Vizsla Silver Provides Further Update ON Acquisition of Large Claim Package Along Highly Prospective Structural Trend, South of Panuco
VIZSLA SILVER PROVIDES FURTHER
UPDATE ON ACQUISITION OF LARGE CLAIM
PACKAGE ALONG HIGHLY PROSPECTIVE
STRUCTURAL TREND, SOUTH OF PANUCO
NYSE: VZLA TSX-V: VZLA
VANCOUVER, BC
,
May 3, 2024
/CNW/ -
Vizsla Silver Corp.
(TSXV: VZLA) (NYSE: VZLA)
(
Frankfurt
: 0G3) ("
Vizsla Silver
" or the "
Company
") is pleased to announce that it has now issued
448,137 common shares (the "
Consideration Shares
") for the previously announced asset
purchase agreement (the "
Acquisition Agreement
") dated
March 5, 2024
, entered into with Inca
Azteca Gold S.A.P.I. de C.V. (the "
Seller
") and the Company's wholly owned subsidiary,
Minera
Canam
, S.A. de C.V. ("
Minera Canam
") pursuant to which the Company agreed to acquire, through
Minera Canam
, all of the Seller's right, title and interest in and to the mineral concessions (the
"
Acquisition
").
The Company will acquire two large claims comprising 10,667.0 Ha (the "
El Richard –
San Enrique
claims
" or "
San Enrique
prospect
") located south and partially adjacent to the Company's
Panuco
project (the "
Panuco Project
" or "
Panuco
"). The
San Enrique
prospect is situated along the highly
prospective
Panuco
–
San Dimas
corridor and is covered 100% with LiDAR and partially covered
with high-resolution aero-magnetic and radiometric surveys.
For full details on the Acquisition, please view the
April 16, 2024
, news release located on our
website at
https://vizslasilvercorp.com/news/2024/
.
The Consideration Shares have been issued at a share price of
C$1.97
for total consideration of
C$882,830
(US$650,000)
. The Consideration Shares are subject to a four-month hold period
pursuant to applicable Canadian securities laws and the Seller has agreed to voluntary resale
restrictions, whereby 12.5% of the Consideration Shares will become free trading on the date that is
four months and one day from the effective date and an additional 12.5% will become free trading
every three months thereafter.
About the
San Enrique
prospect
The
San Enrique
prospect area is adjacent to the southern boundary of the
Panuco
project. The
prospect comprises two titled mining claims covering 10,667.0 Ha (El Richard with 3,688.6 Ha and
San Enrique
with 6,978.4 Ha) in the emerging silver-gold-rich
Panuco
–
San Dimas
corridor with
estimated past production plus current resources and reserves of 1.2-
Boz Ag
and 15-
Moz Au
.
The LiDAR and mag survey from the
San Enrique
prospect show strong NW-trending lineaments,
indicative of regional faults and fractures. Two of these lineaments are aligned and seem to be the
SE extensions of the
Copala
fault and the Cordon del
Oro
- Animas vein structures in
Panuco
. The
main lithologies identified to date are predominantly rhyolite domes which produce strong magnetic
anomalies in the north, and felsic flows and tuffs (rhyolites and dacites). Recent
40
Ar/
39
Ar age dating
on adularia separates from veins in
Panuco
project indicates that epithermal mineralization post
dates felsic volcanism in the area. Additionally, preliminary recognizance mapping in the northeast
has revealed the presence of andesite tuffs and flows, quartz veining and breccia structures. The
Santa Fe
mine is located three kilometres south of
San Enrique
, is owned and operated by Inca
Azteca Gold and is a small scale mine producing high-grade silver and gold from a NW trending
epithermal vein. This supports the hypothesis that the NW trending structures within
San Enrique
have the potential to host additional veins yet to be discovered.
The
San Enrique
prospect contains several indicators that suggest it is a highly prospective area,
namely: location (
Panuco
–
San Dimas
corridor), high-grade deposits immediately north (
Copala
and
Panuco
), structural controls (southeast extensions of the
Copala
fault and Cordon - Animas
lineament), domes and an operating mine to the south along another NW regional fault (
Santa Fe
mine, Inca Azteca).
Vizsla Silver is in the process of acquiring a multispectral World View III satellite image covering the
whole
Panuco
and
San Enrique
claims to speed up the target generation process. Furthermore, the
Company intends to conduct regional recognizance-mapping and a stream-sediment geochemical
survey at
San Enrique
in the near future.
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 17,856.5-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.
On
January 8, 2024
, the Company announced an updated mineral resource estimate for
Panuco
which includes an estimated in-situ indicated mineral resource of 155.8 Moz AgEq and an in-situ
inferred resource of 169.6 Moz AgEq.
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 350,000 metres of drilling at
Panuco
leading to the discovery of several new high-grade veins. For 2024, Vizsla Silver has budgeted
+30,000 metres of resource/discovery-based drilling designed to upgrade and expand the mineral
resource, as well as test other high priority targets across the district.
Qualified Person
In accordance with NI 43-101,
Jesus Velador
, Ph.D. MMSA QP., Vice President of Exploration, 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 the Panuco Project and the
San Enrique
prospect, including the potential acquisition of
a multispectral World View III satellite image covering the whole
Panuco
and
San Enrique
claims and
the conduct of regional recognizance-mapping and a stream-sediment geochemical survey at
San
Enrique
.
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; 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; 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:
For more 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 19:00e 03-MAY-24