Comstock Mining Acquires Key Mineral Leases on Southern Extent of Comstock Trend
Press Release Source: Comstock Mining Inc. On Tuesday August 10, 2010, 12:22 pm EDT
VIRGINIA CITY, Nev., Aug. 10 /PRNewswire-FirstCall/ -- Comstock Mining Inc. ("Comstock Mining" or the Company")(OTC Bulletin Board:LODE.ob - News) announced today that it has entered into a Mineral Exploration and Mining Lease Agreement ("Agreement") with New Daney Company, Inc., and now controls seven key unpatented lode claims situated in Spring Valley, at the extreme southern end of the Comstock trend. In Spring Valley, the main group of mineralized structures have laid mostly concealed beneath a layer of pediment gravels. These additional Spring Valley claims are adjacent to the Company's Dondero property, where the Company's 2009, exploration drilling discovered significant mineralization beneath the gravel.
"The acquisition of these rights expands our control of the most southerly part of the Comstock, beyond our recent Dayton properties acquisition, to encompass an additional, contiguous and relatively unexplored, mile-long segment of the Silver City Branch of the Comstock Lode," stated Corrado DeGasperis, Comstock Mining's Chief Executive Officer.
In April 2009, the Company announced the results from six drill holes in Spring Valley (SV09-01 through SV09-06) on the Dondero property (see table below), and suggested that additional exploration work was planned for the area to better define the mineral potential. The significant mineral intercepts from those holes are republished below for convenience.
Hole Id
From (feet)
To (feet)
Length (feet)
Gold (ounces per Ton)
Silver (ounces per Ton)
SV09-01
270
280
10'
.023
.111
SV09-02
5
30
25'
.013
.141
105
125
20'
.028
.034
SV09-03
125
135
10'
.016
.048
SV09-04
35
40
5'
.058
.140
405
420
15'
.031
.091
SV09-05
40
70
30'
.209
.992
70
160
90'
.015
.217
350
425
75'
.016
.124
465
490
25'
.014
.108
SV09-06
235
290
55'
.022
.287
275
290
15'
.026
.192
The Agreement included the acquisition of a wealth of data from previous exploration in Spring Valley. It includes data from approximately 60 reverse circulation (RC) holes drilled in Spring Valley during the 1980's, as well as seven core holes that were drilled in 1997 and 2000. Comstock Mining is currently incorporating and evaluating the results into their planning for further exploration. Some of the significant mineral intercepts from two of the earlier core holes are published below.
Hole Id
From (feet)
To (feet)
Length (feet)
Gold (ounces per Ton)
Silver (ounces per Ton)
M00-1
163
172.5
9.5
0.780
2.430
(includes)
165
167
2.0
2.952
9.385
SVC-1
14
19
5.0
0.180
0.598
"We have been working toward the acquisition of these Spring Valley claims since 2009, when we realized that the mineralization model we had created for the Lucerne resource area also fit the mineralization in this area," stated Larry Martin, Comstock Mining's Chief Geologist. "Ongoing geological assessments indicate that the Silver City Branch extends southward through our Dayton property, into Spring Valley, and through our Dondero and these new claims," Mr. Martin continued. "Recent geological and geophysical work, in conjunction with our broader interpretations of the Comstock, have demonstrated that the mineralized intercepts in holes SV09-04, 05, and 06 were contained within the extension of the Silver City fault zone; the remaining three holes encountered mineralization along one or more intersecting structures. The historic holes that we acquired also appear to be drilled on structures that projected to cross the Silver City fault zone. That makes the intersection of these structures a very exciting target for future drilling," concluded Mr. Martin.
AI
