Jan 18, 1999 News Release - Argentina Property
TWO LARGE VOLCANIC-HOSTED PRECIOUS METALS
TARGETS DISCOVERED AT LA ORTIGA
TNR Resources Ltd. (the "Company") is pleased to announce that the
Phase I exploration program completed in late 1998 on the 54.5 sq.km.
La Ortiga property in San Juan province, Argentina has resulted in the
identification of two large, volcanic-hosted precious metal targets,
designated the SILICIFIED ZONE and the BRECCIA ZONE. The
property, which is underlain largely by the Late Tertiary rhyolitic to
andesitic rocks of the Dona Ana Formation, is located on the eastern
edge of the very prolific El Indio gold-silver belt, approximately 12km
east of the richly mineralized Amable Zone on the Veladero Property
owned by Argentina Gold Corp. (60%) and Barrick Gold Corp. (40%).
The SILICIFIED ZONE is located in the southeastern part of the
property and is characterized by intense, probably structure
-controlled silicification (massive chalcedonic and opaline silica; smoky to milky quartz) which occurs over an area 1.2 km by 1.8 km. At least one major structure, an east-west trending, brecciated fault zone, healed with silica and up to 50 m wide, has been noted. Over 60 rock samples were collected from this altered area; 10 of these yielded gold values in excess of 100 ppb, including 5 located in the western part of the zone which contained in excess of a 1000 ppb 1.0 g/T[(>10,000 (>10.0 g/T), 4290 (4.29 g/T), 2680 (2.68 g/T), 2121 (2.12 g/T) and 1049 (1.05 g/T) ppb Au)]. A significant number of these samples also contain elevated amounts of arsenic, mercury and barium.
The BRECCIA ZONE, centered approximately 5.5 km to the west,
encompasses a number of moderately to intensely silicified,
hydrothermal breccias, ranging in diameter from 15 m to 30 m, hosted
by argillically altered dacites and andesites within an area of some 2.5 sq. km. A total of 206 colluvium samples were collected from this zone; these have identified two areas of interest, 1.5 km apart and up to 400 m by 500 m in extent, that have yielded anomalous gold values [to 469 ppb (.47 g/T), 4506 ppb 4.5 g/T)].
In addition to these two large targets, the Phase I activities have also identified, by the presence of anomalous gold values or alteration, four other potential areas of interest which require additional evaluation.
All of the work, consisting of rock (251), colluvium (talus) (423) and
BLEG (35) sampling, prospecting and reconnaissance geological and
alteration mapping, was conducted by Coast Mountain Geological Ltd.
at a total cost of US$125,000. Processing and analysis of all samples
was carried out by ITS-Bondar Clegg at facilities in Argentina, Chile and
British Columbia. Gold contents of rock and colluvium samples were
determined by 30 gr fire assay with an AA finish while for the BLEG
samples, a cyanide leach followed by an AA analysis is utilized.
The Phase II Program, comprising additional sampling, geophysics (IP
for resistivity), and trenching, for a total estimated cost of US$215,000, is currently underway and is designed to further investigate the known targets, define new areas of interest, and advance these to the drilling stage. Phase II is expected to be completed by late February and will be followed immediately by a drill program.
TNR Resources Ltd. has granted Orko Gold Corporation, by way of an
option agrement dated October 28, 1998, the right to earn a 60%
interest in this property and two others in the immediate vicinity, with a total area of 148sq.km., by making staged cash payments and share issuances totalling US$340,000 and 600,000 shares, respectively, prior to December 7, 2001, and incurring exploration expenditures of U$3 million prior to May 7, 2003.
ON BEHALF OF THE BOARD
Gary Schellenberg, President
The Vancouver Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this news release. |
