Argentex Mining (CVE:ATX) (OTCBB:AGXM) shares jumped nearly 9% on Monday after the company announced high grade silver results from its Pinguino project in Santa Cruz, Argentina.
The drill results are from the Marta Noroeste vein, the first target to be tested as part of the Vancouver-based company's 2011 exploration program.
Highlights included 4.0 metres grading 965 g/t silver and 3.23 g/t gold - the highest grades to date drilled within the structure.
"These intersections on Marta Noroeste continue to highlight the presence of a significant mineralized silver and gold system, and represent another successful milestone in showcasing the potential of the exploration camp," said president Ken Hicks.
"With the recent announcement of a positive Preliminary Economic Assessment, based on only a small portion of the Pinguino project, we believe that we are making significant progress in advancing the deposit to development stage."
At Pinguino, the company has identified a precious metals vein swarm, consisting of 51 plus veins over an approximate strike length of 75 line-kilometers to date, making it one of the largest discoveries on the Tranquilo Trend so far.
Other notable results reported today from Marta Noroeste include 32.00 metres at 41.7 g/t silver and 0.07 g/t gold, including 1.0 metre at 659 g/t silver and 1.02 g/t gold, in hole PR14-11.
In 2011, the company plans on completing a 17,000 metre drill program and a 12,000 metre trenching program to test known structures at a shallow depth to expand the current silver and gold resource. Marta Noroeste is the first of more than 13 separate structures targeted in the program.
Argentex's shares rallied 8.5% to $1.4 as of 2:48pm EST on Monday.