Abrasilver Resource drills 154.5 g/t silver over 21.5 metres at Diablillos, Argentina

Abrasilver Resource Corp. [TSXV-ABRA; OTCQX-ABBRF] reported initial drill results from its first regional exploration program focused beyond the Oculto and JAC zones at its Diablillos property in Salta province, Argentina.

The initial drill results confirm the potential for additional near-surface mineralized zones located to the west and southwest of the main Oculto deposit and represent new exploration targets that will be pursued in the next drill program. The company also recently completed detailed structural mapping and an expanded magnetic survey covering the new target areas to further assist with prioritizing targets for the company’s next exploration campaign.

New regional exploration targets at Diablillos: Drilling in the Alpaca area has uncovered a trend of silver mineralization perpendicular to the JAC zone which is believed to connect the Alpaca target to the high-grade JAC zone.

Diamond drill hole 23-077, located between the JAC and Alpaca areas, intersected a near-surface zone of silver mineralization, totalling 21.5 metres at 154.5 g/t silver, starting from a down-hole depth of only 95.5 metres.

There is a marked zone of low magnetic intensity perpendicular to the main mineralized south-southwest trend and DDH 23-077 intersected silver mineralization, indicating there is good potential for further discovery.

The JAC North zone, located up to approximately 100 metres northwest of the JAC zone, has the same geological characteristics as JAC. Silver mineralization is concentrated in a highly fractured zone with pervasive alunite alteration and associated manganese oxides that follows a parallel structural trend:

DDH 23-081 intersected multiple zones of silver mineralization near-surface, including 9.0 metres at 98.4 g/t silver starting from a down-hole depth of only 102 metres. This mineralization extends the JAC North zone approximately 50 metres southwest:

Drilling to date indicates that the JAC North zone is a mineralized structure parallel to the JAC zone, which is believed to extend for several hundred metres east-northeast of hole DDH 23-081, and represents upside potential that will be explored in the next drilling phase.

DDH 23-080 was drilled to a down-hole depth of 122 metres and did not encounter any significant mineralization.

Historical drilling at Fantasma outlined a zone of silver mineralization on which a small historical mineral resource was estimated. The mineral resource area is located approximately 1 km west-northwest of the Oculto deposit. Two holes were drilled to test for a mineralized structure potentially connecting Fantasma to the Oculto deposits: DDH 23-078 intersected 10.0 metres at 53.9 g/t silver, and hole DDH 23-079 encountered 10.5 metres at 43.2 g/t silver.

These initial intercepts suggest that silver mineralization continues from Oculto toward the Fantasma zone, and additional drilling is warranted.

John Miniotis, president and CEO, commented: “These early drill results highlight the significant untested exploration potential across our Diablillos project. Our continued exploration success underscores our team’s ability to unlock significant value as Diablillos continues to emerge as a world-class primary silver project with district-scale upside potential.”

Dave O’Connor, chief geologist, commented: “We are very excited that initial reconnaissance exploration has intersected new silver-mineralized zones at Diablillos. With the use of advanced geophysical surveys, which identify target areas beneath colluvial cover, coupled with detailed structural mapping and analysis, we have been able to successfully identify multiple new mineralized zones beyond the existing Oculto and JAC deposits. Our next phase of drilling will focus on the highest-priority targets, which include the Alpaca trend, the JAC North trend and the Oculto-Fantasma trend, each of which has the potential to add additional high-grade silver mineralization.”

The company recently completed an updated magnetic survey over the Diablillos project area. The full geophysical report from the survey has been merged with previous 2022 results. In total, the company now has detailed magnetic coverage that spans 5.5 km east to west and approximately 7.5 km north to south.

Importantly, the new survey has revealed important structures, including a major zone trending west-northwest, which is believed to host a magnetic porphyry intrusion:

Zone 1 – This is an elongated zone of low magnetic response which was previously unknown. Zone 2 – This west-northwest-trending structural zone includes a magnetic porphyry which was previously unknown due to colluvium cover. Zone 3 – This area has been recognized as having potential for epithermal gold-silver mineralization extending eastward from the Oculto deposit and the Laderas target. The new magnetic data give focus to exploration targets in the area.

In total, more than 8,000 structural measurements were taken over the Diablillos concession area. These were computerized and a map of dominant structures drawn, which clearly demonstrates a conjugate set of structures. This information, together with the new magnetic survey data, will aid in prioritizing new drill targets.

The company anticipates announcing several upcoming milestones over the next few months, including: updated mineral resource estimate for the Diablillos project (November, 2023); bottle roll and column testing results for heap-leach processing (December, 2023); prefeasibility study results for the Diablillos project (January, 2024); and commencement of phase 4 exploration campaign (first quarter of 2024).

Abrasilver is an advanced-stage exploration company focused on rapidly advancing its 100%-owned Diablillos silver-gold project. The current measured and indicated mineral resource estimate for Diablillos consists of 51.3 million tonnes grading 66 g/t silver and 0.79 g/t gold, containing approximately 109 million oz silver and 1.3 million oz gold, with significant further upside potential based on recent exploration drilling.