MINING

Exploration and drilling updates on Santa Ana from Outcrop Gold

Latest updates on Colombian silver-gold project released by Outcrop Gold Corp.

 SALPDH-16 1.0m vein with massive sulphide (pyrite-sphalerite-galena) in centre with closed spaced carbonate- quartz veinlets plus two per cent pyrite in hanging wall contact taken from Outcrop Gold’s Colombian project

SALPDH-16 1.0m vein with massive sulphide (pyrite-sphalerite-galena) in centre with closed spaced carbonate- quartz veinlets plus two per cent pyrite in hanging wall contact taken from Outcrop Gold’s Colombian project

At least 11 principle vein zones are recognized on the project that cumulatively provide up to 14km of strike length - La Ivana (including the La Porfia vein system), Roberto Tovar (Royal Mines, including the Santa Ana vein system), El Dorado, Morales, Pollera, Guanabanera, San Antonio, Palomos, Murillo, Culebra and Megapozo.

"It is very encouraging to see significant amounts of coarse vein-boulders on soil lines where veins were projected between workings. Whereas previously the El Dorado vein zone had been only projected - it is now clearly mappable where soil lines consistently encounter the mineralised vein-boulders," said Joseph Hebert, CEO. "And our first four holes at depth in La Ivana have all intercepted mineralisation similar to that encountered in the phase one shallow drilling."

The initial objective of current drilling in progress is to define the La Ivana discovery to a depth of 300m to build a model of bodies of high-grade mineralisation within the vein that can be used to advance other targets on the property and also grossly estimate potential in approximately 14km of projected vein zones on the project.

Four new drill holes have been completed and the fifth is in progress for a total of 503m of drilling. There are significant intervals of quartz-sulphide veins with sulphide-rich halos in the first four holes. Epithermal textures are expressed as colloform, banded quartz and breccias. Massive sulphides are common within vein intervals.

After the La Ivana high-grade zone is delineated to depth, drilling will move successively to nine prioritized targets - the first being the El Dorado vein system. Drilling will continue into the first quarter of 2021. This programme will include approximately 120 planned core holes for a total of 13,000m.

The vein system consists of north-northeast trending veins, linked by northwest-trending veins. Detailed soil sampling and trenching is expected to reveal the general limits of ore-shoots to guide drilling.

Approximately 2.5 linear km soil lines totalling 239 samples and 27m of manual trenches of observed vein zones in saprolite have been completed. Mapping concurrent with soil sampling in the El Dorado has demonstrated that the trace or projection of veins will often be revealed by abundant in-situ or near in-situ vein boulders. In the case of the El Dorado vein boulders can be traced through several 75m spaced lines. These boulders show sulphide or sulphide oxidation that will be sampled and will also be used to site trenching to map and sample sub-cropping veins. Preliminary trenching in the Megapozo target shows vein and veinlets zones that composite up to 1.5m wide.

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