Virginia
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Property Type
LSE Silver Project
Size
74,429 ha
Status
Signed a Definitive Option Agreement with Silver Sands Resources Corp.
Exploration Stage
Completed a NI 43-101 Resource Estimate report
Location
- Located in the prolific epithermal province of Santa Cruz, Argentina
- Approx. 100 km south of Newmont’s Cerro Negro Mine
Mirasol discovered the Virginia silver deposit in 2009 following-up a high-priority reconnaissance target identified by its generative team. Mineralization at Virginia consists of high-grade vein/breccia structures most of which outcrop on surface. After drilling at Virginia from 2010 to 2012, Mirasol completed a NI 43-101 Resource Estimate report (amended and filed in 2016) defining seven outcropping bodies of high-grade silver mineralization, constrained[1] within conceptual pits, with an indicated mineral resource of 11.9 million ounces of silver at 310 g/t Ag and a further inferred 3.1 million ounces of silver at 207 g/t Ag.
Mirasol Resources later expanded its claims holdings at the project and in 2018 announced that high-grade silver assays were returned from three new reconnaissance target areas located to the south and southeast of the resource drilling, suggesting that further exploration may identify new veins and expand the size of the Virginia silver district.
DEFINITIVE OPTION AGREEMENT
On May 21, 2020, Mirasol announced that it signed a definitive agreement with Silver Sands Resources Corp. (Silver Sands) for its Virginia Silver project. Silver Sands has completed two private placements raising almost C$5 million and providing it with ample capital to move the project forward.
Mirasol has granted Golden Opportunity the option to acquire 100% of the Project over 3 years by:
- Making share issuances totalling 19.9% of the shares outstanding of Golden Opportunity at the time of vesting
- Completing US$6 M in exploration expenditures, including a US$1 M firm commitment
Upon completion of the option, Golden Opportunity will have earned a 100% interest in the Project and Mirasol will retain a 3% NSR royalty, of which 1% can be bought back by Silver Sands for US$2 M.
[1] The Qualified Persons responsible for this amended Technical Report were commissioned by Mirasol Resources Ltd. to review all geologic, geochemical, geophysical, surface trenching, diamond drill core sampling and metallurgical recovery data pertaining to the Virginia project for the purpose of completing a Mineral Resource estimate in accordance with the guidelines of the Canadian Institute of Mining and Metallurgy (CIMM). For calculating conceptual pits, a silver price of US$20 per ounce was used. Sensitivity analyses by the Qualified Persons indicate that the Mineral Resources are not particularly sensitive to operating costs or silver price fluctuations. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.
Mirasol first discovered the Virginia silver deposit in 2009, following-up a high-priority reconnaissance target identified by its generative team. Over the next few years, Mirasol defined high-grade, intermediate sulfidation epithermal style mineralization in a series of prominent outcrops of vein-breccia that are associated with a rhyolitic volcanic flow dome field. Rock chip and saw-cut channel sampling over these outcrops defined significant strike lengths of continuously mineralized vein-breccia, with many samples assaying over 1,000 g/t Ag. From 2010 to 2012, Mirasol completed a series of drill programs at the project, drilling a total of 23,318 m of diamond core in 223 holes, testing the mineralized structures to a maximum depth of 266 m. This work was followed by the filing of an amended NI 43-101 Resource Estimate report in 2016 defining seven outcropping bodies of high-grade silver mineralization, constrained[1] within conceptual pits, with an indicated mineral resource of 11.9 million ounces of silver at 310 g/t Ag and a further inferred 3.1 million ounces of silver at 207 g/t Ag (amended NI 43 -101 technical report filed February 29, 2016).
Later that year, Mirasol reported that preliminary prospecting of new claims identified quartz vein and vein-breccia rock float, scattered along a 2 km trend. With a strong belief in the exploration potential of the Virginia district, Mirasol further expanded its property holdings in 2017 with an extra 27,017 ha of claims to the south of the limit of the previous drilling. In May 2018, high-grade silver assay results were reported from the additional prospecting of three new target areas, suggesting the potential for an unrecognized, shallow soil covered, high-grade mineralization that would expand the potential of the Virginia silver project.
Mirasol looks forward to testing the exploration upside at Virginia with Golden Opportunity at a time of improving precious metal prices.
[1] The Qualified Persons responsible for this amended Technical Report were commissioned by Mirasol Resources Ltd. to review all geologic, geochemical, geophysical, surface trenching, diamond drill core sampling and metallurgical recovery data pertaining to the Virginia project for the purpose of completing a Mineral Resource estimate in accordance with the guidelines of the Canadian Institute of Mining and Metallurgy (CIMM). For calculating conceptual pits, a silver price of US$20 per ounce was used. Sensitivity analyses by the Qualified Persons indicate that the Mineral Resources are not particularly sensitive to operating costs or silver price fluctuations. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.
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- March 29, 2016
March 29, 2016
February 20, 2014
