SilverCrest Mines* (SVL : TSX-V : $2.65), Net Change: -0.06, % Change: -2.21%, Volume: 140,597
Getting that "C" stitched on your sweater. SilverCrest opened slightly higher after reporting 15 holes from the Phase II drill program at La Joya. Five of the holes were from the southern extension that intercepted high grade mineralization that is relatively near surface and could be used as a starter pit. Highlights include Hole DD12-86 that intercepted 45 metres grading 135 g/t Ag, 0.11 g/t Au, and 1.14 g/t Cu (or 240 g/t AgEq). The remaining 10 holes were from the Contact Zone and the SantoNino Target. At Santo Nino, Hole 82 encountered mineralization from the massive sulphide identified in the discovery hole;
however grade and width were significantly lower than that found in the discovery hole. At the Contact Zone, drilling continues to intercept wide-spread tungsten. The zone now appears cover an area of two kilometres by one kilometre with a thickness of 10 to 200 metres. This zone could potentially be mined as a bulk tonnage project and will be included in the resource update expected this quarter. Overall, a Bay Street analyst called these results positive; intercepting significant mineralization at the southern extension, while continuing to intercept mineralization at the Contact Zone. Canaccord Genuity Mining Analyst Nicholas Campbell is bullish on the company based on his view that the production and cash flow growth associated with the expansion of the Santa Elena mine (100%, Mexico) and the resource expansion potential of the La Joya project (100%, Mexico) is not reflected in the current valuation of the company.