Atalaya Mining PLC Announces Exploration Update for Masa Valverde Project
Positive drilling results from Proyecto Masa Valverde, including significant high grade zones of the Masa Valverde and Majadales massive sulphide deposits.
NICOSIA, CYPRUS / ACCESSWIRE / October 6, 2021 / Atalaya Mining Plc (AIM: ATYM) (TSX: AYM) is pleased to report positive progress with the ongoing resource definition drilling at Proyecto Masa Valverde (“Proyecto Masa Valverde”) in Huelva, Spain.
A version of this announcement containing all referenced maps can be viewed on the Company’s website at www.atalayamining.com (the “Website Announcement”).
About Proyecto Masa Valverde
As announced on October 21, 2020, the Company has entered into a definitive purchase agreement to acquire 100% of Proyecto Masa Valverde which includes the Masa Valverde polymetallic deposit, the Majadales discovery and the unexplored Campanario-Descamisada area.
Masa Valverde is a large undeveloped massive sulphide deposit strategically located 28 km south of Atalaya’s 15 Mtpa plant in Proyecto Riotinto and 6 km south of the MATSA-owned Sotiel underground mine recently acquired by Sandfire Resources (SFR). Refer to Figure 1 of the website ad.
Recent drilling highlights
The recent drilling campaign intersected wide intervals of massive and stockwork type polymetallic sulphide mineralization, including important high grade intersections at Masa Valverde and Majadales.
A summary of recent intersections of selected drill holes is inserted below:
The complete assay results are shown in Tables 1 and 2 below.
Campanario-Descamisada is a 5 km long NW trending mineralized corridor located about 1.5 km NE of Masa Valverde and Majadales and defined by many small and old construction sites with iron caps rich in Au and occasionally relics of massive sulphides. Limited historical drilling has given promising results at shallow depths: for example, 8.25 meters at 1.27% Cu at a depth of 86.25 meters.
Provisional plan of Proyecto Masa Valverde
Drilling will continue beyond the initial 8,000 meters planned for this campaign with two drilling rigs and with the aim of: (i) gaining confidence in the estimation of resources and obtaining samples for metallurgical tests; (ii) define the extensions of known mineralization at the Masa Valverde and Majadales deposits; (iii) test the main geophysical anomalies generated during the recently completed FLEM survey; and (iv) determine the ultimate exploration potential of the new promising zone called the Campanario-Descamisada target zone.
Current and new drilling data will be incorporated into the NI 43-101 compliant report for Proyecto Masa Valverde which is currently in preparation by CSA Global and expected by the start of the first quarter of 2022.
Alberto Lavandeira, CEO, commented:
‘These excellent drilling results from Masa Valverde and Majadales confirm our belief that the historic Masa Valverde resource, which excluded Majadales, can be improved and also extended. Defining zones with higher Cu and Zn content within the larger mineralized intervals will be one of the keys to moving this project to production. Based on these encouraging results, we have decided to extend the 8,000 meter drilling program initially planned for this campaign to include the first systematic drilling program in the promising Campanario-Descamisada target area. We believe that Proyecto Masa Valverde is an important growth project for Atalaya and has the potential to become a source of high grade ore to supplement the feed to the Proyecto Riotinto plant, which continues to operate above capacity. nominal.‘
Drilling of the Masa Valverde project
The objective of the current drilling program at Proyecto Masa Valverde is to confirm, extend and upgrade the historical NI 43-101 resources reported at 66 Mt at 0.67% Cu, 1.92% Zn, 0, 90% Pb, 34 g / t Ag and 0.63 g / t Au (refer to the announcement made on October 21, 2020). The core obtained during the drilling campaign will also be used for metallurgical testing.
To date, a total of 5,874 meters through 8 diamond drill holes have been completed by Atalaya and two more holes are in progress. Four holes were drilled in the Masa Valverde polymetallic sulphide deposit and four in the body of the Majadales satellite (see Figures 2 and 3 of the website announcement). Majadales, located 1 km east of Masa Valverde, was discovered by Atalaya’s exploration team in July 2019 during a borehole testing a coincident soil and gravity electromagnetic geophysical anomaly.
The first resource estimate for Majadales will be included in the NI 43-101 report for Proyecto Masa Valverde which is currently underway.
Drill holes at the Masa Valverde deposit
Three drill holes at Masa Valverde, MJ36, MJ-38 and MJ-40, were designed as fill holes while MJ-34 was an extension hole which did not extend known mineralization eastward.
Results to date confirm and improve previously known mineralization in terms of widths and grades. Mineralization remains open in several sections of the deposit as shown in Figure 4 of the website announcement.
Additional drilling at Masa Valverde will continue to fill key gaps in the historic drilling as well as test potential extensions. Priority will be given to demonstrating the continuity and size of zones with higher Cu and Zn content.
Drill holes at the Majadales deposit
The four holes completed at the Majadales sulphide body were extension holes, three of which (MJ-35, MJ-39 and MJ-41) extended known mineralization eastward, upstream and downstream of 70, 30 and 15 meters respectively. be seen in Figure 5 of the website ad. Additional drilling at Majadales will focus on testing areas that remain open.
Overall drilling results
Assay results were received for six holes while two others were not sampled due to lack of visible mineralization. Table 1 below includes the most significant interceptions received from the current campaign on the Masa Valverde deposit, while Table 2 includes all interceptions so far at Majadales.
Abnormal cobalt values are encountered at Masa Valverde and Majadales, such as hole MJ-36 with an interval of 17.8 meters at 384 ppm cobalt and 1.00% Cu or hole MJ-39 with 7.2 meters at 331 ppm cobalt and 1.81% copper. Frequently, high values of cobalt are associated with high values of Cu. The possibilities of economically recovering this cobalt content will be studied.
A comprehensive fixed-loop electromagnetic (“FLEM”) survey covering most of the permit area was recently finalized (see Figure 6 of the website announcement).
Data interpretation is almost complete. Based on preliminary internal reports, we anticipate that several high priority anomalies potentially associated with massive sulphides will be delineated. These will be recommended for immediate drill testing to confirm the presence of a large and highly conductive anomaly located 1,300 meters to the northwest and along the same structural and stratigraphic framework as Masa Valverde and Majadales.
Additional metallurgical and mineralogical work is already underway and the results will be incorporated into the next NI 43-101 compliant report.
Qualified Person Declaration
Alberto Lavandeira has reviewed the technical information contained in this announcement in his capacity as a Qualified Person, as required by AIM Rules for Business. Alberto Lavandeira is the Managing Director of the company and is a member in good standing of the Association of Mining Engineers of Spain, with over 41 years of experience.
Glossary of terms
About Atalaya Mining Plc
Atalaya is an AIM and TSX listed mining and development group that produces copper concentrates and silver by-products at its wholly owned Proyecto Riotinto site in southwestern Spain. Atalaya’s current operations include the Cerro Colorado open pit and a modern 15 Mtpa processing plant, which has the potential to become a centralized processing center for ore from its wholly-owned regional projects around Riotinto, notably Proyecto Masa Valverde and Proyecto Riotinto East. In addition, the Group has entered into a progressive acquisition agreement for a stake of up to 80% in Proyecto Touro, a copper wasteland project in north-western Spain. For more information visit www.atalayamining.com
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