Prospero Silver Corp.
TSX VENTURE : PSL

Prospero Silver Corp.

December 10, 2010 09:57 ET

Prospero Intersects 16.17 Meters of 4.03 g/t Au, 204 g/t Ag, 4% Pb Including 8.15 Meters of 5.0 g/t Au, 223 g/t Ag, 7.6% Pb at El Dorado Project, Nayarit

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 10, 2010) - Prospero Silver Corp. (TSX VENTURE:PSL) the "Company" is pleased to report the results of the last 10 core holes (DOR-10-07 to DOR-10-16) of Phase 1 drilling at its El Dorado project in coastal Nayarit state, Mexico. Seven of these holes targeted the historic Hundido mine area. Drill hole DOR-10-11 intersected 16.17 meters of 4.03 g/t Au, 204 g/t Ag, 4.0% Pb, and 1.75% Zn; and DOR-10-10 intersected 2.32 meters of 6.04 g/t Au and 140 g/t Ag. The range of widths and grades of the holes within the central portion of the Hundido mine area (DOR-10-3, DOR-10-5, DOR-10-7, DOR-10-10, DOR-10-11, DOR-10-13, DOR-10-14) range from 1.45 meters to 11.22 meters (true width); and gold equivalent grades from 3.9 to 13.9 g/t.

In the Hundido mine area, holes DOR-10-07 to DOR-10-10 are located within the confines of the old mine, whereas holes DOR-10-11, DOR-10-13, and DOR-10-14 were drilled under the old mine. A mineralized zone approximately 100 meters long, and 120 meters deep is indicated by holes DOR-10-03, 05, 07, 11, 13 and 14, and is open at greater depth and to the south west.

DRILL HOLE VEIN TARGET FROM (m) TO (m) WIDTH (m) TRUE WIDTH(m) Au g/t Ag g/t Pb % Zn % Au* Eq.g/t
DOR-10-7 Intermediate Vein - Void 33.55 39.65 6.1 4.31          
and Intermediate Vein 39.65 41.70 2.05 1.45 7.87 327.0     13.9
DOR-10-8 La NegraVein 16.80 17.50 0.70 0.57 1.91 110.0     3.9
and   21.35 22.15 0.80 0.66 2.95 8.0     3.1
DOR-10-09 La NegraVein 22.75 24.55 1.80 1.27 3.17 8.0     3.3
and IntermediateVein 40.60 41.76 1.16 0.82 0.96 281.0     6.2
DOR-10-10 El Hundido Vein 107.73 116.17 8.44 5.19 2.82 72.0     4.1
including   107.73 111.50 3.77 2.32 6.04 140.0     8.6
including Stope fill 110.49 111.21 0.72 0.44 9.31 260.0     14.1
DOR-10-11 El HundidoVein 161.15 177.32 16.17 11.22 4.03 204.0 4.0 1.0 7.8
including   164.40 172.55 8.15 5.66 5.04 223.0 7.6 1.6 9.2
including   164.40 167.26 2.86 1.98 7.23 283.0 5.3 0.3 12.5
DOR-10-12 El Dorado vein NE 130.48 131.20 0.72 0.46 1.49 9.0     1.4
DOR-10-13 El Hundido vein 150.15 156.51 6.36 3.64 1.99 102.0     3.9
including   153.30 156.51 3.21 1.84 2.54 118.0     4.7
DOR-10-14 El Hundido 164.26 173.85 9.59 8.13 2.22 90.0     3.9
including HW zone 164.26 168.74 4.48 3.80 3.68 57.0     4.7
including HW zone 164.26 166.80 2.54 2.15 5.49 63.0     6.6
including FW zone 170.90 173.85 2.95 2.50 1.09 129.0 1.4 0.7 3.5
DOR-10-15 El DoradoVein NE 138.55 140.05 1.50 0.96 0.03 7.5      
DOR-10-16 El DoradoVein NE 132.50 134.20 1.70 1.09 0.02 18.0 0.9 0.1  

*Gold and silver metal prices used to calculate the gold equivalent values were $1340 USD/oz Au and $25 USD/oz Ag (silver to gold ratio of 53.6). Lead and zinc values were omitted from the calculation of gold equivalent values. Au Eq values assume 100% recoveries but metallurgical studies and test processing is required to determine actual recoveries.

Three holes within the area of influence of the old mine (DOR-10-3, DOR-10-7, and DOR-10-10) intersected stope fill or voids (ie presence of old stopes) adjacent to the reported intersections, suggesting that well mineralized veins in these holes were wider than those reported in the table above. The location of 16 diamond drill holes totaling 2,724 meters for the Phase 1 drill program along the Dorado vein system are shown in the attached Figure 1.

Three holes were drilled along the northeast extension of the Dorado vein (DOR-10-12, DOR-10-15, and DOR-10-16) which encountered low grades and narrower vein intersections. The increasing thickness of the upper rhyolites with high level argillic alteration in drill holes DOR-10-15 and DOR-10-16 suggests a greater degree of post-mineral tilting of the Dorado NE sector and a higher stratigraphic position and geologic level with respect to the Hundido mine area, thus requiring longer drill holes to reach possible mineralization.

A phase 2 drill program will include additional drilling to expand the Hundido mineralized zone, especially at depth and to the south west where the zone remains open with greater widths and robust mineralization. Additional targets, including the Ureña and Las Pilas veins, will also be drilled.

Tawn Albinson, M.Sc., the President of the Company, is a Qualified Person, as defined in NI 43-101, and is responsible for the technical content of this press release and quality assurance of the exploration data and analytical results. Gold equivalent grades assume 100% recovery. Metallurgical studies will be required to determine actual recoveries.

Quality Control

Prospero has a quality control program to ensure best practices in the sampling and analysis of all drill core. Samples were collected by Company employees and are shipped in sealed bags to ALS-Chemex Laboratory preparation facilities in Guadalajara, Hermosillo or Chihuahua City (Certification ISO 9001). Shipments include intermittent standards and blanks. Sample pulps are shipped to ALS-Chemex Laboratories in North Vancouver, B.C. for analysis. All samples were assayed by multielemental ME-ICP41, and gold by ICP21 (Inductively Induced Plasma-Atomic Emission Spectroscopy) which consists of a 30 gram fire assay with an ICP-AES finish. Gold values in excess of 10 g/t were re-analysed by a 30 gram fire assay and a gravimetric finish (Code Au-GRAD21). Silver, lead, zinc and copper values in excess of 100 ppm, 1%, 1% and 1% respectively were repeated with agua regia digestion and with ICP-AES (Code OG46).

Note: To view Figure 1, please click the following link: http://media3.marketwire.com/docs/psl1210.pdf

About Prospero Silver Corp.:

Prospero is a Canadian resource company with the majority of its staff based in Mexico and who work for its wholly owned subsidiary Minera Fumarola, SA de CV (Fumarola). Prospero's objective is to quickly evaluate the properties currently optioned and focus on bringing one into early production while seeking to expand the mineral potential to its maximum. Priority will be given to high grade gold or silver projects.

Cautionary Statement:

This news release contains forward-looking statements within the meaning of the Canadian provincial securities laws that are not historical facts. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including statements regarding future exploration plans. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company's inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company's inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company's public disclosure record which is available on SEDAR (www.sedar.com), including the risk factors discussed in Prospero's November 27, 2009 prospectus. Although Prospero believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except as required by securities laws and the policies of the TSX Venture Exchange, Prospero disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Prospero Silver Corp.
    Warwick Smith
    Director
    1(604) 484-4954