Highlights on the Third Week of September 2016, Mineral Exploration in Mexico

During the third week of September, at least 10 press releases were published by companies working in Mexico. This is the smallest weekly number of news releases on the year to date. ON EXPLORATION, Three companies reported exploration updates on their properties, with high-grade drilling intercepts and the find of a new vein in Sinaloa, a ground mag survey in progress in a property in Sonora and the delivery of a study to process tailings in Mexico State. ON MINING, for the first time on the year, there was no news on mining.  ON FINANCING, Four companies announced the exercise of warrants (CDN$499 K), the extension on debenture payments for $1.75 M, the selling and buying of 4.5 M shares of one company, and the payment of an outstanding balance for $811 K. ON DEALS AND CORPORATE ISSUES, Two companies entered into an agreement to develop a process to treat tailings from a mine in Mexico State.

ON MEXICO NUMBERS

  • Gold production grew 14.4% from 2014 to 2015, reaching 4.3 million ounces, five times the amount mined on 2001. Goldcorp, Fresnillo and Frisco produce 53.2% of the yellow metal, and Sonora is the state with highest output, at 36.7%, followed by Zacatecas, with 27.6% and Chihuahua with 11.3%.
  • Silver production grew 3.3% on 2015, compared to 2014, achieving 191.5 M ounces. This is the sixth year on a row that Mexico is the biggest silver producer in the world, followed by China and Peru. Fresnillo, Goldcorp and Pan American Silver (in that order) produced 42.6% of the total. Zacatecas produces 42% of the silver in the country, followed by Durango with 16.6% and Chihuahua with 13%. Saucito has taken the place of Fresnillo as the largest silver producing mine in Mexico.
  • Largest silver mines. Of the fifteen largest silver producing mines in the world, four are located in Mexico. In 2015 Saucito in Zacatecas was the third largest producer, with 22 M Oz, only behind Dukat (Russia) and Cannignton (Australia), with 22.3 and 22.2 M Oz respectively. Fresnillo is in the fifth place, with 15 M Oz produced, whereas La Colorada (Zacatecas) and Palmarejo (Chihuahua) stand 14th and 15th, having produced 5.3 and 5.1 M Oz respectively in 2015.

ON EXPLORATION

  • Primero Mining Corp. released an exploration update on its San Dimas property in Durango. The high-grade Victoria vein continues to produce encouraging drilling results with true width (TW) intercepts like 1.3 m @ 208.7 g/t Au, 3,037 g/t Ag; 3.5 m @ 11.5 g/t Au, 590 g/t Ag; and 2.3 m @ 12.6 g/t Ag, 817 g/t Ag. On the Lechugilla concession the Causitas vein, located on a “window” in post-mineral cover, has been traced over 200 m length, with widths of up to 6 meters. Channel sampling includes 4.5 m @ 7.1 g/t AuEq and 3.5 m @ 5.0 g/t AuEq. Two other veins have been located in the proximity.
  • Riverside Resources Inc. announced further work is proceeding at its project Thor, in Sonora; Thor is being advanced as a “Designated Project” on the alliance for porphyry copper exploration with Antofagasta PLC in Sonora. A ground magnetic survey is underway, and an initial 1,200 m drill campaign is planned for this fall.
  • Candente Gold Corp. announced that Sun River Gold has delivered test results on a treatment process for the tailings of El Oro, in Mexico State.

ON FINANCING

  • Silver Bull Inc. announced the expiry of share purchase warrants and the exercise of warrants prior to expiry for gross proceeds of CDN$499 K.
  • Bacanora Minerals Ltd. announced Igneous Capital has agreed to sell 4.5 M shares in Bacanora, taking its stake in the company to 9.73%, whereas Rare Earth Minerals PLC has agreed to acquire 4.5 million shares in Bacanora, after which its interest in the company’s issued share capital will be 19.8%.
  • Cyprium Mining Corp. announced that the holders of $750 K in principal of unsecured debentures bearing interest at 12% approved the extension of the maturity date from February 2017 to February 2019, and to allow past due and future interest to be payable through the issuance of common shares. The company also extended the maturity of $1 M of 12.5% bonds from March 2018 to January 2019.
  • Oroco Resource Corp. received $811.7 K from Goldgroup Mining Inc. in settlement of the outstanding balance of all debts due being the remaining principal and accrued interest from a US$1.5 M promissory note, the VAT (IVA) refund due to Oroco and a break fee payable to Oroco. The company continues to hold a scalable royalty on gold production from the Cerro Prieto mine in Sonora.

ON DEALS AND CORPORATE ISSUES

  • Candente Gold Corp. announced it entered, on March 16th, into an agreement with Sun River Gold (private Nevada Company) granting Sun River the right and option to earn 51% interest in the tailings, upon developing and demonstrating at its own cost, an economically viable process to treat the tailings. SRG has made, and continues to make, all payments required as per the Agreement and has delivered to the Company certain test results and reports.

Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.

On the picture below, reeds from a present day hot spring in Queretaro State.

075-copia

Leave a Reply