McEwen Mining Announces Resource Update at the Los Azules Copper Project in Argentina
TORONTO, ONTARIO--(Marketwire - June 28, 2012) - McEwen Mining Inc. (NYSE:MUX)(TSX:MUX) is pleased to announce an updated resource estimate for its 100% owned Los Azules Copper Project in San Juan Province, Argentina. Drilling has increased both the level of confidence associated with the mineralization and the size of the resource. The estimated contained copper metal in the Indicated Resource category has increased by 109% to 4.6 billion lbs. and the estimated contained copper metal in the Inferred Resource category increased by 4% to 10.8 billion lbs.
| Los Azules Copper Project Resource Highlights |
| June 2010 Resource Estimate |
June 2012 Resource Estimate Update |
|||||||
| Cut-off Grade (Cu%) |
Tonnage (million tonnes) |
Cu Grade (%) |
Cu lbs (billions) |
Tonnage (million tonnes) |
Cu Grade (%) |
Cu lbs (billions) |
% Change (contained Cu) |
|
| Indicated Resource | ||||||||
| 0.35 | 137 | 0.73 | 2.2 | 323 | 0.65 | 4.6 | +109 | % |
| Inferred Resource | ||||||||
| 0.35 | 900 | 0.52 | 10.4 | 948 | 0.52 | 10.8 | +4 | % |
| *Details for gold and silver resources are included in Table 1. |
"Los Azules is one of the world's largest undeveloped copper deposits. We are looking forward to commencing our most ambitious drill program this November. This deposit appears to have good potential to expand in size," stated Rob McEwen, Chairman and Chief Owner.
The objective of the Company's exploration program since the last resource update in June 2010 was to 1) test the expansion potential; and 2) continue to infill portions of the deposit. Drilling successfully expanded the overall size of the Inferred resource while maintaining the same grade. In addition, 186 million tonnes of Inferred resource was converted to the Indicated category. The grade of the Indicated resource decreased since the mineralization that was being upgraded was of a lower grade. Los Azules has a significant high grade core (using a cut-off grade of 0.70% copper) totaling 112 million tonnes at an average grade of 0.89% copper in the Indicated category and 119 million tonnes at an average grade of 0.86% copper in the Inferred category.
Despite limited drilling, approximately 8,100 meters from January 2011 to April 2012, the expansion of the resource was successfully achieved by drilling step-out holes primarily to the southwest of the known deposit which confirmed that mineralization continues laterally and at depth.
McEwen Mining has signed a contract with Major Drilling to provide four core drills and one reverse-circulation drill for the 2012-13 drill season. These core rigs are considerably more powerful than the ones used during the 2011-12 season and the Company believes this will increase the likelihood of reaching target depths (+700 meters), where high-grade copper mineralization has been encountered. McEwen Mining anticipates starting the upcoming drill season in November and plans a total of 15,000 meters of drilling.
To read the entire news release follow the link below:
June 28, 2012 (Source: Marketwire)
