IMPACT Silver Corp. (“IMPACT” or the “Company”) is pleased to announce that production at its Royal Mines of Zacualpan Silver District in Mexico has restarted per the Mexican government decree.
The Company is pleased to report operation has resumed at the Guadalupe production center and mineral feed is being extracted from the three underground mines, San Ramon, Cuchara, and Guadalupe as well as the open pit, Veta Negra.
Management developed its mine restart plan which includes active virus monitoring, prevention and response measures already in place at the company’s operations to comply with high levels of health and safety standards.
Ongoing COVID-19 monitoring and prevention actions to ensure community and operational safety include:
- All employees and contractors reporting for duty undergo medical screening to verify that no one with COVID-19 symptoms or contact with anyone exhibiting COVID-19 symptoms enters the site
- The company has COVID-19 test kits available if the company’s medical staff recommend testing of employees, contractors or people in the local communities.
- Company wide social distancing and sanitation measures throughout the operations
- An educational and resource seminar and health kits for local communities
- Heightened level of health and personal protection equipment (PPE) provided for employees and additional quantities for local communities
Mr. Fred Davidson, President and CEO of IMPACT Silver states, “We commend our operational team and the local communities in the Zacualpan District for coming together in addressing the issues with regard to the COVID-19 pandemic. These are unprecedented times and we are grateful that to date there have been no recorded incidences of COVID-19 in the District. Going forward we will continue these social distancing, educational and monitoring protocols to ensure continuity and safety of our operations.”
IMPACT’s exploration crews are also restarting mapping and sampling field programs to develop drill programs for targets at Chapanial and Veta Negra.. The Company is anticipating testing of additional new targets selected for the 2020 season.
The Chapanial Gold Project
In February 2020, IMPACT announced sampling results from Chapanial including 97.5 g/t gold and 97.9 g/t silver over true width of 0.80 meters. The Chapanial area was selected for evaluation due to its’ proximity to the historic Chapanial mine located 1.7 km to the north along the projection of the La Faly vein system. The Chapanial mine historically produced on three levels over 45m depth and along strike for 100 meters.
Veta Negra Open Pit Silver Project
The Veta Negra area is located 3.4 km to the northwest of IMPACT’s 535 tonne per day Guadalupe production centre. The Veta Negra vein system was mined in the 1970’s and 1980’s by a previous operator as both an open pit and from underground with existing infrastructure intact. Since the start of production in September 2019, IMPACT has quickly ramped up production from Veta Negra. In Q1 2020 Veta Negra already accounted for 17% of mineral feed to the plant. Exploration is now recommencing on the north extension of the Veta Negra open pit.
George Gorzynski, P.Eng., a Qualified Person under the meaning of Canadian National Instrument 43-101, approved the technical content regarding exploration work in this news release.
About IMPACT Silver
IMPACT Silver Corp. is a successful silver-gold explorer-producer with two processing plants on adjacent districts within its 100% owned mineral concessions covering 211km2 in central Mexico with excellent infrastructure and labor force. Over the past 15 years, IMPACT has produced over 10.0 million ounces of silver, generating revenues over $194 million, with no long-term debt. At the Royal Mines of Zacualpan Silver District three underground silver mines and one open pit mine feed the central Guadalupe processing plant. To the south, in the Mamatla District the Capire processing pilot plant is adjacent to an open pit silver mine with a mineral resource of over 4.5 million oz silver, 48 million lbs zinc and 21 million lbs lead (see IMPACT news release dated January 18, 2016 for details) that is awaiting higher silver prices to be restarted. Given the challenging markets the last few years, IMPACT has focused its exploration efforts on high probability gold and silver targets, with potentially rapid timelines to production and proximity to the Guadalupe processing plant. With over a decade of exploration successes leading to production cash flows, IMPACT has shown the Zacualpan District to be endowed with many high grade epithermal silver-gold zones..
Additional information about IMPACT and its operations can be found on the Company website at www.IMPACTSilver.com.
On behalf of IMPACT Silver Corp.
“Frederick W. Davidson”
Frederick W. Davidson
President & CEO
For more information, please contact:
Jerry Huang
CFO & Investor Relations
(604) 681-0172 or [email protected]
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.
Forward-Looking and Cautionary Statements
This IMPACT News Release may contain certain “forward-looking” statements and information relating to IMPACT that is based on the beliefs of IMPACT management, as well as assumptions made by and information currently available to IMPACT management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including but not limited to, without limitations, exploration and development risks, expenditure and financing requirements, title matters, operating hazards, metal prices, political and economic factors, competitive factors, general economic conditions, relationships with vendors and strategic partners, governmental regulation and supervision, seasonality, technological change, industry practices, and one-time events. Should any one or more risks or uncertainties materialize or change, or should any underlying assumptions prove incorrect, actual results and forward-looking statements may vary materially from those described herein. IMPACT does not assume the obligation to update any forward-looking statement.
The Company’s decision to place a mine into production, expand a mine, make other production related decisions or otherwise carry out mining and processing operations, is largely based on internal non-public Company data and reports based on exploration, development and mining work by the Company’s geologists and engineers. The results of this work are evident in the discovery and building of multiple mines for the Company and in the track record of mineral production and financial returns of the Company since 2006. Under NI43-101 the Company is required to disclose that it has not based its production decisions on NI43-101-compliant mineral resource or reserve estimates, preliminary economic assessments or feasibility studies, and historically such projects have increased uncertainty and risk of failure.
