Re: News Releases - Friday, October 10, 2008
Del Toro Silver Mine NI 43-101 Resources of 57 Million Ag eqv.
Ounces
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FIRST MAJESTIC SILVER CORP. (FR-T) ("First Majestic" or the "Company")
is pleased to announce an update regarding its activities in Mexico at
the Del Toro Silver Mine and the Resource development presently
underway.
The Del Toro Silver Mine ("Del Toro", formerly referred to as the
Chalchihuites Group of Properties) is located in the Municipality of
Chalchihuites, Zacatecas State, Mexico approximately a two hour drive
from the City of Durango east along Highway 45.
The Del Toro deposits types consist of fissure-filled (veins),
metasomatic replacement (mantos) and cavity-filled (breccia pipes,
chimneys and stockwork zones). These deposits have originated from
hydrothermal solutions related to igneous activity. They consists of
underground polymetallic silver / lead / zinc in both oxides in the
upper parts and sulphides at depth. First Majestic, through a very
aggressive exploration program is currently focused on the
investigation of two areas, the San Juan and Perseverancia.
The Del Toro property consist of 393 hectares (943 acres) of mining
rights that cover 21 titled concessions located in the Chalchihuites
mining district representing a typical Mexican mining district which
was discovered in Colonial times (XVI-XVII centuries) and were only
developed from outcroppings by following mineralization along the
structures, until high grade ore shoots were discovered and mined. Del
Toro consists of numerous areas of interest for mineral exploration,
including the San Juan Silver Mine and Perseverancia Silver Mine which
are historic mines; the Perseverancia was mined for high grade silver
rich sulphide ore and the San Juan is believed to be the oldest mine in
the district dating back possibly 500 years.
First Majestic, during the past 3 years, conducted an aggressive
development and exploration program in the area. This program focused
on developing Resources including diamond drilling and underground
development. The development program includes underground workings,
such as ramps for access, drifting and crosscutting into the San Juan
and Perseverancia mines. This program was designed to accomplish the
following: 1) access of old mine workings; 2) recovering oxide and
sulphide ore for shipment to the La Parrilla mill; 3) consolidate
mining blocks to support future production; 4) support additional
exploration activities for development; 5) carry out an aggressive
exploration program to include deeper drilling from underground sites;
and, 6) to ultimately determine if the Del Toro could support a
standalone mill operation.
First Majestic launched the present aggressive drilling program in 2005
to explore the various areas of interest within the Del Toro property
holdings. From that time to July 2008, a total of 56 drill holes have
been completed for a total of 11,716 drilled metres. In addition,
underground mine workings for development and exploration total 1,212
metres in declines, drifts, ramps and raises.
First Majestic's exploration efforts at Del Toro have been highly
successful in delineating a significant resource base within a short
period of time at relatively low cost. To July 31, 2008, the Del Toro
Measured and Indicated Resources represent about 21 million ounces of
silver equivalent for the San Juan and Perseverancia deposits.
Additionally, about 36 million ounces of silver equivalent have been
estimated in Inferred Resources for both deposits. The Del Toro
mineralization occurs associated with lead and zinc in polymetallic
mineralization; therefore, to report silver equivalent ounces estimated
metallurgical recoveries were considered.
To date, the Del Toro Resource development continues to exceed
management's expectations due to the success of the ongoing drilling
program. The following Resource Table outlines the current NI 43-101
compliant estimates as of July 31, 2008. However, additional drilling
has been conducted and is confirming the additional potential of the
San Juan area.
The following summary tables were taken from the complete Del Toro
Silver Mine NI 43-101 Technical Report prepared by Pincock Allan &
Holt, Lakewood, Colorado (PAH). Shareholders and interested parties are
encouraged to read this positive report which can be viewed on SEDAR
(www.sedar.com) and the Company's website at www.firstmajestic.com.
Mineral Resource Estimates Prepared by First Majestic, Reviewed by PAH
as of July 31, 2008
First Majestic is extremely pleased with the successes achieved to date
at Del Toro and would like to also take this opportunity to state that
its exploration and development efforts continue to achieve significant
results at the Company's three operating mines: the La Parrilla Silver
Mine, the San Martin Silver Mine and the La Encantada Silver Mine.
Newly updated NI 43-101 reports are expected to be completed for each
of these operations by year end.
Qualified Person
Mr. Leonel Lopez, P.Geo., from Pincock Allen & Holt in Denver, CO. is
the Company's Qualified Person as defined by National Instrument 43-101
and is responsible for the accuracy of the technical information
contained in this news release.
First Majestic is a producing silver company focused in Mexico and is
aggressively pursuing its business plan to become a senior silver
producer through the development of its existing assets and the pursuit
through acquisition of additional assets that contribute to achieving
its corporate growth objectives.
FOR FURTHER INFORMATION contact info@firstmajestic.com, visit our
website at www.firstmajestic.com or call our toll free number
1.866.529.2807.
FIRST MAJESTIC SILVER CORP.
"Signed,"
Keith Neumeyer,
President & CEO
This press release includes certain "Forward-Looking Statements" within
the meaning of section 21E of the United States Securities Exchange Act
of 1934, as amended. All statements, other than statements of
historical fact, included herein, including without limitation,
statements regarding potential mineralization and reserves, exploration
results and future plans and objectives of First Majestic Silver Corp.
are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will
prove to be accurate and actual results and future events could differ
materially from those anticipated in such statements.
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Copyright (c) 2008 FIRST MAJESTIC SILVER CORP. (TSXV-FR) All rights
reserved. For more information visit our website at
www.firstmajestic.com/ or send mailto:general@firstmajestic.com
Message sent on Fri Oct 10, 2008 at 5:12:14 AM Pacific Time
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