Vancouver, British Columbia--(Newsfile Corp. - February 27, 2025) - Hawthorn Resources Corp. (CSE: HWTN) ("Hawthorn" or the "Company") is pleased to provide historical drill results from the Prince Silver Property, the Company's proposed acquisition (the "Acquisition") as announced on February 21, 2025.
Highlights include:
- Lengthy intervals of significant precious metals
22.9m @ 127g/t Ag, 0.30g/t Au, from 166m (PRC-24)
- Extensive near surface mineralization
50.3m @ 98g/t Ag, 0.40g/t Au from 4.6m (PRC-11)
- Underground drill hole with strong silver, gold and base metal mineralization
4.57m @ 664g/t Ag, 2.9g/t Au 6.17% Zn, 3.57% Pb from 21m (UDDH-329)
""This press release is designed to give shareholders an overview of some of the historic drilling information conducted at the Prince Silver Property at various times between 1927 through to 2012" states Ralph Shearing, President, "The Prince Silver property contains historic long drill intersections containing significant gold, silver and associated base metals presenting an advanced Exploration Target of extensive near surface mineralization. We are excited about our plan to initiate a drill program to verify historic drill data, infill and step out exploration at Prince Silver,"
Results of some historical drilling at the Prince Silver property are summarized as follows:
| Gold and Silver Assay Highlights | ||||||
| Hole | From (m) | Length (m) | Grades | |||
| Ag (g/t) | Au (g/t) | Zn % | Pb % | |||
| UDDH-329 | 16.46 | 9.14 | 374 | 2.0 | 4.63 | 2.38 |
| including | 21.03 | 4.57 | 664 | 2.9 | 6.17 | 3.57 |
| UDDH-328 | 10.36 | 4.57 | 366 | 1.6 | 4.70 | 3.53 |
| UDDH-74 | 24.69 | 7.62 | 141 | 0.3 | 4.14 | 2.01 |
| UDDH-75 | 42.98 | 27.43 | 85 | 0.7 | 3.42 | 0.20 |
| UDDH-72 | 10.97 | 28.96 | 44 | 1.4 | 2.37 | 0.2 |
| UDDH-71 | 26.21 | 18.29 | 56 | 1.3 | 1.14 | 0.78 |
| UDDH-70 | 42.67 | 33.53 | 88 | 0.3 | 0.67 | 1.11 |
| UDDH-52 | 19.2 | 3.35 | 637 | 8.1 | 14.0 | 8.30 |
| UDDH-33 | 45.72 | 9.14 | 128 | 1.1 | 2.23 | 0.67 |
| CDH-134 | 191.11 | 7.01 | 271 | 0.5 | 1.1 | 0.4 |
| CDH-124 | 269.75 | 3.05 | 341 | 1.7 | 3.5 | 3.5 |
| CDH-114 | 179.83 | 4.57 | 350 | 0.5 | 1.78 | 0.96 |
| CDH-55 | 213.36 | 6.1 | 233 | 1.8 | 2.79 | 1.28 |
| CDH-36 | 68.58 | 28.96 | 62 | 3.4 | - | 0.7 |
| PRC-24 | 164.59 | 24.38 | 123 | 0.3 | 1.27 | 1.04 |
| 4.57 | 50.29 | 98 | 0.4 | 2.81 | 2.11 | |
| PRC-11 | 86.87 | 22.86 | 86 | 0.5 | 1.65 | 3.61 |
| 143.26 | 25.91 | 104 | 0.7 | 1.85 | 2.53 | |
| PRC-10 | 192.02 | 13.72 | 51 | 1.61 | 0.25 | 0.39 |
| 222.50 | 18.29 | 59 | 1.66 | 0.89 | 0.14 | |
| 243.84 | 15.24 | 46 | 1.44 | 0.64 | 0.12 | |
Source - unpublished independent report prepared following JORC guidelines (JORC standards for the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.) by OmniGeoX Exploration Consultants of Perth, Australia, April 2024 and corporate archives.
Historical Drilling Overview:
Early drilling on the project targeted high grade mineralization primarily in fissure veins and mantos. Metal pricing and economics precluded investigation of the lower grade carbonate replacement deposits (CRD) and disseminated precious metals within shales.
First drilling at the Prince Mine was conducted by The Prince Consolidated Mining Company and Combined Metals Reduction Company from 1927-30 and 1943-45 where 44 churn drill holes totalling 10,219.33 meters and 69 underground diamond drill holes amounting to 2,784 meters were drilled. The churn drilling aimed at identifying extensions of mineralization to the east and north of existing underground workings. Between 1943 and 1945, underground drilling primarily focused on the Combined Metals Bed, with testing of the D shales. Notably:
Anaconda Company completed a single diamond drill hole on the property (DDH P-3) in 1978 reaching 190.5 meters. This vertical hole, positioned approximately 13 meters south of the Louise Mine workings, intersected the Susan Duster - Combined Metals Bed zone between 147.22 and 167.49 meters.
International Silver Inc. conducted 16 reverse circulation (RC) drill holes in 2012 totaling 3,602.74 meters. The drilling targeted near-surface oxide mineralization and extensions of underground mineralization to the east and north, with some focus on southern extensions in the Virginia Louise Mine area.
The table above shows significant historic drill hole intersections for the various phases of drilling. The abbreviations within the table are as follows; UDDH is an underground diamond drill hole drilled before 1946, CHD is a churn hole drilled before 1946, PRC is a reverse circulation hole drilled during 2012.
Readers are cautioned that drill holes performed before the 2012 PRC drill holes lack sufficient, or any, quality assurance and quality control ("QAQC") data. Reverse circulation drill holes performed during 2012 followed QAQC procedures and were analysed at IOS certified laboratories, Skyline Laboratories in Tucson Arizona and Pinnacle Labs in Winnemucca Nevada. All drill hole assay results presented are considered historic in nature and have outlined an Exploration Target as presented in the company's recent press release dated February 21, 2025, available on the Company's website or on the Company's profile at www.sedarplus.ca.
Over the coming days the Company will be uploading historical exploration information concerning this highly prospective silver project onto the Company's website in a section for historical data and, in this way, allow all shareholders and interested members of the investing public to gain first-hand knowledge of the robust exploration history of our new silver project acquisition.
Upcoming Event - Metals Investor Forum | Feb 28 - Mar 1
Hawthorn Resources has been invited to present at the Toronto Metals Investor Forum by industry expert Jeff Clark of Paydirt Prospector.
Join President Ralph Shearing as he shares the latest updates on the Prince Silver Project on Saturday, March 1, at 11:40 AM ET. Investors can attend in person or online-register now via this link: https://bit.ly/43jlkrL
Broken Handle Project Option Amended
The Company has entered into an amending agreement with Origen Resources Inc. (the "Optionor") amending the terms of the remaining option payments and exploration spend commitment, as part of the option agreement to acquire a 75% interest in its Broken Handle Project. Under the original terms, in order to earn a 75% interest (subject to a 1.5% NSR), the Company was required to make aggregate cash payments of $250,000, issue an aggregate of 1,000,000 common shares and incur $500,000 in work commitments over three years. Under the amended the aggregate cash payments have been increased to an aggregate of $263,000 (of which $143,000 has been paid) and aggregate shares issuable have been decreased to 900,000 common shares (of which 350,000 shares have been issued). Under the amended terms, in order to earn its 75% interest, the Company must satisfy the remaining option obligations as follows:
$70,000 cash and 250,000 shares due February 22, 2025 has been amended to $43,000 cash due February 22, 2025 and $40,000 cash and 150,000 shares due August 22, 2025;
$80,000 cash and 400,000 shares due February 22, 2026 have been extended to August 22, 2026;
$400,000 in exploration expenditures required to be spent by February 22, 2026 has been extended to August 22, 2026; and
$30,000 of additional exploration expenditures are required to be spent by October 1, 2025 to enable the claims comprising the property to be in good standing with respect to government required exploration work for a further year.
Financing Update
In connection with the Company's proposed subscription receipt offering announced February 21, 2025 (the "Financing"), the Company has determined that it intends to pay finders fees to certain arm's length parties consisting of cash fees equal to 7% of the of the aggregate subscription proceeds, and finder's warrants equal to 7% of the number of subscription receipts issued. Each finder's warrant will be exercisable to acquire one post 0.75:1 consolidation common share of the Company at a price of $0.40 per share for a period of 18 months.
About Hawthorn Resources
Hawthorn is a silver development company advancing the Prince Silver Project in Nevada, USA. With over 129 historic drill holes completed, the current historic and internal block model suggests an Exploration Target* of 25-43Mt @ 1.44-1.57% Zn, 0.78-0.87% Pb, 37-40 g/t Ag, 0.28-0.4 g/t Au, 3.62-4.3% Mn; (OmniGeoX Exploration Consultants, April 2024). Mineralization is open in all directions, is near surface and has open pit potential. The Company plans to begin its first drill program in Summer 2025.
*Readers are cautioned that the Exploration Target is not an "inferred", "indicated" or "measured" mineral resource compliant with National Instrument 43-101 ("NI 43-101"). The potential quantity and grade of the Exploration Target is conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the Exploration Target being delineated as a mineral resource.
Ralph Shearing, PGeol. (Alberta) a qualified person under NI 43-101 and, Director and President of the Company, has reviewed and approved the technical disclosure contained in this news release.
On Behalf of the Board of Directors
Ralph Shearing, Director, President
Tel: 604-764-0965
Email: info@hawthornresources.ca
Forward-Looking Information
Certain statements in this news release are forward-looking statements, including with respect to future plans, and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. Some of the specific forward-looking information in this news release includes, but is not limited to, statements with respect to: completion of the Acquisition and related transactions, completion of the proposed Financing, proposed drill programs, amendments to the Company's website, property option payments and regulatory and corporate approvals. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, business, economic and capital market conditions, the ability to manage operating expenses, dependence on key personnel, completion of satisfactory due diligence in respect of the Acquisition and related transactions, and compliance with property option agreements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include, the continued availability of capital and financing, litigation, failure of counterparties to perform their contractual obligations, failure to obtain regulatory or corporate approvals, exploration results, loss of key employees and consultants, and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information.
The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
The CSE has neither approved nor disapproved the contents of this press release and the CSE does not accept responsibility for the adequacy or accuracy of this release.
Not for distribution to United States newswire services or for release publication, distribution or dissemination directly, or indirectly, in whole or in part, in or into the United States.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/242683
SOURCE: Hawthorn Resources Corp.
