Positive Intercepts and Upsized Financing: DV.v News Summary August 2024 has been a pivotal month for Dolly Varden Silver Corp. (Ticker: DV.v or DOLLF for US investors), marked by significant drilling results and a major financing initiative to support its exploration efforts at the Kitsault Valley Project in British Columbia. The company's focused strategy on expanding its high-grade silver resources has yielded impressive results, further bolstered by strong financial backing.
High-Grade Silver Intersections
Ongoing step-out directional drilling at the Wolf Vein has yielded significant results. Drill hole DV24-404 returned 1,091 g/t silver over 9.38 meters, including a particularly rich segment grading 2,505 g/t silver over 1.63 meters. This result is part of a broader 25,000-meter drill program aimed at expanding the known silver mineralization within the Wolf Vein, which is hosted in Jurassic-age Hazelton Formation volcanic rocks. The Wolf Vein has shown a southwest plunging zone of wider, higher-grade silver mineralization, with the latest drilling extending the plunge extent by 40 meters.
The significance of these results was further emphasized, when DV announced additional high-grade intersections at the Wolf Vein. Drill hole DV24-412, located 31 meters below the previously reported DV24-404, intersected 606 g/t silver over 16.20 meters, including 868 g/t silver over 2.27 meters. Another hole, DV24-414, intersected 771 g/t silver over 3.77 meters within a broader 15.02-meter zone grading 254 g/t silver. These results confirm the continuity and depth potential of the high-grade silver mineralization at the Wolf Vein, with mineralization appearing to strengthen as drilling moves southwest.
The exploration program has also highlighted the presence of significant base metal content, including lead and zinc, within the silver-bearing veins. These elements are consistent with the epithermal vein and breccia systems observed throughout the Kitsault Valley Project, enhancing the overall resource potential.
Strategic Upsized Financing to Fuel Exploration
To support its aggressive exploration agenda, DV announced a major bought-deal financing on, initially set at $25 million. This financing was swiftly upsized to $28 million, due to strong investor interest, particularly from notable industry figure Eric Sprott. The financing package includes the issuance of common shares and flow-through shares, with the latter designated for qualifying exploration expenses under Canadian tax laws.
The proceeds from this financing will primarily fund the ongoing and future exploration efforts at the Kitsault Valley Project, including further drilling at the Wolf Vein and other high-priority targets. The successful completion of this financing, with participation from key institutional investors, underscores the market’s confidence in Dolly Varden’s exploration strategy and the potential of its projects in the highly prospective Golden Triangle region of British Columbia.
Outlook
DV's August 2024 activities demonstrate the company’s commitment to advancing its exploration projects with a focus on high-grade silver resources. The combination of strong drilling results and substantial financial backing positions Dolly Varden for continued success as it seeks to unlock the full potential of its Kitsault Valley Project. The ongoing drill program is expected to yield further results, providing valuable insights into the scale and quality of the mineralization at the Wolf Vein and beyond.
Full press releases here: https://dollyvardensilver.com/news/
Posted on behalf of Dolly Varden Silver Corp.