Unico Silver (ASX:USL) will begin drilling its new Sierra Blanca Project in December having now received the final permit for the broader Cerro Leon Project in Argentina.
The Environmental Impact Assessment report, submitted by Unico’s subsidiary Sierra Blanca SA, was approved by the Santa Cruz Provincial Mining Authority.
Managing Director Todd Williams says the upcoming drilling program forms part of a fully funded 50,000m campaign to expand the current 160-million-ounce silver equivalent resources at the Cerro Leon and Joaquin projects.
“This was the final permit for the broader Cerro Leon portfolio and paves the way for access and drilling at all priority prospects within the project, including Veta Chala and Archen, where previous exploration has defined shallow high-grade silver gold mineralisation not included in the current mineral resource estimate,” he says.
The Sierra Blanco Project is host to the western continuation of the Pinguino vein district, collectively known as Cerro Leon, and comprises several advanced prospects.
Historical drill results from the Veta Chala and Archen prospects include 3m @ 780 grams per tonne (g/t) silver equivalent from 87m, 11m @ 655g/t from 46m, 14.3m @ 463g/t from 31m and 30.1m @ 275g/t from 23m.
The campaign includes reverse circulation drilling within exploration titles that make up the Sierra Blanca district.
Unico says the target areas are located 5km west of the company’s existing camp and infrastructure and can be rapidly advanced in parallel to ongoing drilling at Pinguino.
Unico Silver, which has a market capitalisation of $87.3 million, owns a portfolio of exploration properties in the Santa Cruz province of Argentina, which is host to several multi-million-ounce gold and silver epithermal vein deposits.
The Cerro Leon Project is located in the central Deseado Massif geological province some 45km northwest of AngloGold Ashanti’s (NYSE:AU) Cerro Vanguardia mine.
In mid-October, Unico completed the acquisition of the Joaquin Project in Argentina, from Pan American Silver Corp (NYSE:PAAS).
The Joaquin Project, covering 35,946 hectares, is also located within the company’s 91-million-ounce silver-equivalent Cerro Leon Project.
Joaquin contains a historical resource of 73 million ounces silver-equivalent in the La Negra and La Morocha deposits.
Write to Angela East at Mining.com.au
Images: iStock and Unico
