Guanajuato Silver Drills 4.89 Metres True Width of 359 g/t AgEq at San Ignacio ~ Results Deepen Previous Hi-Grade Drill Intercepts ~
Guanajuato Silver Drills 4.89 Metres True Width of 359 g/t AgEq at San Ignacio
~ Results Deepen Previous Hi-Grade Drill Intercepts ~
May 18, 2023 – Vancouver, British Columbia – Guanajuato Silver Company Ltd. (the “Company” or “GSilver”)
(TSXV:GSVR)(AQUIS:GSVR)(OTCQX:GSVRF) is pleased to provide recent drill results from the Company’s wholly
owned San Ignacio mine (“San Ignacio”) in Guanajuato, Mexico and the Topia mine ("Topia") in Durango,
Mexico.
San Ignacio
The 2023 exploration program is focused on extending mineralization from what have historically been the most
productive vein systems at San Ignacio, namely the Melladito, Purisima and the Nombre de Dios veins; current
production from San Ignacio comes primarily from the Melladito and the Nombre de Dios vein systems. Year to
date, fourteen underground drillholes have been completed for a total of 2,202 metres; new drill results are
posted below, including a cross section for drill hole UGSI23-010.
James Anderson, Chairman and CEO said, “San Ignacio is a key and growing component of Valenciana Mines
Complex production. Unlike the other mines within our portfolio, San Ignacio is a relatively new mine, having
opened in 2012. With the average lifespan of a mine within the Guanajuato Mining District measured in
centuries, we see tremendous potential for San Ignacio as demonstrated with the current round of high-grade
drill results; t he best intercept of this campaign has been drill hole UGSI23-010, which has cut four formal
structures of the Melladito and Purisima veins and returned a 4.89 metre wide mineralized intercept of the
Melladito vein grading 359 g/t AgEq. This hole confirms the continuity of the mineralization at depth within the
Melladito vein (as de scribed in our news release of February 23, 2023), which intercepted 4.92 metres true
width of over 1.2 kilograms of silver-equivalent from drillhole UGSI-006. These results also confirm the extension
of the Purisima vein to the south.”
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Note: All silver equivalent (AgEq) values are calculated based on a long-term gold to silver price ratio of 80:1. Abbreviations
used in this news release include the following: g/t: grams per tonne; Au: gold; Ag: silver; m: metre, AgEq: silver equivalent.
Cross Section UGSI23-010
HW Purisima 1.00 3.70 2.70 1.90 1.95 501 657
Including 1.00 2.00 1.00 0.70 3.42 744 1018
Purisima 16.55 16.90 0.35 0.22 2.01 2 163
Melladito 151.55 152.00 0.45 0.35 0.23 94 113
HW Purisima 0.00 3.00 3.00 1.93 1.26 415 516
Including 1.85 2.20 0.35 0.22 4.14 2020 2351
Melladito (branch) 123.35 124.30 0.95 0.77 0.25 113 133
Including 123.80 124.30 0.50 0.40 0.46 215 252
HW Purisima 4.35 5.25 0.90 0.45 1.78 557 699
Purisima 17.80 21.30 3.50 2.14 1.68 8 142
Including 20.30 21.30 1.00 0.64 2.57 9 215
Melladito Bo 109.80 113.20 3.40 1.74 1.72 122 260
Including 111.80 113.20 1.40 0.60 2.94 151 386
Melladito 124.00 131.90 7.90 4.89 0.32 334 359
Including 128.55 129.30 0.75 0.37 1.25 1947 2047
Including 131.00 131.90 0.90 0.52 0.44 383 418
HW Purisima 0.00 3.40 3.40 2.22 0.78 112 175
Including 3.90 4.15 0.25 0.24 1.00 254 334
HW2 Purisima 6.00 6.55 0.55 0.48 3.26 260 520
Purisima 26.25 27.90 1.65 1.06 1.11 1 89
Including 27.35 27.90 0.55 0.35 1.79 0 143
Purisima 60.00 61.10 1.10 0.55 0.32 85 111
HW Purisima 70.90 72.95 2.05 1.50 0.06 89 94
Including 70.90 71.60 0.70 0.40 0.09 221 228
HW2 Purisima 115.65 116.30 0.65 0.50 0.48 60 98
Melladito 70.50 72.15 1.65 0.95 1.33 14 120
Including 70.00 70.50 0.50 0.32 1.77 9 150
UGSI23-014
UGSI23-015 NDD3 106.55 108.65 2.1 0.89
UGSI23-012
UGSI23-013
No Significant Results
Results Pending
Au (g/t) Ag (g/t) AgEq (g/t)
UGSI23-008
UGSI23-009
From (m)HOLE ID VEIN Width (m) True
Width (m)
UGSI23-010
UGSI23-011
To (m)
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Topia
The Company is also providing 2023 drill results for the Topia mine from the La Prieta, Dos Amigos and Union del
Pueblo veins. The best result was UT23-463 which returned over a half metre of 2674 AgEq from the Prieta vein.
Drilling here continues to provide narrow and extraordinarily high grades in many areas of the deposit.
All silver equivalent (AgEq) values are calculated based on a long-term gold to silver price ratio of 80:1.
FROM TO WIDTH TRUE
WIDTH Au Ag Pb Zn
(m) (m) (m) (m) (g/t) (g/t) % %
UT23-458 Prieta 39.26 39.83 0.57 0.45 4.39 660 3.20 8.48 1435
and 42.30 42.46 0.16 0.10 13.89 152 1.00 5.57 1551
UT23-459 Dos Amigos 46.80 47.40 0.60 0.42 2.02 938 24.57 9.80 2150
UT23-460 Prieta 62.30 63.00 0.70 0.45 8.16 113 2.08 1.86 923
UT23-461 Dos Amigos 44.66 44.86 0.20 0.10 3.53 905 1.07 7.83 1525
UT23-462 Dos Amigos 87.65 89.10 1.45 1.00 1.19 65 0.58 2.02 264
UT23-463 Prieta 57.70 58.40 0.70 0.60 6.55 1424 4.83 13.77 2674
UT23-464 Rosario 60.75 62.15 1.40 1.05 0.00 26 0.18 0.41 48
UT23-465 U.D. Pueblo 33.55 33.70 0.15 0.15 0.00 731 4.00 0.24 851
HOLE ID VEIN AgEq
(g/t)
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Sampling and quality assurance/quality control
Drill core was first reviewed by a Company geologist, who identified and marked intervals for sampling. The
marked sample intervals were then cut in half with a diamond saw; half of the core was left in the core box and
the other half was removed, placed in plastic bags, sealed and labeled. Intervals and unique sample numbers
are recorded on the drill logs and the samples are sequenced with standards and blanks inserted according to a
predefined QA/QC procedure. The samples are maintained under security on site until they are shipped to the
analytical lab. The analytical work reported on herein was performed by Corporacion Quimica Platinum S.A de
C.V., Silao, Guanajuato, Mexico. To validate our assay results and our preparation proc edures, GSilver sends
additional random samples representing approximately 20% of all analytical samples to Bureau Veritas in
Hermosillo, Sonora, Mexico. Bureau Veritas is an ISO/IEC (International Organization for
Standardization/International Electrotechnical Commission) geo -analytical laboratory and is independent of
GSilver and its "qualified person". In order to further validate our assay results and our preparation procedures
GSilver sent additional random samples representing approximately 10% of all analytical samples to SGS Mexico,
S.A de C.V, Durango, Mexico. SGS is also an ISO/IEC geo-analytical laboratory and is independent of GSilver and
its "qualified person". Core samples were subject to crushing at a minimum of 70 per cent passing two
millimeters, followed by pulverizing of a 250-gram split to 85 per cent passing 75 microns. Gold determination
was via standard atomic absorption (AA) finish 30 -gram fire assay (FA) analysis, in addition to silver and 34 -
element using fire assay and gravimetry te rmination. Following industry -standard procedures, blank and
standard samples were inserted into the sample sequence and sent to the laboratory for analysis. Data
verification of the analytical results included a statistical analysis of the standards and b lanks that must pass
certain parameters for acceptance to ensure accurate and verifiable results. GSilver detected no significant
QA/QC issues during review of the data and is not aware of any sampling, recovery or other factors that could
materially affect the accuracy or reliability of the drilling data referred to herein.
About Guanajuato Silver
GSilver is a precious metals producer engaged in reactivating past producing silver and gold mines in central
Mexico. The Company produces silver and gold concentrates from the El Cubo Mine, Valenciana Mines
Complex, and the San Ignacio mine; all three mines are located within the state of Guanajuato, which has an
established 480 -year mining history. Additionally, the Company produces silver, gold, lead, and zinc
concentrates from the Topia mine in northwestern Durango. With four operating mines and three processing
facilities, Guanajuato Silver is one of the fastest growing silver producers in Mexico.
Technical Information
Reynaldo Rivera, VP of Exploration of GSilver, has approved the scientific and technical information contained
in this news release. Mr. Rivera is a member of the Australasian Institute of Mining and Metallurgy (AusIMM -
Registration Number 220979) and a "qualified person" as defined by National Instrument 43-101, Standards of
Disclosure for Mineral Projects.
ON BEHALF OF THE BOARD OF DIRECTORS
"James Anderson"
Chairman and CEO
For further information regarding Guanajuato Silver Company Ltd., please contact:
JJ Jennex, Gerente de Comunicaciones, T: 604 723 1433
Gsilver.com
Neither the 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.
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Forward-Looking Statements
This news release contains certain forward-looking statements and information, which relate to future events or future
performance including, but not limited to, the anticipated impact of San Ignacio as a key and growing component of
Valenciana Mines Complex production, its relative age and potential mine life, the projected continuity of mineralization
at depth within the Melladito vein system and extension of the Purisima vein to the south, the existence of extraordinarily
high grades of silver, gold and other metals in many areas at Topia including the Prieta vein, the Company’s current and
projected mined output from San Ignacio and Topia for 2023 and the Company’s status as one of the fasting growing silver
producers in Mexico, the ability of the Company to continue to increase production, tonnage and recoveries of mineralized
material at San Ignacio, Valenciana, El Cubo and Topia in accordance with its objectives and timetable including increasing
silver and gold grades, improving metallurgical recovery rates, increasing revenues, and reducing production costs
(including AISC) consistent with the Company’s expectations and production model, the Company’s future development
and production activities; estimates of mineral resources and mineralized material at the Company’s mining projects and
th
e accessibility, attractiveness, mineral content and metallurgical characteristics thereof; the opportunities for future
exploration, development and production at the Company’s mines including the Melladito, Nombre de Dios and Purisima
veins at San Ignacio and the La Prieta, Dos Amigos and Union del Pueblo veins at Topia and the proposed exploration,
development and production programs therefor and the timing and costs thereof; and the success related to any future
exploration, development and/or production programs.
Such fo rward -looking statements and information reflect management's current beliefs and are based on information
currently available to and assumptions made by the Company; which assumptions, while considered reasonable by the
Company, are inherently subject to significant operational, business, economic and regulatory uncertainties and
contingencies. These assumptions include: the potential quantity, grade and metal content of the mineralized material at
the Melladito, Nombre de Dios and Purisima veins at San Ignacio and the La Prieta, Dos Amigos and Union del Pueblo veins
at Topia, the geotechnical and metallurgical characteristics of such material conforming to sampled results and
metallurgical performance; available tonnage of mineralized material to be mined and processed; resource grades and
recoveries; assumptions and discount rates being appropriately applied to production estimates; prices for silver, gold and
other metals remaining as estimated; currency exchange rates remaining as estimated; availability of funds for the
Company's projects and to satisfy current liabilities and obligations including debt repayments; capital, decommissioning
and reclamation estimates; prices for energy inputs, labour, materials, supplies and services (including transportation) and
inflation rates remaining as estimated; no labour-related disruptions; no unplanned delays or interruptions in scheduled
construction and production; all necessary permits, licenses and regulatory approvals are received in a timely manner; and
the ability to comply with environmental, health and safety laws. The foregoing list of assumptions is not exhaustive.
Readers a re cautioned that such forward-looking statements and information are neither promises nor guarantees, and
are subject to risks and uncertainties that may cause future results, level of activity, production levels, performance or
achievements of GSilver to differ materially from those expected including, but not limited to, market conditions,
availability of financing, currency rate fluctuations, rising inflation and interest rates, geopolitical conflicts including wars,
actual results of exploration, development and production activities, actual resource grades and recoveries of silver, gold
and other metals from the Company’s existing mines including San Ignacio and Topia , availability of third party mineralized
material for processing, unanticipated geological or structural formations and characteristics, environmental risks, future
prices of gold, silver and other metals, operating risks, accidents, labor issues, equipment or personnel delays, delays in
obtaining governmental or regulatory approvals and permits, inadequate insurance, and other risks in the mining industry.
There are no assurances that GSilver will be able to continue to increase production, tonnage milled and recoveries rates,
improve grades and reduce costs at San Ignacio, Topia, Valenciana Mines Complex and El Cubo to process mineralized
materials to produce silver, gold and other concentrates in the amounts, grades, r ecoveries, costs and timetable
anticipated. In addition, GSilver’s d ecision to process mineralized material from San Ignacio including the Melladito,
Nombre de Dios and Purisima vein systems, Topia including the La Prieta, Dos Amigos and Union del Pueblo veins ,
Valenciana Mines Complex and El Cubo is not based on a feasibility study of mineral reserves demonstrating economic and
technical viability and therefore is subject to increased uncertainty and risk of failure, both economically and
technically. Mineral resources and mineralized material that are not Mineral Reserves do not have demonstrated economic
viability, are considered too speculative geologically to have the economic considerations applied to them, and may be
materially affected by environmental, permitting, legal, title, socio-political, marketing, and other relevant issues. There
are no assurances that the Company's projected grades of gold and silver at the Melladito, Nombre de Dios and Purisima
veins at San Ignacio, the La Prieta, Dos Amigos and Union del Pueblo veins at Topia, the Valenciana Mines Complex, and El
Cubo and the anticipated level of production therefrom will be realized. In addition, there are no assurances that the
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Company will meet its production forecasts or generate the anticipated cash flows from operations to satisfy its scheduled
debt payments or other liabilities when due or meet financial covenants to which the Company is subject or to fund its
exploration programs and corporate initiatives as planned. There is also uncertainty about the continued spread and
severity of COVID-19, the ongoing war in Ukraine and rising inflation and interest rates and the impact they will have on
the Company's operations, supply chains, ability to access mining projects or procure equipment, contractors and other
personnel on a timely basis or at all and economic activity in general. Accordingly, readers should not place undue reliance
on forward-looking statements or information. All forward-looking statements and information made in this news release
are qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR
at www.sedar.com including the Company’s annual information form for the fiscal year ended December 31, 2021. These
forward-looking statements and information are made as of the date hereof and the Company does not assume any
obligation to update or revise them to reflect new events or circumstances save as required by law.