Southwestern Resources Corp.

Southwestern Resources Corp.

March 18, 2009 08:01 ET

Southwestern Announces Antay and Alpacocha Drilling Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 18, 2009) - Southwestern Resources Corp. (TSX:SWG) ("Southwestern" or the "Company") announces exploration and drill results from the Antay and Alpacocha Projects, located 80 kilometres southeast and 70 kilometres west, respectively, of Cusco, southern Peru.


Under terms of the Option Agreement with Vale Exploration Peru S.A.C., a subsidiary of Companhia Vale do Rio Doce (Vale), Southwestern is the operator of the Antay project until October 2009, after which Vale will become the operator (see news release dated October 14, 2008). During the period that Southwestern is operator, Vale is reimbursing Southwestern for 100% of the exploration costs.

The 31,000 hectare Antay project is situated within the Andahuaylas-Yauri Copper Belt and includes the Sayta Porphyry, a large copper-molybdenum-gold mineralized system hosted within an andesite intrusion, with a core zone exposed over 600 metres of strike length. The core zone is surrounded by a broader 1.3 x 0.7 kilometre area of porphyry-style alteration, with additional intrusive phases, and zones of fractured and brecciated quartzite.

Southwestern has completed the first phase drill program, testing the west-half of the Sayta Porphyry and part of the core area. The program consisted of nine diamond drill holes for a total of 3,034 metres, over an area of 850 x 700 metres. Results are posted below:

Molyb- EQ
Copper denum Gold Assay
Assay Assay Assay (1)
Interval (percent) (percent) (g/t) (percent)
Drill -------------------------- ------------------------------------
Hole From To Length
No. (metres) (metres) (metres)
SAY-001 12.0 70.0 58.0 0.71 0.013 0.80
91.0 104.0 12.0 0.32 0.32
118.0 122.0 4.0 0.38 0.38

SAY-002 10.0 136.0 126.0 0.54 0.023 0.69
146.0 152.0 6.0 0.47 0.011 0.54

SAY-003 52.0 56.0 4.0 0.55 0.012 0.63
111.0 119.0 8.0 1.78 0.019 5.93 4.79

SAY-004 88.0 122.0 34.0 0.48 0.034 0.71

SAY-005 10.0 16.0 6.0 0.31 0.31
21.0 69.0 48.0 1.09 1.09
75.0 91.0 6.0 0.34 0.34

SAY-006 128.0 150.0 22.0 0.94 0.94
158.0 162.0 4.0 0.52 0.52
184.0 217.0 33.0 0.57 0.57
219.0 222.0 3.0 0.45 0.45
279.0 285.0 6.0 0.51 0.51

SAY-007 110.0 114.0 4.0 0.51 0.51

SAY-008 90.0 94.0 4.0 1.29 0.011 1.36

SAY-009 78.3 84.0 5.7 1.35 1.35
142.0 158.0 16.0 0.83 0.031 1.04
164.0 168.0 4.0 0.46 0.46
195.0 203.0 8.0 0.51 0.51
225.0 231.0 6.0 0.44 0.44
243.0 250.0 7.0 0.43 0.43
422.0 426.0 4.0 0.54 0.54

(1) Copper EQ equals Copper Equivalent is calculated for intervals
dominated by primary mineralization using US$1.5/lb Cu, US$500/oz Au,
and US$10.00/lb Mo. The formula used is as follows: CuEQ equals Cu% +
(Au g/t x 10.72/22.05) + (Mo% x 10.00/1.50). Copper Equivalent
contribution from gold and molybdenum only occur if the grade of
gold exceeds 0.50 g/t and/or the grade of molybdenum exceeds 0.011%
and if the interval is dominated by primary sulphide mineralization.

The higher grade intervals are associated with chalcocite overprinting chalcopyrite and from intrusive and hydrothermal breccia zones. Southwestern is encouraged with these results. All of the drill intersections are open or potentially open at depth. Only the western half of the project was drill tested. The high gold result in hole SAY-003 and the results overall demonstrate that the mineralization at Sayta is distributed over a very large area.

During 2009, a 4,500 metre drill program is planned and will include the first-pass drilling of the eastern half of Sayta and additional holes in the western half. Recent mapping in the eastern half of Sayta identified additional zones of stockwork and potassic alteration with significant rock chip geochemistry, including a 450 x 150 metre area containing, out of 35 total rock chip samples, nine samples containing from 0.58 to 4.98% copper and five samples containing from 0.036 to 0.17% molybdenum. Additional mapping, sampling and possibly additional induced polarization geophysical surveying is planned to begin in March, with the 2009 drill program to begin in late March or April, depending on when the seasonal rainy season ends.


The 26,400 hectare Alpacocha project is 100% owned by Southwestern, and consists of three copper-molybdenum-gold skarn zones, one of which was first-pass drill tested in 2008. Six holes for 695.40 metres were completed at the Alpacocha prospect (one of the three skarn zones) before the drilling was stopped prematurely due to equipment failure and the onset of the rainy season. Mineralized skarn was intersected and of particular interest is drill hole ALPA 2, which intersected a mineralized porphyry dyke: the presence of mineralized skarn with a mineralized porphyry dyke in ALPA 2 suggests that a deeper, mineralized porphyry system may be present. Additional drilling to test the other targets and for a deeper porphyry system is being considered. Results from the two holes of significance are posted below:

Interval (percent)
Drill --------------------------------------------
Hole From To Length
No. (metres) (metres) (metres)
ALP-001 0.00 14.00 14.00 0.84
52.40 60.40 8.00 0.85

ALP-002 90.20 108.70 18.50 0.83


Quality Control

Southwestern, as operator of the joint venture on the Antay Project and as explorer of the 100% owned Alpacocha Project, sends samples to the ALS Chemex laboratory in Lima, Peru, an ISO 9001 and 17025 registered laboratory. Southwestern's quality control and quality assessment procedures include the analysis of its own blanks, standards and duplicates, introduced among the batches of samples, in addition to those used by the laboratory for its routine testing. Rock and drill samples are crushed to greater than 70% passing 10 mesh, and pulverized to greater than 85% passing 200 mesh. A fraction of the pulps is analyzed for gold by fire assay and AAS. Another fraction of the pulps is digested in aqua regia acid and is analyzed for 34 elements by ICP-AES with Quantitative Low Detection Mercury by AAS.

Qualified Person

Dr. Alejandro Losada-Calderon, Vice-President Exploration of Southwestern, is the qualified person as defined by National Instrument 43-101 for the Company and has verified the data contained in this news release.

About Southwestern

Southwestern is a Vancouver-based mineral exploration company engaged in the identification, acquisition, evaluation and exploration of gold, silver and base metals mineral properties. The Company has a number of significant projects, including the Liam gold-silver project in Peru. Southwestern is a reporting issuer in British Columbia, Alberta, Manitoba, and Ontario and trades on the Toronto Stock Exchange under the symbol SWG.

Forward-looking Statements

Statements in this news release that are forward-looking statements are based on the current expectations, beliefs, assumptions, estimates and forecasts about the Company's business and the industry and markets in which it operates. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or implied by these forward-looking statements due to a number of factors, including but not limited to, the Company's access to additional capital to fund future activities, the loss of mineral properties or the inability to obtain mining licenses, the inherently risky nature of the Company's activities and its lack of experience in bringing an exploration property into production, its ability to repatriate any earnings, foreign exchange fluctuations, the political stability and economic uncertainty of those areas in which the Company carries on operations and the lack of infrastructure in those areas, title risks, the risks and uncertainties associated with joint ventures and the Company's reliance on third parties, statutory and regulatory compliance, the adequacy and availability of insurance coverage, the Company's dependence upon employees and consultants and fluctuations in mineral prices and other risks detailed in the Company's filings with the Canadian Securities Authorities.

These risks, as well as others, could cause actual results and events to vary significantly. The Company expressly disclaims any intent or obligation to update these forward-looking statements, unless the Company specifically states otherwise.

Contact Information

  • Southwestern Resources Corp.
    Timo Jauristo
    Interim President & CEO
    (604) 669-2525
    Southwestern Resources Corp.
    David Black
    Chair of the Board
    (604) 669-2525