VANCOUVER, July 23, 2019 /CNW/ - Sun Metals Corp. ("Sun Metals" or the "Company") (TSXV: SUNM) reports on progress from the current exploration program at its 100% owned Stardust project in northcentral British Columbia. The 2019 program consists of diamond drilling, along with surface electromagnetic (EM) and borehole electromagnetic geophysical surveys (BHEM) and continued geological studies with a budget of $5.4 million.
Diamond drilling was initiated in late May with two drills. To date, the drills have completed 3,671 metres over nine drill holes in four pilot holes, and drill holes ten and eleven are in progress. The primary focus of the diamond drill program is to explore around the mineralization identified in drill hole DDH18-SD-421 (see press release at https://sunmetals.ca/news/2018/) which returned a 100.00 metre interval of 2.51% copper, 3.03 grams per tonne (g/t) gold, and 52.5 g/t silver for a 4.99% copper equivalent(1,2). Diamond drilling to date has tested areas on section with DDH18-SD-421 and areas to the south where a BHEM survey completed at the end of the 2018 program identified an EM conductor.
Directional diamond drilling has been used in all of the 2019 drilling at Stardust to increase the precision and accuracy of drilling step-outs. Another benefit of this style of drilling is the use of pilot holes which has resulted in a 35% reduction in metres drilled. The Stardust team is also using oriented core to assist Sun Metals' geologists in advancing their knowledge of the structural characteristics of the local rocks.
A total of 1,527 samples have been selected from the nine completed holes and 1,264 samples have been shipped to the Bureau Veritas laboratory in Richmond, BC. A full suite of QA/QC samples are included in the sampling process, including standards, blanks, field duplicated and laboratory duplicates. Bureau Veritas is a fully certified and internationally recognized facility.
In conjunction with the diamond drilling, large loop ground EM surveys are being conducted along strike of the phyllite/carbonate contact in the Canyon Creek skarn zone. A large loop grid has been completed over the Canyon Creek skarn zone with 25.3 line km of surveying completed and the crew is now working in the area to the south. BHEM surveys have also been conducted on five holes in this program.
Technical aspects of this news release have been reviewed and approved by Ian Neill P.Geo., Vice President Exploration of Sun Metals, who is a qualified person as defined by National Instrument 43-101.
On Behalf of the Board of Directors of
SUN METALS CORP.
Steve Robertson Chief Executive Officer
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About Sun Metals
Sun Metals is advancing its 100% owned flagship, high-grade Stardust Project located in northcentral British Columbia, Canada. Stardust is a high-grade polymetallic Carbonate Replacement Deposit with a rich history. Sun Metals also owns the Lorraine copper-gold project (joint-ventured with Teck Resources Limited), and the OK copper-molybdenum project.
The Canyon Creek copper-gold skarn zone at Stardust was the subject of a 2018, 43-101 compliant resource estimate published by the Company in January 2018. GeoSim Services Inc. provided the following estimate.
Stardust Project - Canyon Creek zone Mineral Resource Estimate(1):
% Cu Eq
(1)The cut-off grade used in the resource estimate was 1.5% copper equivalent (Cu Eq). Metal price assumptions for the Cu Eq calculation were $3.00/lb Copper, $1.25/lb Zinc, $1,300/oz Gold and $18/oz Silver. Adjustment factors to account for differences in relative metallurgical recoveries of the constituents will depend upon completion of definitive metallurgical testing. The following equation was used to calculate copper equivalence: Cu Eq = Copper + (Zinc x 0.4167) + (Gold x 0.6319) + (Silver x 0.0087). A cut-off grade of 1.5% Cu Eq represents an in-situ metal value of approximately $100/tonne which is believed to represent a reasonable break-even cost for underground mining and processing. These are not mineral reserves and no work has been completed that demonstrates economic viability at the Project.
(2) True widths of the reported mineralized intervals have not been determined
Sun Metals believes B.C. is a reliable jurisdiction with excellent exposure to capital markets, a deep pool of exploration professionals, a wealth of supporting services, and exceptional infrastructure with direct access to Pacific markets.
Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward‐looking statements". Forward‐looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward‐looking statements, including without limitation those relating to the Company's future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward‐looking statements.
SOURCE Sun Metals
For further information: please contact Susie Bell, Investor Relations for Sun Metals at [email protected], 604-697-4953, or Steve Robertson, President and CEO of Sun Metals, at [email protected], (604) 697-4952.