Intersects At Rainbow Deposit

VANCOUVER - Callinex Mines Inc. has more than doubled the vertical extent of the Rainbow Deposit by extending the high-grade copper, gold, silver and zinc deposit 257m closer to surface. The Rainbow is located at the 100% owned Pine Bay Project within a mineral lease, less than 250m from a high-voltage hydroelectric power-line and 550m from a historic shaft with direct road access to processing facilities in Flin Flon, MB. Drill hole PBM-121 intersected 7.55m of 5.01% copper eq consisting of 4.13% copper, 0.64 g/t gold, 11.08 g/t silver and 0.90% zinc (Rainbow Long Section). The high-grade intersection in PBM-121 is located 257m vertically above PBM-113-W2, the last reported intersection in the Rainbow, and 101m vertically above PBM-118 (Rainbow Cross Section). Drill hole PBM-118 intersected 7.77m of 5.55% CuEq comprising of 3.30% copper, 0.72 g/t gold, 7.48 g/t silver and 4.42% zinc at a vertical depth of 505m.  

Max Porterfield, President and CEO, said, ”We are excited to see the Rainbow expand closer to surface with the high-grade copper intersections announced today." Mr. Porterfield continued, "The Rainbow Deposit has the potential to be accessible by a ramp which in turn would translate to a more attractive development plan."

The Company has now defined the vertical extent of the Rainbow to the 405 meter level (ml) from the 662 ml that had been drilled prior to the 2021 drilling campaign. The previous step-out hole drilled into the Rainbow, PBM-113-W2, (Orange Zone) intersected 5.70m of 4.72% CuEq (3.57% Cu, 0.54 g/t Au, 21.41 g/t Ag and 1.56% Zn) (See News Release Dated January 21, 2021).

Currently, two rigs continue operating to expand the Rainbow closer to surface and at depth. Since the Company resumed drilling in mid February, 9 holes have been completed (3 holes abandoned) for a total of 7,600 meters out of a 30,000 meter budgeted drill program. Callinex will continue to provide results on an ongoing basis for the duration of the 2021 drilling campaign.

In addition, the Company has commenced two deep penetrating geophysical surveys along the trend that hosts the Rainbow and Sourdough deposits as well as the past producing Centennial Mine (Pine Bay Geophysical Grids). An induced polarization (IP) survey is being completed by Abitibi Geophysics using their proprietary OreVision IP system, which can reveal targets at four times the depth of conventional IP. The Rainbow Deposit was discovered by utilizing the OreVision IP system as a critical vectoring tool. The objective of the survey is to detect pyrite-rich mineralization that may host high-grade copper and zinc up to depths of 580m along the favorable volcanogenic massive sulphide (VMS) trend that hosts the known deposits. The 24 km IP Survey, currently underway, will span a linear 3.2 km north-south trend with line widths up to 1.4 km at 150m spacing.