Shares of MAG Silver Corp. (TSX: T.MAG, Stock Forum) climbed more than 14% to $6.11 Thursday, after the company reported the discovery of a new "high grade vein" at its Juanicipio joint venture in Mexico.
The Vancouver-based company says it was advised of the discovery of the vein by Fresnillo plc, the operator of the Juanicipio joint venture, as a result of detailed drilling near the Valdecanas vein.
“Re-interpretation of a previously reported intersection of high grade gold and silver in Hole JI-06-IE (1,843 grams per tonne (g/t)) (53.7 ounces per ton (opt)) silver, 4.43 g/t gold, 3.54% lead and 5.96% zinc over a true width of 3.41 metres shows that this is a new and separate north-dipping vein named the "Encino",” says the company.
Last month, Fresnillo plc made an unsolicited bid for all of the outstanding shares of MAG Silver for US$4.54 per share in cash.
Back on December 17, MAG says it informed Fresnillo that it has created an independent committee that was identifing and retaining an independent valuator to prepare a valuation of MAG.
As part of a larger post on MAG’s Bullboard Thursday, FROBE said: “…The forced valuation has bought everyone more time to forward think things thru (at least another 45-days) and for more drill results to flow and as we saw today, an oh by the way, we discovered a potentially, new rich vein, Encino. Also, keep in mind there are multiple stacked veins on the JV-property as outlined in previous MAG presentations[sic]…”
