Category: Exploration and Development

Tawn Albinson, the President of Prospero said: “Although the current drill program is limited to 3 holes, we’ve cut new vein systems within 25km of one of the world’s great silver-gold districts, the Pachuca-Real Del Monte system, which produced over 1.2-billion ounces of silver. We have at least 6-7km of linear, structurally-controlled alteration at surface on our concession so hitting multi-ounce and multi-gram silver and gold grades with the first 2 holes is exciting. The intercepts, which include 1.35m @ 227 Ag between 147.4m and 148.8m in hole 1, demonstrate that the negligible Ag and Au anomalies we noted in the surface alteration are related to a potentially significant epithermal vein system at depth. For example, the main vein structure in hole 2 is over 12m thick down hole; probably 8-10m true thickness, carries 0.39 ppm Au and 33 ppm Ag, and the third intercept which is 0.75 meters in width carries 6.4 ppm Au and 75 ppm Ag.”

“The results of our first drill hole targeting the high-grade breccia below the proposed pit validate our decision to commence the surface drill program ahead of drilling from the underground decline,” said Greg McCunn, Chief Executive Officer. “The results will allow us to more fully understand the geometry of the complex breccia and the nature and extent of the mineralization ahead of drilling from the underground decline which is expected in Q3 2018. An added objective of our program was to test a lower-grade hydrothermal breccia structure lying south of the proposed pit which have shown positive results from this initial hole. The lower-grade hydrothermal breccia lies outside of the proposed PFS pit outline.”

“We are very pleased to release the December 31, 2017 reserve report showing significant increases to reserve tonnes,” stated Mr. Barry Devlin, Vice President of Exploration for Gold Resource Corporation. “Much of the 2017 reserve ore tonnage and base metal increases came from deep in the Switchback vein system in the same areas as the deepest mine development levels to date. We estimate this area to have lower precious metal grades and higher base metal grades relative to higher elevations in this epithermal vein system…..”

Neil Woodyer, CEO, stated “We are extremely pleased with the 59% increase in P&P reserves at Los Filos, which reflects the success of our 2017 programs focused on extending mine life.Furthermore, this growth we are reporting today excludes any additional contribution from the Bermejal Underground expansion project, which has M&I resources of 2.1 Moz of gold (see Table 3) at a grade of 5.96 g/t, as reported as of December 31, 2017.The Bermejal Underground expansion is currently in the mine design phase in preparation for declaration of reserves in mid-2018. With the exploration success during 2017 and the reassessment of Los Filos’ long-term potential, studies are underway to evaluate building a carbon-in-leach processing plant, enabling higher recoveries for a wider range of ore types.”

“We have made good progress on the exploration program in the first two months of the year” said Greg McCunn, CEO of Alio. “The discovery of two new breccia targets outcropping at surface and within close proximity to the existing Mineral Resource is an exciting development and shows the potential of our 56,000 hectare land package. The surface drilling to test the known extension of the breccia below the proposed pit is designed to allow us to more fully understand the nature and extent of the mineralization ahead of drilling from underground. With the decline construction now fully underway, we expect to be in a position to start drilling from underground in Q3 2018.”

The first phase of this current campaign will comprise 10-12 diamond core holes for approximately 1,000m and is expected to take about six weeks to complete. It is designed to target along-strike and down-dip extensions of the high-grade mineralisation intersected in the 2017 program. Based upon anticipating further success, a second phase of drilling is currently being planned to complete a 50m x 50m drill pattern over the mineralised body.

“The reprocessing operation will offset holding costs and allow the mill to remain in a fully operational status,” said Pierce Carson, CEO. “Meanwhile we are continuing to focus on securing sources of high-grade gold and silver ore that can be trucked to the mill for processing. We are close to being able to announce the acquisition of an attractive property that will allow us to resume mining operations, build production and increase cash flow.”

Millrock President & CEO Gregory Beischer commented: “Some strong results were obtained in this program from the Anchor Zone. Drilling is tentatively planned to resume in April 2018 to test the large gold-in-soil anomalies of the Crossover and Cobre prospects that lie north and northwest of Anchor respectively.”

“Es necesario hacer un trabajo conjunto entre mineras, gobiernos y comunidades en torno a proyectos mineros, dijo Luis Alberto Moreno, presidente del BID, en un panel de discusión organizado por el Consejo Canadiense para las Américas (CCA), organismo dedicado a analizar la relación de Canadá con las Américas.

Kristopher J. Raffle, P.Geo. (BC), Principal and consultant of APEX Geoscience Ltd. (APEX) commented, “The Company is currently reviewing the recently received El Pinguico underground stockpile drilling assay results, and the effect that relatively inconsistent recoveries, and loss of fine material may have on sample grades; and ultimately our assessment of the representivity of sampled material in comparison to the in-situ stockpile. Once the comprehensive review has been completed, the Company will provide a full report.”