PROPERTY-SCALE ROCK GEOCHEMISTRY STRONGLY SUPPORTS LARGE TONNAGE CU-MO-AU POTENTIAL OF PANCHO ARIAS PORPHYRY
GEOCHEMISTRY COINCIDENT WITH HIGH-CHARGEABILITY GEOPHYSICAL ANOMALY
FEBRUARY 29th 2012
Salta Exploraciones S.A. (Salta), Cascadero's 50% owned Argentine subsidiary, has received assay results from a property-scale rock geochemistry program on the Pancho Arias Cu-Mo-Au porphyry prospect in Salta province, north western Argentina. Salta geologists collected 294 rock samples from outcrop over an area ~1,600 metres east west by 2,200 metres north south. The program was operated by Salta and designed and supervised by Raul Chocobar, Vice-President of Exploration and a director of Salta.
In late 2010, the sample area was subject to a ground based IP/Res/Mag geophysical program that consisted of 219 km of magnetic readings and eleven lines of IP data at 400-metre line spacing totaling 53 line kms.
The magnetic data identified a large weak oval-shaped magnetic-high measuring approximately 1,500 metres by 3,000 metres that correlates closely with a strong chargeability anomaly. Within the large weak magnetic-high, there are several smaller stronger magnetic-highs. Other magnetic-highs occur to the south, west, and north, outside of the strong IP anomaly.
The IP data outline strong chargeability anomalies in the central portion of the grid with chargeabilities from 40 mV/V to as high as 100 mV/V. The strong chargeability anomalies are coincident with strongly conductive zones over a zone measuring approximately 1,400 metres by 2,500 metres.
Weaker chargeability anomalies (12 to 20 mV/V) associated with high-resistivities are observed in the western portion of the grid. The weak chargeability anomalies in the west, together with the strong chargeability anomalies, form a circular zone approximately 3,000 metres in diameter at an elevation of 300 metres below the survey lines. The high-chargeability anomaly is open at 500 metres below the survey lines.
The Pancho Arias rock geochemistry assays appear to conform to and identify mineral zoning characteristic of porphyry Cu-Mo-Au deposits. The molybdenum (moly) assays are distributed throughout the area but the high-grade samples are concentrated in the north east part of the deposit in an area approximately 800 metres east west by 1,000 metres north south, which may be the potassic zone. Of the 294 rock samples, 72 moly samples are >100 ppm and 10 are >500 ppm moly (up to 1,900 ppm Mo), all of which are in this north east zone.
The majority of the copper assays (163 of 294) are >100 ppm and up to >10,000 ppm (>1%), are located in a circular zone that wraps around the high-grade moly zone to the west and south.
Gold values, >10 ppb gold, are present in 108 of the 294 samples and occur throughout the sample area but the higher-grades flank the copper zone and proximal to it especially on the western and southern area of the property. Nine samples are >1,000 ppb gold (one gram gold per tonne) with the highest assay at 4,190 ppb gold.
The mineralized pattern of the surface geochemistry coincides with and supports the underlying geophysical pattern of high-chargeability and high-resistivity. The data generally confirm the presence of a multi-phase mineralized intrusion. The data are critically important to locating and determining the depth and the highest priority drill targets.
Salta intends to start 3,000 metre core drilling program at Pancho Arias in early 2012.
Pancho Arias is the most northern of three identified Cu-Mo-Au porphyry systems in the Pancho Arias Mineral District. The three porphyries are controlled by a south west trending linear structure and are believed to have a common magmatic origin. Las Burras is 8 kms southwest of Pancho and Incahuasi is 3 kms southwest of Las Burras.
Pancho has 10 historic drill holes (1973-5) that outlined a deposit with values of moly and copper in shallow core holes. The core was not assayed for gold. Salta intends to re-drill at some of the historic locations and drill new locations. The program is planned to identify an inferred copper, moly, gold resource.
In mid-2012, Salta intends to conduct the first drill program on Incahuasi. In 2010, Salta completed an IP/Res/Mag geophysical survey that identified a large zone of chargeability that is 1,600 metres north south and >4,000 metres east west, which is open in both directions and to at least 500 metres below the survey lines. In late 2011, Salta completed an MMI geochemical survey in the area of the IP survey. Samples were collected by Salta personnel and assayed at SGS Peru. A full report is near completion.
In 2011, Salta drilled six core holes at Las Burras, four in section across the northern part of the porphyry and two drill holes on related quartz tourmaline sulphide veins distal to the porphyry. Three of the four drill holes in the porphyry is mineralized from surface to 300 metres (EOH) with variable copper-moly-gold values. The fourth hole was lost at 175 metres in mineralization. The Las Burras discovery hole is LB11-03, which assayed 0.42% copper, 0.02% moly and 0.10 g/t gold from surface to 120 metres, with similar moly and gold values to 300 metres but with a lower copper grade. The property requires additional core drilling. An eighteen (18) core hole program totaling 5,400 metres is planned for September 2012. The program is planned to identify an inferred copper, moly, gold resource.
The Company is excited by the opportunity that the Pancho Arias District porphyries provide. Each system has a large-scale geophysical footprint. Each has coincident geochemical and geophysical signatures. Pancho Arias has copper-moly in drill holes and Las Burras has copper-moly-gold in drill holes. The showings are closely spaced and each has potential to host a mid-to-large porphyry system.
The proximity of the showings and the combined potential tonnage could be of interest to most global mining companies in the copper, moly, gold space. The Pancho Arias District has exceptional infrastructure with fresh surface water, a railway to the Pacific Ocean Port of Antofagasta, a high-tension power line and a natural gas pipe line, all within a few kilometres of the porphyries.
ABOUT CASCADERO COPPER
Cascadero Copper is an integrated prospecting and mineral exploration business with offices in North Vancouver, BC, Canada, Sudbury, Ontario, Canada and Salta City in the province of Salta, Republic of Argentina. The Company generates, acquires and explores mineral properties and it active in the three jurisdictions.
In north central British Columbia, the Company has a 100% interest in a 31,000 hectare property in the Toodoggone region, which is prospective for copper gold porphyry systems. This property is subject to a C$20 million Joint Venture with Gold Fields.
In Ontario, the Company holds or has the right to acquire a 100% in 17 properties in the Sudbury, Swayze and Timmins camps, which are volcanic and sediment hosted copper gold prospects.
In north western Argentina, the Company holds a 50% interest in a 46 property portfolio, which consists mainly of bulk mineable copper-moly-gold porphyries and bulk mineable sediment hosted silver-gold plus base and rare metals.
In 2009, the Company discovered Taron, a large bulk mineable sediment hosted epithermal rare metal deposit in Argentina. In 2011, Cascadero discovered Las Burras, a new Argentine Cu-Mo-Au porphyry.
Cascadero's commodity focus is gold, silver, moly, copper and base and rare metal hosted in large-scale bulk mineable mineral systems.
In 2012 to 2013, Cascadero intends to advance by drilling three Argentine Cu-Mo-Au porphyry systems and continue development work in the El Oculto District, which hosts high-grade bulk mineable silver-rich systems. Exploration is also planned for Taron, an exciting large-scale sediment hosted rare metal discovery.
For more information please contact:
Alan or Janice Feldman at AJF Consultants:
1207 Beach Grove Road, Tsawwassen, BC
Office: 604-948-9663 Cell: 604-377-2942
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