The junior had accomplished the acquisition of Silver Hammer Mining in June, paying C$2.1 million in money and scrip.
The transaction adopted the April 30 completion of its preliminary public providing of frequent shares by its agent, Canaccord Genuity. The providing of three,000,000 frequent shares was totally subscribed for gross proceeds of C$300,000.
In response to Lekstrom, the Silver Strand mine has a 5.5-kilometre strike size within the Coeur d’Alene mining district. Situated in North Idaho’s Silver Valley alongside Interstate 90, the district is understood for its depth potential with quite a few deposits and has produced over 1.2 billion ounces of silver.
After Lekstrom assumed the publish in June, and the corporate launched the outcomes of current floor rock chip sampling and an underground sampling program on the brownfields mission. The geology group collected 13 rock chip samples from altered and mineralized exposures all through the mine.
In early August, the corporate introduced the primary outcomes from its actions on the mission, together with a seize pattern of 11.79 grams per tonne gold one kilometre past the beforehand sampled space, which supplied 255 grams per tonne silver alongside 5.5 kilometres of mineralized pattern. The outcomes additionally pointed in direction of robust indications of a number of sub-parallel veins.
“Our first part of drilling on Silver Strand will embrace preliminary underground drilling from the drilling bay that was established by now accomplished mine rehabilitation work. We’ll additionally drill choose shallow floor targets designed to check for lateral vein extensions alongside strike,” mentioned Lektrom.
Previous manufacturing stopped at simply 90-metres depth, and this primary part of underground drilling will take a look at instantly beneath what was traditionally mined at Silver Strand. Outcomes from Part 1 drilling are additionally anticipated to offer perception relating to the plunge, depth, lateral enlargement, and dip of the veins, which is able to underpin the corporate’s modelling and follow-up drilling.
“We’re evaluating a number of veins throughout the property. Increasing the useful resource potential each down-dip and alongside the 5.5 kilometres of potential structural extent is a pivotal step in demonstrating that this mission has exploration potential just like the massive deposits that made Coeur d’Alene one of many high silver districts on the earth,” mentioned Lekstrom.
Veins inside the Revett formation host many of the silver mines within the Coeur d’Alene mining district, together with the Sunshine mine, which produced 359 million ounces of silver to depths exceeding 1,800 metres.
Silver Strand is positioned inside the Revett formation and shares related geological traits with the Sunshine mine and different multi-hundred-million-ounce silver deposits, additionally inside the Revett formation.
“So, we had been capable of consolidate a bundle as much as the Burnt Cabin mine, which, when that was accomplished, it was earlier than I joined really, and so they had a sneaking suspicion that there’s mineralization all the best way up there. By way of our floor program, we’ve confirmed that there are pockets of mineralization all the best way between Silver Strand and Burnt Cabin. And with good grades. At Burnt Cabin, we’ve had slightly below 12 grams per tonne of gold and as much as 255 grams per tonne silver on that gap strike size from floor,” Lektrom mentioned.
The plan is to have the primary useful resource out within the subsequent 12 months, adopted by a bulk sampling program.
Nevada silver upside
Subsequent up on the corporate’s asset precedence listing is the Eliza silver mission, in Nevada’s Hamilton District, traditionally the USA’s best silver district. The corporate had just lately staked an extra 52 new claims at Eliza, greater than doubling its land bundle. With the addition of those new claims, the Eliza land bundle now contains 88 claims totalling 5.52 sq.km.
Lekstrom mentioned the mission can host the ‘lacking half’ of the Hamilton deposit, which produced 40 million ounces with grades as excessive as 18,700 grams per tonne silver.
The Silver Hammer group plans to deploy a brand new geologic mannequin, which is able to discover the down-thrown aspect of the Eberhardt Fault, which separates the Hamilton District from the Eliza property.
The California mine, which mined ore grading between 5,621 to 18,737 grams per tonne silver-equivalent (AgEq) within the 1870s, can be simply south of the Eberhardt Fault, indicating that very high-grade mineralization could be discovered inside the Eliza fault block.
Floor samples collected on the close by California mine grading 24,956 g/t silver and data gained from an in depth geologic map point out that Eliza and the Hamilton District include high-grade silver mineralization hosted by the identical formation. Nonetheless, no important work or drilling has been accomplished on the mission in over half a century.
“Our preliminary exploration work has recognized mineralization that extends onto these newly acquired claims alongside the decrease half of the Eliza mission,” mentioned Lekstrom. “We’re presently conducting a mapping and geochemistry program on the property the place we see important potential for discovery in areas which have by no means been explored utilizing trendy exploration strategies. We are going to use this information to plan an in depth preliminary exploration program focused for early 2022.”
In the meantime, preliminary outcomes from a sampling program on the firm’s Silverton mine, a mission sharing related geology and Aster signature to Kinross Gold’s Spherical Mountain mission, about 108 kilometres to the west, have confirmed floor gold mineralization on the east aspect of the property.
A pattern of 6.1 grams per tonne gold was taken from the silicified tuff. The past-producing Silverton mine is in East Nevada’s ‘Silver Alley’ with high-grade historic manufacturing of as much as 933 grams per tonne silver. Regardless of important floor exposures and seize samples grading as much as 499 grams per tonne silver and 1.99 grams per tonne gold, no trendy drilling or subsurface exploration strategies have been performed on the mission because the Twenties.
The primary trendy work is presently underway, together with satellite tv for pc imaging displaying related color anomalies to Kinross’s 15-million-ounce Spherical Mountain gold mine.
British Columbia gold prospect
In Canada, the place Silver Hammer is domiciled, it retains early-stage gold optionality through the Lacy mine in British Columbia.
Lacy’s most distinguished gold and silver occurrences are uncovered alongside the deserted CPR railway observe (known as the Primary and East Monitor gold occurrences), the place elevated gold and silver values are related to pyrite and hint chalcopyrite malachite mineralization.
Historic sampling by Lode Useful resource Corp in 1987 returned 14.9 grams per tonne gold from rock samples of huge and semi-massive pyrite from the Primary Displaying positioned within the southwest portion of the property.
Silver Hammer shares final traded at C50c apiece, capitalizing it at C$16.87 million ($13.55 million).