January 5, 2021 – Vancouver, BC – Outcrop Gold Corp. (TSXV:OCG, OTCPK:MRDD.F, DE:MRG1) (“Outcrop”) is pleased to announce assay results from a newly discovered shoot called San Juan on its 100% owned Santa Ana project in north Tolima, Colombia. Drilling continues in the San Juan and El Dorado targets 1.5 kilometres apart in different sub-parallel vein systems. San Juan is 150 metres north of the Roberto Tovar shoot along the same vein system. Open high-grade mineralization extending south from Roberto Tovar will be tested in the San Antonio target.
• A fifth discovery is made in San Juan with 1.79 metres of 1,329 grams silver equivalent per tonne and 1 metre of 988 grams silver equivalent per tonne intercepted.
• Roberto Tovar and San Juan provide a favorable occurrence density of two large shoots within less than 600 metres of drill-tested vein.
• San Juan is the first blind shoot discovered.
Table 1: Discovery holes in San Juan shoot north of Roberto Tovar.
For equivalent calculations $1,900 per ounce gold, $26 per ounce silver, $0.87 per pound lead and $1.08 per pound zinc were used. Intervals shown are drill intercept, true thickness are not yet calculated. Drill holes 49, 51, 53, and 54 did not have significant intercepts defined as 200 g eq Ag/t.
“San Juan is the fifth high-grade shoot discovered at Santa Ana in twelve months,” commented Joe Hebert, Chief Executive Officer. “Exploration at Santa Ana has been very efficient producing a high-grade shoot on average for every 2,100 metres of drilling. More importantly, San Juan represents a unique exploration opportunity being that it is a blind discovery made by drilling below shallow anomalous shears near an adjacent known shoot. Outcrop is working to develop geochemical and structural vectors to blind mineralization.”
Sixty-seven holes have been drilled on Santa Ana for a total of 11,486 metres. El Dorado and San Juan have drill holes in progress and assays are pending for six holes. The San Antonio target will be tested after El Dorado, San Juan and Roberto Tovar are defined along their surface trace. An additional 4,600 metres are planned in this first phase of exploration drilling, which is anticipated for completion in early 2021.
Drilling on San Juan to date reflects only its southern margin and not its central core. Like Roberto Tovar, intercept thicknesses may increase within the shoot core and grouped parallel veins may occur. At the depths drilled, San Juan is inferred to be a separate shoot 150 metres north of Roberto Tovar but with very similar geometry. Both Roberto Tovar and San Juan are high angle. The structure containing the San Juan shoot continues to the surface above the elevation of high-grade mineralization as anomalous shears containing small amounts of weakly mineralized epithermal quartz. An observation within the controlling structure but above high-grade suggests that elevated arsenic, cadmium, antimony, lead, zinc and minor tungsten, tin, and lithium depletion might be pathfinder elements in fluid outflow zones above shoots. This geochemical signature may lead to a model for drilling blind mineralization. Importantly, Roberto Tovar and San Juan provide a density of two large shoots within less than 600 metres of vein.
For an epithermal vein-system, the shoots at Santa Ana are exceptionally large, typically over 200 metres in length as a trace at surface and over 250 to 300 metres down-dip within the vein. All shoots are open at depth and most shoots are also open in at least one direction along their surface trace.
Section 1: Roberto Tovar and San Juan Long Section. Values in gold equivalent times drill intercept metre. Roberto Tovar to south and 150 metres to north new San Juan discovery. Assays for 66 and 68 are pending. Drilling will delineate the Roberto Tovar and San Juan shoots and then test the San Antonio target south along the same vein from open high-grade mineralization in Roberto Tovar.
Section 2: Discovery hole 60 intersecting San Juan shoot 150 metres below surface. The Santa Ana vein is the primary vein and Delhuyar secondary vein within “package”. The secondary veins can be strongly mineralized locally.
Map 1: Five high-grade shoots discovered to date include,, La Ivana, Megapozo, Roberto Tovar, El Dorado and San Juan with less than 30% of projected vein systems tested. The southern limit of the San Juan shoot is delimited by drill-holes 57 and 60, 150 metres north of the northern limit of Roberto Tovar. Assays are pending for holes 66 and 68 testing San Juan to the north. The San Antonio target will test for open extensions of Roberto Tovar to the south – and for another possible close-spaced shoot. All targets have produced high-grade shoots.
Core samples were sent to ALS Chemex in Medellin for preparation and then to ALS Chemex in Toronto for analysis, with approximately three control samples inserted (one blank, one standard and one field duplicate for each twenty samples). The samples were analyzed for gold using standard fire-assay on a 50-gram sample with a gravimetric finish. Multi-element geochemistry was determined by ICP-MS using either aqua regia (ME-MS41) or four acid (ME-MS61) digestion. Comparison to control samples and their standard deviations indicates acceptable accuracy of the assays and no detectible contamination.
About Santa Ana Project
The Santa Ana project comprises over 25,000 ha located in northern Tolima Department, Colombia, 190 km from Bogota. The project consists of five regional scale parallel vein systems across a trend 12 kilometres wide and 30 kilometres long. The Santa Ana project covers a significant part of the Mariquita District where mining records date to at least 1585. The Mariquita District is the highest-grade primary silver district in Colombia, with historic silver grades reported to be among the highest in Latin America from dozens of mines.
Historic mining depths support a geologic and exploration model for composite mesothermal and epithermal vein systems having mineralization that likely extends to great depth. At Santa Ana it is unlikely that there is sharp elevation restriction common to high-grade zones in many epithermal systems with no mesozonal component.
At the core Santa Ana project, located at the northern extent of just one of the regional vein systems, at least twelve principle vein zones are recognized that cumulatively provide up to 14 km of cumulative strike length – La Ivana (La Porfia vein system), Roberto Tovar (Royal Mines, including the Santa Ana, Delhuyar and Roberto Tovar vein systems), San Juan (Santa Ana and Delhuyar vein systems), El Dorado (El Dorado and El Paraiso vein systems), Morales, Pollera, Guanabanera, San Antonio, Palomos, Murillo, Culebra and Megapozo (El Paraiso vein system). Each zone commonly contains multiple parallel veins. The veins can show both high-grade silver and high-grade gold mineralization and may be both low and high angle depending on local controls. Drilling indicates that mineralization extends from surface or near surface to depths of at least 300 to 450 metres.
About Outcrop Gold
Outcrop is a hybrid prospect generator active in Colombia acquiring gold and silver exploration projects with world-class discovery potential. Outcrop performs its own grass roots exploration and then employs a joint venture business model on its projects to maximize investor exposure to discovery and minimize financial risk. Outcrop has seven primary projects in Colombia with three at an advanced stage of exploration. Outcrop will conduct focused drilling on flagship properties such as Santa Ana to create its own catalysts for value creation.
The technical information in this news release has been approved by Joseph P Hebert, a qualified person as defined in NI43-101 and President and Chief Executive Officer of Outcrop.
ON BEHALF OF THE BOARD OF DIRECTORS
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Certain information contained herein constitutes “forward-looking information” under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “potential”, “we believe”, or variations of such words and phrases or statements that certain actions, events or results “will” occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Outcrop to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including: the receipt of all necessary regulatory approvals, capital expenditures and other costs, financing and additional capital requirements, completion of due diligence, general economic, market and business conditions, new legislation, uncertainties resulting from potential delays or changes in plans, political uncertainties, and the state of the securities markets generally. Although management of Outcrop have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Outcrop will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.