VANCOUVER, BRITISH COLUMBIA–(Marketwired – July 5, 2016) – Constantine Metal Resources Ltd. (TSX VENTURE:CEM) (“Constantine” or the “Company”) is pleased to announce start of the 2016 drill program at the Palmer copper-zinc-silver-gold Project (“Palmer” or “Project”) in Southeast Alaska. The work is part of a US$3.7 million budget for 2016 that is funded by partner Dowa Metals & Mining Co., Ltd. (“Dowa”).
This year’s exploration program is starting by drilling several high quality VMS targets outboard of the known mineral deposit. Principal targets for the 1700 meter first phase drill program include:
- An untested zone of intense VMS footwall style alteration exposed in a creek drainage approximately 1000 meters on strike and east of the mineral resource
- Depth and strike extensions of silver-rich massive barite sulphide mineralization at the Cap prospect where limited historic drilling has intersected 134 g/t silver over 23.2 meters and 31 g/t silver over 90.6 meters; Cap is one of several stratigraphically linked prospects that define a hydrothermal system of comparable scale to the RW-South Wall resource area that is located 2500 meters to the northeast
- A strong conductor anomaly identified by geophysical surveys in 2015 that is supported by the presence of mineralized boulders grading up to 16.1% zinc and 13.2 g/t silver, located 1000 meters to the north of the mineral resource
Garfield MacVeigh, President and CEO, states, “We are excited to be stepping out beyond the immediate resource and begin testing other high-quality prospects that surround the known deposit. The new exploration drilling will occur in parallel with important advanced exploration work that is focused on evaluating the high-grade RW and South Wall resources that are open to expansion in multiple directions.”
The 2016 field program includes environmental, hydrogeology and engineering studies in support of the ongoing evaluation of the inferred mineral resource required for the next steps to advance the project. Work in 2016 will also include road construction and the completion of several geotechnical drill holes.
About the Palmer Project
Palmer is a resource expansion stage, high-grade volcanogenic massive sulphide (VMS) project, with an Inferred Mineral Resource of 8.1 million tonnes grading 1.41% copper, 5.25% zinc, 0.32 g/t gold and 31.7 g/t silver*. The Project is being advanced in partnership with Dowa, who can earn 49% in the project by making aggregate expenditures of US $22 million by December 31, 2016. The project is located in a very accessible part of coastal Southeast Alaska, with road access to the edge of the property and within 60 kilometers of the year-round deep sea port of Haines. Mineralization at Palmer occurs within the same belt of rocks that is host to the Greens Creek mine, one of the world’s richest VMS deposits. There are at least 25 separate base metal and/or barite occurrences and prospects on the Palmer property, indicating the potential for discovery of multiple deposits a few of which will be tested this exploration year.
About the Company
Constantine is a mineral exploration company led by a proven technical team with a focus on premier North American mining environments. The company’s principal asset is the Palmer copper-zinc-silver-gold VMS Project located in Alaska that is being advanced in partnership with Dowa Metals & Mining Co., Ltd. Constantine also controls a pipeline of quality gold projects in the Timmins camp Ontario and Yukon. Management is committed to meaningful community engagement, environmental stewardship, and responsible mineral exploration activities that support local jobs and businesses. Please visit the Company’s website (www.constantinemetals.com) for more detailed company and project information.
On Behalf of Constantine Metal Resources Ltd.
Garfield MacVeigh, President
* 8.125 million tonne inferred resource grading 1.41% copper, 5.25% zinc, 0.32 g/t gold and 31.7 g/t silver. See the Company’s news release dated May 11, 2015 and the Company’s technical report entitled “NI 43-101 Technical Report and Updated Resource Estimate Palmer Exploration Project” dated June 24, 2015 available on www.sedar.com. Resource estimate utilizes an NSR cut-off of US$75/t with assumed metal prices of US$1200/oz for gold, US$18/oz for silver, US$2.75/lb for copper, and US$1.00/lb for zinc. Estimated metal recoveries are 89.6% for copper, 84.9% for zinc, 75% for gold (61.5% to the Cu concentrate and 13.5% to the Zn concentrate) and 89.7% for silver (73.7% to the Cu concentrate and 16% to the Zn concentrate) as determined from metallurgical locked cycle flotation tests. An “Inferred Mineral Resource is that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. Confidence in the estimate is insufficient to allow the meaningful application of technical and economic parameters or to enable an evaluation of economic viability worthy of public disclosure.
Darwin Green, VP Exploration for Constantine Metal Resources Ltd. and a qualified person as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this release.
Forward looking statements: This news release includes certain “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”).” Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “forecast”, “expect”, “potential”, “project”, “target”, “schedule”, budget” and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the expected. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company’s expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
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.
Constantine Metal Resources Ltd.