Black Mountain Resources confirms down-dip extension at Montana silver project

Silver-focused development company Black Mountain Resources has unveiled the initial results from its 13 hole maiden drill programme at its New Departure Silver Project in Montana.

The company stated that initial drill results, which returned grades up to 365 grams per tonne of silver, confirmed down-dip extension of historic workings and indicated a potential projected strike length of 670m.

Further drill testing of the extension is scheduled for the second quarter of 2013, the group stated, adding that it had potential to significantly extend the current mine plan

Peter Landau, Executive Chairman of Black Mountain, said: "Our projects are located in an area of prolific silver mineralisation and these initial high grade silver intercepts of up to 365 grams per tonne of silver underpin our belief that we can add significant value to the project through production and exploration outside of the historically worked areas."

He added: "When put into context historically, it is clear why the intercepts are very valuable. The historic New Departure mine was not previously drilled with all the workings following visible veins. For the first time the programme has confirmed the `down dip' extension possibilities for the mine and with the extension now located, further drilling can be accurately undertaken with a view to significantly extend the current mine plan."

Black Mountain Resource's share price was up 10.87% to 12.75p at 13:50 on Friday afternoon.

MF