VANCOUVER, BC / ACCESSWIRE / January 3, 2024 / Regency Silver Corp. ("Regency Silver" or the "Company") (TSXV:RSMX)(OTCQB:RSMXF) is pleased to announce that it has entered into an option agreement to acquire two contiguous claim groups (the "San Dimas Claims") near the San Dimas mine in the San Dimas district of Durango, Mexico. (See Figure 1 below for location)
The San Dimas Claims cover a total of 3,498 hectares and contain numerous artisanal workings and tunnels. Historical grab sampling returned assay values as high as 17 g/t gold and 7,753 g/t silver and 37 g/t gold and 2,325 g/t silver. Verification grab sampling by Regency Silver has returned assay values of 8.95 g/t gold and 304 g/t silver, and 0.49 g/t gold and 1,084 g/t silver.
The San Dimas Claims are located only 13 km to the east of the San Dimas mine in Durango, Mexico. Historical production to 2018 from the San Dimas district is estimated at more than 748 Moz of silver and more than 11 Moz of gold (Enriquez et al., 2018), placing the district third in Mexico for precious metal production after Pachuca and Guanajuato.
Regency Chairman Bruce Bragagnolo stated, "We are excited to acquire an option on the San Dimas Claims. The acquisition fits with our ongoing strategy of acquiring high grade properties in established mining camps and developing them to create substantial shareholder value. We firmly believe that, after Dios Padre, the San Dimas district is the next large scale mining district in Mexico and Regency plans to be firmly established in the area. In addition to our ongoing programs at Dios Padre we plan to commence a mapping and sampling program on the San Dimas Claims in the near future."
In order to exercise the option, Regency Silver must pay US$50,000 on receipt of Exchange acceptance, US$50,000 in 6 months, issue a total of 1,000,000 common shares and pay back taxes and mining filings on or before March 31, 2025. In lieu of a royalty, Regency Silver must also pay a US$1M bonus upon a NI 43-101 resource being published, which estimates the San Dimas Claims contain a minimum of 70 million silver equivalent ounces or 1 million gold ounces in the measured or indicated categories. The shares are subject to a four month hold period and the agreement is subject to the approval of the TSX Venture Exchange.
QA/QC
Regency verification samples were submitted to Laboratorio Technologia de Metallurgia's (LTM) analytical facility in Hermosillo, Mexico for preparation and analysis. LTM is ISO 9001 and ISO/IEC 17025 certified and all analytical methods include quality control materials at set frequencies with established data acceptance criteria. Samples were analyzed by LTM with a standard fire assay using 30 gm samples. Gold was analyzed using absorption spectrometry (AA 240 FS) and silver by gravimetrics.
Technical Information
The technical information contained in this news release has been reviewed by Company director Michael Tucker, P.Geo, who is recognized as a Qualified Person under the guidelines of National Instrument 43-101. Mr. Tucker is a director of the Company and for that reason is not considered independent. Mr. Tucker has read and approved the technical contents of this news release.
ABOUT REGENCY SILVER CORP.
Regency Silver Corp. is a Canadian resource company exploring for high grade gold, copper, and silver in Mexico. Regency Silver is led by a team of experienced professionals with expertise in both exploration and production. Regency's flagship project is the high grade Dios Padre project in Sonora Mexico where Regency has made a large, high grade, gold-copper-silver discovery. Drill results have included 38 metres of 7.36 g/t gold in hole REG 23-21, 36 metres of 6.84 g/t gold, 0.88% copper and 21.8 g/t silver in hole REG 22-01, and 29.4 m of 6.32 g/t gold in hole REG 23-14.
Contact Information
Regency Silver Corp.
Kin Communications Inc.
Phone: 1-604-684-6730
Email: [email protected]
Bruce Bragagnolo, Executive Chairman
(604) 417-9517
Email: [email protected]
Gijsbert Groenewegen, Chief Executive Officer
Phone: 1-646-247-1000
Email: [email protected]
Neither the 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.
Cautionary Note Regarding Forward-Looking Statements: This news release includes certain forward-looking statements and forward-looking information (together, "forward-looking statements"). All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the optioning of the Project by the Company. There can be no assurance that such statements will prove to be accurate and actual results and future events may vary from those anticipated in such statements. Important risk factors that could cause actual results to differ materially from the Company's plans or expectations include the risk that regulatory changes, fundraising, and risk associated with mineral exploration, including the risk that actual results of exploration will be different from those expected by management. The forward-looking statements in this news release were developed based on the expectations of management, including that Exchange acceptance for the proposed transaction will be obtained, conditions will be satisfied, required fundraising will be completed and the other risks described above will not materialize. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as otherwise required by applicable securities legislation.
SOURCE: Regency Silver Corp.