On June 19, 2012 Endeavour Silver announced that it acquired an option to purchase the Lourdes silver-gold property in the Sierra del Cubo area, located about 40 kilometers (km) northeast of Guanajuato City in Guanajuato State, Mexico. The property is readily accessed by paved state highways about a one hour drive from Guanajuato, where Endeavour owns and operates its Bolañitos and El Cubo Mines.
The Lourdes property covers a silver-gold low sulfidation epithermal vein system more than 5 km long. The vein system includes three main veins, El Tigre, La Blanca and P131, and several secondary veins. Although Lourdes is considered to be an early stage exploration property, there are several small historic mines located on the property, which is comprised of 3 concessions totaling 509 hectares.
The main El Tigre vein is marked by strong argillic alteration of the Upper Tertiary rhyolite host rocks, and quartz veining up to 5 meters thick. The quartz is mainly chalcedonic, sericitic in places, with colloform banding and locally abundant calcite replacement textures.
While surface assays of the veins are generally low, Endeavour's rock chip samples of the El Tigre and La Blanca veins assayed up to 1.9 grams per tonne (gpt) Au and 299 gpt Ag in places. The spotty high gold and silver grades, rhyolite host rocks and chalcedonic quartz veins all indicate that the Lourdes system is exposed at a high level and holds potential for bonanza grade mineralized zones at depth.
Endeavour plans to conduct systematic geologic mapping, sampling and trenching of the veins followed by diamond drilling to evaluate the ore potential of the Lourdes vein system. The Company has an option to purchase a 100% interest in the Lourdes property for US$350,000 over a 3-year period, subject to a 3% net smelter return (NSR) royalty of which 2% can be purchased at any time for US$2 million.