"These latest drill results have now confirmed the continuity of new mineralization over an approximate 400 metre strike-length extending laterally from the Mina La Bocona to the Skarn Front deposits," Southern Silver's vice president of exploration Rob Macdonald said.
The company's drilling highlights included:
- a 1.5 metre interval (1.0 metre est. TT.) averaging 165g/t Ag, 0.1g/t Au, 11.5% Cu, 0.1% Pb and 0.4% Zn (1463g/t AgEq) within a 4.0 metre interval (2.6 metre est. TT.) averaging 77g/t Ag, 4.4% Cu, 0.2% Pb and 0.9% Zn (617g/t AgEq) from drill hole 21CLM-191;
- a 1.6 metre interval (1.3 metre est. TT) averaging 675g/t Ag, 0.3g/t Cu, 5.5% Pb and 3.4% Zn (1008g/t AgEq) withina 4.8 metre interval (3.8 metres est. TT) averaging 352g/t Ag, 0.1% Cu, 2.4% Pb and 1.6% Zn (500g/t AgEq) from drill hole 22CLM-188; and
- a 0.7 metre interval (0.6 metre est. TT) averaging 499g/t Ag, 0.1g/t Au, 0.4% Cu, 4.6% Pb and 1.5% Zn (759g/t AgEq) withina 2.2 metre interval (1.9 metres est. TT) averaging 162g/t Ag, 0.6g/t Au, 0.3% Cu, 1.5% Pb and 0.6% Zn (314g/t AgEq) from drill hole 22CLM-187
"Mineralization remains open at depth in both the North Felsite and the North Skarn targets with assays from two holes, 22CLM-192 and -193, pending," Macdonald said.
"Continuous to semi-continuous mineralization has now been identified around the circumference of the Central intrusion with the exception of the southwest quadrant which remains to be explored by diamond drilling," he added.
Red Cloud Securities said they view the results as strong.
"North Felsite is outside the current resource, and results suggest that this zone has a high likelihood of adding to the already large resource at Cerro Las Minitas," Red Cloud said, noting the resource stands at 137 million ounces AgEq indicated and 198 million oz AgEq inferred.
Southern Silver's share price was C$0.185 ($0.15) on July 26.
Red Cloud has a target price for the company of C$0.80. It cites Southern Silver's "tremendous exploration upside and top silver mining jurisdiction" as factors in its price target.
Southern Silver has a market capitalization of C$53.94 million.
