Vancouver, February 10, 2011 - Canasil Resources Inc. (Canasil, TSX-V: CLZ) announces that the Company has started a program of airborne geophysical surveys on three large silver and silver/gold projects in Durango State, Mexico. The ZTEM (Z-Axis Tipper Electromagnetic System) helicopter borne survey is designed to provide unparalleled depth of investigation in precision electromagnetic measurements, and provides data on geologic structures at depth over large areas to assist in identifying the potential for large mineralized systems. The Company has contracted Geotech Ltd. to undertake three surveys on the Sandra-Escobar, Salamandra and Victoria projects. The contract provides for a total of 1,700 line-km of surveys with a budget of approximately US $330,000, with the combined surveys covering an area of over 330 square kilometres, as detailed below.
Together with geological mapping and surface sampling programs at these projects, the surveys will provide additional geophysical and magnetic data in order to evaluate and identify the potential at depth. The surveys should be completed by the end of February 2011, with the results from initial analysis of data expected by the end of March to mid-April 2011. Together with the recently completed ZTEM survey by MAG Silver on the Company’s La Esperanza project, these surveys will assist in advancing four of the Company’s large silver and silver/gold exploration projects in Mexico.
The survey at the Sandra-Escobar silver/gold project is planned for 420 line-km, covering an area of over 80 square kilometres. The Company is also planning to start a 2,000 metre diamond drill program at this project in the second half of February 2011. The drill program will test high grade silver/gold veins and the possibility for disseminated silver/gold mineralization in the project area. Under the Option and Joint Venture agreement signed with Pan American Silver (Pan American) in August 2008, Canasil’s expenditures will go towards completing the initial $1,000,000 work commitment to earn 51% interest in Pan American’s Escobar claims. Pan American will then have a back-in right to acquire a 51% interest in the combined claims by paying three times exploration expenditures incurred.
The Salamandra project survey is planned for 617 line-km, covering an area of over 120 square kilometres. Past drilling at Salamandra has identified significant silver and zinc mineralization. Recent reconnaissance of the project area has also identified indications of copper mineralization in an area approximately 4 kilometres north of the previously drilled area. The ZTEM survey covering a very large area is aimed at providing structural information beneath the surface cover of basalt flows, which masks signs of potential mineralization in the project area.
At the Victoria project, the ZTEM survey is planned for 680 line-km, covering an area of over 130 square kilometres in the northwest of the very large 60,000 hectare project claim area. Previous reconnaissance, surface sampling and mapping has identified a northwest to southeast trend of geochemical anomalies over an area of 5km by 10km, which will be tested by the survey.
Canasil is a Canadian mineral exploration company with interests in precious and base metal projects in Durango, Sinaloa and Zacatecas States, Mexico, and in British Columbia, Canada. The Company’s directors and management include industry professionals with a track record of identifying and advancing successful mineral exploration projects. The Company is actively engaged in the exploration of its mineral properties.
For further information please contact
President and C.E.O.
Canasil Resources Inc.
Tel: (604) 709-0109
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