GR Silver Mining Announces a Significant Underground Discovery of Polymetallic Mineralization at the Plomosas Silver Project 5.4 m
GR Silver Mining Announces a Significant
Underground Discovery of Polymetallic
Mineralization at the Plomosas Silver Project
5.4 m
@ 1,313 g/t AgEq
1
including
1.0 m
@ 4,204 g/t AgEq and
2.4 m
@ 1,103 g/t AgEq
15.7 m
@ 416 g/t AgEq
7.8 m
@ 631 g/t AgEq
VANCOUVER, BC
,
Sept. 28, 2020
/CNW/ -
GR Silver Mining Ltd.
(TSXV: GRSL), (FRANKFURT:
GPE), (OTCQB: GRSLF)
("GR
Silver Mining" or the "Company")
– is pleased to announce that
wide, high-grade polymetallic (Au-Cu-Ag-Pb-Zn), disseminated and massive sulphide-rich
mineralization has been discovered during initial underground channel sampling on the lower level of
the Plomosas Mine (Figure 1), at its 100%-owned Plomosas Silver Project ("Plomosas Project") in
Sinaloa, Mexico
.
A continuous intersection, measuring
15.7 m
in length, was saw channel sampled adjacent to the
existing "room and pillar" stope on the 775 RL level, and out into the unmined zones (Figure 2).
Assays in this interval have discovered a new style of precious and base metal mineralization
represented by disseminated and massive sulphide-rich zones, hosted by a brecciated andesite and
rhyolite tuff. The mineralization consists of coarse grained chalcopyrite, sphalerite and galena with
associated silver and gold. Sampling to date has not identified the limits of this new style of
mineralization, which remains open to expansion with further sampling and exploration. (
Video Link
)
The polymetallic mineralization mainly occurs as massive to closely-spaced disseminated sulphides,
with veins, stockworks and sulphide stringers hosted in brecciated sequences of rhyolite and
andesite tuffs. Quartz and calcite are identifed as the main gangue minerals. Ore mineral
assemblages include chalcopyrite, galena, sphalerite, pyrite, bornite, with azurite and malachite as
supergene minerals (
Catalogue Underground Samples-Link – High Grade
). Hydrothermal alteration
is represented by silicification, and altered host rocks may also include quartz, muscovite, chlorite,
epidote and specularite. This mineral assemblage is generally consistent with the inner zones of low
to intermediate sulfidation epithermal deposits.
GR Silver Mining President and CEO,
Marcio Fonseca
, commented,
"These new high-grade
polymetallic underground channel sampling results are extraordinary, indicating the potential to
define substantial new mineralized zones. The geological setting of these samples provides an
opportunity to define large volumes of not only precious metals, but also base metals. The
presence of gold that appears to be associated with base metal mineralization, provides immediate
new underground and surface drilling targets, aiming to delineate much larger resources in the
near future. T
he presence of three styles of mineralization: (1) disseminated or massive sulphide
-
style mineralization adjacent to (2)
the structurally controlled Pb-Zn-Ag-Au hydrothermal breccia
and (3)
high-grade Au-Ag low sulphidation
mineralization, reinforces the potential for large-scale
mining at Plomosas, in areas consisting of underground development completed by previous
operators
.
"
The high-grade nature of the historic Plomosas Pb-Zn-Ag-Au mine has been well documented since
the late 1990s. However, the mine operator until 2001, Grupo Mexico, did not address the potential
for modern large-scale mining indicated by these recent results and high-grade Ag-Au recently
discovered by GR Silver Mining in low sulphidation epithermal veins. While the high-grade
mineralization remains the primary target for the Company at Plomosas, the potential for large
volume, disseminated and massive sulphide mineralization hosted in volcanic rocks, will be carefully
assessed. The Company plans to advance this highly promising project with more underground saw
cutting of channel samples, geological and structural mapping, and underground drilling.
The initial assay results from underground continuous sampling are shown in Table 1.
Table 1: Summary of Initial Underground Saw Cutting Channel Sample Assay Results - News
Release
September 28, 2020
(Plomosas Mine Area)
Channel
Length (m)
Ag g/t
Au g/t
Pb %
Zn %
Cu %
AgEq g/t*
Northeast Wall
2.6
504
14.6
8.9
6.6
0.3
2,490
North Wall
15.7
90
2.5
0.5
1.3
0.8
416
includes
5.3
171
4.3
0.5
1.3
0.7
672
Pillar 11
5.4
147
10.0
0.6
3.3
1.2
1,313
includes
2.4
195
6.3
1.0
6.2
2.0
1,103
and
1.0
288
37.5
0.5
1.1
1.1
4,204
Pillar 7
7.8
50
2.9
2.2
7.3
0.2
631
includes
3.0
95
6.6
3.7
10.9
0.3
1,206
Pillar 10
6.0
66
6.2
1.4
3.9
0.9
880
includes
3.0
122
11.5
2.2
5.5
1.7
1,574
* AgEq is based on long term gold, silver, zinc, lead and copper prices of US$1600 per ounce gold, US$16.50 per ounce silver, US$0.85 per pound zinc, US$0.95 per pound lead
and US$3.00 per pound copper. The metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb, 70% Zn and 70% Cu.
GR Silver Mining is continuing its detailed sampling and geological/structural mapping of recently
exposed underground faces to confirm the potential for expansion of polymetallic mineralization along
strike. In addition, the Company has now budgeted for a
1,400 m
underground drilling program to be
completed using existing drill stations, aiming to define substantial intersections of Au-Cu-Ag-Pb-Zn
mineralization along strike and down dip.
Figure 1: Plomosas Mine - Level 775 RL Room and Pillar Stopes -View (CNW Group/GR Silver
Mining Ltd.)
The initial
1,400 m
underground core drilling program is expected to continue through 2020 and is
focused on the delineation of new areas for resource estimation, combined with the recently
announced surface core drilling program (see
News Release dated
July 15, 2020
).
The planned underground drill sites in the Plomosas Mine will be located in levels immediately above
recently discovered disseminated and massive sulfide-rich zones hosted by a brecciated andesite
and rhyolite tuff unit, aiming to confirm extensions down dip and along strike.
In addition to drill testing these areas at the Plomosas Mine, the Company is also integrating 4,500
historical underground channel and rock chip samples to investigate the presence of similar
mineralization in other areas of the historic underground workings.
GR Silver Mining believes that the Plomosas Mine Area is part of a much larger epithermal system,
as indicated by field evidence along 1 km of strike length, where only
400 m
of that strike has
previously been drilled. This represents an opportunity for the Company's current surface drilling and
upcoming underground drilling programs to discover new mineralized zones in near surface positions
as well as extensions to underground mined areas.
Figure 2: Level 775 RL – Room and Pillar Stopes – Underground Saw Channel Sampling Diagram
Sampling Location (CNW Group/GR Silver Mining Ltd.)
The brecciated andesite and rhyolite tuff are located predominantly on the hanging wall of the
Plomosas Fault, which commonly hosts the Zn-Pb-Ag-Au rich hydrothermal breccia unit,the main
object of past mining activities in the Plomosas Mine Area (See
link
to Conceptual 3D model).
Recently released historical results related to Grupo Mexico drill holes in the vicinity of this level, (*
See Section Link
), have defined attractive mineralization worth additional exploration in the area. This
discovery validates the important potential of the Plomosas Silver Project.
Qualified Person
The scientific and technical data contained in this News Release related to the Plomosas Project
was reviewed and/or prepared under the supervision of Marcio Fonseca, P.Geo. He has approved
the disclosure herein.
Quality Assurance Program and Quality Control Procedures ("QA/QC")
The Company has implemented QA/QC procedures which include insertion of blank and standard
samples in all sample lots sent to SGS de México, S.A. de C.V laboratory facilities in
Durango,
Mexico
, for sample preparation and assaying. For every sample with results above Ag >100 ppm
(over limits), these samples are submitted directly by SGS de
Mexico
to SGS Canada Inc at
Burnaby, BC
. The analytical methods are 4-acid Digest and Inductively Coupled Plasma Optical
Emission Spectrometry with Lead Fusion Fire Assay with gravimetric finish for silver above over
limits. For gold assays the analytical methods are Lead Fusion and Atomic Absorption Spectrometry
Lead Fusion Fire Assay and gravimetric finish for gold above over limits.
About GR Silver Mining Ltd
.
GR Silver Mining Ltd. is a
Mexico
-focused company engaged in cost-effective silver-gold resource
expansion on its key assets which lie on the eastern edge of the Rosario Mining District,
Sinaloa,
Mexico
.
PLOMOSAS SILVER PROJECT
GR Silver Mining owns 100% of the Plomosas Silver Project located near the historic mining village
of
La Rastra
, within the Rosario Mining District. The Project is a past-producing asset where only
one mine, the Plomosas silver-gold-lead-zinc underground mine, operated from 1986 to 2001. The
Project has an 8,515-hectare property position and is strategically located within 5 km of the San
Marcial Silver Project in the southeast of Sinaloa State,
Mexico
. The Plomosas Project comprises six
areas with an average of 100 surface and underground drill holes in each area, geophysical and
geochemical data covering most of the concession, 16 new exploration targets from which 11 have
high priority for future exploration programs.
The 100%-owned assets include all facilities and infrastructure including: access roads, surface
rights agreement, water use permit,
8,000 m
of underground workings, water access, 60 km - 33
KV power line, offices, shops, 120-person camp, infirmary, warehouses and assay lab representing
approximately
US$30m
of previous capital investments. The previous owners invested approximately
US$18 million
in exploration.
The silver and gold mineralization on this Project display the alteration, textures, mineralogy and
deposit geometry characteristics of a low sulphidation epithermal silver-gold-base metal vein/breccia
mineralized system. Previous exploration was focused on Pb-Zn-Ag-Au polymetallic shallow
mineralization, hosted in NW-SE structures in the vicinity of the Plomosas mine. The E-W portion of
the mineralization and extensions for the main N-S Plomosas fault remains under-explored. The
Plomosas Silver Project has more than 500 recent and historical drill holes in six areas – Plomosas
Mine,
San Juan
,
La Colorada
,
Yecora
,
San Francisco
and El Saltito. These drill holes represent an
extensive database allowing the Company to advance towards resource estimation and potential
project development in the near future. In
August 2020
, GR Silver Mining commenced its drilling
program in the area to investigate extensions to known mineralization and to guide new discoveries,
part of a planned resource estimation in 2021.
SAN MARCIAL PROJECT
San Marcial is a near-surface, high-grade silver-lead-zinc open pit-amenable project. GR Silver
Mining is currently drilling at the San Marcial Project, which contains 36 Moz AgEq (Indicated) and
11 Moz AgEq (Inferred), exploring recently defined new high-grade gold and silver targets along the
project's 6 km mineralized trend. GR Silver Mining is the first company to conduct exploration at San
Marcial in over 10 years. The NI 43-101 resource estimate (San Marcial Project – Resource
Estimation and Technical Report) was completed by WSP Canada Inc. on
March 18, 2019
and
amended on
June 10, 2020
.
Plomosas and San Marcial collectively represent a geological setting resembling the multimillion-
ounce San Dimas Mining District which has historically produced more than 600 Moz silver and 11
Moz gold over a period of more than 100 years.
OTHER PROJECTS
GR Silver Mining's other projects are situated in areas attractive for future discoveries and
development in the same vicinity of Plomosas and San Marcial in the Rosario Mining District.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of
this press release.
Mr.
Marcio Fonseca
P. Geo, President & CEO
GR Silver Mining Ltd.
Disclaimer for Forward-Looking Information
This press release contains forward-looking statements and information that are based on the
beliefs of management and reflect the Company's current expectations. When used in this press
release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict",
"may" or "should" and the negative of these words or such variations thereon or comparable
terminology are intended to identify forward-looking statements and information.
Such statements and information reflect the current view of the Company. Risks and uncertainties
may cause actual results to differ materially from those contemplated in those forward-looking
statements and information. By their nature, forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause our actual results, performance or
achievements, or other future events, to be materially different from any future results,
performance or achievements expressed or implied by such forward-looking statements.
1
AgEq is based on long term gold, silver, zinc, lead and copper prices of US$1600 per ounce gold, US$16.50 per ounce silver, US$0.85 per pound zinc, US$0.95 per pound lead
and US$3.00 per pound copper. The metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb, 70% Zn and 70% Cu.
SOURCE
GR Silver Mining Ltd.
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For further information:
+1 (604) 202 3155, Email: [email protected]
CO: GR Silver Mining Ltd.
CNW 06:45e 28-SEP-20