Figure 1.
Surface projection of the Beskauga deposit showing the gold and the copper cut-offs. Also shown is the outline of the Lerch-Grossman conceptual pit. Surface projection of the Beskauga deposit showing the gold and the copper cut-offs. Also shown is the outline of the Lerch-Grossman conceptual pit.
Figure 2.
Map showing the location of infrastructure near the Beskauga deposit. The project is based out of the nearby mining town of Ekibastuz. Map showing the location of infrastructure near the Beskauga deposit. The project is based out of the nearby mining town of Ekibastuz.
VANCOUVER, British Columbia, Jan. 28, 2021 (GLOBE NEWSWIRE) -- Silver Bull Resources, Inc. (OTCQB: SVBL, TSX: SVB) (“Silver Bull”) is pleased to announce its maiden Mineral Resource estimate on the Beskauga copper-gold project completed by CSA Global Consultants Canada Ltd (“CSA Global”). Highlights of the Mineral Resource report include:
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An open pit-constrained Indicated Mineral Resource of 207 million tonnes grading 0.35 g/t gold, 0.23% copper and 1.09 g/t silver for 2.33 million ounces of gold, 476.1 thousand tonnes of copper, & 7.25 million ounces of silver.
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An open pit-constrained Inferred Mineral Resource of 147 million tonnes grading 0.33 g/t gold, 0.15% copper and 1.02 g/t silver for 1.56 million ounces of gold, 220.5 thousand tonnes of copper, & 4.82 million ounces of silver.
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The constraining pit was optimised and calculated using a NSR cut-off based on a price of: $1,500/oz for gold, $2.80/lb for copper, $17.25/oz for silver, and with an average recovery of 81.7% for copper and 51.8% for both gold and silver.
Beskauga Resource: The Beskauga resource was estimated from 118 diamond drill holes, totalling 45,605.8 meters drilled between 2007 and 2017 by the private Swiss company, Copperbelt AG. Holes were drilled from surface using an HQ or NQ sized core diameter and varied in depth between 150m to 815m. The estimated Mineral Resource is shown in the table below.
Table 1. Pit-constrained Mineral Resource estimate for the Beskauga copper-gold project
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Category
| Tonnage (Mt) | Cu % | Au g/t | Ag g/t | Au (Moz) | Cu (Kt) | Ag (Moz) |
| Indicated | 207 | 0.23 | 0.35 | 1.09 | 2.33 | 476.1 | 7.25 |
| Inferred | 147 | 0.15 | 0.33 | 1.02 | 1.56 | 220.5 | 4.82 |
Notes:
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An NSR $/t cut-off of $5.70/t was used, and the NSR formula is: NSR $/t = (38.137+11.612 x Cu%) x Cu% + (19.18 + 12.322 x Au g/t) x Au g/t + (0.07 + 0.0517 x Ag g/t) x Ag g/t
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The NSR formula incorporates variable recovery formulae. Average copper recovery was 81.7% copper and 51.8% for both gold and silver.
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Metal prices considered were $2.80/lb copper, $1,500/oz gold and $17.25/oz silver.
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The Resource is stated within a pit shell that considers a 1.25 factor above the metal prices.
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Mineral Resources are estimated and reported in accordance with the CIM Definition Standards for Mineral Resources and Mineral Reserves adopted 10 May 2014.
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The Mineral Resource is not believed to be materially affected by any known environmental, permitting, legal, title, taxation, socio-economic, marketing, political or other relevant factors
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These Mineral Resources are not Mineral Reserves as they do not have demonstrated economic viability.
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The quantity and grade of reported Inferred Resources in this MRE are uncertain in nature and there has been insufficient exploration to define these Inferred Resources as Indicated or Measured; however, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
In order to address the potential for eventual economic extraction in an open pit context, the reported Mineral Resources fall within an optimized Lerch-Grossman pit shell that uses a gold price of US$1,500/oz, a copper price of US$2.80, and a silver price of US$17.25 with an average recovery of copper at 81.7% and gold and silver of 51.8%.
Pit walls are set at 42 degrees in the overburden and 45 degrees in the hard rock. Mining costs were assumed to be US$1.00 in overburden and US$1.50/tonne in the hard rock and processing costs were assumed to be US$5.70/tonne. To determine the $/t value of the rock the following calculation was made:
NSR $/t = (38.137+11.612 x Cu%) x Cu% + (19.18 + 12.322 x Au g/t) x Au g/t + (0.07 + 0.0517 x Ag g/t) x Ag p/t
Mineral resources were estimated by Ordinary Kriging using Micromine modeling software in multiple passes using 20 meter X 20 meter X 20 meter blocks as the SMU size. Blocks have been classified as Indicated or Inferred Mineral Resources.
The Mineral Resource was estimated by Serik Urbisinov, a Principal Resource Geologist for CSA Global, who is an independent Qualified Persons as defined by National Instrument 43-101. The full Technical Report will be filed onto the SEDAR website within the next 45 days.
Mineralization and geology: The Beskauga deposit is interpreted to be a copper-gold porphyry. Pyrite, chalcopyrite and tennantite are the dominant sulphide minerals at Beskauga, with smaller amounts of bornite, chalcocite, enargite, and molybdenite, with magnetite and hematite, also described. Sulphides occur as fine-grained disseminations as well as in stockwork veins and veinlets, associated with an elongated granodiorite porphyry intrusion. The grade of the copper and gold are highly correlated.
At surface, the deposit is covered by a 30 to 40 meter thick layer of recent sediments and remains open in all directions including at depth, with many of the drill holes terminating in mineralization. The chemistry and mineralogy of the mineralization defined thus far suggests the present resource is still in the upper part of the mineralizing system. The deposit has not benefited from detailed geological study and modelling which presents an opportunity to optimize extension targeting and definition of additional resources.
Figure 1. Surface projection of the Beskauga deposit showing the gold and the copper cut-offs. Also shown is the outline of the Lerch-Grossman conceptual pit is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/f0c04427-8517-4050-8211-3eb6972d350a
Infrastructure: The Beskauga deposit has excellent infrastructure. All operations are based out of the nearby mining town of Ekibastuz, which services the largest coal mine in Kazakhstan and provides a highly trained workforce for Silver Bull to draw upon. Paved road access, 1100 KVA power lines and heavy rail all lie within a 25 kilometer radius of the project. The capital city of Nur-Sultan, located approximately 300 kilometers along a double lane highway from the project, has a major international airport allowing for easy access and administration of the Beskauga project.
Figure 2. Map showing the location of infrastructure near the Beskauga deposit. The project is based out of the nearby mining town of Ekibastuz is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/65497a18-e567-487c-bc67-98558badd426
Tim Barry, President, CEO and director of Silver Bull states, “We are extremely pleased with this first NI 43-101 resource estimate at Beskauga. We believe the Beskauga project represents one of the best exploration opportunities in the world and we see significant opportunity to expand the current resource. We also believe there is considerable exploration potential in the wider region for both copper and gold and expect to have a pipeline of projects and associated news coming in from both the Beskauga Project and the wider area during 2021.
This year is shaping up to be an exciting one for Silver Bull. Presently, we are compiling the significant Soviet-era historical information in the region as well as building a team in-country. We expect to commence our on the ground exploration program at the beginning of the second quarter of this year.”
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