VANCOUVER, Jan. 10, 2018 /CNW/ - Santacruz Silver Mining Ltd. (TSX.V:SCZ) (the "Company" or "Santacruz") reports that pursuant to the terms of the binding LOI (the "Carrizal LOI") with Carrizal Mining, S.A. de C.V. ("Carrizal") (see press release dated December 14th, 2017) Carrizal has commenced construction works to expand the Veta Grande mill to 750 tpd. The mill expansion program is expected to conclude early in the second quarter of this year.
In addition to this, Santacruz has received final permits from SEMARNAT (Mexico´s Environmental Agency) to conduct a surface diamond drill program at its Veta Grande Project. The first stage of the campaign is to drill 6000 metres in 15 drill holes. The initial campaign will be focussed on drilling the Veta Grande vein at depth below the current area being mined by the Company and will be funded by Carrizal as part of the Carrizal LOI.
Carlos Silva, COO of Santacruz, stated "The purpose of this diamond drilling campaign is to confirm the width and grade of the Veta Grande vein at depth which will allow us to properly develop a mine plan to deliver mineraized material to the expanded Veta Grande mill" Mr. Silva continued "These ongoing activities at Veta Grande will result in more reliable operations and provide a solid base for growing the Company."
About Santacruz Silver Mining Ltd.
Santacruz is a Mexican focused silver company with two producing silver projects (Rosario, including the Cinco Estrellas property and Membrillo Prospect, and the Veta Grande project and milling facility); and two exploration properties including the Minillas property and Zacatecas properties. The Company is managed by a technical team of professionals with proven track records in developing, operating and discovering silver mines in Mexico. Our corporate objective is to become a mid-tier silver producer.
About Carrizal Mining, S.A. de C.V.
Carrizal Mining is a Mexican privately owned Company which operates the Zimapan mine in Zimapan Hidalgo Mexico. The Company runs a 3,200 tpd mill and produces approximately 5.5 million silver equivalent ounces a year.
