SILVER MOUNTAIN´S RELIQUIAS MINE CONTINUES TO DELIVER - DRILLING HITS 1.15 METRES OF 682 G/T AGEQ AT THE PERSEGUIDA VEIN Key Highlights – Channel sampling at Reliquias Drill Hole SMR152-23-PER (PER vein)
SILVER MOUNTAIN´S RELIQUIAS MINE
CONTINUES TO DELIVER - DRILLING HITS
1.15 METRES OF 682 G/T AGEQ AT THE
PERSEGUIDA VEIN
Key Highlights – Channel sampling at Reliquias
Drill Hole SMR152-23-PER (PER vein)
1.15 m @ 454 g/t Ag, 0.70% Pb, 1.41% Zn, 0.03% Cu and 2.32 g/t Au, including
0.30 m @
1,600 g/t Ag
, 2.55% Pb, 5.08% Zn, 0.10% Cu and
8.00 g/t Au
Drill Hole SMR154-23-PER (PER vein)
1.15 m @ 354 g/t Ag, 1.56% Pb, 2.82% Zn, 0.13% Cu and 1.10 g/t Au, including
0.25 m @ 1
,151 g/t Ag,
4.11% Pb, 3.76% Zn, 0.27% Cu and
3.24 g/t Au
Drill Hole SMR151-23-VUL (PAS vein)
1.25 m @ 105 g/t Ag, 2.16% Pb, 1.35% Zn, 0.49% Cu and 0.24 g/t Au, including
0.35 m @ 324 g/t Ag, 6.55% Pb, 3.79% Zn, 1.53% Cu and 0.60 g/t Au
TORONTO
,
Oct. 12, 2023
/CNW/ - Silver Mountain Resources Inc. ("Silver Mountain" or "the
Company") (TSXV: AGMR) (OTCQB: AGMRF) announced the receipt of results from six additional
drill holes completed at its 100% owned Reliquias mine, central
Peru
. This is part of the Phase 2 of
the 2023 drilling campaign, in which the Company has completed 12,043 metres of diamond drilling
from 43 holes. So far, results have been received for 28 drill holes. Three underground drill rigs are
currently in operation at Reliquias.
Alvaro Espinoza
, President and CEO of Silver Mountain, expressed his enthusiasm: "The results
from the Perseguida vein continue to exceed our expectations. We are seeing high grade precious
metals and polymetallic values, proving once again that the Reliquias mine has more surprises under
its sleeve. Our crews are working hard drilling, rehabilitating, and sampling the workings at the
Reliquias Mine - having readily accessible tunnels and crosscuts will allow us to quickly restart mine
production and collect additional representative data points to upgrade our resource in the future. As
we move forward with our drilling, mine rehabilitation and channel sampling programs, we continue to
see excellent silver grades in the known veins, as well as promising high grade polymetallic values in
newly identified mineralized structures such as the Natividad vein. Reliquias continues to deliver, and
our strategy of simultaneously growing the resource and working towards future production is
bearing fruit."
Discussion of 2023 Drilling Results
The Company has so far received results from drill holes on the Sacasipuedes, Perseguida and
Matacaballo-Pasteur vein systems from four underground drill platforms: two from Sacasipuedes,
one from Perseguida and one from Matacaballo-Pasteur-Vulcano. Details on the location of the
underground drill platforms and drill traces are found in Figure 1. Table 1 also shows a summary of
the results announced in this news release. Details from all drill holes announced to date will be
posted on the Company's website (
https://agmr.ca/
)
Figure 1: Drill Hole Location Map of Phase 2 of the 2023 Drill program (CNW Group/Silver Mountain
Resources Inc.)
notes:1 Silver equivalent (Ag_Eq) grades are calculated using metal prices of: silver US$23.30/oz.,
gold US$1764/oz, copper US$9419/tm, lead US$2188/tm and zinc US$2813/tm. Silver equivalent
grade is calculated as Ag_Eq (oz/t) = (Ag (oz/t) + (Au (g/t)
*
2.40) + (Cu (%) * 2.70) + (Pb (%) *
0.80) + (Zn (%) * 0.80).
Metal recoveries have not been applied in the silver equivalent value
calculation. Table 1: Results from Phase 2 of the 2023 drilling program reported in this news release
(CNW Group/Silver Mountain Resources Inc.)
Drill holes SMR152-23-PER and SMR154-23-PER targeted the central portion of the Perseguida
("PER") vein, below the existing workings. Results confirm that the PER vein hosts some of the
highest silver grades in the Reliquias mine, and confirms the lateral and verticial continuity of this
mineralization. Drill hole SMR154-23-PER in particular, hit an area with little drilling coverage –
approximately 80 metres from the nearest intercept – and confirms the continuity of high grades hit
by earlier drilling under the old workings. Drill holes SMR151-23-VUL and SMR156-23-VUL were
aimed at testing both the Pasteur ("PAS") vein, on the easternmost sector of the ENE-WSW
Matacaballo vein system, and the Vulcano vein, a parallel structure located less than 100 metres to
the north of Pasteur. Results from Pasteur confirm the grades seen in earlier drilling and will be
incorporated in future resource estimates. Results from Vulcano ("VUL") suggest that, although the
quartz vein mapped on surface extends at depth, the segment tested in these drill holes host lower
silver grades. Additional drilling will test the lateral and vertical extensions to confirm if this quartz
vein hosts significant ore shoots. Figures 2 and 3 show grade-thickness long sections of the PER
and PAS veins respectively
Silver equivalent (Ag_Eq) grades are calculated using metal prices of: silver US$23.30/oz., gold
US$1764/oz, copper US$9419/tm, lead US$2188/tm and zinc US$2813/tm. Silver equivalent grade
is calculated as Ag_Eq (oz/t) = (Ag (oz/t) + (Au (g/t) * 2.40) + (Cu (%) * 2.70) + (Pb (%) * 0.80) +
(Zn (%) * 0.80). Metal recoveries have not been applied in the silver equivalent value calculation.
Figure 2: Long section of the PER vein showing grade thickness intercepts received to date (CNW
Group/Silver Mountain Resources Inc.)
Silver equivalent (Ag_Eq) grades are calculated using metal prices of: silver US$23.30/oz., gold
US$1764/oz, copper US$9419/tm, lead US$2188/tm and zinc US$2813/tm. Silver equivalent grade
is calculated as Ag_Eq (oz/t) = (Ag (oz/t) + (Au (g/t) * 2.40) + (Cu (%) * 2.70) + (Pb (%) * 0.80) +
(Zn (%) * 0.80). Metal recoveries have not been applied in the silver equivalent value calculation.
Figure 3: Long section of the PAS vein showing AgEq intercepts (CNW Group/Silver Mountain
Resources Inc.)
The 2023 drill program consists of two phases: an initial 3,500 metre phase using BQ diameter core
(now completed); and a second 12,500 meter phase using NQ and HQ diameter core. Full results
from the BQ diameter drilling have now been announced (see also
March 29
th
and
July 19
th
news
release at
https://agmr.ca/news/
). The second phase of infill drilling started in
June 2023
and
continues with 3 rigs working in the upper levels of the MTC (Matacaballo), MTS (Meteysaca), and
SCS (Sacasipuedes) vein systems, where high grade historical resource blocks remain outside of
the current resource estimate. The Company plans to incorporate these high-grade blocks in future
resource estimates. Results will be announced as they become available.
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 undertake exploration activities at its prospective silver
camps at the Castrovirreyna Project in Huancavelica,
Peru
.
For additional information in respect of 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
Silver Mountain's subsidiary Sociedad Minera Reliquias S.A.C. owns 100% of its concessions and
holds more than 60,000 hectares in the district of Castrovirreyna, Huancavelica,
Peru
.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
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.
All drill holes are diamond core holes with BQ, HQ or NQ core diameters. Drill core is collected at
the underground drill site where recovery measurements are taken before the core is transported by
truck to the core logging facility at the Caudalosa Grande mine camp, where it is photographed and
geologically logged. The core is then cut in half with a diamond saw blade with half the sample
retained in the core box for future reference and the other half placed into a pre-labelled plastic bag,
sealed with a plastic zip tie, and identified with a unique sample number. The core is typically
sampled over a 1 - 2 metre sample interval unless the geologist determines the presence of an
important geological contact. The bagged samples are then stored in a secure area pending
shipment to a certified laboratory sample preparation facility.
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 or Certimin laboratories 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 "
Forward-Looking Statements"
and "
Risk Factors
" in the Company's final prospectus
dated
January 26, 2022
, and other disclosure documents available on the Company's profile at
www.sedar.com
. 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.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/October2023/12/c5908.html
%SEDAR: 00052252E
For further information:
Alvaro Espinoza, Chief Executive Officer, 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 12-OCT-23