GR Silver Mining Reports Drilling Results in the San Juan Area: 2.5 m
GR Silver Mining Reports Drilling Results in
the San Juan Area:
2.5 m
@ 2,195 g/t Ag, 1.12 g/t Au (2,316 g/t AgEq
1
)
including
0.85 m
@ 5,600 g/t Ag, 1.
04 g/t Au (5,709 g/t AgEq)
3.4 m
@ 578 g/t Ag, 0.20 g/t Au, 0.5 % Pb, 1.3 % Zn (655 g/t AgEq)
VANCOUVER, BC
,
Feb. 17, 2021
/CNW/ -
GR Silver Mining Ltd.
(TSXV: GRSL) (FRANKFURT:
GPE) (OTCQB: GRSLF)
("GR Silver Mining" or the "Company")
– is pleased to report results
from the current drilling program in the
San Juan Area
, as well as new sampling results from historic
drilling, also at
San Juan
, within the 100%-owned Plomosas Silver Project ("Plomosas Project") in
Sinaloa, Mexico
.
Following on from new mineralized zones drilled at
San Juan
earlier in the program (see
News Release
November 23, 2020
), the latest drilling results continue to define high-grade Ag-Au
epithermal mineralization in the
San Juan Area
and expansion of the mineralized trend southwards
towards the nearby San Francisco Vein. They also demonstrate near-surface high-grade Ag vein
zones that will be integrated in the upcoming resource estimation (Figure 1).
___________________
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$2.00 per pound copper. The metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb, 70% Zn and 70% Cu.
GR Silver Mining President and CEO,
Marcio Fonseca
, commented,
"
The Company continues
to outline a much larger epithermal system in the
San Juan Area
of the Plomosas Project. The
recent drilling data at the San Francisco Vein delineates additional zones of epithermal veining and
hydrothermal breccias, extending existing structures
200 m
to the south. The integration of the
San
Juan Area
with the potential acquisition of concessions between the San Marcial and Plomosas
Projects delineates an initial 4 km long, 100%-controlled north-south mineralized corridor. This
corridor represents only one of the nine mineralized corridors under exploration by the Company
inside the Plomosas Silver Project. Our 2021 drilling program is focused on the resource
estimation for the
San Juan
and Plomosas Mine Areas, and it will also target potential high-grade
Ag-Au discoveries in the nine mineralized corridors that have been identified to date in the
Plomosas Project."
The high-grade Ag intersections in the
San Juan Area
, as confirmed by the drilling, define a
predominantly Ag-rich epithermal system (Table 1). Recent work by the Company indicates that the
San Juan Area
appears to be a highly prospective epithermal system, supported by field
reconnaissance, which has identified several shallow precious metals-rich old workings. The
San
Juan Area
contains a 2 km long north-south trending epithermal system parallel to the vein system in
the Plomosas Mine Area (Figure 1 and 2).
Results of drilling at the San Francisco Vein indicate a north-south trend with a series of outcrops
exhibiting multiple phases of veining, stockwork and brecciation. These outcrops are located
approximately
200 m
south of the San Juan Vein, indicating an opportunity for expansion of the
mineralized system along strike (Figure 1). The drilling results in this news release also suggest that
a large epithermal system continues towards the under acquisition concessions located between the
Plomosas and San Marcial Projects (see
News Release
February 1, 2021
).
Figure 1: Location Map - San Juan Area Drilling Locations
Figure 1: Location Map - San Juan Area Drilling Locations (CNW Group/GR Silver Mining Ltd.)
Figure 2: Plomosas Project - Location Map of 9 Mineralized Corridors
Figure 2: Plomosas Project - Location Map of 9 Mineralized Corridors (CNW Group/GR Silver
Mining Ltd.)
The following table shows the drill results that are expected to be included in the upcoming resource
estimation for the San Juan Area.
Table 1: Surface and Underground Drill Hole Assay Results - News Release
February 17,
2021
Hole No
Type
From
(m)
To (m)
Drilled
width
(m)
Ag g/t
Au g/t
Pb %
Zn %
Cu %
AgEq
g/t
SJS-16
SURF
236.4
238.9
2.5
2,195
1.12
na
na
0.3
2,316
includes
238.0
238.9
0.9
5,600
1.04
na
na
0.1
5,709
SJS17-01
SURF
132.5
141.3
8.8
87
0.31
0.8
1.9
na
201
SJS18-03
SURF
260.3
261.4
1.1
244
0.53
1.0
2.1
0.4
418
SFS20-01
SURF
0.0
22.0
22.0
70
0.15
0.3
0.3
na
108
SFS20-02
SURF
0.0
15.0
15.0
42
0.10
0.3
0.2
na
69
LR2D-06
SURF
157.3
160.7
3.4
578
0.20
0.5
1.3
na
655
includes
157.3
159.7
2.4
770
0.07
0.7
1.8
0.1
854
LCS18-15
SURF
316.8
325.5
8.7
0.3
0.03
na
0.4
na
LCS18-14-A
SURF
446.2
464.5
18.3
2.0
0.06
0.1
0.7
na
As final interpretation of the 3D orientation of mineralization is incomplete, true widths are unknown at this time and are reported as drilled widths. AgEq is based on long term gold,
silver, zinc and lead 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$2.00 per pound copper. The
metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb, 70% Zn and 70% Cu. All numbers are rounded. Results are uncut and undiluted. SURF: Surface Drill Hole; "na"
= no relevant assays
The following table summarizes the collar locations for drill holes reported in this News Release.
Table 2: Drill Hole Locations – News Release
February 17, 2021
Hole No.
East (m)
North (m)
RL (m)
Dip (˚)
Azimuth (˚)
Depth (m)
SJS-16
448352
2550753
1024
-90
0
298
SJS17-01
448218
2550666
952
-90
0
221
SJS18-03
448367
2550707
1031
-70
220
371
SFS20-01
448451
2550233
928
-50
272
49.5
SFS20-02
448451
2550233
928
-70
272
50
LR2D-06
448241
2550716
978
-57
226
179
LCS18-15
448130
2550904
946
-56
226
472
LCS18-14-A
448117
2550967
942
-72
236
529
All numbers are rounded.
Red
drill holes are drilled and/or assayed by GRSL; East (m) and North (m) are UTM coordinates in WGS84, zone 13
These very encouraging drill hole results not only confirm the presence of high-grade Ag-
predominant epithermal veins at the
San Juan Area
, but also open up the opportunity for additional
continuity of the mineralized trend to the south. The potential to increase the strike of the
mineralization from the existing 2 km to 4 km and achieve new discoveries is still conceptual in
nature. However, recent field mapping and sampling provides strong support for a 4 km long
structural corridor.
GR Silver Mining believes that Plomosas represents a district-scale project. The Company is
carrying out a
10,000 m
diamond core drilling program and plans to complete a resource estimation
in two areas (Plomosas and
San Juan
) in the second quarter of 2021. Work to date has already
resulted in success in expanding the known zones of mineralization within these two areas. The
Plomosas Mine Area displays evidence of a
600 m
long epithermal system, potentially extending up
to 1.2 km, where multiple veins and discoveries have so far defined a much larger high-grade Ag and
Au mineralized footprint. Through surface exploration and drilling, the
San Juan Area
, initially thought
to consist of only one
400 m
long epithermal vein, now appears as a 2 km long epithermal system,
with at least six epithermal veins.
The Plomosas Mine Area and
San Juan Area
, currently undergoing resource estimations, each have
a geological footprint similar to the nearby San Marcial Project, where the company has estimated a
NI 43-101 resource of 29 million ounces Ag (Indicated) and 10 million ounces Ag (Inferred). The NI
43-101 resource represents only the initial
500 m
long structural corridor, part of a 6 km trend under
exploration inside the San Marcial Project.
The integration of the Plomosas Project and the San Marcial Project, together with concessions
under acquisition located between them, provides the company full control of all major structural
corridors on the eastern edge of the Rosario Mining District (Figure 2). GR Silver Mining will continue
to explore new mineralized zones close to the surface in the remaining part of the exploration
concessions in 2021, supporting constant resource growth.
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, duplicate 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.
The recent drill holes, completed by First Majestic from 2016 to 2018, followed QA/QC protocols
reviewed and
validated by GR Silver Mining, including insertion of blank and standard samples in all sample lots
sent to First Majestic's Laboratorio Central facilities in La Parilla, Durango, for sample preparation
and assaying. Additional validation and check assays were performed by an independent laboratory
at SGS de México, S.A. de C.V. facilities in Durango, Mexico. The analytical methods applied for
these recent holes for Ag and Au assays comprised of Fire Assay with Atomic Absorption finish
for samples above Au >10ppm and Ag >300ppm and Gravimetric Finish. Lead and Zn were analyzed
using Inductively Coupled Plasma Optical Emission Spectrometry. GR Silver Mining has not received
information related to the Grupo Mexico QA/QC and assay protocols and at this stage is considering
the information historic for news release purposes.
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 a 600 tpd crush milling
flotation circuit from 1986 to 2001, producing approximately 8 million ounces of silver, 73 million
pounds of lead and 28 million pounds of zinc.
The Project has an 8,515-hectare property position and is strategically located within 5 km of the
Company's San Marcial Silver Project in the southeast of Sinaloa State,
Mexico
.
The
March 2020
acquisition of the Plomosas Silver Project included 563 historical and recent drill
holes from both surface and underground locations. These drill holes represent an extensive
database allowing the Company to advance towards resource estimation and potential project
development in the near future.
The Company is carrying out a drilling program with surface holes focused on expanding known
mineralization along strike in two initial areas, the Plomosas Mine Area and the
San Juan Area
.
Underground drilling included in the program will target the extension of recent Au rich discoveries at
the lowest level (
775 m
RL, or ~250 m below surface) of the Plomosas Mine Area and six low
sulfidation epithermal veins at
San Juan Area
. Both areas will be the subject of NI 43-101 resource
estimations following completion of this drill program.
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$30 million
of previous capital investments. The previous owners invested
approximately
US$18 million
in exploration, including extensive geophysics and geochemistry
programs.
The silver and gold mineralization on this Project display the alteration, textures, mineralogy and
deposit geometry characteristics of a low sulfidation 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 remain under-explored.
In addition to the resource potential at Plomosas, a review of the existing drill hole database,
geophysical surveys and geochemical data covering most of the concession, has defined 16 new
exploration targets from which 11 have high priority for future exploration programs.
SAN MARCIAL PROJECT
San Marcial is a near-surface, high-grade silver-lead-zinc open pit-amenable project, which contains
a 36 Moz AgEq (Indicated) and 11 Moz AgEq (Inferred) NI 43-101 resource estimate. The Company
has filed a National Instrument 43-101 ("NI 43-101") report entitled "
San Marcial Project Resource
Estimation and Technical Report,
Sinaloa, Mexico
" having an effective date of
March 18, 2019
and
an amended date of
June 10, 2020
(the "Report"). The Report was prepared by
Todd McCracken
and
Marcelo Filipov
of WSP Canada Inc. and is available on SEDAR. The company recently
completed over
320 m
of underground development in the San Marcial Resource Area, from which
underground drilling is planned to expand the high-grade portions of the resource down dip. The
Company recently discovered additional mineralization in the footwall, outside of the existing
resource, and will also be drilling this area. GR Silver Mining is the first company to conduct
exploration at San Marcial in over 10 years.
Recent exploration has identified silver and gold mineralization in areas previously defined as non-
mineralized, discovering evidence of pervasively altered rocks with intense silicification, veining and
associated wide, silver and gold mineralized zones on the footwall of the NI 43-101 resource.
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. The
recently announced Share Purchase Agreement (see
News Release
February 1, 2021
), to acquire
Marlin Gold Ltd, consolidates the business strategy to control the most important silver and gold
assets in the multi-million ounce historic Rosario Mining District. The acquisition is expected to close
on
March 31, 2021
, when GR Silver Mining will control a portfolio of over 1000 Km2, two past
producing mines fully permitted for future developments and a total combined 75 km of structures
with field evidence of 24 Ag-Au veins in historic old workings.
Mr.
Marcio Fonseca
P. Geo, President & CEO
GR Silver Mining Ltd.
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.
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.
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 07:30e 17-FEB-21