Stellar optionned 90% of Imiter Nord Silver project, which comprises five (5) exploration permits totalling 80 km2. The Imiter Nord permits, which are in the process of being upgraded to exploitation licences and are located immediately contiguous to the North of Managem’s Imiter Silver Mine (see figure 1), the largest silver producer in Morocco.

Location map of the Imiter Nord permits

The Imiter Nord licences area is easily accessible by paved road and dirt road that cut across all five (5) licences.

 

Hidaya Mining reports a meaningful presence of silver, lead and zinc mineralization within the perimeter of the permits and the current owner recently filed all necessary administrative and technical reports to upgrade the five exploration licenses in exploitation licenses. A regional stream sediment map, prepared by the British Geological Survey and acquired from the Ministry of Mines in Morocco, shows the presence of silver stream sediment anomalies and mineral occurrences similar to Imiter Silver Mine anomalies in the perimeter of the permits N°2339261, 2339402, 2339403 and 2339416 (see figure 2). In particular, the British Geological Survey reports a notable silver/zinc/lead vein in Permit N°2339416, also referred to as Foum El Kouss.

Regional stream sediment map (based on data acquired from the Ministry of Mines in Morocco)

The adjacent Imiter Silver Mine is owned and operated by the Société Métallurgique d’Imiter (SMI), a subsidiary of Managem. Imiter consists of 4 main deposits within a 7km long corridor striking EW along a major regional sheared structure oriented N700 to N900 and the major fault associated with the deposits being the Imiter fault. This world-class deposit in the Anti-Atlas Mountain of Morocco, is a Neoproterozoic epithermal vein deposit generally associated with a felsic volcanic event and formed within a regional extensional tectonic regime. The silver deposit at Imiter stands out for the quality of its ore and, rather than silver being produced as a by-product, Imiter is among the few mines in the world where silver occurs in its free elemental form. According to the 2019Annual Report published by property owner Société Métallurgique d’Imiter (SMI), the Proven and Probable mineral reserves of Imiter were estimated at 152 million ounces of silver and the Measured and Indicated mineral resources at an additional 192 million ounces of silver* making Imiter by far the largest silver producer in Morocco.

 

*Stellar cannot confirm that the mineral reserves and resources estimates reported in the SMI 2019 Annual Report were prepared and calculated in a manner compliant with NI43-101 and therefore they should be treated as historical results that have not been verified by a QP as defined under NI-43-101 and should not be relied upon. Additionally, Stellar’s Imiter Nord property is an adjoining or adjacent property to SMI’s Imiter Silver Mine. Under NI43-101, results, information and mineralization from the adjoining or adjacent Imiter Silver Mine does not necessarily apply to Stellar’s Imiter Nord project and readers are cautioned to distinguish between information from the Imiter Silver Mine and that of the Company’s Imiter Nord project. There is no certainty that the Company will obtain similar or comparable results from its own property.