Great Panther Silver Limited (TSX:GPR) reported that the company has purchased the 7,908 hectare El Horcon Silver-Gold Project in Jalisco State, Mexico for US$1,600,000 in cash. The mine is host to nine known veins, but despite being a historic mining operation the extent of it’s past production is unknown.
As quoted in the press release:
Chip channel sampling by a previous operator, Exmin Resources Inc. (2006 – 2009), returned average grades for the Diamantillo Tunnel of 1.97g/t Au and 99g/t Ag (217g/t Silver Equivalent (Ag Eq) using a 60:1 ratio) over a strike length of 80 metres. For the San Guillermo vein at the La Luz workings (300 metres to the northwest of the Tunnel) sampling returned 3.70g/t Au and 56g/t Ag (278g/t Ag Eq) over a strike length of 55 metres. The Diamantillo vein at the El Horcon workings (45 metres to the northwest of the Tunnel) returned average grades of 1.50g/t Au and 20g/t Ag (110g/t Ag Eq).
Great Panther CEO Robert Archer commented:
The El Horcon Project has excellent potential to be a satellite mine for our Guanajuato Operations,” stated Robert Archer, Great Panther’s CEO. “We are very pleased with this acquisition as it is consistent with our strategy to acquire assets with near-term production potential in the districts where we already operate, while looking for a larger scale, stand-alone acquisition elsewhere in Latin America.