Wed Jan 29, 2003
Silver Standard And Pan American Silver Announce Further Bonanza-Grade Drill Intercepts At Manantial Espejo In Argentina
Vancouver, B.C. -- Silver Standard Resources Inc. (Nasdaq SmallCap - SSRI; TSX Venture - SSO; Berlin - 858840) and Pan American Silver Corp. (Nasdaq - PAAS; TSX - PAA) are pleased to report further high-grade drilling results from their jointly owned Manantial Espejo silver-gold property in the Santa Cruz province of Argentina. Silver Standard is managing the 6,000-meter core-drilling program (Ken McNaughton, P.Eng., V.P., Exploration, Silver Standard, Qualified Person), which is expected to result in an updated pre-feasibility study in 2003. Manantial Espejo is a 257.2 km2 (99.3 square-mile) project that includes mineral and surface rights to 20 kilometres (12.4 miles) of the mineralized trend that contains the Maria, Marta and Melissa veins.
This release covers results from 3,170 meters of drilling in 21 holes. Assays are complete for 13 holes in the Maria vein area, which were located to infill previous drilling to 25-meter spacing (from 50 meters) over a strike length of 700 meters.
The best hole in this area in the current program (T-319 at Line 325W) intersected three zones of mineralization. The highlight of the three zones was 16.2 meters grading 17.4 grams of gold per tonne and 409.4 grams of silver per tonne (53.1 feet of 0.51 ounces of gold per ton and 11.9 ounces of silver per ton) and included 4.8 meters of 47.9 grams of gold per tonne and 1,075.6 grams of silver per tonne (15.7 feet of 1.39 ounces of gold per ton and 31.4 ounces of silver per ton).
T-309 (Line 625W) contained an intercept of 14.6 meters grading 8.6 grams of gold per tonne and 115.5 grams of silver per tonne (47.9 feet of 0.25 ounces of gold per ton and 3.11 ounces of silver per ton) and a second intercept of 5.6 meters of 5.6 grams of gold per tonne and 965.8 grams of silver per tonne (18.11 feet of 0.16 ounces of gold per ton and 28.2 ounces of silver per ton).
These values confirm the continuity of the vein by comparing favorably in grade and thickness to results of drilling on adjacent sections. The Maria vein has been traced on surface for a strike length of at least 2,000 meters. Several widely-spaced step-out holes tested areas with limited surface trenching but no recent drilling. These include T-311 (at Line 1200W) and T-312 (at Line 1000W) which were both mineralized and will require further drilling to assess the extent and grade of resources in this largely untested extension of known mineralization. A new map showing locations of drill holes summarized in this release can be found at www.silver-standard.com or www.panamericansilver.com.
In addition, assays were received for three more holes targeting the Melissa vein, located about 700 meters due east of Maria, where previous drilling intersected bonanza-grade silver and gold values. The best results were from T-313 that intersected 13.6 meters grading 0.48 grams of gold per tonne and 191.2 grams of silver per tonne (44.6 feet grading 0.013 ounces of gold per ton and 5.6 ounces of silver per ton). Within this interval was a 4.9 meter section that assayed 0.84 grams of gold per tonne and 380.7 grams of silver per tonne (16.1 feet grading 0.024 ounces of gold per ton and 4.1 ounces of silver per ton). Similar values over narrower widths were intersected in T-314.
Sufficient drilling has now been completed on the silver-dominant Melissa vein to complete a resource calculation, adding this zone to three other vein systems (Maria, Karina/Union and Concepción) on which resources have been outlined on the Manantial Espejo project. The Melissa vein is a high-grade vein-type deposit open at depth. There are other mineralized trends on the large property package that require further exploration.
The drill program had three primary objectives: (1) infill drilling of the Maria vein where approximately 70 percent of total precious metals resources have been outlined on the property to date; (2) definition of the geometry of the Melissa vein where very high-grade silver-gold values have been intersected in earlier drilling programs; and (3) extension and exploration drilling of nearby vein targets on this large, well-mineralized property. Silver and gold mineralization at Manantial Espejo occurs predominantly as sulfides and electrum in low sulfidation quartz-adularia veins and stockworks hosted in Jurassic igneous rock.
Assay results were also received from five shallow holes drilled on the Marta and Ayelen veins. This drilling confirmed the presence of mineralization over narrow intervals and further work is needed to outline resources in these nearby vein systems. Drilling is now complete and further results will be reported as assays are received.
Silver Standard is a significant silver resource company with projects in Australia, Argentina, Chile, Mexico, the United States and Canada. With approximately US$10.8 million in cash, Silver Standard is actively advancing its portfolio with drill programs under way at Bowdens in Australia and Manantial Espejo in Argentina.
Pan American Silver is North America's purest large silver producer with three mines, two development projects, and multiple exploration projects in Peru, Mexico, Bolivia and Argentina.
- 30 -
For further information, contact:
Silver Standard Resources
Robert A. Quartermain, President
(604) 689-3846
Paul LaFontaine, Director, Investor Relations
Toll-free: (888) 338-0046
Direct: (604) 484-8212
E-Mail: invest@silverstandard.com
Pan American Silver
Ross J. Beaty, Chairman and CEO, or
Rosie Moore, VP Corp. Relations
(604) 684-1175
E-mail: info@panamericansilver.com
*SUMMARY OF SELECTED MANANTIAL ESPEJO DRILLING RESULTS - January 2003
-------------------------------------------------------------------------
Hole From To Interval Gold Gold Silver Silver
No. (meters) (meters) (meters) (g/tonne) (oz./ton) (g/tonne) (oz./ton)
-------------------------------------------------------------------------
Maria Vein
-------------------------------------------------------------------------
T-303 98.5 102.1 3.7 0.4 Trace 74.2 2.2
-----------------------------------------------------------------------
137.5 146.0 8.5 5.63 0.16 66.1 1.9
-----------------------------------------------------------------------
151.0 156.0 5.0 35.30 1.03 242.1 7.1
-----------------------------------------------------------------------
T-304 71.0 82.0 4.0 3.05 0.09 97.1 2.8
-----------------------------------------------------------------------
incl 98.5 101.3 2.8 18.37 0.54 410.8 12.0
-----------------------------------------------------------------------
T-305 52.9 54.4 1.5 0.86 0.03 282.5 8.2
-----------------------------------------------------------------------
incl 61.9 64.0 2.1 2.25 0.07 116.2 3.4
-----------------------------------------------------------------------
T-306 29.9 47.3 17.4 2.11 0.06 129.8 3.8
-----------------------------------------------------------------------
incl 38.3 47.3 9.0 3.81 0.11 186.4 5.4
-----------------------------------------------------------------------
T-307 71.0 72.4 1.4 0.09 Trace 77.0 2.2
-----------------------------------------------------------------------
T-308 36.0 40.6 4.6 0.05 Trace 298.1 8.7
-----------------------------------------------------------------------
T-309 116.7 131.3 14.6 8.60 0.25 115.5 3.4
-----------------------------------------------------------------------
136.0 141.6 5.6 5.60 0.16 965.8 28.2
-----------------------------------------------------------------------
T-310 104.5 108.4 5.0 2.90 0.08 331.2 9.7
-----------------------------------------------------------------------
T-311 99.2 102.5 3.3 0.05 Trace 113.9 3.3
-----------------------------------------------------------------------
T-312 60.4 71.0 10.6 0.05 Trace 161.9 4.7
-----------------------------------------------------------------------
T-316 106.55 122.9 16.35 0.11 Trace 88.5 2.6
-----------------------------------------------------------------------
138.6 140.45 1.85 17.01 0.50 53.1 1.5
-----------------------------------------------------------------------
T-317 119.8 126.6 6.8 1.81 0.05 220.5 6.4
-----------------------------------------------------------------------
incl 123.7 125.5 1.8 4.87 0.14 598.4 17.5
-----------------------------------------------------------------------
T-318 133.75 137.0 3.25 1.13 0.03 119.7 3.5
-----------------------------------------------------------------------
145.7 146.9 1.2 8.67 0.25 291.7 8.5
-----------------------------------------------------------------------
165.0 173.43 8.43 1.05 0.03 164.8 4.8
-----------------------------------------------------------------------
incl 166.7 172.7 6.0 1.09 0.03 205.3 5.6
-----------------------------------------------------------------------
T-319 103.85 107.0 3.15 8.91 0.26 81.5 2.4
-----------------------------------------------------------------------
incl 124.9 129.75 4.9 0.12 Trace 110.0 3.2
-----------------------------------------------------------------------
139.8 156.0 16.2 17.41 0.51 409.4 11.9
-----------------------------------------------------------------------
144.55 149.35 4.8 47.9 1.39 1,075.6 31.4
-----------------------------------------------------------------------
Melissa Vein
-----------------------------------------------------------------------
T-313 171.4 185.0 13.6 0.48 Trace 191.2 5.6
-----------------------------------------------------------------------
incl 171.4 176.3 4.9 0.84 0.02 380.7 11.1
-----------------------------------------------------------------------
T-314 151.0 156.1 5.1 0.98 0.03 207.9 6.1
-----------------------------------------------------------------------
and 170.4 172.2 1.8 2.75 0.08 407.5 11.9
-----------------------------------------------------------------------
T-315 40.4 41.0 0.6 1.41 0.04 174.5 5.1
-----------------------------------------------------------------------
Marta Vein
-----------------------------------------------------------------------
T-298 42.8 43.1 0.25 2.14 0.06 97.0 2.8
-----------------------------------------------------------------------
T-299 31.4 40.5 9.1 0.07 Trace 41.7 1.2
-----------------------------------------------------------------------
T-300 67.9 68.3 0.4 4.51 0.13 719.1 21.0
-----------------------------------------------------------------------
Ayelen Vein
-----------------------------------------------------------------------
T-301 15.3 15.7 0.4 1.68 0.05 193.1 5.6
-----------------------------------------------------------------------
T-302 No significant values
-----------------------------------------------------------------------
* All assays are fire assays and were performed by ALS Chemex Labs, with
industry standard QA/QC procedures.
CAUTIONARY NOTE
Some of the statements in this news release are forward-looking statements, such as estimates of future production levels, expectations regarding mine production costs, expected trends in mineral prices and statements that describe Pan American/Silver Standard's future plans, objectives or goals. Actual results and developments may differ materially from those contemplated by these statements depending on such factors as changes in general economic conditions and financial markets, changes in prices for silver and other metals, technological and operational hazards in Pan American/Silver Standard's mining and mine development activities, uncertainties inherent in the calculation of mineral reserves, mineral resources and metal recoveries, the timing and availability of financing, governmental and other approvals, political unrest or instability in countries where Pan American/Silver Standard are active, labor relations and other risk factors listed from time to time in Pan American's Form 40-F and Silver Standard's Form 20-F. |
