18 October 2024
ASX ANNOUNCEMENT 18 October 2024 DIRECTORS Craig Sharpe – Non-Executive Chair John Skeet – Managing Director & CEO Garry Thomas – Non-Executive Director Stephen Layton – Non-Executive Director David Toyoda – Independent Non-Executive Director Justyn Stedwell– Company Secretary MITHRIL SILVER AND GOL
ASX ANNOUNCEMENT
18 October 2024
DIRECTORS
Craig Sharpe – Non-Executive Chair
John Skeet – Managing Director & CEO
Garry Thomas – Non-Executive Director
Stephen Layton – Non-Executive Director
David Toyoda – Independent Non-Executive Director
Justyn Stedwell– Company Secretary
MITHRIL SILVER AND GOLD LIMITED
ACN: 099 883 922
ASX: MTH, TSXV:MSG
www.mithrilsilvergold.com
REGISTERED OFFICE
The Block Arcade
Level 3, Suite 324, 96 Elizabeth St
Melbourne VIC 3000
T: +61 3 9088 2049
E: info@mithrilresources.com.au
ASSAYS UP TO 997 G/T SILVER, 28 G/T GOLD TARGET 1 EXPANSION
HIGHLIGHTS
Mithril Silver and Gold Limited (“Mithril” or “the Company”) (MTH:ASX) announces further drill
results for the Target 1 resource expansion programme at its Copalquin District project, Mexico.
• 4.60 m @ 5.51 g/t gold, 182.4 g/t silver, from 99m (CDH-162), including
o 2.40m @ 10.24 g/t gold, 335 g/t silver, from 100.40m, Including
0.60m @ 28.0 g/t gold, 997 g/t silver, from 100.40m
CDH-162 was part of the first drilling into an area shallower than the maiden resource model, at the historic
El Refugio mine workings on the western side of the Target 1 resource area.
• 9.00m @ 2.06 g/t gold, 90.26 g/t silver, from 98m (CDH-161)
o Including 1.00m @ 2.14 g/t gold, 259 g/t silver from 99m plus
• 1.60m @ 5.09 g/t gold, 299 g/t silver from 125.60m including
o 0.50m @ 12.15 g/t gold, 758 g/t silver from 126.7m
CDH-161 was drilled at El Cometa on the eastern side of the Target 1 resource area, again adding to the
expanded resource footprint. The recent 33.00m @31.8 g/t gold, 274 g/t silver from surface (CDH-159) was
drilled into a shallower and parallel structure 100 metres west of CDH-161 (see Figure 2). Further drilling will
be completed in this area ahead of the scheduled Target 1 resource update Q1 2025.
John Skeet, Mithril’s Managing Director and CEO commented:
“Drilling into untested areas in and around the Target 1 maiden resource area continues to successfully expand the footprint
with high to exceptionally high grade results, as we progress our aim to double the resource at this first of multiple targets
in the district with a further 5,000m of drilling to complete over the coming months. Ongoing LiDAR survey interpretation,
together with mapping and drill/channel sample results, further demonstrate a very large epithermal gold-silver system
with significant depth potential across this 10 km wide district. There are at least three further Target 1 size areas for future
drilling plus several areas identified for field work. Our Copalquin District property is advancing to become the next of the
many world-class gold-silver districts in Mexico’s prolific Sierra Madre Gold-Silver Trend.”
COPALQUIN GOLD-SILVER DISTRICT, MEXICO
With 100 historic underground gold-silver mines and workings plus 198 surface workings/pits throughout 70km2 of
mining concession area, Copalquin is an entire mining district with high-grade exploration results and a maiden
JORC resource. To date there are several target areas in the district with one already hosting a high-grade gold-
silver JORC resource at El Refugio (529koz AuEq @6.81 g/t AuEq)1 supported by a conceptional underground
mining study completed on the maiden resource in early 2022 (see ASX announcement 28 February 2022 and
metallurgical test work (see ASX Announcement 24 February 2024). There is considerable strike and depth potential
to increase the resource at El Refugio and at other target areas across the district, plus the underlying geologic
system that is responsible for the widespread gold-silver mineralisation.
With the district-wide gold and silver occurrences and rapid exploration success, it is clear the Copalquin District is
developing into another significant gold-silver district like the many other districts in this prolific Sierra Madre Gold-
Silver Trend of Mexico. These districts can host 1 – 5 million ounces of gold plus 50 – 100+ million ounces of silver.
1 see ‘About Copalquin Gold Silver Project’ section for JORC MRE details and AuEq. calculation.
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Drillhole Discussion
A total of 4,881.50 metres have been drilled since June 2024, testing Soledad, Cometa and Refugio to better define
dimensions along strike and depth of the mineral evidence that already has shown exceptional silver and gold
potential and multi-event quartz deposition. Additionally, the first drill holes at the historic Copalquin mine, 300m
lower elevation and 900m SE of the Target 1 area, has provided evidence of an epithermal, multi-phase banded
quartz vein, interpreted to be part of the conduit system responsible for the widespread gold-silver mineralization
throughout the district and supporting our model of a large and long lived epithermal gold-silver system.
CDH-161 intersected 9.00m @ 2.06 g/t gold, 90.26 g/t silver, from 98m, including
1.00m @ 2.14 g/t gold, 259 g/t silver from 99m plus
1.60m @ 5.09 g/t gold, 299 g/t silver from 125.60m including
0.50m @ 12.15 g/t gold, 758 g/t silver from 126.7m
In order to establish the vertical and horizontal continuity of Cometa Zone (Refugio E-W Structure and
crosscutting of NW structures) drill testing at depth and along strike of both CDH-159 (33.00m @31.8 g/t gold, 274
g/t silver from surface) and CDH-161 is planned over the coming months.
After completion of detailed mapping and sampling in the underground workings at El Cometa, we can now say
that Fault/Breccias and Fault/Veins along drift are occurring both as high and low angle structures. There is a
dominant 220-250 degree oriented, 50-70 degree angle SE structure offset by a NW structure that has been
developed with channel sample assays pending. Drilling is the follow in this area.
CDH-162 intersected 4.60 m @ 5.51 g/t gold, 182.43 g/t silver, from 99m, including
2.40m @ 10.24 gold g/t gold, 335.03 g/t silver, from 100.40m, plus including
0.60m @ 28 gold g/t gold, 997 g/t silver, from 100.40m
CDH-164 intersected 6.80 m @ 0.70 g/t Au, 36.98 g/t silver, from 87.20m, Including
4m @ 0.93 gold g/t gold, 45.83 g/t silver, from 88m, plus Including
0.60m @ 28 gold g/t gold, 997 g/t silver, from 100.40m
CDH-162, CDH-163 and CDH-164 were drilled in Refugio historic workings shallower than the maiden resource. A
wide quartz breccia zone was intercept along a hydrothermal breccia in all holes. CDH-162 hit Refugio Structure
4.60m @ 5.51 g/t Au, 182.43 g/t Ag, from 99m. CDH-163 hit the El Refugio historic workings from 86.60m to 88.30m
returning with anomalous intercepts of 2.70m @ 0.28 g/t Au, 19.28 g/t Ag from 88.30m, CDH-164 also hit a breccia
zone intercepting 6.80m @ 0.70 g/t Au, 36.98 g/t Ag from 87.20m, including 4m @ 0.93 g/t Au, 45.83 g/t Ag, from
88.00 m
CDH-165 and CDH-166 both holes were drilled on the western margin to provide geological information to support
the development of the geological model. No reportable intercepts from these exploration holes.
Drilling is scheduled to recommence for the second half of the 9,000m program, late this month.
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Figure 1 Cross-section at the historic El Refugio mine workings where the first drilling has been recently completed (CDH-162 to 164).
Figure 2 Plan view of drilling at El Cometa in the eastern side of the Target 1 resource area showing the recent drill intercepts into two separate
and parallel structures 100m apart. Further drilling is planned to establish the continuity the mineralisation in this area.
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Figure 3 Central area around the Target 1 Maiden JORC resource area, where all the drilling to date has been completed.
ENVIRONMENTAL, SOCIAL AND GOVERNANCE
The Company philosophy operating in the Copalquin district is to support communities via children’s education and
providing employment opportunities. This includes supporting community schools in the district, employing twenty
people from within the district under the federal employment laws, supporting routine medical visits and
developing infrastructure in the district for long term benefit. This includes the municipal access road, connecting
to the township of El Durazno 12 km east of the Copalquin District, with support for the municipal upgrade works
scheduled for commencement in Q3 2024.
ABOUT THE COPALQUIN GOLD SILVER PROJECT
The Copalquin mining district is located in Durango State, Mexico and covers an entire mining district of 70km2
containing several dozen historic gold and silver mines and workings, ten of which had notable production. The
district is within the Sierra Madre Gold Silver Trend which extends north-south along the western side of Mexico
and hosts many world-class gold and silver deposits.
Multiple mineralisation events, young intrusives thought to be system-driving heat sources, widespread alteration
together with extensive surface vein exposures and dozens of historic mine workings, identify the Copalquin mining
district as a major epithermal centre for Gold and Silver.
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Within 15 months of drilling in the Copalquin District, Mithril delivered a maiden JORC mineral resource estimate
demonstrating the high-grade gold and silver resource potential for the district. This maiden resource is detailed
below (see ASX release 17 November 2021)^.
• 2,416,000 tonnes @ 4.80 g/t gold, 141 g/t silver for 373,000 oz gold plus 10,953,000 oz silver (Total
529,000 oz AuEq*) using a cut-off grade of 2.0 g/t AuEq*
• 28.6% of the resource tonnage is classified as indicated
Tonnes
(kt)
Tonnes
(kt)
Gold
(g/t)
Silver
(g/t)
Gold Eq.*
(g/t)
Gold
(koz)
Silver
(koz)
Gold Eq.*
(koz)
El Refugio Indicated 691 5.43 114.2 7.06 121 2,538 157
Inferred 1,447 4.63 137.1 6.59 215 6,377 307
La Soledad Indicated - - - - - - -
Inferred 278 4.12 228.2 7.38 37 2,037 66
Total Indicated 691 5.43 114.2 7.06 121 2,538 157
Inferred 1,725 4.55 151.7 6.72 252 8,414 372
TOTAL 2,416 4.80 141 6.81 373 10,953 529
Table 1 - Mineral resource estimate El Refugio – La Soledad using a cut-off grade of 2.0 g/t AuEq*
* The gold equivalent (AuEq.) values are determined from gold and silver values and assume the following: AuEq. = gold equivalent calculated using and gold:silver
price ratio of 70:1. That is, 70 g/t silver = 1 g/t gold. The metal prices used to determine the 70:1 ratio are the cumulative average prices for 2021: gold USD1,798.34 and
silver: USD25.32 (actual is 71:1) from kitco.com. Metallurgical recoveries are assumed to be approximately equal for both gold and silver at this early stage. Actual
metallurgical recoveries from test work to date are 96% and 91% for gold and silver, respectively. In the Company’s opinion there is reasonable potential for both gold
and silver to be extracted and sold. Actual metal prices have not been used in resource estimate, only the price ratio for the AuEq reporting.
^ The information in this report that relates to Mineral Resources or Ore Reserves is based on information provided in the following ASX announcement: 17 Nov 2021 -
MAIDEN JORC RESOURCE 529,000 OUNCES @ 6.81G/T (AuEq*), which includes the full JORC MRE report, also available on the Mithril Resources Limited Website.
The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and
that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially
changed. The company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original
market announcement.
Mining study and metallurgical test work supports the development of the El Refugio-La Soledad resource with
conventional underground mining methods indicated as being appropriate and with high gold-silver recovery to
produce metal on-site with conventional processing.
Mithril is currently exploring in the Copalquin District to expand the resource footprint, demonstrating its multi-
million-ounce gold and silver potential.
Mithril has an exclusive option to purchase 100% interest in the Copalquin mining concessions by paying US$10M on
or any time before 7 August 2026 (option has been extended by 3 years). Mithril has reached an agreement with the
vendor for an extension of the payment date by a further 2 years (bringing the payment date to 7 August 2028).
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Figure 4 – Copalquin District location map with locations of mining and exploration activity within the state of Durango
-ENDS-
Released with the authority of the Board.
For further information contact:
John Skeet
Managing Director and CEO
jskeet@mithrilresources.com.au
+61 435 766 809
Mark Flynn
Investor Relations
mflynn@mithrilresources.com.au
+61 416 068 733
Competent Persons Statement
The information in this announcement that relates to metallurgical test results, mineral processing and project
development and study work has been compiled by Mr John Skeet who is Mithril’s CEO and Managing Director. Mr
Skeet is a Fellow of the Australasian Institute of Mining and Metallurgy. This is a Recognised Professional
Organisation (RPO) under the Joint Ore Reserves Committee (JORC) Code.
Mr Skeet has sufficient experience of relevance to the styles of mineralisation and the types of deposits under
consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of
the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves. Mr Skeet consents to the inclusion in this report of the matters based on information in the form
and context in which it appears. The Australian Securities Exchange has not reviewed and does not accept
responsibility for the accuracy or adequacy of this release.
The information in this announcement that relates to sampling techniques and data, exploration results and
geological interpretation for Mithril’s Mexican project, has been compiled by Mr Ricardo Rodriguez who is Mithril’s
Project Manager. Mr Rodriguez is a Member of the Australasian Institute of Mining and Metallurgy. This is a
Recognised Professional Organisation (RPO) under the Joint Ore Reserves Committee (JORC) Code.
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Mr Rodriguez has sufficient experience of relevance to the styles of mineralisation and the types of deposits under
consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of
the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves. Mr Rodriguez consents to the inclusion in this report of the matters based on information in the
form and context in which it appears.
The information in this announcement that relates to Mineral Resources is reported by Mr Rodney Webster,
Principal Geologist at AMC Consultants Pty Ltd (AMC), who is a Member of the Australasian Institute of Mining and
Metallurgy. The report was peer reviewed by Andrew Proudman, Principal Consultant at AMC. Mr Webster is acting
as the Competent Person, as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian
Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, for the reporting of the Mineral
Resource estimate. A site visit was carried out by Jose Olmedo a geological consultant with AMC, in September 2021
to observe the drilling, logging, sampling and assay database.
The Australian Securities Exchange has not reviewed and does not accept responsibility for the accuracy or
adequacy of this release.
Figure 5 LiDAR hill shade image with the historic workings identified across the district and 2020-2022 highlight drill and
channel sample results. Several new areas highlighted across the district for follow-up work.
ASX ANNOUNCEMENT
18 October 2024
DIRECTORS
Craig Sharpe – Non-Executive Chair
John Skeet – Managing Director & CEO
Garry Thomas – Non-Executive Director
Stephen Layton – Non-Executive Director
David Toyoda – Independent Non-Executive Director
Justyn Stedwell– Company Secretary
MITHRIL SILVER AND GOLD LIMITED
ACN: 099 883 922
ASX: MTH, TSXV:MSG
www.mithrilsilvergold.com
REGISTERED OFFICE
The Block Arcade
Level 3, Suite 324, 96 Elizabeth St
Melbourne VIC 3000
T: +61 3 9088 2049
E: info@mithrilresources.com.au
Table 2 Mineralised intercepts in reported drillholes above 0.1 g/t AuEq.
HOLE_ID Sample_ID From m To m Length m Au_ppm Ag_ppm AuEQ_70 AgEQ_70
CDH-161 229287 19.80 20.40 0.60 0.217 7.7 0.33 22.89
CDH-161 229288 20.40 21.00 0.60 0.473 22.8 0.80 55.91
CDH-161 229289 21.00 22.00 1.00 0.39 14.4 0.60 41.7
CDH-161 229290 22.00 23.00 1.00 0.144 6.8 0.24 16.88
CDH-161 229295 27.00 27.5 0.5 0.221 4.8 0.29 20.27
CDH-161 229327 97.00 98.00 1.00 0.117 2.5 0.15 10.69
CDH-161 229328 98.00 99.00 1.00 0.307 10.1 0.45 31.59
CDH-161 229329 99.00 99.60 0.60 10.75 206 13.69 958.5
CDH-161 229330 99.60 100.35 0.75 1.82 53.4 2.58 180.8
CDH-161 229331 100.35 100.95 0.60 2.83 61.9 3.71 260
CDH-161 229332 100.95 101.70 0.75 2.06 41.1 2.65 185.3
CDH-161 229333 101.70 102.40 0.70 0.699 15.4 0.92 64.33
CDH-161 229334 102.40 103.00 0.60 0.822 46.4 1.48 103.94
CDH-161 229335 103.00 104.00 1.00 1.75 112 3.35 234.5
CDH-161 229336 104.00 105.00 1.00 1.53 83.5 2.72 190.6
CDH-161 229337 105.00 106.00 1.00 0.738 77.5 1.85 129.16
CDH-161 229338 106.00 107.00 1.00 2.14 259 5.84 408.8
CDH-161 229340 107.65 108.35 0.70 0.113 10.2 0.26 18.11
CDH-161 229341 108.35 109.05 0.70 0.122 13.6 0.32 22.14
CDH-161 229342 109.05 109.75 0.70 0.197 19.2 0.47 32.99
CDH-161 229343 109.75 110.25 0.50 0.446 47.3 1.12 78.52
CDH-161 229344 110.25 111.00 0.75 0.48 52.4 1.23 86
CDH-161 229345 111.00 112.00 1.00 0.118 10.9 0.27 19.16
CDH-161 229346 112.00 112.70 0.70 0.729 34.8 1.23 85.83
CDH-161 229358 125.60 126.70 1.10 1.885 90.8 3.18 222.75
CDH-161 229359 126.70 127.20 0.50 12.15 758 22.98 1608.5
CDH-161 229363 129.40 130.00 0.60 0.283 2.4 0.32 22.21
CDH-161 229387 204.10 205.20 1.10 0.748 3.6 0.80 55.96
CDH-161 229388 205.20 206.20 1.00 0.342 7.1 0.44 31.04
CDH-161 229389 206.20 206.70 0.50 0.293 25.7 0.66 46.21
CDH-161 229391 206.70 207.20 0.50 0.163 15.9 0.39 27.31
CDH-161 229392 207.20 208.20 1.00 0.473 40.3 1.05 73.41
CDH-161 229393 208.20 209.20 1.00 0.69 62.1 1.58 110.4
CDH-161 229395 210.25 211.25 1.00 0.249 16.2 0.48 33.63
CDH-161 229396 211.25 211.95 0.70 0.296 18.9 0.57 39.62
CDH-161 229397 211.95 213.00 1.05 0.145 6.7 0.24 16.85
CDH-161 229398 213.00 214.10 1.10 0.222 32.6 0.69 48.14
CDH-161 229399 214.10 215.10 1.00 0.322 29 0.74 51.54
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CDH-161 229400 215.10 215.75 0.65 0.225 29.8 0.65 45.55
CDH-161 229407 219.30 220.00 0.70 0.124 22.4 0.44 31.08
CDH-161 229408 220.00 221.00 1.00 0.106 6.4 0.20 13.82
CDH-161 229415 226.80 227.30 0.50 0.102 2.6 0.14 9.74
CDH-161 229416 227.30 228.00 0.70 0.185 9.3 0.32 22.25
CDH-161 229419 229.40 230.40 1.00 0.192 2.7 0.23 16.14
CDH-161 229420 230.40 231.40 1.00 0.218 3.1 0.26 18.36
CDH-161 229421 231.40 232.40 1.00 0.151 1.4 0.17 11.97
CDH-161 229422 232.40 233.40 1.00 0.157 1.7 0.18 12.69
CDH-161 229423 233.40 234.30 0.90 0.11 1.5 0.13 9.2
CDH-161 229428 237.25 238.25 1.00 0.149 2.9 0.19 13.33
CDH-161 229429 238.25 239.25 1.00 0.144 1.7 0.17 11.78
CDH-161 229433 241.00 242.00 1.00 0.117 0.8 0.13 8.99
CDH-162 229477 99.00 99.80 0.80 0.527 30.1 0.96 66.99
CDH-162 229478 99.80 100.40 0.60 0.166 12.2 0.34 23.82
CDH-162 229479 100.40 101.00 0.60 28 997 42.24 2957
CDH-162 229480 101.00 102.00 1.00 6.79 197 9.60 672.3
CDH-162 229481 102.00 102.80 0.80 1.225 11.1 1.38 96.85
CDH-162 229482 102.80 103.60 0.80 0.29 4.6 0.36 24.9
CDH-162 229500 132.75 133.25 0.50 0.121 2.2 0.15 10.67
CDH-162 229502 133.25 134.00 0.75 0.107 5.1 0.18 12.59
CDH-162 229503 134.00 135.00 1.00 0.137 1 0.15 10.59
CDH-162 229504 135.00 136.00 1.00 0.1 3.3 0.15 10.3
CDH-162 229506 137.00 138.00 1.00 0.131 2.5 0.17 11.67
CDH-162 229507 138.00 139.00 1.00 0.219 3 0.26 18.33
CDH-162 229508 139.00 140.00 1.00 0.17 2.1 0.20 14
CDH-162 229509 140.00 141.00 1.00 0.154 2 0.18 12.78
CDH-163 229541 88.30 89.00 0.70 0.413 29.1 0.83 58.01
CDH-163 229542 89.00 89.55 0.55 0.286 16.1 0.52 36.12
CDH-163 229543 89.55 90.30 0.75 0.284 19.6 0.56 39.48
CDH-163 229544 90.30 91.00 0.70 0.144 11.6 0.31 21.68
CDH-163 229546 92.00 93.00 1.00 0.214 17.8 0.47 32.78
CDH-163 229548 94.10 94.60 0.50 0.157 31.6 0.61 42.59
CDH-163 229549 94.60 95.60 1.00 0.102 11.6 0.27 18.74
CDH-163 229554 97.10 97.75 0.65 0.356 24.4 0.70 49.32
CDH-163 229560 102.25 102.90 0.65 0.146 17 0.39 27.22
CDH-163 229561 102.90 103.45 0.55 0.209 49.9 0.92 64.53
CDH-163 229564 105.00 106.00 1.00 0.123 12.8 0.31 21.41
CDH-163 229565 106.00 107.00 1.00 0.113 10.7 0.27 18.61
CDH-163 229570 111.00 112.00 1.00 0.155 3 0.20 13.85
CDH-163 229575 116.00 117.00 1.00 0.335 10 0.48 33.45
CDH-163 229599 135.00 135.70 0.70 0.128 2 0.16 10.96
CDH-163 229608 142.00 143.00 1.00 0.102 1.2 0.12 8.34
CDH-163 229622 156.00 157.00 1.00 0.125 0.5 0.13 9.25
CDH-164 229678 87.20 88.00 0.80 0.458 23.6 0.80 55.66
CDH-164 229679 88.00 89.00 1.00 0.762 37.5 1.30 90.84
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CDH-164 229680 89.00 90.00 1.00 0.694 34 1.18 82.58
CDH-164 229681 90.00 91.00 1.00 1.43 64.1 2.35 164.2
CDH-164 229682 91.00 92.00 1.00 0.82 47.7 1.50 105.1
CDH-164 229683 92.00 93.00 1.00 0.323 18.9 0.59 41.51
CDH-164 229684 93.00 94.00 1.00 0.376 30.4 0.81 56.72
CDH-164 229685 94.00 95.00 1.00 0.142 15.8 0.37 25.74
CDH-164 229686 95.00 96.00 1.00 0.271 23.8 0.61 42.77
CDH-164 229687 96.00 97.00 1.00 0.376 18.5 0.64 44.82
CDH-164 229688 97.00 98.00 1.00 0.54 36.6 1.06 74.4
CDH-164 229691 100.00 100.75 0.75 0.11 7.1 0.21 14.8
CDH-164 229694 101.75 102.30 0.55 0.143 13 0.33 23.01
CDH-164 229695 102.30 103.00 0.70 0.158 21.1 0.46 32.16
CDH-164 229698 105.00 105.50 0.50 0.488 46.4 1.15 80.56
CDH-164 229700 106.35 107.00 0.65 0.149 5.3 0.22 15.73
CDH-164 229702 107.00 108.00 1.00 0.128 7.9 0.24 16.86
CDH-164 229703 108.00 108.50 0.50 0.182 11.7 0.35 24.44
CDH-164 229707 110.90 111.40 0.50 0.113 1 0.13 8.91
CDH-164 229708 111.40 112.40 1.00 0.131 10.7 0.28 19.87
CDH-164 229721 121.00 122.00 1.00 0.175 2.2 0.21 14.45
CDH-164 229722 122.00 123.00 1.00 0.259 8.9 0.39 27.03
CDH-164 229755 147 148 1 0.113 2.6 0.15 10.51
CDH-164 229759 150 151 1 0.1 2.5 0.14 9.5
CDH-164 229762 153 154 1 0.108 1.1 0.12 8.66
CDH-164 229767 158 159 1 0.123 0.6 0.13 9.21
CDH-164 229781 180.8 181.3 0.5 0.1 1.7 0.12 8.7
CDH-164 229782 181.3 182 0.7 0.229 3 0.27 19.03
ASX ANNOUNCEMENT
18 October 2024
DIRECTORS
Craig Sharpe – Non-Executive Chair
John Skeet – Managing Director & CEO
Garry Thomas – Non-Executive Director
Stephen Layton – Non-Executive Director
David Toyoda – Independent Non-Executive Director
Justyn Stedwell– Company Secretary
MITHRIL SILVER AND GOLD LIMITED
ACN: 099 883 922
ASX: MTH, TSXV:MSG
www.mithrilsilvergold.com
REGISTERED OFFICE
The Block Arcade
Level 3, Suite 324, 96 Elizabeth St
Melbourne VIC 3000
T: +61 3 9088 2049
E: info@mithrilresources.com.au
JORC Code, 2012 Edition – Table 1
Section 1 Sampling Techniques and Data
Criteria JORC Code explanation Commentary
Sampling
techniques
• Nature and quality of sampling (eg cut
channels, random chips, or specific
specialised industry standard
measurement tools appropriate to the
minerals under investigation, such as
down hole gamma sondes, or handheld
XRF instruments, etc). These examples
should not be taken as limiting the
broad meaning of sampling.
• Include reference to measures taken to
ensure sample representivity and the
appropriate calibration of any
measurement tools or systems used.
• Aspects of the determination of
mineralisation that are Material to the
Public Report.
• In cases where ‘industry standard’ work
has been done this would be relatively
simple (eg ‘reverse circulation drilling
was used to obtain 1 m samples from
which 3 kg was pulverised to produce a
30 g charge for fire assay’). In other
cases more explanation may be
required, such as where there is coarse
gold that has inherent sampling
problems. Unusual commodities or
mineralisation types (eg submarine
nodules) may warrant disclosure of
detailed information.
• Samples for the Copalquin, Mexico drill programs consist of ½ HQ
core cut lengthwise with a diamond saw. Intervals are nominally 1
m but may vary between 1.5 m to 0.5 m based on geologic
criteria.
• Deeper portions of holes from CDH-075 onward consist of ½ NQ
core. Sample sizes are tracked by core diameter and sample
weights.
• The same side of the core is always sent to sample (left side of
saw).
• Reported intercepts are calculated as either potentially
underground mineable (below 120m below surface) or as
potentially open-pit mineable (near surface).
• Potentially underground mineable intercepts are calculated as
length weighted averages of material greater than 1 g/t AuEQ_70
allowing up to 2m of internal dilution.
• Potentially open-pit mineable intercepts are calculated as length
weighted averages of material greater than 0.25 g/t AuEQ_70
allowing for up to 2m of internal dilution.
• Rock chip sampling is done with hammer and chisel along
continuous chip lines oriented perpendicular to the mineralized
structure. The samples are as representative as possible.
Drilling
techniques
• Drill type (eg core, reverse circulation,
open-hole hammer, rotary air blast,
auger, Bangka, sonic, etc) and details (eg
core diameter, triple or standard tube,
depth of diamond tails, face-sampling
bit or other type, whether core is
oriented and if so, by what method, etc).
• Drilling is done with an MP500 man-portable core rig capable of
drilling HQ size core to depths of 400 m. Core is recovered in a
standard tube. Less than 7% of the total core drilled is NQ size
core (as of 2022-01-15).
Drill sample
recovery
• Method of recording and assessing core
and chip sample recoveries and results
assessed.
• Measures taken to maximise sample
recovery and ensure representative
nature of the samples.
• Whether a relationship exists between
sample recovery and grade and whether
• Drill recovery is measured based on measured length of core
divided by length of drill run.
• Recovery in holes CDH-001 through CDH-025 and holes CDH-032
through CDH-077 was always above 90% in the mineralized
zones. Detailed core recovery data are maintained in the project
database.
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Criteria JORC Code explanation Commentary
sample bias may have occurred due to
preferential loss/gain of fine/coarse
material.
• Holes CDH-026 through CDH-031 had problems with core
recovery in highly fractured, clay rich breccia zones.
• There is no adverse relationship between recovery and grade
identified to date.
Logging • Whether core and chip samples have
been geologically and geotechnically
logged to a level of detail to support
appropriate Mineral Resource
estimation, mining studies and
metallurgical studies.
• Whether logging is qualitative or
quantitative in nature. Core (or costean,
channel, etc) photography.
• The total length and percentage of the
relevant intersections logged.
• Core samples have been geologically and geotechnically logged
to a level of detail to support appropriate Mineral Resource estimation,
mining studies and metallurgical studies.
• Core logging is both qualitative or quantitative in nature. Photos
are taken of each box of core before samples are cut. Core is wetted to
improve visibility of features in the photos.
• All core has been logged and photographed.
Sub-sampling
techniques and
sample
preparation
• If core, whether cut or sawn and
whether quarter, half or all core taken.
• If non-core, whether riffled, tube
sampled, rotary split, etc and whether
sampled wet or dry.
• For all sample types, the nature, quality
and appropriateness of the sample
preparation technique.
• Quality control procedures adopted for
all sub-sampling stages to maximise
representivity of samples.
• Measures taken to ensure that the
sampling is representative of the in situ
material collected, including for instance
results for field duplicate/second-half
sampling.
• Whether sample sizes are appropriate
to the grain size of the material being
sampled.
• Core is sawn and half core is taken for sample.
• Samples are prepared using ALS Minerals Prep-31 crushing,
splitting and pulverizing. This is appropriate for the type of deposit being
explored.
• Visual review to assure that the cut core is ½ of the core is
performed to assure representativity of samples.
• field duplicate/second-half sampling is undertaken for 3% of all
samples to determine representativity of the sample media submitted.
• Sample sizes are appropriate to the grain size of the material
being sampled.
Quality of
assay data and
laboratory
tests
• The nature, quality and appropriateness
of the assaying and laboratory
procedures used and whether the
technique is considered partial or total.
• For geophysical tools, spectrometers,
handheld XRF instruments, etc, the
parameters used in determining the
analysis including instrument make and
model, reading times, calibrations
factors applied and their derivation, etc.
• Nature of quality control procedures
adopted (eg standards, blanks,
duplicates, external laboratory checks)
• Samples are assayed for gold using ALS Minerals Au-AA25
method a 30 g fire assay with an AA finish. This is considered a total assay
technique.
Samples are assayed for silver using ALS Minerals ME-ICP61 method.
Over limits are assayed by AgOG63 and AgGRAV21. These are considered a
total assay technique.
• Standards, blanks and duplicates are inserted appropriately into
the sample stream. External laboratory checks will be conducted
as sufficient samples are collected. Levels of accuracy (ie lack of
bias) and precision have not yet been established.
• Soil sampling is also subject to a program of standards and
blanks using the X-ray florescence (XRF) analyser. Results are
acceptable. Samples were analysed using three wavelengths
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Criteria JORC Code explanation Commentary
and whether acceptable levels of
accuracy (ie lack of bias) and precision
have been established.
50Kv, 40 Kv and 15 Kv for times of 120 seconds, 30 seconds and
30 seconds respectively.
• Samples with significant amounts of observed visible gold are
also assayed by AuSCR21, a screen assay that analyses gold in
both the milled pulp and in the residual oversize from
pulverization. This has been done for holes CDH-075 and CDH-
077.
Verification of
sampling and
assaying
• The verification of significant
intersections by either independent or
alternative company personnel.
• The use of twinned holes.
• Documentation of primary data, data
entry procedures, data verification, data
storage (physical and electronic)
protocols.
• Discuss any adjustment to assay data.
• The verification of significant intersections by either independent
or alternative company personnel has not been conducted. A re-assay
program of pulp duplicates is currently in progress.
• The use of twinned holes. No twin holes have been drilled.
MTH has drilled one twin hole. Hole CDH-072, reported in the 15/6/2021
announcement, is a twin of holes EC-/002 and UC-03. Results are
comparable.
• Documentation of primary data, data entry procedures, data
verification, data storage (physical and electronic) protocols are maintained
in the company’s core facility.
• Assay data have not been adjusted other than applying length
weighted averages to reported intercepts.
Location of
data points
• Accuracy and quality of surveys used to
locate drill holes (collar and down-hole
surveys), trenches, mine workings and
other locations used in Mineral
Resource estimation.
• Specification of the grid system used.
• Quality and adequacy of topographic
control.
• Drill collar coordinates are currently located by handheld GPS.
Precise survey of hole locations is planned. Downhole surveys of hole
deviation are recorded for all holes. Locations for holes CDH-001 through
CDH-048 and CDH-051 through CDH-148 have been surveyed with
differential GPS to a sub 10 cm precision.
Hole CDH-005 was not surveyed
• UTM/UPS WGS 84 zone 13 N
• High quality topographic control from Photosat covers the entire
drill project area.
Data spacing
and
distribution
• Data spacing for reporting of
Exploration Results.
• Whether the data spacing and
distribution is sufficient to establish the
degree of geological and grade
continuity appropriate for the Mineral
Resource and Ore Reserve estimation
procedure(s) and classifications applied.
• Whether sample compositing has been
applied.
• Data spacing is appropriate for the reporting of Exploration
Results.
• The Resource estimation re-printed in this announcement was
originally released on 16 Nov 2021
• No sample compositing has been applied.
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Criteria JORC Code explanation Commentary
Orientation of
data in relation
to geological
structure
• Whether the orientation of sampling
achieves unbiased sampling of possible
structures and the extent to which this is
known, considering the deposit type.
• If the relationship between the drilling
orientation and the orientation of key
mineralised structures is considered to
have introduced a sampling bias, this
should be assessed and reported if
material.
• Cut lines are marked on the core by the geologists to assure that
the orientation of sampling achieves unbiased sampling of possible
structures. This is reasonably well observed in the core and is appropriate
to the deposit type.
• The relationship between the drilling orientation and the
orientation of key mineralised structures is not considered to
have introduced a sampling bias.
Sample
security
• The measures taken to ensure sample
security.
• Samples are stored in a secure core storage facility until they are
shipped off site by small aircraft and delivered directly to ALS
Global.
Audits or
reviews
• The results of any audits or reviews of
sampling techniques and data.
• A review with spot checks was conducted by AMC in conjunction
with the resource estimate published 16 Nov 2021. Results were
satisfactory to AMC.
Section 2 Reporting of Exploration Results
Criteria JORC Code explanation Commentary
Mineral
tenement and
land tenure
status
• Type, reference
name/number, location and
ownership including
agreements or material
issues with third parties
such as joint ventures,
partnerships, overriding
royalties, native title
interests, historical sites,
wilderness or national park
and environmental settings.
• The security of the tenure
held at the time of reporting
along with any known
impediments to obtaining a
licence to operate in the
area.
• Concessions at Copalquin
No. Concession Concession
Title number Area (Ha) Location
1 LA SOLEDAD 52033 6 Tamazula, Durango, Mexico
2 EL COMETA 164869 36 Tamazula, Durango, Mexico
3 SAN MANUEL 165451 36 Tamazula, Durango, Mexico
4 COPALQUIN 178014 20 Tamazula, Durango, Mexico
5 EL SOL 236130 6,000
Tamazula, Durango and
Badiraguato, Sinaloa, Mexico
6 EL CORRAL 236131 907.3243
Tamazula, Durango and
Badiraguato, Sinaloa, Mexico •
Exploration
done by other
parties
• Acknowledgment and
appraisal of exploration by
other parties.
• Previous exploration by Bell Coast Capital Corp. and UC Resources was done in the
late 1990’s and in 2005 – 2007. Work done by these companies is historic and non-
JORC compliant. Mithril uses these historic data only as a general guide and will not
incorporate work done by these companies in resource modelling.
• Work done by the Mexican government and by IMMSA and will be used for
modelling of historic mine workings which are now inaccessible (void model)
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Page 15
Criteria JORC Code explanation Commentary
Geology • Deposit type, geological
setting and style of
mineralisation.
• Copalquin is a low sulfidation epithermal gold-silver deposit hosted in andesite. This
deposit type is common in the Sierra Madre Occidental of Mexico and is
characterized by quartz veins and stockworks surrounded by haloes of argillic
(illite/smectite) alteration. Veins have formed as both low-angle semi-continuous
lenses parallel to the contact between granodiorite and andesite and as tabular
veins in high-angle normal faults. Vein and breccia thickness has been observed up
to 30 meters wide with average widths on the order of 3 to 5 meters. The overall
strike length of the semi-continuous mineralized zone from El Gallo to Refugio,
Cometa, Los Pinos, Los Reyes, La Montura to Constancia is almost 6 kilometres. The
southern area from Apomal to San Manuel and to Las Brujas-El Peru provides
additional exploration potential up to 5km.
Drill hole
Information
• A summary of all
information material to the
understanding of the
exploration results including
a tabulation of the following
information for all Material
drill holes:
• easting and northing of the
drill hole collar
• elevation or RL (Reduced
Level – elevation above
• sea level in metres) of the
drill hole collar
• dip and azimuth of the hole
• down hole length and
interception depth
• hole length.
• If the exclusion of this
information is justified on
the basis that the
information is not Material
and this exclusion does not
detract from the
understanding of the report,
the Competent Person
should clearly explain why
this is the case.
Drillhole Easting Northing Elevation Azimuth Dip Final Depth
CDH-149 289184 2823994 1248 180 70 182.70
CDH-149A 289184 2823995 1248 180 70 657
CDH-150 289196 2823904 1242 180 65 469
CDH-151 290225 2823182 879 200 75 84
CDH-152 290225 2823182 879 200 60 129
CDH-153 289868 2824156 1062 210 60 366
CDH-154 290190 2823224 915 200 60 150
CDH-155 290190 2823224 915 200 75 210
CDH-156 290138 2823244 950 205 60 165
CDH-157 289729 2824241 1070 210 50 264
CDH-158 289710 2823879 1122 250 60 231
CDH-159 289607 2823791 1176 250 50 276
CDH-160 289702 2823834 1122 250 50 261
CDH-161 289506 2823824 1187 250 55 315
CDH-162 289173 2823711 1188 180 55 157.50
CDH-163 289153 2823713 1175 180 55 171
CDH-164 289147 2823750 1157 180 55 192
CDH-165 288881 2823680 1093 360 55 192.00
CDH-166 288881 2823680 1093 60 65 In progress
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Criteria JORC Code explanation Commentary
Data
aggregation
methods
• In reporting Exploration
Results, weighting averaging
techniques, maximum
and/or minimum grade
truncations (eg cutting of
high grades) and cut-off
grades are usually Material
and should be stated.
• Where aggregate intercepts
incorporate short lengths of
high grade results and
longer lengths of low grade
results, the procedure used
for such aggregation should
be stated and some typical
examples of such
aggregations should be
shown in detail.
• The assumptions used for
any reporting of metal
equivalent values should be
clearly stated.
• Intercepts are reported for all intercepts greater than or equal to 1 g/t AuEQ_70
using a 70:1 Silver to gold price ratio. No upper cut-off is applied to reporting
intercepts.
• Length weighted averaging is used to report intercepts. The example of CDH-002 is
shown. The line of zero assays is a standard which was removed from reporting.
Au
raw
Ag
raw
Length
(m)
Au
*length
Ag
*length
7.51 678 0.5 3.755 339
11.85 425 0.55 6.5175 233.75
0 0 0 0 0
0.306 16 1 0.306 16
0.364 31.7 1 0.364 31.7
3.15 241 0.5 1.575 120.5
10.7 709 0.5 5.35 354.5
15.6 773 0.5 7.8 386.5
Fro
m To
Lengt
h
Au
gpt Ag gpt
4.55 25.6675
1481.9
5
91.9
5
96.
5 4.55 5.64 325.70
• Metal equivalent grades are reported using a 70:1 silver to gold price ratio. This
ratio is based on the gold and silver prices reported on kitco.com as of 11 July 2021
(actual ratio at that date 69.3:1)
Relationship
between
mineralisation
widths and
intercept
lengths
• These relationships are
particularly important in the
reporting of Exploration
Results.
• If the geometry of the
mineralisation with respect
to the drill hole angle is
known, its nature should be
reported.
• If it is not known and only
the down hole lengths are
reported, there should be a
clear statement to this effect
(eg ‘down hole length, true
width not known’).
• True widths at Refugio between sections 120 and 1,000 vary according to the hole’s
dip. Holes drilled at -50 degrees may be considered to have intercept lengths equal
to true-widths, Holes drilled at -70 degrees have true widths approximately 92% of
the reported intercept lengths and holes drilled at -90 degrees have true widths of
77% of the reported intercept lengths.
• True widths are not known at La Soledad and downhole intercepts are reported.
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Criteria JORC Code explanation Commentary
Diagrams • Appropriate maps and
sections (with scales) and
tabulations of intercepts
should be included for any
significant discovery being
reported. These should
include, but not be limited
to a plan view of drill hole
collar locations and
appropriate sectional views.
See figures in announcement
Balanced
reporting
• Where comprehensive
reporting of all Exploration
Results is not practicable,
representative reporting of
both low and high grades
and/or widths should be
practiced to avoid
misleading reporting of
Exploration Results.
• All exploration results are reported.
Other
substantive
exploration
data
• Other exploration data, if
meaningful and material,
should be reported
including (but not limited
to): geological observations;
geophysical survey results;
geochemical survey results;
bulk samples – size and
method of treatment;
metallurgical test results;
bulk density, groundwater,
geotechnical and rock
characteristics; potential
deleterious or
contaminating substances.
• No additional exploration data are substantive at this time.
• Metallurgical test work on drill core composite made of crushed drill core from the
El Refugio drill hole samples has been conducted.
• The samples used for the test work are representative of the material that makes
up the majority of the Maiden Resource Estimate for El Refugio release on 17th
November 2021.
• The test work was conducted by SGS laboratory Mexico using standard reagents
and test equipment.
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Criteria JORC Code explanation Commentary
Further work • The nature and scale of
planned further work (eg
tests for lateral extensions
or depth extensions or
large-scale step-out drilling).
• Diagrams clearly
highlighting the areas of
possible extensions,
including the main
geological interpretations
and future drilling areas,
provided this information is
not commercially sensitive.
• Exploration results from the Copalquin District reporting in this release.