TORONTO, Jan. 19,
2023 /CNW/ - Excellon Resources Inc.
(TSX: EXN) (NYSE: EXN) (FRA: E4X2) ("Excellon" or
the "Company") is pleased to announce that it has filed
a technical report (the "Technical Report") as required by
National Instrument 43-101 – Standards of Disclosure for Mineral
Projects ("NI 43-101") in respect of the La Negra
project located in Querétaro State, Mexico ("La Negra"). The independent
Technical Report, entitled "Technical Report – Preliminary Economic
Assessment Study, La Negra Mine, Minera La Negra S.A. de C.V." was
prepared for Minera La Negra, the
holding company of La Negra, with an issue date of June 29, 2022 and an effective date of
March 31, 2022. A copy of the
Technical Report is available on SEDAR (www.sedar.com) under
Excellon's profile.
The Technical Report summarizes the mineral resource estimate
for La Negra and the results of the preliminary economic assessment
in respect of La Negra that concluded there was adequate detail and
information to support a positive economic outcome and recommended
restart of La Negra. Additional detail regarding the La Negra
project, its mineral resources and the results of the preliminary
economic assessment on the restart was included in Excellon's press
release dated January 9, 2023.
Readers are encouraged to read the Technical Report in its
entirety, including all qualifications, assumptions and exclusions
that relate to the mineral resource estimate. The Technical Report
is intended to be read as a whole, and sections should not be read
or relied upon out of context.
La Negra Exploration
Presentation
In addition to the Company's presentation regarding the
acquisition of Minera La Negra and
its La Negra mine, available on the Company's website
(https://excellonresources.com/investors/presentations under a link
entitled La Negra Acquisition), Excellon has posted further
information regarding the exploration potential at La Negra in the
same location under a link entitled La Negra Exploration
Potential.
About Excellon
Excellon's vision is to realize opportunities through the
acquisition of advanced development or producing assets with
further potential to gain from an experienced operational
management team for the benefit of our employees, communities and
shareholders. The Company is advancing a portfolio of gold,
silver and base metals assets including Kilgore, an advanced gold exploration project
in Idaho; and Silver City, a
high-grade epithermal silver district in Saxony, Germany with 750 years of mining history and
no modern exploration. The Company has also entered into an
agreement to acquire La Negra, a past-producing Ag-Zn-Cu-Pb mine
with exploration potential, located in Mexico.
Additional details on Excellon's properties are available at
www.excellonresources.com.
Technical Information
Mr. Paul Keller, P. Eng.,
Chief Operating Officer of the Company and a Qualified Person as
defined in NI 43–101 (a "QP"), reviewed, verified and
approved the scientific and technical information in this
news release relating to operations and production. Mr.
Jorge Ortega, M.Sc., P.Geo., Vice
President Exploration of the Company and a QP, reviewed, verified
and approved any scientific and technical information relating to
geological interpretation and results contained in this news
release.
CAUTIONARY STATEMENTS ON
FORWARD-LOOKING STATEMENTS AND OTHER MATTERS
Forward-Looking Statements
All statements, other than statements of historical fact,
contained, referenced or incorporated by reference in news release
constitute "forward-looking statements" and "forward looking
information" (collectively, "forward-looking statements")
within the meaning of applicable Canadian and United States securities legislation.
Generally, these forward-looking statements can be identified by
the use of forward-looking terminology such as: "assessment",
"exploration", "estimate" and "potential", or variations of such
words, and similar such words, expressions or statements that
certain actions, events or results can, could, may, should, will
(or not) be achieved, occur, provide, result or support in the
future or which, by their nature, refer to future events. In some
cases, forward-looking information may be stated in the present
tense, such as in respect of current matters that may be
continuing, or that may have a future impact or effect.
Forward-looking statements include statements regarding the mineral
resource estimates, the results of the preliminary economic
assessment at La Negra and exploration potential of La Negra.
Although the Company believes that such statements are reasonable,
it can give no assurance that such expectations will prove to be
correct, and any forward-looking statements by the Company are not
guarantees of future actions, results or performance.
Forward-looking statements are based on assumptions, estimates,
expectations and opinions, which are considered reasonable and
represent best judgment based on available facts, as of the date
such statements are made. If such assumptions, estimates,
expectations and opinions prove to be incorrect, actual and future
results may be materially different than expressed or implied in
the forward-looking statements. Forward-looking statements are
inherently subject to known and unknown risks, uncertainties,
contingencies and other factors which may cause the actual results
or performance of the Company to be materially different from any
future results or performance expressed or implied by the
forward-looking statements. Such risks, uncertainties,
contingencies and other factors include, among others, the "Risk
Factors" in the Company's annual information form dated
March 31, 2022 ("2022 AIF"),
and the risks, uncertainties, contingencies and other factors
identified in this news release, the Management's Discussion &
Analysis of Financial Results for the three and nine months ended
September 30, 2022 (together with the
accompanying financial statements for the same period, the "Q3
2022 Financial Disclosure"), the Company's Management's
Discussion and Analysis, and accompanying financial statements, for
the year ended December 31, 2021 and
prior quarters ended in 2022 (collectively, the "FYE 2021 and
Prior 2022 Financial Disclosure"), the Company's January 9, 2023 news release announcing the La
Negra Acquisition (the "La Negra Acquisition News Release")
and the Company's other applicable public disclosure (including the
La Negra Technical Report referenced in this news release). The
foregoing list of risks, uncertainties, contingencies and other
factors is not exhaustive; readers should consult the more complete
discussion of the Company's business, financial condition and
prospects that is provided in the 2022 AIF and the other
aforementioned documents. The forward-looking statements referenced
or contained in this news release are expressly qualified by these
Cautionary Statements as well as the Cautionary Statements in the
Q3 2022 Financial Disclosure, the FYE 2021 and Prior 2022 Financial
Disclosure, the 2022 AIF, the La Negra Acquisiton News Release, the
La Negra Technical Report referenced in this news release and the
Company's other applicable public disclosure. Forward-looking
statements contained herein are made as of the date of this news
release (or as otherwise expressly specified) and the Company
disclaims any obligation to update any forward-looking statements,
whether as a result of new information, future events or results or
otherwise, except as required by applicable laws.
Mineral Resources
Until mineral deposits are actually mined and processed,
mineral resources must be considered as estimates only. Mineral
resource estimates that are not classified as mineral reserves do
not have demonstrated economic viability. The estimation of mineral
resources is inherently uncertain, involves subjective judgement
about many relevant factors and may be materially affected by,
among other things, environmental, permitting, legal, title,
taxation, socio-political, marketing, or other relevant risks,
uncertainties, contingencies and other factors described in the
foregoing Cautionary Statements. The quantity and grade of reported
"inferred" mineral resource estimates are uncertain in nature and
there has been insufficient exploration to define "inferred"
mineral resource estimates as an "indicated" or "measured" mineral
resource and it is uncertain if further exploration will result in
upgrading "inferred" mineral resource estimates to an "indicated"
or "measured" mineral resource category. The accuracy of any
mineral resource estimates is a function of the quantity and
quality of available data, and of the assumptions made and
judgments used in engineering and geological interpretation, which
may prove to be unreliable and depend, to a certain extent, upon
the analysis of drilling results and statistical inferences that
may ultimately prove to be inaccurate. The quantity and grade of
"inferred" mineral resource estimates are uncertain in nature and
there has been insufficient exploration to define "inferred"
mineral resource estimates as an "indicated" or "measured" mineral
resource and it is uncertain if further exploration will result in
upgrading "inferred" mineral resource estimates to an "indicated"
or "measured" mineral resource category. Mineral resource estimates
may have to be re-estimated based on, among other things: (i)
fluctuations in mineral prices; (ii) results of drilling and
development; (iii) results of geological and structural modeling
including stope design; (iv) metallurgical testing and other
testing; (v) proposed mining operations including dilution; and
(vi) the possible failure to receive and/or maintain required
permits, licenses and other approvals. It cannot be assumed that
all or any part of a "inferred", "indicated" or "measured" mineral
resource estimate will ever be upgraded to a higher category
including a mineral reserve.
The mineral resource estimates referenced in this news
release were estimated, categorized and reported using standards
and definitions using Canadian Institute of Mining, Metallurgy and
Petroleum Definition Standards for Mineral Resources and Mineral
Reserves in accordance with NI 43-101 of the Canadian Securities
Administrators, which governs the public disclosure of scientific
and technical information concerning mineral projects.
Preliminary Economic Assessments
The preliminary economic assessment ("PEA") summarized
in the La Negra Technical Report is only a conceptual study of the
potential viability of La Negra's mineral resource estimates, and
the economic and technical viability of La Negra and its estimated
mineral resources has not been demonstrated. The PEA is preliminary
in nature and provides only an initial, high-level review of La
Negra's potential and design options; there is no certainty that
the PEA will be realized. The PEA conceptual LOM plan and economic
model include numerous assumptions and mineral resource estimates
including Inferred mineral resource estimates. Inferred mineral
resource estimates are considered to be too speculative
geologically to have any economic considerations applied to such
estimates. Under NI 43-101, estimates of inferred mineral resources
may not form the basis of feasibility studies, pre-feasibility
studies or other economic studies, except in prescribed cases, such
as in a PEA, under certain circumstances. There is no guarantee
that inferred mineral resource estimates will be converted to
indicated or measured mineral resources, or that indicated or
measured resources can be converted to mineral reserves. Mineral
resources that are not mineral reserves do not have demonstrated
economic viability, and as such there is no guarantee La Negra PEA
economics will be achieved. Mineral resource estimates may be
materially affected by environmental, permitting, legal, title,
taxation, socio-political, marketing, or other relevant risks,
uncertainties and other factors, as more particularly described in
the foregoing other Cautionary Statements of this news
release.
U.S. Readers
The Technical Report was prepared in accordance with NI
43-101. NI 43-101 establishes standards for all public disclosure
that a Canadian issuer makes of scientific and technical
information concerning mineral projects. These Canadian standards
differ from the requirements of the United States Securities and
Exchange Commission (the "SEC") applicable to United States domestic and certain foreign
reporting companies under Subpart 1300 of Regulation S-K ("S-K
1300"). Accordingly, information describing mineral resource
estimates for La Negra may not be comparable to similar information
publicly reported in accordance with the applicable requirements of
the SEC, and so there can be no assurance that any mineral resource
estimate for the Company's projects would be the same had the
estimates been prepared per the SEC's reporting and disclosure
requirements under applicable United
States federal securities laws, and the rules and
regulations thereunder, including but not limited to S-K 1300.
Further, there is no assurance that any mineral resource or mineral
reserve estimate that the Company may report under NI 43-101 would
be the same had the Company prepared such estimates under S-K
1300.
SOURCE Excellon Resources Inc.