SNS Silver to drill 30,000 metres at Crescent

Drilling at SNS Silver‘s (SNS-V) Crescent mine project in Idaho has shown that the Alhambra vein now stretches for 427 metres.

SNS shares rose 8% today after the news came out to $1.14 apiece on a trading volume of 144,000 shares.

The best intercept was 2.18-metres grading 562 grams silver per tonne from hole SNS-603 (1.64 metres true width).

In hole SNS-604, the best result was a 2.03-metre intersection grading 323 grams gold per tonne (1.89 metres true width).

The intercepts were made in the hanging wall of the Alhambra structure.

A week ago, the company reported a second intercept from a newly discovered vein, the Alhambra II, which lies 4 to 5 metres out in the hanging wall of the Alhambra fault and is separated from the Alhambra vein by about 4 metres of wall rock.

Hole SNS-704a returned 1.77 metres grading 472 grams silver per tonne (with a true width of 1.45 metres). This intersection was about 24 metres southeast of where the vein was first discovered.

Production began at the mine in 1917 and finally stopped for good in 1983 due to low silver prices. It has produced more than 28 million oz. silver over the years. Two mines nearby, Sunshine and Bunker Hill, produced more than 400 million oz. combined.

When the mine was closed it had proven and probable reserves of 9.4 million oz. silver (not compliant under National Instrument 43-101).

SNS bought Crescent at a public auction for $650,000 in late 2006.

The company began a 30,000-metre underground drill program this month to test the newer Alhambra areas. The company will drift westward along the Alhambra fault with drill stations positioned at 150-metre intervals.