Groundstar GSA-VSE Junior Silver Play
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GROUNDSTAR RESOURCES LTD POISED FOR SILVER BONANZA
March 06/98
TORONTO, ONTARIO--
The old Silver Bell mine, only 30 km from Salt Lake City and the prize in the
Groundstar portfolio, lies at the centre of an historic silver camp which has
hosted 10 mines with enough production to sustain a nearby smelter until
1878. And to date this mine has not yet been the object of any drilling.
Underground and surface channel samples of the Silver Bell mine in 1981 have
returned assays from 36 channel samples grading up to:
opt silver %lead width
39.70 5.59 72"
36.52 5.79 72"
58.12 4.38 55"
in the sampling of the oxide material.
In 1983 sampling of the sulfides revealed:
opt Ag %Cu %Pb %Zn
45.6 4.1 7.1 10.0
43.2 5.6 11.0 16.0
38.6 4.6 8.3 11.2
In 1988 these two samples on a Silver Bell drift face revealed:
opt Ag %Cu %Pb %Zn
49.21 3.38 15.4 15.0
53.0 5.1 5.7 11.10
A recent post-graduate thesis during 1996-1997 on underground sampling
conducted at the Silver Bell Mine by James Barron has demonstrated the grades
to be 3 times higher than previously recognized. These assays, among a set
of 31 taken along 300 ft. of drifts are:
opt Ag %Cu %Pb %Zn
97.1 2.39 8.41 1.59
92.9 9.10 12.4 8.16
122.8 7.00 12.9 8.43
109.3 6.80 13.4 14.2
106.4 9.20 7.14 3.94
86.10 7.10 7.03 1.57
101.5 9.50 12.2 9.01
where some of the veins are up to 10 feet in width.
All data from earliest to most recent has been reviewed and confirmed, and
the surface and underground examined by Watts, Griffis & McQuat Ltd., a
Toronto consulting firm.
Considerable encouragement is justified by these factors: high copper grades
up to 10.5% (besides the high silver, lead & zinc content), silica
alteration, a strong fault zone and pervading mineralization at all working
faces of the mine, which clearly suggest its being open in all directions.
Groundstar's 1998 surface and underground investigation and diamond drilling
program is $338,000 starting in the spring. This will include detailed
geological mapping, a review of structure and channel and bulk sampling.
Drilling will target the extensively mineralized, silicons, shear zone of the
Silver Bell fault and a "manto" or replacement style on mineralization
similar to deposits in the Park City District, Utah. It is expected that the
drilling and prefeasibility study of Phase III will provide a reserve
estimate justifying renewed mining activity at Silver Bell.
The company has 5,200,000 shares issued, $1,300,000 in the treasury and no
debts.
GROUNDSTAR RESOURCES LTD.
185 Davenport Road
Toronto, Ontario, Canada M5R 1J1
Tel: (416) 962-9292
Fax: (416) 962-8730
Toll Free 1-800-340-7344
www.groundstar-resources.com |
