The Hermosa property is located about 80 kilometres southeast of Tucson, Arizona, approximately 13 kilometres north of the U.S. border with Mexico. The property is 100% owned by Arizona Minerals Inc., which is 80% owned by Wildcat Silver. Wildcat has increased Hermosa’s total resource base more than five times since its first estimate in 2007. The project currently now hosts an indicated resource of 171.3 million ounces of silver plus an inferred resource of 98.6 million ounces of silver. The Company believes it can increase the resource further as it continues to drill in 2012, and expects to deliver another resource estimate update this year. |  |
Hermosa Mineral Resource Estimate(1)
Indicated Mineral Resource
|
| Zone | Type | Tonnes
(000s) | Ag
(g/t) | Mn
(%) | Zn
(%) | Cu
(%) | Pb
(%) | Contained Ag (oz) |
| Manto | Oxide | 60,089 | 68.54 | 5.99 | 1.54 | 0.06 | 0.93 | 130,292,400 |
| Upper Silver | Mixed | 41,327 | 30.84 | 0 | 0 | 0 | 0 | 40,987,800 |
| Total Indicated | | 101,416 | 53.18 | 3.55 | 0.91 | 0.04 | 0.55 | 171,280,200 |
| |
Inferred Mineral Resource
|
| Zone | Type | Tonnes (000s) | Ag
(g/t) | Mn
(%) | Zn
(%) | Cu
(%) | Pb
(%) | Contained Ag (oz) |
| Manto | Oxide | 27,210 | 47.98 | 6.65 | 2.22 | 0.08 | 1.49 | 42,464,000 |
| Skarn | Sulfide | 3,822 | 30.84 | 4.68 | 2.31 | 0.07 | 1.64 | 3,982,500 |
| Upper Silver | Mixed | 52,580 | 30.84 | 0 | 0 | 0 | 0 | 52,148,700 |
| Total Inferred | | 83,612 | 36.42 | 2.38 | 0.83 | 0.03 | 0.56 | 98,595,200 |
1. The mineral resource is tabulated on a recovered value per tonne calculation including metal price and recovery of Ag, Mn, Zn and Cu based on the following inputs (Metal/Price/Recovery): Silver/$25.76 per oz/90%; Manganese/$0.60 per lb/95%; Zinc/$0.93 per lb/80%; Copper/$3.21 per lb/90%)
The Manto and Upper Silver Zone resources are within an open pit cone geometry based on a $27.55/tonne process plus G&A cost and $1.65/tonne mining cost and the Manto resource is tabulated at a $27.55 per tonne recovered value cut-off grade.
The Upper Silver Zone resource is within the open pit cone geometry and is tabulated using a $7.12 per tonne recovered value cut-off grade.
The Skarn Zone resource is located below the open pit cone geometry and is tabulated using a $60.60 per tonne recovered value cut-off grade.