Source Exploration Corp.
TSX VENTURE : SOP

Source Exploration Corp.

January 26, 2012 07:00 ET

Source Extends Las Minas Mineralization with High-Grade Intercepts Including 15.89 g/t Gold, 12.98 g/t Silver and 2.25 % Copper over 10.0 Metres

THUNDER BAY, ONTARIO--(Marketwire - Jan. 26, 2012) - The following provides Figure 1 which was not included in the original release issued at 7 am ET on Jan. 26, 2012.

SOURCE EXPLORATION CORP. (the "Corporation" or "Source") (TSX VENTURE:SOP) (the "Company") reported today that drilling at its Las Minas project has intersected high-grade gold, silver and copper mineralization and extended the mineralized skarn zone by a further 125 metres on strike for a total known strike length of approximately 840 metres. The drilling also intersected high-grade skarn zone mineralization by as much as approximately 265 metres down-dip of previously reported drilling. Highlights of recent drill results include:

  • LM-11-LL-40 grading 14.94 grams per tonne gold (g/t Au), 4.09 g/t silver (Ag) and 0.52% copper (Cu) over 3.65 metres (m); including 27.05 g/t Au, 6.80 g/t Ag and 0.91 % Cu over 2.0 m
  • LM-11- SC-44 grading 1.27 g/t Au, 4.23 g/t Ag, 0.38 % Cu over 24.0 m
  • LM-11- SC-45 grading 15.89 g/t Au, 12.98 g/t Ag and 2.25 % Cu over 10.0 m; including 37.26 g/t Au, 25.4 g/t Ag and 4.01 % Cu over 4.0 m
  • LM-11-SC-49 grading 1.08 g/t Au, 3.05 g/t Ag and 0.42 % Cu over 42.0 m
  • LM-11-SC-50 grading 0.75 g/t Au, 3.31 g/t Ag and 0.40 % Cu over 90.6 m; including 2.06 g/t Au, 8.62 g/t Ag and 1.04 % Cu over 24.0 m

"The mineralization at Las Minas has now been defined over a continuous strike length of approximately 840 metres and about 400 metres down-dip, with drill intercepts of the mineralized skarn zone varying from 20.0 to 244.9 metres in thickness. This wide spread mineralization confirms an extensive horizon with potential for a substantial bulk tonnage deposit with a high grade component amenable to underground mining," said President and CEO Brian E. Robertson. "The recent drilling is particularly positive as it demonstrates that the mineralization extends well beyond the high-grade core area that was mined historically."

Table 1 below highlights recent drill intercepts.

Highlight drill intercepts from drilling at Nopaltepec, Santa Cruz, Llanillo and Changaro are detailed below

Table 1 - Summary of Recent Significant Assays
Hole Number Location From
(M)
To
(M)
Interval
(M)
Au
g/t
Ag
g/t
Cu % Au Eq(2)
g/t
LM-11-CH-38 Changaro 46.75 74.75 28.0 0.67 25.52 0.18 1.42
Including 62.75 65.75 3.0 1.19 148.00 0.36 4.54
LM-11-LL-40 Llanillo 335.8 339.45 3.65 14.94 4.09 0.52 15.80
Including 335.8 337.8 2.0 27.05 6.80 0.91 28.56
LM-11 -SC-41 Nopaltepec 22.8 192.15 169.35 0.26 1.61 0.12 0.47
Including 158.8 172.8 14.00 0.76 2.59 0.21 1.13
LM-11-SC-42 Nopaltepec 33.15 35.15 2.0 0.36 0.80 0.11 0.54
LM-11 -LL-43 Llanillo 10.0 18.0 8.0 1.21 10.20 0.62 2.34
And 296.9 300.9 4.0 0.97 1.80 0.38 1.58
LM-11-SC-44 Nopaltepec 10.0 34.0 24.0 1.27 4.23 0.38 1.83
Including 10.0 16.0 6.0 2.24 7.23 0.61 3.31
And 46.0 72.0 26 0.62 3.89 0.35 1.22
Including 48.0 56.0 8 1.19 6.38 0.56 2.17
And 82.0 98.6 16.0 0.69 4.14 0.45 1.45
LM-11-SC-45 Nopaltepec 55.6 75.6 20.0 8.22 7.40 1.29 10.33
Including 55.6 59.6 4.0 37.26 25.40 4.01 43.83
Within 56.6 65.6 10.0 15.89 12.98 2.25 19.56
LM-11-SC-47 Santa Cruz 240.6 252.1 11.5 0.18 1.20 0.13 0.40
LM-11-LL-48 Llanillo 0.0 4.0 4.0 1.42 32.30 0.15 2.26
LM-11-SC-49 Santa Cruz 68.2 113.8 45.6 0.34 0.28 0.11 0.51
Including 68.2 72.2 4.0 1.42 32.30 0.15 2.26
And 251.6 293.6 42.0 1.08 3.05 0.42 1.78
Including 261.6 279.6 18.0 2.21 5.18 0.64 3.28
LM-11-SC-50 Santa Cruz 76.0 166.6 90.6 0.75 3.31 0.40 1.43
Including 90.0 138.0 48.0 1.30 5.63 0.68 2.44
Including 96.0 120.0 24.0 2.06 8.62 1.04 3.80

Holes LM-11-CH-33, 35 and 39 as well as hole LM-11-LL-46 were abandoned due to difficult ground conditions. Hole LM-11-LL- 48 was not completed to its planned depth.

All intercepts are reported as down hole intervals and additional information is required to determine true widths. Assays are uncut, length weighted average values. Detailed weighted average composite details for all drill holes will be made available on the Company's website. The drill hole locations can be viewed at "Figure A - Plan View of Drill Hole Locations", please visit the following link: http://media3.marketwire.com/docs/Figure1_0126.pdf

Gold equivalent (Au Eq) calculations use metal prices of US$ 1300 per ounce for gold, US$ 25.00 per ounce for silver and US$ 3.00 per pound 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 0.019) + (Cu% x1.52)

Drilling at Nopaltepec and Santa Cruz

The drilling at Nopaltepec has extended the mineralization previously outlined in the Santa Cruz area (including hole LM-11-SC-36 that assayed 1.08 g/t g Au, 2.54 g/t Ag and 0.40 % Cu over 82.0 metres - see Press Release December 12, 2011) by approximately 125 metres on strike to the south, such that the mineralization now extends for approximately 840 metres on-strike from the Las Boquillas prospect to the Nopaltepec prospect. Highlight holes at Nopaltepec included Hole LM-11-SC-45, which cut high-grade gold, silver and copper mineralization grading 37.26 g/t Au, 25.40 g/t Ag, and 4.01 % Cu over 4.0 metres, contained within a wider zone grading 15.89 g/t Au, 12.98 g/t Ag and 2.25% Cu over 10.0 metres and within a 20 metre interval grading 8.22 g/t Au, 7.40 g/t Ag and 1.29% Cu.

Drilling at Santa Cruz, included additional holes drill at the same drill station as previously reported in the press release of December 12, 2011. Highlight holes include Hole LM-11-SC-49, which cut 42.0 metres grading 1.08 g/t Au, 3.05 g/t Ag and 0.42% Cu while LM-11-SC-50 intersected 90.6 metres grading 0.75 g/t Au, 3.31 g/t Ag and 0.40 % Cu including 48.0 metres grading 1.30 g/t Au, 5.63 g/t Ag and 0.68 % Cu.

Llanillo Drilling

Drilling at Llanillo intersected the down-dip extension of the mineralized skarn zone previously outlined at El Dorado (including Hole LM-11-ED-15 which assayed 0.88 g/t Au, 5.05 g/ t Ag and 1.60 % Cu over 21.1 metres - see Press Release May 31, 2011). This drilling extended the mineralization by a further 265 metres to the east for a total down-dip distance of approximately 400 metres. Hole LM-11-LL-40 intersected high grade mineralization grading 14.94 g/t Au, 4.08 g/t Ag and 0.52 % Cu over 4.0 metres and LM-11-LL-43, the most easterly hole drilled to-date, intersected 8.0 metres grading 1.21 g/t Au, 10.20 g/t Ag and 0.62% Cu.

Quality Assurance/Quality Control

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

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 gold and silver deposits in Mexico. The company is carrying out an aggressive exploration program on the Capricho property, which hosts high- grade gold and silver mineralization. Source is also exploring the Las Minas project, which is comprised of five mineral concessions covering approximately 1,271 hectares in the core of the Las Minas district in the State of Veracruz, 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 future operations, results of exploration, prospects, commodity and precious metals prices, future work programs, anticipated financial and operational results, capital expenditures and objectives. 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. 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 upon 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.

Shares Issued: 42,002,560

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