TSX-V: SIL
VANCOUVER, July 19, 2016 /CNW/ - SilverCrest Metals Inc.
("SilverCrest" or the "Company") is pleased to announce an update
on the underground rehabilitation program with additional assay
results from underground channel sampling at its Las Chispas
Project ("Las Chispas") located in Sonora, Mexico. Las Chispas is in a historic
silver-gold mining district which presently hosts two nearby
precious metal producers. Historic information indicates that only
three veins of the fourteen historically reported veins at Las
Chispas have had documented production, which occurred between 1880
and 1930. SilverCrest's initial focus is on these three veins; the
Las Chispas, William Tell and
Babicanora. To the Company's knowledge, none of the known veins
have ever been drilled. For more information, please refer to our
website at www.silvercrestmetals.com.
N. Eric Fier, CPG, P.Eng,
President & CEO remarked, "It is very encouraging to receive
additional high grade results from our ongoing underground channel
sampling program at Las Chispas as we continue to gain further
access to historic workings. Our onsite team has safely ascended to
the historic 300 level** of the Las Chispas vein with subsequent
ongoing mapping and sampling. Our channel sample results on the 300
and 400 levels are showing multiple grades of plus 1 kilogram per
tonne silver and up to 2.2 kilograms per tonne silver equivalent*.
We are experiencing minimal challenges in accessing and
rehabilitating the underground workings. Rehabilitation mainly
consists of the removal and stockpiling of historic backfill
material along with safely constructing ladders and bridges. We are
currently surface drilling based on the expanded Phase I program
with ongoing compilation of all our drill data and integration with
underground results."
Underground Rehabilitation Update
The Company continues to systemically collect channel samples at
intervals of two to three metres along strike length as new areas
and levels are being explored. In its news release dated
June 9, 2016, the Company disclosed
that it had gained access to the historic 400 level and reported
results from nine initial samples. Since then, the Company has
collected a total of 327 additional channel samples from multiple
levels as reported below. Sampling locations and widths are
restricted to historic workings which may only represent part of
the mineralized vein, stockwork, or breccia. The location, true
thickness and extent of mineralization is indeterminate until
adequate drilling is completed.
The most significant composited sample results for this release
average 1.5 metres wide at 2.4 grams per tonne ("gpt") gold and
331.0 gpt silver, or 508.0 gpt silver equivalent (AgEq*, uncut,
undiluted) over a continuous 35 metre strike length in an
unmined area of breccia on the 400 level (see attached Figure and
Photo). Also noteworthy is an average of 1.1 metres wide at 1.55
gpt gold and 334.9 gpt silver, or 450.9 gpt AgEq over a
semi-continuous 90 metre strike length on the 300 level. From
initial mapping, a majority of the 330 level appears to be in the
hangingwall of the vein with the vein undulating in (high grade)
and out (low grade) of the underground workings. Ongoing drilling
will help test the true thickness and grade of mineralization in
this area.
The following table summarizes the 20 most significant
un-composited assay results (uncut, undiluted) from various levels
of the Las Chispas vein only;
Mineralized
Area
|
Sample
Type
|
Width***
(m)
|
Au (gpt)
|
Ag
(gpt)
|
AgEq*
(gpt)
|
|
|
300 Level
**
|
Channel
|
0.6
|
7.99
|
867.0
|
1,466.3
|
|
|
Channel
|
0.4
|
6.50
|
1,080.0
|
1,567.5
|
|
|
Channel
|
0.3
|
11.25
|
1,140.0
|
1,983.8
|
|
|
Channel
|
2.2
|
1.09
|
1,260.0
|
1,341.8
|
|
|
Channel
|
2.2
|
0.05
|
1,340.0
|
1,343.8
|
|
|
Channel
|
1.1
|
2.93
|
1,270.0
|
1,489.8
|
|
|
Channel
|
0.7
|
3.71
|
780.0
|
1,058.3
|
|
|
Channel
|
0.5
|
5.85
|
874.0
|
1,312.8
|
|
|
Channel
|
1.0
|
6.52
|
797.0
|
1,286.0
|
|
|
Channel
|
1.2
|
8.43
|
975.0
|
1,607.3
|
|
330
Level
|
Channel
|
1.4
|
7.04
|
1,140.0
|
1,668.0
|
|
|
Channel
|
1.2
|
1.94
|
1,380.0
|
1,525.5
|
|
|
Channel
|
1.1
|
6.35
|
688.0
|
1,164.3
|
|
|
Channel
|
0.8
|
10.55
|
1,440.0
|
2,231.3
|
|
400
Level
|
Channel
|
2.0
|
2.43
|
484.0
|
667.0
|
|
|
Channel
|
2.0
|
4.28
|
544.9
|
865.9
|
|
|
Channel
|
1.6
|
6.53
|
896.0
|
1,385.8
|
|
|
Channel
|
0.6
|
8.97
|
1,090.0
|
1,762.8
|
|
600
Level
|
Channel
|
1.4
|
2.65
|
541.0
|
739.8
|
|
|
Channel
|
0.7
|
2.89
|
476.0
|
692.8
|
|
Note: all numbers are rounded.
*AgEq based on 75:1 Au:Ag and 100% metallurgical recovery.
** Level number is based on historical mine level in feet (not
metres) from surface collar of historic shaft.
*** The underground sample width of mineralization may not be
indicative of the true width of mineralization. Sampling widths are
constrained by access to open faces. Ongoing and planned drilling
may suggest wider mineralized
zones.
|
|
All assays were completed by ALS Chemex in Hermosillo, Mexico, and North Vancouver, BC.
The Company is reviewing the possibility of a controlling,
cross-cutting, high grade structural corridor at the Las Chispas
vein which is potentially 500 metres in length and a minimum of 300
metres in depth (see attached Figure).
To gain access to underground workings, backfill material is
being removed from historical drifts and stopes. This material is
being sampled, assayed, and stockpiled for potential future
processing. To date, 43 representative grab samples have been
collected from backfill material for Las Chispas vein and
William Tell vein. Average grade of
these samples is 2.45 gpt gold, 239.0 gpt silver, or 423.0 gpt
AgEq with grades up to 42.20 gpt Au and 1,920.0 gpt Ag or 5,085.0
gpt AgEq.
To date, approximately 3.5 kilometres of underground workings
have been accessed with an additional 8 kilometres to be explored
over the next several months. Ongoing research into previously
documented information and field work on Las Chispas has been
responsible for the increase in known historic underground workings
from six kilometres, as previously announced on June 9, 2016, to 11.5 kilometres. The Company
intends to continue with the underground rehabilitation program and
reporting results for the remainder of 2016.
Drilling Update
The Company is nearing completion of its Phase I surface drill
program having drilled 19 core holes with a total of approximately
5,600 metres to date. Sixteen holes have been drilled in the Las
Chispas and William Tell veins, and
three holes in the adjacent Babicanora area. Upon receipt of core
assays, the Company will compile and integrate the drill results
with the underground information, which the Company expects to
start announcing in August 2016.
Based on positive Phase I surface drilling results, the Company
will propose a Phase II surface drill program.
With permitting near completion, the planned 2,000 metre
underground drill program should commence in late Q3 or early Q4
2016. The underground drill program will focus on delineation of a
potential bulk sample and infill drilling in preparation for the
initial Las Chispas resource estimation.
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. These include, without
limitation, statements with respect to: the strategic plans, timing
and expectations for the Company's exploration, rehabilitation and
drilling programs of the Las Chispas Project, including initial
extraction program for bulk sample testing and preparation of an
initial resource estimate; information with respect to high grade
areas and size of veins projected from underground sampling
results; and the accessibility of future mining at 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.