GREAT PANTHER SILVER LIMITED
(Toronto: GPR.TO )Last Trade: 2.44 Trade Time: 1:09PM EST Change: 
0.01 (0.41%)Prev Close: 2.45 Open: 2.48 Bid: 2.43 Ask: 2.44 1y Target Est: N/A
Day's Range: 2.36 - 2.49 52wk Range: 0.67 - 2.90 Volume: 654,040 Avg Vol (3m): 1,068,660 Market Cap: 282.07M P/E (ttm): 51.91 EPS (ttm): 0.05 Div & Yield: N/A (N/A)
Great Panther's Guanajuato at 5.45 million oz AgEq M+I
GREAT PANTHER SILVER LIMITED
(Toronto: GPR.TO )| Last Trade: | 2.44 |
|---|---|
| Trade Time: | 1:09PM EST |
| Change: | 0.01 (0.41%) |
| Prev Close: | 2.45 |
| Open: | 2.48 |
| Bid: | 2.43 |
| Ask: | 2.44 |
| 1y Target Est: | N/A |
| Day's Range: | 2.36 - 2.49 |
|---|---|
| 52wk Range: | 0.67 - 2.90 |
| Volume: | 654,040 |
| Avg Vol (3m): | 1,068,660 |
| Market Cap: | 282.07M |
| P/E (ttm): | 51.91 |
| EPS (ttm): | 0.05 |
| Div & Yield: | N/A (N/A) |
2010-12-15 18:04 ET - News Release
Mr. Robert Archer reports
GREAT PANTHER UPDATES MINERAL RESOURCE/RESERVE ESTIMATES AT THE GUANAJUATO MINE
Scott Wilson Roscoe Postle Associates of Vancouver, B.C., has completed an NI 43-101-compliant mineral resource/reserve estimate on the Cata Clavo, Los Pozos and Santa Margarita zones at Great Panther Silver Ltd.'s wholly owned Guanajuato mine in Guanajuato, Mexico. The new measured and indicated mineral resource contains 5.45 million ounces silver equivalent. Inferred mineral resources are estimated at 2,678,000 ounces silver equivalent. The measured and indicated mineral resources include 4,372,000 Ag eq ounces categorized as proven and probable mineral reserves, using a cut-off grade of 185 grams per tonne silver equivalent. This is the first time that NI 43-101-compliant reserves have been estimated for the Guanajuato mine and is a positive step in confirming the long-term viability of this historical operation.
The new resource base represents a 53-per-cent increase over the previous resource estimate (for just the Cata Clavo; see Stockwatch news release of June 30, 2009), even after deducting the production from that zone over the last year and a half. This demonstrates the company's ability not only to replace what is being mined, but to increase the resource base and extend the mine life with additional drilling. There were no compliant resources at Guanajuato when Great Panther purchased the property in 2005, and most of the more-than-4.5-million-silver-equivalent ounces that the company has mined from Guanajuato since 2006 have come from non-compliant resources.
Mining of the three zones, Cata, Los Pozos and Santa Margarita, currently accounts for most of the Guanajuato metal production. Resource drilling is continuing to delineate new resources and reserves on the upper and depth extensions of Los Pozos and the southeast strike extension of Santa Margarita but also includes Guanajuatito, Valenciana, San Telesforo and the depth extensions of the Rayas Clavo, none of which are included in this resource estimation but which will be included in the 2011 update. In addition, drilling of the very promising San Ignacio project will continue through 2011 and will make a significant contribution to future resources for the Guanajuato mine. As such, the resource base will continue to build at Guanajuato, and it is the company's stated objective to delineate approximately 25 million to 30 million Ag eq ounces here by 2012.
For the year 2010, production from Guanajuato is estimated to be 1.02 million Ag ounces and 6,720 Au ounces (1.44 million Ag eq ounces). The resource and reserve estimates, together with the significant potential of the continuing drilling programs, positively support the achievement of the growth strategy objectives for Guanajuato.
Silver equivalent values were applied to computer-generated block models to define the mineral resource. The mineral reserve cut-off value of 185 grams per tonne (6.0 ounces per ton) silver equivalent is the metal content contained in one tonne of ore for which the net revenue (net of smelter and refining costs) is equal to the average full operating costs to mine and process one tonne of ore. Scott Wilson RPA used medium-term projected metal prices of $17.67 (U.S.) per ounce Ag and $1,150 (U.S.) per ounce Au (relative price ratio of 65 gold to 1 silver), 2010 concentrate sales contract terms, and typical plant performance metal recoveries and concentrate grades to calculate the net value. Total operating costs at Guanajuato, including mining, milling, and general and administration costs, are currently $85 (U.S.)/tonne. Experience gained from mining the veins by the cut-and-fill mining method and the upward trend in metal prices determined that the appropriate cut-off value for defining mineral resources at Guanajuato to be set at 136 g/t (4.3 ounces/t) silver equivalent. The use of a lower cut-off for resources reflects the less stringent guidelines for resources versus reserves.
Based upon these limits, the measured and indicated mineral resource contains 5.45 million Ag eq ounces, including 2,495,000 Ag eq ounces in the measured category and 2,956,000 Ag eq ounces in the indicated category. Inferred resources are estimated at 2,678,000 Ag eq ounces of the measured and indicated mineral resource, and 4,372,000 Ag eq ounces are classified as proven and probable mineral reserve, using a cut-off of 185 g/t silver equivalent. The proven mineral reserve is estimated at 1,935,000 Ag eq ounces, while the probable mineral reserve is estimated at 2,438,000 Ag eq ounces. Breakdowns for silver and gold can be found in the attached tables.
The mineral resource estimate for Guanajuato was prepared using block models constrained by 3-D wire frames of the principal mineralized zones. Separate block models, comprising arrays of 2.5-by-2.5-by-2.5-metre blocks, were constructed for each of the Cata, Los Pozos and Santa Margarita zones. Grades for gold and silver were interpolated into the blocks using inverse distance cubed weighting. Block model graphics, maps, sections and previous news releases can be viewed on the company's website. The samples consisted of diamond drill and production chip samples. Scott Wilson RPA capped high gold and silver grades at a range of levels depending on the zone and the type of sample (drill hole or chip). The estimates were classified according to the Canadian Institute of Mining, Metallurgy and Petroleum definition standards on mineral resources and mineral reserves and, as such, are consistent with the requirements of NI 43-101. The estimate was prepared using GEMS software, which is a commercially available package, commonly used in the industry.
The Cata Clavo is separated into four zones, namely the Veta Madre, Alto 1, Alto 1a and Alto 2. The upper limit of the main Veta Madre zone is set at the floor of the 460-metre level as it has been extensively mined out above this level. Mining of the three higher-grade Alto zones is under way, using a modified mining plan. The mineralized zones used in the resource represent an approximate 100-metre vertical height and a strike length of approximately 150 metres. Los Pozos zone is a downward-tapering zone of 30- to 90-metre strike length and widths to 12 metres. The mineral resource estimate is from the 390 level up to the bottom of the 270-level sill pillar. The Santa Margarita is separated into four zones, namely the HW stockwork, breccia, FW A and FW B. The mineral resource estimate was calculated from below the floor of the 390 level to the 600 level along a strike length of more than 200 metres.
The Veta Madre (at Cata and Los Pozos areas) and the Cata Alto 1 zone are complex quartz-dominated stockwork and breccia zones of pyrite and argentite mineralization with argillic and propylitic alteration in the footwall shale. Footwall to the Veta Madre is a barren silica breccia with large angular shale fragments. The Alto 1a and Alto 2 zones are silica-rich brecciated zones within a hangingwall diorite dike. The Santa Margarita zones in the Rayas area are silica-rich brecciated hangingwall conglomerates, andesite and La Sirena quartz porphyry intrusive. All zones strike generally northwest-southeast and dip 45 degrees southwest.
Measured, indicated and inferred mineral resources in the three areas were estimated by Dave Rennie, PEng, a principal geologist for Scott Wilson RPA, and the proven and probable mineral reserves were estimated by R. Dennis Bergen, PEng, associate principal mining engineer for Scott Wilson RPA. Both are independent of Great Panther as per the criteria set out in NI 43-101. The mineral reserves and mineral resources estimates are tabulated in the attached tables.
OCT. 31, 2010, PROVEN MINERAL RESERVES Tonnage Au Au Ag Ag Ag Eq Zone Kt g/t oz g/t oz oz Cata -- Madre 44.0 1.28 1,800 344 486,000 603,000 Cata -- Alto 1 30.5 2.21 2,170 296 290,000 431,000 Pozos 65.4 1.29 2,720 309 650,000 827,000 Santa Margarita BX 7.3 4.47 1,050 21 5,000 73,000 Total proven 147.0 1.64 7,740 303 1,431,000 1,935,000
OCT. 31, 2010, PROBABLE MINERAL RESERVES Zone Tonnage Au Au Ag Ag Ag Eq Kt g/t oz g/t oz oz Cata -- Madre 2.1 0.91 60 187 13,000 17,000 Cata -- Alto 1 21.6 1.02 710 225 156,000 202,000 Cata -- Alto 1a 21.6 2.49 1,730 605 420,000 533,000 Cata -- Alto 2 12.3 2.33 920 721 285,000 345,000 Pozos 68.6 1.03 2,280 262 577,000 725,000 Santa Margarita BX 30.4 6.69 6,540 15 15,000 441,000 Santa Margarita FWSTK 16.6 4.80 2,560 19 10,000 177,000 Total probable 173.2 2.66 14,790 265 1,475,000 2,438,000 Total proven and probable 320.2 2.19 22,530 282 2,906,000 4,372,000
OCT. 31, 2010, PROVEN AND PROBABLE MINERAL RESERVES Zone Tonnage Au Au Ag Ag Ag Eq Kt g/t oz g/t oz oz Cata -- Madre 46.1 1.25 1,860 337 499,000 620,000 Cata -- Alto 1 52.1 1.72 2,880 266 446,000 633,000 Cata -- Alto 1a 21.6 2.49 1,730 605 420,000 533,000 Cata -- Alto 2 12.3 2.33 920 721 285,000 345,000 Pozos 134.0 1.16 5,000 285 1,227,000 1,552,000 Santa Margarita BX 37.7 6.26 7,590 17 20,000 514,000 Santa Margarita FWSTK 16.6 4.80 2,560 19 10,000 177,000 Total proven and probable 320.2 2.19 22,530 282 2,906,000 4,372,000 1. Canadian Institute of Mining, Metallurgy and Petroleum definitions were followed for mineral reserves. 2. Mineral reserves are estimated at a cut-off grade of 185 grams per tonne silver equivalent. 3. Mineral reserves are estimated using an average gold price of $1,150 (U.S.) per ounce and an average silver price of $17.67 (U.S.) per ounce. 4. The minimum mining width is 1.5 metres. 5. Bulk density is 2.65 tonnes per cubic metre. 6. Numbers may not add due to rounding.
OCT. 31, 2010, MEASURED MINERAL RESOURCE Zone Volume Density Tonnage Au Au Ag Ag Ag Eq (K m3) (t/m3) (Kt) (g/t) (oz) (g/t) (oz) (oz) Cata 34.7 2.65 91.9 1.71 5,050 338 999,000 1,330,000 Los Pozos 32.7 2.65 86.7 1.27 3,540 303 844,000 1,070,000 Santa Margarita 3.47 2.65 9.20 4.43 1,310 22.0 6,520 92,000 Total 70.8 2.65 188 1.64 9,910 306 1,850,000 2,495,000
OCT. 31, 2010, INDICATED MINERAL RESOURCE Zone Volume Density Tonnage Au Au Ag Ag Ag Eq (K m3) (t/m3) (Kt) (g/t) (oz) (g/t) (oz) (oz) Cata 26.3 2.65 211 2.55 4,150 474 1,060,000 1,330,000 Los Pozos 34.7 2.65 91.8 0.98 2,900 252 743,000 932,000 Santa Margarita 18.8 2.65 49.8 6.42 10,300 18.9 30,300 701,000 Total 79.7 2.65 211 2.55 17,300 270 1,830,000 2,956,000
OCT. 31, 2010, MEASURED AND INDICATED MINERAL RESOURCE Zone Volume Density Tonnage Au Au Ag Ag Ag Eq (K/m3) (t/m3) (Kt) (g/t) (oz) (g/t) (oz) (oz) Cata 60.9 2.65 161 1.77 9,210 397 2,060,000 2,660,000 Los Pozos 67.4 2.65 178 1.12 6,440 277 1,590,000 2,010,000 Santa Margarita 22.2 2.65 59.0 6.11 11,600 19.4 36,800 792,000 Total 150.5 2.65 399 2.12 27,200 287 3,680,000 5,450,000
OCT. 31, 2010, INFERRED MINERAL RESOURCE Zone Volume Density Tonnage Au Au Ag Ag Ag Eq (K/m3) (t/m3) (Kt) (g/t) (oz) (g/t) (oz) (oz) Cata n/a Los Pozos 2.53 2.65 6.70 0.53 113 149 32,200 40,000 Santa Margarita 77.6 2.65 206 4.52 29,900 105 694,000 2,640,000 Total 80.1 2.65 212 4.39 30,000 106 726,000 2,678,000 1. Canadian Institute of Mining, Metallurgy and Petroleum definitions were followed for classification of mineral resources. 2. Mineral resources are estimated at a cut-off grade of 136 grams per tonne silver equivalent. 3. Mineral resources are estimated using an average gold price of $1,150 (U.S.) per ounce and an average silver price of $17.67 (U.S.) per ounce. 4. The nominal minimum width is 1.0 metre. 5. Bulk density is 2.65 tonnes per cubic metre. 6. Totals may not agree due to rounding. 7. Gold-silver equivalence ratio for cut-off purposes was 60.8 to 1. Equivalence for reporting in the table is 65.08 to 1.
Both drill core and underground chip samples were assayed independently by SGS at the company's Guanajuato mine site laboratory. Aspects relating to mining and metallurgy are overseen by Charles Brown, chief operating officer for Great Panther and its Mexican subsidiary Minera Mexicana El Rosario SA de CV, and Robert F. Brown, PEng, and vice-president of exploration for the company, who are the qualified persons for the Guanajuato mine project, under the meaning of NI 43-101 and who have reviewed these results. The company's quality assurance/quality control program includes the regular insertion of blanks, duplicates and standards into the sample shipments.
We seek Safe Harbor.
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The Guanajuato Mine is one of the most prolific and historic mines in Mexico with past production of more than one billion ounces of silver since the year 1600. It is Great Panther's flagship operation and produced 1,019,751 ounces of silver and 6,748 ounces of gold (1,541,220 silver equivalent ounces) in 2009. The Company plans to announce an updated independent reserve/resource estimate for the Guanajuato Mine within the next few weeks and is in the process of increasing production at Guanajuato to an annual rate of approximately 2,700,000 silver equivalent ounces by 2012. Including the Topia Mine, for which an updated independent reserve/resource estimate is also imminent, Great Panther plans to produce 3,800,000 silver equivalent ounces by 2012
GPR.TO - Great Panther Res Com Npv (TSX)
| Date | Open | High | Low | Last | Change | Volume | % Change |
| 12/07/10 | 2.9000 | 2.9000 | 2.5000 | 2.5100 | -0.2600 | 2497168 | -9.39% |
| Composite Indicator | -- Signal -- | -- Strength -- | -- Direction -- |
| Trend Spotter (TM) | Buy | Average | Weakening |
| Short Term Indicators | |||
| 7 Day Average Directional Indicator | Buy | Strong | Weakening |
| 10 - 8 Day Moving Average Hilo Channel | Buy | Average | Weakening |
| 20 Day Moving Average vs Price | Buy | Strong | Weakening |
| 20 - 50 Day MACD Oscillator | Buy | Maximum | Strongest |
| 20 Day Bollinger Bands | Hold | Bearish | |
| Short Term Indicators Average: | 80% - Buy | ||
| Medium Term Indicators | |||
| 40 Day Commodity Channel Index | Buy | Weak | Weakening |
| 50 Day Moving Average vs Price | Buy | Strong | Weakening |
| 20 - 100 Day MACD Oscillator | Buy | Maximum | Strongest |
| 50 Day Parabolic Time/Price | Buy | Weak | Weakest |
| Medium Term Indicators Average: | 100% - Buy | ||
| Long Term Indicators | |||
| 60 Day Commodity Channel Index | Buy | Average | Weakening |
| 100 Day Moving Average vs Price | Buy | Maximum | Weakening |
| 50 - 100 Day MACD Oscillator | Buy | Maximum | Strongest |
| Long Term Indicators Average: | 100% - Buy | ||
| Overall Average: | 96% - Buy | ||
GPR.TO - Great Panther Res Com Npv (TSX)
| Date | Open | High | Low | Last | Change | Volume | % Change |
| 12/06/10 | 2.5000 | 2.8200 | 2.4900 | 2.7700 | +0.2700 | 2321506 | +10.80% |
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Headlines
- Great Panther Appoints New Mine Manager at Guanajuato MineMarketwire(Mon Nov 22)
- Great Panther Drills 7.70 Metres of 704g/t Silver and 4.49g/t Gold in Second Hole at San Ignacio Mine Property, GuanajuatoMarketwire(Mon Nov 15)
- Great Panther Silver Reports Record Revenue and Earnings From Mining Operations in Third QuarterMarketwire(Wed Nov 10)
- Great Panther Expands High Grade Silver-Gold-Lead-Zinc Mineralization With Surface Drilling and Underground Development at Topia MineMarketwire(Mon Nov 8)
- Great Panther Discovers New Silver-Gold Zones at San Ignacio Mine Property in GuanajuatoMarketwire(Thu Oct 28)
- Great Panther Hires New Vice-President Corporate Development; Launches New WebsiteMarketwire(Mon Oct 18)
- Great Panther Reports Third Quarter Production and Updates Exploration & Development ProgramsMarketwire(Tue Oct 12)
- Great Panther Commences Surface Drill Program at San Ignacio Mine Property in GuanajuatoMarketwire(Tue Sep 21)
- Great Panther Makes New Discovery at 590 Metres Depth at Guanajuato and Expands Santa Margarita VeinMarketwire(Tue Sep 7)
- Great Panther Silver Reports Increased Revenue, Earnings From Mining Operations and Record Net Income in Second QuarterMarketwire(Mon Aug 16)
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