Canyon Copper Corp. ("Canyon" "Company") (TSX-V: CNC) (OTCBB: CNYC) has carried out a preliminary rock sampling program on copper skarn mineralization located on its New York Canyon Property, Mineral County Nevada (1293 claims with an area of approximately 66.000 hectares or 26,000 acres).
- Significant gold and silver assays were returned from rock samples over 3 km belt of of skarn deposits.
- Copper skarn belt includes Copper Queen-Ideal Mine, Champion Mines, Longshot Ridge Resource Area, and the New York Canyon Basin.
- Gold grades up to 0.5 g/t and silver grades up to 74 g/t (approximately 2 oz/st).
- Copper assays indicate better than expected metal recoveries into solution from single acid (H2SO4) leach (acid consumption not defined by assay method).
32 samples were collected from dumps, surface and underground workings at all of the most significant copper showings in the skarn belt. Except for the Longshot Ridge, much of the belt has not been drilled at a spacing suitable for testing this type of mineralization. The target is a higher grade and lower tonnage mineralization compared to the porphyry style target of Conoco, Phelps Dodge and other earlier workers. Chalcocite and bornite skarn mineralization associated with some oxide copper can offer potential as a feed for a copper leach operation which could produce premium cathode metal with a solvent extraction copper electro-winning plant..
The purpose of the sampling was to determine if any precious metals were present in the skarn mineralization and also to type the pathfinder elements associated with the copper or precious metals. The table below indicates metal associations in samples with possible economic grade copper mineralization in 16 (50%) of the samples.
|Sample #||Type||Cu Total
|Champion Mines Area|
|CH-6||Horizontal 2 m||2.64||81.4||0.37||28.1|
|CH-7||Horizontal 1.5 m||1.77||24.0||0.54||40.2|
|CH-8||Horizontal 3.5 m||1.18||81.4||0.19||17.0|
|CH-9||Grab from Floor||1.70||84.7||0.19||15.4|
|CH-10||Pediment Outcrop Grab||1.73||85.6||0.27||13.2|
|LS-3||Horizontal 2.5 m||1.29||89.2||0.10||1.5|
|M-2||Vertical 2 m||0.33||70.0||0.01||0.5|
|NY Canyon Basin|
|NYC-2||Horizontal 2 m||1.24||77.4||0.08||6.6|
ACID SOL* The Cu total grade was measured from a sample digested with a strong four acid attack. The calculation of the acid soluble component is made by dividing the total copper value into the copper value of a one acid sulfuric acid digestion of that sample and multiplying by 100 to convert to a percentage for the copper recovered from the sample by the one acid attack. This analysis is carried out because it gives a guide to the metal recovery that may be achieved in a leach plant.
The results above indicate that the better silver results appear to occur on the east end of the skarn system in the New York Canyon Basin. The better gold values appear to be related to the Champion mines area in the central part of the skarn system and possibly at lower original elevation or closer to any potential copper porphyry metal sources.
Upcoming programs for Canyon Copper:
Proposed Drill Program to start after further Metallurgical Work on Moonlight Property
CNC had announced that it was permitting for a shallow reverse circulation drill program at the Moonlight copper oxide deposit in order to establish a resource estimate of the oxide mineralization in a manner compliant with NI 43-101 regulations. The basic permitting process has been started.
A review of earlier drilling results indicates potential for mixed oxide, native copper and acid leachable sulphides in zones related to higher grade structures mineralized by late stage mineralization. These zones lie beneath the oxide zone defined by earlier studies of the oxide cap at Moonlight (see News Release 25th March 2012) and could extend the leachable mineralization to depth.. Further metallurgical work and evaluation of the late stage mineralization will be undertaken to guide the drill program. Sample material from earlier core drilling is available for this work and includes mineralized drill sections which have been well stored in nearby facilities. Samples from this storage facility have also been sent for assay for precious metals in several drill sections that were only assayed for copper.
Property Scale Geochemical Program on New York Canyon Claims
CNC has started a geochemical program to cover the considerable area of the New York Canyon claims with a survey of arroyo/stream sediments. The purpose of the survey is to assess the potential for areas of mineralization that may be associated with the several areas of old prospects and workings within the claims. Gold and silver indications reported above are associated with some moderately anomalous path finder elements such as arsenic, bismuth and antimony. Analysis of such pathfinders will be included in order to outline areas with gold potential. The former Santa Fe gold producer is located on the north boundary of the NYC claim block and reportedly was first investigated as a base metal showing.
Benjamin Ainsworth, P. Eng, BC, with Licence #8648 and the President of Canyon, is a Qualified Person as defined by NI 43-101 and has reviewed and approved the contents of this news release.
On behalf of the Board of Directors,
CANYON COPPER CORP.
Benjamin Ainsworth, President
Canyon Copper Corp.
(604) 684-9365 (FAX)
Cautionary Statement Regarding Forward Looking Information
This News Release may contain, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are identified by their use of terms and phases such as "believe," "expect," "plan," "anticipate" and similar expressions identifying forward-looking statements. Investors should not rely on forward-looking statements because they are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from Canyon's expectations, and expressly does not undertake any duty to update forward-looking statements. These factors include, but are not limited to the following, Canyon's ability to implement its proposed drill programs on the Moonlight Property and the New York Canyon Project, Canyon's ability to obtain additional financing, uncertainty of estimates of mineralized material and other factors which may cause the actual results, performance or achievements of Canyon to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
Cautionary Note to U.S. Investors Regarding Estimates of Measured, Indicated and Inferred Resources
This News Release may use the terms "measured", "indicated" and "inferred" "resources." We advise U.S. investors that while these terms are recognized and required by Canadian regulations, the SEC does not recognize them. "Inferred resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an "inferred mineral resource" will ever be upgraded to a higher category. Under Canadian rules, estates of "inferred mineral resources" may not form the basis of a feasibility study or prefeasibility studies, except in rare cases. The SEC normally only permits issuers to report mineralization that does not constitute "reserves" as in-place tonnage and grade, without reference to unit measures. U.S. investors are cautioned not to assume that any part or all of a measured, indicated or inferred resource exists or is economically or legally mineable.
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