Vancouver, B.C., December 6, 2011 – Panoro Minerals Ltd. (TSXV: PML, Lima: PML, Frankfurt: PZM) (“Panoro”, the “Company”) Panoro is pleased to report additional assay results from its Cotabambas porphyry copper-gold project located in southern Peru. Highlights are as follows:
- Strong intercepts in hole CB-40-11, including 104.7 metres grading 0.509% copper and 0.258 gpt gold along with 117 metres grading 0.459% copper and 0.265 gpt gold
- Strong intercepts in hole CB-41-11, including 76.25 metres grading 0.511 % copper, 54 metres grading 0.478% copper and 0.205 gpt gold and 57.80 metres grading 0.471% copper and 0.311 gpt gold
The following table details the more significant intersections and a current drill plan can be found on the Company’s website at www.panoro.com:
|Drillhole||From (m)||To (m)||Metres||Cu (%)||Au (g/t)||Ag (ppm)||Mo (%)|
Drill holes CB-40-11 and CB-41-11 are located at the southern end of the Ccalla deposit as it is presently defined. Although interpretations by previous workers suggested that the deposit terminated here, excellent copper-gold intercepts in these two holes confirm the strong continuation of the Ccalla deposit to the southwest.
Drill hole CB-39-11 was collared midway between the Ccalla and Azulccaca deposits, targeting a possible connection between the two. Although two relatively low grade intervals were encountered, a subsequently completed induced polarization survey has shown that the two deposits are not directly connected and in fact are located in separate mineralized structural corridors.
The drill plan available on the Company’s website shows the extent of drilling in relation to the Ccalla and Azulccaca deposits and the recently completed induced polarization study. Drilling earlier this year confirmed the continuity of mineralization over a 500-metre strike length along the east flank of the Ccalla deposit and that it extended a further 200 metres to depth where drilled. The deposit is located in a southwest-northeast trending structural corridor defined by relatively low chargeability values and marked as “Area 1” and “Area 2”. In addition to adding resources with infill drillholes targeting gaps in the Ccalla geologic model, drilling will continue to trace the extension of mineralization into these areas.
The drill plan also shows the location of the Azulccaca deposit at the southwest end of a chargeability low marked as “Area 3”. Drilling will test this area for the northwest extension of mineralization from the Azulccaca deposit. A number of other target areas are labeled on the same plan, two of which are associated with similar chargeability lows and porphyry centres.
The current program of exploration includes 24,400 metres of drilling aimed both at expanding the resource at the Ccalla deposit and testing the other promising exploration targets on the property. Nine holes totaling approximately 5,700 metres have been completed since the recommencement of drilling in August. Two drill rigs are currently operating with two more scheduled to arrive in the first half of January.
The program will require approximately six months to complete and results will be released periodically. All analytical laboratories are currently extremely busy which has resulted in delays in receiving assay results. Upon the completion of drilling, the Company will carry out preliminary metallurgical test work on selected samples of core and commission an updated resource estimate.
In other business, the Company has granted options to purchase a total of 100,000 shares exercisable at a price of 50 cents per share to an employee pursuant to the Company’s stock option plan.
Panoro’s strategic focus is to move its advanced stage Copper and Copper/Gold projects to the feasibility and development stages and to explore its other projects. Panoro’s strong cash position following the recent completion of a $7.8 million brokered private placement puts the Company in a good position to continue developing its significant portfolio of exploration projects. The Company’s large portfolio includes the advanced Cotabambas Copper-Gold and Antilla Copper-Molybdenum Projects which include NI 43-101 inferred level resources of:
90 million tonnes @ 0.77% Cu and 0.42 g/t Au @ 0.4% Cu cutoff, SRK 2007 (in situ content of 1.5 billion pounds of Cu and 1.2 million ounces of Au)
154 million tonnes @ 0.47% Cu and 0.009% Mo @ 0.25% Cu cutoff, AMEC 2009 (in-situ content of 1.6 billion pounds of Cu and 30 million pounds of Mo)
In addition to the exploration program at the Cotabambas Project, the Company will also be carrying out exploration work at the Antilla Copper-Molybdenum Project, Kusiorcco Copper Project and Cochasayhuas Gold Project in 2011. Panoro has ten other exploration properties in Peru and is currently evaluating investment alternatives including joint ventures.
Panoro’s significant portfolio of projects is located primarily in the south-eastern region of Peru. This region contains a number of important copper and copper/gold deposits including Xstrata’s Las Bambas and Antapaccay Copper Projects and the Tintaya Copper Mine. In September 2010, Xstrata announced US$5.7 billion of investment to develop the Las Bambas and Antapaccay projects. The region also includes First Quantum Minerals’ Haquira Copper Project and Hudbay Minerals’ Constancia Copper Project.
Chris Staargaard, M.Sc., P.Geo., a Director of the Company and a Qualified Person under National Instrument 43-101, has reviewed and approved the scientific and technical information in this press release.
On behalf of the Board of Panoro Minerals Ltd.
Luquman Shaheen, M.B.A., P.Eng., P.E.
President & CEO
This release was prepared by management of the Company who takes full responsibility for its contents. Neither 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.