McEwen Copper drills 0.75% copper over 398 metres at Los Azules, Argentina
McEwen Copper Inc., 52 %-owned by McEwen Mining Inc. [MUX-TSX, NYSE], reported additional copper values over wide intercepts resulting from drilling performed on its Los Azules project, located in San Juan, Argentina.
McEwen Copper recently published an updated preliminary economic assessment (PEA) on a copper leaching phase of development. Infill and other resource drilling completed since the PEA model data cut-off date confirm very good alignment of new assay results to the resource model prediction for the same area. Also, copper grade continuity modelled in the core of the deposit is well supported by core logging and new assay results. Los Azules is a large copper-gold-silver porphyry deposit with growth potential, it has many features comparable with world-class copper-gold deposits in South America, and its depth and lateral extent have not yet been determined. Infill drilling serves several purposes: providing better data density to upgrade confidence in the mineral resources, providing material and data for metallurgical, geotechnical and hydrological studies.
Highlights: Hole AZ23220 intercepted an enriched zone of 398 metres grading 0.75% Cu (estimated true thickness) and includes a subinterval of 124 metres grading 1.43% Cu.
Hole AZ23218 intercepted an enriched zone of 202 metres grading 0.63% Cu (estimated true thickness) contained within an overall intercept of 239.2 metres grading 0.59% Cu.
Hole AZ23216 intercepted an enriched zone of 338 metres grading 0.58% Cu and primary mineralization of 84 metres grading 0.27% Cu.
Hole AZ23206 intercepted 353 metres of 0.46% Cu, including an enriched zone intercept of 190 metres grading 0.57% Cu.
The latest drilling program, which began in October 2022, was concluded on June 19, 2023. Up to 15 rigs completed some 39,900 metres of drilling in 138 holes, to evaluate geotechnical, hydrological, resource and exploration-related parameters and opportunities. The Los Azules drill hole database now totals some 126,000 metres.
To test the Cu per cent resource model veracity versus actual drilling results, 24 infill holes completed subsequent to the PEA model update were compared to expected results based on the model. The length-weighted average grade of the new drilling was 0.567% Cu versus a resource model prediction of 0.520% Cu. This limited test of the resource model’s predictive capacity is very encouraging with actual grades being 9% higher than the model prediction.
Preparations are underway for the next phase of drilling, anticipated to begin in early October. This phase will continue to increase geologic certainty with drilling needed to delineate a Measured mineral resource estimate on the material expected to be mined in the first five years of operation, covering more than the payback period and other technical evaluations.
McEwen Copper is a well-funded, private company which owns 100% of the large, advanced stage Los Azules copper project.
Los Azules is being designed to be distinctly different from a conventional copper mine, consuming significantly less water, emitting much lower carbon and progressing to be carbon neutral by 2038, being powered by 100% renewable once in operation. It recently released an updated PEA which projects a long life of mine, low production cost/lb, short payback period, high annual copper production and a 21.2% after-tax IRR.
Rob McEwen, Chairman and Chief Owner, has personal investment in the company of US$220 million. His annual salary is US$1.