Prime Mining intersects 7.68 g/t AuEq over 7.7 metres at Los Reyes, Mexico

Prime Mining Corp. [TSX-PRYM; OTCQX-PRMNF; FSE-04V3] reported expansion drilling results from its Los Reyes project, Sinaloa state, Mexico. These results are from 2024 drilling at the Z-T area and are not included in the company’s May 2, 2023, mineral resource estimate (MRE).

Expansion drilling highlights in the Z-T area: Tahonitas – The company is reporting 15 core holes at Tahonitas with the following highlights: 7.68 g/t) gold-equivalent (AuEq) (5.83 g/t Au (gold) and 142.7 g/t Ag (silver)) over 7.7 metres estimated true width (etw) in hole 24TA-116, including 31.49 g/t AuEq (24.31 g/t Au and 554.7 g/t Ag) over 1.8 m etw, including 55.72 g/t AuEq (44.1 g/t Au and 898 g/t Ag) over 0.6 m etw; 1.98 g/t AuEq (1.21 g/t Au and 59.7 g/t Ag) over 16.9 m etw in hole 24TA-110, including 3.99 g/t AuEq (2.41 g/t Au and 122 g/t Ag) over 4.5 m etw; 23.97 g/t AuEq (7.66 g/t Au and 1,260 g/t Ag) over 0.8 m etw in hole 24TA-111.

Scott Hicks, CEO, commented: “High-grade mineralization at meaningful widths continues to develop at Tahonitas at the southeast end of the Z-T trend, demonstrating potential to grow the existing mineral resource estimate. We are excited to see the development of this new lobe at Tahonitas and the exceptional grades being registered, both for gold and silver. This area remains open and is targeted for additional drilling.”

Drill hole 24TA-116 is located 250 metres along strike from the current resource pit bottom, and 24TA-112 is located 350 metres down dip from the current resource pit bottom (at a mid-intercept elevation of approximately 295 metres above sea level). Hole 24TA-110, located at a similar elevation to 24TA-116 (mid-intercept of 330m above sea level) and 50 metres along strike, is also 700 metres up-dip from 24TA-112, showing the structure has significant width of mineralization with its 16.9 metre etw reported mineralized intercept.

Step-out hole 24TA-111, located 400 metres from the pit crest (and 150 m down dip from the prior southeastern-most intercept 23TA-100), returned high gold and outstanding silver grades from an intercept in the footwall of the main Tahonitas structure – this footwall structure may merge into the main Tahonitas structure along strike in the South Tahonitas area. The southeastern-most shoot of Z-T now has a modelled strike length of high-grade mineralization spanning 315 metres and remains open along strike and down dip. Prime is currently drill testing (with drill hole 24TA-120) the 275 m gap between 24TA-114/-116 and 23TA-94. Hole 24TA-119 is also being drilled to extend mineralization down dip.

The continuing discovery of mineralization hosted at relatively shallow depths continues to suggest the following: Shallow early-stage intersections that may support pit expansion to the southeast, near surface; demonstrates that the Tahonitas structure continues to be mineralized for 350 m along strike from the southeast pit crest; the potential to discover more high-grade plunging shoots with continued drilling at depth within the new southeast strike extension and potentially high-margin underground feed.

As noted in earlier Z-T trend news releases focused on Tahonitas, the high-grade plunging shoots are still open at depth and along strike in multiple areas along the trend.

Prime is targeting 40,000 metres in its 2024 drill program and will continue to evaluate drilling plans using its success-based approach. This evaluation will also include prioritization of targets based on probability of resource development and generative area discovery potential.

Five drill rigs are currently active on site at Los Reyes, with 2024 exploration focused on: extending the high-grade Z-T area shoots that remain open at depth, as well as along strike, both north and south; expanding the known high-grade mineralization at Guadalupe East; increasing the Central area resource through additions at Noche Buena and its connection to San Miguel East; and generative target drilling of high-grade intercepts at Las Primas, Mariposa, Fresnillo, Mina and others to further develop the resource potential at Los Reyes.

Los Reyes is a rapidly evolving high-grade, low sulphidation epithermal gold-silver project located in Sinaloa State, Mexico. Since acquiring Los Reyes in 2019, Prime has spent approximately CAD$48 million on direct exploration activities and has completed over 168,000 metres of drilling. On May 2, 2023, Prime announced an updated multi-million-ounce high-grade open pit constrained resource.

Measured and Indicated resources stand at 27.2 million tonnes averaging 1.16 g/t gold and 40.40 g/t silver.

Drilling is on-going and suggests that the three known main deposit areas (Guadalupe, Central and Z-T) are larger than previously reported. Potential also exists for new discoveries where mineralized trends have been identified outside of the currently defined resource areas. Historic operating results indicate that an estimated 1 million ounces of gold and 60 million ounces of silver were recovered from five separate operations at Los Reyes between 1770 and 1990. Prior to Prime’s acquisition, recent operators of Los Reyes had spent approximately US$20 million on exploration, engineering, and prefeasibility studies.