Release – Chakana (CHKKF)(PERU:CA) – Intersects 120.4m At Huancarama Soledad Project Peru

 


Chakana Copper Intersects 120.4m Of 0.51 G/T Au, 0.83% Cu, And 34.6 G/T Ag (1.46% Cu-Eq; 3.71 G/T Au-Eq) From 101.3m At Huancarama, Soledad Project, Peru

 

Vancouver, B.C., January 25, 2021 – Chakana Copper Corp. (TSX-V: PERU; OTCQB: CHKKF; FRA: 1ZX) (the “Company” or “Chakana”), is pleased to release results for two additional drill holes from the recently-announced discovery at the Huancarama Breccia Complex, within the Soledad Project in Ancash, Peru (Fig. 1). The holes complement the initial eight holes that were published on January 12, 2021. Drilling at Huancarama is ongoing where eighteen HQ diamond core holes have been completed thus far.

Mineralized intervals from two additional holes at Huancarama include:

* Cu_eq and Au_eq values were calculated using copper, gold, and silver. Metal prices utilized for the calculations are Cu – US$2.90/lb, Au – US$1,300/oz, and Ag – US$17/oz. No adjustments were made for recovery as the project is an early stage exploration project and metallurgical data to allow for estimation of recoveries are not yet available. The formulas utilized to calculate equivalent values are Cu_eq (%) = Cu% + (Au g/t * 0.6556) + (Ag g/t * 0.00857) and Au_eq (g/t) = Au g/t + (Cu% * 1.5296) + (Ag g/t * 0.01307).

Holes SDH20-161 and SDH20-162 were drilled to the northeast from the south side of the breccia complex (Figures 2 and 3). Both holes intersected continuous mineralization across the breccia body previously defined by the first eight holes and an historical tunnel that transects the breccia. Hole SDH20-161 was oriented directly beneath a collapse zone and intersected 107m with 0.28 g/t Au, 0.42% Cu, and 33.7 g/t Ag (1.36 g/t Au-eq) starting at 86m; hole SDH20-162, drilled beneath the west edge of the collapse zone, encountered 120.4m with 0.51 g/t Au, 0.83% Cu, and 34.6 g/t Ag (3.71 g/t Au-eq) from 101.3m depth, including 72.2m with 0.79 g/t Au, 1.32% Cu, and 46.9 g/t Ag (3.42 g/t Au-eq) from 101.3m. A higher-grade zone of 30.0m with 1.44 g/t Au, 2.55% Cu, and 88.2 g/t Ag (6.50 g/t Au-eq) starting at 109.0m depth occurs within this interval. Examples of mineralized drill core from these holes are shown in Figure 4.

David Kelley, President and CEO commented, “these two holes were drilled from a new platform on the south side of the Huancarama Breccia Complex and confirm the breccia geometry previously reported with approximate horizontal dimensions of 100m by 50m, one of the largest breccias we have discovered to date at Soledad. The mineralized breccia crops out at surface and extends to a vertical depth of approximately 225m below surface and is open at depth. The results demonstrate good continuity of mineralization within the breccia with excellent grades. The high-grade zone within hole SDH20-162 shows copper sulfide-cemented breccia and the late copper sulfide replacement process that we have seen in several other high grade breccia pipes at Soledad. Drilling is ongoing at Huancarama and we look forward to reporting additional drill results in the near future.”

Huancarama Target Area and the Phase 3b Drill Program

The Huancarama Breccia Complex is located 300m south of and 400m above the deepest breccia intercept at Paloma. Within the complex there are five principal breccia bodies exposed at surface over approximately 200m (Fig. 5). There is a distinctive feature believed to be a collapse zone with dimensions of 50m by 30m. Unverified reports suggest that this may be due to small-scale mining. Two historic adits are in the complex, one trending north-northeast for 170m along the western side of H1 (Fig. 2), and a second shorter adit of 21m at H2. Surface sampling from the breccia bodies and channel sampling of the adits yielded strongly anomalous gold results (see news release dated November 19, 2019). In addition to several targets within the complex, numerous additional targets exist in the Huancarama and Paloma area.

Results reported here are part of the ongoing Phase 3b drill program, which is fully funded from the Company’s current treasury and is anticipated to see 15,000 metres completed. Phase 3b is testing a cluster of high-grade, gold-enriched tourmaline breccia pipe targets within the Paloma and Huancarama target areas. Thirty holes have now been reported from the Phase 3b program.

About Chakana Copper

Chakana Copper Corp is a Canadian-based minerals exploration company that is currently advancing the high-grade gold-copper-silver Soledad Project located in the Ancash region of Peru, a highly favorable mining jurisdiction with supportive communities. The Soledad Project consists of high-grade gold-copper-silver mineralization hosted in tourmaline breccia pipes. A total of 33,353 metres of drilling has been completed to-date, testing nine (9) of twenty-three (23) confirmed breccia pipes with more than 92 total targets. Chakana’s investors are uniquely positioned as the Soledad Project provides exposure to several metals including copper, gold, and silver. For more information on the Soledad project, please visit the website a www.chakanacopper.com.

Sampling and Analytical Procedures

Chakana follows rigorous sampling and analytical protocols that meet or exceed industry standards. Core samples are stored in a secured area until transport in batches to the ALS facility in Callao, Lima, Peru. Sample batches include certified reference materials, blank, and duplicate samples that are then processed under the control of ALS. All samples are analyzed using the ME-MS41 (ICP technique that provides a comprehensive multi-element overview of the rock geochemistry), while gold is analyzed by AA24 and GRA22 when values exceed 10 g/t by AA24. Over limit silver, copper, lead and zinc are analyzed using the OG-46 procedure. Soil samples are analyzed by 4-acid (ME-MS61) and for gold by Fire Assay on a 30g sample (Au-ICP21).

Results of previous drilling and additional information concerning the Project, including a technical report prepared in accordance with National Instrument 43-101, are made available on Chakana’s SEDAR profile at www.sedar.com.

Qualified Person

David Kelley, an officer and a director of Chakana, and a Qualified Person as defined by NI 43-101, reviewed and approved the technical information in this news release.

ON BEHALF OF THE BOARD
(signed) “David Kelley”
David Kelley
President and CEO

For further information contact:
Joanne Jobin, Investor Relations Officer
Phone: 647 964 0292
Email: [email protected]

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

Forward-looking Statement Advisory: This release may contain forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Chakana to be materially different from any future results, performance, or achievements expressed or implied by the forward looking statements. Forward looking statements or information relates to, among other things, the interpretation of the nature of the mineralization at the Soledad copper-gold-silver project (the “Project”), the potential to expand the mineralization, and to develop and grow a resource within the Project, the planning for further exploration work, the ability to de-risk the potential exploration targets, and our belief in the potential for mineralization within unexplored parts of the Project. These forward-looking statements are based on management’s current expectations and beliefs but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward- looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.

Figure 1 – View looking north showing breccia pipes and occurrences within the northern Soledad cluster. Pipes that have been drilled in previous campaigns are shown in red. Targets shown in green are the focus on this 15,000m drill campaign. Other pipes and occurrences remain to be tested by drilling. Additional breccia pipes occur on the south half of the property and are not shown here.

Figure 2 – Map of the Huancarama Breccia Complex and drill hole lithology in holes completed to date. Red represents tourmaline breccia based on the first ten holes and lithology mapped in the underground tunnel. Black dotted outlines show surface expression of mapped breccias; white dashed line shows collapse zone. Location of section line for Figure 3 indicated.

Figure 3 – Section looking northwest highlighting the drill holes at Huancarama reported in this release. Light red 3D shape shows preliminary shape of breccia based on the first eight holes and lithology mapped in the underground tunnel.

Figure 4 – Core photos from Huancarama: SDH20-161 (74.5m) chalcopyrite-cemented tourmaline breccia; SDH20-162 – examples of high-grade copper sulfide (chalcopyrite) replacement within the interval of 118.4m to 122.07 Core diameter is 6.35cm (HQ) in all instances.

Figure 5 – Drone image looking northeast at the Huancarama Breccia Complex showing the five principal tourmaline breccia bodies exposed at surface (H1-H5), historic adit portal, and drill platforms. Note drill rig in center of image.

SOURCE: Chakana Copper

Sierra Metals (SMTS)(SMT:CA) – Fourth Quarter and Full Year 2020 Production Results; Updating Estimates

Monday, January 25, 2021

Sierra Metals (SMTS)(SMT:CA)
Fourth Quarter and Full Year 2020 Production Results; Updating Estimates

As of April 24, 2020, Noble Capital Markets research on Sierra Metals is published under ticker symbols (SMTS and SMT:CA). The price target is in USD and based on ticker symbol SMTS. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target.

Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.

Mark Reichman, Senior Research Analyst of Natural Resources, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    SMTS reports fourth quarter production results.  Compared with the prior year period, fourth quarter production of silver increased 5.9%, while gold production declined 7.0%. Lead, zinc, and copper production declined 23.1%, 15.5%, and 6.0%, respectively. Lower throughput, grades, and recoveries at the Yauricocha mine had an outsized impact on consolidated results. Manpower availability was impacted by COVID-related protocols which impacted mine operations and development. On a full year basis, the company experienced production increases across all metals and achieved the upper end of its production guidance despite the challenges posed by the pandemic.

    Updating estimates.  We are lowering our full year 2020 EPS and EBITDA estimates to $0.20 and $101.3 million from $0.22 and $105.6 million, respectively. Additionally, we have lowered our 2021 EPS and EBITDA estimates to $0.38 and $175.2 million from $0.40 and $182.2 million, respectively. Our lower 2021 estimates reflect a slower ramp up in production at Yauricocha and modest changes to grade and …



This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Palladium One Mining Inc. (NKORF)(PDM:CA) – Hitting on All Cylinders

Monday, January 25, 2021

Palladium One Mining Inc. (NKORF)(PDM:CA)
Hitting on All Cylinders

Palladium One Mining Inc is a palladium dominant, PGE, nickel, copper exploration and development company. Its assets consist of the Lantinen Koillismaa and Kostonjarvi PGE-Cu-Ni projects, located in north-central Finland and the Tyko Ni-Cu-PGE and Disraeli PGE-Ni-Cu properties in Ontario, Canada. LK is targeting disseminated sulphide along 38 kilometers of favorable basal contact. The KS project is targeting massive sulphide within a 20,000-hectare land package covering a regional scale gravity and magnetic geophysical anomaly. Tyko is a 13,000-hectare project targeting disseminated and massive sulphide in a highly metamorphosed Archean terrain. Disraeli is a 2,500-hectare project targeting PGE-rich disseminated and massive sulphide in a highly productive Proterozoic mid-continent rift.

Mark Reichman, Senior Research Analyst of Natural Resources, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    Success at Tyko. Palladium One recently released the final results from its 2020 Tyko drill program which included massive magmatic sulphides grading up to 9.9% nickel equivalent, or 218 pounds per tonne, over 3.8 meters starting at less than 9 meters true depth, located at the Smoke Lake target. The intercept is within a broader interval that returned 6.1% nickel equivalent from 5.3 meters down hole. The drill program consisted of 14 holes totaling 1,123 meters, of which 13 were drilled into the Smoke Lake electromagnetic anomaly. A bore hole electromagnetic survey is currently underway which will further delineate the Smoke Lake massive sulphide body.

    Bought deal.  Sprott Capital LP will purchase $15,009,000 of Palladium One securities on its own behalf and/or on behalf of a syndicate of underwriters. The offering includes: 1) 43,100,000 units at a price of $0.29 per unit for proceeds of $12,499,000, 2) 1,500,000 units issued on a flow-through (FT) basis at a price of $0.34 per FT unit for proceeds of $510,000, and 3) 5,000,000 units issued on a …



This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Aurania Resources (AUIAF)(ARU:CA) – Geophysical Survey Yielding Significant Data to Inform Drilling

Monday, January 25, 2021

Aurania Resources (AUIAF)(ARU:CA)
Geophysical Survey Yielding Significant Data to Inform Drilling

As of April 24, 2020, Noble Capital Markets research on Aurania Resources is published under ticker symbols (AUIAF and ARU:CA). The price target is in USD and based on ticker symbol AUIAF. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target.

Aurania Resources Ltd. is a Canada-based junior mining exploration company engaged in the identification, evaluation, acquisition, and exploration of mineral property interests, with a focus on precious metals and copper. Its flagship asset, The Lost Cities-Cutucu Project, is in southeastern Ecuador in the Province of Morona-Santiago. The company also has several minor projects in Switzerland.

Mark Reichman, Senior Research Analyst of Natural Resources, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    Recent drill results. While copper mineralization was intersected in the last three holes drilled on the Tsenken N2 and N3 targets, no economic grades were encountered. Importantly, data from the Mobile MT geophysical survey have identified the likely core of the iron oxide copper-gold (IOGC) system associated with the area of drilling at Tsenken N2 and N3. A total of 1,891 meters were drilled in the Tsenken N2 and N3 targets, reaching a depth of 522 meters. A Mobile MT geophysical survey has been completed over the Yawi and Tsenken areas and is underway in the northern part of the Tiria-Shimpia target areas.

    Near-term plan.  The Tsenken N1 is the next target to be drill tested at the company’s Lost Cities project and represents the second IOCG system to be scout drilled. Following Tsenken N1, management intends to drill a portion of the 15-kilometer-long silver-rich system at the Tiria-Shimpia epithermal target. Soil sampling at Tiria-Shimpia defined a large mineralized system that covers …



This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

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