VANCOUVER, British Columbia, March 06, 2023 (GLOBE NEWSWIRE) — Arras Minerals Corp. (TSX-V: ARK) is pleased to announce the assay results from holes Bg21011 and Bg21013, which were drilled 3.2 kilometers south of the main deposit on the “Beskauga South” prospect. These drill results are from the ongoing exploration drill program at the Beskauga copper-gold deposit and surrounding area.
Highlights Include:
- Hole Bg22013 returned intersection of 877.4 meters (“m”) of mineralization grading 0.27 gram per ton (“g/t”) gold-equivalent (“AuEq”) (0.24 g/t Au, & 0.24 g/t Ag) starting at 21.3 m to the end of the drill hole.
- Including 6.3 m grading 1.29g/t AuEq (1.18 g/t Au & 0.41 g/t Ag) from 794.7 m depth down-hole.
- Including 17.0 m grading 2.53g/t AuEq (2.49 g/t Au & 0.41 g/t Ag) from 604.0 m depth down-hole.
- Including 23.0 m grading 1.68g/t AuEq (1.56 g/t Au & 0.70 g/t Ag) from 554.0 m depth down-hole.
- Including 82.7 m grading 0.53g/t AuEq (0.51 g/t Au & 0.21 g/t Ag) from 21.3 m depth down-hole.
- Hole Bg22011 returned intersection of 423.4 meters (“m”) of mineralization grading 0.24 gram per ton (“g/t”) gold-equivalent (“AuEq”) (0.22 g/t Au & 0.19 g/t Ag) starting at 26.7 m to the end of the drill hole.
- Including 129.0 m grading 0.57g/t AuEq (0.55 g/t Au, 0.37 g/t Ag) from 96.0 m depth down-hole.
Tim Barry, CEO of Arras, commenting on these latest results, stated, “Holes Bg22011 and Bg22013 were designed to test historical gold and copper anomalies within a NW-SE corridor on the margin of the magnetic high and demagnetized zone 3.2 kilometers from the Beskauga Main Deposit. They were also intended to test for lateral and depth continuity of gold intercepts in historical drill holes BgS-043 and BgS-060, which yielded 86.5m @ 1.32 g/t Au and 60m @ 1.04 g/t Au, respectively.”
Mr. Barry continues, “These are the first holes we have drilled into the Beskauga South prospect and they are particularly pleasing. Continuous low grade gold intercepts are punctuated by zones of higher grade including 17 meters @ 2.48g/t gold and 23 meters @ 1.68g/t gold. To drill such significant intercepts in our first drill holes in this area and to be more than 3 kilometers south of Beskauga Main Deposit speaks to the size and strength of the mineralizing system we see at Beskauga.”
A summary of the results announced in this news release is outlined in the table below.
Table 1. Summary table for drill holes Bg22011 and Bg22013
Notes: Copper Equivalent (“CuEq”) grades reported for the drill holes at Beskauga were calculated using the following formula: CuEq % = Copper (%) + (Gold (g/t) x 0.8264) + (Silver (g/t) x 0.0107) + (Molybdenum (ppm) x 3.3333). Gold Equivalent (“AuEq”) grades reported for the drill holes at Beskauga were calculated using the following formula: AuEq g/t = Gold (g/t) + (Copper (%) x 1.2100) + (Silver (g/t) x 0.0129) + (Molybdenum (ppm) x 4.0334). Assumptions used for the copper and gold equivalent calculations were metal prices of US$3.00/lb. Copper, US$1,700/oz Gold, US$22/oz Silver, US$10/lb. Molybdenum, and metallurgical recoveries were assumed to be 100%.
A summary of drillholes is given below:
Bg22011: The upper section of the drill hole passed through andesite basalt and porphyritic quartz monzonite before intersecting later equigranular quartz monzonite. Both the porphyritic and equigranular quartz monzonites show weak to moderate potassic alteration, characterized by the presence of K-feldspar, magnetite, biotite, and epidote. The local argillic overprint, consisting of Illite and smectite, is strongly controlled by fault zones and correlates with low magnetic susceptibility values in the drill core. Gold mineralization is associated with occasional quartz-pyrite and quartz-magnetite veins, as well as magnetite and pyrite-only veins. Chalcopyrite is rare and weakly present. The most significant mineralization is found at the contact zones of quartz monzonite and surrounding rocks and is controlled by structures. The last 70m of the drill hole intersected fresh and barren andesite basalt.
Bg22013: intersected alternating intervals of equigranular quartz monzonite intruded into a porphyritic quartz monzonite, with andesite basalts reported in three intervals indicating an older volcanic event. Alteration zones include moderate propylitic and weak to moderate potassic alteration. Strongest mineralization is related to contact zones of quartz monzonite and surrounding rocks, with gold mineralization associated with weak quartz-pyrite and quartz-magnetite veining, occasional magnetite, and pyrite only veins and stringers, or hematite after magnetite and pyrite veins in zones of argillic overprint. Chalcopyrite is sporadic with weak intensity.
Figure 1. Location of the holes completed to date at the Beskauga South area, located approximately 3.2 kilometers SSW from the Beskauga Main deposit, and outside of the current NI-43-101 Mineral Resource Estimate. The inset map shows the location of Beskauga. Also shown is the location of the geology section shown in Figure 2.
Figure 2. Cross-section showing drill holes Bg22011 and Bg22013 in relation to historical holes drilled by Copperbelt. AuEq grades of key intercepts in Bg22011, Bg22013 and historical holes are shown. The cross-section demonstrates structurally controlled mineralization largely focused in the contacts between steep, southwest dipping quartz monzonite intrusion and surrounding porphyritic quartz monzonite and andesite basalts.
About the Beskauga Deposit: The Beskauga deposit is a gold-copper-silver deposit with an “Indicated” Mineral Resource of 111.2 million tonnes grading 0.49 g/t gold, 0.30% copper, and 1.3 g/t silver for 1.75 million ounces of contained gold, 333.6 thousand tonnes of contained copper, and 4.79 million ounces of contained silver and an “Inferred” Mineral Resource of 92.6 million tonnes grading 0.50 g/t gold, 0.24% copper and 1.1 g/t silver for 1.49 million ounces of contained gold, 222.2 thousand tonnes of contained copper, and 3.39 million ounces of contained silver. The constraining open pit was optimized and calculated using a Gross Metal Value (“GMV”) cut-off of $20/tonne based on a price of $1,750/oz for gold, $3.50/lb for copper, $22/oz for silver, and with an average recovery of 85% for copper and 74.5% for gold and 50.0% for silver.
Assay and QAQC Procedures: The drill core is cut in half lengthwise with one half (same half, consistently) collected for analysis, and one half preserved as a record. Bagged samples are sealed to ensure integrity during transport.
All sample preparation and geochemical analysis are undertaken by ALS Global at its laboratories in Karaganda (Kazakhstan) and Loughrea (Republic of Ireland), respectively.
A 30 g split of the pulp is analyzed for gold content by fire assay with an Atomic Absorption Spectroscopy (AAS) finish (ALS method: Au-AA25™) at ALS Karaganda. A second pulp split is then air freighted to ALS Loughrea and analyzed for 48 elements by Inductively Coupled Plasma Mass Spectrometry (ICP-MS) after four-acid digestion on a 0.25 g aliquot (ALS method: ME-MS61™). Any samples exceeding 1% copper are re-analyzed using a 4-acid digest ICP-MS ore grade method (ALS method: Cu-OG62™).
Arras Minerals operates according to its rigorous internal Quality Assurance and Quality Control (QA/QC) protocols, which are consistent with industry best practices. This includes the insertion of certified standards, blanks, and field duplicates comprising of quarter drill core into the sample stream at an insertion rate of 2.5%, 2.5%, and 5%, respectively, which is deemed appropriate for this stage of exploration. The blanks and standards are Certified Reference Materials (CRM’s) supplied by Ore Research and Exploration, Australia.
Internal QA/QC samples are also inserted by the analytical laboratories and reviewed by the Company prior to release.
Qualified Person: The technical information of this news release has been reviewed and approved by Tim Barry, a Chartered Professional Geologist MAusIMM CP(Geo), and a qualified person for the purposes of National Instrument 43-101.
On behalf of the Board of Directors
"Tim Barry"
Tim Barry, MAusIMM (CP(Geo))
Chief Executive Officer and Director
INVESTOR RELATIONS:
+1 604 687 5800
info@arrasminerals.com
Further information can be found on the Company’s website https://www.arrasminerals.com or follow us on LinkedIn: https://www.linkedin.com/company/arrasminerals
About Arras Minerals Corp.
Arras is a Canadian exploration and development company advancing a portfolio of copper and gold assets in northeastern Kazakhstan, including the Option Agreement on the Beskauga copper and gold project. The Company has established the third-largest license package in the country (behind Rio Tinto and Fortescue Metals Group) prospective for copper and gold in the country. The Company’s shares are listed on the TSX-V under the trading symbol “ARK”.
Cautionary Note to U.S. Investors concerning estimates of Measured, Indicated, and Inferred Resources: This press release uses the terms “measured resources”, “indicated resources”, and “inferred resources” which are defined in, and required to be disclosed by, NI 43-101. The Company advises U.S. investors that these terms are not recognized by the SEC. The estimation of measured, indicated and inferred resources involves greater uncertainty as to their existence and economic feasibility than the estimation of proven and probable reserves. U.S. investors are cautioned not to assume that measured and indicated mineral resources will be converted into reserves. The estimation of inferred resources involves far greater uncertainty as to their existence and economic viability than the estimation of other categories of resources. U.S. investors are cautioned not to assume that estimates of inferred mineral resources exist, are economically minable, or will be upgraded into measured or indicated mineral resources. Under Canadian securities laws, estimates of inferred mineral resources may not form the basis of feasibility or other economic studies.
Disclosure of “contained ounces” in a resource is permitted disclosure under Canadian regulations, however the SEC normally only permits issuers to report mineralization that does not constitute “reserves” by SEC standards as in place tonnage and grade without reference to unit measures. Accordingly, the information contained in this press release may not be comparable to similar information made public by U.S. companies that are not subject NI 43-101.
Cautionary note regarding forward-looking statements: This news release contains forward-looking statements regarding future events and Arras’ future results that are subject to the safe harbors created under the U.S. Private Securities Litigation Reform Act of 1995, the Securities Act of 1933, as amended, and the Exchange Act, and applicable Canadian securities laws. Forward-looking statements include, among others, statements regarding the use of net proceeds from the recent private placement, plans and expectations of the drill program Arras is in the process of undertaking, including the expansion of the Mineral Resource, and other aspects of the Mineral Resource estimates for the Beskauga project. These statements are based on current expectations, estimates, forecasts, and projections about Arras’ exploration projects, the industry in which Arras operates and the beliefs and assumptions of Arras’ management. Words such as “expects,” “anticipates,” “targets,” “goals,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “continues,” “may,” variations of such words, and similar expressions and references to future periods, are intended to identify such forward-looking statements. Forward-looking statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond management’s control, including undertaking further exploration activities, the results of such exploration activities and that such results support continued exploration activities, unexpected variations in ore grade, types and metallurgy, volatility and level of commodity prices, the availability of sufficient future financing, and other matters discussed under the caption “Risk Factors” in the Management Discussion and Analysis filed on the Company’s profile on SEDAR on February 24, 2023 and in the Company’s Annual Report on Form 20-F for the fiscal year ended October 31, 2022 filed with the U.S. Securities and Exchange Commission filed on February 24, 2023 available on www.sec.gov. Readers are cautioned that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those expressed or implied in the forward-looking statements. Any forward-looking statement made by the Company in this release is based only on information currently available and speaks only as of the date on which it is made. The Company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments, or otherwise.
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/a56c0e6b-2226-4171-81df-62178cd4f065
https://www.globenewswire.com/NewsRoom/AttachmentNg/52989322-61d5-4421-8ce2-85976d45a357
https://www.globenewswire.com/NewsRoom/AttachmentNg/62264477-f3f7-49b6-bc5d-b1d19960f594
