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"PLEASE CLICK BELOW ON A MINING CAMP"


La Virgen Mining Camp  Guadalupe Mining Camp  Northeast Mining Camp Northeast Mining Camp  200Km2 Mamatla Silver District  Noche Buena Mining Camp Guadalupe Mining Camp Northeast Mining Camp



The La Virgen Valley Production Camp currently encompasses two high grade operating silver mines, Chivo Mine - Largest & Highest Silver Grade Mine in the district and the San Ramon Mine - High Lead & Zinc Grade. Ore is transported to the 500 tpd processing plant in the Guadalupe mining camp for processing which currently operates at 343 tonnes per day (tpd).

PRODUCTION

Year Ended
6 Months Ended June 30th
2010
Dec 31st
2009
Dec 31st
2008
Dec 31st
2007
Change
Silver Production (oz) 360,767 823,571 645,668 348,949 +82%
Lead (t) 380 969 813 601 +35%
Zinc (t) 521 1,098 1,053 976 +8%
Revenue per production tonne sold $104.46 $109.51 $89.89 $72.56 +24%
CA$ direct cost/tonne produced $54.25 $60.39 $54.80 $44.15 +24%

Chivo Mine


Chivo is the largest and highest grade producing mine in the district. It is the second mine put into production by the Company's team. Chivo was identified as a high priority exploration target in late 2005 when sampling in an old small mine working and on surface returned high grade values of 1,095g/t Silver over 1.25m TW and 2,640 g/t Silver over 0.85m TW respectively. In 2006, IMPACT began drilling and by 2008 had completed 46 drill holes outlining the high grade Chivo Silver Shoot over an area of 300m long and 200m deep. Commercial mining began in January 2008. The zone remains open for expansion in all directions. Currently, Chivo provides the majority of the production.

Recent drilling results from Chivo included the following:

CHIVO DRILL HOLES (MAIN VEIN - SOUTH EXTENSION)
DRILL HOLE
No.
TOP OF
INTERCEPT (m)
ESTIMATED
TRUE WIDTH (m)
SILVER
(g/t)
SILVER
(oz/ton)
GOLD
(g/t)
ZINC
(%)
LEAD
(%)
SECTION 850N (Drill holes listed from west to east)
Z08-13 49.4 1.9    3,902 114 1.34  3.96 2.16
Including 0.6 11,463 334 3.46 10.25 5.02
Z08-14 65.4 0.7      601    18 0.22  1.74 1.56
SECTION 875N (Drill holes listed from west to east)
Z08-25 45.6 3.2    865  25 0.41  3.73 3.90
Including 1.6 1,765  51 0.81  6.42 7.56
Z08-11 58.4 3.2    793  23 0.21  4.23 3.27
Including 1.1 1,792  52 0.46  8.73 7.25
Z08-12  71.3 1.7      91  3 0.86  2.03 2.65
SECTION 900N (Drill holes listed from west to east)
Z08-16  57.7 1.6    664 19 0.79  3.23 1.79
Z08-23  76.6 3.0    501 15 0.51  8.51 4.96
Including 1.8    810 24 0.80 12.75 6.91
Z08-24  88.0 1.3      73  2 0.66 10.96 2.81
Z08-27 114.5 3.7      89  3 0.22    6.91 2.81
Including 1.1    175  5 0.60 14.95 6.91

San Ramon Mine

San Ramon is located 1.3 km south of the Chivo Mine and supplements production from Chivo The main mineral shoot is typically 60m long by 3m wide and hosts high grade silver ores.

Mining continues to expand at San Ramon as the Company also developed underground access to a parallel structure, the Chaparrita Vein. During the third quarter of 2009, a new wide zone of silver-rich stockwork breccia style mineralization was discovered on level 5.5 and is expected to increase production at the mine.

At San Ramon two drill programs have taken place mainly prior to intial production. The holes were drilled to both determine the size of the San Ramon Mine and to plan for future mining. The most significant results returned from both programs include the following:

Drill Hole

Top of
Intercept (m)

Est. True
Width (m)

Silver
(g/t)

Silver (oz/t

Gold (g/t)

Zinc (%)

Lead (%)

1

243.6

0.9

279

8.1

0.11

2.52

1.47

 

including

0.2

957

27.9

0.04

2.66

1.02

4

133.8

0.9

746

21.8

0.36

3.08

1.08


Concepcion Vein

Drill Hole

Top of
Intercept (m)

Est. True
Width (m)

Silver
(g/t)

Silver (oz/t)

Gold (g/t)

Zinc (%)

Lead (%)

1

138.8

1.8

293

10.46

0.4

1.25

1.4

2

163.5

0.8

6,013

214.8

2.31

0.36

0.47

3

127.8

0.4

115

4.1

0.29

3.67

1.05

4

153.6

4.4

2,713

96.9

0.36

1.01

0.74

Including:

 

0.4

27,793

992.6

3.4

9.47

7.52


San Agustin Vein

Drill Hole

Top of Intercept (m)

Est. True Width (m)

Silver
(g/t)

Silver (oz/t)

Gold (g/t)

Zinc (%)

Lead (%)

2

174.2

1.6

3,234

115.5

0.41

2.67

1.91

Including:

163.5

0.7

7,010

250.4

0.73

5.87

4.26

3

127.8

1.2

450

16.1

0.23

2.3

0.75

4

153.6

0.6

1,140

40.7

0.56

0.56

0.23


EXPLORATION

Cometa Navideno/Santiago Vein
Earlier sampling of the historic Santiago mine workings by IMPACT returned average values of 235g/t silver and 0.31g/t gold across 0.9m (TW) ranging up to a high of 1,320g/t silver and 0.99g/t gold across 0.3m (TW). Earlier results from this Shoot reported a median value of 680g/t Ag and 0.3g/t Au over 0.90m to a high of 1,128g/t Ag and 0.2g/t Au over 1.9m. Two holes were drilled here in 2005. One of the holes returned 7.26% zinc, 7.45% lead, 75g/t silver and 0.59g/t Au across 0.65m about 120m below the old mine workings.

Los Reyes Zone
Finding other clusters of large veins situated next to a producing mine allows IMPACT to readily and quickly integrate them into production. An example is the Los Reyes Zone, located 600 metres east of the Chivo Mine. It is a thick vein system that trends parallel to the silver-rich Chivo Zone. Highlights from an 11-hole drill program include the following:

LOS REYES DRILL HOLES (MAIN VEIN)
DRILL HOLE
No.
TOP OF
INTERCEPT (m)
ESTIMATED
TRUE WIDTH (m)
SILVER
(g/t)
GOLD
(g/t)
ZINC
(%)
LEAD
(%)
SECTION 1N
(Sections listed from south to north, drill holes listed from west to east)
Z07-42 111.2 4.5 262 0.09  2.05 0.64
Including 2.2 496 0.15 3.10 0.96
Including 1.1 717 0.27  1.67 0.44
Z06-33 115.1 5.2 17 0.18 1.64 0.55
SECTION 2N
Z07-35 194.9 1.1 25 2.21  4.35 1.28
SECTION 3N
Z07-37  191.1 4.1 46 0.34  4.46 1.07
Including 0.6 135 1.24 17.80 4.62
SECTION 3N
Z07-38 202.4 5.9 22 0.18 1.99 0.53

The Company's mine staff will evaluate the Los Reyes Zone for possible integration into the Chivo Mine Plans.

News Releases

July 27, 2010  Impact Silver Announces First Results From 5,000M Drill Program At Zacualpan Silver District


San Ramon:
October 12, 2006  Impact Discovers New High Grade Silver Shoot
June 14, 2006  Impact Announces Commencement Of Underground Drill Program
May 16, 2005  Drilling Intersects Multiple High Grade Silver Veins
February 28, 2005  Drilling Has Started -- Four Target Areas to be Tested
October 22, 2004  Update on Royal Mines of Zacualpan Silver Project - Compadres Area


Chivo:
August 12, 2008  Impact Drills 11,463g/t (334 oz/ton) Silver Over 0.6M (2ft) At Chivo Mine And Expands Strike Length By 40%
August 06, 2008  Impact Drills 1,118 G/T Silver Across 1.4 Meters At The Chivo Mine
June 17, 2008  Impact Silver Updates Production And Samples 657G/T Silver Over 2.85M At The Chivo Mine
April 24, 2008  Impact Silver Extends Strike Length Of Chivo Mine; Drills 12.3 Meters Of 6% Zinc And 2% Lead
September 20, 2007  Impact Silver Corp. Commences Construction Of Third Mine And Increases Production
July 12, 2007  Impact Silver Announces Chivo Drill Results
October 12, 2006  Impact Discovers New High Grade Silver Shoot
April 27, 2006  IMPACT Silver Announces Signing of Drill Contract
September 07, 2005  New High Grade Silver Discoveries


Los Reyes:
April 29, 2008  Impact Silver Announces New Discovery At The Royal Mines Of Zacualpan


San Antonio:
August 28, 2008  Impact Silver Acquires New Concessions Increasing Mineral Holdings By 45%


San Augustin, Cometa Navideno, Santiago, Concepcion:
May 16, 2005  Drilling Intersects Multiple High Grade Silver Veins
February 28, 2005  Drilling Has Started -- Four Target Areas to be Tested
November 16, 2004  Royal Mines of Zacualpan Silver Project Update; Early Stage Target Areas



Maps & Images


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