Published: June 2, 2022 |

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Silverton Metals, a Canadian exploration and development company, has agreed to acquire the Margaritas gold-silver property in the Durango state in Mexico from Zapata Exploration.

In this connection, the company has signed a share purchase agreement with the two sellers to acquire Impulsora De Proyectos Mineros, a subsidiary of Zapata.

As per the terms, Silverton Metals will issue 7.5 million of its shares and offer a net smelter return royalty of 0.5 percent to the sellers.

The Margaritas property consists of two concessions called Margaritas and Ampliacion las Margaritas, that span a total of 500ha.

It is an underexplored, high-grade epithermal gold-silver deposit, which is hosted in the volcanic rocks of the Sierra Madre Occidental, a mountain range system.

Margaritas’ mineralization consists of native gold and accessory silver, and gangue of silica, clays, as well as traces of pyrite.

“We are very excited about the Margaritas acquisition as it contains a high-grade gold vein open in all directions with visible gold and the potential to be a bonanza-grade deposit,” said Silverton Metals President and CEO John Theobald.

“Both the environmental permit application and community agreement process have already commenced, which have given the company a head start on the exploration of the project. Favorable topography facilitates drilling and or tunneling and eventually would also facilitate underground mining,” added Theobald.

Theobald said that based on simple mineralogy, gold from the Margaritas property can be extracted easily by employing the gravity and leaching methods.

Silverton Metals aims to get the project ready for drilling by the end of this year.

The Margaritas deposit is said to be a gold dominant low-sulphidation epithermal system. It is similar to productive deposits like La Cienega and Bacis, which are located 250km away, in Durango.

The closing of the deal is contingent on meeting certain customary conditions and the approval of the TSX Venture Exchange.

Source: NS Energy

About Silverton Metals
Silverton Metals Corp is a Canadian company focused on the exploration and development of quality silver projects. The company holds a 100 percent interest in three significant silver assets in Mexico — Pluton, in Durango, Peñasco Quemado in Sonora and La Frazada in Nayarit. Silverton management and board have experience identifying and evaluating acquisition targets and exploration prospects. The company intends to build a strong portfolio of silver and gold-silver projects to drive future growth by exploration success and from later stage projects with production potential. To achieve this growth the Silverton business plan calls for a dynamic combination of development of its existing properties, acquisitions, and partnerships.

To stop by Silverton’s website, CLICK HERE

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