Atacama Copper Announces Initial Exploration Results at the Placeton Project

Vancouver, March 28, 2022 - Atacama Copper Corp. (TSXV: ACOP) ("Atacama Copper" or the "Company") is pleased to announce the results and near completion of the initial phase of exploration at its 100% owned Placeton and Caballo Muerto projects (together the "Project").

The highlights of the program, results and next steps include:

• Fieldwork focused on the existing Placeton North, Placeton Central, Placeton South and Caballo Muerto targets covering approximately 2,000 Ha of the 4,428 Ha Placeton tenement package.

• Completion of surface geological and structural mapping, geochemistry survey, magnetics and near completion of geophysics covering all four target areas.

• Results identified two high-priority porphyry targets in Placeton Central-North and Caballo Muerto based on multiple occurrences of D-veins, phyllic alteration and leach capping, including geophysical and copper and molybdenum geochemical anomalies. Placeton South remain an area of high interest but requires further follow-up work to confirm and upgrade its potential.

• Placeton Central-North: Identification of a notable untested 1 x 1 km high magnetization anomaly, which partially coincides with the phyllically altered monzodioritic porphyry unit outcropping and with several copper mineralization occurrences at surface and molybdenum anomalies.

• Caballo Muerto: Identification of a new untested 2 x 1 km North-South elongated, geological-geophysical target with high-chargeable IP anomaly centered on a high-moderate magnetic anomaly below the phyllically altered porphyry outcrop.

• A follow-up geophysical IP program is planned for April 2022 with a focused strategy in better defining the sulfide-related anomalies along and below high-priority target, to refine drill targets in Placeton Central-North and Caballo Muerto. Drilling is planned to commence immediately following this.

Gino Zandonai, CEO of Atacama Copper said, "We are excited to have nearly completed the first phase of the exploration program on the Placeton project. The results have reinforced our conviction that the Placeton tenement package contains at least four porphyry targets, of which two have, to-date, been designated as high-priority. We look forward to progressing the follow-up geophysical survey in April so that we can drill-test these targets during Q2 2022."

Placeton Targets

Work Program

The geological and detailed structural mapping focused on key elements for porphyry copper assessment in the three targets areas (Placeton North, Placeton Central, and Placeton South) was performed over 25 km² from November until December 2021. A rock chip sampling program was carried out from December 2021 to January 2022. 136 samples were taken over the three targets which were integrated and analyzed alongside 159 samples taken during 2014. A study was carried out using the Mag-Drone method over an approximate area of 1,165 ha. A historical IP survey covering 4km of the Placeton South target was integrated into the current analysis.

Results

The identified intrusives are composed of a rhyodacite dome, monzonitic porphyry, and monzonite-granodioritic bodies. The alteration is silicification and phyllic (sericite, quartz) argillic (illite, montmorillonite, kaolinite) with developments of sub-propylitic halos (epidote chlorite, magnetite) and local tourmaline (Fig. 1). A leach capping with hematite and goethite, including pitch limonite and copper oxides (atacamite-chrysocolla) is developed in veins, disseminated, and breccia matrix. D-veins and local evidence of A-veins were identified (Fig. 2). These elements, when combined, provide strong evidence of the presence of an altered porphyry copper system. Additionally, a new phyllic altered porphyry dome outcrop area, south-east of Placeton South, has been identified with potential to add volume to the current target zone.

Figure 1: Geological map (1:5.000) of Placeton cluster area (left) and Ground Magnetometry survey (TM) with potential areas to growth.

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Figure 2: Photographs of Placeton Central and Placeton South outcrops with D veins, copper oxides and limonite.

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The geochemical anomalies exhibit a high correlation with the altered-mineralized centers, supporting the metal input location. In the case of copper, the most significant geochemical anomalies (up to 1,674 ppm) were found in the Monzodioritic Porphyry unit, and from the rhyodacitic dome the most significant molybdenum ("Mo") geochemical anomalies (up to 5.0 ppm) come mainly from intrusive facies of the Eocene Complex. Values from 22 to 28 ppm of Mo, are related with copper oxide mineralization at the central porphyry and near-by structures at the volcano-sedimentary bedrock (Fig. 3).

Figure 3: Geochemical survey results of copper and molybdenum at Placeton Central-North and Placeton South.

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The magnetic susceptibility modeling process ("MVI") shows a notable magnetic anomaly in the Central Placeton area which is extending into Placeton North (making an integrated target of both area for magnetic-deeper zones of porphyry copper model). The central part of the anomaly coincides partially with the phyllic- altered monzodioritic porphyry unit. The presence of a monzodioritic porphyry mapped at the surface and the high magnetic anomaly slightly displaced to the east, suggest a porphyry related magnetic alteration zone in Placeton Central (extended to the north). The historical geophysics at Placeton South, shows a strong chargeability anomaly 300m below surface coincident with the felsic body. The strong chargeability anomaly continues from 300m approximately 600m below surface.

Figure 4. 3D visualization of the MVI magnetic susceptibility model with plant view exposed at 2900 masl, accompanied by the topographic surface in Placeton indicate the porphyry outcrop of the central target (left) and IP-Chargeability line 5 in Placeton South (right).

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Caballo Muerto target

Work program

The geological mapping focused on the central target area was performed over a 10km² area from November until December of 2021. A rock chip sampling was carried out from December 2021 to January 2022. A total of 66 samples were taken over the target area. A magnetometry survey covering an area of 6 km² (600 ha) was conducted over the target area. Subsequently, an IP line was designed and completed in an NW-SE magnetic anomaly trend, covering a total distance of 4 km.

Results

A 600 x 700 m outcrop of an Eocene dacitic porphyry was identified in the central area of Caballo Muerto, which intrudes the Paleogene Estratos del Gaucho volcanoes-sedimentary sequence to the west. The target presents an argillic and well-defined phyllic alteration, with pitch limonite and boxworks of copper sulfides. To the west and the east of the phyllic center, chlorite-epidote alteration is developed in a 3 x 3 km halo surrounding the porphyry target. These results, suggest a coherent framework for a well-centered porphyry alteration system.

Figure 5. Geological map (1:10.000) of the Caballo Muerto area with potential areas to growth.

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Copper geochemical anomalies (up to 147 ppm) present in the rhyodacitic porphyry unit and, locally, the volcanic rocks of Cerro El Gaucho Strata, are related with NW-SW structures. Average Mo grades in the Caballo Muerto sector is 29 ppm (Fig. 6). The most significant Mo anomalies (up to 72 ppm) were found in the rhyodacitic porphyry unit (average 45 ppm), with a maximum value of 282 ppm. These elevated molybdenum anomalies, which could be found in the center axis of the porphyry systems, are strong indication of the metal source.

Figure 6: Geochemical survey results of copper and molybdenum at Caballo Muerto area.

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The 4 km long IP profile reached a depth of almost 1,000 m. The profile was designed to encompass the NW and SE magnetic anomalies (Fig. 7). The most significant anomaly is in the central anomaly, which brings together all the desirable aspects for sulfide mineralization: Intense high-chargeability moderate conductor centered, but radiating outside of a moderate-high magnetic anomaly. The presence of the phyllically altered porphyry, the IP anomaly, together with the terrestrial magnetometry, is configuring a consistent new 2 x 1km untested porphyry target with potential to the south and at depth.

Figure 7: MVI modeling (left) with the location of the IP line. 3D visualizations: electrical resistivity model and chargeability model (right above). 3D visualization of the 2D chargeability model together with the high-moderate magnetic. The star symbol demarcates the sector of most significant geophysical interest (right below).

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Follow-up Work Program and Next Steps

The work program to date has identified two high-priority targets with critical prospective attributes required in a mineralised porphyry system. However, the district is known to locally host sub-economic porphyries and domes emplaced in the late stages of the porphyry deposits, which could disguise or mask economic mineralisation in an early stage of drilling. This was the case at the neighbouring Relincho Deposit, where initial drilling faced part of the low-sulphide, low-mineralised units before, ultimately, discovery of the complete mineralised porphyry system. Consequently, it is considered necessary to define the presence and relative distribution of sulfides of each target through a follow-up IP geophysics survey. The survey will cover between 10 to 20km in length on the two-high priority targets focused on the leach cap zones and covering the magnetic anomalies. This will provide an excellent tool for targeted drilling to test for the presence of the expected hypogene and supergene mineralization.

Atacama Copper plans to complete the follow-up IP program in April 2022, followed immediately by drilling of the identified targets.

About Atacama Copper Corporation

Atacama Copper Corp. is a resource company focussing on the acquisition, exploration, and development of copper properties in Chile. It is committed to advancing the exploration and development of the Placeton and El Cofre projects, while concurrently looking to increase its asset portfolio through the acquisition and development of other high-value copper exploration, development, and production opportunities in Chile. Atacama Copper is currently focusing on the exploration of its Placeton project, an area located between the Relincho copper and El Morro Copper-gold projects of the NuevaUnion project owned jointly by Teck and Newmont Mining.

Additional Information - Please contact

For further information, please contact:

Atacama Copper Corp.
Gino Zandonai
Chief Executive Officer and Director
Email: info@atacamacopper.ca
Phone: +56 997 915 596

Qualified Person

The technical information contained in this news release has been reviewed and approved by Gino Zandonai of Atacama Copper Corp., a "Qualified Person" within the meaning of National Instrument 43-101.

Cautionary Statements

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