Silver Mountain Receives Environmental Approval to Drill Multiple High Priority Targets Within the Dorita Block - Castrovirreyna Project, PERU
SILVER MOUNTAIN RECEIVES
ENVIRONMENTAL APPROVAL TO DRILL
MULTIPLE HIGH PRIORITY TARGETS WITHIN
THE DORITA BLOCK - CASTROVIRREYNA
PROJECT, PERU
TORONTO
,
Sept. 20, 2023
/CNW/ - Silver Mountain Resources Inc. ("Silver Mountain" or "the
Company") (TSXV: AGMR) (OTCQB: AGMRF) is pleased to announce that it has received approval
from Peru´s Ministry of Energy and Mines for its Environmental Impact Declaration (or "DIA") for the
Dorita block, one of three groups of mining concessions which make up its 100% owned
Castrovirreyna Project, central
Peru
. This authorization allows the Company to drill 60 diamond holes
in 21 drill platforms over 15 months, to build access roads, and to build any other component needed
for its approved activities.
Alvaro Espinoza
, CEO of Silver Mountain, remarked, "
Obtaining the DIA for Dorita is a significant
milestone for Silver Mountain and its strategy of advancing the highest priority exploration targets
in parallel to the current underground drill program aimed at growing the mineral resource at the
nearby Reliquias mine. Once all additional required permits are obtained, we intend to rapidly
advance Dorita to grow the mineral inventory in our over 60,000 hectare land package.
"
The DIA authorization is the initial part of the exploration permitting process in
Peru
. With this
authorization in hand, the Company will request authorization to initiate activities, the final permit
needed to begin drilling.
Description of the Dorita Block
The Dorita block is the northernmost group of mining claims and concessions making up the
Company´s 100% owned Castrovirreyna project, covering over 31,000 hectares. Company
geologists have identified three priority targets at Dorita: the Dorita, Dorita North, and Huancarpusa
targets. Figure 1 shows the location of the exploration targets within the Dorita block.
Figure 1: Exploration target location within the Dorita block (CNW Group/Silver Mountain Resources
Inc.)
At Dorita, a 2.5 km x 1.5 km advanced argillic alteration zone coincides with a prominent magnetic
low. The alteration at Dorita is typical of high sulphidation epithermal deposits, with extensive zones
of alunite, pyrophyllite and dickite alteration with localized vuggy silica zones around dacitic porphyry
stocks. Several mineralized veins and silicified ribs have been identified to date.
At Dorita North and Huancarpusca, silicified and locally brecciated ribs with Au-Ag-Pb-Zn
mineralization are hosted in andesitic lava flows and dacitic domes. Significant argillic alteration,
occurring as illite-semctite and kaolinite, can be seen over the 1.8km long corridor hosting these
silicified ribs. The main mineralized structures have a NE-SE orientation and outcrop over strike
lengths of hundreds of meters with gold grades of up to 7.2 g/t Au (see Figure 2) - see
https://agmr.ca/high-sulphidation-target-at-pucasora-done-dorita-project/
for a description of the
mineralization found at Dorita.
Figure 2: Dorita North target with outcropping silicified structures (CNW Group/Silver Mountain
Resources Inc.)
Of the 21 approved platforms, 8 are located in the Huancarpusa target, 6 in Dorita and 7 in Dorita
North. Drill platform locations can be modified within the approved working area at any time. Figure
3 shows the location of supported platforms approved at Dorita.
Figure 3: Dorita block showing area approved for mining activity and proposed drill platforms and
drill holes (CNW Group/Silver Mountain Resources Inc.)
Drilling in the Dorita block is part of the Company´s two-pronged strategy to advance the
Castrovirreyna project, through rapidly growing the Reliquias mine and fast-tracking the various
exploration targets identified to date. Underground drilling in the Reliquias mine continues with three
rigs, and our teams are moving forward with the mine rehabilitation needed for a future production
start-up. Company geologists continue exploring the 60,000 hectare land package in one of
South
America's
most prolific mining belts.
On Behalf of the Board of Directors of Silver Mountain Resources Inc.
Alvaro Espinoza
, Chief Executive Officer
Qualified Person
Antonio Cruz Bermudez
, , P. Geo. Registered Member MAIG is an independent consultant of the
Company and the Qualified Person (within the meaning of NI 43-101) responsible for the MRE, has
reviewed and approved the scientific and technical information contained in this news release.
About Silver Mountain
Silver Mountain Resources Inc. is a silver explorer and mine developer planning to restart production
at the Reliquias underground mine and currently exploring its 100% owned Castrovirreyna Project,
consisting of over 60,000 hectares of highly prospective mineral claims and concessions located in
the Huancavelica Region, central
Peru
. For additional information regarding the Castrovirreyna
Project, please refer to the Company's technical report, titled NI 43-101 Technical Report Mineral
Resource Estimate for the Reliquias Mine, Huancavelica-
Peru
, dated
March 27, 2023
, effective
date
March 18, 2023
, available at
https://sedar.com
.
For further information about our drill program, including cross sections of the main veins with drill
hole locations, please refer to our corporate presentation, available on our website at
www.agmr.ca
.
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.
Sampling, QA/QC, and Analytical Procedures
Silver Mountain follows systematic and rigorous sampling and analytical protocols which meet
industry standards. These protocols are summarized below.
Rock channel samples were collected with an electric percussion hammer and do not exceed
1.0 m
in length. Channels are broken at obvious geologic boundaries to correctly separate rock types and
mineralization styles. The sample bags were sealed with a plastic zip tie and identified with a unique
sample number, pending shipment to a certified laboratory sample preparation facility.
Samples are sent by batch to the ALS laboratory in
Lima
for assay. Silver Mountain independently
inserts certified control standards, fine and coarse blanks, and duplicates into the sample stream to
monitor data quality. These standards are inserted "blindly" to the laboratory in the sample sequence
prior to departure from the core storage facilities. At the laboratory, samples are dried, crushed,
and pulverized and then analyzed using a fire assay-AA finish analysis for gold and a full multi-acid
digestion with ICP-AES analysis for other elements. Samples with results that exceed maximum
detection values for the main elements of interest (Ag, Zn, Pb, Cu) are re-analyzed using precise
ore-grade ICP analytical techniques, while high gold values are re-analyzed by fire assay with a
gravimetric finish.
Forward Looking Statements
This news release contains forward-looking statements and forward-looking information within the
meaning of Canadian securities legislation (collectively, "
forward-looking statements
") that relate
to Silver Mountain's current expectations and views of future events. Any statements that express, or
involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or
performance (often, but not always, through the use of words or phrases such as "will likely result",
"are expected to", "expects", "will continue", "is anticipated", "anticipates", "believes", "estimated",
"intends", "plans", "forecast", "projection", "strategy", "objective" and "outlook") are not historical
facts and may be forward-looking statements and may involve estimates, assumptions and
uncertainties which could cause actual results or outcomes to differ materially from those expressed
in such forward-looking statements. No assurance can be given that these expectations will prove to
be correct and such forward-looking statements included in this news release should not be unduly
relied upon. These statements speak only as of the date of this news release.
Forward-looking statements are based on a number of assumptions and are subject to a number of
risks and uncertainties, many of which are beyond Silver Mountain's control, which could cause
actual results and events to differ materially from those that are disclosed in or implied by such
forward-looking statements. Such risks and uncertainties include, but are not limited to, the factors
set forth under "
Caution Regarding Forward-Looking Statements"
and "
Risk Factors
" in the
Company's Annual Information Form dated
August 14, 2023
, and other disclosure documents
available on the Company's profile on SEDAR+ at
www.sedarplus.ca
. Silver Mountain undertakes no
obligation to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as may be required by law. New factors emerge
from time to time, and it is not possible for Silver Mountain to predict all of them or assess the
impact of each such factor or the extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any forward-looking statement. Any forward-
looking statements contained in this news release are expressly qualified in their entirety by this
cautionary statement.
SOURCE
Silver Mountain Resources Inc.
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For further information:
Alvaro Espinoza, Chief Executive Officer, [email protected], Silver
Mountain Resources Inc, 82 Richmond Street East, Toronto, ON M5C 1P1, +51 954 475 319,
[email protected], www.agmr.ca
CO: Silver Mountain Resources Inc.
CNW 07:00e 20-SEP-23