Azarga Metals New Assays Indicate Potential For Multiple Horizons Of Significant Mineralization At Unkur

AZARGA METALS CORP. (“Azarga Metals” or the “Company”) (TSXV:AZR) announces additional assay results from deeper sections in previously reported diamond core drill-hole AM-001 together with assay results for hole AM-011 at its Unkur Silver-Copper Project in the Zabaikalsky administrative region of eastern Russia.
The Company’s President and CEO Dorian (Dusty) Nicol said, “The assays from the remainder of AM-001 raise the intriguing possibility of additional horizons of significant mineralization that had not been identified in historical works at Unkur. In addition to continuing to explore the recognized mineralized zone, we will look to test the ‘multiple mineralization horizon’ idea across the deposit because confirmation of such could lead to a substantial increase in our views of the potential scale of any deposit at Unkur.”
ADDITIONAL ASSAYS FROM DRILL-HOLE AM-001
At 401 meters in length, Drill-hole AM-001 is the longest hole drilled by Azarga Metals to date at Unkur. Assays from the upper sections of the hole were made public in the Company’s news release on 19 September 2016. The main intersection announced was 40 meters at 65.9g/t silver and 0.74% copper from 82.5 meters to 122.5 meters together with two higher grade subsections (refer Table 2 in the Drilling Update Section of this news release).
Azarga Metals has now received assays from the remainder of drill-hole AM-001, including a second intersection of significant mineralization, being: 18 meters at 70.0 g/t silver and 0.81% copper (ie, 137.6g/t silver equivalent or 1.65% copper equivalent using US$17.83/oz silver price and US$2.17/lb copper price and assuming 100% recoveries) from 314.5 meters to 332.5 meters. That intersection includes seven meters at 137.7g/t silver and 1.51% copper (ie, 263.7g/t silver equivalent or 3.16% copper equivalent using US$17.83/oz silver price and US$2.17/lb copper price and assuming 100% recoveries) from 320.5 meters to 327.5 meters. In addition, a third intersection of highly anomalous, though lower grade, mineralization was identified, being: five meters at 49.2g/t silver and 0.32% copper (ie, 75.9g/t silver equivalent or 0.91% copper equivalent using US$17.83/oz silver price and US$2.17/lb copper price and assuming 100% recoveries) from 339.5 meters to 344.5 meters.
AM-001 is the first hole from Azarga Metals’ first phase exploration program at Unkur to establish multiple distinct horizons of significant mineralization. Such a feature was not observed in the shorter drill holes that have returned assays to date nor from historical exploration records. The Company plans to test for the presence of multiple layers of significant mineralization at other locations at Unkur.
ASSAYS FROM DRILL-HOLE AM-011
Assays have also been received from drill-hole AM-011. This hole, which was drilled to a total length of 179 meters, contained one significant intersection, being: 13.7 meters at 38.7g/t silver and 0.59% copper (ie, 87.9g/t silver equivalent or 1.05% copper equivalent using US$17.83/oz silver price and US$2.17/lb copper price and assuming 100% recoveries) from 140.2 meters to 153.9 meters, including 5.9 meters at 86.4g/t silver and 1.25% copper (ie, 190.7g/t silver equivalent or 2.29% copper equivalent using US$17.83/oz silver price and US$2.17/lb copper price and assuming 100% recoveries) from 148.0 meters to 153.9 meters.
Drill-hole AM-011 extends strike length approximately 600 meters to the south east of previously reported drill-hole AM-007.
Note: Drill intercepts are reported as drilled and may not be representative of true widths. Drill holes have been sited to attempt to intersect mineralization as close to perpendicular as possible, but there is not sufficient information about geometry of the mineralization at this time to estimate true widths. A Quality Assurance / Quality Control program is part of the sampling program at Unkur. This program includes chain of custody protocols as well as systematic submittals of standards, duplicates and blank samples into the flow of samples produced by the sampling including check assays of approximately 10% of the samples by another certified laboratory. Samples were analyzed at SGS Vostok Limited in Chita, Russia. Check assays will be analyzed at ALS Geochemistry in Chita, Russia.
DRILLING UPDATE
Azarga Metals has now completed ten holes and has drilled approximately 2,400 cumulative linear meters (of a planned 5,000 meters, recently expanded from the original 3,000 meters) at its Unkur Silver-Copper Project.
UNKUR SILVER-COPPER PROJECT
Azarga Metals owns 60% of the Unkur Silver-Copper Project along with the right to acquire the remaining 40% in the future.
Sediment-hosted copper and silver mineralization has been identified across the 5,390 hectare project license area, in outcrops, trenches and by historical diamond drilling. The prior exploration outlined a large area of high-grade shallow stratiform sediment hosted copper-silver 20 to 50 meters thick over an area four to six kilometers long.
Further details concerning Unkur Silver-Copper Project are contained in a technical report filed by the Company as per its news release of 5 April 2016.