Zincore Metals Inc.

Zincore Metals Inc.

March 21, 2011 07:11 ET

Zincore Adds Measured Resources and Confidence in New NI 43-101 Estimate for Accha Zinc Deposit Peru

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 21, 2011) - Zincore Metals Inc. (TSX:ZNC)(BVLAC:ZNC) ("Zincore" or the "Company") announces the results of a new, independent mineral resource estimate for the Accha deposit, one of two deposits at the Company's 100%-owned, Accha Zinc Oxide District in southern Peru. The new Mineral Resource Estimate was prepared by Thomas C. Stubens, P.Eng., a Senior Geologist with Micon International Limited in Vancouver, Canada ("Micon"). The new NI 43-101 Technical Report will be available on SEDAR within 45 days.

The Resource Estimate is based on data from previous drill programs supplemented by the 5,000 metre in-fill drill program recommended by Micon which reduced drill hole spacing to 25 metres in the heart of the deposit. 

Zincore President and CEO, Jorge Benavides, commented, "Our work at Accha has led to a new geological interpretation of the deposit. The new Resource Estimate has resulted in Measured Resources now comprising almost 56% of the combined Measured and Indicated contained metal total. We now have a greater degree of precision which will be essential to the development of the Accha Zinc Oxide District Pre-Feasibility Report that we expect to complete before the end of this year. We are especially pleased to be moving ahead toward developing this project having already determined that the high grade zones of zinc mineralization are continuous and coherent and therefore selectively mineable early in the project mine life."

Accha Mineral Resource Estimate at a Series of Zinc Cut-Off Grades (Capped)(1)(2)(3)(4)(5)(6)
Resource Cut-off   Tonnes   Grade   Contained Metal  
Class Zn(% ) (x1000 ) Zn (% ) Pb (% ) Zn (M lb ) Pb (M lb )
Measured 2.0   2,492   8.71   0.78   478   43  
5.0   1,791   10.73   0.90   424   36  
8.0   1,161   13.03   1.03   333   26  
Indicated 2.0   3,071   5.64   0.84   382   57  
5.0   1,324   8.83   1.29   258   38  
8.0   595   11.98   1.59   157   21  
Measured + Indicated 2.0   5,563   7.01   0.82   860   100  
5.0   3,115   9.92   1.07   681   73  
8.0   1,756   12.67   1.22   491   47  
Resource Cut-off   Tonnes   Zn   Pb   Contained Metal  
Class Zn(% ) (x1000 ) (% ) (% ) Zn (M lb ) Pb (M lb )
Inferred 2.0   1,276   4.60   0.65   129   18  
5.0   331   8.92   1.53   65   11  
8.0   155   12.15   1.92   42   7  
  1. All mineral resources have been calculated in accordance with the CIM Definition Standards on Mineral Resources and Mineral Reserves, as required by NI 43-101.
  1. Mineral resources that are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political or other relevant issues.
  1. Inferred mineral resources are that part of a mineral resource for which quantity and grade can be estimated on the basis of geological evidence and limited sampling and reasonably assumed. It is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource.
  1. Density utilized in the mineral resource estimates was 2.56 tonnes per cubic metre.
  1. Contained zinc and contained lead represent estimated metal contained in the ground and have not been adjusted for metallurgical or other recovery factors.
  1. Estimate uses Ordinary Kriging

For a full list of results, please visit our website at www.zincoremetals.com.

In addition to the definition drilling program at Accha, the Company carried out some exploration trenching and drilled six exploration holes, which identified new mineralized zones to the north of the previously identified limits of the deposit. Company geologists are currently preparing an exploration drilling program to test these new zones later this year after the end of the rainy season.

A similar geological modeling program is underway at the Yanque project, also located in the Accha Zinc Oxide District. The objective at Yanque is to upgrade Inferred Resources to Indicated and better define the high grade portions of the Yanque ore body. A new 43-101 Technical Report will also be issued after this work is completed.

(**)For more information about our Accha in-fill drilling program and re-modelling of resources, please see our news releases from 2010 dated: December 7th, November 4th, October 6th, September 15th and April 29th.

Thomas C. Stubens, P.Eng., a Qualified Person as defined under National Instrument 43-101, has read this news release and approves of its contents.

Micon International Limited has provided consulting services to the international mining industry since 1988, with particular focus upon mineral resource estimations, metallurgical services, mine design and production scheduling, preparation of pre-feasibility and feasibility studies, independent reviews of mining and mineral properties, project monitoring, independent engineer roles, financial analysis and litigation support.

Vernon Arseneau, P.Geo., Vice President, Exploration for Zincore has prepared or supervised the preparation of the information contained in this news release and is the Qualified Person as defined under National Instrument 43-101 for this news release.

Quality Control 

Zincore has implemented a quality control program to ensure best practice in litho geochemical sampling and analysis of rock chips, trench, tunnel and drill core samples.

All drill core samples (approximately one metre, half-core composites) are shipped in security sealed bags via a private trucking company directly to the Acme Laboratories facility in Lima. All samples for the resource drill program are analyzed using two techniques: Zinc and lead grades are determined by Atomic Absorption and if the results exceed 10% they are re-assayed by volumetric methods. In addition, all samples are assayed by ICP-ES for 37 elements.

The Company submits its own standards and blanks as a measure of the accuracy of the analysis. All pulps and coarse rejects are being recovered and stored.

About Zincore

Zincore is a Vancouver-based mineral exploration company focused mainly on zinc and related base metal opportunities in the Americas, namely Peru, Mexico and Canada. The Company's common shares trade on both the Toronto and Lima Stock Exchanges under the symbol ZNC. For more information, please see our website at www.zincoremetals.com.

Forward-looking Statements: Statements in this release that are forward-looking, in particular with regards to the potential of the Accha project, are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Annual Information Form of Zincore dated March 12, 2010 which is filed with Canadian securities regulatory authorities and available on SEDAR (www.sedar.com). Such information contained herein represents management's best judgment as of the date hereof based on information currently available.

This news release uses the term "inferred mineral resources". Zincore advises US investors that although this term is required and recognized by Canadian regulations (under National Instrument 43-101 Standards of Disclosure for Mineral Projects), the U.S. Securities and Exchange Commission does not recognize it. Investors are cautioned not to assume that any part or all of the mineral deposits in this category will ever be converted into reserves. In addition, "inferred mineral resources" have a great amount of uncertainty as to their existence and economic feasibility. It cannot be assumed that any part of an inferred mineral resource will be upgraded to a higher category.

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