Tarku Provides Highlights of its Q & A Conference Call with President & CEO Julien Davy
MONTREAL, May 14, 2021. Tarku Resources Ltd (TSX-V: TKU – FRA: 7TK) (the “Company” or “Tarku”) provides investor update and highlights on its recent Q & A regarding the companies Silver Strike Project in Arizona.
During this call, the President & CEO Julien Davy commented on the company’s objectives and gave insight into the recent exploration results. The conference call was held in English over Zoom, and Mr. Davy replied to questions submitted by investors registered with the company’s newsletter. The highlighted portion of this conversation is available below:
Question 1: Mr. Davy could you give us a brief overview of Tarku Resources and its mission?
Answer 1: Tarku is a Canadian-based junior exploration company with a focus on making substantial discoveries through the acquisition and exploration of highly prospective projects. Our current focus is on silver, gold and other base metal projects of high merit in mineral-rich Canadian and US jurisdictions.
Discoveries in mineral exploration aren’t trivial to come by but what differentiates Tarku from its peers is its industry-leading team’s innovative exploration techniques throughout various areas. We look for geologically fertile ground, not only on its historical results, but also for its underexplored and or overlooked potential.
Good exploration projects combined with a favourable capital structure are what gives Tarku, in today’s bull market, the right strategy to create value for the company and its shareholders.
Question 2: What current project best fits this exploration approach?
Answer 2: Tarku has several projects in its portfolios. We have excellent early stages projects in both Quebec and Arizona; however, Silver Strike Project located in the famous Tombstone District in Arizona merits attention. Arizona is in the top 10 most attractive mining jurisdictions in the world according to the last Fraser Institute report.
The Tombstone District is one of the earliest silver mining areas in the western United States that produced numerous silver mines in 1877. During the 38 years of production in the early 1900’s of this area, 32M oz of Silver was produced on small by hand productions, averaging 26 oz/t Ag, from surface to a maximum depth of 200m. they were typically running after high-grade Silver veins of 1 to 2 ft wide because Silver was around 1$/oz at that time. Today, Silver is trading over 27$/oz. Tarku has already located several targets and we have started our 10,000 ft. drilling program to test these targets.
Question 3: We noticed your most recent news release had some impressive early results. The market didn’t seem to react too much. Can you clarify what exactly the results showed?
Answer 3: The results announced were very good news for us!
These were results of the first 5 holes on our 20-hole program and they came back with the same historical high grades. In this drilling program, we are looking for a silver vein-type deposits, which are typically 1 or 2 feet in width and typically reported to average 800g/t Ag (26oz/t Ag) or more.
In hole #004 we announced the intersection of 10.7 m grading 79.8 g/t Ag, including 213.5 g/t Ag and 3.9% Mn over 3.0 m, showing the high-grade potential of the Lucky Cuss veining system and showing similar results as they used to previously get historically.
In the other holes, we also received encouraging results showing we intercepted the structures with wide halos of lower grade mineralization and specific alterations showing we are very close to target zones. These discrepancies in the values could be typical of veining systems.
Question 4: For a project like Silver Strike, what result is considered good and economical?
Answer 4: To be consider as a good project, there are many factors to be taken under consideration, but at the end of the day, it usually comes down to volume and grades. For example, geological environment affects the metallurgy, that affects the recoveries of mineralized zones. Width and depth of the zones are also important and of course the volume and the grades are the most important criteria.
There are a number of active silver mines in the same geological environment as Silver Strike and we also know that the zones are starting at shallow depths, with is also good. We see producing mines in the US starting with reserves of 5-6 million oz Ag and averaging grades of 200-250g/t Ag. As mentioned, our results shows that we are beginning to intersect similar g/t numbers at Silver Strike.
And the beauty with the Silver Strike project is that we see other metals associated with Silver. It is still early in terms of understanding their source, but we have traces of Copper, Zinc, Lead and Gold, on our large land package and those elements could potentially add a lot of value in the company’s future economic evaluation.
Question 5: Can we expect additional more results soon?
Answer 5: Yes, most certainly. We received 20% of the total results of our program and the drilling continues as we speak. We should finish our drilling program by the end of May and have all the results within 5 to 6 after that. This is the first drill program on the project in a long time. This project will require additional drilling to understand where the mineralized zones are exactly, but we are confident that this first overview or picture of the project gives us sufficient data for the next steps.
Question 6: What are the next steps?
Answer 6: We know that we have high-grade silver veins, and with the evidence of Copper, Lead and Zinc results received so far, it is letting us think that what is now geologically understood is just the tip of the iceberg of a much larger potential porphyry system that brought other base metals together.
For us, it’s the start of a systematic exploration program on the project. We’ll use simultaneously 2 levels of exploration in our approach: we’ll first use the results of this ongoing drill program to define where the prioritised zones should be worked for resource estimates, and at the same time we need to work regionally with geophysical and geochemistry surveys to better understand the deposit model we have on the project.
Our goal is to have a core drilling rig operating during the fall season on the project. We have sufficient targets and areas to have the rig running nonstop, allowing us to provide news updates more often.
Question 7: Can you give us more detail regarding Tarku’s Capital Structure?
Answer 7: Tarku currently is listed on both the TSX Venture under the symbol TKU and on the Frankfurt exchange under 7TK. We have also applied to be on the OTCBQ in United States. Being listed in Europe and in the US will give us an excellent opportunity to expand our investor base beyond Canada.
Our capital structure is quite attractive as we now have 56 million shares outstanding that is relatively tightly held. Management holds about 10%, we have several strategic major shareholders which represents 30% of the float. These shareholders include Mr. Eric Sprott and his group whose attention was caught by the potential of discovery on our Silver Strike Project.
About Tarku Resources Ltd. (TSX.V: TKU – FRA: 7TK)
Tarku is an exploration company focused on making new discoveries in favourable mining jurisdictions as Quebec and Arizona. In Quebec, Tarku owns 100% on the “Three A’s” exploration projects, (Apollo, Admiral and Atlas Projects), in the Matagami greenstone belt, which has been interpreted by management as the eastern extension of the Detour Belt, and which has seen recent exploration successes by Midland Exploration Inc., Wallbridge Mining Company Ltd., Probe Metals Inc. In Arizona, in the Tombstone district, Tarku owns the option to acquire 75% on 20km2 in the Silver Strike Project.
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results and activities to vary materially from targeted results and planning. Such risks and uncertainties include those described in Tarku’s periodic reports including the annual report or in the filings made by Tarku from time to time with securities regulatory authorities.