TORONTO, ON--(Marketwired - August 17, 2016) - Excellon Resources Inc. (TSX: EXN) (TSX: EXN.WT) (OTC: EXLLF) ("Excellon" or the "Company"), Mexico's highest grade silver producer, is pleased to announce that it has commenced an initial 25,000 metre diamond drilling exploration at its 100%-owned La Platosa property in Durango, Mexico, where the Company has been mining since 2005.
Outlook for Platosa Drill Program
- Initial focus on massive sulphide targets near existing mine infrastructure that may be accessed by operations with minimal development (estimated 6,000 metres of drilling)
- Subsequent focus on near-surface massive sulphide targets near the Platosa mine with the aim of discovering new manto deposits near Platosa (estimated 13,000 metres)
- Ongoing exploration and drilling of carbonate replacement deposit ("CRD") "Source" targets (estimated 6,000 metres)
- Cutting-edge analysis of historical geophysical data by Geotech Ltd. ("Geotech") under way and expected to identify previously invisible, regional CRD/Source targets
"We are incredibly excited to be back exploring Platosa again," stated John Sullivan, Vice President Exploration. "We have conducted minimal drilling to expand Platosa manto resources since 2011, and the area near the Platosa mine itself remains wide open for the discovery of new mantos both laterally and at depth. Additionally, we are revisiting the geophysical data collected at Platosa from 2006 to 2011 with the help of Geotech. With today's much faster processing power, along with the cutting edge application of neural networking and artificial intelligence, we hope to obtain an entirely new perspective on exploration at Platosa. We remain convinced that the Platosa mantos are merely the edge of a much larger CRD system."
The Platosa Mine exploits a series of very high-grade, closely-spaced, CRD silver, lead, zinc manto deposits located within the prolific Mexican CRD belt. CRDs are intrusive-related, sulphide-dominant lead, zinc, silver, copper, often gold-rich deposits that commonly occur in clusters associated with major regional geologic features. The Mexican CRD Belt is perhaps the world's best-developed CRD cluster and Platosa lies in the centre of the northwest-southeast-trending axis of the largest deposits of the belt.
A spectrum of CRD mineralized bodies exists, ranging from distal flat-lying to sub-horizontal manto massive sulphide bodies such as those being mined at Platosa through medial sub-vertical chimneys to proximal disseminated to patchy-sulphide skarns such as those discovered in 2012 at Rincon Del Caido ("Rincon") near the Platosa mantos. Such skarn bodies are generally associated with unmineralized or porphyry-type intrusive bodies. Transitions of deposit morphology and mineralogy, and alteration zoning can be used as tools to trace mantos into chimneys, sulphides into skarn, or skarn into intrusive contact deposits.
The Company's drilling plan calls for a minimum of 25,000 metres with a second rig to be added in early Q4. The focus will be on the following high priority targets/target areas, but will be modified as results dictate:
- The majority of currently planned drilling will target the discovery of additional limestone-hosted high-grade massive sulphide manto mineralization. Significant potential remains for new manto discoveries as the deposit area is open in several directions away from the mine and there are also smaller areas closer to the known mantos that could host additional massive sulphides readily accessible from existing underground infrastructure.
- The program will also target intrusive-related, large-tonnage, proximal skarn-style Source sulphide CRD mineralization. This proximal mineralization is often high tonnage and the Company believes that the mineralization discovered at Rincon, less than one kilometer northwest of the Platosa mine (see press release dated July 9, 2012), represents the margin of such a large system. In addition to carrying important values of silver, lead and zinc the Rincon mineralization hosts anomalous gold, including up to 13.07 g/t over 7.25 metres in hole EXLP12- 1038. The Rincon system may be related to the Platosa mantos or an entirely separate system, further enhancing the discovery potential of the property.
- Finally and as further discussed in the Company's Q2 MD&A, the Company is working with Geotech Ltd., a highly-regarded and innovative Canadian geophysical contractor and specialized service provider, on a compilation and reinterpretation of a large portion of the Company's geophysical data, particularly the gravity, airborne magnetics and ZTEM airborne survey flown by Geotech Ltd. in 2010. Employing enhanced and/or new software and far superior computing power than were available to the industry until recently, this work has already identified areas of the 21,000 ha Platosa property that merit additional work and drill testing. The Company expects to provide an update on results from the completed Geotech study in due course.
Mr. John Sullivan, BSc., PGeo., Excellon's Vice President of Exploration has acted as the Qualified Person, as defined in NI 43-101, with respect to the disclosure of the scientific and technical information contained in this press release.
Excellon's 100%-owned Platosa Mine in Durango is Mexico's highest grade silver mine, with lead and zinc by-products historically making it one of the lowest cash cost silver mines in the country. The Company is positioning itself to capitalize on undervalued projects by focusing on increasing La Platosa's profitable silver production and near-term mineable resources.
Additional information on Excellon is available at www.excellonresources.com.
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 July 9, 2015 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.