m of the North Zone, at depths 300 to 500 m below surface, to the south of hole N038 (plate 49) (see Figure 1 attached). This area of the North Zone has the potential to add significant tonnage to the resource estimate being prepared in support of the planned Preliminary Economic Assessment.  

SOUTH ZONE PROGRAM

The Company’s South Zone program has now drilled 19 holes (11,069 m) in its program to confirm and test the South Zone deposit, with the assay results of holes S004 through S019 pending.   Historical drilling, surface geological mapping, and the Dias Geo 3D Induced Polarization survey have defined near-surface mineralization projected to 400 m below the surface along 2,500 m of strike length.

TECHNICAL INFORMATION AND QUALITY CONTROL / QUALITY ASSURANCE

The historical drilling data employed in this current exploration program was the subject of Data Verification procedures cited in the current Technical Report.  Additional drill collar verifications were performed in the current program, and collar locations fit closely to the 2021/2022 survey control. Appropriate QA/QC protocols governed geological logging, core sampling, sample preparation, analyses, and security during the current program, including quality controls with duplicates, standards, and blanks.  Samples were submitted to the Mexican division of ALS Limited in Hermosillo, Mexico, for sample preparation to pulps.  Sample pulps are then sent to ALS Canada Ltd. in Vancouver, Canada, for analysis.  Total copper and molybdenum contents are determined by four-acid digestion with AAS finish. Gold was determined by fire assay of a 50-gram charge, or alternately, of a 30-gram charge (1 Assay ton).

 QUALIFIED PERSON

Mr. Paul McGuigan, P. Geo., of Cambria Geosciences Inc., a “Qualified Person” (as defined in NI 43-101 –Standards for Disclosure for Mineral Projects) and a senior consulting geoscientist to the Company, has reviewed and approved the technical disclosures in this news release.  The Company strictly adheres to CIM Best Practices Guidelines in conducting, documenting, and reporting the exploration activities on its projects.

ABOUT OROCO:

The Company holds a net 85.5% interest in the collective 1,172.9 ha Core Concessions of the Santo Tomas Project in NW Mexico.  The Company also holds an 80% interest in 8,154.3 ha of mineral concessions surrounding and adjacent to the Core Concessions (for a total project area of 23,048 acres).  The Project is situated within the Santo Tomas District, which extends from Santo Tomas up to the Jinchuan Group’s Bahuerachi project, approximately 14 km to the northeast.  Santo Tomas hosts a significant copper porphyry deposit defined by prior exploration spanning the period from 1968 to 1994. During that time, the property was tested by over 100 diamond and reverse circulation drill holes, totalling approximately 30,000 meters.  Based on data generated by these drill programs, a historical Prefeasibility Study was completed by Bateman Engineering Inc. in 1994.

The Santo Tomas Project is located within 160 km of the Pacific deep-water port at Topolobampo and is serviced via highway and proximal rail (and parallel corridors of trunk grid power lines and natural gas) through the city of Los Mochis to the northern city of Choix.  The property is reached by a 32 km access road originally built to service Goldcorp’s El Sauzal Mine in Chihuahua State.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Information

This news release includes certain “forward-looking information” and “forward-looking statements” (collectively “forward-looking statements”) within the meaning of applicable Canadian securities legislation.  All statements, other than statements of historical fact included herein, including, without limitation, statements relating to future events or achievements of the Company, are forward-looking statements.  There can be no assurance that such forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated or implied in such statements.  Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements.  Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these matters.  Oroco does not assume any obligation to update the forward-looking statements should they change, except as required by law.

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