ECU Silver confirms deep, massive sulphides at Velardena

News from the eastern flank of the Sierra Madre Occidental in Mexico’s Durango state just seems to get better and better for ECU Silver Mining (ECU-T, ECUXF-O).

The Canadian junior has now confirmed grades from two massive sulphide veins intercepted at depth including one intercept yielding 3.66 grams gold per tonne, 295 grams silver per tonne, 7.87% lead and 12.07% zinc over a core length of 12.04 metres, or 40 feet.

The second intercept yielded 7.90 grams gold per tonne, 550 grams silver per tonne, 11.25% lead and 27.68% zinc over a core length of 1.75 metres, or 6 feet.

The two massive sulphide veins were intercepted at twice the depth of the current National Instrument 43-101 resource estimate on the property, and the grades are significantly higher than the inferred resource grades on the Santa Juana vein, the company reports.

The latest drill results bolster ECU Silver’s confidence level that there is potential to discover additional deep-seated massive sulphide replacement or Mantos-type deposits, the company says.

Mantos-type sulphide deposits represent major sources of precious and base metals in high-grade, high tonnage ratios.

ECU Silver’s Velardea district is made up of three parts, the main Velardea property, the Chicago property and the San Diego property. The properties are near to each other and include five historical mines: Santa Juana, Terneras, San Mateo, San Juanes, and the San Diegomine.

Drill hole SJ-18-21 intercepted the massive sulphide veins at a depth of 900 metres, or 2,950 feet below level 18. That is double the depth limit, from level 18, of the current resource estimate for this region, which encompasses the Santa Juana veins system.

In the last resource estimate, the inferred resources for that section of the Santa Juana veins complex were calculated from a depth of 150 metres, or 490 feet, to a maximum depth of 450 metres, or 1,480 feet below level 18representing a total height of about 300 metres or 980 feet.

“The massive sulphide veins demonstrate the continuity of the mineralized system from the current mine levels all the way down to nearly one km below level 18,” the company says.

“We intend to integrate an inferred resource block that will now extend for a vertical distance of 800 metres (2,620 feet), versus the previous 300 metres (980 feet), into the next National Instrument 43-101 resource update.”

The current resource estimate for Santa Juana defines a measured and indicated resource of 31.5 million oz. silver equivalent (versus a total for all Velardea properties of 37.6 million oz) and an inferred resource of 70.5 million oz of silver equivalent (versus a total for all Velardea properties of 179 million oz).

Grades in the massive sulphide veins are higher than the Santa Juana inferred resource grades. The grades of the intercepts for the massive sulphide veins are very high, especially in base metals, compared to the average grade for the inferred resource at Santa Juana as defined basically between level 18 and 450 metres (1,480 feet) below, ECU Silver states.

The extent of the alteration zone is unknown as drilling has not yet reached the intrusive, it adds. The Santa Juana veins system is bound by two prominent veins in the upper levels, the Santa Juana vein to the north-east and the more prominent A4 vein to the south-west.

The first massive sulpide vein may represent the downward extension of the Santa Juana vein and therefore represent the first major vein, at depth, of the package of veins that comprise the Santa Juana veins system.

ECU Silver is trading at about $1.80 per share and has a 52-week trading range of $1.30-$2.71 per share.

The company has 242.6 million shares outstanding.