Olympio pulls trigger on 8.2Moz Idaho silver prize

Olympio Metals has completed due diligence, including a technical review of Jacknife, and is proceeding with its acquisition of an 80 per cent interest in the high-grade Idaho silver project from private US explorer Scout Discoveries Corp. The deal adds a second US silver play to its portfolio and puts the drill bit within striking distance of a historic silver system with plenty of unfinished business.

The 3940-acre project hosts six old timer mines, that historically produced more than 3.2 million ounces of silver at an average of 12.7 ounces per tonne at a time when silver was trading below US$1.30 an ounce. At its heart is the Conjecture Mine, which produced two million ounces on its own between 1956 and 1964 at a whopping average of684 grams per tonne (g/t) silver.

Conjecture also hosts a 1975 foreign estimate of 632,081 tonnes at 405g/t, for 8.22 million ounces of silver from surface to depths beyond 600m. Although the estimate is not JORC-compliant it does give the company a solid foundation for further work as it strives to define a mineral resource that meets the code’s reporting standards.

Despite more than 8km of underground workings across Jacknife, including a 610m-plus vertical shaft at Conjecture, old mine development covers just 500m of the 3.4km-long Conjecture Shear. Historical drilling has returned hits including 1.4m at 692g/t silver from 101.4m and 0.6m at 1106g/t from 100.4m.

Eighty per cent of the 7km mineralised trend sits on 335 acres of patented mining claims, giving Olympio surface and mineral rights. No federal approval is required for drilling, while underground mining carries limited permitting requirements. The company also holds a first right of refusal over the historic Lakeview Mill, less than 2km from Conjecture.

Olympio has identified drill-ready targets across the poorly tested mineralised strike, spanning four principal shear zones. The company believes their differing orientations point to multiple feeder structures and prospective intersection zones. The mineralisation presents as high-grade polymetallic void-fill veins dominated by silver, with gold, lead, zinc, copper and minor antimony also evident.

Olympio Metals managing director Sean Delaney said: “Our technical review has thoroughly validated our view that Jacknife is an exceptional, high-grade asset that perfectly complements our Raven silver project.”

Olympio says its next move will be made alongside Scout Discoveries, which originally consolidated the historic mining areas and surrounding claims. Scout are set to become the company’s in-country technical and operational partner and a shareholder after the August 31 annual general meeting, bringing local geological, drilling and operational expertise.

Planning is already well underway for Olympio’s first drill program to test the Conjecture Shear Zone between known underground levels and assess continuity of the historically reported high grades. Olympio intends to re-drill the target area in an attempt to define a JORC-compliant resource, with work due to begin as soon as a rig becomes available.