TSX-V: SIL
VANCOUVER, March 2, 2016 /CNW/ - SilverCrest Metals Inc.
("SilverCrest" or the "Company") is pleased to announce that it has
started rehabilitation of several historic silver-gold mines at its
Las Chispas Project ("Las Chispas") located in Sonora, Mexico. Las Chispas is in a prolific
mining area which includes current precious metal producers
Santa Elena Mine (operated by First
Majestic Silver Corp.) and Mercedes Mine (operated by Yamana Gold
Inc.). The Company is currently exploring the Las Chispas area to
assess the potential for new economic discoveries. All amounts are
in Canadian dollars. Please refer to the Company's website at
www.silvercrestmetals.com for further information.
N. Eric Fier, CPG, P.Eng,
President & CEO stated, "Las Chispas is a very exciting
brownfields exploration story. The project area consists of a
district size target with multiple historic surface and underground
mines that reportedly produced an estimated 100 million ounces of
silver and 200 thousand ounces of gold between 1880 and 1930.
Reported average production grades from limited public information
were approximately 15 grams per tonne (gpt) gold and 1,700 grams
per tonne (gpt) silver over widths of 1 to 5 metres. Our
initial underground channel sampling of exposed mineralization has
shown grades up to 15.1 gpt Au and 1,340 gpt Ag over 1.3 metres. To
our knowledge, all mineralized zones in the district, which include
multiple epithermal veins, have not been previously drilled. The
underground rehabilitation program will help further assess the
potential for near surface deposits and deeper extensions of
mineralization. A majority of the underground workings have been
inaccessible for over 80 years, and historic records suggest
several previously developed areas were not mined due to closure
around 1930. The Company is well financed with over $6.5 million and the 2016 exploration
expenditures are expected to be in the range of $1 to $1.2 million."
In 2016, the Company plans on accessing and evaluating most of
the estimated six kilometres of historic workings at Las Chispas.
Currently, about two kilometres of these workings are easily
accessible with good ground conditions. Initial rehabilitation will
take several months to complete and will consist of cleaning and
securing all underground areas, removing historic backfill and
stockpiling for possible future processing, building a ladder
system to access multiple levels, detailed mapping and sampling of
accessed workings, and implementation of overall safety protocols.
Estimated cost of this initial program is $150,000 to $200,000.
In conjunction with underground rehabilitation, a surface
drilling program of approximately 3,000 metres is planned to begin
in March 2016, followed by a 2,000
metre underground drilling program later in the year. This initial
drilling will test; 1) near surface targets, 2) underground lateral
extensions of previously mined areas, and 3) deeper extensional
targets of potential mineralization below the historical workings.
Estimated all-in cost for this initial drilling is $1 million.
Initial sampling (134 samples) by the Company of current
accessible underground mineralization suggests high grade potential
(uncut, undiluted), with the most significant results to date
including:
Mineralized
Zone
|
Sample
Type
|
True Width
(m)
|
Au gpt
|
Ag gpt
|
AgEq gpt*
|
Las
Chispas
|
Channel
|
1.4
|
2.7
|
541.0
|
757.0
|
|
Channel
|
0.7
|
2.9
|
476.0
|
708.0
|
|
Channel
|
1.0
|
1.2
|
377.0
|
473.0
|
|
Channel
|
0.9
|
1.8
|
314.0
|
458.0
|
|
Backfill
|
Grab
|
0.4
|
69.9
|
101.9
|
Guillermo
Tell
|
Channel
|
1.2
|
5.8
|
84.0
|
548.0
|
|
Channel
|
0.8
|
7.9
|
560.0
|
1,192.0
|
Varela 1
|
Channel
|
1.5
|
4.4
|
489.0
|
838.6
|
Varela 2
|
Channel
|
1.5
|
4.0
|
502.0
|
820.4
|
Babicanora
|
Channel
|
1.3
|
7.3
|
42.6
|
626.6
|
|
Channel
|
1.3
|
4.1
|
38.7
|
366.7
|
|
Channel
|
1.2
|
5.4
|
164.0
|
596.0
|
|
Channel
|
1.3
|
15.1
|
1340.0
|
2,548.0
|
|
Channel
|
1.5
|
4.1
|
136.0
|
464.0
|
|
Channel
|
1.5
|
5.7
|
287.0
|
743.0
|
|
Channel
|
1.5
|
5.4
|
50.2
|
482.2
|
|
Channel
|
1.5
|
2.3
|
77.1
|
261.1
|
|
Channel
|
1.5
|
2.5
|
55.0
|
255.0
|
|
Channel
|
1.5
|
8.1
|
163.0
|
811.0
|
|
Channel
|
1.5
|
2.3
|
89.4
|
273.4
|
|
Channel
|
1.2
|
1.0
|
262.0
|
342.0
|
|
Channel
|
1.0
|
0.9
|
329.0
|
401.0
|
|
Dump
|
Grab
|
59.2
|
31.6
|
4,767.6
|
*AgEq based on 80:1
Au:Ag
|
Initial sampling is selective with widths of samples limited to
current underground openings (average 1.5 metres) and not by
potential actual widths of zones. Historically, some mineralized
zones were over 5 metres wide. Underground exposure of the Las
Chispas Vein shows an area with multiple veins and stockwork up to
7 metres wide. Detailed continuous channel sampling of this area is
underway to determine average continuous grades over wider
intervals.
All assays where completed by ALS Chemex in Hermosillo, Mexico and North Vancouver, BC.
Las Chispas consists of multiple mineralized zones containing
epithermal quartz veins, quartz and calcite stockwork, and breccias
associated with rhyolitic to andesitic dikes in Tertiary volcanic
tuffs. Defined mineralized zones are based on available historical
data and current accessible workings;
- Las Chispas Vein: estimated 1.5 kilometres long, 300 metre
depth and 1.5 metres wide,
- Guillermo (William) Tell Vein:
estimated 1 kilometre long, 200 metre depth and 1.5 metres
wide,
- Varela 1 & 2 Veins: each estimated at 200 to 300 metres
long, 200 metre projected depth and 1.5 metres wide, and
- Babicanora Vein: estimated 1 kilometre long, 200 metre
projected depth and 2 to 3 metres wide.
Except for the Babicanora Vein, all other veins listed above are
parallel and near vertical within a 500 metre wide
Northwest-Southeast trend. Several mineralized zones noted in
historic data and currently exposed on surface or underground were
not previously mined and are targeted for exploration.
Huasabas Project Update
As previously planned,
drilling was completed at the Company's 100% owned Huasabas property located in Sonora, Mexico. Approximately 1,091 metres of
drilling was completed in 5 core holes. Drill results indicate the
presence of a large epithermal system with up to 225 metres of
drill intercepted breccias, stockwork veining and banded veins in
Tertiary volcanics. Geochemical assay results show that the near
surface mineralization is close to the top of the epithermal system
with strong Au-Ag-Ba-Sb-As-Hg anomalies. Drill results for the
first 5 holes showed multiple intercepts from 5 to 10 metres wide
grading 0.1 to 0.3 gpt Au and 5 to 15 gpt Ag. Having established
the presence of a large epithermal system, the Company's next steps
will be to test the system's extensions to determine the presence
of potential economic mineralization. Given the results and the
minimal holding cost for the project, the Company's current plan is
to maintain the property for future work and currently focus on its
Las Chispas Project.
The Qualified Person under National Instrument 43-101
Standards of Disclosure for Mineral Projects for this news
release is N. Eric Fier, CPG, P.Eng,
and President and CEO for SilverCrest, who has reviewed and
approved its contents.
ABOUT SILVERCREST METALS INC.
SilverCrest is a
Canadian precious metals exploration company headquartered in
Vancouver, BC, that is focused on
new discoveries, value-added acquisitions and targeting production
in Mexico's historic precious
metal districts. The Company is led by a proven management team in
all aspects of the precious metal mining sector, including the
pioneering of a responsible "phased approach" business model taking
projects through discovery, finance, on time and on budget
construction, and production with subsequent increased value to
shareholders.
FORWARD-LOOKING STATEMENTS
This
news release contains "forward-looking statements" within the
meaning of Canadian securities legislation. Such forward‑looking
statements concern the exploration, rehabilitation and drilling
plans of the Las Chispas Project. Such forward‑looking statements
or information are based on a number of assumptions, which may
prove to be incorrect. Assumptions have been made regarding, among
other things: the conditions in general economic and financial
markets; availability of skilled labour; timing and amount of
expenditures related to rehabilitation and drilling programs; and
effects of regulation by governmental agencies. The actual results
could differ materially from those anticipated in these
forward-looking statements as a result of risk factors including:
the timing and content of work programs; results of exploration
activities; the interpretation of drilling results and other
geological data; receipt, maintenance and security of permits and
mineral property titles; environmental and other regulatory risks;
project cost overruns or unanticipated costs and expenses; and
general market and industry conditions. Forward-looking statements
are based on the expectations and opinions of the Company's
management on the date the statements are made. The assumptions
used in the preparation of such statements, although considered
reasonable at the time of preparation, may prove to be imprecise
and, as such, readers are cautioned not to place undue reliance on
these forward-looking statements, which speak only as of the date
the statements were made. The Company undertakes no obligation to
update or revise any forward-looking statements included in this
news release if these beliefs, estimates and opinions or other
circumstances should change, except as otherwise required by
applicable law.
N. Eric Fier, CPG,
P.Eng
President &
CEO
SilverCrest Metals Inc.
Neither TSX Venture Exchange nor its Regulation
Services Provider (as defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE SilverCrest Metals Inc.