Silver X Mining acquires Pampas Gold-Silver Project, Peru
Silver X Mining Corp. [TSXV: AGX); OTCQB: AGXPF; F: AGX] has entered into a definitive agreement to acquire a 100% interest in the Pampas Gold-Silver Project located in the Department of Huancavelica, Peru.
The Pampas acquisition secures control of an approximately 7,712.5-hectare epithermal project hosting multiple low-sulfidation gold-silver veins and historical and validation results, including rock chip and channel sample values of up to 85.9 g/t Au and 1,065 g/t Ag (Hunter Resources plc, 4 February 2015). The project represents a potentially important precious metals exploration asset within the Central Andes polymetallic belt.
Strategically, the Pampas Project strengthens Silver X’s asset base in central Peru and complements the company’s producing Nueva Recuperada property. The acquisition adds a new district-scale exploration asset with significant discovery potential within one of the most prospective polymetallic belts of the Central Andes.
With the addition of Pampas, Silver X continues to advance its strategy of building a multi-asset precious metals company, supported by producing operations, high-grade exploration assets and long-term regional processing capacity.
José M. Garcia, CEO, commented: “Pampas is exactly the type of asset we want to add to the Silver X portfolio – a high grade, district scale and located in the same mining belt where we are already operating.
“What makes Pampas particularly notable is the combination of strong historical grades and a system that has never been systematically drilled. With values reaching 85 grams per tonne gold and over 1,000 grams per tonne silver, Pampas clearly demonstrates the strength of the mineralizing system and the potential to host higher-grade zones.
“Strategically, this acquisition strengthens our asset base in Peru and complements our producing Nueva Recuperada operation. Pampas adds a new district-scale exploration opportunity with significant discovery potential within the same prospective mining belt.
“Our goal is simple: build Silver X into a high-grade, multi-asset precious metals company. With production already underway at Nueva Recuperada and new district-scale exploration opportunities emerging at Pampas, we believe we are building a platform capable of generating long-term growth and discovery.”
Investment Highlights – High-Grade Gold Growth Platform – District-scale acquisition: 7,712.5 hectares covering the Pampas and Próspero concessions along a continuous mineralized structural corridor in central Peru.
High-grade precious metals system: Historical and validation sampling indicates gold-silver mineralization across multiple veins and mineralized zones.
Large mineralized footprint: Historical work and later public disclosures describe at least 36 mineralized veins with mapped strike lengths of between 100 and 2,000 metres and widths ranging from 0.2 metres to more than 3.0 metres (Hunter Resources plc, 27 August 2014; Hunter Resources plc, 22 December 2014).
No documented drilling: Despite extensive surface and underground work, the Project has not been systematically drill tested.
Historical database in place: Historical work by BISA/Buenaventura in 1998-1999 included detailed surface and underground mapping and more than 1,000 multi-element geochemical samples, forming the basis of the historical database referenced in this release (BISA, 1999; Arroyo & Diaz, 2020).
Independent validation supports upside: Follow-up work by Hunter Resources in 2014 and 2015 confirmed gold-bearing structures and identified additional mineralized extensions under shallow cover (Hunter Resources plc, 27 August 2014; Hunter Resources plc, 4 February 2015).
District expansion potential: The adjoining Próspero concessions add scale and introduce a copper-enriched polymetallic dimension along the same structural trend.
Clear path to value creation: Silver X plans to advance Pampas through phased exploration aimed at drill targeting and future mineral resource definition.
Historical vein intervals include 500 metres mineralized vein exposed of which a 250 metre length averages 3.93 g/t Au, 131 g/t Ag, 1.42% Pb and 3.87% Zn (Hunter Resources plc, 27 August 2014) at the Victoria Vein.
At The Luz Vein, 470 metres mineralized vein exposed of which a 200 metre length averages 8.84 g/t Au, 97 g/t Ag, 0.39% Pb and 4.16% Zn (Hunter Resources plc, 27 August 2014).
At the Gaviota Vein, 1,250 metre mineralized vein exposed of which a 90 metre length averages 7.93 g/t Au, 138 g/t Ag, 0.57% Pb and 0.41% Zn (Hunter Resources plc, 27 August 2014).
At the Santa Domingo Vein, 2,000m mineralized vein exposed of which a 350 metre length averages 0.57 g/t Au, 84 g/t Ag, 2.21% Pb and 2.00% Zn (Hunter Resources plc, 27 August 2014).
At the Melita Vein, 515 metre mineralized vein exposed of which a 70 metre length averages 2.63 g/t Au, 166 g/t Ag, 3.20% Pb and 4.90% Zn (Hunter Resources plc, 27 August 2014).
Validation work completed by Hunter Resources between 2014 and 2015 confirmed the presence of gold mineralization at Luz and nearby structures, including values of up to 5.91 g/t Au and up to 6.39 g/t Au in areas interpreted as shallow-cover extensions (Hunter Resources plc, 22 December 2014; Hunter Resources plc, 4 February 2015). Subsequent Hunter sampling also reported rock chip and channel sample values of up to 85.9 g/t Au and 1,065 g/t Ag in previously untested extensions (Hunter Resources plc, 4 February 2015).
The Próspero area introduces a copper-enriched polymetallic dimension to the Pampas district, with later reconnaissance work reporting values of up to 4.12 g/t Au, 433 g/t Ag and 5.8% Cu, suggesting potential metal zoning within a vertically evolving epithermal system.
Historical Buenaventura sampling results as summarized in Hunter Resources plc news release dated 27 August 2014, based on digitization of historical Buenaventura exploration data. Reported Buenaventura sampling comprised both channel samples and rock chip samples from underground and surface exposures.
Under the terms of the agreement, Silver X will acquire 100% of the Project for US$1.7 million in staged cash payments over 24 months and a 3.0% NSR royalty with the option to repurchase 1.5% for US$1.5 million during the first four years following the commencement of production.
The Pampas-Próspero district is centered on an intrusive complex interpreted as part of a Miocene volcanic dome system located within the polymetallic belt of the Central Andes. Historical mapping and later technical synthesis indicate that mineralization across both Pampas and Próspero is structurally controlled and hosted within two principal fault systems (Butler, 2014; Arroyo & Diaz, 2020).
A dominant northwest-trending structure includes the Santo Domingo vein, with approximately 2,000 metres of exposed strike length. A second north-south structural system hosts the Victoria, Gaviota, Melita and Piscococha veins at Pampas, with individual strike lengths of up to 1,250 metres and interpreted extensions toward the Próspero concessions (Butler, 2014; Hunter Resources plc, 27 August 2014).
At Pampas, mineralization occurs as quartz-sulfide veins and hydrothermal breccias hosted within the intrusive complex and associated structures. Historical and later technical interpretations indicate that higher-grade shoots may be localized where structures change orientation or intersect, generating dilation zones favourable for mineralization (Butler, 2014; Hunter Resources plc, 22 December 2014).
Historical underground workings, including multiple sublevels developed during the 1960s, focused on Santo Domingo, Melita, Victoria and Gaviota, while the broader dome-centre area remains comparatively underexplored at depth (Arroyo & Diaz, 2020).
The Próspero concessions extend the same structural corridor northwest of Pampas and host at least five mineralized zones identified through historical reconnaissance and later internal technical review. Mineralization described at Próspero includes quartz-sulfide mantos, hydrothermal breccias, copper-enriched zones hosted within dioritic units and strong iron oxide alteration. Reported reconnaissance results include values ranging up to 4.12 g/t Au, 433 g/t Ag, 15.6% Pb, 5.87% Zn and 5.8% Cu (Arroyo & Diaz, 2020).
Limited underground development was completed during the 1960s on the Santo Domingo, Melita, Victoria and Gaviota veins, including multiple sublevels and approximately 1,347 metres of underground geological mapping (Arroyo & Diaz, 2020).
In 1998 and 1999, Buenaventura Ingenieros S.A. (BISA) completed detailed underground geological mapping at 1:500 scale, surface geological mapping at 1:2,000 scale, and surface and underground geochemical sampling comprising more than 1,000 samples (BISA, 1999; Arroyo & Diaz, 2020). This work forms the principal historical database referenced in this release.
Despite extensive historical surface and underground work, the Project has not been systematically drill tested, leaving vertical continuity beneath historic workings untested (Hunter Resources plc, 27 August 2014; Hunter Resources plc, 4 February 2015).
Between 2014 and 2015, Hunter Resources digitized, reinterpreted and partially validated the historical dataset through mapping and sampling programs. Public disclosures issued by Hunter on 27 August 2014 and 4 February 2015 summarized the historical Buenaventura data and subsequent Hunter follow-up work, including confirmation of gold mineralization at Luz and adjacent structures, as well as new anomalous zones sampled during the 2014 field program (Hunter Resources plc, 27 August 2014; Hunter Resources plc, 4 February 2015).
Field observations and subsequent interpretation indicate local vein widening, structurally controlled multi-stage mineralization and evidence for mineralization beneath shallow cover, all of which support further evaluation through systematic drilling (Hunter Resources plc, 22 December 2014; Butler, 2014).
Exploration Strategy: Silver X plans to initiate a phased exploration program. Phase 1: validation of historical data; detailed structural mapping; systematic channel sampling; rehabilitation of historic workings and Induced Polarization (IP) surveys.
Phase 2: 5,000-metre initial diamond drill program; testing high-grade shoots in Victoria, Luz and Santo Domingo and drilling structural extensions into Próspero. The objective is to define an initial NI 43-101 compliant mineral resource within 24-36 months.
Epithermal systems of similar age (12-6 Ma) in the Huachocolpa-Julcani-Castrovirreyna belt commonly demonstrate significant vertical development.
Given the absence of systematic drilling at Pampas-Próspero, Silver X intends to prioritize testing, down-dip extensions of known high-grade shoots, structural intersections at depth and potential feeder zones beneath the dome center.
The Pampas Project is located approximately 40 km in a straight line from Silver X’s Nueva Recuperada operation, highlighting its strategic proximity to the company’s existing asset base in central Peru.
Infrastructure advantages include year-round road access; proximity to regional power lines; established mining workforce in the region; historic underground access points and manageable historical environmental footprint.
The combination of geological potential and favorable infrastructure positions Pampas-Próspero as a scalable exploration platform.
The company has entered into a marketing agreement with The Money Channel NYC, Inc., located at 48 Wall Street, 11th Floor, New York, New York 10005 (TMC), pursuant to which TMC will act as a media consultant to the company, assisting in identifying and introducing the company to media outlets and advertising opportunities for the dissemination of publicly available information regarding the company’s business plans.
The agreement will continue until April 14, 2026, and is subject to the approval of the TSX Venture Exchange. Pursuant to the agreement, the company has agreed to pay TMC an aggregate of US$200,000, payable as follows: US$67,000 upon execution of the agreement, US$67,000 thirty days following execution, and US$66,000 sixty days following execution. In addition, the company has agreed to issue options exercisable for 250,000 common shares of the company for a period of 24 months at an exercise price equal to C$1.05 per share. Exercise of these options is subject to prior TSXV approval.
TMC is a New York-based media relations and consulting company focused on capital markets communications and media outreach. The company will fund the cash consideration payable to TMC from its general working capital.
The decision to commence production at the Nueva Recuperada Project and the company’s ongoing mining operations as referenced here are based on economic models prepared by the company in conjunction with management’s knowledge of the property and the existing estimate of mineral resources on the property. The Production Decision and Operations are not based on a preliminary economic assessment, a pre-feasibility study or a feasibility study of mineral reserves demonstrating economic and technical viability.
Silver X is a rapidly expanding silver producer and developer advancing the Nueva Recuperada Project in Peru, a 20,795-hectare, district-scale land package with two mining units and over 200 targets. Current production at the Tangana Mining Unit is scaling alongside the planned restart of the Plata Mine, supporting a path to ~6 million AgEq ounces annually by 2029.