Vancouver-based nanocap explorer Prospero Silver Corp. (TSX:V.PSL
, Stock Forum
) has a renewed search for a joint venture partner on its hands after the billion-dollar market cap giant Silver Standard Resources (TSX:T.SSO
, Stock Forum
) opted to discontinue drilling and evaluating the company’s San Luis del Cordero project
Silver Standard drilled 15 holes
in the Mexican play since agreeing to a JV
in March 2013.
Drilling started in November of last year but Silver Standard determined the results were not promising for their needs, and opted not to continue drilling in the second year of the deal.
Tawn Albinson, Prospero's Mexico City based President/CEO, said, "In discussions with the Silver Standard team at PDAC, they noted that their goal was to identify the potential for 100 million ounces of silver. Evidently review of all the data has led them to conclude this first phase of drilling did not meet that expectation."
Silver Standard decided the high grade material in the Santa Rosa vein had low tonnage potential.
Says Albinson, "Cordero has seen an aggregate of 10,400 metres of drilling since 2007 which could allow calculation of a preliminary resource using an external Qualified Person. While the results Silver Standard turned up did not support the size potential they seek, Prospero firmly believes a still sizeable amount of ounces can be defined in the lower grade areas of the skarns and potentially a small standalone operation in the higher grade Santa Rosa area- or a combination of the two."
Prospero has four other projects at various stages of advancement, with a market cap of $2.2 million and 40.7 million shares outstanding.
Share prices were unmoved on news of the Silver Standard disengagement.