VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 14, 2005) - Silvercorp Metals Inc. ("Silvercorp") (TSX VENTURE:SVM) is pleased to report that continuous tunneling at the Ying Silver Project has exposed significant new massive galena sheets with bonanza grade silver (Ag), lead (Pb), zinc (Zn) and copper (Cu) mineralization in the S8 vein. Exploration on the Ying Project is carried out through Silvercorp's 77.5% subsidiary, Henan Found Mining Co. Ltd., a Sino-foreign joint venture company which holds 100% of the Ying Project and operates under a 30 year business license.
As reported August 2, 2005, the S8 is a newly intercepted bonanza grade vein that has not been included in the April 18, 2005 NI 43-101 resource estimate. Over the last three months, 1,121 metres ("m") of drifting and raises have be developed along the S8 vein and several bonanza grade massive galena sheets have been exposed.
The most significant intervals include:
- 5,686.5 grams per tonne (g/t) (182.8 oz/t) Ag, 10% Pb, and 5.4% Zn over 0.85m true width;
- 4,001.4 g/t (128.86 oz/t) Ag, 15.76% Pb and 3.69% Zn over 1.05m true width; and,
- 2,766 g/t (88.94 oz/t) Ag, 35.25% Pb, 6.47% Zn, and 2.03% Cu over 1.1m true width. This is the first copper mineralization occurrence (as coarse chalcopyrite) in the SGX area.
The S8 vein is oriented southwest/northeast and based on surface trenches and limited tunnels, has been mapped out over 4,500m and to a minimum depth of 275m, dipping northwest. The vein has been the subject of previous mining activity in many sections at different levels to a depth of 150m from surface. The S8 vein is currently being explored through three access tunnels at the SGX camp: CM101 on the 640m elevation, and CM102 and CM103, both on the 570m elevation. A total of 222.6m tunneling and 86.2m of raises have been completed so far through CM102, which has intercepted and is following the S8 vein. In a further 38m and 250m, respectively, CM101 and CM103 are also expected to intercept the S8 vein.
The S8 vein is also being explored through two access tunnels about 2 km north of CM102 tunnel at the YLG camp: YPD02 (565m elevation) and YM01 (585m and 550m elevations). In access tunnel YM01, the S8 vein is being explored at two elevations. At the 550m elevation, 250m of drifting has been completed along the vein, while at the 585m elevation, a total of 252m of tunnelling has been drifted along the vein. The second access tunnel, the YPD02 decline tunnel, from 565m to 510m elevations, has just intercepted the S8 vein with 0.4m thick massive galena sheets with assay results pending.
To date, out of 1,121m of drifts and raises completed along the S8 vein 438m are massive galena sheet with grades over 1,250 g/t Ag-equivalent, representing a 38% rate of mineralization.
Assay results for the S8 veins are listed in the Table below:
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Distance
South Ag Ag
of True Equiv. Equiv.
Elevation CM103 Width Ag Ag Pb Zn (g/t) (oz/t) Cu
(m) (m) (m) (g/t)(oz/t) (%) (%) (i) (i) (%)
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585 (YLG) -1158.0 0.25 674.9 21.7 65.42 1.50 3507 112.74 NA
585 (YLG) -1008.7 0.30 145.6 4.7 67.04 8.29 3368 108.28 NA
585 (YLG) -999.1 0.50 190.9 6.1 35.56 5.32 1944 62.50 NA
550 (YLG) -970.8 0.60 98.0 3.2 33.22 0.97 1546 49.71 NA
550 (YLG) -965.5 0.80 233.9 7.5 21.55 5.41 1400 45.02 NA
550 (YLG) -939.3 0.07 340.9 11.0 46.68 5.72 2583 83.03 NA
550 (YLG) -905.2 0.40 84.6 2.7 22.81 1.42 1115 35.84 NA
550 (YLG) -886.3 0.25 756.7 24.3 72.44 1.34 3877 124.66 NA
550 (YLG) -881.3 0.30 423.0 13.6 56.57 1.55 2883 92.71 NA
550 (YLG) -875.3 0.45 160.7 5.2 32.70 2.73 1670 53.70 NA
550 (YLG) -870.3 0.80 204.5 6.6 23.47 3.43 1358 43.65 NA
550 (YLG) -868.0 0.50 75.5 2.4 29.29 2.66 1438 46.22 NA
550 (YLG) -862.0 0.55 338.8 10.9 48.70 5.59 2659 85.49 NA
575 (SGX) 325.0 0.85 4944.0 159.0 4.59 2.48 5255 168.97 NA
575 (SGX) 330.4 1.50 1144.3 36.8 28.94 3.51 2532 81.41 NA
575 (SGX) 335.0 1.00 1935.5 62.2 41.00 4.26 3868 124.35 NA
575 (SGX) 340.0 1.05 4001.4 128.6 15.76 3.69 4842 155.66 NA
575 (SGX) 345.1 0.45 790.5 25.4 0.71 3.96 1008 32.42 0.88
575 (SGX) 355.0 0.45 2727.1 87.7 38.50 7.43 4704 151.25 1.21
575 (SGX) 360.0 0.42 2317.6 74.5 10.99 10.03 3257 104.73 1.17
575 (SGX) 365.0 0.32 2021.1 65.0 33.30 8.89 3848 123.73 1.46
575 (SGX) 370.5 1.10 2766.2 88.9 35.25 6.47 4561 146.64 2.03
575 (SGX) 375.0 0.85 5685.5 182.8 10.00 5.42 6365 204.63 NA
575 (SGX) 380.0 0.80 2564.0 82.4 30.30 8.53 4248 136.56 2.14
575 (SGX) 385.0 0.50 2707.6 87.1 13.05 9.40 4170 134.08 2.94
575 (SGX) 390.0 0.45 763.4 24.5 30.33 17.96 3081 99.05 1.17
575 (SGX) 393.9 0.40 4348.8 139.8 3.62 6.54 4857 156.15 0.28
575 (SGX) 405.0 0.29 619.5 19.9 43.07 11.34 3150 101.27 1.10
578 (SGX) 408.72 0.90 1954.0 62.8 7.11 3.14 2403 77.26 1.38
582 (SGX) 412.43 0.36 1072.9 34.5 1.12 14.99 1832 58.89 0.79
575 (SGX) 415.0 0.34 240.0 7.7 0.20 19.17 1205 38.75 0.30
585 (SGX) 416.15 0.25 833.7 26.8 8.97 15.31 1939 62.34 0.71
588 (SGX) 419.86 0.38 1986.5 63.9 29.45 4.42 3439 110.57 1.13
592 (SGX) 423.58 0.85 1206.7 38.8 40.95 5.83 3211 103.25 0.54
595 (SGX) 427.29 0.30 1121.5 36.1 11.08 3.07 1735 55.78 NA
575 (SGX) 462.0 0.50 2022.3 65.0 1.69 0.88 2135 68.65 NA
575 (SGX) 490 0.15 1722.9 55.4 1.8 6.8 2118 68.08 NA
575 (SGX) 500 0.40 1155.6 37.2 3.1 2.9 1424 45.78 0.95
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(i) Silver equivalent grade is calculated on the basis of US$6.5/oz Ag,
US$0.40/lb for Pb, and US$0.45/lb for Zn, but it doesn't include
copper grade. NA: not assayed.
Tunnel maps and vein locations are available on the Company's website: www.silvercorp.ca.
The 2005 Exploration and Development Program is ahead of schedule As a result the Company has announced that it is accelerating to the 2006 program by mobilizing two drill rigs to commence a 10,000m deep drilling program aimed at testing the continuation of mineralization and vein structure below 350m from surface.
Quality Control
The Company has implemented a quality control program to ensure best practice in sampling and analysis of the tunnel samples. Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10 cm in width and 5 cm in depth producing a sample weighing approximately 2 kg to 10 kg for each 0.10 to 1.00m interval depending on the thickness of mineralization. Drill cores are NQ size and drill core samples were taken from sawn half core limited by apparent massive galena sheet contact. The samples are shipped directly in security sealed bags to the Langfang Institute of Geochemical and Geophysical Exploration (Certification ISO 9001), a well-regarded analytical laboratory in Langfang, Hebei Province, approximately 60 km from Beijing.
The sample preparation consists of drying, crushing, splitting of the sample to 150 grams, then the sample is pulverized to 200 mesh. Ag, Pb and Zn were analyzed by a 3 hour hot aqua regia digestion on 30 gram samples with an AA finish. Check samples including field duplicates and pulps are routinely sent to ALS Chemex Laboratories in Vancouver, Canada.
Myles Gao, P.Geo, President of Silvercorp is the Qualified Person on the project under NI 43-101.
Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
Silvercorp Metals Inc.
Rui Feng
Chairman & CEO
(604) 669-9397
Silvercorp Metals Inc.
Cathy Fong
VP Corporate Development
(604) 669-9397
(604) 669-9387 (FAX)
info@silvercorp.ca
www.silvercorp.ca
