Silver Viper Renegotiates Rubi-Esperanza Option Agreement
June 27th, 2019
Silver Viper Renegotiates Rubi-Esperanza Option Agreement
Vancouver, BC. - Silver Viper Minerals Corp. (the “ Company” or “Silver Viper ”) (TSX -V: VIPR) has
renegotiated terms of the Rubi-Esperanza O ption Agreement (the “Agreement”) to purchase three
mineral concessions, originally signed in June 2018 (see news release of June 25th, 2018). On June 21st of
this year, an addendum to the agreement was signed, marking an overall reduction in the total dollar
value and the inclusion of an additional year to complete the payment schedule. The Agreement remains
otherwise unchanged and continues to grant Silver Viper the right to purchase 100% ownership of three
mineral concessions covering 2,102 hectares of the La Virginia Gold -Silver Project, located in the Sierra
Madre of eastern Sonora state, Mexico.
The revised agreement to purchase the mineral concessions provides for staged annual cash payments
totaling US$3.0 million as per the schedule below. The 2% Net Smelter Return (NSR) that may be
purchased by the Company for US$2.0 million within 5 years of the effective date of the agreement, or
for US$3.0 million following the 5th anniversary, remains unchanged.
New Agreement Original Agreement
June 2019 US$50,000 June 2019 US$190,000
June 2020 US$75,000 June 2020 US$500,000
June 2021 US$100,000 June 2021 US$1,000,000
June 2022 US$200,000 June 2022 US$2,800,000
June 2023 US$2,575,0001
Total US$3,000,000 Total US$4,490,000
1Final payment to comprise $1.2 million in cash and the remainder in cash or shares at the Company’s discretion.
Renegotiation of the Rubi-Esperanza agreement is part of an ongoing effort by Silver Viper to ensure that
maximum expenditures are directed into exploration activities at La Virginia where initial work has
provided highly encouraging early results. In addition, data generated by regional reconnaissance work
has guided Silver Viper’s decision to file strategic reductions over the three large concessions surrounding
the Rubi-Esperanza group as acquired from Pan American Silver Corp. during Silver Viper’s consolidation
of the La Virginia mineral camp (see news release of December 17th 2018).
Work continues to refine targets at La Virginia. S urface geochemistry and prospecting have identified
targets to the north, south and east of the El Rubi discovery which will be tested during the next phase of
drilling. In addition, Silver Viper has contracted Geotech Ltd. to conduct a 720 line-kilometer magnetic
and radiometric survey over the El Rubi and La Gloria targets for a total coverage of 4,900 hectares.
Silver Viper’s President and CEO Steve Cope states, “ The restructuring of our arrangement on Rubi -
Esperanza is a positive development for the La Virginia Project. By restructuring the option agreement, we
will spend more dollars in the ground developing the Project, which will add value for all of the
stakeholders. We appreciate the support and confidence shown to us by the optionors in working with us
to achieve this agreement.”
The Company is planning to follow up on the 2018 drilling success at El Rubi, located north of the historical
La Virginia exploration targets. As previously announced (see news release of Jan 14th, 2019), Silver Viper
drilling at El Rubi returned a best result of 13.3 m core length (estimated true width 6.0m) averaging
3.16g/t gold and 228g/t silver for a gold equivalent 2 grade of 6.42g/t gold. Drilling to date has
encountered mineralization over a 100m strike length, with planned work designed to increase the known
limits of the mineralization.
Since acquiring the project, Silver Viper has completed diamond drilling on five target areas total ing
4,753m in 20 drill holes and completed regional exploration programs of stream sediment sampling ,
geological/prospecting traverses and soil sampling . The regional program to date has resulted in the
collection of 1,600 soil samples and rock chip samples across the largely unexplored property.
Dale Brittliffe, P.Geo., Vice President of Exploration is the ‘Qualified Person’ under National Instrument
43-101 and has approved the scientific and technical information contained in this news release.
2 Gold Equivalent calculated using an Au:Ag ratio of 70:1, Au Equivalent = Au grade + (Ag grade/ 70)
Appointment of Director
Silver Viper is also pleased to announce the appointment of Carla Hartzenberg, CPA, CA, who is currently
CFO of the Company, as a director.
About the Project
La Virginia is locate d 220km east -northeast of Hermosillo, Sonora. It is a large exploration property,
primarily prospective for fault -controlled, low -sulphidation epithermal precious metal mineralization.
The property and historical exploration database were acquired by way of option agreements made with
two distinct parties. Gold and silver mineralization at La Virginia occurs within breccias, veins and
stockworks hosted primarily by andesitic volcanics, often in close spatial association to or cross -cutting
pre-mineral dacite dykes and controlled by fractures and faults that define the regional structural trend.
Originally 37,700 hectares in size, Silver Viper’s reconnaissance program has identified key targets and
trends which are of primary interest. The Company has filed reductions of the large concessions to better
focus efforts on the high priority trends.
QA/QC
Analytical results herein represent samples of halved diamond drill core submitted by Silver Viper staff
directly to Bureau Veritas, Hermosillo, Sonora, Mexico. Samples were crushed, split and pulverized as per
Bureau Veritas method PRP70 -250, then analysed for gold by lead collection fire assay fusion on a 30g
split with AAS finish, and for a multi-element suite including silver by multi-acid digestion with ICP-ES/MS
finish. Samples triggering precious metal over-limit thresholds of 10g/t Au or 200g/t Ag were retested by
lead collection fire assay fusion with a gravimetric finish. Silver Viper monitors QA/QC using commercially
sourced standards and locally sourced blank materials inserted within the sample sequence at regular
intervals.
About the Company
Silver Viper Minerals Corp. is a Canadian-based junior mineral exploration company focused on precious
metals exploration in the northwestern Mexican state of Sonora. The Company currently operates the La
Virginia Gold -Silver Project. Silver Viper has 100% ownership of the La Virginia concessions recently
acquired from P an American Silver Corp. and has an option to acquire a 100% interest in the Rubi -
Esperanza group of claims internal to those concessions. The property was most recently operated by
Pan American Silver Corp. Silver Viper is under management provided by Belcarra Group Management
Ltd., which is comprised of highly qualified mining professionals.
On behalf of the board of directors,
Steve Cope
President and CEO
For further information please contact, please contact Silver Viper Minerals Corp. at (604) 687-8566,
email [email protected] or visit our website at www.silverviperminerals.com
Forward Looking Information
Information set forth in this press release contains forward-looking statements. These statements reflect
management’s current estimates, beliefs, intentions and expectations; they are not guarantees of future
performance. The Company cautions that all f orward-looking statements are inherently uncertain, and
that actual performance may be affected by a number of material factors, many of which are beyond the
Company’s control. Such factors include, among other things: risks and uncertainties relating to
exploration and development , the ability of the Company to obtain additional financing , the need to
comply with environmental and governmental regulations , fluctuations in the prices of commodities ,
operating hazards and risks, competition and other risks a nd uncertainties, including those described in
the Company’s financial statements available on www.sedar.com. Accordingly, actual and future events,
conditions and results may differ materially from the estimates, beliefs, intentions and expectations
expressed or implied in the forward -looking information. Except as required under applicable securities
legislation, the Company undertakes no obligation to publicly update or revise forward -looking
information.
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.