VANCOUVER, British Columbia, March 04, 2024 (GLOBE NEWSWIRE) — Dolly Varden Silver Corporation (TSXV: DV) (OTCQX: DOLLF) (the “Company” or “Dolly Varden”) is pleased to announce that it has entered into an agreement with Research Capital Corporation, as the sole bookrunner and co-lead underwriter, and together with Haywood Securities Inc. as co-lead underwriters, on behalf of a syndicate of underwriters, including Raymond James Ltd. (collectively, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a bought-deal basis, 14,285,700 flow-through shares of the Company to be sold to charitable purchasers (each, a “CharityFT Share”) that will qualify as “flow-through shares” within the meaning of subsection 66(15) of the Income Tax Act (Canada) at a price of $1.05 per Charity FT Share, for aggregate gross proceeds to the Company of $14,999,985 (the “Offering”). Mr. Eric Sprott, through 2176423 Ontario Ltd., has indicated his intention to participate in the transaction.
The gross proceeds from the sale of Charity FT Shares will be used for further exploration, mineral resource expansion and drilling in the combined Kitsault Valley project, located in northwestern British Columbia, Canada, as well as for working capital as permitted, as Canadian Exploration Expenses as defined in paragraph (f) of the definition of “Canadian exploration expense” in subsection 66.1(6) of the Income Tax Act (Canada) and “flow through mining expenditures” as defined in subsection 127(9) of the Income Tax Act (Canada) that will qualify as “flow-through mining expenditures” and “BC flow-through mining expenditures” as defined in subsection 4.721(1) of the Income Tax Act (British Columbia), which will be renounced with an effective date no later than December 31, 2024 to the initial purchasers of Charity FT Shares.
The closing of the Offering is expected to occur on or about March 21, 2024 (the “Closing”), or on such date as may be determined by the Underwriters, and is subject to the Company receiving all necessary regulatory approvals, including the approval of the TSX Venture Exchange (the “Exchange”) to list, on the date of Closing, the Charity FT Shares.
In connection with the Offering, the Company intends to file a prospectus supplement (the “Supplement“) to the Company’s short form base shelf prospectus dated April 25, 2023 (the “Shelf Prospectus“), with the securities regulatory authorities in all provinces of Canada, except Quebec. Copies of the Shelf Prospectus and, the Supplement to be filed in due course in connection with the Offering, will be available on SEDAR+ at www.sedarplus.ca. The Shelf Prospectus contains, and the Supplement will contain, important detailed information about the Company and the Offering. Prospective investors should read the Supplement and the accompanying Shelf Prospectus and the other documents the Company has filed on SEDAR+ at www.sedarplus.com before making an investment decision.
In connection with the Offering, the Underwriters will receive an aggregate cash fee equal to 5.0% of the gross proceeds of the Offering. Eventus Capital Corp. has been appointed as a special advisor to the Company.
Pursuant to existing agreements with the Company, Hecla Canada Ltd. (“Hecla“) and Fury Gold Mines Ltd. (“Fury”) will be entitled to acquire common shares of the Company (“Common Shares”) in connection with the Offering at a price of $0.80 per Common Share to maintain their pro rata equity interest in the Company. If Hecla or Fury exercise their pro rata rights, any Common Shares issued will be in addition to those issued as part of the Offering.
This press release is not an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from U.S. registration requirements and applicable U.S. state securities laws.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This news release contains statements that constitute “forward-looking statements.” Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements, or developments to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential” and similar expressions, or that events or conditions “will,” “would,” “may,” “could” or “should” occur. These forward‐looking statements or information relate to, among other things: receipt of all approvals related to the Offering; the intended use of proceeds from the Offering; the potential subscription of Hecla and Fury in connection with the Offering and the expected Closing of the Offering.
Forward-looking statements in this news release include, among others, statements relating to expectations regarding the expected closing date of the Offering, and other statements that are not historical facts. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors and risks include, among others: the Company may require additional financing from time to time in order to continue its operations which may not be available when needed or on acceptable terms and conditions acceptable; compliance with extensive government regulation; domestic and foreign laws and regulations could adversely affect the Company’s business and results of operations; and the stock markets have experienced volatility that often has been unrelated to the performance of companies and these fluctuations may adversely affect the price of the Company’s securities, regardless of its operating performance.
The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Last Friday’s sudden $38 move higher to a new closing peak has me a bit confused. I have been predicting a turn higher in resource shares for the last several weeks. This could be the start of something great. But it was a strange day and I’m feeling it is behaving like a market where someone knows something and is front running gold and silver.
Certainly, the US, NATO and Israel are all working very hard to start WW III. Last week showed that the CIA has had a dozen bases on the Russian border for almost ten years. And it was revealed that the US, France and the UK have had active-duty soldiers serving in Ukraine. That’s an act of war.
If World War III is about to start be prepared for the US, NATO and Israel to lose. The Russians have better weapons and certainly better leadership. The US has a president who can’t remember where or when his son died and a vice-president who worked as a hooker. The Air Force Space Command has a trans-gender colonel who lectures her/his troops on getting pronouns correct. What could possibly go wrong?
Old timers in the resource sector will be quite familiar with the name of Dolly Varden. Named after a heroine from a Charles Dickens book, the short-lived mine produced the highest-grade silver in Canada at the time between 1919 and 1921. Before he became President, even Herbert Hoover was associated with the mine. Located in the heart of the Golden Triangle in Northern British Colombia the silver deposit is near the Eskay Creek Mine and the Premier Gold mine.
While I was aware that for a time Eskay Creek proved to be Canada’s highest-grade gold mine producing over three million ounces of high-grade gold, I wasn’t aware that Eskay Creek also measured as the 5th largest silver mine in the world with production of over 160 million ounces of silver.
Dolly Varden Silver (DV-V) may need to change its name. For like the nearby Eskay Creek Mine, latest assay results demonstrate a high-grade gold potential.
Dolly drilled 350 meters between what they call the Homestake Main and Homestake Silver in hole 23-389. The Homestake Project of course was purchased from Fury Gold Mines in 2021 for $65 million in cash and shares. Dolly Varden/Torbrit has always been high-grade silver with some gold. Homestake was high-grade gold with good silver values. The drill results from hole 23-389 may cause Dolly to change its name to Dolly Varden Gold. Or Dolly Varden Gold/Lots of Silver.
Released on the 12th of February that hole showed a remarkable Eskay Creek kind of grade and length giving 79.49 g/t of gold across 12.45 meters with 60 g/t of silver. That was within 66.5 meters of 15.26 g/t gold with 20.05 g/t of silver. Nearby hole 23-399 reported 2.68 g/t Au and 20 g/t Ag over 57.70 meters.
The Dolly Varden/Homestake project looks more and more like an Eskay Creek analog every day. Eskay Creek of course is on the same trend and located only about 60 miles away. Should Dolly Varden poke a couple more similar grade holes in the 350-meter stretch between Homestake Main and Homestake Silver the shares are going to the moon.
Dolly Varden last released a 43-101 back in 2019. Since that time the company spent $40 million on exploration and drilling. The 2023 program alone consisted of just over 51,500 meters of drilling giving excellent results. Investors should be looking for an updated 43-101 after the 2024 drill program completes and has been reported.
Since there is an almost even split between silver value and gold value, on the excellent presentation the company shows both a combined resource in terms of silver equivalent and another in gold equivalent. For silver Eq the company shows about 140 million ounces of silver using a silver price of $20 in USD. For a gold Eq the presentation gives about a 1.5-million-ounce number at a gold price of $1650.
Dolly has a market cap today of about $189 million in Canadian pesos or $140 million in US rubles. The existing 43-101 is sufficient to provide support to that market cap. The 2024 drill program is fully funded by the $10 million in the bank.
The factor that could be of critical importance to the price of the shares is the lack of public participating. Basically, as in all commodity trading it is the general public or the speculators who provide liquidity.
With Dolly 22% of the shares are held by Fury Gold Mines as a result of the 2021 deal for Homestake. Hecla owns 15% and the latest news would tend to push them to go to the 19.9% number. Institutions own 47%. Eric Sprott owns 9%, he loves silver. So only 7% of the shares in total are available to the public. A slight change in attitude towards investing in resource stocks could drive the price of shares a lot higher.
Dolly Varden is an advertiser and I participated in the last private placement. Do your own due diligence, of course I am biased.
In this interview we sit down with Shawn Khunkhun the CEO of Dolly Varden Silver, which just announced Step-Out Drilling at Homestake Ridge Discovers New, High-Grade Gold Zone: 79.49 g/t Au over 12.45m, including 1,335 g/t Au over 0.68m. Find out why Eric Sprott, Rick Rule, Fidelity, Fury Gold Mines, Hecla Mining, Sprott, Delbrook, U.S. Global Investors are significant shareholders in Dolly Varden Silver.
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project located in the Golden Triangle of British Columbia, Canada, 25kms by road to deep tide water.
The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, on-trend, high-grade deposits, such as Eskay Creek and Brucejack. The project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
The Company’s common shares are listed and traded on the TSX.V under the symbol DV and on the OTCQX system under the symbol DOLLF.
Vancouver, British Columbia–(Newsfile Corp. – February 12, 2024) – Dolly Varden Silver Corporation (TSXV: DV) (OTC: DOLLF) (the “Company” or “Dolly Varden“) is pleased to announce 2023 step-out drilling at the Homestake Ridge property intersected a new gold-rich zone, to the northwest from the Homestake Silver Deposit.
Highlights of Homestake Silver step-outs to the northwest include: (intervals shown are core length**)
HR23-389: 79.49 g/t Au and 60 g/t Ag (80.21 g/t AuEq*) over 12.45meters including 1,335 g/t Au*** and 781 g/t Ag (1,344.42 g/t AuEq*) over 0.68 meters within a broad mineralized zone grading 15.26 g/t Au and 20.05 g/t Ag (15.50 g/t AuEq*) over 66.50 meters.
HR23-399: 43.10 g/t Au and 66 g/t Ag (43.90 g/t AuEq*) over 1.01 meters and 40.33 g/t Au and 418 g/t Ag (45.37 g/t Au Eq**) over 1.75 meters within a broad mineralized zone grading 2.68 g/t Au and 20 g/t Ag (2.92 g/t AuEq*) over 57.70 meters.
HR23-410: 10.17 g/t Au over 6.61 meters including 50.70 g/t Au over 0.62 meters.
Highlights from Homestake Main infill drilling below high-grade plunge include: (intervals shown are core length**)
HR23-374:22.60 g/t Au over 0.67 meters, 18.75 g/t Au over 2.00 meters and 10.15 g/t Au over 1.00 meter in separate vein breccias included in a wider mineralized envelope grading 1.22 g/t Au and 1.90 g/t Ag (1.24 g/t AuEq*) over 83.51 meters.
HR23-386: 18.14 g/t Au and 30 g/t Ag (18.51 g/t AuEq*) over 2.50 meters including 69.9 g/t Au and 42 g/t Ag (70.41 g/t AuEq*) over 0.50 meters.
HR23-390: 129.00 g/t Au and 218 g/t Ag (131.63 g/t AuEq*) over 0.50 meters in a vein breccia included in a wider mineralized envelope grading 1.92 g/t Au and 3.58 g/t Ag (1.96 g/t AuEq*) over 50.30 meters.
*AuEq and AgEq are calculated using $US1650/oz Au, $US20/oz Ag **Estimated true widths vary depending on intersection angles and range from 50% to 85% of core lengths. ***Determined using metallic screen fire assay on 1.0 kg split
“Whether we discover new zones of high-grade gold at Homestake Ridge or expand the large, wide and high-grade silver deposits at Wolf and Torbrit, drilling continues to deliver results from the premier, undeveloped gold-silver trend in Canada,” said Shawn Khunkhun, CEO of Dolly Varden Silver.
“The new high-grade gold and silver mineralization encountered in step out drilling to the northwest of Homestake Silver represents a significant breakthrough in further defining, upgrading and expanding the mineralization at Homestake Ridge,” said Rob van Egmond, Vice-President Exploration.” This new zone remains open to the northwest, projecting towards the Homestake Main Deposit.”
This release includes the remaining drill results from 48 drill holes from the 2023 drill program at the 100%-owned Kitsault Valley Project that includes the Homestake Ridge and Dolly Varden properties in BC’s Golden Triangle. Reporting 26 drill holes at Homestake Main (11,054.90m), four drill holes (2,478.00m) from the new gold-rich zone at the Homestake Silver northwestern extension, and six exploration drill holes on the Homestake Ridge property (1,627.00m). In addition, twelve holes (6,971.00m) from the Dolly Varden property including the North Star, Red Point and Wolf areas are reported in this release.
Homestake Silver Step-Out Drilling
The high-grade gold and silver intersections in holes HR23-389 and HR23-399 are horizontally separated by approximately 40m and are interpreted to be a new gold zone extending northwest, at depth towards the Homestake Main deposit. Deeper in these holes a second, targeted mineralized envelope was encountered (Figure 5). In longitudinal section, the new gold zone overlaps parallel with the known mineralized envelopes approximately 50 meters to the east. This zone remains open to the northwest below historic drilling. Drilling in 2024 will target a 350m long gap between the Homestake Silver and Homestake Main Deposits to expand this new zone (Figure 2).
Drill hole HR23-410 is a 75-meter step-out from previously released holes HR23-395 and 398 (January 4th, 2024 release) and represents an extension of the higher grade veins to depth and below the wide, higher grade plunge.
The dip of drill hole HR23-394 steepened due to hole deviation more than anticipated and remained in the footwall to mineralized zones.
Figure 1. Location in this release along Dolly Varden’s Kitsault Valley trend
The objective of drilling during 2023 at the Homestake Main and Homestake Silver deposits was to expanded multiple, subparallel mineralized zones and to upgrade Inferred Mineral Resources in the projected plunge of the wider, higher-grade zone. The drilling completed in 2023 at Homestake Main was primarily resource expansion drilling, targeting both down dip and along strike from current Mineral Resources.
At Homestake Main, the 2023 drilling tested the depth extent of the structural corridor that hosts the mineralization and infilled in areas of higher grades. Drill hole HR23-374 is located approximately 200m down dip from the modelled wide, high-grade plunge, planned as a depth test at the bottom edge of the known mineralized envelope.
Drilling along the northwest projection of the Homestake Main zone intersected the structural corridor and associated alteration but with a decrease in vein stockwork and vein breccias density.
Homestake Ridge Exploration Drilling
Four exploration drill holes (HR23-417, 420, 421 and 424) tested two parallel, northwest trending structures located 300 metres and 600 meters to the west of the Homestake Silver deposit. HR23-424 tested the Fox Reef, a parallel structure approximately 900 meters to the southwest. Numerous veins and breccias were intersected with lower grade gold values (Table 3). Another two drill holes (HR23-422 and 423) tested the Dilly – Rambler exploration target 1,500m to the south of Homestake Silver. Although zones of QSP alteration and structures of interest were intersected, no significant precious metal grades were returned from the samples in these holes.
The Homestake Ridge deposits are interpreted as a structurally controlled, multi-phase epithermal vein stockwork and vein breccia system hosted in Jurassic Hazelton Volcanic rocks. Mineralization consists of pyrite and chalcopyrite in a breccia matrix within a silica breccia vein system and quart-carbonate veining (Figure 3). The northwest orientation of the main Homestake structural trend appears to have numerous subparallel internal structures that are interpreted to form the controls for higher grade gold and silver shoots within a broader low-grade (>0.1 g/t Au) zone at the Homestake Main deposit. The main structural corridor dips steeply to the northeast at Homestake Main and rolls to steeply Southwest at Homestake Silver (Figure 2 and 5).
Figure 2. Long Section of Homestake Silver and Main. Modelled mineralized envelope from resource in Red (looking southwest)
Figure 3. Drill hole HR23-389 at the gold zone from the Homestake Silver deposit hosting quartz carbonate vein and stockwork with high-grade gold and silver mineralization.
Figure 4. Location of 2023 Drill holes at Homestake Main and northwest step outs at Homestake Silver in this release. Plan View with Current Mineral Resource block model in grey, primarily of Inferred Classification
Table 1. Completed Drill Hole Assays from the Homestake Silver Deposit Northern Extension drilling
Hole ID
From (m)
To (m)
Length (m)**
Au (g/t)
Ag (g/t)
Cu (%)
AuEq*
AgEq*
HR23-389
329.50
369.93
40.43
0.11
67
0.00
0.91
76
including
366.00
368.00
2.00
0.52
559
0.03
7.26
602
including
367.00
368.00
1.00
0.99
996
0.04
13.00
1078
New Au Zone
377.50
444.00
66.50
15.26
20
0.01
15.50
1285
including
401.00
413.45
12.45
79.49
60
0.01
80.21
6649
including
409.90
410.58
0.68
1335***
781
0.01
1344.42
111440
Lower Zone
503.07
550.35
47.28
1.22
1
0.01
1.23
102
including
510.60
511.85
1.25
13.70
4
0.01
13.75
1140
including
522.77
523.37
0.60
8.53
4
0.01
8.57
711
including
525.79
526.81
1.02
13.65
6
0.01
13.72
1137
HR23-394
416.50
421.50
5.00
0.52
14
0.02
0.69
57
including
416.50
417.50
1.00
2.10
26
0.03
2.42
200
and
484.00
486.00
2.00
2.20
50
0.02
2.79
231
HR23-399 New Au Zone
377.90
435.60
57.70
2.68
20
0.02
2.92
242
including
396.24
397.25
1.01
43.10
66
0.23
43.90
3639
including
413.00
414.75
1.75
40.33
418
0.13
45.37
3761
and
446.80
452.00
5.20
1.40
5
0.02
1.46
121
Lower Zone
545.10
570.00
24.90
0.36
NSV
0.36
30
HR23-410
329.35
329.85
0.50
0.12
1215
0.04
14.77
1225
and
329.85
330.35
0.50
0.06
192
0.41
2.37
197
75m Step out
566.11
572.72
6.61
10.17
7
0.03
10.25
850
including
567.58
571.47
3.89
16.81
10
0.04
16.93
1403
including
567.58
568.20
0.62
50.70
26
0.08
51.01
4229
including
570.00
571.47
1.47
15.30
9
0.05
15.41
1277
Table 2. Completed Drill Hole Assays from the Homestake Main Deposit Area
Hole ID
From (m)
To (m)
Length (m)**
Au (g/t)
Ag (g/t)
Cu (%)
AuEq*
AgEq*
HR23-367
295.75
304.80
9.05
1.66
1
0.01
1.68
139
including
299.96
300.80
0.84
3.16
2
0.03
3.19
264
including
301.32
301.82
0.50
19.80
11
0.06
19.94
1652
HR23-368
186.90
188.90
2.00
0.18
NSV
0.18
15
and
207.70
212.95
5.25
0.17
NSV
0.17
14
HR23-369
204.00
211.00
7.00
0.60
NSV
0.60
50
including
231.07
231.62
0.55
0.83
4
0.01
0.88
73
and
294.50
317.34
22.84
0.37
NSV
0.37
31
including
313.19
314.50
1.31
3.31
18
0.00
3.52
292
HR23-370
288.00
295.00
7.00
1.65
2
0.01
1.67
139
including
293.00
295.00
2.00
4.83
5
0.01
4.89
405
HR23-371
323.00
323.50
0.50
1.45
NSV
1.45
120
HR23-372
234.36
258.50
24.14
0.87
1
0.04
0.88
73
including
246.50
250.50
4.00
3.58
3
0.10
3.61
299
including
257.70
258.50
0.80
1.05
7
0.52
1.13
94
HR23-373
341.00
343.00
2.00
0.45
NSV
0.45
37
HR23-374
261.03
344.54
83.51
1.22
2
0.04
1.24
103
including
268.48
269.15
0.67
22.60
10
0.17
22.72
1883
including
311.00
313.00
2.00
18.75
8
0.22
18.85
1562
including
321.00
322.00
1.00
10.15
9
0.09
10.26
850
HR23-375
234.00
237.18
3.18
0.14
2
0.01
0.17
14
HR23-376
402.09
409.13
7.04
0.97
1
0.05
0.98
81
including
408.32
409.13
0.81
5.29
5
0.32
5.35
444
HR23-377
475.75
477.26
1.51
0.32
4
0.04
0.37
31
HR23-378
523.55
526.00
2.45
0.36
NSV
0.36
30
and
569.85
571.46
1.61
0.45
NSV
0.45
37
HR23-379
264.00
293.00
29.00
0.47
1
0.02
0.49
40
including
284.88
286.50
1.62
4.96
14
0.25
5.13
425
and
299.75
315.35
15.60
0.29
NSV
0.29
24
and
387.00
416.00
29.00
0.38
NSV
0.38
31
including
395.00
399.50
4.50
0.80
NSV
0.80
66
including
403.00
406.00
3.00
0.92
NSV
0.92
76
HR23-380
420.44
446.00
25.56
0.25
0
0.00
0.25
21
HR23-381
259.97
277.00
17.03
0.56
12
0.03
0.71
59
including
265.24
265.89
0.65
3.38
111
0.41
4.72
391
including
268.02
268.61
0.59
1.30
4
0.00
1.35
112
HR23-382
312.00
394.41
82.41
0.26
NSV
0.02
0.26
22
including
324.60
325.12
0.52
3.33
4
0.44
3.38
280
including
359.50
360.22
0.72
1.95
13
0.48
2.11
175
and
404.00
434.00
30.00
0.38
NSV
0.01
0.38
31
including
426.30
427.12
0.82
4.86
21
0.32
5.11
424
Table 2 con’t. Completed Drill Hole Assays from the Homestake Main Deposit Area
Hole ID
From (m)
To (m)
Length (m)**
Au (g/t)
Ag (g/t)
Cu (%)
AuEq*
AgEq*
HR23-383
166.08
168.00
1.92
0.86
39
0.00
1.33
110
HR23-384
338.12
371.10
32.98
0.31
1
0.01
0.33
27
and
391.00
444.00
53.00
0.30
1
0.00
0.31
26
HR23-385
485.67
515.05
29.38
0.25
2
0.07
0.27
22
and
510.00
510.70
0.70
0.93
15
0.63
1.11
92
HR23-386
156.69
208.95
52.26
1.47
25
0.13
1.78
147
including
159.00
160.00
1.00
1.35
969
0.09
13.04
1081
including
161.00
163.50
2.50
18.14
30
0.24
18.51
1534
including
161.00
161.50
0.50
69.90
42
0.18
70.41
5836
including
183.90
190.00
6.10
2.19
16
0.91
2.39
198
HR23-387
146.84
190.10
43.26
0.62
6
0.13
0.69
57
including
150.00
150.50
0.50
6.18
10
0.16
6.31
523
including
166.00
168.65
2.65
2.54
35
1.68
2.96
246
including
189.10
189.60
0.50
2.62
1
0.11
2.64
219
HR23-388
211.90
229.50
17.60
1.00
4
0.14
1.04
86
including
213.86
215.00
1.14
1.90
17
0.93
2.10
174
including
219.48
220.20
0.72
7.80
8
0.13
7.90
655
including
221.50
222.00
0.50
1.03
9
0.16
1.14
94
including
225.60
228.40
2.80
2.05
4
0.14
2.10
174
and
372.50
381.50
9.00
1.76
3
0.13
1.80
149
including
373.38
373.88
0.50
28.80
47
2.23
29.37
2434
HR23-390
167.70
218.00
50.30
1.92
4
0.03
1.96
162
including
169.68
170.18
0.50
129.00
218
1.09
131.63
10911
including
173.95
174.45
0.50
5.59
8
0.13
5.68
471
including
206.00
207.00
1.00
2.72
1
0.00
2.73
227
including
216.00
218.00
2.00
2.12
5
0.03
2.18
180
HR23-391
159.00
167.50
8.50
0.12
NSV
0.12
10
and
232.00
239.55
7.55
1.22
5
0.14
1.28
106
including
234.00
236.55
2.55
3.29
11
0.36
3.43
284
and
246.04
306.90
60.86
0.72
3
0.09
0.76
63
including
246.04
246.61
0.57
3.56
40
0.12
4.04
335
including
254.48
273.30
18.82
1.52
4
0.14
1.56
130
including
304.70
305.20
0.50
13.55
50
0.27
14.15
1173
and
324.00
346.20
22.20
0.26
0
0.02
0.27
22
including
331.80
332.30
0.50
3.96
5
0.84
4.03
334
HR23-392
113.00
119.00
6.00
0.45
47
0.02
1.01
84
Table 3. Completed Drill Hole Assays from the Homestake Ridge Property Exploration
Hole ID
From (m)
To (m)
Length (m)**
Au (g/t)
Ag (g/t)
Cu (%)
AuEq*
AgEq*
HR23-422
193.00
194.17
1.17
0.36
24
0.13
0.65
54
HR23-424
10.00
17.00
7.00
0.27
NSV
HR23-424
12.00
13.16
1.16
1.06
9
1.17
97
and
23.25
23.75
0.50
5.72
22
0.40
5.98
496
and
95.20
95.70
0.50
0.54
20
0.79
65
and
196.05
196.66
0.61
1.76
2
1.79
148
and
199.35
199.85
0.50
1.97
3
2.00
166
and
249.35
249.93
0.58
1.84
2
1.86
154
HR23-423
168.60
169.70
1.10
1.52
1
1.53
127
and
246.75
247.75
1.00
0.78
NSV
0.78
65
HR23-420
NSV
HR23-421
97.60
206.00
108.40
0.11
NSV
0.112
9
HR23-417
156.20
161.20
5.00
0.98
NSV
0.978
81
including
158.20
159.20
1.00
2.09
NSV
2.09
173
*AuEq and AgEq are calculated using $US1650/oz Au, $US20/oz Ag. **Estimated true widths vary depending on intersection angles and range from 50% to 90% of core lengths ***Determined using metallic screen fire assay on 1.0kg
Table 4. Drill Hole Collar Locations for 2023 Homestake Ridge drill holes in this release
Hole ID
Easting UTM83 (m)
Northing UTM83 (m)
Elev. (m)
Azimuth
Dip
Length (m)
HR23-367
462840
6179693
952
211
-58
351.00
HR23-368
462840
6179693
952
202
-68
402.00
HR23-369
463071
6179531
927
237
-55
414.00
HR23-370
462840
6179693
952
226
-56
324.90
HR23-371
462771
6179849
1091
200
-75
589.00
HR23-372
463071
6179531
927
235
-62
390.00
HR23-373
462840
6179693
952
230
-68
450.00
HR23-374
463166
6179562
895
232
-53
441.00
HR23-375
462771
6179849
1091
200
-62
582.00
HR23-376
462897
6179729
964
140
-65
609.00
HR23-377
463166
6179562
895
232
-71
552.00
HR23-378
462771
6179849
1091
200
-73
609.00
HR23-379
463015
6179634
918
210
-59
450.00
HR23-380
463132
6179539
914
221
-70
501.00
HR23-381
462794
6179271
1116
106
-45
402.00
HR23-382
463075
6179672
902
212
-55
450.00
HR23-383
463129
6179330
986
220
-53
285.00
HR23-384
463132
6179539
914
205
-66
501.00
HR23-385
462897
6179729
964
240
-74
600.00
HR23-386
463120
6179391
969
223
-57
300.00
HR23-387
463120
6179391
969
231
-52
306.00
HR23-388
463133
6179500
925
223
-47
399.00
HR23-390
463120
6179391
969
205
-62
354.00
HR23-391
463133
6179500
925
218
-61
439.00
HR23-392
462794
6179271
1116
116
-45
354.00
HR23-389
463590
6179193
825
228
-46
603.00
HR23-394
463590
6179193
825
228
-53
654.00
HR23-399
463590
6179193
825
232
-48
621.00
HR23-410
463560
6179124
834
220
-50
600.00
HR23-417exp
463182
6178630
1070
240
-50
283.00
HR23-420exp
463482
6178246
1014
240
-50
279.00
HR23-421exp
463295
6177829
1200
282
-46
222.00
HR23-422exp
463305
6177143
1117
166
-46
261.00
HR23-423exp
463713
6176389
1038
315
-50
255.00
HR23-424exp
463318
6178059
1169
230
-46
327.00
Dolly Varden Exploration Drilling
Result for twelve drill holes competed at the end of the 2023 season on the Dolly Varden property come from three main areas: Red Point, North Star and Wolf (Figure 6).
Red Point Drilling
Three holes were drilled in the Red Point area, located at the southern end of the western gold belt, approximately 10 kilometers southeast along the trend from the Homestake Ridge deposits. Styles of mineralization encountered including varying degrees of quartz and quartz-carbonate veining in a QSP alteration halo, similar to what is seen at the Homestake Ridge deposits. Highlights from the 2023 exploration drilling include: (intervals shown are core length**)
HR23-360: 1.92 g/t Au over 13.10 meters including 7.25 g/t Au and 1.12% Cu over 2.30 meters near surface all within a broad mineralized halo grading 0.44 g/t Au over 120.62 meters.
**Estimated true widths vary depending on intersection angles and range from 70% to 90% of core lengths.
North Star Drilling
Two drill holes intersected the stratabound mineralization of the North Star deposit, part of the Torbrit Horizon, approximately 50 meters down dip from historic underground drilling in the 1960s. The surface drill holes collars were moved further back to intercept the horizon at a better angle and test for continuity. The North Star deposit has higher lead (Pb) and zinc (Zn) values than the Torbrit deposit located across the Kitsault Valley. The Current Mineral Resource Estimate for North Star does not include any credits for the significant base metals in the mineralized horizon.
Highlights from North Star Area include: (intervals shown are core length**)
HR23-358: west step out, entire horizon: 199 g/t Ag with 1.28% Pb and 1.21% Zn (292 g/t AgEq) over 18.10 meters including 1,510 g/t Ag, 1.23% Pb and 5.34% Zn (1,755 g/t AgEq) over 0.58 meters and 753 g/t Ag, 0.51 g/t Au, 15.20% Pb and 4.32% Zn (1,430 g/t AgEq) over 1.00 meters.
**Estimated true widths vary depending on intersection angles and range from 80% to 95% of core lengths.
The North Star deposit (along the Torbrit Horizon) remains open to the west down dip along the Torbrit Horizon for follow up in the 2024 drill program.
Wolf Drilling
The five drill holes reported in this release for Wolf were part of an end of season follow up to test below the plunge of the wide, higher-grade zone. The Wolf structure was intersected with low silver grades and increased lead and zinc values, typical of below and outside of the plunge of high-grade silver zone (Figure 8).
Figure 6. Drill hole location map for Dolly Varden Property holes reported in this release.
Figure 7. Wolf Long Section with 2023 drill holes in this release highlighted in white. The 2023 result highlights shown from step-outs along the wide, high-grade plunge are from previous releases (Sept 11th and Nov 06th, 2023).
Table 5. Completed Drill Hole Assays from the Dolly Varden Property Exploration Drilling in this release.
Hole ID
From (m)
To (m)
Length (m)**
Ag (g/t)
Au (g/t)
Pb (%)
Zn (%)
AgEq (g/t)
DV23-353 North Star
251.05
254.50
3.45
138
0.07
3.50
7.69
543
including
252.50
254.50
2.00
211
0.10
5.74
9.82
769
and
266.45
267.10
0.65
426
0.39
0.59
0.24
485
and
291.50
292.50
1.00
219
0.47
0.05
1.29
308
DV23-358 North Star
278.96
280.80
1.84
52
0.03
0.80
11.10
500
and
293.32
311.42
18.10
199
0.08
1.28
1.21
292
including
293.32
300.75
7.43
345
5.92
2.75
1.6
491
including
293.32
293.90
0.58
1510
0.06
1.23
5.34
1755
including
296.00
297.00
1.00
753
0.51
15.20
4.32
1430
DV23-360 Red Point
1.85
122.47
120.62
3
0.44
0.02
0.05
42
including
34.90
48.00
13.10
6
1.92
0.03
0.08
169
including
44.00
46.30
2.30
15
7.25
0.03
0.07
619
DV23-363 Red Point
29.00
109.00
80.00
NSV
0.38
including
51.00
54.10
3.10
12
3.45
298
DV23-384 Red Point
724.20
783.00
58.80
1
0.28
0.01
0.03
26
including
737.50
761.81
24.31
1
0.45
0.00
0.02
39
DV23-377 Surprise
NSV
DV23-378 Surprise
NSV
DV23-380 Wolf
575.60
584.28
8.68
2
NSV
0.12
0.55
26
DV23-381 Wolf
593.13
594.10
0.97
115
0.03
1.60
1.73
233
and
669.20
670.20
1.00
184
0.04
0.52
2.44
295
and
671.92
673.90
1.98
215
0.01
0.23
3.17
343
and
675.40
676.40
1.00
138
0.03
15.04
3.12
725
DV23-382 Wolf
549.83
570.70
20.87
39
0.18
1.25
0.70
119
including
551.00
552.30
1.30
250
0.28
15.38
3.80
895
DV23-383 Wolf
274.00
276.72
2.72
6
0.03
0.06
1.14
53
DV23-385 Wolf
369.02
384.62
15.60
21
0.05
0.77
0.61
72
including
372.10
372.92
0.82
131
0.28
0.34
0.55
185
*AgEq is calculated using $US20/oz Ag, $US0.90/lb Pb and $US1.10/lb Zn **Estimated true widths vary depending on intersection angles and range from 70% to 95% of core lengths
Table 6. Drill Hole Collar Locations for 2023 Dolly Varden Property drill holes in this release.
Hole ID
Easting UTM83 (m)
Northing UTM83 (m)
Elev. (m)
Azimuth
Dip
Length (m)
DV23-353 North Star
467575
6171329
533
115
-60
431.00
DV23-358 North Star
467575
6171329
533
155
-58
413.00
DV23-360 Red Point
467026
6172064
618
205
-50
384.00
DV23-363 Red Point
466782
6172288
707
220
-63
378.00
DV23-384 Red Point
466500
6171968
759
260
-60
912.00
DV23-377 Surprise
466815
6173693
446
232
-46
300.00
DV23-378 Surprise
466815
6173693
446
340
-60
618.00
DV23-380 Wolf
467013
6173643
383
140
-71
803.00
DV23-381 Wolf
467013
6173643
383
140
-74
824.00
DV23-382 Wolf
467013
6173643
383
142
-65
648.00
DV23-383 Wolf
467265
6172994
372
305
-55
762.00
DV23-385 Wolf
467127
6173757
364
138
-57
498.00
Quality Assurance and Quality Control
The Company adheres to CIM Best Practices Guidelines for exploration related activities conducted on its property. Quality Assurance and Quality Control (QA/QC) procedures are overseen by the Qualified Person.
Dolly Varden QA/QC protocols are maintained through the insertion of certified reference material (standards), blanks and field duplicates within the sample stream. Drill core is cut in-half with a diamond saw, with one-half placed in sealed bags and shipped to the laboratory and the other half retained on site. Third party laboratory checks on 5% of the samples are carried out as well. Chain of custody is maintained from the drill to the submittal into the laboratory preparation facility.
Analytical testing was performed by ALS Canada Ltd. in North Vancouver, British Columbia. The entire sample is crushed to 70% minus 2mm (10 mesh), of which a 500 gram split is pulverized to minus 200 mesh. Multi-element analyses were determined by Inductively Coupled Plasma Mass Spectrometry (ICP-MS) for 48 elements following a 4-acid digestion process. High grade silver testing was determined by Fire Assay with either an atomic absorption, or a gravimetric finish, depending on grade range. Gold is determined by Fire Assay on a 30g split with and AA finish and over limits determined by Fire Assay with a gravimetric finish. Metallic screen fire assay analysis on 1kg sample +106umis carried out when determined to be necessary on higher grade samples.
Qualified Person
Rob van Egmond, P.Geo., Vice-President Exploration for Dolly Varden Silver, the “Qualified Person” as defined by NI43-101 has reviewed, validated and approved the scientific and technical information contained in this news release and supervises the ongoing exploration program at the Dolly Varden Project.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, on-trend, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This release may contain forward-looking statements or forward-looking information under applicable Canadian securities legislation that may not be based on historical fact, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential”, and similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Dolly Varden to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward-looking statements or information in this release relates to, among other things, the 2022 drill program at the Kitsault Valley Project, the results of previous field work and programs and the continued operations of the current exploration program, interpretation of the nature of the mineralization at the project and that that the mineralization on the project is similar to Eskay and Brucejack, results of the mineral resource estimate on the project, the potential to grow the project, the potential to expand the mineralization and our beliefs about the unexplored portion of the property.
These forward-looking statements are based on management’s current expectations and beliefs and assume, among other things, the ability of the Company to successfully pursue its current development plans, that future sources of funding will be available to the company, that relevant commodity prices will remain at levels that are economically viable for the Company and that the Company will receive relevant permits in a timely manner in order to enable its operations, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.
For additional information on risks and uncertainties, see the Company’s most recently filed annual management discussion & analysis (“MD&A“) and management information circular dated January 21, 2022 (the “Circular“), both of which are available on SEDAR at www.sedar.com. The risk factors identified in the MD&A and the Circular are not intended to represent a complete list of factors that could affect the Company.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this news release.
Vancouver, British Columbia–(Newsfile Corp. – January 16, 2024) – Dolly Varden Silver Corporation (TSXV: DV) (OTCQX: DOLLF) (the “Company” or “Dolly Varden“) is pleased to announce drill results from its 2023 program at the Homestake Silver deposit in BC’s Golden Triangle. The 23 drillholes reported total 12,150m of drilling targeting priority zones within the deposit and have significantly expanded the width and extent of the reinterpreted high-grade silver and gold mineralized plunge.
Highlights from Homestake Silver (intervals shown are core length**):
HR23-419: Mineralized envelope: 315 g/t AgEq (2.57 g/t Au and 102 g/t Ag) over 79.20 meters, including internal breccia vein intervals grading 1,508 g/t AgEq (9.53 g/t Au and 718 g/t Ag) over 9.22 meters length, 7,572 g/t AgEq (36.66 g/t Au and 4,533 g/t Ag) over 1.05 meters.
HR23-416 Mineralized envelope: 357 g/t AgEq (1.74 g/t Au, 213 g/t Ag) over 93.95 meters length, including internal breccia vein intervals grading 2,802 g/t AgEq (11.80 g/t Au and 1,824 g/t Ag) over 9.16 meters length, 4,176 g/t AgEq (13.16 g/t Au and 3,085 g/t Ag) over 2.26 meters and 9,422 g/t AgEq (55.40 g/t Au and 4,830 g/t Ag) over 1.02 meters.
HR23-415: Mineralized envelope: 630 g/t AgEq (5.11 g/t Au and 206 g/t Ag) over 22.80 meters, including internal breccia vein intervals grading 1,754 g/t AgEq (14.38 g/t Au and 562 g/t Ag) over 6.80 meters length, 4,617 g/t AgEq (43.40 g/t Au and 1,020 g/t Ag) over 0.88 meters.
HR23-413: Mineralized envelope: 226 g/t AgEq (1.40 g/t Au and 110 g/t Ag) over 40.00 meters, including internal breccia vein intervals grading 668 g/t AgEq (3.05 g/t Au and 415 g/t Ag) over 3.96 meters, 1,998 g/t AgEq (6.49 g/t Au and 1,460 g/t Ag) over 0.63 meters.
HR23-407: Mineralized envelope: 246 g/t AgEq (2.32 g/t Au and 54 g/t Ag) over 55.90 meters length, including internal breccia vein intervals grading 932 g/t AgEq (8.94 g/t Au and 191 g/t Ag) over 10.72 meters length, 2,149 g/t AgEq (24.38 g/t Au and 129 g/t Ag) over 0.57 meters and 1,883 g/t AgEq (17.78 g/t Au and 410 g/t Ag) over 2.20 meters.
HR23-411: Expansion step out hole to the southeast; 445 g/t AgEq (0.91 g/t Au and 369 g/t Ag) over 10.55 meters including 2,068 g/t AgEq (1.73 g/t Au and 1,925 g/t Ag) over 0.55 meters.
*AuEq and AgEq are calculated using only the two precious metal components at $US1650/oz Au, $US20/oz Ag, Assays are not capped
**Estimated true widths vary depending on intersection angles and range from 65% to 85% of core lengths, further modelling of the new interpretation is needed before true widths can be calculated
“The 2023 drilling at Homestake Silver has identified a substantial zone of exceptional precious metal grades, often typified by multiple phases of silver and gold mineralization, over wide, continuous intervals that are potentially amendable to bulk underground mining methods,” said Shawn Khunkhun, CEO of Dolly Varden Silver. “Results from additional step-out holes to the north of these intercepts are being finalized and are expected to be announced shortly.”
“Applying what was learned from the structural reinterpretation work at the Homestake Main gold zone to the existing wider spaced drilling at Homestake Silver Zone has led to the discovery of high-grade pathways within a continuous mineralized envelope with average precious metal grades above the average resource grades and over much wider intervals than expected,” states Rob Van Egmond, P.Geo, Vice President of Exploration.
Figure 1. Location along Dolly Varden’s Kitsault Valley trend of Deposits
Drill holes HR23-416 and HR23-419 have a down dip spacing of 105 meters on the same vertical cross-section. The holes were up and down dip, respectively, from historic drill hole HR09-161 which graded 352 AgEq (2.89 g/t Au and 112 g/t Ag) over 72.75 meters over the width of the mineralized envelope (see figure 2 section). Drillholes HR23-413 and HR23-415 are located on section 25m to the north-northwest and HR23-407 is 100m along strike from HR23-416/419.
Drillholes HR23-396 and 397 were drilled up dip of the wide, higher-grade plunge intersecting individual higher-grade vein breccias extending above the mineralized envelope.
Drilling targeted the high-grade plunge within the Homestake Silver deposit. These holes focused on defining and expanding the wide gold and silver (+/- lead and zinc) mineralized zone along the low angle, northerly plunge of the high-grade mineralization. The reinterpretation concluded that the wider mineralization zone at Homestake Silver is at a similar plunge orientation as that of the Homestake Main deposit, located 300m to the northwest. The average grades are higher, on a precious metal silver equivalent basis, than the average grade of the silver deposits at the Dolly Varden property to the south due to the increased gold content at the Homestake Ridge deposits.
Figure 2. Drill hole HR23-416 from the Homestake Silver deposit. A 12.60-meter section from the 93.95-meter mineralized envelope highlighting the 1.02-meter high-grade multi-pulse vein breccia pathway. Strong alteration and stockwork with local multi-pulse vein and vein breccias can be seen throughout the interval.
Drill hole HR23-411 is a 50m step out (down dip) from the southeastern end of Homestake Silver showing that the gold and silver mineralization remains open in that direction. Drill hole HR23-414 was drilled in the unmineralized footwall to Homestake Silver.
Finalized results remain to be released for 47 of the 115 drill hole, 51,454.90 meter, 2023 Kitsault Valley Project exploration drill program. These include 25 drill holes at Homestake Main (11,054.90m), 4 drill holes (2,478.00m) from Homestake Silver northern extension and 6 drill holes (1,627m) from Homestake Ridge property exploration drill holes. Plus 12 drill holes (7,400m) from the southern Dolly Varden property.
Figure 3. Homestake Silver Long section looking southwest with 2023 drill hole highlights. 100m wide window.
The Homestake Ridge deposits are interpreted as structurally controlled, multi-phase epithermal vein stockwork and vein breccia system hosted in Jurassic aged Hazelton volcanic rocks. Mineralization consists of pyrite, +/-galena and sphalerite in a breccia matrix within a silica breccia vein system (see Figure 2). The northwest orientation of the main Homestake structural trend appears to have numerous subparallel internal structures that are interpreted to form the controls for higher grade gold and silver shoots within a broader Mineralized envelope at the Homestake Silver deposit. The main structural corridor dips steeply to the northeast at Homestake Main and rolls to vertical or steeply southwest at Homestake Silver (see Figure 5).
Figure 4. Homestake Silver Plan View with Current Mineral Resource block model, primarily of Inferred resource classification with 2023 drill collar locations highlighted.
Table 1. Completed Drill Hole Assays from the Homestake Silver Deposit Area
Hole ID
From (m)
To (m)
Length (m)
Au (g/t)
Ag (g/t)
AuEq* (g/t)
AgEq* (g/t)
HR23-419
306.40
385.60
79.20
2.57
102
3.80
315
including
313.43
322.65
9.22
9.53
718
18.19
1508
including
320.00
321.00
1.00
33.05
184
35.26
2923
including
321.60
322.65
1.05
36.66
4533
91.34
7572
including
325.74
326.84
1.10
20.90
121
22.36
1853
including
328.95
329.55
0.60
29.30
302
32.94
2731
including
367.39
368.55
1.16
21.60
36
22.03
1826
HR23-418
NSV
NSV
HR23-416
204.05
298.00
93.95
1.74
213
4.30
357
including
214.13
215.13
1.00
2.77
519
9.03
748
including
230.64
239.80
9.16
11.80
1824
33.80
2802
including
231.32
231.89
0.57
5.75
4290
57.50
4767
including
234.04
236.30
2.26
13.16
3085
50.38
4176
including
238.78
239.80
1.02
55.40
4830
113.67
9422
including
283.00
284.50
1.50
8.37
207
10.87
901
and
320.00
343.00
23.00
1.13
46
1.68
139
including
329.00
331.00
2.00
3.58
281
6.97
578
including
339.00
343.00
4.00
3.78
82
4.77
395
HR23-415
305.90
328.70
22.80
5.11
206
7.59
630
including
313.40
314.40
1.00
2.74
453
8.21
680
including
318.40
325.20
6.80
14.38
562
21.16
1754
including
319.42
320.30
0.88
43.40
1020
55.71
4617
and
336.75
393.50
56.75
1.22
32
1.61
133
including
338.75
346.60
7.85
3.13
149
4.93
409
including
382.80
384.15
1.35
4.10
114
5.48
454
HR23-414
NSV
NSV
HR23-413
230.00
244.00
14.00
3.96
15
4.15
344
including
237.00
238.00
1.00
47.30
40
47.79
3961
and
263.00
303.00
40.00
1.40
110
2.72
226
including
264.55
265.60
1.05
4.32
479
10.10
837
including
271.85
275.81
3.96
3.05
415
8.05
668
including
271.85
272.48
0.63
6.49
1460
24.10
1998
including
278.57
280.74
2.17
8.43
622
15.93
1321
including
279.79
280.74
0.95
13.60
966
25.25
2093
HR23-412
165.95
166.45
0.50
0.66
401
5.49
455
including
280.38
281.85
1.47
0.29
177
2.43
201
and
293.30
304.00
10.70
0.95
238
3.82
316
including
298.00
302.00
4.00
1.79
538
8.28
686
including
299.35
300.00
0.65
2.71
1245
17.73
1470
Table 1. con’t. Completed Drill Hole Assays from the Homestake Silver Deposit Area
Hole ID
From (m)
To (m)
Length (m)
Au (g/t)
Ag (g/t)
AuEq* (g/t)
AgEq* (g/t)
HR23-411
464.65
475.20
10.55
0.91
369
5.37
445
including
469.95
474.20
4.25
1.41
801
11.07
918
including
470.45
471.00
0.55
1.73
1925
24.95
2068
including
473.20
474.20
1.00
1.59
1120
15.10
1252
HR23-410
Results Pending
HR23-409
457.69
466.20
8.51
1.80
21
2.05
170
including
457.69
458.22
0.53
2.19
162
4.14
344
HR23-408
100.00
102.10
2.10
NSV
478
5.77
479
and
168.50
169.36
0.86
0.88
123
2.36
196
and
211.10
212.40
1.30
NSV
622
7.51
622
including
279.85
280.33
0.48
3.21
27
3.53
293
HR23-407
317.90
338.00
20.10
1.96
3
2.00
165
including
328.76
330.00
1.24
23.80
13
23.96
1986
and
346.10
402.00
55.90
2.32
54
2.97
246
including
354.88
365.60
10.72
8.94
191
11.24
932
including
354.88
355.45
0.57
24.38
129
25.93
2149
including
356.90
357.40
0.50
18.80
481
24.60
2039
including
360.55
361.87
1.32
8.71
382
13.31
1103
including
363.40
365.60
2.20
17.78
410
22.72
1883
HR23-406
NSV
NSV
HR23-405
394.00
433.23
39.23
1.78
NSV
1.78
148
including
402.65
414.00
11.35
3.20
NSV
3.20
265
including
417.00
423.25
6.25
2.48
NSV
2.48
206
HR23-404
614.25
651.60
37.35
0.58
2
0.60
50
HR23-403
287.50
395.00
107.50
1.46
16
1.65
137
including
288.00
288.50
0.50
24.30
659
32.25
2673
including
342.00
346.00
4.00
12.37
143
14.09
1168
including
342.00
344.00
2.00
22.26
248
25.25
2093
including
371.00
372.00
1.00
11.55
7
11.64
965
HR23-402
613.78
652.00
38.22
1.81
2
1.84
152
including
613.78
617.66
3.88
7.05
5
7.11
589
including
614.85
615.85
1.00
12.80
4
12.85
1065
HR23-401
538.00
539.40
1.40
0.04
180
2.22
184
HR23-400
352.82
354.00
1.18
0.36
471
6.04
501
and
534.07
576.00
41.93
1.24
2
1.27
105
including
543.00
550.00
7.00
2.47
4
2.52
209
HR23-399
Results Pending
HR23-398
536.75
567.00
30.25
1.31
3
1.34
111
including
544.00
545.30
1.30
5.20
2
5.22
433
Table 1. con’t. Completed Drill Hole Assays from the Homestake Silver Deposit Area
Hole ID
From (m)
To (m)
Length (m)
Au (g/t)
Ag (g/t)
AuEq* (g/t)
AgEq* (g/t)
and
576.79
577.95
1.16
4.15
7
4.23
351
HR23-397
210.50
253.69
43.19
0.45
62
1.21
100
including
228.65
229.59
0.94
2.16
326
6.09
505
HR23-396
187.38
227.25
39.87
0.53
61
1.26
104
including
213.57
214.07
0.50
2.76
668
10.82
897
and
250.00
250.50
0.50
0.20
744
9.17
760
HR23-395
341.65
342.15
0.50
2.19
1715
22.88
1897
and
382.30
403.92
21.62
2.57
2
2.60
215
including
386.00
387.12
1.12
12.00
10
12.13
1005
including
396.87
401.50
4.63
6.40
4
6.45
534
including
396.87
398.40
1.53
10.45
6
10.53
873
HR23-394
Results Pending
HR23-393
560.70
562.75
2.05
NSV
364
4.44
368
HR23-389
Results Pending
*AuEq and AgEq are calculated using two precious metal components at $US1650/oz Au, $US20/oz Ag. Assays are not capped. No Significant Values (NSV)
**Estimated true widths vary depending on intersection angles and range from 50% to 90% of core lengths
Table 2. Drill Hole Collar Data for 2023 Homestake Silver Deposit Drilling Reported
Hole ID
Easting UTM83 (m)
Northing UTM83 (m)
Elevation (m)
Azimuth
Dip
Length (m)
HR23-393
464252
6178460
703
235
-51
855.00
HR23-395
463581
6179029
834
225
-48
516.00
HR23-396
463642
6178780
857
235
-45
300.00
HR23-397
463642
6178780
857
230
-50
300.00
HR23-398
463581
6179029
834
225
-55
600.00
HR23-400
463607
6178909
841
223
-60
612.00
HR23-401
464118
6178529
720
230
-50
696.00
HR23-402
463714
6179021
798
220
-50
681.00
HR23-403
463607
6178909
841
230
-50
516.00
HR23-404
463714
6179021
798
23
-50
654.00
HR23-405
463607
6178909
841
235
-54
522.00
HR23-406
464017
6178679
738
223
-50
642.00
HR23-407
463677
6178837
828
223
-50
441.00
HR23-408
463737
6178684
819
223
-45
402.00
HR23-409
463677
6178837
828
223
-60
575.00
HR23-411
463947
6178487
748
235
-50
588.00
HR23-412
463737
6178684
819
223
-60
475.00
HR23-413
463690
6178787
827
223
-46
399.00
HR23-414
463631
6179194
814
225
-53
501.00
HR23-415
463690
6178787
827
223
-54
449.00
HR23-416
463693
6178746
833
223
-50
383.00
HR23-418
463352
6178808
997.35
275
-52
585.00
HR23-419
463693
6178746
833
223
-60
458.00
Quality Assurance and Quality Control
The Company adheres to CIM Best Practices Guidelines for exploration related activities conducted on its property. Quality Assurance and Quality Control (QA/QC) procedures are overseen by the Qualified Person.
Dolly Varden QA/QC protocols are maintained through the insertion of certified reference material (standards), blanks and field duplicates within the sample stream. Drill core is cut in-half with a diamond saw, with one-half placed in sealed bags and shipped to the laboratory and the other half retained on site. Third party laboratory checks on 5% of the samples are carried out as well. Chain of custody is maintained from the drill to the submittal into the laboratory preparation facility.
Analytical testing was performed by ALS Canada Ltd. in North Vancouver, British Columbia. The entire sample is crushed to 70% minus 2mm (10 mesh), of which a 500 gram split is pulverized to minus 200 mesh. Multi-element analyses were determined by Inductively Coupled Plasma Mass Spectrometry (ICP-MS) for 48 elements following a 4-acid digestion process. High grade silver testing was determined by Fire Assay with either an atomic absorption, or a gravimetric finish, depending on grade range. Au is also determined by fire assay on a 30g split with either atomic absorption, or gravimetric finish, depending on grade range. Metallic screen assays may be completed on very high grade samples.
Qualified Person
Rob van Egmond, P.Geo., Vice-President Exploration for Dolly Varden Silver, the “Qualified Person” as defined by NI43-101 has reviewed, validated and approved the scientific and technical information contained in this news release and supervises the ongoing exploration program at the Dolly Varden Project.
Dolly Varden Announces New Investor Relations Services Providers
The Company has entered into an agreement with Triomphe Holdings Ltd. (dba Capital Analytica) (“Capital Analytica”) for investor relations and communication services (the “Consulting Agreement”). The Consulting Agreement has an initial term of six months, commencing January 1 , 2024 under which the Company will pay to Capital Analytica an aggregate of $120,000 at a rate of $20,000 per month, and has an option to renew the Consulting Agreement for an additional 6 months at a rate of $10,000 per month, unless terminated earlier in accordance with the Consulting Agreement.
Pursuant to the terms of the Consulting Agreement, Capital Analytica will provide ongoing capital markets consultation, ongoing social media consultation regarding engagement and enhancement, social sentiment reporting, social engagement reporting, discussion forum monitoring and reporting, corporate video dissemination, and other related investor relations services.
Capital Analytica is a Nanaimo based company owned and operated by Jeff French who is arm’s length to the Company and holds no securities, directly or indirectly of the Company.
The Company is also pleased to announce the engagement of Zoppa Media Group to provide additional investor relations services beginning effective January 12, 2024. Dolly Varden has entered into a consulting agreement with Zoppa Media Group (the “Services Agreement”), pursuant to which Zoppa Media Group will provide certain investor relations services including investor outreach and management of the Company’s social media accounts in order to increase awareness regarding Dolly Varden. Pursuant to the Services Agreement, the Zoppa Media Group will provide such services on a month-to-month basis for a renewable one year term for a fee of $10,000 per month.
Zoppa Media Group is a Vancouver based company, owned by Diana Zoppa. Diana Zoppa has previously served Dolly Varden in an executive assistant role prior to gaining investor relations experience with a number of publicly trading companies. The Zoppa Media Group and Diana Zoppa hold 25,200 common shares of the Company.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, on-trend, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This release may contain forward-looking statements or forward-looking information under applicable Canadian securities legislation that may not be based on historical fact, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential”, and similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Dolly Varden to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward-looking statements or information in this release relates to, among other things, the 2022 drill program at the Kitsault Valley Project, the results of previous field work and programs and the continued operations of the current exploration program, interpretation of the nature of the mineralization at the project and that that the mineralization on the project is similar to Eskay and Brucejack, results of the mineral resource estimate on the project, the potential to grow the project, the potential to expand the mineralization and our beliefs about the unexplored portion of the property.
These forward-looking statements are based on management’s current expectations and beliefs and assume, among other things, the ability of the Company to successfully pursue its current development plans, that future sources of funding will be available to the company, that relevant commodity prices will remain at levels that are economically viable for the Company and that the Company will receive relevant permits in a timely manner in order to enable its operations, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.
For additional information on risks and uncertainties, see the Company’s most recently filed annual management discussion & analysis (“MD&A“) and management information circular dated January 21, 2022 (the “Circular“), both of which are available on SEDAR at www.sedar.com. The risk factors identified in the MD&A and the Circular are not intended to represent a complete list of factors that could affect the Company.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this news release.
Vancouver, British Columbia–(Newsfile Corp. – January 9, 2024) – Dolly Varden Silver Corporation (TSXV: DV) (OTCQX: DOLLF) (the “Company” or “Dolly Varden“) is pleased to announce that, further to its news release dated December 20, 2023, it has completed the issuance of 275,000 common shares of the Company (the “Consideration Shares“) to Libero Copper & Gold Corporation (“Libero“) as consideration for the acquisition by Dolly Varden of an option agreement (the “Option Agreement“) from Libero entitling Dolly Varden to earn-in a 100% undivided interest in the property known to Libero as the Big Bulk Property, comprised of seven mineral claims in the Golden Triangle, British Columbia (the “Acquisition“). In connection with the issuance of the Consideration Shares to Libero, the Company has filed a prospectus supplement to its base shelf prospectus dated April 25, 2023 to qualify the distribution thereof.
In connection with the Acquisition, Dolly Varden also entered into a further amending agreement to the Option Agreement clarifying that Dolly Varden may only elect to issue common shares of the Company to satisfy any option payments under the Option Agreement so long as the deemed price of the common shares at the time is equal to or greater than $0.64, as required by the rules of the TSXV. Whether Dolly Varden chooses to make such payments is cash or common shares is otherwise at the discretion of Dolly Varden.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This news release contains statements that constitute “forward-looking statements.” Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements, or developments to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential” and similar expressions, or that events or conditions “will,” “would,” “may,” “could” or “should” occur.
Forward-looking statements in this news release include, among others, the potential future issuances of common shares of the Company and other statements that are not historical facts. These forward-looking statements are based on management’s current expectations and beliefs and assume, among other things, the receipt of final approval of the Acquisition from the TSXV, use of proceeds of the Acquisition, the adequacy of the Company’s current financial position, the ability of the Company to successfully pursue its current development plans, that future sources of funding will be available to the Company on desirable and permitted terms, that relevant commodity prices will remain at levels that are economically viable for the Company and that the Company will receive relevant permits in a timely manner in order to enable its operations, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information.
By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors and risks include, among others: the risk that the Company may not be able to complete the Acquisition due to failure to receive regulatory approval; the Company may require additional financing from time to time in order to continue its operations which may not be available when needed or on acceptable terms and conditions acceptable; compliance with extensive government regulation; domestic and foreign laws and regulations could adversely affect the Company’s business and results of operations; and the stock markets have experienced volatility that often has been unrelated to the performance of companies and these fluctuations may adversely affect the price of the Company’s securities, regardless of its operating performance. The risk factors identified herein are not intended to represent a complete list of factors that could affect the Company. For additional information on risks and uncertainties, see the Company’s annual information form dated April 11, 2023 for the year ended December 31, 2022 and the Company’s base-shelf prospectus dated April 25, 2023, both available on SEDAR+ at www.sedarplus.ca.
The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Vancouver, British Columbia–(Newsfile Corp. – December 20, 2023) – Dolly Varden Silver Corporation (TSXV: DV) (OTCQX: DOLLF) (the “Company” or “Dolly Varden”) has entered into an assignment and assumption agreement (the “Assignment Agreement”) with Libero Copper & Gold Corporation (“Libero”) pursuant to which Dolly Varden has acquired (the “Acquisition”) from Libero an option agreement (the “Option Agreement”) entitling Dolly Varden, subject to certain conditions, to earn-in a 100% undivided interest in the southern portion of the Big Bulk Project from Libero thus consolidating the entire copper-gold porphyry system. The Libero property, also known as the Big Bulk Property (the “Big Bulk Property”), is comprised of seven mineral claims making up 3,025Ha in the Golden Triangle, British Columbia. Pursuant to the Assignment Agreement, as consideration, the Company has agreed to issue Libero 275,000 common shares of the Company (the “Consideration Shares”).
Agreement Highlights
Consolidation of the Big Bulk copper-gold mineralized calc-alkali porphyry system of the Texas Creek plutonic suite (“Big Bulk”).
Historic data sets will be incorporated into a complete geologic model.
Existing Land Use Agreement and Exploration Permit in place.
“We have been continuing to seek accretive consolidation opportunities in the area and the amalgamation of the southern portion of the Big Bulk copper gold porphyry with Dolly Varden’s portion is our latest step,” said Shawn Khunkhun, President and CEO of Dolly Varden. “In the Golden Triangle, porphyry systems can represent metallogenic feeders to high-grade vein systems, such as the KSM Deposit that occurs adjacent to the Brucejack Mine. Big Bulk may represent a causative mineralized porphyry to the high-grade silver and gold deposits 10 kilometres to the west at the Kitsault Valley Trend.”
About The Big Bulk Porphyry System
Big Bulk is located 20 kilometres north of the town of Kitsault, BC, and is surrounded by Hecla Mining’s Kinskuch project (Figure 1). The Big Bulk porphyry copper-gold system hosts multiple phases of intrusive rocks, hosted in Lower Jurassic-age Hazelton and Triassic-age Stuhini volcanic and sedimentary rocks analogous (Figure 2). Recent work by the British Columbia Geological Survey (“BCGS”) and University of British Columbia (“UBC”) Mineral Deposits Research Unit (“MDRU”) indicate that Big Bulk is the northernmost porphyry of a string of several porphyry mineralized systems of multiple geologic ages that extend 30km south to the New Moly LLC’s Eocene-age Kitsault molybdenum deposit.
The southern portion of the Big Bulk Property was initially explored by Teck and Canadian Empire Minerals from 2001 to 2003. The northern half of the system was drilled by AngloGold in 2009, encountering porphyry-style alteration with copper and gold mineralization associated with quartz chalcopyrite/pyrite stockwork veins.
A new interpretation of the geology based on recent geologic mapping by the BCGS indicates that the target is a much larger calc-alkaline porphyry system tilted on its side with similarities in age and structural setting to the Kerr-Sulpherets-Mitchell (KSM) deposits. The work by UBC-MDRU (2018) places the Big Bulk intrusive along a regional structural trend that hosts numerous porphyry and epigenetic deposits. Within the Big Bulk porphyry system, higher grade mineralization occurs in a discreet mineralized phases that had not been targeted by previous operators.
Libero’s 2021 drill program at Big Bulk tested the new geological model focusing on a quartz-chalcopyrite veined hornblende diorite intrusive phase of the Texas Creek plutonic Suite that was intersected in multiple holes.
The Acquisition
The Acquisition is being completed pursuant to the Assignment Agreement. Dolly Varden has agreed to issue the Consideration Shares to Libero at a deemed value of $0.78 per Consideration Share (being the closing price of the Common Shares on the TSX Venture Exchange (the “TSXV”) on December 15, 2023) for an aggregate consideration of $214,500.
Issuance of the Common Shares remains subject to TSXV approval and other customary conditions and is currently expected to occur on or about December 22, 2023. The Company has agreed to use commercially reasonable efforts to promptly make all filings and take all necessary actions required to effect the Acquisition, including the issuances of the Consideration Shares. The Company intends to file a prospectus supplement to its base shelf prospectus dated April 25, 2023 to qualify the distribution of the Consideration Shares to Libero.
The Option Agreement
In connection with the Acquisition, Dolly Varden also entered into an amending agreement with LCT Holdings Inc., the owner of the Big Bulk Property and optionor under the Option Agreement. The amended Option Agreement provides that Dolly Varden may earn-in a 100% undivided interest in the Big Bulk Property by completing the following payments:
a) $50,000 in cash on or before December 31, 2023;
b) $150,000 in cash on or before December 31, 2024;
c) $250,000 in cash or common shares on or before December 31, 2025;
d) $500,000 in cash or common shares on or before December 31, 2026; and
e) $500,000 in cash or common shares on or before December 31, 2027.
Any common shares issued by Dolly Varden under the Option Agreement, as amended, will be issued at a deemed price equal to the ten day volume weighted average price of the Dolly Varden common shares on the TSXV, subject to minimum pricing rules on the TSXV. The Option Agreement gives Dolly Varden the option to accelerate the payments described above.
Figure 1. Dolly Varden Silver’s Consolidated Big Bulk Project Location, Kitsault Valley, Northwest BC
Rob van Egmond, P.Geo., Vice-President Exploration for Dolly Varden Silver, the “Qualified Person” as defined by NI43-101 has reviewed, validated and approved the scientific and technical information contained in this news release and supervises the ongoing exploration program for Dolly Varden on the Kitsault Valley Project and the Big Bulk Project.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This release may contain forward-looking statements or forward-looking information under applicable Canadian securities legislation that may not be based on historical fact, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential”, and similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Dolly Varden to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward-looking statements or information in this release relates to, among other things, the anticipate closing of the Acquisition, the planned filing of a prospectus supplement, the potential benefits of the Acquisition and other statements that are not historical facts.
These forward-looking statements are based on management’s current expectations and beliefs and assume, among other things, the ability of the Company to successfully pursue its current development plans, that future sources of funding will be available to the company, that relevant commodity prices will remain at levels that are economically viable for the Company and that the Company will receive relevant permits in a timely manner in order to enable its operations, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.
For additional information on risks and uncertainties, see the Company’s annual information form dated April 11, 2023 for the year ended December 31, 2022 and the Company’s base-shelf prospectus dated April 25, 2023, both available on SEDAR+ at www.sedarplus.ca.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this news release.
On November 6, 2023 Dolly Varden Silver (TSXV:DV) (OTC:DOLLF) released drill results from the Wolf Vein and – 1.5 kilometers to the north – the Moose Vein.
DV Silver is developing its 100% held Kitsault Valley Project located in The Golden Triangle of British Columbia, Canada, 25kms by road to tide water.
“The Golden Triangle is so named because it hosts some of the richest gold ore bodies in the world, as well as abundant silver, nickel and copper deposits,” confirms BC Business. It has 1.2 billion ounces silver estimated reserves, with 214 million proven and probable.
Three Take-aways from the November 6, 2023 drill results:
1. High grade silver continues at depth 2. Discovery of significant quantities of base metals 3. Moose Vein demonstrating similar metallic profile to Wolf Vein
Wolf Vein Highlights:
DV23-375, Southwest Extension step-out: 461g/t AgEq* (296g/t Ag, 1.68% Pb, 3.01% Zn) over 26.99 meters, including 2,260g/t AgEq* (1,475g/t Ag, 10.65% Pb, 12.00% Zn) over 0.50 meter from an 81-meter step-out.
DV23-379, Southwest Extension infill: 287g/t AgEq* (247g/t Ag, 0.40% Pb, 0.73% Zn) over 18.21 meters, including 1,170g/t AgEq (1,125g/t Ag, 0.14% Pb, 1.09% Zn) over 0.50 meters.
Moose Vein highlights:
DV23-371: 712 g/t Ag over 1.00 meter within a 7.55 meters length interval averaging 269 g/t Ag
1AgEq is calculated using $US1650/oz Au, $US20/oz Ag, $US0.90/lb Pb and $US1.10/lb Zn, assays are uncut
“The results we are seeing from the Wolf Vein continue to demonstrate depth continuity of the high-grade silver mineralization as well as an increase in base metal content,” stated Shawn Khunkhun, President and CEO of Dolly Varden Silver. “Drill hole DV23-375 has extended the plunge length to over 950 meters with increased thickness of the potentially underground bulk-mineable mineralization and it remains wide open for expansion. With over 70 drill holes remaining to be assayed and announced we eagerly await their results.”
When Dolly Varden purchased the Homestake Ridge Property from Fury, the primary objective was to consolidate assets, add size and scale. But Khunkhun and the DV Silver geological team are also exploring a hunch that two metallic zones are connected. DV needed to control both assets to meaningfully explore the hunch.
“What is special about the November 6, 2023 drill results is that these are big intercepts,” Khunkhun told Guy Bennett, the CEO of Global Stocks News (GSN). “We’re talking about an almost 27-meter intercept, grading at 461g/t of silver equivalent.”
This is the first time during Khunkhun’s tenor as CEO, that DV has reported silver equivalencies.
“Along with 296 grams of silver, we have a significant lead and zinc kicker,” confirmed Khunkhun. “As we go deeper, this base metal zone may continue to add value to the deposit. We believe the Wolf Vein is potentially amenable to underground bulk mining.”
Bulk mining generally has lower mining costs associated with it, allowing for a lower cut off grade bringing in more material, increasing the tonnage per day and number of ounces mined.
“Some of these old, narrow vein deposits don’t work in the modern era,” Khunkhun told GSN. “You don’t want to be chasing narrow veins, hand sorting material. Our goal is that Dolly Varden Silver will be an efficient, highly mechanized mine with a low All-In-Sustaining-Cost (AISC).”
“We’ve already have a kilometer of plunge length at Wolf,” Khunkhun continued. “When we step out, we get solid hits like this. Why did Hecla put in $10 million last week? I suspect they are seeing the same potential we see at Wolf. Hecla’s goal is to increase silver production in Canada.”
About 47% of DV Silver is owned by institutional investors (Fury – 22%; Hecla 15%; Eric Sprott – 9%).
“I audition the institutional shareholders,” KhunKhun explained to GSN. “We have various entities throwing money at us at higher prices. It’s tempting to take the money. But I don’t want some hedge fund spontaneously deciding to rotate out of silver into uranium. It’s valuable to have stakeholders who share our long-term vision – like Hecla, Fury and Sprott.”
On November 6, 2023, Maurice Jackson, Founder and CEO of Proven & Probable conducted an interview with Mr. Khunkhun. Proven & Probable specialises in simplifying geological data. DV Silver sponsors the website, and Mr. Jackson is a long-term shareholder in DV Silver.
“We are very happy to welcome Hecla’s increased ownership stake,” Khunkhun told Mr. Jackson, “Hecla has demonstrated it is a sticky shareholder. They’re looking for the end product. The $10 million strategic investment raised their stake from 10% to about 15%. We’re happy to leverage their financial and technical contributions.”
A total of 51,454 meters was completed during 2023 in 115 drill holes at the Dolly Varden and Homestake Ridge areas with 23,923 of those from the Dolly Varden Project area.
The Contractor’s drills have been demobilized and the exploration camp has been winterized. The November 6, 2023 release includes eight holes from Wolf and four holes from Moose. A total of 31 holes for 15,860 meters were drilled at Wolf in 2023.
In this conversation we sit down Shawn Khunkhun the CEO of Dolly Varden Silver which has just announced another impressive discovery, this time on a step-out drill on the high-grade Wolf Vein Deposit, which is one of seven high-grade deposits on the Kitsault Valley Project, located in the prolific ‘Golden Triangle’ in British Columbia. Equally important, viewers will note that Hecla Mining has just increased their strategic position in Dolly Varden Silver with a $10,000,000 investment, which was consummated last week. Find out the details right here!
Vancouver, British Columbia–(Newsfile Corp. – November 6, 2023) – Vancouver, BC: Dolly Varden Silver Corporation (TSXV: DV) (OTCQX: DOLLF) (the “Company” or “Dolly Varden“) is pleased to announce drill results from the Wolf Vein. Drill hole DV23-375, an 81 meter step-out from mineralization encountered in 2022 and 50 meters below DV23-268 (Sept. 11, 2023 news release) that intersected a wide breccia vein zone. In addition, initial drilling at the Moose Vein, 1.5 kilometers North of Wolf, intersected silver mineralized veining similar to the system at Wolf.
Highlights from the Wolf Vein drilling include:
DV23-375, Southwest Extension step-out:461 g/t AgEq* (296g/t Ag, 1.68% Pb, 3.01% Zn) over 26.99 meters, including 2,260 g/t AgEq* (1,475g/t Ag, 10.65% Pb, 12.00% Zn) over 0.50 meter from an 81 meter step-out
DV23-379, Southwest Extension infill:287 g/t AgEq* (247g/t Ag, 0.40% Pb, 0.73% Zn) over 18.21 meters, including 1,170g/t AgEq (1,125g/t Ag, 0.14% Pb, 1.09% Zn) over 0.50 meters
Highlights from initial drilling at the Moose Vein, located 1.5 kilometers from Wolf Vein within the 5.4 kilometer long belt of silver mineralization **:
DV23-371: 712 g/t Ag over 1.00 meter within a 7.55 meters length interval averaging 269 g/t Ag
1AgEq is calculated using $US1650/oz Au, $US20/oz Ag, $US0.90/lb Pb and $US1.10/lb Zn, assays are uncut
Reported intervals are drill core length; true widths vary from 50 to 85% of core length interval. The dip of the Wolf Vein at depth, and the Moose Vein have insufficient data to define accurate dip (tables 1 and 2).
“The results we are seeing from the Wolf Vein continue to demonstrate depth continuity of the high-grade silver mineralization as well as an increase in base metal content,” said Shawn Khunkhun, President and CEO of Dolly Varden Silver. “Drill hole DV23-375 has extended the plunge length to over 950 meters with increased thickness of the potentially underground bulk-mineable mineralization and it remains wide open for expansion. With over 70 drill holes remaining to be assayed and announced we eagerly await their results.”
A total of 51,454 meters was completed during 2023 in 115 drill holes at the Dolly Varden and Homestake Ridge areas with 23,923 of those from the Dolly Varden Project area. The Contractor’s drills have been demobilized and the exploration camp has been winterized. This release includes eight holes from Wolf and four holes from Moose. A total of 31 holes for 15,860 meters were drilled at Wolf in 2023.
Figure 1. Location of Wolf and Moose Veins as well as significant Silver and Gold Deposits of Dolly Varden’s Kitsault Valley Trend. Suggested 1.5km periodicity of cross-valley silver bearing veins
Holes DV23-375 is an 81m step-out down plunge from drill hole DV22-320, that intersected 321g/t Ag over 12.85 meters (see Feb. 6, 2023 news release) and 50 meters below DV23-268 that intersected 381 g/t Ag over 29.34 meters (see Sept. 11, 2023 news release). Wolf Vein mineralization has consistent, high-grade silver mineralization within a wide multi phase vein breccia within a northeast-southwest oriented epithermal vein system. The mineralization and alteration encountered at the Wolf Vein system is becoming wider in the southwest step-outs and the dip of the system is steepening at depth.
Drill hole DV23-379 intersected silver mineralization 25 meters above DV22-320 and was planned infill between DV22-320 and DV23-368; this hole did not deviate as much as other holes typically do and thus intersected the Wolf Vein closer to DV23-320 than planned.
Initial holes at Wolf during the 2023 drill program tested between the widely spaced holes completed the previous season and successfully intersected the vein structure both within and peripheral to the southwest plunge of the high-grade silver mineralization. Drilling at Wolf during the 2023 program consisted of infill and testing for extensions to the high-grade silver mineralization.
Drill holes DV23-366, 367 and 370 are located on the northeast extension of the Wolf structure and encountered strong potassic alteration and narrow vein stockwork with anomalous lead and zinc associated with the extension of the Wolf structure.
Drill holes DV23-364 and 366 tested the limits outside of the wider and higher-grade silver shoot and encountered the Wolf structure with minor veining and strong alteration.
Figure 2. Wolf Vein Longitudinal section with plunge of high-grade silver mineralization and DV23-375 step-out, assays received in this release shown in bold white
Figure 3. Drill hole DV23-375 (743.00m to 768.25m) from the Wolf Vein hanging wall side; wide, multi-phase breccia vein style mineralization with argentiferous galena, argentite and native silver
Table 1. Complete Drill Hole Assays from Wolf Vein
Hole ID
From
To
Length* (m)
Ag (g/t)
Pb (%)
Zn (%)
Au (ppm)
AgEq** (g/t)
DV23-379
719.89
738.10
18.21
247
0.40
0.73
287
Hanging Wall
719.89
728.67
8.78
430
0.39
0.46
459
including
724.30
724.80
0.5
1125
0.14
1.09
1170
Foot wall
729.17
738.10
8.93
78
0.44
1.03
131
DV23-376
784.50
857.85
73.35
10
0.50
0.52
45
stkwrk
784.50
845.12
60.62
5
0.28
0.57
35
including
825.73
826.75
1.02
72
7.13
1.36
344
Hanging Wall
845.12
852.60
7.48
34
2.47
1.02
149
Foot Wall
852.60
857.85
5.25
31
0.20
0.35
50
DV23-375
747.16
774.15
26.99
296
1.68
3.01
461
Hanging Wall
747.16
757.90
10.74
371
2.82
4.99
647
including
751.80
752.30
0.5
1475
10.65
12.00
2260
Foot Wall
765.75
774.15
8.4
328
1.38
1.96
445
DV23-370
52.67
53.17
0.5
102
0.41
0.06
117
and
168.21
168.71
0.5
48
0.48
1.20
108
DV23-369
478.80
480.00
1.2
9
1.31
1.10
91
and
512.63
513.13
0.5
21
0.14
4.85
209
DV23-367
68.75
69.30
0.55
119
0.12
0.08
126
and
132.15
132.75
0.6
2
0.06
0.08
1.83
158
DV23-366
107.85
108.35
0.5
67
1.30
0.05
110
and
140.00
140.77
0.77
281
0.48
0.08
299
and
207.75
208.55
0.8
32
1.67
0.40
99
DV23-364
263.61
289.33
25.72
7
0.37
0.22
27
including
268.30
268.81
0.51
33
1.93
0.82
123
including
269.70
270.56
0.86
21
3.46
0.87
161
Table 2. Complete Drill Hole Assays from Moose Vein
Hole ID
From
To
Length* (m)
Ag (g/t)
Pb (%)
Zn (%)
Au (ppm)
AgEq** (g/t)
DV23-371
140.15
147.70
7.55
269
0.38
0.13
285
including
144.00
145.00
1
712
0.29
0.19
728
and
168.30
171.50
3.2
42
1.86
0.72
127
DV23-372
132.63
137.25
4.62
14
0.57
0.28
42
including
133.30
134.50
1.2
24
1.76
0.94
114
DV23-373
73.90
74.66
0.76
27
1.64
1.10
120
90.00
94.08
4.08
19
0.56
0.41
52
DV23-374
30.60
32.35
1.75
39
0.93
1.17
112
* Intervals given are drill core length, true widths vary from 50 to 85% of core length interval. Assays reported are uncut. **AgEq is calculated using $US1650/oz Au, $US20/oz Ag, $US0.90/lb Pb and $US1.10/lb Zn
Table 3. Drill Hole Collars for 2023 Dolly Varden Wolf and Moose Area Drilling (this release)
Hole ID
Easting
Northing
Elev.
Azimuth
Dip
Length
UTM83 (m)
UTM83 (m)
(m)
(m)
DV23-364
467227
6173773
385
140
-60
474
DV23-366
467283
6173984
517
115
-45
225
DV23-367
467351
6173891
496
120
-45
250
DV23-369
467013
6173643
383
130
-61
675
DV23-370
467278
6173906
448
120
-45
213
DV23-371
467141
6174889
750
170
-55
181
DV23-372
467141
6174889
750
198
-60
240
DV23-373
467283
6174746
726
320
-45
151
DV23-374
467283
6174746
726
30
-45
133
DV23-375
466780
6173610
481
130
-56
846
DV23-376
466780
6173610
481
128
-60
888
DV23-379
466815
6173693
446
136
-56
849
Quality Assurance and Quality Control
The Company adheres to CIM Best Practices Guidelines for exploration related activities conducted on its property. Quality Assurance and Quality Control (QA/QC) procedures are overseen by the Qualified Person.
Dolly Varden QA/QC protocols are maintained through the insertion of certified reference material (standards), blanks and field duplicates within the sample stream. Drill core is cut in-half with a diamond saw, with one-half placed in sealed bags and shipped to the laboratory and the other half retained on site. Third party laboratory checks on 5% of the samples are carried out as well. Chain of custody is maintained from the drill to the submittal into the laboratory preparation facility.
Analytical testing was performed by ALS Canada Ltd. in North Vancouver, British Columbia. The entire sample is crushed to 70% minus 2mm (10 mesh), of which a 500 gram split is pulverized to minus 200 mesh. Multi-element analyses were determined by Inductively Coupled Plasma Mass Spectrometry (ICP-MS) for 48 elements following a 4-acid digestion process. High grade silver testing was determined by Fire Assay with either an atomic absorption, or a gravimetric finish, depending on grade range. Au is determined by Fire Assay on a 30g split.
Qualified Person
Rob van Egmond, P.Geo., Vice-President Exploration for Dolly Varden Silver, the “Qualified Person” as defined by NI43-101 has reviewed, validated and approved the scientific and technical information contained in this news release and supervises the ongoing exploration program for Dolly Varden on the Kitsault Valley Project.
About Dolly Varden Silver Corporation
Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100% held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).
Forward-Looking Statements
This release may contain forward-looking statements or forward-looking information under applicable Canadian securities legislation that may not be based on historical fact, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential”, and similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Dolly Varden to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward-looking statements or information in this release relates to, among other things, the 2022 drill program at the Kitsault Valley Project, the results of previous field work and programs and the continued operations of the current exploration program, interpretation of the nature of the mineralization at the project and that that the mineralization on the project is similar to Eskay and Brucejack, results of the mineral resource estimate on the project, the potential to grow the project, the potential to expand the mineralization and our beliefs about the unexplored portion of the property.
These forward-looking statements are based on management’s current expectations and beliefs and assume, among other things, the ability of the Company to successfully pursue its current development plans, that future sources of funding will be available to the Company, that relevant commodity prices will remain at levels that are economically viable for the Company and that the Company will receive relevant permits in a timely manner in order to enable its operations, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.
For additional information on risks and uncertainties, see the Company’s most recently filed annual management discussion & analysis (“MD&A“) and management information circular dated January 21, 2022 (the “Circular“), both of which are available on SEDAR at www.sedarplus.ca. The risk factors identified in the MD&A and the Circular are not intended to represent a complete list of factors that could affect the Company.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this news release.