AbraSilver Continues to Intersect High-Grade, Near-Surface Silver Mineralization in New Southwest Zone Including 25 Metres of 754 g/t Silver
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www.abrasilver.com
AbraSilver Continues to Intersect High-Grade, Near-Surface Silver Mineralization in New
Southwest Zone Including 25 Metres of 754 g/t Silver
Toronto – November 09, 2022: AbraSilver Resource Corp. (TSX.V: ABRA; OTCQX: ABBRF)
(“AbraSilver” or the “Company”) is pleased to announce new assay results from four diamond drill holes
from the ongoing 15,000 metre Phase III program on the Company’s wholly-owned Diablillos property in
Salta Province, Argentina (“Diablillos” or the “Project”).
Two of the four holes were drilled in the newly discovered Southwest zone (JAC target) which is located
several hundred meters southwest of the current Mineral Resources on the main Oculto deposit. Both of
the latest holes at the JAC target returned near-surface, high-grade silver mineralization in oxides over
multiple intercepts. Key takeaways include:
Hole DDH 22-052 drilled in to the JAC target intersected two mineralised zones, with the upper
zone starting at a down-hole depth of only 74.0 meters intersecting 16.5 meters grading
389 g/t Ag, while the lower zone intersected 25.0 metres grading 754 g/t Ag (and 0.12 g/t Au)
from139.5 to 164.5 metres down-hole.
o The second intercept included an 18.5 metre interval grading 975 g/t Ag
Hole DDH 22-053 drilled in the JAC target returned 28.0 metres grading 319 g/t AgEq in oxides
(comprised of 266 g/t Ag and 0.64 g/t Au) starting at a down-hole depth of 140.5 metres.
The latest assay result highlights are summarized in Table 1 and Table 2 below.
Table 1 – Diablillos Drill Results at JAC Target
(Intercepts greater than 2,000 gram-metres AgEq shown in bold text):
Drill Hole
From
(m)
To
(m) Type
Interval
(m)
Ag
g/t
Au
g/t
AgEq1
g/t
DDH-22-052 74.0 90.5 Oxides 16.5 389.4 0.01 390.2
DDH-22-052 95.5 126.5 Oxides 31.0 62.9 0.23 81.7
DDH-22-052 139.5 164.5 Oxides 25.0 754.4 0.12 764.2
DDH-22-052 Includes 141.0 159.5 Oxides 18.5 975.1 0.16 988.2
DDH-22-053 117.5 120.5 Oxides 3.0 52.9 0.12 62.7
DDH-22-053 124.5 136.5 Oxides 12.0 44.9 0.12 54.7
DDH-22-053 140.5 168.5 Oxides 28.0 266.4 0.64 318.8
DDH-22-053 Includes 156.5 157.5 Oxides 1.0 1,794.0 2.33 1,984.8
Note: All results in this news release are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths.
True widths are estimated to be approximately 80% of the interval widths.
1AgEq based on 81.9(Ag):1(Au) calculated using long-term prices of US$25.00/oz Ag and US$1,750/oz Au, and 73.5%
process recovery for Ag, and 86.0% process recovery for Au as demonstrated in the Company’s Preliminary Economic
assessment in respect of Diablillos dated January 13, 2022, using formula: AgEq g/t = Ag g/t + Au g/t x (Gold
Price/Silver Price) x (Gold Recovery/Silver Recovery)
John Miniotis, President and CEO, commented, “Our drilling in the newly discovered JAC target in the
Southwest zone continues to return very strong silver results with consistent, high-grade intercepts over
broad widths, located close to surface. Both drill rigs are rapidly advancing our understanding of this
new exploration target in preparation for an updated Mineral Resource estimate in H1/2023, to be
followed by a Pre-Feasibility Study on the entire project.”
Dave O’Connor, Chief Geologist, commented, “These latest drill results continue to highlight the
exploration potential well beyond the conceptual open pit boundary of our Oculto deposit. These are
exciting times for the Company, as the Diablillos project has done nothing but improve over the past few
years and we see significant upside potential ahead based on all the assay results received to date from
our new JAC target.”
Figure 1 – Diablillos Plan View of Drill Results & Exploration Targets
Within the Oculto deposit, holes DDH 22-035 and DDH 22-048 were aimed to test the extent of the East
Breccia zone. Both holes encountered mineralization in oxides, with hole DDH 22-035 intersecting 30.0
metres at 7 g/t Ag and 1.47 g/t Au (128 g/t AgEq), and hole DDH 22-048 intersecting 59.0 metres at
55 g/t Ag and 1.14 g/t Au (148 g/t AgEq). While there remains good exploration upside potential within
the Oculto deposit, the Company has placed both of its drill rigs in the new Southwest zone, which now
represents the main exploration target for the 15,000m Phase III drill program, out of which 6,400m has
been completed to date.
Table 2 – Diablillos Drill Results at Oculto Deposit
(Intercepts greater than 2,000 gram-metres AgEq shown in bold text):
Drill Hole
From
(m)
To
(m) Type
Interval
(m)
Ag
g/t
Au
g/t
AgEq1
g/t
DDH-22-035 357.0 387.0 Oxides 30.0 7.1 1.47 127.5
DDH-22-035 Includes 357.0 364.5 Oxides 7.5 8.3 2.68 227.8
DDH-22-035 393.0 410.5 Sulphides 17.5 5.4 1.70 144.6
DDH-22-048 144.0 156.0 Oxides 12.0 285.7 0.19 301.3
DDH-22-048 Includes 153.0 154.0 Oxides 1.0 1,997.0 1.19 2,094.5
DDH-22-048 218.0 219.0 Oxides 1.0 58.6 1.41 174.1
DDH-22-048 231.0 290.0 Oxides 59.0 54.5 1.14 147.9
DDH-22-048 265.0 269.0 Oxides 4.0 168.2 1.75 311.5
DDH-22-048 285.0 290.0 Oxides 5.0 37.8 4.05 369.5
Note: All results in this news release are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths.
True widths are estimated to be approximately 80% of the interval widths.
1AgEq based on 81.9(Ag):1(Au) calculated using long-term prices of US$25.00/oz Ag and US$1,750/oz Au, and 73.5%
process recovery for Ag, and 86.0% process recovery for Au, using formula: AgEq g/t = Ag g/t + Au g/t x (Gold
Price/Silver Price) x (Gold Recovery/Silver Recovery)
New Southwest Zone
To date, assay results have been received for a total of five holes in the JAC target, located southwest
of the Oculto deposit, with all five holes returning high-grade, silver mineralization in oxides near-surface.
The JAC target remains open in all directions, with a total of 16 holes having now been drilled in this new
zone with assays currently awaited on nine holes. Figure 2 below displays a cross-section of the drill
results received to date in the Southwest zone.
Hole DDH 22-052 was drilled approximately 50 metres north of the initial JAC target discovery hole, DDH
22-019, and encountered several well-mineralized zones, including an intercept of 25.0 metres of 754
g/t Ag and 0.12 g/t Au in oxides (from 139.5 to 164.5 metres), including 18.5 metres grading 975 g/t
Ag and 0.16 g/t Au. Closer to surface (from 74.0 to 90.5 metres), DDH 22-052 also encountered a
separate intercept of 16.5 metres grading 389 g/t Ag and 0.01 g/t Au. Silver mineralisation is hosted
in oxidised hydrothermal breccia which is the typical host rock of the high-grade silver mineralisation in
the Southwest Zone. The hole was drilled to a down-hole depth of only 191.0 metres.
Hole DDH 22-053 was drilled approximately 50 metres south of the initial JAC target discovery hole, DDH
22-019, and intersected several zones of shallow silver mineralization in oxides, including 28.0 metres
at 319 g/t AgEq (comprised of 266 g/t Ag and 0.64 g/t Au from 140.5 to 168.5 metres), including a narrow
intercept of 1.0 metre with bonanza grades of 1,794g/t Ag and 2.33g/t Au (2,095 g/t AgEq, from 156.5
to 157.5 metres). The hole was drilled to a down-hole depth of 275.0 metres.
Figure 2 – Cross Section of Results to Date in New Southwest Zone
*Note: Holes DDH 22-019, DDH 22-044 and DDH 22-046 were previously reported.
The mineralization in the Southwest zone is related to a large, linear magnetic anomaly which appears
to be open for approximately 800 metres along strike and has never had any previous drilling. Figure 3
below, shows a 3D representation of the new large-scale JAC target.
Figure 3 – 3D Representation of Large-Scale JAC Target
Maiden Mineral Resource Estimate on Southwest Zone and Pre-Feasibility Study in H1/2023
The Company currently has two drill rigs actively exploring the Southwest zone and expects to announce
a maiden Mineral Resource estimate for this new zone in H1/2023. The Company is also planning to
announce a Pre-Feasibility Study (the “PFS”) in H1/2023, which will incorporate the recent updated
Mineral Resource on the Oculto deposit, announced on November 3, 2022, along with the potential
maiden Mineral Resource estimate on the new Southwest zone. The PFS will be supported by a total
of more than 120,000 metres of drilling in approximately 500 drill holes. A second detailed metallurgical
test work campaign is well underway, which along with the first campaign, will serve as the basis for
process optimization and an expected improvement in the recovery rates of silver for the PFS.
Collar Data
Hole Number UTM Coordinates Elevation Azimuth Dip Depth (m)
DDH 22-035 E720507 N7199290 4,358 315 -60 410.5
DDH 22-048 E720349 N7199304 4,310 358 -59 380
DDH 22-052 E719673 N7198830 4,166 359 -60 191
DDH 22-053 E719674 N7198739 4,166 359 -59 275
About Diablillos
The 80 km 2 Diablillos property is located in the Argentine Puna region - the southern extension of the
Altiplano of southern Peru, Bolivia, and northern Chile - and was acquired from SSR Mining Inc. by the
Company in 2016. There are several known mineral zones on the Diablillos property, with the Oculto
zone being the most advanced with over 120,000 metres drilled to date. Oculto is a high-sulphidation
epithermal silver-gold deposit derived from remnant hot springs activity following Tertiarty-age local
magmatic and volcanic activity. Comparatively nearby examples of high sulphidation epithermal deposits
include: Yanacocha (Peru); El Indio (Chile); Lagunas Nortes/Alto Chicama (Peru) Veladero (Argentina);
and Filo del Sol (Argentina).
The most recent Mineral Resource estimate for the Oculto Deposit is shown in Table 3:
Table 3 - Oculto Mineral Resource Estimate – As of October 31, 2022
Category Tonnage
(000 t)
Ag
(g/t)
Au
(g/t)
Contained Ag
(000 oz Ag)
Contained Au
(000 oz Au)
Measured 19,336 98 0.88 60,634 544
Indicated 31,978 47 0.73 48,737 752
Measured &
Indicated 51,314 66 0.79 109,370 1,297
Inferred 2,216 30 0.51 2,114 37
Notes: Effective October 31, 2022. Mineral Resources are not Mineral Reserves and have not demonstrated economic
viability. The Mineral Resource estimate is N.I. 43-101 compliant and was prepared by Luis Rodrigo Peralta, B.Sc., FAusIMM
CP(Geo), Independent Consultant. A full Technical Report in respect of the Mineral Resource will be prepared in accordance
with NI 43-101 and will be filed on SEDAR within 45 days of the news release dated November 03, 2023. The mineralisation
estimated in the Mineral Resource is sub-horizontal with sub-vertical feeders and a reasonable prospect for eventual economic
extraction by open pit methods.
QA/QC and Core Sampling Protocols
AbraSilver applies industry standard exploration methodologies and techniques, and all drill core samples
are collected under the supervision of the Company’s geologists in accordance with industry practices.
Drill core is transported from the drill platform to the logging facility where drill data is compared and
verified with the core in the trays. Thereafter, it is logged, photographed, and split by diamond saw prior
to being sampled. Samples are then bagged, and quality control materials are inserted at regular
intervals; these include blanks and certified reference materials as well as duplicate core samples which
are collected in order to measure sample representivity. Groups of samples are then placed in large bags
which are sealed with numbered tags in order to maintain a chain-of-custody during the transport of the
samples from the project site to the laboratory.
All samples are received by the SGS offices in Salta who then dispatch the samples to the SGS
preparation facility in San Juan. From there, the prepared samples are sent to the SGS laboratory in
Lima, Peru where they are analyzed. All samples are analyzed using a multi-element technique
consisting of a four acid digestion followed by ICP/AES detection, and gold is analyzed by 50g Fire Assay
with an AAS finish. Silver results greater than 100g/t are reanalyzed using four acid digestion with an ore
grade AAS finish.
Qualified Persons
David O’Connor P.Geo., Chief Geologist for AbraSilver, is the Qualified Person as defined by National
Instrument 43-101 Standards of Disclosure for Mineral Projects, and he has reviewed and approved the
scientific and technical information in this news release.
About AbraSilver
AbraSilver is an advanced-stage exploration company focused on rapidly advancing its 100%-owned Diablillos
silver-gold project in the mining-friendly Salta province of Argentina. The current Measured and Indicated Mineral
Resource estimate for Diablillos consists of 51.3 Mt grading 66g/t Ag and 0.79g/t Au, containing approximately
109Moz silver and 1.3Moz gold, with significant further upside potential based on recent exploration drilling. The
Company is led by an experienced management team and has long-term supportive shareholders including Mr.
Eric Sprott. In addition, AbraSilver owns a portfolio of earlier-stage copper-gold projects including the La Coipita
copper-gold project in the San Juan province of Argentina. AbraSilver is listed on the TSX-V under the symbol
“ABRA” and in the U.S. under the symbol “ABBRF”.
For further information please visit the AbraSilver Resource website at www.abrasilver.com, our LinkedIn page at
AbraSilver Resource Corp., and follow us on Twitter at www.twitter.com/abrasilver
Alternatively please contact:
John Miniotis, President and CEO
Tel: +1 416-306-8334
Cautionary Statements
This news release includes certain "forward-looking statements" under applicable Canadian securities legislation.
Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while
considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause
the actual results and future events to differ materially from those expressed or implied by such forward-looking
statements. All statements that address future plans, activities, events or developments that the Company believes,
expects or anticipates will or may occur are forward-looking information. There can be no assurance that such
statements will prove to be accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking
statements. When considering this forward-looking information, readers should keep in mind the risk factors and
other cautionary statements in the Company’s disclosure documents filed with the applicable Canadian securities
regulatory authorities on SEDAR at www.sedar.com. The risk factors and other factors noted in the disclosure
documents could cause actual events or results to differ materially from those described in any forward-looking
information. The Company disclaims any intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise, except as required by law.
Neither the 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 news release