VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 3, 2013) - San Marco Resources Inc. ("San Marco" or "the Company") (TSX VENTURE:SMN) and Exeter Resource Corp. (TSX:XRC)(NYSE MKT:XRA) continue to explore the Company's 8,500 hectare La Buena property, located 9 km north of Goldcorp's Penasquito mine in northern Zacatecas State, Mexico. Initial diamond drilling and a recently completed gravity survey builds on previous work that outline geological, geochemical and geophysical similarities to other mineral deposits in the area. Results from this recent phase of exploration, which continue to support a model similar to Penasquito and Camino Rojo, have identified additional prospective drill targets.
The diamond drill program that commenced in mid-September (See Press Release: September 17th, 2013) was designed to test initial targets around the Julia zone in a series of drill holes. To date, two drill holes have been completed, one in the central core and one in the northern area returning geologically encouraging results.
Drill hole LBD13-02, drilled on the northern flank of the Julia zone, intersected widespread, low grade gold, silver and zinc mineralization hosted in strongly bleached and altered Carocol Formation (host rocks at Penasquito) consisting of inter-bedded limestone's, siltstones and sandstones. Well-developed stockwork, massive sulphide veinlet's and fractures fillings, containing pyrite, sphalerite, galena, minor chalcopyrite, dominate the mineralization, and do not appear to be preferentially located in any specific rock unit. Trace element associations with gold, silver, copper, lead and zinc, suggest the mineralization may be intrusive related, also indicated by the high magnetic and high chargability centers in the Julia and Las Crucitas areas.
Interesting drill intersections include: 77.5 meters @ 0.14 g/t gold (44.5m - 122.0m), including 24.1 meters @ 0.17 g/t gold (44.5m - 68.6m). A much broader interval of 152 meters @ 0.12 g/t gold (0m - 152m) also included elevated zinc values consisting of 36.3 meters @ 0.11% zinc (59.5m - 95.8m), including 13.1m @ 0.18% zinc. Anomalous silver values, 1 - 2 g/t over 98.7 meters were also discovered deeper in the hole. A cross section of this hole can be viewed by clicking here.
The gold/zinc relationship in LBD13-02 could suggest that this drill hole intersected the central portion of the alteration zone and that when comparing characteristics of other deposits in the area, the margins of the alteration area could be a more favorable location for mineralization. LBD13-01 was drilled to test a zone of higher chargeability in a central area of the Julia zone. Anomalous gold and base metal values were encountered. The high chargability anomaly is interpreted to correspond with elevated levels of pyrite (20%) hosted primarily in intrusive dikes and sills. Sporadic anomalous gold, silver and zinc values were located primarily along the contacts of the dikes and the inter-bedded Caracol Formation.
In conjunction with this drilling, a gravity survey has been completed covering approximately 25 square km to the east and south of the Julia zone. Results of this survey have outlined a series of new targets, where gravity lows are coincidental to, or adjacent to chargeability highs. The newly discovered area is referred to the "Las Crucitas zone." The gravity survey can be viewed by clicking here.
Alvaro Picos, a member of San Marco's exploration team and previously a member of the Penasquito discovery team, has identified important geological and geophysical indicators that were ultimately proven to be associated with stockwork, breccia pipe, disseminated and skarn mineralizing systems.
San Marco's CEO Bob Willis stated; "Based on La Buena's geological and geophysical similarities to deposits in the area, we continue to believe La Buena has the potential to host a robust system of mineralization."
Exeter Resources has the option to earn 60% in the La Buena property from San Marco and has committed to first year expenditures of C$1.4 million, which includes the completed property scale IP geophysics program and an initial drilling program. San Marco is responsible for conducting exploration activities.
Exeter has fulfilled the first year Joint Venture commitments regarding the Angeles property, Sonora State, Mexico and has advised San Marco that it will not be continuing to fund Angeles exploration and is therefore withdrawing from the J.V. San Marco will immediately commence discussions with parties who have expressed interest in the Angeles property.
Quality Control and Assurance
Blanks and certified standards were inserted into the sample stream as part of San Marco's quality assurance and control program, which complies with National Instrument 43-101 requirements. Core samples are split using a hydraulic splitter, with one half retained in secure storage for logging, and the other half sent to ALS Chemex Lab Zacatecas, Zacatecas State, Mexico. All samples are prepared using the PREP-31 method. 125 gram pulps are sent to ALS Chemex Lab. in Vancouver, B.C. A 30 gram split is analyzed for gold, using the Au-AA23 method. Sample results greater than 10 ppm are re-assayed, using AA23 fire assay and gravimetric finish. For silver, copper, lead and zinc, a multi-element, four acid digestion (ME -- ICP 61 is used. For initial assays of silver >100 ppm, copper, lead and zinc >10,000 ppm (over limits), the OG62 method is used for re-analysis.
The technical information contained in this press release has been verified, and this news release has been approved, by San Marco's CEO, Robert D. Willis, P. Eng. a 'qualified person' for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators.
About San Marco:
San Marco Resources Inc. is a Canadian mineral exploration company aggressively pursuing three promising projects in mining-friendly Mexico. San Marco is currently focused on its Angeles, La Buena and Los Carlos properties, all of which have either been drilled in 2013, or are being explored in preparation for drilling in the near future. San Marco has a committed management team with extensive experience in Mexico and a proven track record of building shareholder value.
This news release contains "forward-looking information" and "forward-looking statements" (together, the "forward-looking statements"), which are not historical facts are forward-looking statements that involve risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause such differences, without limiting the generality of the following, include: risks inherent in exploration activities; volatility and sensitivity to market prices; volatility and sensitivity to capital market fluctuations; the impact of exploration competition; the ability to raise funds through private or public equity financings; imprecision in resource and reserve estimates; environmental and safety risks including increased regulatory burdens; unexpected geological or hydrological conditions; changes in government regulations and policies, including trade laws and policies; failure to obtain necessary permits and approvals from government authorities; weather and other natural phenomena; and other exploration, development, operating, financial market and regulatory risks. These forward-looking statements are made as of the date of this news release. San Marco Resources Inc. disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.