Source Exploration Corp.

TSX VENTURE : SOP


Source Exploration Corp.

August 29, 2014 15:00 ET

Source Drilling Links Juan Bran and El Dorado Zones Significantly Expanding Mineralization at Las Minas

THUNDER BAY, ONTARIO--(Marketwired - Aug. 29, 2014) - Source Exploration Corp. (the "Company" or "Source") (TSX VENTURE:SOP) is pleased to announce that discovery holes at the new Juan Bran target at its Las Minas gold project located in Veracruz State, Mexico have linked the Juan Bran and El Dorado zones, extending the flat lying mineralized zone from 170 metres to 420 metres in width - see Figure 1 and Table 1 below.

Mineralized intercepts at the Juan Bran zone in recent drilling include 42.5 metres grading 1.55 g/t Au Eq(1) in hole LM-14-JB-01 and 20.1 metres of 2.34 g/t Au Eq in LM-14-JB-02, indicating a significant thickening of the zone. Step-out drilling to the north of the Juan Bran discovery holes intersected skarn mineralization over an area approximately 350 metres by 250 metres, with the system remaining open for expansion.

Juan Bran Discovery Highlights include:

  • 1.55 g/t Au Eq over 42.5 metres in LM-14-JB-01

  • 4.45 g/t Au Eq over 6.0 metres in LM-14-JB-02 Upper Zone including

    • 12.67 g/t Au Eq over 2.0 metres, and

      • 2.34 g/t Au Eq over 20.1 metres LM-14-JB-02 Lower Zone, including

        • 3.10 g/t Au Eq over 15.1 metres

  • 1.82 g/t Au Eq over 10.0 metres in LM-14-JB-04

To view Figure 1 Cross Section Juan Bran - El Dorado Drilling, please click here: http://media3.marketwire.com/docs/SOP-82914-fig1.pdf

For a map showing the location of the Juan Bran drilling and the El Dorado mineralized skarn zone, please click here: http://media3.marketwire.com/docs/Map%20-%20Juan%20Bran%20Drilling.pdf

For a photo of the drill core from hole LM-14-JB-02, please click here: http://media3.marketwire.com/docs/SOP-82914-drill-core.pdf

"We are highly encouraged by the significant expansion and thickening of mineralization at El Dorado, which provides further confirmation that the mineralized footprint at Las Minas is extensive," stated Brian Robertson, President and CEO. "Our planned Phase 3 drilling will target the extension of the Juan Bran zone into the strong magnetic anomaly to the south as we focus on the potential merging of the zone with the high-grade Santa Cruz zone."

The Santa Cruz zone, which is located approximately 300 metres to the south and defined by a strong magnetic high anomaly, has returned multiple high-grade intercepts in recent drilling. Discovery hole LM-11-SC-45 graded 19.56 g/t Au Eq over 10.0 metres including 43.83 g/t Au Eg over 4.0 metres within 20.0 metres grading 10.33 g/t Au Eq - see press release January 26, 2012. Hole LM-14-SC-08 cut 3.57 g/t Au Eq over 99.0 metres including 24.11g/t Au Eq over 9.60 metres within 39.0 metres grading 7.42 g/t g/t Au Eq. and Hole LM-14-SC-10 assayed 5.62 g/t Au Eq over 17.0 metres - see press release August 6, 2014.

Table 1 Juan Bran Drill Results

Juan Bran Drill Results
Hole ID (Az/Dip) From
(m)
To
(m)
Intercept
(m)
Au
(g/t)
Ag
(g/t)
Cu
(%)
Au Eq
(g/t)
Comments
LM-14-JB-01 (90/-50) 105.0 118.0 13.0 0.55 1.77 0.53 1.48 Upper zone
And 131.5 174.0 42.5 0.77 2.35 0.48 1.55 Lower zone
LM-14-JB-02 (0/-90) 13.5 19.5 6.0 4.43 0.33 0.01 4.45 Upper zone
Including 13.5 15.5 2.0 12.65 0.70 0.01 12.67
And 98.4 118.5 20.1 0.87 3.76 0.83 2.34 Lower zone
Including 99.4 114.5 15.1 1.15 4.93 1.10 3.10
LM-JB-03 (270/-70) 111.9 127.8 15.9 0.55 0.31 0.11 0.75
Including 111.9 119.9 8.0 0.88 0.46 0.17 1.18
LM-14-JB-04 (90/-50) 58.2 74.3 16.1 0.53 6.10 0.51 1.51
Including 64.3 74.3 10.0 0.70 4.40 0.61 1.82
LM-14-JB-05 (0/-90) 84.1 92.0 7.90 0.26 1.46 0.22 0.65
Including 84.1 87.6 3.50 0.50 2.73 0.38 1.20
LM-14 -JB-06 (270/-70) 12.2 30.5 18.3 0.29 2.53 0.16 0.60
LM-14-JB-07 (0/-90) 78.4 91.4 13.0 0.32 1.17 0.46 1.13
Including 83.4 91.4 8.0 0.44 1.52 0.54 1.38
LM-14-JB-08 (0/-90) NSV - Intersected weakly mineralized diorite dyke
All reported intervals referred to in this news release are core lengths and additional information is required to determine true widths. Assays are uncut, length-weighted average values.
(1) Gold equivalent (Au Eq) calculations use metal prices of US $1200/oz. for gold, US $19.00/oz. for silver and US $3.00/lb. for copper. No adjustments have been made for potential relative differences in metal recoveries.
Au Eq g/t equals Au g/t + (Ag g/t x 0.016) + (Cu% x 1.71).

Juan Bran Drilling

Discovery diamond drill holes LM-14-JB-01, 02 & 03 were drilled in a fan pattern from a single drill site located approximately 200 metres to the west the El Dorado skarn zone. Drill hole LM-14-JB-01 was drilled at -50 degrees to the East and intersected an upper zone of 13.0 metres grading 1.48 g/t Au Eq followed by a deeper zone of 42.5 metres of mineralization grading 1.55 g/t Au Eq. Hole LM-14-JB-02 was drilled vertically and also intersected two zones of similar mineralization. The upper zone, graded 4.45 g/t Au Eq over 6.0 metres, followed by a deeper zone grading 2.34 g/t Au Eq over 20.1 metres. Hole LM-14-JB-03 intersected 15.9 metres of mineralization at approximately 250 metres west of the LM-14-ED-08. Step-out holes LM-14-JB-04, 05, 06, 07, and 08 were drilled as a NW-SE fence along the strike of the Juan Bran zone over a length of approximately 400 metres. Hole LM-14-JB-08 cut a diorite dyke with low grade gold, silver and copper values.

About Juan Bran Target Area Discovery

The Juan Bran area is one of six significant mineralized areas explored to date by Source, within an overall area measuring approximately 1.8 kilometres by 1.5 kilometres or 2.7 square kilometers covering 270 hectares. The six target areas form the core of a mineralized skarn zone that is exposed at the contact of a granodiorite intrusion and the overlying limestone. The intrusive complex measures more than 10 kilometres in diameter and is outlined by several historical mine workings and recent drilling.

About Las Minas

The Las Minas Project hosts near-surface gold-silver and copper skarn mineralization and high-grade gold-silver epithermal vein deposits. The project is comprised of six mineral concessions covering approximately 1,616 hectares (3,995 acres), with several small high-grade, past-producing mines and numerous untested targets.

The district is host to one of the largest under explored gold-silver and copper skarn systems known in Mexico, and has a production history that extends back to the Aztec era. The Las Minas granodiorite intrusive measures approximately 10 kilometres in diameter and underlies the Las Minas concessions. The mineralization controls and association with magnetite appear to be similar to parts of the Guerrero Gold belt, which is the site of the Los Filos and Morelos gold deposits.

Las Minas is an early-stage exploration project and does not contain any mineral resource estimates as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"). The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets discussed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource.

Quality Assurance/Quality Control

The technical information in this news release has been reviewed and approved by Sonny Bernales, P. Geo, a registered Professional Geoscientist in the Province of British Columbia and a qualified person as defined by NI 43-101. Mr. Bernales is responsible for logistics and supervision of all exploration activity conducted by Source on the property.

The Company has implemented and adheres to a strict Quality Assurance/Quality Control program which includes inserting mineralized standards and blanks into the sample stream, about 1 for every 10 samples. The standards and blanks were obtained from CDN Resource Laboratories Ltd. of Langley, BC, Canada. Each sample bag is properly sealed and kept in a secured, restricted storage place prior to shipping to the lab. Samples are shipped directly by Source or picked-up by the lab vehicle with chain of custody/sample submittal signed and dated. The Company sends it samples to SGS Mineral Services (ISO/IEC 17025) at Durango, Mexico, an accredited and independent laboratory.

About Source Exploration

Source Exploration is a Canadian based mineral exploration company committed to building long-term value through ongoing discoveries and strategic acquisitions of prospective precious metals deposits in Mexico. Source is exploring the Las Minas Project, which is located in the core of the Las Minas district in the Veracruz State, Mexico. The district is host to one of the largest under explored skarn systems known in Mexico and has a strong production history that dates back to the Aztec era.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about the magnitude or quality of mineral deposits, anticipated advancement of mineral properties or programs, future operations, results of exploration, prospects, commodity and precious metals prices, future work programs, anticipated financial and operational results, capital expenditures and objectives and the completion and timing of mineral resource estimates. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors, which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the risks identified in the Company's disclosure documents available at www.sedar.com. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based on the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.

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