Prime Mining drills 80.6 g/t AuEq over 4.75 metres at Los Reyes, Mexico

Prime Mining Corp. [TSX-PRYM; OTCQX-PRMNF] released expansion and generative drill results from its 2023 drill program at the company’s Los Reyes project in Sinaloa state, Mexico.

Drilling at Las Primas has intercepted several new high grade mineralized structures that appear to have many similarities to Guadalupe East, located 500m to the northeast. This discovery highlights the potential at Las Primas, which lies entirely outside of the previously reported 2023 Mineral Resource Estimate (MRE). Early mineralization modeling suggests a vertical extent of over 300m and 450m along strike.

Drill hole 23GE-147 at Guadalupe East contains one of the highest grade intercepts ever recorded at the Project, with 45.3 g/t Au and 2,723 g/t Ag over 4.75m estimated true width (80.6 gpt AuEq). 23GE-147 expands the very-high grade mineralization along several antithetic structures within the 2023 resource pit and returned substantially higher grades than previously estimated in many instances.

Drill Highlights – Generative; Las Primas Area: 15.63 g/t gold-equivalent (AuEq) (11.60 g/t Au and 311.1 g/t Ag) over 4.5 metres estimated true wide (etw) in hole 23LP-18, including 27.52 g/t AuEq (20.39 g/t Au and 550.8 g/t Ag) over 2.5 m etw, and including 56.28 g/t AuEq (41.90 g/t Au and 1,111.0 g/t Ag) over 1.1 m etw; 1.91 g/t AuEq (1.29 g/t Au and 47.7 g/t Ag) over 10.20 m etw in 23LP-20, including 6.43 g/t AuEq (2.2 g/t Au and 327 g/t Ag) over 1.3 m etw; 1.89 g/t AuEq (0.73 g/t Au and 89.61 g/t Ag) over 2.6 m etw in hole 23LP-17, including: 5.61 gpt AuEq (1.97 g/t Au and 281 g/t Ag) over 1.0 m etw.

Drill Highlights – Expansion; Guadalupe Zone, Guadalupe East Area: 17.95 g/t AuEq (9.69 g/t Au and 638.55 g/t Ag) over 31.25 m etw in hole 23GE-147, including 52.67 g/t AuEq (29.41 g/t Au and 1,797.3 g/t Ag) over 6.45 m etw, and including 80.57 g/t AuEq (45.34 g/t Au and 2,722.6 g/t Ag) over 3.90 m etw.

Prime Mining CEO, Daniel Kunz, commented, “The incredibly high-grade intercepts at Guadalupe East are exciting from a resource expansion perspective. 23GE-147 lies almost entirely within the 2023 economic Resource pit. The upper intercepts returned higher grades than what was predicted in the MRE block model while the lower intercepts are in what was previously estimated to be waste in the model. This material has the potential to substantively increase economic ounces in this part of Guadalupe East in our next Resource update.”

Scott Smith, Executive Vice President of Exploration added, “We believe the currently defined veins at Las Primas may intersect at depth in a similar manner to that seen in the high-grade ‘flower’ structure in the Laija area of Guadalupe East. If confirmed, these structural intersections have the potential to host similarly large volumes of high-grade gold-silver mineralization. The results reported today represent a very exciting area of generative growth at Las Primas, and we look forward to developing our knowledge of this area in 2024.”

The Guadalupe Zone hosts approximately one-half of the Indicated gold-equivalent ounces reported in the MRE. Z-T, Central and Guadalupe are the three main zones hosting the gold-silver MRE at the Los Reyes Project.

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 ongoing expansion along strike and down dip within previously reported mineral resource areas.

Drilling is resuming at the Los Reyes Project following the holiday break.

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$32 million on direct exploration activities and has completed over 158,000 m 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.