News

January 13, 2009

Orko Silver Looks To Increase The Resource Base At La Preciosa By Enough To Pull It Free Of The Boom And Bust Trap

By Our Canadian Correspondent

While many management teams have gone into hiding during these rather distressed times, Orko Silver, with Gary Cope at the helm, is forging on and delivering on its promises. In fact, Gary and his team should be commended on keeping shareholders up-to-date on the company’s exploration activities, most notably at the La Preciosa project in Mexico’s Durango state. Here, Gary recently gave investors an overview of 2008, a year that saw Orko drill more than 70,700 metres. That brings the grand total drilled to date to around 146,000 metres from 366 holes. So far La Preciosa has yielded up five resource estimates, with a sixth due out any day now. At last count the inferred resource tallied 15.35 million tonnes grading 190 grams silver and 0.321 grams gold per tonne, or 103.2 million ounces of silver equivalent. This marks a 30 per cent increase over the previous estimate, an increase that was largely due to continued exploration success on the Martha vein, which now accounts for about 56 per cent of the resource. But there should still be plenty more to come from this epithermal vein: the latest results from it have included an impressive 1.8 grams gold and 927.4 grams silver per tonne over 3.99 metres, within a broader 6.74 metre section running 1.11 grams gold and 561.6 grams silver per tonne.

Gary has been through more than a few resource cycles so it is not surprising that given the fragile equity markets Orko has prudently put all four drill rigs on idle until the new resource is tabled and a preliminary economic assessment can be started. This will allow Gary and his team to continue to advance the project in the most efficient manner without wasting valuable cash resources. And it’s important to note that, despite a share price that has been hammered like most of the other...