#Canada #Vancouver #Vizsla Silver #Panuco Project #Test Mining

Vizsla Silver Launches Test Mining Program at Panuco Project

Vizsla Silver Corp., a Canadian mining company, has officially announced the initiation of its test mining and bulk sampling program at the Panuco project, situated in Sinaloa, Mexico. This fully funded and permitted program is a major advancement towards achieving the company's goal of full-scale silver and gold production. The Panuco project is 100% owned by Vizsla Silver and is viewed as the company's flagship initiative.

Objectives of the Program

The primary aims of the test mining program include:
1. Evaluating the geotechnical conditions at Copala, comparing them with existing geotechnical models in anticipation of further development.
2. Reconciling resource models with actual grades and tonnage via initial mining operations.
3. Building operational expertise within the Panuco team to facilitate smoother future operations.

Simon Cmrlec, the Chief Operating Officer of Vizsla, emphasized that starting the test mining program represents a crucial milestone. It not only validates development rates and reconciles resource models but provides essential operational insights over the next six to eight months. This information will be integral for a Feasibility Study expected in late 2025, alongside an updated mineral resource estimate anticipated in early 2025.

Program Highlights

During this program, Vizsla Silver will:
Focus on underground ramp development, lateral access, and ore extraction from the Copala structure’s 460-level zone.
Plan for the extraction of around 10,000 tonnes of high-grade material, which will be stockpiled for potential metallurgical testing.
Enhance surface infrastructure through the construction of portal facilities, access roads, and laydown areas.

The initiative will include approximately 1,071 meters of underground ramp and lateral development, with 169 meters dedicated to ore development. Various mining methodologies will be employed, including portal preparation and ore development tunnels to ensure safe and efficient bulk sampling.

Contract Awards and Contractor Insights

Vizsla Silver has commenced operations through the awarding of two key contracts:
Earthworks Contract: Awarded to Electro Construcciones Ontiveros, S.A De C.V (Econsa), whose experience in large-scale project execution was a deciding factor. Over the past two years, Vizsla has collaborated with Econsa on rehabilitating the historic El Coco mill site.
* Underground Mining Contract: Assigned to Obras Mineras y Tiros del Centro S.A. de C.V. (OMyTC), a reputable underground mining contractor with extensive experience in Mexico. They will supervise ramp development and ore extraction, positioning the project for operational success.

Ongoing Exploration Efforts

In addition to the test mining initiative, Vizsla Silver continues to actively explore the eastern sections of the district. A 10,000-meter discovery-based drilling campaign is ongoing, which aims to identify new high-grade mineralization areas outside the current Preliminary Economic Assessment (PEA) mine plan. Furthermore, a contract has been recently awarded to Geofisica TMC S.A. de C.V. for conducting a ground HLEM survey to bolster opportunities for discovering new mineralization sites.

About the Panuco Project

The Panuco project is a burgeoning silver-gold discovery located in southern Sinaloa. Covering 17,856.5 hectares, the project has previously produced significant amounts of silver and gold and is characterized by a complex vein network with extensive underground mining infrastructure. With its favorable geology, the project promises potential for further high-grade discoveries.

On January 8, 2024, Vizsla Silver released updated mineral resource estimates for the Panuco project, boasting substantial in-situ indicated and inferred resources of 155.8 Moz AgEq and 169.6 Moz AgEq respectively. These numbers highlight the rich potential that Panuco holds for future exploration and development.

Vizsla Silver aims to solidify its standing as a leading entity in the silver mining industry by advancing the Panuco project while engaging in broad-based district exploration. The company's recently concluded Preliminary Economic Study showcases impressive projected production, providing a robust blueprint for future growth and success.

As Vizsla Silver navigates the complexities of mining operations and resources estimations, it is well-positioned to capitalize on the evolving market dynamics of precious metals in the upcoming years. With proactive measures in exploration and development under its belt, the company is strategically poised for future success.