Exploration Drill Program Hole Returns Significant Intersection At Beskauga Deposit

VANCOUVER - Arras Minerals Corp. reported on holes Bg21009, Bg21010 and Bg22012 from the ongoing exploration drill program at the Beskauga copper-gold deposit and surrounding area. Hole Bg22012 returned a significant intersection of 365.0 meters (m) of mineralization grading 0.88 % copper-equivalent (CuEq) or 1.06 gram per tonne (g/t) gold-equivalent (AuEq) (0.54 g/t gold (Au), 0.40 % copper (Cu), 2.0 g/t silver (Ag) and 35.3 ppm molybdenum (Mo)) starting at 41.0 m from surface to 406.0 m. This included 29.0 m grading 1.01 % CuEq or 1.22 g/t AuEq (0.60 g/t Au, 0.48 % Cu, 2.1 g/t Ag and 31.8 ppm Mo) from 87.0 m depth down-hole, and included 64.0 m grading 2.62 % CuEq or 3.17 g/t AuEq (1.82 g/t Au, 1.04 % Cu, 4.6 g/t Ag and 66.5 ppm Mo) from 120.0 m depth down-hole, along with 30.0 m grading 4.00 % CuEq or 4.84 g/t AuEq (2.95 g/t Au, 1.47 % Cu, 6.2 g/t Ag and 63.8 ppm Mo) from 120.0 m depth down-hole. Holes Bg21009 and Bg21010 tested areas outside of the Beskauga Main deposit. Strong advanced argillic to argillic alteration and local zones of copper-gold mineralization in hole Bg21010 demonstrates the potential for concealed porphyry-style mineralization hosted within the thick volcano-sedimentary package that is separated from Beskauga Main by a prominent regional-scale NW-SE trending fault zone.

Tim Barry, CEO, said, “Drilling at Beskauga continues to deliver near-surface, broad intervals of significant copper-gold mineralization. Hole 22012 also included a high-grade intersection of 64m @ 2.62% Cu Eq at 120m from surface which also included a spectacular zone of 30 meters at 4.00% CuEq. These grades are indicative of high-grade zones found throughout the deposit which we continue to review as we explore for the core of this very extensive system.” Mr. Barry went on to add, “We continue with one core rig currently drilling on the Beskauga license rotating between areas adjacent to the known deposit and also new targets which have been proved up on the 63 sq km license from geophysics and field programs completed in 2022.”

Bg21009 was collared outside of the area covered by the current NI-43-101 Mineral Resource Estimate for Beskauga. It was designed to test a broad zone of demagnetization, identified in the airborne magnetics, at the southwestern margin of the monzodiorite intrusion that has been drilled in Arras drill holes Bg21005 and Bg21008. The monzodiorite forms an approximately 400 x 500-meter circular “bulls-eye” magnetic high surrounded by a >500-meter-wide zone of demagnetization. The intrusion is interpreted to dip steeply to the south.

The zone of demagnetization is also coincident with anomalous copper-gold-bismuth values in “KGK” (top of bedrock) drill holes. The upper portion of the hole intersected sodic (albite-hematite) altered diorite that has been overprinted by moderate to strong argillic (illite-smectite) alteration. The diorite lacks any significant copper-gold mineralization. The lower portion of the hole intersected the potassic altered monzodiorite intrusion, with a 62.0 m zone of weak mineralization grading 0.29 % CuEq intersected from a depth of 452 m down-hole. Although generally low-grade, occasional high tenor veins do occur, for example, 1 m grading 2.79 % CuEq (2.33 g/t Au, 47.2 g/t Ag, 0.35 % Cu and 26.8 ppm Mo) occur within the monzodiorite. Compared to the diorite that hosts the bulk of the known mineralization at Beskauga, the monzonite intrusion hosts significantly higher Mo grades, with up to 2,850 ppm in this hole. Alteration in the monzodiorite comprises k-feldspar, secondary (shreddy) biotite, magnetite, Mg-rich chlorite, and epidote, with variable argillic overprint comprising illite and smectite localized near the contact with the diorite, as well as around faults and fractures (confirmed by Arras using TerraSpec SWIR/NIR spectroscopy).

Bg21010 was collared in an area immediately north of the current NI-43-101 Mineral Resource Estimate for Beskauga. The hole was designed to test a thick volcano-sedimentary package, separated from Beskauga Main by a prominent NW-SE orientated fault. The volcano-sediments contain the largest lobe of the Beskauga Main induced polarization (IP) anomaly, which remained un-drill-tested despite its proximity to the known mineralization at Beskauga. The hole was designed to drill through this chargeability high. The volcano-sedimentary package intersected in this hole comprises mainly of andesite breccias and tuffs of andesitic composition that are iron oxide (hematite) flooded and variably advanced argillic to argillic (kaolinite-dickite-illite-smectite) altered (confirmed by Arras using TerraSpec SWIR/NIR spectroscopy). At depth the alteration transitions into a propylitic assemblage (chlorite-magnetite-epidote) with a weak advanced argillic to argillic overprint persisting throughout. The volcano-sedimentary package has been intruded by several 10 to 25 m wide, copper-gold mineralized dykes of dioritic composition. However, based on their trace element composition the diorite dykes are geochemically distinct from the diorite that hosts the bulk of the mineralization at Beskauga Main. Mineralization is localized within and proximal to these dioritic dykes and comprises of quartz-chalcopyrite ± bornite, molybdenite veins in the upper argillic altered part of the hole, transitioning to quartz-pyrite veins deeper in the hole. Despite only modest zones of mineralization in this hole, the presence of a separate generation of mineralized diorites demonstrates the potential for concealed porphyry-style mineralization hosted within the thick volcano-sedimentary package. This is further supported by “KGK” (top-of-bedrock) drilling which returned > 1 g/t Au, > 1 % copper and highly anomalous bismuth values in this area. A prominent magnetic high immediately to the NE of hole Bg21010 remains un-drill tested.

Bg22012 was collared 90 meters southwest from Bg21001 (973.2 m of mineralization grading 0.82 % CuEq; and 90 metres southeast from hole Bg21004 (1,120.4 m of mineralization grading 0.60 % CuEq) and drilled at an angle of 85 degrees towards the northeast to a final depth of 1,091.0 m. The hole was designed to test a prominent NW-SE orientated fault separating the diorites that host Beskauga Main (on the southern side of the fault) from the thick volcano-sedimentary package (on the northern side of the fault). Previous drilling by Arras in Bg21002 has demonstrated that copper-gold mineralization occurs at depth on the northern side of this fault zone.

The hole started in moderately, to very strong, argillic altered diorite. The argillic alteration consists of intense kaolinite-dickite-illite-smectite with local silicification, before transitioning to illite-smectite with depth (confirmed by Arras using TerraSpec SWIR/NIR spectroscopy). Mineralization occurs as a mixture of quartz vein, fracture-controlled zones and hydrothermal breccias of tennantite, chalcopyrite, pyrite, magnetite (or hematite after magnetite) with minor molybdenite locally. From 120 meters depth, the hole entered an exceptionally high-grade zone of 64.0 m grading 2.62 % CuEq, including 30.0 m grading 4.00 % CuEq. From 408 meters the hole entered a series of post-mineral basaltic dykes that have filled the NW-SE orientated fault zone, before re-entering into diorite characterized by variably argillic (illite-smectite) overprinted sodic (albite-hematite) alteration. From a depth of 576.3 m the hole entered the volcano-sediments that comprise primarily of fine-grained, propylitic (chlorite-magnetite-hematite-epidote) altered andesitic tuffs. Generally, the volcano-sediments are poorly mineralized, but several narrow zones of mineralization were intersected. Here mineralization consists of quartz-tourmaline ± pyrite-chalcopyrite veins with k-feldspar alteration halos and quartz-pyrite-chalcopyrite-molybdenite veins.