Mexican Mining

[mhlld]

SVL.V Silvercrest Mines, expecting assay results from the initial 5 drill holes from the Silver Angel Project in Mexico. These are the first 5 of the 11 planned. The property has potential. Latest press release concerning this property.
http://biz.yahoo.com/bw/040930/305781_1.html

Excerpt from Sept. 30, 2004 PR....

The Phase 1 surface program has identified two potentially major styles of silver mineralization. The first target is high grade, near surface silver mineralization that appears to be structurally controlled and the second target is near surface, lower grade silver mineralization that appears to be prevalent over a substantial area of stockwork veining.

The high grade targets consisting of two sub-parallel, northwest-southeast trending high grade zones (Nina and Pinta Zones) and a north-south cross structure (Santa Maria Zone) have been identified and sampled in the underground workings. Two separate composite underground channel samples of the Nina zone returned values of 9.0 metres of 654 g/t silver (19.08 oz/ton) and 9.0 metres of 181 g/t silver (5.28 oz/ton) respectively. One composite underground channel sample of the Pinta Zone returned values of 4.3 metres of 208 g/t silver (6.07 oz/ton). The Santa Maria Zone returned values of 229 g/t silver (6.68 oz/ton) over 5.5 metres from a composite underground channel sample. These targets appear to be consistent with the Company's objectives of identifying high grade, near surface silver resources that may be amenable to open pit methods of mining.

The lower grade, potential bulk tonnage target has been established by mapping and surface rock chip and channel sampling of a highly altered, volcanoclastic unit, with intense quartz stockwork over an area that is at least 550 metres long and 200 metres wide (see figure below). This favourable stratigraphical horizon is estimated to be approximately 200 metres thick. Soil sampling results outline coincident silver (greater than 15 ppm) and gold (greater than 100 ppb) anomalies that are an approximately 600 metres long and 300 metres wide. Surface rock chip and channel sampling of the favourable horizons show values from trace to 1280 g/t silver (37.33 opt) and trace to 3 g/t gold (0.088 opt). Silver mineralization within this extensive host rock indicates the potential for a large tonnage, manto style silver deposit.

The Initial Phase drill program is expected to be 11 reverse circulation drill holes totalling approximately 2,000 metres. This initial drilling will test the central portion of the stockwork zone to determine the extent and potential grade of the known silver mineralization and to intersect the vertical projections of the Nina and Pinta high grade zones at depth. Five holes have been completed to date.

The extensive nature and intensity of the quartz-limonite stockwork, the potential magnitude of the favourable host rock and the established presence of economic grade silver mineralization, makes the Silver Angel Concession a high priority in the Company's portfolio of exploration and development projects.