Multiple untested targets to be drilled east of the historic Tonopah mining district
Vancouver, May 2, 2023 – Summa Silver Corp. (“Summa” or the “Company”) (TSXV:SSVR) (OTCQX: SSVRF) (Frankfurt:48X) is pleased to announce that it has commenced an exploration drill program at the high-grade silver-gold Hughes Project near Tonopah, Nevada (the “Hughes Project”).
- Drilling has commenced: A reverse-circulation drill rig has been mobilized to site and is currently advancing the first hole of the program. A core rig is also on-site and will be drilling core tails on select holes.
- High-Potential Targets: Five targets will be tested and a minimum of seven holes are planned. Targets were selected based on thorough interpretations of geophysical, geochemical, and geological mapping data acquired by the Company (see attached figures).
- Additional Drilling at the Ruby Discovery: Representing the extension of the Tonopah District and located 1.3 km east of the Belmont Mine, this discovery will be tested with aggressive step-outs.
- Mineralization already intersected at Ruby: The three holes drilled by the Company at Ruby in 2020 and 2021 all intersected zones of quartz veining, alteration and intermittent mineralization with features strikingly similar to the ore bodies in the heart of Tonopah district (see previously released core photos from SUM21-49 here and the Company’s press releases dated December 17, 2020 and March 3, 2022).
- New Targets include Emerald, Diamond, Sapphire, and Topaz: These four new target areas, which were previously unrecognized, represent significant discovery opportunities just outside of the historic Tonopah mining district.
- Fully Funded: The Company remains fully funded with approximately $10.5 million in working capital.
Galen McNamara, CEO, stated: “The targets we will be drilling at the Hughes Project this season were developed from a systematic, multi-layered approach which included detailed interpretations of structural geology, geophysics and geochemistry. In our opinion, its very rare that compelling undrilled targets can still exist within sight of a prolific historically producing mining district like Tonopah. The five targets we will be drilling at the Hughes Project this spring and summer represent opportunities for significant new discoveries that the team has been very much looking forward to testing for some time.”
Hughes Exploration Drill Program
The focus for this phase of exploration drilling is on testing previously undrilled epithermal vein targets identified by Summa over the course of multiple ground-based exploration programs (Figure 1). The targets are all east of the historic Tonopah mining district and will be tested using both reverse circulation (RC) and core drilling methods in a minimum of seven holes.
Four main target areas will be tested over the course of the program, and include:
- Ruby: The Ruby discovery has been drilled by the Company in three holes completed in 2020 and 2021 (see Figures 1 and 2). The area is characterized by a broad zone of pyrite-rich, phyllic alteration transitioning to strong argillic + silica alteration peripheral to a wide zone of strong epithermal-related gold and silver mineralization hosted in quartz-rich breccias and veins. All three holes intersected zones of local mineralization highlighted by hole SUM20-10 which intersected 469 g/t silver equivalent (258 g/t Ag and 2.63 g/t Au) over 2m (see the Company’s press release dated December 17, 2020). Subsequent 3D IP geophysical survey work identified coincident chargeability and resistivity anomalies immediately along strike to the east of the drilled area. The coincident anomalies are interpreted to represent broad zones of sulfide-rich, quartz-dominant hydrothermal-related alteration. Modelling suggests an east-west trend to the structural zone. Drilling will investigate the eastern strike-extent of Ruby mineralization and the exploration target is an extension of the Tonopah district.
- Emerald: The Emerald target is centered on an outcropping zone of polymictic, carbonate-rich hydrothermal breccia (see Figure 3). The zone is spatially associated with a broad arsenic-in-soil geochemical anomaly and proximal to a property-scale, north-trending normal fault. The breccia occurrence is interpreted to represent the paleosurface and/or upper-level expression of a low-sulfidation epithermal vein system. Drilling will target the breccia at depth to test the gold and silver potential of the system below the paleosurface.
- Topaz, Diamond and Sapphire: These targets comprise a series of coincident soil and geophysical anomalies with local zones of outcropping chalcedonic quartz-cemented breccias. Zones of near-surface and coincident high-chargeability and high-resistivity anomalies located proximal to magnetic lineaments are interpreted to represent epithermal vein-hosted targets. Reconnaissance-style RC holes will test three targets over a 2 kilometer east-west trend.
At Ruby, two holes are planned to be drilled with RC (reverse circulation) pre-collars followed by core tails through the target zones. At the other targets, four holes are planned to be drilled via RC. A pXRF (portable Xray fluorescence) instrument will provide close to real-time geochemical data focused on key pathfinder elements (e.g., arsenic, antimony, lead, zinc and copper). Based on these early results, additional holes may be drilled.
The Company also announces that it has engaged Capital 10X to provide marketing and investor relations services (the “C10X Services”) to assist the Company with expanding investor awareness of its business and actively communicating with the investment community. In consideration for the C10X Services, the Company will pay Capital 10X a monthly fee of $2,500. The Company has engaged Capital 10X for a term of 3 months, but has the right to terminate the engagement at any time upon giving 30 days’ notice to Capital 10X. Capital 10X, an arm’s length party to the Company, is a Toronto, Ontario based investor relations firm. Capital 10x has no direct relationship with the Company, other than as contemplated in this new release.
The Company also announces that it has engaged Scandinavian Alliance to provide business development, brand awareness and consulting services (the “SA Services”). Scandinavian Alliance will undertake a comprehensive European awareness campaign for the Company, including consultation, advice, heightening brand awareness, broadening the Company’s reach within the Scandinavian audience, and similar activities designed to further the business and development interests identified by the company. In consideration for the SA Services, the Company will pay Scandinavian Alliance a fee of $88,500 and has granted Scandinavian Alliance 250,000 stock options with an exercise price of $0.67 vesting in equal tranches quarterly over a 12 month period. The Company has engaged Scandinavian Alliance for a term of 6 months. Scandinavian Alliance, an arm’s length party to the Company, is a Stockholm, Sweden based business development and consulting firm. Scandinavian Alliance has no direct relationship with the Company, other than as contemplated in this new release.
The technical content of this news release has been reviewed and approved by Galen McNamara, P. Geo., the CEO of the Company and a qualified person as defined by National Instrument 43-101.
About Summa Silver Corp
Summa is a Canadian junior mineral exploration company. The Company owns a 100% interest in the Hughes project located in central Nevada and has an option to earn 100% interest in the Mogollon project located in southwestern New Mexico. The Hughes project is host to the high-grade past-producing Belmont Mine, one of the most prolific silver producers in the United States between 1903 and 1929. The Mogollon project is the largest historic silver producer in New Mexico. Both projects have remained inactive since commercial production ceased and neither have seen modern exploration prior to the Company’s involvement.
ON BEHALF OF THE BOARD OF DIRECTORS
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Cautionary note regarding forward-looking statements
This news release contains certain “forward looking statements” and certain “forward-looking information” as defined under applicable Canadian and U.S. securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “should”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. The forward-looking information contained herein is provided for the purpose of assisting readers in understanding management’s current expectations and plans relating to the future. These forward‐looking statements or information relate to, among other things: the exploration and development of the Company’s mineral exploration projects.
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual actions, events or results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: the requirement for regulatory approvals; enhanced uncertainty in global financial markets as a result of the current COVID-19 pandemic; unquantifiable risks related to government actions and interventions; stock market volatility; regulatory restrictions; and other related risks and uncertainties.
Forward-looking information are based on management of the parties’ reasonable assumptions, estimates, expectations, analyses and opinions, which are based on such management’s experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect.
The Company undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.