By Jorge Cirett

During the 45^th week of the year (November 7^th to November 13^th, 2022), 20 companies working in Mexico released news on their properties. One company declared commercial production, thirteen companies released Q3 2022 results and one company closed the final tranche of a private placement. Three companies presented drilling results or updated work at their advanced properties. Two companies signed a LOI on an acquisition proposal.  ON MEXICO ISSUES, no relevant news. ON EXPLORATION, no relevant news. ON MINING, SilverCrest Metals declared commercial production at Las Chispas, in Sonora. McEwen Mining, First Majestic Silver, Coeur Mining, Avino Silver & Gold Mines, Gatos Silver, Torex Gold, Fortuna Silver Mines, Pan American Silver, Golden Minerals, Endeavour Silver, Excellon Resources, Orla Mining and Americas Gold and Silver released Q3 2022 production results. ON FINANCING, Silver Viper Minerals closed an additional tranche of financing for $200 K. ON RESOURCES AND DEVELOPMENT, Guanajuato Silver Company released drill results from a new vein at El Cubo, in Guanajuato. Oroco Resource provided drill results from the South Zone at its Santo Tomás project in Sinaloa. Orla Mining updated on work at its Camino Rojo Sulphide deposit in Zacatecas aiming to evaluate its underground development options. ON DEALS AND CORPORATE ISSUES, Silver Viper Minerals and Canasil Resources signed a LOI on the proposed acquisition of the latter by Silver Viper. ON SOCIAL RESPONSIBILITY, Discovery Silver informed on awards received by its social responsibility work and achievements at the corporate and community levels.

ON MEXICO ISSUES

• No Relevant News.

ON EXPLORATION

• No Relevant News.

ON MINING

• SilverCrest Metals Inc. declared commercial production on November 1, 2022 at Las Chispas mine in Sonora. During the commissioning period in September and October 62.1 K tonnes were processed at a rate of 1,019 tonnes per day (name plate design: 1,250 tpd), recovering 96.7% Au, 96.8% Ag. “Moving Las Chispas from discovery to production in less than seven years is a monumental achievement”.
• McEwen Mining Inc. reported Q3 2022 results, with some information on its Mexican operations. A complete process plant was acquired for the Fenix project in Sinaloa, “This acquisition has made Fenix more attractive to build and could provide a new long life mine for McEwen Mining”.
• First Majestic Silver Corp. released financial results for the third quarter 2022. During the period the company produced 2.7 M Oz Ag, 67,022 Oz Au (8.8 M Oz AgEq) at cash cost $13.34 per Oz AgEq and AISC of $17.83 per Oz AgEq. At the end of the quarter the company held cash and cash equivalents of $148.8 M and restricted cash of $101.2 M. The Table below shows the production in San Dimas (Durango), Santa Elena (Sonora) and La Encantada (Coahuila), which account for 83% of the company’s production.

• Silver Viper Minerals Corp. closed an additional tranche of its non-brokered private placement announced in June 6 2022, for aggregate gross proceeds of $200 K (La Virginia, Sonora).

• Coeur Mining Inc. reported third quarter 2022 financial results, including figures from its operations in Mexico. At Palmarejo, in Chihuahua, 538.7 K tonnes were milled @ 1.52 gpt Au, 110 gpt Ag, recovering 93.3% Au, 84.9% Ag to produce 24,807 Oz Au, 1.61 M Oz Ag at a cash cost of $948 per Oz Au and $12.67 per Oz Ag. Approximately 38% of Palmarejo’s gold sales were sold under its gold stream agreement at a price of $800 per Oz Au. “Full-year 2022 production is expected to be 100,000 – 110,000 ounces of gold and 6.0 – 7.0 million ounces of silver”.
• Avino Silver & Gold Mines Ltd. released financial results for the third quarter 2022. At the Avino mine in Durango, 162.2 K tonnes were milled to produce 285.4 K Oz Ag, 1,202 Oz Au, 2.1 M Lb Cu, at cash cost $10.29 per Oz AgEq and an AISC of $17.32 per Oz Ag. The company has budgeted 15,000 m of drilling in 2022, focusing on the area at depth below the current Elena Tolosa mining area.
• Gatos Silver Inc. reported operating financial results for Q3 2022. At Cerro Los Gatos mine, in Chihuahua, 263.3 K tonnes were milled @ 356 gpt Ag, 0.34 gpt Au, 2.38% Pb, 4.70% Zn, containing 2.70 M Oz Ag, 1,400 Oz Au, 12.2 M Lb Pb, 17.8 M Lb Zn and recoveries of 89.6% Ag, 48.9% Au, 88.5% Pb, 65.4% Zn. By the period’s end, the company had a cash balance of $15 M and debt outstanding of $13 M.
• Torex Gold Resources Inc. reported financial and operational results for Q3 2022. At El Limón-Guajes, in Guerrero, 122,208 Oz Au were produced at cash cost $760 and an AISC of $1,059 per Oz Au. “Cash flow from operations totalled $102.4 million and $91.3 million prior to changes in non-cash operating working capital. Cash flow from operations includes $19.2 million of income taxes paid”. Expenditures at the adjacent Media Luna project totaled $32.5 M in the quarter, with a remaining project spend of $812.4 M. The needed Media Luna environmental permit (MIA) was approved by SEMARNAT.
• Fortuna Silver Mines Inc. reported its financial and operating results for the third quarter of 2022, including figures from its Mexican operations. At the San José mine in Oaxaca, 267.2 K tonnes were milled at an average rate of 3,071 tonnes per day (tpd), grading 196 gpt Ag, 1.16 gpt Au, recovering 92% Ag, 91% Au to produce 1.54 M OZ Ag, 9,091 Oz Au at cash cost $9.70 per Oz AgEq and an AISC of $14.23. The net cash was affected by the “$12.6 million payment including taxes for the settlement of the disputed royalty claim with the Mexican Geological Survey”.
• Pan American Silver Corp. reported results for the third quarter 2022, without expanding on figures by region.
• Golden Minerals Co. provided financial results for Q3 2022. The Rodeo mine in Durango produced 2,972 Oz Au, 11.9 K Oz Ag with cash cost of $1,391 per Oz AuEq. At Velardeña, in Durango, evaluation of modified mine plans, including ore sorting technology.  At Yoquivo, in Chihuahua, a 5,693 m drill program in 24 holes was completed and is currently conducting a 3,000 m drill program, planning on the completion of a maiden resource estimate for Q1 2023. Golden ended the quarter with a cash balance of $6.5 M.
• Endeavour Silver Corp. announced financial and operating results for Q3 2022. The company has the Guanaceví mine in Durango and the Bolañitos mine in Guanajuato. Consolidated production (no details provided) was 1.46 M Oz Ag, 9,194 Oz Au (2.2M Oz AgEq) at cash cost $10.32 per Oz Ag, and an AISC of $20.27 per Oz Ag. The company has a cash position of $69.2 M and $101.6 M in working capital. Work at the Terronera project in Jalisco includes “detailed engineering, critical contracts, procurement of long-lead items and road and camp construction…. Budgeted development expenditures for 2022 are estimated to be $41.0 million”. Also, during the period was completed the acquisition of the La Pitarrilla project in Durango and the sale of El Compas mine in Zacatecas.
• Excellon Resources Inc. reported financial results for the Q3 2022. At Platosa, in Durango, 23.8 K tonnes were mined, 22.7 K tonnes milled @ 442 gpt Ag, 3.69% Pb, 3.14% Zn, recovering 92.5% Ag, 76.9% Pb, 78.9% Zn, to produce 298.1 K Oz Ag, 1.2 M Lb Pb, 1.24 M Lb Zn (459.8 K Oz AgEq), at cash cost $9.78 per Oz AgEq and an AISC of $14.31 per Oz AgEq. “Mine activity in Q3 2022 focused on remnant development and extraction, pillar recovery and minimal mining of fresh mineral. Wind down activities continued in Q3 to minimize the work associated with care and maintenance required in Q4 2022”.
• Orla Mining Ltd. announced its results for the third quarter 2022. During the period the Camino Rojo Oxide project produced 28,876 Oz Au at cash cost $452 and all-in sustaining costs of $594 per Oz Au. The plant’s throughput averaged 19,200 tpd, or 107% of nameplate capacity. By the end of the period the company held $89.1 M in cash and a net debt of $77.5 M.
• Americas Gold and Silver Corp. reported financial and operational results, including figures from its Mexican operations. At Cosalá, in Sinaloa, 186 K Oz Ag, 9.4 M Lb Zn, 3.8 M Pb were produced. “Cash costs per silver ounce and all‐in sustaining costs per silver ounce were negative $4.43 and positive $4.35, respectively”.

ON FINANCING

• Silver Viper Minerals Corp. closed an additional tranche of its non-brokered private placement announced in June 6 2022, for aggregate gross proceeds of $200 K (La Virginia, Sonora).

ON RESOURCES AND DEVELOPMENT

• Guanajuato Silver Company Ltd. provided drill results that confirm a new transverse vein at El Cubo mine in Guanajuato. Highlighted true width intervals comprise 0.85 m @ 3.54 gpt Au, 398 gpt Ag; 1.29 m @ 0.79 gpt Au, 102 gpt Ag; 0.90 m @ 0.82 gpt Au, 112 gpt Ag; 0.92 m @2.15 gpt Au, 278 gpt Ag; 1.28 m @1.70 gpt Au, 205 gpt Ag. “The San Luis vein runs perpendicular to the primary regional north-west Villalpando and Dolores mineralized vein structures, and like other transverse veins at El Cubo, the San Luis vein is anticipated to often carry proportionally higher gold content”.
• Oroco Resource Corp. released assay results for three holes testing the South zone at its Santo Tomás project in Sinaloa. The total strike length of mineralization extends now for 3.2 Km, with 0.5 km more open for extension to the south. Highlighted core length intervals comprise 271 m @ 0.33% Cu, 0.029 gpt Au, 2.6 gpt Ag; 34 m @ 0.26% Cu, 0.9 gpt Ag; 140 m @ 0.23% Cu, 1.8 gpt Ag; 277.4 m @ 0.36% Cu, 0.026 gpt Au, 2.6 gpt Ag. Twelve holes have been completed to date on the South zone and 41 holes (27,004 m) in the North zone.
• Orla Mining Ltd. updated on work at its Camino Rojo Sulphide project in Zacatecas (below its Camino Rojo Oxide project currently in production). Previous operators envisioned a large open pit mining scenario for disseminated low-grade sulfides, with high capital costs for a large processing facilities and extensive material handling. Orla has been assessing the existence of higher-grade smaller ore shoots with the potential to sustain a more targeted underground development. Drilling has intercepted mineralization grading more than 2 gpt Au over more than 30 m in the five holes with results so far.

ON DEALS AND CORPORATE ISSUES

• Silver Viper Minerals Corp. and Canasil Resources Inc. entered into a non-binding letter of intent in November 6, 2022, with respect of the proposed acquisition by Silver Viper of all outstanding shares of Canasil, in exchange for common shares of Silver Viper. Canasil shareholders will receive one (1) common share of Silver Viper by for every four (4) Canasil shares held. At the closing of the proposed transaction Canasil will have the right to nominate one member of the board of directors of Silver Viper. Furthermore, Silver Viper will be required to complete a financing for at least C$1 M and Canasil a financing for at least C$260 K. Silver Viper holds La Virginia project in Sonora, whereas Canasil owns the Sandra, Nora, Vizcaino, Salamandra and Colibri projects in Durango, and the La Esperanza project in Zacatecas.

ON SOCIAL RESPONSIBILITY

• Discovery Silver Corp. received its official ESR Distinction, issued by the Mexican Center for Philanthropy “to organizations that have demonstrated they operate in a socially and environmentally responsible manner”. The company also received the Great Place to Work Certification, the Clean Industry Certification emitted by PROFEPA (Federal Attorney’s Office for Environmental Protection) and the Safe Industry Certification Level 1 issued by the Mexican Government’s Secretary of Labor.

On the image below Quartz veinlet stockwork in limestone on a project in the Sonoran Desert. Picture by Jorge Cirett.