Partners boost Maverick

Vancouver — Drilling by partners Silver Standard Resources (SSO-V) and Colorado-based Vista Gold (VGZ-T) has intersected mineralization outside the known resource on the Maverick Springs property, southeast of Elko, Nev.

The 7,000-ft. reverse-circulation program comprised seven holes, which were collared 500-2200 ft. from the known mineralization.

All the holes cut flat-lying, mostly oxide gold-silver mineralization to depths of up to 900 ft. The westernmost hole, no. 130, returned 200 ft. grading 0.008 oz. gold and 3.85 oz. silver per ton at a down-hole depth of 650 ft., whereas the northernmost hole, no. 135, returned 110 ft. of 0.026 oz. gold and 3.07 oz. silver at 690 ft. down-hole.

Other highlights include the following:

– Hole 129 — 245 ft. grading 0.008 oz. gold and 1.52 oz. silver per tonne at 695 ft. down-hole.

– Hole 131 — 375 ft. grading 0.012 oz. gold and 0.57 oz. silver at 565 ft. down-hole.

– Hole 132 — 325 ft. grading 0.011 oz. gold and 0.52 oz. silver at 600 ft. down-hole.

– Hole 133 — 310 ft. grading 0.008 oz. gold and 1.02 oz. silver at 515 ft. down-hole.

– Hole 134 — 200 ft. grading 0.009 oz. gold and 0.78 oz. silver at 590 ft. down-hole.

The drilling defined continuous mineralization over a 2,200-by-1,200-ft. area immediately adjacent to known gold-silver resources. Current indicated and inferred resources, at a cutoff of 0.5 oz. silver per ton, stand at 27.4 million tons averaging 1.18 oz. silver and 56.8 million tons of 1.21 oz. silver, respectively.

Based on the results, the partners believe the previously reported resource can be greatly increased with additional infill drilling. The area of known mineralization now comprises 6,000 by 2,500 ft.

Vista acquired Maverick Springs from Newmont Mining (NEM-N) in October 2002. The latter retains either a 1.5% net smelter return royalty or the right to acquire a 51% interest in Maverick Springs by paying Vista cash equaling 200% of exploration expenditures. As part of the transaction, Vista agreed to undertake at least 20,000 ft. of drilling, of which 7,000 ft. will be completed before year-end.

Silver Standard took control of the silver resources on the property by agreeing to pay Vista US$300,000 and spending US$1.2 million on exploration, land holding costs and option payments. Vista retains and controls the gold resources and is project operator.

Maverick Springs represents a Carlin-type, silver-dominant prospect.