Max Resource Corp. Identifies 8 LWIR Targets at Gachala
Vancouver, British Columbia--(Newsfile Corp. - March 8, 2018) - MAX RESOURCE CORP. (TSXV: MXR) (OTC Pink: MXROF) (FSE: M1D) ("MXR" or the "Company") is pleased to release Initial Long Wave InfraRed ("LWIR") results, continuing the due diligence in support of its acquisition of Copperbelt Minerals Corp's Gachala Copper Project, 50 kilometres east of Bogota, Colombia (the "Property"), as detailed in its February 26, 2018 news release.
The 3,400 square kilometre LWIR survey identified 8 separate targets within the 400 square kilometre Property showing spectral best match signatures for chalcocite, supported by best spectral match signatures for chalcopyrite. Individual targets ranged from 1 kilometre to 10 kilometres in length for an aggregate target length of 40 kilometres.
The Gachala Copper Project covers 25km of a 250km by 120km belt of Devonian through Cretaceous age rocks in a geological setting conducive to hosting sedimentary copper deposits. Mineralization appears to be localized at the contact between the Devonian-Permain red beds and the overlying Cretaceous reducing black shales, one of the settings typical of these copper deposits. Many of the LWIR target signatures are concentrated at this contact.
The MXR field teams plan to conduct a number of preliminary follow-up sampling programs over the 40 kilometres of LWIR anomalous zones, so results will be released in batches.
Interpretation of the remaining 2,800 square kilometre area the LWIR covered is underway. Results will be released as they are made available.
MXR is still waiting for assay results from an extensive channel sampling program taken from an outcrop near the historic Cerro de Cobre copper mine, including a zone returning 22.8 m averaging 3.16% copper. (The historic sampling was completed by Colombian Mines Corporation as disclosed in their 15-May-2008 News Release. The orientation of the mineralization is unknown and will require further mapping).
Assay results from a newly discovered area located 700 meters north of Cerro de Cobre are pending.
Additional results from the examination of a number of other areas around the Property area.
Brett Matich, MXR Chief Executive Officer, commented: "Our on-going due diligence continues to confirm our staunch believe the Gachala project will become a critical asset for Max Resource Corp. The LWIR signatures at the critical red bed / black shale contact is extremely encouraging and we eagerly anticipate the results of our due diligence exploration program."
Max Resource Corp. - Gachala Copper Project
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LWIR analysis, through proprietary processing of ASTER satellite data, has the ability to map or identify, through reflectance spectroscopy against a set of known standards, mineral distribution over extremely large areas covered by vegetation and shallow cover. The ground-penetrating nature of infrared radiation in the longwave bands allows viewing of mineral spectra in the first 30 to 60 cm of the earth's surface through dense vegetation. The Company believes LWIR is therefore well suited to Colombia. The Company cautions investors LWIR does not necessarily identify mineralization, only the signatures of individual minerals.
The Gachala Copper Project consists of 4 mineral claims and 21 exploration applications totaling approximately 400 square kilometers and includes the historic Cerro de Cobre copper mine, where 2008 channel sampling returned 22.8 metres grading 3.16% copper and 15.3 g/t silver. Subsequent Mobile Metal Ion (MMI) soil sampling defined a 1500 metre by 800 metre copper-in-soil anomaly encompassing the two zones, open in all directions. Colombian Mines Corporation felt there was a high potential for repetition on the opposite side of the hosting anticline and further felt the geology suggested mineralization may extend beyond the limits of known anomalous zones. (Source: Colombian Mines Corporation News Releases dated 15-May-2008 and 14-Nov-2012 respectively). The orientation of the channel sampled mineralization is unknown at this time. MXR cautions investors it has not yet verified the historical data.
The historic sampling combined with the recent mapping and sampling completed by MXR indicates that copper appears to be widely dispersed throughout the 400 square kilometre property holdings.
About the Transaction
MXR has signed a binding Letter of Intent ("LOI") to acquire 100% of the outstanding share capital of Copperbelt Minerals Corp., a private Canadian company holding the Property. MXR will issue 12,000,000 common shares to the Copperbelt Minerals' shareholders and take over the obligations of the Cerro de Cobre agreement, requiring the aggregate payment of US$1,060,000 over the next three years to the Cerro de Cobre vendors. Certain shareholders of Copperbelt Minerals will collectively retain a 3-per-cent net smelter returns royalty ("NSR") on the Property. MXR has the sole exclusive right to purchase half of the 3-per-cent NSR for the consideration of US$3-million at any time prior to production.
About Max Resource Corp.
Max Resource Corp., a Canadian-based exploration company, its focussed on acquiring advanced exploration projects which are located within the under-explored northern section of the richly endowed Andean Copper Belt of Colombia.
ON BEHALF OF THE BOARD OF MAX RESOURCE CORP.
Brett Matich, CEO and President
Tim Henneberry, P. Geo (British Columbia), a member of the Max Resource Corp. Advisory Board, is the qualified person who has reviewed and approved the technical content of this news release on behalf of the Company.
Further information regarding the Company can be found on SEDAR at www.SEDAR.com, or by contacting the Company directly at (604) 365 1522.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes certain statements that may be deemed as "forward-looking statements" within the meaning of applicable Canadian securities laws. All statements in this release, other than statements of historical facts, are forward-looking statements, including, without limitation, statements pertaining to completion of the Acquisition and any approvals required in connection with the Acquisition. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include: changes in market conditions, unsuccessful exploration results, changes in the price of commodities (particularly copper), unanticipated changes in key management personnel and general social, economic or geo-political conditions. Mining exploration and development is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward—looking statement that may be from time to time by the Company or on its behalf, except in accordance with applicable securities laws. We seek safe harbor.