Multiple Veins Return Significant Tahuehueto Assays

2018-10-15 / @businesswire

 

Telson Mining Corporation (“Telson” or the “Company”) (TSX-V – TSN, OTC Pink – SOHFF, Frankfurt – TSGN (formerly SQ82)) is pleased to report the following assay results from veins exposed in Level 12 Decline underground development at its Tahuehueto Mine Project.

Vein

 

Width meters

 

Assays

Au_g/t   Ag_g/t   Cu_%   Pb_%   Zn_%
N12Creston_778N 3.25 7.10 37.05 0.22 0.93 5.37
N12Creston_778N 6.10 5.04 36.18 0.16 1.82 3.88
N12Creston_778S 8.05 2.52 28.06 0.19 0.84 2.90
             
N12Perdido NE 4.20 8.02 96.18 2.93 4.99 8.25
N12Perdido SW 4.40 2.62 19.00 1.27 3.84 3.74

Highlights

As outlined on the company’s previous news release dated October 2, 2018 the Company has been steadily advancing underground development preparing the Tahuehueto Mine Project for initial startup scheduled during Q1 2019.

One of the main production declines under development, the N12 Decline has been driven over 120 m exposing veins of the El Perdido Zone, the El Creston Zone and the newly discovered vein named Enmedio. (View Image Here). Channel sampling across these veins have returned excellent assay results on multiple faces.

Please refer to the image links below for sample locations and the table below for detailed sample assay results.

Image 1 – Level Plan of N12 Decline Showing Mineralized Vein Structures

Image 2 – Level Plan of El Creston Structure and Veins

Image 3 – Level Plan of El Perdido and Enmedio Veins

Vein

 

Sample

 

Lab
Certificate

 

Width

 

Assays

Au_g/t   Ag_g/t   Cu_%   Pb_%   Zn_%
N12Perdido NE 1959 DU39721 1.00 12.42 44 3.30 1.56 4.73
1960 DU39721 1.10 4.47 28 2.91 1.76 8.63
1961 DU39721 1.10 2.68 24 2.47 6.79 9.48
1962 DU39721 1.00 13.38 303 3.09 9.98 9.98
Total 4.20 8.02 96 2.93 4.99 8.25
N12Perdido SW 1954 DU39666 1.10 2.01 33 1.7 1.41 2.40
1955 DU39666 1.10 3.81 24 2.08 7.81 2.07
1956 DU39666 1.10 4.41 12 1.04 3.64 9.37
1957 DU39666 1.10 0.27 7 0.24 2.48 1.10
Total 4.40 2.62 19 1.27 3.84 3.74
N12Enmedio 1970 DU39840 1.10 0.93 28 0.12 0.2 0.53
1971 DU39840 1.30 0.02 8 0.00 0.03 0.15
1972 DU39840 0.60 9.71 61 0.61 0.24 0.39
Total 3.00 2.29 26 0.17 0.13 0.34
N12Creston_778N 1885 DU40120 0.80 7.98 48 0.10 1.45 2.64
1886 DU40120 1.10 5.48 39 0.19 2.36 6.72
1887 DU40120 1.70 2.54 29 0.21 0.71 2.69
1888 DU40120 1.20 4.60 35 0.07 0.44 0.72
1889 DU40120 1.30 6.55 37 0.18 4.30 6.73
Total 6.10 5.04 36 0.16 1.82 3.88
N12Creston_778S 2351 DU40120 1.30 2.86 13 0.11 0.37 0.51
2352 DU40120 1.40 0.73 22 0.18 0.59 1.68
2353 DU40120 1.20 5.91 34 0.20 0.99 3.85
2354 DU40120 1.10 1.20 34 0.14 0.51 3.41
2355 DU40120 1.05 3.07 32 0.18 1.43 6.66
2356 DU40120 1.20 1.30 36 0.30 1.09 2.68
2357 DU40120 0.80 2.96 29 0.24 1.11 2.22
Total 8.05 2.52 28 0.19 0.84 2.90
N12Creston_772S 2387 DU40206 0.50 4.47 154 0.55 3.04 4.88
2388 DU40206 0.90 4.38 74 0.15 1.84 1.91
2389 DU40206 0.30 0.66 20 0.07 1.21 1.24
Total 1.70 3.75 88 0.25 2.08 2.67
N12Creston_778S 2368 DU40174 0.80 2.57 46 0.31 1.11 5.42
2369 DU40174 0.85 0.45 34 0.30 1.43 2.19
2370 DU40174 0.70 2.21 32 0.25 1.18 2.32
2371 DU40174 0.75 3.89 23 0.18 0.53 1.57
2372 DU40174 0.90 2.11 36 0.33 1.14 2.49
Total 4.00 2.20 34 0.28 1.09 2.81
N12Creston_778N 2364 DU40174 0.70 6.97 31 0.31 0.36 8.67
2365 DU40174 0.70 15.40 85 0.49 1.93 11.10
2366 DU40174 0.80 2.21 7 0.03 0.30 0.37
2367 DU40174 1.05 5.37 32 0.12 1.13 3.16
Total 3.25 7.10 37 0.22 0.93 5.37

All the above samples were submitted to SGS De Mexico. S.A. de C.V. independent laboratory located in Durango city Mexico. Assay methods utilized were GE_FAA313 for gold and Silver, Multi-element GE_ICP14B and for lead and zinc over-limits, GO_ICP90Q. Additional detail on assay methodology used can be found on SGS website at https://www.sgs.mx/en

Antonio Berlanga, CEO, states “The assay values returned, confirm the excellent ore quality and potential of Tahuehueto. Selective Cut and Fill mining methods to be used during mining operations will ensure the high quality of mined ore, minimize dilution and help deliver low mining cost. This along with an innovative mine design that is significantly reducing the required underground development that was envisioned in previous studies, is sure to allow the Tahuehueto Mine to maximize future profitability for the benefit of all Telson stakeholders including employees, local communities and shareholders.”

About Telson Mining Corporation

Telson Mining Corporation is a Canadian based mining company with two Mexican gold, silver and base metal mining projects. Telson is currently in commercial production at its 100% owned Campo Morado Mine in Guerrero, Mexico. Effective May 15, 2018 Telson declared commercial production at Campo Morado. Telson is currently producing zinc and lead concentrates with gold, silver and copper as by-products, processing approximately 2,000+ tons per day through the Campo Morado milling facilities.

Telson's 100% owned Tahuehueto Project, located in north-western Durango State, Mexico is currently in construction development. Pre-production commenced at Tahuehueto in August 2017, currently mining at a rate averaging 170 tonnes per day during Sept 1st – 23rd 2018 shipping ore to a third-party toll mill for processing. Management has a targeted timeline at Tahuehueto to be producing with its own on-site mineral processing plant, with a designed capacity of at least 1,000 tonnes per day, during the first quarter of 2019.

Regular metal concentrate deliveries and sales are well underway from both projects.

Visit: www.telsonmining.com

On behalf of the board of directors

(signed) “Ralph Shearing”

Ralph Shearing, P.Geol, President and Director

Qualified Persons

This press release was prepared under the supervision and review of Ralph Shearing, P.Geol., President and Director of Telson Mining Corporation, a Professional Geologist registered in Alberta as a member of the professional association APEGA, and a Qualified Person as defined by NI 43-101. Data verification by Mr. Shearing includes personal inspection of the Campo Morado mine site, reviewing mining facilities, drill core, underground development and discussing work programs and results with geology and mining personnel.

Cautionary Note Regarding Production Decisions and Forward-Looking Statements

It should be noted that at Tahuehueto, Telson is mining reserves supported by a pre-feasibility published early 2017 while at Campo Morado pre-production mining is proceeding without the benefit of pre-feasibility or feasibility studies that outline mineral reserves and has declared commercial production at Campo Morado prior to completing a feasibility study of mineral reserves demonstrating economic and technical viability. Accordingly, readers should be cautioned that Telson’s Campo Morado production decision has been made without a comprehensive feasibility study of established reserves such that there is greater risk and uncertainty as to future economic results from the Campo Morado mine and a higher technical risk of failure than would be the case if a feasibility study was completed and relied upon to make a production decision. Telson has completed a preliminary economic assessment (“PEA”) mining study on the Campo Morado mine that provides a conceptual life of mine plan and a preliminary economic analysis based on the previously identified mineral resources (see News Release dated November 8, 2017 and April 4, 2018). This will soon be replaced by a pre-feasibility study (“PFS”) that will allow the application of modifying factors to the mineral resources to allow a portion of them to be converted to mineral reserves.

Statements contained in this news release that are not historical facts are “forward-looking information” or “forward-looking statements” (collectively, “Forward-Looking Information”) within the meaning of applicable Canadian securities laws. Forward Looking Information includes, but is not limited to, disclosure regarding possible events, conditions or financial performance that is based on assumptions about future economic conditions and courses of action; the timing and costs of future activities on the Company’s properties, such as production rates and increases; success of exploration, development and bulk sample processing activities and timing for processing at its own mineral processing facility on the Tahuehueto project site. In certain cases, Forward-Looking Information can be identified by the use of words and phrases such as “plans”, “expects”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or variations of such words and phrases. In preparing the Forward-Looking Information in this news release, the Company has applied several material assumptions, including, but not limited to, that the current exploration, development, environmental and other objectives concerning the Campo Morado Mine and the Tahuehueto Project can be achieved, the continuity of the price of gold, zinc, lead and other metals, economic and political conditions and operations. Forward-Looking Information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the Forward-Looking Information. There can be no assurance that Forward-Looking Information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on Forward-Looking Information. Except as required by law, the Company does not assume any obligation to release publicly any revisions to Forward-Looking Information contained in this news release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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.

Share to Youtube Share to Facebook Facebook Share to Linkedin Share to Twitter Twitter Share to Tiktok