Mag adds more ground in Mexico

Vancouver — Mag Silver, formerly Mega Capital Investments, has added 65,000 ha to its already impressive land holdings in Mexico’s Zecatecas state.

The junior picked up the Lagartos 4 claim block, which covers over 40 km of the southeast-northwest trend linking the Zacatecas silver district and the Fresnillo silver district. The property goes along with Mag’s Juanicipio and Lagartos 1, 2, and 3 claims, which cover a further 50 km of the favourable trend.

"We are very pleased with our exploration results from Juanicipio and are looking forward to applying the tools we’ve developed to newly recognized prospective ground in the vicinity," says company president, George Young.

The junior recently completed a drill program over the Juanicipio project, where it targeting six main structures located along strike from producing mines. Five of the seven deep drill holes cut Fresnillo style mineralization with grades running up to 730 grams silver and 10.9 grams gold over narrow intervals.

The project lies only 5-km from Industrias Penoles‘ Fresnillo mine, which currently produces 12% of the world’s silver.

The prolific district has a long history of mining dating back to 1560 and has cranked out some 1 billion ozs of silver over the years. The Junaicipio project was last worked by Idaho-based Sunshine Mining and Refining back in the early 2000’s. The property lies southwest of the city of Fresnillo and Penoles has recently been actively drilling very near the property boundary. The conceptual model of exploration interest assumes that similar veins as those at Fresnillo or actual extensions of the Fresnillo veins themselves strike onto the Juanicipio concession.

Mag filed a prospectus on March 31st and holds options to earn a 100% interest in three properties in Mexico; the Juanicipio, Don Fippi and the Guigui properties.

The results from the deep drilling program prompted Mag to the acquire the Lagartos 1, 2, and 3 claims to the northwest of Juanicipio. The geological and geophysical characteristics of this new NW area are remarkably similar to those that successfully guided Juanicipio drilling.

In the next few months, Mag aims to launch geological and geophysical reconnaissance of the newly acquired claim, while resuming drilling at Juanicipio.