Callinex Announces Commencement of 2024 Exploration Campaign at the Pine Bay Project Located in the Flin Flon Mining District, MB
Rhea-AI Summary
Callinex Mines (TSXV: CNX) (OTCQX: CLLXF) has commenced its 2024 exploration campaign at the Pine Bay Project in Manitoba's Flin Flon Mining District. The 5,000m drilling campaign will target areas including Poseidon, Descendent, Odin, and Ra. Key points:
- Testing Poseidon with a 500m drill hole, located 1,300m north of Rainbow deposit
- 350m step-out planned for Descendent discovery
- Project spans 11,859 hectares with access to infrastructure
- Recent MT survey revealed large resistivity anomaly at Poseidon
- Descendent discovery hole DSC-111 returned 7.14m at 1.70% CuEq
- Alteration zone at Descendent spans 1,100m by 700m
The company aims to expand its high-grade copper resource at Pine Bay through this campaign.
Positive
- Commencement of fully funded 5,000m drilling campaign at Pine Bay Project
- Large project area of 11,859 hectares with access to infrastructure
- Potential to expand high-grade copper resource through multiple target areas
- Promising geophysical survey results at Poseidon and Descendent targets
- Significant drill intersections at Descendent discovery (7.14m at 1.70% CuEq)
Negative
- Exploration results are uncertain and may not lead to resource expansion
- Drilling campaign success depends on unproven target areas
News Market Reaction – CLLXF
On the day this news was published, CLLXF declined 5.75%, reflecting a notable negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
The 5,000m drilling campaign has begun with testing of target area Poseidon with plans for a step-out drill hole to be completed on the Descendent discovery (Figure 2: Pine Bay Project Plan View with 2024 Exploration Targets). While any necessary borehole electromagnetic surveys are completed at Poseidon and Descendent the campaign will move on to Odin and Ra, two previously announced target areas (See news release dated May 22, 2024).
Max Porterfield, President and CEO, stated, "We are excited to follow-up on our recent Descendent discovery and the target areas that our team has outlined." Mr. Porterfield continued, "Each target area being drill tested has the potential to significantly expand upon the high-grade copper resource that's defined at the Pine Bay Project."
Drilling has commenced on a 500m drill hole to test target area Posiedon, which is located 1,300 meters along strike to the north of the Rainbow deposit (see Figure 2). This area was covered by the recent MT survey on the Descendent line. The MT survey data outlined a very large resistivity low anomaly interpreted to be mapping the alteration package between the known Rainbow and Pine Bay horizons (Figure 3: MT Survey Descendent Line Cross Section).
Poseidon has the potential to host a discovery that comes close to the surface like the Rainbow deposit along strike to the south. A surface pulse electromagnetic survey ("SPEM") and airborne electromagnetic survey ("VTEM") previously completed each have confirmed a highly conductive body near the surface that sits along the interpreted Rainbow horizon and on the edge of the MT resistivity anomaly. Callinex has only tested this area with a single drill hole and there have only been a few very shallow historic holes in the immediate vicinity.
Geology in the very limited drilling nearby has intersected exceptionally favorable package of very strong black chlorite-rich footwall alteration with several key VMS signature elements, such as very strong Europium values, sitting within the same 'Rainbow' volcanic package that is dominated by felsic flows / hyaloclastites that are immediately overlain by cherty felsic tuffs.
BHPEM results from the single near surface hole drilled by the Company in 2016, PBM-013, revealed a strong in-hole/off-hole anomaly associated with 8 meters of mineralization intersected in the hole. Additionally, PBM-024-DPN intersected the Rainbow horizon at depth and is accompanied by a very strong BPEM off-hole anomaly that corresponds with the horizon as well as the BPEM anomaly identified closer to surface in PBM-013.
Once target area Poseidon is tested the drill will be mobilized to follow-up on the Descendent discovery with a 350m step-out vertically below and to the north of discovery hole DSC-111. The most significant section returned from Descendent discovery drill hole DSC-111 returned 7.14m grading
The grades intersected to date at the Descendent are comparable to grades intersected at the top of the nearby Rainbow deposit. At Rainbow, the average drill hole composite grades are
The base and precious metal bearing massive sulphide intersections into Descendent are associated with a major alteration zone that's previously been identified at surface and spans 1,100m by 700m as supported by lithogeochemical data. Since the huge alteration zone seen at surface is believed to be structurally overturned, the exploration thesis is that the massive sulphides associated with this fluid mineralizing event would be preserved at depth. Typically, there is a correlation between the size of an alteration zone and the size of the VMS deposit it is associated with. The alteration package around Descendent is approximately ten times larger than the alteration package enveloping the nearby Rainbow deposit.
The recent 2024 MT geophysical survey over Descendent outlined a resistivity low anomaly that strongly correlates with the halo of stringer mineralization (alteration package) enveloping the Descendent (See Figure 3). It is also important to note that the resistivity low anomaly associated with the Descendent VMS system remains open at depth, as supported by other geological, geophysical and geochemical data. Additionally, MT survey results at depth further support the Company's exploration thesis that the Descendent could potentially sit at the nose of the fold where the horizon that hosts the Descendent deposit meets the horizon that hosts the Pine Bay deposit, located further to the south. Deposits that sit at the nose of a fold can host significantly wider lenses of mineralization and with it the potential to add significant tonnage with minimal drillholes.
The Company also announces that it has granted 800,000 stock options to directors, officers, employees and consultants. The options are exercisable at
J.J. O'Donnell, P.Geo, a qualified person under National Instrument 43-101, has reviewed and approved the technical information in this news release.
About Callinex Mines Inc.
Callinex Mines Inc. (TSXV: CNX) (OTCQX: CLLXF) is advancing its portfolio of base and precious metals rich deposits located in established Canadian mining jurisdictions. The focus of the portfolio is highlighted by the rapidly expanding Rainbow deposit at its rich VMS Pine Bay Project located near existing infrastructure in the Flin Flon Mining District. Callinex prepared an indicated mineral resource on the Rainbow deposit of 3.44 Mt grading
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.
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete the proposed drill program and the timing and amount of expenditures. Except as required under applicable securities laws, Callinex does not assume the obligation to update any forward-looking statement.
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SOURCE Callinex Mines Inc.
FAQ
What is Callinex Mines' 2024 exploration plan for the Pine Bay Project?
What were the significant results from Callinex's Descendent discovery at Pine Bay?
How large is the alteration zone associated with the Descendent target at Pine Bay?
What did the recent MT geophysical survey reveal about the Poseidon target at Pine Bay?
