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VANCOUVER, BRITISH COLUMBIA–(Marketwire – Oct. 20, 2011) – IMPACT Silver Corp (“IMPACT” or “the Company”) (TSX VENTURE:IPT) is pleased to announce high grade silver values in initial drilling results at the Oscar Project. Oscar is located only 2.5 kilometers east of the Company’s operating 500-tpd (tonnes per day) Guadalupe processing plant in the 423-square-kilometer Royal Mines of Zacualpan District of central Mexico. Initial results from this first phase drilling are as follows:
Oscar Project Drill Results
| Drill Hole |
Section | From (m) |
To (m) |
Intersection (m) |
Silver (g/t) |
Gold (g/t) |
Lead (%) |
Zinc (%) |
| Z11-35 | 18+50N | 79.88 | 81.20 | 1.32 | 156 | 0.00 | 0.0 | 0.2 |
| And | 145.90 | 146.25 | 0.35 | 2,860 | 0.35 | 1.6 | 4.6 | |
| Z11-36 | 18+50N | 203.30 | 205.63 | 2.33 | 109 | 0.11 | 1.0 | 1.6 |
| Z11-37 | 18+50N | 183.95 | 189.20 | 5.25 | 108 | 0.19 | 0.2 | 0.4 |
| Including | 183.95 | 186.08 | 2.13 | 178 | 0.40 | 0.4 | 0.8 | |
| Z11-38 | 18+50N | 97.72 | 103.70 | 5.98 | 197 | 0.02 | 0.2 | 0.5 |
| Including | 100.47 | 100.92 | 0.45 | 1,310 | 0.11 | 1.3 | 4.0 | |
| Z11-39 | 19+00N | 62.15 | 63.70 | 1.55 | 285 | 0.01 | 0.2 | 0.3 |
| Z11-40 | 19+00N | 59.45 | 61.45 | 2.00 | 165 | 0.01 | 0.1 | 0.4 |
| And | 120.25 | 124.75 | 4.50 | 136 | 0.08 | 0.3 | 0.9 | |
| Including | 120.25 | 120.80 | 0.55 | 414 | 0.16 | 0.4 | 1.8 | |
| Z11-41 | 19+00N | 72.35 | 74.05 | 1.70 | 64 | 0.00 | 0.1 | 0.6 |
| Including | 72.35 | 72.55 | 0.20 | 246 | 0.02 | 0.3 | 3.4 | |
| Z11-42 | 19+50N | 32.40 | 39.90 | 7.50 | 76 | 0.09 | 0.2 | 0.6 |
| Including | 32.40 | 34.55 | 2.15 | 162 | 0.28 | 0.6 | 1.5 | |
| Z11-43 | 19+50N | 5.05 | 6.18 | 1.13 | 69 | 0.01 | 0.1 | 0.2 |
| Z11-44 | 19+50N | 51.80 | 82.45 | 30.65 | 291 | 0.01 | 0.1 | 0.4 |
| Including | 51.80 | 59.25 | 7.45 | 780 | 0.02 | 0.4 | 1.1 | |
| Including | 51.80 | 52.10 | 0.30 | 6,730 | 0.20 | 1.5 | 8.0 | |
| Including | 55.50 | 55.95 | 0.45 | 4,240 | 0.06 | 2.1 | 6.8 | |
| Including | 64.60 | 70.40 | 5.80 | 398 | 0.03 | 0.2 | 0.4 | |
| Including | 68.25 | 68.95 | 0.70 | 1,290 | 0.06 | 0.2 | 1.3 | |
| And | 139.45 | 146.80 | 7.35 | 244 | 0.07 | 0.5 | 0.9 | |
| Including | 140.45 | 144.45 | 4.00 | 380 | 0.08 | 0.7 | 1.3 |
* Note the initial interpretation for this 30.65-meter intersection is a sheeted stockwork zone that lies between two of the larger veins (Oscar and Cuchara), both of which appear to be hosted by thrust faults which the drilling has intersected at a low angle. Due to the multiplicity of veins encountered in these drill holes, final interpretation of drill sections and determination of true widths is pending and requires further drilling, now in progress.
These Oscar drill results are from multiple veins in a wide vein corridor (Oscar Vein Corridor), located on the southern extensions of the large Cuchara Mine, a former producer that last operated in 2004. Some of these Oscar area veins have historically been in production and are exposed in nearby old mine workings. Previous limited drilling by IMPACT on the Oscar Vein returned values of 2,820 g/t silver, 1.83 g/t gold, 3.48% lead, and 7.83% zinc over 0.30 meters (see IMPACT News Release dated January 25, 2007).
The 2011 Oscar Project drill plan was initially conceived to test an area of high potential, yet poorly known mineralization that, if successful, would provide a profitable underground mine access route to the Santa Lucia area located immediately to the southeast. Previous drilling at Santa Lucia included drill assays of 466 g/t silver across 3.2 meters (see IMPACT News Releases dated October 6, 2009, December 16, 2009 and July 27, 2010 for full results). Providing some initial confirmation for this concept are the results presented in this news release. Additional drilling is now in progress in the Oscar Vein Corridor to sort out the orientation and continuity of silver grades in these veins. If this additional drilling proves successful, it may lead to a more extensive and comprehensive mining plan for the combined Oscar-Santa Lucia area.
George Gorzynski, P. Eng., Director and Vice President, Exploration stated, “These drill results demonstrate the high grade nature characteristic of much of the silver mineralization at the Royal Mines of Zacualpan. This high grade has allowed the Company to mine at a profit through high and low silver price cycles.”
Brian Hall, P. Geo. and Nigel Hulme, P. Geo., Qualified Persons under the meaning of Canadian National Instrument 43-101, are responsible for the technical content of this news release.
IMPACT Silver Corp. is a silver focused mining and exploration company operating in Mexico with a producing silver operation at the 423-square-kilometer Royal Mines of Zacualpan Silver District, the 200-square-kilometer advanced Mamatla Silver District including the Capire Mine Development Project, and an option agreement with Defiance Silver Corp. in return for IMPACT’s 200-tpd mill and mineral concessions in the Zacatecas Silver District. Additional information can be found on the Company’s website at www.IMPACTSilver.com.
On behalf of the directors of IMPACT Silver Corp.
Frederick W. Davidson, President & CEO
