Therma-Med Inc. Completes LOI and Secures Silver Property in B.C.
Published: May 20, 2011
TORONTO--(Marketwire - May 20, 2011) - Therma-Med, Inc. (PINKSHEETS: THRA) ("the Company") has announced today that it has entered into a definite agreement to earn a 49% interest in Ag/Zn/Pb hosting mineral claims, situated in the Mining Division of Slocan, B.C., Canada. Therma-Med, Inc. has completed all due diligence on the property claim and has decided to move forward in securing its place in the mining industry. Ms. Trujillo will be actively assisting in guiding THRA into this direction and properly evaluating the company's strategy and work outline for the new property.
ABOUT THE PROPERTY:
The Slocan Area of Southern BC is famous for production of silver (it's called the "Silvery Slocan"). The Slocan Mining District has produced more than 24 million ounces of silver since the first discoveries in the late 1800s transformed this scenic wilderness into the silver-mining center of Western Canada. Exploration and mining have continued to the present and a neighbour to the company's property has a fully permitted and operating silver mine and mill. The property is of interest as a high potential host to economic precious and base metal mineralization including gold, silver, lead and zinc. Historical work and present operations in the area have greatly enhanced the potential of this property. Past activities on the property and neighbouring area have included the production of gold, silver, zinc and lead. Reported production has been obtained from the Wellington -- 3.6 million grams silver (117,450 oz.) and the Highland Surprise -- 51,000 g gold deposits. Other smaller amounts have been reported from 10 other areas on the property. Also within the vicinity of the property is the Whitewater Mine. This mine, located 1 kilometre south of the property, produced 260,542 tons of ore containing 1435 oz gold, 3,152,130 oz silver, 28,017,903 lbs lead and 36,260,370 lbs zinc during the period 1892 to 1945. The property is located in the Slocan Area of BC just the north side of Highway 31A, approximately midway between New Denver and Kaslo, but a small part extends to the south of Kaslo Creek.
The Slocan area has had a history of exploration dating back to the turn of the century. Lead, zinc, and silver mineralization hosted by units of the Slocan Group sediments has received the greatest exploration effort to date. Exploration in the area of the claims resulted in numerous discoveries, one of the largest being the Whitewater Mine. This mine, located just to the south of the property, produced 260,542 tons of ore containing 1435 oz gold, 3,152,130 oz silver, 28,017,903 lbs lead and 6,260,370 lbs zinc during the period 1892 to 1945 for an average of 12 oz/ton silver, 5.4% lead and 1.2% zinc. The ore bodies were found adjacent to a thrust fault zone within slate and limestone of the Slocan Group. Previous reports targeting this area indicate that exploration work has been conducted in the immediate distance of the property during the period from 1970 to 1990 but the fragmented nature of the holdings hampered systematic exploration. Close proximity to all, historically considered as a main ore deposit, offers excellent potential for a significant deposit to be found and developed. Newest reports on the property based on the heavy mineral and stream sampling exposed significant presence of silver and gold anomalies. Some of the silver results appear to be related to known silver (lead, zinc) mineralization but there are at least two new anomalies discovered that suggest areas for follow-up. The presence of anomalies for gold is noted in five sample locations including samples from the drainage that includes the known gold mineralization of the Highland Surprise. This result means that there can be some confidence that other areas with similar gold anomalies should be further examined. The remaining gold anomalies include the contact area between the Kaslo Volcanics and the Slocan Group which appears to be of interest based on known mineralization. Same report confirms newly discovered mineralization: the presence of very high silver with lead and zinc from an area of gossanous quartz veining in shale and limestone which has never been mined and may be a new discovery that is particularly interesting since this area has not been mined in the past.
Based on the favourable results of the previous mining operations in the surrounding area, a decision was made to begin an immediate review of all relevant data and previous studies to maximally compress the time frame required to finalize development plans for the properties, and start the exploration program to precisely define mineralized resource and possible reserves definition. The Company's Director, Zajay Trujillo, states, "The timing for this set of operations is perfect, our technical team is very eager to start with exploration work that develops the potential for high-grade mineralization on our acquired mining properties. As well, this is an exciting opportunity for our company to boost value to our shareholders."
This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Therma-Med, Inc. with members of its management team as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.