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TORONTO, June 15,
2022 /CNW/ - Silver Mountain Resources Inc.
("Silver Mountain", "AGMR" or the "Company")
is very pleased to announce the results for drill holes
SMR-001-22-MTC and SMR-002-22-SCS, the first drill holes of the
12000 m underground drilling campaign
at the Company's Reliquias underground silver mine in Huancavelica,
central Peru. The Huancavelica
region, and especially the Castrovirreyna mining district, is known
to host significant precious metal and polymetallic deposits, such
as Julcani (101 Moz Ag past
production) and San Genaro (>60 Moz
Ag past production).[1] Silver
Mountain, through its subsidiary Sociedad Minera Reliquias S.A.C.,
controls over of 27,000 hectares in this belt, mostly within the
prospective Reliquias and Dorita property blocks. Within the
Reliquias concession block, epithermal intermediate-sulphidation
style mineralization was previously mined at the Reliquias and
Caudalosa Grande deposits from multiple veins, however, both vein
systems remain highly underexplored.
![Table 1: Results of drill holes SMR-001-22-MTC and SMR-002-22-SCS. AgEq values were calculated using silver, lead, zinc, copper, and gold. Metal prices utilized for the calculations are current prices as of June 9, 2022: Ag – 21.92US$/oz, Pb – 2,150US$/t, Zn – 3,754US$/t, Cu – 4.38US$/lb, and Au – 1,846US$/oz. No adjustments were made for recovery as sufficient metallurgical data to allow for estimation of recoveries is not yet available. (CNW Group/Silver Mountain Resources Inc.) Table 1: Results of drill holes SMR-001-22-MTC and SMR-002-22-SCS. AgEq values were calculated using silver, lead, zinc, copper, and gold. Metal prices utilized for the calculations are current prices as of June 9, 2022: Ag – 21.92US$/oz, Pb – 2,150US$/t, Zn – 3,754US$/t, Cu – 4.38US$/lb, and Au – 1,846US$/oz. No adjustments were made for recovery as sufficient metallurgical data to allow for estimation of recoveries is not yet available. (CNW Group/Silver Mountain Resources Inc.)](https://mma.prnewswire.com/media/1840086/Silver_Mountain_Resources_Inc__SILVER_MOUNTAIN_RESOURCES_INTERSE.jpg)
Highlights from drill hole SMR-001-22-MTC:
- 10.40 metres with 446.23 g/t AgEq (51.85 g/t Ag, 2.95%
Pb, 4.82% Zn, 0.24% Cu, and 0.17 g/t Au), including
-
- 2.60 metres with 406.44 g/t AgEq (54.46 g/t Ag, 2.95%
Pb, 4.03% Zn, 0.30% Cu, and 0.08 g/t Au); and
- 2.25 metres with 793.56 g/t AgEq (84.49 g/t Ag, 4.24%
Pb, 9.45% Zn, 0.49% Cu, and 0.10 g/t Au); and
- 0.65 metres with 1523.70 g/t AgEq (152.00 g/t Ag, 13.90%
Pb, 16.70% Zn, 0.33% Cu, and 0.16 g/t Au)
Highlights from drill hole SMR-002-22-SCS:
- 1.00 metre with 718.86 g/t AgEq (235.00 g/t Ag, 4.20%
Pb, 5.10% Zn, 0.56% Cu, and 0.09 g/t Au); and
- 5.70 metres with 208.64 g/t AgEq (32.63 g/t Ag, 1.00%
Pb, 2.14% Zn, 0.16% Cu, and 0.11 g/t Au), including
-
- 1.75 metres with 396.01 g/t AgEq (60.00 g/t Ag, 2.01 %
Pb, 3.85% Zn, 0.39% Cu, and 0.19 g/t Au)
Alfredo Bazo, President & CEO
commented: "The assay results from our first two drill holes
have confirmed high-grade Ag-Pb-Zn mineralization where modelled
close to existing mine workings at the Reliquias deposit. Regarding
the vein width, both drill intersections have surpassed our
expectations to some extent. The drill program is advancing well
with two rigs turning, with 18 holes finished to date. Our
shareholders can look forward to a several news-rich months with a
steady flow of drill results."
The accompanying table provides more detail regarding the
mineralized intercepts encountered in drill holes SMR-001-22-MTC
and SMR-002-22-SCS.
On Behalf of the Board of Directors of Silver Mountain Resources
Inc.
Alfredo Bazo, Chief Executive
Officer and Director
Qualified Person
The scientific and technical information contained in this news
release has been reviewed and approved by Jose Vizquerra, a Director of the Company and a
Qualified Person within the meaning of National Instrument
43-101.
About Silver
Mountain
Silver Mountain Resources Inc. is a silver explorer and mine
developer planning to restart production at the Reliquias
underground mine and undertake exploration activities at its
prospective silver camps at the Castrovirreyna Project in
Huancavelica, Peru.
For additional information in respect of the Castrovirreyna
Project, please refer to the Company's technical report, titled
National Instrument 43-101 Technical Report—Castrovirreyna Project,
Peru, dated October 6, 2021, amended November 18, 2021, effective date August 17, 2021, available at
https://sedar.com
Silver Mountain's subsidiary Sociedad Minera Reliquias S.A.C.
owns 100% of its concessions and holds more than 27,000 hectares in
the district of Castrovirreyna, Huancavelica, Peru.
Sampling and Analytical
Procedures
Silver Mountain Resources follows systematic and rigorous
sampling and analytical protocols which meet industry standards.
These protocols are summarized below.
All drill holes are diamond core holes with HQ or NQ core
diameters. Drill core is collected at the underground drill site
where recovery measurements are taken before the core is
transported by truck to the core logging facility at the Caudalosa
Grande mine camp, where it is photographed and geologically logged.
The core is then cut in half with a diamond saw blade with half the
sample retained in the core box for future reference and the other
half placed into a pre-labelled plastic bag, sealed with a plastic
zip tie, and identified with a unique sample number. The core is
typically sampled over a 1-2 metre sample interval unless the
geologist determines the presence of an important geological
contact. The bagged samples are then stored in a secure area
pending shipment to a certified laboratory sample preparation
facility. Samples are sent by batch to the ALS laboratory in
Lima for assay. Silver Mountain
Resources independently inserts certified control standards, fine
and coarse blanks, and duplicates into the sample stream to monitor
data quality. These standards are inserted "blindly" to the
laboratory in the sample sequence prior to departure from the core
storage facilities. At the laboratory samples are dried, crushed,
and pulverized and then analyzed using a fire assay-AA finish
analysis for gold and a full multi-acid digestion with ICP-AES
analysis for other elements. Samples with results that exceed
maximum detection values for the main elements of interest (Ag, Zn,
Pb, Cu) are re-analyzed using precise ore-grade ICP analytical
techniques, while high gold values are re-analyzed by fire assay
with a gravimetric finish.
Forward Looking
Statements
This news release contains forward-looking statements and
forward-looking information within the meaning of Canadian
securities legislation (collectively, "forward-looking
statements") that relate to Silver Mountain's current
expectations and views of future events. Any statements that
express, or involve discussions as to, expectations, beliefs,
plans, objectives, assumptions or future events or performance
(often, but not always, through the use of words or phrases such as
"will likely result", "are expected to", "expects", "will
continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection",
"strategy", "objective" and "outlook") are not historical facts and
may be forward-looking statements and may involve estimates,
assumptions and uncertainties which could cause actual results or
outcomes to differ materially from those expressed in such
forward-looking statements. No assurance can be given that these
expectations will prove to be correct and such forward-looking
statements included in this news release should not be unduly
relied upon. These statements speak only as of the date of this
news release. Forward-looking statements in this news release
include, but are not limited to, statements in respect of the
Company's proposed exploration program and the timing and potential
results thereof.
Forward-looking statements are based on a number of assumptions
and are subject to a number of risks and uncertainties, many of
which are beyond Silver Mountain's control, which could cause
actual results and events to differ materially from those that are
disclosed in or implied by such forward-looking statements. Such
risks and uncertainties include, but are not limited to, the
factors set forth under "Forward-Looking Statements" and
"Risk Factors" in the Company's final prospectus dated
January 26, 2022. Silver Mountain
undertakes no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as may be required by law. New factors emerge
from time to time, and it is not possible for Silver Mountain to
predict all of them or assess the impact of each such factor or the
extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any
forward-looking statement. Any forward-looking statements contained
in this news release are expressly qualified in their entirety by
this cautionary statement.
1 Acosta Ale, J., Santisteban, A., &
Huanacuni, D. (2015). Lead and Zinc in Peru: Resources and Supply
Trends. Instituto Geológico Minero Y
Metalúrgico -
https://repositorio.ingemmet.gob.pe/handle/20.500.12544/3350
SOURCE Silver Mountain Resources Inc.