With a Commanding Position in the World’s Hottest Mining Spot, Billionaire-Backed Zacatecas Silver May Not Be Undervalued for Long

With a Commanding Position in the World’s Hottest Mining Spot, Billionaire-Backed Zacatecas Silver May Not Be Undervalued for Long(1)

CEO Bryan Slusarchuk Grew K92 Mining From Unknown Micro-Cap to $1.9 Billion Disruptor and Eyes Sending Zacatecas Silver To a Similar Path(1)

Let’s cut to the chase… Silver is seeing generationally colossal demand.

“Silver is in almost every modern technology you use during your daily routine and this is becoming even more prevalent as increasing electrification occurs. The amount of silver used in electric vehicles, while a great example of growing silver use in our modern world, is just one part of what is driving demand industrially.”(2)

That being the case, it’s no wonder there’s so much interest in Mexico, the world’s hottest silver mining location. Mexico completely dominates the world’s silver production, with about 190 million ounces of silver coming from the region in 2019.(3)

In 2020, Mexico again dominated with 5,541 tons of silver produced. China barely compared as a distant second with only 3,443 tons produced.(4)

For a Top Mexican Silver Play, Look at Zacatecas Silver (TSXV:ZAC)(OTC:ZCTSF) For Example

With 19,338 acres in the Fresnillo Belt, Zacatecas Mexico, Zacatecas Silver(5) has a commanding strategic position in a global hotspot—with billionaire backing from Eric Sprott, a god-like figure in the mining investment community.(1)

“Silver mining in Zacatecas goes back almost 500 years following the discovery of the incredibly productive San Bernabé silver lode. The Zacatecas Mining District is still a critically important centre for Mexican precious metals production, accounting for 21 per cent of the country’s gold production and more than 53 per cent of its silver. Two of the world’s largest silver mines, the Fresnillo Silver Mine, and the Peñasquito Polymetallic Mine, currently operate here,” reports the National Post.

But it gets even better.

Mexico dominates world silver production, right? But what if I told you that Zacatecas Silver’s mine is right by the largest silver producing zone in the world’s leading silver producing country? Zacatecas Silver’s mine is near First Majestic and Pan American Silver projects with over 345 million ounces of silver. This is located in the heart of the Fresnillo Silver Trend, which has produced more than 6.2 billion ounces of silver to date, or more than 10% of the world’s silver production.(7)

Even more impressive, Zacatecas Silver has about $9 million in cash(5) to carry out drilling programs – part of which was provided by billionaire mining investor Eric Sprott.

The company is also led by President and CEO Bryan Slusarchuk—who grew K92 Mining Inc. from a relatively unknown micro-cap to a $1.9 billion company.(1)

Think he plans on doing the same with this company?

Zacatecas Silver (TSXV:ZAC)(OTC:ZCTSF) is Also Technically Attractive

This stock can move — and move quickly.

For example, between October 5, 2021, and October 19, 2021, the stock ran from about 52 cents to roughly t 80 cents. Do the math. That’s good for a move of approximately 54% in just about two weeks.(8)

This could be in thanks to higher demand for silver, which, by the way, is just beginning to pivot from triple bottom support dating back to September 2020.

In addition, “Silver presents a better opportunity than gold at the present time,” says Jeff Wright, chief investment officer at Wolfpack Capital, as quoted by Barron’s.(10)

Plus, according to a report from Metal Focus, as also noted by Barron’s, “silver automotive demand is forecast to climb to an estimated 88 million ounces by the end of 2025, from 51 million ounces in 2020.”(10)

In short, there are millions of reasons to get bullish on silver — and silver stocks.

Zacatecas Silver (TSXV:ZAC)(OTC:ZCTSF) Has Plans for Extensive Drill Programs

The company plans to carry out extensive drill programs in hot silver systems, including:(7)

  • The Muleros Vein System. This project has three silver-gold-base metal mineralized veins over a strike length of at least 3 km.
  • The El Cristo Vein System. This project has many silver-based metal mineralized veins associated with a sigmoidal dilational zone that is 3 km in strike length and up to 600 m wide. Represents the NW strike extension of the Veta Grande vein system with reported historical production of >200 Moz Ag.
  • San Manuel-San Gill. This unexplored target has numerous silver-base metal mineralized veins. In addition, it has a gold-anomalous 800 m long hematitic breccia up to 40 m wide.
  • Panuco Deposit. This project has a historical resource of 19.47 Moz Ag eq. at 100 g/t Ag eq. cut-off) from 3.95 Mt at 153 g/t Ag eq. Mineralization opens along strike and at depth.

The Company’s Drilling Program at Panuco is Excellently Progressing(6)

To date, the company has accomplished the following:(8)

  • Completed 4 angled drill holes at the eastern edge of the Panuco Central vein for 1088 meters. All intercepted visible quartz-sulfide veins hosted mineralization at, or close to, target depths.
  • Two angled diamond holes were completed, and a third was ongoing at The Tres Cruces vein system. Approximately 600 meters of drilling have been completed at Tres Cruces.
  • The core from six drill holes has now been logged and sampled. Samples have been submitted to the ALS.
  • The rig plans to be moved to the San Gill breccia, where several exploratory holes intend to be drilled while awaiting drill core assay results from Panuco.

Dr. Chris Wilson, Chief Operating Officer and a Director of Zacatecas said:

“Drilling is proceeding efficiently and core recovery is excellent. Visible inspection of core indicates that quartz-calcite-sulphide veins and breccias with strong argillic alteration were intercepted at expected target depths — confirming continuity of structures hosting veins. By moving the drill rog to San Gill, Zacatecas will be able to test this large north-south trending breccia zones, while waiting for preliminary assay results for the Panuco holes drilled to date.”

Zacatecas has submitted all mineralized intercepts from the first 6 holes for sample preparation at ALS in Zacatecas. The company has implemented a robust QAQC program and has submitted samples in batches of 20, comprising 17 drill core samples. Including one Geostats certified reference material and one staged duplicate.

A Strong, Experienced, High-Quality Team Leads Zacatecas Silver (TSXV:ZAC)(OTC:ZCTSF)

BRYAN SLUSARCHUK
President, CEO and Director

Mr. Slusarchuk is the former President of rapidly growing gold producer K92 Mining Inc., which he co-founded. He was a member of the Board of Directors and Audit Committee from inception through to cash flow positive mining operations and the declaration of commercial production. K92 has approximately 1,000 employees and contractors and is based in Papua New Guinea. The company has recently been added for inclusion in the S&P/TSX Composite Index, is one of 2020’s Best 50 on the OTCQX, and a 2020 TSX Venture 50, based on an outstanding performance for shareholders over the past year.

Mr. Slusarchuk has structured, financed, and operated several private and publicly traded mining and exploration companies and has advised multiple governments and mining industry advocacy groups on the formation of mining and investment policy. An early mover in understanding themes related to electrification and the corresponding impact on metals markets, he is a past TEDx and Carbon War Room speaker.

CHRIS WILSON
PhD, FAusIMM (CP), FSEG
Chief Geologist & Director

Commercially-driven and innovative exploration geologist with over 30 years of global experience in area selection and prospect generation, target generation, and the design and management of extensive resource definition drilling and pre-feasibility programs. Chris has worked in over 75 countries on most commodities and deposit styles. He has specialist experience with vein systems – especially low to intermediate sulphidation epithermal Au-Ag-base-metal types.

Chris has extensive project review and target generation experience, with the ability to integrate complex multi-disciplinary datasets and rapidly identify and test high-value targets. Strong deposit model knowledge ensures key mineralization controls are placed within the wider context of a project’s geological, structural and hydrothermal evolution.

Recently Chris has been involved in resource versus production reconciliation studies, project valuation, and fatal flaw analysis. Proven ability to lead multi-disciplinary and multi-cultural, high talent teams under diverse cultural and physiographic regimes. Qualified Person for JORC and NI 43-10 compliant reporting and valuation. Formerly 10 years with Ivanhoe Mines. As Exploration Manager for Ivanhoe Mines Mongolia, he was responsible for an Exploration Portfolio of over 11 million hectares.

JOHN LEWINS
Director

Mr. Lewins is the Chief Executive Officer and Director of K92 Mining Inc and has led the company to become one of the world’s highest grade and lowest cost gold producers. K92, under Mr. Lewin’s leadership, has delivered outstanding returns to shareholders and is fast growing its production profile and resource.

Previous to his role with K92, Mr. Lewins operated extensively at the corporate level in various roles from Executive General Manager to Director and Chief Executive Officer with several mining companies, including MIM Holdings, First Dynasty Mines, Platinum Australia, and African Thunder Platinum.

Mr. Lewins is a current Director of Fosterville South Exploration.

Mr. Lewins is a Mineral Engineer with over 35 years of experience in the mining industry, who has worked in Africa, Australia, Asia, North America, and the former Soviet Union. Mr. Lewins has successfully managed the development of many open pit and underground gold, precious, and base metal mines from feasibility study to profitable operations.

JONATHAN RICHARDS
CFO & Director

Mr. Richards has over a decade of resource-focused accounting and finance experience. He has accumulated extensive experience with Toronto Stock Exchange and venture-listed companies, and numerous private companies worldwide. His professional experience has included officer and director positions on the TSX and TSXV; experience in various debt and equity financings; implementation of ERP systems to manage mining operations; managing domestic and international tax planning strategies; and implementation of corporate governance and internal control policies.

Mr. Richards is the current CFO of Fosterville South Exploration.

Mr. Richards holds a bachelor’s degree in management studies with first-class honors from the University of Waikato, New Zealand, started his career at KPMG in the audit and assurance division, and is a member of the Chartered Professional Accountants of British Columbia as well as Chartered Accountants of Australia and New Zealand.

CHARLES HETHEY
Director

Charles Hethey is a securities lawyer in British Columbia and New York with over 10 years of experience. Mr. Hethey represents several U.S. and Canadian listed entities on the TSX Venture Exchange, Canadian Securities Exchange, and U.S. OTC markets. Mr. Hethey’s clients are active in a broad range of industries, including an emphasis on mining issuers.

Mr. Hethey has significant experience in U.S. and Canadian corporate finance, mergers and acquisitions, and securities compliance. Mr. Hethey is a Director of Fosterville South Exploration. Former roles include director of New Energy Metals Corp., a mineral exploration company with exploration projects in Quebec and Chile, and a director of Skyledger Tech Corp., a Bit-coin miner.

To Wrap Up, We May Be Looking at a Massive Billionaire-Backed Opportunity Here

Again, it’s no wonder there’s so much interest in Mexico, the hottest silver mining location in the world. Mexico dominates world silver production, with about 190 million ounces of silver coming from the region in 2019. In 2020, Mexico dominated again with 5,541 tons of silver produced.

China was a distant second with 3,443 tons.

All of this could significantly benefit Zacatecas Silver (TSXV:ZAC)(OTC:ZCTSF).

Remember, with 19,338 acres in the Fresnillo Belt, Zacatecas Mexico, Zacatecas Silver has a commanding strategic position. Not to mention with billionaire backing from legendary mining and metals investor Eric Sprott and leadership from a CEO that grew an unknown micro-cap miner into a $1 billion+ company.

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