Zacapa Resources Announces Completion Of Inagural Drill Campaign At Red Top Porphyry Copper Exploration Project In Arizona

VANCOUVER, June 3, 2022 - Zacapa Resources (TSXV: ZACA) (OTCQB: ZACAF) (DE: BH0) is pleased to announce the completion of its inaugural drill campaign at its 100% owned Red Top Porphyry copper exploration project in the Superior Mining district, 8 kilometers northwest of Rio Tinto/BHP's Resolution development project.

• Original 2-3 hole, 3,000 meter drill program expanded to 6 drillholes and over 5,000 meters following encouraging drill results, executed safely with zero LTI's, within budget and on time
• Assays from holes RT-21-001 and RT-22-002 support visual observations of elevated copper concentrations in a distal porphyry alteration assemblage
• In accordance with the exploration plan, Zacapa is transitioning to drilling the South Bullfrog project while awaiting final results and interpretation from the Red Top drill campaignZACAF

Initial drilling at the Red Top project has revealed an exciting new discovery of a quartz monzonite porphyry intrusive cut by copper-bearing veins occurring in association with low-temperate quartz-sericite-pyrite (QSP) alteration (see January 26, 2022 news release). This style of QSP alteration is consistent with alteration peripheral to the center of a porphyry copper intrusive system and is typically low in overall copper grade¹. Thus the observations from RT-21-001 displaying copper-bearing veins in association with a distal alteration assemblage are encouraging, especially considering that the Resolution copper deposit 8 kilometers southeast displays copper-rich zones within its QSP alteration halo^2,5. Based on this early success the planned 2-3 hole, 3,000 meter drill program was rapidly expanded to 6 holes and 5,000 meters. The final two holes RT-22-005 (920 metres) and RT-22-006 (817 metres) were completed in April and May respectively (Table 1, Figure 1). This expansion of the drill program was done in conjunction with additional staking, geologic mapping, hyperspectral remote sensing, and airborne magnetic and MT geophysical surveys to aid in vectoring towards the core of the intrusive system (see February 23, 2022, March 10, 2022 news releases). Porphyry style veins, predominantly with similar QSP alteration assemblages were encountered over significant thicknesses in each drill hole with varying abundance of veins containing copper, lead, zinc, and molybdenum sulfide minerals. Assay results from RT-21-001 and RT-22-002 have been received and confirm the presence of elevated Cu, Pb, Zn, Mo, Au, and Ag within discrete vein sets, although none of the intercepts are considered to be ore grade x width intercepts that would be considered economically significant. The presence of copper-sulfides within the distal QSP alteration assemblage is an encouraging similarity to the mineral system at Resolution. Assays from the remaining four drill holes are pending and the full incorporation of all the new data sets is in progress.

Adam Melnik commented, "the technical team has done an excellent job of rapidly expanding the scope at Red Top to fully evaluate the potential of this project and maximize our time with the available drill rig. We tested a 1.5 × 1.1 × 0.9 km area and encountered veining and alteration throughout and are looking forward to integrating the abundance of new data we have available and planning the next phase of work at Red Top. The team has already begun transitioning to focus on our upcoming drill program at our South Bullfrog project while we wait for final results and interpretation of the Red Top drill campaign."

Drill Hole RT-22-005

Drill hole RT-22-005 was collared approximately 140 metres south of RT-22-003 and drilled to a total depth of 920.4 meters (Table 1). The hole was drilled to test the hydrothermal system at depth and further west of prior drilling to assist in vectoring toward the associated porphyry center. RT-22-005 collared into Pinal Schist which continued to approximately 80 metres downhole and was cut by a number of granitic porphyry dikes. Below this the drillhole cuts variably phenocryst-rich quartz monzonite to granite porphyry intrusions with minor xenoliths of various lithologies, most prevalent near the end of hole. The schist contains weak to moderate chlorite and magnetite alteration of mafic minerals and the granite porphyry is characterized by a weak sericite replacement of felsic phenocrysts and weak chlorite alteration of mafic sites. Traces of epidote alteration are also present within the granite porphyry particularly around miarolitic cavities and as irregular patches within diabase xenoliths. Sericite halos are common around chlorite-sericite and quartz-chlorite-sericite veins ranging from 0.1-5 cm in width. The veins are most prevalent, with average densities of 5%, in the upper half of the drill hole, after which the vein density decreases significantly to less than 1%. Locally vein densities are well over 10% with well developed quartz-sericite-pyrite envelopes (Figure 2). Sulphide mineralization in RT-22-005 includes pyrite ± chalcopyrite ± bornite hosted in quartz-chlorite-sericite veins and pyrite ± chalcopyrite ± bornite ± sphalerite ± galena hosted in open space quartz-barite-fluorite veins and disseminated magnetite ± pyrite. Magnetite is present in all lithologies and tends to occur as small veinlets (Figure 3a) and as disseminations.

Drill Hole RT-22-006

Drill hole RT-22-006 was collared approximately 1.2 km east of RT-22-005 and drilled to a total depth of 816.8 meters (Table 1). The hole was designed to test a large conductivity anomaly identified in the Mobile MT geophysical survey located NNE of the collar. RT-22-006 collared into Pinal Schist which continued throughout the hole and was locally cut by diabase, diorite (Figure 3), and quartz monzonite dykes. The schist contains weak to moderate chlorite and sericite alteration of mafic and felsic minerals, respectively, often associated with fracture zones. Veins are dominantly trace to weak chlorite-sericite-pyrite in the upper 600 meters, increasing to 1-5% from 585 to 770 metres with lesser quartz-sericite-pyrite veins. From approximately 770 metres to end-of-hole quartz-sericite-pyrite veins dominate with abundances from 1 to 4%. Open space quartz-barite-fluorite ± base metal veins occur from 140 to over 800 metres. Vein densities in this hole were dominantly 2% and locally up to 10%. Sulphide mineralization in RT-22-006 includes pyrite ± chalcopyrite hosted in chlorite-sericite veins, pyrite ± chalcopyrite hosted in quartz-sericite veins, pyrite ± chalcopyrite ± sphalerite ± galena hosted in open space quartz-barite-fluorite veins and disseminated magnetite ± pyrite.

The Red Top porphyry copper project is located in the Superior Mining District, 8 kilometres northwest of the Rio Tinto and BHP's Resolution mine development project and approximately 11 kilometres from the Carlota and Pinto Valley mining operations. Red Top is comprised of 431 unpatented mining claims covering 8,377 acres. The Red Top project area exhibits widespread porphyry style alteration with locally intense alteration spanning approximately 3.5 kilometres by 1.5 kilometres. These intensely altered areas of quartz-sericite, as well as zones of pyrophyllite and illite are analogous to assemblages associated with mineralization at the upper levels of the Resolution deposit^2,3,4. This alteration and mineralization at Red Top are interpreted as the expression of the upper levels of a now moderately tilted porphyry system that has only seen limited historical exploration and no previous drilling within the target area. Zacapa is one of the only exploration companies drilling for porphyry copper in southeast Arizona, which is dominated by Freeport, BHP and Rio Tinto.

Zacapa is a copper and gold focused mineral exploration company engaged in responsible exploration for the new energy economy. Its projects are concentrated in world class jurisdictions in the southwest U.S., including Arizona, Nevada, and Idaho. The portfolio includes porphyry copper projects at Red Top, Pearl, and Dewdrop Moon, and epithermal gold projects at South Bullfrog and Miller Mountain. These assets are being advanced by a highly disciplined and seasoned professional team with successful track records of discovery, resource development and mine permitting.

For more information, please visit www.zacaparesources.com. All documents are available on Zacapa's profile page on SEDAR at www.sedar.com.

On behalf of the Board of Directors,
"Adam Melnik"

All scientific and technical information contained in this press release was prepared under the supervision of Daniel MacNeil, MSc., P. Geo., and a "Qualified Person" as defined by National Instrument 43-101.

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.

Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although Zacapa believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Zacapa cautions that all forward-looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Zacapa's control. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Readers are advised to rely on their own evaluation of such uncertainties. Except as required under applicable securities legislation, Zacapa undertakes no obligation to publicly update or revise forward-looking information.

SOURCE Zacapa Resources