Cornerstone Capital Resources Inc.
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Cornerstone Capital Resources Inc.

December 08, 2014 08:00 ET

Cornerstone Capital Resources Inc.: Cascabel Exploration Update; Orion IP Surveys Support Robust Target at Aguinaga

MOUNT PEARL, NEWFOUNDLAND--(Marketwired - Dec. 8, 2014) - Cornerstone Capital Resources Inc. ("Cornerstone" or "the Company") (TSX VENTURE:CGP)(OTCBB:CTNXF)(FRANKFURT:GWN)(BERLIN:GWN) announces the following project update for the Cascabel copper-gold porphyry joint venture exploration project in northern Ecuador, in which the Company has a 15% interest financed through to completion of a feasibility study.

HIGHLIGHTS:

  • Final Orion geophysical models received for the Aguinaga Orion 3D Induced Polarization ("3DIP") and magnetotelluric ("MT") survey; and
  • Porphyry copper-gold magnetic and chargeability signature identified below areas of surface geochemical anomalism at Aguinaga (T5).

References to figures, photographs and tables related to the version of this release on the Company's website (www.cornerstoneresources.com) or visible in PDF format by clicking the link below:

http://www.cornerstoneresources.com/i/pdf/NR14-31Figures.pdf. Due to the highly technical nature of the information provided in this market release, a Glossary of Terms has been uploaded on the Company's website.

FURTHER INFORMATION

Final Orion 3DIP chargeability models and conductivity models were received on November 25 from Quantec Geoscience for both the Alpala and the Aguinaga surveys. The Alpala target in the southern portion of the Cascabel property is currently being drilled; Aguinaga is another copper - gold porphyry target nearer to the central part of the property (Figure 1).

The Orion data at Alpala and at Aguinaga has three components:

  1. Deep Conductivity data (0-4 km depth) derived from the MT survey.
  2. Shallow Conductivity data (0-900m) derived from the 3DIP survey.
  3. Shallow Chargeability data (0-900m) derived from the 3DIP survey.

Refined Aguinaga Target Post Interpretation of Orion 3DIP and MT Data

First-pass assessment of the Orion 3DIP geophysical data and integration with Magnetic Vector Inversion ("MVI") data has identified a compelling porphyry copper-gold signature from the 3DIP chargeability data and the MVI data.

Summary of Aguinaga Orion Data

The Orion IP and magnetic MVI models at Aguinaga have undergone preliminary review, resulting in two major intrusive bodies being interpreted in the central part of the survey area beneath the surface copper, gold and molybdenum soil anomalies that occur over the Aguinaga hill.

Dominating the Aguinaga MVI model is a large central magnetic high surrounded by an annular zone of low magnetization. The MVI model indicates the causative body is a high magnetic susceptibility sub-vertical body extending from close to surface to over 1500m depth (Figure 3).

The Orion conductivity and chargeability data (Figures 2 and 3) indicate that this central magnetic body is resistive and non-chargeable. In contrast the zone surrounding this magnetic high hosts several elongated conductors and chargeable anomalies. Some of these appear to radiate out from the central magnetic anomaly, potentially exploiting radial fractures. These observations suggest that the central magnetic feature is a late-stage intrusion within the 'Aguinaga Intrusive Complex'.

The elongate conductors and IP chargeability responses in the areas surrounding the two interpreted magnetic intrusives are interpreted to be the result of hydrothermal fluids exploiting and altering pre-existing faults around the periphery of the Aguinaga Intrusive Complex. The strongest, spatially coincident, elongated conductive and chargeable responses are orientated north-northwest (340 degrees) and are located on the north side of an interpreted late-stage magnetic intrusive (Figure 3). The upper surface of these conductive and chargeable responses lies at 1250 metres above sea level (masl or RL, approximately 250 metres depth). These responses strengthen and are strongest about 1 kilometre north of the late-stage magnetic intrusive body where crosscutting structures are interpreted from magnetic data.

A feature of particular note is that directly beneath this structural junction, the coincident conductor and chargeability anomalies extend vertically downward, forming a chargeable and conductive pipe-like body (Figure 3). This anomaly is non-magnetic and extends over an approximate 900m vertical interval. This pipe-like chargeability anomaly likely represents highly altered rocks containing sulphides that lie above a deeper magnetic anomaly. Below 1000m depth, the magnetic susceptibility of the pipe increases steadily down to -500 RL (approximately 1900 metres depth) which is the lower limit of the MVI model. This increase in susceptibility is interpreted to be due to secondary magnetite associated with sulphide. This forms the basis of a clearly defined porphyry target at Aguinaga (Figure 3).

Additional details of the Aguinaga target will be provided following further integration and interpretation of datasets.

About Cascabel

SolGold Plc owns 85% of the equity of Exploraciones Novomining S.A. ("ENSA"), an Ecuadorean registered company that holds 100% of the Cascabel concession in northern Ecuador. Cornerstone owns the remaining 15% of ENSA, which also holds the rights to the La Encrucijada gold-silver project. SolGold is funding 100% of the exploration at Cascabel and is the operator of the project with Cornerstone Ecuador S.A. providing some exploration and administrative services. Cornerstone's 15% interest is financed through completion of a feasibility study.

Cascabel is located in north-western Ecuador in an under-explored northern section of the richly endowed Andean Copper Belt, 60 km northeast of the undeveloped inferred resource of 982 million tons at 0.89% Cu Junin copper project (0.4% Cu cutoff grade; Micon International Co. Ltd. Technical Report for Ascendant Exploration SA, August 20, 2004, pages 28 & 29). Mineralization identified at the Junin copper project is not necessarily indicative of the mineralization on the Cascabel Property.

Qualified Person:

Yvan Crepeau, MBA, P.Geo., Cornerstone's Vice President, Exploration and a qualified person in accordance with National Instrument 43-101, is responsible for supervising the exploration program at the Cascabel project for Cornerstone and has reviewed and approved the information contained in this news release.

Logging, sampling and assaying

Holes referred to in this release were or are being drilled using HTW, NTW, NQ and BQ core sizes (respectively 7.1, 5.6, 4.8 and 3.7 cm diameter). Geotechnical measurements such as core recovery, fracturing, rock quality designations (RQD's); specific density and photographic logging are performed systematically prior to assaying. The core is logged, magnetic susceptibility measured and key alteration minerals identified using an on-site portable spectrometer. Core is then sawed in half at Cornerstone's core logging facility and half of the core is delivered by Cornerstone employees for preparation at Acme Analytical Laboratories (ACME) affiliate laboratory in Cuenca. Core samples are prepared crushing 1 kg to 80% passing 2 mm (10 mesh), splitting 250 g and pulverizing to 85% passing 0.075 mm (200 mesh) (ACME code R200-250). Prepared samples are then shipped to ACME in Vancouver, Canada where samples are assayed for a multi-element suite (ACME code 1E, 0.25g split, 4-acid digestion, ICP-ES finish). Over limit results for Ag (> 100 g/t), Cu, Pb and Zn (each one > 1%) are systematically re-assayed (ACME code 7 TD1 or 7 TD2, 4-acid digestion, ICP-ES finish). Gold is assayed using a 30 g split, Fire Assay (FA) and AA or ICP-ES finish (ACME code G601).

Quality assurance / Quality control (QA/QC)

The ACME affiliate preparation facility in Cuenca was audited by Cornerstone prior to the start of the drilling program and ACME is an ISO 9001:2008 qualified assayer that performs and makes available internal assaying controls. Duplicates, certified blanks and standards are systematically used (1 control sample every 15 samples) as part of Cornerstone's QA/QC program. Rejects, a 100 g pulp for each core sample and the remaining half-core are stored for future use and controls.

About Cornerstone:

Cornerstone Capital Resources Inc. is a well-funded mineral exploration company based in Mount Pearl, Newfoundland and Labrador, Canada, with a diversified portfolio of projects in Ecuador and Chile, and a strong technical team that has proven its ability to identify, acquire and advance properties of merit. The company's business model is based on generating exploration projects whose subsequent development is funded primarily through partnerships. Commitments from partners constitute significant validation of the strength of Cornerstone's projects.

Further information is available on Cornerstone's website: www.cornerstoneresources.com and on Twitter.

Cautionary Notice:

This news release may contain 'Forward-Looking Statements' that involve risks and uncertainties, such as statements of Cornerstone's plans, objectives, strategies, intentions and expectations. The words "potential", "anticipate", "forecast", "believe", "estimate", "expect", "may", "project", "plan", and similar expressions are intended to be among the statements that identify 'Forward-Looking Statements'. Although Cornerstone believes that its expectations reflected in these 'Forward-Looking Statements' are reasonable, such statements may involve unknown risks, uncertainties and other factors disclosed in our regulatory filings, viewed on the SEDAR website at www.sedar.com. For us, uncertainties arise from the behaviour of financial and metals markets, predicting natural geological phenomena and from numerous other matters of national, regional, and global scale, including those of an environmental, climatic, natural, political, economic, business, competitive, or regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our Forward-Looking Statements. Although Cornerstone believes the facts and information contained in this news release to be as correct and current as possible, Cornerstone does not warrant or make any representation as to the accuracy, validity or completeness of any facts or information contained herein and these statements should not be relied upon as representing its views subsequent to the date of this news release. While Cornerstone anticipates that subsequent events may cause its views to change, it expressly disclaims any obligation to update the Forward-Looking Statements contained herein except where outcomes have varied materially from the original statements.

On Behalf of the Board,

Brooke Macdonald, President and CEO

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.

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