GR Silver Mining (TSX-V:GRSL) Ltd has reported more drill results from its Plomosas project in Mexico, which it said confirms the potential to expand the resource at the San Marcial area.
The assays come from the fourth hole of an eight-hole program and confirmed the "significant" expansion of high-grade silver around 170 metres (m) down-dip below the lower limit of the San Marcial resource and about 70m along strike to the south-east.
A previous NI 43-101 resource for the San Marcial area showed 36 million indicated ounces (Moz) of silver-equivalent (Ag-Eq) but that was estimated to only 250m below surface.
"The latest drill results from the underground drilling program at San Marcial continue to impress, with the discovery of increasingly wide Ag intercepts at shallow depth," GR Silver's CEO Marcio Fonseca told investors in a statement. "This result, combined with the recent high-grade, wide Ag intervals reported from drill hole SMI21-03, validates our model for the extension of the San Marcial Breccia Ag mineralization, along strike and down dip."
READ: GR Silver Mining hails drill results from first underground program at San Marcial, which extend mineralization below resource
"With samples from four drill holes in the laboratory awaiting analysis, we are encouraged by the potential to receive more positive assay results from the remainder of this initial underground drilling program," he added.
The latest hole generated 299 grams per ton (g/t) silver over a length of 38m from 154m downhole, including 1,002 g/t silver over 3.5m from 157m downhole.
The assay results are part of GR's recently completed eight-hole (2,436m) diamond drill program, which is the first-ever underground drilling at the San Marcial area, targeting resource expansion in 2022. Results from the final four holes are pending, added the firm.
GR Silver is focused on cost-effective silver-gold resource expansion at its 100%-owned assets, which are on the eastern edge of the Rosario mining district, in the southeast of Sinaloa state in Mexico.
Contact the author at giles@proactiveinvestors.com