Samco Gold Limited

Samco Gold Limited

June 17, 2013 07:00 ET

Samco Gold Adds Compelling New Targets at Its Corina Project

TORONTO, ONTARIO--(Marketwired - June 17, 2013) - Samco Gold Limited (TSX VENTURE:SGA) ("Samco Gold" or the "Company") is pleased to announce encouraging results of an induced polarization (IP) survey completed in May 2013 at its Corina Project in Santa Cruz province, Argentina.


  • 30 line km of gradient array and 4 line km of pole-dipole IP have been surveyed over the core Cerro de la Mina - Cerro Cubilete area.
  • Resistivity and chargeability anomalies correlate closely with known mineralization at Cerro Cubilete and show target extension of at least 250 metres beyond the most southerly drill hole.
  • Additional parallel structures at Cerro Cubilete confirm potential to the east of the drilled structure, beneath unmineralized cover.
  • Eight further anomalies have been identified in the Cerro de la Mina area and extending to the south. Ongoing lag sampling is expected to provide additional information on these areas.
  • The longest of the chargeability anomalies, extending SE for over 1,000m and continuing outside the area surveyed, shows parallel resistivity anomalies and is associated with zones of quartz veinlets, Fe and Mn oxides, and pervasive silicification.
  • At Cerro de la Mina, anomalous geochemistry, IP response, magnetics, veinlet development and alteration combine to define a compelling exploration target.


The survey was carried out by the Instituto Nacional de Recursos Minerales (INREMI) of the Universidad Nacional de La Plata, and comprised 30 line km of gradient array IP and 4 line km of pole dipole over two selected areas.

The gradient array survey covered the Cerro Cubilete and Cerro de la Mina prospects, and comprised:

  • A northern block of 24 lines 50m apart, each line 600-800m long, covering Cerro de la Mina.
  • A southern block of 12 lines, spaced 100m apart covering the area south of Cerro de la Mina.
  • A small eastern block of six lines 400m long, spaced 100m apart, covering the known mineralization at Cerro Cubilete.

Electrodes were spaced at 25m on each line. The arrangement of current electrodes (1200m apart) gave a maximum depth penetration of approximately 200m.

The area of the survey is shown on Figure 2, together with existing drill-holes and selected rock chip anomalies. Currently, Samco is awaiting the results of a lag soil geochemistry program carried out over subsantially the same area as the geophysical grid.

The pole dipole survey comprised four lines, each 1 km long, shown on Figure 2 and also on Figures 3 and 4. Two lines were surveyed in the northern gradient array block covering Cerro de la Mina, and the other two in the southern block.

As well as the geophysical survey, INREMI geologists mapped alteration and geology along the geophysical grid lines, and constructed geological and geophysical profiles along four lines across Cerro de la Mina.

To view Figure 1, please visit the following link:

To view Figure 2, please visit the following link:


Figures 3 and 4 respectively show chargeability and resisitivity images for Cerro de la Mina and the area to the south, corresponding to the Northern and Southern blocks shown on Figure 2. These figures also show the location of the pole dipole lines.

INREMI distinguished eight chargeability anomalies in the Cerro de la Mina area and the area to the south. These are numbered 1 to 8 on Figures 3 and 4. The four pole dipole lines provide depth information on the main anomalies, where they cross them. Table 1 summarises the anomaly characteristics.

Table 1. Summary of IP anomaly features

Anomaly Length
A1 1000 >10 150m depth, >20 mV/V
A2 360, 130 >10 150m depth, >20 mV/V
A3 220 >10 Not tested
A4 200 'moderate' Not tested
A5 600 >10 50m depth, 12 mV/V
A6 800 >10 Not tested
A7 900 <10 50m depth, 12 mV/V
A8 350 <10, discontinuous Not tested

Anomalies A1 and A2 showed the best combination of chargeablity response, continuity and depth persistence. A1 is the longest of the anomalies, (1,000m and extending SE outside the area surveyed), and has a parallel resistivity anomaly displaced slightly to the east. Geological profiles surveyed along the lines by the INREMI consultants showed that anomalies A1 and A2 at Cerro de la Mina are associated with zones of quartz veinlets, Fe and Mn oxides, and pervasive silicification. However, at least one >10 mV/V anomaly is developed in an area of soil cover and no outcrop.

To view Figures 3 and 4, please visit the following link:

To view Figure 5, please visit the following link:


The IP survey at Cero Cubilete immediately adjoins the eastern border of the Cerro de la Mina grid, and is essentially an extension of that survey.Two chargeability anomalies denoted AC1 and AC2 were defined at Cerro Cubilete.

  • Anomaly AC1 extends discontinuously for 500m, but its extent to the north could not be defined due to a shallow lake in that area. It coincides with the known mineralization, but extends at least 250m further south than the southernmost drill-hole, CCDDH03.
  • Anomaly AC2 is 150m east of AC1, and extends for 200m. It is in an area where unmineralized 'hangingwall sequence' rocks, which overlie the known mineralization associated with anomaly AC1 have been mapped, and so represents a potential target for concealed mineralization.

Resistivity anomalies coincide with both chargeability anomalies, and there is a third resistivity anomaly, without corresponding chargeability, to the east of AC2, also in the area of hangingwall sequence volcanics.

To view Figure 6, please visit the following link:


Additional rock chip sampling, subsequent to previous announcements, has returned anomalous Ag values at the following locations:

  • Approximately 250m WNW of the Cerro Cubilete drill-holes, a 20 cm barite vein assayed 299 g/t Ag.
  • Approximately 350m south of the southernmost drill-holes at Cerro Cubilete, a group of seven samples returned Ag values ranging from 43 to 139 g/t Ag.

Locations of these samples are shown on Figure 7.


Figure 7 is a compilation of the IP anomalies at both Cerro de la Mina and Cerro Cubilete, superimposed on a magnetic image from the 2012 magnetometer survey. The northern group of IP anomalies, including those at Cerro Cubilete, coincide with a NW magnetic trend which extends 1.5 km NW from Cerro Cubilete, although the strongest anomalies, and the known mineralization, strike N-S to NE-SW.

The pattern might be interpreted to reflect north-trending extensional structures in a NW-striking, probably transtensional structural zone. Since the Cerro Cubilete mineralization consists largely of pyritic and base metal sulfides whose geophysical response is a chargeability and resistivity anomaly, it is reasonable to expect that similar sulfide-rich zones might underlie the other similar IP anomalies which have not yet been drilled.

At Cerro de la Mina, anomalous geochemistry, IP response, magnetics, veinlet development and alteration combine to define a compelling exploration target. As indicated in the previous release (28 May 2013), known mineralization at Cerro Cubilete is open along strike, and the IP results suggest that it continues towards the south.

The strong NW-trending IP anomaly A1 and the northerly-trending anomalies A5 to A8 are additional targets. Ongoing lag sampling is expected to provide additional information on these areas.

To view Figure 7, please visit the following link:

Commenting on the recent results Paul Richardson, Chief Executive of Samco Gold said:

"We are delighted with these very encouraging IP results. The correlation of the IP with known mineralization and its extrapolation onto the multiple other targets where, in many cases, we have coincident surface expression and/or geochemical and magnetic anomalies, confirms Corina as one of the most exciting new discoveries in the Deseado."

A detailed presentation on the Corina Project and work carried out to date is available for download from the Company's website at

The exploration program is directed by Samco Gold's Exploration Manager, Lic. Marcelo Ortiz advised by Mr. David Shatwell who is a Fellow of the Australian Institute of Geoscientists and a Fellow of the Society of Economic Geologists. Sr. Ortiz has extensive experience of exploration geology throughout Argentina including significant experience within the Deseado Massif. Mr. Shatwell is a Qualified Person within the meaning of Canadian National Instrument 43-101 and has reviewed and approved the above technical disclosure.

Sample locations are in Gauss-Kruger coordinates, using the Campo Inchauspe datum, and were acquired by differential GPS with negligible error.

About Samco Gold Limited

Samco Gold's principal business is the acquisition, exploration and development of precious metals resource properties in South America. The Company's principal mineral property is the El Dorado Monserrat epithermal gold project, located in the Deseado Massif region of Santa Cruz Province, Argentina. The Company's goal is to become a producer of gold through the exploration and development of El Dorado Monserrat. Samco Gold also owns a portfolio of other mineral exploration properties in the Deseado Massif including the Corina, Yasmin 1, Judite 1 and Ginette and Giancarla projects.

Additional details on the Company are available on SEDAR (


This press release contains forward-looking statements which can be identified by the use of words "commenced", "scheduled", "expect", "goal", and phrases or statements that certain actions, events or results "may", "would", or "will" be taken, occur or be achieved. Information concerning the interpretation of drill and other exploration results may also be considered forward-looking statements as such information constitutes a prediction of what mineralization might be found to be present if and when a project is actually developed.

Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the results of due diligence activities, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in Samco Gold's Prospectus dated June 27, 2011 filed and publicly available under the Company's profile on the SEDAR website at Although Samco Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. 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. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not intend, and does not assume any obligations, to update forward-looking statements, whether as a result of new information, future events or otherwise, unless otherwise required by applicable securities laws.

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 release.

Contact Information