10:55:42 EDT Sun 23 Jun 2024
Enter Symbol
or Name

Silver Bullet Mines Corp
Symbol SBMI
Shares Issued 66,697,522
Close 2023-10-18 C$ 0.12
Market Cap C$ 8,003,703
Recent Sedar Documents

Silver Bullet samples 212 oz/ton Ag at Buckeye mine

2023-10-25 12:59 ET - News Release

Mr. John Carter reports


Silver Bullet Mines Corp. has released two sets of high-grade assay results from the Treasure Room area and initial assay results from the targeted mineralized zone at the Buckeye mine in Arizona (zone 1). The company also announces a financing and the repricing of warrants.

The Treasure Room is located roughly 310 feet from the portal, or roughly halfway to zone 1 along the vein structure. On March 1, 2022, Silver Bullet Mines reported assay results from grab samples from the Treasure Room as shown in the associated table.

Additional selected grab samples were recently taken from the Treasure Room area, whose assay results were 8.6, 90.3, 90.6, and 229.7 ounces per ton (oz/ton) silver. Paper-thin plates of native silver, analyzed with a hand-held XRF, were also observed along certain fractures.

Historically mining was carried out in the Treasure Room, resulting in stopes and drifts. A third set of selected grab samples from various stopes in the Treasure Room were assayed on Oct. 23, 2023, and returned as follows:

  • From stope 25 -- 74 oz/ton silver;
  • From stope 32 -- 11.6 oz/ton silver;
  • From stope 33 - 212.2 oz/ton silver;
  • From stope 34 - 101.8 oz/ton silver.

Readers are cautioned that such samples may not be representative of the Treasure Room or the Buckeye mine as a whole.

Silver Bullet Mines intends to stabilize the Treasure Room and provide other safety measures to allow access to the higher-grade material located within the Treasure Room's continuation of the vein. This will provide an additional supply of mineralized material for the mill and will also assist in refining a plan to mine that section of vein material. The company believes the Treasure Room likely hosts more higher-grade material at depth.

Zone 1 begins roughly 700 feet from the portal. Twelve samples were assayed from the body of zone 1, with assay results from these preliminary samples averaging two oz/ton silver. Earlier assay results from the contact right edge with zone 1 over an initial width of four feet averaged one oz/ton silver. Both of these averages are in line with management's expectations. From past observations and past assays, the company anticipates the silver grade to increase with further penetration into zone 1. Mineralized material will be shipped from zone 1 to the company's mill in Globe, Ariz., when the grade is high enough to justify the cost of transportation.

Historically, gold and copper values were also reported in zone 1. Current visual inspection of the vein material shows materials other than silver, for which Silver Bullet Mines cannot assay at its own on site assay facility. Silver Bullet Mines has sent multiple samples of such material to an independent ISO 9001-certified lab for multielement analysis, including gold and PGM (platinum group metals).

The company suffered through aberrant, extremely hot weather in Arizona throughout most of August, 2023. For example, the temperature on the concrete ball mill pad during this period on occasion exceeded 150 degrees fahrenheit. A wildfire proximate to the Buckeye mine during that period caused by lightning further impeded Silver Bullet's efforts. The company was unable to carry out work at the mill or at the Buckeye mine during that period, and, as a result, was not able to generate cash flow. The company now intends to bolster its financial position as it continues with operations.

Silver Bullet intends to carry out a non-brokered financing of $500,000 by way of a private placement of units priced at 12 cents per unit, resulting in the issuance of 4,166,666 shares. Each unit will consist of one common share and a full warrant exercisable into one common share at 17 cents for a term of two years. There is no acceleration clause on these 17-cent warrants.

The company also announces its intention to reprice previously issued warrants. Silver Bullet Mines intends to reprice all previously issued 60-cent warrants to 24 cents, all previously issued 50-cent warrants to 20 cents and all previously issued 30-cent warrants to 13 cents. Regulatory approval is required for the financing and to reprice warrants.

The financing and the repricing of warrants are subject to regulatory approval.

Quality assurance/quality control (QA/QC)

All samples herein were analyzed by Silver Bullet Mines at its facility near Globe, Ariz. They were processed through the lab jaw crusher, lab hammer mill and splitter box into an aliquot. Most of the pulverized aliquot was mixed with a flux and flour combination, and melted in a crucible at 1,850 degrees fahrenheit, with the remainder being logged and archived. Upon cooling, the poured melt was in the form of a metal button and slag, following which a bone ash cupel was utilized to eliminate the lead in the button to form a bead. The bead was then weighed, following which a solution of six: one distilled water to nitric acid was utilized to dissolve the silver in the bead at approximately 175 degrees fahrenheit. A much more detailed description of the process and a picture of the assay lab can be found at the company's website.

The Silver Bullet Mines facilities have been designed for quick production grade control and are not ISO compliant, however, duplicate sampling with other ISO labs has been done on past samples with good correlation.

Robert G. Komarechka, PGeo, an independent consultant, has reviewed and verified Silver Bullet's work referred to herein, and is the qualified person for this release.

We seek Safe Harbor.

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