Projects situated in mining friendly US state of Arizona
Experienced and committed management
Philadelphia project exciting because it is near surface and high grade
Arizona Silver Exploration Inc (CVE:AZS) (OTCMKTS:AZASF) is an explorer focused on the US state of the same name. After recent encouraging drill results, the focus has been on its Philadelphia property in Mohave county and that trend is set to continue for the rest of this year.
The group also owns 100% of the Sycamore Canyon project, where values up to 15.45 g/t (grams per ton) gold, and 396 g/t silver were collected from a 1-metre wide channel in a prospect pit, from a total of 42 samples. The average value of the 42 was 0.893 g/t gold and 82 g/t silver. The property lies 25 miles from Safford, which serves the large copper mines of mining major Freeport McMoran.
The group's Ramsey dilver project is two hours west of Phoenix, and boasts historic high-grade production of 1370 g/t (grams per ton) (around 40 opt) of silver, with 41 existing 1960’s underground drill holes.
How it's doing
The group's Philadelphia property was discovered in the late 1800s and operated intermittently, mainly between 1917 and 1935 as a 50-tonne-per-day underground mine. Past production ranged from 10 to 27 g/t, according to Arizona Silver, with historic silver grades in the production shaft averaging 420 g/t silver. No work has been done there since the Second World War.
It lies in the Oatman district which has produced over 2 million ounces of gold from high-grade veins via underground mining. Within ten miles of Arizona's project is Northern Vertex Mining Corp's (CVE:NEE) Moss Mine open pit heap leach operation and Para Resources (CVE:PBR) has the Gold Road also underground mine and agitation leach operation.
Chairman Mike Stark reckons the firm could be sitting on a target of up to 1 million ounces at Philadelphia.
Last month, Arizona reported exciting results from the first three shallow holes at a key vein target at the property. Highlight intercepts included 10 feet at 0.46 opt (ounces per ton) gold and 2.62 opt silver from 25-35 feet in one hole, which was drilled to hit the target below shallow underground workings off the Philadelphia No 1 shaft, sunk in the early 1900s.
A further three holes were sunk, and all six came back with both gold and silver mineralization, confirming the vein continues, but also, luckily, the presence of beryllium, used in alloys with copper and nickel. Average content was 300ppm (parts per million) in the gold zones.
"That's roughly six tenths of a pound of beryllium per tonne of material and beryllium is currently selling for US$250 a pound so that adds some potentially significant value to the property," CEO Greg Hahn told Proactive last month.
Stark explained that the team hoped to be back on the property as soon as July this year. The permit and bond process to be allowed to drill again is in train. He added that the Philadelphia mineralization was open in all directions and that CEO Hahn was now devising plans for 12, 20 and 50 hole programs.
"Once we find where the sweet spot is, because we are still looking for that, that's where we dive down," he said.
What the CEO says
"It's been 30/40 years since I've been able to drill a gold, silver system this close to the surface," said Hahn. "Everybody's looking deep now. You look at other people's intercepts they're hundreds of meters deep. We're tens of meters deep. This is really an opportunity that has been overlooked."