Rio Silver Inc., a Canadian exploration and mine development company, has announced that Peruvian Metals Corp., its joint-venture partner and project operator, has fulfilled the conditions to achieve a 50% interest in the Palta Dorada Au-Ag-Cu Project.
Image Credit: Shutterstock.com/ Phawat
Peruvian Metals has invested US$250,000, which includes sustaining capital, and has advanced a scheduled bulk sampling program, thus sealing the earn-in, as of June 30th. In 2021, the primary underground access, known as the San Juan tunnel, with portal landing and complete camp facilities were designed and installed under the Project’s operating license acquired despite several COVID-related setbacks.
The scheduled 290-m-long access tunnel or drift development along the main San Juan Level is in progress. It is being advanced along the strike of a mineralized, orogenic mesothermal vein structure inside the potential granitic host rock enabling good development.
It is expected that the mineralization will transition from oxide gold to a gold-silver-copper-rich sulfide mineral at 170 m along the San Juan level. The operator has been stockpiling oxide mineral intersected before reaching sulfide mineralization. This will offer the joint venture revenue until the targeted gold-silver-copper sulfide mineralization is achieved.
The oxide gold material extracted at present will be continuously stockpiled until enough tonnage is achieved to enable huge shipments to toll mills capable of processing this material.
The San Juan level has been developed to section Au-Ag-Cu sulfide mineral about 290 m from the San Juan portal and 35 m below the oxide-sulfide transition that was sampled already and mapped in a 53-m-deep artisanal shaft.
The samples returned assays varying from 3.06 g/t Au to 24.1 g/t Au, 36 g/t Ag to 865 g/t Ag and 0.31% Cu to 4.94% Cu over an average width of 0.60 m with a weighted average of 10.51 g/t Au, 329 g/t Ag and 1.74% Cu. As soon as the extraction preparation is completed, sulfide minerals will be treated at Peruvian’s sulfide milling facility situated in the vicinity.
Ryan Grywul, P. Geo, a qualified person as defined in National Instrument 43-101, has prepared, managed the preparation and approved the scientific and technical disclosure involved in this news release.
About Ninobamba
At the Ninobamba Silver or Gold Project, Rio Silver’s wholly-owned flagship, baseline environmental monitoring is in progress as a prerequisite for obtaining a drilling permit. Rio Silver’s team has been directly contacting the newly elected President and Council of the neighboring Community.
Two discreet precious metal targets are hosted by Ninobamba at opposite ends of an 8-km prospective corridor in a prolific, precious-metal-hosting geological belt located in central Peru. Rio Silver has modeled two vital precious metal targets where the company and, previously, Newmont Mining and others have spent more than US$10 million to assess this mineralized trend over the property.