SilverCrest receives underground drilling permit for Phase 2 of Las Chispas

JOHANNESBURG (miningweekly.com) – SilverCrest Metals has received the underground drilling permit, including the permission to mine a 100 000 t bulk sample for offsite testing and processing, for Phase 2 of its Mexico-based Las Chispas exploration project.

Phase 2 will begin in November and will test potential near-surface resource areas, as well as extensional targets along trend and below the historic workings.

"We are encouraged with the early success from our initial drilling campaign at Las Chispas, which has confirmed continuity of high grades over potential mineable thicknesses,” said CEO Eric Fier on Thursday.

With the underground drilling permit, SilverCrest will start drill-defining resources and preparing for a broader Phase 2 exploration programme.

“Our current focus is to systematically drill the Las Chispas and William Tell veins in a grid pattern for resource estimation, test vein extensions and to further explore the Babicanora area,” noted Fier.

SilverCrest's schedule is to establish a maiden resource estimation in the first half of 2017.

The company is preparing an underground core drilling programme of 2 000 m and a minimum surface core drilling programme of 6 000 m.

Subsequent Phase 2 surface drilling is planned for Babicanora to initially evaluate its estimated 2.5 km strike length with multiple parallel veins, stockwork and breccias.

As with the Las Chispas and William Tell veins, Babicanora has not been previously drilled.
 
Additional surface and underground drilling will be conducted at the two veins, where the company recently completed the successful Phase 1 programme.

The focus will be on infill drilling for resource estimation and stepout drilling to test the possible southern and northern vein extensions of the Las Chispas and William Tell veins.

Phase 3 drilling will also include the initial drilling of other targets on the company's concessions, including the historic Varela mine, Espiritu Santo mine and Granaditas mine.

The company expects this campaign to be completed by the second quarter of 2017. The results will be incorporated into a maiden resource estimate for the Las Chispas project in 2017.