Zacatecas Silver Provides Update on Drilling Activities at Panuco
Zacatecas Silver Provides Update on Drilling Activities at
Panuco
VANCOUVER, BC
,
Oct. 15, 2021
/CNW/ - Zacatecas Silver Corp. ("Zacatecas Silver" or the "Company", (TSXV: ZAC)
(OTC Markets: ZCTSF) (
Frankfurt
: 7TV) is pleased to provide an update on its diamond drilling program at
Panuco
deposit
located within the Zacatecas Property.
Highlights:
Completed 4 angled drill holes at the eastern edge of the Panuco Central vein for a total of 1088 metres. All
intercepted visible quartz-sulphide vein hosted mineralization at, or close to, target depths.
Two angled diamond holes have been completed and third ongoing at The
Tres Cruces
vein system.
Approximately 600 metres of drilling has been completed at
Tres Cruces
.
The core from six drill holes has now been logged and sampled. Samples have been submitted to the ALS.
Rig will be moved to the San Gill breccia where several exploratory holes will be drilled, while awaiting drill core
assay results from
Panuco
.
Dr. Wilson, Chief Operating Officer and a Director of
Zacatecas
comments, "Drilling is proceeding efficiently and core
recovery is excellent. Visible inspection of core indicates that quartz-calcite-sulphide veins and breccias with strong argillic
alteration were intercepted at expected target depths — confirming continuity of structures hosting veins. By moving the
drill rog to San Gill,
Zacatecas
will be able to test this large north-south trending breccia zones, while waiting for
preliminary assay results for the
Panuco
holes drilled to date."
Zacatecas
has submitted all mineralized intercepts from the first 6 holes for sample preparation at ALS in
Zacatecas
. The
company implements a robust QAQC program and submits samples in batches of 20 comprising 17 drill core samples, one
Geostats certified reference material (a "standard"), and one staged duplicate.
Silver, gold, and base metal mineralization at the
Panuco
deposit is hosted in breccia veins, banded, crustiform and colloform
quartz-calcite veins, and quartz vein stockwork within zones of strong argillic alteration — as is typical of the intermediate
sulphidation veins throughout the
Zacatecas
region.
The
Panuco
deposit has an historic inferred mineral resource of 19,472,901 ounces Ag Eq. (cut-off 100 g/t Ag Eq.) from
3,954,729 tonnes at 153.2 g/t Ag Eq (136 g/t Ag, 0.14 g/t Au, 0.012% Pb, 0.11% Zn). Mineralization at the
Panuco
remains
open along strike and down dip. See "Historical Resource Estimate Information" set forth below.
Figure 1: Map of Panuco showing historical drill traces and vein outcrop. The seven angles diamond drill holes completed by
Zacatecas are shown green. (CNW Group/Zacatecas Silver Corp.)
San Gill
Zacatecas
plans to carry out exploratory diamond core drilling at the San Gill Breccia located with the Zacatecas Property.
The San Gill Breccia is located in the southern part of the main
Zacatecas
concessions and is approximately 2 kilometres to
the southwest of the
Veta Grande
vein. It is a zone of intense brecciation and quartz veining with an abundant matrix of iron
oxides after sulphides. Veins are multiphase — as evidenced by breccias, quartz vein stockworks, and crustiform and
collaform banding.
The San Gill Breccia is a robust exploration target that has not been effectively drill tested even though it is 800 metres long
and up to 40 metres wide.
The technical content of this news release has been reviewed, verified and approved by Dr. Chris Wilson, B.Sc (Hons),
PhD, FAusIMM (CP), FSEG. Chief Operating Officer and Director of Zacatecas Silver, a qualified person as defined by NI
43-101.
On behalf of the Company
Bryan Slusarchuk
Chief Executive Officer and Director
Historical Mineral Resource Estimate Information
In 2019 Santacruz Silver Mining Ltd. completed an updated historical resource estimate as set forth in the technical report
titled "Technical Report – Veta Grande Project, Zacatecas State,
Mexico
" dated 20
th
of
August 2019
. The report was
prepared by
Van Phu Bui
, P.
Geo and Michael O'Brien
, P. Geo, and filed on
www.sedar.com
("2019 Panuco Historical
Resource"). The 2019 Panuco Historical Resource reported 3,954,729 tonnes at 153 g/t Ag Eq. (136 g/t Ag, 0.14 g/t Au,
0.012 % Pb, 0.11% Zn) for a total of 19,472,901 ounces Ag Eq. (cut-off 100 g/t Ag Eq.). The 2019 Panuco Historical
Resource used "inferred mineral resources", which is a category set forth under CIM Definition Standards for Mineral
Resources & Mineral Reserves adopted on
May 10, 2014
.
The 2019 Panuco Historical Resource was calculating using 75 drill collars, 866 down hole surveys and 2,607 assayed
samples. A surface trench database totalling 183 trenches with 1,813 samples was used. Resource blocks were defined
using with dimensions of
20 m
along strike and down dip, and
1 m
across strike. Grades for gold, silver, lead and zinc were
interpolated into blocks using the following estimation algorithms: central — ordinary kriging and NW and
Tres Cruces
—
inverse distance squared. Assumptions used in the 2019 Panuco Historical Resource include the following metal prices: gold
price of US
$1,350
/oz, silver price of US
$16
/oz, lead price of US
$0.90
/lb and zinc price of US
$1.10
/lb. The 2019 Panuco
Historical Resource assumed recovering similar to the Veta Grande System being: gold at 52.2%, silver at 62.1%, lead at
87.9% and zinc at 78.6%. The Company considers the 2019 Panuco Historical Resource relevant due to its identification
and modelling of the
Panuco
deposit.
The Company has not done sufficient work to classify the 2019 Panuco Historical Resource as a current mineral resource or
mineral reserves, and the Company is not treating the historical estimate as current mineral resources or mineral reserves.
Although the historical resource estimate is considered reliable, 8% of the drill core intervals used in the resource
calculations was re-sampled and submitted these to ALS for independent assay. Further, additional data verification including
resurveying of select diamond drill holes collars; review of graphic drill core logs, comparison of these logs with remaining
half-cut core, and a cross-check of select geological logs agonist database entries; and a check of original ALS assay
certificates against the assays and drill hole database. Remodelling of the current
Panuco
resource is ongoing pending
receipt of check sample assays.
Forward-Looking Statements
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date
of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They
are not guarantees of future performance. Zacatecas Silver cautions that all forward looking statements are inherently
uncertain and that actual performance may be affected by many material factors, many of which are beyond their respective
control. Such factors include, among other things: risks and uncertainties relating to Zacatecas Silver's limited operating
history, its proposed exploration and development activities on is Zacatecas Properties and the need to comply with
environmental and governmental regulations. 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, Zacatecas Silver does not undertake to publicly update or revise
forward-looking information.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
Exchange) accepts responsibility for the adequacy or accuracy of this release.
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For further information:
Adam Ross, Investor Relations, Direct: (604) 229-9445, Toll Free: 1(833) 923-3334, Email:
CO: Zacatecas Silver Corp.
CNW 08:00e 15-OCT-21