Initial Exploration Results At The Placeton Project

VANCOUVER - Atacama Copper Corporation reported the results and near completion of the initial phase of exploration at its 100% owned Placeton and Caballo Muerto projects. The highlights of the program, results and next steps include: 1) Fieldwork focused on the existing Placeton North, Placeton Central, Placeton South and Caballo Muerto targets covering approximately 2,000 Ha of the 4,428 Ha Placeton tenement package. 2) Completion of surface geological and structural mapping, geochemistry survey, magnetics and near completion of geophysics covering all four target areas. 3) Results identified two high-priority porphyry targets in Placeton Central-North and Caballo Muerto based on multiple occurrences of D-veins, phyllic alteration and leach capping, including geophysical and copper and molybdenum geochemical anomalies. Placeton South remain an area of high interest but requires further follow-up work to confirm and upgrade its potential. 4) Placeton Central-North: Identification of a notable untested 1 x 1 km high magnetization anomaly, which partially coincides with the phyllically altered monzodioritic porphyry unit outcropping and with several copper mineralization occurrences at surface and molybdenum anomalies. 5) Caballo Muerto: Identification of a new untested 2 x 1 km North-South elongated, geological-geophysical target with high-chargeable IP anomaly centered on a high-moderate magnetic anomaly below the phyllically altered porphyry outcrop. 6) A follow-up geophysical IP program is planned for April 2022 with a focused strategy in better defining the sulfide-related anomalies along and below high-priority target, to refine drill targets in Placeton Central-North and Caballo Muerto. Drilling is planned to commence immediately following this.

Gino Zandonai, CEO, said, "We are excited to have nearly completed the first phase of the exploration program on the Placeton project. The results have reinforced our conviction that the Placeton tenement package contains at least four porphyry targets, of which two have, to-date, been designated as high-priority. We look forward to progressing the follow-up geophysical survey in April so that we can drill-test these targets during Q2 2022."

The geological and detailed structural mapping focused on key elements for porphyry copper assessment in the three targets areas (Placeton North, Placeton Central, and Placeton South) was performed over 25 km2 from November until December 2021. A rock chip sampling program was carried out from December 2021 to January 2022. 136 samples were taken over the three targets which were integrated and analyzed alongside 159 samples taken during 2014. A study was carried out using the Mag-Drone method over an approximate area of 1,165 ha. A historical IP survey covering 4km of the Placeton South target was integrated into the current analysis.

The identified intrusives are composed of a rhyodacite dome, monzonitic porphyry, and monzonite-granodioritic bodies. The alteration is silicification and phyllic (sericite, quartz) argillic (illite, montmorillonite, kaolinite) with developments of sub-propylitic halos (epidote chlorite, magnetite) and local tourmaline. A leach capping with hematite and goethite, including pitch limonite and copper oxides (atacamite-chrysocolla) is developed in veins, disseminated, and breccia matrix. D-veins and local evidence of A-veins were identified. These elements, when combined, provide strong evidence of the presence of an altered porphyry copper system. Additionally, a new phyllic altered porphyry dome outcrop area, south-east of Placeton South, has been identified with potential to add volume to the current target zone.

The geological mapping focused on the central target area was performed over a 10km2 area from November until December of 2021. A rock chip sampling was carried out from December 2021 to January 2022. A total of 66 samples were taken over the target area. A magnetometry survey covering an area of 6 km2 (600 ha) was conducted over the target area. Subsequently, an IP line was designed and completed in an NW-SE magnetic anomaly trend, covering a total distance of 4 km.

A 600 x 700 m outcrop of an Eocene dacitic porphyry was identified in the central area of Caballo Muerto, which intrudes the Paleogene Estratos del Gaucho volcanoes-sedimentary sequence to the west. The target presents an argillic and well-defined phyllic alteration, with pitch limonite and boxworks of copper sulfides. To the west and the east of the phyllic center, chlorite-epidote alteration is developed in a 3 x 3 km halo surrounding the porphyry target. These results, suggest a coherent framework for a well-centered porphyry alteration system.

The work program to date has identified two high-priority targets with critical prospective attributes required in a mineralized porphyry system. However, the district is known to locally host sub-economic porphyries and domes emplaced in the late stages of the porphyry deposits, which could disguise or mask economic mineralization in an early stage of drilling. This was the case at the neighboring Relincho Deposit, where initial drilling faced part of the low-sulphide, low-mineralized units before, ultimately, discovery of the complete mineralized porphyry system. Consequently, it is considered necessary to define the presence and relative distribution of sulfides of each target through a follow-up IP geophysics survey. The survey will cover between 10 to 20km in length on the two-high priority targets focused on the leach cap zones and covering the magnetic anomalies. This will provide an excellent tool for targeted drilling to test for the presence of the expected hypogene and supergene mineralization.