BEIJING, Nov. 4, 2009 (GLOBE NEWSWIRE) -- Silver Dragon Resources Inc. (OTCBB:SDRG) is pleased to announce additional results from the 2009 drilling program at its Dadi silver property in Inner Mongolia, Northern China. Dadi is a silver-lead-zinc polymetallic project owned by Sanhe Sino Top Resources & Technologies, Ltd. ("Sino-Top"), of which Silver Dragon Resources Inc. has a 40% equity interest. Sino-Top was recently awarded the prestigious Prospector/Explorer of the Year Award at China Mining 2009 (see press release of October 22, 2009) for the Dadi project.
Highlights of the latest discoveries include the following:
-- Drill hole ZK0401 was completed to a depth of 446 meters and
revealed significant silver, lead, and zinc mineralization.
-- 15 mineralized intervals were identified within drill hole
ZK0401.
-- Mineralized interval No. 1, which extends 15.3 meters, returned
the highest average mineralization, at 914.8 g/t silver, 7.58%
lead, and 9.11% zinc.
-- Mineralized body No. II has steady extensions along both dipping
and striking directions, which have been proven by drill hole
ZK0401, by the previously reported drill hole ZK0801, and by
near-surface tunneling.
-- Many mineralized intervals were discovered at greater depths,
which may form new mineralized zones
Drill hole ZK0401 is located at exploration line No. 4, the purpose of which was to detect dipping extensions of mineralized body No. II, which were revealed by near-surface tunneling. Drill hole ZK0401 is positioned 100 meters west of drill hole ZK0801, which also hit dipping extensions of mineralized body No. II (see press release dated September 14, 2009). Drill hole ZK0401 reached a depth 446 meters with 80 degree dipping angle and 220 degree azimuth.
Assay results from drill hole ZK0401 (Table 1) identify 15 mineralized intervals of high grade silver, lead, and zinc. Mineralized interval No. 1, which extends from a depth of 225.9 meters to a depth of 241.2 meters, returned the highest overall grades, including 2,835 g/t silver, 34.15% lead, and 27.31% zinc over a 0.8 m sample length. Mineralized interval No. 1 also returned the highest average grades, at 914.8 g/t silver, 7.58% lead, and 9.11% zinc over 15.3 meters.
Assay results from drill holes ZK0401 and ZK0801, and from near-surface tunneling, indicate the main mineralized body No. II has steady extensions along both dipping and strike directions. In addition, below the main mineralized body No. II are 14 mineralized intervals, having been revealed by drill hole ZK0401, which may represent new mineralized zones.
The ongoing drilling and tunneling projects continue to be implemented at Dadi and the new exploration results will be reported as the data becomes available.
Dr. Tiebing Liu, P. Geo., a "qualified person" within the meaning of NI 43-101, reviewed and participated in the preparation of the technical information disclosed in this news release.
Table 1 - Assay results of drilling hole ZK0401 can be downloaded from the Company's website at:
http://www.silverdragonresources.com/Upload/09-11-03-SDRG-TABLE.pdf
About the Dadi Silver-Lead-Zinc Polymetallic Project:
Dadi is one of the eight exploration properties of Sanhe Sino-Top Resources and Technologies Ltd. ("Sino-Top"), a Chinese company which holds exclusive exploration rights to these properties located in the prolific Erbahuo Silver District in Inner Mongolia, China. The Dadi exploration area, covering 12.48 square kilometers, is located in the Mesozoic volcanic basin in Keshiketeng County, Inner Mongolia, China. Geologically, the Dadi property is located in the south edge of the Daxinganling metallogenic belt and at the joint between the Daxinganling mountain chain (with north-east direction) and the Xilamulunhe structure belt which trends in an east-west direction. These two structural belts are also two major ore-forming belts of China. This entire tectonic setting provides a dynamic geologic environment for the development of mineralizing systems. The major exposed rocks in the Dadi Property are Upper Jurassic Baiyinggaolao Formation dacitic tufaceous lava, dacitic tuff, rhyolitic tuff, and tufaceous sandstone and conglomerate, among which dacitic tufaceous lava and dacitic tuff are the main host rocks of mineralization.
Dadi is a silver-lead-zinc polymetallic project owned by Sanhe Sino Top Resources & Technologies, Ltd. ("Sino-Top"), of which, Silver Dragon Resources Inc. has a 40% equity interest. Sino-Top was recently awarded the prestigious Prospector/Explorer of the Year Award at China Mining 2009 (see press release of October 22, 2009) for the Dadi project.
About Sino-Top:
Sanhe Sino-Top Resources & Technologies, Ltd. ("Sino-Top") was originally incorporated in 2003 as a Chinese company wholly owned by Huaguan Industrial Corp. ("HIC"), a subsidiary of state-owned entity North China Geological Exploration Bureau. Sino-Top became an American-Chinese joint venture in 2005. Silver Dragon Resources Inc. acquired Sino-Top in 2006, and currently owns 40% of Sino-Top after having sold 50% of its ownership interest to its Chinese partner. The Chinese side, including Gansu Shengda Group (52%) and HIC (8%), collectively owns 60% (see press release of December 16, 2008). Sino-Top holds exclusive exploration rights to eight properties and mining rights to one property (Erbahuo Silver Mine) in northern China (Inner Mongolia), covering a total area of 261.25 km2.
In 2008, the Erbahuo Silver Mine was spun off from Sino-Top and put under a separate entity, i.e. Chifeng Silver Dragon Resources & Technologies, Ltd. ("Chifeng Silver"), an American-Chinese joint venture that is currently 70% owned by Silver Dragon and 30% owned by HIC.
About Silver Dragon Resources Inc.:
Silver Dragon Resources Inc. is a mining and metals company focused on the exploration, acquisition, development and operation of silver mines in proven silver districts globally. Silver Dragon's objective is to acquire silver mining assets that contain promising exploration targets, have highly leveraged, out-of-the-money silver deposits, and/or are producing properties with significant untapped exploration potential. It is management's objective to grow Silver Dragon into a significant silver producer by developing Cerros las Minitas in Mexico and Dadi and Laopandao in China. For more information, please visit the Company's website at: www.silverdragonresources.com (now available in Chinese).
The Silver Dragon Resources Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=4242
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical, such as statements regarding the exploration and development of the Dadi Silver Project, outcome and timing for the completion of further assays and metal amounts in partial assay results, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur. Information inferred from the interpretation of assay results and information concerning mineralization zones may also be deemed to be forward-looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to future assay results, delays in testing and evaluation of assays, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.