Minsud Finalizes Chinchillones Infill Drilling and Expands Exploration with New Scouting Targets at Chita Valley

The infill drilling program is being carried out by Minera Sud Argentina S.A. (“MSA”), a joint venture between a wholly owned subsidiary of South32 Limited (“South32”) (50.1%) and a wholly owned subsidiary of Minsud Resources Corp. (“Minsud”) (49.9%). The program covers approximately 2 square kilometres over the Chinchillones prospect, for the purpose of generating a potential mineral resource.

Since February 2024, continued drilling in Phase IV has been primarily concentrated in the SW-NE corridor at the eastern end of the Chinchillones prospect. To date, MSA has completed 17,174.10 m in 28 drillholes, including up to hole CHDH24-126; with these drillholes, Phase IV has been completed. Assays have been received for drillholes CHDH24-119 to CHDH24-126, totaling 4,324 m, and are reported below. Drill holes CHDH24-119 to CHDH24-121 are located on the western side of the Chinchillones breccia, while drill holes CHDH24-122 to CHDH24-126 are located in the central and southeastern areas of the Chinchillones prospect.

Additionally, MSA has commenced a scouting drilling program across three (3) targets at the Chita Valley Project, known as Link Zone, Dacites North, and Placetas North, with a total of 11,850 m distributed over 19 drillholes. The program is designed to assess the potential of these three zones, which exhibit geophysical and geochemical anomalies, along with geological features similar to those found at Chinchillones and extend to the eastern side of the SW-NE corridor at Chinchillones.

Key highlights and associated figures are provided below.

CHDH24-120 was drilled with an orientation of 135°/-75° to a depth of 551.0 m: 

Significant Drill Intercepts:

• 118.00 m @ 0.55% Cu, 0.20 g/t Au, 3.91 g/t Ag, and 44 ppm Mo, from 262 m depth. 
• Including 21.85 m @ 1.72% Cu, 0.74 g/t Au, 11.70 g/t Ag, and 53 ppm Mo, from 262 m depth. 
• 20.00 m @ 1.03% Cu, 0.17 g/t Au, 3.65 g/t Ag, and 77 ppm Mo, from 470 m depth.

Ongoing 2024 Roadmap Items:

• Flotation metallurgical testing at ALS Kamloops is ongoing. These metallurgical tests are a prerequisite for a resource estimate for the Chinchillones polymetallic deposit discovery.  
• Continuation of the remaining exploration program, totaling approximately 11,850 m, aimed at exploring new targets identified during geological mapping studies completed in 2023, with completion expected by Q4 2024. 
•  The company expects to complete to identify a potential mineral resource in accordance with NI 43-101 reporting standards for the Chinchillones prospect, part of the Chita Valley Project, by the end of Q1 2025.