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Diamond drillholes confirm high silver grades at Webb Silver Project
//stocks-investing.news-articles.net/content/201 .. m-high-silver-grades-at-webb-silver-project.html
Published in Stocks and Investing on Wednesday, March 14th 2012 at 4:31 GMT by Market Wire
Published in Stocks and Investing on Wednesday, March 14th 2012 at 4:31 GMT by Market Wire

March 14, 2012 07:24 ET
Diamond drillholes confirm high silver grades at Webb Silver Project
To: Company Announcements Officer Australian Securities Exchange 14th March, 2012 Diamond drillholes confirm high silver grades at Webb Silver Project Results from remaining diamond drill infill holes (DDH) have confirmed and locally upgraded previous high grade intersections from reverse circulation (RC) drilling at the Webbs Silver project in New South Wales. The DDH program completed late last year will assist with geological interpretation of the deposit and provide drill core samples for metallurgical test work. The results again demonstrate the near surface nature and high grade character of mineralization at Webbs. The latest results have not been incorporated in the 400% upgrade of the Indicated and Measured JORC resources at Webbs, as announced on February 27. Detailed results from the latest holes are presented in Table 1. Highlights include: - DDH026 intersected: * 6.45m @ 200g/t Ag, 0.33% Cu, 1.57%Pb and 1.23% Zn from 49.25m; Incl. 2.00m @ 365g/t Ag, 0.62% Cu, 2.40% Pb and 2.47% Zn from 52.65m - DDH027 intersected: * 5.15m @ 398g/t Ag, 0.66% Cu, 3.19% Pb and 2.1% Zn from 34.1m; Incl. 1.00m @ 708g/t Ag, 1.26% Cu, 2.92% Pb and 1.45% Zn from 34.1m - DDH030 intersected: * 7.80m @ 464g/t Ag, 0.78% Cu, 2.17% Pb and 1.69% Zn from 29.8m; Incl. 2.60m @ 1125g/t Ag, 1.81% Cu, 3.79% Pb and 2.94% Zn from 30.9m Silver Mines CEO Charles Straw stated "the near surface high grade silver results, along with impressive grades of copper, lead and zinc continues to demonstrate the presence of shallow, high grade mineralisation at Webbs". "The next phase of drilling will target an additional 200m of vertical depth and target mineralisation up to 330m below the surface. Drilling will also target extensions to Webbs Main and Webbs South, where near surface potential exists along strike." "Based upon the results of our exploration to date the Company remains very confident that the next round of drilling has the potential to contribute towards a significant resource increase that will add a further allure to the Webbs Silver Project." Results DDH026 and 27 Diamond drill holes (DDH026 and 027) were drilled in opposite directions on the same cross section. These holes were designed to assist with detailed geological interpretation, confirm previous RC intersections and provide core for metallurgical testwork. In line with previous RC intersections both diamond holes confirmed the lode horizon is approximately 3.1m wide with average grades over that width ranging from 200-400g/t Ag (see Figure 1). Copper, lead and zinc grades also show good agreement with surrounding RC holes. DDH030 Diamond drillhole DDH030 was drilled about 25m south of DDH026 and 027. DDH030 intersected 7.8m @ 464g/t Ag. This corresponds to a true lode width of about 2.1m. This compares moderately well to the nearby RC holes 092 and 260. However, average grades in these RC holes are 188 and 281g/t Ag respectively somewhat lower than those from DDH030. A narrower higher grade zone in DDH030 of 2.55m @ 1125g/t Ag, 1.81% Cu, 3.79% Pb and 2.94% Zn from 30.9m indicates much higher grades than adjacent RC holes. This zone in DDH030 is shown in Figure 2. Other Holes DDH's 028 and 031 were abandoned and did not intersect the lode zone, although narrow low grade intersections were recorded in subsidiary lodes as shown in Table 1. DDH029 was collared so as to just miss the Main lode horizon. However it did intersect the Western lode which returned an intersection of 0.85m @ 496g/t Ag, 0.75% Cu, 5.00% Pb and 3.37% Zn. To view Figure 1. Webbs Main Cross Section 6752545N, please open the link in a new window: [ http://media3.marketwire.com/docs/0314SilverFig1.jpg ] To view Figure 2. DDH030 High grade zone 30.9m to 33.5m, please open the link in a new window: [ http://media3.marketwire.com/docs/0314SilverFig2.jpg ] Future Plans Results from these diamond holes will be incorporated into the resource database as they were not included in the recent resource upgrade. Drill core from these holes has been dispatched for mineragraphic examination which will assist metallurgical evaluation and samples have been selected for metallurgical test work. A new round of drilling is scheduled to begin in April 2012. The primary objective of this drilling will be to grow the overall resource inventory. The upcoming program will focus on additional deeper and extensional target areas where the deposit remains open along strike to the south and down plunge at Webbs Main and Webbs South. These targets are considered high priority as some of the widest and highest grade intercepts are still open at relatively shallow depth of approximately 80-140m below surface. Silver Mines has already pre-paid for 6000m of RC drilling at competitive rates. The Company looks forward to reporting results from the new drilling program in the coming months. Please direct any queries regarding the content of this report to Charles Straw (CEO) on +61 2 9253 0900 or [ cstraw@silverminesltd.com.au ]. Table 1. Diamond drilling: Hole details and intersections Hole ID MGA MGA Dip Azi Hole From To Int# Ag Cu Pb Zn East North MGA Depth (m) (m) (m) (g/t) (%) (%) (%) DDH026 6752536 358968 -62 277 71.9 49.25 55.70 6.45 200 0.33 1.57 1.32 incl. 52.65 54.65 2.00 365 0.62 2.40 2.47 DDH027 6752555 358935 -70 109 60.1 34.10 39.25 5.15 398 0.66 3.19 2.10 incl. 34.10 35.10 1.00 708 1.26 2.92 1.45 DDH028 6752565 358926 -50 273 66.2 41.20 41.65 0.45 25 0.14 0.01 0.16 DDH029 6752509 358945 -55 260 54.4 30.50 31.35 0.85 496 0.75 5.00 3.37 DDH030 6752527 358930 -79 103 51.6 29.80 37.60 7.80 464 0.78 2.17 1.69 incl. 30.90 33.50 2.60 1125 1.81 3.79 2.94 DDH031 6752522 358944 -75 283 48 12.00 15.80 3.80 17 0.03 0.38 0.78 All co-ordinates are in MGA grid. Drill hole elevations all around 712m ASL +/-3.5m. # Down-hole intersections are NOT true widths due to the geometry of the lodes and angle of intersection of the drill hole. True widths are estimated to be approximately 45% of down-hole interval in holes with dips of -55 degrees and approximately 33% of down-hole intervals in holes with dips of -70 degrees. Sampling and Assaying HQ diamond core samples are cut lengthways to produce half core. Samples are usually taken at 1m intervals or as geology dictates. Silver Mines have opted to utilise the services of ALS-Chemex (Brisbane), a globally respected company servicing the mining industry. Samples are dispatched by TNT Couriers from Glen Innes to ALS. Core is crushed to -6mm and a 1kg split is then pulverised to provide the assay pulp. Routine assaying is conducted by ALS Method ICP41 This is acid digest with an ICP-AES finish analysing for Ag, As, Bi, Cu, Fe, Pb, S, Sb, Sn, W and Zn. When elements exceed upper detections limits of 100ppm for Ag and 1% for Cu, Pb and Zn they are reanalysed by and appropriate ore grade acid technique (ALS method OG46). For silver above 1500g/t a gravimetric technique is used. Certified Standards and blanks are routinely submitted in each assay batch to monitor QA-QC. Competent Person Declaration The information in this Document that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr David Hobby, consulting geologist and Exploration Manager for SVL, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Hobby has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Hobby consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Silver Mines Limited ACN 107 452 942 L5, 17-19 Bridge St Sydney, NSW Australia 2000 P: +61 2 0253 0900 W: [ www.silverminesltd.com.au ] SVL ASX 120313 DDH Results
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