Fitzroy Minerals samples high-grade copper at Caballos Copper Project, Chile
Fitzroy Minerals Inc. [TSXV-FTZ; OTCQB-FTZFF] provided an update on the Caballos Copper Project, Chile. Ongoing evaluation geological mapping and rock chip sampling in the southern half of the concession area has significantly expanded a copper and molybdenum anomaly associated with the Pocuro Fault Zone (PFZ).
To the west of the PFZ, a new area of mineralized polymetallic veins with high gold, silver, zinc and lead grades has been identified. Mapping and sampling of the PFZ will continue once weather conditions improve (currently winter in Chile).
Separately, a technical report on the Caballos Copper Project has been completed by Caracle Creek Chile SpA and is currently being reviewed in preparation for filing on SEDAR+. In addition, a definitive option agreement for the Caballos Copper Project in Chile was signed on June 26, 2024.
Highlights: PFZ copper anomaly is about 1,150 m x 150 m with an average grade of 0.84% Cu. Associated molybdenum anomaly is about 980 m x 50 m with an average grade of 897 ppm Mo. Polymetallic vein sample #350559 returned 5.49 g/t Au, 106 g/t Ag, 7.13% Zn, and 14.06% Pb.
Merlin Marr-Johnson, President and CEO, commented, “Our exploration continues to delineate strong anomalies and find encouraging new mineralized zones. The long and high-grade copper anomaly at Caballos South now looks like a priority drill target. The initial evaluation of the Caballos Copper Project is advancing well, with the mapping of the Pocuro Fault Zone almost complete. The discovery of significant vein-sets to the west of the PFZ is also a pleasing new development. Some of the samples returned excellent grades and the veins occur over a large area which is a further sign that the Caballos Copper Project is in a metal-rich environment.”
At Caballos, mapping and sampling was carried out April to June of this year. In May-June, the focus was on the southern part of the PFZ accessed via the Rio Alicahue valley.
Mapping established that there were two key zones of interest. The main area is a distinctive hydrothermal breccia and alteration zone running approximately 1.2 km north-south along the PFZ, containing within it a 500 metre-long felsic intrusion. Fitzroy confirms that the entire 1.2 km of the breccia and alteration zone has returned elevated assay results.
The copper and molybdenum anomalies overlap and extend north-south for approximately 1,150 metres, and widths can extend up to 200 metres. Of the 99 samples collected in the southern half of Caballos, 56 were primarily investigated for copper. Of these 56 samples, 30 were within the mapped hydrothermal breccia area returned an average grade of 0.84% Cu. Sixteen samples define the molybdenum anomaly with an average grade of 897 ppm Mo.
Another recently identified area of approximately 2.5 km x 1.1 km and west of the PFZ, comprises many sub-parallel veins and vein sets within a general northeast-southwest trend. The PFZ zone is anomalous in copper and molybdenum with a minor zinc component, and the western vein sets exhibit an anomalous gold-silver-lead-zinc assemblage.
The host rocks are principally andesitic volcanic rocks. From the veins, 22 grab rock samples returned gold values of 0.1 g/t Au and higher, with 9 results above 0.5 g/t Au and a maximum of 5.49 g/t Au in sample #350559. This high-grade sample also returned 106 g/t Ag, 7.13% Zn, and 14.06% Pb. Five samples returned silver grades above 50 g/t Ag, with the highest grade of 185 g/t Ag from a quartz vein (sample #350583) that also returned 3.94 g/t Au, 1.7% Zn, and 30.1% Pb.
The hydrothermal breccia on the PFZ is a strong and clearly defined anomaly. The average grade of 0.84% Cu combined with the projected surface area of 125,000 m 2 is highly encouraging, as is the slightly displaced associated molybdenum anomaly; these are excellent results.
A further mapping and sampling campaign will take place in the remaining sectors once the snow cover at higher altitude has melted.
When the in-fill geological maps and assays from the next phase of work are returned, Fitzroy Minerals will undertake a review of the data prior to announcing future exploration plans at Caballos.
On June 26, 2024, Fitzroy Minerals signed a definitive option agreement for the project as follows: at least US$1 million of work, including 3,000 metres of drilling in year one. At least US$4 million of work, with no consecutive 12-month period seeing less than US$500,000 of work in years two to four.
Subject to the requisite investment having been met, Fitzroy can exercise the option by making a US$2 million payment to the vendors in year five. A further bullet payment to the vendors is due at the point of a construction decision being made, comprising US$2 per tonne of contained copper within compliant NI 43-101 defined resources. In addition, the Vendors are granted a 3% NSR, of which 1.5% can be purchased by Fitzroy for US$7.5 M at any point prior to a construction decision.
In addition, a NI 43-101 Technical Report was completed with an effective date of June 21, 2024 and an issuing date of July 10, 2024.
The company’s property portfolio includes the Caballos Copper and Polimet Gold-Copper-Silver projects located in Valparaiso, Chile, the Taquetren Gold project in Rio Negro, Argentina, as well as the Cariboo project in British Columbia, Canada.