Exploration Update On Minas De Pinto Sector, Chita Valley Cu-Mo-Ag-Au Project

TORONTO, ON - Minsud Resources Corp. reported geological mapping and surface channel sampling results from the Minas de Pinto sector of the Chita Valley diatreme volcanic vent/porphyry complex.

The following is an update on recent exploration work conducted in the Minas de Pinto sector of the Chita Valley Project located in San Juan Province, Argentina. The Project is a large exploration stage Tertiary diatreme volcanic vent/porphyry complex with classic alteration features, widespread porphyry style Cu-Mo-Ag-Au mineralization, and associated gold and silver-bearing veins.

The Minas de Pinto sector is essentially an easterly trending swarm of discontinuous quartz veins containing variable concentrations of polymetallic sulphides and widespread localized Au-Ag mineralization that has been traced for 4.0 kilometers along strike. This is part of the 12 km strike length Chita Valley Complex trend. The vein swarm cuts various lithologies including Devonian-Carboniferous sediments (Agua Negra Formation), Carboniferous-Permian granodiorite (Colanguil Batholith), and Mid to Upper Tertiary volcaniclastics and andesitic porphyry (Chita Valley Complex). Several corridors comprising multiple veins and stockworks are present. In the western part of the area, from north to south, these are termed; the Barba, Amparo, Fatima, Fatima Sur, Branca, Maria, Carmen and Carmen Sur vein assemblages. In the east and south parts of the area are additional corridors including the Candela, Johanna, Esperanza, Josephina, Argentina, Pulenta and Glenda vein sets.

The Minas de Pinto corridor contains various artisanal diggings of unknown age and an early 20th Century exploration adit.

The Agua Negra Formation exposures in the Minas de Pinto sector are predominantly shallow marine black shales and siltstones with subordinate sandstone/quartzite layers. The Agua Negra Formation is intruded by the Carboniferous-Permian granodiorite (Colanguil Batholith) in parts of the study area or juxtaposed by late faults in others. The Tertiary Chita Valley Complex in the area comprises three main lithological units including mafic volcaniclastic rocks, andesitic porphyry and porphyritic andesite dykes that cut both units.

Mid to Upper Tertiary mafic to intermediate volcaniclastics and andesitic porphyry of the Chita Valley Complex are exposed in the western half of the map area. Three lithological units have been mapped: andesite porphyry, mafic volcaniclastics and late andesitic porphyry dykes that cut both previous units.

The distribution of alteration features are: Ñ Agua Negra Formation units are characterized by weak silicification with areas of moderate to strong argillic alteration in the vicinity of epithermal vein systems and possible intrusions at depth. Ñ Colanguil Batholith granodiorite is exposed in two areas. The southern exposure is characterized by moderate argillic alteration while the northern area is weakly to strongly silicified with an area of moderate argillic alteration near the northern property boundary. Ñ The Chita Valley Complex andesite porphyry units are moderate to strongly silicified with localized argillic alteration bordering vein systems. The mafic volcaniclastics in the north-western corner of the map area are typified by moderate propylitic alteration.

Structurally the Chita Valley area is part of the Andean Frontal Cordillera and is typified by upright concentric folding and thrust faulting. The Chita Valley Complex is exposed along an ENE trending corridor of epizonal intrusions, hydrothermal alteration, breccias and mineralized vein systems. The system is interrupted by a set of NNW oriented set of sinestral faults or shears. Finally a late sinestral fault system runs NW to E-W along the Chita Valley.

The 2012 Minsud magnetic survey has covered about half of the Minas de Pinto area (Map 3). Even at relatively wide 200 metre line spacing, the magnetic data clearly illustrates the main structural directions as well as several important lithological/alteration features. The magnetic high feature in western part of the map shows the eastern part of the previously described Chita South and North porphyry sectors. Proceeding eastward a group of additional magnetic highs: 1. This feature is coincident with outcropping Tertiary post-mineral dacitic porphyry near the Fatima Vein. 2. This feature coincides with outcrops of Tertiary andesitic volcaniclastic rocks intruded by post- mineral andesitic dykes, so it could indicate a porphyry body at depth. 3. Anomaly 3 likely indicates a hitherto unknown Tertiary or possibly Permo-Carboniferous intrusive body at depth beneath Agua Negra Formation cover rocks. This anomaly, like others in the Chita valley, occupies the core of a prominent cylindrical or concentric-fold feature herein termed the Pinto Anticline Hill anticline. Further evidence for a buried intrusion here is localized porphyry dykes and extensive areas of spotted and banded hornfels in Agua Negra sediments. 4. Sector 4 shows a two fairly large and several localized magnetic high features that have not yet been investigated.

The main inference to be drawn from the magnetic data is that the Chita Valley Complex continues to be traceable eastward to the limits of current data.

The 2013 geochemical sampling program consisted of 43 sawn channel sample sections for a cumulative total of 526 samples.