Ermitaño

  • Introduction

    Target: Gold-silver epithermal veins
    Location: Sonora, Mexico
    Size: 165 km2
    Status: 2% NSR with First Majestic Silver Corp
    Stage: Resource expansion, portal development and PEA
    Indicated Resource: 311 koz gold, 4.7 moz silver*
    Inferred Resource 370 koz gold, 7.0 moz silver*

    Overview

    The Ermitaño Property consists of 165 square kilometres of contiguous mineral tenure located approximately 145 kilometres from Hermosillo and only 3.5 kilometres southeast of First Majestic’s Santa Elena gold-silver mine in Sonora, Mexico. Access to the property is by paved highway and secondary roads. The current indicated resource is 2,107,000 tonnes averaging 4.59 grams per tonne (“g/t”) gold and 70 g/t silver for 311,000 ounces of contained gold and 4.73 million ounces of contained silver1,2. The inferred resource is Inferred resource of 3,733,000 tonnes averaging 3.08 g/t gold and 58 g/t silver for 370,000 ounces of contained gold and 6.98 million ounces of contained silver

    First Majestic Silver Corp. completed its 100% earn-in for the project in September 2018, with US$1.5 million cash payment for a net smelter royalty (“NSR”) for both Ermitaño (2% NSR) and Cumobabi (1.5% NSR) projects.

    On April 1, 2020, Evrim announced an expanded resource for Ermitano, based on a news release from First Majestic on March 30, 2020:

    • Indicated resource increased to 2,107,000 tonnes averaging 4.59 grams per tonne (“g/t”) gold and 70 g/t silver for 311,000 ounces of contained gold and 4.73 million ounces of contained silver(1,2) 
    • Inferred resource of 3,733,000 tonnes averaging 3.08 g/t gold and 58 g/t silver for 370,000 ounces of contained gold and 6.98 million ounces of contained silver(1,2)
    • First Majestic has announced plans to invest US$29.1 million in mine development, mine equipment and materials handling (3) 
    • A prefeasibility study detailing development and production plans is expected to be released in the fourth quarter of 2020 (4) 

    In 2020, First Majestic is planning to drill approximately 15,000 metres in 50 drill holes. This drilling will focus on infill of the main resource area, including resource expansion in the eastern Ermitaño vein area, the Aitana vein, and several nearby newly identified targets.  A news release from First Majestic on August 7th, 2019 also states their plans to develop an underground portal to be able to drift into the Ermitaño ore body, and initial production is planned to start in 2021.

     

    1 Information announced by First Majestic on March 30, 2020
    2 Metal prices used by First Majestic for mineral resource estimates were US$18.50/oz silver and US$1,450/oz gold
    3 See First Majestic’s Annual Information Form filed on March 30, 2020
    4 First Majestic news release February 24, 2020
      

     

  • First Majestic completed a ten hole 3,156 metre diamond drill program in early 2017.

    Ermitaño West Results

    Hole From
    (m)
    To
    (m)
    Interval
    (m)
    Gold
    (g/t)
    Silver
    (g/t)
    Gold-Equiv
    (g/t)
    EW 16-01 96.6 105.4 8.8 0.8 10 0.9
    EW 16-02 157.1 170.3 13.2 1.1 29 1.5
    including 164.0 168.2 4.2 2.5 58 3.3
    EW 16-03 195.8 205.4 9.6 1.8 24 2.1
    including 199.6 202.7 3.1 4.9 36 5.4
    EW 16-04 224.5 242.5 18.0 11.4 86 12.6
    including 228.1 240.1 12.0 15.7 107 17.1
    EW 16-05 126.4 152.6 26.2 4.2 52 4.9
    including 132.7 144.9 12.2 7.3 72 8.3
    EW 16-06 268.8 301.6 32.8 3.8 187 6.3
    Including 271.3 279.5 8.2 11.5 633 19.9
    EW 16-07 191.5 212.6 21.1 0.3 10 0.4
    EW 16-08 347.7 371.5 23.8 2.0 37 2.5
    EW 16-09 268.5 282.3 13.8 3.3 72 4.3
    including 271.3 279.5 8.2 4.4 87 5.6
    and 318.0 321.3 3.3 6.2 27 6.6
    EW 16-10 147.4 163.8 16.4 2.2 35 2.6
    including 147.4 152.9 5.5 4.8 65 5.7

    About the Ermitaño West Vein System

    Drill holes EW16-01 to EW16-10 intersected a wide, east-west trending, low-intermediate sulphidation epithermal vein with an accompanying hangingwall stockwork zone that has been mapped over 1,200 metres long and 600 metres wide. The principal east-west striking vein is up to 3.5 metres wide on surface with a hanging wall of sub-parallel east-west striking veins and north-south striking stockwork veining over 200 metres wide. Vein textures, including banded quartz, quartz replacing bladed calcite, and an elevation more than 100 metres higher than the pit at Santa Elena suggest that drilling has intersected mineralization with significant depth potential. Mineralization at Santa Elena continues for over 600 vertical metres.

    El Durazno

    The El Durazno target comprises two parallel east-west trending corridors of veining and stockwork mineralization with thickness ranging from 4 metres to 50 metres for a defined cumulative strike length of approximately 900 metres. The first corridor is defined by outcropping of veins and stockwork in an area of 400 metres along strike and 50 metres wide with a total of 86 surface channel samples averaging 1.28 g/t gold. The second corridor is defined by outcropping of vein and stockwork in an area of 500 metres along strike and 50 metres wide with 129 surface channel samples averaging 0.34 g/t gold. Surface channel samples in the two corridors range from 0.4 metres to 2.0 metres in width and average 1.50 metres in width. Evidence based on epithermal textures and more detailed mineralogical studies suggest a shallower level exposure in a low sulphidation epithermal environment compared to Santa Elena. The interpreted shallow level of exposure presents an excellent opportunity to discover additional mineralization at depth.

    Ermitaño East

    Ermitaño East is an east-west trending galena-bearing silver vein system with indications of two different levels of epithermal exposure (deep and shallow). Surface sampling returned significant silver grades with 554 channel samples with an average width of 1.60 metres and an average grade of 14 g/t silver, including 6 samples that exceeded 300 g/t silver.

    Veta Valentina

    Veta Valentina hosts a 1.2 kilometre long and 10 metre wide east-west trending structural corridor with low sulphidation epithermal veining.

    The content of this page has been reviewed by Dave Groves, Vice President of Exploration for the Company. Mr. Groves is a Qualified Person as defined under the terms of National Instrument 43-101.