VANCOUVER, British Columbia, Feb. 28, 2019 (GLOBE NEWSWIRE) -- Evrim Resources Corp. (TSX.V: EVM) (“Evrim” or the “Company”) is pleased to announce that a drilling program has commenced at the Sarape epithermal gold-silver project in northern Sonora, Mexico. Evrim and its exploration partner, a subsidiary of Coeur Mining, Inc. (“Coeur”) have planned 2,500 metres of diamond drilling to test the two main targets.
“The undrilled Sarape Project is located in the Rio Sonora Valley, an emerging precious metals mining district that includes Silvercrest’s Las Chispas deposit, Premier Gold’s Mercedes Mine, and First Majestic’s Santa Elena Mine and Ermitaño deposit,” commented Stewart Harris, VP of Technical Services. “Drilling is planned to test the Sarape and Chiltepin veins; targets that have potential for significant gold-silver shoots beneath zones of favourable geochemistry.”
About the Sarape Project
The 5,349 hectare Sarape epithermal gold-silver project is located near excellent infrastructure with roads and power access (Figure 1). The project consists of the Sarape Vein, a 6.0 kilometre long vein measuring up to 12 metres wide, and the Chiltepin Vein, a 2.6 kilometre long vein measuring up to 3.0 metres wide.
Figure 1 – Location of Sarape epithermal project is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/0a318ff1-6c69-4944-b0e4-0527b9ee0281
Work completed in 2018 included detailed mapping of the veins and surrounding area, sampling, and an airborne magnetic and radiometric survey. Systematic channel sampling has shown that the western portion of both veins contains barren white quartz and calcite that are interpreted to be a late, shallow part of the system. The eastern portion of the Sarape vein includes a separate phase of low-temperature, tan green quartz that grades from 0.10 to 3.63 grams per tonne (“g/t”) gold and individual samples at the Chiltepin vein assay from trace to 3.66 g/t gold.
Figure 2 – Sarape project with veins, gold in rock chips and planned drill holes is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/4f38f469-6593-4a73-8243-db33d7f03fed
Coeur can earn an 80% interest in the Sarape project by making cash payments of US$2.55 million, US$16.5 million in exploration expenditures, and delivering an NI 43-101 Feasibility study within 10 years. Coeur can earn an initial 51% (the “Initial Interest”) by completing the annual earn-in commitments and a NI 43-101 Preliminary Economic Analysis (“PEA”) on a minimum inferred resource of 1,000,000 ounces of gold equivalent. After earning the Initial Interest, Coeur can elect to earn an additional 39% interest (the “Second Interest”) by delivering a NI 43-101 compliant Feasibility Study on a minimum measured and indicated resource of 1,000,000 ounces of gold equivalent, and making scheduled cash payments and minimum exploration expenditures up to the date of delivering the Feasibility Study.
Once Coeur has earned the Second Interest, it will continue to pay Evrim US$100,000 per year until mining and construction permits are received. Once the permits are received, Evrim may elect to participate in the joint venture with a 20% interest or convert its 20% interest into a 3% net smelter royalty (“NSR”) of which one-third can be purchased for US$2.0 million.
If Coeur elects not to proceed with the Second Interest, it will convert its 51% interest to a 2% NSR of which one-half can be purchased by Evrim for US$2.0 million.
Evrim will be the operator of the project up to the completion of the PEA, after which Coeur shall be the operator.
Qualified Person Statement
Evrim's disclosure of technical or scientific information in this press release has been reviewed and approved by Stewart Harris, P.Geo. Vice President, Technical Services for the Company. Mr. Harris serves as a Qualified Person under the definition of National Instrument 43-101.
Samples were delivered to ALS Global in Hermosillo, Sonora for sample preparation and to the ALS laboratory in North Vancouver for analysis. The Hermosillo and North Vancouver facilities have ISO/IEC 17025:2017 certification.
The rock samples taken in 2018 program are selected samples and may not be representative of the mineralization hosted on the property. A total of 485 rock samples have been collected from surface on the property and 89 samples exceeded 0.1 g/t gold.
About Evrim Resources
Evrim is a precious and base metals project generator, with early stage exploration projects and a database covering substantial areas of Mexico, western Canada and portions of southwestern United States. We focus our expertise on identifying new early stage exploration targets which are later advanced through option and joint venture agreements with industry partners to create shareholder value and avoid stock dilution. Evrim’s business plan also includes royalty creation utilizing the Company’s exploration expertise and existing projects.
On Behalf of the Board
EVRIM RESOURCES CORP.
President & CEO
To find out more about Evrim Resources Corp., please contact Paddy Nicol, President, or Charles Funk, VP New Opportunities and Exploration at 604-248-8648, or Liliana Wong, Investor Relations Manager at 778-929-3382.
Visit our website at www.evrimresources.com.
Forward Looking Information
This news release includes certain statements that may be deemed "forward looking statements". All statements in this news release, other than statements of historical facts, that address events or developments that Evrim Resources Corp. (the "Company“) expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.
Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward looking statements. Factors that could cause the actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by securities laws, the Company undertakes no obligation to update these forward looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
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.