Silver Mountain posts high-grade sampling results at Reliquias mine, Peru

Silver Mountain Resources Inc. [TSXV-AGMR; OTCQB-AGMRF) has received results from underground channel sampling carried out between June and August 2023, part of its ongoing mine rehabilitation program at its 100% owned Reliquias mine, central Peru.

Company crews have continued to systematically sample the underground workings as part of the preparation work needed to restart operations at Reliquias in the future. A total of 3,499 samples were collected from the Sorpresa (SOR), Matacaballo (MTC), Perseguida (PER), Meteysaca (MTS), Pozo Rico (PZR), Beatita (BEA), Pasteur (PAS) and Vulcano (VUL) veins. All samples were collected perpendicular to the veins using portable rock saws.

Key Highlights – Channel sampling at Reliquias – weighted averages: MTC vein (Level 520) returned 130 metres with average vein width of 0.73 metres of 553 g/t Ag, 1.27% Pb, 1.37% Zn, 0.23% Cu and 0.83 g/t Au.

PAS vein (Level 710) returned 84 metres with average vein width of 0.86 metres of 214 g/t Ag, 0.78% Pb, 1.56% Zn, 0.06% Cu and 1.51 g/t Au.

BEA vein (Level 470) returned 23 metres with average vein width of 0.37 metres of 727 g/t Ag, 1.35% Pb, 1.21% Zn, 0.24% Cu and 0.33 g/t Au.

Alvaro Espinoza, President and CEO, said, “Our crews have continued to work at full speed rehabilitating and sampling the workings at the Reliquias Mine. Having readily accessible tunnels and crosscuts will allow us not only to potentially restart mine production quickly, but also provide us with sufficient representative data points to increase the confidence in our resource.”

Espinoza continued, “As Silver Mountain’s current exploration phase nears conclusion, we consistenly see excellent silver grades in known and new veins. Results from the Beatita vein, in particular, are very encouraging, as they confirm that there are multiple parallel NW-SE vein systems with grades similar to those found at Perseguida. Reliquias continues to deliver, and we optimistically look forward to the culmination of the current highly successful exploration phase and the preparation of an updated mineral resource estimate and publishing a new technical report.”

Silver Mountain geologists collected 3,499 channel samples from 1,046 channels between June and August 2023, as part of the compan’s plan to systematically sample the veins exposed in the Reliquias mine workings.

Channel sampling along an 84.40 metre long segment of the easternmost part of the Pasteur (PAS) vein, on level 710 and near the intersection with the Beatita vein (BEA), yielded a weighted average of 13.80 oz/t AgEq, with an average vein thickness of 0.86 metres. Furthermore, channel sampling 700 metres to the northwest along the BEA vein, on level 470, highlighted a 23-metre long segment with an average thickness of 0.37 metres grading 26.81 oz/t AgEq, indicating that high-grade silver extends both laterally and at depth. The Beatita vein is a 2.3 km long northwest-southwest trending vein, parallel to the Perseguida (PER) vein system, where some of the highest grades seen at Reliquias are hosted and it intersects the Pasteur vein system near the latter´s easternmost sxtension. The BEA vein is not included in the current mineral resource estimate.

The Meteysaca (MYS) vein system continues to show high grade silver and base metal grades. Results from a 130-metre long segment along level 520 from the central part of this NW-SE trending vein shows an average vein width of 0.73 metres with grades of 553 g/t Ag, 1.27% Pb, 1.37% Zn, 0.23% Cu and 0.85 g/t Au (22.51 oz/t AgEq). Figure 4 shows the sampling from level 520 of the MYS vein reported here.

Sampling elsewhere along a 30 metre segment of the Pasteur vein system (PAS) on level 642 shows an average vein width of 0.78 metres averaging 10.69 oz/t AgEq.

Channel sampling of the Reliquias mine workings is part of the company´s strategy of expanding the current mineral resource estimate by incorporating continuous vein samples from multiple veins in parallel with the mine rehabilitation and underground diamond drilling programs. Earlier channel sampling results from samples collected in 2023 were announced August 16 and May 9. The 2023 drill program consists of two phases: an initial 3,500 metre phase using BQ diameter core (now completed); and a second 12,500 metre phase using NQ and HQ diameter core, currently under way and approaching its conclusion.

Silver Mountain Resources Inc. is a silver explorer and mine developer planning to restart production at the Reliquias underground mine and undertake exploration activities at its prospective silver camps at the Castrovirreyna Project in Huancavelica, Peru.

Silver Mountain’s subsidiary Sociedad Minera Reliquias S.A.C. owns 100% of its concessions and holds more than 60,000 hectares in the district of Castrovirreyna, Huancavelica, Peru.