Solvista Gold Drills 149.7 metres at 2.10 g/t Gold Equivalent
Confirms a New Porphyry Gold-Copper Discovery at El Retén in the Middle Cauca Belt, Colombia
September 17, 2012
Toronto, Ontario - Solvista Gold Corporation ("Solvista" or the "Company") (TSX-V: SVV, OTCQX: SVVZF) is pleased to announce the assay results from the first two drill holes completed at its Caramanta Project in Colombia and to confirm a new, near surface, porphyry gold-copper discovery at El Retén. These results support the Company’s model for the Caramanta Project to host potentially large mineralizing systems and to generate new gold-copper porphyry discoveries in the Middle Cauca Belt of Colombia.
- Drill hole CAD-1201 intersected 149.7 m at 2.10 g/t gold equivalent (AuEq), including 49.0 m at 4.04 g/t AuEq, starting at a downhole depth of 5.0 m;
- Drill hole CAD-1202 intersected 185.6 m at 1.68 g/t AuEq, including 31.90m at 3.97 g/t AuEq, starting at a downhole depth of 11.6 m;
- Surface geochemical anomaly at El Retén measures up to 370m by 330m;
- El Retén is the southernmost target along the three kilometre strike length of the Caramanta porphyry cluster.
Commenting on the drill results, Solvista’s President and CEO Miller O’Prey, stated “We are extremely pleased with these results from the first two drill holes at our El Retén target. The combination of long intercepts of porphyry-related gold-copper mineralization with very impressive grades beginning essentially at the surface has allowed us to confirm the El Retén porphyry system as the newest gold-copper discovery in the Middle Cauca Belt. We look forward to releasing more results from this and adjacent target areas over the coming months as we complete our Phase 1 8,000 metre drill program by the end of the first quarter of next year”.
Table 1 provides location information for the first three drill holes at the El Retén sector, all drilled from the same platform and Table 2 includes all the intervals of significant gold-copper mineralization from drill holes CAD-1201 and CAD-1202. Only mineralized intervals of greater than 6 metres in length and averaging more than 0.4 g/t AuEq are included. Additionally, no interval quoted includes “internal dilution” greater than 6 metres at less than 0.4 g/t AuEq.
|Drill hole Number||East UTM Coordinate||North UTM Coordinate||Elevation (m.a.s.l.)||Azimuth (degrees)||Plunge (degrees)||Total Length (metres)||Sector|
Table 1: Drill hole location data for the first two drill holes completed in the El Retén sector, all from the same platform.
|CAD-1201 Significant Intervals|
|From (m)||To (m)||Length (m)||Au (g/t)||Cu (%)||Ag (g/t)||AuEq (g/t)||Recovery (%)|
|CAD-1202 Significant Intervals|
|From (m)||To (m)||Length (m)||Au (g/t)||Cu (%)||Ag (g/t)||AuEq (g/t)||Recovery (%)|
Table 2: AuEq (g/t) calculated assuming a long-term gold price of US $1100/oz and a long-term copper price of US $3.00/lb. No adjustment has been made for metallurgical recoveries or net-smelter returns as these remain uncertain at this time. AuEq formula: AuEq g/t = Au g/t + [(Cu% x 22.0462 x 3.00)/(1100/31.1035)] g/t. Ag values are not included in the AuEq calculation. Intercepts are reported as down-hole lengths and may not represent true thicknesses. The final column entitled Recovery refers to drill core recovery of the intervals quoted.
In addition to the intervals quoted above, it should be noted that mineralized intervals above the 0.4 g/t AuEq cutoff, but less than 6 metres in length were intercepted at depths up to 387.7 m in CAD-1201 and 272.2 m in CAD-1202 and all samples in both drill holes returned above detection limit results for gold and copper. Taking into account these additional mineralized intervals, the overall results for the entire drill holes are 388.6 m at 1.06 g/t AuEq in CAD-1201 (0.78 g/t Au, 0.15 % Cu and 1.8 g/t Ag) and 277.5 m at 1.20 g/t AuEq in CAD-1202 (0.85 g/t Au, 0.19 % Cu and 2.5 g/t Ag).
The ongoing Phase 1 drill program is designed to test the limits of the mineralizing systems identified at surface within the Caramanta Project area and to help understand the geology and controls on mineralization. The Phase 1 drill program is focused on three target areas - El Retén, Ajiaco Sur, and Malabrigo, (see Press Release dated August 23, 2012) which represent the three southernmost target areas within the currently defined Caramanta porphyry cluster. As it is presently understood, the Caramanta porphyry cluster occurs over a known strike length of at least three kilometres in a generally north-south direction and remains open in all directions. Exploration is continuing on the northern extension of the Caramanta porphyry cluster as well as on other targets within the Caramanta Project. The Company looks forward to releasing results from the Ajiaco Sur and Malabrigo sectors as the Phase 1 drill program is completed over the coming months.
Drill holes CAD-1201 and CAD-1202 were designed to test the southern limits of the El Retén porphyry body and the associated mineralization identified in the host volcanic rocks.
Based on the assay results from drill holes CAD-1201 and CAD-1202 as well as the surface exploration completed in the El Retén area, the Company has made the following interpretation. Although preliminary in nature, this interpretation is helping to guide additional exploration and drilling at the Caramanta Project and should be read in conjunction with Figures 1 and 2 of this press release.
The principal El Retén porphyry phase (CER) which appears to be the most strongly mineralized is considered to be the oldest identified to-date in the El Retén sector and was the only phase identified in previous surface mapping. All but one of the younger porphyry phases intercepted in drilling have variable amounts of potassic alteration and associated mineralization, some of which is greater than 0.4 g/t AuEq. These younger phases are currently interpreted as being more dike-like in morphology and have been intersected at lower structural levels than the principal El Retén porphyry. Both of the first 2 drill holes contained a number of intrusive phases, each of which could be shown to be altered and mineralized as determined by cross-cutting relationships of the porphyries and veins contained therein, indicating that the mineralizing hydrothermal system was very dynamic.
The alteration associated with the Au-Cu mineralization includes potassic and sodic-calcic assemblages. Magnetite, actinolite (Fe-rich amphibole) and biotite (dominantly in the mafic volcanic rocks; some in the porphyries) or potassium feldspar (dominantly in the porphyries; some in the volcanic rocks) are characteristic minerals found with mineralization greater than 0.4 g/t AuEq. Later, lower temperature chlorite and epidote-bearing assemblages (with calcite, quartz and illite) occur locally but are not obviously associated with the Au-Cu mineralization.
The higher grade intervals (Au and Cu) occur in both CER and the mafic volcanic wall rocks of the Combia Formation (older than the porphyry intrusive phases), but always in close proximity to contacts of CER with the mafic volcanic wall rocks. The occurrence of significantly higher than average grade Au and Cu mineralization in porphyry deposits elsewhere in the world (e.g., Superior, USA, Oyu Tolgoi, Mongolia, Cadia, Australia) has been noted previously and has been attributed to the preferential deposition of Au and Cu in sites of iron-bearing minerals.
Quality Control and Assurance
The Company utilizes an industry-standard Quality Assurance/Quality Control program for the taking and analyzing of samples. Rock, drill core, soil (MMI) and stream sediment samples are prepared at preparation facilities in Medellín run by SGS Colombia or ALS Colombia Ltda. Samples are then shipped for analysis to the SGS del Peru S.A.C. or ALS Perú Ltda certified assay laboratories in Lima, Perú. Gold values were determined by fire assay with an atomic absorption finish on 30 gram samples; other elements were analyzed with a 4 acid digestion and an ICP-MS finish. Blanks, duplicates and certified reference standards are routinely inserted into the sample stream to monitor laboratory performance and a portion of the samples are periodically check assayed at ACME Laboratories in Vancouver, British Columbia.
The scientific and technical information contained in this news release has been reviewed by Mr. Miller O’Prey P.Geo., who is a "Qualified Person" as defined under National Instrument 43-101.
About the Caramanta Project
The Caramanta Project is located at the center of the Middle Cauca Belt, one of the most prolific gold districts in Colombia, with production dating back to pre-Colonial times. It has also been the focus of intense exploration over the past five years with a number of exciting new discoveries including La Colosa (Anglogold Ashanti), a porphyry-gold deposit with a JORC-compliant Inferred resource of 24.15 Moz Au at 0.94g/t Au. Directly south of Caramanta is Gran Colombia Gold’s Marmato Project with NI 43-101 compliant Measured and Indicated resources of 12.4 Moz Au at 1.02g/t Au and Inferred Resources of 2.4 Moz Au at 1.1 g/t Au. To the north is Sunward Resources’ Titiribí deposit where a NI 43-101 compliant Measured and Indicated resource of 4.6 Moz Au at 0.52 g/t Au and Inferred resource of 6.4 Moz Au at 0.56 g/t Au have been announced.
Solvista is a gold exploration company with two projects, Caramanta and Guadalupe. These projects cover approximately 60,000 hectares in the Antioquia province of Colombia, a region rich in historic gold mining tradition and where several new gold discoveries have recently been made. Solvista is well funded and plans to complete up to 10,000 metres of drilling at its two projects during 2012. Solvista’s head office is located in Toronto with its Colombian headquarters located in Medellín. For further details on Solvista, its management team and its projects, please refer to Solvista’s website (www.solvistagold.com).
For further information, please contact:
Don Christie, CA
Chief Financial Officer
Solvista Gold Corporation
+1 416 504 4171
Solvista Gold Corporation
+1 647 694 0149
Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
CAUTIONARY STATEMENT: This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, Solvista’s objectives, goals or future plans, statements regarding the estimation of mineral resources, exploration results, potential mineralization, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to convert estimated mineral resources to reserves, capital and operating costs varying significantly from estimates, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry, and those risks set out in Solvista’s public documents filed on SEDAR. Although Solvista believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Solvista disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Figure 1: Surface geology at the El Retén target, showing the traces of the first two drill holes as well as the surface geochemical anomalies for gold and copper.
Figure 2: Cross-section showing drill holes CAD-1201 and CAD-1202 with the mineralized intervals included in Table 2 and interpreted geology.