Deep-South Commences Drilling on the Haib Copper Project in Southern Namibia
Vancouver, February 10, 2021 - Deep-South Resources Inc. ("Deep-South" or "the Company") (TSXV:DSM) announces that it has commenced drilling at its Haib Copper project located in southern Namibia. Ferrodrill has delivered the first drill, while a second drill is currently being mobilized and will be on site in the coming days. The specific focus of this drilling campaign is to further delineate and grow the higher-grade zone of the deposit uncovered by Deep-South in 2019 as the Company advances the project to feasibility stage. Pierre Leveille, President & CEO of Deep-South stated that: "We are extremely encouraged by the current situation. We are well funded and are confident to deliver drill results that will enhance an already robust project and unlock further value for our shareholders. With the backdrop of a strong copper price, we are highly optimistic for the coming months. We are well on our way towards the development of the Haib Copper project."
The Company plans to drill up to 10,000 meters with a primary focus on the higher-grade zone of the deposit. In a first phase, 5,000 meters will be drilled to infill gaps in previous drilling with a view to expand the higher-grade zone, better define the average grade of this zone, and eventually estimate a measured resource for this area with a goal to improve the overall grade of the project. The prospectivity of the higher-grade zone is demonstrated by numerous past drill intersections, including:
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--HB026: 12m @ 1.81% Cu and 30 ppm Mo from 38m
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--HB041: 56m @ 0.76% Cu and 74 ppm Mo from 18m
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--GFMHB09: 40m @ 0.64% Cu and 75 ppm Mo from 150m
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--GFMHB10: 140m @ 0.62% Cu and 57 ppm Mo from 20m
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--GFMHB08: 230m @ 0.59% Cu and 64 ppm Mo from 86m
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--GFMHB07: 112m @ 0.52% Cu and 37 ppm Mo from 14m
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--HB092: 44m @ 0.53% Cu and 30 ppm Mo from 60m
The Company also plans to drill some holes to depths greater than 350 meters to test the vertical extent of the deposit. The results of the first phase of the drill program will serve as a basis for the planning of the second 5,000 meters, which could include testing other anomalies located on Deep-South's broader Haib Copper project property.
The Haib Copper project hosts a porphyry copper deposit containing a NI 43-101 compliant indicated resource estimate of 457 MT @ 0.31% Cu for 3.12 billion lbs copper and an inferred resource estimate of 342 MT @ 0.29% Cu for 2.19 billion lbs copper. Deep-South disclosed a robust Preliminary Economic Assessment (PEA) on May 20, 2020. The press release disclosing the NI 43-101 resource estimation and the PEA reports can be seen here: https://www.deepsouthresources.com/deep-souths-pea-shows-robust-economics/
Please note that: Mineral Resources that are not mineral reserves do not have demonstrated economic viability. Mineral resource estimates do not account for mineability, selectivity, mining loss and dilution. These mineral resource estimates are based on Indicated Mineral Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. However, there is no certainty that these indicated mineral resources will be converted to measured categories through further drilling, or into mineral reserves, once economic considerations are applied. There is no certainty that the preliminary economic assessment will be realized.
Mr. Dean Richards Pr.Sci.Nat. , MGSSA - BSc. (Hons.) Geology, of Obsidian Consulting Services is the contributing author of the 43-101 resource estimation report and is responsible for the technical part of this press release and is the designated Qualified Person under the terms of National Instrument 43-101.
About Ferrodrill
Ferrodrill is a Namibian drilling contractor providing full drilling services since 2007 and has provided services to a large number companies from exploration to major mining companies.
About Deep-South Resources Inc.
Deep-South Resources is a mineral exploration and development company. Deep-South holds 100% of the Haib Copper deposit in the south of Namibia. Haib is arguably the oldest porphyry deposit in the world and one of the largest in Africa. The recent PEA over the deposit shows that at a price of copper of $3.00 / lb, it generates an after-tax NPV of $950 million and an after-tax IRR of 30%.
Deep-South is actively involved in the acquisition, exploration and development of major mineral properties in Africa. Deep-South growth strategy is to focus on the exploration and development of quality assets, in significant mineralized trends, close to infrastructure, in stable countries. Furthermore, in using and assessing environmental friendly technologies in the development of its copper project, Deep-South embraces the green revolution.
This press release contains certain "forward-looking statements," as identified in Deep- South's periodic filings with Canadian Securities Regulators that involve a number of risks and uncertainties.
There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
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.
More information is available by contacting Pierre Léveillé, President & CEO at
+1-819-340-0140 or at: info@deepsouthresources.com or
Paradox Public Relations at +1-514-341-0408.
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