Prime Mining drills 12.3 g/t AuEq over 2.5 metres at Los Reyes, Mexico

Prime Mining Corp. [PRYM-TSXV; PRMNF-OTCQX; 04V3-FSE] reported drill results from its continuing 60,000-metre drill program, of which about one-half is focused on regional exploration at Los Reyes. Today’s results are from the Las Primas and Fresnillo generative targets at the company’s Los Reyes project, located in Sinaloa state, Mexico.

Newly discovered Las Primas mineralization outside of the previously reported 2023 Mineral Resource Estimate (MRE) contains high-grades and significant thicknesses in areas located between the Central and Guadalupe Zones. The precious metals mineralization is in high-grade plunging shoots, similar to Guadalupe, Tahonitas and Nocha Buena areas, that contain a multiple gram per tonne gold equivalent (AuEq) centre with an outer, lower-grade halo. At Las Primas, mapping and 2023 drilling has confirmed continuity of at least two mineralized structural corridors that remain open in all directions.

Fresnillo is a highly prospective earlier stage target, where drilling intercepted thick mineralized structures, between the Z-T and Central Zones. Follow-up drilling is planned to continue. Surface mapping and modelling of these structures is ongoing.

Generative Target Highlights – Las Primas Area: The company is reporting 12 core holes at the Las Primas target. Las Primas is located in the southeast of the Project area between the Central and Guadalupe Zones. Highlights: 12.34 g/t AuEq (10.85 g/t Au and 114.9 g/t Ag) over 2.5 metres estimated true width (etw) in hole 23LP-14, including 17.50 g/t AuEq (15.40 g/t Au and 162.2 g/t Ag) over 1.7 metres etw; 1.73 g/t AuEq (1.70 g/t Au and 2.3 g/t Ag) over 9.6 metres etw in hole 23LP-06, including 4.94 g/t AuEq (4.88 g/t Au and 4.7 g/t Ag) over 3.0 metres etw; 1.20 g/t AuEq (0.87 g/t Au and 25.8 g/t Ag) over 14.6 metres etw in hole 23LP-07, starting just below surface.

Fresnillo Area: The company reported 11 core holes at the Fresnillo target, located between the south ends of the Z-T and Central Zones. Highlights: 0.74 g/t AuEq (0.56 g/t Au and 14.3 g/t Ag) over 23.8 metres etw, and 0.48 g/t AuEq (0.41 g/t Au and 5.3 g/t Ag) over 20.8 metres in hole 23FRE-12; 1.65 g/t AuEq (1.06 g/t Au and 45.2 g/t Ag) over 10.9 metres etw in hole 23FRE-19, including 12.30 g/t AuEq (6.63 g/t Au and 438.0 g/t Ag) over 0.85 metres etw; 1.39 g/t AuEq (0.87 g/t Au and 40.4 g/t Ag) over 7.5 metres etw in hole 23FRE-20.

Prime Mining CEO Daniel Kunz commented, “Today’s results demonstrate the growing potential of our gold-silver exploration targets outside of the current mineral resource zones. New mineralized areas like these are expected to contribute to our goal of continued expansion of the Los Reyes gold-silver resource. As Las Primas and Fresnillo are proximal to existing resource zones, we anticipate increment”l value-add from these nearby generative targets.”

Scott Smith, Executive Vice President of Exploration added, “We are successfully executing a two-pronged approach to exploration: firstly, drilling resource expansions at Z-T, Central and Guadalupe Zones, the three areas that form our current mineral resource estimate, and secondly, exploring a growing number of new, generative targets. Mapping, surface sampling and modeling are ongoing to help guide generative drilling. We have many additional generative targets at Los Reyes identified that we have not yet had the opportunity to fully drill-test. A strong focus on exploration access improvements has facilitated this newly reported drilling and will allow more efficient drilling of many of these generative targets going forward.”

Prime is targeting a material resource expansion at Los Reyes through a combination of new generative area discoveries and growth, such as those being reported today, in addition to on-going expansion along strike and down dip within previously reported mineral resource areas.

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 US$30 million on direct exploration activities and has completed over 120,000 metres of drilling. On May 2, 2023, Prime announced an updated multi-million-ounce high-grade open pit constrained resource.

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.