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Junior Mining Labrador Gold Precious Metals

Labrador Gold Announces Doubling of Drill Programs to 100,000 Metres and Increase to 5 Drill Rigs

Targets entire strike length of Appleton Fault Zone

Figure 1.

Gold anomalies, occurrences, and drill targets along the Appleton Fault Zone.
Gold anomalies, occurrences, and drill targets along the Appleton Fault Zone.
Gold anomalies, occurrences, and drill targets along the Appleton Fault Zone.

TORONTO, Jan. 19, 2022 (GLOBE NEWSWIRE) — Labrador Gold Corp. (TSX.V:LAB | OTCQX:NKOSF | FNR: 2N6) (“LabGold” or the “Company”) is pleased to announce a significant increase to its diamond drilling program, at the 100% controlled Kingsway project near Gander, Newfoundland. This increase follows the Company’s success exploring along the Appleton Fault Zone over the past 18 months. The Kingsway project is located in the highly prospective central Newfoundland gold belt.

LabGold plans to double the current drilling program to 100,000 metres which includes the outstanding 23,000 metres remaining in the current 50,000 metre program. Four diamond drill rigs are currently operating at Kingsway and a fifth rig is scheduled to start following receipt of permits. Applications for 111 drill holes were submitted late last year and are expected in early March. The increased program is fully funded by the Company’s cash on hand of approximately $30 million.

Drilling will continue to test Big Vein along strike and down plunge as well as the Pristine target where early drilling is encouraging. Golden Glove, where grab samples from a quartz vein containing visible gold assayed from 2.16 to 338.08 g/t Au (see news release dated October 21, 2021), is a prime target and will be drilled following receipt of soil samples over the area. These are expected in the first quarter. Numerous other targets developing along the Appleton Fault Zone (see Figure 1) will be systematically tested along the entire 12km strike length during the increased program.

“We continue to be excited by the prospectivity of the Appleton Fault Zone at Kingsway and that was a key factor in deciding to increase the size of the drilling program. Not only do we expect to develop the targets we already have to the drilling stage, but we are also confident that we will uncover more as we continue to follow our exploration strategy proven over 18 months of work at Kingsway. With over $30 million in cash and no debt the Company is well capitalized for this planned increase,” said Roger Moss, President and CEO of Labrador Gold. “In addition to the outstanding assays from our drilling, we are still waiting for many soil and rock assays from the regional work carried out along the Appleton fault during 2021. We expect that some of these assays will enhance our current targets and perhaps hint at new ones that we can develop going forward.”

Figure 1. Gold anomalies, occurrences, and drill targets along the Appleton Fault Zone: https://www.globenewswire.com/NewsRoom/AttachmentNg/dd59d76c-2cbf-4559-aaf5-55cf2303215f

QA/QC

Samples are securely stored prior to shipping to Eastern Analytical Laboratory in Springdale, Newfoundland for assay. Eastern Analytical is an ISO/IEC17025 accredited laboratory. Samples are routinely analyzed for gold by standard 30g fire assay with ICP (inductively coupled plasma) finish with samples containing visible gold assayed by metallic screen/fire assay. The company submits blanks and certified reference standards at a rate of approximately 5% of the total samples in each batch.

Qualified Person

Roger Moss, PhD., P.Geo., President and CEO of LabGold, a Qualified Person in accordance with Canadian regulatory requirements as set out in NI 43-101, has read and approved the scientific and technical information that forms the basis for the disclosure contained in this release.

The Company gratefully acknowledges the Newfoundland and Labrador Ministry of Natural Resources’ Junior Exploration Assistance (JEA) Program for its financial support for exploration of the Kingsway property.

About Labrador Gold
Labrador Gold is a Canadian based mineral exploration company focused on the acquisition and exploration of prospective gold projects in Eastern Canada.

In early 2020, Labrador Gold acquired the option to earn a 100% interest in the Kingsway project in the Gander area of Newfoundland. The three licenses comprising the Kingsway project cover approximately 12km of the Appleton Fault Zone which is associated with gold occurrences in the region, including those of New Found Gold immediately to the south of Kingsway. Infrastructure in the area is excellent located just 18km from the town of Gander with road access to the project, nearby electricity and abundant local water. LabGold is drilling a projected 100,000 metres targeting high-grade epizonal gold mineralization along the Appleton Fault Zone following encouraging early results. The Company has approximately $30 million in working capital and is well funded to carry out the planned program.

The Hopedale property covers much of the Florence Lake greenstone belts that stretches over 60 km. The belt is typical of greenstone belts around the world but has been underexplored by comparison. Work to date by Labrador Gold show gold anomalies in rocks, soils and lake sediments over a 3 kilometre section of the northern portion of the Florence Lake greenstone belt in the vicinity of the known Thurber Dog gold showing where grab samples assayed up to 7.8g/t gold. In addition, anomalous gold in soil and lake sediment samples occur over approximately 40 km along the southern section of the greenstone belt (see news release dated January 25th 2018 for more details). Labrador Gold now controls approximately 40km strike length of the Florence Lake Greenstone Belt.

The Company has 153,904,110 common shares issued and outstanding and trades on the TSX Venture Exchange under the symbol LAB.

For more information please contact:

Roger Moss, President and CEO Tel: 416-704-8291

Or visit our website at: www.labradorgold.com

Twitter: @LabGoldCorp

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements: This news release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as actual results of current exploration programs, the general risks associated with the mining industry, the price of gold and other metals, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.

Categories
Junior Mining Precious Metals Silver Hammer

Silver Hammer Mining Provides Corporate Update and 2022 Exploration Outlook

VANCOUVER, British Columbia, Jan. 19, 2022 (GLOBE NEWSWIRE) — Silver Hammer Mining Corp. (CSE: HAMR/OTCQB:HAMRF) (“Silver Hammer” or the “Company”) is pleased to provide a corporate update including corporate and exploration achievements in 2021 and plans for advancing the Company’s portfolio of assets during 2022. The Company completed an IPO in early May 2021 and subsequently established an experienced and talented team, acquired three high-grade past-producing properties in top-tier jurisdictions and fast-tracked permitting and drilling at its flagship Silver Strand Project in Idaho.

Silver Hammer President and CEO, Morgan Lekstrom, stated: “Since the Company’s inception eight months ago, we have delivered on numerous key milestones, delivering a successful proof-of-concept drill campaign at Silver Strand, plus significant sample results across our entire portfolio of US assets. We plan to continue this growth and work trajectory putting Silver Hammer in a strong position to create additional shareholder value in 2022.”

2021 Highlights (May-Dec)*:

  • Acquired the past-producing, high grade, Silver Strand Mine in Idaho
  • Acquired high-grade past producing Eliza Silver and Silverton Mine projects
  • Significant surface results at Silver Strand with up to 255 g/t Ag and 11.79 g/t Au
  • Completed mine rehabilitation work to facilitate cost-effective underground drilling
  • High-grade sampling results at Eliza, including 1540 g/t Ag (3,071 g/t AgEq)
  • Initial sampling at Silverton returned 692 g/t Ag and 6 g/t Au
  • Drill campaign at Silver Strand included 202.76 g/t AgEq over 4.42 m, 209.85 g/t AgEq over 7.93 m (incl 532 g/t AgEq over 0.92 m), and 880 g/t AgEq over 0.92 m
  • Phase I drilling at Silver Strand (first in ~20 years) confirmed presence of Au-Ag mineralization at shallow depths, with deeper drilling planned in 2022
  • Added key personnel, completed name change and uplisted to OTCQB in US

2022 Exploration Plans:

  • Commence deeper, cost-effective underground drill campaign to continue testing Silver Strand Mine system to 200 m depth
  • Commence surface drilling at Silver Strand to test targets identified by sampling and geophysics programs completed in 2021
  • Complete additional mapping and sampling of outcrop at Silver Strand to enhance geological understanding and define more regional targets along 5.5 km trend
  • Conduct geophysics and additional sampling programs at Eliza and Silverton (underway) to define and permit Phase I drill targets at both properties
  • Advance Eliza and Silverton to drill-ready stage by H2/2022 and progress discussions with prospective partners

Lekstrom added: “We believe our 2021 drill program has given us an early indication of the massive potential at Silver Strand and look forward to completing a second phase of drilling from our underground drilling bay and testing surface targets in the near future. Our Nevada projects also offer excellent upside and we’ve been actively sampling out in the field this month at Silverton. Our projects share similar characteristics as past-producers in top-tier jurisdictions with demonstrated high-grades, and we are excited to build on a very successful 2021.”

Qualified Person

Technical aspects of this press release have been reviewed and approved by Philip Mulholland, P.Geo., the designated Qualified Person (QP) under National Instrument 43-101.

About Silver Hammer Mining Corp.

Silver Hammer Mining Corp. is a junior resource company advancing the past-producing Silver Strand Mine in the Coeur d’Alene Mining District in Idaho, USA, both the Eliza Silver Project and the Silverton Silver Mine in one of the world’s most prolific mining jurisdictions in Nevada and the Lacy Gold Project in British Columbia, Canada. The Company has commenced an initial drill program at Silver Strand that will test for silver and gold mineralization immediately below the mine’s lowest level extending only 90 metres below surface. Silver Hammer strives to become a multimine silver producer and will focus near-term exploration and drilling plans at the Company’s Idaho and Nevada silver-gold assets.

(Mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on the Company’s property.)

On Behalf of the Board of Silver Hammer Mining Corp..

Morgan Lekstrom, President and CEO

Corporate Office: 551 Howe Street, Vancouver, British Columbia V6C 2C2, Canada

For investor relations inquiries, contact:
Kristina Pillon, High Tide Consulting Corp.

T: 604.908.1695
E: investors@silverhammermining.com

For media inquiries, contact:
Adam Bello, Primoris Group Inc.
T: 416.489.0092
E: media@primorisgroup.com

*Notes: See news releases dated November 29, 2021, December 6, 2021December 14, 2021 for more detailed exploration program data.

The CSE does not accept responsibility for the adequacy or accuracy of this release.

The Canadian Securities Exchange has neither approved nor disapproved the contents of this press release.

Categories
Base Metals Eloro Resources Energy Junior Mining Precious Metals

Eloro Resources Announces the Restart of Diamond Drilling and Provides Update on Iska Iska Silver-Tin Polymetallic Project, Potosi Department. Bolivia

Figure 1

Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.
Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.
Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.

Figure 2

Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.
Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.
Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.

Figure 3

3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area.  The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.
3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area. The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.
3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area. The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.

TORONTO, Jan. 18, 2022 (GLOBE NEWSWIRE) — Eloro Resources Ltd. (TSX-V: ELO; OTCQX: ELRRF; FSE: P2QM) (“Eloro”, or the “Company”) is pleased to provide an update on its Iska Iska silver-tin polymetallic project in the Potosi Department, southern Bolivia. By the end of 2021, the Company completed 40,468 metres (m) in 73 drill holes at Iska Iska, as shown in Figure 1. Table 1 summarizes drill holes with assays pending. Currently there are two surface drill rigs and one underground drill rig on site. Drilling with all rigs recommenced on January 17, 2022. Highlights of work in progress are as follows:

  • Definition drilling has been substantially completed over the Santa Barbara target zone which extends for over a strike length of approximately 1,400m, across a width of 500m and to a depth of 600+m. All drill holes in the Northwest Extension intersected significant mineralization confirming that the Santa Barbara mineralization extends across the full 1,400m long resource definition target zone. The mineralized system remains open along strike to the northwest and southeast as well as to the southwest.
  • More assay results are expected to be released in the next 2-3 weeks, but further delays have been experienced due to the impact of Covid-19 on staffing at the laboratories. All drill core completed prior to shutdown of drilling on December 17, 2021, has been logged, sawn and sampled with samples shipped to the laboratories.
  • The Iska Iska caldera complex, which we now know has both a main caldera and two nested secondary calderas, extends along strike in a northwest-southeast direction for at least 2.5km, a width of at least 2km and likely extends to a depth of more than 1km.
  • Going forward exploration drilling will be focused on testing the major targets in the Porco and Mina 2 areas along with the potential for a tin porphyry at depth. We are working closely with Micon International Limited to facilitate the National Instrument (“NI”) 43-101 mineral resource estimation process which we are now targeting to be completed in Q2 2022.

Tom Larsen, CEO of Eloro commented: “The last two years have proven to be Eloro’s most transformative and exciting to date. Our decision in 2019 to pursue a new mineral resource project, which resulted in the January 2020 signing of the Iska Iska silver-tin polymetallic property option agreement, has proven to be the catalyst for the Company’s upward trajectory and promising future. In just 15 months since the start of diamond drilling, Iska Iska has advanced from a promising grass roots project to being on the verge of outlining a significant NI 43-101 compliant mineral resource. Under the leadership of Dr. Osvaldo Arce, P. Geo., our in-country General Manager, and Dr. Bill Pearson, P, Geo., our Executive Vice President Exploration, we have built a very strong in-country technical team based in Tupiza, Bolivia. This team is supported by several excellent local contractors including Leduc Drilling who have completed more than 40,000 metres of diamond drilling since we started. As outlined in this update, we have a tremendous amount of work in progress, which will lead to the inaugural mineral resource, confirmation of metallurgical recoveries and drill-testing of more major targets in this remarkable mineralized system.”

Dr. Bill Pearson, P.Geo., Eloro’s Executive Vice President Exploration, added: “Work is progressing well on completing an updated geological model for the Santa Barbara Target Zone. The bore hole induced polarization (IP) survey results are being processed and the resulting 3D inverse model should help in determining the internal geometry of the deposit, especially of higher sulphide zones, which generally have the best grades. We are working closely with Micon International Limited to facilitate the mineral resource estimation process which we are now targeting to be completed in Q2 2022. Both the ALS and AHK Laboratories are working to reduce the backlog of samples waiting for analysis, however, the recent surge in Covid has created staffing issues for the laboratories, hence there may be further delays in receiving assay results although it is expected that more results will be available for release in the next 2-3 weeks. Definition drilling on our 1,400m by 500m wide by 600m deep mineral resource definition target zone in Santa Barbara is almost complete with the final two holes to be completed in the next two weeks. All drill core completed prior to shutdown of drilling on December 17, 2021 has been logged, sawn and sampled with samples shipped to the laboratories. Going forward exploration drilling will be focused on testing the major targets in the Porco and Mina 2 areas along with the potential for a tin porphyry at depth.”

Dr. Osvaldo Arce, P.Geo., General Manager of Eloro`s Bolivian subsidiary, Minera Tupiza S.R.L. (“Minera Tupiza”), said: “The Iska Iska silver-tin polymetallic deposit is hosted in Miocene breccia pipes, dacitic domes as well as granodiorite stocks and Ordovician sandstones, but especially in the breccia pipes. These breccia pipes were formed by explosive fluids derived from a large magmatic plumbing system, likely comparable to several major deposits in southern Bolivia. Such as Chorolque, Tasna, Tatasi, Chocaya and Siete Suyos. However, in contrast to these other deposits, the Iska Iska system shows a uniqueness of preservation due to the intense and ubiquitous silicification that affects all rocks but especially those with closer proximity to the vents marked by the breccia pipes. The basement Ordovician quartz sandstones are also very erosionally resistant. The combination of the silicification and erosionally resistant basement has preserved an almost complete volcanic edifice at Iska Iska which extends 1km vertically from the valley floor. We now know that the Iska Iska caldera complex consists of a large main caldera covering an area of approximately 1.6km by 1.8km with two nested secondary calderas approximately 1.2 km by 1.0 km in the northwest and approximately 800m in diameter in the southeast as shown in Figure 1. The Iska Iska caldera complex extends along strike in a northwest-southeast direction for at least 2.5km, a width of at least 2km and likely extends to a depth of more than 1km. Iska Iska was not discovered historically because of extensive leaching of metals at surface forming a very depleted oxide zone barren of metals.”

Definition Drilling Santa Barbara Target Area

Definition drilling in the Santa Barbara Mineral Resource Definition Drilling Target Area, as shown in Figure 1, has been substantially completed except for one section with holes DSB-26 and DSB-27 that will be drilled in the next few weeks. Overall, 25 surface (18,443m) and 19 underground (8,124m) holes totalling 26,567m have been completed to test the Santa Barbara target zone over a strike length of approximately 1,400m, across a width of 500m and to a depth of 600+m, as shown in Figure 1. The drill holes testing the Northwest Extension all intersected significant amounts of mineralization confirming that the Santa Barbara mineralization extends across the full 1,400m long target zone. Fill-in drilling from underground in the Santa Barbara adit also intersected significant mineralization and completed addition drill coverage in the eastern part of the SBBP. Assay results are pending for 22 of these mineral resource definition holes, as listed in Table 1.

An updated geological interpretation is in progress which will be used to refine the current model developed in Leapfrog mining software. The upper boundary of sulphide mineralization marked by the sulphide/oxide interface is well defined by geological logging and the magnetic susceptibility inversion model. The base of the mineralization, which is up to 600m thick, is defined by the lower limit of the high magnetic susceptibility. The northeast limit of the mineralization is defined by geology near the contact of the basement Ordovician quartz sandstones with the dacitic intrusive domes. The mineralized target zone is open along strike both to the northwest and southeast, as well as to the southwest. Data from the borehole IP inverse model is expected to aid in defining the internal geometry of the mineralization. Zones of higher sulphide content which have greater chargeability and much lower resistivity tend to be higher grade. These zones are also more magnetic because of the presence of pyrrhotite.

Exploration Drilling Porco Breccia Pipe, Gap Area and Mina 2 Targets

The focus of drilling in 2022 will shift to drill-testing the Porco Breccia Pipe (“PBP”) and the area between the PBP and Central Breccia Pipe (“CBP”) where there is a major magnetic anomaly (see press release October 21, 2021, and Figures 2 and 3), and testing the potential for a tin porphyry at depth. Figures 1 and 3 show the initial planned drilling. Holes DPC-07 and DPC-08, will initially test the Porco area targets with more follow-up drilling planned. Hole DM2-01, to be collared near the Mina 2 portal, will test for the potential tin porphyry at depth. In addition, an underground drill hole from the drill bay in the Santa Barbara adit, hole DSBU-07, will be drilled to the southwest to test the magnetic anomaly in the northern part of the CBP. Underground geological mapping and channel sampling is also in progress in the Mina 2 workings in the southern part of the property (see Figure 1 for location) with drilling also planned in this area later in the year. This area appears to be associated with a secondary caldera (Figure 1).

Eloro is currently using two laboratories, ALS Global and AHK Laboratories, both of whom have sample preparation facilities in Oruro, Bolivia and laboratories in Lima, Peru. The Company is also planning to use the ALS laboratory facility in Galway, Ireland, to achieve a faster turnaround and to help reduce the large backlog of samples with assays pending. Unfortunately, the recent wave of Covid-19 is impacting staffing at both ALS and AHK laboratories, hence there may be additional delays.

Metallurgical Drill Holes

Two diamond drill holes, METSBUG-01 and METSBUG-02 were drilled to provide larger samples of drill core for metallurgical testing. Hole MESTSBUG-01 was directed to intersect the mineralized breccia of the Santa Barbara Breccia Pipe (“SBBP”) near the centre of discovery hole DHK-15 which intersected 129.6 g Ag eq/t over 257.5m (see press release January 26, 2021). The second metallurgical hole, METSBUG-02, intersected the centre of hole DHK-18 in the mineralized envelope east of the SBBP. Hole DHK-18 returned 129.65 g Ag eq/t over 300.75m (see press release July 28, 2021). These holes have been sawn and one-quarter core sent for analysis with three-quarters core to be used for metallurgical testing.

Metallurgical Testing

A program of preliminary metallurgical testwork has been completed by the Mineral Concentration Laboratory of the National Faculty of Engineering of the Technical University of Oruro (UTO). The testwork used eight (8) composite samples assembled from early-stage resource definition drilling. These samples were selected to represent oxide and sulphide mineralization from the Huayra Kasa Mine (“HKM”) area, the SBBP and the CBP targets. Four of the samples were from HKM, three from SBBP and one from CBP. These early-stage drilling samples from these mineralized areas contained relatively low amounts of tin and therefore the conceptual testwork program was focussed on other valuable components particularly silver, zinc and lead.

The objective of this preliminary metallurgical testwork was to develop an early-stage conceptual understanding of the metallurgy. Although the program included basic mineralogy using X-ray diffraction (XRD) analysis, preliminary gravity and leach tests, and work index determinations, the main focus of the scoping level testwork program was to investigate froth flotation, without regrinding, to recover silver into separate lead and zinc concentrates. Detailed development work still needs to be done to investigate the recovery of tin, gold and other potentially valuable elements, such as indium, cadmium and bismuth.

Several open circuit flotation tests were completed using each composite sample and the results provided useful insight into the metallurgy of the Iska Iska project. The program was successful in providing a potential pathway to the successful recovery of lead, zinc and silver into saleable concentrates and will be used as a starting point for further metallurgical optimization during the next phase of testwork.

Richard Gowan, P.Eng., Principal Metallurgist for Micon International Limited, reviewed the preliminary open circuit flotation test results and considers that lead recovery of around 80% to 85% into a saleable lead concentrate could be expected once the flotation conditions were optimized. The projected zinc recovery to a final saleable zinc concentrate is around 80% to 90%. The lead concentrate would also contain considerable valuable silver and potentially payable amounts of gold, while the zinc concentrate would also contain payable amounts of silver and potentially valuable cadmium and indium. Total silver recoveries into the combined lead and silver rougher concentrates were around 73%, but with optimization Micon believes that the total flotation silver recovery can be increased up to 80%. Note that the projected recoveries based on the preliminary test data require confirmation from additional metallurgical testing hence should not be relied upon.

The next phase of testwork will be undertaken by Blue Coast Research Ltd. (“Blue Coast”) based in Parksville, BC and will optimize the flotation flowsheet to maximize lead, zinc, silver and gold into saleable concentrates and develop an appropriate flow sheet for the recovery of tin. Recovery of other more minor valuable metals including bismuth, indium and cadmium will also be considered. Blue Coast has world-class metallurgical testing, analytical services, flowsheet development, consulting and operational support. Their excellent team has been augmented with the addition of Mr. Mike Hallewell, C.Eng. a senior independent mineral processing consultant based in Cornwall, England, who has extensive specialist knowledge in the recovery of tin at mining operations and exploration projects worldwide.

Eloro, in consultation with Micon International Limited and Blue Coast, has selected four representative metallurgical samples from existing drill core in addition to the two new metallurgical holes: 1) Mineralized breccia in discovery drill hole DHK-15; 2) Mineralized dacitic envelope from hole DHK-15; 3) mineralized dacitic envelope from hole DHK-18 and 4) Sn-rich zone in hole DSB-06. Approximately 60m of core from each drill hole has been quarter cored. These samples, in addition to approximately 60m from the two metallurgical holes noted above (three-quarter core), are in the process of being shipped to Blue Coast with the testing likely to begin in the first part of February.

Bore Hole Induced Polarization Survey

The Bore Hole IP program at Iska Iska, carried out from August 2021 to December 2021, has progressed well with sixty-two (62) separate cross-hole surveys completed using many of the drill holes in the north-northeast part of the property. This program, which is being directed by Eloro’s Chief Geophysicist, Dr. Chris Hale, P.Geo., initially focused on the mineralization of the SBBP. A further nineteen (19) cross-hole surveys have also been completed to outline the PBP mineralization. In addition, forty (40) profiles have been obtained from twenty-one individual SBBP and PBP drill holes.

Two types of surveys have been carried out with two distinct objectives:

1. Pole Dipole surveys are used to profile the resistivity and chargeability of each drill hole, and

2. Cross-Hole surveys to test the continuity of mineralization between the drill holes.

In pole-dipole surveys current is injected into each hole being surveyed; one dipole length deeper than the lowest potential dipole. The current point changes throughout the survey as the entire array is lowered or raised in the drill hole.

For cross-hole surveys, current is injected at fixed points in several other drill holes around each candidate hole so that the sensitivity of the survey can be concentrated in the various volumes enclosed between different pairs of drill holes.

Low resistivity and high chargeability indicate the presence of metallic mineralization, in both survey types. Dipoles of 10, 25 and 50 m lengths were used to profile different cylinder radii around each drill hole and an additional potential was measured from the collar to depth. This provides a maximum off-hole measurement radius up to several hundred meters for the deepest stations. Profile data from the pole-dipole surveys calibrate the IP/Res response against the known mineralization in the drill core. Cross-hole data are used for inverse modelling with the UBC DCIP3D software and for interpretation of the off-hole distribution of mineralization.

The mineralization of the SBBP is being modeled using current injection from Santa Barbara and Huayra Kasa holes. PBP holes will provide a separate model of mineralization for the southern part of the property including the major target zone between the CBP and PBP.

Synchrotron Study

Synchrotron mineral cluster analysis was performed on 84 drill core samples by Dr. Lisa Van Loon of LisaCan Analytical Solutions and Dr. Neil Banerjee, P.Geo. of Western University, Department of Earth Science. These samples were selected to be representative of higher-grade areas of major and important minor metals including Ag, Sn, Zn, Pb, Au, Bi, In, Cu and Cd. This work builds on previous analytical work done on the underground channel samples from the due diligence program at Huayra Kasa (see press release June 25, 2020). The synchrotron is a type of circular particle accelerator that is an extremely powerful source of broad-spectrum electromagnetic radiation (e.g., visible light, infrared, UV, & X-rays), approximately 10 billion times brighter than the sun that provides a rapid, high-resolution analytical technique for mineral exploration.

Four (4) mineralogical domains were identified. These domains all have the same or very similar mineralogy. These mineralogical patterns are the result of the time-integrated effects of geological processes with the domains representing every event that has happened to these rocks since they were originally formed, including mineralization. Domain 2 is the largest and includes 60 samples while Domain 1 includes 17 samples, Domain 3 includes 6 samples, and Domain 4 consists of 1 sample. Within the 4 domains, Au-, Cd-, Cu-, Pb-, Sn, and Zn-dominant sub-domains are identified. The sub-domains are interpreted using the available geochemistry data to determine the predominant elements of interest within each sub-domain. These sub-domains can be used in a predictive way to better understand the spatial distribution of these elements of interest.

Domain 2 contains two Sn-dominant sub-domains. In one sub-domain Sn is associated with high Cu, Ag, Bi, and In. Cassiterite was positively identified as the Sn-bearing mineral. In the other sub-domain, Sn is associated with high Ag, but no Sn-bearing minerals were identified but this may reflect the limited number of samples (2) available in the second subdomain.

The sub-domains are interpreted to be likely related to variations in fluid composition, precipitation mechanism, or host rock interaction. The 3D distribution of the sub-domains will be evaluated in the context of lithological and structural variability within the deposit as they have important implications for geometallurgy and processing. Further work will investigate if these 3D subdomains can be used to identify blocks with different processing requirements. Additional testing is planned to further refine this pattern.

Enersoft Inc. GeologicAI Scanning Unit

Eloro has contracted Enersoft Inc. to provide a GeologicAI Scanning Unit on site in Tupiza to enable systematic scanning of diamond drill core. The GeologicAI unit has multiple scanners including XRF, Spectroscopy, 50xMicroscopic images and Laser Profilometer. The scanner, which is in a compact self-contained trailer, will provide real time processing of diamond drill core on-site. It will allow generation of mineral maps including distribution of sulphides of the polymetallic mineralization. Data from the synchrotron study will be used to help calibrate the AI to maximize its efficiency in generating these mineral maps which will be very helpful in defining metal and mineral zonation. The scanner is currently en route by boat to Bolivia and it is hoped that it will be on-site and fully operational by the end of February.

Environmental Studies

The following studies are being carried out by the environmental staff of Minera Tupiza SRL and environmental consultants at Iska Iska:

  • Collection of existing environmental documentation on the Porvenir concession, where the Iska Iska project is under exploration, including the review of environmental legal documents.
  • Environmental inspection and evaluation of the Porvenir concession.
  • Implementation of warning and information signs.
  • Preparation of detailed environmental studies required by the Bolivian environmental authority.
  • Regular monitoring of soil, noise, air and water in accordance with current environmental regulations, in all the exploration work.
  • Control of solid and liquid waste in exploration work.
  • Construction of sedimentation and infiltration pits for the final disposal of sludge from the cutting of samples.
  • Construction and implementation of sanitation stations.
  • Evaluation of all existing underground workings on the property including Huayra Kasa, Santa Barbara, Porco and Mina 2 area.
  • Preparation of a baseline environmental study for Iska Iska.

Environmental Social Governance (“ESG”) Program

Eloro has a very active program led by ESG Manager Ana Moran, Attorney at Law and Dr. Osvaldo Arce, P.Geo. Major ESG initiatives completed in 2021 include the following:

  • Community support for COVID-19 in Tupiza and surrounding communities.
  • Building of 110 sanitation stations in homes in the communities of Almona and La Torre, the closest communities to the Iska Iska property at 5km east and 5km southeast, respectively.
  • Working with the Women’s Association of Almona and La Torre to support training courses in baking and embroidery as well as other social activities.
  • Support for school programs including providing classroom materials, snacks during breaks and support to teachers.

ESG activities planned for 2022 include:

  • Continued implementation of courses, workshops, classes, materials, and other requirements of social projects focused on women, children, and youth groups in Almona, La Torre and additional surrounding communities.
  • Construction of an additional 134 sanitation stations in the communities of Almona, La Torre and other surrounding communities.
  • Delivery of equipment for community medical centers.
  • Improving educational services of the community schools by delivering computer equipment.
  • Support for local community strengthening and development through specialized services in consultation with the communities.

Table 1: Summary of Diamond Drill Holes Completed with Assays Pending and Drill Holes in Progress at Iska Iska from November 17, 2021 press release.

Hole No.TypeCollar EastingCollar NorthingElevAzimuthAngleHole Length m
Surface Drilling Northwest Extension Santa Barbara
DSB-12S205072.77656867.54165.0225-40806.2
DSB-13S205072.77656867.54165.0225-60696.5
DSB-14S205283.07656587.24175.0225-65968.5
DSB-15S204973.17657053.84165.0225-40731.2
DSB-16S204973.17657053.84165.0225-65862.0
DSB-17S7656765.4205131.34173.0225-40841.0
DSB-18S7656676.3205207.14175.0225-40890.4
DSB-19S7656676.3205207.14175.0225-65803.3
DSB-20S7656765.4205131.34173.0225-65896.5
DSB-21S7657138.0204870.04135.0225-40557.3
DSB-22S7657208.4204799.44145.0225-40258.4
DSB-23S205341.07656535.04177.0225°-40661.3
DSB-24S205341.07656535.04177.0225-65343.4
DSB-25S205283.07656587.24175.0225°-40615.3
Subtotal9,931.3
Underground Drilling Santa Barbara Adit
DSBU-1UG205285.27656074.84165.090-10260.5
DSBU-2UG205285.27656074.84165.0270-20563.6
DSBU-3UG205285.27656074.84165.0270-20443.5
DSBU-4UG205285.27656074.84165.0180-20570.0
DSBU-5UG205285.27656074.84165.00-40491.7
DSBU-6UG205285.27656074.84165.00-65253.5
Subtotal2,582.8
Underground Metallurgical Drill Holes Santa Barbara
METSB-01UG205285.27656074.84165.010-35351.0
METSB-02UG205285.27656074.84165.040-10303.1
Subtotal654.1
Central Breccia Pipe – Surface Radial Drill Program – North Setup
DCN-06S204902.07655860.04420.0180-80626.4
DCN-07S204902.07655860.04420.0270-60680.4
Subtotal1,306.8
Central Breccia Pipe – Surface Radial Drill Program – South Setup
DCS-04S204852.17655612.34429.7180-60644.4
Subtotal644.4
Porco Central – Surface Radial Drill Program
DPC-02S205457.27655110.94175.0225-60908.2
DPC-03S205457.27655110.94175.0135-60524.5
DPC-04S205457.27655110.94175.00-60371.4
DPC-05S205457.27655110.94175.090-60407.5
DPC-06S205457.27655110.94175.0243-60716.4
Subtotal2,928.0
TOTAL18,047.4

S = Surface UG=Underground; collar coordinates in metres; azimuth and dip in degrees. Total drilling completed since the start of the program on September 13, 2020 to December 17, 2021 is 40,468 m in 73 holes. (26 underground holes and 47 surface holes).

Figure 1: Geology of the Iska Iska Caldera Complex showing locations of Major Breccia Pipe targets, the Santa Barbara Resource Definition Target Zone and diamond drill holes completed and planned.
https://www.globenewswire.com/NewsRoom/AttachmentNg/ae9f47fe-ad5c-4ede-a35b-54c9b30806f0

Figure 2. Longitudinal Section Showing the Inverse Model of Magnetic Susceptibility. Susceptibility Highlights Major Targets and Geological Features. The location of this Section A-A’ is shown in Figure 1.
https://www.globenewswire.com/NewsRoom/AttachmentNg/8e5e7e61-1572-41d9-95cc-44f517e9897c

Figure 3: 3D Magnetic Inverse Model Showing Locations of initial planned exploration drill holes in the Porco and Mina 2 area. The previous drilling shown is from the Porco radial drill platform as reported in the press release of November 17, 2021.
https://www.globenewswire.com/NewsRoom/AttachmentNg/0221d613-4c98-46a4-b0c2-d76b5c38fb92

Qualified Person

Dr. Osvaldo Arce, P. Geo., General Manager of Minera Tupiza, and a Qualified Person in the context of NI 43-101, has reviewed and approved the technical content of this news release. Dr. Bill Pearson, P.Geo., Executive Vice President Exploration Eloro, and who has more than 45 years of worldwide mining exploration experience including extensive work in South America, manages the overall technical program working closely with Dr. Arce. Dr. Quinton Hennigh, P.Geo., Senior Technical Advisor to Eloro and Independent Technical Advisor, Mr. Charley Murahwi P. Geo., FAusIMM of Micon International Limited are regularly consulted on technical aspects of the project.

Eloro is utilizing both ALS and AHK for drill core analysis, both of whom are major international accredited laboratories. Drill samples sent to ALS are prepared in ALS Bolivia Ltda’s preparation facility in Oruro, Bolivia with pulps sent to the main ALS Global laboratory in Lima for analysis. More recently Eloro has had ALS send pulps to their laboratory at Galway in Ireland. Eloro employs an industry standard QA/QC program with standards, blanks and duplicates inserted into each batch of samples analyzed with selected check samples sent to a separate accredited laboratory.

Drill core samples sent to AHK Laboratories are sent to their preparation laboratory in Oruro. With pulps sent to AHK laboratory in Lima, Peru. Check samples between ALS and AHK are regularly cone as a QA/QC check. AHK is following the same analytical protocols used as with ALS and with the same QA/QC protocols. Turnaround time is being impacted by the recent surge in Covid-19 cases which has caused disruptions in staffing.

The magnetic survey was carried out by MES Geophysics using a GEM Systems GSM-19W Overhauser magnetometer. Dr. Chris Hale, P.Geo. and Mr. John Gilliatt, P.Geo. of Intelligent Exploration provided the survey design, preparation of the maps and interpretation from data processed and quality reviewed by Rob McKeown, P. Geo. of MES Geophysics. Messrs. Hale, Gilliatt and McKeown are Qualified Persons as defined under NI 43-101. The 3D magnetic inversion model was prepared by Mr. Joe Mihelcic, P.Eng., P.Geo. of Clearview Geophysics in consultation with Messrs. Hale and Gilliatt. Mr. Mihelcic is a QP under NI 43-101.

Borehole IP surveys were carried out by MES Geophysics with data processing, modeling and interpretation by Dr. Chris Hale, P.Geo. and Mr. John Gilliatt, P.Geo. of Intelligent Exploration.

About Iska Iska

Iska Iska silver-tin polymetallic project is a road accessible, royalty-free property, wholly controlled by the Title Holder, Empresa Minera Villegas S.R.L. and is located 48 km north of Tupiza city, in the Sud Chichas Province of the Department of Potosi in southern Bolivia. Eloro has an option to earn a 99% interest in Iska Iska.

Iska Iska is a major silver-tin polymetallic porphyry-epithermal complex associated with a Miocene possibly collapsed/resurgent caldera, emplaced on Ordovician age rocks with major breccia pipes, dacitic domes and hydrothermal breccias. The caldera is 1.6km by 1.8km in dimension with a vertical extent of at least 1km. Mineralization age is similar to Cerro Rico de Potosí and other major deposits such as San Vicente, Chorolque, Tasna and Tatasi located in the same geological trend.

Eloro began underground diamond drilling from the Huayra Kasa underground workings at Iska Iska on September 13, 2020. On November 18, 2020, Eloro announced the discovery of a significant breccia pipe with extensive silver polymetallic mineralization just east of the Huayra Kasa underground workings and a high-grade gold-bismuth zone in the underground workings. On November 24, 2020, Eloro announced the discovery of the SBBP approximately 150m southwest of the Huayra Kasa underground workings.

Subsequently, on January 26, 2021, Eloro announced significant results from the first drilling at the SBBP including the discovery hole DHK-15 which returned 129.60 g Ag eq/t over 257.5m (29.53g Ag/t, 0.078g Au/t, 1.45%Zn, 0.59%Pb, 0.080%Cu, 0.056%Sn, 0.0022%In and 0.0064% Bi from 0.0m to 257.5m. Subsequent drilling has confirmed significant values of Ag-Sn polymetallic mineralization in the SBBP and the adjacent CBP. A substantive mineralized envelope which is open along strike and down-dip extends around both major breccia pipes. Continuous channel sampling of the Santa Barbara Adit located to the east of SBBP returned 442 g Ag eq/t (164.96 g Ag/t, 0.46%Sn, 3.46% Pb and 0.14% Cu) over 166m including 1,092 g Ag eq/t (446 g Ag/t, 9.03% Pb and 1.16% Sn) over 56.19m. The west end of the adit intersects the end of the SBBP.

Since the discovery hole on the SBBP, Eloro has released a number of significant drill results on this target, including:

  • 122.66 grams g Ag eq/t (35.05 g Ag/t, 0.72% Zn, 0.61% Pb, 0.11% Sn and 0.06 g Au/t) over 123.61m including 205.74 g Ag eq/t (92.30 g Ag/t, 0.57% Zn, 0.85% Pb, 0.18% Sn and 0.07 g Au/t) over 32.32m (DSB-07).
  • 105.41 g Ag eq/t (8.55 g Ag/t, 1.01% Zn, 0.48% Pb, 0.06% Sn and 0.38 g Au/t) over 173.58m including 199.77 g Ag eq/t (21.90 g Ag/t, 1.18% Zn, 0.93% Pb 0.12% Sn and 0.94 g Au/t) over 39.08m (DSB-07).
  • 69.89 g Ag eq/t over 252.89m from 355.12 to 608.02m including several higher-grade sections of 196.60 g Ag eq/t including 131.13 g Ag/t over 14.52m, 134.62 g Ag eq/t including 93.25 g Ag/t over 21.08m and 145.35 g Ag eq/t including 2.38% Zn over 10.11m (DSB-08).
  • 114.96 Ag eq/t including 0.325% Sn over 56.2m including a higher-grade section of 187.98 g Ag eq/t including 0.535% Sn over 28.86m; 80.71 g Ag eq/t including 0.213% Sn over 74.39m and 118.69 g Ag eq/t over 10.77m (DSB-10).
  • 129.65 g Ag eq/t (18.38 g Ag/t, 2.14% Zn, 0.67%Pb, and 0.047% Sn) over 300.75m from 65.14m to 365.91m, including higher grade intervals of 215.54 g Ag eq/t over 72.76m, 163.35 g Ag eq/t over 31.83m and 224.48 g Ag eq/t over 19.39m. 82% of this 446.5m long hole contained reportable intervals (DHK-18).
  • 234.19 g Ag eq/t (70.58 g Ag/t, 2.31% Zn, 2.74% Pb and 0.042% Sn) over 53.2m including a higher-grade portion of 931.73 g Ag eq/t (367.29 g Ag/t, 5.64% Zn, 13.67% Pb and 0.10% Sn) over 9.26m (DHK-20).
  • 108.24 g Ag eq/t (3.14g Ag/t, 0.24 g Au/t, 2.03% Zn and 0.58% Pb) over 48.2m including a higher-grade interval grading 180.76 g Ag eq/t (4.46 g Ag/t, 0.35 g Au/t, 3.57% Zn and 1.05% Pb) over 15.02m (DHK-19). 160.22 g Ag eq/t (36.53 g Ag/t, 1.63% Zn, 1.20% Pb and 0.10% Sn) over 194.14m (DHK-21) including higher grade portions of:
    • 250.50 g Ag eq/t (51.31 g Ag/t, 3.35% Zn, 1.78% Pb and 0.10% Sn) over 18.24m.
    • 257.40 g Ag eq/t (75.83 g Ag/t, 2.29% Zn, 2.40% Pb and 0.12% Sn) over 16.33m.
    • 350.91 g Ag eq/t (112.57 g Ag/t, 1.41% Zn, 3.08% Pb and 0.33% Sn) over 30.06m.
    • 64% of this 512.9m long hole contains reportable intersections.
  • 94.68 g Ag eq/t (3.87 g Ag/t, 0.067 g Au/t, 1.63% Zn, 0.43% Pb and 0.05% Sn) over 169.93m including a higher-grade zone that graded 158.64 g Ag eq/t (9.35g Ag/t, 0.016 g Au/t, 3.43% Zn, 0.71% Pb and 0.03%Sn) over 29.84m (DHK-22).
  • 100g Ag eq/t (including 38.71 g Ag/t, 0.88%Zn and 0.51%Pb) over 188.5 m from 58.67m to 247.13m including a higher-grade portion of 154 g Ag eq/t (including 75.51 g Ag/t, 0.96% Zn, 0.65% Pb and 0.16%Cu) over 65.8m (DHK-23).

On May 4, 2021, Eloro released results from the first drill hole on the CBP. Hole DCN-01 intersected multiple mineralized intercepts including 196.09 g Ag eq/t (150.25 g Ag/t, 0.10% Sn and 0.05 g Au/t) over 56.2m and containing 342.98 g Ag eq/t (274.0 g Ag/t, 0.16% Sn and 0.16 g Au/t) over 27.53m.

Hole DCN-04 drilled at -80 degrees to the north from the northern radial platform of the CBP, intersected seventeen (17) mineralized intersections, principally Sn-Ag-bearing, over its 851.4m length. Best results include: 71.54 g Ag eq/t (32.58 g Ag/t and 0.10% Sn) over 97.10m from 134.40 to 231.5m; 101.52 g Ag eq/t (28.74 g Ag/t and 0.19% Sn) over 62.01m; 70.42 g Ag eq/t (28.74 g Ag/t and 0.16% Sn) over 22.59m; and 236.96 g Ag eq/t (92.21 g Ag/t and 0.25% Sn) over 17.45m. Hole DCS-02 was drilled southeast at -60 degrees from the south radial platform of the CBP. This hole, which was drilled to 800.5m, intersected nine (9) reportable Ag-Zn-Pb-Sn mineralized intervals. Best results include 79.53 g Ag eq/t (including 0.21% Sn) over 19.42m, 101.01 g Ag eq/t (32.76 g Ag/t, 0.76% Zn, 0.75% Pb) over 10.47 and 130.95g Ag eq/t (34.14 g Ag/t, 0.10 g Au/t, 1.35% Zn and 0.56 % Pb over 7.40m.

A detailed ground magnetic survey of the Iska Iska property, reported on June 6, 2021, confirmed the extent of the Iska Iska Caldera as determined from geological mapping and satellite interpretation, including Aster data. The SBBP and CBP, both of which have been confirmed by drill-testing, are marked by prominent low anomalies reflecting strong alteration. The magnetic data suggests that the Central and Porco Breccia Pipes likely merge at depth. In addition, there is a prominent area of low intensity magnetics northwest of the SBBP which was reported on in this press release.

Geological mapping and satellite interpretation identified a third major breccia pipe target, Porco (South), that is approximately 600m in diameter (South) located southeast of the CBP in the southern part of the Iska Iska caldera complex. The Porco (South) Breccia Pipe target has a similar magnetic signature to the Santa Barbara and Central Breccia Pipes, further confirming the likelihood of it being a major breccia pipe. Six (6) drill holes have been completed on Porco; assay results are pending. Previous channel sampling in the Porco adit located adjacent the target area 200m to the southeast returned 50m grading 519.35 g Ag eq/t including 236.13 g Ag/t, 1.89 g Au/t, 0.87% Cu, 0.22% Bi and >0.05% Sn over an average sample width of 2.49m.

Currently three diamond drill rigs are active at Iska Iska, two surface rigs and one underground drill. Planned drilling in the current program for Iska Iska is 51,000m of which 40,000m has been completed with the aim of outlining an initial inferred NI 43-101 compliant mineral resource by Q2 2022. The target zone at the SBBP and the surrounding mineralized envelope is 1400m along strike, 500m wide and extends to a depth of 600m. This zone is open along strike to the northwest and southeast as well as to the southwest. A borehole induced polarization/resistivity (IP/Res) survey is in progress to further define drill targets and aid resource definition drilling. Preliminary metallurgical tests are also in progress. An updated NI 43-101 Technical Report is being prepared by independent consultant Micon International Ltd.

About Eloro Resources Ltd.

Eloro is an exploration and mine development company with a portfolio of gold and base-metal properties in Bolivia, Peru and Quebec. Eloro has an option to acquire a 99% interest in the highly prospective Iska Iska Property, which can be classified as a polymetallic epithermal-porphyry complex, a significant mineral deposit type in the Potosi Department, in southern Bolivia. Eloro commissioned a NI 43-101 Technical Report on Iska Iska, which was completed by Micon International Limited and is available on Eloro’s website and under its filings on SEDAR. Iska Iska is a road-accessible, royalty-free property. Eloro also owns an 82% interest in the La Victoria Gold/Silver Project, located in the North-Central Mineral Belt of Peru some 50 km south of Barrick’s Lagunas Norte Gold Mine and Pan American Silver’s La Arena Gold Mine. La Victoria consists of eight mining concessions and eight mining claims encompassing approximately 89 square kilometres. La Victoria has good infrastructure with access to road, water and electricity and is located at an altitude that ranges from 3,150 m to 4,400 m above sea level.

For further information please contact either Thomas G. Larsen, Chairman and CEO or Jorge Estepa, Vice-President at (416) 868-9168.

Information in this news release may contain forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company’s plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company. There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Categories
Junior Mining Precious Metals Rover Metals

Rover Metals Announces Infill And Delineation of the New Andrew Zone at Cabin Gold, NT, Canada

Andrew South – Drill Plan View

Andrew South - Drill Plan View
Andrew South – Drill Plan View
Andrew South – Drill Plan View

Andrew North – Drill Plan View

Andrew North - Drill Plan View
Andrew North – Drill Plan View
Andrew North – Drill Plan View

VANCOUVER, British Columbia, Jan. 13, 2022 (GLOBE NEWSWIRE) — Rover Metals Corp. (TSXV: ROVR) (OTCQB: ROVMF) (FRA:4XO) (“Rover” or the “Company”) is pleased to report on the Phase 2 Exploration Program at its 100% owned Cabin Gold Project, NT, Canada. The focus of the Phase 2 Exploration Program was to discover and delineate new gold mineralized zones along the Bugow Iron Formation, the controlling structure for gold at the Cabin Gold Project. The Company is pleased to announce that its exploration program has been able to confirm and expand the historic gold grades at the Andrew South, Andrew Middle, and Andrew North Targets. The expansion includes an increase to the historical average gold grades reported across all of these historic targets. Rover has grouped the north, middle and south bounds of Andrew into a new single Andrew Zone, which extends 800 meters from south to north at surface. The map of the Bugow Iron Formation on the Company’s website has been updated to show the location of the new Andrew Zone. The south end of the Andrew Zone is situated roughly 500 meters northeast of the Beaver Zone. The Beaver Zone was featured in the Company’s December 7, 2021, release. The Company has now reported on the discovery of three medium-to-high grade mineralized gold zones at Cabin: the Arrow, Beaver, and Andrew Zones, all open at depth, and along strike.

Andrew Zone Expansion

Andrew South

The Company is reporting multiple near-surface medium-to-high grade gold at the newly defined Andrew Zone which extends 800 meters from south to north along the Bugow Iron Formation. Highlights of Phase 2 drilling at Andrew South include: new drill hole CL-21-21 which reported 2.9m of 5.09 g/t Au (from 70.65m to 76.8m), including 2.2m of 6.42 g/t Au and deeper in hole CL-21-21, reporting 4.7m of 3.38 g/t Au (from 88.80m to 94.00m). As of the date of this release, the Company has sent in additional samples for assaying from hole CL-21-21, as the gold mineralization is recognized to extend past the sulfide intervals of the drill core, which is a first for the project. The new assays, once received, will be part of a future updating release, and could extend the reported high-grade gold intervals at the southern part of Andrew. Additional highlights at Andrew include: new hole CL-21-24 which reported 3.9m of 2.91 g/t Au (from 51.00m to 55.12m); new hole CL-21-19 which reported 3.1m of 2.57 g/t Au (from 62.2m to 65.3m) and deeper in hole CL-21-19 reporting 1m of 2.06 g/t Au (from 93.3m to 94.3m); new hole CL-21-20 which reported 0.4m of 6.11 g/t Au (from 90.8m to 91.2m); and new hole CL-21-25 which reported 2.3m of 2.61 g/t Au (from 68.0m to 70.5m). As noted below, in the drill result tables, there are multiple well mineralized drill intercepts at the south part of the Andrew Zone that are reported in additional new holes (see CL-21-22, CL-21-22, CL-21-23 in the tables below). As of the date of this release, the Company has also sent additional samples from hole CL-21-25 to the lab for assaying.

Andrew North
Highlights from drilling at the northern part of the Andrew Zone include new hole CL-21-27 which reported 4.3m of 4.14 g/t Au (from 17.8m to 22.8m); new hole CL-21-29 which reported 3.0m of 3.2 g/t Au (from 37.6m to 40.8m) and multiple additional medium-to-high grade gold intercepts at deeper depth from this same hole, as reported in the drill result tables below. As of the date of this release, the Company has sent additional samples to the lab from hole CL-21-29. Additional highlights include new hole CL-21-28 which reported 3.2m of 1.19 g/t Au (from 38.8m to 42.8m).

The results, both confirm and expand upon, 1980s historical drilling at Andrew, and have returned higher grades than historical results. The historical drill holes and new holes from Andrew South and Andrew North can be referenced in the drill plan views below. A table of significant Andrew Zone drill assay results, greater than 0.5 g/t Au, listed by hole and interval, can be found near the end of this release. For purposes of the calculations of the highlighted intervals in this release, Rover considers results above 0.50 g/t Au to be of significance.

Drill Plan View – Andrew Zone (South)

https://www.globenewswire.com/NewsRoom/AttachmentNg/5471528e-1877-4826-a79f-6bcb67ff9103

CL-21-19/20 Cross Sections
CL-21-21/22 Cross Sections
CL-21-23/24/25 Cross Sections

Drill Plan View – Andrew Zone (North)

https://www.globenewswire.com/NewsRoom/AttachmentNg/89c4e560-a35e-4444-9045-a3dbe0be5329

CL-21-26 Cross Section
CL-21-27/28 Cross Sections
CL-21-29 Cross Section

The Company’s working hypothesis is that the near surface Andrew Zone extends 800 meters, from south to north. There was significant drilling along the middle of the Andrew Zone in the 1940s. Unfortunately, none of the historical drill records have survived. The Company tested its hypothesis during its Phase 2 Exploration Program, by drilling two drill holes in the centre of the Andrew Zone. As of the date of this release, the Company has sent additional samples from both hole CL-21-30 and CL-21-31 to the lab for assaying as the gold mineralization is recognized to extend past the sulphide intervals in the drill core. The results from Andrew middle will form part of an updating release.

Judson Culter, CEO at Rover Metals, states “We are very pleased to have made the discovery of a third significant zone at the Cabin Gold project. In total, there is over 1,000 meters of surface strike length, that is open along strike (Beaver) and at depth (Arrow, Beaver and Andrew), across all defined zones on the project (Arrow, Beaver and Andrew). We expect the 2022 Phase 3 Exploration Program at the Cabin Gold project to focus on the highest grade gold areas of these zones.”

Tables of Significant Drill Results

HoleEastingNorthingElevTotal DepthDipAzimuthZone
CL-21-19559,189.007,006,213.00181.7100-45230Andrew South
CL-21-20559,189.007,006,213.00181.7152-60230Andrew South
CL-21-21559,189.007,006,213.00181.7130-45190Andrew South
CL-21-22559,170.007,006,165.00181.7104-45190Andrew South
CL-21-23559,170.007,006,165.00181.753-45230Andrew South
CL-21-24559,170.007,006,165.00181.759-65230Andrew South
CL-21-25559,202.007,006,198.00181.5101-45220Andrew South
CL-21-26558,606.007,006,655.00188.847-4585Andrew North
CL-21-29558,606.007,006,655.00188.850-5010Andrew North
CL-21-27558,606.007,006,655.00188.834-4555Andrew North
CL-21-28558,606.007,006,655.00188.847-6055Andrew North
CL-21-30558,999.007,006,228.00185.547-45220Andrew Middle
CL-21-31558,999.007,006,228.00185.526-45260Andrew Middle
HoleSample IDFromToIntervalAu g/tZone
CL-21-19V74804162.2062.760.566.24Andrew South
CL-21-19V74804262.7663.000.241.1Andrew South
CL-21-19V74804363.0063.290.290.88Andrew South
CL-21-19V74804463.2963.590.31.96Andrew South
CL-21-19V74804563.5964.000.414.19Andrew South
CL-21-19V74804664.0064.350.352.73Andrew South
CL-21-19V74804764.3564.680.330.37Andrew South
CL-21-19V74804864.6864.980.30.94Andrew South
CL-21-19V74804964.9865.320.341.02Andrew South
CL-21-19V74805893.3293.640.320.71Andrew South
CL-21-19V74805993.6494.000.363.67Andrew South
CL-21-19V74806094.0094.30.301.56Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-20V74806790.8691.260.46.11Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-21V74807170.6570.980.330.76Andrew South
CL-21-21V74807270.9871.30.320.35Andrew South
CL-21-21V74807371.371.610.316.98Andrew South
CL-21-21V74807471.6172.030.423.89Andrew South
CL-21-21V74807575.3175.610.3017.6Andrew South
CL-21-21V74807675.6176.000.3910.4Andrew South
CL-21-21V74807776.0076.420.422.23Andrew South
CL-21-21V74807876.4276.80.380.48Andrew South
CL-21-21V74808792.2392.930.702.78Andrew South
CL-21-21V74808892.9393.330.401.77Andrew South
CL-21-21V74808993.3394.000.672.67Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-22V74809042.442.880.480.84Andrew South
CL-21-22V74809142.8843.180.30.39Andrew South
CL-21-22V74809243.1843.610.431.16Andrew South
CL-21-22V74809343.6144.100.491.43Andrew South
CL-21-22V74809444.1044.400.300.95Andrew South
CL-21-22V74809544.4044.670.271.8Andrew South
CL-21-22V74809644.6745.010.340.57Andrew South
CL-21-22V74809745.0145.360.351.94Andrew South
CL-21-22V74809845.3645.710.350.43Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-23V74811741.9842.440.460.89Andrew South
CL-21-23V74811842.4442.750.310.52Andrew South
CL-21-23V74811942.7543.150.400.80Andrew South
CL-21-23V74812043.1543.900.751.05Andrew South
CL-21-23V74812143.9044.300.401.88Andrew South
CL-21-23V74812344.3044.620.320.52Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-24V74810251.0051.500.502.77Andrew South
CL-21-24V74810351.5052.010.510.15Andrew South
CL-21-24V74810452.0152.760.751.57Andrew South
CL-21-24V74810552.7653.100.343.63Andrew South
CL-21-24V74810653.1053.410.315.16Andrew South
CL-21-24V74810753.4153.800.391.79Andrew South
CL-21-24V74810853.8054.200.403.57Andrew South
CL-21-24V74810954.4554.770.326.11Andrew South
CL-21-24V74811054.7755.120.354.93Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-25V74812553.0053.450.451.64Andrew South
CL-21-25V74812663.9564.250.300.73Andrew South
CL-21-25V74812765.4265.880.461.72Andrew South
CL-21-25V74812865.8866.180.300.22Andrew South
CL-21-25V74812966.1866.580.402.16Andrew South
CL-21-25V74813067.0967.390.304.01Andrew South
CL-21-25V74813167.3967.760.370.41Andrew South
CL-21-25V7481326868.350.350.50Andrew South
CL-21-25V74813368.3568.680.330.64Andrew South
CL-21-25V74813468.6868.980.301.59Andrew South
CL-21-25V74813568.9869.680.704.27Andrew South
CL-21-25V74813669.8270.120.301.07Andrew South
CL-21-25V74813770.1270.460.345.55Andrew South
HoleSample IDFromToIntervalAu g/tZone
CL-21-26V74818528.028.80.801.85Andrew North
CL-21-26V74818628.829.470.670.52Andrew North
HoleSample IDFromToIntervalAu g/tZone
CL-21-27V74813917.8318.200.370.57Andrew North
CL-21-27V74814018.218.520.326.32Andrew North
CL-21-27V74814118.5218.830.312.44Andrew North
CL-21-27V74814218.8319.110.289.2Andrew North
CL-21-27V74814319.1119.470.364.1Andrew North
CL-21-27V74814419.4719.790.321.64Andrew North
CL-21-27V74814520.0020.330.331.06Andrew North
CL-21-27V74814620.3320.750.4214.65Andrew North
CL-21-27V74814720.7521.030.281.81Andrew North
CL-21-27V74814821.2521.610.360.78Andrew North
CL-21-27V74814921.9222.400.483.48Andrew North
CL-21-27V74815022.4022.840.442.64Andrew North
HoleSample IDFromToIntervalAu g/tZone
CL-21-28V74817638.8139.250.440.93Andrew North
CL-21-28V74817739.2539.820.570.27Andrew North
CL-21-28V74817840.6041.000.402.97Andrew North
CL-21-28V74817941.0041.590.591.05Andrew North
CL-21-28V74818041.5941.970.380.31Andrew North
CL-21-28V74818141.9742.360.392.63Andrew North
CL-21-28V74818242.3642.790.430.71Andrew North
HoleSample IDFromToIntervalAu g/tZone
CL-21-29V74815337.6038.000.402.72Andrew North
CL-21-29V74815438.0038.400.404.75Andrew North
CL-21-29V74815538.438.700.301.18Andrew North
CL-21-29V74815638.7039.100.404.83Andrew North
CL-21-29V74815839.3739.710.341.31Andrew North
CL-21-29V74815939.7140.090.385.61Andrew North
CL-21-29V74816040.0940.390.304.43Andrew North
CL-21-29V74816140.3940.820.430.60Andrew North
CL-21-29V74816241.7042.010.311.48Andrew North
CL-21-29V74816542.9743.370.400.92Andrew North

Technical information in this news release has been approved by David White, P.Geo., Technical Advisor of Rover and a Qualified Person for the purposes of National Instrument 43-101.

Stock Option Grant to Advisor
The Company has made a stock option grant of 350,000 stock options to Robert Schafer, an advisor to the Company. The stock options have an exercise price of $0.06, vest monthly over 12 months, and have a four-year useful life. Mr. Schafer has nearly 40 years of experience in the mineral industry, working in the international sector with both major and junior mining companies. He is founder and Managing Director of Eagle Mines Management, a globally active private natural resources corporation. He has held executive and senior management positions with Hunter Dickinson Inc., Kinross Gold Corp., and BHP Minerals over the past 20 years. Throughout his career Mr. Schafer has worked internationally, with notable experience in the far east of Russia, Southern Africa, South America and Australia.

About Rover Metals
Rover is a precious metals exploration company specialized in North American precious metal resources, that is currently advancing the gold potential of its existing projects in the Northwest Territories of Canada (60th parallel). The Company commenced Phase 2 Exploration at its 100% owned Cabin Gold Project in the summer of 2021, and the analysis and reporting of the Phase 2 Exploration work at Cabin Gold continues through to the date of this release.

You can follow Rover on its social media channels:
Twitter: https://twitter.com/rovermetals
LinkedIn: https://www.linkedin.com/company/rover-metals/
Facebook: https://www.facebook.com/RoverMetals/
for daily company updates and industry news, and
YouTube: https://www.youtube.com/channel/UCJsHsfag1GFyp4aLW5Ye-YQ?view_as=subscriber
for corporate videos.

Website: https://www.rovermetals.com/

ON BEHALF OF THE BOARD OF DIRECTORS
“Judson Culter”
Chief Executive Officer and Director

For further information, please contact:
Email: info@rovermetals.com
Phone: +1 (778) 754-2617

Statement Regarding Forward-Looking Information
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 Rover’s actual results, performance or achievements, or developments in the industry 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. There can be no assurance that such statements prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from Rover’s expectations. Rover undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.

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. WHILE THE COMPANY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OF THIS RELEASE.

Categories
Junior Mining Precious Metals Providence Gold

Provenance Gold Completes Strategic $800,000 Non-Brokered Private Placement Earmarked for Initial Gold Resource Calculation at Eldorado

Vancouver, British Columbia–(Newsfile Corp. – January 13, 2022) – Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) (the “Company” or “Provenance“) is pleased to announce the closing of a non-brokered private placement for 5,000,000 units (each, a “Unit“) at a price of $0.16 per Unit for gross proceeds of $800,000. Each Unit consists of one common share of the Issuer (each, a “Share“) and one common share purchase warrant (each, a “Warrant“) with each Warrant entitling the holder thereof to purchase one additional common share (each, a “Warrant Share“) of the Issuer at a price of $0.24 per Warrant Share until January 13, 2025.

Proceeds of this private placement are earmarked for the drilling and subsequent initial resource estimate on the Eldorado property in addition to advancing work on the Company’s Nevada properties, particularly the White Rock property as well as general working capital.

Provenance plans to generate resource estimates on both its White Rock property in Nevada and its Eldorado property in eastern Oregon during 2022, which will be detailed in technical reports prepared by the Company in accordance with National Instrument 43-101. The White Rock property will be a maiden resource calculation while the Eldorado property will begin to substantiate historical resource estimates.

As referenced in a previous news release, the Eldorado project hosts three different historical resource estimates done by reputable engineering firms based. The first was done by Billiton Minerals USA after 150 holes had been drilled. The second resource estimate was calculated by Ican Minerals after they completed an additional 49 drill holes in between the original 150. The final resource estimate which was inferred by Ican indicated an ore body approximately 762 meters wide (2500 feet) and 914 meters long (3000 feet). Provenance hopes to have a good portion of the historical resource qualified through data collection and drilling in 2022.

Historical Resource Estimates Completed on the Eldorado Property

COMPANYRESOURCE ESTIMATECONTAINED TONSGRADE
Billiton Minerals USA776,000 Ounces Gold36,000,0000.75 g/t Gold (0.0219 ounces per ton)
Ican Minerals1,860,000 Ounces Gold90,000,0000.76 g/t Gold (0.022 ounces per ton)
Ican Minerals4,000,000 Ounces Gold (Inferred)200,000,0000.76 g/t Gold (0.022 ounces per ton)

The Company anticipates the maiden resource estimate on its White Rock property over the next few months and is actively in the data collection and planning stage in anticipation of its upcoming drill program at Eldorado following the winter thaw and necessary permitting. This drill program, along with detailed historical data collection, compilation and modeling will be a key driver in producing a current and comprehensive resource estimate for the Eldorado property.

Provenance’s CEO, Rauno Perttu states, “with this funding, the Company is in an excellent position to advance its projects without diluting any more than is necessary at this time. With two cornerstone projects we believe we are in a very enviable position as a junior exploration company to potentially have two significant gold discoveries. We are fortunate to have experienced and influential funding partners that believe in the long-term outlook for the Company.”

No finders’ fees or commissions were paid in connection with completion of the private placement. All securities issued in connection with the private placement are subject to restrictions on resale until May 14, 2022 in accordance with applicable securities laws.

Rauno Perttu, P. Geo., a Qualified Person (as defined by National Instrument 43-101), and the Chief Executive Officer of the Company, has reviewed and approved the technical contents of this News Release.

The above-referenced resource estimates are considered historical in nature and as such are based on prior data and reports prepared by previous property owners. A qualified person has not done sufficient work yet to classify the historical estimates as current resources in accordance with current CIM (Canadian Institute of Mining, Metallurgy and Petroleum) categories and the company is not treating the historical estimates as current resources. Significant data compilation, redrilling, resampling and data verification may be required by a qualified person before the historical estimates on the project can be classified as a current resource. There can be no assurance that any of the historical mineral resources, in whole or in part, will ever become economically viable. In addition, mineral resources are not mineral reserves and do not have demonstrated economic viability. Even if classified as a current resource, there is no certainty as to whether further exploration will result in any inferred mineral resources being upgraded to an indicated or measured resource category.

About Provenance Gold Corp.

Provenance Gold Corp. is a precious metals exploration company with a focus on gold and silver resources within North America. The Company currently holds interests in four properties, three in Nevada, and one in eastern Oregon, USA. For further information please visit the Company’s website at https://provenancegold.com or contact Rob Clark at rclark@provenancegold.com.

On behalf of the Board,

Provenance Gold Corp.

Rauno Perttu, Chief Executive Officer

Neither the Canadian Securities Exchange, nor its regulation services provider, accepts responsibility for the adequacy or accuracy of this press release. This news release may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When or if used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target, “plan”, “forecast”, “may”, “schedule” and similar words or expressions identify forward-looking statements or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/109979

Categories
Base Metals Granite Creek Copper Group Ten Metals Junior Mining Metallic Group Metallic Minerals Precious Metals

Granite Creek Copper to Join Metallic Group of Companies for Live Webinar

VANCOUVER, BC / ACCESSWIRE / January 11, 2022 / Granite Creek Copper Ltd. (TSXV:GCX)(OTCQB:GCXXF) (“Granite Creek” or the “Company“) is pleased to announce that the Company will join fellow members of the Metallic Group of Companies for a live webinar on January 13, 2022 at 10:00 am PT (1:00 pm ET). The CEOs of Granite Creek Copper, Group Ten Metals and Metallic Minerals will provide a concise review of key milestones achieved in 2021, followed by an update on major catalysts expected in 2022. The event will conclude with a roundtable Q&A session during which participants will be invited to provide questions to Tim Johnson (Granite Creek), Michael Rowley (Group Ten) and Greg Johnson (Metallic Minerals).

To register for the webinar, click here or on the graphic below.

About Granite Creek Copper

Granite Creek, a member of the Metallic Group of Companies, is a Canadian exploration company focused on the 176 square kilometer Carmacks project in the Minto copper district of Canada’s Yukon Territory. The project is on trend with the high-grade Minto copper-gold mine, operated by Minto Metals Corp., to the north, and features excellent access to infrastructure with the nearby paved Yukon Highway 2, along with grid power within 12 km. More information about Granite Creek Copper can be viewed on the Company’s website at www.gcxcopper.com.

FOR FURTHER INFORMATION PLEASE CONTACT:

Timothy Johnson, President & CEO
Telephone: 1 (604) 235-1982 | 1 (888) 361-3494
E-mail: info@gcxcopper.com
Website: www.gcxcopper.com

Neither the 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 release.

SOURCE: Granite Creek Copper Ltd.

Categories
Junior Mining Precious Metals Silver Bullet Mines

Silver Bullet Mines Corp. Provides Pilot Plant Construction Update

Burlington, Ontario–(Newsfile Corp. – January 5, 2022) – Silver Bullet Mines Corp. (TSXV: SBMI) (‘SBMI’ or ‘the Company’) is very pleased to provide an update on the construction of its modular pilot plant in Arizona.

The plant is wholly-owned by SBMI and is intended upon completion to process up to 125 metric tonnes of material per day. It is of modular design capable of being expanded in size and modified as required. The plant is being constructed on SBMI-owned private property approximately 8 miles from Globe, Arizona and in proximity to its Buckeye Silver Mine. As per the flow chart below, the plant is state of the art.



Pilot Plant Flow Chart

To view an enhanced version of this chart, please visit:
https://orders.newsfilecorp.com/files/8464/109102_c6fcca31a4499a73_001full.jpg

“The leadership team at SBMI has a substantial equity position so we like all shareholders are thrilled to see the plant be built as designed,” said A. John Carter, the Company’s CEO. “Despite ongoing supply chain issues and exorbitant material and transportation cost increases, we remain on track to start commissioning in the first quarter of 2022. In anticipation of that commissioning, the Company has approximately 1000 tonnes of material already stockpiled for feed.”

The plant consists of a coarse ore feed bin, a fine ore bin, two stage crushing and screening, and a variable speed computer-controlled feed belt that leads to a grinding circuit. The grinding circuit is a ball mill in closed circuit with a bank of cyclones. The plan is for product from the ball mill to be pumped directly to a pair of Falcon concentrators. The product from the concentrators is then fed by gravity to a full size Diester concentrating table. Tailings from the Falcons and from the table are returned to the grinding circuit.

The cyclones then split the feed with the oversize material going back to the ball mill and the undersize material going to the tailings thickener. Processed material of the appropriate size is then sent to the bullion furnace where dore bars are poured. All tailings are dewatered and all available water is recycled.



The ball mill as installed, on the mill pad poured by SBMI for this purpose.

To view an enhanced version of this graphic, please visit:
https://orders.newsfilecorp.com/files/8464/109102_c6fcca31a4499a73_002full.jpg

The plant is designed to maximize the recovery of both gold and silver, although its modular nature means it can be adjusted to recover other metals.

Currently over 90% of the necessary equipment is onsite and being assembled (go to www.silverbulletmines.com to see pictures of the plant being built, or follow on Twitter @BulletMines). The remainder is in a container in Long Beach, California waiting to be off-loaded, on a timeline beyond the Company’s control. Some small items are to be purchased as required.



Overview of SBMI’s mill site, showing the fine and coarse ore bins on the right, the ball mill in the middle, and assorted equipment to the left.

To view an enhanced version of this graphic, please visit:
https://orders.newsfilecorp.com/files/8464/109102_c6fcca31a4499a73_003full.jpg

In addition to owning its own processing plant, SBMI owns an on-site assay facility which can provide assay results in less than a day. It also owns its own 2-boom jumbo, LHD (load-haul-dump), large Bobcat, and various other equipment. Owning all this equipment will allow the Company to process feed material quickly, efficiently and economically, as well as to generate revenue, without debt payments draining cash. The Company is in discussions with various groups concerning the purchase of both the dore and the concentrates.

Finally, SBMI announces it does not intend to spend capital on a third party resource estimate or Preliminary Economic Analysis for the Buckeye Silver Mine. In the Company’s opinion, given the nature of the known mineralization, the extensive historical third-party documentation, and the leadership team’s direct experience at Buckeye, a third party resource estimate or PEA would be prohibitively expensive to have written without actually advancing the Company’s knowledge of the Buckeye. “This is old school mining,” continued Mr. Carter, “and for this project it’s the right way. Producing from 6-foot wide silver veins is not your standard mining opportunity, which means it requires a non-standard approach. Here, we believe the right approach is to carry out our own internal economic analysis.”

The next major events at Buckeye will be the arrival on-site of the third container through the Long Beach supply chain, and the delivery of assay results from a third party accredited lab on one-quarter of the 150 pound bulk sample announced December 15, 2021. The Company has no direct control over the timing of either of those events but does continue to work with its suppliers to expedite them a much as possible.

For further information, please contact:

John Carter
Silver Bullet Mines Corp., CEO
cartera@sympatico.ca
+1 (905) 302-3843

Peter M. Clausi
Silver Bullet Mines Corp., VP Capital Markets
pclausi@brantcapital.ca
+1 (416) 890-1232

Cautionary and Forward-Looking Statements

This news release contains certain statements that constitute forward-looking statements as they relate to SBMI and its subsidiaries. Forward-looking statements are not historical facts but represent management’s current expectation of future events, and can be identified by words such as “believe”, “expects”, “will”, “intends”, “plans”, “projects”, “anticipates”, “estimates”, “continues” and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct.

By their nature, forward-looking statements include assumptions, and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this new release, SBMI will also set out the material risk factors or assumptions used to develop the forward-looking statements. Except as expressly required by applicable securities laws, SBMI assumes no obligation to update or revise any forward-looking statements. The future outcomes that relate to forward-looking statements may be influenced by many factors, including but not limited to: the impact of SARS CoV-2 or any other global virus; reliance on key personnel; the thoroughness of its QA/QA procedures; the continuity of the global supply chain for materials for SBMI to use in the production and processing of ore; shareholder and regulatory approvals; activities and attitudes of communities local to the location of the SBMI’s properties; risks of future legal proceedings; income tax matters; fires, floods and other natural phenomena; the rate of inflation; availability and terms of financing; distribution of securities; commodities pricing; currency movements, especially as between the USD and CDN; effect of market interest rates on price of securities; and, potential dilution. SARS CoV-2 and other potential global viruses create risks that at this time are immeasurable and impossible to define.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/109102