Golden Minerals Company (NYSE-A:AUMN, TSX:AUMN, ETR:7GB) has reported results from the first nine holes drilled in a third drill program conducted at its Yoquivo gold-silver project in northwest Chihuahua state in Mexico.
The drilling revealed multiple new veins at Yoquivo, the company said, adding that it expects to report an initial gold-silver resource on the property later this year.
"This most recent drilling has focused on testing the Pertenencia vein system to extend the known mineralized strike length into previously untested areas. The Pertenencia vein has continued to return strong gold-silver grades, and the vein remains open to depth and to the north," Warren Rehn, president and chief executive officer of Golden Minerals said in a statement.
READ: Golden Minerals reports 1Q revenue of $7.5M as Rodeo gold-silver mine produces 3,787 gold-equivalent ounces
"The discovery of multiple, previously unknown, high-grade gold-silver structures, particularly the Camila vein, demonstrates that there is also significant potential at Yoquivo to discover additional high-grade structures on the property. The current drill program is expected to allow us to report an initial gold-silver resource on the property later this year," he added.
Highlights from the drilling include:
- 2.2 metres (m) @ 10.21 grams per ton (g/t) gold (Au) and 138.8 g/t silver (Ag)
- 0.4m @ 30.80 g/t Au and 5,260.0 g/t Ag
- 4.2m @ 0.16 g/t Au and 229.2 g/t Ag
- 80.1m @ 0.89 g/t Au and 64.5 g/t Ag
- 1.7m @ 0.13 g/t Au, 354.6 g/t Ag
The 2022 drill program, which started in May with 17 holes totaling 4,033m drilled to date, is designed to follow-up on high-grade intercepts reported from the company's 2021 drilling activity, as well as to drill several holes exploring other interesting vein systems on the property.
Golden Minerals owns six concessions and holds an option to purchase one additional concession that comprise the Yoquivo property, totaling 1,974.8 hectares. The remaining concession can be purchased for $0.2 million over four years. The six concessions already owned by Golden are subject to a 2% net smelter return royalty on production capped at $3 million.
Golden Minerals is primarily focused on producing gold and silver from its Rodeo Mine and advancing its Velardena Properties in Mexico and, through partner-funded exploration, its El Quevar silver property in Argentina, as well as acquiring and advancing selected mining properties in Mexico, Nevada and Argentina.
Contact the author at jon.hopkins@proactiveinvestors.com