Eloro (TSXV:ELO) provides an update on its Iska Iska silver-tin polymetallic project

• The company has completed 58 diamond drill holes totalling 26,982 metres to test major target areas at Iska Iska
• Eloro intersects 234.19g Ag eq/t over 53.20m in the mineralized envelope of the Santa Barbara Breccia Pipe at the Iska Iska Silver-Tin Polymetallic Project
• Step out drilling northwest of Santa Barbara Breccia Pipe demonstrates room for expansion of the mineralized strike length of the breccia pipe to over 1.2km
• Definition drilling is in progress to define a maiden NI 43-101 compliant mineral resource within a target block in the Santa Barbara Breccia Pipe
• Iska Iska silver-tin polymetallic project is a royalty-free property, located 48 km north of Tupiza city in Southern Bolivia
• Eloro is an exploration and mine development company with a portfolio of gold and base-metal properties in Bolivia, Peru and Quebec
• Eloro Resources Ltd. (ELO) opened trading at C$3.85 per share

Eloro Resources (ELO) is pleased to provide an update on its Iska Iska silver-tin polymetallic project in the Potosi Department, southern Bolivia.

To date, the company has completed 58 diamond drill holes totalling 26,982 metres to test major target areas at Iska Iska. To date, every drill hole that has been assayed has returned multiple reportable mineralized intercepts.

Three drill rigs are currently in operation at Iska Iska. 

Highlights include:

• Hole DHK-20, drilled from the west end of the Huayra Kasa underground workings at -50 degrees on section with hole DHK-18, which intersected 129.65 g Ag eq/t over 300.75m (see press release dated July 28, 2021), returned 234.19 g Ag eq/t (70.5 g Ag/t, 2.31% Zn, 2.74% Pb and 0.04% Sn) over 53.20m from 139.35m to 192.55m including a higher grade portion of 
  931.73 g Ag eq/t (367.29 g Ag/t, 5.64% Zn, 13.67% Pb and 0.10% Sn) over 9.26m.
• Hole DHK-19, drilled to the southeast at -45 degrees from the west end of the Huayra Kasa underground workings, intersected 108.24 g Ag eq/t (3.14g Ag/t, 0.24 g Au/t, 2.02% Zn and 0.58% Pb) over 48.2m from 46.95m to 95.15m in altered dacite in the mineralized envelope of the SBBP. This includes a higher-grade interval grading 180.76 g Ag eq/t (4.46 g Ag/t, 0.35 g Au/t, 3.58% Zn and 1.04% Pb) over 15.02m
• Hole DCN-04 was drilled at -80 degrees to the north from the northern radial platform of the CBP. This hole intersected seventeen mineralized intersections, principally Sn-Ag-bearing, over its 851.4m length. Best results include 71.54 g Ag eq/t (32.58 g Ag/t and 0.10% Sn) over 97.10m from 134.40 to 231.5m ; 101.52 g Ag eq/t (28.74 g Ag/t and .19% Sn) over 62.01m from 281.40m to 343.41m; 134.33 g Ag eq/t (70.42 g Ag/t and 0.16% Sn) over 22.59m from 417.05m to 439.64m; and 236.96 g Ag eq/t (92.21 g Ag/t and 
  0.25% Sn) over 17.45m from 659.55m to 677.00.m
• Hole DCS-02 was drilled southeast at -60 degrees from the south radial platform of the CBP. This hole, which was drilled to 800.5m, intersected nine (9) reportable Ag-Zn-Pb-Sn mineralized intervals. Best results include 79.53 g Ag eq/t (including 0.21% Sn) over 19.42m, 101.01 g Ag eq/t (32.75 g Ag/t, 0.76% Zn, 0.75% Pb) over 10.47 and 130.95g Ag eq/t (34.14 g Ag/t, 0.10 g Au/t, 1.35% Zn and 0.56 % Pb over 7.40m.

Major potential extension to the Santa Barbara Breccia Pipe

Data from a ground magnetics survey conducted by Eloro outlined a prominent area of anomalously low magnetic variability northwest of the SBBP, likely reflecting strong hydrothermal alteration.

Subsequent 3D inversion modelling confirmed that this area warranted drill testing as this pattern is comparable to the SBBP and CBP, both marked by similar magnetic anomalies.

Recently completed holes DSB-12 drilled southeast at -40 degrees and DSB-13 on section at -65 degrees intersected strongly altered dacite and breccia with widespread mineralization. As depicted in Figure 2, a north-south section, these holes substantially increase the potential strike length of the SBBP and surrounding mineralized envelope to more than 1.2km. 

Tom Larsen, CEO of Eloro commented,

“The company is pleased to report that the Santa Barbara Breccia Pipe and its surrounding mineralized envelope is in fact much larger than initially envisioned. Our drilling campaign is now focused within this extensive area in order to define an inaugural NI 43-101 compliant mineral resource which we expect to have completed in Q1 2022. In addition, I am pleased to announce that, as a result of the continuing sampling backlog delays at the ALS Laboratory in Lima due to Covid-19 induced issues, the Company has recently commissioned Alfred H Knight (“AHK”) Laboratories of Great Britain along with ALS Laboratories to help alleviate this backlog. AHK is highly recognized, having a global network of accredited laboratories with operations in over 35 countries. They have recently opened facilities in Bolivia, due to the high demand taking place from mining companies in the region. This is a significant development which will improve the reporting of drilling results at Iska Iska going forward.”

Dr. Bill Pearson, P.Geo., Eloro’s Executive Vice President Exploration, commented,

“The very encouraging mineralized intersections in the drill holes testing the magnetic anomaly northwest of the SBBP has opened up the potential for a major extension to this target resource area. The strike length of SBBP and its envelope which trends approximately north-northwest is now more than 1.2km and remains open in all directions. The present target area for mineral resource definition is approximately 1.2km along strike, 500m wide and extends to a depth of at least 600m. Drill holes in the CBP continue to return encouraging values but further drilling on this and the Porco target will be deferred until after drilling in the SBBP area is completed. The downhole IP/Res survey at the SBBP is moving along well and will provide important information to better confirm continuity of mineralization between drill holes especially higher-grade zones with greater sulphide content.”

Dr. Osvaldo Arce, P.Geo., General Manager of Eloro’s Bolivian subsidiary Minera Tupiza S.R.L., said,

“Interpretation of Aster/Landsat satellite imagery and later, the magnetic survey in the northwestern sector of the SBBP, has outlined a substantial anomalous zone that likely reflects widespread hydrothermal alteration. The first diamond drillholes DSB-12 and DSB-13 holes have intercepted a number of well mineralized intervals in which measurement with the XRF gun confirm Ag, Sn, Pb, Zn and tungsten (W). This mineralization is hosted in dacitic volcanic domes which are cut by local sections of well-mineralized breccias with predominantly dacitic clasts surrounded by a tourmaline matrix that is replaced by sulphides and cassiterite. This discovery extends the SBBP and associated mineralized envelope along strike as much as 50% from its original size. The SBBP has characteristics of a large kilometre-scale and continuous near-surface mineralized body of enriched telescoped polymetallic mineralization.”

Dr. Quinton Hennigh, P.Geo., Senior Technical Advisor to Eloro, commented,

“Once again, all recently assayed drill holes returned multiple long mineralized intervals at Iska Iska. The limits of the system keep expanding, the magnetic anomaly to the northwest of the SBBP being the most recent addition. Here, recently completed holes DSB-12 and DSB-13 display very promising long intervals of mineralization with an appearance similar to holes drilled closer to the SBBP. While the 1,200 x 500 x 600 m volume currently being targeted for a maiden resource is impressive, it is important to keep in mind that this is still just a subset of the much larger Iska Iska system that extends over a kilometre further south to the Porco breccia pipe along the southern margin of the caldera complex where Eloro recently drilled some visibly mineralized holes. In short, this major discovery is still in its early days.”

Table 2: Summary of diamond drill holes completed with assays pending and Drill Holes in progress at Iska Iska

Total drilling completed since the start of the program on September 13, 2020, is 26,982m in 58 holes (19 underground holes and 39 surface holes) with one underground in progress. One surface rig is being moved to a new hole location northwest of SBBP. The second surface drill rig is being exchanged for a more powerful machine which will arrive on site soon and commence drilling in the SBBP area.

Iska Iska silver-tin polymetallic project is a royalty-free property, located 48 km north of Tupiza city, in the Sud Chichas Province of the Department of Potosi in southern Bolivia. Eloro has an option to earn a 99% interest in Iska Iska.

Eloro is an exploration and mine development company with a portfolio of gold and base-metal properties in Bolivia, Peru and Quebec.

Eloro Resources Ltd. (ELO) opened trading at C$3.85 per share.