CuOro Resources Corp.

CuOro Resources Corp.

September 14, 2011 03:05 ET

CuOro Resources Announces Major New Copper-Gold Intersections at Santa Elena Project in Colombia

CuOro intersects 40 metres of 2.28% Cu with 0.16 g/t Au and 5.9 g/t Ag

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 14, 2011) - CuOro Resources Corp. (TSX VENTURE:CUA)(FRANKFURT:6BC) ("CuOro" or the "Company") is pleased to announce that initial drilling has returned near surface high grade VMS mineralization in the first six diamond drill-holes at its Santa Elena Copper-Gold Project, Colombia. The first six holes were all drilled from a single drill pad located 60 metres north of the TEM-1 outcrop for a total of 875.5 metres. All six holes demonstrated significant copper-zinc-gold-silver mineralization.

Significant results from the initial drilling include:

  • SE-DDH-5: 40 metres of 2.8% Cu including 10 metres of 5.32% Cu
  • SE-DDH-4: 9 metres of 3.14% Cu including 1.6 metres of 11.56% Cu
  • SE-DDH-2: 46.8 metres of 1.76% Cu including 29.5 of 2.3% Cu
  • All holes were drilled from a single platform at various azimuths and degrees to test the lateral and vertical continuity of the sulfide mineralization
  • Recent IP ground survey indicated that the first six holes were drilled on the outer edge of the main conductors
  • Widths represent down hole core lengths and the true widths are unknown at this stage
Table 1: Drilling Assay Results
Hole ID Azi-
Dip Intercept
SE-DDH-1 190 -60 54.5 38.2 48.5 10.3 1.52 0.05 * *
including 43.2 48.5 5.3 2.42 0.09 * *
SE-DDH-2 190 -75 164.4 62.5 109.3 46.8 1.76 0.09 * *
including 71.0 77.0 6.0 4.34 0.27 * *
SE-DDH-3 0 -90 186.75 50.0 80.5 30.5 0.54 0.05 2.4 0.12
including 50.0 65.0 15.0 0.84 0.09 4.4 0.16
SE-DDH-4 100 -45 36.0 15.0 24.0 9.0 3.14 0.29 21.4 0.08
including 15.0 16.6 1.6 11.56 0.02 1.8 0.15
SE-DDH-5 100 -60 248.6 26.15 66.15 40.0 2.28 0.16 5.9 *
including 28.15 38.15 10.0 5.32 0.43 12.7 *
SE-DDH-6 10 -45 191.5 18.3 58.3 40.0 1.10 0.13 4.4 *
including 21.3 22.3 1.0 17.97 3.75 94.0 *
*Assays pending.

Drilling Update

To date the company has completed a total of ten drill holes for a total 2,260 metres from two locations, with the first six assayed and reported above, while the remaining four are currently being logged and prepared for assaying. After completing the first seven holes from the initial drill pad the rig was moved 75m NEE of Pad 1 and situated in the center of the TEM anomaly and then completed three additional holes for a total of 806 metres. A second drill rig has arrived on site and is expected to commence drilling imminently, while a third drill rig has been secured and is expected to arrive in the coming months. Several new drill targets have been identified by Cuoro staff, from recently completed geophysical surveys, and additional drill platform construction is currently underway.

Robert Sedgemore, President and CEO, commented: "We are obviously excited by the widths and grades encountered in our first six drill holes. To our knowledge these are the longest intercepts with the highest copper grades yet to be encountered in Colombia. Importantly, mineralization is close to surface and we have defined and delineated numerous new drill targets from our recent airborne and ground geophysical surveys. This is an excellent start to our 25,000 meter exploration program at Santa Elena. We look forward to reporting additional results as they become available".

Technical Highlights

The Santa Elena Copper-Gold project exhibits outcropping massive sulfide mineralization. The sheared, fine to medium grained mineralization is primarily composed of pyrrhotite, chalcopyrite, and pyrite, and has been classified as a Beshi-Type VMS deposit based on geological and geochemical characteristics. The Santa Elena Project is situated near the north end of the Antioquia batholiths, in a sequence of Cretaceous marine sediments and basaltic volcanics and is hosted by hornfels, cretaceous sandstone, and argillite of the San Pablo Formation. The San Pablo Formation is in contact with the quartz dioritic Antioquia Batholith immediately to the east of the mineralized outcrops. Disseminated and structurally controlled sulphide mineralization is evident throughout the drill core and exploration tunnel.


Sampling of the diamond drilling and sample preparation were performed by Cuoro personnel and was carried out under strict protocols. Samples were taken every 1m and split in half to yield seven to ten kilogram samples. Drill sample recovery was generally in excess of 90 %. Cuoro has a rigorous QA/QC program to control the chain-of-custody of samples and the insertion of blanks, duplicates, and certified reference standards in each batch of samples. Samples were sent to SGS in Medellin where they were dried, crushed, pulverized. After preparation of the samples they were sent to SGS in Lima and assayed. All gold assays were obtained by standard 50g fire assaying with AA finish. All copper, silver, and zinc assays reported in the press release were obtained by Aqua-Regia dissolution followed by ICP measurement. SGS in Lima is an ISO 9001:2000 certified laboratory.

The above information has been prepared under the supervision of Michel Rowland, P.Geo., who is designated as a "Qualified Person", and who has reviewed the information and has verified the authenticity and validity of the data.

Santa Elena Property

The Company's current exploration activities are focused on the Santa Elena Copper-Gold project, where the Company holds an option to acquire a 100 % interest by making staged cash payments and funding work program costs. The project comprises 1,287 hectares in the prolific Antioquia Batholith district located 140 kilometers north east of Medellin in a socially stable and mining-friendly district. Infrastructure is excellent from a development perspective, including paved road access to the property gate, three hydroelectric plants within a 5 kilometers radius, and abundant water supply.

About CuOro Resources Corp.

CuOro's growth strategy has been to identify mineral properties that have significant potential to develop large scale resources in well-established and mining friendly districts such as Colombia. Management looks to leverage its exploration and development expertise to bring additional resources and value to shareholders and to reduce development risk and expense through its focus on community relations, corporate and social responsibility. With approximately $20 million in the treasury, the Company will continue to look for additional opportunities that can bring value to the Company and its shareholders through its approach to business. The company is committed to upholding the highest environmental and social standards while focusing on delivering the financial growth its shareholders expect.

For further information regarding CuOro, see CuOro's disclosure documents on SEDAR at

On Behalf of the Board of Directors of CuOro,

Robert Sedgemore, President & CEO

Forward Looking Statement

Statements contained in this news release that are not historical facts constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities laws and are based on expectations, estimates and projections as of the date of this release. Forward-looking statements include, without limitation, possible events, statements with respect to possible events, the future price of gold and silver, the realization of mineral resource estimates and success of exploration activities. The words "is expected" or "estimates" or variations of such words and phrases or statements that certain actions, events or results "may" or "could" occur and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The estimates and assumptions of the Company contained in this release which may prove to be incorrect, include, but are not limited to, (1) the discovery and expansion of mineral resources on the Company's Property being consistent with the Company's current expectations; (2) the implementation of Colombia's mining law and related regulations and policies being consistent with the Company's current expectations; (3) certain price assumptions for gold and silver. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: fluctuations in the spot and forward price of gold or certain other commodities; changes in national and local government legislation, taxation, controls, regulations and political or economic developments in Canada, Colombia or other countries in which the Company does business or may carry on business in the future; business opportunities that may be presented to, or pursued by, the Company; operating or technical difficulties in connection with mining activities; the speculative nature of gold exploration and development, including the risks of obtaining necessary licenses and permits; diminishing quantities or grades of reserves; and contests over title to properties, particularly title to undeveloped properties. In addition, there are risks and hazards associated with the business of gold exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these risks).

Many of these uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management's expectations and plans relating to the future. All of the forward-looking statements made in this release are qualified by these cautionary statements and those made in our other filings with the securities regulators in Canada. These factors are not intended to represent a complete list of the factors that could affect the Company. Although the Company believes that the expectations in the forward-looking statements are reasonable, actual results may vary, and future results, levels of activity, performance or achievements cannot be guaranteed.

Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

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