Magna Terra Partner Newmont Outlines Large Epithermal Geochemical Target At Boleadora, Argentina - Seite 2

~ Lew Lawrick, President and CEO, Magna Terra Minerals Inc.

2023 Exploration Results

According to Newmont geologists, Boleadora is underlain by extensive Jurassic volcanic sequences that include welded pumice crystal-rich rhyolitic ignimbrites cut by bimodal subvolcanic domes. Main structural trends include northwest, north-northwest, and east-west corridors with chalcedonic and opaline silica veins with massive textures up to one-metre wide, and silica sinter in up to 50 metre by 50 metre exposures that might correspond to shallower levels of a low-sulphidation epithermal system (Figure 2). This geology is favourable for hosting low-sulphidation epithermal gold mineralization similar in style to the nearby Cerro Negro and Cerro Vanguardia deposits.

Since first assessing the project in 2019, Newmont subsidiary Oroplata has collected 233 rock-chip samples (surface float and outcrop), 134 drainage sediment samples for analysis via Bulk Leach Extractable Gold ("BLEG"), 526 Terrain Mapping Geochemistry (‘TMG') soil samples and completed a hyperspectral survey covering the main geological areas of interest. This includes 526 TMG samples and 35 rock-chip samples collected in 2023 that have further refined and supported the 10 exploration targets identified on the property to date.

Foto: Accesswire

Figure 1: Location of Magna Terra exploration projects in Santa Cruz Province, Argentina including the Boleadora Project outlined in red in the northwest of the map near the San Jose and Cerro Negro mines.

Table 1: Geochemical maximum and statistical threshold values for precious metal and pathfinder elements from drainage sediment BLEG samples at the Boleadora Project.

Foto: Accesswire

Foto: Accesswire

Figure 2: Boleadora generalized geology, gold from sediment samples and with structural interpretation at district scale (courtesy Newmont).

Boleadora Purchase Agreement

Newmont entered into an Option to Purchase Agreement with Magna Terra (see press release dated June 9, 2020) that will pay Magna Terra US$1 million as follows: US$25,000 on signing and six installments totalling US$975,000 payable within six years from the date of the Agreement, with US$325,000 paid to date. In addition, Magna Terra retains a 2% NSR ("Royalty") on the Boleadora Project. The Royalty can be reduced to 1% by payment of US$2.5 million to Magna Terra at anytime, and is capped at US$20 million.