QRS Capital Corp.
TSX VENTURE : QRS

QRS Capital Corp.

December 01, 2011 03:30 ET

QRS Capital Provides Exploration Update for Judith Project, Mexico

THUNDER BAY, ONTARIO--(Marketwire - Dec. 1, 2011) - QRS Capital Corp. (the "Company") (TSX VENTURE:QRS) is pleased to provide an update following the 2011 Exploration Program at the Judith Property, Mexico.

The program consisted of a topographic survey scale, regional geological mapping, detailed geological mapping, aerial-photo interpretation structural mapping, soil sampling and geochemistry, and 3D IP Pole-dipole geophysical survey. The program was completed within the proposed budget and timeline.

The results of this work program will be used for the definition of drill targets to be conducted during the first half of 2012. The Company is planning a diamond drilling program based on several geological, structural, geophysical and alteration targets that are coincident with geochemical anomalies defined by the recently completed work program.

The Company is encouraged by results to date and believes that in addition to the previously identified high grade silver system, the Judith property has the potential to yield additional value due to the presence of mineralized mantos and brecciated bodies. Structural interpretation depicts three circular patterns from which lateral and radial fractures (enriched veins) are shown at surface. New enriched veins have also been identified at the Noth-Western and Western end of the property.

Surface samples taken at the old workings at the "Dorado" vein system have returned high grade results with assays up to 3,343 g/t Ag (press release March 8th 2011) as well as high grade gold and lead credits. New samples taken underground at these locations confirm the high grades at "Dorado".

In close proximity to the main structures, widespread alteration halos and silica caps are potentially hosting a set of mineralized breccia pipes. The largest cap rock and brecciated outcrops reflect anomalous silver-gold grades showing silica-alunite-dickite alteration footprints as large as 300 x 100m.

Regional Geology

The Judith Property is a high temperature/carbonate replacement silver-lead-zinc-copper-gold vein type deposit. The Company's exploration team is defining other possible types of mineralization, based on detailed geologic mapping and alteration definition, related to possible breccia pipes and mantos within the property.

To view Figure 1 - Aster Satalite Alteration, please visit the following link: http://media3.marketwire.com/docs/Figur1.pdf

Regional and Structural Geology

Detailed mapping has identified several potential exploratory targets related to a structural control system. There are at least three newly defined vein structures as depicted by the structural interpretation. Some 300m x 150m wide silica-lithocaps have been mapped. These silica caps comprise amorphous silica.

To view Figure 2 - Regional Geology Map, please visit the following link: http://media3.marketwire.com/docs/Figur2.pdf

Local Geology

The Judith property is located within the Rara Formation, a meta-sedimentary sequence which is comprised of metamorphosed shales, sandstones and siltstones formed during the Permian Period. This Formation has undergone a whole sequence of uplifts, intrusions, further metamorphism and mineralisation. There are rhyolitic and andesitic dykes across the project area intruded into the main structures, running at 70° and 180°. The whole area has been exposed to multiphase alteration and mineralization.

There are several types of prominent alteration in the Judith area. Footprints of pervasive silica-alunite alteration make up halos around ridges rich in chalcedonic and sinter quartz. There is also evidence of high pressure venting along lutites or phyllite strata leaving manganese gossans. More silicification is present at the southern half of the Judith project in the form of quartz veining in phyllites along a 500 metre stretch of one of the streams that run ENE-WS. Phyllic alteration (sericite plus quartz) is also seen in many of the dykes that run through the project area.

To view Figure 3 - Detailed Geology Map, please visit the following link: http://media3.marketwire.com/docs/Figure3.pdf

New Topographic Survey

A topographic survey of 633ha covering the whole land extension of Judith Project includes construction of 26 North-South lines including a total of 63.7 linear km, with 50m spacing stakes (stations) which were used for soil geochemical sampling and geophysics surveys.

Soil Sampling

Two soil sampling grid programs were conducted, the first for a total of 664 soil samples were taken every 100m using the survey grid Aa second infill soil sampling program of an additional 120 samples were collected and plotted. A good definition of size and spectrum of the anomalies is now available.

Known and newly discovered vein systems can be correlated and traced by the soil geochemistry anomaly interpretation. Other soil geochemical anomalies depict iron-manganese-silica caps which represent new exploration targets.

To view Figure 4 - Ag Anomaly Isolines, please visit the following link: http://media3.marketwire.com/docs/Figure4.pdf

To view Figure 5 - Lead Anomaly Isolines, please visit the following link: http://media3.marketwire.com/docs/Figur5.pdf

Geophysical Interpretation -Resistivity/Induced Survey

An induced polarization geophysical survey was carried out over area of approximately 57.1km2,with lines directed E-W with 100m spacing, previously prepared and fenced with stations, at 50m intervals. Induced polarization to seven simultaneous penetrations reaching depths interpretable of ~250-300m was conducted.

The resistivity and chargeability profiles (induced polarization) have been interpreted through tomographic 2D inversion process then corrected based on topographic deformations. Geophysical measurements were carried out along the lines, previously prepared and fenced every 50 meters.

Field information gathered along 63,500 meters of 26 constant-spacing IP/Res pole-pole profiles has been processed tridimensionally (3D) to prepare the following graphic material:

To view Figure 6 - Self Potential Contours, please visit the following link: http://media3.marketwire.com/docs/Figur6.pdf

To view Figure 7 - 3D Chargeability Model, please visit the following link: http://media3.marketwire.com/docs/Figur7.pdf

To view Figure 8 - 3D Resistivity Model, please visit the following link: http://media3.marketwire.com/docs/Figur8.pdf

To view Figure 9 - 3D Resistivity Model at 300m Depth, please visit the following link:

http://media3.marketwire.com/docs/Figure9.pdf

To view Figure 10 - 3D Chargeability at 20m Depth, please visit the following link:

http://media3.marketwire.com/docs/Figure10.pdf

To view Figure 11 - IP Cross Section Readings at the N-W portion of the project, please visit the following link:

http://media3.marketwire.com/docs/Figure11.pdf

Conclusions

The evident overlap of anomalic geochemical results and chargeability readings combined with an evident surface geological expression is typical of mesothermal mineralized occurrences most often associated with of disseminated, systems and or brechiated bodies.

An initial 3500 m of diamond drill program is planned. Most drill holes will be in the order of 300m depths except for 2 deep holes planned for 550 and 600 meters aimed to test the possible presence of a porphyry system at depth.

We are very pleased with the results so far and believe there is enough merit to initiate a preliminary drilling program at Judith.

The project is extremely accessible, near the electric grid and water. The closest community is some 15 Km away and there is no evident social or environmental difficulties that can delay or alter the exploration program.

John Seaman CEO for QRS Capital Corp. states: "We are excited about the new findings on the Judith property, demonstrating that there is more than just a vein system and that there may well be evidence for a proximal system responsible for the mineralization evidenced on surface. We look forward to furthering our exploration program and are ready to start a drilling program starting at the beginning of 2012."

Quality Control and Assurance

Samples are sealed on the property and driven directly to the ALS CHEMEX laboratory in Chihuahua, Mexico for preparation. Sample pulps of 80 mesh are shipped by ALS Chemex to its laboratory in Canada, for gold Fire Assay, silver and multi-element ICP analysis.

The above information has been prepared under the supervision of Mr. Allen Maynard, 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.

ON BEHALF OF THE BOARD OF DIRECTORS

"John Seaman", Chairman & CEO

Forward Looking Statements

This Company Press Release may contain certain "forward-looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, competitive factors, general economic conditions, customer relations, and relationships with vendors and strategic partners, the interest rate environment, governmental regulation and supervision, seasonality, technological change, changes in industry practices and one-time events. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein.

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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