Sunset Cove Mining Discovers 13 New Silver Veins
GUEST COMMENTARY — Rockstone Research–Mr. Lorne Woods, formely with Osisko Mining Corp. (TSX: OSK; market cap: $4 billion), started his own endeavours with Sunset Cove Mining Corp. (TSX.V: SSM; market cap: $9 million) operating an interesting exploration project in Peru.
In our recent article “Follow the Money – Latin America is the Place to Be”, we highlighted why Peru is among the Top-3 exploration and mining countries of Latin America and why we follow Mr. Woods and his promising Carolay Silver Polymetallic Project in Peru.
Yesterday (08/22/12), Lorne announced having discovered 13 new polymetallic veins on its Carolay Property (5,784 ha) and already presented assays from sampling 10 veins. Another 24 rock samples were taken, sent to the lab and assays are expected shortly.
Two out of these 13 newly discovered veins stand out immensely as being 4 m and 8 m wide – which is remarkable as typical mineable veins can have widths of 1 m.
The 4 m wide Lindsay Vein was found, because an old small adit was discovered. The exploration team then did a 1 m deep trench and sampled the vein returning remarkable 91 g/t silver, whereas the vein is open to the north as the hanging wall has not yet been located. Further assays from this prospective silver vein are expected shortly.
The 8 m wide Maria Vein appears to be 200 m in length and is located north-east of the Lindsay Vein. Samples were taken and assays are expected shortly. If mineralized sufficiently, such veins may be mineable via inexpensive and quickly implemented mining methods generating immediate cash-flow in the not too distant future (in contrast to most other mineral deposits, being one of the reasons we follow closely the exploration and development of polymetallic vein deposits especially in Latin America as being famously rich in such deposit types).
Simultaneously, a +6,000 m drilling campaign is ongoing on the Carolay Property. Hence, the Lindsay and Maria Veins are expected to be drilled during September already. Typically, 1-2 months before drilling of a prospective target starts, the stock prices of explorers generally tend to rise strongly – based on the speculation of a soon-to-be announced drilling success, especially if prior sampling indicates a promising mineralization.
Besides these newly discovered two veins and one adit, another 11 veins and two adits were located on the property to be drill tested shortly as well, whereas the yesterday announced assays are as follows:
Disclaimer: The above editorial is not to be construed as an investment advice, consultation, or even recommendation to buy, sell or even hold any kind of securities or financial instruments of the above mentioned companies, any other company, market or physical commodity. Rockstone Research Ltd. or the author was not paid by the above mentioned companies to produce this content. The author holds shares of Sunset Cove Mining Corp.