P2QM Eloro Resources Ltd

Eloro Resources Ltd. (TSX: ELO; OTCQX: ELRRF; FSE: P2QM) (“Eloro”, or the “Company”) is pleased to announce the initial assay results in its definition diamond drilling program in the potential Santa Barbara starter pit area in the Iska Iska silver-tin polymetallic project in the Potosi Department of southwestern Bolivia. To date 2,561.9m of diamond drilling have been completed in six (6) holes including two (2) holes in progress. PQ core size has been used for all holes in this program to obtain larger, more representative core samples.

Table 1 below lists significant results for the first hole DSB-68. Figure 1 shows locations of all the definition drill holes completed to date and in progress. Silver equivalent values (g Ag eq/t) have been calculated using 3-year average metal prices and preliminary metallurgical recoveries (see note below Table 1 for more information). Table 2 lists the coordinates of the definition drill holes completed and in progress.  

Hole DSB-68 returned a long intersection from near surface grading 66.90g Ag/t, 0.63% Zn, 0.42% Pb and 0.11% Sn (111.14g Ag eq/t) over 289.13m from 41.0m to 330.13m. This intersection includes higher grade intervals of:

• 126.10g Ag/t, 0.55% Zn, 0.60% Pb and 0.09% Sn (160.72g Ag eq/t) over 122.03m from 57.52m to 179.55m,
• 47.61g Ag/t, 0.22% Zn, 0.40% Pb and 0.45% Sn (146.06g Ag eq/t) over 16.51m from 193.20m to 209.71m, and
• 25.52g Ag/t, 2.19% Zn, 0.65% Pb and 0.10% Sn (129.60g Ag eq/t) over 7.46m from 235.33m to 242.79m

The high grade mineralization is associated with a prominent intrusion breccia body which is shown in cross section in Figure 2 and in plan in Figure 3. This unit which is characterized by angular fragments of principally dacite in a matrix with sulphides, is approximately 200m wide and is becoming much thicker at depth.

The average grade of 66.90 g Ag/t over 289.13m, including 126.10g Ag/t over 122.03m, obtained in Hole DSB-68 demonstrates potential significant underestimation of the silver grade, similar to that of previously reported metallurgical test results from a 6.3 tonne bulk sample which returned a much higher silver head grade of 91 g Ag/t, compared with the 31 g Ag/t average grade from the original twinned holes (see Eloro press release of January 23, 2024). Further infill drilling with larger diameter drill holes has the potential to significantly increase the overall silver grade in the likely starter pit area.

Dr. Osvaldo Arce, P.Geo., Eloro’s Executive Vice President, Latin America and General Manager of Eloro’s Bolivian subsidiary, Minera Tupiza S.R.L., who is a recognized expert on Bolivian mineral deposits said: “The on-going definition diamond drilling at the Santa Barbara zone confirms the occurrence of large high-grade mineralized shoots. It corroborates that systematic, more tightly spaced infill drilling at Iska Iska can produce very positive results that could significantly enhance the mineral resources.”

Dr. Arce continued: “The breccia pipes host much of the high grade silver-tin values, as well as Zn polymetallic bodies in the deposit. They are likely the main feeders of the mineralization at Iska Iska. The breccia bodies intersected in the upper zones are widening at depth over a vertical interval of over 500m. Mineralization occurs both within and outside these breccia bodies, emphasizing their importance as feeders. Zoning is evident in the mineralization with silver-rich zinc-lead near surface with silver-tin mineralization deeper down, especially to the west and northwest, while epithermal zinc-silver-lead mineralization is peripheral to this breccia unit hosted in dacites particularly to the southeast. This “zoning” model in the Bolivian Tin Belt is similar to that seen in the "giant” massive silver/tin deposits at Cerro Rico (Ag-Sn) and Oruro (Ag-Sn) as well at the major tin intrusive porphyry at Chorolque located 40 km to the north of Iska Iska.”

Dr. Bill Pearson, P.Geo., Eloro’s Executive Vice President, Exploration commented: “The geophysical data adds considerably to the overall geological picture. As shown in a plan of chargeability in Figure 3, there is a prominent northwest trending structural corridor 500m wide that extends from the Santa Barbara area southeastwards for at least 2km. Within the Santa Barbara High Grade Corridor, a strong spatial correlation is evident between the high-grade intersections in the intrusion breccia and higher chargeability. This link is emphasized by the drill results from DSB-68, shown in the section in Figure 4. The section location which is depicted in Figure 3 also shows the outline of the intrusion breccia. The chargeability anomaly at elevation 4000m, which is the potential southern extension of the breccia body, has not been drilled. The chargeability anomaly at the 3700m elevation in the southeast, which also has not yet been drilled, shows that the mineralized corridor continues at this level where future drill-testing will be helped by the lower topography in the valley of the caldera.   Overall the chargeability shows that the intrusion breccia and the mineralized corridor are products of a very deep-seated and extensive magmatic processes during the evolution of the Iska Iska caldera complex.”

Table 1: Definition Diamond Drill Results as of November 26, 2024, Santa Barbara Deposit, Iska, Iska

SANTA BARBARA DEFINITION DIAMOND DRILL RESULTS
Hole No.	From (m)	To (m)	Length (m)	Ag	Zn	Pb	Sn	Ag eq
				g/t	%	%	%	g/t
DSB-68	13.63	28.95	15.32	9.52	0.01	0.48	0.22	61.26
	41.00	330.13	289.13	66.90	0.63	0.42	0.11	111.14
Incl.	57.52	179.55	122.03	126.10	0.55	0.60	0.09	160.72
Incl.	193.20	209.71	16.51	47.61	0.22	0.40	0.45	146.06
Incl.	235.33	242.79	7.46	25.52	2.19	0.65	0.10	129.60
	349.75	366.25	16.50	13.99	0.30	1.03	0.09	62.20
	379.78	402.90	23.12	8.87	0.53	0.40	0.10	53.75

Note: True width is approximately 80% of core length. Silver equivalent (Ag eq) grades are calculated using 3-year average metal prices of Ag = US$24.14/oz, Zn = US$1.36/lb , Pb = 0.98/lb and Sn = US$13.74/lb, and preliminary metallurgical recoveries of Ag = 88%, Zn = 87%, Pb= 80% and Sn = 50%. In selecting intervals, a cutoff grade of 30 g Ag eq/t has been used. Lower grade material may be included in intersections where geological continuity is warranted.

Table 2: Summary of Diamond Drill Hole Coordinates for Drill Holes Reported, Completed and in Progress at Iska Iska as of November 26, 2024

SUMMARY DIAMOND DRILLING ISKA ISKA
Hole No.	Type	Collar Easting	Collar Northing	Elev	Azimuth	Angle	Hole Length (m)
Santa Barbara Surface Definition Drill Holes Reported, In Progress and Planned
DSB-68	S	205390.0	7656251.0	4220.0	225°	-50°	402.9
DSB-69	S	205262.0	7656133.0	4291.8	225°	-85°	502.0
DSB-70	S	205460.0	7656319.0	4191.0	225°	-50°	467.3
DSB-71	S	205203.0	7656016.0	4282.0	225°	-85°	533.7
DSB-72	S	205088.0	7656107.0	4341.0	225°	-85°	308.4*
DSB-73	S	205291.0	7656269.0	4273.0	225°	-85°	347.6*
						TOTAL	2561.9
*= holes in progressS = Surface; collar coordinates in metres; azimuth and dip in degrees. Total drilling since start of the definition drilling program on October 4, 2024 is 2,561.9m in 6 holes with 2 holes in progress. Since the start of the drilling at Iska Iska on September 20, 2020, a total of 105,760m in 162 drill holes (34 underground holes and 128 surface holes) have been completed.

Figure 1: Location Map of Definition Diamond Drill Holes, Santa Barbara, Iska Iska.

Figure 2: Southwest - Northeast Drill Hole Cross Section showing distribution of Intrusion Breccia which host much of the High Grade Ag-Sn mineralization in the potential starter pit area of Santa Barbara

Figure 3: Plan Map showing Major NW-SE Trending Mineralized Corridor, Distribution of Intrusion Breccia and Major Chargeability Anomalies, Iska Iska

Figure 4: Southwest - Northeast Cross Section Showing Strong Correlation between Intrusion Breccia and High Chargeability - g Ag eq/t values are shown in a histogram on drill hole DSB-68.

Qualified Person (“QP”)

Dr. Bill Pearson, P.Geo., Eloro’s Executive Vice President, Exploration, and a Qualified Person (“QP”) as defined by National Instrument (“NI”) 43-101 has reviewed and approved the technical content of this news release.   Dr. Pearson who has more than 50 years of worldwide mining exploration, development and production experience, including extensive work in South America, manages the overall technical program, working closely with Dr. Osvaldo Arce, P.Geo. Executive Vice President, Latin America for Eloro and General Manager of Eloro’s Bolivian subsidiary, Minera Tupiza S.R.L., and a QP in the context of NI 43-101, who has supervised all field work carried out at Iska Iska.

IP/Res surveys were carried out by MES Geophysics using Eloro’s ELREC-Pro 10 channel IP receiver and GDD 3600 watt IP transmitter. Dr. Chris Hale, P.Geo. and Mr. John Gilliatt, P.Geo. of Intelligent Exploration provided the survey design, preparation of the maps and interpretation of data processed, and quality reviewed by Mr. Rob McKeown, P. Geo. of MES Geophysics. Messrs. Hale, Gilliatt and McKeown are QPs as defined under NI 43-101 .

Eloro utilized both ALS and AHK for drill core analyses, both of whom are major international accredited laboratories. Drill samples sent to ALS were prepared in both ALS Bolivia Ltda’s preparation facility in Oruro, Bolivia and the preparation facility operated by AHK in Tupiza with pulps sent to the main ALS Global laboratory in Lima for analysis. Eloro employs an industry standard QA/QC program with standards, blanks and duplicates inserted into each batch of samples analyzed with selected check samples sent to a separate accredited laboratory.

Drill core samples sent to AHK Laboratories were prepared in a preparation facility installed and managed by AHK in Tupiza with pulps sent to the AHK laboratory in Lima, Peru. Check samples between ALS and AHK are regularly done as a QA/QC check. AHK is followed the same analytical protocols used as with ALS and with the same QA/QC protocols.

About Iska Iska   

The Iska Iska silver-tin polymetallic project is a road accessible, royalty-free property, wholly controlled by the Title Holder, Empresa Minera Villegas S.R.L. and is 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 100% interest in Iska Iska.

Iska Iska is a major silver-tin polymetallic porphyry-epithermal complex associated with a Miocene possibly collapsed/resurgent caldera, emplaced on Ordovician age rocks with major breccia pipes, dacitic domes and hydrothermal breccias. The caldera is 1.6km by 1.8km in dimension with a vertical extent of at least 1km. Mineralization age is similar to Cerro Rico de Potosí and other major deposits such as San Vicente, Chorolque, Tasna and Tatasi, all located along the same overall geological trend.

Eloro began underground diamond drilling from the Huayra Kasa underground workings at Iska Iska on September 13, 2020. On November 18, 2020, Eloro announced the discovery of a significant breccia pipe with extensive silver polymetallic mineralization just east of the Huayra Kasa underground workings and a high-grade gold-bismuth zone in the underground workings. On November 24, 2020, Eloro announced the discovery of the Santa Barbara Breccia Pipe (SBBP) approximately 150m southwest of the Huayra Kasa underground workings.

Subsequently, on January 26, 2021, Eloro announced significant results from the first drilling at the SBBP including the discovery hole from 0.0m to 257.5m. Subsequent drilling has confirmed the presence of significant values of Ag-Sn polymetallic mineralization in the SBBP and the adjacent Central Breccia Pipe (CBP). A substantive mineralized envelope which is open along strike and down-dip extends around both major breccia pipes. Continuous channel sampling along the walls of the of the Santa Barbara Adit located to the east of SBBP returned average grades of 164.96 g Ag/t, 0.46%Sn, 3.46% Pb and 0.14% Cu over 166m including 446 g Ag/t, 9.03% Pb and 1.16% Sn over 56.19m. The west end of the adit intersects the end of the SBBP.

Since the initial discovery hole DHK-15 which returned 29.53g Ag/t, 0.078g Au/t, 1.45%Zn, 0.59%Pb, 0.080%Cu and 0.056%Sn over 257.5m, Eloro has released a number of significant drill results in the SBBP and the surrounding mineralized envelope which, along with geophysical data, has defined an extensive target zone. On October 17, 2023, Eloro filed the NI 43-101 Technical Report outlining the initial inferred MRE for Iska Iska, prepared by independent consultantsMicon International Limited. The MRE was reported in two domains, the Polymetallic (Ag-Zn-Pb) Domain which is primarily in the east and south of the Santa Barbara deposit and the Tin (Sn-Ag-Pb) Domain which is primarily in the west and north.

The Polymetallic Domain is estimated to contain 560Mt at 13.8 g Ag/t, 0.73% Zn & 0.28% Pb at an NSR cutoff of US$9.20 for potential open pit and an NSR cutoff of US$34.40 for potential underground. The majority of the mineral resource is contained in the constraining pit which has a stripping ratio of 1:1. The Polymetallic Domain contains a higher-grade mineral resource at a NSR cutoff of $US25/t of 132 million tonnes at 1.11% Zn, 0.50% Pb and 24.3 g Ag/t which has a net NSR value of US$34.40/t which is 3.75 the estimated operating cost of US$9.20/t. The Tin Domain which is adjacent to the Polymetallic Domain and does not overlap, is estimated to contain a mineral resource of 110Mt at 0.12% Sn, 14.2 g Ag/t and 0.14% Pb but is very under drilled.

Results of the definition drill program which totalled 5,267.7m in 11 holes were reported on December 18, 2023 and January 11, 2024, respectively. Significant results included 279.22 g Ag/t, 0.47% Pb and 0.43% Sn (339.82g Ag eq/t) over 62.84m and 33.83 g Ag/t, 1.53% Zn, 0.93% Pb and 0.14% Sn (130.88g Ag eq/t) over 178.99m including 120.37 g Ag/t, 2.13% Zn, 1.57% Pb and 0.19% Sn in hole DSB-61; 57.62g Ag/t, 1.26% Zn, 0.94% Pb and 0.12% Sn (139.94g Ag eq/t) over 136.11min hole DSB-66 and 118.86g Ag/t, 0.35% Zn, 0.35% Pb and 0.15% Sn (152.29g Ag eq/t) over 81.28m in hole DSB-65. This latter intersection in hole DSB-65 included a very high-grade sample of 5,080g Ag/t, 0.12 g Au/t, 0.26% Zn, 1.34% Pb, 1.53% Cu and 1.27% Sn (4,746.46g Ag eq/t) over 1.46m.

Metallurgical tests reported on January 23, 2024 from a 6.3 tonne PQ drill core bulk sample representative of the higher grade Polymetallic (Ag-Zn-Pb) Domain returned a significantly higher average silver value of 91 g Ag/t compared to the weighted average grade of the original twinned holes at 31 g Ag/t strongly suggesting that the average silver grade is likely significantly underreported in the original twinned holes due to the much smaller sample size.

On January 29, 2024, the Company reported that the new chargeability high outlined southeast of the MRE open pit by the expanded induced polarization (IP) survey indicates that the major mineralized structural corridor that is up to 800m wide extends a further 600m along strike to the southeast for an overall strike length of at least 2km. This new area has not been drilled.

The Company reported on July 30, 2024, that updated modelling of the potential starter pit area at Santa Barbara zone highlights the importance of completing additional drilling to better define the grade and extent of the mineral resource in this area. Areas with higher-grade resource typically have much better drilling density but holes outside the core potential pit area are too widely spaced to give an accurate estimate of grade.

On September 4, 2024, the Company announced the restart of definition drilling in the potential starter pit area at Santa Barbara. Previous drilling has shown that areas with high-grade mineralization typically have much better drilling density, whereas holes outside the core area are too widely spaced to give an accurate grade estimate. This increased drilling density is particularly important for defining the extent of the high-grade Ag-bearing and Sn-bearing structures, and for categorizing the mineral resources from inferred to indicated, which have a major influence on overall grade and resources that will contribute to the preliminary economic assessment (“PEA”).

An initial program of 5,700m of diamond drilling in 13 holes in the Santa Barbara starter pit area is now in progress to better define the vertical and lateral extent of high-grade Ag mineralization; fill-in gaps that are presently categorized as low-grade or waste in the resource model but are very likely mineralized; expand the higher-grade Sn mineralization to the west; and complete an additional 1,400m in two large size PQ holes for further metallurgical testing.

About Eloro Resources Ltd.

Eloro is an exploration and mine development company with a portfolio of gold and base-metal properties in Bolivia, Peru and Quebec. Eloro has an option to acquire a 100% interest in the highly prospective Iska Iska Property, which can be classified as a polymetallic epithermal-porphyry complex, a significant mineral deposit type in the Potosi Department, in southern Bolivia. A recent NI 43-101 Technical Report on Iska Iska, which was completed by Micon International Limited, is available on Eloro’s website and under its filings on SEDAR. Iska Iska is a road-accessible, royalty-free property. Eloro also owns an 82% interest in the La Victoria Gold/Silver Project, located in the North-Central Mineral Belt of Peru some 50 km south of the Lagunas Norte Gold Mine and the La Arena Gold Mine.

For further information please contact either Thomas G. Larsen, Chairman and CEO or Jorge Estepa, Vice-President at (416) 868-9168.

Information in this news release may contain forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company’s plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company. There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

Photos accompanying this announcement are available at

https://www.globenewswire.com/NewsRoom/AttachmentNg/503b6501-f9b6-4384-8bc1-44365bcdd850

https://www.globenewswire.com/NewsRoom/AttachmentNg/8d0b770b-72d5-46dd-950e-89fbe0dfc92d

https://www.globenewswire.com/NewsRoom/AttachmentNg/64bfc3bb-e8a4-4d42-a5a0-c91176f0c491

https://www.globenewswire.com/NewsRoom/AttachmentNg/ef1ad37a-4797-4068-9286-b1ffe7cdb4d9