CDL Cloudbreak Discovery Plc

TIDMCDL

RNS Number : 2896F

Cloudbreak Discovery PLC

15 July 2021

15 July 2021

Follow the link to read the press release in full, including figures:

http://www.rns-pdf.londonstockexchange.com/rns/2896F_1-2021-7-14.pdf

Cloudbreak Discovery and Alianza Minerals Make First Acquisition Under Southwest US Copper Alliance with Klondike Project, Colorado

Cloudbreak Discovery PLC (LSE: CDL) ("Cloudbreak") and Alianza Minerals Ltd. (TSX-V: ANZ, OTCQB: TARSF) ("Alianza") announce the acquisition of the first project generated from their newly formed Strategic Alliance (the "Alliance"). The Klondike Property ("Klondike"), located in Colorado, United States, consists of 72 Bureau of Land Management ("BLM") claims, a State of Colorado Exploration Permit with an exclusive right to a State Lease.

This Alliance will focus on the identification, acquisition, and advancement of copper projects in the southwestern US specifically Arizona, Colorado, New Mexico and Utah. The two companies anticipate this to be the first of many projects and will continue to identify new copper exploration opportunities to acquire and advance with the intent of finding strong partners to move the projects forward.

Klondike Project Highlights:

- Road accessible 843 hectare property covering Paradox basin sedimentary package in San Miguel County, Colorado

- Favourable stratigraphy known to host sediment-hosted copper deposits in the emerging Paradox Copper Belt

   -     No copper exploration since the 1960s in the area 

- Exploring for additional deposits similar to the operating Lisbon Valley Mine, 50 kilometres ("km") to the northwest

Kyler Hardy, President and CEO of Cloudbreak , reflected on Klondike, stating "We are very excited to investigate the high-grade potential demonstrated by the historical work. We know these rocks are prospective for copper mineralisation as evidenced by other deposits in the belt and the active Lisbon Valley Copper Mine".

Jason Weber, President and CEO of Alianza , noted that "The Klondike property is the first example of the ideas generated out of this alliance and demonstrates the potential we see for additional, bona fide copper prospects in this under-explored region."

About the Klondike Project

The Klondike project is located approximately 25 km south of Naturita, Colorado. This property lies within the Paradox Copper Belt, which includes the producing Lisbon Valley Copper Mine. There are numerous historical copper occurrences that have been identified throughout the district, however, many of these have not been explored using modern exploration techniques.

At Klondike, documented copper exploration ceased in the 1960s with subsequent exploration targeting uranium during the 1970s. Previous workers reported high-grade copper mineralisation highlighted by results of 6.3% copper and 23.3 grams per tonne ("g/t") silver in outcrop. In addition to its high-grade potential, disseminated copper-silver mineralisation has been observed which may be amenable to modern open pit mining with Solvent Extraction Electro Winning ("SXEW") processing similar to the Lisbon Valley Mine. Sedimentary-hosted copper deposits are an important contributor to world copper production, accounting for more than 15% of the world's copper supply annually.

Figure 1. Klondike Property Location Map

Klondike is located at the southeast end of a gypsum salt anticline in a similar structural setting as Lisbon Valley. Copper mineralisation occurs in bleached and altered, porous and permeable, sandstone units adjacent to small graben-bounding normal faults. Copper mineralisation in outcrop includes malachite, azurite, chalcocite and black copper oxides.

Surface sampling of mineralised outcrops along the graben faults has yielded assay results up to 6.3% copper and 23.3 g/t silver. Eleven out of 15 samples reported from a limited historical prospecting and mapping programme returned assays ranging from 0.12 to 6.3% copper and below detection to 85.4 g/t silver. Additionally, disseminated copper-silver mineralisation has also been identified in outcropping sandstones of Jurassic and Permian age. Both styles of mineralisation will be investigated in upcoming work programs with the goal of refining drill targets in these units. Initial work will include detailed geological mapping, soil and rock sampling, and geophysics.

 
 Table 1 - Klondike prospect, 
  samples 1999 JPT 
 Assays by Intertek Bondar 
  Clegg # R99-10390.0 and 
  #R99-10389.0 
 Sample      Ag     Cu    Cu    Pb    Zn    As    Co      Ba     Cr      V 
 number     ppm    ppm     %   ppm   ppm   ppm   ppm     ppm    ppm    ppm 
 K 9        0.3      -   1.3    86    19    50     1     182    380     54 
 K 10       3.2      -   2.3   257    77     8    11     567     36   1950 
 K 11      16.7   5119     -    50    56    45     1   >2000    254    206 
 K 13       4.5   5137     -    43    27    <5     9   >2000    231     46 
 K 14      23.3      -   6.3   790    82   129    29   >2000    382    770 
 K 16       0.8   2442     -    21    31    <5     2     426    574    103 
 K 17      28.5   4295     -    34    52    25     4     268    131     96 
 K 18      85.4   3282     -    32    29    20     2     563    253   1590 
 K 19      <0.2      -   4.1   357    88    <5    68    1104    262    959 
 K 20      <0.2   1151     -   161    36    <5     9     644    187    612 
 K 21       3.7   7342     -    23    23    <5     5    1092    210     97 
 K 22      <0.2    113     -    15     9    <5     3     840    152     54 
 K 23      <0.2    603     -    42    43     6     1   >2000    325     98 
 K 24      <0.2     73     -    32     9     7     1     714    145     51 
 K 25      <0.2     30     -    33   124    <5     3     466   1412     54 
 

The project is year-round road accessible, traveling 2 km of gravel road from paved highway. The project is comprised of 72 mining claims on Federal mineral rights managed by the BLM, in addition to an Exploration Permit with an exclusive right to a State Lease from the State of Colorado.

Alianza and Cloudbreak expect to commence exploring on the property imminently.

-S-

For additional information please contact:

 
 Cloudbreak Discovery        Tel: +1 604 428 9480 
  PLC 
                             Kyler Hardy, CEO           khardy@cloudbreakdiscovery.com 
                             Henrik Mikkelsen, VP       hmikkelsen@cloudbreakdiscovery.com 
                             Corporate Development 
 
 Novum Securities            Tel: +44 7399 9400 
  Financial Adviser 
  and Broker 
                             David Coffman / Lucy 
                              Bowden 
                              Colin Rowbury 
 
 Blytheweigh                 Tel: +44 207 138 3204      Cloudbreak@blytheweigh.com 
  (Financial PR/IR-London) 
                             Tim Blythe 
                             Megan Ray 
 
 Stellium Services           Tel: +44 7771 763655       Cloudbreak@StelliumServices.com 
  (Investor Relations)        +44 7726 476616 
  www.stelliumservices.com 
                             Andrew Wilson 
                             Claire Bowden 
 
 
 

For further information, contact:

 
            Jason Weber, President and CEO 
             Sandrine Lam, Shareholder Communications 
 
             Tel: (604) 807-7217 
             Fax: (888) 889-4874 
 
             Renmark Financial Communications 
             Inc. 
             Melanie Barbeau 
             mbarbeau@renmarkfinancial.com 
             Tel: (416) 644-2020 or (514) 939-3989 
             www.renmarkfinancial.com 
 
 
             To learn more visit: www.alianzaminerals.com 
 

About Cloudbreak Discovery PLC

Cloudbreak Discovery PLC, is a leading natural resource project generator, working across a wide array of mineral assets that are being developed and managed by an experienced team with a proven track record. Value accretion within the projects being developed by the Cloudbreak's generative model enables a multi-asset approach to investing. Diversification within the mining sector and amongst resource classes is key to withstanding the cycles of natural resource investing.

About Alianza Minerals Ltd.

Alianza employs a hybrid business model of joint venture funding and self-funded projects to maximize opportunity for exploration success. The Company currently has gold, silver and base metal projects in Yukon Territory, British Columbia, Colorado, Nevada and Peru. Alianza currently has one project (Tim, Yukon Territory) optioned out to Coeur Mining, Inc. and a copper exploration alliance in the southwestern United States with Cloudbreak Discovery PLC. Alianza also is seeking partners on other projects. The Company is listed on the TSX Venture Exchange under the symbol "ANZ" and trades on the OTCQB market in the US under the symbol "TARSF".

About the Strategic Alliance

Under the terms of the Alliance, either Cloudbreak Discovery Plc or Alianza Minerals Ltd can introduce projects to the Strategic Alliance. Projects accepted into the alliance will be held 50/50 but funding of the initial acquisition and any preliminary work programs will be funded 40% by the introducing partner and 60% by the other party. Project expenditures are determined by committee, consisting of two senior management personnel from each party. Alianza is the operator of alliance projects unless the Alliance steering committee determines, on a case-by-case basis, that Cloudbreak would be a more suitable operator. The initial term of the Alliance runs for two years and may be extended for an additional two years.

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July 15, 2021 03:00 ET (07:00 GMT)