Prospero Silver Announces the Commencement of 3,000m Drill Program by Golden Minerals at the San Luis Cordero Project
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Mar 2, 2016) - Prospero Silver Corp. (TSX VENTURE:PSL) ("Prospero") is pleased to direct the reader to a news release published today by Golden Minerals Company ("Golden") (NYSE MKT:AUMN)(TSX:AUM) where Golden announces the commencement of a 3,000-meter drilling program on the Santa Rosa vein at its San Luis del Cordero Project in Durango State, Mexico. This is pursuant to an exploration and exploitation agreement signed with Golden and Prospero's wholly-owned Mexican subsidiary.
It is understood that Golden's primary objectives for the 2016 drill program are to define a larger and upgraded Santa Rosa vein resource including measured resources as well as indicated and inferred resources intended for inclusion in an updated NI 43-101 resource estimate and preliminary economic analysis.
Prospero published a NI 43-101 compliant resource estimate on the Cordero Santa Rosa vein system dated October 1, 2014 entitled Report on the Initial Resource Estimate for the San Luis Del Cordero Project, dated October 1, 2014, (the "Cordero Technical Report") and filed under Prospero's issuer profile on SEDAR (www.sedar.com) on November 18, 2014 (for the following extract see p. 54):
Zone | Class | Tonnes | AgEq3 g/t | Ag g/t | Cu % | Zn % | Ag ozs | AgEq Ozs4 | ||||||||
| Sta. Rosa vein | Indicated | 31,500 | 1022.6 | 827.8 | 1.21 | 1.98 | 838,366 | 1,035,663 | ||||||||
| Sta. Rosa vein | Inferred | 218,437 | 955.4 | 716.4 | 1.12 | 3.62 | 5,031,291 | 6,710,075 |
| 1. | Mineral Resources are not Mineral Reserves because there are insufficient studies to demonstrate economic viability. | ||
| 2. | It cannot be assumed that all or any part of an Inferred Resource will be upgraded to an Indicated or Measured Resource as a result of continued exploration. | ||
| 3. | AgEq = Ag + [Cu% x 22.046 x Cu price x 31.103/Ag price + Zn% x 22.046xZn price x 31.103/Ag price]. Metal prices used in the formula: silver = US$19/oz, copper = US$3.00/lb, Zn = US$0.90/lb. | ||
| 4. | AgEq ozs = AgEq grams/31.103. |
The Cordero Technical Report discloses a resource estimate on Cordero describing:
- A high-grade silver/copper/zinc resource -- see table above.
- Lower grade silver/copper values in a distinct structurally and strata-bound controlled skarn zone extending some 3 Km east & southeast - see table below.
Zone | Class | Tonnes | AgEq3 g/t | Ag g/t | Cu % | Zn % | Ag ozs | AgEq Ozs4 | ||||||||
| Sta. Rosa East skarn | Indicated | 631,125 | 200.8 | 86.1 | 0.76 | 1.02 | 1,747,094 | 4,075,335 | ||||||||
| Sta. Rosa East skarn | Inferred | 2,566,875 | 214.9 | 95.7 | 0.72 | 1.26 | 7,897,950 | 17,734.488 |
| 1. | Mineral Resources are not Mineral Reserves because there are insufficient studies to demonstrate economic viability. | ||
| 2. | It cannot be assumed that all or any part of an Inferred Resource will be upgraded to an Indicated or Measured Resource as a result of continued exploration. | ||
| 3. | AgEq = Ag + [Cu% x 22.046 x Cu price x 31.103/Ag price + Zn% x 22.046xZn price x 31.103/Ag price]. Metal prices used in the formula: silver = US$19/oz., copper = US$3.00/lb., Zn = US$0.90/lb. | ||
| 4. | AgEq ozs = AgEq grams/31.103 |
Prospero's agreement with Golden Minerals deals only with the Santa Rosa vein system. Prospero plans to consider further exploration with a view to expanding the resource of the Santa Rosa East Skarn, with additional drilling if and when market conditions permit.
Tawn Albinson, M.Sc., President of the Company, is a Qualified Person, as defined in NI 43-101, and is responsible for the technical content of this press release.
About Prospero Silver Corp.:
Prospero is a Canadian resource company with the majority of its staff based in Mexico and who work for its wholly-owned subsidiary Minera Fumarola, SA de CV. Prospero's objective, as a project generator, is to quickly evaluate properties it acquires for their suitability to provide size potential and/or amenability for strategic joint ventures. For additional information on Prospero, readers are encouraged to see the disclosure documents filed under the Company's profile at www.sedar.com, and to visit the Company's website at www.prosperosilver.com.
Forward-Looking Statements Cautions:
This press release contains certain "forward-looking statements," within the meaning of Canadian securities legislation, including statements relating to the Company's plans to participate in mining operations on its Cordero project property and to undertake new exploration efforts in order to identify additional resources on the Cordero property, more specifically, on the Santa Rosa East Skarn. Forward-looking statements are statements that are not historical fact. They are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change, unless required by law, including the rules and regulations of the TSX Venture Exchange. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include the following risk factors: the Company might not be able to secure sufficient additional financing for its planned exploration and development activities; Golden Minerals or Prospero might not be satisfied with their further due diligence investigations, including drilling, metallurgical work and engineering studies, such that the proposed new mining operations will not proceed; the Company or Golden Minerals might encounter problems such as further significant depreciation of metals prices; the possibility of accidents and other risks associated with mine development and production operations; the Company or Golden Minerals might encounter unanticipated geological factors the makes the proposed mining operations not viable; the possibility that the Company or Golden Minerals might not be able to secure permitting and other governmental clearances necessary to carry out the proposed mineral exploration and mining operations; and the other risk factors discussed in greater detail in the Company's various filings on SEDAR (www.sedar.com) with Canadian securities regulators.
Neither the TSX nor its regulation services provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy and accuracy of this press release.