San Marco Resources Inc. (TSX VENTURE:SMN) has commenced a Phase I diamond drilling program on its Angeles property in northern Sonora state, Mexico.
The 2013 Phase I program includes a minimum of 2,500 meters of HQ core drilling, focusing on the La Bonanza and La Verde zones, 2 of the primary targets identified by a combination of geological, geochemical and geophysical data gathered and compiled by Company geologists. Early indications suggest that mineralization at Angeles is related to an epithermal, detachment fault type geological environment, which is similar to numerous deposits located in the southern US, including New Gold’s Mesquite mine, which hosts 5.6 million ounces gold (M&I Resources).
The Angeles exploration is being funded by Exeter Resource Corporation (TSX:XRC)(NYSE MKT:XRA)(FRANKFURT:EXB), which has an initial option to earn a 51% interest in Angeles by funding $10 million in exploration expenditures over 4 years, and where San Marco, as operator, will complete $1M of firm commitment exploration expenditures in 2013, including at least 2,500 meters of drilling (News Release dated March 4, 2013). Drill hole intercepts with assay results will be disclosed upon geological analysis of several drill holes in each of the target zones.
The Company acquired an option to purchase 100% interest in Angeles in mid-2012, and subsequently completed surface rock chip and soil sampling, trenching, a magnetometer survey and detailed geological mapping. In addition to discovering some 100 year old underground workings, (sample results discussed in News Releases dated October 11, 2012, November 27, 2012 and January 15, 2013), several sub parallel shear and fault structures were identified over a 3 km strike length, and having widths ranging from 1 – 16 meters. Identified structures are mineralized, with a variety of potentially economic values of gold, silver, copper, lead and zinc occurring in hematite rich, hydrothermal breccias and silicified meta-sediments, associated with regional NW structural features. Petrographic studies indicate at least 5 brecciating, quartz veining, faulting and silicification events, of which 3 appear to be associated with mineral deposition. Overprinting of these mineralizing sequences, coupled with the intense regional faulting, has created a structural and geological environment conducive to host mineralization.