Vizsla Silver Provides 2023 Year-End Summary and 2024 Outlook
VIZSLA SILVER PROVIDES 2023 YEAR-END
SUMMARY AND 2024 OUTLOOK
NYSE: VZLA TSX-V: VZLA
VANCOUVER, BC
,
Dec. 19, 2023
/CNW/ -
Vizsla Silver Corp.
(TSXV: VZLA) (NYSE: VZLA)
(
Frankfurt
: 0G3) ("
Vizsla
" or the "
Company
") is pleased to provide a year
-
end summary of its
activities at its flagship
Panuco
silver-gold property (the "
Property
" or "
Panuco
") located in
Sinaloa,
Mexico
and outline the Company's key objectives/milestones for 2024.
"2023 was yet another exciting year of exploration and growth at
Panuco
,"
commented
Michael
Konnert
, President & CEO.
"We started off the year with the achievement of an important milestone
by announcing a significant update to the maiden resource which highlighted a material increase in
both project grade and contained ounces. Drilling throughout the year continued to expand know
mineralization particularly at
Copala
which has now doubled in strike length relative to the
January
2023
MRE. Additionally, the exploration team was successful in making two new discoveries at La
Luisa and El Molino, both of which represent wide, high-grade, near-surface structures with the
potential to add resources within proximity to the main
Copala
and Napoleon resource areas. In
early 2023, Vizsla successfully raised
$45M
to fund its ongoing operational objectives and more
recently, we were delighted to welcome Mexican Mining Hall of Fame member
Eduardo Luna
to
the Board of Directors. For 2024, Vizsla remains focused on delivering value to stakeholders and
benefiting the communities in which it operates. At the project, our goal is to further de-risk the
resource through updated technical studies including a fully permitted bulk sample and test mine
program at
Copala
and Napoleon. Concurrently, we will continue exploring new areas of the district
with both low-cost mapping/geophysical surveys and 65,000 meters of planned drilling. On the
corporate side, we expect a series of potential catalysts will add near-term credibility and value to
the Company including new technical hires to support the next phase of project development and a
spinout of a wholly owned royalty on the Property. We look forward to another safe and exciting
year for Vizsla and thank everyone for their hard work and continued support."
Key objectives for 2024
Deliver an updated MRE for the project in
January 2024
Potential royalty spinout
Deliver maiden PEA in H1 2024
Complete updated metallurgical testing in H2 2024
Advance Bulk Sample / Test Mine program
Complete +65,000 meters of resource/discovery focused drilling
Complete a ~1,100 line-kilometre EM survey and acquire high-resolution multispectral satellite
imagery for the whole district
2023 Highlights & Discoveries:
In 2023, Vizsla completed over 98,000 metres of diamond core drilling designed to expand and
upgrade mineral resources in the western portion of the
Panuco
district, particularly at the
Copala
and Napoleon areas. Mineralization at
Copala
has now been traced over 1,770 metres along strike,
~450 metres down dip, and remains open to the north and southeast. This represents approximately
a 97% increase to the measured strike length of
Copala
, relative to the 2023 MRE. In addition to
Copala's
significant lateral growth, it continues to be the thickest vein structure discovered to date in
the district, measuring ~9.7 metres (~31 feet) on average for the entire length of the resource
wireframe.
Copala
currently hosts an indicated resource of 51 Moz AgEq and inferred resource of
55 Moz AgEq based on 80 holes completed to
September 2022
(data cut-off for 2023 MRE).
At the Napoleon area, drilling throughout 2023 continued to demonstrate mineral continuity via infill
drilling along the main Napoleon structure as well as help further define a series of high-grade splay
veins. The Napoleon structure currently hosts an indicated resource of 37 Moz AgEq and inferred
resource of 17 Moz AgEq based on 258 holes completed to
September 2022
(data cut-off for 2023
MRE).
Other notable discoveries include the Luisa Vein and the Molino Vein. La Luisa is a high-grade
structure located ~700 metres west of Napoleon. To date, 44 holes completed at Luisa have traced
mineralization along 1,670 metres of strike length and to an average depth of 450 metres. Luisa has
an average width of 3.21 metres and a weighted average grade of 497 g/t AgEq El Molino Vein,
situated in between the
Copala
and Napoleon resource areas, is a near-surface vein that was
discovered during preliminary condemnation drilling. El Molino is marked by high precious metal
grades up to 1,552 g/t Ag and 8.37 g/t Au over 1.65 metres.
Table of Top 10 Drill Composites of 2023, ordered from highest to lowest grade AgEq
Drillhole
From
To
Downhole
Length
Estimated
True width
Ag
Au
Pb
Zn
AgEq
AgEq
(g/t)*metre
(TW)
Vein
(m)
(m)
(m)
(m)
(g/t)
(g/t)
%
%
(g/t)
CS-23-265
380.6
388.95
8.35
5.89
1,403
4.24
-
-
1,576
9,281
Copala
NP-23-395
657.1
669.3
12.2
11.2
229
7.14
0.34
1.64
764
8,560
La Luisa Main
NP-23-358
501.3
513.9
12.6
5.6
257
11.13
0.42
2.03
1,076
6,027
La Luisa Main
CS-23-254
535.4
538.3
2.9
2.14
1,319
22.46
-
-
2,784
5,955
Copala
CS-23-253
295.4
297.5
2.1
2.1
1,920
10.91
-
-
2,517
5,285
Copala
CS-23-304
468
471.3
3.3
2.8
1,366
6.8
-
-
1,722
4,821
Copala
CS-23-290
557.8
588.7
30.9
5.05
565
3.48
-
-
760
3,836
Copala 2
NP-23-359
80
82.05
2.05
1.65
1,552
8.37
0.47
1.22
2,066
3,409
El Molino
NP-23-391
526.15
528.2
2.05
1.9
908
7.37
1.62
4.91
1,568
2,979
Napoleon FW2
NP-23-362
618.25
626.3
8.05
3.05
372
5.82
2.15
3.15
916
2,795
Luisa HW 2
Note: AgEq = Ag ppm + (((Au ppm x Au price/gram) + (Pb% x Pb price/t) + (Zn% x Zn price/t))/Ag price/gram). Metal price assumptions are $24.00/oz silver, $1,800/oz gold, $2,425/t
lead and $2,976/t zinc. Metallurgical recoveries assumed are 93% for silver, 90% for gold, 94% for lead and 94% for zinc for Napoleon, La Luisa and El Molino vein intercepts (see
press release dated February 17, 2022) and 91% for silver and 94% for gold for the Copala, Copala 2 and Cristiano vein intercepts (see press release dated August 16, 2023).
In addition to targeted resource expansion and conversion drilling aimed at complementing a near-
term mine plan, Vizsla continued to de-risk the Project through ongoing engineering and
environmental programs, including geotechnical and hydrological studies.
Other notable project level and corporate accomplishments include:
Achieved a safety record of 1.8 million working hours without a lost time incident in 2023.
Vizsla's Mexican subsidiary, Minera CANAM, was also awarded the Socially Responsible
Company Distinction (ESR) for the second year in a row. This is
Mexico's
highest corporate
social responsibility recognition, awarded jointly by the Mexican Center for Philanthropy
(CEMEFI) and the Foundation for Sustainability and Equity (ALIARSE). It is given to companies
that are leaders in their sector for their commitment to integrating social and environmental
values into their operations. In addition, Minera CANAM received the ELSSA distinction award
for the first year, given to companies with healthy and safe workplace environments.
Vizsla announced its inaugural ESG Sustainability report, highlighting the Company's
commitment to sustainable practices and responsible corporate citizenship.
District-wide detailed geological mapping (~60% of the district has been mapped at a scale of
1:1,000)
During 2023, Vizsla invested approximately
US$2.0M
in the Coco Plant facility reclamation
project including the initial construction of deviation channels. The channels will be finished in the
first half of 2024.
Since 2022, Vizsla and its consultants have completed six environmental monitoring campaigns
at the Project.
Continued property expansion through acquisition, eight claims for a combined 290.6 ha were
acquired.
Vizsla Silver and Minera CANAM outreach support programs included four Health Fairs,
covering the central communities around the project, whereby more than 300 people in each
campaign could access medical care from doctors, nurses, psychologists, and other medical
professionals.
On the corporate side, Vizsla further strengthened its management team and board in 2023 by
adding several experienced mining professionals including
Eduardo Luna
(Director),
Michael
Pettingell
(promoted to SVP, Business Development & Strategy),
Hernando Rueda
(promoted
to Director,
Mexico
) and
Fernando Martinez
(Director, Projects).
2024 Outlook
Vizsla Silver's focus for 2024 is to de-risk the robust resource base located in the western portion of
the district ahead of a development decision. Simultaneously, Vizsla will continue exploring other
prospective areas of the district for new centers of high-grade mineralization. Key de-risking
initiatives planned for 2024 include:
1
.
Bulk Sample / Test Mine:
Vizsla has received permits to develop and operate a test mine
program at its
Panuco
project to extract a combined 25,000 tonne bulk sample from the
Copala
and Napoleon structures. Initial engineering for the bulk sample test mine has already begun
with plans to begin underground development in early 2024.
2
.
Tight Spaced Definition Drilling:
Of the 65,000 metres of total drilling planned for 2024, ~10%
will be dedicated to tight spaced (12.5 metre center) definition drilling targeting both
Copala
and
Napoleon.
3
.
Optimized Metallurgy:
Ongoing metallurgical test work aimed at simplifying the process
flowsheet design.
For 2024, a total of +65,000 metres of drilling is planned between infill, Engineering (PEA studies),
expansion, and exploration programs. Six diamond drill rigs will be active on the property (four
focused on upgrading and expanding the current resource base in the western portion of the district
ahead of the PEA and two devoted to exploration). Exploration drills will focus on priority targets
proximal to current resources in the west, as well as on other high-priority targets in the eastern
portion of the district.
Resource Extension Targets
The Copala structure remains open along strike to the north and down dip to the south. In 2024,
Vizsla plans to continue 1) upgrading inferred resources in south
Copala
and 2) continue
expanding
Copala
and its footwall splays down dip.
At Napoleon, Vizsla plans to upgrade inferred resources and to conduct resource expansion
drilling along the hanging wall-4 vein (HW4) to the east, as well as to explore three potential vein
feeders along the main Napoleon structure at depth.
Proximal Targets
At La Luisa, the team plans to continue expanding the footprint of the high-grade shoot on the
south and infill drilling the recently defined 400 metre gap between the northern most drill-hole
intercepts and the high-grade shoot on the south.
The EL Molino Vein reported significant silver and gold grades close to surface, and Vizsla
plans to explore the vein along strike and at depth to add additional high-grade resources close
to planned infrastructure in 2024.
Vizsla plans to drill-test a conceptual target at the projected northern intersection of the
Copala
fault with the Napoleon vein system near
La Estrella
area.
District Targets
New mapping efforts completed in 2023 have highlighted an abundance of historic workings in the
southeastern portion of the district. This new area named "Camelia" is marked by serval high-grade
surface samples grading up to 400 g/t Ag and 5.0 g/t Au. Given, the overall density of veins mapped
on surface and the abundance of surface samples related to historic workings this has become a
high priority district target in the east.
Figure 1: Plan map of the Panuco district highlighting primary exploration targets relative to mapped
and sampled mineralized veins. The purple ellipse represents Resource Extension targets, the yellow
ellipse represents Proximal targets, and the blue arrows represent distal District targets. (CNW
Group/Vizsla Silver Corp.)
Key objectives for 2024
Deliver an updated MRE for the project in
January 2024
Potential royalty spinout
Deliver maiden PEA in H1 2024
Complete updated metallurgical testing in H2 2024
Advance Bulk Sample / Test Mine program
Complete +65,000 meters of resource/discovery focused drilling
Complete a ~1,100 line-kilometre EM survey and acquire high-resolution multispectral satellite
imagery for the whole district
About the Panuco Project
The newly consolidated
Panuco
silver-gold project is an emerging high-grade discovery located in
southern
Sinaloa, Mexico
, near the city of Mazatlán. The 7,189.5-hectare, past producing district
benefits from over 86 kilometres of total vein extent, 35 kilometres of underground mines, 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.
The Panuco Project hosts an estimated in-situ indicated mineral resource of 104.8 Moz AgEq and an
in-situ inferred resource of 114.1 Moz AgEq. An updated NI 43-101 technical report titled "Technical
Report on the Mineral Resource Estimate Update for the Panuco Ag-Au-Pb-Zn Project, Sinaloa
State,
Mexico
" was filed on SEDAR on
March 10, 2023
, with an effective date of
January 19, 2023
was prepared by Allan Armitage, Ph. D., P. Geo., Ben Eggers, MAIG, P.Geo. and Yann Camus,
P.Eng. of SGS Geological Services.
About Vizsla Silver
Vizsla Silver is a Canadian mineral exploration and development company headquartered in
Vancouver, BC
, focused on advancing its flagship, 100%-owned
Panuco
silver-gold project located
in
Sinaloa, Mexico
. To date, Vizsla Silver has completed over 310,000 metres of drilling at
Panuco
leading to the discovery of several new high-grade veins. For 2024, Vizsla Silver is focused on de-
risking the resource base located in the western portion of the district ahead of a development
decision. Additionally, Vizsla has budgeted +65,000 metres of resource/discovery-based drilling
designed to upgrade and expand the Project's mineral resource, as well as test other high priority
targets across the district.
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
In accordance with NI 43-101,
Martin Dupuis
, P.Geo., COO, is the Qualified Person for the
Company and has reviewed and approved the technical and scientific content of this news release.
Information Concerning Estimates of Mineral Resources
The scientific and technical information in this news release was prepared in accordance with NI 43-
101 which differs significantly from the requirements of the U.S. Securities and Exchange
Commission (the "SEC"). The terms "measured mineral resource", "indicated mineral resource" and
"inferred mineral resource" used herein are in reference to the mining terms defined in the Canadian
Institute of Mining, Metallurgy and Petroleum Standards (the "CIM Definition Standards"), which
definitions have been adopted by NI 43-101. Accordingly, information contained herein providing
descriptions of our mineral deposits in accordance with NI 43-101 may not be comparable to similar
information made public by other U.S. companies subject to
the United States
federal securities laws
and the rules and regulations thereunder.
You are cautioned not to assume that any part or all of mineral resources will ever be converted into
reserves. Pursuant to CIM Definition Standards, "inferred mineral resources" are that part of a
mineral resource for which quantity and grade or quality are estimated on the basis of limited
geological evidence and sampling. Such geological evidence is sufficient to imply but not verify
geological and grade or quality continuity. An inferred mineral resource has a lower level of
confidence than that applying to an indicated mineral resource and must not be converted to a
mineral reserve. However, it is reasonably expected that the majority of inferred mineral resources
could be upgraded to indicated mineral resources with continued exploration. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility
studies, except in rare cases. Investors are cautioned not to assume that all or any part of an
inferred mineral resource is economically or legally mineable. Disclosure of "contained ounces" in a
resource is permitted disclosure under Canadian regulations; 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.
Canadian standards, including the CIM Definition Standards and NI 43-101, differ significantly from
standards in the SEC Industry Guide 7. Effective
February 25, 2019
, the SEC adopted new mining
disclosure rules under subpart 1300 of Regulation S-K of the United States Securities Act of 1933,
as amended (the "SEC Modernization Rules"), with compliance required for the first fiscal year
beginning on or after
January 1, 2021
. The SEC Modernization Rules replace the historical property
disclosure requirements included in SEC Industry Guide 7. As a result of the adoption of the SEC
Modernization Rules, the SEC now recognizes estimates of "measured mineral resources",
"indicated mineral resources" and "inferred mineral resources". Information regarding mineral
resources contained or referenced herein may not be comparable to similar information made public
by companies that report according to U.S. standards. While the SEC Modernization Rules are
purported to be "substantially similar" to the CIM Definition Standards, readers are cautioned that
there are differences between the SEC Modernization Rules and the CIM Definitions Standards.
Accordingly, there is no assurance any mineral resources that the Company may report as
"measured mineral resources", "indicated mineral resources" and "inferred mineral resources" under
NI 43-101 would be the same had the Company prepared the resource estimates under the
standards adopted under the SEC Modernization Rules.
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 exploration, development, and
production at
Panuco
, including plans for resource/discovery-based drilling, designed to upgrade,
and expand the maiden resource as well as test other high priority targets across the district.
Forward
looking statements and forward
looking information relating to any future mineral
production, liquidity, enhanced value and capital markets profile of Vizsla Silver, future growth
potential for Vizsla Silver 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 Silver's ability to operate in a safe and effective manner and its ability to obtain financing on
reasonable terms.
These statements reflect Vizsla Silver'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 Silver 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 Silver's management discussion and
analysis. Readers are cautioned against attributing undue certainty to forward
looking statements or
forward-looking information. Although Vizsla Silver 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 Silver 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 Silver 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], Website:
www.vizslasilvercorp.ca
CO: Vizsla Silver Corp.
CNW 08:00e 19-DEC-23