Zacatecas Silver Corp. (TSX-V:ZAC, OTC:ZCTSF) outlined a new drilling program designed to expand its silver resources in Zacatecas, Mexico.
The drilling campaign will focus on two key vein systems: the Panuco Deposit and the El Cristo Vein System.
At Panuco, previous drilling and trenching have yielded high-grade silver results, including intercepts of 1.25 meters at 1,440 grams per tonne silver equivalent and 1.23 meters at 750 grams per tonne silver equivalent.
In May 2023, Zacatecas Silver announced a mineral resource estimate for Panuco totaling 3.41 million tonnes grading 187 grams per tonne silver equivalent, representing 20.5 million ounces of silver equivalent. The company believes the vein system remains open in all directions, offering further expansion potential.
The El Cristo Vein System, which extends northwest from the well-known Veta Grande vein, has also demonstrated strong mineralization. Initial scout drilling, comprising 28 drill holes, returned silver and base metal intercepts in 22 of those holes.
Beyond these flagship deposits, Zacatecas Silver has identified additional exploration targets. The San Gill Breccia Zone, located two kilometers southwest of the Veta Grande vein, exhibits intense brecciation and quartz veining with abundant iron oxides, suggesting potential for further mineralization. The Muleros Zone, positioned between Panuco and El Cristo, extends over three kilometers and consists of three main veins: the South Vein, North Vein, and El Rosario Vein.
Zacatecas Silver CEO and Director Eric Vanderleeuw emphasized the company’s strategy in advancing its silver assets. "Our technical team has designed a program aimed at expanding the current resource while following up on multiple high-grade intercepts drilled outside the known resource area,” Vanderleeuw said in a statement.
“This is a highly prospective project with significant expansion potential, located in a top-tier silver mining jurisdiction."
Alongside its exploration efforts, the company announced the closing of a non-brokered private placement financing, raising $1.5 million through the issuance of 30 million common shares at $0.05 per share. Proceeds from the financing will be allocated to exploration activities at both the Esperanza Gold Project and the Zacatecas Silver Project, as well as for general working capital.