Defiance Discovers High-Grade Zones in Historically Unsampled Drill Core
Defiance Discovers High-Grade Zones in
Historically Unsampled Drill Core
Vancouver, British Columbia--(Newsfile Corp. - October 2, 2023) -
Defiance Silver Corp.
(TSXV: DEF)
(OTCQX: DNCVF) (FSE: D4E) (WKN: A1JQW5) ("
Defiance
" or the "
Company
") is pleased to share
that new sampling of historic drill core has revealed previously unrecognized zones with high grade and
wide widths within the San Acacio project area. Defiance geologists successfully used advances in our
deposit and district knowledge to identify and target favourable structural positions and mineralization
styles that were overlooked in historic sampling campaigns. Significant results are reported in holes
SAD-15-05, SAD-15-06, SAD-15-07, SAD-15-08, SAD-17-14, SAD-17-15, and SAD-17-16; these
holes were drilled during the 2015 and 2017 drilling campaigns. Notable silver mineralization over wide
widths was encountered.
The company is encouraged by the success of this campaign, as it supports a growing resource on the
Veta Grande vein system as well as validates the geological modeling and understanding of the mineral
system potential. The company will continue to evaluate additional drill holes from the extensive district-
wide drill core library.
Chris Wright, Chairman & CEO, commented: "Multiple years of technical analysis have outlined and
confirmed that resource building targets exist in the hanging-wall and footwall of the main Veta Grande
structure. Our team has diligently built a comprehensive geologic model that has led to the intersection of
wide intervals and high-grade mineralization."
Highlights:
SAD-17-14 - discovered wide widths of appreciable grades including 6.83m of 157 g/t AgEq
(from 283.21 - 290.04m) including 2.30 m of 376 g/t AgEq (from 284.65 - 286.95m) with a high-
grade sub interval of 1180.00 g/t Ag and 2.23 g/t Au or 1369 g/t AgEq (from 284.65 - 285.00m).
SAD-17-15 - returned a significant interval of silver mineralization of 36.70m of 154.80 g/t Ag or
162 g/t AgEq (from 191.30 - 228.00m) when composited with the previously released results (
See
October 25
th
, 2017 News Release
). Other notable results in this wide interval include 6.81m of 296
g/t AgEq (from 203.01 - 209.82m), including a high-grade sub-interval of 629 g/t AgEq over 2.82m
(from 207.00 - 209.82m). A further wide sub-interval of 15.00m of 137.91 g/t Ag or 145 g/t AgEq
was encountered from 213.00 - 228.00m.
SAD-17-16 - encountered 2.31m of 202 g/t AgEq (from 219.40 - 221.71m) in the Veta Navidad
zone.
SAD-15-06 - returned 2.50m of 127 g/t AgEq (from 155.00 - 157.50m) in a hanging-wall (HW)
veinlet-array splay zone.
SAD-15-07 - intersected 1.12m of 267 g/t AgEq (from 156.35 - 157.47m), as well as a 3.77m
interval of 123 g/t AgEq from 166.07 - 169.84m. The deeper intercept is located on the same
structure as the reported intercept in SAD-15-06.
SAD-15-08 - a 1.63m interval returned 165 g/t AgEq (from 97.65 - 99.28m) and a 1.54m interval of
212 g/t AgEq (from 131.15 - 132.69m) in the Veta Navidad zone.
Table 1: Select table of results
H
ole ID
From (m)
To (m)
Interval (m)
Ag g/t
Au g/t
Pb %
Zn %
AgEq g/t
QAQC
SAD-15-05
98.00
99.00
1.00
98.30
0.10
0.01
0.03
107
a
SAD-15-05
105.15
109.80
4.65
91.40
0.15
0.08
0.28
114
a
Including
105.15
106.00
0.85
307.52
0.06
0.05
0.16
319
a
SAD-15-05
127.76
130.48
2.72
153.46
0.02
0.05
0.13
161
a
SAD-15-06
155.00
157.50
2.50
117.88
0.08
0.03
0.04
127
a
SAD-15-07
156.35
157.47
1.12
235.00
0.30
0.07
0.16
267
a
SAD-15-07
166.07
169.84
3.77
88.94
0.16
0.13
0.51
123
a
Including
169.00
169.84
0.84
283.08
0.26
0.12
0.52
324
a
S
AD-15-08
97.65
99.28
1.63
157.74
0.06
0.02
0.07
165
a
SAD-15-08
131.15
132.69
1.54
200.74
0.10
0.02
0.09
212
a
SAD-17-14
283.21
290.04
6.83
128.60
0.25
0.06
0.18
157
a
Including
284.65
286.95
2.30
318.78
0.59
0.08
0.22
376
a
Including
284.65
285.00
0.35
1180.00
2.23
0.07
0.18
1369
a
SAD-17-15
191.30
228.00
36.70
154.80
0.02
0.06
0.14
162
a,b
Including
195.00
211.85
16.85
200.07
0.02
0.07
0.19
210
a,b
Including
203.01
209.82
6.81
279.32
0.03
0.12
0.32
296
a
Including
207.00
209.82
2.82
594.60
0.07
0.27
0.65
629
a
Including
208.44
209.82
1.38
854.00
0.06
0.28
0.27
876
a
Including*
209.82
213.00
3.18
285.04
0.02
0.05
0.17
294
b
Including
213.00
228.00
15.00
137.91
0.02
0.07
0.11
145
a, b
Including
221.41
228.00
6.59
228.10
0.03
0.14
0.19
241
b
Including
225.00
228.00
3.00
435.00
0.06
0.28
0.37
460
b
SAD-17-16
219.40
221.71
2.31
191.98
0.10
0.02
0.05
202
a
Including
219.40
219.75
0.35
810.00
0.44
0.07
0.10
851
a
Table 1
- Silver equivalent is calculated using the following formula: Silver-Equivalent AgEq g/t=
(Au_ppm x 61.71492) + (Ag_ppm x 0.761168) + (Pb_% x 22.44413) + (Zn_% x 24.40404)/(0.761168).
Metal price assumptions are Au: $1919.55, Ag: $23.67, Pb: $1.02 Zn: $1.10. A 30-day price average
is used to determine USD metal prices, and 100% recovery has been assumed for all metals. At this
stage of the project, reliable metallurgy has yet to be completed, and the reader is cautioned that
100% recoveries are never achieved. True thickness is assumed to be 50% -- 80% of downhole width.
*previously reported intercept (
See October 25th, 2017 News Release
)
Quality Assurance and Quality Control (QAQC):
a-
2023 sampling QAQC procedures discussed at the end of this news release.
b-
2015 and 2017 sampling QAQC procedures discussed at the end of this news release.
Figure 1: Overview Map of San Acacio Drill Holes Reported in this Release
Figure 1
. Plan map of drilling at the San Acacio project. Drill holes reported in this release, which are
historic holes with new assay results from unsampled intervals, are shown in yellow. Drill holes with
pending (to be reported) results from recent drilling are shown in green. Coordinates are in UTM
WGS84 Zone 13N.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2950/182594_efde9b87e4aae995_002full.jpg
Figure 2: Cross Section of Hole SAD-17-15
Figure 2
. Cross-section of hole SAD-17-15, looking northwest. Results from the new assays of historic
Defiance Silver drill core are highlighted in the red boxes.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2950/182594_efde9b87e4aae995_003full.jpg
Figure 3: Cross Section of Holes SAD-15-05 and SAD-15-06
Figure 3.
Cross-section of holes SAD-15-05 and SAD-15-06, looking northwest. Results from the new
assays of historic Defiance Silver drill core are highlighted in the red boxes. Recent Defiance drill
holes are show on section, as well as a new hole, DDSA-23-69, with pending results.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/2950/182594_efde9b87e4aae995_004full.jpg
Discussion of Results:
Re-logging and sampling of historic drill holes was designed to identify and subsequently sample
mineralization that was not analyzed during previous drill campaigns. The updated geologic models and
new assays confirm and expand upon the mineralized vein splays and veinlet zones that were identified
during recent drilling campaigns. These zones of high-grade silver veinlets and stockwork zones are
significant ongoing exploration targets and are actively being incorporated into the deposit model.
Reported intervals were dominantly found in the hanging-wall (HW) of the main Veta Grande structure.
The technical team believes that understanding the splays and veinlet zones as well as the structural
controls on grade distribution are key to expanding the San Acacio resource.
The following drill holes are discussed in spatial order, beginning in the northwest (NW) and moving
towards the southeast (SE). SAD-17-16, SAD-15-07, SAD-15-08, SAD-15-05, SAD-15-06 are part of
the NW zone where significant HW grade is found in unassuming veinlet array zones. Holes SAD-17-14
and SAD-17-15, in the central to SE portion of the San Acacio resource area, begin to delineate vein
splays, including the historically identified Veta Intermedio; grade is dominantly located in more formal
HW structures and associated veinlet swarms. These learnings are being incorporated into the current
grade and geologic model to guide future drilling at the project.
SAD-17-16 encountered 2.31m of 191.98 g/t Ag or 202 g/t AgEq (from 219.40 - 221.71m) in the Veta
Navidad zone. The Veta Navidad zone is in the NW extent of the San Acacio resource area, and this
style of mineralization has been encountered in nearby holes. Structural review and modelling are
currently underway to define this zone, and future oriented core drilling is planned for this area.
SAD-15-07 and SAD-15-08 were drilled from the same pad. SAD-15-08 intersected the Veta Navidad
zone high in the hole. During re-logging, additional mineralized veinlet zones in the HW and FW were
noted and sampled. These intercepts returned 1.63m of 165 g/t AgEq from 97.65m, and 1.54m of 212
g/t AgEq from 131.15m. The central portion of the Veta Navidad zone in SAD-15-08 was previously
reported (
See October 25
th
, 2017 News Release
). The new reported intervals in SAD-15-07 are from
the recently identified mineralized HW veinlet splay zones. The shallower splay zone returned 1.12m of
267 g/t AgEq from 156.35m, while the lower zone returned 3.77m of 123 g/t AgEq from 166.07m. The
new sampling expands the footprint of the mineralized zone in this location, and structural modelling is
underway to incorporate this data into the resource model and design future drill targets.
SAD-15-05 and SAD-15-06, shown in the Figure 3 cross-section within this news release, were drilled
from the same pad. Both holes intersected multiple HW veinlet-array splay zones, which continue to build
the continuity of mineralized zones in the Veta Grande hanging wall. In this portion of the Veta Grande,
three mineralized HW splays are known. SAD-15-06 previously reported intercepts on the main Veta
Grande and the first splay above the Veta Grande (
See October 25
th
, 2017 News Release
). Recent
sampling of additional splay zones has yielded further intercepts of interest, and oriented structural data
collection and detailed geologic cross-sections continue to guide interpretation and modelling of these
mineralized zones.
SAD-15-06 encountered 2.50m at 127 g/t AgEq from 155.00m, and SAD-15-05 returned 2.72m at 161
g/t AgEq from 127.76m; these two intercepts demonstrate down-dip continuity along the same HW splay
(Fig 3). SAD-15-05 intersected two reportable intercepts on the third interpreted splay above the Veta
Grande, including 4.65m of 114g AgEq from 105.15m.
SAD-17-14 encountered a high-grade zone in a hanging-wall vein splay above the historically identified
Veta Intermedio, 6.83m of 157 g/t AgEq from 283.21m, which includes 0.35m of 1369 g/t AgEq from
284.65m. This intercept further demonstrates the high-grade potential of the HW vein splays in the
central zone of the San Acacio resource area.
SAD-17-15 encountered wide widths of significant mineralization from the Veta Grande HW through to
the Veta Intermedio HW zone (Figure 2). This hole intersected a well-mineralized shoot with historic
workings, and the majority of the mineralized shoot remains in the ground. Re-logging and sampling
suggest that high-grade silver is hosted in veinlet swarms and vein splays that were previously
unrecognized. These observations and results will be incorporated into the geologic model and used for
future drill targeting.
Wide widths of significant silver mineralization are outlined in SAD-17-15. This hole encountered
36.70m of 162 g/t AgEq from 191.30m, including 6.81m at 296 g/t AgEq from 203.01m. The mineralogy
is dominantly primary silver, lead, and zinc sulfides (argentite-acanthite-galena-sphalerite) and quartz as
gangue material. This mineralization style is representative of both the historically and currently mined
material in the Ag-dominant epithermal vein systems of the Zacatecas district.
Table 2: Collar Information for Reported Drill Holes
HoleID
Total Depth (m)
Azimuth
Dip
Easting
Northing
Elevation (m)
SAD-15-05
245.00
35
-75
751462
2526424
2548
SAD-15-06
250.80
22
-85
751461
2526422
2548
SAD-15-07
274.70
35
-80
751400
2526468
2565
SAD-15-08
358.65
215
-85
751399
2526469
2565
SAD-17-14
423.00
35
-80
751781
2526133
2608
SAD-17-15
308.00
35
-71
751884
2526089
2589
SAD-17-16
428.84
35
-65
751222
2526349
2621
Table 2.
Drill collar details. All coordinates in WGS84 UTM Zone 13N
Discussion of Quality Assurance/Quality Control (QAQC) and Analytical Procedures:
a-
QAQC for 2023 drill core sampling
: Samples were selected based on the lithology, alteration,
and mineralization characteristics; sample size generally ranges from 0.25 - 2.00m in width. All
altered and mineralized intervals were sent for assay.
One blank, one standard, and one duplicate
were included within every 20 samples.
Standard materials are certified reference materials (CRMs)
from OREAS and CDN Resource Laboratories Ltd (CDN); the suite of standards contains a range of
Ag, Au, Cu, Pb, and Zn values. Blanks, standards, and duplicates have been used to confirm the
validity of the analytical results.
Samples were analyzed by ALS Limited. Sample preparation was performed at their Zacatecas,
Mexico, prep facility, and analyses were performed at the Vancouver, Canada, analytical facility.
All
elements except Au and Hg were analyzed by a multi-element geochemistry method utilizing a four-
acid digestion followed by ICP-MS detection [ME-MS61m]; mercury was analyzed after a separate
aqua regia digest by ICP-MS. Overlimit assays for Ag, Pb, and Zn were conducted using the OG62
method (multi-acid digest with ICP-AES/AAS finish). Gold was measured by fire-assay with an ICP-
AES finish [50g sample, Au-ICP22].
b-
QAQC for 2015 and 2017 drill core sampling:
Samples were selected based on geologic
breaks; sample size generally ranges from 0.50 - 1.50m in width. A minimum of one blank and one
standard was submitted with each sample batch. Various reference materials from CDN were used
as standards and blanks. The standards contain a range of Ag, Au, Cu, Pb, and Zn values, while the
blanks contain very low levels of these elements.
All analytical work, including sample preparation and analyses, was performed at the Activation
Laboratories Ltd (Actlabs) facility in Guadalupe, Zacatecas, Mexico. Trace element geochemistry
was completed using a 4-acid 'near total' digestion with an ICP-OES finish [method 1F2]. Base metal
overlimit assays were conducted using a 4-acid digest with an ICP-AAS finish, while overlimit silver
assays were analyzed using the 8-Ag method (30g sample, fire assay with gravimetric finish). Gold
was measured by fire assay with an AAS finish [30g sample, 1A2].
Shares for Debt Transaction Update:
Defiance also announces an update to the Shares for Debt transaction (See News Release dated May
3rd, 2023), regarding consulting services rendered for the company by an arm's length party, Rhea
Advisors, LLC ("Rhea") and General Research GmbH ("General Research"). The scope of these
services was related to in-house marketing, communications, and project-based consulting with
management. Defiance reports that it intends to settle CDN$35,600 of debt through the issuance of
192,432 common shares of the Company to Rhea at a deemed price of $0.185 per share and
CDN$30,000 of debt through the issuance of 162,162 common shares of the Company to General
Research, at a deemed price of $0.185 per share. The shares for debt transaction are subject to
approval of the TSX Venture Exchange (the "Exchange").
Investor Relations Activities - Tarik Dede:
Defiance also announces an update to its relationship with Tarik Dede ("Dede") an arm's length party
engaged to provide investor relations services, as defined in accordance with the policies of the
Exchange (See News Release Dated March 16th, 2023). Pursuant to his agreement, Dede was
retained to provide blogging services on a per transaction basis, for a cash fee of €750 per month and
would not be issued any stock options for the services. The Company confirms that the engagement has
now terminated, and no funds were paid to Dede.
Shares for Services - Corporate Secretary
:
The Company announces that on May 1, 2023, it entered into an Administrative Services Agreement
(the "Agreement") with Meraki Corporate Services Inc. ("Meraki"), for which Lisa Thompson, our
Corporate Secretary is a founder. Pursuant to the Agreement, the Company will pay Meraki $2,500 per
month and issue shares in the amount of $1,330 per month (the "Compensation Shares").
The
Compensation Shares will be accrued at the market value of the common shares on the last day of each
month and will be issued semi-annually and will be subject to a statutory hold period.
The shares
services transaction is subject to approval of the Exchange.
Lisa Thompson is a "Non-Arm's Length Party" (as such term is defined under the policies of the
Exchange) of the Company and the issuance of the Compensation Shares to Ms. Thompson constitutes
a related party transaction as defined under MI 61-101. Such transaction is exempt from the formal
valuation and minority shareholder approval requirements of MI 61-101 as neither the monthly fee, nor
the fair market value of the Compensation Shares issued to the interested party exceed 25% of the
Company's market capitalization.
About Meraki Corporate Services
Meraki Corporate Services ("Meraki") has been involved in the public company sector for over 25 years
providing a strong background of corporate compliance, corporate secretarial, and bookkeeping
services. Meraki offers extensive experience in the management and administration of both public and
private companies.
About Defiance Silver Corp.
Defiance Silver Corp. (TSXV: DEF) (OTCQX: DNCVF) (WKN: A1JQW5) (FSE: D4E) is an exploration
company advancing the district-scale San Acacio Deposit, located in the historic Zacatecas Silver
District and the Tepal Gold/Copper Project in Michoacán state, Mexico. Defiance is managed by a team
of proven mine developers with a track record of exploring, advancing, and developing several operating
mines and advanced resource projects Defiance's corporate mandate is to expand the San Acacio and
Tepal projects to become premier Mexican silver and gold deposits.
Mr. George Cavey, P. Geo, is a Qualified Person within the meaning of National Instrument 43-101 and
has approved the technical information concerning the Company's material mineral properties contained
in this press release.
On behalf of Defiance Silver Corp.
"Chris Wright"
Chairman of the Board
For more information, please contact: Investor Relations at +1 (604) 343-4677 or via email at
.
www.defiancesilver.com
Suite 2900-550 Burrard Street
Vancouver, BC V6C 0A3