Bonanza grades of gold-silver at El Cubo

Vancouver – New underground exploration drifts on the Villalpando-Poniente vein have yielded bonanza grades from channel samples some 100 metres from surface on Mexgold’s (MGR-V) El Cubo property. Darthmouth-based Mexgold is simultaneously developing and exploring at the producing El Cubo gold-silver mine, 10 km east of Guanajuato, Mexico.

Channel sampling of exploration drifts yielded a 38-metre interval that grades 70.9 grams gold with 505 grams silver per tonne. The high grades occur within a 76-metre length that averages 45.1 grams gold and 311 grams silver.

Further significant results from the sampling along a total of 275 metres of drifting include 21.7 grams gold and 149 grams silver over 54 metres, and 8.91 grams gold with 63.5 grams silver over 53 metres.

Mexgold believes that a large alteration zone on surface may reflect the underlying high grade mineralization and is eager to test the bonanza zone closer to surface and extend it along srike.

The company notes that historical reports of bonanza grades are commonplace at El Cubo. The property also contains medium grades of precious metals in veins and lower grades in bulk tonnage targets.

Meanwhile, drill-testing of the northwestern extensions of the La Loca vein returned average grades of 6.22 grams gold and 321 grams silver over 1.1 metres. Mexgold believes that the La Loca vein is part of the same structural system as the Villalpando structure which was the most productive vein at El Cubo.

Crews drilled 19 holes in the first round of drilling at the combined El Cubo-Las Torres mine and came up with 15 intercepts that grade higher than 2 grams gold equivalent cutoff, the lowest grade intercept being 1.2 metres of 0.3 grams gold with 127 grams silver from the San Nicolas zone.

Mined in the early 1800s and 1900s, the strike extent of the vein has been followed north over 2 km beyond the historic working onto the company’s recently acquired Penoles concessions.The drilling is part of an ongoing drill program of 60,000 metres launched last June.