Confirmation Of Second Porphyry Center At Chinchillones

TORONTO - Minsud Resources Corp. reported on an additional nine (9) drillholes completed in the ongoing Phase IV scout drilling program at Chita Valley Project, San Juan province, Argentina. Twenty-three (23) drillholes were completed to date this year, encompassing a total of 15,836m. Assay results have been received for additional nine (9) drill holes totaling 6,250m, which included drillholes CHDH22-51 through to CHDH22-59. There are six (6) drillholes still awaiting assay results. The principal objectives of the current program include further down-dip and along strike delineation of the mineralized porphyries and affiliated host rocks discovered during the Phases I to III programs (2020 and 2021) and to test additional targets at Chinchillones and the nearby Link Zone area.

The Chinchillones Second Porphyry Cu-Mo-Ag-Au recent drilling results further confirmed the presence of a second porphyry Cu-Mo-Au-Ag centre located around 450m east of the Chinchillones central porphyry and expressed on surface as prominent confluence of NS- and EW- trending ridges occupied by silicified and brecciated Permo-Carb Agua Negra Fm quartzose sandstone. This blind Cu-Mo-Ag-Au diorite porphyry is interpreted to be NE-elongated, at least 700m-long and 350m-wide. This new intrusion centre is transitional upward to a pervasive pyrophyllite-dominated advanced argillic alteration zone hosted in dominantly dacitic volcanics and breccias. The Chinchillones central porphyry occurs as roof pendants and angular clasts to the dacitic volcanics, providing unequivocal temporal separation between the two productive porphyries. Significant porphyry Cu-Mo mineralization intervals for drillhole CHDH22-57: 354m at 0.29% Cu, 322ppm Mo, 0.1 g/t Au and 5.59 g/t Ag from 484m (open at depth) including 50m at 0.25% Cu, 0.11 gpt Au, 2.02 gpt Ag, 1,117 ppm Mo and 0.23 ppm Re from 770m highlighting higher-grade molybdenum and coincident rhenium mineralization.

Affiliated to the second porphyry are near-surface, high sulfidation mineralized bodies characterized by pervasive sulfidic replacement of host rocks, massive sulfidic pods/lenses, pervasive sulfidic disseminations and sulfides in-filling hydrothermal breccia matrix. The sulfides comprise varying amounts of pyrite-chalcopyrite-covellite-tennantite-enargite-chalcocite-digenite-bornite-sphalerite-galena-calaverite. These sulfidic zones are highlighted in in drillhole CHDH22-59: 144m at 0.37% Cu, 0.14 g/t Au and 7.98 g/t Ag from 28m, and 16m at 0.98% Cu, 0.38 g/t Au and 17.59 g/t Ag from 260m; CHDH22-59 has effectively established the strike and down-dip continuity of the near-surface Cu-Au-Ag bodies encountered at CHDH21-40 and CHDH22-43 (see press releases dated February 24 and October 13, 2022). CHDH21-40: 84m at 0.59% Cu, 0.24 g/t Au, 15.03 g/t Ag; CHDH22-43: 112m at 0.42%Cu, 0.1 g/t Au, and 9.80 g/t Ag).

The Link Zone target is the area located between South Porphyry "PSU" and Chinchillones. The scout drilling in this area confirms the presence of high-grade mineralized structures hosted in the sedimentary Agua Negra Fm and intrusive Tertiary domes. Drillholes CHDH22-52 and 53 show anomalous high sulfidation ("HS") mineralization of Cu-Zn-Ag controlled by a trending NNE fault, cutting andesitic porphyry at depth.

Drillhole CHDH22-51 has been drilled to the limit of the area between the Chinchillones target and Link Zone. This drillhole intersected numerous HS structures and hydrothermal breccias of up to 5m-thick with high grade Cu-Zn-Ag+/-Au.

The drillholes completed at the Link zone confirmed a NNE-trending mineralized corridor which is sympathetic to the delineated mineralization corridors at Chinchillones. The Company plans to continue drilling this target area to confirm the presence of these mineralized intrusive bodies at depth.