Spur Zinc Project, Nevada
Update on Spur Zinc Project
An initial drilling program of four inclined diamond drill holes has been completed at the Spur Zinc Project for a total of 2,291 feet (698 metres) with assay results pending.
The intersection of zinc sulphides in black shales beneath the high-grade zinc oxides at RH Main Zone was very surprising and is highly significant from an exploration perspective. RH Main Zone has been the main focus of previous, and predominantly, RC drilling. It is only one of at least four other prospects where mineralization occurs at surface along a three to four kilometre trend between Big Canyon and Horse Canyon on the east flank of the Diamond Range. The Spur Zinc Project is about a 90 minute drive south of Elko in eastern Nevada.
Pasinex CEO Mr. Steve Williams said “We are delighted with the new discovery of zinc sulphides at our Spur Zinc Project, even at this initial stage of our drilling it sparks a radical rethink not only on the potential scale of the mineralizing system we are targeting but also how we effectively explore it”.
This is the first time that significant sulphide mineralization has been identified in black shales at the Spur Zinc Project. This shale-hosted mineralization was unexpectedand presents new and exciting potential for a Shale-Hosted-Massive-Sulphide (SHMS or ‘Sedex’) deposit. In the goldfields of Nevada, this style of zinc mineralization would have been easy to miss by previous explorers without experience in this kind of mineralizing system. The objectives of this diamond drill program were stated in a Company news release on May 14th, 2018, namely (i) to drill fully across and confirm oxidised high-grade zinc mineralization in the heart of the RH Main Zone within the Pennsylvanian-age Ely Formation limestone, (ii) to test a target down-plunge from the known mineralized zone, and (iii) for the first time at this zinc project to measure the orientation of structures controlling mineralization from oriented drill-core.
The first diamond drill hole SRDD-2018-001 targeted the RH Main Zone where high-grade mineralization had been defined only by previous RC (reverse circulation) drilling. SRDD-2018-001 intersected high-grade oxidized zinc mineralization which was identified visually and confirmed by portable XRF readings. Mineralization occurs in oxidized breccia in limestone in an interval of 61 feet from 143 to 204 feet (44-62 metres). The orientation of the breccia zones is uncertain and true width is not constrained*.
Drill hole SRDD-2018-004 drilled about 50 metres down-plunge at the southern end of the known RH Main mineralized zone intersected typical oxidized zinc mineralization over a length of 11 feet from 273 to 284 feet (83 to 86 metres; not true width*). This drill-hole also encountered a deeper zone of extensive zinc-sulphide mineralization in a black carbonaceous mudstone and siltstone member of the Ely Formation. The fine-grained pale sphalerite occurs disseminated in carbonaceous weakly-dolomitic mudstone and in irregular breccia zones, notably in the absence of any other metal sulphides. Zinc mineralization occurs over an interval of 27 feet from 288 to 315 feet (88 to 96 metres; not true width*). Significant zinc grades are expected based on visual inspection and portable XRF readings and samples are currently being analyzed.
Previous explorers tried to delineate zinc oxide mineralization almost exclusively by vertical Reverse Circulation (RC) drilling and for this reason the controls on mineralization are not well understood and the potential for shale hosted mineralization unrecognized and poorly tested.
Detailed mapping by Pasinex indicated that host rocks were dipping steeply to the west. All four drill-holes were consequently inclined to the west for the first time to get a better estimate of the true-width of the mineralized zone.
All the objectives of the drill program have been successfully achieved. Drill core has been logged and the mineralized core has been cut and submitted to the ALS Minerals laboratory in Reno, Nevada. Assays are expected during the third week in August with publication reporting by the end of the month.
Pasinex can earn up to an 80 per cent interest in the Spur Zinc Project from Cypress Development Corp. (TSX.V: CYP) and private company Caliber Minerals Inc. (formerly Silcom Systems Inc.). The total consideration of US$675,000 in cash and the issuance of 4.8 million Pasinex Common Shares to be paid over a four-year period. In addition, the Company must incur minimum exploration expenditures totalling US$2,950,000 also to be spent over four years commencing from the start of the agreement, December 5, 2017.
* True widths will be estimated once orientation of host lithologies has been determined from oriented core.
Pasinex Announces Option to Acquire 80% of the Spur (formally Gunman) High-Grade Zinc (Silver) Project in Nevada and Substantially Increases the Surrounding Ground Holding
Pasinex Resources Limited is pleased to announce that, through its wholly-owned subsidiary Pasinex Resources Nevada Limited, it has entered into an option agreement with Cypress Development Corp (TSX.V: CYP) and Silcom Systems Inc. to earn up to an 80% interest in the Spur zinc project located in White Pine County, Nevada (“Option Agreement”). In essence, Pasinex has acquired the option by honouring the terms of Silcom’s original option agreement to acquire an 80% interest from Cypress in the Spur zinc project.
As of March 2018, all drilling completed on the Spur property to-date by all operators is 114 reverse circulation (RC) holes for 42,155 feet and 17 core holes totaling 11,516 feet for a total of 53,671 feet of drilling in 131 holes. The project is located within the eastern portion of White Pine County, Nevada. The report is intended to provide a detailed accounting of all modern exploration at the Spur property and to provide interpretations of the compiled data for the purposes of proposing additional development and exploration work for zinc and silver mineralization on the property.