Dunav Resources Ltd.

Dunav Resources Ltd.

February 25, 2013 09:24 ET

Dunav Resources Provides an Exploration Update on the Degrmen Copper-Gold Porphyry Project, Serbia

LONGUEUIL, QUEBEC--(Marketwire - Feb. 25, 2013) - Dunav Resources Ltd. (TSX VENTURE:DNV) (the "Company" or "Dunav") is pleased to present an exploration update on its 100%-held Degrmen Copper-Gold Porphyry Project located in Southern Serbia.

  • Late in the 2012 field season, an initial exploration trenching program was completed on the Degrmen copper-gold porphyry target which is located approximately 20 kilometers northwest of Dunav's Tulare Copper-Gold Porphyry Project.
  • Results have now been returned from this trenching program which was designed to follow-up on an encouraging gold soil geochemical anomaly that extends for approximately 1.2 km by 0.3 km and sits within a larger area of mapped hydrothermal alteration, which covers an area of approximately 3 km x 2 km. Significant intersections are listed below, calculated using a 0.20% CuEq cut-off grade:
Trench ID From (m) To (m) Interval (m) Au (g/t) Cu (%) AuEq (g/t) CuEq (%)
DGRCH004 152.0 164.0 12.0 0.37 0.04 0.44 0.28
DGRCH011 2.0 16.0 14.0 0.31 0.06 0.41 0.26
DGRCH011 44.0 104.0 60.0 0.39 0.08 0.52 0.32
DGRCH014 2.0 10.0 8.0 0.34 0.10 0.49 0.31
DGRCH015 4.0 12.0 8.0 0.41 0.06 0.50 0.31
DGRCH016 0.0 42.0 42.0 0.46 0.14 0.67 0.42
DGRCH016 48.0 110.0 62.0 0.23 0.13 0.44 0.27
DGRCH019 18.0 56.0 38.0 0.46 0.01 0.47 0.29
DGRCH019 80.0 90.0 10.0 0.40 0.03 0.45 0.28
  • 0.20% CuEq cut-off ($1,500/oz. Au, $3.50/lb. Cu), 5m min. composite length, 5m max. internal dilution.
    • AuEq = ((Au g/t*48.23) + (Cu%*77.16))/48.23
    • CuEq = ((Cu%*77.16) + (Au g/t *48.23))/77.16
  • Trench/channel samples are generally taken on a 2m basis and weigh ~6kg.
  • Assay method: Fire assay Au (50g); Cu by aqua regia digestion with AAS and/or ICPMS finish.
  • Note: within oxidised surface material copper has generally been leached/re-mobilized.
  • Intercept widths do not necessarily represent true width.
  • No top cut applied
  • Dunav plans to commence an initial, wide-spaced diamond drilling program on Dergmen during Q2 2013, to determine the potential of the copper-gold porphyry system outlined to date.
  • Dunav was granted the Degrmen exploration licence during Q2 2012 after applying to the Serbian Ministry of Natural Resources, Mining & Spatial Planning. Dunav has 100% control of the Degrmen exploration licence.
  • Previous historic geological mapping by the Serbian State had identified a large zone of hydrothermal alteration, approximately 3km by 2km, within andesitic volcanics and volcaniclastics of the Lece Magmatic Complex.
  • During the period 1984 to 1987, the Serbian State completed a twelve-hole diamond drilling program within the large alteration zone; all drill holes were drilled vertically to an average depth of 195 meters.
  • Following the acquisition of the licence Dunav has completed the following exploration activities:
    • Detailed ground magnetic survey over the large alteration zone on a nominal 200 meter line spacing.
    • Detailed soil sampling program on a nominal 100 meter by 100 meter grid spacing.
    • First pass geological mapping together with rock chip sampling.
    • First pass trenching program.
  • Dunav plans to commence an initial, wide-spaced diamond drilling program during Q2 2013, to determine the economic potential of the copper-gold porphyry system outlined to date.
  • Exploration trenching was completed at Degrmen based on the detailed soil geochemistry (nominal 100 meter by 100 meter grid spacing) which had previously outlined a strongly anomalous gold zone over an approximate area of 1.2 km by 0.3 km.
  • It should be noted that the initial trenching program was largely predicated on areas where access was readily available. All significant intersections are listed in Table 1, calculated using various CuEq cut-off grades.
  • Refer to Figure 3 for the location of all trenching completed to date within the Degrmen copper-gold porphyry-style mineralized 'footprint'.
  • The Degrmen copper-gold porphyry system appears to represent a typical, high-level, calc-alkaline, copper-gold porphyry-style of mineralization. The overall morphology of the diorite porphyry intrusive stock(s) is not known at this stage, however it is likely that they will form subvertical to gently inclined 'pipes' which have intruded into the andesitic volcanics and volcaniclastics that dominate the geology within the Degrmen exploration licence.
  • The porphyry-style mineralization occurs as stockwork and disseminated zones; typical potassic alteration is associated with quartz-chalcopyrite-magnetite veining together with secondary biotite alteration. Later stage pyrite, with lesser quartz-chalcopyrite-magnetite veining, representing phyllic alteration, has also been recognized from mapping, within and proximal to the currently defined zone of potassic alteration.
  • The Degrmen diorite porphyry, as defined by geological mapping and gold in soil geochemistry, currently measures some 1,200 meters by 300 meters where it is exposed at surface.
  • See Figure 2 for an interpretive geological and alteration map of the Degrmen copper-gold porphyry target area and Figure 4 for an example of mineralized diorite porphyry from the currently defined zone of potassic alteration.
  • The Degrmen Copper-Gold Porphyry Project is located in southern Serbia, approximately 220 km from Belgrade and 96 km by road from the regional centre of Nis. Access to the area is excellent, via sealed roads, together with a well-developed secondary road network within the project area. The rail line is located approximately 3 km west from the project area and reticulated power, similarly, passes close to the project area.
  • Historic exploration by the Serbian State (pre-1990) had outlined a large 3km by 2km hydrothermal alteration within the Degrmen exploration license area. Dunav has confirmed the size of the alteration system with ground magnetic, soil geochemical and geological mapping programs. Importantly, Dunav has defined a zone of potassic alteration associated with quartz-chalcopyrite-magnetite stockwork veining that extends over a currently defined area of 1,200 meters by 300 meters.
  • For comparative purposes it should be noted that the Kiseljak copper-gold porphyry deposit was initially outlined at surface by trenching and soil geochemical programs together with geological mapping, over an area of 800 meters by 300 meters.
  • The Degrmen Copper-Gold Porphyry Project area lies within the Lece Magmatic Complex of southern Serbia; the second largest magmatic complex in Serbia after the Timok Magmatic Complex.

The majority of soil samples have been assayed at the ALS Chemex laboratory, Perth, Australia. More recent soil sampling programs have been assayed at the SGS managed laboratory at Chelopech in Bulgaria using a combination of ICP-OES and ICP-MS, whereas gold has been assayed by low level detection fire assay method (50 gram sample charge) with an AAS finish. Trench samples were prepared at the laboratory facility at SGS Bor and the samples have been assayed at the SGS managed laboratory at Chelopech in Bulgaria or the SGS managed laboratory facility at Bor. Diamond drill core has been prepared at the laboratory facility at Bor and assayed at the SGS managed laboratory at Bor. Trench and diamond drill samples have been assayed for gold by 50 gram fire assay with an AAS finish whilst copper, silver, lead, zinc and molybdenum have been analysed using an aqua regia digest with either an AAS or ICPMS finish. Following Dunav standard quality assurance procedures, a full suite of field and laboratory duplicates and replicates along with internationally accredited standards and blanks, have been submitted with each batch of samples.

Trench sampling was carried out as channels in the wall just above the trench floor on 2 meter intervals. Except where extensive soil cover is encountered, trenches were sampled in their entirety. The samples were routinely weighed prior to final bagging to maintain an even sample size and to avoid sampling bias in harder rock types. An average channel sample weight was maintained at 3 kilograms per meter, which produces a consistent sample weight approximating half HQ core samples. Field duplicate samples were taken every 20 samples and known standards were inserted into the sample stream after every 20th sample. A geological and structural log was completed as for diamond drilling. All data collected in the field was routinely entered into geology and structural geology spread sheets using Field Marshal software for subsequent entry to an acQuire database and validation.

The technical information contained in this press release was prepared and approved by Dr Julian F. H. Barnes, FAusIMM, MAIG, a special consultant to the Company. Dr. Barnes is a 'qualified person' within the meaning of that term under NI 43-101.

About Dunav Resources Ltd.: Dunav Resources is a mineral exploration company focused on the acquisition, exploration and development of mineral properties in Serbia. Dunav has recently announced the initial Kiseljak copper-gold mineral resource, part of the Tulare Copper-Gold Porphyry Project, which was prepared by AMC Consultants Limited (UK), an independent mining consulting firm. This initial mineral resource has been estimated at 300,500,000 tonnes grading an average of 0.27% copper and 0.26 g/t gold in the inferred resource category for 1.8 billion pounds of copper and 2.5 million ounces of gold, using a 0.25% copper equivalent cut-off.

Dunav had approximately $0.7 million in its treasury at January 31, 2013 and its issued and outstanding share capital totals 119,242,942 common shares, of which approximately 47.3% is held by Dundee Precious Metals Inc. On February 12, 2013, Dunav announced that it has entered into an agreement with Dundee Securities Ltd., on behalf of a syndicate of brokers under which they have agreed to offer for sale, on a best efforts private placement basis, 50,000,000 units of Dunav at a price of $0.30 per unit for gross proceeds of up to $15,000,000. The closing date of the offering is scheduled on or about March 6, 2013. There is no assurance that the offering will be completed in the amount or timing expected. Dunav's plans and objectives for 2013 are subject to completion of the private placement offering.

Additional information about the Company is available on SEDAR at www.sedar.com and at www.dunavresources.com.

Cautionary Statement

This press release contains forward-looking statements and information. In particular, this press release contains statements concerning the completion of a private placement offering, exploration results and geological interpretation, planned exploration and development programs, and the geological and economic potential of Dunav's projects. Readers should not place undue reliance on forward looking information. By its nature, forward-looking information involves a variety of assumptions, known and unknown risks and uncertainties, and other factors, all of which may cause actual results or events to differ materially from those anticipated in the forward-looking information. Specifically, the Company's planned exploration and development programs depend on the ability of the Company to obtain additional financing and such plans may be delayed. Given the nature of capital market demand for speculative investment opportunities such as mineral exploration projects and current financial conditions globally, there is no assurance that additional financing will be available in the appropriate amount when required.

Although the Company believes, in light of all circumstances, that the expectations reflected in this forward-looking information are reasonable, the Company can give no assurance that they will prove to be correct. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligations to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

To view Figure 1 to 4 please click to the following link: http://media3.marketwire.com/docs/figure1-4.pdf

To Table 1 please click to the following link: http://media3.marketwire.com/docs/Table-1-Dunav.pdf

Neither the 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 press release.

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