Golden Minerals Company
 
 
 
 
  
  
  
PROJECT PIPELINE – Project Evaluation Stage Projects
    

El Quevar

Drill Results and 43-101 Resource Estimates
The company controls mineral and surface rights to approximately 55,000 hectares at its 100% controlled El Quevar silver project. The Company has conducted significant drilling at El Quevar, and as of early 2013 more than 400 drill holes have been completed representing over 100,000 meters.

The most recent Canadian National Instrument 43-101 ("NI 43-101") compliant resource estimate for El Quevar was completed in June 2012 by Pincock Allen & Holt and utilized 270 holes comprising just over 69,000 meters of drilling with an average hole depth of 256 meters. This resource estimate reported 32.0 million ounces of silver in the indicated category at a grade of 141 grams per tonne, plus 30.2 million ounces of silver in the inferred category at a grade of 152 grams per tonne of silver. The Pincock resource estimate used a more conservative assay capping strategy than the previous 2010 resource estimate conducted by Micon International Limited. Pincock capped silver values at three times the standard deviation, confirmed by probability plots, for each Contact Domain. Pincock then compared the capped and uncapped assay data and found that such capping reduced the average silver grade in the deposit by 15 percent. Mineralization was also constrained to a 10 ppm Ag grade shell within the alteration envelope.

In late 2012, Golden began an additional 16-hole, 2,400-meter drilling program. This drilling was conducted in Quevar Sud and Quevar Norte areas that were not included in the Pincock Allen & Holt 2012 resource estimate. Targets were selected based on surface samples and geology in the search for additional silver resources. Results have been received for 13 of the 16 drill holes and include:

  • Drill hole QVD-378 located one kilometer (km) east of the previously defined Yaxtché deposit: intersected eight meters (drill width) with an average grade of 779 grams per tonne silver (25 ounces per ton: 779 parts per million (ppm)) from 25 meters to 33 meters. The intercept is located along the Yaxtché mineralized trend and may represent a significant extension of the deposit.

  • Drill hole QVD-383 is a 475 meter step out along the Quevar North structure that hosts the previously-described Sharon target, located approximately 5 km north of the Yaxtché deposit: cut a three meter interval (drill width) grading 374 grams per tonne silver (12 ounces per ton: 374 ppm) from 27 meters to 30 meters within a broader zone of six meters averaging 229 ppm silver from 24 meters to 30 meters.

The program’s positive results support Golden’s long-held belief that El Quevar exhibits characteristics of an emerging new silver district.

Summary of Indicated and Inferred Resources, Yaxtché

El Quevare Conceptual Plan    
Summary of Indicated Resources Yaxtché Summary of Inferred
Resources Yaxtché
   

Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues. The quantity and grade of reported inferred resources in this estimation are conceptual in nature. There has been insufficient exploration to define an indicated mineral resource on the property, and it is uncertain if further exploration will result in discovery of an indicated or measured mineral resource on the property.

The mineral resources in this estimate were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council on December 11, 2005.

Assay and Drill Results

   
   
Drill Holes 201-250
El Quevar —
Drill Hole Data –
Hole 251 to 286 (PDF)
El Quevar —
Drill Hole Data –
Hole 251 to 300 (PDF)
El Quevar —
Drill Hole Data –
Hole 301 to 350 (PDF)
     
     
     
     

Note: Total number of drill holes does not include 3 holes that were re-drilled.

El Quevar Project — 43-101 Compliant Technical Reports

CAM NI-43-101 October 2009
CAM NI-43-101 October 2009
CAM NI-43-101 October 2009
CAM NI-43-101 October 2009
Prepared by:
Pincock Allen & Holt
June 2012
Prepared by:
MICON International Limited
August 2010
Prepared by:
CAM*
January 2010
Prepared by:
CAM*
October 2009
CAM NI-43-101 August 2009
El Quevar Technical Report
Prepared by:
CAM*
August 2009
Prepared by:
SRK Consulting
February 2009

*CAM – Chlumsky, Armbrust & Meyer, LLC

Under standards promulgated by the SEC, a deposit reported as "mineralized material" does not qualify as a reserve until comprehensive evaluation, based upon unit costs, grade, recoveries, and other factors concludes economic and legal feasibility. The Yaxtché deposit may never be classified as reserves under SEC standards and it may not be economically feasible to extract any portion of the deposit.

Cautionary Note regarding Estimates of Measured, Indicated and Inferred Resources: The United States Securities and Exchange Commission permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this presentation, such as “indicated” and “inferred resources” that the SEC guidelines strictly prohibit us from including in our filings with the SEC. US investors are cautioned not to assume that any or all of measured, indicated or inferred resources are economically or legally mineable or that these resources will ever be converted into reserves. US investors are urged to consider closely the disclosure in our Form 10-K and other SEC filings. You can review and obtain copies of these filings from the SEC’s website at http://www.sec.gov/edgar.shtml.

 

    
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