Vancouver, BC.: CMC Metals Ltd. - (“the Company”) (TSX-V: CMB) is pleased to announce that it has completed a new mineral resource estimate (MRE) of inferred category for its Silver Hart silver-lead-zinc project in Yukon Canada. The new MRE totals 7.5 Moz @ 584 g/t silver equivalent (AgEq), in 362,500 tonnes utilizing a cut-off grade of 150 g/t AgEq. This MRE has been prepared in accordance with the Canadian Securities Administrators’ National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).
Table 1. Summary of the CIM Compliant mineral resource estimate of the Silver Hart silver-lead-zinc project
Notes on the Silver Hart MRE:
- CIM Definition standards (2014) were used for reporting the Mineral Resources.
- Mineral resource estimate prepared by Motherlode Consulting Inc.
- Inferred mineral resources are considered too speculative geologically to have economic consideration applied to them that would enable them to be categorized as mineral reserves. There is also no certainty that these inferred mineral resources will be converted to the measured and indicated categories through further drilling, or into mineral reserves, once economic considerations are applied.
- A base cut-off of 150 g/t AgEq was assumed to meet the NI43-101 requirement for mineral resource estimates to demonstrate “reasonable prospects for eventual economic extraction”.
- Silver-equivalent (AgEq) ounces were calculated using the formula:
Where Est.= estimated metal grade at block centroids using Ordinary Kriging.
- Silver equivalent calculation used a 36-month average daily metal prices of Silver - $17.14/oz, Zinc - $1.19/lb, and Lead - $0.93/lb (in US Dollars, extracted from S&P Market Intelligence).
- Silver equivalent ounces were based on recovery rates of 90% for silver, and 97% for lead and zinc.
- Specific gravity of 2.9 g/cm3 was used for the estimate of all metals as in previous resource estimates.
- Mineral resources are diluted to a minimum width of 1.2 metres.
- Effective date : November 30, 2020
- Totals may not sum due to rounding to the nearest hundred.
The new MRE has incorporated an additional 51 holes totalling 2,713.1 m that were drilled by the Company between 2010 and 2019. Modelling of the Silver Hart mineralized domains was completed using Leapfrog Geo software and the resource estimation was completed using Leapfrog’s EDGE estimation module. The modelling of mineralized domains incorporated data from 114 diamond drill holes totalling 6,829.8m completed from 2005 to 2019 (see attached drill hole map of the Main Zone), where the average length of drill holes was 60 meters. Data from diamond drill holes completed between 1985 and 1987 by Silver Hart Mines Ltd. was not incorporated into the model given the unavailability of assay certificates for these holes. Cross sections of one of the zones modelled within the resource estimate are provided in attached figures to provide further insight into the modelling work.
Further details on the new mineral resource estimate at Silver Hart and the use of the above-mentioned parameters will be provided in the upcoming NI 43-101 report that is being prepared by Antonio Celis of Motherlode Consulting Inc. and Graham Davidson of Longford Exploration Services Ltd. both of Vancouver, British Columbia.
Kevin Brewer, a registered Professional Geoscientist (P.Geo) and the President and CEO of the Company noted, “This new resource estimate signals the resource potential of Silver Hart. Drilling to date has covered a very small portion of the property exclusively within the Main Zone. Even within the Main Zone it is evident from our data that there are opportunities to expand many of the known mineralized zones (TM, KL, S and M) and also investigate other mineralized zones and alteration areas that have been identified by prospecting, geological mapping and geophysical investigations but are yet to be drill tested. The drilling has been very limited at depth and in most of the mineralized zones has only served to identify near surface mineralization. In addition, from our positive recent exploration results, we have also identified numerous anomalous areas identified that warrant further investigation. We are also very hopeful that with the number and extent of mineral occurrences within the adjacent Blue Heaven property, additional mineralization will also be discovered. We expect our geophysical survey results combined with the modelling data will further help us to define areas of interest for our proposed drill campaign in 2021.”
The Rancheria Silver District is located approximately 300 kilometers east of Whitehorse, Yukon in a 130 km long by 50 km wide belt that straddles the Yukon and British Columbia border. CMC has been actively exploring this silver district on the northern end at its Silver Hart and Blue Heaven properties and recently acquired the Rancheria South Property, British Columbia in the south-central portion of the District. CMC now has exploration claims covering approximately 6000 hectares of the Rancheria Silver District.
The independent Qualified Person for the mineral resource estimate is Antonio Celis, a registered professional geoscientist (P.Geo) and Qualified Person (as defined by National Instrument 43-101) from Motherlode Consulting Inc. and an independent geologist under contract with Longford Exploration Services Ltd., a consulting company based in Vancouver, British Columbia. Mr. Antonio Celis has approved the technical information reported herein. The Company is committed to meeting the highest standards of integrity, transparency and consistency in reporting technical content, including geological reporting, geophysical investigations, environmental and baseline studies, engineering studies, metallurgical testing, assaying and all other technical data.
About CMC Metals.
CMC Metals Ltd. is a growth stage mineral exploration company focused on opportunities in Yukon, British Columbia and Newfoundland. Our silver-lead-zinc projects include Silver Hart, Blue Heaven and Rancheria South. Our polymetallic projects with gold potential include Logjam, Bridal Veil and Terra Nova.
On behalf of the Board:
John Bossio, Chairman
CMC METALS LTD.
For further information concerning the CMC Metals Ltd., or its exploration projects, please contact:
Investor Inquiries: Kevin Brewer
President, CEO and Director
Tel: (604) 605-0166
To be added to CMC’s news distribution list, please send an email to email@example.com . Also please visit our website at www.cmcmetals.ca for more up-to-date news and information on our projects.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
“This news release may contain certain statements that constitute “forward-looking information” within the meaning of applicable securities law, including without limitation, statements that address the timing and content of upcoming work programs, geological interpretations, receipt of property titles and exploitation activities and developments. In this release disclosure regarding the potential to undertake future work comprise forward looking statements. Forward-looking statements address future events and conditions and are necessarily based upon a number of estimates and assumptions. While such estimates and assumptions are considered reasonable by the management of the Company, they are inherently subject to significant business, economic, competitive and regulatory uncertainties and risks, including the ability of the Company to raise the funds necessary to fund its projects and, accordingly, may not occur as described herein or at all. Actual results may differ materially from those currently anticipated in such statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, the timing and receipt of government and regulatory approvals, and continued availability of capital and financing and general economic, market or business conditions. Readers are referred to the Company’s filings with the Canadian securities regulators for information on these and other risk factors, available at www.sedar.com. Investors are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. The forward-looking statements included in this news release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation.”