Silver Elephant Mining Corp 6-K, filed Mar 9, 2020
Silver Elephant Mining Corp. (SILEF)
6-K
2020-03-09
For: 2020-03-09
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April 06, 2026
About this 6-K
Silver Elephant Mining Corp filed this 6-K on March 9, 2020.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form
6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 or 15d-16 UNDER
THE
SECURITIES EXCHANGE ACT OF 1934
For the
month of March
2020
Commission
File Number 000-55985
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PROPHECY DEVELOPMENT CORP.
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(Translation
of registrant’s name into English)
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Suite 1610 – 409 Granville Street
Vancouver, British Columbia, Canada V6C 1T2
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(Address
of principal executive offices)
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Indicate
by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F
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Form
20-F
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☒
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Form
40-F
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☐
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Indicate
by check mark if the registrant is submitting the Form 6-K in paper
as permitted by Regulation S-T Rule 101(b)(1):
☐
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Note: Regulation S-T Rule 101(b)(1) only permits
the submission in paper of a Form 6-K if submitted solely to
provide an attached annual report to security holders.
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Indicate
by check mark if the registrant is submitting the Form 6-K in paper
as permitted by Regulation S-T Rule
101(b)(7): ☐
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Note: Regulation S-T Rule 101(b)(7) only permits
the submission in paper of a Form 6-K if submitted to furnish
a report or other document that the registrant foreign private
issuer must furnish and make public under the laws of the
jurisdiction in which the registrant is incorporated, domiciled or
legally organized (the registrant’s “home
country”), or under the rules of the home country exchange on
which the registrant’s securities are traded, as long as the
report or other document is not a press release, is not required to
be and has not been distributed to the registrant’s security
holders, and, if discussing a material event, has already been the
subject of a Form 6-K submission or other Commission filing on
EDGAR.
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SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
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PROPHECY
DEVELOPMENT CORP.
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Date: March 9,
2020
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By:
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/s/ Irina
Plavutska
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Irina
Plavutska
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Chief
Financial Officer
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-2-
INDEX TO EXHIBITS
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News
release dated March 9, 2020
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-3-
Exhibit 99.1
Prophecy Starts District Exploration at Pulacayo
Vancouver, British Columbia, March 9, 2020 – Prophecy
Development Corp. (“Prophecy” or “the
Company”) (TSX:PCY, OTCQX:PRPCF,
Frankfurt:1P2) is pleased
to announce that it has commenced district exploration program at
its Pulacayo project.
The exploration team will be conducting geological mapping, with
relevant sampling and possible trenching on the property. Induced
polarization geophysics will be conducted in tandem with the field
program, with 106 line-kilometers of survey having been outlined.
The program is expected to be completed by June 2020, when the
results will have been evaluated. The intention is to then generate
drilling targets in the district.
Background:
Several Pulacayo regional exploration programs were carried out in
the past, including a wide-spaced IP survey in 2009 (which detected
several near-surface strong-to-medium chargeability anomalies) and
a sampling program in 2015 (in which 495 samples were
collected from Paca North,
Pacamayo, Pero, and El Abra).
Target Area Description:
Paca North silver-lead target
Located adjacent to Paca’s NI43-101 inferred resource and 7
km north of the Tajo vein system, this target area consists of a
sequence of conglomerates with a with a length of 700m and width of
up to 200 meters, drilled to true thickness of up to 50 meters. The
conglomerate consists of clasts of quartzite (up to 30 cm in
diameter) in a siliceous matrix. Below the conglomerate is an
argillaceous tuff with veinlets of barite trending east-west.
Historic audits dating back to the Spanish colonial era exist in
the area where small-scale mining of the Paca congomerates was
undertaken. In 2015 chip channel samples were taken at 2 m
intervals from the cobbles of the conglomerate at the surface. They
yielded silver values ranging from 45 g/t to 833 g/t and lead
values up to 2.22%.
Pacamayo silver-copper-antimony-lead-zinc target:
1.4 km
northeast of the Tajo vein system,
four veins were identified on the surface. They are estimated to
have a thickness of 2m and a spacing of 26m. In the underlying San
Leon tunnel, exposures of extensive vein development have been
observed. Their estimated width is 1.5m. Strong oxidation,
indicator minerals, and geological features found during previous
geological mapping suggest Pacamayo mineralization may be similar
to the Tajo vein system and mineralization may extend at depth.
Select underground chip channel samples taken in 2015 at 0.6-1m
intervals returned high-grade assays of over 1,500 g/t Ag (beyond
detection limit), up to 3.1% copper, up to 17.6% lead, up to 2.49%
antimony, and up to 6.9% zinc.
Pero
silver-lead target:
0.5 km
southeast of the Tajo vein system, reconnaissance mapping and
sampling identified several veinlets of mineralization that
developed into a stockwork. Limited chip channel rock sampling
taken at 0.5–2m intervals carried out in 2008 by Apogee
Silver Ltd. yielded samples with historic assay values ranging from
15 to 262 g/t silver and ranging from 0.2 to 2.3%
lead.
El Abra
silver-lead target:
El Abra
is located 1.4 km northwest of the Tajo vein system—where a hydrothermal
breccia system was identified. Strong lead and antimony anomalies
were found in the samples. Antimony anomalies are specially
associated with siliceous structures whereas lead anomalies are
continuous and associated mainly with oxidation and zones of
cerusite (PbCO3). Cerusite usually occurs in the oxidation zone of
lead deposits produced by the chemical alteration of galena. The
chip channel outcrop samples taken in 2015 at 2m intervals showed
the presence of galena crystals. An assay of samples yielded silver
values up to 38.9g/t and lead values of up to 1.56%. Geological
mapping found visible metallic sulphides and a greater degree of
oxidation and indicator minerals. These suggest that mineralization
may continue at depth from the near-surface with a potential
conservative depth of 75m and approximate dimensions of 250m long
by 110m wide.
Highlights from 2015 Chip, Channel, Sampling Results
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Target
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#
Samples
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AnomaliesIdentified
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Sampling
Program Highlight
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Covered
Area
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Sample
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Ag
g/t
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Zn
%
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Pb
%
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Cu
%
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El
Abra
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184
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Silver,Lead,
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EA-049
EA-065
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5.6
38.9
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—
—
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1.6
0.7
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—
—
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100mX60m
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Pero
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165
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Silver,Lead,
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PR-163
PR-067
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27
118
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—
0.1
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3.7
2.1
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—
—
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200mX100m
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PacaNorth
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21
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Silver,
Lead
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PC-002
PC-011
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226
833
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0.1
—
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2.2
—
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—
—
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100mX30m
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Pacamayo
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125
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Silver,
Zinc,Lead,Copper,
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MP-77
MP-69
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7,379
3,867
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7.0
2.4
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17.6
2.3
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3.1
2.0
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150mX10mUG,
200mX200m
Surface
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Pulacayo Background and District Potential:
On November 22, 2017, Prophecy reported an independent NI43-101
compliant indicated silver resource of 30.4 million grading
455 g/t silver, 3.19% zinc, 2.18% lead and inferred resource of 6.3
Moz grading 406 g/t Ag, 2.08% Zn, and 3.93% Pb for the Pulacayo
project.
The results of the mineral resource estimate prepared by Mercator
for the Pulacayo deposit are presented below
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Pulacayo Mineral Resource Statement – Effective Oct 20th,
2017
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Ag Eq. Cut-Off (g/t)
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Tonnes**
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Agg/t
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Zn %
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Pb %
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Ag Eq.g/t
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AgMOz
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ZnMlbs
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PbMlbs
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400
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Indicated
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2,080,000
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455
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2.18
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3.19
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594
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30.4
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146.3
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100
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Inferred
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480,000
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406
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2.08
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3.93
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572
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6.3
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41.6
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22
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Historical Pulacayo production was predominantly from the Tajo vein
system, which extends over a strike length of more than 2.5km and
to a depth of at least 1,000 meters. Total production from the
Pulacayo mine during the period 1857 to 1959 is estimated by the
National Geological and Mineral Service of Bolivia (SERGEOTECMIN)
to be 678 million ounces of silver, 200,000 tons (181,400 tonnes)
of zinc, and 200,000 tons (181,400 tonnes) of lead (SERGEOTECMIN
Bulletin No. 30, 2002). Prior resource drilling only covered
approximately 30% of the Tajo vein system. With new drilling, there
is the potential of discovering additional resources.
Paca Deposit
On November 22, 2017, Prophecy also reported independent NI 43-101
compliant inferred silver resource of 20.9 million oz grading 256
g/t silver, 1.1% zinc, 1.0% lead for the Paca project, located
approximately 7 km north of the Pulacayo deposit.
The results of the mineral resource estimate prepared by Mercator
for the Paca deposit are presented below
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Paca Mineral Resource Statement – Effective Oct 20th,
2017
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Ag Eq. Cut-Off (g/t)
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Tonnes**
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Agg/t
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Zn %
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Pb %
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Ag Eqg/t
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AgMOz
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ZnMlbs
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PbMlbs
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200
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inferred
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2,540,000
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256
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1.10
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1.03
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342
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20.9
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61.6
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57.7
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Notes:
(1) Mineral resources are estimated in conformance with the CIM
Standards referenced in NI 43-101.
(2) Raw silver assays were capped at 1,050 g/t, raw lead assays
were capped at 5% and raw zinc assays were capped at
5%.
(3) Silver equivalent Ag Eq. (g/t) = Ag (g/t) + (Pb% *(US$0.94/ lb.
Pb /14.583 Troy oz./lb./US$16.50 per Troy oz. Ag)*10,000) + (Zn%
*(US$1.00/lb. Zn/14.583 Troy oz./lb./US$16.50 per Troy oz.
Ag)*10,000). 100 % metal recoveries are assumed based on lack of
comprehensive metallurgical results.
(4) Metal prices used in the silver equivalent calculation are
US$16.50/Troy oz. Ag, US$0.94/lb Pb and US$1.00/lb Zn and reflect
those used for the Pulacayo deposit mineral resource estimate
reported above.
The Company is examining Pulacayo as a large-scale district silver
project that includes a number of other well-known silver
occurrences and anomalies in addition to the Tajo vein system.
These include the aforementioned Paca North, Pacamayo, El Abra, and
Pero prospects,n all of which occur within 10km of the Pulacayo
town site. The Company considers these as having the potential for
future discovery of mineral resources through the application of
modern exploration techniques.
Qualified Persons
The
technical contents of this news release have been prepared under
the supervision of Danniel Oosterman, VP Exploration. Mr. Oosterman
is not independent of the Company in that he is employed by it. Mr.
Oosterman is a qualified person (“QP”) as defined by
the guidelines in NI 43-101.
About Prophecy
Prophecy
is developing its premier Pulacayo silver project in Bolivia.
Further information on Prophecy can be found at www.prophecydev.com.
PROPHECY DEVELOPMENT CORP.
ON
BEHALF OF THE BOARD
“Michael Doolin”
Chief
Executive Officer
For
more information about Prophecy, please contact Investor
Relations:
+1.604.569.3661
ext. 101
ir@prophecydev.com www.prophecydev.com
Neither the Toronto Stock Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Toronto
Stock Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Cautionary Note Regarding Forward-Looking Statements
Certain
statements contained in this news release, including statements
which may contain words such as “expects”,
“anticipates”, “intends”,
“plans”, “believes”,
“estimates”, or similar expressions, and statements
related to matters which are not historical facts, are
forward-looking information within the meaning of applicable
securities laws. Such forward-looking statements, which reflect
management’s expectations regarding Prophecy’s future
growth, results of operations, performance, business prospects and
opportunities, are based on certain factors and assumptions and
involve known and unknown risks and uncertainties which may cause
the actual results, performance, or achievements to be materially
different from future results, performance, or achievements
expressed or implied by such forward-looking
statements.
These
factors should be considered carefully, and readers should not
place undue reliance on the Prophecy’s forward-looking
statements. Prophecy believes that the expectations reflected in
the forward-looking statements contained in this news release and
the documents incorporated by reference herein are reasonable, but
no assurance can be given that these expectations will prove to be
correct. In addition, although Prophecy has attempted to identify
important factors that could cause actual actions, events or
results to differ materially from those described in forward
looking statements, there may be other factors that cause actions,
events or results not to be as anticipated, estimated or intended.
Prophecy undertakes no obligation to release publicly any future
revisions to forward-looking statements to reflect events or
circumstances after the date of this news or to reflect the
occurrence of unanticipated events, except as expressly required by
law.