Endeavour Silver finds high-grade zones in Mexico
Vancouver-based miner Endeavour Silver (TSX:EDR)(NYSE:EXK)(FRANKFURT:EJD) announced it has discovered two high-grade silver/gold zones at its Guanajuato mine in Mexico and anticipates a significant increase in reserves and resources at the mine at the year-end.
Endeavour also said it expects to expand its mine capacity at Guanajuato from 1000 tonnes per day (tpd) up to 1600 tpd in 2012.
“Our recent discovery of new high grade silver-gold mineralized zones in the La Joya and Belen veins is yet another indication of the untapped exploration potential of Endeavour’s properties in this prolific silver-gold mining district,” said vice-president of exploration Barry Devlin. He added that two drill rigs continue to work in Guanajuato drilling the northern extent of the Daniela vein and testing several other attractive drill targets in the La Luz sub-district.”
Drilling highlights in the La Joya vein include 463 grams per tonne (gpt) silver and 6.83 gpt gold over 2.00 meters (m) true width (24.1 ounces per ton (opT) silver equivalent (based on a silver: gold ratio of 53:1) over 6.6 feet (ft)) in hole LJ15S-1. Drilling highlights in the Belen vein include 497 gpt silver and 5.19 gpt gold over 1.08 m true width (22.5 opT silver equivalent over 3.5 ft) in hole BL0-3.
The company had earlier said it expected inflationary pressures to be offset by higher efficiency at Guanajuato.
Endeavour’s shares have been very active over the past year, trading in a range of $5.40 to $13.10 and are now at $10.57, 96% above that low.
The company has spent the better part of 2011 executing growth plans and expanding their footprint from Mexico to Chile.