The Mining and Exploration News in Mexico: Highlights on the First Week of November, 2019.

Mn oxide-calcite fault vein-bx

By Miguel A Heredia

During the forty-five week of the year (November 4th to November 10th, 2019), at least 37 press releases were announced by companies working in Mexico, with nine communicating production and financial results, eight disclosing deals and corporate issues, six announcing financial rounds, five informing on exploration results, four reporting on resources and development of their projects, three commenting on Mexican issues, and two discussing issues on social responsibility.  ON MEXICO ISSUES, according to the Director of Mines of Zacatecas, there are five new mine projects in the state to be developed in 2020. Newmont-Goldcorp restated the dialogue process with the Cedros community on its Peñasquito mines in Zacatecas. Local communities and small local merchants expressed their support for the continuity of the Peñasquito mine. ON EXPLORATION, In Sonora, Silver Viper mobilized an exploration crew to its Virginia project to commence a drilling program at the El Rubi target area, and Oceanus reported underground and surface sampling results from its El Tigre project. In Sinaloa, Vizsla reported underground sampling from its Panuco-Copala project.  In Zacatecas, Advance Gold outlined a km long by 400-500m wide chargeability anomaly at its Tabasqueña project. In Jalisco, GoGold released drill results from 4 holes collared at its Los Ricos project.  ON MINING, Alio Gold, Argonaut, Coeur, Endeavour, Excellon, First Majestic, Hecla, Leagold, and Pan American presented Q3 2019 production and financial results from its Mexican operations.  ON FINANCING, Discovery Metals closed a non-brokered private placement for gross proceeds of $19M (Cordero project, Chihuahua). Goldplay closed a brokered private placement for $3M (San Marcial project, Sinaloa).Solaris Copper announced its intention to undertake a non-brokered private placement to raise gross proceeds of up to  CAD $5.5M (La Verde, Michoacan). Advance Gold closed the first tranche of a non-brokered private placement for gross proceeds of $113K (Tabasqueña project, Zacatecas). Orex announced that intends to undertake a non-brokered private placement to raise gross proceeds of up to $1M (Sandra-Escobar project, Durango). San Marco revised its previously announced non-brokered private placement and now intends to rise gross proceeds for up to CAD $376.6K. It also closed subscription books for unit and flow through shares private placement for gross proceeds of CAD $40K (Chunibas project, Sonora). ON RESOURCES AND DEVELOPMENT, Capstone announced high grade Cu-Ag results from 103 infill and step-out drill holes at its Cozamin mine in Zacatecas. Vizsla closed its option agreement to acquire 100% interest of Panuco-Copala project in Sinaloa. Torex extended mineralization 150m below current reserves at its El Limon Deep deposit in Guerrero. Mexus announced that its Merrill Crowe Au recover plant is complete and operational at its Santa Elena mine in Sonora. Mag Silver informed about the activities carried out at its Juanicipio project mine development in Zacatecas during Q3, 2019. ON DEALS AND CORPORATE ISSUES, Colibri received TSX approval for its acquisition of Yaque Minerals (Mezquite and Jackie projects, Sonora). Vizsla closed its option agreement to acquire 100% interest in Panuco-Copala property in Sinaloa. Great Panther announced the appointment of its VP Exploration and VP People & Culture (Topia mine, Durango). Solaris Copper announced management changes of its team (La Verde project, Michoacan). Starcore presented results from its annual general meeting of shareholders (San Martin mine, Queretaro). Mako Mining provided a corporate update and status of its Mexican operation. Compañía Minera Cuzcatlán, a subsidiary of Fortuna Silver Mines revealed that it is analyzing to invest in a new plant in Mexico (San Jose mine, Oaxaca). Minera Autlán announced its intention to raise its commitment to gold (Lluvia de Oro-La Jojoba, Sonora). ON SOCIAL RESPONSIBILITY, Agnico Eagle participated in the reconstruction of the drinking water system at Yepachi, Chihuahua, with a total investment of MXP $4M. Argonaut participated in multiple social programs related to their Mexican operations.

ON MEXICO ISSUES

  • The Secretariat of Economy in Zacatecas, through its Director of Mines, revealed that new five mines will be developed in the state in 2020, standing out Juanicipio in Fresnillo, Camino Rojo in Mazapil , and San Nicolas in Villa Garcia municipalities. Zacatecas is one of the most prolific areas for mining in the country; however, he is aware of the social problems faced by some of the mining companies which operate in the state. He informed that the local government seeks to generate the conditions for mining companies to invest safely in new projects.
  • Newmont-Goldcorp Corporation, restated the dialogue process with the community of Cedros, municipality of Mazapil on Peñasquito mine. A new agreement was signed for the community delegates, with a strong commitment of both parties, by the community not to block again the mine and from the company to attend on time the concerns and proposal from the Ejido.
  • Local communities and small local merchants, expressed their support for the continuity of Peñasquito mine. The communities of Cedros, El Rosario, La Pardita, Sábana Grande, Tanquecillos, Tecolotes, Mazapil and El Trigo said they are in favor of the Peñasquito Mine, stating that it has provided benefits to their families. At a press conference, representatives of the aforementioned communities reported that thanks to the company they have work, so they asked the state government to support them and that, through the dialogue avoids a new block. They affirmed that they are against the blockades and the definitive closure of the mine, since this one supports around 25 communities. They said the mining company has provided a source of work to the people of the communities and do not want it to disappear.

ON EXPLORATION

  • Silver Viper Minerals Corp., mobilized an exploration crew to its Virginia project in Sonora to commence a phase II drilling program at El Rubi target area, where previous drilling carried out in 2018 intersected 3.18 g/t Au and 228 g/t Ag (6.42 g/t AuEq) over 6m of true width. Phase II will test the extension of this structure along trend and at depth on 50m sections with the aim of generating enough information for maiden resource estimation at El Rubi.
  • Oceanus Resources Corporation, presented underground and surface sampling results from the Caleigh, Canon Combination and Protectora Veins at its El Tigre project in Sonora. In the Caleigh Vein, underground channel sample ETU-1007 returned 1,896 g/t Ag and 6.4 g/t Au (2,376 g/t AgEq) over a true width of 0.50m, and ETU-1006 returned 1,971 g/t Ag and 4.64 g/t Au (2,318 g/t AgEq) over a true width of 0.50m. In the Canon Combination Vein, underground channel sample ETU-1012 returned 1,794 g/t Ag and 0.25 g/t Au (1,813 g/t AgEq) over a true width of 0.50m. In the Protectora Vein, underground channel sample returned 378 g/t Ag and 2.01 g/t Au (529 g/t AgEq) over a true width of 0.50m. Surface samples collected on this vein reported 374 g/t Ag and 3.32 g/t Au over 0.7m wide; 192 g/t Ag and 0.57 g/t Au (235 g/t AgEq) over 0.5m wide; and 169 g/t Ag and 1.0 g/t Au (244 g/t AgEq) over 0.50m wide. “The results from the mapping and sampling of the underground workings and at surface present a series of high priority drill targets over a 2 kilometer strike length north of the old El Tigre Mine, which we intend to drill.”
  • Vizsla Resources Corp., reported encouraging underground sampling results from its Panuco-Copala project in Sinaloa. Highlights results from the underground sampling at the San Carlos mine are 5.65 g/t Au and 612 g/t Ag (1,120 g/t AgEq) over  6m on development level 4, including 10.5 g/t Au and 1,120 g/t Ag (1,960 g/t AgEq) over 3m; 2.55 g/t Au and 517 g/t Ag (721 g/t AgEq) over 4.5m on development level 5, including 3.51 g/t Au and 721 g/t Ag (1.002 g/t AgEq) over 3m; and 2.12 g/t Au and 298 g/t Ag (468 g/t AgEq) over 5.5m on development level 4, including 3.76 g/t Au and 591 g/t Ag (892 g/t AgEq) over 1.5m. These results are part of a mapping and sampling program to better understand mineralization at Panuco project.
  • Advance Gold Corp., completed a second phase of a 3D-IP survey and has outlined a N-S trending chargeability anomaly of 1km long by 400-500m wide on its Tabasquena project in Zacatecas. It remains open in both directions as well as at depth. A number of boreholes are now planned to intersect this anomaly.
  • GoGold Resources Inc., released drill results from 4 new holes collared at its Los Ricos project in Jalisco. Three of the 4 holes were drilled at El Troce area and significant intersections were encountered in hole LRGG-19-059 with 0.94 g/t Au and 134 g/t Ag (2.72 g/t AuEq) over 11m, including 1.95 g/t Au and 277 g/t Ag (5.65 g/t AuEq) over 3.5m; and hole LRGG-19-60 with 0.32 g/t Au and 66 g/t Ag (1.19 g/t AuEq) over 16m, including 83 g/t Au and 162 g/t Ag (2.98 g/t AuEq) over 3m. Hole LRGG-19-57 was drilled at the Main area and intersected 0.91 g/t Au and 131 g/t Ag (2.65 g/t AuEq) over 14.1m, including 2.14 g/t Au and 253 g/t Ag (5.50 g/t AuEq) over 5.3m. GoGold completed in Mid-October 2019, a phase 1 drilling program which consisted of 10,000m, and has already started a second phase of drilling, adding a third rig  machine to the program.

ON MINING

  • Alio Gold Inc., continued with processing of low grade stock pile at its san Francisco mine in Sonora, resulting in the placement of 12.8K Oz Au on the pad. The company announced that the low grade stock pile will be exhausted in Q4, 2019, after which crushing will cease, and operations will solely focus on recovery of the residual inventory ounces.
  • Argonaut Gold Inc., presented Q3, 2019 production and financial results from its Mexican operations. The company produced 44.7K Oz AuEq at a cash cost of USD $901 per Oz Au produced and sold 45.6K Oz Au at an AISC of USD $1,134 per Oz Au sold. It also reported revenue for USD $66.8, cash flow from operating activities before changes in operating working capital of USD $17.2M, net income of USD $4.9M, adjusted net income of USD $6.5M, and a net cash increase of USD $11.7M. Argonaut also reported mine by mine production results for the period Q3, 2019. At El Castillo Complex in Durango, it milled 4.8M tonnes of 0.35 g/t Au to produced 30.3K Oz AuEq. At El Castillo, 2.4M tonnes of 0.39 g/t Au were milled to produce 14.3K Oz Au and 23.3K Oz Ag. This mine sold 14.6K Oz Au and 16.3K Oz Ag in this quarterly period, at a cash cost of $1,038 per Oz Au sold. At San Agustin, 2.4M tonnes were milled with a grade of 0.32 g/t Au to produce 15.2K Oz Au and 36.9K Oz Ag. This mine sold 15.7K Oz Au and 15K Oz Ag in this quarterly period, at a cash cost of $848 per Oz Au sold. At La Colorada, Sonora, the company milled 1.45M tonnes of 0.6 g/t Au, to produced 14K Oz Au and 33.6K Oz Ag. La Colorada sold 13.8K Oz Au and 34K Oz Ag at a cash cost of $800 per Oz Au sold.
  • Coeur Mining Inc., announced Q3, 2019 production and financial results from its Palmarejo mine in Chihuahua. It milled 442,464 tons of 2.8 g/t Au and 152 g/t Ag to, with a metallurgical recoveries of 81.7% and 79.6% respectively, to produce 31.8K Oz Au and 1.72M Oz Ag. Adjusted costs applicable to sales were USD $660 per Oz Au and USD $8.95 per Oz Ag. Coeur reported cash flow from operating activities of USD $36.3M and total capital expenditures of USD $7.8M for a total free cash flow of USD $28.5M.
  • Endeavour Silver Corp., reported consolidated Q3, 2019 financial and production results from its four Mexican operations: Guanacevi mine in Durango, Bolañitos and El Cubo in Guanajuato, and El Compas in Zacatecas. The company processed 234, 196 tonnes to produce 948.5K Oz Ag and 9.7K Oz Au (1.72M Oz AgEq), at a cash cost of $11.51 per Oz Ag produced and AISC of $21.53.
  • Excellon Resources Inc., reported Q3, 2019 production and financial results from its Platosa mine in Durango. The company mined 18,167 tonnes and processed 17,235 tonnes with grades of 512 g/t Ag, 4.4% Pb, and 6% Zn, to produce 257.5K Oz Ag, 1.3M Lb Pb, and 1.65M Lb Zn (427.1K Oz AgEq), at a cash cost per Oz Ag payable of $18.18 and AISC net of by-products per Oz Ag payable of $28.46. Metallurgical recoveries were 87.2%, 77.7%, and 76.5% for Ag, Pb, and Zn respectively. Excellon reported revenues for $5.9M, a net loss of $2.9M, and a net working capital of $$9.0M.
  • First Majestic Silver Corp., presented Q3 production results from its Mexican operations. The company reported revenues for $97M, a net loss of $8.6M, operating cash flow before movements in working capital and taxes of $34.6M, cash and cash equivalent of $118.6M, and a working capital of $149.2M. The below table shows the mine by mine production results:

  • Hecla Mining Company, announced Q3 production and financial results from its San Sebastian mine in Durango. It produced 541.6K Oz Ag and 3.7K Oz Au at an AISC of $$7.21 per Oz Ag.
  • Leagold Mining Corporation, produced from its Los Filos mine in Guerrero, 40,922 Oz Au at an AISC of $1,001 per Oz Au produced, and sold 41,343 Oz Au during Q3, 2019, with associated revenue of $58.6M.
  • Pan America Silver Corp., reported Q3, 2019 production and financial results from its la Colorada, Zacatecas and Dolores, Chihuahua mines. At La Colorada, the company produced 2.1M Oz Ag and 1,200 Oz Au, at a cash cost of $2.82 per Oz Ag and an AISC of $4.03 per Oz Ag. At Dolores, it produced 1.5M Oz Ag and 33.1K Oz Au, at an AISC of $7.45 per Oz.

ON FINANCING

  • Discovery Metals Corp., closed a non-brokered private placement for gross proceeds of $19M, including $5M investment from Eric Sprott, which represents 19.9% of the interest of Discovery on a non-diluted basis. Proceeds will be used to continue the exploration programs at its exploration properties (Cordero project, Chihuahua, Puerto Rico project, Coahuila).
  • Goldplay Exploration Ltd., closed a brokered private placement financing of $3M. Gross proceeds will be used to continue resource expansion drilling including underground and surface exploration on its san Marcial project in Sinaloa.
  • Solaris Copper Inc., announced its intention to undertake a non-brokered private placement to raise gross proceeds of up to CAD $5.5M. Gross proceeds will be used to advance permitting, exploration, and drilling activities at their projects. (La Verde project, Michoacan).
  • Advance Gold Corp., closed the first tranche of a non-brokered private placement for gross proceeds of $113K. The company will use the gross proceeds to advance its Tabasqueña project in Zacatecas.
  • Orex Minerals Inc., announced its intention to undertake a non-brokered private placement to raise gross proceeds of up to $1M. Orex will use the net proceeds to maintain its 40% share of the Sandra Escobar project in Durango and fund its 40% share of the upcoming work program, and to make the necessary payments under its option to acquire 100% of the San Luis del Cordero project, Durango, and for general corporate and capital purposes.
  • San Marco Resources Inc., revised its previously announced non-brokered private placement and now intends to rise gross proceeds for up to CAD $376.6K. It also closed subscription books for unit and flow through shares private placement for gross proceeds of CAD $40K (Chunibas project, Sonora).

ON RESOURCES AND DEVELOPMENT

  •  Capstone Mining Corp., announced high grade Cu-Ag results from 103 infill and step-out drill holes from 200 hole program at its Cozamin mine in Zacatecas. Aim of this program is more than double the current reserve base. Significant drill intersection were encountered in hole CG-19-U498 with 5.02% Cu, 0.4% Zn, and 72 g/t Ag over a true width of 12.3m, including 9.02% Cu, 0.7% Zn, and 127 g/t Ag; in hole CG-18-S381 with 7.27% Cu, 0.3% Zn, and 220 g/t Ag over a true width of 5.1m; in hole CG-18-S372 with 5.53% Cu, 0.2% Zn, and 117 g/t Ag over a true width of 20.1m, including 11.32% Cu, 0.3% Zn, and 242 g/t Ag over a true width of 6.4m.
  • Torex Gold Resources Inc., reported drilling results from its 2019 exploration program at its El Limon-Guajes complex deposit in Guerrero. The drilling program has been successful in extending mineralization 150m below current reserves at its El Limon Deep deposit. Significant mineralization was encountered in hole LDUG-039 with 15.6 g/t Au over 38m; in hole LDUG-049 with 20.9 g/t Au over 12m, and in hole LDUG-056 with 15.7 g/t Au over 16.8m. El Limon Deep deposit remains open down dip and along strike.
  • Mexus Gold US, announced that its Merrill Crowe Au recovery plant at its Santa Elena mine in Sonora is complete and operational. “The plant is capable of handling Mexus’3000 ton a week mining operation and will allow for future expansion as well”.
  • Mag Silver Corp., informed about the activities carried out at its Juanicipio project mine development in Zacatecas during Q3, 2019. The company reported that “earthmoving and foundation preparation commenced for the construction of the 4,000 tpd beneficiation plant. Mill fabrication is progressing on schedule, and both the SAG and ball mills are expected to be shipped to site early 2020. Flotation cells, processing tanks and minor process equipment pieces are starting to arrive on site. Thickener tanks and drive and rakes fabrication are well advanced. Underground development has now reached 23Km of development and continues. According to the operator, Fresnillo plc, permitting for the tailings impoundments should be completed in the fourth quarter of this year and mill construction is on track for commissioning by late 2020”.

 ON DEALS AND CORPORATE ISSUES

  • Colibri Resources Corporation, received TSX approval for its acquisition of Yaque Minerals by a CAD$ 1M payment by way of a 5-years convertible debenture bearing 2.5% annual interest and carries a $0.20 per share conversion privilege. The Yaque´s acquisition includes two projects in Sonora: El Mezquite and Jackie, located less than 10Km east of the Nicho deposit owned by Minera Alamos, which is expected to start production in 2020, with initial production of 25K-30K Oz Au per year, with a mine life of more than 6 years. El Mezquite is a 2km by 1km N-S trending hydrothermal alteration zone on silicified feldspar porphyry, with a potential Au target area of at least 600m by 300m. A 3D-IP survey was carried out on this anomalous area which resulted in the identification of chargeability and resistivity anomalies underlying the surface area of potential. 321 grab samples have been collected of which 13% returned Au values oscillating from 0.1 to 3.41 g/t Au. Jackie is located 2km south of the El Mezquite but it has seen very little exploration work to date. Some prospecting work is planned for 2020.
  • Vizsla Resources Corp., closed its previously announced option agreement on November 5, to acquire 100% interest in Panuco-Copala property in Sinaloa. Vizsla confirmed that it has previously loaned USD $700K to Canam in order to satisfy the initial payment due under the terms of the options.
  • Great Panther Mines Limited, announced the appointment of its VP Exploration and VP People & Culture (Topia mine, Durango).
  • Solaris Copper Inc., announced management changes of its team, appointed its CEO, CFO, VP Corporate Affairs and Corporate Secretary, and a new member to its Board of Directors (La Verde project, Michoacan).
  • Starcore International Mines Ltd., reported results from its annual general meeting of shareholders (San Martin mine, Queretaro).
  • Mako Mining Corp., provided a corporate update and status of its Mexican operation. At its la Trinidad mine in Sinaloa, Au production is nearing conclusion, with Au sales being used to fund ongoing reclamation and severance costs. Mining and process plant equipment has been moved to USA and the lab equipment will be moved to Nicaragua soon. Mako has reported that has not been successful in receiving any insurance for damages caused by Hurricane Willa at its Trinidad mine in October, 2018. It has filed a lawsuit for over USD $7M against the Insurance Company. Mako also announced that it has reached an agreement with the primary mining contractor on the debt of approximately USD $11.3M. “Despite being ring-fenced from the rest of Mako’s corporate structure, the Company chose to settle with the contractor by making a USD $4M upfront payment and agreeing to make two additional USD $1M payments 12 months and 24 months from signing of the settlement agreement.  As this liability was being accounted for at approximately USD$11.3M, a substantial accounting gain is expected in the next quarterly report.
  • Compañía Minera Cuzcatlán , a subsidiary of Fortuna Silver Mines, analyzes to invest in a new mining plant located 40km from its San Jose mine, Oaxaca. The company asked government support to mediate between the company and the communities, since the new plant will require between USD $200-300M. The decision has to be taken next year, so they need the support of the authorities to reach a social agreement with the communities.
  • Compañía Minera Autlán, A.B .de C.V., announced its intention to raise its commitment to gold. The intention of that business and the integration towards gold was always to reach 20 to 25% of the top line and about 30 to 35% of the operating cash flow (EBITDA). In addition, the company estimates they will close this year with and investment of USD $35M to support other areas of its business, to add USD $45 M in an integrated way (Lluvia de Oro-La Jojoba, Sonora).

ON SOCIAL RESPONSIBILITY

  • Agnico Eagle Mines Limited, participated, along with the municipal presidency of Yepachi, Chihuahua, in the reconstruction of the drinking water system for this community. Yepachi is the second largest community in this area and has years of lag in terms of the supply and quality of drinking water. A total of MXP $4M will be invested, an amount that will be contributed by 50% by the municipal presidency and the other part will be borne by Agnico Eagle, which operates within the territory of the Yepachi Ejido.
  • Argonaut Gold Inc., has participated in several programs with the communities where the company operates. At La Colorada, Sonora, Argonaut signed a health collaborative agreement with the Centro de Rehabilitación Integral Teletón and hosted a cultural event with the Cultural Institute of Sonora. In Durango, participated in collaboration with the local government in an interactive learning pavilion where local attendees and families could know about the company´s mining activities and projects. It also sponsored an international forum on geological and mining heritage organized by the Universidad Autónoma de Baja California Sur, to discuss possible historical tourism and ecotourism in mining communities. Finally, Argonaut hosted students’ interactive workshops in the municipality of Dolores, Hidalgo in the village of san Anton in Guanajuato, Mexico, and hosted a soprano singer and the Latin American quartet at the Mining Cultural Centre of the Mexican chamber of commerce in Mexico City.

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 above, a Mn oxides-calcite fault vein-bx structure from a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of October, 2019.

 

barite crystals

By Miguel A Heredia

During the forty-three week of the year (October 21st to October 27th, 2019), at least 42 press releases were announced by companies working in Mexico, with eleven disclosing deals and corporate issues, ten announcing financial rounds, seven commenting on Mexican issues, six informing on exploration results, three communicating production results, three reporting on resources and developments of their projects, and one discussing issues on social responsibility.  ON MEXICO ISSUES, Napoleón Gómez Urrutia, a mining union leader and senator for the Morena party proposed to increase the taxes to mining concessions to levels of 20-30%.  Fernando Alanís, president of the Cámara Minera de México (CAMIMEX), reported that 244 Canadian companies stopped investing in Mexico. At the AIMMGM Mining convention in Acapulco, the CONAGO (Conferencia Nacional de Gobernadores) and the federal government were at disagreement on the use of the Mining Fund. Camimex expects the “Mesa de Minería” (Mining Forum) is installed before year’s end. Newmont-Goldcorp re-started up production at its Peñasquito mine in Zacatecas. ON EXPLORATION, In Baja California Norte, One World Lithium announced the continuation and progress of the phase 3 drilling program at its Salar del Diablo project.   In Sonora, Aloro mobilized crews to sample high grade Au veins on the northwest side of its Los Venados project, and Agnico Eagle provided an exploration update of its Santa Gertrudis project. In Chihuahua, Radius Gold and Pan American Silver commenced the phase 3 drilling program at its Amalia project. In Zacatecas, Galore reported the completion of 1,667.20m of core drilling at its Dos Santos project.  In Jalisco, GoGold reported drill results from six new holes from its Los Ricos project. ON MINING, Agnico Eagle, Fresnillo, and Excellon reported Q3, 2019 production and financial results from their Mexican operations. ON FINANCING, Galore closed a first tranche of a private placement for gross proceeds of CAD $187K and implemented a shares for services agreement on its drill contract (Dos Santos project, Zacatecas). One World Lithium reported that its previously announced non-brokered private placement (Sept 05, 2019), will be replaced by a non-brokered private placement for gross proceeds of $1M (Salar del Diablo project, Baja California Norte).  VVC closed a non-brokered private placement for gross proceeds of CAD $2M (Kaity project in Samalayuca, Chihuahua). Silver Viper closed a private placement financing to raise gross proceeds for $4M (La Virginia project, Sonora). Orla entered into a commitment letter for up to USD $125M project finance facility (Camino Rojo project, Zacatecas). Vista Gold received the third option payment from Prime Mining for the Guadalupe de Los Reyes property in Sinaloa. Newmont-Goldcorp declared a quarterly dividend of $0.14 per share of common stock (Peñasquito mine, Zacatecas). Gold Resource increased 100% its instituted annual dividend from $0.02 to $0.04 per common share (Arista mine, Oaxaca). ON RESOURCES AND DEVELOPMENT, Golden Minerals outlined progress at its Velardeña and Rodeo properties in Durango. Minera Peñoles informed that is to start operations at its Capela mine in Guerrero. Endeavour reported infill drill results from its Parral project in Chihuahua.  ON DEALS AND CORPORATE ISSUES, Alien Metals appointed Novum Securities Ltd as its joint corporate broker with immediate effect (San Celso project, Zacatecas). Defiance Silver appointed a couple of OreQuest consultants as technical advisors to work on its San Acacio project in Zacatecas. Impact granted stock options to directors, officers, and employees (Zacualpan mining district, State of Mexico).   Oroco announced special general meeting of its shareholders to be held on December 19, 2019 (Santo Tomas project, Sinaloa). Vangold announced changes on its board of Directors and appointed its corporate secretary (El Pinguino mine, Guanajuato). Tamino Minerals was invited to list on the Mexican Stock Exchange (El Volcan project, Sonora). Torex responded a recent letter to its shareholders and stakeholders (Limon-Guajes, Guerrero). Sonoro advanced discussions with China-based companies to develop and finance its Cerro Caliche project in Sonora. Magellan entered into an option agreement with Golden Minerals to acquire 100% interest in Santa Maria project in Chihuahua. Santacruz Silver appointed a new director to its Board (Veta Grande, Zacatecas). Ternium received from PROFEPA, the certification as a clean industry (Tecomán plant in Colima).  ON SOCIAL RESPONSIBILITY, In Aconchi, Sonora, the Orquesta La Caridad from Grupo Mexico offered a concert to 250 attendees by 110 children and young people, the first on its Rio Sonora tour. Doctor Vagón, the Health Train of Fundación Grupo México, arrived in San Pedro, Coahuila from October 23 to 26 to give medical attention to the residents of the municipality.

ON MEXICO ISSUES

  • Napoleón Gómez Urrutia, a mining union lider and senator by Morena proposed to increase the taxes to mining concessions to levels of 20 to 30%, sustaining that countries like Peru, Bolivia or Chile are at those levels. That declaration was done while he was defending the federal government intention to use the Mining Fund to other means that what it was imposed for: helping develop mining communities. The leader of the Morena senators is to present an integral initiative for the mining sector. Why don’t we raise the taxes to mining, to the rights on mineral exploitation, to the mining concessions taxes?, asked Gómez Urrutia. Ricardo Monreal, a presidential hopeful considered the proposal to be correct, and asked for its formalization.
  • Fernando Alanís, Camimex (Cámara Minera de México) president said that 244 Canadian companies stopped investing in Mexico. Camimex is fighting for the 100% deductibility of exploration expenses, as it is a strong deterrent on exploration investment, where the most risk of the industry is concentrated.
  • At the AIMMGM Mining convention in Acapulco, the CONAGO (Conferencia Nacional de Gobernadores) and the federal government were at disagreement on the use of the Mining Fund. While the governors fight for the said funds to remain on the states and municipalities, the federal government proposed that 85% of the resources are directed to the Secretaria de Educación Pública (SEP), by reforming the Ley Federal de Derechos (Federal Law on Duties) starting on 2020. The federal proposal allows full discretionally use of the where the funds are used, even in areas where no mining is conducted. In 2018 alone, $3,840 M pesos (about US$202 M) were accrued on the Mining Fund.
  • Camimex expects the “Mesa de Minería” (Mining Forum) is installed before year’s end, and can start to work with the federal government, so the mining sector is heard and doubts and misunderstandings can be cleared. Subjects to address include the social, the environment, regulation of the investment compromise, and the fiscal issues. Camimex stressed the mining in Mexico pays about 46 percent in taxes.
  • Newmont-Goldcorp, re-started up production at its Peñasquito mine in Zacatecas, following the lifting of the illegal blockade on October 8, 2019. “With the support of the State and Federal governments, including an ongoing police presence, the Company has commenced an approximately 10-dayprocess of bringing back the operation to full production”.

ON EXPLORATION

  • One World Lithium Inc., announced the continuation of the phase 3 drilling program at its Salar del Diablo project in Baja California Norte. Four boreholes are planned for a total of 2,400 meters (about 8,000 feet) of exploration drilling. The company reported that the first borehole reached a depth of 220m. Target depths of up to 600 meters are expected to be achieved.
  • Aloro Mining Corp., is to sample high-grade gold veins on the northwest of the Los Venados property in Sonora. In this area lies a 3.5 km vein system up to 400 m in width that has been partially mapped. Results from early sampling have results of up to 32 g/t Au and 49 g/t Ag.
  • Agnico Eagle Mines Limited, provided an update of the exploration program carried out at its Santa Gertrudis project in Sonora. Drilling at Santa Gertrudis has extended the Amelia deposit in the Trinidad zone to 800m strike length, with highlight intercepts of 6.4 g/t Au over 7m and 9.6 g/t Au over 6m.
  • Radius Gold Inc., and Pan American Silver Corp., commenced the phase 3 drilling program at its Amalia project in Chihuahua. Pan American is now operating the project and expects to drill a minimum 2,500m of core drilling.
  • Galore Resources Inc., reported the completion of 1.667.20m of core drilling at its Dos Santos project in Zacatecas. Drilling results are still pending to be released.
  • GoGold Resources Inc., reported results from six new diamond drill holes including four from the San Juan zone, the first step out hole testing the El Troce area, and one from the Main area at its Los Ricos project in Jalisco. At San Juan, hole LRGG-19-050 intersected 0.39 g/t Au and 76 g/t Ag (1.41 g/t AuEq) over 45.3m, including 1.01 g/t Au and 242 g/t Ag (4.23 g/t AuEq) over 6.2m,and hole LRGG-19-051 intersected 0.4 g/t Au and 86 g/t Ag (1.55 g/t AuEq) over 24m. At El Troce, hole LRGG-19-053 intersected 1.53 g/t Au and 164 g/t Ag (3.72 g/t AuEq) over 10.1m, including 5.22 g/t Au and 489 g/t Ag (11.75 g/t AuEq) over 2.8m. At the Main area, hole LRGG-19-055 intersected 0.58 g/t Au and 75 g/t Ag (1.59 g/t AuEq) over 14.4m.

ON MINING

  • Agnico Eagle Mines Limited, reported Q3, 2019 production and financial results from their Mexican operations. At Pinos Altos mine, Chihuahua, it processed 519K tonnes of 2.22 g/t Au to produce 34.8K Oz Au at a total cash cost of USD $745 per Oz Au produced. At Creston Mascota mine in Chihuahua, the company processed 284K tonnes of 0.78 g/t Au to produce 9,596 Oz Au at a total cash cost of USD $668 per Oz Au produced. At La India mine, Sonora, Agnico processed 1.1M tonnes of 0.77 g/t Au to produce 18.4K Oz Au at a total cash cost of USD $872 per Oz Au produced.
  • Fresnillo plc, presented Q3 2019 production results from their Mexican operations. Consolidated production results for the Q3, 2019 reached 13.3M Oz Ag (including Silverstream for 659K Oz Ag), 209.7K Oz Au, 34.9M Lb Pb, and 56.8M Lb Zn. At Fresnillo mine, Zacatecas, the company processed 648,646 tonnes of 183 g/t Ag, 0.99 g/t Au, 1.24% Pb, and 2.14% Zn, to produce 3.4M Oz Ag, 15.6K Oz Au, 15.8M Lb Pb, and 22.9M Lb Zn. At Saucito mine, Zacatecas, it processed 703K tonnes of 207 g/t Ag, 1.22 g/t Au, 0.84% Pb, and 1.38% Zn, to produce 4M Oz Ag, 21K Oz Au, 11M Lb Pb, and 14.9M Lb Zn. At Pyrites Plant, Fresnillo processed 38,572 tonnes of 314 g/t Ag and 2.44 g/t Au, to produce 285K Oz Ag and 954 Oz Au. At Cienega mine, Durango, it processed 335,493 tonnes of 1.78 g/t Au, 151 g/t Ag, 0.81% Pb, and 1.35% Zn, to produce 17.8K Oz Au, 1.4M Oz Ag, 4.1M Lb Pb, and 6.2M Lb Zn. At San Julian mine in Chihuahua-Durango border, the company processed 321,798 tonnes of 1.39 g/t Au and 108 g/t Ag, to produce 13,711 Oz Au and 1M Oz Ag from veins, and 559,693 tonnes of 0.07 g/t Au, 130 g/t Ag, 0.41% Pb, and 1.35% Zn, to produce 523 Oz Au, 2M Oz Ag, 4M Lb Pb, and 12.8M LB Zn from the disseminated ore body. At the Herradura mine, Sonora, Fresnillo processed 5,591,746 tonnes of 0.71 g/t Au and 3 g/t Ag, to produce 102,439 Oz Au and 412K Oz Ag. At the Noche Buena mine, Sonora, it processed 3,215,167 tonnes for a total volume hauled of 11,447,273 tonnes with grades of 0.58 g/t Au and 0.25 g/t Ag to produce 37,570 Oz Au and 14K Oz Ag.
  • Excellon Resources Inc., announced Q3, 2019 production results from its Platosas mine, Durango. Excellon milled and processed 17,235 tonnes of 512 g/t Ag, 4.4% Pb, and 6% Zn to produce 257.5K Oz Ag, 1.3M Lb Pb, and 1.65M Lb Zn, with metallurgical recoveries of 87.2%, 77.7%, and 76.5% respectively.

ON FINANCING

  • Galore Resources Inc., closed a first tranche of a private placement for gross proceeds of CAD $187K.The company also implemented a cash + shares for services agreement with COMEFIN S DE RL DE CV, to conduct the diamond core drilling programs at Galore’s 100% owned El Alamo and Los Gemelos projects (Dos Santo project, Zacatecas).
  • One World Lithium Inc., reported that its previously announced non-brokered private placement (Sept 05, 2019), will be replaced by a non-brokered private placement of unsecured convertible notes for gross proceeds of $1M (Salar del Diablo project, Baja California Norte).
  • VVC Exploration Corporation, closed a non-brokered private placement for gross proceeds of CAD $2M. The proceeds of the Financing will be used for exploration and development on the Kaity Property in Mexico, including diamond drilling, land use permits and associated costs, metallurgical bench testing of the copper mineralization, and investigation, evaluation and implementation of the Gloria Pilot Mining Project (Kaity project in Samalayuca, Chihuahua).
  • Silver Viper Minerals Corp., closed a private placement financing to raise gross proceeds for $4M. Net proceeds will be used to continue exploration and development of its La Virginia Au-Ag in Sonora and for general corporate and working capital purposes.
  • Orla Mining Ltd., entered into a commitment letter with Trinity Capital Partners Corporation, with respect to a secured project finance facility of USD $125M for the development of its Camino Rojo project in Zacatecas.
  • Vista GoldCorp., received the third $1.5M option payment from Prime Mining Corporation for the Guadalupe de Los Reyes project in Sinaloa.
  • Newmont-Goldcorp, declared a quarterly dividend of $0.14 per share of common stock, payable on December 27, 2019 to holders of record at the close of business on December 5, 2019.
  • Gold Resource Corporation, announced it has increased 100% its instituted annual dividend from $0.02 to $0.04 per common share. This increases the monthly dividend to one-third of a cent per common share for October 2019 payable on November 25, 2019 to shareholders of record as of November 12, 2019 (Arista mine, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Golden Minerals Co. informed it is working on a new PEA on its Velardeña properties in Durango, to reflect better metal prices and new metallurgical processes. At Rodeo, also in Durango, Golden plans to initiate a small drilling program to provide better definition on its 46 K Oz Au resource. At Yoquivo, in Chihuahua, Golden has the permits to initiate a drill program to test several epithermal veins early in 2020.
  • Minera Peñoles informed that is to start operations at its Capela mine in Guerrero. The Capela mine is a US$340 M investment that is to generate 1,000 direct jobs and at least 1,400 indirect ones. Mining generates more than 10 thousand direct jobs and 50 thousand indirect jobs, making it the second most relevant economic activity in the state.
  • Endeavour Silver Corp., reported infill drill results from 10 underground holes collared on the Veta Colorada vein at its Parral project in Chihuahua. Every hole intersected strong Ag mineralization below the lowest mine level. Recent drilling highlights include 308 g/t Ag over 11.6 m true width n hole VCU-16. “Several drill holes intersected two mineralized zones, the Veta Colorada and the HW Veta Colorada in the hanging wall, with a total true width of mineralization up to 16.5 m in hole VCU-17, with 226 g/t Ag over 7.6m true width, including 593 g/t Ag over 0.5m true width, and 254 g/t Ag over 8.9m true width, including 1,355 g/t Ag over 0.5m true width”.

ON DEALS AND CORPORATE ISSUES

  • Alien Metals Ltd., appointed Novum Securities Ltd as its joint corporate broker with immediate effect (San Celso project, Zacatecas).
  • Defiance Silver Corp., appointed a couple of OreQuest consultants as technical advisors to execute the ongoing exploration program at its san Acacio project in Zacatecas.
  • Impact Silver Corp., granted stock options to directors, officers, and employees for the purchase of 2M shares in its capital at the above market price of $0.36 per share (Zacualpan mining district, State of Mexico).
  • Oroco Resources Corp., announced that its special general meeting for shareholders will be held on December 19, 2019 to consider and vote on a resolution to approve the Company’s option to acquire Altamura Copper Corp.(Santo Tomas project, Sinaloa).
  • Vangold Mining Gold, informed about changes on its Board of Directors and expanded the role in the company of its CFO to become in its corporate secretary (El Pinguico mine, Guanajuato).
  • Tamino Minerals, has been invited to list on the Mexican Stock Exchange. If Tamino can achieve the listing, it may have a solution to combat its shortage of investment capital and advance their exploration projects (El Volcan, Sonora).
  • Torex Gold Resources Inc, responded a recent letter to its shareholders and stakeholders to confirm its long-term strategy to develop a sustainable, multi-asset, mining business by executing operationally to generate strong free cash flow from its Limon-Guajes mine in Guerrero, de-risking and bringing Media Luna project, Guerrero into production, and delivering the full potential of its innovative Muckahi Mining System to the benefit of all Torex shareholders.
  • Sonoro Metals Corp., continued advancing its discussions with China-based engineering, procurement and construction companies regarding plans to develop and finance a proposed heap leach pilot operation for its Cerro Caliche project in Sonora.
  • Magellan Gold Corp., entered into an option agreement with Golden Minerals Company to acquire 100% interest in the Santa Maria project in Chihuahua by making a cash payment of USD $1M to Golden at closing, and pay Golden a 6.5% NSR based royalty from all production until a total of USD $3M has been paid under the royalty agreement, the royalty is then reduced to a 3.0% NSR based royalty for the balance of the property life.
  • Santacruz Silver Mining Ltd., appointed a new director to its Board (Veta Grande, Zacatecas).
  • Ternium, received from PROFEPA, a certification as a clean industry for the 6th consecutive year, established by the Mexican Standard, NMX-AA-162-SCFI 2012, Regulation of the General Law of Ecological Balance and the Protection of the Environment in matters of Self-Regulation and Environmental Audits. The certification was granted to the Alzada pelletizing plant and Tecomán station, both located in Colima.

ON SOCIAL RESPONSIBILITY

  • In Aconchi, Sonora, the Orquesta La Caridad from Grupo Mexico offered a concert to 250 attendees by 110 children and young people from Nacozari, the first on its Rio Sonora tour.
  • Doctor Vagón, the Health Train of Fundación Grupo México, arrived in San Pedro, Coahuila from October 23 to 26 to give medical attention to the residents of the municipality. The Health Train will offer general consultations, dermatology, pediatrics, dentistry, chiropractic and physical rehabilitation, Comprehensive service for women (mastography, colposcopy), comprehensive diabetic patient clinic, comprehensive service for women, nutrition, psychology, optometry, family planning, geriatrics, audiometry, laboratory tests and cabinet studies, all for free.

 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 above, barite crystals in a rhyolite tuff from a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Third Week of July, 2019.

Boiling texture in a quartz chalcedonic vein

By Miguel A Heredia

During the twenty seven week of the year (July 15th to July 7th, 2019), at least 27 press releases were announced by companies working in Mexico, with ten communicating production results, seven disclosing deals and corporate issues, six announcing financial rounds, two reporting on resources and development of their projects,  and two informing on exploration results.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Chihuahua, Silver Spruce secured drill pads to commence phase 1 drill program at its Pino de Plata project. In Oaxaca, Megastar identified multiple targets at its Yautepec property. ON MINING, Avino, Consolidated Zinc, First Majestic, Fortuna Silver, Fresnillo, Gold Resource, Hecla, McEwen, Premier, and Sierra Metals reported Q2, 2019 production results from their Mexican operations. ON FINANCING, Americas Silver announced a non-brokered private placement for gross proceeds of approximately US$10M (Cosala, Sinaloa). It also announced the termination of the agreement with Premier Gold on the San Felipe project in Sonora for total sales proceeds of US$10.8M. Discovery Metals announced its intentions to complete a non-brokered private placement to rise gross proceeds of $9M (Puerto Rico project, Coahuila). Golden Minerals entered in definitive agreements to rise gross proceeds of $2.25M (Santa Maria project, Chihuahua). Mexican Gold closed a non-brokered private placement for gross proceeds of $4M (Las Minas project, Veracruz). Orla Mining rised $3.6M through early warrant exercise incentive program (Camino Rojo project, Zacatecas). Silver Spruce received a final payment of $150K for the sale of its Kay Mine project to Croesus. Silver Spruce received and accepted an unsolicited cash investment offer of USD $250K (Pino de Plata project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Endeavour acquired two mineral properties adjacent to its Guanacevi mine in Durango. SilverCrest received the operating permit from SEMARNAT for the development of its Las Chispas project in Sonora. ON DEALS AND CORPORATE ISSUES, Silver Spruce announced the acquisition of the Cocula advanced Au project in Jalisco. Excellon, Great Panther, Mexican Gold, and Prize announced management changes.  Mexican Gold, Prize, and Minera Alamos granted stock options to Directors, Officers, Employees, and Consultants.

 ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Silver Spruce Resources Inc., secured drill pads to commence phase 1 drill program at its Pino de Plata project in Chihuahua. The surface landowners have granted surface access and signed the drill permit application.
  • Megastar Development Corp., identified multiple targets at its Yautepec property in Oaxaca. The property lies within the known Oaxaca Au-Ag epithermal trend that hosts the San Jose Mine owns by Fortuna Silver, and the Arista-Switchback mine owned by Gold Resource. Results from the first 146 rock-chip samples were received. Significant results are: 6 samples with > 10 ppm Ag (maximum value of 62 ppm Ag); 9 samples with > 100 ppb Au (maximum value of 0.86 ppm Au);   5 samples with > 100 ppm Cu (maximum value of 639 ppm Cu); 6 samples with > 100 ppm Pb (maximum value of 863 ppm Pb); 10 samples with > 100 ppm Zn (maximum value of 215 ppm Zn; 8 samples with > 100 ppm Mo (maximum value of 648 ppm Mo); 12 samples with > 1,000 ppm As (maximum value of 6,290 ppm As); 9 samples with > 1,000 ppm Ba (maximum value of 4,590 ppm Ba); and 12 samples with > 1 ppm Hg (maximum value of 7.8 ppm Hg). These anomalous values are from quartz veins, silicified breccias and siliceous sinter deposits in multiple areas along a north-northwest striking 8.4km trend of prospective rocks that trace a volcanic caldera margin. An additional 175 rock-chip samples have been submitted to the lab and results will be announced in subsequent new releases.

ON MINING

  • Avino Silver & Gold Mines Ltd., reported Q2, 2019 consolidated production results from its Avino mine operation in Durango. It processed 200,873 tonnes of 57 g/t Ag, 0.41 g/t Au, and 0.38%Cu to produce 246K Oz Ag, 1,609 Oz Au, and 1.14M Lb Cu. Metallurgical recoveries were 69%, 61% and 63% for Ag, Au, and Cu respectively.
  • Consolidated Zinc Limited, reported June 2019 production results from its Plomosas mine in Chihuahua. It mined 5,099 tonnes of 17.5% Zn, 11.2% Pb, and 62 g/t Ag for a total of 2M Lb Zn, 1.3M Lb Pb, and 10.2K Oz Ag contained. From this tonnage, only 2,409 tonnes were processed but additional stockpiles of 6,599 tonnes remain in mine site awaiting be delivered to the Aldama plant.
  • First Majestic Silver Corp., announced Q2, 2019 production results from their Mexican operations. The below table shows the mine by mine production results:

 

  • Fortuna Silver Mines Inc., released Q2, 2019 production results from its San Jose mine in Oaxaca. Fortuna processed 271,016 tonnes of 273 g/t Ag and 1.68 g/t Au to produce 2.2M Oz Ag and 13.2K Oz Au, with metallurgical recoveries of 90.76% and 90.23% respectively.
  • Fresnillo plc., reported Q2, 2019 consolidated production results from their Mexican operations. The company produced 14.42M Oz Ag (including Silverstream), 221.3K Oz Au, 29.2M Lb Pb, and 46.3M Lb Zn. The production results by mine are as follow: At the Fresnillo mine in Zacatecas, 618,852 tonnes with grades of 192 g/t Ag, 0.9 g/t Au, 1% Pb, and 1.6% Zn were processed to produce 3.5M Oz Ag, 13.5K Oz Au, 11.7M Lb Pb, and 15M Lb Zn. At the Saucito mine in Zacatecas, 662,023 tonnes were processed with grades of 242 g/t Ag, 1.15 g/t Au, 0.8% Pb, and 1.3% Zn to produce 4.5M Oz Ag, 18K Oz Au, 10.2M Lb Pb, and 13.31M Lb Zn. At the Piritas Plant in Zacatecas, 39,159 tonnes were processed with grades of 352 g/t Ag and 2.57g/t Au to produce 333K Oz Ag and 1,215 Oz Au. At the La Cienega mine in Durango, the company processed 329,117 tonnes with grades of 1.57 g/t Au, 162 g/t Ag, 0.6% Pb, and 1.1% Zn to produce 15K Oz Au, 1.5M Oz Ag, 3M Lb Pb, and 4.8M Lb Zn. At the San Julian mine in Chihuahua-Durango border, Fresnillo processed 338,797 tonnes of 1.71 g/t Au and 124 g/t Ag from San Julian Veins to produce 17.7K Oz Au and 1.2M Oz Ag, while 562,534 tonnes were processed from the San Julian Disseminated Ore Body with grades of 0.08 g/t Au, 149 g/t Ag, 0.4% Pb, and 1.4% Zn, to produce 636 Oz Au, 2.3M Oz Ag, 4.2M Lb Pb, and 13.3M Lb Zn. Total production at San Julian was 18.3K Oz Au and 3.6M Oz Ag. At its Herradura mine in Sonora, the company processed 5,466,791 tonnes of 0.84 g/t Au and 2.5 g/t Ag to produce 120K Oz Au and 280K Oz Ag. At the Noche Buena mine in Sonora, Fresnillo processed 3,663,549 tonnes of 0.56 g/t Au and 0.22 g/t Ag,  to produce 35.3K Oz Au and 17K Oz Ag.
  • Gold Resource Corporation, released production results from its Oaxaca Mining Unit for the period Q2, 2019. It produced 7,881 Oz Au, 466.5K Oz Ag, 1.1M Lb Cu, 5.2M Lb Pb, and 13.6M Lb Zn.
  • Hecla Mining Company, reported Q2, 2019 production results from its San Sebastian mine in Durango. The company produced 0.5M Oz Ag and 3,547 Oz Au.
  • McEwen Mining Inc., announced that 5,340 Oz Au were produced at its El Gallo mine in Sinaloa during the period Q2, 2019.
  • Premier Gold Mines Limited, reported that a total of 15.5K Oz Au and 56.5K Oz Ag were produced from its Mercedes mine in Sonora during Q2, 2019.
  • Sierra Metals Inc., released Q2, 2019 production results from their Mexican operations. At Its Bolivar mine in Chihuahua, Sierra Metals processed 326,208 tonnes of 0.86% Cu, 18 g/t Ag, and 0.24 g/t Au to produce 5.2M Lb Cu, 152K Oz Ag, and 1,586 Oz Au. At its Cusi mine in Chihuahua, the company processed 82,117 tonnes of 1|45 g/t Ag, 0.15 g/t Au, and 0.1% Pb to produce 283K Oz Ag, 146 Oz Au, and 154K Lb Pb.

ON FINANCING

  • Americas Silver Corporation, announced that Eric Sprott has agreed to purchase common shares of the company for a total investment of approximately US$10M in a non-brokered private placement (Cosala, Sinaloa). It also announced the termination of the agreement with Premier Gold on the San Felipe project in Sonora for total sales proceeds of US$10.8M.
  • Discovery Metals Corp., announced its intentions to complete a non brokered private placement to raise gross proceeds of $9M, of which Eric Sprott has agreed to purchase 19.9% of the company by investing $7.7M. Discovery plans to acquire all the issued and outstanding common shares of Levon Resources Ltd., as announced in a news release dated May 30, 2019. Gross proceeds will be used to continue exploration at Cordero, Chihuahua, following the acquisition of Levon, and at the Coahuila projects (Puerto Rico, Minerva, and Monclova).
  • Golden Minerals Company, entered in definitive agreements with institutional investors for an offering of shares of common stock with gross proceeds of $2.25M (Santa Maria project, Chihuahua).
  • Mexican Gold Corp., closed a non-brokered private placement for gross proceeds of $4M. Net proceeds will be used for exploration and advancement of its Las Minas project in Veracruz.
  • Orla Mining Ltd., rised $3.6M through an early warrant exercise incentive program rised $3.6M. Net proceeds will be used to continue regional exploration and allow greater flexibility prior to construction of its Camino Rojo Oxide project in Zacatecas.
  • Silver Spruce Resources Inc., received a final payment of $150K for Croesus Gold Corp., for the sale of its Kay Mine project. Some of the net proceeds will be used to fund the due diligence program at its advanced Cocula gold project in Jalisco. The company also received and accepted an unsolicited cash investment offer of USD $250K to purchase 5% interest of Silver Spruce Resources de Mexico SA de CV, the Mexican subsidiary of Silver Spruce, and 5% interest in the mining titles for each of the four mining concession that comprise its Pino de Plata project in Chihuahua. The offer was done before the commencement of the phase 1 drill program.

ON RESOURCES AND DEVELOPMENT

  •  Endeavour Silver Corp., acquired a 10 years rights to explore and exploit two mineral properties adjacent to its Guanacevi mine in Durango from a subsidiary of Minera Frisco SAB de CV. The El Porvenir property of 15 Ha covers the up dip extension of the El Porvenir Norte orebody, and The El Curso property of 40 Ha that covers any possible northwest extension of the El Porvenir Cuatro orebody, which was the highest grade mine in the district. Endeavour agreed to meet certain minimum production targets from the properties and pay Frisco a fixed per tonne production payment plus a floating NSR based on the spot Ag price.
  • SilverCrest Metals Inc., received from SEMARNAT the approval of the MIA or operating permit for the development of its Las Chispas project in Sonora. The receipt of the MIA provides the company to construct a 3,000 tonnes per day underground mine and a conventional processing facility with subsequent dry stack tailings and underground backfill for Las Chispas. The MIA remains in good standing for 14 years until July 17, 2033.

 ON DEALS AND CORPORATE ISSUES

  • Silver Spruce Resources Inc., acquired 100% interest in the Cocula advanced Au project in Jalisco from Prospeccion y Desarrollo Minero del Norte SA de CV (ProDeMin), which in turn, has an option agreement from the owners to acquire 100% interest in the Cocula project. Terms of the acquisition include a USD$160K due within two years of assumption of the ProDeMin contract; USD$330K due within year three; and USD$2.5M due within year four. ProDeMin has to negotiate with the owners to delay payments and to accept cash and company shares as payment. The owners also have retained a 2% NSR which is capped at USD$1.5M and of which 1% can be purchased for USD$500K. Minimum work expenditure include USD$250K in the first two years and USD$500K within the following two years. Silver Spruce has also agreed to reimburse ProDeMin USD$125K over two years for its previous option payments made to the owners, upon completion of the Company’s financing requirements, and to issue 3M of the Company’s common shares to ProDeMin over four years.
  • Excellon Resources Inc., announced the appointment of its CFO and VP Corporate Development (La Platosa, Durango).
  • Great Panther Mining Limited, announced the appointment of the Chair of the Board of Directors of the company (Topia mine, Durango).
  • Mexican Gold Corp., announced the resignation of its COO and one Director, and the appointment of a new member to its Board of Directors. The company also granted stock options to Directors, Officers, and Consultants of the company (Las Minas, Veracruz).
  • Prize Mining Corporation appointed as new Director to the Board of the company. It also granted stock options to Directors, Officers, Employees, and Consultants of the company (Manto Negro project, Coahuila).
  • Minera Alamos Inc., granted stock options to Managements, Directors, Employees, and Consultants of the company (Santana project, Sonora).

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 above, boiling texture in a low-sulphidation epithermal chalcedonic quartz vein in a prospect in Durango, Mexico.  Photo by Miguel A Heredia.

EXCELLON APPOINTS ANNA LADD-KRUGER AS CHIEF FINANCIAL OFFICER AND VP CORPORATE DEVELOPMENT

Excellon_20190617

Toronto, Ontario – June 17, 2019 – Excellon Resources Inc. (TSX:EXN; OTC:EXLLF) (“Excellon” or the “Company”) is pleased to announce the appointment of Ms. Anna Ladd-Kruger as Chief Financial Officer and Vice President Corporate Development effective June 26, 2019. Ms. Ladd-Kruger is an accomplished finance executive with 20 years of global experience in building and managing accounting systems, improving financial reporting and internal controls and strategic planning.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of May, 2019.

 

Chalcedonic quartz

By Miguel A Heredia

During the nineteen week of the year (May 20th to May 26th, 2019), at least 19 press releases were announced by companies working in Mexico, with twelve disclosing deals and corporate issues, four reporting on resources and development of their projects, two informing on exploration results, and one discussing Mexican news.  ON MEXICO ISSUES, the Mining Undersecretary of the Secretary of Economy, Francisco Quiroga, said Thursday that the blockade of the Peñasquito mine in Zacatecas is generating millions of dollars in losses.  ON EXPLORATION, In Baja California Norte, One World Lithium has commenced a 12 holes-4,250m RC drilling program at its Salar del Diablo project. In Chihuahua, Ethos released trenching results from its La Purisima project.  ON MINING, no relevant news.  ON FINANCING, no relevant news.  ON RESOURCES AND DEVELOPMENT, Silver One completed a short drilling program next to the historic resource area at its Peñasco Quemado project in Sonora. Endeavour reported results from the 2019 drilling program conducted at its Bolañitos mine in Guanajuato. Goldplay released high grade assays from a surface channel sampling carried out at its San Marcial project in Sinaloa. Impact Silver announced the commissioning of an engineering study at its Capire project in Mexico State.   ON DEALS AND CORPORATE ISSUES, First Majestic and Fresnillo announced results from their annual general meeting of shareholders and proclaimed management changes. Great Panther provided information for its annual general meeting of shareholders (Topia mine, Durango). Santacruz confirmed an earn-in by Carrizal Mining of 20% interest in Santacruz’s Veta Grande Project and agreed to acquire Carrizal Mining.   Minera Alamos strengthened its mine operations team with the appointment of its VP Technical Services (Santana project, Sonora).  Mexus appointed an experienced Chemical Engineer for its Santa Elena mine in Sonora. The Fortuna Silver CEO purchased company shares (San Jose mine, Oaxaca). Excellon announced management changes (La Platosa mine, Durango). Bacanora announced a strategic investment in both corporate Bacanora and its flagship Sonora Lithium project in Sonora.

 ON MEXICO ISSUES

  • Blockade to Peñasquito mine in Zacatecas has generated millionaire losses to the public coffers. The mining undersecretary of the Secretary of Economy, Francisco Quiroga, said Thursday that the blockade of the Peñasquito mine by a truck contractor and members of the Cedros community, is generating millions of dollars in losses to the company as to the public coffers and that the government is in favor of a solution that allows it to continue operating. Peñasquito mine located in Zacatecas State is owned by Newmont Goldcorp and is one of the largest mines in Ag extraction in the world, and the main Au mine in Mexico.

ON EXPLORATION

  • One World Lithium Inc., commenced a 12 holes-4,250 RC drilling program at its Salar del Diablo project in Baja California Norte. Goal of the program is to test geochemical anomalies that cover 150 square km and three highly conductive geophysical zones that cover 54 square km, of which two may be more than 100 and 200m thick. The property has never been drilled before.
  • Ethos Gold Corp., released trenching results from its La Purisima project in Chihuahua. The company completed six trenches totaling a length of approximately 3km on the surface expression of the la Purisima vein zone and the parallel stockwork zone. Significant trench results were encountered in T-1 with 0.49 g/t Au over 118m, including 1.13 g/t Au over 20m, and 0.76 g/t Au over 24m on the La Purisima vein, and separately 4.17 g/t Au over 5.4m on the stockwork zone; T-2 with 0.47 g/t Au over 127m, including 1.11 g/t Au over 40m on the La Purisima vein; and T-3 with 0.84 g/t Au over 10m, and 6.51 g/t Au over 2m both in the stockwork zone.

ON MINING

  • No relevant news.

ON FINANCING

  •  No relevant news.

 ON RESOURCES AND DEVELOPMENT

  • Silver One Resources Inc., completed a short diamond drilling program at its Peñasco Quemado project in Sonora, consisting of 974m in five holes. Goal of the program was to test the potential down-dip and along strike continuity of the Ag-Mn mineralization identified in the area of the historic resource outlined by Silvermex Resources Ltd; investigate the source of the very high zinc and lead in soil anomalies located along strike to the southeast of the historic resource area; and to test geochemical and geophysical anomalies in the west central part of the property. Drilling results indicates the mineralized Ag-Mn system does not extend outside the area of the historic resource.
  • Endeavour Silver Corp., reported drilling results in the Plateros and San Miguel veins from the 2019 drill program conducted at its Bolañitos mine in Guanajuato. The drilling program consisted of 19 holes drilled to mid-April, of which 12 holes intersected high grades over mineable widths and an additional 4 holes intersected old mine workings. Significant drill intersections were encountered in the San Miguel vein just north of the Bolañitos plant in hole MG-10 with 58 g/t Ag and 22.1 g/t Au (1,827 g/t AgEq) over 3.5m true width. “New high-grade vein mineralization has now been delineated over a 250 m length by 130 m depth below and northwest of the old San Miguel mine workings, still open to the northwest”. Also, significant results were encountered in the Plateros vein just west of the Bolañitos plant in hole PLU-20 with 108 g/t Ag and 4.25 g/t Au (448 g/t AgEq) over 2.3m true width. “New high-grade vein mineralization has now been delineated over a 250 m length by 120 m depth below the Plateros mine workings where Endeavour is currently mining, still open at depth and to the southeast”.
  • Goldplay Exploration Ltd., released high grade assays from a surface channel sampling carried out at its San Marcial project in Sinaloa. A significant result of 323 g/t Ag was encountered at the southeastern limits of the San Marcial NI 43-101 resource area suggesting potential for SE extension in the Guacamayo target. The sampling program also identified unrecognized Au potential in addition to the Ag mineralization since it encountered 974 g/t Ag and 2.01 g/t Au over 1m channel samples.
  • Impact Silver Corp., commenced an engineering study to test the viability of dense media separation processing at its Capire project in Mexico State. Positive results from this engineering study could lead to a new operating plan toward placing Capire into production. Capire is an open pit silver-lead-zinc (-copper) deposit located 16 kilometers southwest of IMPACT’s producing Guadalupe Production Center.

ON DEALS AND CORPORATE ISSUES

  • First Majestic Silver Corp, released results from its annual general meeting of shareholders and announced two new appointments: a VP Operation and a VP of Innovation, Processing & Metallurgy (Santa Elena mine, Sonora).
  • Fresnillo plc., announced results from its annual general meeting of shareholders and reinforced its sustainability and community relation area with the appointment of Tomas Iturriaga. It also appointed its new COO and a new member of its Board of Directors (La Herradura mine, Sonora).
  • Great Panther Mining Limited, provided information for its annual general meetings of shareholders to be held on June 24, 2019 (Topia mine, Durango).
  • Santacruz Silver Mining Ltd., confirmed an earn-in by Carrizal Mining of 20% Interest in Santacruz’s Veta Grande Project and further acquisition of the 100% of the outstanding shares of PCG Mining S.A. de C.V. (PCG), which is the holding company that owns 100% of Carrizal outstanding shares. The shares of PCG are owned as to 50% each by two unrelated shareholders. One of the shareholders is at arm´s-length to Santacruz and the other shareholder is Carlos Silva, the Santacruz´s COO. “With respect to the acquisition of PCG shares from the arm’s-length party (the “Arm’s Length Acquisition”), on closing a cash payment by Santacruz of US$500,000 and other consideration in the amount of approximately US$600,000, including the forgiveness of approximately US$450,000 in debt owed by the shareholder to Carrizal; and with respect the acquisition of PCG shares from the Santacruz COO (the “Silva Acquisition”, and together with the Arm’s Length Acquisition, the “Transaction”), on closing the issuance of 30,000,000 shares of Santacruz (the “Consideration Shares”) to Mr. Silva at a deemed price of CDN$0.05 per share”.
  • Minera Alamos Inc., strengthened its mine operations team with the appointment of Carolina Salas as its VP Technical Services. She will oversee final preparations related to the construction of commercial scale gold production facilities at the Santana project in Sonora.
  • Mexus Gold US, appointed an experienced Chemical Engineer for its Santa Elena mine in Sonora.
  • Fortuna Silver Mines Inc., informed that its CEO increased his equity position in the company by acquiring 170K common shares at an average price of US $2.59 per share (San Jose mine, Oaxaca).
  • Excellon Resources Inc., announced the resignation of its CFO and declared that the current VP Finance will serve as interim CFO while the company seeks a permanent replacement (La Platosa mine, Durango).
  • Bacanora Lithium plc, reported a strategic investment in both the corporate Bacanora and its flagship Sonora Lithium project in Sonora by Ganfeng Lithium, the world´s largest lithium metal producer. The strategic investment includes subscription for a 29.99% interest in Bacanora for a cash consideration of £14.4M, in addition to an initial 22.5% direct interest in the Sonora Lithium Project for a cash payment of £7.56M, with an option to increase up to 50% of the project.

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 above, chalcedonic quartz in a hot spring system in a prospect in Queretaro, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of April, 2019.

Chalcedonic quartz breccia

During the fifteen week of the year (April 22th to April 28th, 2019), at least 22 press releases were announced by companies working in Mexico, with ten disclosing deals and corporate issues, five informing on exploration results, three communicating financial and production results, three reporting on resources and development of their properties, and one discussing Mexican news.  ON MEXICO ISSUES, Mexico was announced as the largest contributor of silver worldwide for the ninth year in a row.   ON EXPLORATION, In Sonora, Evrim acquired La Lola project, Aloro received a new drill permit for its Los Venados project, and Azure announced exploration activities conducted by Teck at the El Alacrán project. In Coahuila, Discovery Metals reported sampling results from its Monclova project. In Zacatecas, Advance Gold announced drilling results from its Tabasqueña property. In Jalisco, GoGold released encouraging drill results from its Los Ricos project. ON MINING, Capstone reported Q1 2019 production results from its Cozamin mine in Zacatecas. Newmont Goldcorp Corporation announced Q1, 2019 production and financial results. Agnico released Q1, 2019 production results from their Mexican operations. ON FINANCING. No relevant news. ON RESOURCES AND DEVELOPMENT, Consolidated Zinc announced maiden ore reserves at its Plomosas mine in Chihuahua. Mexus Gold announced that the ore crushing circuit on its Santa Elena mine in Sonora is now fully operational. Agnico informed that in its Santa Gertrudis project in Sonora, the exploration program has extended the known deposits and outlined high grade mineralization at the Trinidad trend. Azure reported Q1, 2019 results from the activities carried out at its Oposura project in Sonora.   ON DEALS AND CORPORATE ISSUES, Silver Bull announced results from its 2019 annual general meeting of shareholders (Sierra Mojada project, Coahuila). Newmont Goldcorp Corporation published its 2018 sustainability report (Peñasquito mine, Zacatecas). Discovery Metals amended terms of its Puerto Rico option agreement in Coahuila. First Mining announced the appointment of its new COO (San Ricardo project, Sonora). Galore reported the passing of one of its Directors (Dos Santos project, Zacatecas). Newmont Goldcorp Corporation declared quarterly dividend of $0.14 per share. Minera Alamos announced transaction to accelerate development of its Guadalupe de los Reyes project in Sinaloa. Agnico announced election of Directors (Pinos Altos mine, Chihuahua). Alien Metals received the notification of major holdings (Los Campos, Zacatecas). Capstone announced results from its 2019 annual general meeting of shareholders (Cozamin mine, Zacatecas).

 ON MEXICO ISSUES

  • Fresnillo plc, is the leading producer of silver worldwide with 58.1 M Oz Ag, which has led Mexico to position itself for nine years as the number one in the contribution of this metal.

ON EXPLORATION

  • Evrim Resources Corp., acquired La Lola Au-Ag project in Sonora. This low sulphidation system was identified and staked by Evrim and consolidated through third party agreements in 2019. The land package comprises 6,309 hectares and contains La Barra vein system which extends for at least 5km and is locally up to 40m wide. Reconnaissance sampling returned 58 g/t Au from a historic dump and 424 g/t Ag from hanging wall structures. A systematic soil survey returned Au anomalies up to 43 ppb along the la Barra vein and up to 123 ppb Au in the eastern Adaena alteration zone. Pathfinder geochemistry and quartz textures suggest potential to find a preserved boiling zone bonanza target at depth. La Lola has never seen drilling or modern exploration.
  • Aloro Mining Corp., received a new environmental permit to drill 14 holes at its Los Venados project in Sonora. The drill permit, which is valid for two years, also includes the construction of approximately 1,500m of access road.
  • Azure Minerals Limited, released that the exploration program at El Alacran project in Sonora is being conducted by Teck Resources and is focused on the porphyry copper potential at the Cerro Alacran prospect and on the epithermal mineralization at Cerro San Simon and Cerro Colorado targets. Assay results for the drill samples have been received from Teck. Azure is currently undertaking a technical review and significant drill intersections will be released when this process is complete.
  • Discovery Metals Corp., released sampling results at the Real Viejo area from its Monclova project in Coahuila. Significant results from 41 underground channel samples include 450 g/t Ag, 0.01 g/t Au, 0.14% Cu, 2.9% Pb, and 16.1% Zn (1,558 g/t AgEq) over 1m breccia; 714 g/t Ag, 0.03 g/t Au, 0.08% Cu, 0.5% Pb, and 1.1% Zn (814 g/t AgEq) over 1.2m breccia; and 507 g/t Ag, 0.01 g/t Au, 0.21% Cu, 6.1% Pb, and 4.0% Zn ( 1,018 g/t AgEq) over 1m breccia. Also, significant results from 200 surface channel samples include 57 g/t Ag, 0.01 g/t Au, 0.02% Cu, 0.3% Pb, and 2.9%Zn (248 g/t AgEq) over 1.0m breccia; 88 g/t Ag, 0.01 g/t Au, 0.04% Cu, 0.6% Pb, and 0.7% Zn ( 162 g/t AgEq) over 1.5m fault breccia, and dump samples returning 1,150 g/t Ag, 16.45 g/t Au, 1.35% Cu, 1.6% Pb, and 0.2% Zn (2,645 g/t AgEq) and 418 g/t Ag, 0.01 g/t Au, 0.23% Cu, 1.3% Pb, and 3.4% Zn (704 g/t AgEq).
  • Advance Gold Corp., announced phase 3 drilling results from its Tabasqueña project in Zacatecas. Two deep holes and one shallow hole were completed for a total of 1,093m during phase 3 and targeted the western extension of a cluster of epithermal veins and the potential of the veins in the near surface oxide zone. Highlights of the shallow hole include 0.15 g/t Au and 73 g/t Ag over 4.72m, with the best intersection of 0.58 g/t Au and 31 g/t Ag over 1.05m. The two deep holes did not intersect the veins suggesting that the structures could be dipping more vertically.
  • GoGold Resources Inc., released encouraging drilling results from its Los Ricos project in Jalisco. Hole LRGG-19-03 intersected 2.21 g/t Au and 319 g/t Ag (6.45 g/t AuEq) over 20.4m, including 4.26 g/ Au and 608 g/t Ag (12.36 g/t AuEq) over 10.5m, including 6.17 g/t Au and 869 g/t Ag (17.77 g/t Au) over 7.2m.

ON MINING

  • Capstone Mining Corp., reported Q1, 2019 production results from its Cozamin mine in Zacatecas. The company milled 273,000 tonnes of 1.53% Cu to produce 8.7M Lb Cu and 5.5M Lb Zn, at cash cost of US$ 0.70/Lb Cu produced. Metallurgical recoveries for Cu and Zn were 94.2% and 69.3% respectively.
  • Newmont Goldcorp Corporation, produced 1.23M Oz Au during Q1, 2019 at a cost applicable to sales of $701 per Oz and an AISC of $907 per Oz. The company reported a net income of $113M, an EBITDA of $687, a cash flow from continuing operations of $574M, and free cash flow of $349M.
  • Agnico Eagle Mines Limited, released Q1, 2019 production results from their Mexican operations. At Pinos Altos mine in Chihuahua, the company milled 478,000 tonnes of 2.89 g/t Au to produce 42.7K Oz Au, at a cash cost of $694 per Oz Au produced. At its Creston-Mascota mine in Chihuahua, the company milled 361,000 tonnes of 1.96 g/t Au to produce 13.5K Oz Au, at a cash cost of $727 per Oz Au produced. At its La India mine in Sonora, Agnico milled 1,451,000 tonnes of 0.67 g/t Au to produce 23K Oz Au, at a cash cost of $772 per Oz Au produced.

ON FINANCING

  • No relevant news.

ON RESOURCES AND DEVELOPMENT

  • Consolidated Zinc Limited, announced maiden ore reserves at its Plomosas mine in Chihuahua. The total proven and probable ore reserves based on the current mineral resources as depleted 31 December 2018 for the Plomosas mine are 73,850 tonnes at grades of 13.8 % Zn, 2.4 % Pb, and 18 g/t Ag. In terms of mining costs, the stoping has been estimated at US$ 29.85/ ton ore mined and development at US$ 6.50/ton ore mined.
  • Mexus Gold US, announced that the ore crushing circuit on its Santa Elena mine in Sonora is now fully operational.
  • Agnico Eagle Mines Limited, reported that mapping work at its Santa Gertrudis project in Sonora has extended the main corridor to almost 20km in length. There are three corridors with at least 9 mineralized zones with multiple deposits that have been discovered to date. “Part of the recent exploration work has been between the known deposits where there had been limited drilling by previous operators. Current work is also testing new geological concepts”.
  • Azure Minerals Limited, reported Q1, 2019 results from the activities carried out at its Oposura project in Sonora. Azure announced that the initial hydrologic drilling into potential aquifers, as well as the condemnation/sterilization drilling on plant site and tailings storage, has been successfully completed. The phase 2 drilling program was completed with a total of 58 holes adjacent to the East Zone mineral resource. Results were reported in previous press releases and confirmed the continuity of the mineralization, and this is likely to result in upgrading most of the East Zone Mineral Resource to JORC Indicated classification, thereby enabling conversion to JORC Probable Reserves as part of the Feasibility Study. “The close-spaced extensional drilling was successful in delineating a zone of high-grade (>20% Zn+Pb) mineralisation located around Tunnel D within the western part of the East Zone and extending further to the west into the Central Zone. Azure is currently assessing the potential for early development of this high-grade mineralisation as access to this area is immediately available via Tunnel D”. Geotechnical studies, detailed deposit-wide variability metallurgical testwork, and open pit and underground mine planning and scheduling are in progress.

ON DEALS AND CORPORATE ISSUES

  • Silver Bull Resources Inc., announced results from its 2019 annual general meeting of shareholders (Sierra Mojada project, Coahuila).
  • Newmont Goldcorp Corporation, published its 2018 sustainability report. Newmont´s sustainability highlights include:  a) “Conducting the first integrated environmental and social impact assessment under an improved approach to free, prior and informed consent of indigenous peoples at the Sabajo project near the Merian operation in Suriname; b) Launching a Supplier Risk Management program to significantly improve how risks – including corruption, safety, social, environmental, human rights and security – are managed throughout the supplier relationships lifecycle; c) Refreshing Newmont’s global inclusion and diversity strategy and including metrics to measure inclusion and diversity; d) Distributing more than $6.5 billion in economic value including $1.4 billion in wages and benefits, nearly $520million paid in taxes and royalties, and $1.1 billion spent with local suppliers; e) Partnering with the International Union for Conservation of Nature (IUCN) and working together on achieving better biodiversity outcomes through a review of the Company’s biodiversity projects in Nevada; f) Minimizing the risk of catastrophic tailings dam failures by strengthening Newmont’s tailings governance framework to include reviews of its five high-priority tailings storage facilities by independent technical review boards; and g) Reducing water consumption by six percent (compared to the 2016 base year) and maturing Newmont’s water strategy focus toward water stewardship.
  • Discovery Metals Corp., amended terms of its Puerto Rico option agreement located in Coahuila State, and signed a 30-years exploration and mining agreement with the Boquillas Del Carmen Ejido. Discovery Metals may exercise the option to acquires 100% interest of the Puerto Rico property by making a cash payment of US$300K by monthly installments of US$20K, commencing 30 calendar days after receiving  the drill permit, issuance of 500K common shares on each anniversary of the closing date of the transaction,   and the issuance of additional common shares equivalent to the greater of 20% of the market value of the project as determined by an independent valuation or 18M common shares, taking into account  common shares already issued to the property owners. In order to exercise the option, the company is required to complete 12,000mof drilling within 3 years after it receives the drill permit.
  • First Mining Gold Corp., announced the appointment of its new COO (san Ricardo property, Sonora).
  • Galore Resources Inc., reported the passing of one of its Directors (Dos santos project, Zacatecas).
  • Newmont Goldcorp Corporation, declared quarterly dividend of $0.14 per share of common stock, payable on June 20, 2019 to holders of record at the close of business on June 6, 2019.
  • Minera Alamos Inc., announced the transaction with ePower Metals Inc., to accelerate the development of its Guadalupe de los Reyes property in Sinaloa. Minera Alamos will assign its option rights to acquire the property in exchange for 19.8% of the outstanding ePower common shares and certain other rights related to the development of the Guadalupe de los Reyes property. If ePower fail to complete any of the remaining option payments, all rights to acquire the property will revert to Minera Alamos. Minera Alamos also will be entitled to a right of first refusal in the event ePower should at any time seek to raise financing to develop the property by way of the sale or grant of a royalty or stream. To acquire Minera Alamos’ interest in Los Reyes, the following conditions must be satisfied by ePower: Complete a cash payment of US$1,500,000 to Minera Alamos, to reimburse Minera Alamos for the cost of an option payment the Company will be making to Vista on April 23, 2019, assume Minera Alamos’ remaining option payments of US$3,000,000 in favour of Vista (US$1,500,000 due October 27th, 2019; and US$1,500,000 on the earlier of October 27th, 2021 or a production decision, Issue to Minera Alamos 9,450,000 post-Consolidation (as defined below) ePower Shares and 3,350,000 common share purchase warrants entitling Minera Alamos to acquire further post- consolidation ePower Shares at a price $0.50 per share for a period of twenty-four months, and enter into a governance agreement, providing for, among other things, Minera Alamos receiving the right to appoint one director to the board of ePower for so long as Minera Alamos holds at least 5% of ePower’s outstanding common shares and Minera Alamos receiving the right to participate in future financings.
  • Agnico Eagle Mines Limited, announced election of Directors during its annual general meeting of shareholders (Pinos Altos mine, Chihuahua).
  • Alien Metals Limited, received the notification of major holdings in respect of the conversion of the convertible loan agreement and issue of shares to Gravner Ltd. (Los Campos, Zacatecas).
  • Capstone Mining Corp., announced results from its 2019 annual general meeting of shareholders (Cozamin mine, Zacatecas).

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 above, a chalcedonic quartz breccia in a hot spring system  in Queretaro, Mexico.  Photo by Miguel A Heredia.

Highlights on the Third Week of December, 2018. Mining and Exploration News in Mexico

Upper levels of an epithermal vein system

By Miguel A Heredia

During the 51st week of the year (December 17th to December 23th, 2018), at least 28 press releases were announced by companies working in Mexico, with nine informing on exploration results, eight disclosing deals and corporate issues, six announcing financing rounds, two communicating production results, two exposing government issues and one reporting on advances on their properties. ON MEXICO ISSUES, The Secretariat of Economy decentralized and moved the Undersecretariat of Mining to Chihuahua. The Undersecretary of Mining discarded to harden rules for mining industry. ON EXPLORATION, In Sonora, Aztec Minerals reported the completion of an airborne geophysical survey on its Cervantes project as well as metallurgical testing results; San Marco Resources completed a drilling program on its Chunibas project; Mexus Gold released drill results from its Santa Elena project; Minaurum announced the mobilization of a second drill rig to its Alamo Silver project; Colibri provided a review of its exploration activities during 2018. In Coahuila, Prize released drill results from its Manto Negro project. Almadex provided an exploration update on their Yago and El Chato properties in Nayarit and Puebla respectively. In Veracruz, Azucar Minerals reported drill results from its El Cobre project. ON MINING, Endeavour provided an early review of its El Cubo mine plan in Guanajuato for 2019.  GoGold announced Q4 and full year 2018 production results from its Parral project in Chihuahua.  ON FINANCING, SilverCrest entered in a private placement for gross proceeds of CAD$ 292K (Las Chispas, Sonora). VVC Exploration closed a non-brokered private placement for an aggregate of CAD$ 2,212,510 or approximately US$ 1.7M, (Samalayuca, Chihuahua). Alamos Gold announced the purchase of 25,513,043 common shares (Mulatos mine, Sonora).  Minaurum rised the amount of $3,981,937.50 in proceeds from the exercise of warrants (Alamos Silver, Sonora). Candelaria announced a non-brokered private placement for 4.2M (Pinos, Zacatecas).  Impact extended the deadline to complete a non-brokered private placement for gross proceeds of approximately $1.5M (Zacualpan, State of Mexico). Mexican Gold provided an update on the second tranche of a previous announced non- brokered private placement for gross proceeds of up to $3M (Las Minas, Veracruz). Prime Meridian announced that the company will be conducting a non-brokered private placement for gross proceeds of up to $1.5M (Tango Gold, Sinaloa).   ON RESOURCES AND DEVELOPMENT, Minera Alamos provided an update of the 2018 development activities performed at its La Fortuna project in Durango. ON DEALS AND CORPORATE ISSUES, SilverCrest granted stock options to the Company´s directors, officers, employees, and consultants. Almaden appointed financial advisor to assist in arranging financial project for its Ixtaca property in Puebla.  Mammoth entered in an option agreement with Centerra on its Tenoriba project in Chihuahua. Silver Viper acquired La Virginia property in Sonora from Pan American Silver. Aura Minerals announced a consolidation of its common shares (Aranzazu mine, Zacatecas). Santacruz issued 250K of its common shares and made a cash payment to Haywood to amends a financial advisory agreement signed by both companies (Veta Grande mine, Zacatecas). First Mining announced the appointment of its CEO. Harvest Gold granted stock options to certain directors, officers, and consultants.   Prime Meridian concluded an option to purchase 100% interest in the Tango Gold property in Sinaloa.

ON MEXICO ISSUES

  • The Secretariat of Economy decentralized and moved the Undersecretariat of Mining to Chihuahua. Francisco Quiroja, the recently appointed Undersecretary of Mining, inaugurated in Chihuahua city the headquarter of the federal dependence and exposed that is key to promote an active industrial politics that foster the innovation, diversification and inclusion of the Mexican mining and metallurgy sectors. To reach the strategy planned , the Undersecretary of Mining will lean on the General Coordination of Mines, dependence in charge of regulating the sector, on the General Coordination of the Mining Development, to promote the development of the mining sector,  on the Mexican Geological Survey,  to support and push the competitiveness in exploration, on FIFOMI, to increase the financing and structure projects subject to credits, and on the Mining Fund to  make sure the social viability of the different projects and of the validations of the same ones.
  • The Undersecretary of Mining discarded to harden rules for mining industry. The Undersecretary of Mining (Francisco Quiroga) pointed out that the new government doesn’t look for to carry out drastic changes in the sector, canceling concessions or increasing the production royalties paid for mining companies. “The companies have rights and none right will be harmed, neither that of the communities neither that of the companies”.  Francisco Quiroga affirmed that, for the time being, his efforts are centered in simplifying steps, to promote new projects and to impel the exploration in the sector. He also is analyzing changes to the formula of distribution of the Mining Fund.

ON EXPLORATION

  • Aztec Minerals Corp., announced the completion of a helicopter-based airborne magnetic, radiometric , and VLF survey covering the entire 3,694 hectares with 100m spaced lines of its Cervantes project in Sonora. “Preliminary results show an extensive magnetic high under the California target extending and broadening towards the north. Other targets such as Purisima and Jacobo have either low to very high magnetic response respectively, suggesting that there is more than one phase of porphyry intrusions on the property. A large and interesting northwest-southeast oriented magnetic high was detected on the northwest side of the survey and corresponds to a newly identified area of extensive gossan oxide and pyrrhotite-pyrite- chalcopyrite-arsenopyrite mineralization in hornfels and sediments intruded by feldspar-quartz porphyry dykes. The pyrrhotite indicates a reduced copper-gold system and likely contributes to the magnetic high”. Aztec also reported high gold recoveries by cyanide leach analysis of 5 drill holes. Gold recoveries include 87% Au and 45% Ag over 98m in hole 18CER007, 84% Au and 54% Ag over 106m in hole 18CER006, and 84% Au and 49% Ag over 93.5m in hole 18CER003.
  • San Marco Resources Inc., completed a drilling program funded by Antofagasta plc, on its Chunibas project in Sonora. 1,640m of core in seven holes were drilled to confirm down-dip and along strike alteration and mineralization observed on surface along a 1.2km long NW-SE mineralized corridor and a 400m long NE-SW perpendicular mineralized corridor. San Marco reported that all holes intersected several intervals with visible fine grained disseminations and cavity fillings of bornite, chalcocite, and traces of chalcopyrite. Assays results are pending and will be released once the company makes its analysis and interpretation.
  • Mexus Gold US, released results of two holes drilled at the Julio area within its Santa Elena project in Sonora. Holes 4 and 5 averaged 0.8 g/t Au over 3 m and 2 m intercepts with a 1 m section of 1.4 g/t Au. Assay results are pending from holes 6 to 9 to complete the evaluation of the initial drill program on this target area.
  • Minaurum Gold Inc., announced the mobilization of a second drill rig to its Alamos Silver project in Sonora to accelerate the testing of new veins identified recently. Minaurum also announced rock sampling results and the discovery of the 1.2km long monzonite-hosted Salvia vein zone. Highlights of the rock sampling include 1m of 1,150 g/t Ag, 2m of 1.03% Cu, 1.2m of 3,240 g/t Ag, and 1.50m of 747 g/t Ag.
  • Colibri Resources Corporation, provided a review of its exploration activities during 2018 of its projects in Sonora. Colibri drilled 2,900m in 27 holes at its El Pilar project, extending the length of the known mineralized gold deposit 52% and confirmed many of the historical drill results from the previous operator. Drilling highlights of the 2018 program are 9m of 8.2 g/t Au, including 1.5m of 33.4 g/t Au; 28.5m of 0.57 g/t Au, including 3m of 4.24 g/t Au; 40.5m of 0.73 g/t Au, including 3m of 5.37 g/t Au; and 61.5m of 0.75 g/t Au, including 1.5m of 17.3 g/t Au. El Pilar and Evelyn projects have been reviewed by several companies for potential JV opportunities, however none agreement has been made at this time. The company also added two gold exploration projects named El Mesquite and Jackie by the purchase of Yaque Minerals, a private exploration company. El Mesquite contains a 600m long by 300m wide mineralized zone with values up to 3.41 g/t Au. Geophysical surveys have identified resistivity and chargeability anomalies with merits to be drill tested. Jackie is a grass root gold exploration project. An exploration campaign is expected to be carried out in 2019, which will consists of mapping, stream sediment sampling, chip sampling, and possibly a soil sample grid.
  • Prize Mining Corporation, released drill results from the Pilar Grande target within its Manto Negro project in Coahuila. Significant intersections are in hole DDHDI-18-05 with 2.5m of 0.72% Cu and 46 g/t Ag, including 0.55m of 1.43% Cu and 126 g/t Ag, and 0.45m of 1.74% Cu and 87 g/t Ag; hole DDHDI18-05 with 2.15m of 0.79% Cu and 37 g/t Ag, and 2.90m of 0.72% Cu and 24 g/t Ag.
  • Almadex Minerals Ltd., initiated a small “proof of concept” drill program at Gallo de Oro target within its Yago project in Nayarit where banded epithermal veins crop out at surface. At El Chato project in Puebla, Almadex has identified drill targets based on a defined IP chargeability anomaly beneath a zone of intense alteration interpreted to correspond with the upper portion of a buried porphyry system. Almadex geologists believe the El Chato has the same geological setting to that of Azucar Minerals Ltd´s El Cobre Cu-Au porphyry project in Veracruz.
  • Azucar Minerals Ltd., announced drill results from the North Zone within its El Cobre project on Veracruz. Highlights drill results at the North Zone include hole EC-18-053 with 231.50m of 0.45 g/t Au and 0.17% Cu, including 132m of 0.68 g/t Au and 0.24% Cu, and 70.20m of 1.07 g/t Au and 0.35% Cu, and 33.20m of 1.54 g/t Au and 0.49% Cu; hole EC-18-055 with 245.50m of 0.39 g/t Au and 0.17% Cu, including 148.50m of 0.54 g/t Au and 0.22% Cu, and 59.05m of 0.87 g/t Au and 0.32% Cu, and 33.30m of 1.10 g/t Au and 0.39% Cu; and hole EC-18-058 with 248.90m of 0.39 g/t Au and 0.19% Cu, including 74.50m of 0.67 g/t Au and 0.33% Cu, and 21.90m of 1.22 g/t Au and 0.55% Cu. Based on the drill results, the geologists have interpreted that “the mineralization appears to trend in NE-SW direction, that a late-mineral and barren to weakly mineralized intrusive occurs in the middle of the North Zone but tops out about 400m below the current surface, and that the mineralization remains open to depth, on either side of the late intrusion, and along strike to the northeast”.

ON MINING

  • Endeavour Silver Corp., provided an early review of its El Cubo mine plan in Guanajuato for 2019. The company plans to reduce the production rate in 2019 to approximately half its 1,500 tonnes per day, while continuing exploring for new reserves to extend the mine life. Endeavour has initiated layoffs of approximately 240 employees.
  • GoGold Resources Inc., produced 774.6K Oz Ag and 6,655 Oz Au (1.3M OZ Ag Eq) from its Parral mine in Chihuahua during the full year 2018. GoGold also reported the production of 241K Oz Ag Eq in Q4, 2018.

ON FINANCING

  • SilverCrest Metals Inc., entered in a private placement for gross proceeds of CAD$292K (Las Chispas, Sonora).
  • VVC Exploration Corporation, closed an equity non-brokered private placement financing for an aggregate of CAD$ 2,212,510 (approximately US$ 1.7M). Gross proceeds will be used in exploration work and maintenance fees on their Mexican properties (Samalayuca, Chihuahua, La Tuna, Sinaloa, and Cumeral in Sonora).
  • Alamos Gold Inc., announced its intention to make a normal course bid to purchase over the next twelve months,(beginning December 24, 2018 and ending December 23, 2019), up to 25,513,043 common shares (Mulatos mine, Sonora).
  • Aura Minerals Inc., announced a consolidation of its common shares on the basis of a new share for ten old shares.
  • Santacruz Silver Mining Ltd., issued 250K of its common shares and made a cash payment of $1,063 to Haywood Securities Inc., to amends a financial advisory agreement between the two companies.
  • Minaurum Gold Inc., raised $3,981,937.50 in proceeds from the exercise of warrants bringing its consolidated cash balance to approximately $10M. Gross proceeds will be used at its Alamos Silver project in Sonora.
  • Candelaria Mining Corp., announced a non-brokered private placement for aggregate gross proceeds of up to $4.2M. Gross proceeds will be used for the construction of the Pinos project according to the PEA described in a previous press release.
  • Impact Silver Corp., extended the deadline until January 18, 2019 to complete a non-brokered private placement of approximately $1.5M (Zacualpan, Estate of Mexico)
  • Mexican Gold Corp., provided an update on the second tranche of a previously announced non-brokered private placement for gross proceeds of up to $3M, subject to increase the size of the private placement by 25%. Mexican Gold expects to close the second tranche in the first weeks of January 2019. Net proceeds will be used to continue the exploration of its Las Minas project in Veracruz.
  • Prime Meridian Resources Corp., announced that the company will be conducting a non-brokered private placement for gross proceeds of up to $1.5M (Tango Gold, Sinaloa).

ON RESOURCES AND DEVELOPMENT

  • Minera Alamos Inc., provided an update of the 2018 development activities carried out at its La Fortuna project in Durango. “La Fortuna now has key permitting and technical milestones in place. This provides a path to a commercial production decision in the second half of 2019″. Highlights of the 2018 project development were the completion of a PEA demonstrating robust project economics including an after tax internal return of 93%, and a AISC of $400 per ounce produced; the positive response from SEMARNAT approving the change of land use to construct mining and processing facilities; the completion of the geotechnical studies and design of the dry-stack tailings containment facilities for the project; and the identification of a new area called La Pista, located approximately 1.3km SW of the main zone of La Fortuna resources, which contains significant near surface disseminated Au-Ag mineralization amenable to heap leaching and showing intervals of up to 50m in width. This new zone has returned assays up to 8 g/t Au and 30 g/t Ag over a mineralized area of approximately 500m by 300m. Production highlights included in the PEA study are an average annual contained-metal production of approximately 50K Oz Au Eq (43K Oz Au, 220K Oz Ag, and 2.2M Lb Cu),  a 5-year mine life based on initial resource starter pit with 2M tonnes of 3.68 g/t Au, 20 g/t Ag, and 0.27% Cu, processed at 1,100 tonnes per day average processing rate, and 215K Oz Au, 1.1M Oz Ag, and 11.2M Lb Cu produced in concentates.

ON DEALS AND CORPORATE ISSUES

  • SilverCrest Metals Inc., granted stock options to the Company´s directors, officers, employees, and consultants.
  • Almaden Minerals Ltd., appointed Auramet International, LLC as financial advisor to assist in arranging financial project for its Ixtaca property in Puebla.
  • Mammoth Resources Corp., entered in an option agreement with Centerra Gold Inc., on its Tenoriba project in Chihuahua. Centerra can earn up to 70% of interest by spending US$ 9M over a seven years period. Details of the deal is upon Centerra has invested US$ 4M, it will earn a 51% interest in the property and could decide to earn an extra 19% by incurring additional expenditures on the property for US$ 4M and completing a PEA which identifies a mineral resource which is compliant with NI 43-101 and making a cash payment or issuing common shares for the amount of US$ 0.55M to Mammoth.
  • Silver Viper Minerals Corp., acquired three large mineral concessions totaling 35,598 hectares that comprise part of the La Virginia Au-Ag property in Sonora from Pan American Silver Corp. Under the deal, Pan American is entitled to a 2% NSR over the entire project. The agreement also provides Pan American with a right of first refusal on the optioned properties if Silver Viper does not exercise its option and a right of first offer over the entire consolidated property.
  • First Mining Gold Corp., announced the appointment of its Chief Executive Officer (San Ricardo, Sonora).
  • Harvest Gold Corporation, granted stock options for a period of 5 years to certain directors, officers, and consultants.
  • Prime Meridian Resource Corp., concluded a binding term sheet to acquire 100% interest in the Tango Gold property in Sinaloa by making US$ 5M in total purchase payments, and holding costs payments within five years of the execution of the formal agreement as follow: Year 1: US$195K, Year 2: US$ 245K, Year 3; 305K, Year 4: 365K, and Year 5: 425K. Prime has the option of making the final purchase payment (US$ 5M less total purchase payments made to date) at the end of the 1st, 2nd, 3rd, 4th or 5th year of the term of the purchase option, and the final purchase payment will be paid in cash (50%) and common shares (50%). Tango Gold consists of 3,954 hectares over four contiguous mineral concessions.

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 above, upper levels of an epithermal vein system in a prospect in Zacatecas, Mexico.  Photo by Miguel A Heredia.