For those who follow MR.T or METLF, here are the results. Since the stock is not reacting well, I assume it's not what was expected.. Looks OK, maybe low grades?
Metallica Resources Announces Positive Drill Results At The El Morro Project
Denver, Colorado - Monday, April 8, 2002, 8:30 AM EDT
Press Release No. 02-04
Metallica Resources Inc. (TSE: MR, NASDAQ OTC BB: METLF) reports
that the current drilling program at its El Morro copper-gold
project in Chile has extended the limits of the main La Fortuna
deposit to the north and northwest as well as encountering
additional significant mineralization in the El Morro area.
Noranda Chile Ltda, Metallica's joint venture partner at El
Morro, has reported results on 4,112 meters of core in 9 holes
and 4,364 meters of reverse circulation rotary (RVC) in 15 holes.
Noranda currently has four core drills and one RVC drill working
at the project and intends to drill a total of approximately
10,000 meters of core and 5,000 meters of RVC by the end of the
campaign in mid-April. Included in this drilling is a 1,000 meter
deep hole in the central part of the La Fortuna deposit designed
to test the depth of the primary mineralized zone.
As previously reported, Noranda's objectives for this year's
program are to:
- Test for an expansion of the inferred resource at the La
Fortuna area to the north, northwest and at depth.
- Test known mineralization and geophysical targets that
remain open in the El Negro and El Morro areas.
- Test new remote sensing, geophysical and geological
targets throughout the property.
The core drill is being used for the expansion of the inferred
resources and also in areas of known mineralization. The RVC
drill is being used to test new exploration targets.
AREAS OF KNOWN MINERALIZATION
LA FORTUNA AREA
The La Fortuna area is the location of an inferred resource of
410 million tonnes grading 0.61 percent copper and 0.56 grams of
gold per tonne, equating to approximately 5.5 billion pounds of
copper and 7.4 million ounces of gold, at a cutoff grade of 0.4
percent copper. Holes DDHF-30 and DDHF-38 have extended the
deposit to the north. Hole DDHF-30 returned 111 meters of
secondary mineralization grading 0.80 percent copper and 0.40
grams of gold per tonne. Within this 111 meter interval is 65
meters grading 1.05 percent copper and 0.34 grams of gold per
tonne. Below the secondary zone is 445 meters of primary
mineralization grading 0.35 percent copper and 0.36 grams of gold
per tonne. Hole DDHF-38, located approximately 200 meters
northeast of hole DDHF-30, intersected 44 meters of secondary
mineralization grading 1.51 percent copper and 0.47 grams of gold
per tonne.
Rotary hole RCF-19, located approximately 500 meters north of the
currently defined La Fortuna resource area, intersected 58 meters
of secondary mineralization grading 0.32 percent copper and 0.02
grams of gold per tonne below 226 meters of overburden.
Core Drill Results
------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
DDHF-30 0 184 184 0.03 0.53 Leached Zone
184 248 65 1.01 0.34 Secondary Zone
248 294 46 0.51 0.48 Secondary Zone
294 739 445 0.35 0.36 Primary Zone
---------------------------------------------------------------
DDHF-38 0 112 112 0.00 0.00 Gravel
112 192 80 0.06 0.49 Leached Zone
192 236 44 1.51 0.47 Secondary Zone
236 291 55 0.20 0.21 Primary Zone
---------------------------------------------------------------
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCF-19 0 210 210 Gravel -
Not Assayed
210 226 16 0.00 0.00 Leached Zone
226 284 58 0.32 0.02 Secondary Zone
284 334 50 0.05 0.07 Primary Zone
334 376 42 0.16 0.19 Primary Zone
376 400 24 0.04 0.03 Primary Zone
---------------------------------------------------------------
NORTHWEST EXTENSION OF THE LA FORTUNA AREA
Based on drill results from the 2001 campaign for hole DDHF-20,
as well as geological and geophysical evidence, additional core
drilling is being completed in an area approximately 700 meters
northwest of the main La Fortuna resource area. Holes DDHF-33 and
DDHF-34, along with hole DDHF-20, indicate the presence of a
secondary copper zone that averages approximately 45 meters in
thickness grading 0.52 percent copper and 0.17 grams of gold per
tonne. Additional drilling has been completed in this area to
better define this mineralization. Assays from these additional
holes are pending.
Core Drill Results
------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
DDHF-20 0 7 7 Not Assayed
7 144 137 0.03 0.25 Leached Zone
144 176 32 0.78 0.24 Secondary Zone
176 422 246 0.20 0.29 Primary Zone
---------------------------------------------------------------
Note: Hole DDHF-20 was drilled and reported in 2001
---------------------------------------------------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
DDHF-31 0 164 164 0.03 0.03 Leached Zone
164 310 146 0.07 0.05 Secondary Zone
310 603 293 0.13 0.16 Primary Zone
---------------------------------------------------------------
DDHF-33 0 66 66 0.02 0.74 Leached Zone
66 172 106 0.04 0.29 Leached Zone
172 216 44 0.63 0.21 Secondary Zone
216 322 106 0.19 0.08 Primary Zone
322 600 278 0.08 0.05 Primary Zone
---------------------------------------------------------------
DDHF-34 0 74 74 0.00 0.01 Gravel
74 346 272 0.02 0.21 Leached Zone
346 404 58 0.30 0.11 Secondary Zone
404 468 64 0.11 0.07 Primary Zone
468 502 34 0.22 0.08 Primary Zone
502 641 139 0.07 0.04 Primary Zone
---------------------------------------------------------------
DDHF-37 0 62 62 0.04 0.12 Leached Zone
62 116 54 0.13 0.15 Leached Zone
116 148 32 0.01 0.01 Leached Zone
148 196 48 0.09 0.13 Secondary Zone
196 412 212 0.05 0.07 Secondary Zone
412 553 141 0.04 0.09 Primary Zone
---------------------------------------------------------------
No rotary holes have been drilled in the Northwest Extension area
during this drilling campaign.
EL MORRO AREA
In its first drilling campaign on the El Morro project in 2000,
Noranda drilled 12 core holes in the El Morro area totaling
approximately 3,500 meters. Based on this drilling, a mineralized
area of approximately 1,000 meters in length by 400 meters in
width was projected. Using a copper cutoff grade of 0.35 percent
copper, this mineralized area is approximately 130 meters thick
and averages approximately 0.5 percent copper and 0.1 grams of
gold per tonne.
During this drilling campaign, Noranda has drilled three RVC
holes in the El Morro area. Rotary hole RDM-9, drilled within the
northeast portion of the projected mineralized area, confirmed
the mineralized area. This hole intersected 50 meters of
secondary mineralization grading 0.91 percent copper and 0.58
grams of gold per tonne. The underlying primary mineralization
returned 170 meters grading 0.45 percent copper and 0.27 grams of
gold per tonne.
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RDM-8 0 294 294 0.01 0.02 Geology Pending
---------------------------------------------------------------
RDM-9 0 68 68 0.04 0.14 Leached Zone
68 118 50 0.91 0.58 Secondary Zone
118 288 170 0.45 0.27 Primary Zone
288 400 112 0.08 0.04 Primary Zone
---------------------------------------------------------------
RDM-10 0 32 32 0.04 0.07 Geology Pending
32 94 62 0.19 0.05 Geology Pending
94 168 74 0.06 0.03 Geology Pending
168 200 32 0.27 0.06 Geology Pending
200 316 116 0.05 0.02 Geology Pending
316 400 84 0.17 0.07 Geology Pending
---------------------------------------------------------------
No core holes have been drilled in the El Morro area during this
drilling campaign.
EL NEGRO AREA
Prior to the 2002 drilling campaign, Noranda had drilled 16 core
holes in the El Negro area totaling approximately 5,000 meters.
Noranda has reported results from six additional holes in the El
Negro area.
Core Drill Results
------------------
Two holes were drilled to test extensions to known mineralization
at El Negro. The results from this drilling are as follows:
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
DDHN-18 0 251 251 0.02 0.01 Geology Pending
---------------------------------------------------------------
DDHN-19 12 40 28 0.01 0.02 Primary Zone
40 44 4 0.13 0.11 Fault Zone
44 250 206 0.01 0.01 Primary Zone
---------------------------------------------------------------
Rotary Drill Results
--------------------
Four RVC holes were drilled to test geophysical anomalies in the
El Negro area. The results of this drilling are as follows:
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCN-4 0 100 100 0.02 0.05 Geology Pending
---------------------------------------------------------------
RCN-5 4 138 138 0.01 0.02 Geology Pending
---------------------------------------------------------------
RCN-6 2 228 226 0.01 0.02 Geology Pending
---------------------------------------------------------------
RCN-7 0 122 122 0.05 0.03 Geology Pending
122 132 10 0.55 0.02 Primary Zone
132 250 118 0.07 0.02 Primary Zone
---------------------------------------------------------------
EXPLORATION AREAS
NORTH CAMP AREA
Two rotary holes were drilled to test a geophysical and
geological target located approximately 1.5 kilometers northwest
of La Fortuna. One of the holes, RCF-17, was re-entered and
deepened with a core drill. The following are the results of the
North Camp area drilling:
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCF-17 0 50 50 Gravel -
Not Assayed
50 98 48 0.01 0.02 Leached Zone
98 216 118 0.03 0.05 Leached Zone
216 400 184 See results
for DDHF-36
below
---------------------------------------------------------------
RCF-18 0 46 46 0.11 0.04 Leached Zone
46 84 38 0.02 0.02 Leached Zone
84 110 26 0.24 0.08 Secondary Zone
110 194 84 0.09 0.11 Primary Zone
---------------------------------------------------------------
Core Drill Results
------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
DDHF-36 0 216 216 See results
for RCF-17
above
216 400 184 0.05 0.15 Primary
---------------------------------------------------------------
RENE MARTIN AREA
Two rotary holes were drilled to test a geophysical target
approximately 1.5 kilometers south of the La Fortuna area. The
results are as follows:
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCTG-1 0 278 278 Gravel -
Not Assayed
278 324 46 0.02 0.05 Geology Pending
---------------------------------------------------------------
RCTG-2 0 260 260 Gravel -
Not Assayed
260 300 40 0.03 0.15 Geology Pending
300 318 18 0.48 0.02 Fault zone,
structure or
lithologic
contact
318 342 24 0.07 0.03 Geology Pending
342 362 20 0.18 0.03 Fault zone,
structure or
lithologic
contact
362 390 28 0.03 0.02 Geology Pending
---------------------------------------------------------------
No core holes have been drilled in the Rene Martin area during
this drilling campaign.
CANTARITO AREA
One hole has been reported from the Cantarito area, which is
located approximately 500 meters southeast of the La Fortuna
resource area. The results are as follows:
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCC-19 0 394 394 0.01 0.01 Geology Pending
---------------------------------------------------------------
No core holes have been drilled in the Cantarito area during this
drilling campaign.
CERRO COLORADO AREA
Two holes were drilled to test a geophysical target located
approximately two kilometers south of the El Negro area. The
results are as follows:
Rotary Drill Results
--------------------
---------------------------------------------------------------
Hole From To Length Cu Au Comments
(m) (m) (m) % g/t
===============================================================
RCO-1 0 14 14 0.18 0.06 Leached Zone
14 34 20 0.06 0.05 Primary Zone
34 140 106 0.16 0.06 Primary Zone
140 330 190 0.05 0.03 Primary Zone
---------------------------------------------------------------
RCO-2 0 88 88 0.11 0.04 Primary Zone
88 304 216 0.08 0.04 Primary Zone
---------------------------------------------------------------
No core holes have been drilled in the Cerro Colorado area during
this drilling campaign.
Bondar Clegg, of Coquimbo, Chile, using Gannet certified
standards, has completed all of Noranda's analytical work on the
project to date. The analytical method used is geochemical
analysis for the copper and fire assay with an atomic absorption
finish for the gold values. A quality control program, using
project specific standards and blank samples, is ongoing. The
qualified person responsible for the design and conduct of the
work performed is Michael Donnelly for Noranda Inc.
Noranda is the project operator and can earn a 70 percent
interest in the El Morro project by completing work commitments
of US$10 million and making a cash payment to Metallica of
US$10 million prior to September 2005. Noranda is also required
to complete a bankable feasibility study by September 2007 and
provide 91 percent of the capital required to develop the
project.
Mr. Ritch Hall, Metallica's CEO, stated, "The drill results that
we have received thus far are very encouraging. They extend the
La Fortuna deposit to the north; extend the secondary copper
mineralization 700 meters northwest of the known La Fortuna
resource and substantiate the projected mineralized zone at El
Morro."
Metallica Resources is a Canadian precious metals exploration and
development company focused on Latin America. The company is well
funded and has 28.5 million common shares outstanding. Visit
Metallica Resources' web site at www.metal-res.com and send
e-mail to metallica@metal-res.com.
CONTACT: Ritch Hall, President and CEO, (303) 796-0229, Ext. 304
THE STATEMENTS IN THIS PRESS RELEASE THAT ARE NOT HISTORICAL
FACTS CONTAIN FORWARD LOOKING INFORMATION. THESE STATEMENTS
ADDRESS FUTURE EVENTS INVOLVING KNOWN AND UNKNOWN RISKS AND
UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO VARY MATERIALLY
FROM PROJECTED RESULTS. THESE RISKS AND UNCERTAINTIES INCLUDE
THOSE DESCRIBED IN METALLICA'S FORM 20-F.
DRILL HOLE COORDINATES-2002 DRILL CAMPAIGN
(April 8, 2002)
---------------------------------------------------------------
HOLE-ID TARGET GRID GRID COLLAR DIP AZIMUTH TOTAL
AREA EAST NORTH ELEV. DEPTH
===============================================================
DDHF-30 LA FORTUNA -
N extension 413414 6833232 4132 -71 29 739
DDHF-38 LA FORTUNA -
N extension 413507 6833410 4185 -70 30 291
RCF-19 LA FORTUNA -
N extension 413690 6833765 4258 -90 0 400
DDHF-31 LA FORTUNA -
NW extension 412708 6833375 4129 -70 30 603
DDHF-33 LA FORTUNA -
NW extension 412846 6833638 4126 -68 30 600
DDHF-34 LA FORTUNA -
NW extension 413198 6833567 4236 -60 211 641
DDHF-37 LA FORTUNA -
NW extension 412645 6833630 4075 -70 31 553
---------------------------------------------------------------
RDM-08 EL MORRO 409675 6834800 3919 -70 190 294
RDM-09 EL MORRO 409035 6835169 3972 -70 210 400
RDM-10 EL MORRO 408695 6835253 3938 -70 180 400
---------------------------------------------------------------
DDHN-18 EL NEGRO 410784 6830874 3895 -68 55 251
DDHN-19 EL NEGRO 411400 6832500 3913 -69 216 250
RCN-04 EL NEGRO 411820 6830870 3872 -90 0 100
RCN-05 EL NEGRO 410984 6830461 3817 -90 0 138
RCN-06 EL NEGRO 411591 6830723 3867 -60 237 228
RCN-07 EL NEGRO 411486 6832378 3907 -68 213 250
---------------------------------------------------------------
RCF-17 LA FORTUNA -
North Camp 411938 6833885 4064 -70 30 216
DDHF-36 LA FORTUNA -
North Camp 411938 6833885 4064 -70 30 184
RCF-18 LA FORTUNA -
North Camp 412280 6833670 4040 -68 30 194
---------------------------------------------------------------
RCTG-01 RENE MARTIN 413870 6831399 4129 -90 0 326
RCTG-02 RENE MARTIN 413706 6831149 4088 -90 0 390
---------------------------------------------------------------
RCC-19 CANTARITO 414269 6832683 4233 -68 32 394
---------------------------------------------------------------
RCO-01 CERRO COLORADO 410489 6829736 3915 -67 88 330
RCO-02 CERRO COLORADO 410491 6829542 3925 -70 170 304
---------------------------------------------------------------
Total Core 4,112 meters in 9 holes
Total RVC 4,364 meters in 15 holes
To view the maps of the La Fortuna area, El Morro area, and
El Negro area, please visit the Emergis e-News website at
e-newsservices.com.. |
