Endeavour Silver Provides 2022 Guidance, Including Production of 4.2-4.8 Million oz Silver and 31,000-35,000 oz Gold for 6.7-7.6 Million oz Silver Equivalent

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VANCOUVER, British Columbia, Jan. 20, 2022 (GLOBE NEWSWIRE) — Endeavour Silver Corp. (“Endeavour” or the “Company”) (NYSE: EXK; TSX: EDR) is pleased to announce its consolidated production and cost guidance as well as its capital and exploration budgets for 2022. All dollar amounts are in US dollars (US$).

2022 Production and Cost Guidance Highlights

In 2022, silver production is expected to range from 4.2 to 4.8 million ounces (oz) and gold production is anticipated to be between 31,000 oz and 35,000 oz. Silver equivalent production is forecasted to total between 6.7 million and 7.6 million oz at an 80:1 silver:gold ratio.

Consolidated cash costs 2 and all-in sustaining costs 2 (“AISC”) in 2022 are estimated to be $9.00-$10.00 per oz silver and $20.00-21.00 per oz silver, respectively, net of gold by-product credits. The Company’s 2022 cost outlook is higher than the prior year as inflation, royalties and mining duties are expected to increase in 2022.

“Our operations outperformed last year with Guanacevi’s production bolstered by higher than anticipated mined ore grades,” stated Dan Dickson, Endeavour’s CEO. “In 2022, our production outlook is on par with the average of the last three years as we anticipate the grade at Guanacevi to be more in line with our estimated reserves and we remove the small annual contribution from our El Compas mine, which closed last August.”

Mr. Dickson added, “This year, the team is focused on managing costs in order to offset the inflationary pressures we are seeing across the industry. Equally important will be expanding resources and advancing our exceptional growth pipeline. Terronera will move from the funding and approval phase through to construction. As well, we will initiate a preliminary economic assessment at Parral and define a current resource at Pitarrilla following the closing of this acquisition in the first half of the year.”

2022 Guidance Summary

Operating Mines

At Guanaceví, 2022 production will range from 1,100 tonnes per day (tpd) to 1,200 tpd and average 1,165 tpd from the Milache, SCS and P4E orebodies. A significant portion of production will be mined from the Porvenir Cuatro extension on the El Curso concessions. The El Curso concessions were leased from a third party with no upfront costs but with significant royalty payments on production. Compared to 2021, ore grades are expected to decrease slightly with similar recoveries. Cash costs per ounce and direct operating costs per tonne are expected to increase in 2022, primarily due to the impact of inflation on power costs, re-agent costs and salaries as well as higher estimated royalty and mining duty payments.

In 2022, production at Bolañitos is expected to range from 1,000 tpd to 1,200 tpd and average 1,080 tpd from the Plateros-La Luz, Lucero-Karina and Bolanitos-San Miguel vein systems. Ore grades and recoveries are expected to be similar to 2021. Cash costs per oz and direct costs per tonne are expected to increase primarily due to inflationary impact on power costs and salaries.

Operating Costs

In 2022, cash costs, net of gold by-product credits, are expected to be $9.00-$10.00 per oz of silver produced. Consolidated cash costs on a co-product basis 2 are anticipated to be $13.00-$14.00 per oz silver and $1,100-$1,200 per oz gold.

All-in sustaining costs, net of gold by-product credits, in accordance with the World Gold Council standard, are estimated to be $20.00-$21.00 per oz of silver produced. When non-cash items such as stock-based compensation and accretion are excluded, AISC are forecast to be in the $19.00-$20.00 range.

Direct costs 2 per tonne are estimated to be $95-$100 with inflationary pressures expected to continue in 2022. Direct operating costs 2 , which includes royalties and special mining duties are estimated to be in the range of $120-$125 per tonne.

Management made the following assumptions in calculating its 2022 cost forecasts: $22 per oz silver price, $1,760 per oz gold price, and 20:1 Mexican peso per US dollar exchange rate.

2022 Capital Budget

Sustaining Capital Investments

In 2022, Endeavour plans to invest $34.3 million in sustaining capital, including $32.6 million at its two operating mines and $1.7 million to maintain exploration concessions and cover corporate infrastructure. At current metal prices, the sustaining capital investments are expected to be paid out of operating cash flow.

At Guanacevi, $20.4 million will be invested in capital projects, the largest of which is the development of 5.7 kilometres of mine access at the Milache, SCS and the P4E orebodies for an estimated $10.3 million. The additional $10.1 million will go to upgrade the mining fleet, support site infrastructure and expand the tailings dam.

At Bolañitos, $12.2 million will be invested in capital projects, including $8.4 million for 5.5 kilometres of mine development to access resources in the Plateros-La Luz, Lucero-Karina, Bolanitos-San Miguel and Belen vein systems. The additional $3.8 million will go to upgrade the mining fleet, support site infrastructure, raise the tailings dam and commence a new portal to access the Belen ore body.

At Terronera, $9.5 million is budgeted for the first quarter of 2022 to continue with final detailed engineering, early earth works, critical contracts and procurement of long lead items. The Company intends to make a formal construction decision, subject to completion of a financing package and receipt of amended permits, in the coming months, at which time the budget for the remainder of 2022 for the project will be determined.

The capital budget presented above does not include the $70 million acquisition cost associated with the Company’s recently announced acquisition of the Pitarrilla Project ( see January 13, 2022 news release ) in Durango State, Mexico from SSR Mining Inc. The transaction is expected to be completed in the first half of 2022.

2022 Exploration Budget

In 2022, the Company plans to spend $13.0 million drilling 50,000 metres across its properties.

At the Guanacevi and Bolanitos mines, 21,000 metres of drilling are planned at a cost of $3.3 million to replace reserves and expand resources.

At the Terronera development project, 11,000 metres are planned to test multiple regional targets identified in 2021 to expand resources within the district.

At the Parral project in Chihuahua state, 7,000 metres are planned at a cost of $1.7 million to delineate existing resources, expand resources and test new targets. In the second half of the year, the Company expects to initiate a preliminary economic assessment.

In Chile, management intends to invest $1.5 million to test the Aida exploration project located in the northern Chile Region II along the Argentina border accessible by paved highway and dirt road. The Company plans to drill 3,000 metres to test a manto target with significant silver-manganese-lead-zinc anomaly at surface in the second half of 2022. Additionally, the Company plans to advance mapping, sampling and surface exploration on its other exploration projects in Chile, estimated to cost $0.9 million including administration costs in the country.

At the Bruner project management plans to invest $1.9 million to evaluate and verify historical data to define a current resource, map and sample new targets and drill 3,000 metres verifying historical data and testing new targets.

Similarly, subject to closing the Pitarrilla acquisition, management plans to invest $1.8 million for drilling to verify the historical data and define a current resource in 2022. Management plans to release a more detailed exploration and evaluation plan for the Pitarrilla project following closing of the transaction.

About Endeavour Silver – Endeavour Silver Corp. is a mid-tier precious metals mining company that operates two high-grade underground silver-gold mines in Mexico. Endeavour is currently advancing the Terronera mine project towards a development decision, pending financing and final permits and exploring its portfolio of exploration and development projects in Mexico, Chile and the United States to facilitate its goal to become a premier senior silver producer.  Our philosophy of corporate social integrity creates value for all stakeholders.

SOURCE Endeavour Silver Corp.

Contact Information
Trish Moran
Interim Head of Investor Relations
Tel: (416) 564-4290
Email: pmoran@edrsilver.com
Website: www.edrsilver.com

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Endnotes

1 Silver equivalent is calculated using an 80:1 silver:gold ratio.

2 Non-IFRS Financial Measures

The Company has included certain performance measures that are not defined under International Financial Reporting Standards (“IFRS”). The Company believes that these measures, in addition to conventional measures prepared in accordance with IFRS, provide investors an improved ability to evaluate the underlying performance of the Company. The non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to other issuers.

Cash costs and cash costs per ounce

Cash costs per ounce is a non-IFRS measure. In the silver mining industry, this metric is a common performance measure that does not have a standardized meaning under IFRS. Cash costs include direct costs (including smelting, refining, transportation and selling costs), royalties and special mining duty and changes in finished goods inventory net of gold credits. Cash costs per ounce is based on ounces of silver produced and is calculated by dividing cash costs by the number of ounces of silver produced.

Cash costs on a co-product and cash costs on a co-product per ounce

Silver co-product cash costs and gold co-product cash costs include mining, processing (including smelting, refining, transportation and selling costs), and direct overhead costs allocated on pro-rated basis of realized metal value. Cash costs on a co-product per ounce is based on the number of either silver or gold ounces produced.

Direct operating costs and direct costs

Direct operating costs per tonne include mining, processing (including smelting, refining, transportation and selling costs) and direct overhead at the operation sites. Direct costs per tonne include all direct operating costs, royalties and special mining duty.

All-in sustaining costs (“AISC”) and AISC per ounce

This measure is intended to assist readers in evaluating the total cost of producing silver from operations. While there is no standardized meaning across the industry for AISC measures, the Company’s definition conforms to the definition of AISC as set out by the World Gold Council and used as a standard of the Silver Institute. The Company defines AISC as the cash costs (as defined above), plus reclamation cost accretion, mine site expensed exploration, corporate general and administration costs and sustaining capital expenditures. AISC per ounce is based on ounces of silver produced and is calculated by dividing AISC by the number of ounces of silver produced.

Sustaining capital

Sustaining capital is defined as the capital required to maintain operations at existing levels. This measurement is used by management to assess the effectiveness of an investment program.

For further information on reconciliations of Non-GAAP measures, refer to the Non-IFRS Measures section of the Company’s Management’s Discussion & Analysis for the three and nine months ending September 30, 2021, beginning on page 19.

Cautionary Note Regarding Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of the United States private securities litigation reform act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities legislation. Such forward-looking statements and information herein include but are not limited to statements regarding Endeavour’s anticipated performance in 2022 including changes in mining operations and forecasts of production levels, anticipated production costs and all-in sustaining costs, the timing and results of various activities and the impact of the COVID 19 pandemic on operations. The Company does not intend to and does not assume any obligation to update such forward-looking statements or information, other than as required by applicable law.

Forward-looking statements or information involve known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, production levels, performance or achievements of Endeavour and its operations to be materially different from those expressed or implied by such statements. Such factors include but are not limited to the ultimate impact of the COVID 19 pandemic on operations and results, changes in production and costs guidance, national and local governments, legislation, taxation, controls, regulations and political or economic developments in Canada and Mexico; financial risks due to precious metals prices, operating or technical difficulties in mineral exploration, development and mining activities; risks and hazards of mineral exploration, development and mining; the speculative nature of mineral exploration and development, risks in obtaining necessary licenses and permits, and challenges to the Company’s title to properties; as well as those factors described in the section “risk factors” contained in the Company’s most recent form 40F/Annual Information Form filed with the S.E.C. and Canadian securities regulatory authorities.

Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to: the continued operation of the Company’s mining operations, no material adverse change in the market price of commodities, mining operations will operate and the mining products will be completed in accordance with management’s expectations and achieve their stated production outcomes, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or information, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed or intended. There can be no assurance that any forward-looking statements or information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or information.

CanAlaska Partner to Spend AUD$5M for 60% of Two Uranium Projects in the Athabasca Basin

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Terra Uranium has Staged Option to Earn up to 80% Interest in McTavish and Waterbury East Projects, subject to Resource definition

Focus on High-Grade Eastern Athabasca Uranium Discovery

Vancouver, Canada, January 19, 2022 – CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) (“CanAlaska” or the “Company”) is pleased to announce it has entered into Purchase Option Agreements (“POA”) with Terra Uranium Limited (“Terra”), an Australian public limited corporation, and Terra’s wholly-owned Canadian subsidiary Terra Uranium Canada Limited, to allow Terra to earn up to an 80% interest in CanAlaska’s 100%-owned Waterbury East and McTavish projects. These projects total 4,202.21 hectares in the Eastern Athabasca Basin in Saskatchewan, Canada (the “Projects”) (Figure 1).

Figure 1: McTavish and Waterbury East Project Locations

 

Waterbury East and McTavish Projects

Terra may earn up to an 80% interest in each of the Waterbury East and McTavish projects by undertaking work, milestone payments to CanAlaska and resource definition in three defined earn-in stages on each project as set out below:

• Terra may earn an initial 40% interest (“40% Option”) in each of the projects by paying the Company AUD$37,500 cash per project and issuing 9% worth of ordinary shares in Terra’s capital structure as at listing on the Australian Securities Exchange (“ASX”) by March 31, 2022 per project.
• Terra may earn an additional 20% interest (“60% Option”) in each of the projects by paying a further AUD$200,000 per project and incurring AUD$2,500,000 in exploration expenditures within 18 months of the ASX listing date per project.
• Terra may earn an additional 20% interest (“80% Option”) in the projects by delivering and filing a JORC compliant resource of at least 30,000,000 pounds U₃O₈ on any of the Waterbury East or McTavish claims, and granting to the Company a 2.25% net smelter returns (NSR) royalty on all products derived from any of the claims, within 36 months of the ASX listing date.

CanAlaska will be Operator of the projects through the 60% Option threshold and charge an operator fee to Terra.

The POA envisages conversion to a Joint Venture. Under the terms of the POA, after successful completion of either of the 40% Option or 60% Option stages of the agreement, and where Terra elects to not enter the next respective option stage as applicable, or on successful completion of the 80% Option stage, a joint venture will be formed and the parties will co-contribute on a simple pro-rata basis or dilute on a pre-defined straight-line dilution formula. If either party dilutes to a 10% interest, the diluting party will automatically forfeit its interest in the respective project and in lieu thereof will be granted a 2.0% net smelter returns (NSR) royalty on the respective project. If the 80% Option NSR of 2.25% had been previously granted to CanAlaska, CanAlaska would not be entitled to this 2.0% NSR provision on dilution to 10% interest.

An area of mutual interest has been established that extends two kilometres from the boundary of the claims.

Under the terms of the POA, if the Conditions Precedent are not met or if Terra elects to terminate prior to exercise of the 40% Option, a break fee of AUD$12,500 per project is due to CanAlaska.

 

First Programs

The parties have established a Joint Technical Operating Committee (“JTOC”) under the terms of the POA to discuss exploration and development strategies, review and comment on programs and budgets submitted by the Operator, review the progress and results of activities conducted under the current programs and to discuss other issues in respect to the properties. The final binding decision with respect to establishing Programs to be carried out by the Operator (including any changes or amendments to Programs) shall be made by Terra Uranium. The preliminary work programs and budgets for each project have been laid out for the next 2 years. Once the 40% Option threshold has been met, it is anticipated the first exploration programs under the POA with Terra will be conducted in early 2022.

 

About Terra Uranium Ltd and Terra Uranium Canada Limited

Terra Uranium Ltd is an Australian public limited corporation that is in the process of undergoing an initial public offering and concurrent listing on the Australian Securities Exchange (“ASX”). The POA agreements are subject to a number of Conditions Precedent, including that Terra has received conditional approval from the ASX to be listed on the ASX and raising sufficient funds to carry out the programs

Terra Uranium Canada Limited is a wholly-owned Canadian subsidiary of Terra Uranium Ltd, incorporated in Saskatchewan, Canada.

CanAlaska CEO, Cory Belyk, comments, “Completion of the definitive agreements with Terra Uranium represents significant funding for exploration on the highly prospective Waterbury East and McTavish projects in the Eastern Athabasca Basin, without dilution of CanAlaska shareholders interest in our core properties. We look forward to working closely with Terra and its management team toward a common goal of tier 1 uranium deposit discovery.”

Other News

The Company has just commenced drilling on its 100% owned Waterbury South project and is currently undertaking  a  detailed Stepwise Moving Loop Time Domain Electromagnetic (TDEM) Survey on its West McArthur project, in advance of the planned summer drill program.

About CanAlaska Uranium

CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in approximately 300,000 hectares (750,000 acres), in Canada’s Athabasca Basin – the “Saudi Arabia of Uranium.”  CanAlaska’s strategic holdings have attracted major international mining companies. CanAlaska is currently working with Cameco and Denison at two of the Company’s properties in the Eastern Athabasca Basin. CanAlaska is a project generator positioned for discovery success in the world’s richest uranium district. The Company also holds properties prospective for nickel, copper, gold and diamonds.

The qualified technical person for this news release is Nathan Bridge, MSc., P.Geo., CanAlaska’s Vice President, Exploration.

For further information visit www.canalaska.com.

On behalf of the Board of Directors

“Peter Dasler”
Peter Dasler, M.Sc., P.Geo.
President
CanAlaska Uranium Ltd.

Contacts:

Peter Dasler, President
Tel: +1.604.688.3211 x 138
Email: info@canalaska.com

Cory Belyk, CEO and Executive Vice President
Tel: +1.604.688.3211 x 138
Email: cbelyk@canalaska.com

Neither 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.

Forward-looking information

All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated

FenixOro Commences Drilling on Highly Prospective Southeast Block

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TORONTO, Jan. 19, 2022 (GLOBE NEWSWIRE) — FenixOro Gold Corp (CSE:FENX, OTCQB:FDVXF, Frankfurt:8FD) is pleased to announce that a second drill has been mobilized to begin exploration drilling on the highly prospective southeast block.  

• The southeast block has a principal significant soil anomaly that is 600 m long of greater than 1 g/t gold-in-soils. In drilling to date, soil anomalies have been an excellent indicator of the presence of high-grade gold bearing structures where there are no visible outcrops on surface.
• The southeast block hosts the highest-grade channel sample on the entire project, 146 g/t gold taken from inside an historic artisanal mine
• Veins in the Southeast block are exposed at an elevation of nearly 2800 m, adding at least 400 m of additional vertical potential to the scale of the deposit
• Veins in the southeast have a significantly higher silver content than in the northern block, adding another potentially interesting element
• Specific targets in the southeast license include a series of northwest and east-west trending gold bearing veins that appear similar in scale to those in the north
  

FenixOro VP Exploration Stuart Moller stated: “We are very excited to be back in pure exploration mode in the southern block on some of the most highly prospective locations at Abriaqui. Preliminary exploration data is extremely promising and has generated very large target areas which we know have historically produced high grade gold. With two drills now operating, both the rate of drilling and the frequency of assay results will be increasing. We certainly have a very busy and exciting first half of the year in front of us.”

This next phase of drilling will focus on reconnaissance scale drilling of all new targets. As shown in Figure 1, a pattern of four holes will test a series of NW and E-W trending veins near the currently drilled area. Several of these veins have 20+ g/t gold assays in shallow mine workings. A second pattern of holes one kilometer to the southeast will provide the first drill test of a second group of highly prospective veins. Soil sampling indicates that there may be significantly more veins in the area than are shown on the figure and that the largest may be more than 600 meters in strike length. The veins are exposed at a higher elevation than those to the northwest (an average of 2500 meters vs. 2100 meters) giving them a minimum one vertical kilometer of mineralization potential. The geochemical signature in the area is different with the equally high grade gold being accompanied by significantly higher silver (silver/gold ratio of 16 vs. 1.5) with higher copper and lead.

Figure 1. Currently completed 7000+ meters of drilling (blue) and planned early 2022 drill plan (yellow).

To date, the 15 holes totaling more than 7000 meters of drilling at Abriaqui have focused on evaluation of the dozens of veins in the northwestern part of the property (Figure 1). Two main corridors of northwest and east-west trending veins have been delineated by mapping, soil sampling, ground magnetics, and diamond drilling. The most significant veins in the northwest corridor appear to have continuous gold mineralization along 500–800 meters of strike and a minimum of 700 vertical meters and all veins are open at depth. Thickness in these principal veins ranges up to 15-20 meters and gold grades range from 2-20+ g/t with a silver/gold ratio of about 1.5/1. These main families of veins in the northwest have been drilled at an average 200 meter spacing along strike and their geometry is fairly well understood.

Technical Information

Stuart Moller, Vice President Exploration and Director of the Company and a Qualified Person for the purposes of NI 43-101 (P.Geo, British Colombia), has prepared or supervised the preparation of the technical information contained in this press release. Mr. Moller has more than 40 years of experience in exploration for precious and other metals including ten in Colombia and is a Fellow of the Society of Economic Geologists.

Drill core sampling is done in accordance with industry standards. The HQ and NQ diameter core is sawed, and half core samples are submitted to the laboratory. The other half core along with laboratory coarse reject material and sample pulps are stored in secure facilities on site and/or in the sample prep lab. Following strict chain of custody protocols, the samples are driven to the ISO 17025:2017 certified ALS Laboratory sample preparation facility in Medellin and ALS ships the prepared pulps to their assay laboratory in Lima, Peru. Blanks, duplicates, and certified reference standards totaling 15% of the total samples are inserted into the sample stream. To date, no material quality control issues have been detected. Gold is analyzed by fire assay with 50 gram charges for grades in excess of 10 grams per tonne and the additional elements are analyzed by ICP with appropriate follow-up for over-limits.

Reported grade intervals are calculated using uncut gold values. Maximum sample length is one meter. Intervals which include multiple samples are calculated using the full geologic interval of mineralization and are not subject to specific rules for cutoff grades and internal low grade. As such, quoted thickness and grade of these intervals do not necessarily represent optimized economic intervals in a potential future mine. Reported sample and interval widths are based on lengths of individual samples in core and do not necessarily represent true widths of mineralization. True widths will sometimes be less than the quoted interval lengths.

There are currently no NI 43-101 compliant resources or reserves in the project area. The analysis of drill results is intended to estimate the potential for future resources which will require significant additional drilling to define.

About FenixOro Gold Corp.

FenixOro Gold Corp is a Canadian company focused on acquiring and exploring gold projects with world class exploration potential in the most prolific gold producing regions of Colombia. FenixOro’s flagship property, the Abriaqui project, is located 15 km west of Continental Gold’s Buritica project in Antioquia State at the northern end of the Mid-Cauca gold belt, a geological trend which has seen multiple large gold discoveries in the past 10 years including Buritica and Anglo Gold’s Nuevo Chaquiro and La Colosa. As documented in “NI 43-101 Technical Report on the Abriaqui project Antioquia State, Colombia” (December 5, 2019), the geological characteristics of Abriaqui and Buritica are similar. The report also documents the high gold grade at Abriaqui with samples taken from 20 of the veins assaying greater than 20 g/t gold. Since the preparation of this report a Phase 1 drilling program has been completed at Abriaqui following surface and underground geological mapping and sampling, as well as a magnetometry survey.

FenixOro’s VP of Exploration, Stuart Moller, led the discovery team at Buritica for Continental Gold in 2007-2011. At the time of its latest public report, the Buritica Mine contains measured plus indicated resources of 5.32 million ounces of gold (16.02 Mt grading 10.32 g/t) plus a 6.02 million ounce inferred resource (21.87 Mt grading 8.56 g/t) for a total of 11.34 million ounces of gold resources. Buritica began formal production in November 2020 and has expected annual average production of 250,000 ounces at an all-in sustaining cost of approximately US$600 per ounce. Resources, cost and production data are taken from Continental Gold’s “NI 43-101 Buritica Mineral Resource 2019-01, Antioquia, Colombia” (18 March, 2019). Continental Gold was recently the subject of a takeover by Zijin Mining in an all-cash transaction valued at C$1.4 billion.

Forward Looking Information

This news release contains certain forward-looking information. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Specifically, this news release contains forward looking information regarding the significance of Phase 1 drill results at the Abriaqui Project, conclusions as to resource potential derived from that data set, potential results of the Phase 2 drill program, and implied assumptions as to the potential future economic viability of the gold grades and vein thicknesses reported. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Although FenixOro has no reason to believe otherwise, there can be no assurance that the planned drill program will be completed as uncertainties exist related to future project financing and future environmental permitting. Although FenixOro has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be additional factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information.

FenixOro Gold Corp

John Carlesso, CEO

Email: info@FenixOro.com 

Website: www.FenixOro.com

Telephone: 1-833-ORO-GOLD 

FenixOro Commences Drilling on Highly Prospective Southeast Block

Research, News, and Market Data on FenixOro Gold

 

TORONTO, Jan. 19, 2022 (GLOBE NEWSWIRE) — FenixOro Gold Corp (CSE:FENX, OTCQB:FDVXF, Frankfurt:8FD) is pleased to announce that a second drill has been mobilized to begin exploration drilling on the highly prospective southeast block.  

• The southeast block has a principal significant soil anomaly that is 600 m long of greater than 1 g/t gold-in-soils. In drilling to date, soil anomalies have been an excellent indicator of the presence of high-grade gold bearing structures where there are no visible outcrops on surface.
• The southeast block hosts the highest-grade channel sample on the entire project, 146 g/t gold taken from inside an historic artisanal mine
• Veins in the Southeast block are exposed at an elevation of nearly 2800 m, adding at least 400 m of additional vertical potential to the scale of the deposit
• Veins in the southeast have a significantly higher silver content than in the northern block, adding another potentially interesting element
• Specific targets in the southeast license include a series of northwest and east-west trending gold bearing veins that appear similar in scale to those in the north
  

FenixOro VP Exploration Stuart Moller stated: “We are very excited to be back in pure exploration mode in the southern block on some of the most highly prospective locations at Abriaqui. Preliminary exploration data is extremely promising and has generated very large target areas which we know have historically produced high grade gold. With two drills now operating, both the rate of drilling and the frequency of assay results will be increasing. We certainly have a very busy and exciting first half of the year in front of us.”

This next phase of drilling will focus on reconnaissance scale drilling of all new targets. As shown in Figure 1, a pattern of four holes will test a series of NW and E-W trending veins near the currently drilled area. Several of these veins have 20+ g/t gold assays in shallow mine workings. A second pattern of holes one kilometer to the southeast will provide the first drill test of a second group of highly prospective veins. Soil sampling indicates that there may be significantly more veins in the area than are shown on the figure and that the largest may be more than 600 meters in strike length. The veins are exposed at a higher elevation than those to the northwest (an average of 2500 meters vs. 2100 meters) giving them a minimum one vertical kilometer of mineralization potential. The geochemical signature in the area is different with the equally high grade gold being accompanied by significantly higher silver (silver/gold ratio of 16 vs. 1.5) with higher copper and lead.

Figure 1. Currently completed 7000+ meters of drilling (blue) and planned early 2022 drill plan (yellow).

To date, the 15 holes totaling more than 7000 meters of drilling at Abriaqui have focused on evaluation of the dozens of veins in the northwestern part of the property (Figure 1). Two main corridors of northwest and east-west trending veins have been delineated by mapping, soil sampling, ground magnetics, and diamond drilling. The most significant veins in the northwest corridor appear to have continuous gold mineralization along 500–800 meters of strike and a minimum of 700 vertical meters and all veins are open at depth. Thickness in these principal veins ranges up to 15-20 meters and gold grades range from 2-20+ g/t with a silver/gold ratio of about 1.5/1. These main families of veins in the northwest have been drilled at an average 200 meter spacing along strike and their geometry is fairly well understood.

Technical Information

Stuart Moller, Vice President Exploration and Director of the Company and a Qualified Person for the purposes of NI 43-101 (P.Geo, British Colombia), has prepared or supervised the preparation of the technical information contained in this press release. Mr. Moller has more than 40 years of experience in exploration for precious and other metals including ten in Colombia and is a Fellow of the Society of Economic Geologists.

Drill core sampling is done in accordance with industry standards. The HQ and NQ diameter core is sawed, and half core samples are submitted to the laboratory. The other half core along with laboratory coarse reject material and sample pulps are stored in secure facilities on site and/or in the sample prep lab. Following strict chain of custody protocols, the samples are driven to the ISO 17025:2017 certified ALS Laboratory sample preparation facility in Medellin and ALS ships the prepared pulps to their assay laboratory in Lima, Peru. Blanks, duplicates, and certified reference standards totaling 15% of the total samples are inserted into the sample stream. To date, no material quality control issues have been detected. Gold is analyzed by fire assay with 50 gram charges for grades in excess of 10 grams per tonne and the additional elements are analyzed by ICP with appropriate follow-up for over-limits.

Reported grade intervals are calculated using uncut gold values. Maximum sample length is one meter. Intervals which include multiple samples are calculated using the full geologic interval of mineralization and are not subject to specific rules for cutoff grades and internal low grade. As such, quoted thickness and grade of these intervals do not necessarily represent optimized economic intervals in a potential future mine. Reported sample and interval widths are based on lengths of individual samples in core and do not necessarily represent true widths of mineralization. True widths will sometimes be less than the quoted interval lengths.

There are currently no NI 43-101 compliant resources or reserves in the project area. The analysis of drill results is intended to estimate the potential for future resources which will require significant additional drilling to define.

About FenixOro Gold Corp.

FenixOro Gold Corp is a Canadian company focused on acquiring and exploring gold projects with world class exploration potential in the most prolific gold producing regions of Colombia. FenixOro’s flagship property, the Abriaqui project, is located 15 km west of Continental Gold’s Buritica project in Antioquia State at the northern end of the Mid-Cauca gold belt, a geological trend which has seen multiple large gold discoveries in the past 10 years including Buritica and Anglo Gold’s Nuevo Chaquiro and La Colosa. As documented in “NI 43-101 Technical Report on the Abriaqui project Antioquia State, Colombia” (December 5, 2019), the geological characteristics of Abriaqui and Buritica are similar. The report also documents the high gold grade at Abriaqui with samples taken from 20 of the veins assaying greater than 20 g/t gold. Since the preparation of this report a Phase 1 drilling program has been completed at Abriaqui following surface and underground geological mapping and sampling, as well as a magnetometry survey.

FenixOro’s VP of Exploration, Stuart Moller, led the discovery team at Buritica for Continental Gold in 2007-2011. At the time of its latest public report, the Buritica Mine contains measured plus indicated resources of 5.32 million ounces of gold (16.02 Mt grading 10.32 g/t) plus a 6.02 million ounce inferred resource (21.87 Mt grading 8.56 g/t) for a total of 11.34 million ounces of gold resources. Buritica began formal production in November 2020 and has expected annual average production of 250,000 ounces at an all-in sustaining cost of approximately US$600 per ounce. Resources, cost and production data are taken from Continental Gold’s “NI 43-101 Buritica Mineral Resource 2019-01, Antioquia, Colombia” (18 March, 2019). Continental Gold was recently the subject of a takeover by Zijin Mining in an all-cash transaction valued at C$1.4 billion.

Forward Looking Information

This news release contains certain forward-looking information. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Specifically, this news release contains forward looking information regarding the significance of Phase 1 drill results at the Abriaqui Project, conclusions as to resource potential derived from that data set, potential results of the Phase 2 drill program, and implied assumptions as to the potential future economic viability of the gold grades and vein thicknesses reported. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Although FenixOro has no reason to believe otherwise, there can be no assurance that the planned drill program will be completed as uncertainties exist related to future project financing and future environmental permitting. Although FenixOro has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be additional factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information.

FenixOro Gold Corp

John Carlesso, CEO

Email: info@FenixOro.com 

Website: www.FenixOro.com

Telephone: 1-833-ORO-GOLD 

CanAlaska Partner to Spend AUD$5M for 60% of Two Uranium Projects in the Athabasca Basin

Research, News, and Market Data on CanAlaska Uranium

 

Terra Uranium has Staged Option to Earn up to 80% Interest in McTavish and Waterbury East Projects, subject to Resource definition

Focus on High-Grade Eastern Athabasca Uranium Discovery

Vancouver, Canada, January 19, 2022 – CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) (“CanAlaska” or the “Company”) is pleased to announce it has entered into Purchase Option Agreements (“POA”) with Terra Uranium Limited (“Terra”), an Australian public limited corporation, and Terra’s wholly-owned Canadian subsidiary Terra Uranium Canada Limited, to allow Terra to earn up to an 80% interest in CanAlaska’s 100%-owned Waterbury East and McTavish projects. These projects total 4,202.21 hectares in the Eastern Athabasca Basin in Saskatchewan, Canada (the “Projects”) (Figure 1).

Figure 1: McTavish and Waterbury East Project Locations

 

Waterbury East and McTavish Projects

Terra may earn up to an 80% interest in each of the Waterbury East and McTavish projects by undertaking work, milestone payments to CanAlaska and resource definition in three defined earn-in stages on each project as set out below:

• Terra may earn an initial 40% interest (“40% Option”) in each of the projects by paying the Company AUD$37,500 cash per project and issuing 9% worth of ordinary shares in Terra’s capital structure as at listing on the Australian Securities Exchange (“ASX”) by March 31, 2022 per project.
• Terra may earn an additional 20% interest (“60% Option”) in each of the projects by paying a further AUD$200,000 per project and incurring AUD$2,500,000 in exploration expenditures within 18 months of the ASX listing date per project.
• Terra may earn an additional 20% interest (“80% Option”) in the projects by delivering and filing a JORC compliant resource of at least 30,000,000 pounds U₃O₈ on any of the Waterbury East or McTavish claims, and granting to the Company a 2.25% net smelter returns (NSR) royalty on all products derived from any of the claims, within 36 months of the ASX listing date.

CanAlaska will be Operator of the projects through the 60% Option threshold and charge an operator fee to Terra.

The POA envisages conversion to a Joint Venture. Under the terms of the POA, after successful completion of either of the 40% Option or 60% Option stages of the agreement, and where Terra elects to not enter the next respective option stage as applicable, or on successful completion of the 80% Option stage, a joint venture will be formed and the parties will co-contribute on a simple pro-rata basis or dilute on a pre-defined straight-line dilution formula. If either party dilutes to a 10% interest, the diluting party will automatically forfeit its interest in the respective project and in lieu thereof will be granted a 2.0% net smelter returns (NSR) royalty on the respective project. If the 80% Option NSR of 2.25% had been previously granted to CanAlaska, CanAlaska would not be entitled to this 2.0% NSR provision on dilution to 10% interest.

An area of mutual interest has been established that extends two kilometres from the boundary of the claims.

Under the terms of the POA, if the Conditions Precedent are not met or if Terra elects to terminate prior to exercise of the 40% Option, a break fee of AUD$12,500 per project is due to CanAlaska.

 

First Programs

The parties have established a Joint Technical Operating Committee (“JTOC”) under the terms of the POA to discuss exploration and development strategies, review and comment on programs and budgets submitted by the Operator, review the progress and results of activities conducted under the current programs and to discuss other issues in respect to the properties. The final binding decision with respect to establishing Programs to be carried out by the Operator (including any changes or amendments to Programs) shall be made by Terra Uranium. The preliminary work programs and budgets for each project have been laid out for the next 2 years. Once the 40% Option threshold has been met, it is anticipated the first exploration programs under the POA with Terra will be conducted in early 2022.

 

About Terra Uranium Ltd and Terra Uranium Canada Limited

Terra Uranium Ltd is an Australian public limited corporation that is in the process of undergoing an initial public offering and concurrent listing on the Australian Securities Exchange (“ASX”). The POA agreements are subject to a number of Conditions Precedent, including that Terra has received conditional approval from the ASX to be listed on the ASX and raising sufficient funds to carry out the programs

Terra Uranium Canada Limited is a wholly-owned Canadian subsidiary of Terra Uranium Ltd, incorporated in Saskatchewan, Canada.

CanAlaska CEO, Cory Belyk, comments, “Completion of the definitive agreements with Terra Uranium represents significant funding for exploration on the highly prospective Waterbury East and McTavish projects in the Eastern Athabasca Basin, without dilution of CanAlaska shareholders interest in our core properties. We look forward to working closely with Terra and its management team toward a common goal of tier 1 uranium deposit discovery.”

Other News

The Company has just commenced drilling on its 100% owned Waterbury South project and is currently undertaking  a  detailed Stepwise Moving Loop Time Domain Electromagnetic (TDEM) Survey on its West McArthur project, in advance of the planned summer drill program.

About CanAlaska Uranium

CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in approximately 300,000 hectares (750,000 acres), in Canada’s Athabasca Basin – the “Saudi Arabia of Uranium.”  CanAlaska’s strategic holdings have attracted major international mining companies. CanAlaska is currently working with Cameco and Denison at two of the Company’s properties in the Eastern Athabasca Basin. CanAlaska is a project generator positioned for discovery success in the world’s richest uranium district. The Company also holds properties prospective for nickel, copper, gold and diamonds.

The qualified technical person for this news release is Nathan Bridge, MSc., P.Geo., CanAlaska’s Vice President, Exploration.

For further information visit www.canalaska.com.

On behalf of the Board of Directors

“Peter Dasler”
Peter Dasler, M.Sc., P.Geo.
President
CanAlaska Uranium Ltd.

Contacts:

Peter Dasler, President
Tel: +1.604.688.3211 x 138
Email: info@canalaska.com

Cory Belyk, CEO and Executive Vice President
Tel: +1.604.688.3211 x 138
Email: cbelyk@canalaska.com

Neither 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.

Forward-looking information

All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated