Zacualpan - Guadalupe Production 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


Production


IMPACT Silver's 500 tpd processing plant is centrally located in the Guadalupe Production Camp in the Zacualpan District. All of the ore from IMPACT's three producing mines is transported to the Guadalupe plant for processing. Upon acquisition in 2006, IMPACT ear-marked sufficient funds and man-power to undertake an aggressive plan to modernize operations which has included: a new secondary crusher to improve overall throughput of the crushing circuit; expansion of the flotation circuit and thickener capacity; installation of the new silver-lead concentrate dryer to reduce moisture and general upgrades to the plant to improve efficiencies and processing costs; expansion of the tailings facility and enhancements of the current dam. Continual upgrades are scheduled to increase throughput and recoveries. The Guadalupe plant is operating near maximum capacity at over 430 tpd.

Guadalupe Mine

The past producing Guadalupe Mine in the Zacualpan District had been feeding ore to the Guadalupe plant prior to IMPACT Silver acquiring operations in 2006. Historically, it produced over 10 million ounces of silver, which was sourced from the Lipton, Lipton del Bajo, Paulina, Intermedia, Liptonia, Caballo, Orilla Alto and Orilla Bajo Veins. Material is brought to surface up a shaft and transported approximately 100 m to the plant. It was the lowest cost producer in the district. The Guadalupe mine is now undergoing further development with the building of track access on new planned production areas.

Exploration


IMPACT continues to carry out significant exploration work for new mines in the Guadalupe area and has had significant success in the following area:

SANTA LUCIA MINING CAMP

The Santa Lucia Mining Camp is located 3.7 km southeast of the Guadalupe processing plant. Detailed geological mapping and soil sampling by IMPACT Silver's exploration team outlined a variety of high-grade silver targets consisting of old mine workings and outcropping veins along a northwesterly trending structural corridor. Summarized below are the results a selection of initial drill holes from this prospective area:


SANTA LUCIA AREA 2009 DRILL INTERSECTIONS

DRILL

FROM

TO

INTERVAL

SILVER

GOLD

HOLE

(m)

(m)

(m)

(g/t)

(g/t)

SECTION 1700N

Z09-50

13.7

14.7

1.0

602

0.02

Z09-51

34.3

35.7

1.5

141

0.01

SECTION 1600N

Z09-47

60.6

66.9

6.3

278

0.01

including

63.7

66.9

3.2

467

0.01

including

63.7

64.7

0.9

1,185

0.02

Z09-54

163.5

165.1

1.6

312

0.06

SECTION 1550N

Z09-35

69.9

70.5

0.6

871

0.04

And

81.4

82.9

1.4

600

0.08

Including

82.2

82.9

0.7

893

0.15

Z09-37

73.2

73.8

0.6

1,905

0.15

And

81.2

82.4

1.1

196

0.01

Z09-52

203.0

205.1

2.1

134

0.04

Z09-53

216.1

218.5

2.4

419

0.03

And

263.0

264.4

1.4

153

0.45

SECTION 1500N

Z09-55

232.7

233.8

1.1

372

0.01

SECTION 1450N

Z09-34

155.4

156.6

1.2

160

0.02

SECTION 1350N

Z09-56

121.4

121.9

0.5

331

0.06

SECTION 1300N

Z09-57

122.5

124.5

2.0

168

0.06

Z09-58

29.5

30.3

0.9

1,128

0.01

And

213.0

215.1

2.1

274

0.05

SECTION 1250N

Z09-59

135.1

136.0

0.9

377

0.01


Drilling is currently underway to define structural zones where greater vein thicknesses can be found and to assess the mine production feasibility.

Development Outlook


The Company plans to expand the underground workings for high grade silver zones at the Guadalupe mine with planned underground and surface drilling.

Related News Releases


December 16, 2009  IMPACT Intersects 466 G/T Silver Over 3.2 Meters At Santa Lucia
October 06, 2009  Impact Reports Initial Drill Results From Santa Lucia Silver Veins
November 24, 2008  Impact Silver Announces Record Quarterly Silver Production

Maps & Images