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Thursday, 14 March 2013
Silver Bull says underground drill program to have significant influence on upcoming updated resource at Sierra Mojada
Silver Bull Resources (TSE:SVB)(NYSE MKT:SVBL) told investors Thursday that an underground drill program conducted last year at its Sierra Mojada project in Mexico has successfully supported historical data that was previously discarded, meaning a significant impact for an updated resource estimate at the property.
The underground program twinned what the company calls a historical "long hole" data set along a high grade silver zone and the underlying and adjacent high grade zinc zone - both located at the eastern end of the current resource.
The aim of the campaign, which concluded in December, was to increase confidence in the historical data, which represents 39,000 metres of drilling that was either "severely restricted" or discarded in the company's last NI 43-101 resource report on the Shallow Silver zone in July of last year.
The company said the program amounted to 6,500 metres of drilling, with the complete results to be included in a revised resource update on the Shallow Silver and Zinc zones - expected by the end of this month.
The results of the program, Silver Bull said, show that the historical data was a "fair representation" of the grade and width of the silver and zinc mineralization.
"The high correlation between the historical long hole data set and Silver Bull's recently completed core twinning holes means that over 39,000 meters of historical drilling focused in mainly high grade silver and zinc mineralization will now have a more significant influence in any resource calculation at Sierra Mojada," it told investors.
The new resource report will include over 10,000 metres of additional surface drilling, 6,500 metres of underground drilling, and the impact from over 39,000 metres from the long hole data set.
It has also collected an additional 400 channel samples for metallurgical test work.
Silver Bull added that JDS Energy & Mining has been commissioned to complete the next NI 43-101 report as a lead-in to a preliminary economic assessment for the project, which is planned for the third quarter of this year.