VANCOUVER, April 1, 2019 /PRNewswire/ - Avino Silver
& Gold Mines Ltd. (ASM: TSX/NYSE American; GV6: FSE; "Avino" or
"the Company") is pleased to announce further results from the
drilling campaign at the Bralorne Gold Mine located near
Gold Bridge, British Columbia.
As planned, at the start of 2019, the exploration program
shifted focus from exploring known veins to making new discoveries
in underexplored areas that share similar geological structural
attributes to the Bralorne, Pioneer and King Mines. New conceptual insights have opened
up the validity of a large block of land north-east of the Ferguson
fault, referred to as the North East ("NE") Block. This area is now
considered by Avino to have high potential to host another large
Bralorne-style narrow vein gold system.
The comprehensive structural review undertaken by Avino at
Bralorne has delivered valuable geological insights and resulted in
a new conceptual targeting model which highlights the potential for
the discovery of another large Bralorne-style narrow vein gold
system. Initial drilling results from the NE Block obtained in Q1
2019 have confirmed the presence of a significant network of
gold-bearing quartz veins and validated Avino's new conceptual
targeting model. Drilling has only just begun to test the
mineralization potential of the NE Block and approximately 13,500
metres of drilling remain within the current exploration program
which will continue until Q4 2019.
Drilling began in the NE Block on January
11, 2019 and 16 holes have now been completed. Multiple
gold-bearing veins have been intersected along 1,200 metres of
prospective strike length within what Avino considers to be part of
a larger vein system. Assay results from 11 holes into the NE Block
have now been received, along with the remaining results from Q4
2018 drilling which includes 2 holes into the 27 Vein extension
target, 4 holes from the Ned's vein target, and 3 holes in the King
mine area. Drilling will continue to delineate the significant vein
system in the NE Block over the coming months targeting potentially
high grade gold veins.
The Company is using the gross proceeds of CDN $6,000,000 raised from the Flow-through share
offering which closed on April 27,
2018 to fund the exploration work. The news release dated
April 27, 2018 describing the
offering may be viewed on the Avino website or under the Company's
profile on SEDAR (www.sedar.com) and was also filed with the SEC on
Form 6-K.
Flow-through funds for this campaign are available to be used by
December 31, 2019. An estimated CDN
$4.4 million will be spent on
approximately 24,000 to 28,000 metres of diamond drilling and is
planned in two phases, as described below:
- Phase One Drilling, Q4 2018
through Q1 2019 – Targeting underexplored portions of known
veins
- Phase Two Drilling, Q1 to Q4 2019 – Targeting new discoveries
in unexplored portions of the property
"We are very encouraged by initial assay results from drilling
of the NE Block target area and are excited about the implications
of our new conceptual model which has opened up a large area of
highly prospective tenure. We look forward to receiving additional
assays and sharing continued progress from the drill program," said
David Wolfin, Avino's President and
CEO.
Drilling Campaign – NE Block Target Initial Results
Building on the detailed structural review launched in mid-2018,
Avino has developed a new conceptual model for the formation of the
Bralorne-Pioneer vein system. This new model has significantly
expanded the footprint of the prospective structural corridor which
is shown in the blue area on Figure 1, Click on this link to view
as the result of an underlapping step over of the major
crustal-scale Cadwallader fault. This prospective structural
corridor is considered to have focused faulting and veining and was
responsible for the creation of the Bralorne-Pioneer vein system
which has reported historical production of 4.15 M oz Au.
Historical exploration and production on the property was
largely limited within the Bralorne Mine Block which lies between
the Cadwallader and Ferguson faults. The historically defined
Bralorne Mine Block occurs in the southern half of the larger
prospective structural corridor. The NE Block which occurs on the
north-east side of the Ferguson fault had remained highly
underexplored despite being comprised of similar favorable host
rocks to the Bralorne Mine Block and being situated within what
Avino now considers to be the larger prospective structural
corridor (see Figure 1 above).
Within the current exploration campaign newly acquired
geological and geophysical datasets, including airborne magnetics,
an updated geological bedrock map, LiDAR topography and detailed
structural analysis have now been completed. Personnel have
been dedicated to compile and digitize the vast historic mining
datasets from the Bralorne, Pioneer and King mines which includes
exploration drilling (>2,420 holes for >240,700 metres),
underground drift assay data (>45,000 composite assays),
detailed geological drift plans, structural data (>5,000
measurements) and surface geochemical sampling (>11,000
samples). All geological and geophysical datasets have been
integrated into a 3D geological model and utilized to develop and
refine a well-supported targeting strategy.
New insights from this work have led Avino to consider that the
NE Block, which covers an area approximately 3 kilometres long by
400 - 500 metres wide, has excellent exploration potential to host
another large Bralorne-style narrow vein gold system. Most of the
NE Block is covered by a thin layer (5 - 15 metres) of glacial till
with limited bedrock exposure and as such has remained highly
underexplored.
Only minor historic underground exploration has been completed
within the NE block. This consists of limited exploration drifts
from the King Mine 8 and 20 levels with minor exploration drilling.
The Peter Mine is located at the far western end of the NE Block
and this was developed between 2003 and 2005 with a small amount of
underground test mining.
Historic exploration drilling in the NE Block has been extremely
limited considering the large size of the prospective area.
Exploration drilling within the NE Block totaled approximately 108
holes for 14,200 metres of which the majority was completed in the
Peter Mine area. Beyond the immediate Peter Mine area only 41 holes
for 6,415 metres have been completed in the greater NE Block. When
contrasting this with the extensive exploration drilling (a minimum
of 2,200 holes for 213,000 metres), drifting (approximately 80
kilometres) and production completed within the Bralorne Mine
Block, the NE Block is considered by Avino to be grossly
underexplored.
Phase Two drilling commenced in January
2019 targeting new discoveries in unexplored portions of the
property and began in the NE Block.
Assay results from the first 11 holes in the NE Block target
area have now been received and significant gold-bearing quartz
veins have been intersected in 8 of the first 11 holes, see Figure
2 Click on this link to view. Drilling intersections that
cover an initial strike length of 1,200 metres have begun to define
what Avino considers to be part of a larger Bralorne-style narrow
vein gold system. Results support the validity of the company's new
conceptual model and demonstrate the potential of the newly defined
NE Block.
Results from the first 11 holes in the NE Block target area are
reported below.
Table 1: Summary
of drilling from the NE Block Target
|
Hole
Number
|
Description
|
Intersection
(m)
|
Length
(m)
|
True
Width
(m)
|
Au
(g/t)
|
SB-2019-003
|
No significant
assays
|
|
|
|
|
SB-2019-004
|
No significant
assays
|
|
|
|
|
SB-2019-005
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
61.87 -
78.75
|
16.88
|
N/A
|
1.93
|
Including
|
Banded brecciated
quartz vein
|
62.87 -
65.04
|
2.17
|
N/A
|
3.17
|
And
|
Banded brecciated
quartz vein
|
68.04 -
71.04
|
3.00
|
N/A
|
2.92
|
SB-2019-005
|
Banded brecciated
quartz vein
|
105.2 -
106.2
|
1.00
|
0.53
|
12.98
|
SB-2019-006
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
39.15 -
44.15
|
5.00
|
N/A
|
1.75
|
Including
|
As above
|
42.25 -
44.15
|
1.90
|
N/A
|
2.41
|
SB-2019-006
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
74 - 75.6
|
1.60
|
N/A
|
1.46
|
SB-2019-006
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
85 - 90
|
5.00
|
N/A
|
2.14
|
Including
|
As above with visible
gold
|
87 - 89
|
2.00
|
N/A
|
3.97
|
SB-2019-007
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
162 -
166.08
|
4.08
|
N/A
|
1.30
|
SB-2019-007
|
Strongly
silica-sericite altered shear zone with multiple quartz
veins
|
250.54 -
257.15
|
6.61
|
N/A
|
2.03
|
Including
|
As
above
|
254.7 -
255.7
|
1.00
|
N/A
|
6.12
|
SB-2019-008
|
Banded brecciated
quartz vein
|
272.76 -
273.8
|
1.04
|
0.80
|
0.92
|
SB-2019-008
|
Banded brecciated
quartz vein
|
276.58 -
277.6
|
1.02
|
0.96
|
2.01
|
SB-2019-009
|
Banded quartz
vein
|
132.38 -
133.02
|
0.64
|
0.52
|
3.48
|
SB-2019-009
|
Banded quartz
vein
|
332 -
335.08
|
3.08
|
2.18
|
1.42
|
SB-2019-010
|
No significant
assays
|
|
|
|
|
SB-2019-011
|
Millchuk Vein -
Banded quartz vein
|
76.9 - 78
|
1.10
|
0.90
|
1.08
|
SB-2019-012
|
Millchuk Vein -
Banded quartz vein
|
46.6 -
49.6
|
3.00
|
2.12
|
3.04
|
Including
|
Millchuk Vein -
Banded quartz vein
|
47.6 -
48.6
|
1.00
|
0.71
|
6.00
|
SB-2019-012
|
Banded quartz
vein
|
111.55 -
112.55
|
1.00
|
N/A
|
2.59
|
SB-2019-012
|
Dispersed
stockwork-like quartz veining in silicified graphitic
argillite
|
344.5 -
351
|
6.50
|
N/A
|
0.52
|
SB-2019-013
|
Millchuk Vein -
Banded quartz vein
|
66.47 -
68.47
|
2.00
|
1.53
|
1.69
|
SB-2019-013
|
Massive quartz
vein
|
128.56 -
129.56
|
1.00
|
0.57
|
1.62
|
SB-2019-013
|
Banded quartz
vein
|
168.26 -
168.83
|
0.57
|
0.23
|
30.73
|
SB-2019-013
|
Banded quartz
vein
|
440.94 -
441.5
|
0.56
|
0.43
|
3.61
|
True widths cannot
always be determined with the information available
|
Drilling Campaign – 27 Vein Extension, Ned's Vein and King
Mine Area Q4 2018 Results
Phase One drilling in Q3-Q4 2018 focused on testing
underexplored portions of known veins and continued until
January 10, 2019. Drilling began with
the 27 Vein Extension target and six deep holes were committed from
this first phase to test the up-dip extension of this vein. Five of
the six holes successfully intersected the 27 Vein at predicted
depths, with one hole (SB-2018-2015) being abandoned before
reaching target depth due to adverse ground conditions.
Historic drifting and drill testing of the 27 vein up-dip from
the productive historic stoping was extremely limited, therefore it
was considered a prime target for the initial drilling of Phase
One.
In addition to results from the first four holes on the 27 Vein
Extension target, see Figure 3 Click on this link to view two
additional holes are reported in Table 2 below. You may wish to
refer to the December 17, 2018 press
release available on our website at www.avino.com. Holes
SB-2018-018 and SB-2018-019 both intersected the 27 Vein between
125 to 200 metres up dip from the intersections reported in holes
SB-2018-014 and SB-2018-017 confirming continuity of the
structure.
Table 2: Summary of drilling from the 27 Vein Extension
Target
Hole
Number
|
Description
|
Intersection (m)
|
Length
(m)
|
True
Width (m)
|
Au (g/t)
|
SB-2018-018
|
New vein in
hanging wall of 27 Vein
|
361.4 -
362.45
|
1.05
|
N/A
|
7.46
|
SB-2018-018
|
New vein in hanging
wall - Banded quartz vein
|
368 -
369.05
|
1.05
|
0.99
|
3.83
|
SB-2018-018
|
27 Vein – Massive
quartz vein with minor banding
|
466.4 -
467.77
|
1.37
|
1.05
|
3.87
|
SB-2018-019
|
New vein in
hanging wall - Massive quartz vein with visible gold
|
350.64 -
351.64
|
1.00
|
0.88
|
9.18
|
SB-2018-019
|
27 Vein - Brecciated
and banded quartz vein
|
463 - 464
|
1.00
|
0.77
|
0.34
|
True widths cannot
always be determined with the information available.
|
Following completion of the first phase of holes into the 27
Vein Extension target the drill was moved north to test the Ned's
Vein target located 650 metres southeast of the Peter Mine (Located
on Figure 3). The Ned's Vein discovery trench was excavated in 2005
and reportedly returned 1.63 oz/t gold over a 3 foot width (56 gold
g/t over 0.91 metres) from veining hosted in graphitic argillites
of the Ferguson Formation. No drill testing of this vein had ever
been completed.
Avino drilled four holes at the Ned's Vein target and
intersected broad zones of dispersed stockwork-like veining with
low grade gold mineralization in sediment. These holes were
designed to test the potential for less competent sedimentary rocks
to host significant gold-bearing quartz veins. The mineralized
veining intersected was more dispersed than the characteristic
Bralorne-style quartz veins as expected, but drilling did
successfully confirm an additional style of gold mineralization on
the property.
One hole (SB-2018-020) was extended westward towards the King
Mine area targeting extensions to known veins. This hole is
discussed in the following section. Results from the four Ned's
Vein target holes are reported in Table 3.
Table 3: Summary of drilling from the Ned's Vein
Hole
Number
|
Description
|
Intersection
(m)
|
Length
(m)
|
True
Width (m)
|
Au
(g/t)
|
SB-2018-020
|
Dispersed
stockwork-like quartz veining
in silicified graphitic argillite
|
40 - 47
|
7.00
|
N/A
|
1.16
|
SB-2018-021
|
Dispersed
stockwork-like quartz veining
in silicified graphitic argillite
|
49 - 59.5
|
10.50
|
N/A
|
0.48
|
SB-2018-022
|
Dispersed
stockwork-like quartz veining
in silicified graphitic argillite
|
79.3 -
84.15
|
4.85
|
N/A
|
0.43
|
SB-2018-022
|
Dispersed
stockwork-like quartz veining
in silicified graphitic argillite
|
97 - 101
|
4.00
|
N/A
|
0.66
|
True widths cannot
be determined with the information available.
|
The final component of the Phase One drilling completed in Q3-Q4
2018 targeted extensions to known gold-bearing veins within the
King Mine area. Many of these target veins either host current
resources or had been mined historically while the King Mine was in
production. Four holes were drilled predominantly targeting vein
extensions above the King Mine 8 Level. One deep hole was drilled
targeting several known veins to a depth of 715 metres below
surface and down to the King Mine 18 Level.
Veins intersected in the King Mine
Area drilling included the Shaft, Prince, New, North, King
and Maud's veins. Selected results from these four holes are
reported in Table 4. Following the receipt of these new assays
Avino is continuing to assess the resource potential of several
veins in the King Mine Area.
Table 4: Summary of drilling from the King Mine Area Targets
Hole
Number
|
Description
|
Intersection
(m)
|
Length
(m)
|
True
Width
(m)
|
Au
(g/t)
|
SB-2018-020
|
New Vein
(Historical name)
|
327.4 -
328.4
|
1.00
|
N/A
|
27.21
|
SB-2018-020
|
Previously unknown
new veining –
minor quartz veining hosted in a
sulphide-bearing albitite dike
|
405 -
408.2
|
3.20
|
2.45
|
4.10
|
Including
|
As
above
|
405 -
406
|
1.00
|
0.77
|
8.92
|
SB-2018-024
|
Previously unknown
new vein
|
244.27 -
245.39
|
1.12
|
0.87
|
10.31
|
SB-2018-024
|
North Vein – 65%
banded to massive
quartz veining
|
355.68 -
363.9
|
8.22
|
6.30
|
2.63
|
Including
|
As above
|
356.76 -
360
|
3.24
|
2.48
|
3.40
|
And
|
Visible gold at
363.90 m
|
363 -
363.9
|
0.90
|
0.69
|
3.56
|
SB-2019-001
|
No significant
assays
|
|
|
|
|
SB-2019-002
|
No significant
assays
|
|
|
|
|
True widths cannot
always be determined with the information available.
|
The comprehensive structural review underway at the Bralorne
Gold Mine has now been in progress for 11 months. This program has
delivered valuable geological insights to develop a new conceptual
model for the formation of the Bralorne-Pioneer vein system. This
new conceptual model indicated that the large area northeast of the
Ferguson fault has high potential to host another large
Bralorne-style narrow vein gold system.
Initial drilling results from the NE Block obtained in Q1 2019
have confirmed the presence of a network of gold-bearing quartz
veins. This vein network displays all the hallmarks of the
Bralorne-Pioneer narrow vein gold system and the drilling data
obtained has validated Avino's new conceptual targeting model. In
light of this revised targeting strategy, Avino is currently
evaluating the larger claim package for additional mineralization
potential.
Drilling has only just begun to test the mineralization
potential of the NE Block. Avino will continue to explore the newly
defined vein network in the NE Block targeting a potentially
high-grade gold vein system. Approximately 13,500 metres of
drilling remains within the current exploration program.
Qualified Person(s)
Avino's Bralorne Gold Mine project
is under the supervision of Fred
Sveinson, B.A., B.Sc., P.Eng, Senior Mining Advisor, who is
a qualified person within the context of National Instrument
43-101, and Mr. Garth Kirkham, P.
Geo., Principal of Kirkham Geosystems Ltd., who is an "independent
qualified person", as defined by Section 1.5 of NI 43-101. Both
have reviewed and approved the technical data in this news
release.
About Avino
Avino is a silver and gold producer with a
diversified pipeline of gold, silver and base metals properties in
Mexico and Canada employing approximately 500 people.
Avino produces from its wholly owned Avino and San Gonzalo Mines
near Durango, Mexico, and is
currently exploring and drilling at the Bralorne Gold Mine in
British Columbia, Canada. The
Company's gold and silver production remains unhedged. The
Company's mission and strategy is to create shareholder value
through its focus on profitable organic growth at the historic
Avino Property near Durango,
Mexico, and the strategic acquisition of mineral exploration
and mining properties. We are committed to managing all business
activities in an environmentally responsible and cost-effective
manner, while contributing to the well-being of the communities in
which we operate.
ON BEHALF OF THE BOARD
"David Wolfin"
_______________________________
David Wolfin
President & CEO
Avino Silver & Gold Mines
Ltd.
Safe Harbor Statement - This news release contains
"forward-looking information" and "forward-looking statements"
(together, the "forward looking statements") within the meaning of
applicable Canadian securities laws and the United States Private
Securities Litigation Reform Act of 1995, including, but are not
limited to, the Company's ability to meet its production guidance,
expectations of All-In Sustaining Cash Cost ("AISC"), information
on the updated mineral resource estimate for the Company's Avino
Property located near Durango in west-central Mexico (the "Property") with an effective date
of February 21, 2018, and amended on
December 19, 2018, prepared for the
Company, and reference to Measured, Indicated, Inferred Resources
referred to in this press release. These forward-looking statements
are made as of the date of this news release and the dates of
technical reports, as applicable. Readers are cautioned not to
place undue reliance on forward-looking statements, as there can be
no assurance that the future circumstances, outcomes or results
anticipated in or implied by such forward-looking statements will
occur or that plans, intentions or expectations upon which the
forward-looking statements are based will occur. While we have
based these forward-looking statements on our expectations about
future events as at the date that such statements were prepared,
the statements are not a guarantee that such future events will
occur and are subject to risks, uncertainties, assumptions and
other factors which could cause events or outcomes to differ
materially from those expressed or implied by such forward-looking
statements. No assurance can be given that the Company's Property
does not have the amount of the mineral resources indicated in the
updated report or that such mineral resources may be economically
extracted.
Such factors and assumptions include, among others, the effects
of general economic conditions, the price of gold, silver and
copper, changing foreign exchange rates and actions by government
authorities, uncertainties associated with legal proceedings and
negotiations and misjudgments in the course of preparing
forward-looking information. In addition, there are known and
unknown risk factors which could cause our actual results,
performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks
associated with project development; the need for additional
financing; operational risks associated with mining and mineral
processing; fluctuations in metal prices; title matters;
uncertainties and risks related to carrying on business in foreign
countries; environmental liability claims and insurance; reliance
on key personnel; the potential for conflicts of interest among
certain of our officers, directors or promoters with certain other
projects; the absence of dividends; currency fluctuations;
competition; dilution; the volatility of the our common share price
and volume; tax consequences to U.S. investors; and other risks and
uncertainties. Although we have attempted to identify important
factors that could cause actual actions, events or results to
differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events
or results not to be as anticipated, estimated or intended. There
can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements. We are under no obligation to update or alter any
forward-looking statements except as required under applicable
securities laws.
Cautionary Note Regarding Non-GAAP Measures
This news release includes certain terms or performance measures
commonly used in the mining industry that are not defined under
International Financial Reporting Standards ("IFRS"), including
silver equivalent ounces (AgEq oz) of production. Non-GAAP measures
do not have any standardized meaning prescribed under IFRS and,
therefore, they may not be comparable to similar measures reported
by other companies. We believe that, in addition to conventional
measures prepared in accordance with IFRS, certain investors use
this information to evaluate our performance. The data presented is
intended to provide additional information and should not be
considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS. Readers should also
refer to our management's discussion and analysis available under
our corporate profile at www.sedar.com or on our website at
www.avino.com.
The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of the content of this
Press Release, which has been prepared by management.
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SOURCE Avino Silver & Gold
Mines Ltd.