Prime Mining drills 2.7 g/t gold over 18 metres at Los Reyes, Mexico
Prime Mining Corp. [PRYM-TSXV; PRMNF-OTCQB] reported additional assays from the phase 2 step-out and infill drilling program at the 100%-owned Los Reyes project 200 km north of Mazatlan, western Mexico.
The project hosts an existing multimillion-ounce gold and silver resource and is located in the mining-friendly jurisdiction of Sinaloa State. Today’s results are from eight drill holes at the San Miguel East deposit located in the western part of Los Reyes targeting mineralization below the current resource. San Miguel East is one of eight known gold-silver deposits that comprise the resource at Los Reyes.
CEO Daniel Kunz commented: “Our ongoing phase 2 drilling of stepout holes at San Miguel East has made discoveries of both mill- and heap-leach-grade mineralization that are expanding the potential resource at this deposit. Once again, our drilling continues to intersect multiple veins downhole that increase the resource potential. We also expect that the deposit will grow along strike to the southeast eventually connecting with the nearby Noche Buena deposit.”
Highlight drill intercepts from San Miguel East returned 2.72 g/t gold and 129.8 g/t silver over 18 metres (16.9 m estimated true width (etw)) and 1.24 g/t gold and 14 /t silver over 3.0 metres (2.6 m etw) and 1.12 g/t gold and 4.2 g/t silver over 3.0 metres (2.3 m etw) (22SME-11); 4.86 g/t goldu and 151.5 g/t silver over 6.1 metres etw and 3.96 g/t gold and 2.0 g/t silver over 1.2 metres etw and 1.51 g/t gold and 5.3 g/t silver over 1.8 metres etw (22SME-13); 1.88 g/t gold and 283.7 g/t silver over 2.9 metres (2.6 m etw) (22SME-10); and 1.25 g/t gold and 67.2 g/t silver over 6.0 metres (5.4 m etw) (22SME-14).
To date, Prime has drilled approximately 83,235 metres and completed 323 holes at Los Reyes. The phase 2 program has now completed 57,585 metres, with drilling planned to continue until the end of October. To date, 201 phase 2 drill holes have been completed and six drills continue to operate. Including the drilling results herein, 224 drill holes have been released and 99 are pending.
The eight drill holes at San Miguel East were drilled down dip of the known structure at depth. All eight encountered mineralization with seven of the eight extending mineralization beyond the current historic resource. The southernmost hole, 22SME-11, with an 18-metre intercept listed above, was at 560 metres above sea level. South of this hole is open along strike with potential to expand the San Miguel East deposit and connect it with the nearby Noche Buena deposit.
Historic operating results from Los =Reyes indicate that an estimated one million ounces of gold and 60 million ounces of silver were recovered from five separate operations 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. The project remains underexplored as only 40% of the known structures have been systematically drilled, leaving 10 kilometres of untested strike length. Los Reyes holds potential for additional discovery and resource expansion.
Based entirely on historic drilling by prior operators, Los Reyes hosts a pit-constrained measured and indicated resource of 630,000 gold and 16.6 million silver ounces plus inferred resources of 180,000 gold and 6.8 million silver ounces inferred across the west (Zapote and Tahonitas), central and east (Guadalupe) deposits. Additional prospects exist for property-wide underground resources and for open-pit resources in the central zone at Las Primas and Fresnillo and farther east at Orito and Mina.