Recent drilling by Canadian explorer Vizsla Silver (TSX-V:VZLA) at the Panuco Silver-Gold Project in Mexico confirms the continuity of “high-grade” mineralisation.
The company, which has a market capitalisation of C$658.2 million ($718.8 million), reports a top intersection of 6.25m @ 6,270 grams per tonne (g/t) silver equivalent from 219.6m, including 3.22m @ 10,634g/t.
Other drill results show 14.2m @ 1,212g/t silver equivalent from 290.85m, including 1.42m @ 6,983g/t; 10m @ 1,083g/t from 280.10m, including 2m @ 4,669g/t; and 13.3m @ 2,554g/t from 278.10m, including 4.36m @ 6,037g/t.
The 10,172m, 33-hole drilling program was designed to infill the near-surface indicated resources of 83.3 million ounces @ 573g/t silver equivalent within the main Copala structure to convert to the higher confidence measured category.
The structure also hosts inferred resources of 48.3 million ounces at 476g/t silver equivalent within a broad envelope of vein-breccia interlayered with host rock, up to 82m thick.
The broader Panuco Project hosts indicated resources of 155.8 million ounces and inferred resources of 169.6 million ounces silver equivalent.
CEO Michael Konnert says the recent infill campaign focused on upgrading resources within the area designated for the first two years of potential production.
“Not only has this program been successful in demonstrating continuity of high grades but has also expanded the local high-grade footprint closer to surface,” he says.
Following recent mapping, Vizsla discovered a historic mine adit on surface at Copala central.
This, combined with 3D interpretations of drilling data, supports the potential for resource expansion up dip from an earlier drill hole that contained visible gold.
Vizsla says the prospective area for resource expansion is estimated to measure about 120m by 200m and hosts the possibility for additional near-surface target areas located along strike of Copala and above the intersection between the Copala and Cristiano veins.
“Based on these results, we have commenced an additional +5,000 metre program designed to both extend resources outboard of the current MRE (mineral resource estimate) and to upgrade additional inferred resources at Copala,” Konnert says.
This additional drilling is expected to be completed in late September.
Exploration and resource drilling at Copala has so far defined mineralisation along 1,770m of strike length and around 400m down dip.
The 17,800-hectare land package has never been systematically explored on a consolidated basis. The Panuco Project sits along a prolific silver trend in western Mexico that hosts First Majestic Silver’s (TSX:AG) flagship San Dimas mine, 80km away.
Write to Angela East at Mining.com.au
Images: Vizsla Silver
