Vizsla Extends Papayo Prospect to the South at Panuco Project, Mexico (VZLA-TSX-V)
Vizsla Extends Papayo Prospect to the South
at Panuco Project, Mexico
(VZLA-TSX-V)
VANCOUVER, BC
,
Jan. 25, 2021
/CNW/ -
Vizsla Resources Corp.
(TSX-V: VZLA) (OTCQB:
VIZSF) (
Frankfurt
: 0G3) ("
Vizsla
" or the "
Company
") is pleased to provide results from eight new
holes at the Papayo prospect at the
Panuco
silver-gold project ("
Panuco
" or the "
Project
") in
Mexico. These results extend the Papayo zone over 120 metres to the south where it remains open.
Drilling Highlights
NP-20-50
413 g/t silver equivalent
(198.0 g/t silver, 0.96 g/t gold, 1.43 % lead, and 4.53 % zinc) over
1.91 m
true width from
132.4 m
including;
1,009 g/t silver equivalent
(477.9 g/t silver, 2.19 g/t gold, 3.67 % lead, and 11.7 % zinc) over
0.69 m
true width from
132.4 m
including
NP-20-36
321 g/t silver equivalent
(144.3 g/t silver, 1.21 g/t gold, 0.75 % lead, and 2.41 % zinc) over
2.46 m
true width from
184.5 m
Note: All numbers are rounded and widths represent estimated true widths. Silver equivalent is
calculated using the following formula: Silver-equivalent = ((Au_g/t x 52.48) + (Ag_g/t x 0.5289) +
(Pb_ppm x 0.0013) + (Zn_ppm x 0.0013)) / 0.5627. Metal price assumptions are
$17.50
g/t silver,
$1,700
g/t gold,
$0.75
pound lead and
$0.85
pound zinc, recoveries assumptions are 96% gold,
94% silver, 78% lead and 70% zinc based on similar deposit types. The Company is disclosing
results on a silver equivalent basis due to the overall silver dominant nature of mineralization at the
Panuco
project.
Vizsla President and CEO,
Michael Konnert
, commented:
"Papayo now extends over 240 meters of
strike with two parallel veins containing mineralization and remains open. It is located
approximately 1km north of the Napoleon discovery and is one of a number of targets along the
vein corridor. Based on these two successes, the Company has commenced a systematic
100m
spaced program to test the entire 2.7km length of the corridor to find new zones and define the
total endowment of the Napoleon Vein."
Figure 1: Plan view of Papayo prospect with drill hole locations labelled and surface sampling
locations shown. (CNW Group/Vizsla Resources Corp.)
Papayo Drilling detail
Drilling at Papayo has defined a central zone with mineralization that is better developed in the
hangingwall vein (defined by holes NP-20-21, NP-20-28 and NP-20-36). Stepping to south, drilling
has intersected another better developed zone of mineralization around hole NP-20-50 that is open
for expansion with higher grades in both the hangingwall and footwall veins (Figure 2).
The broader Napoleon structure is hosted in weakly magnetic microdiorite and trends roughly north –
south for over
2,700 m
of strike. The structure hosts two main quartz veins that are separated by
10 to
20m
, and dips steeply to the east. Between the two main veins are a series of smaller splay
veins with variable orientations, that are related to opening along the structure under strike slip
movement. The two main veins have a variable true width of 0.4 to
15.3 m
and are usually hosted
next to the main fault structure, though occasionally also occur outside of the fault.
The two main veins are multi-episodal quartz veins, with sections of massive white to grey quartz as
well as local brecciation with clasts of grey quartz, white vein quartz and/or wallrock fragments. The
grey quartz is discoloured due to the presence of very fine-grained argentite. A later breccia cuts
these earlier phases that is grey quartz supporting polymictic clasts of grey and white quartz along
with strong chlorite and fine to medium grained pyrite, sphalerite and galena. Other smaller quartz
veins have been cut in both the hanging wall and footwall that appear to be splays with less
continuity.
Figure 2: Cross section of Papayo hole NP-20-50 (CNW Group/Vizsla Resources Corp.)
About the
Panuco
project
Vizsla has an option to acquire 100% of the recently consolidated 9,386.5 Ha Panuco district in
southern
Sinaloa, Mexico
, near the city of Mazatlán. The option allows for the acquisition of over 75
km of total vein extent, a 500 tpd mill, 35 kms of underground mines, tailings facilities, roads, power
and permits.
The district contains intermediate to low sulfidation epithermal silver and gold deposits related to
siliceous volcanism and crustal extension in the Oligocene and Miocene. Host rocks are mainly
continental volcanic rocks correlated to the Tarahumara Formation.
Complete table of Papayo drill hole intersections
Drillhole
From
To
Est.
True
Width
Gold
Silver
Lead
Zinc
Silver
Equivalent
Comment
(m)
(m)
(m)
(g/t)
(g/t)
(%)
(%)
(g/t)
NP-20-34
188.85
191.6
0.89
2.98
333.6
0.15
0.45
605.0
Hanging wall vein
and
211.5
213
0.57
0.94
239.2
0.66
1.25
356.5
Main vein
NP-20-36
184.5
191
2.46
1.21
144.3
0.76
2.41
321.5
Hanging wall vein
NP-20-40
256.5
258
0.48
0.54
32.6
0.05
0.14
85.4
Hanging wall vein
and
276
277.5
0.58
0.85
59.0
0.02
0.08
136.8
Main vein
NP-20-41A
171.3
178.5
3.63
0.45
61.7
0.44
1.20
137.9
Hanging wall vein
and
204.9
207.6
1.59
0.21
29.5
0.12
0.43
60.5
Main vein
NP-20-44
96.65
99.1
0.76
0.32
36.2
0.11
0.54
79.1
Hanging wall vein
and
127.4
139.65
0.41
0.22
40.5
0.07
0.18
64.5
Main vein
NP-20-45
120.2
123.9
0.95
0.13
36.5
0.09
0.57
61.6
Hanging wall vein
and
152.7
163.3
2.72
0.24
39.6
0.26
0.70
82.4
Main vein
NP-20-48
No Significant intersection
NP-20-50
117.7
118.6
0.51
1.82
257.0
0.63
4.26
524.2
Hanging wall vein
and
132.4
135.45
1.91
0.96
198.0
1.43
4.53
413.5
Main vein
Incl.
132.4
133.5
0.63
2.19
477.8
3.66
11.7
1,008.6
NP-20-52
Assays Pending
NP-20-57
Assays Pending
NP-20-60
Assays Pending
NP-20-63
Assays Pending
Table 1:
Downhole drill intersections from the holes completed at the Papayo. All holes are reported and numbers are non-sequential due to drilling at the Napoleon discovery
on the same vein.
Note:
All numbers are rounded and widths represent downhole lengths. Silver equivalent is calculated using the following formula:
Silver-equivalent = ((Au_g/t x 52.48) + (Ag_g/t x 0.5289) + (Pb_ppm x 0.0013) + (Zn_ppm x 0.0013)) / 0.5627. Metal price assumptions are $17.50 g/t silver, $1,700 g/t
gold, $0.75 pound lead and $0.85 pound zinc, recoveries assumptions are 96% gold, 94% silver, 78% lead and 70% zinc based on similar deposit types.
Drill Collar Information
Prospect
Drillhole
Easting
Northing
Elevation
Dip
Azimuth
Hole Depth
Papayo
NP-20-34
403,329
2,588,069
569
-63
238
249
NP-20-36
403,329
2,588,069
569
-62
275
229
NP-20-40
403,325
2,588,073
569
-59
287
292
NP-20-41A
403,329
2,588,069
569
-60
222
261
NP-20-44
403,320
2,588,990
557
-62
231
500
NP-20-45
403,329
2,588,986
548
-59
210
201
NP-20-48
403,239
2,588,986
548
-74
210
385
NP-20-50
403,390
2,588,872
518
-45
270
178
NP-20-52
403,391
2,588,872
518
-58
270
291
NP-20-57
403,390
2,588,869
518
-42
242
184
NP-20-60
403,091
2,588,869
518
-49
242
203
NP-20-63
403,345
2,588,879
519
-54
265
100
Table 2:
Drill hole details. Coordinates in WGS84, Zone 13.
Quality Assurance / Quality Control
Drill core and rock samples were shipped to ALS Limited in
Zacatecas
,
Zacatecas, Mexico
and in
North Vancouver, Canada
for sample preparation and for analysis at the ALS laboratory in North
Vancouver. The ALS Zacatecas and
North Vancouver
facilities are ISO 9001 and ISO/IEC 17025
certified. Silver and base metals were analyzed using a four-acid digestion with an ICP finish and
gold was assayed by 30-gram fire assay with atomic absorption ("AA") spectroscopy finish. Over
limit analyses for silver, lead and zinc were re-assayed using an ore-grade four-acid digestion with
AA finish.
Control samples comprising certified reference samples, duplicates and blank samples were
systematically inserted into the sample stream and analyzed as part of the Company's quality
assurance / quality control protocol.
Qualified Person
The Company's disclosure of technical or scientific information in this press release has been
reviewed and approved by
Stewart Harris
, P.Geo., an independent consultant for the Company. Mr.
Harris is a Qualified Person as defined under the terms of National Instrument 43-101.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
SPECIAL NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release includes certain "Forward–Looking Statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and "forward–looking information" under
applicable Canadian securities laws. When used in this news release, the words "anticipate",
"believe", "estimate", "expect", "target", "plan", "forecast", "may", "would", "could", "schedule" and
similar words or expressions, identify forward–looking statements or information. These forward–
looking statements or information relate to, among other things: the development of
Panuco
,
including drilling activities; future mineral exploration, development and production; and completion of
a maiden drilling program.
Forward–looking statements and forward–looking information relating to any future mineral
production, liquidity, enhanced value and capital markets profile of Vizsla, future growth potential for
Vizsla and its business, and future exploration plans are based on management's reasonable
assumptions, estimates, expectations, analyses and opinions, which are based on management's
experience and perception of trends, current conditions and expected developments, and other
factors that management believes are relevant and reasonable in the circumstances, but which may
prove to be incorrect. Assumptions have been made regarding, among other things, the price of
silver, gold and other metals; no escalation in the severity of the COVID-19 pandemic; costs of
exploration and development; the estimated costs of development of exploration projects; Vizsla's
ability to operate in a safe and effective manner and its ability to obtain financing on reasonable
terms.
These statements reflect Vizsla's respective current views with respect to future events and are
necessarily based upon a number of other assumptions and estimates that, while considered
reasonable by management, are inherently subject to significant business, economic, competitive,
political and social uncertainties and contingencies. Many factors, both known and unknown, could
cause actual results, performance or achievements to be materially different from the results,
performance or achievements that are or may be expressed or implied by such forward–looking
statements or forward-looking information and Vizsla has made assumptions and estimates based
on or related to many of these factors. Such factors include, without limitation: the Company's
dependence on one mineral project; precious metals price volatility; risks associated with the
conduct of the Company's mining activities in
Mexico
; regulatory, consent or permitting delays; risks
relating to reliance on the Company's management team and outside contractors; risks regarding
mineral resources and reserves; the Company's inability to obtain insurance to cover all risks, on a
commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate
sufficient cash flow from operations; risks relating to project financing and equity issuances; risks
and unknowns inherent in all mining projects, including the inaccuracy of reserves and resources,
metallurgical recoveries and capital and operating costs of such projects; contests over title to
properties, particularly title to undeveloped properties; laws and regulations governing the
environment, health and safety; the ability of the communities in which the Company operates to
manage and cope with the implications of COVID-19; the economic and financial implications of
COVID-19 to the Company; operating or technical difficulties in connection with mining or
development activities; employee relations, labour unrest or unavailability; the Company's
interactions with surrounding communities and artisanal miners; the Company's ability to successfully
integrate acquired assets; the speculative nature of exploration and development, including the risks
of diminishing quantities or grades of reserves; stock market volatility; conflicts of interest among
certain directors and officers; lack of liquidity for shareholders of the Company; litigation risk; and
the factors identified under the caption "Risk Factors" in Vizsla's management discussion and
analysis. Readers are cautioned against attributing undue certainty to forward–looking statements or
forward-looking information. Although Vizsla 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
anticipated, estimated or intended. Vizsla does not intend, and does not assume any obligation, to
update these forward–looking statements or forward-looking information to reflect changes in
assumptions or changes in circumstances or any other events affecting such statements or
information, other than as required by applicable law.
SOURCE
Vizsla Resources Corp.
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For further information:
and to sign-up to the mailing list, please contact: Michael Konnert,
President and Chief Executive Officer, Tel: (604) 364-2215, Email: [email protected]
CO: Vizsla Resources Corp.
CNW 06:00e 25-JAN-21