Minco PLC (LON:MIO) said that Xtierra, in which it holds a 33 percent stake, has found additional highgrade silver to the south of the Bilbao deposit and a new zone of silver mineralisation to the north. Bilbao is a silver-zinc-lead-copper-gold deposit in Mexico. Last month, Xtierra reported preliminary assays and the latest results stem from four additional holes. "Four of the mineralised fault structures have a north-northwest trend while another two veins strike north-north eastwards," said Minco. "The former have strong base-metal values while the later contain significantly anomalous silver values previously reported up to 664g/t silver but now recorded as high as 4,600g/t silver with an intersection of 2.45 metres averaging 1,623g/t silver, including 3,340g/t silver over 0.60m," said the firm in today's statement. Two drill holes demonstrated that the horizon hosting the main mineralised body at Bilbao persists to the south and west, it said, adding that this showed there was excellent potential for more mineralisation. A new discovery - Ardillas - was found 1.4 km northeast of Bilbao and was first identified by soil studies. A single drill hole there hit four veins with the thickest intersection of 4.25 metres at an average grade of 1.24 percent lead, 1.27 percent zinc and 47.7g/t silver at a vertical depth of about 150 metres. A further zone of 0.65 metres was intersected at about 96 metres vertical depth averaging 2.53 percent lead, 3.47 percent zinc, 0.33 percent copper and 104.6g/t silver. Anomalous tin values have also been recorded, said Minco. It added that Ardillas showed characteristics like the San José fault structure which, 3.3km to the north, hosted silver mineralisation currently being worked by Arian Silver Corporation (LON:AGQ, CVE:AGQ). Commenting on the latest results, Xtierra's chief executive Terence McKillen said: "The additional, very high grade silver values within the vein structures and breccias at the southern end of the Bilbao deposit provides excellent potential for identifying additional silver (and base metal) resources for the deposit. "These high grade zones suggest the presence of silver-rich feeder zones to the main skarn-replacement body. The morphology and disposition of these silver-rich fault zones is, as yet, not fully defined but a further drilling program is planned to investigate the zone in greater detail." he added. "We are also very excited about the new discovery at Ardillas which has all of the earmarks of a San José-type vein system. It is located within 1.4 km of the main Bilbao deposit and could, in time, provide additional resources to the main project. Further drilling is also planned at Ardillas."

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