Kootenay Silver (CVE:KTN) and Pinecrest Resources (CVE:PCR) reported Friday initial phase 1 drill results from the Espiritu polymetallic property in Sonora, Mexico.
Pinecrest, as operator of the project, can earn a 50 per cent
interest in the Espiritu project by spending $1.0 million on exploration
over a four-year period, and by issuing up to 750,000 shares over three
Five diamond drill holes for a total of 409 metres were completed on
two of seven known silver-rich mineralized areas outlined so far at the
Two of the five holes tested the Road Show Zone and three tested the Molinos Zone.
At the Road Show Zone, the holes were designed to test a 500 by 500
metre target containing silver, gold, lead, zinc and copper
ESP-12-01 intersected 54 metres of "ferro-dolomite altered breccia",
of which 41 metres were anomalous in silver, lead and zinc, with the
best interval returning 11.0 metres grading 26.2 grams per tonne (g/t)
silver, 2,762 parts per million (ppm) of zinc, and 1,388 ppm lead.
The highest individual section within this interval assayed 1.0 metre for 187 g/t silver and 1.87% of lead plus zinc.
at the Molinos Zone, hole ESP-12-03 was lost prior to target depth
because it intersected an old mine working, but the holes was then
re-drilled, showing 17.8 g/t silver, 195 ppm of zinc, and 1,375 ppm of
lead over 4 metres, said the companies.
In drill hole ESP-12-04 at Molinos, the shale interval intersected
returned anomalous silver, lead and zinc, the parties said, while the
porphyry was anomalous in copper and molybdenum.
The hole returned an 8.5 metres interval grading 12.4 g/t silver, 730
ppm zinc, 582 ppm lead, and 420 ppm copper, including 1 metre of 38 g/t
silver, 1,580 ppm zinc, 960 ppm lead, 670 ppm copper and 210 ppm of
The third hole, ESP-12-05, was lost before reaching the target depth. The companies said no significant values were intercepted.
The Molinos Zone is located roughly 2.0 kilometres southeast of the Road Show Zone.
A soil survey completed over Molinos outlined a broad zone of highly
anomalous gold, silver, lead, zinc mineralization, Pinecrest and
Kootenay said. The type of mineralization is suggestive of a continuum
of mineralization between the Road Show into the Molinos Zone, they
The two companies are reviewing all technical data from the Espiritu
project to recommend the next stage of work to advance the project.
The Espiritu project covers an extensive area of mineralization,
including a copper-gold porphyry zone where previous drilling
intersected up to 232 metres grading 0.14% copper and 0.14 g/t gold.
Silver-gold-lead-zinc veins have also been documented on the property, with grab samples returning up to 1,000 g/t silver.
The project is located along a northwest structural trend that hosts Agnico Eagle's (TSE:AEM) (NYSE:AEM) La India and Tarachi gold deposits, and Alamos Gold's (TSE:AGI) Mulatos gold deposit.