Colibri Provides Exploration Update at the Colibri (Pitaya) Gold Project in Caborca, Sonora, Mexico and Receives Notification from Agnico Eagle Mines, Ltd.

VANCOUVER, May 16, 2013 /CNW/ - Colibri Resource Corporation ("Colibri" or the "Company") (TSX.V-CBI) is pleased to provide an update of exploration activities at the 6418.5 hectare Colibri Gold Project near the town of Caborca in Sonora, Mexico. In March of 2011, Colibri entered into an option and joint venture agreement with Agnico Eagle Mines Ltd. (AEM). Please refer to Company news release dated March 2, 2011 for details. AEM refers to the project as the Pitaya Project.

Colibri announces that it has been notified by AEM that effective May 14, 2013 AEM has terminated the second option under the Earn-in and Shareholders Agreement dated February 28, 2011 (the "Earn-in Agreement").

AEM previously exercised the first option under the Earn-in Agreement on November 16, 2012, thereby acquiring a 51% interest in the Company's gold project in Sonora, Mexico (the "Project"). Colibri currently holds a 49% interest in the Project.

Following termination of the second option, AEM and Colibri will now jointly operate the Project, with AEM as General Manager, at their current ownership levels subject to adjustments relating to budget funding obligations. As AEM has also terminated the sole-funding period, any further contributions to the Project must now be contributed by AEM and Colibri in proportion to their ownership interests.

Drill Results

The Colibri (Pitaya) Project lies within a prolific northwest-trending belt of orogenic gold deposits in Northern Sonora, which includes La Herradura and Noche Buena Mines (Minera Penmont JV - Fresnillo PLC 56%, Newmont USA Ltd. 44%), the San Francisco Mine (Timmins Gold Corp.), and the El Chanate Mine (AuRico Gold Inc.). The average gold grades in the open pit resources of the mines mentioned above range from 0.57 to 0.78 g/t Au.

There is considerable exploration activity in the area. In 2012, Minera Penmont drilled 12 exploration holes immediately to the east of the Colibri (Pitaya) Project on their adjacent concession. All of these holes are within one kilometer of the property boundary, along strike to the southeast of mineralization in the El Pliegue Zone.

AEM initiated exploration activities at the Colibri (Pitaya) Gold Project in September of 2011 with surface rock sampling and a mobile metal ion (MMI) soil sampling Results from this program, combined with geological information from previous property work, were used to design a diamond and reverse circulation (RC) drill program. AEM drilled a total of 5,697 metres in 20 holes, which were drilled in four different areas of the property. A table with drill hole coordinates, orientation, and final depths is included at the end of this news release. Highlights from the drill program are shown in the table below. Please note that the sample intervals do not represent true widths.

The following table shows highlights of the 2012 Pitaya drill program:

HOLE   FROM     TO     LENGTH     Au     Ag     ZONE
NUMBER   (m)     (m)     (m)     (g/T)     (g/T)      
                                   
NAS-12-01   37.40     40.80     3.40     0.58     2.30     Naranja Sur
NAS-12-02   123.70     128.60     4.90     0.57     2.10     Naranja Sur
NAS-12-05   272.00     275.00     3.00     0.51     1.00     Naranja Sur
NAS-12-07A   327.00     328.50     1.50     1.70     0.50     Naranja Sur
NAS-12-09   23.00     25.10     2.10     1.15     2.00     Naranja Sur
PL-12-02   213.30     215.30     2.00     1.53     29.50     El Pliegue
    239.00     270.00     31.00     0.53     3.20      
including   247.00     250.00     3.00     0.64     3.70      
including   263.50     268.00     4.50     1.40     2.20      
PLR-12-01   46.50     51.00     4.50     0.47     0.70     El Pliegue
PL-12-04   55.50     57.00     1.50     1.09     1.00     El Pliegue
    187.00     198.00     11.00     0.52     1.40      
    223.00     224.00     1.00     6.38     4.00      


The results demonstrate that significant gold mineralization occurs over a widespread area of the Pitaya Project.

Exploration work is ongoing at the Colibri Project. AEM initiated the 2013 drill program on March 15th, with an initial campaign planned of 900 metres of diamond core to test targets at the El Pliegue and El Diente Zones. The results of this drilling program are not yet available. At the conclusion of the 2012 exploration program, AEM has met the option payments and work requirements to secure 51% ownership of the Pitaya Project per the "Earn-In and Shareholders Agreement".

Sample Protocol

AEM has a QA/QC protocol in place which includes the use of certified standards, blanks, and duplicate samples, and secure care and custody of samples.

Diamond drill core was logged, photographed, and then cut in half with a diamond saw under supervision of Company geologists. The Company maintained a secure chain of custody while transporting half-core samples to ALS Chemex de Mexico S.A. de C.V. facility in Hermosillo, Mexico.

Samples were analyzed using an AEM-specific analytical package coded as MXEX7, which includes gold analysis by fire assay and an atomic absorption and over-limits gravimetric finish, silver analysis by atomic absorption, and a package of 31 elements by ICP (induced coupling plasma). ALS Chemex' quality management system complies with International Standards ISO/IEC 17025:2005 and ISO 9001:2008 and meets all established criteria as related to reporting requirements for mining and exploration companies under National Instrument NI-43-101.

Company Information

Colibri Resources is a Canadian exploration company focused on the exploration and development of base and precious metal projects in Mexico. Cary Pothorin, P.Geo., a qualified person as defined in National Policy 43-101, is responsible for all technical information contained in this news release.

In a separate work program, Colibri Resource Corporation has carried out a two-phase property-scale soil sampling program at the 100% owned Evelyn Gold Project, also located in the Caborca area in northern Sonora. Results from this sampling program will be reported when all results have been received and reviewed.

"We have significantly reduced our exploration work and administrative spending for FY 2013 in an effort to preserve capital, and will review this policy during the first quarter of FY 2014" stated CEO Lance Geselbracht, P.E.  "We will assess what the impact of this notification from AEM has for the Colibri project and determine what options we have for the site. Other than waiting for results from the current drilling program, no other work can proceed on the site until the details of the joint venture are implemented per the Earn-in Agreement".

Disclosure Regarding Forward-Looking Statements: This press release contains certain "Forward-Looking Statements" within the meaning of applicable securities legislation. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Corporation's expectations are disclosed in the Corporation's documents filed from time to time with the TSX Venture Exchange and, among others, the British Columbia Securities Commission as well as under the heading "Risk Factors" in the Company's annual and interim Management Discussion and Analysis.

TABLE OF SIGNIFICANT COLIBRI/PITAYA 2012 AEM DIAMOND AND RC DRILL INTERCEPTS

HOLE FROM TO LENGTH Au Ag ZONE
NUMBER (m) (m) (m) (g/T) (g/T)  
             
NAS-12-01 28.20 32.10 3.90 0.36 1.50 Naranja Sur
  37.40 40.80 3.40 0.58 2.30  
NAS-12-02 59.00 62.00 3.00 0.41 0.70 Naranja Sur
  111.70 114.70 3.00 0.26 0.80  
  123.70 128.60 4.90 0.57 2.10  
NAS-12-03 No significant results Naranja Sur
NAS-12-04 No significant results Naranja Sur
NAS-12-05 78.00 84.00 6.00 0.22 0.50 Naranja Sur
  130.50 134.00 3.50 0.28 0.60  
  147.00 149.00 2.00 0.22 1.00  
  272.00 275.00 3.00 0.51 1.00  
NAS-12-06 No significant results Naranja Sur
NAS-12-07A 6.00 10.00 4.00 0.28 0.90 Naranja Sur
  24.00 29.00 5.00 0.31 0.70  
  238.60 240.50 1.90 0.33 0.50  
  327.00 328.50 1.50 1.70 0.50  
NAS-12-08 No significant results Naranja Sur
NAS-12-09 23.00 25.10 2.10 1.15 2.00 Naranja Sur
  111.00 112.00 1.00 0.42 14.00  
PL-12-01 24.00 27.00 3.00 0.32 0.80 El Pliegue
  58.50 62.30 3.80 0.35 0.70  
  75.00 79.50 4.50 0.33 2.70  
PL-12-02 182.00 187.00 5.00 0.31 1.40 El Pliegue
  213.30 215.30 2.00 1.53 29.50  
  239.00 270.00 31.00 0.53 3.20  
including 247.00 250.00 3.00 0.64 3.70  
including 263.50 268.00 4.50 1.40 2.20  
PL-12-03 No significant results El Pliegue
PLR-12-01 46.50 51.00 4.50 0.47 0.70 El Pliegue
PLR-12-02 No significant results El Pliegue
PLR-12-03 No significant results El Pliegue
PL-12-04 0.90 6.00 5.10 0.39 1.10 El Pliegue
  55.50 57.00 1.50 1.09 1.00  
  160.50 163.50 3.00 0.25 1.50  
  187.00 198.00 11.00 0.52 1.40  
  197.00 200.00 3.00 0.28 0.50  
  223.00 224.00 1.00 6.38 4.00  
NAN-12-01 No significant results Naranja Norte
NAN-12-02 No significant results Naranja Norte
JO-12-01 288.00 294.00 6.00 0.30 1.50 La Jojoba

NOTE - Sample intervals are core widths and do not represent true widths.





COLIBRI/PITAYA PROJECT DRILL HOLE LOCATIONS

                         
HOLE   UTM N   UTM E   AZIMUTH   INCL.   DEPTH   ZONE
  NAD 27 MEXICO DATUM   (degrees)   (degrees)   (m)    
                         
JO-12-01   3428091.874   366033.178   215   -70   294   JOJOBA
NAN-12-01   3424873.770   365662.318   215   -70   283   NARANJA NORTE
NAN-12-02   3425936.982   365041.960   215   -70   276   NARANJA SUR
NAS-12-01   3423312.563   364396.812   0   -90   202.5   NARANJA SUR
NAS-12-02   3423198.478   364713.332   0   -90   204   NARANJA SUR
NAS-12-03   3422987.947   364482.643   0   -90   222   NARANJA SUR
NAS-12-04   3422446.556   364341.883   0   -90   243   NARANJA SUR
NAS-12-05   3422521.875   364886.919   0   -90   360   NARANJA SUR
NAS-12-06   3423262.832   364246.926   0   -90   342   NARANJA SUR
NAS-12-07   3423218.807   364148.145   0   -90   36.1   NARANJA SUR
NAS-12-07A   3423218.905   364147.936   0   -90   364.5   NARANJA SUR
NAS-12-08   3423000.050   363947.281   35   -75   295.5   NARANJA SUR
NAS-12-09   3422075.925   365548.712   265   -65   372   NARANJA SUR
PL-12-01   3425399.931   367487.853   0   -90   402   EL PLIEGUE
PL-12-02   3424964.289   368203.094   55   -70   336   EL PLIEGUE
PL-12-03   3424523.385   367953.720   0   -90   318   EL PLIEGUE
PL-12-04   3425193.785   367849.022   55   -60   399   EL PLIEGUE
PLR-12-01   3425105.454   367680.822   55   -70   279   EL PLIEGUE
PLR-12-02   3424750.585   367335.743   0   -90   300   EL PLIEGUE
PLR-12-03   3424372.829   367672.037   0   -90   168   EL PLIEGUE
                    5696.6    

 

 

 

SOURCE: Colibri Resource Corporation

For further information:

Lance Geselbracht, P.E., President and Chief Executive Officer
Tel: (250) 755-7871


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