Share Issuance to Mirasol
In order to maintain its agreement for the Virginia silver project, in Santa Cruz province, Argentina, the Company is pleased to report the issuance of 3,827,462 common shares to Mirasol Resources Ltd. (“Mirasol”) representing 5% of the issued and outstanding share capital of the Company on May 20, 2022. The shares were issued pursuant to the terms of a mineral property option agreement (the “Option Agreement”) dated May 20, 2020, as partial consideration for the grant by Mirasol of an option to the Company to acquire an undivided 100% interest in Mirasol’s Virginia Property, located in Santa Cruz province, Argentina. Following the issuance, Mirasol holds an aggregate of 10,377,943 common shares of Silver Sands, representing approximately 12.9% of the issued common share capital of Silver Sands.
A copy of the Early Warning Report will appear on www.SEDAR.com under Mirasol’s profile.
The Option Agreement with Mirasol allows the Company to acquire a 100% interest in the Virginia Silver Project (See News Release May 21, 2020.) https://www.silversandscorp.com/20200521golden-opportunity-signs-definitive-agreement-with-mirasol-resources-and-closes-over-subscribed-private-placement-including-strategic-investor-eric-sprott
The Company is pleased to report exploration expenditures made on the Virginia Silver Project to date total US$ 1.6 million.
About Virginia
The Virginia Project is an advanced exploration stage project. Located in the mineral-rich Deseado massif, lying within the mining-friendly state of Santa Cruz in the Patagonia region of Argentina. Virginia is a low to intermediate sulphidation epithermal silver deposit. Through initial discovery in 2009 to four drill programs between 2010 and 2012, Mirasol Resources was able to define an initial indicated mineral resource of 11.9 million ounces of silver at 310 g/t Ag and a further inferred 3.1 million ounces of silver at 207 g/t Ag within seven outcropping bodies. The mineral resources are contained within seven conceptual open pits – Naty, Julia North, Julia Central, Julia South, Ely North, Ely South and Martina. Phase I and II drilling identified the potential for four additional conceptual open pits – Ely Central, Ely North Extension, Julia South Extension and Martina NW.
The resource estimate is documented in a Mirasol Resources technical report entitled: “Amended Technical Report, Virginia Project, Santa Cruz Province, Argentina — Initial Silver Mineral Resource Estimate” with an effective date of Oct. 24, 2014, and a report date of Feb. 29, 2016.
Several additional vein structures within the property package remain highly prospective, as Mirasol concentrated the bulk of its earlier exploration effort on the resource area at the expense of continuing exploration on the underexplored additional veins. Several of these structures have highlight silver values in excess of 1,000 g/t Ag and have a high probability of hosting additional silver resources.
Silver Sands has the option to earn-in 100% of the Virginia Project. Upon completion of the option Mirasol Resources will retain a 3% NSR royalty, of which 1% can be bought back by Silver Sands for US$ 2 million.
VANCOUVER, BC, May 24, 2022 — Silver Sands Resources Corp. (“Silver Sands” or the “Company”) (CSE: SAND) (OTCQB: SSRSF) is pleased to announce that, further to its news release on April 5, 2022, it has completed its Phase IV exploration program at Virginia. This Phase consisted of 12 holes totaling 1362 metres, 11 holes at the Virginia Vein Field and 1 hole at Santa Rita East. All core samples have been dispatched to the assay lab and the Company will release results once they are received and reviewed.
