Vinata

Acquisition

Selwyn has an agreement with Savant Explorations Ltd. to acquire an initial 50% interest in the Vinata property by making expenditures of USD$1,000,000 over 30 months and a payment of CAD$100,000 on completion of the initial earn-in expenditures. Upon completion of the initial option, it has an option to increase its interest to 55% by making an additional US$500,000 of expenditures on Vinata property and paying Savant and additional CAD$100,000 (see July 22, 2009 news release).

The Vinata property is well located approximately 55 kilmetres south of the city of Chihuahua, Mexico and is easily accessible using highways and local roads. The property is situated in the heart of what is arguably one of the most productive regions in the World for Carbonate Replacement Deposits (“CRD”). These deposits are well known for their large tonnage and high dollar value per tonne of ore extracted. CRD deposits are currently some of Mexico's largest lead-zinc-silver mines. Examples of these producing CRD mines include Bismark, Santa Eulalia and Naica in Chihuahua State, and La Paz and Charcas in San Luis de Potosi State.

Savant is acquiring a 100% interest in the 8,900 hectare Vinata property for staged payments over a five-year period aggregating US$2,635,000 payable over 5 years (see Savant Explorations Ltd. June 11, 2008 news release).

Background

The Vinata property is well located midway between Santa Eulalia and Naica (respectively 55 kilometres northeast and 55 kilometres southeast of Vinata). Santa Elualia production is estimated at approximately 50 million tonnes grading 315 gpt silver, 8.5% lead, 7.5% zinc, 0.3% copper with minor tin and gold credits. Naica’s past production is estimated at approximately 25 million tonnes grading 155 gpt silver, 5.5% lead, 4.3% zinc and 0.4% copper.

Town of Santa Eulalia, Mexico

The Vinata property is very under explored, never having been worked using modern-day exploration techniques or drilling. Work was last undertaken during the 1950’s when the manganese veins were exploited through small open cuts. The manganese veins with low levels of silver and copper and extensive areas of hydrothermal clay alteration are strong evidence of the potential for CRD mineralization at depth on the Vinata property.

The presence of other similar, smaller CRD's including Magistral (copper-silver-gold skarn) 22 kilometres west of Vinata and the Savonarola manganese-silver-zinc mantos & veins to the southeast, further support the high discovery potential of the Vinata project area.

Geology

The Vinata property covers Tertiary-aged dacite volcanic rocks overlying the favourable Mesozoic limestone formation. Evidence in the volcanic rocks of underlying mineralization includes historically mined manganese veins flanked by pervasive argillic hydrothermal alteration. Limited sampling of manganese oxide/carbonate veins cross cutting the volcanic rocks shows local anomalous for silver, lead, copper and molybdenum. Some samples also contain high values of pathfinder elements of tungsten, antimony, vanadium and gold (see Savant Explorations Ltd.’s June 11, 2008 news release).

Manganese Veins in Volcanic Rocks

Manganese Breccia in Volcanic Rocks

Argillic Alteration in Volcanic Rocks

The strong argillic hydrothermal alteration and geochemically anomalous base and precious metal values associated with the manganese veining, are very similar to the hydrothermal alteration products that occur in the volcanic rocks at Santa Eulalia, which overlie a large part of the deposit, and in rocks overlying other known CRD deposits within this regional trend. The hydothermal alteration and pathfinder mineralization in the Tertiary-aged dacite volcanic rocks on the Vinata property are of similar aerial extent to the mineralized CRD system at Santa Eulalia.

The stratigraphic position of the altered Tertiary dacite volcanic rocks suggests that the underlying favourable limestone strata lie at a shallow depth; and therefore, the target depth should not be excessive. A drilling program is planned to test this hypothesis and follow the surface mineralization to depth looking for silver-zinc-lead massive sulphide mineralization.

Headframe in Santa Eulalia	Manganese Vein in Limestone

Jasperoidal Silica in Limestone

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For a Vinata location map, click here