SEMARNAT Approves Zacatecas Silver’s Drilling Permits

Zacatecas Silver announced it has received authorization from SEMARNAT to drill more targets at its Panuco deposit in Zacatecas, seeking to further explore the concession and unlock its true mining value. In addition, the company reported it expects to receive approval for more drilling permits soon.

SEMARNAT approved 13 additional drilling rigs for Zacatecas Silver’s Panuco project, confirming the potential of some of its main veins. The company said it has obtained encouraging results from ongoing drilling to the northeast of its Panuco Norte Vein and as a result, it will continue exploring it.

“Our drilling in the eastern part of the Panuco North Vein resulted in a new discovery. Significantly, the higher-grade intercepts in the eastern part of the Panuco Norte Vein are relatively shallow, and are over 1 km to the southeast of the historical high-grade intercept. The historical intercept of 2.09 m at 1309 g/t Ag and 0.14 g/t Au from 254.4 m downhole, demonstrates the robust depth and significant strike-length potential of the Panuco Norte Vein,” said Chris Wilson, COO and Director of Zacatecas Silver.

In addition, Zacatecas Silver announced it has 27 drilling pads for its Panuco Norte Vein pending review, which are expected to be approved in February 2022. Furthermore, the company also awaits drilling approvals for another part of the project: the El Cristo vein system, which is scheduled to start drilling in 2Q22. The El Cristo vein system comprises several sub-parallel veins, extending for more than 2.5 km along a strike. The company believes its potential is high as the system is open in all directions and only eight holes have been drilled historically.

The company also reported that it drilled four diamond holes in the eastern part of the Panuco Central Vein to determine the continuity of the high-grade mineralized modeled as part of the current resource estimate. According to a company´s press release, all of the intersecting holes resulted in low grade, showing that the vein mineralization ends before the eastern limit of the concession.

Panuco is part of the Zacatecas Silver property located in Zacatecas, Mexico, in the highly prospective Fresnillo Silver Belt, which has produced over 6.2 billion ounces of silver. The company holds 7826 ha (19,338 acres) of ground that is highly prospective for low and intermediate sulphidation silver-base metal mineralization and potentially low sulphidation gold-dominant mineralization.