REG - Guanajuato Silver Co - San Ignacio Drill Results

Guanajuato SilverAnnouncement

18/05/2023 13:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230518:nRSR9220Za&default-theme=true

RNS Number : 9220Z  Guanajuato Silver Company Ltd.  18 May 2023

 

18 May 2023

Guanajuato Silver Company Limited

Guanajuato Silver Drills 4.89 Metres True Width of 359 g/t AgEq at San Ignacio

~ Results Deepen Previous Hi-Grade Drill Intercepts ~

Guanajuato Silver Company Ltd. (the "Company" or "GSilver")
(TSXV:GSVR)(AQUIS:GSVR)(OTCQX:GSVRF) is pleased to provide recent drill
results from the Company's wholly owned San Ignacio mine ("San Ignacio") in
Guanajuato, Mexico and the Topia mine ("Topia") in Durango, Mexico.

San Ignacio

The 2023 exploration program is focused on extending mineralization from what
have historically been the most productive vein systems at San Ignacio, namely
the Melladito, Purisima and the Nombre de Dios veins; current production from
San Ignacio comes primarily from the Melladito and the Nombre de Dios vein
systems. Year to date, fourteen underground drillholes have been completed for
a total of 2,202 metres; new drill results are posted below, including a cross
section for drill hole UGSI23-010.

 

James Anderson, Chairman and CEO said, "San Ignacio is a key and growing
component of Valenciana Mines Complex production. Unlike the other mines
within our portfolio, San Ignacio is a relatively new mine, having opened in
2012. With the average lifespan of a mine within the Guanajuato Mining
District measured in centuries, we see tremendous potential for San Ignacio as
demonstrated with the current round of high-grade drill results; the best
intercept of this campaign has been drill hole UGSI23-010, which has cut four
formal structures of the Melladito and Purisima veins and returned a 4.89
metre wide mineralized intercept of the Melladito vein grading  359 g/t AgEq.
This hole confirms the continuity of the mineralization at depth within the
Melladito vein (as described in our news release of February 23, 2023)
(https://www.gsilver.com/news/2023c/843-uanajuatoilverrills6981gtgqatangnacioand20230223)
, which intercepted 4.92 metres true width of over 1.2 kilograms of
silver-equivalent from drillhole UGSI-006. These results also confirm the
extension of the Purisima vein to the south."

 

 

Note: All silver equivalent (AgEq) values are calculated based on a long-term
gold to silver price ratio of 80:1. Abbreviations used in this news release
include the following: g/t: grams per tonne; Au: gold; Ag: silver; m: metre,
AgEq: silver equivalent.

 

Cross Section UGSI23-010

 

Topia

The Company is also providing 2023 drill results for the Topia mine from the
La Prieta, Dos Amigos and Union del Pueblo veins. The best result was UT23-463
which returned over a half metre of 2674 AgEq from the Prieta vein. Drilling
here continues to provide narrow and extraordinarily high grades in many areas
of the deposit.

 

 

All silver equivalent (AgEq) values are calculated based on a long-term gold
to silver price ratio of 80:1.

 

 

Sampling and quality assurance/quality control

Drill core was first reviewed by a Company geologist, who identified and
marked intervals for sampling. The marked sample intervals were then cut in
half with a diamond saw; half of the core was left in the core box and the
other half was removed, placed in plastic bags, sealed and labeled. Intervals
and unique sample numbers are recorded on the drill logs and the samples are
sequenced with standards and blanks inserted according to a predefined QA/QC
procedure. The samples are maintained under security on site until they are
shipped to the analytical lab. The analytical work reported on herein was
performed by Corporacion Quimica Platinum S.A de C.V., Silao, Guanajuato,
Mexico. To validate our assay results and our preparation procedures, GSilver
sends additional random samples representing approximately 20% of all
analytical samples to Bureau Veritas in Hermosillo, Sonora, Mexico. Bureau
Veritas is an ISO/IEC (International Organization for
Standardization/International Electrotechnical Commission) geo-analytical
laboratory and is independent of GSilver and its "qualified person". In order
to further validate our assay results and our preparation procedures GSilver
sent additional random samples representing approximately 10% of all
analytical samples to SGS Mexico, S.A de C.V, Durango, Mexico. SGS is also an
ISO/IEC geo-analytical laboratory and is independent of GSilver and its
"qualified person". Core samples were subject to crushing at a minimum of 70
per cent passing two millimeters, followed by pulverizing of a 250-gram split
to 85 per cent passing 75 microns. Gold determination was via standard atomic
absorption (AA) finish 30-gram fire assay (FA) analysis, in addition to silver
and 34-element using fire assay and gravimetry termination. Following
industry-standard procedures, blank and standard samples were inserted into
the sample sequence and sent to the laboratory for analysis. Data verification
of the analytical results included a statistical analysis of the standards and
blanks that must pass certain parameters for acceptance to ensure accurate and
verifiable results. GSilver detected no significant QA/QC issues during review
of the data and is not aware of any sampling, recovery or other factors that
could materially affect the accuracy or reliability of the drilling data
referred to herein.

 

Technical Information

Reynaldo Rivera, VP of Exploration of GSilver, has approved the scientific and
technical information contained in this news release. Mr. Rivera is a member
of the Australasian Institute of Mining and Metallurgy (AusIMM - Registration
Number 220979) and a "qualified person" as defined by National Instrument
43-101, Standards of Disclosure for Mineral Projects.

 

 

For further information regarding Guanajuato Silver Company Ltd., please
contact:

 

JJ Jennex, Gerente de Comunicaciones, T: 604 723 1433

E: jjj@GSilver.com

Gsilver.com

 

VSA Capital - AQSE Corporate Adviser

T: +44 (0) 20 3005 5000

Simon Barton - Corporate Finance

Thomas Jackson - Corporate Finance

Andrew Monk - Corporate Broking

David Scriven - Corporate Broking

 

About Guanajuato Silver

GSilver is a precious metals producer engaged in reactivating past producing
silver and gold mines in central Mexico. The Company produces silver and gold
concentrates from the El Cubo Mine, Valenciana Mines Complex, and the San
Ignacio mine; all three mines are located within the state of Guanajuato,
which has an established 480-year mining history. Additionally, the Company
produces silver, gold, lead, and zinc concentrates from the Topia mine in
northwestern Durango. With four operating mines and three processing
facilities, Guanajuato Silver is one of the fastest growing silver producers
in Mexico.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  NEXFVLFFXELXBBL