Pan American Silver provides update on exploration drilling of the La Colorada Skarn
Pan American Silver provides update on exploration drilling of the
La Colorada Skarn
VANCOUVER, BC
,
Feb. 24, 2022
/CNW/ -
Pan American Silver Corp.
(NASDAQ: PAAS) (TSX: PAAS) ("Pan American" or the "Company")
today provides results for 20 new infill and exploration holes, all of which contain multiple skarn and breccia intercepts.
Plan view of La Colorada skarn drill holes (CNW Group/Pan American Silver Corp.)
"Drilling has improved our confidence in the mineralization to the east, west and south of the known skarn footprint, as reported in our
November
10, 2021
news release," said
Christopher Emerson
, Pan American's Vice President Business Development and Geology. "Drillhole S-73-21
confirmed high-grade mineralization more than 200 metres from S-71-21 with 78.55 metres of 76 g/t Ag, 0.36% Cu, 4.18% Pb and 9.55% Zn.
To the west, U-83-21 confirmed high grade continuous mineralization, as previously indicated by hole U-05-21 and U-67-21."
With 17,050 metres of drilling reported in this news release, the main focus in Q4 2021 was to infill and step out the drilling to the east, west and
south sides of the skarn. In total, over 72,000 metres were drilled in 2021, which focused on infill and exploration to further define, expand and
add confidence to the current inferred resource.
In 2022, Pan American plans to drill 55,000 metres at
La Colorada
for a cost of
$18 million
to
$20 million
to further explore and infill drill the
skarn and adjacent veins. Pan American is aiming to provide an update to the
August 4, 2020
mineral resource estimate for the
La Colorada
skarn concurrent with the release of its annual mineral reserve and mineral resource estimates around mid-year.
Drill Highlights Include:
U-83-21:
322.85 m
of 64 g/t Ag, 0.06% Cu, 1.92% Pb and 3.80% Zn, including
64.90 m
of 178 g/t Ag, 0.06% Cu, 4.34% Pb and 6.28% Zn
S-73-21:
78.55 m
of 76 g/t Ag, 0.36% Cu, 4.18% Pb and 9.55% Zn, including
58.10 m
of 91 g/t Ag, 0.46% Cu, 5.24% Pb and 11.45% Zn
D-73-01-21:
159.00 m
of 79 g/t Ag, 0.29% Cu, 2.25% Pb and 5.75% Zn, including
99.20 m
of 112 g/t Ag, 0.45% Cu, 3.21% Pb and 8.07%
Zn
D-73-02-21:
47.65 m
of 21 g/t Ag, 0.02% Cu, 1.54% Pb and 2.95% Zn, and
17.95 m
of 38 g/t Ag, 0.04% Cu, 3.11% Pb and 4.00% Zn and
21.30 m
of 27 g/t Ag, 0.18% Cu, 0.87% Pb and 3.94% Zn
D-71-01-21:
44.65 m
of 48 g/t Ag, 0.05% Cu, 3.06% Pb and 5.83% Zn, and
15.95 m
of 100 g/t Ag, 0.28% Cu, 7.30% Pb and 7.07% Zn
D-71-02-21:
113.9 m
of 50 g/t Ag, 0.09% Cu, 2.74% Pb and 4.48% Zn, and
73.40 m
of 46 g/t Ag, 0.20% Cu, 1.70% Pb and 6.29% Zn,
and
54.50 m
of 57 g/t Ag, 0.11% Cu, 3.46% Pb and 3.47% Zn
D-71-03-21:
22.10 m
of 60 g/t Ag, 0.09% Cu, 2.15% Pb and 3.20% Zn, and
55.10 m
of 42 g/t Ag, 0.07% Cu, 1.16% Pb and 3.87% Zn and
191.85 m
of 91 g/t Ag, 0.21% Cu, 4.80% Pb and 8.00% Zn
D-62-02-21:
126.75 m
of 39 g/t Ag, 0.12% Cu, 1.41% Pb and 2.91% Zn, including
24.10 m
of 35 g/t Ag, 0.16% Cu, 2.56% Pb and 5.20%
Zn
D-21-02-21:
219.90 m
of 59 g/t Ag, 0.20% Cu, 1.24% Pb and 3.82% Zn, including
91.30 m
of 51 g/t Ag, 0.20% Cu, 2.05% Pb and 6.11%
Zn
Exploration drilling to the east of the main skarn resource (reported on
August 4
2020) discovered a new zone roughly 200 metres by 250
metres in area. This new zone is defined by new directional drill holes D-71-01/02/03, S-73-21 and D-73-01/02-21 that surround previously
reported S-71-21. New drill holes in this area contain multiple mineralized skarn intercepts ranging from 20 to 191 metres wide. Drill hole D-71-
03-21 contained several intercepts with one of which was 191.85 metres of 91g/t Ag, 0.21% Cu, 4.8% Pb and 8.00% Zn
To the west of the main skarn zone, U-83-21 extends mineralization from holes U-05-21 and 67-21 (reported on
November 10, 2021
). U-83-21
contains an intercept of 322 metres at 64 g/t Ag, 1.92% Pb and 3.8% Zn. Mineralization is now defined along a north to northwest trend, which
remains open to further drilling.
Drilling to the south of the skarn resource has successfully expanded breccia-style mineralization over 100 metres southeast of D-95-03-21 with
drill hole D-95-04-21 containing various breccia zones over a 200 metre drill length.
Summary of Drill Results
The following table provides the drill results for the
La Colorada
skarn deposit for the fourth quarter of 2021. Previous drill results not included in
this table in this table are disclosed in Pan American's news releases, which are referenced together with additional drilling information of the
La
Colorada
skarn and available at
https://www.panamericansilver.com/operations/exploration/la-colorada-skarn/
. To view cross sections and plan,
please see our website at panamericansilver.com.
Hole No.
From (m)
To (m)
Interval
(m)
(1)
Ag g/t
Cu%
Pb %
Zn %
D-01-03-21
990.00
1013.25
23.25
22
0.11
1.46
3.12
and
1084.60
1100.15
15.55
59
0.15
2.83
3.57
and
1163.55
1290.60
127.05
53
0.15
0.88
3.56
Incl.
1163.55
1195.20
31.65
91
0.28
2.67
7.07
D-107-08-21
1135.65
1144.20
8.55
546
0.06
13.57
12.47
and
1412.35
1421.60
9.25
28
0.08
0.52
6.91
and
1549.95
1556.60
6.65
42
0.13
1.01
8.69
D-107-09-21
1144.65
1158.95
14.30
111
0.05
1.94
1.99
and
1339.65
1364.30
24.65
96
0.13
0.30
5.01
and
1459.05
1525.60
66.55
46
0.13
1.11
4.73
Incl.
1459.05
1503.00
43.95
57
0.15
1.61
5.62
D-21-01-21
1087.95
1112.90
24.95
55
0.09
1.01
1.52
and
1244.95
1251.75
6.80
22
0.16
2.03
4.01
and
1309.10
1395.70
86.60
34
0.17
1.09
2.55
D-21-02-21
1086.00
1118.20
32.20
47
0.26
1.12
2.07
and
1292.95
1512.85
219.90
59
0.20
1.24
3.82
Incl.
1316.90
1408.20
91.30
51
0.20
2.05
6.11
D-62-01-21
1057.85
1061.90
4.05
133
0.06
3.48
7.69
and
1184.25
1188.35
4.10
74
0.10
4.67
18.09
D-62-02-21
1049.90
1059.35
9.45
527
0.04
16.39
13.23
and
1224.20
1350.95
126.75
39
0.12
1.41
2.91
Incl.
1268.05
1292.15
24.10
35
0.16
2.56
5.20
and
1380.10
1387.30
7.20
41
0.17
1.08
4.82
D-62-03-21
(2)
1367.65
1386.00
18.35
130
0.16
3.39
1.95
and
1401.90
1410.65
8.75
44
0.21
4.02
6.51
D-66-01-21
1414.75
1427.35
12.60
118
0.02
1.68
2.30
D-66-02-21
1420.85
1434.45
13.60
64
0.03
0.89
3.38
D-66-03-21
1141.45
1161.35
19.90
16
0.03
1.70
3.13
and
1422.10
1425.15
3.05
20
0.06
1.86
4.12
D-71-01-21
(2)
1147.65
1192.30
44.65
48
0.05
3.06
5.83
and
1446.15
1462.10
15.95
100
0.28
7.30
7.07
D-71-02-21
1021.45
1025.80
4.35
43
0.09
1.12
3.41
and
1074.40
1096.20
21.80
35
0.06
1.70
3.02
and
1128.25
1242.15
113.90
50
0.09
2.74
4.48
Incl.
1128.25
1183.30
55.05
70
0.13
3.75
6.65
and
1288.40
1361.80
73.40
46
0.20
1.70
6.29
Incl.
1288.40
1303.40
15.00
100
0.54
1.77
17.01
and
1404.85
1459.35
54.50
57
0.11
3.46
3.47
Incl.
1438.75
1459.35
20.60
49
0.19
4.35
4.55
D-71-03-21
(2)
856.00
878.10
22.10
60
0.09
2.15
3.20
and
1100.60
1155.70
55.10
42
0.07
1.16
3.87
and
1178.70
1370.55
191.85
91
0.21
4.80
8.00
Incl.
1189.85
1229.6
39.75
187
0.33
9.71
14.84
D-73-01-21
(2)
1039.90
1198.90
159.00
79
0.29
2.25
5.75
Incl.
1039.90
1139.10
99.20
112
0.45
3.21
8.07
D-73-02-21
931.55
959.15
27.60
72
0.09
0.98
1.71
and
987.60
996.70
9.10
51
0.07
3.78
8.39
and
1023.45
1071.10
47.65
21
0.02
1.54
2.95
and
1234.50
1252.45
17.95
38
0.04
3.11
4.00
and
1432.40
1453.70
21.30
27
0.18
0.87
3.94
D-95-04-21
(2)
1101.15
1193.80
92.65
44
0.09
1.46
2.09
and
1235.00
1261.50
26.50
21
0.08
0.93
2.22
S-73-21
1018.70
1097.25
78.55
76
0.36
4.18
9.55
Incl.
1028.75
1086.85
58.10
91
0.46
5.24
11.45
S-21-21
1409.40
1420.90
11.50
50
0.13
2.63
4.92
U-83-21
558.85
597.40
38.55
126
0.07
3.83
2.72
and
652.95
975.80
322.85
64
0.06
1.92
3.80
Incl.
652.95
717.85
64.90
178
0.06
4.34
6.28
Incl.
877.25
975.80
98.55
33
0.12
1.92
5.38
(1) True widths of the mineralized intervals are unknown at this time.
(2) Partial results received.
La Colorada Skarn - Drill Hole Collar Information
Drill Hole ID
East Local
North Local
Elevation
Length (m)
Azimuth Avg
(0)
Dip Avg
D-01-03-21
5365.7
5404.4
2538.8
930.5
314.8
-72.1
D-107-08-21
5114.4
5573.5
2536.1
691.6
200.6
-85.2
D-107-09-21
5114.4
5573.5
2536.1
615.4
198.5
-88.0
D-21-01-21
5279.5
5327.5
2557.0
634.4
285.9
-81.5
D-21-02-21
5279.5
5327.5
2557.0
638.7
321.9
-75.3
D-62-01-21
5996.9
5753.7
2554.7
758.4
233.4
-83.1
D-62-02-21
5996.9
5753.7
2554.7
717.9
188.6
-81.2
D-62-03-21
5996.9
5753.7
2554.7
768.7
265.9
-85.0
D-66-01-21
5060.5
5509.3
2511.2
1067.4
195.0
-84.2
D-66-02-21
5060.5
5509.3
2511.2
591.8
144.0
-80.1
D-66-03-21
5060.5
5509.3
2511.2
595.4
146.9
-72.4
D-71-01-21
6004.3
5588.6
2529.3
791.0
259.0
-84.8
D-71-02-21
6004.3
5588.6
2529.3
707.8
228.8
-82.9
D-71-03-21
6004.3
5588.6
2529.3
779.8
179.0
-82.8
D-73-01-21
5798.7
5607.7
2578.1
993.9
106.6
-86.3
D-73-02-21
5798.7
5607.7
2578.1
806.6
87.3
-77.8
D-95-04-21
5403.1
5126.1
2549.6
841.8
66.5
-73.7
S-21-21
5279.5
5327.5
2557.0
1453.0
172.0
-87.6
S-73-21
5798.7
5607.7
2578.1
1582.4
210.2
-89.3
U-83-21
4844.1
5317.3
1995.3
1083.4
282.4
-87.6
Total length
17049.7
General Notes with Respect to Technical Information
Grades are shown as contained metal before mill recoveries are applied. All samples provided in this news release, were prepared and
analyzed by SGS in
Durango, Mexico
using acid digestion with ICP finish for silver, lead, zinc, and copper. Pan American implements a quality
assurance and quality control ("QAQC") program including the submission of certified standards, blanks, and duplicate samples to the
laboratories. The results of the QAQC samples submitted to SGS demonstrate acceptable accuracy and precision. The Qualified Person is of
the opinion that the sample preparation, analytical, and security procedures followed for the samples are sufficient and reliable for the purpose
of any future Mineral Resource and Mineral Reserve estimates. Pan American is not aware of any drilling, sampling, recovery or other factors
that could materially affect the accuracy or reliability of the data reported herein. SGS is independent from Pan American.
Mineral Resources and Mineral Reserves are as defined by the Canadian Institute of Mining, Metallurgy and Petroleum.
Mineral Resources that are not Mineral Reserves have no demonstrated economic viability. No Mineral Reserves have yet been estimated for
the Skarn deposit.
See the Company's Annual Information Form dated
February 23, 2022
, available at
www.sedar.com
for further information concerning QAQC
and data verification matters, the key assumptions, parameters and methods used by the Company to estimate Mineral Reserves and Mineral
Resources, and for a detailed description of known legal, political, environmental, and other risks that could materially affect the Company's
business and the potential development of the Company's Mineral Reserves and Mineral Resources.
Technical information contained in this news release with respect to Pan American has been reviewed and approved by
Christopher Emerson
,
FAusIMM, Vice President Business Development and Geology, and Martin Wafforn, P.Eng., Senior Vice President Technical Services and
Process Optimization, each of whom is a Qualified Person for the purposes of NI 43-101.
Pan American Silver Corp is authorized by The Association of Professional Engineers and Geoscientists of the Province of
British Columbia
to
engage in Reserved Practice under Permit to Practice number 1001470.
About Pan American Silver
Pan American Silver owns and operates silver and gold mines located in
Mexico
,
Peru
,
Canada
,
Argentina
and
Bolivia
. We also own the Escobal
mine in
Guatemala
that is currently not operating. Pan American Silver provides enhanced exposure to silver through a large base of silver
reserves and resources, as well as major catalysts to grow silver production. We have a 28-year history of operating in
Latin America
, earning
an industry-leading reputation for sustainability performance, operational excellence and prudent financial management. We are headquartered in
Vancouver, B.C.
and our shares trade on NASDAQ and the Toronto Stock Exchange under the symbol "PAAS".
Learn more at panamericansilver.com.
Cautionary Note Regarding Forward-Looking Statements and Information
Certain of the statements and information in this news release constitute "forward-looking statements" within the meaning of the United States
Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian provincial securities
laws. All statements, other than statements of historical fact, are forward-looking statements or information. Forward-looking statements or
information in this news release relate to, among other things: the timing for, and anticipated results of, any exploration or development
programs at the Company's
La Colorada
property, including the potential for further definition or expansion of the mineral resource in the future;
the timing of any update to the initial resource estimate and the results of any such update; the ability of the Company to complete additional
skarn project studies, including the review of alternative mining methods, and the results of any such studies; and the potential generation of
minerals and the quality thereof.
These forward-looking statements and information reflect the Company's current views with respect to future events and are necessarily based
upon a number of assumptions that, while considered reasonable by the Company, are inherently subject to significant operational, business,
economic and regulatory uncertainties and contingencies. These assumptions include: our Mineral Reserve and Mineral Resource estimates and
the assumptions upon which they are based; ore grades and recoveries; prices for silver, gold, and base metals remaining as estimated;
currency exchange rates remaining as estimated; capital, decommissioning and reclamation estimates; prices for energy inputs, labour,
materials, supplies and services (including transportation); all necessary permits, licenses and regulatory approvals for the
La Colorada
mine are
received in a timely manner; our ability to secure and maintain the surface rights necessary for our operations; and our ability to comply with
environmental, health and safety laws. The foregoing list of assumptions is not exhaustive.
The Company cautions the reader that forward-looking statements and information involve known and unknown risks, uncertainties and other
factors that may cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements
or information contained in this news release and the Company has made assumptions and estimates based on or related to many of these
factors. Such factors include, without limitation: the duration and effects of the COVID-19 virus and any other pandemics on our operations and
workforce, and the effects on global economies and society; fluctuations in silver and gold prices; fluctuations in prices for energy inputs, labour,
materials, supplies and services (including transportation); fluctuations in currency markets (such as the Canadian dollar, Peruvian sol, Mexican
peso, Argentine peso and Bolivian boliviano versus the U.S. dollar); operational risks and hazards inherent with the business of mining (including
environmental accidents and hazards, industrial accidents, equipment breakdown, unusual or unexpected geological or structural formations,
cave-ins, flooding and severe weather); risks relating to the credit worthiness or financial condition of suppliers, refiners and other parties with
whom the Company does business; inadequate insurance, or inability to obtain insurance, to cover these risks and hazards; employee relations;
relationships with, and claims by, local communities and indigenous populations; our ability to obtain all necessary permits, licenses and
regulatory approvals in a timely manner; changes in laws, regulations and government practices, including environmental, export and import laws
and regulations; changes in national and local government, legislation, taxation, controls or regulations and political, legal or economic
developments in
Canada
,
the United States
,
Mexico
,
Peru
,
Argentina
,
Bolivia
,
Guatemala
or other countries where the Company may carry on
business, including legal restrictions relating to mining; risks relating to expropriation; risk of liability relating to our past sale of the Quiruvilca
mine in
Peru
; diminishing quantities or grades of Mineral Reserves as properties are mined; increased competition in the mining industry for
equipment and qualified personnel; and those factors identified under the caption "Risks Related to Pan American's Business" in the Company's
most recent form 40-F and Annual Information Form filed with the United States Securities and Exchange Commission and Canadian provincial
securities regulatory authorities, respectively. Although the Company has attempted to identify important factors that could cause actual results
to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Investors are
cautioned against undue reliance on forward-looking statements or information. Forward-looking statements and information are designed to help
readers understand management's current views of our near and longer term prospects and may not be appropriate for other purposes. The
Company does not intend, nor does it assume any obligation to update or revise forward-looking statements or information, whether as a result
of new information, changes in assumptions, future events or otherwise, except to the extent required by applicable law.
Cautionary Note to US Investors
This news release has been prepared in accordance with the requirements of Canadian National Instrument 43-101 - Standards of Disclosure for
Mineral Projects (''NI 43-101'') and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards, which differ from the
requirements of U.S. securities laws. NI 43-101 is a rule developed by the Canadian Securities Administrators that establishes standards for all
public disclosure an issuer makes of scientific and technical information concerning mineral projects.
Canadian public disclosure standards, including NI 43-101, differ significantly from the requirements of the United States Securities and
Exchange Commission (the "SEC"), and information concerning mineralization, deposits, Mineral Reserve and resource information contained or
referred to herein may not be comparable to similar information disclosed by U.S. companies. In particular, and without limiting the generality of
the foregoing, this news release uses the terms ''Measured Resources'', ''Indicated Resources'', and ''Inferred Resources''. U.S. investors are
advised that, while such terms are recognized and required by Canadian securities laws, the SEC does not recognize them. The requirements of
NI 43-101 for identification of ''Reserves'' are not the same as those of the SEC, and Mineral Reserves reported by the Company in compliance
with NI 43-101 may not qualify as ''Reserves'' under SEC standards. Under U.S. standards, mineralization may not be classified as a ''reserve''
unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve
determination is made. U.S. investors are cautioned not to assume that any part of a "Measured Resource" or "Indicated Resource" will ever be
converted into a "reserve". U.S. investors should also understand that "Inferred Resources" have a great amount of uncertainty as to their
existence and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of "Inferred Resources" exist,
are economically or legally mineable or will ever be upgraded to a higher category. Under Canadian securities laws, estimated "Inferred
Resources" may not form the basis of feasibility or pre-feasibility studies except in rare cases. Disclosure of "contained ounces" in a Mineral
Resource is permitted disclosure under Canadian securities laws. However, the SEC normally only permits issuers to report mineralization that
does not constitute "reserves" by SEC standards as in place tonnage and grade, without reference to unit measures. Accordingly, information
concerning mineral deposits set forth herein may not be comparable with information made public by companies that report in accordance with
U.S. standards.
View original content to download multimedia:
https://www.prnewswire.com/news-releases/pan-american-silver-provides-update-on-exploration-drilling-of-the-la-colorada-skarn-301489359.html
SOURCE
Pan American Silver Corp.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/February2022/24/c3687.html
%SEDAR: 00002432E
For further information:
Siren Fisekci, VP, Investor Relations & Corporate Communications, Ph: 604-806-3191, Email:
CO: Pan American Silver Corp.
CNW 02:45e 24-FEB-22