146 g/t (4.3 oz/T) Ag, 2.8% Pb, 1.9% Zn, 0.216 g/t Au over 43.4 metres
including 381 g/t (11.1 oz/T) Ag, 10.6% Pb, 11.5% Zn, 0.354 g/t Au over 5.8 metres
Platosa Exploration Highlights:
- Holes LP1023A, LP1024 and LP1025 encountered significant widths of semi-massive to massive to patchy sulphides at Rincon del Caido, 1 km northwest of the Platosa Mine;
- All three holes intersected multiple intersections of high metal values, including:
- 146 g/t (4.3 oz/T) Ag, 2.8% Pb, 1.9% Zn and 0.216 g/t Au over 43.40 m including 381 g/t (11.1 oz/T) Ag, 10.6% Pb, 11.5% Zn, 0.354 g/t Au over 5.8 m in LP1023A;
- All three holes intersected anomalous gold, including 13.8 g/t over 0.72 m in LP1025;
- Anomalous gold values, combined with anomalous bismuth (8,280 ppm over 1.0 m in LP1023A) and copper (0.23% over 1.1 m in LP1024 and 0.12% over 8.1 m in LP1025), suggest increasing proximity to the Source of the high-grade Platosa mantos;
- Four drills are now deployed at Rincón del Caído;
- Excellon is in full production and has resumed shipping ore to its mill in Miguel Auza.
TORONTO, Oct. 24, 2012 /PRNewswire/ - Excellon Resources Inc. (TSX:EXN) ("Excellon" or "the Company"), Mexico's highest grade silver producer, is pleased to report results for diamond drill holes EX12LP1023A, LP1024 and LP1025 drilled in the Rincón del Caído ("Rincón") area, 1 km northwest of the Platosa Mine. All three holes encountered significant sulphide mineralization within "Source"-type geology. The holes are step-outs from drill hole LP1019 (see press release dated July 9, 2012) and six holes have now encountered encouraging results within an irregularly shaped area roughly 60 m from east to west and 35 m north to south that remains largely open. Assay results are shown in Table 1 below. Drilling continues with four rigs.
"The combination of skarn, gold, bismuth, felsic dykes and the highly siliceous granite porphyry is a strong indication that we are approaching the large-tonnage CRD-Source that is the primary goal of the Company's exploration program at Platosa," stated John Sullivan, Vice-President of Exploration. "We are also excited about the long-contemplated possibility of finding more near-surface manto-style mineralization related to the structures that channeled fluids from a deep source into the upper limestones. The corridor between Rincón and the Platosa Mine has seen very little drilling and virtually none of it has reached the marble unit that hosts the Rincón skarn-sulphide intersections. The potential of this area for both additional manto and Source mineralization remains untapped."
Table 1: Platosa Assay Results
|Rincón del Caído||LP1023A||513.00||515.00||2.00||610||17.8||3.08||0.11||0.571|
* All three holes were drilled vertical and intervals are core widths. Mineralization banding lies at highly variable angles to core axes in all three holes (as is typical of skarn-related sulphide mineralization) and data points remain sparse. Further geometric information is required to estimate true thicknesses.
The new mineralization is developed in a marbleized limestone sequence located beneath the thick hornfelsed shale unit that underlies the dolomitized limestones hosting the Platosa Mantos (Map 3). Relatively pristine marble extends for tens of metres below the skarn and all holes bottom in high-silica, crowded granite porphyry containing small amounts of pyrite located at approximately 800 m vertical depth. Several of the sulphide intercepts surround pervasively sericitized felsic dykes. The orientation of the mineralized skarn cannot yet be determined, but the pattern of intersections suggests strong structural control. This control may be reflected by the numerous high-angle structures that cut the overlying rock units in all holes. These structures are being carefully sampled to determine if one of them was the pathway along which mineralizing fluids escaped from beneath the hornfels into the upper, manto-hosting limestone units.
The mineralization demonstrates multi-stage, pyrite-rich, massive to semi-massive textures that clearly overprint earlier pyroxene and garnet-rich skarn. Mineralization is concentrated at or near marble-hornfels contacts. The multi-stage characteristics are similar to those shown by the sulphides being mined from the Platosa mantos, although there are distinct compositional differences reflected by much higher pyrite content, the appearance of chalcopyrite and much darker-coloured sphalerite. The consistently anomalous gold, bismuth (8,280 ppm over 1.0 m in LP1023A and 1,685 ppm over 2.6 m in LP1024) and copper (0.23% over 1.1 m in LP1024 and 0.12% over 8.1 m in LP1025) combined with the overall skarn mineralogy indicate that this area is still somewhat distal to the Source itself, but may lie along a feeder system leading from the Source. The Source may lie between Rincón and the high-grade Platosa mantos currently in production, or farther to the northwest. Given the high pyrite content of the skarn, the mineralization may respond to electrical geophysical methods, and downhole geophysical surveying is underway to gather orientation data to guide further drilling. In the interim all four exploration drills are concentrated at Rincón.
Since the exploration press release dated July 9, 2012, five holes in addition to LP1023A, LP1024 and LP1025 have been drilled at Rincón. Holes LP1020, LP1023 and LP1027 were abandoned prior to target depth because of technical problems. Holes LP1021 and LP1022, both drilled west of LP1019, encountered only minor sulphides, but do not close off the area.
Platosa drill core samples are prepared and assayed by SGS Minerals Services in Durango, Mexico. The lab is accredited to ISO/IEC 17025. The Company has a comprehensive QAQC program, supervised by an independent Qualified Person.
The Company's exploration programs are supervised by John Sullivan, Excellon's Vice-President of Exploration, in consultation with Dr. Peter Megaw of IMDEX Inc.
Dr. Peter Megaw, PhD, CPG, and Mr. John Sullivan, BSc., PGeo., have acted as the Qualified Persons, as defined in National Instrument 43-101 ("NI 43-101"), for this disclosure.
Dr. Megaw has a PhD in geology and more than 30 years of relevant experience focused on exploring silver and gold systems in Mexico. He is a Certified Professional Geologist (CPG 10227) by the American Institute of Professional Geologists and an Arizona Registered Geologist (ARG 21613). Dr. Megaw is not independent of Excellon as he is a shareholder.
Mr. Sullivan is an economic geologist with over 35 years of experience in the mineral industry. Prior to joining Excellon in 2007 he was a senior geologist at a Toronto-based international geological and mining engineering consulting firm where he evaluated properties and prepared NI 43-101 reports on gold and base metal projects in Canada and internationally. In addition he has held senior positions with two large Canadian mining companies where he directed major exploration programs, managed field offices, and evaluated projects in Canada, Europe, Africa and Latin America. Mr. Sullivan is not independent of Excellon as he is an officer of the Company.
Removal of Illegal Protesters
All remaining illegal protesters at La Platosa have been removed and/or dispersed by the Sindicato Nacional Minero Metalúrgico Napoleón Gómez Sada, which was elected by the workers of La Platosa in a government sanctioned union election in early July, with the support of the Concerned Women of Bermejillo, a group of women from the local communities of Bermejillo and Mapimi whose livelihoods were threatened by the ongoing disruptions at the mine. Excellon is currently in full production at La Platosa and has resumed shipments to the Company's mill at Miguel Auza, Zacatecas. An updated production forecast for the remainder of 2012 will be released in due course.
Excellon's high-grade silver production drives transformative exploration potential. The Company's 100%-owned La Platosa Mine in Durango is Mexico's highest grade silver mine, with lead and zinc by-products making it one of the lowest cash cost silver mines in the country. With 41,000 hectares of exploration ground surrounding the mine, Excellon is focused on discovering the large-tonnage Source of the high-grade silver mantos currently in production. Such a discovery has the potential to transform La Platosa into the next major project in Mexico's prolific CRD/silver belt.
On behalf of
EXCELLON RESOURCES INC.
Peter A. Crossgrove
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this Press Release, which has been prepared by management. This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 27E of the Exchange Act. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of the Company, including potential property acquisitions, the timing, content, cost and results of proposed work programs, the discovery and delineation of mineral deposits/resources/reserves, geological interpretations, proposed production rates, potential mineral recovery processes and rates, business and financing plans, business trends and future operating revenues. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, significant downward variations in the market price of any minerals produced [particularly silver], the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies. All of the Company's public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties, and particularly the November 22, 2011 NI 43-101-compliant technical report prepared by Roscoe Postle Associates Inc. with respect to the Platosa Property. This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States.
SOURCE Excellon Resources Inc.
Image with caption: "Map 1: Location Map - Platosa Property (CNW Group/Excellon Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20121024_C9707_PHOTO_EN_19691.jpg
Image with caption: "Map 2: Location Map - Rincón del Caído Area (CNW Group/Excellon Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20121024_C9707_PHOTO_EN_19692.jpg
Image with caption: "Map 3: Rincón del Caído Composite Vertical Cross-section (CNW Group/Excellon Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20121024_C9707_PHOTO_EN_19693.jpg