Vancouver, British Columbia--(Newsfile Corp. - May 4, 2022) - Silver Dollar Resources Inc. (CSE: SLV) (OTCQX: SLVDF) ("Silver Dollar" or the "Company") is pleased to report the remaining assay results from the Phase I drilling completed on the underexplored Noria portion of the La Joya Silver Project (the "Property") located in the state of Durango, Mexico. Phase II drilling is now in progress and targeting the wide intervals of mineralization intersected in the new Phase I discoveries.
Hole NOR-22-008 intersected 89.57 grams per tonne (g/t) silver equivalent (AgEQ) over 125.3 metres (m) starting at 3 m downhole. This interval includes 267.56 g/t AgEQ over 10.47m starting at 70.53 m downhole. Mineralization consists of Ag, gold (Au), copper (Cu), lead (Pb), and zinc (Zn) mineralization over wide intervals associated with sulphide veins, hornfels, and quartz veins hosted in Indidura formation carbonates adjacent to a monzonite intrusive.
Hole NOR-22-009 intersected 60.33 g/t AgEQ over 58.84m starting at 75.83m downhole. This hole was higher grade in gold recording 0.66 g/t Au over the same 58.84m interval. Gold tenors were over twice the grade and triple the width of mineralization encountered in historical hole LJ-DD12-96.
Phase I drilling exceeded expectations by:
identifying structural extensions of the known mineralized zones;
the discovery of a near-surface gold zone with appreciable grades and widths; and
wide skarn-type Ag-Au-Cu-Pb-Zn mineralization representing a new extension along the unexplored Coloradito intrusive beyond historical workings.
Drill core samples from all 11 holes completed over a total of 2,424 metres of Phase I drilling were submitted for analysis. Results for the first seven holes were reported on March 24, 2022 (See: news release), and the results reported below are for the last four holes.
"Our successful Phase I drilling has provided us with several new follow-up targets well outside the historic resource area. Assays from hole 8, which is approximately 1 kilometre west of the Main Mineralized Trend, are some of the best results ever reported from the Coloradito area," said Mike Romanik, president of Silver Dollar. "Phase II drilling continues, and we have encountered similar sulphide mineralization over even broader widths and will expand the program as analytical results dictate."
Phase 1 Drilling Objectives and Discussion
Hole NOR-22-008 (See: cross-section) was designed to target mineralization on the west side of the Coloradito intrusive where anomalous gold and zinc values were intersected in historical hole LLDD12-96. This hole intersected wide intervals of skarn-type Ag-Au-Cu-Pb-Zn representing the highest reported grades and widths to date from the Coloradito area. This area represents an exciting new discovery, particularly given it is located a full kilometre west of the Main Mineralized Trend.
Hole NOR-22-009 (See: cross-section) was designed to test the downward extension of the mineralization previously encountered in hole LJ-DD12-96 with an intercept of 0.32 g/t Au over 29m. This hole returned 0.66 g/t Au over 58.84m starting at 75.83m downhole, both increasing previous gold tenors and width encountered in historical hole LJ-DD12-96. This intercept also averaged 60.33 g/t AgEQ. Additional drilling in Phase II will follow up on this near-surface gold and skarn polymetallic mineralization.
Hole NOR-22-010 was designed to test mineralization at a depth of 375m. While the deep target was not encountered, interesting values were intercepted at shallower depths with the hole returning 72.29 g/t AgEQ over 13.32m starting at 112.73m downhole, which included 0.78 g/t Au over the same interval. The above interval includes 305.57 g/t AgEQ and 3.63 g/t Au over 2.09m starting at 123.96m downhole. Higher grade gold mineralization in Phase I has been observed associated with rhodonite and within an 80-170m vertical depth horizon spatially associated with the Coloradito intrusive. This higher-grade gold corridor which reported 29 g/t Au over 1.01m in NOR-21-004 represents a potential new target for Phase II follow-up drilling.
Hole NOR-22-011 targeted a western extension of the Yeyis structure with an intercept of 0.55 g/t Au over 7.87m starting at 155.23m downhole. While this mineralization generally coincides with the strike of the Yeyis structure, it is right on the intrusive contact.
Table 1: A summary of downhole drill intersection results for the last four holes of the Phase I program.
1.True widths have yet to be determined.
2.AgEQ in results assume (USD) $1,750 Au and $22 Ag per/oz, and $4.30 Cu, $1.25 Pb, and $1.50 Zn per/lb, and 100% metallurgical recovery.
Table 2: La Joya Drillhole Details
|Drill Hole #|
Procedure, Quality Assurance / Quality Control, and Data Verification
The diamond drill core (HQ size) was geologically logged, photographed, and marked for sampling. Core designated for sampling was sawn in half with a diamond blade core saw. One-half of the core was sealed in plastic bags and shipped for analysis. The remaining half portion is returned to the core trays for storage and/or for metallurgical test work.
The sealed and tagged sample bags were transported to either the ActLabs facility in Zacatecas, Mexico or the Bureau Veritas facility in Durango, Mexico where the samples were crushed and 200-300-gram pulp samples prepared with ninety percent passing Tyler 150 mesh (106μm). The pulps were assayed for gold using a 30-gram charge by fire assay (Code 1A2 and/or FA450) and over limits greater than 10 grams per tonne were re-assayed using a gravimetric finish (Code 1A3 and/or FA550). Silver and multi-element analysis was completed using total digestion (Code 1F2 Total Digestion ICP). Over limits greater than 100 grams per tonne silver were re-assayed using a gravimetric finish (Code 8-Ag FA-GRAV Ag).
Quality assurance and quality control ("QA/QC") procedures monitor the chain of custody of the samples and include the systematic insertion and monitoring of appropriate reference materials (certified standards, blanks, and duplicates) into the sample strings. The results of the assaying of the QA/QC material included in each batch were tracked to ensure the integrity of the assay data. All results stated in this announcement have passed Silver Dollar's QA/QC protocols.
Mike Kilbourne, P.Geo., an independent Qualified Person as defined in NI 43-101, has reviewed and approved the technical contents of this news release on behalf of the Company.
About the La Joya Project
The La Joya Property is situated approximately 75 kilometres directly southeast of the state capital city of Durango in a prolific mineralized region with past-producing and operating mines including Grupo Mexico's San Martin Mine, Industrias Penoles's Sabinas Mine, Pan American Silver's La Colorada Mine, and First Majestic's La Parrilla and Del Toro Silver Mines. For additional information on the Property click on the image below to watch the two-minute video.
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About Silver Dollar Resources Inc.
Silver Dollar is a mineral exploration company that completed its initial public offering in May 2020 and is fully funded for 2022 with approximately $9 million in the treasury. The Company's projects are located in two of the prolific mining jurisdictions in the world and include the advanced exploration and development stage La Joya Silver Project in the state of Durango, Mexico; and the discovery-stage Pakwash Lake and the Longlegged Lake properties in the Red Lake Mining District of Ontario, Canada. The Company has an aggressive growth strategy and is actively reviewing potentially accretive acquisitions with a focus on drill-ready projects in mining-friendly jurisdictions internationally.
ON BEHALF OF THE BOARD
Signed "Michael Romanik"
President, CEO & Director
Silver Dollar Resources Inc.
Direct line: (204) 724-0613
179 - 2945 Jacklin Road, Suite 416
Victoria, BC, V9B 6J9
This news release may contain "forward-looking statements." Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
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