Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
WINNEMUCCA, NEVADA–(Marketwire – Feb. 23, 2012) – Paramount Gold and Silver Corp. (NYSE Amex:PZG)(TSX:PZG)(FRANKFURT:P6G)(WKN:A0HGKQ) (“Paramount”) today reported some of the highest silver grades yet discovered at its 100% owned San Miguel Project in Mexico. Nine new in-fill holes drilled into the fast-growing San Antonio silver deposit returned intercepts of 20.1 meters grading 201.89 g/T of silver and 11.45 meters grading 418.21 g/T of silver. Eight of the nine holes intersected significant values, continuing the high success rate of recent months on the San Miguel Project.
San Antonio is a shallow, bulk-mineable target with considerable potential to grow. A total of 98 core holes have now been drilled into San Antonio of which 19 of the recent drill holes were not included in the latest resource estimation for this deposit completed by Mine Development Associates (MDA) of Reno, Nevada last December (see news release of December 28, 2011 for details). The drill results reported today are expected to increase the resource, upgrade inferred resources and improve the deposit`s overall grade (see typical cross-section at the following address: http://www.paramountgold.com/_img/SanAntonioBulkTonnageSilverDeposit.jpg).
San Antonio is in the central portion of the recently recognized La Union-La Veronica Mega Structure, a mineralized corridor stretching for more than seven kilometers and hosts four known deposits (see figure in January 11, 2012 release at the following address: http://media3.marketwire.com/docs/Paramount_map_0111.pdf). Approximately 2.8 km of this corridor remains untested including a 1.2 km gap north from San Antonio towards the La Veronica deposit (where one rig is now drilling) and a second 300 meter gap south from San Antonio towards the gold-rich La Union deposit. These gaps offer an exciting, low cost opportunity to increase the overall resource substantially and drilling is now focused on expanding resources into these gaps. (See cross section and news release of January 11, 2012)
