Pan American Silver Reports Drill Results from the La Colorada Skarn Discovery with Intercepts up to 379 Metres Preliminary metallurgical test results are positive
Pan American Silver Reports Drill Results
from the La Colorada Skarn Discovery with
Intercepts up to 379 Metres
Preliminary
metallurgical test results
are positive
VANCOUVER
,
Oct. 30, 2019
/CNW/ -
Pan American Silver Corp.
(NASDAQ: PAAS) (TSX: PAAS)
today announced results from 14,300 metres of drilling completed during the third quarter of 2019 on
the
La Colorada
skarn discovery in
Mexico
. Preliminary metallurgical testing of samples indicates
high recoveries across all metals can be expected.
"The most recent drill results feature some of the highest grade intercepts we have seen to date,
with widths up to 379 metres. Stand-out drill holes include U-66-19 with 253 metres grading at 67
grams per tonne of silver, 3.84% lead and 6.56% zinc," said
Christopher Emerson
, Pan American's
Vice President Business Development and Geology. "We have now completed over 52,400 metres
of drilling on the skarn target, allowing us to substantially expand the mineralized footprint and to
identify a high-grade core zone."
Drill highlights include:
D-57-01-19:
250.9 m
at 40 g/t Ag, 0.08% Cu, 2.57% Pb and 3.43% Zn
including
78.9 m
at 60 g/t Ag, 0.09% Cu, 3.90% Pb and 4.84% Zn
D-57-02-19:
72.3 m
at 37 g/t Ag, 0.16% Cu, 3.80% Pb and 6.25% Zn
and
56.6 m
at 39 g/t Ag, 0.10% Cu, 3.31% Pb and 6.64% Zn
S-57-19:
124.8 m
at 42 g/t Ag, 0.08% Cu, 2.41% Pb and 3.14% Zn
U-66-19:
252.9 m
at 67 g/t Ag, 0.19% Cu, 3.84% Pb and 6.56% Zn
including
27.3 m
at 108 g/t Ag, 0.20% Cu, 8.14% Pb and 13.70% Zn
and
148.6 m
at 81 g/t Ag, 0.23% Cu, 4.43% Pb and 7.66% Zn
U-72-19:
132.5 m
at 56 g/t Ag, 0.19% Cu, 3.81% Pb and 6.32% Zn
including
57.9 m
at 80 g/t Ag, 0.24% Cu, 5.46% Pb and 9.42% Zn
and
139.2 m
at 54 g/t Ag, 0.15% Cu, 1.80% Pb and 5.87% Zn
U-73-19:
278.0 m
at 26 g/t Ag, 0.08% Cu, 1.56% Pb and 3.98% Zn
U-79-19:
379.0 m
at 54 g/t Ag, 0.50% Cu, 1.96% Pb and 3.73% Zn
including
57.9 m
at 47 g/t Ag, 0.37% Cu, 2.83% Pb and 6.35% Zn
and
66.7 m
at 154 g/t Ag, 2.07% Cu, 0.97% Pb and 1.58% Zn
The drilling continues to define a polymetallic mineralized skarn system and cross-cutting veins
starting 300 metres below and adjacent to the current lowest production level of the
La Colorada
mine. Drill holes D- 57-01-19 and D-57-02-19 were drilled 200 metres to the southwest of a
mineralized hydrothermal breccia zone, indicating the potential to extend mineralization further to the
southwest. Drill results for the hydrothermal breccia zone were previously announced in Pan
American's news release dated
August 1, 2019
.
Pan American expects to complete over 50,000 metres of drilling in 2019, and provide an initial
resource estimate of the skarn discovery by the end of 2019. An intensive exploration program and
further metallurgical testing will continue in 2020. Given that the skarn deposit is more massive than
the existing vein structures, pending technical studies, future development would conceptually require
new mining, processing and other facilities.
In addition to the drilling program, Pan American has advanced initial metallurgical testing at the
independent ALS Metallurgy laboratory in
Kamloops, Canada
. To date, flotation tests and mineral
liberalization analysis on three composites samples have been performed. Positive flotation recovery
results for silver, lead, zinc and copper were obtained, with the preliminary bulk rougher flotation
recovery ranges and averages provided in the table below. Preliminary open cleaner tests show that
good concentrate qualities can be obtained, ranging from 50% to 70% Pb in the lead cleaner
concentrate, 55% to 63% Zn in the zinc cleaner concentrate and 20% to 31% Cu in the copper
cleaner concentrate. Minor element analysis results in concentrates are pending. Pan American
plans to prepare additional composite samples, as we get more information on the resource, and to
conduct additional flotation tests.
Bulk Rougher Flotation Recovery Results
Element
Range (%)
Average (%)
Ag
93 - 99
95
Pb
92 - 96
95
Zn
80 - 85
83
Cu
75 - 86
80
Summary of Drill results for the Third Quarter of 2019
Previous drill results disclosed in Pan American's news releases dated
October 23, 2018
,
February
21, 2019
,
May 8, 2019
and
August 1, 2019
, are not included in this table.
Drill hole ID
From (m)
To (m)
Interval (m)
(1)
Ag g/t
Cu %
Pb %
Zn %
D-30-01-19
907.4
933.7
26.4
44
0.18
0.58
2.30
and
965.8
1010.4
44.6
26
0.05
1.65
3.62
and
1067.8
1072.4
4.6
144
1.04
10.46
17.92
D-30-02-19
1019.3
1077.0
57.7
59
0.16
1.84
3.18
Incl.
1061.0
1077.0
16.0
136
0.34
4.26
6.60
D-57-01-19
965.2
971.8
6.6
27
0.17
3.61
6.41
and
1051.6
1302.4
250.9
40
0.08
2.57
3.43
Incl.
1076.2
1155.1
78.9
60
0.09
3.90
4.84
and
1381.6
1389.7
8.1
49
0.09
3.40
7.85
and
1420.9
1434.4
13.5
30
0.07
3.60
5.13
and
1471.6
1482.6
11.1
37
0.06
4.49
4.05
and
1555.0
1580.0
25.0
52
0.27
0.37
4.20
D-57-02-19
1041.5
1066.6
25.1
32
0.23
1.46
3.25
and
1180.5
1252.8
72.3
37
0.16
3.80
6.25
and
1320.0
1376.5
56.6
39
0.10
3.31
6.64
S-56-19
765.4
783.3
17.9
182
0.31
1.49
2.70
and
980.2
990.2
10.0
65
0.22
1.63
4.17
and
1059.1
1063.4
4.4
257
0.58
6.36
4.57
S-57-19
278.3
285.6
7.3
150
0.84
1.18
4.61
and
1069.8
1194.6
124.8
42
0.08
2.41
3.14
and
1309.1
1338.7
29.7
17
0.07
2.89
4.51
U-53-19
222.2
228.5
6.3
105
0.44
2.67
5.76
and
518.0
528.1
10.1
31
0.23
2.10
4.28
and
848.0
870.2
22.2
24
0.18
1.50
3.83
and
1064.0
1228.5
164.5
34
0.13
0.53
2.58
Incl.
1105.3
1121.1
15.8
71
0.12
1.23
5.73
Incl.
1138.6
1150.5
12.0
51
0.07
0.69
5.64
U-59-19
3.9
9.4
5.5
332
0.11
1.84
1.86
and
23.1
23.8
0.7
3551
0.98
4.69
10.80
and
869.6
875.8
6.2
173
0.18
0.59
4.72
U-63-19
304.7
326.3
21.7
18
0.04
0.77
1.67
and
362.0
367.4
5.4
35
0.13
1.25
4.33
U-66-19
501.4
754.3
252.9
67
0.19
3.84
6.56
Incl.
524.4
551.7
27.3
108
0.20
8.14
13.70
Incl.
578.3
726.8
148.6
81
0.23
4.43
7.66
U-72-19
275.7
282.3
6.6
65
0.22
4.05
14.17
and
320.1
327.2
7.0
41
0.11
3.49
6.59
and
360.3
492.8
132.5
56
0.19
3.81
6.32
Incl.
399.2
457.1
57.9
80
0.24
5.46
9.42
and
548.9
688.1
139.2
54
0.15
1.80
5.87
Incl.
548.9
560.2
11.3
127
0.19
3.11
13.00
Incl.
598.8
662.1
63.4
55
0.14
1.82
7.78
and
805.9
814.4
8.5
3
0.11
0.00
8.69
U-73-19
38.0
38.5
0.5
1372
0.57
6.66
13.50
and
105.3
111.5
6.2
123
0.03
8.71
8.06
and
247.0
276.8
29.8
139
0.11
1.68
4.73
and
341.6
358.6
17.0
107
0.36
6.32
9.03
and
463.2
468.1
4.9
205
0.04
5.05
5.41
and
501.3
505.2
3.8
80
0.21
7.21
9.21
and
708.3
986.3
278.0
26
0.08
1.56
3.98
Incl.
768.0
826.6
58.7
41
0.08
2.19
7.63
U-76-19
784.4
792.2
7.8
82
0.17
3.36
2.37
and
984.5
987.9
3.4
14
0.04
3.13
5.54
U-79-19
473.1
852.0
379.0
54
0.50
1.96
3.73
Incl.
707.6
765.5
57.9
47
0.37
2.83
6.35
Incl.
785.4
852.0
66.7
154
2.07
0.97
1.58
S-77-19
809.3
810.8
1.5
328
0.27
5.30
4.12
(1)
True widths of the mineralized intervals are unknown at this time.
Drill Hole Collar Information
DDH No
East_Local
North_Local
Elev_Collar
Length (m)
Azimuth Avg (
0
)
Dip Avg (
0
)
D-30-01-19
5453.2
5460.2
1806.7
426.7
37.3
-78.0
D-30-02-19
5453.2
5460.6
1791.0
475.0
350.7
-79.6
D-57-01-19
4887.7
5066.7
1742.9
887.6
342.2
-77.5
D-57-02-19
4887.6
5066.8
1727.2
1108.8
12.5
-72.6
S-56-19
5809.1
5378.0
2520.6
1114.5
151.2
-89.4
S-57-19
4886.4
5071.7
2469.1
1733.9
237.6
-88.1
S-77-19
5775.9
5505.4
2539.1
862.2
253.4
-89.4
U-53-19
5123.0
5202.7
2030.1
1296.1
1.0
-81.9
U-59-19
5175.2
5469.2
1968.3
969.4
197.0
-82.8
U-63-19
5319.5
5657.5
1966.2
708.1
114.5
-72.7
U-66-19
5259.0
5416.9
1999.8
820.3
83.9
-80.2
U-72-19
5327.2
5534.9
2001.7
836.6
272.0
-88.1
U-73-19
5173.6
5469.6
1965.4
1025.6
322.7
-84.3
U-76-19
5124.6
5199.5
2030.2
1085.7
99.9
-77.8
U-79-19
5258.8
5417.0
1999.5
956.7
94.8
-84.5
Total Metres Drilled
14307.2
Please see our website at:
https://www.panamericansilver.com/operations/north-and-central-america/la-colorada/
to view cross
sections, plan and images of the mineralized core.
General Notes with Respect to Technical Information
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, who is a Qualified Person for the purposes of NI 43-101.
Grades are shown as contained metal before mill recoveries are applied. All metallurgical samples
provided in this news release were prepared and analyzed by ALS in
Kamloops, Canada
while all
other samples were prepared and analyzed by SGS in
Durango, Mexico
using fire assay with
gravimetric finish for gold, and by 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.
About Pan American Silver
Pan American is the world's second largest primary silver producer, providing enhanced exposure to
silver through a diversified portfolio of assets, large reserves and growing production. We own and
operate mines in
Mexico
,
Peru
,
Canada
,
Argentina
and
Bolivia
. In addition, we own the Escobal mine
in
Guatemala
that is currently not operating. In 2019, we celebrate our silver anniversary: 25 years
of operating in
Latin America
, earning an industry-leading reputation for operational excellence and
corporate social responsibility. 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 anticipated exploration and other development programs at the Company's
La Colorada
properties, together with the nature, implementation and timing thereof, the exploration and
metallurgical results of such programs, and our expectation and timing of establishing resource
information based on such programs.
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: fluctuations in
silver, gold and base metal 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); 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 in the jurisdictions where we operate, including environmental, export and
import laws and regulations; legal restrictions relating to mining; risks relating to expropriation;
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.
SOURCE
Pan American Silver Corp.
View original content:
http://www.newswire.ca/en/releases/archive/October2019/30/c6913.html
%SEDAR: 00002432E
For further information:
Siren Fisekci, VP, Investor Relations & Corporate Communications, Ph:
604-806-3191, Email: [email protected]
CO: Pan American Silver Corp.
CNW 06:00e 30-OCT-19