The drill holes everyone’s waiting for…
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Following Up On A Monster Hit
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Last October, Regency Silver (RSMX.V; RSMXF.OTC) announced one of the best discovery drill holes of 2022.
But the depressed metals market at the time kept the company’s share price in check, despite the remarkable gold, silver and copper grades from that hole.
Now the company is stepping out to either side of that big drill hole…
…And with results expected any day, this may be investors’ last chance to catch the next big rocket ship ride in junior mining.
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Sometimes, discovery stories in the gold exploration sector practically write themselves.
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That’s certainly the case with Regency Silver (RSMX.V; RSMXF.OTC) which managed to hit 53.8 meters of 4.7 g/t gold, 0.67% copper and 23 g/t silver 500 meters down dip of the historic silver mine on its Dios Padre project in Mexico.
Regency’s share price jumped on the news but — because of the malaise in the metals markets at that time — the reaction wasn’t nearly as pronounced as one might expect.
That could change...and soon.
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Because with a high-grade copper-gold interval that was more than 16 stories in width and drilling underway to test the discovery 50 meters up dip and down dip, the chance for more market-moving results is not only high but imminent.
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Given the size of the discovery, Regency Silver is confident it extends elsewhere on the project. It’s just a matter of tracing the pathway of the mineralization.
As you’re about to see, the company is level-set on doing exactly that and potentially delivering shareholders the next big junior mining winner in the process.
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Surrounded By Active Mines
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When it comes to looking for new sources of gold, it pays to look near where it’s already been found.
Dios Padre sits on the border of Sonora State and Chihuahua State in Mexico and is surrounded by active mines.
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• Pan American Silver’s Dolores open-pit mine: Forecast production in 2022 was between 2.85 and 3.15 million ounces of silver and 157,000-179,000 ounces of gold.
• Alamos Gold’s Mulatos open-pit mine: This mine has produced more than two million ounces of gold and was on track to produce 130,000-145,000 ounces of the yellow metal in 2022.
• Agnico Eagle’s La India and Pinos Altos mines: These mines were expected to produce 83,000 ounces of gold and 128,000 ounces of gold, respectively, in 2022.
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Now, with its discovery at Dios Padre, Regency Silver is looking to add a major deposit of its own to this fertile ground for mining.
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Chasing A Giant Porphyry Deposit
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Based on the breccia mineralization encountered by its discovery hole, Recency Silver theorizes that the high-grade interval sits above a porphyry source.
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That matters because porphyries, when they are heavily mineralized, can host world-class deposits of copper and gold.
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As you can see from the graphic below, the big interval of gold and copper at Dios Padre occurred 420 meters down hole and ended in mineralization at a depth of 500 meters, which was the maximum capacity of the drill rig.
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As mentioned, the two follow up holes at Dios Padre are focused on testing 50 meters up-dip and down-dip from this discovery interval.
In addition, Regency Silver has almost finished conducting Induced Polarization surveying down to 800 meters depth.
The hope is that, between the drilling and the IP work, the company will be able to home in on a porphyry source of the target below.
And even if that effort doesn’t bear fruit, the chance that an interval this wide was just an isolated event is small.
In short, Regency believes further drilling should be able to outline a deposit of substantial proportions over the months ahead.
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Planning For A Takeout
With Leadership
That Has Done It Before
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Regency Silver’s end game is clear: Prove up a compelling, high-grade deposit and then sell it to the highest bidder to get a big win for shareholders.
It’s something Executive Chairman Bruce Bragagnolo has had done before. And more than once.
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In 2006, he took Timmins Gold through its IPO and into production on the San Francisco mine in Mexico. Timmins started with a market cap of C$7 million and reached a market cap of US$475 million by 2012.
At the same time, beginning in 2006, he took Silvermex Resources from a C$7 million IPO to a sale to First Majestic Silver for C$175 million.
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Clearly, this is leadership that knows how to create value for shareholders, and they’re looking to do it again with Dios Padre.
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Drill Results Expected In Days
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The next step, though, is to get the assays out for those follow up holes around the discovery hole.
Those assays should hit the newswires in the days just ahead — which is one reason for the urgency.
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Here’s the other: Remember, these step-out holes are only 50 meters away from the big discovery hole. That dramatically increases the odds of hitting similar, headline-making mineralization...
...The kind of results that could send Regency’s share price soaring.
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The news is on the way, and the time to do due diligence on Regency Silver is now.
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CLICK HERE
To Learn More about Regency Silver Corp.
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