FOLLOW UP 2015 EXPLORATION AND TEST FOR RESOURCE EXPANSION
September 15, 2016 – Vancouver, BC: Dolly Varden Silver Corporation (TSX.V: DV | U.S.: DOLLF) (the “Company” or “Dolly Varden”) reports mobilization of equipment and field crews to the Company’s camp in the deep tidewater port town of Alice Arm, 25 kilometers by road from the 8,800 hectare-sized Dolly Varden property in northwestern British Columbia. The 2016 field program will consist of regional and detailed mapping and sampling to refine exploration targets, and approximately 2,200 meters of core drilling, targeted both on regional exploration targets and on expansion of the Company’s existing estimated mineral resource.
The Dolly Varden project was mined for high grade silver in the 1920’s and late 1950’s. Although historic records are incomplete, historic production is estimated at approximately 20 million ounces of silver. From 2011 through 2014, the Company’s field programs focused primarily on or near the four historic deposits, Torbrit, Dolly Varden, Northstar and Wolf, all located in the southern portion of the project. This drilling and mapping confirmed that, in the historic deposits, silver is hosted in two, overlapping mineralization styles, both of which are high grade and regionally prevalent: volcanogenic massive sulfide (VMS) mineralization similar to that of the Eskay Creek deposit (historic production of 3.6 million ounces of gold and 180 million ounces of silver); and epithermal mineralization similar to that at Pretium’s Brucejack Valley of the Kings deposit (total reserves of 6.9 million ounces of gold and 4.6 million ounces of silver). Neither the Eskay Creek nor Brucejack deposits had been discovered at the time that historic mining was taking place on Dolly Varden.
In August 2015, the Company announced a maiden National Instrument 43-101 mineral resource estimate covering the four historic deposits. The Indicated mineral resource estimate totals 31.8 million ounces of silver contained within 3.07 million tonnes with an average grade of 321.6 grams of silver per tonne (“g/t silver”) with an additional Inferred mineral resource estimate of 10.8 million ounces of silver contained in 0.9 million tonnes at an average grade of 373.3 g/t silver. This high-grade mineral resource estimate on the robust system of deposits remains open to expansion (for further detail refer to Dolly Varden news release dated August 27, 2015).
2015’s field program used the knowledge gained on the historic deposits as a template to project the structural, geochemical and alteration trends regionally on the project where the Company’s field crews had mapped similar mineral occurrences and anomalies in the same key stratigraphic package. This resulted in the drill discovery of both VMS and epithermal mineralization along the Ace-Galena trend, six kilometers north of the historic mines (see Dolly Varden news release dated December 23, 2015 for further detail). 2015’s drilling confirmed that both VMS and epithermal mineralization styles persist throughout the project, that VMS layers are continuous and open in all directions, that VMS layers distal to historic deposits host significant silver values, and that epithermal veins on Dolly Varden are characteristically high grade.
The majority of 2016 drilling will follow up on exploration targets at the Ace-Galena trend where VMS intercepts of 454 g/t silver over 1.25 m (drill width) and 117.5 g/t silver over 1.25 m were drilled, and a high grade epithermal vein assayed 591 g/t silver over 3.15 m (drill width). A hole is also targeted on the parallel Victory-Chance trend. Several holes will be drilled to test additional potential around the historic deposits, primarily the Torbrit mine, which sourced the majority of the property’s historic production.
“Dolly Varden just completed a banner year in all respects. Not only was the corporate entity cleaned up and a maiden resource estimate completed but, once funds were available late in 2015 to complete required field work, we stepped far away from known mineralization and confirmed the investment thesis of the project: the known resource can be expanded with further drilling, and the resource mineralization styles can be used as a template to seek similar high-grade silver deposits on multiple highly prospective targets defined property wide. With further corporate progress in 2016, including becoming debt free and fully financed, we look forward to continuing to add value through further field work,” said Rosie Moore, Dolly Varden Director, Interim President and CEO.
About Dolly Varden – Dolly Varden Silver Corporation is a mineral exploration company focused on the exploration of the Dolly Varden silver property located in northwestern British Columbia, Canada. The entire Dolly Varden property is considered to be highly prospective for hosting high-grade precious metal deposits, since it comprises the same structural and stratigraphic setting that host numerous other, on-trend, high-grade deposits, such as Eskay Creek and Brucejack. The Company’s common shares are listed and traded on the TSX.V under the symbol DV and on the OTCBB system under the symbol DOLLF.
Rory Kutluoglu, P. Geo. and Vice President of Exploration for Dolly Varden, serves as a Qualified Person under National Instrument 43-101 and approved the scientific and technical information about the Dolly Varden project contained in this news release. Further information regarding the Dolly Varden property can be found in the Company’s Technical Report entitled “2015 Technical Report for the Dolly Varden Property” with an effective date of September 30, 2015, which includes a mineral resources estimate on the Dolly Varden Silver Project. The Technical report was filed on SEDAR on October 8, 2015 and is also available on the Company’s website.
This release may contain forward-looking statements or information. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual outcome, results, performance, or achievements of Dolly Varden to be materially different from any future outcome, results, performance, or achievements expressed or implied by the forward-looking statements. Forward looking statements or information relate to, among other things, the field program, our knowledge and inferences of the geology of the project, our mineral resource estimates, our belief that the existing mineral resource estimate can be expanded, Dolly Varden being fully financed, and adding further value. These forward-looking statements are based on management’s current expectations and beliefs, but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law. For additional information on risks and uncertainties, see the Company’s most recently filed annual management discussion & analysis (“MD&A”), which is available on SEDAR at www.sedar.com and on the Company’s website at www.dollyvardensilver.com. The risk factors identified in the MD&A are not intended to represent a complete list of factors that could affect the Company.
Neither the TSX.V nor its Regulation Services Provider (as that term is defined in the policies of the TSX.V) accepts responsibility for the adequacy or accuracy of this news release.
Dolly Varden Silver Corporation
Rosie Moore, Interim CEO and President
+1 604 925 5881
Rory Kutluoglu, VP Exploration
+1 778 835 9040