NYSE: VZLA TSX-V: VZLA
VANCOUVER, BC, Aug. 16,
2023 /CNW/ - Vizsla Silver Corp. (TSXV: VZLA)
(NYSE: VZLA) (Frankfurt:
0G3) ("Vizsla" or the "Company") announces
positive preliminary metallurgical test results for the Copala
Resource Area ("Copala") at
its 100%-owned flagship Panuco silver-gold project
("Panuco" or the
"Project") located in Mexico.
"Based on representative samples from Copala, the largest known structure in the
Panuco district, we are pleased to
report very high silver and gold recoveries," commented
Michael Konnert, President & CEO
of Vizsla Silver. "This is a significant de-risking milestone
for the Project and provides positive implications for the ongoing
development of the Panuco
district. Additionally, these results complement high silver and
gold recoveries from the Napoleon and Tajitos resource areas
using comparable grinding with both flotation and leaching methods
independently. We intend to confirm through the next phase of
metallurgical testing and additional flowsheet optimization that
the mineralized material from all three primary zones, which make
up the bulk of the current project resource base, is amenable to
processing via the same flowsheet utilizing the same extraction
circuits by testing the combination of flotation and cyanide
leaching at both Napoleon and Tajitos."
Testing Procedure:
The test program was designed and supervised by Ausenco
Engineering Canada Inc. and completed by ALS Canada Ltd. out of
Kamloops, BC. The testing
procedure consisted of drill core being first crushed to -6 mesh
and prepared into master composite test charges. A series of
flotation tests were then conducted on the samples at primary grind
sizes of between P80 70 to 150μm. Simple bulk flotation conditions
were applied which included 18 g/t of PAX over 8 minutes of
flotation time at natural pH. Precious metal recoveries to the
concentrate ranged between 76 to 82% for gold and 78 to 85% for
silver.
Flotation concentrate and tails were both subsequently leached
using sodium cyanide to maximize gold and silver extraction.
Flotation concentrates were subject following varying levels of
regrinding prior to bottle roll leach tests using a sodium cyanide
concentration of 3000 ppm. Pre-aeration was applied by bottle
rolling the prepared feed slurries with ambient air prior to adding
cyanide. Flotation tails were subject to bottle roll leach tests
using a sodium cyanide concentration of 1000 ppm. Total circuit
sodium cyanide consumptions averaged 1.3 kg/tonne for tests that
included regrinding.
Gold and silver extractions from the flotation concentrates
averaged 96.4 and 98.1%, respectively, for tests that employed
regrinding compared with 93.6 and 92.7% without regrinding. Gold
extractions appeared to be complete after 24 hours, while silver
benefitted from extending the leach to 48 hours. Gold extractions
from the rougher tails ranged between 77 and 82%, while silver
extractions ranged between 48 and 67% after 48 hours of leaching.
The higher extractions were achieved at the finer primary grind
sizes. A summary of master composite test results is presented in
Table 1.
Sample
|
Ag
(g/t)
|
Au
(g/t)
|
Test
|
PG
µm
|
RoCon
mass%
|
RoCon
RG µm
|
Net Extraction % -
Gold
|
Residue
Au g/t
|
Net Extraction % -
Silver
|
Residue
Ag g/t
|
CN Cons
kg/t
|
Leach
hrs
|
RoCon
|
RoTails
|
Total
|
RoCon
|
RoTails
|
Total
|
Master
Composite
|
352
|
2.44
|
T13
|
100
|
3.7
|
54
|
76.0
|
12.9
|
88.9
|
0.28
|
74.9
|
12.6
|
87.4
|
43
|
0.59
|
72 / 72
|
T14
|
100
|
3.1
|
18
|
73.6
|
18.7
|
92.3
|
0.18
|
78.2
|
10.8
|
89.0
|
37
|
0.93
|
72 / 72
|
T22
|
100
|
6.1
|
19
|
73.4
|
18.2
|
91.5
|
0.19
|
78.2
|
10.9
|
89.1
|
40
|
1.34
|
48 / 48
|
T25
|
150
|
5.3
|
23
|
73.3
|
19.1
|
92.4
|
0.18
|
75.8
|
10.8
|
86.5
|
49
|
1.08
|
48 / 48
|
T28
|
100
|
8.6
|
51
|
76.9
|
14.9
|
91.8
|
0.20
|
73.4
|
11.4
|
84.7
|
56
|
0.85
|
72 / 72
|
T55
|
70
|
6.5
|
15
|
78.5
|
14.0
|
92.5
|
0.17
|
84.1
|
9.7
|
93.7
|
21
|
1.80
|
48 /
48
|
T60*
|
100
|
5.6
|
14
|
74.9
|
18.8
|
93.7
|
0.17
|
76.3
|
14.2
|
90.6
|
32
|
1.33
|
24 /
72
|
* T60 Rougher Con
leach residue was added to the Rougher Tail
leach
|
Table 1:
Flotation plus Cyanide Leach results on Master
Composite.
|
A test was conducted in which the concentrate residue was added
to the rougher tail leach, 24 hours into the process, for an
additional 48 hours of leaching of this product. This arrangement
is represented in Figure 1. In this test (T60), 93.7% and 90.6% of
the gold and silver, respectively, were extracted to the combined
leach solutions as indicated in Table 2.
Test T55 used a finer primary grind of 70µm P80 returned very
good total recoveries of 93.0% and 93.8% for gold and silver,
respectively. This test used was performed over a lower leach
residence time of 48 hours for both the rougher tails and
concentrate. This result indicates that finer primary grinding may
be justified. Repeat testing and grinding circuit cost analysis
needs to be completed to confirm.
Process
Steps
|
Stage
|
Mass Recovery
(%)
|
Recovery
(%)
|
Ag
|
Au
|
|
|
|
|
|
Flotation
Concentrate
|
Flotation + regrind +
Cyanide Leach
|
7.0
|
76.3
|
74.9
|
|
|
|
|
|
Rougher
Tails
|
Cyanide
Leach
|
93.0
|
14.2
|
18.8
|
|
Flotation Plus
Cyanide leach
|
Total
|
100
|
90.6
|
93.7
|
|
|
|
|
|
Table
2:
Summary of results from optimized test work.
|
Comminution: The Copala
composite material is considered to be hard, returning a bond ball
mill work index (BBWi) of 18.6 kWh/tonne, which is higher in
comparison with Napoleon deposit (16.8 kWh/tonne).
Future Work Programs
Based on these positive results from Flotation plus Cyanide
Leaching for the Copala deposit,
further metallurgical testwork is being planned for the Napoleon
and Tajitos deposits to further
confirm that they are amenable to the same treatment.
In addition, further test work of material from the Napoleon,
Tajitos and Copala deposits is planned to better
understand and optimise grind size, cyanide consumption, leach
kinetics, residence times and recoveries.
Napoleon and Tajitos previous Metallurgical
Testwork
Preliminary silver and gold recoveries for the Napoleon and
Tajitos resource areas were
originally disclosed by Vizsla on February
17, 2022 and March 10, 2023,
and are provided in Tables 3 and 4. The float and leach test work
that was carried out on the Copala
samples has not been specifically evaluated on Napoleon material
however, some of the Tajitos
samples were tested using a similar arrangement, albeit not with
the same application of regrinding or additional leach residence
times.
Process
Option
|
Stage
|
Mass
Recovery
(%)
|
Global Recovery
(%)
|
Product Grade (% or
g/t)
|
Ag
|
Au
|
Pb
|
Zn
|
Ag
|
Au
|
Pb
|
Zn
|
|
|
|
|
|
|
|
|
|
|
|
Whole Ore
Leach
|
Direct
Cyanidation
Leach
|
100
|
87
|
93
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Bulk Sulfide
Flotation*
|
Rougher
Conc.
|
17.0
|
93
|
90
|
94
|
94
|
666
|
16
|
6.8
|
5.8
|
1 Stage Cleaner
Conc
|
7.1
|
89
|
88
|
87
|
90
|
1,524
|
36
|
15.1
|
13.2
|
2 Stage Cleaner
Conc
|
5.6
|
87
|
86
|
82
|
87
|
1888
|
45
|
18.1
|
16.2
|
|
|
|
|
|
|
|
|
|
|
|
Sequential
Flotation*
|
Lead Rougher
Conc
|
6.0
|
79
|
80
|
93
|
24
|
1,804
|
40
|
18.3
|
4.4
|
Zinc Rougher
Conc
|
6.2
|
9
|
8
|
3
|
72
|
194
|
4
|
0.5
|
12.8
|
|
|
|
|
|
|
|
|
|
|
|
Gravity
Concentration
|
Knelson
Concentrate
|
3.6
|
29
|
40
|
28
|
12
|
1,087
|
31
|
8.9
|
3.5
|
Tabled Knelson
Conc
|
0.6
|
12
|
26
|
13
|
2
|
2,670
|
122
|
24.8
|
2.9
|
Table 3:
Napoleon Deposit. Summary of results from optimized test
work. *Open circuit tests.
|
Composite
|
Flowsheet
|
Displayed
Values
|
Extraction
(%)
|
Reagent Cons –
kg/tonne feed
|
Au
|
Ag
|
NaCN
|
Lime
|
Diorite MC
|
Separate Cyanidation
of
Reground Flotation
Concentrate and Rougher
Tails
|
Combined CN
Extractions
|
90.3
|
89.7
|
1.0
|
1.0
|
Salable Concentrate
/
Cyanidation on Tails
|
Float Con
Estimated Tail CN
Extraction
Combined
Float/CN
|
63.7
30.6*
87.3*
|
69.7
19.7*
89.4*
|
0.4-0.6*
0.4-0.6*
|
0.8*
0.8*
|
Andesite MC
|
Separate Cyanidation
of
Reground Flotation
Concentrate and Rougher
Tails
|
Combined CN
Extractions
|
94.2
|
87.3
|
1.0
|
1.4
|
Salable Concentrate
/
Cyanidation on Tails
|
Float Con
Estimated Tail CN
Extraction
Combined
Float/CN
|
60.0
34.1*
94.1*
|
72.5
17.3*
89.8*
|
0.5*
0.4-0.6*
|
1.2*
0.8*
|
Andesite Low
MnOX MC
|
Separate Cyanidation
of
Flotation Concentrate (No
RG) and Rougher Tails
|
Combined CN
Extractions
|
90.1
|
80.8
|
0.9
|
0.8
|
*Estimated values.
Testing will be required to confirm.
|
Table
4:
Tajitos Deposit. Potential flowsheet comparison.
|
Engagement of Rose &
Co.
Vizsla would also like to announce that, subject to regulatory
approval, it has retained Rose & Company Holdings, LLC ("Rose
& Co.") to provide certain investor relation services to the
Company in compliance with the policies and guidelines of the TSX
Venture Exchange and other applicable legislation. Rose & Co is
a New York-based advisory firm
that provides their clients with high quality investor access and
outreach services.
Under the agreement, the Company will pay Rose & Co.
$15,000 per month during the term.
The term of the engagement is for a period of one year, and Vizsla
has a one-time right to terminate the agreement after three (3)
months. Rose & Co. will not receive any shares or options from
the Company as compensation for services it will render.
Rose & Co is at arm's length to the Company, and neither
holds any securities of the Company nor has any interest, direct or
indirect, in the Company.
About Rose & Company
Rose & Co. is a strategic advisory firm dedicated to helping
clients successfully navigate the global capital markets. Rose
& Co. works with its clients to evaluate, define and execute
strategies to enhance their presence in
increasingly globalized and complex capital markets. For more
information, please visit www.roseandco.com.
About the Panuco project
The newly consolidated Panuco
silver-gold project is an emerging high-grade discovery located in
southern Sinaloa, Mexico, near the
city of Mazatlán. The 7,189.5-hectare, past producing district
benefits from over 86 kilometres of total vein extent, 35
kilometres of underground mines, roads, power, and permits.
The district contains intermediate to low sulfidation epithermal
silver and gold deposits related to siliceous volcanism and crustal
extension in the Oligocene and Miocene. Host rocks are mainly
continental volcanic rocks correlated to the Tarahumara
Formation.
The Panuco Project hosts an estimated in-situ indicated mineral
resource of 104.8 Moz AgEq and an in-situ inferred resource of
114.1 Moz AgEq. An updated NI 43-101 technical report titled
"Technical Report on the Mineral Resource Estimate Update for the
Panuco Ag-Au-Pb-Zn Project, Sinaloa State, Mexico" was filed on SEDAR on March 10, 2023, with an effective date of
January 19, 2023 was prepared by
Allan Armitage, Ph. D., P. Geo.,
Ben Eggers, MAIG, P.Geo. and
Yann Camus, P.Eng. of SGS Geological
Services.
About Vizsla Silver
Vizsla Silver is a Canadian mineral exploration and development
company headquartered in Vancouver,
BC, focused on advancing its flagship, 100%-owned
Panuco silver-gold project located
in Sinaloa, Mexico. To date,
Vizsla Silver has completed over 250,000 metres of drilling at
Panuco leading to the discovery of
several new high-grade veins. For 2023, Vizsla Silver has budgeted
+90,000 metres of resource/discovery-based drilling designed to
upgrade and expand the mineral resource, as well as test other high
priority targets across the district.
About Ausenco
Ausenco is a global company redefining what's possible. Their
team is based across 26 offices in 14 countries, with projects in
over 80 locations worldwide. Combining their deep technical
expertise with a 30-year track record, they provide innovative,
value-add consulting and engineering studies and project delivery,
asset operations and maintenance solutions to the mining &
metals, oil & gas, and industrial sectors.
Quality Assurance / Quality
Control
Drill core and rock samples were shipped to ALS Limited in
Zacatecas, Zacatecas, Mexico and in North Vancouver, Canada for sample preparation
and for analysis at the ALS laboratory in North Vancouver. The ALS Zacatecas and
North Vancouver facilities are ISO
9001 and ISO/IEC 17025 certified. Silver and base metals were
analyzed using a four-acid digestion with an ICP finish and gold
was assayed by 30-gram fire assay with atomic absorption ("AA")
spectroscopy finish. Over limit analyses for silver, lead and zinc
were re-assayed using an ore-grade four-acid digestion with AA
finish.
Control samples comprising certified reference samples,
duplicates and blank samples were systematically inserted into the
sample stream and analyzed as part of the Company's quality
assurance / quality control protocol.
Qualified Person
The Company's disclosure of metallurgical information in this
press release has been collated and reviewed by Peter Mehrfert, P.
Eng, of Ausenco. All scientific and technical information in this
press release has been reviewed and approved by Martin Dupuis,
P.Geo., COO for Vizsla. Messrs. Mehrfert and Dupuis are Qualified
Persons as defined under the terms of National Instrument
43-101.
Information Concerning Estimates
of Mineral Resources
The scientific and technical information in this news release
was prepared in accordance with NI 43-101 which differs
significantly from the requirements of the U.S. Securities and
Exchange Commission (the "SEC"). The terms "measured mineral
resource", "indicated mineral resource" and "inferred mineral
resource" used herein are in reference to the mining terms defined
in the Canadian Institute of Mining, Metallurgy and Petroleum
Standards (the "CIM Definition Standards"), which definitions have
been adopted by NI 43-101. Accordingly, information contained
herein providing descriptions of our mineral deposits in accordance
with NI 43-101 may not be comparable to similar information made
public by other U.S. companies subject to the United States federal securities laws and
the rules and regulations thereunder.
You are cautioned not to assume that any part or all of mineral
resources will ever be converted into reserves. Pursuant to CIM
Definition Standards, "inferred mineral resources" are that part of
a mineral resource for which quantity and grade or quality are
estimated on the basis of limited geological evidence and sampling.
Such geological evidence is sufficient to imply but not verify
geological and grade or quality continuity. An inferred mineral
resource has a lower level of confidence than that applying to an
indicated mineral resource and must not be converted to a mineral
reserve. However, it is reasonably expected that the majority of
inferred mineral resources could be upgraded to indicated mineral
resources with continued exploration. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of
feasibility or pre-feasibility studies, except in rare cases.
Investors are cautioned not to assume that all or any part of an
inferred mineral resource is economically or legally mineable.
Disclosure of "contained ounces" in a resource is permitted
disclosure under Canadian regulations; however, the SEC normally
only permits issuers to report mineralization that does not
constitute "reserves" by SEC standards as in place tonnage and
grade without reference to unit measures.
Canadian standards, including the CIM Definition Standards and
NI 43-101, differ significantly from standards in the SEC Industry
Guide 7. Effective February 25, 2019,
the SEC adopted new mining disclosure rules under subpart 1300 of
Regulation S-K of the United States Securities Act of 1933, as
amended (the "SEC Modernization Rules"), with compliance required
for the first fiscal year beginning on or after January 1, 2021. The SEC Modernization Rules
replace the historical property disclosure requirements included in
SEC Industry Guide 7. As a result of the adoption of the SEC
Modernization Rules, the SEC now recognizes estimates of "measured
mineral resources", "indicated mineral resources" and "inferred
mineral resources". Information regarding mineral resources
contained or referenced herein may not be comparable to similar
information made public by companies that report according to U.S.
standards. While the SEC Modernization Rules are purported to be
"substantially similar" to the CIM Definition Standards, readers
are cautioned that there are differences between the SEC
Modernization Rules and the CIM Definitions Standards. Accordingly,
there is no assurance any mineral resources that the Company may
report as "measured mineral resources", "indicated mineral
resources" and "inferred mineral resources" under NI 43-101 would
be the same had the Company prepared the resource estimates under
the standards adopted under the SEC Modernization Rules.
Website: www.vizslasilvercorp.ca
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SPECIAL NOTE REGARDING FORWARD
LOOKING STATEMENTS
This news release includes certain "Forward–Looking Statements"
within the meaning of the United States Private Securities
Litigation Reform Act of 1995 and "forward–looking information"
under applicable Canadian securities laws. When used in this news
release, the words "anticipate", "believe", "estimate", "expect",
"target", "plan", "forecast", "may", "would", "could", "schedule"
and similar words or expressions, identify forward–looking
statements or information. These forward–looking statements or
information relate to, among other things: the exploration,
development, and production at Panuco, including plans for
resource/discovery-based drilling designed to upgrade and expand
the mineral resource.
Forward–looking statements and forward–looking information
relating to any future mineral production, liquidity, enhanced
value and capital markets profile of Vizsla Silver, future growth
potential for Vizsla Silver and its business, and future
exploration plans are based on management's reasonable assumptions,
estimates, expectations, analyses and opinions, which are based on
management's experience and perception of trends, current
conditions and expected developments, and other factors that
management believes are relevant and reasonable in the
circumstances, but which may prove to be incorrect. Assumptions
have been made regarding, among other things, the price of silver,
gold, and other metals; no escalation in the severity of public
health crises; costs of exploration and development; the estimated
costs of development of exploration projects; Vizsla Silver's
ability to operate in a safe and effective manner and its ability
to obtain financing on reasonable terms.
These statements reflect Vizsla Silver's respective current
views with respect to future events and are necessarily based upon
a number of other assumptions and estimates that, while considered
reasonable by management, are inherently subject to significant
business, economic, competitive, political and social uncertainties
and contingencies. Many factors, both known and unknown, could
cause actual results, performance, or achievements to be materially
different from the results, performance or achievements that are or
may be expressed or implied by such forward–looking statements or
forward-looking information and Vizsla Silver has made assumptions
and estimates based on or related to many of these factors. Such
factors include, without limitation: the Company's dependence on
one mineral project; precious metals price volatility; risks
associated with the conduct of the Company's mining activities in
Mexico; regulatory, consent or
permitting delays; risks relating to reliance on the Company's
management team and outside contractors; risks regarding mineral
resources and reserves; the Company's inability to obtain insurance
to cover all risks, on a commercially reasonable basis or at all;
currency fluctuations; risks regarding the failure to generate
sufficient cash flow from operations; risks relating to project
financing and equity issuances; risks and unknowns inherent in all
mining projects, including the inaccuracy of reserves and
resources, metallurgical recoveries and capital and operating costs
of such projects; contests over title to properties, particularly
title to undeveloped properties; laws and regulations governing the
environment, health and safety; the ability of the communities in
which the Company operates to manage and cope with the implications
of public health crises; the economic and financial implications of
public health crises to the Company; operating or technical
difficulties in connection with mining or development activities;
employee relations, labour unrest or unavailability; the Company's
interactions with surrounding communities and artisanal miners; the
Company's ability to successfully integrate acquired assets; the
speculative nature of exploration and development, including the
risks of diminishing quantities or grades of reserves; stock market
volatility; conflicts of interest among certain directors and
officers; lack of liquidity for shareholders of the Company;
litigation risk; the ongoing military conflict in Ukraine; general economic factors; and the
factors identified under the caption "Risk Factors" in Vizsla
Silver's management discussion and analysis and other public
disclosure documents. Readers are cautioned against attributing
undue certainty to forward–looking statements or forward-looking
information. Although Vizsla has attempted to identify important
factors that could cause actual results to differ materially, there
may be other factors that cause results not to be anticipated,
estimated, or intended. Vizsla does not intend, and does not assume
any obligation, to update these forward–looking statements or
forward-looking information to reflect changes in assumptions or
changes in circumstances or any other events affecting such
statements or information, other than as required by applicable
law.
SOURCE Vizsla Silver Corp.