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Kootenay Silver announced an additional seven holes from a Phase II drill campaign at its La Negra discovery in Mexico. Highlights from the current near-surface drilling include 146 meters grading 68.39 g/t silver and 0.054 g/t gold.
Drill Tracker Weekly is not exclusive to Resource Investing News and is published with permission from Mackie Research Capital Corporation. It highlights drilling results in context with our database of over 10,000 drilling and trenching results. The purpose of this report is to highlight drilling and trenching results that stand out from the pack and compare them to their peer group. This report does not constitute initiation of coverage or a recommendation.
Price: $0.53
Market cap: $39 million
Cash estimate: $2.5 million
Project: La Negra
Country: Mexico
Ownership: 100 percent
Historical resources: Indicated (In Pit) 44.5 million tonnes grading 27.77 g/t Ag, 0.35 g/t Au, 0.40% Pb and 0.47% Zn
Project status: Phase II exploration
- Kootenay Silver announced an additional seven holes from its Phase II drilling campaign on its 100% owned La Negra discovery on the Promontorio project in Senora Mexico. The 500 by 200 metre zone was initially outlined in a prospecting and trenching program followed up by diamond drilling. The project is located approximately seven kilometres north of the Company’s 100% owned Promontorio project.
- Highlights from the current near surface drilling include 146 metres grading 68.39 g/t Ag, 0.054 g/t Au and 0.18% Pb and 138 metres of 63.12 g/t Ag, 0.049 g/t Au and 0.21% Pb with both intervals starting surface. Within the 500 by 200 metre breccia footprint, the breccia appears to have variable mineralization with discrete high-grade intervals within lower grade “background” mineralization. Drilling also extended the high-grade zones 100-150 metres to depth with a 30 metre interval of 101.86 g/t Ag, 0.117 g/t Au and 0.42% Pb starting at 197 metres depth. A second deeper interval returned 3 metres of high-grade silver/lead mineralization grading 177 g/t Ag, 0.084 g/t Au and 3.87% Pb starting at 293 metres.
- Mineralization in the diatreme breccia occurs within the strongly tourmaline-sericite-quartz altered matrix as silver chlorargyrite, a potentially easily leachable silver chlorite mineral associated with alteration in other important silver deposits in Mexico. Fragments are dominantly sericite altered and include a mix of intrusive and extrusive fragments, mineralized fragments and possible basement quartzite fragments. While the mineralized diatreme breccia occurs on surface, there was little indication that the breccia was mineralized as the deposit does not contain the typical gosson usually associated with oxidized sulphide minerals.
- The Company’s nearby Promontorio deposit hosts a measured and indicated pit constrained resource estimate of 44.5 million tonnes grading 27.77 g/t Ag, 0.35 g/t Au, 0.40% Pb and 0.47% Zn with an additional underground potential of 215,000 tonnes at 22.89 g/t Ag, 0.28 g/t Au, 0.40% Pb and 0.55% Zn.
La Negra discovery hole (October 2014): 41 metres @ 110.46 g/t Ag
Current drilling: 146 metres @ 68.39 g/t Ag from surface, 138 metres @ 63.12 g/t Ag from surface, 30 metres @ 101.86 g/t Ag from 197 metres.
Risks Analysis
Data contained in DRILL TRACKER WEEKLY is based on early stage exploration activity. The results are obtained at the very early stages of exploration and therefore, individual results may not be reproducible with additional trenching or drilling, nor may the results ultimately lead to the discovery of an economic deposit. Delineation of a resource body requires an extensive data gathering exercise according to guidelines set out in National Instrument 43-101 before investors can be reliably assured of a competent body of mineralization that may be of economic interest. DRILL TRACKER WEEKLY is designed to highlight individual trench or drill results, which stand out as being materially anomalous and are particularly worth of note – a type of early warning flag for a particular property that warrants further attention. Hence, DRILL TRACKER WEEKLY does not provide a recommendation to buy, sell or hold a specific equity – it is an information reference source to help quantify the meaning and relevance of early stage exploration results.
Relevant Disclosures Applicable to: Drill Tracker Weekly
1. The research analyst or a member of the analyst’s household owns and/or has options to acquire shares of the subject issuer. At the date of this release, Wayne Hewgill, owns no shares in any companies in this report.
2. Foran Mining Corp. (FOM) is covered at Mackie Research Capital Corporation by analyst Peter Campbell.
- In February 2013, an Analyst from Mackie Research Capital Corporation visited Foran’s McIlvenna Bay Project site. Commercial travel expenses to and from site were paid by Mackie Research Capital Corporation.
3. Lake Shore Gold Corp. (LSG) is covered at Mackie Research Capital Corporation by analyst Barry Allan.
Analyst Certification
I, Wayne Hewgill certify that the information in this report is sourced through public documents that are believed to be reliable but accuracy and completeness as represented in this report cannot be guaranteed. The author has not received payment from any of the companies covered in this report. This report makes no recommendations to buy, sell or hold. Each analyst of Mackie Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report.
