TORONTO, Ontario, November 21, 2019 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX: TXG) announces results from the 2019 drill program at the Sub-Sill deposit, at the Company’s El Limón Guajes complex in Mexico. The 2019 program successfully extended known mineralization 300 metres below existing reserves. Highlights from the latest round of drill results include 35.1 g/t Au over 6.1 metres in SST-156, 21.6 g/t Au over 3.5 metres in SST-135, 19.5 g/t Au over 5.9 metres in SST‑139, 15.7 g/t Au over 5.2 metres in SST-132, and 13.8 g/t Au over 12.8 metres in LDGU-047. Mineralization at Sub-Sill remains open at depth and along strike.
By Jorge Cirett
During the 46th week of the year (November 11th to November 17th, 2019), at least 23 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, mining investments in Mexico decreased from 8 billion dollars in 2018 to 5 billion dollars in 2019. Camimex held a fiscal seminar in Queretaro. Almaden Minerals published a letter on indigenous population around the Ixtaca project in Puebla. Promperú organized in Hermosillo, Sonora, a Commercial Mission of suppliers to mining in Peru. The top ten silver miners in Mexico produced 39.8 M Oz in the third quarter 2019. The mining industry in Mexico has been subject in the past few years of regulatory hurdles that are having a negative effect in investment in the sector, the last one being the decision by SEMARNAT not to authorize the MIA on the Ixtaca project in Puebla until there is a resolution on a legal suit on a piece of land no longer held by the company running the project. ON EXPLORATION, in Sonora, Evrim updated on exploration of the El Llanito del Nogal property; Magna Gold reported assay results from four more holes at Mercedes. In Sinaloa, Vizsla Resources released high-grade results from rock channel sampling at Panuco. ON MINING, Premier Gold, Golden Minerals, Starcore International, Americas Gold and Silver, Sierra Metals, Odyssey Marine Exploration and Fortuna Silver presented third quarter 2019 results. Consolidated Zinc and Industrias Peñoles signed an offtake agreement on zinc concentrate. ON FINANCING, Tamino Minerals informed on trading volumes. Mexican Gold received TSX approval for the listing of 50 M warrants from a previous financing. Colibri Resources entered into a loan agreement with Agnico Eagle for $300 K. ON RESOURCES AND DEVELOPMENT, Defiance Silver is to start a two-phase technical program at San Acacio, Zacatecas. Endeavour Silver reported positive drill results on recently acquired El Curso concession within its Guanaceví property. Peñoles is to invest $70 M at its processing facilities in Torreon. SilverCrest released high-grade results from drilling at the Babi Vista vein at Las Chispas, in Sonora. Bacanora Lithium updated on project development on its Sonora project. ON DEALS AND CORPORATE ISSUES, Evrim signed an agreement with San Marco Resources to acquire the Suanse property in Sonora. Colibri Resources extended an agreement with Agnico Eagle on the disposal of Colibri’s share on the Pitaya project in Sonora. ON SOCIAL RESPONSIBILITY. Peñoles is conducting courses for children and adults at its Torreon community center. Ternium is organizing health festivals in Nuevo Leon, Coahuila, Jalisco, Michoacan, Puebla and San Luis Potosi. Argonaut sponsored the third edition of the La Colorada race, within the pit benches at the mine in Sonora. The “Doctor Vagón” itinerant health clinic sponsored by Grupo Mexico provided service to 550 persons in Gomez Palacio, Durango. La Brisa mining company provided cleaning equipment to the Topia community in Durango. Peñoles mining units source 35% of its energy requirements by removable sources, and expects to reach 100% by 2028.
ON MEXICO ISSUES
- During 2019 investments in the mining sector are to reach five billion (5 mil millones) dollars, according to Francisco Quiroga, Subsecretary of Mining. That’s a decrease from the eight billion (8 mil millones) invested in 2018.
- Camimex organized the Seminario Fiscal de la Industria Minera in Queretaro. Camimex compromise is complete on its involvement on the “mesa de diálogo” (dialogue meetings) with the federal government, where proposals to incentivize investment are to be exposed, checking on subjects like the fiscal situation, regulatory environment and security. The head of Camimex, Karen Flores, explained that on the Fraser Institute study Mexico is number 71 of 83 jurisdictions on the fiscal regime. Camimex is for the 100 percent deduction of exploration expenses, and the establishment of pacts of fiscal stability on a 15 to 20 year time frame, as is Peru, Chile and Argentina. In a comparative study, Mexico has the heaviest fiscal load among peers like the US (Arizona), Canada (Ontario), Peru and Chile.
- Minera Gorrión (Almaden) published a letter on indigenous population around the Ixtaca project in Puebla. Although indigenous persons inhabit the area, there is not such an indigenous community within the area of influence of the project. The company stresses the misinformation produced by some activists groups with total impunity, and reaffirms its confidence on institutions and the rule of law.
- Promperú organized in Hermosillo, Sonora, its II Commercial Mission of Suppliers to Mining in Peru. Several conferences were presented by members of the mining communities and governments of both countries.
- The top 10 silver mining companies in Mexico had a solid third quarter. During the period these companies produced 39.8 M Oz, compared with 39.0 M Oz produced on the same quarter a year ago. The top producer is Industrias Peñoles, with 15.3 M Oz almost 40% of that amount and 2.2 M Oz less than the same quarter 2018 (Fresnillo, Saucito, San julian, Sabinas). Newmont was the second largest producer with 7.4 M Oz produced at Peñasquito. Other large producers comprise Southern Copper with 3.9 M Oz (undisclosed units), Pan American with 3.6 M Oz (La Colorada), First Majestic (Santa Elena, San Dimas, among others), Coeur Mining with 1.7 M Oz (Palmarejo), Fortuna Silver with 1.7 M Oz Ag (San José), Minera Frisco 1.1 M Oz (El Coronel, San Felipe, Tayahua, San Francisco del Oro, Concheño and Ocampo), Endeavour Silver 900 K Oz (El Cubo, Bolañitos, Guanceví, and El Compás) and Agnico Eagle 800 K Oz (Pinos Altos).
- Alberto Aguilar, a respected columnist in business circles, elaborated on the hurdles the mining industry is going through with the current federal administration (it fell 3.7% on the third quarter, 2019). Among the issues mentioned is the contraction in mineral production as a result of the imposition of new taxes on mining in 2014, the investment of only 5 billion dollars in 2019 (8 billion in 2018), no concessions have been granted in 2019 and the recurrent illegal blockades without sign of easing. The latest hurdle thrown at the industry is the resolution by SEMARNAT (the Mexican environmental agency) that the Manifestation on Environmental Impact (MIA) for the Ixtaca project in Puebla was not to be granted until a legal suit on a claim no longer held by Minera Gorrion (Almaden Minerals) reaches a resolution. Exploration expenses so far have been $40 M dollars and another $117 M are still to be spent, along with $1.1 B (One billion) to be invested in eleven years (GPM Note.- The head of SEMARNAT, Victor Toledo, is known for its public and vocal anti-mining stance).
- Vizsla Resources Corp. released high-grade channel sampling at its Panuco property in Sinaloa. The sampling locations are widespread within the property and the highlighted results comprise: 0.9 m @ 1,860 gpt Ag, 14.55 gpt Au at the Napoleon vein; 0.5 m @ 1,900 gpt Ag, 29.30 gpt Au at the San Antonio-Cordon de Oro vein; 3.6 m @ 691 gpt Ag, 7.00 gpt Au at the San Carlos-Animas vein; 5.95 m @ 584 gpt Ag, 3.97 gpt Au. Veins in the project have lengths of up to 2.8 km, with known ore shoots of up to 500 m in length.
- Evrim Resources Corp. updated the description on its El Llanito del Nogal property in Sonora. The Suanse porphyry target, is a 1 Km by 600 m area of propylitic to potassic alteration. Soil sampling outlined a 600 m by 500 m Cu anomaly (>100 ppm) in areas of sheeted quartz-chalcopyrite-chlorite-magnetite veins. A ground magnetic survey outlined a donut-shaped anomaly 400 m in diameter and roughly coincident with the soil anomaly. The soil and magnetic anomalies extend northward onto the Suanse claim (see deals section below) where strong argillic, advanced argillic along with vuggy and massive quartz alteration are interpreted as a partially eroded lithocap.
- Magna Gold Corp. reported assay results on the last four RC holes drilled at the La Lamosa target on its Mercedes project in Sonora. Highlighted intervals comprise: 38.10 m @ 0.67 gpt Au, 13.2 gpt Ag (including 6.10 m @ 1.43 gpt Au, 42.9 gpt Ag); 28.96 m @ 0.76 gpt Au, 8.9 gpt Ag (including 7.62 m @ 1.06 gpt Au, 9.3 gpt Ag); 21.34 m @ 1.61 gpt Au, 2.2 gpt Ag (including 3.05 m @ 6.99 gpt Au, 3.9 gpt Ag); 21.34 m @ 1.21 gpt Au, 11.8 gpt Ag (including 3.05 m @ 4.26 gpt Au). Other targets to follow up include the 600 m long La Lamosa East projection, the Mina de Oro 300 m by 150 m silicified/argillized andesite and rhyodacite, the Salto Colorado breccia 400 m by 150 m in size and Noche Buena, forming a prominent ridge in a 900 m by 800 m area with tourmaline breccias.
- Premier Gold Mines Ltd. Reported operating results for the third quarter 2019, including figures from its operations in Mexico. At Mercedes, in Sonora, 159.4 K tonnes were milled @ 2.94 gpt Au, 22.6 gpt Ag, recovering 95.9% Au, 32.3% Ag to produce 14,481 Oz Au, 37.5 K Oz Ag at co-product cash cost $1,095 per Oz Au, and co-product AISC $1,354 Oz Au.
- Golden Minerals Co. announced financial results for the third quarter 2019. The company had revenue of US$1.9 M and a net operating margin of $1.3 M related to the lease of the Velardeña oxide plant to Hecla Mining Co.. By the end of the period the company had cash and cash equivalents of $2.9 M. During October an agreement was achieved with Magellan Gold Corp. to option a 100% interest in the Santa Maria and Las Marias exploration properties in Chihuahua.
- Consolidated Zinc Ltd. signed and offtake agreement with Industrias Peñoles S.A. de C.V. for zinc concentrate produced from the Plomosas mine to December 2020, with an option to be extended for a further two years.
- Starcore International Mines Ltd. released production results from its San Martin mine in Queretaro for the three months ended on October 31, 2019. During the period 54.1 K tonnes were milled @ 1.78 gpt Au, 34.2 gpt Ag, with a recovery of 87.35% Au, 52.27% Ag to produce 3,050 Oz AuEq.
- Americas Gold and Silver Corp. reported consolidated and operational results for Q3 2019, with undisclosed figures from its Mexican operations (Cosalá, Sinaloa).
- Sierra Metals Inc. reported third quarter 2019 results, including information from its Mexican operations. The company is approaching is production target of 4,250 tpd at Bolivar and 1,200 tpd at Cusi, both in Chihuahua. Bolivar’s cash cost per CuEq Lb was $1.40, and the AISC $2.53. Cusi’s cash cost was $18.77 and AISC $24.60. During the period 9,923 m were drilled from the surface at Bolivar, and 3,220 m within the Cusi mine. At the end of the period cash and cash equivalents were $40.1 M, with a net debt of $50.9 M.
- Odyssey Marine Exploration Inc. reported results for the third quarter 2019. Net loss for the period was $4.2 M due to several non-recurring items (Exploraciones Oceánicas project, Baja California Sur).
- Fortuna Silver Mines Inc. reported third quarter results for 2019, including figures from its Mexican operations. At San José, in Oaxaca, 268 K tonnes were milled at a rate of 3,046 tpd and a grade of 219 gpt Ag, 1.40 gpt Au, recovering 91% Ag, 91% Au to produce 1.7 M Oz Ag and 10,942 Oz Au at cash cost $7.70 per Oz AgEq and an AISC of $10.80 per Oz AgEq.
- Tamino Minerals Inc. informed that during the third week of September the company traded 145 M shares with a volume of US $1.1 M and a price per share appreciation of US$0.01” (El Volcan, Sonora).
- Mexican Gold Corp. has received TSX Venture Exchange approval for the listing of 50 M warrants from the non-brokered private placement announced in past July.
- Colibri Resource Corp. has entered into a loan agreement with Agnico Eagle Mines Ltd. For proceeds of US$300 K. The loan has a 2 year term at a 10% interest rate and proceeds are to be used on the Evelyin project in Sonora.
ON RESOURCES AND DEVELOPMENT
- Defiance Silver Corp. is to start a two-phase technical program at its San Acacio property in Zacatecas. The program envisages evaluating the San Acacio resource at depth and brownfield targets on the Veta Grande system.
- Endeavour Silver Corp. reported positive initial drill results for El Curso property, adjacent to Endeavour’s Guanaceví mine in Durango. The property includes the Santacruz vein, which is between two Endeavour’s developments. Drilling highlights comprise true width (tw) intervals: 5.2 m @ 0.75 gpt Au, 465 gpt Ag; 2.6 m @ 1.23 gpt Au, 558 gpt Ag; 2.1 m @ 2.51 gpt Au, 935 gpt Ag; 2.5 m @ 0.40 gpt Au, 204 gpt Ag; 5.1 m @ 3.07 gpt Au, 1,182 gpt Ag (including 0.5 m @ 15.22 gpt Au, 5,372 gpt Ag); 4.3 m @ 2.2 gpt Au, 1,021 gpt Ag; 2.7 m @ 1.37 gpt Au, 355 gpt Ag; 6.2 m @ 1.70 gpt Au, 635 gpt Ag.
- Industrias Peñoles S.A.B de C.V. is to invest US$70 M in its Met-Mex installations (in Torreon, Coahuila) to better the silver recovery in zinc concentrates. In 2018, the company commissioned a US$327 M modification on the plant that avoids the generation of additional sulphuric acid by direct concentrate leaching instead of roasting, augmenting the capacity from 240 K to 360 K tonnes of zinc.
- SilverCrest Metals Inc. announced expansion drill results from the Babi Vista vein in the Babicanora area of the Las Chispas project in Sonora. The highlighted true width (tw) intervals from these 17 holes comprise: 2.3 m @ 2.27 gpt Au, 215 gpt Ag; 0.4 m @ 3.55 gpt Au, 385 gpt Ag; 0.9 m @ 4.86 gpt Au, 600 gpt Ag; 0.4 m @ 1.10 gpt Au, 187 gpt Ag; 0.6 m @ 1.09 gpt Au, 92 gpt Ag; 2.0 m @ 1.84 gpt Au, 433 gpt Au, 1.2 m @ 2.56 gpt Au, 296 gpt Ag; 8.8 m @ 7.36 gpt Au, 584 gpt Ag (including 0.3 m @ 120.50 gpt Au, 9,510 gpt Ag; 0.7 m @ 18.15 gpt Au, 1,495 gpt Ag); 6.6 m @ 3.37 gpt Au, 250 gpt Ag (including 0.4 m @ 32.70 gpt Au, 2,940 gpt Ag). So far the high-grade footprint is 150 m along the strike of the vein and 200 m to depth, open in most directions, averaging 2.2 m @ 4.70 gpt Au, 401 gpt Ag.
- Bacanora Lithium plc. updated on project activities at its Sonora Lithium project. Final design work for the mine site, infrastructure, concentrator and kiln sections of the processing plant is in progress. Detailed engineering plans for the design of the front-end concentrator and mechanical processing is underway, as well as the pyrometallurgical engineering, while the hydrometallurgical plant, including the production of the final battery grade lithium product will be engineered by Ganfeng.
ON DEALS AND CORPORATE ISSUES
- Evrim Resources Corp. signed an agreement with San Marco Resources to acquire the Suanse property in Sonora. The 1,115 hectares property is within Evrim’s Llano del Nogal claim. Evrim can acquire 100% interest in the project by making total cash payments of $75 K and granting San Marco a 1% royalty half of which can be repurchased for $1 M. Cash payments are: $25 K on signing, $25 K on signing a JV or partnership with third parties and $25 K upon completion of 1,000 m of drilling.
- Colibri Resource Corp. granted a two-year extension to its agreement with Agnico Eagle Mines Ltd., allowing Agnico to exclusively explore opportunities to dispose of Colibri’s working interest in its JV on the 5,564 hectares Pitaya project in Sonora.
ON SOCIAL RESPONSIBILITY
- The Peñoles Community Center (Centro Comunitario Peñoles) in Torreon, Coahuila, is conducting courses for children and adults, including English, music, drawing, tae kwon do, tae chi and modern dance and dance for weight reduction.
- Ternium organizes the Health Festivals (Ferias de La Salud) in Nuevo Leon, Coahuila, Colima, Jalisco, Michoacan, Puebla and San Luis Potosi, in coordination with several organizations and government institutions. Each year almost 6,000 persons receive this benefit, including cost-free diverse medical examinations (like sight, Papanicolau, mamographies) and flu shots.
- The La Colorada race was held in Sonora for the third time. The race sponsored by Argonaut Gold was attended by hundreds of runners on the benches of La Colorada mine.
- The technical school Roberto Rocca (partly supported by Ternium) is to represent Mexico in the World’s Educative Robotics Tournament, to be held in Shanghai, China.
- The “Doctor Vagón” program sponsored by the Grupo Mexico Foundation (a train adapted for medical services) was four days at Gomez Palacio, Durango, with the aid of the local municipality. During that time 2,200 services were provided to the 550 persons that registered to the effect.
- In Topia, Durango, Minera La Brisa supported the municipality providing cleaning equipment.
- Industrias Mineras Peñoles announced that to 2018 up to 35% of the energy requirements at its mining units is fulfilled by renewable energy sources. The company is striving to reach at least a 50% in 2020 and to be completely reliant on renewable energy sources by 2028.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the image below: Gold recovered by artisanal methods from orogenic style quartz veins in Oaxaca.. Picture by Jorge Cirett.
Vancouver, British Columbia – Capstone Mining Corp. (“Capstone”) (TSX: CS) announces high grade copper and silver results from 103 infill and step-out drill holes at its Cozamin Mine, as well as an expansion to the exploration program into 2020. The results represent half of the 200 hole program, which aims to more than double the current reserve base. Results to date support the Company’s recently disclosed increase to Cozamin’s annual production guidance to 50 to 55 million pounds of copper and 1.4 to 1.5 million ounces of silver starting in early 2021. Mineral Resources and Mineral Reserves estimates will be updated in late 2020.
TORONTO, Ontario, November 5, 2019 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX: TXG) announces results from the 2019 drill program at the El Limón Deep (ELD) deposit, at the Company’s El Limón Guajes complex in Mexico. The 2019 program has been successful in extending mineralization 150 metres down-dip from current reserves as well as along strike to the south. Highlights from the latest round of drill results include 15.6 g/t Au over 38.0 metres in LDUG-039, 28.5 g/t Au over 5.8 metres in drill-hole LDUG-049, 20.9 g/t Au over 12.0 metres in LDUG-056, and 15.7 g/t Au over 16.8 metres in LDUG-036. Mineralization at ELD remains open in multiple directions.
By Jorge Cirett
During the 44th week of the year (October 28th to November 3rd, 2019), at least 33 press releases were forwarde by companies working in Mexico. ON MEXICO ISSUES, The Morena party reassigned the Mining Fund, taking it away from its intended purpose of helping and developing mining communities. All big organizations related to mining in Mexico presented a petition to the president to rebuke the channelling of the Mining Fund away from its intended goal of helping mining communities. The governors of Sonora, Durango, Zacatecas and Guerrero sent a letter to the president of Mexico asking not to affect the communities by withdrawing the Mining Fund. On other matters, the AIMMGM informed mining companies expect to invest more than US$26 billion in six years. The illegal blockade on the Peñasquito mine in Zacatecas was lifted, with negotiations to continue shortly. The El Castillo mine access in Durango was illegally blocked for a few days, and then released, while negotiations proceed with community involved. ON EXPLORATION, in Sonora, Magna Gold informed it has two projects in the state, Mercedes near Yecora and San Judas, near Trincheras. In Chihuahua, Wealth Minerals negotiated surface access to its Valsequillo project. In Durango, Gainey Capital halted drilling activities while discussions with the local indigenous groups proceed. ON MINING, Gold Resource, Consolidated Zinc, McEwen Mining, Santacruz Silver, Premier Gold, Torex Gold, Americas Silver and sierra Metals released third quarter 2019 production results. Telson Mining is to re-commence mining at Campo Morado in Guerrero. ON FINANCING, Goldplay Exploration filed an amended and restated condensed interim consolidated financial statement. Oroco Resource informed the exercising of warrants for $720 K. Starcore Interantional has resumed trading on the OTC Pink market. ON RESOURCES AND DEVELOPMENT, Pan American Silver released impressive results from 14,300 m of drilling at its La Colorada mine in Zacatecas. Mexican Gold Corp updated on its current drilling program at Las Minas, Veracruz. ON DEALS AND CORPORATE ISSUES, Telson Mining is to re-start mining at Campo Morado, in Guerrero, under a notice of default and demand for payment by Nyrstar. Prime Mining signed a public relations contract with Brisco Capital Partners. Oceanus is using now a service for virtual tours on remote locations. Santacruz and Peñoles extended a lease agreement on the Zimapan mine in Hidalgo. Almaden Minerals was informed by SEMARNAT that the permitting process for its Ixtaca mine in Puebla is suspended until a judicial resolution is reached (the head of the institution is openly against open pit mining). ON SOCIAL RESPONSIBILITY. Alamos Gold reunited all the students under its scholarship program in three venues, Matarachi, Sahuaripa and Hermosillo.
ON MEXICO ISSUES
- Last week the Morena party majority reassigned the Mining Fund (Fondo para el Desarrollo Regional Sustentable de Estados y Municipios Mineros) to education spending. The fund is gathered on a 7% (increased to 7.5% in gold and silver) royalties on extracted minerals implemented in 2014 to aid with the infrastructure, health, education and sustainability of mining communities.
- The Asociación de Ingenieros de Minas, Metalurgistas y Geólogos de México (AIMMGM) informed that mining companies expect to invest more than US$26 billion in six years. If such investments come to be realized, 50 thousand direct jobs and 274 thousand indirect jobs could be generated, and mining companies would pay an additional 23,500 million in taxes. Just last year the industry paid 46,159 million pesos on income tax (Impuesto sobre la renta, ISR).
- On October 26th, the Zacatecas governor Alejandro Tello informed that security forces are inviting the group that (illegally) blocks the entrance to the Peñasquito mine to leave the site. The governor also informed that a number of the blockers might be pursued judicially, some by the state and some by the federal government. He stated that he’s is been in contact with the sub secretary of the interior (Subsecretario de Gobernación), with whom also the company executives, communal farmers (ejidatarios) and the state government have been in dialogue rounds.
- The Cámara Minera de México (CAMIMEX), the Grupo de Minería de la Cámara de Comercio de Canadá, the Asociación de Ingenieros de Minas, Metalurgistas y Geológos de México, the organization in mining Mujeres WIM de México and the Colegio de Ingenieros de Minas, Metalurgistas y Geólogos de México received with great worry de Senate decision to approve an unjust redistribution of the Mining Fund (Fondo Minero), braking the spirit on which the fund was created to benefit mining communities. The priority for the sector is that the resources reach the communities and municipalities where they were generated, contributing with independent actions by mining companies to the social welfare and community development in areas away from urban centers, aiding to reach greater life quality, development and wellbeing. Miners are appalled by the Congress decision, same that dismissed petitions by state governors, municipality presidents, from the industry and mining communities to guarantee the return of funds to these localities. A strong and respectful call is made to the authorities to reconsider the distribution methodology for the resources and operational rules of the fund, where it should be clearly established that these funds are to be funnelled exclusively to mining communities, municipalities and states. The mining industry refresh its compromise to continue to be an agent of change, a block that forwards sustainability practices and is and active player that contributes to a greater well-being for thousands of miner families and millions of Mexicans. We consider ourselves as the best federal government ally to achieve the more valuable social objectives sought by new government project. The Camara Minera de Mexico is the first camera of industries formed in the country, representing the interests of the mining-metallurgical industry in the country.
- Argonaut Gold Inc. informed on an illegal blockade at its El Castillo mine in Durango. The Company has a legal and binding agreement in place with Atotonilco ejido that was signed and recognized by both the Atotonilco ejido and the Mexican government in 2012 and runs through 2022. The blockade lifting was announced on October 30, with an agreement with the ejido pending to be ratified on November 11.
- Newmont Goldcorp confirmed that free access to its Peñasquito installations in Zacatecas is complete as of last Sunday (Oct. 27). Access to the mine had been blocked by a small group of communal agriculture workers (ejidatarios) and truckdrivers. The company is to restart the social investment programmes in the next few days, and expects to initiate on November 19 the new program “Juntos Dejamos Legado”, which aims to support schools and sport activities in 25 nearby communities. The ending of the blockade was achieved with government executives having dialog with the blockers, with the presence of the national guard (Guardia Nacional) and the state police (Policía Estatal Preventiva), stressing that further negotiations were to proceed only without the blockade in place.
- The governors of Sonora, Claudia Pavlovich; Zacatecas, Alejandro Tello; Durango, José Rosas, and Guerrero, Héctor Astudillo, sent a letter to the president of México asking not to affect the communities by withdrawing the mining fund.
- Gainey Capital Corp. temporarily halted all drilling activities at its Las Margaritas property in Durango, following discussions with the local indigenous groups (Las Margaritas, Durango).
- Magna Gold Corp. informed it has two projects in Sonora. The flagship 1,239 ha Mercedes project in Yecora, and the recently acquired San Judas project in Trincheras.
- Wealth Minerals Ltd. successfully negotiated surface access rights to its Valsequillo property in Chihuahua. The company has an option to acquire 100% interest in the 2,840 ha property. Past artisanal mining activity concentrated on a number of epithermal, Zn-Pb-Cu-Ag veins, stockworks and silicified zones concentrated within two NW trending corridors. Rock sample results of up to 2.68 gpt Au, 629 gpt Ag, 9.5% Cu, 16.5% Pb, 6.4% Zn have been obtained.
- Telson Mining Corp. announced the recommence of mining operations at its Campo Morado mine in Guerrero. This is the result of improved relations with the local community and a better zinc price. The company anticipates initiating full mining activities and processing operations near the beginning of December 2019.
- Argonaut Gold Inc. informed on an illegal blockade at its El Castillo mine in Durango. The Company has a legal and binding agreement in place with Atotonilco ejido that was signed and recognized by both the Atotonilco ejido and the Mexican government in 2012 and runs through 2022.
- Gold Resource Corp. reported gold production for the third quarter of 2019, including figures from its Oaxaca Mining Unit. The Arista mine milled 163.3 K tonnes @ 1.76 gpt Au, 85 gpt Ag, 0.39% Cu, 1.9% Pb, 4.7% Zn; the Aguila open pit mine milled 3.6 K tonnes @ 1.49 gpt Au, 58 gpt Ag; the Mirador mine milled 11.7 K tonnes @ 0.76 gpt Au, 197 gpt Ag. In total, 178.6 K tonnes were milled at a rate of 2,007 tonnes per day, to produce 7,462 Oz Au, 473.8 K Oz Ag, 492 tonnes Cu, 2,459 tonnes Pb, 6,057 tonnes Zn. Total cash cost after by-product credits was $197 per AuEq ounce and total all-in sustaining cost was $520 per AuEq ounce for the period.
- Consolidated Zinc Ltd. released its third quarter 2019 activities report. The acquisition of the Plomosas mine in Chihuahua was completed, getting the remaining 10% ownership in exchange for a 1% NSR royalty. During the quarter 7,511 tonnes were mined @ 13.5% Zn, 8.2% Pb, and 9,120 tonnes were processed @ 12.5% Zn, 7.9% Pb.
- McEwen Mining Inc. presented its third quarter 2019 report, including activities at its El Gallo mine in Mexico. During the third quarter the mine produced 3,057 Oz AuEq from residual leaching, at cash cost $1,153 and $1,177 AISC per Oz AuEq. Work on the Fenix Project feasibility study and permitting is progressing.
- Pan American Silver Corp. released results from 14,300 m of drilling during the third quarter 2019 on its La Colorada mine in Zacatecas (see Resources and Development section) .
- Santacruz Silver Mining Ltd. reported its third quarter 2019 production. Consolidated production was 956.5 K Oz AgEq. At Zimapan, in Hidalgo, 82.2 K tonnes were processed @ 75 gpt Ag, 0.59% Pb, 2.28% Zn, 0.48% Cu to produce 151.5 K Oz Ag (75% recovery), 463 tonnes Pb, 1,492 tonnes Zn, 316 tonnes Cu. At Veta Grande, in Zacatecas, 44 K tonnes were processed @ 99 gpt Ag, 0.24 gpt Au, 1.45% Pb, 2.11% Zn to produce 62.4 K Oz Ag (45% recovery), 139 Oz Au, 370 tonnes Pb, 519 tonnes Zn. At Rosario, in San Luis Potosi, 22 K tonnes were processed @ 65 gpt Ag, 0.25 gpt Au, 0.40% Pb, 2.04% Zn to produce 43 K Oz Ag (93% recovery).
- Premier Gold Mines Ltd. announced Q3 2019 production results, including 14,481 Oz Au and 37.5 K Oz Ag from its Mexican operations at Mercedes, in Sonora.
- Torex Gold Resources Inc. reported third quarter 2019 results. At its El Limon-Guajes mine in Guerrero, the company produced 138,145 Oz Au, mine production averaged 144,989 tonnes per day (tpd), mine ore production averaged 15,391 tpd @ 3.19 gpt Au, with a plant throughput of 12,380 tpd @ 4.11 gpt Au, recovering 89% Au at cash cost $561 and AISC of $675.
- Americas Gold and Silver Corp. released third quarter 2019 production results, including figures from its Cosalá operations in Sinaloa. At the site 151.2 K tonnes were milled to produce 128.8 K Oz Ag, 10.1 M Lb Zn, 3.7 M Lb Pb (or 1 M Oz AgEq), at cash cost -$10.82 per Oz Ag, and an AISC of -$1.49 per Oz Ag after sub-product credits.
- Sierra Metals Inc. reported its Q3-2019 financial results, not including figures from its operations in Mexico. The company had $29.0 M of cash and cash equivalents at the end of the period (Bolivar, Chihuahua).
- Goldplay Exploration Ltd. filed an amended and restated condensed interim consolidated financial statement and management discussion and analysis for the six months ended June 30, 2019, adding the following disclosure “in Note 11 – Related Party Transactions; The Company issued 480,000 common shares valued at $60,000 as debt settlement with officers and a director of the Company and in Note 12 – Share Capital and Reserves; the Company issued 600,000 common shares valued at $75,000 as debt settlement including $60,000 to related parties” (San Marcial, Sinaloa).
- Oroco Resource Corp. informed that warrant holders from a unit offering completed on April 2018 have fully exercised the purchase warrants providing the company $720 K (Santo Tomás, Sinaloa).
- Starcore International Mines Ltd. announced it has resumed trading on the OTC Pink markets in USA under the symbol “SHVLF” (San Martin, Queretaro).
ON RESOURCES AND DEVELOPMENT
- Pan American Silver Corp. released results (impressive) from 14,300 m of drilling during the third quarter on the La Colorada skarn discovery in Zacatecas. Drill highlights comprise 250.9 m @ 40 gpt Ag, 0.08% Cu, 2.6% Pb, 3.4% Zn (including 78.9 m @ 60 gpt Ag, 0.09% Cu, 3.9% Pb, 4.8% Zn); 72.3 m @ 37 gpt Ag, 0.16% Cu, 3.8% Pb, 6.3% Zn and 56.6 m @ 39 gpt Ag, 0.10% Cu, 3.3% Pb, 6.6% Zn; 124.8 m @ 42 gpt Ag, 0.08% Cu, 2.4% Pb, 3.1% Zn; 252.9 m @ 67 gpt Ag, 0.19% Cu, 3.8% Pb, 6.6% Zn (including 27.3 m @ 108 gpt Ag, 0.20% Cu, 8.1% Pb, 13.7% Zn and 148.6 m @ 81 gpt Ag, 0.23% Cu, 4.4% Pb, 7.7% Zn); 132.5 m @ 56 gpt Ag, 0.19% Cu, 3.8% Pb, 6.3% Zn and 139.2 m @ 54 gpt Ag, 0.15% Cu, 1.8% Pb, 5.9% Zn; 379.0 m @ 54 gpt Ag, 0.50% Cu, 2.0% Pb, 3.7% Zn (including 66.7 m @ 154 gpt Ag, 2.07% Cu, 1.0% Pb, 1.6% Zn).
- Mexican Gold Corp. updated on its current drill program at its Las Minas project in Veracruz. To date 655 m have been drilled on five holes, with three holes testing El Dorado zone, another 261 m hole tested an electromagnetic anomaly, while the hole currently being drilled is also testing a 350 m extension of the same anomaly.
ON DEALS AND CORPORATE ISSUES
- Telson Mining Corp. informed that as a result of suspending operations at Campo Morado in August 2019 under force majeur conditions, Telson has been without cash flows resulting in non-payment under the loan agreement with Nyrstar Holdings Ltd. This has resulted in Nyrstar issuing a notice of default and demand for payment. Telson’s outstanding debt under this loan agreement including principal and interest is approximately US$6 M. Telson expects to be able to recommence outstanding payments to Nyrstar while exploring other financing alternatives.
- Prime Mining Corp. entered into contractual agreements for marketing, advertising, shareholder engagement and social media communications with Brisco Capital Partners Corp. for a monthly retainer for a minimum of a CDN$10 K and a maximum of CDN$50 K (Guadalupe de Los Reyes, Sinaloa).
- Oceanus Resources Corp. announced that is now live on VRIFY, a platform being used by companies to communicate with investors using virtual tours of remote mining assets, 3D models and interactive presentations (El Tigre, Sonora).
- Santacruz Silver Mining Ltd. and Peñoles, each by mean of a subsidiary, extended the Zimapan mine lease agreement from December 31,2019 to December 31, 2020. Santacruz must make monthly payments to Peñoles based on a 4% NSR, subject to a minimum US$45 K and a maximum of US$60 K per month. The extension provides more time for the negotiation of terms of a potential acquisition of the Zimapan mine in Hidalgo.
- Almaden Minerals Ltd. was notified by SEMARNAT (Mexico’s environmental authority) that the permitting process for the Ixtaca project in Puebla has been suspended pending resolution of a mineral title lawsuit previously reported. “Under the Lawsuit, certain organisations have supported legal challenges against the Government of Mexico and the Mexican mineral title regime using the Company’s mineral claims as a basis for their challenges. The Lawsuit contends that the issuance of Almaden’s original mineral titles violated human rights and did not respect Mexico’s commitment to indigenous consultation under United Nations Instrument ILO 169…… o. In April, 2019, a Lower Court in Puebla State ruled that the Mexican mineral title system is unconstitutional and as a result these original mineral claims should be held exclusively for Almaden until such time as consultation can be completed. This Lower Court decision has now been appealed by the Mexican Congress, Senate, Secretary of Economy and Mining authorities, as well as Almaden as an affected party. The Lawsuit remains before the Courts”. SEMARNAT was informed on October 24 that the company completed the necessary steps to abandon its mineral claims in the area of the complaint in 2017.
- Bacanora Lithium is using Veolia Water Technologies Division with its HPD evaporation and crystallisation technologies to validate Bacanora Lithium’s product purity requirements at the Sonor lithium project, while removing potassium and converting it into a sub-product. Veolia engineered and designed the production process that recovers lithium carbonate and sulphate of potash from clay deposits.
ON SOCIAL RESPONSIBILITY
- Minas de Oro Nacional (Alamos Gold) reunited in Matarachi, Sahuaripa and Hermosillo (Sonora) all the 185 students currently receiving scholarships to study in Matarachi, Sahuaripa, Arivechi, Chihuahua, Cuahutémoc and San Luis Rio Colorado. The ceremony in Hermosillo was held with company and state executives, including the state governor, the Mining Director, the director of DIF, the director of the Sonora Mining Cluster, the director of the Miners Association of Sonora and the SEC sub-secretary of Basic Education.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the image below: Gneiss hosted quartz veinlet from a project in Oaxaca. Picture by Jorge Cirett.
VANCOUVER, Oct. 30, 2019 /CNW/ – Pan American Silver Corp. (NASDAQ: PAAS) (TSX: PAAS) today announced results from 14,300 metres of drilling completed during the third quarter of 2019 on the La Colorada skarn discovery in Mexico. Preliminary metallurgical testing of samples indicates high recoveries across all metals can be expected.
By Jorge Cirett
During the 42nd week of the year (October 14th to October 20th, 2019), at least 29 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, The Congress dominated by Morena approved a bill dramatically changing the rules od operation of the Mining Fund for 2020 . ON EXPLORATION, in Sonora, Magna Gold released drilling results for its Mercedes project, and announced new exploration targets. In Sinaloa, Oroco Resource commenced work at the Santo Tomas project. In Durango, Gainey Capital commenced drilling at Las Margaritas. In Veracruz, Azucar Minerals discovered another mineralized center at El Cobre. ON MINING, Sierra Metals, Fortuna Silver, Avino Silver, Gold Resource and McEwen Mining released third quarter 2019 production results. Argonaut Gold reported an accident that resulted in the death of two contractor’s employees at La Colorada, in Sonora. ON FINANCING, Kootenay Silver closed a $2 M private placement. Gainey Capital granted options to directors, officers, employees and consultants. Candelaria Mining discontinued a private placement due to unfavorable market conditions. ON RESOURCES AND DEVELOPMENT, SilverCrest Metals reported development mining sampling has returned less tonnage but more AgEq ounces at its Las Chispas property in Sonora. Azure minerals is planning a two-stage drill program at the Loma Bonita gold target of its Alacran property in Sonora. ON DEALS AND CORPORATE ISSUES, Tamino Minerals elaborated on the company’s history and incoming work at its El Volcan project in Sonora. Bacanora Lithium presented the current situation of Ganfeng’s investment on the company. Megastar Development entered into an option agreement regarding the Cerro Minas concession in Oaxaca. Riverside Resources released information on its BHP financing agreement for generative copper exploration in NW Sonora. Golden Minerals entered into an option agreement with Magellan Gold to sell its interest in the Santa Maria project in Chihuahua. ON SOCIAL RESPONSIBILITY. The Grupo Mexico Foundation donates 175 K trees in Queretaro. Ternium granted scholarships to 145 students. Esperanza Silver presented a sustainable project in Morelos.
ON MEXICO ISSUES
- The Camara de Diputados (Deputies Chamber, or Congress) approved legal reforms concerning the use of the Mining Fund. The changes were approved only by the Morena party and allied members, taking away the planning and overseeing of funds (generated by a special tax on mining) from local mining municipalities, enforcing what is seen as federal discretional use.
- Gainey Capital Corp. commenced a diamond drilling campaign at the Las Margaritas project in Durango. This initial phase comprises 1,080 m of drilling in 11 holes focused on the best mineralization exposed at the surface, where sampling has returned up to 73.7 gpt Au.
- Azucar Minerals Ltd. Announced the discovery of another mineralized center at its El Cobre project in Veracruz. Two holes tested the El Primo target area, defined by a gold, copper and molybdenum soil anomaly. Relevant intervals comprise 5.25 m @ 0.60 gpt Au, 0.26% Cu and 8.45 m @ 0.20 gpt Au, 0.29% Cu in one hole and 200 m @ 0.40 gpt Au, 0.24% Cu in another hole, including 86.50 m @ 0.70 gpt Au, 0.42% Cu; which includes 55.60 m @ 0.94 gpt Au, 0.56% Cu; which includes 10 m @ 1.44 gpt Au, 0.85% Cu. This target is at least a kilometer away from other already identified mineralized centers within the property.
- Oroco Resource Corp. commenced technical field work, initial environmental baseline studies and permitting at its Santo Tomas project in Sinaloa. This work is to be followed by a 3D induced polarization geophysical survey and the first phase of confirmation diamond drilling. The company holds an option to acquire a 56.7% interest in the 1,173 ha core concessions of the project, and might increase that interest up to an 81.0% interest with a project investment of up to CAD$30 M. Oroco also holds a 77.5% interest in 7,808 ha surrounding and adjacent to the core concessions.
- Argonaut Gold Inc. informed on an accident involving a contractor that resulted in death by electrocution of two individuals while performing maintenance work on a haul truck at La Colorada mine in Sonora. Operations were suspended on October 11 and resumed on October 12, 2019.
- Sierra Metals Inc. reported third quarter 2019 production, including figures from its Mexican operations. At Bolivar in Chihuahua, 331.8 K tonnes were processed at a 3,792 tonnes per day rate (tpd) @ 0.86% Cu, 20.5 gpt Ag, 0.31 gpt Au, recovering 81.3% Cu, 79.0% Ag, 62.3% Au to produce 5.115 M Lb Cu, 173 K Oz Ag, 2,173 Oz Au. At Cusi, also in Chihuahua, 70.4 K tonnes were processed at an 805 tpd rate @ 141.5 gpt Ag, 0.15 gpt Au, 0.14% Pb, recovering 84.6% Ag, 39.6% Au, 78.3% Pb to produce 271 K Oz Ag, 135 Oz Au, 168 K Lb Pb.
- Fortuna Silver Mines Inc. disclosed production results for the third quarter 2019, including figures from its Mexico operations. At San Jose in Oaxaca, 268 K tonnes were milled @ 219 gpt Ag, 1.40 gpt Au, recovering 82.4% Ag, 90.6% Au, to produce 1.71 M Oz Ag, 10,942 Oz Au, at a cash cost per ton of US$70.80.
- Avino Silver & Gold Mines Ltd. released third quarter 2019 production results from its Avino property in Durango. Consolidated figures comprise 202.7 K tonnes processed @ 44 gpt Ag, 0.33 gpt Au, 0.33% Cu, recovering 76% Ag, 67% Au, 68% Cu to produce 221.9 K Oz Ag, 1,448 Oz Au, 1.38 M Lb Cu. At the Avino mine 122.2 K tonnes were processed @ 41 gpt Ag, 0.31 gpt Au, 0.58% Cu to produce 139.4 K Oz Ag, 900 Oz Au, 1.3 M Lb Cu; 17.8 K tonnes were processed from the San Gonzalo mine stockpiles (the mine is now closed) @ 56 gpt Ag, 0.41 gpt Au to produce 29.6 K Oz Ag, 194 Oz Au; From historic above ground stockpiles 62.6 K tonnes were processed @ 47 gpt Ag, 0.33 gpt Au, 0.33% Cu to produce 232.1 K OZ Ag, 1,528 Oz Au, 311 K Lb Cu.
- Gold Resource Corp. reported preliminary production for the third quarter 2019, including figures from its operations in Mexico. At the company’s Oaxaca Mining Unit, a total of 7,462 Oz Au, 473.8 K Oz Ag, 492 tonnes of copper, 2,459 tonnes of lead and 6,057 tonnes of zinc were produced.
- McEwen Mining Inc. released production details for the third quarter 2019, including figures from its Mexican operations. At its El Gallo property in Sinaloa, 3,018 Oz Au were produced by residual leaching of the heap leach pad.
- Kootenay Silver Inc. closed its non-brokered private placement of $2 M that was fully subscribed by Ninepoint Silver Equities Class with Sprott Asset Management LP acting as sub-advisor. (Columba, Chihuahua).
- Candelaria Mining Corp. announced that a private placement previously announced has been discontinued due to unfavorable market conditions. The company intends to conduct an offering on a non-brokered private placement basis for aggregate gross proceeds of up to $700 K. Closing of the new private placement is expected to be on November 30, 2019 (Caballo Blanco, Veracruz).
- Gainey Capital Corp. granted 1.5 M incentive stock options to its directors, officers employees and consultants (Las Margaritas, Durango).
ON RESOURCES AND DEVELOPMENT
- SilverCrest Metals Inc. informed development work has intersected better grades than those in the resources estimate for the Babicanora vein at its Las Chispas property in Sonora. Underground mining along 180 m of the Babicanora vein (20% of the mineralized length on area 51) reported 33% less tonnes, but 65.7% more AgEq ounces for the interval. In total 4,170 tonnes were extracted @ 15.18 gpt Au and 1,071 gpt Ag (2,209 gpt AgEq), while the resource estimate in this zone graded 4.48 gpt Au and 556 gpt Ag (892 gpt AgEq). Underground sampling returned up to 2.8 m @ 94.52 gpt Au, 8,320 gpt Ag (15,409 gpt AgEq). SilverCrest plans to have a stockpile of 25-30 K tonnes of high-grade material containing 800 K to 1 M Oz AgEq, extracted by development work to the end of 2019.
- Azure Minerals Ltd. is planning a two-stage drill program on resource expansion at Loma Bonita, within the Alacrán project in Sonora. High-grade intersections on the resource boundary, like 47 m @ 2.8 gpt Au, 33 gpt Ag and 67 m @ 1.6 gpt Au, 21 gpt Ag (both from surface) favor the continuity of the ore body. First pass sampling of historical workings south of Cerro Alacrán returned up to 3,675 gpt Ag, 21.1 gpt Au, 2.3% Cu, 33.5% Pb, 21.0% Zn. Applications for environmental approval have been submitted.
ON DEALS AND CORPORATE ISSUES
- Tamino Minerals Inc. elaborated into the long and convolute company history and financing (El Volcan, Sonora).
- Bacanora Lithium PLC. Announced the completion of the “Invested Agreement and Offtake Agreement” which together make the “Strategic Investment” of Ganfeng Lithium Co.. The relevant approvals have been completed and Bacanora has now received £21.96 M of funds from Ganfeng, for a 29.99% equity interest in Bacanora Lithium PLC and a 22.5% JV investment directly in the Sonora Lithium Project. The vice-president of Wangfeng was appointed a director of Bacanora. “The Bacanora project team in Mexico continues to progress the final design work for the mine, concentrator and kiln sections of the processing plant. The Ganfeng technical team has initiated work on the hydrometallurgical circuit…”
- Tamino Minerals Inc. informed it is going to present a NI 43-101 report on its El Volcan property in Sonora once a registration statement is filed to the SEC and the company becomes fully reporting.
- Megastar Development Corp. has entered into an option agreement with Gunpoint Exploration Ltd. to acquire 100% interest in the 899 ha Cerro Minas mining concession (title (234333) in Oaxaca. The agreement entails the payment of US$10 K and 100 K Megastar shares on the effective date, US$20 K and 150 K shares on the first anniversary, US$30 K and 250 shares on the second anniversary and US$40 K and 300 K shares on the third anniversary, with Gunpoint retaining a 1.5% NSR royalty, of which 0.5% can be bought by US$1.0 M.
- Riverside Resources Inc. informed that the first two to three quarters of the exploration financing agreement with BHP for generative copper exploration in NW Sonora will be centered on regional prospect generation. The program envisages a minimum two-year US$2 M budget, and upon advancing projects to the operation phase (Phase II), BHP has the option to fund up to US$5 M for drilling and other exploration expenditures. Riverside is to receive US$200 K by project that makes it to the second phase.
- Golden Minerals Co. entered into an option agreement with Magellan Gold Corp. to sell its rights to acquire a 100% interest in the Santa Maria project, in Chihuahua. Magellan has a 150 days due diligence period to decide whether to execute the option, on which it has to pay $1 M cash, with Golden Minerals retaining a 6.5% royalty until a total of $3 M has been paid as royalty, with Golden retaining a 3% NSR royalty for the life of the mine. If Magellan fails to get the mine to production within one year from closing the deal, Golden will get back the property.
ON SOCIAL RESPONSIBILITY
- The Grupo Mexico Foundation donates 175 plants and trees in Queretaro. Grupo Mexico is aiding to reach the goal of planting 250 thousand trees in the Queretaro municipality. Grupo Mexico is the number one producer of tree saplings in the country.
- Ternium delivers scholarships and supports education in a mining zone. The Roberto Rocca Education Program and the Universidad de Colima granted this year scholarships to 145 students from universities in Mexico City, Nuevo Leon, Coahuila, Veracruz, Puebla, Colima and Michoacan. Since its inception in 2006, the Roberto Rocca Education Program has granted 3,000 scholarships.
- Esperanza Silver (Alamos Gold) presented a sustainable project for the Esperanza project in Morelos. The project involves the company’s involvement in the remediation of a nearby community landfill, and the collaborative support on the Lagunas de Zempoala, the national park Tepozteco, the biological corridor Ajusco-Chichinautzin as well as the state parks El Texcal, Sierra Montenegro and the biosphere reserve Sierra de Huautla.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the image below: Gneiss hosted quartz-feldspar veinlet from a project in Oaxaca. Picture by Jorge Cirett.
TORONTO–(BUSINESS WIRE)– Sierra Metals Inc. (TSX:SMT) (BVL:SMT) (NYSE AMERICAN:SMTS) (“Sierra Metals” or “the Company”) is pleased to report third quarter 2019 production results featuring the highest level of quarterly consolidated equivalent metal production.
Chalcedonic quartz breccia
By Miguel A Heredia
During the forty-one week of the year (October 7th to October 13th, 2019), at least 29 press releases were announced by companies working in Mexico, with eight communicating production results, seven announcing financial rounds, five informing on exploration results, three commenting on Mexican issues, three reporting on resources and developments of their projects, two disclosing deals and corporate issues, and one notifying on social responsibility. ON MEXICO ISSUES, Newmont-Goldcorp confirmed that the illegal blockade of its Peñasquito mine in Zacatecas was lifted on October 8, 2019. ON EXPLORATION, In Sonora, Azure released high grade results from 21 dump samples at its Alacran project, and announced the identification of five new targets. In Chihuahua, Sable completed a ground geophysical survey at its Vinata project, and the Pan American-Radius JV announced the commencement of the phase 3 exploration work on its Amalia project. In Durango, Chesapeake provided updated results from its on-going regional exploration program near its Metates project. In Zacatecas, Advance Gold initiated the second phase of a geophysical survey on its Tabasquena project. ON MINING, Newmont-Goldcorp, Coeur, Consolidated Zinc, Endeavour, GoGold, Great Panther, Hecla, and US Antimony presented Q3, 2019 production results from their Mexican operations. ON FINANCING, Advanced Gold announced its plan to rise up to $250K through a non-brokered private placement (Tabasquena project, Zacatecas). Discovery Metals announced its intention to complete a non-brokered private placement for gross proceed of up to $17M (Cordero deposit, Chihuahua). First Mexican announced the share cancellation, consolidation, and reinstatement of its common shares, as well as its intention to complete a non-brokered private placement for gross proceeds of up to $0.5M (Guadalupe property, Sonora). Fortuna Silver announced the closing of convertible debenture of the over-allotment option for gross proceeds of $46M (San Jose mine, Oaxaca). Goldplay announced its plan to complete a brokered private placement for gross proceeds of up to $2.5M (San Marcial property, Sinaloa). Magellan announced agreements to convert an aggregate of $2.45M of outstanding debt obligations into a newly-created series of preferred shares of the company (San Dieguito de Arriba flotation plant, Nayarit). Vizsla received conditional approval from TSX for the acquisition of Canam Alpine Ventures LTD, and resumed trading on October 9, 2019 (Copala-Panuco project, Sinaloa). Santacruz reported that the Silva Family acquired an aggregate of 30M common shares, at a deemed price of CAD $0.05 per share for total deemed consideration of CAD $1.5M (Veta Grande project, Zacatecas). ON RESOURCES AND DEVELOPMENT, SilverCrest announced expansion drill results and the discovery of a new vein at its Las Chispas project in Sonora. Mexus Gold reported that the Merrill-Crow Au recovery plant for its Santa Elena mine in Sonora is en route. Mexican Gold presented a new NI 43-101 resource estimate for its Las Minas project in Veracruz. US Antimony informed that the fencing of the tailings pond, completion of the water well, and most of the major construction has been completed at its Puerto Blanco mill for its Los Juarez mine in Queretaro. ON DEALS AND CORPORATE ISSUES, Canuc completed its final payment for the El Tule 1 claim at its San Javier project in Sonora. Santacruz completed the acquisition of Carrizal Mining and reported that the Silva Family acquired an aggregate of 30M common shares. ON SOCIAL RESPONSIBILITY, Alamos Gold received the corporate social responsibility (CSR) best practices award, for its achievements in social, economic and environmental sustainability (Mulatos mine, Sonora).
ON MEXICO ISSUES
- Newmont-Goldcorp Corporation, confirmed that the illegal blockade of its Peñasquito mine in Zacatecas was lifted on October 8, 2019, however, operations remain temporarily suspended pending to further assurances. “The company continues to work closely with the federal and state governments toward a sustainable, long-term solution, and lifting of the blockade paves the way for the government-sponsored dialogue to resume”.
- Azure Minerals Limited, released high grade results from samples collected from 21 dumps that surround some of the historical old workings in the southeast area of its Alacran project in Sonora, and announced the identification of five new targets. This sampling returned very high grades with maximum values of 3,675 g/t Ag, 24.1 g/t Au, 2.3% Cu, 33.5% Pb, and 21.0% Zn. 10 samples returning values greater than 1,000 g/t Ag (average of 21 samples = 1,073g/t Ag); 17 samples returning values greater than 1.0g/t Au (average of 21 samples = 4.43g/t Au); 10 samples returning values greater than 1.0% Cu (average of 21 samples = 0.95% Cu); 12 samples returning values greater than 10.0% Pb (average of 21 samples = 14.92% Pb); and 10 samples returning values greater than 10.0% Zn (average of 21 samples = 9.28% Zn). “This first-pass sampling is very encouraging and further systematic sampling and detailed mapping of the veins will commence shortly to provide targets for follow-up trenching and drilling”.
- Sable Resources, completed 170km of GroundMag conducted along E-W lines spaced 200m apart, and 8,950m of CSAMT surveys in nine lines at its Vinata project in Chihuahua. “The outcropping NNE epithermal vein system, which represents the main target at the project, appears coincident with a MagLow running on the western margin of the rhyolite intrusion for over 3 km in strike. Some stratigraphic features are also defined on the Mag sections; including a well-defined MagLow feature observed at the contact between the rhyolite intrusion and the interpreted limestones that underlie the upper volcanic sequence; this contact constitutes an additional potential target zone. At Vinata Sur the outcropping faults and breccias containing Fe-Mn oxides and associated Mn, Ba, Sb, As, Mo, Zn anomalies, hosted by volcanic rocks, are coincident with an elliptical shape NS oriented MagLow”. These geophysical surveys were carried out as preparation work for the first ever upcoming drilling campaign, which will consists of 2,000m to test for high-grade precious metal horizons approximately 200 metres below anomalous surface samples. This Phase 1 drill program will be expanded should positive results warrant additional drilling.
- Pan American Silver Corp., – Radius Gold Inc JV, announced the commencement of the phase 3 exploration work on its Amalia project in Chihuahua. Pan American will operate this phase of exploration work, which will be focused on preparation and execution of the phase 3 drilling program that includes an additional 2,500m of diamond drilling.
- Chesapeake Gold Corp., provided updated results from its on-going regional exploration program near its Metates project. “Three significant Au-Ag prospects, Crisy, San Javier and Cerro Pelon, continue to demonstrate district scale potential within different regional structural settings associated with intermediate composition intrusive rocks”. The most significant trench sampling results at Crisy prospect were 1.4 g/t Au and 75 g/t Ag over 43m; 1.9 g/t Au and 11 g/t Ag over 38m; and 2.4 g/t Au and 80 g/t Ag over 24m. At San Javier prospect, channel samples returned 1.6 g/t Au and 25 g/t Ag over 12m and 8.3 g/t Au and 1,972 g/t Ag over 1.6m. At Cerro Pelon prospect, channel samples collected on a new identified NW trending breccia yielded significant results such as 33 g/t Au over 3m, and 3.4 g/t Au over 10m.
- Advance Gold Corp., initiated the second phase of a 3D IP survey on its Tabasquena project in Zacatecas. The goal is to explore to the south the 800m by 500m chargeability anomaly detected during the first phase IP survey, where the anomaly comes closest to surface.
- Newmont-Goldcorp Corporation, reported Q3, 2019 production results from its Peñasquito mine in Zacatecas. It produced 58K Oz Au, 7.4M Oz Ag, 51.1M Lb Pb, and 83.1M Lb Zn. The illegal blockade impacted Peñasquito’s third quarter production by approximately 11K Oz Au, 1.7 M Oz Ag, 13.7 M Lb Pb and 22.8 M Lb Zn, and is expected to impact the company’s full-year results for the operation.
- Coeur Mining Inc., presented Q3, 2019 production results from its Palmarejo mine in Chihuahua. The company milled 442,464 tonnes of 2.8 g/t Au and 152 g/t Ag, to produce 31.8K Oz Au and 1.7M Oz Ag. Metallurgical recoveries were 81.7% and 79.6% for Au and Ag respectively. Coeur announced that its full-year production guidance remains unchanged at 95K-105K Oz Au and 6.5-7.2M Oz Ag.
- Consolidated Zinc Limited, announced production results from its Plomosas mine in Chihuahua for the period September, 2019. The company milled 1,363 tonnes with grades of 10.4% Zn, 7.5% Pb, and 32 g/t Ag, to produce 318K Lb Zn, 228.5K Oz Pb, and 1,402 Oz Ag. It also reported that 3,607 tonnes were milled and processed at the Aldama facility with grades of 10.4% Zn, 7.5% Pb, and 32 g/t Ag. The ore material processed produced high-quality clean Zn and Pb concentrates free to smelting and refining.
- Endeavour Silver Corp., reported Q3, 2019 production results from their four Mexican operations. Consolidated production was a total of 234,196 tonnes of 144 g/t Ag and 1.49 g/t Au with metallurgical recoveries of 87.6% and 86.7% respectively, to produce 5K Oz Ag and 9.7K Oz Au. The table below shows the production figures by separate mine:
- GoGold Resources Inc., presented production results from its Parral tailings project in Chihuahua for the period Q3, 2019. The company produced 326.6K Oz Ag and 2,921 Oz Au (580.7 Oz AgEq).
- Great Panther Mining Limited, announced Q3, 2019 production results from their Topia and Guanajuato mines. At Topia mine in Durango, it processed 21,761 tonnes of 0.86 g/t Au and 418 g/t Ag, with metallurgical recoveries of 4% and 93.8% respectively, to produce 344 Oz Au, 274.2K Oz Ag, 1.2M Lb Pb, and 1.5M Lb Zn (501.5K OZ AgEq). At its Guanajuato mine complex, the company processed 44K tonnes of 2.47 g/t Au and 119 g/t Ag with metallurgical recoveries of 85.4% and 85.6% respectively, to produce 3K Oz Au and 143.8K Oz Ag (383K Oz AgEq).
- Hecla Mining Company, presented Q3, 2019 production results from its San Sebastian mine in Durango. The mill at San Sebastian operated at an average of 586 tonnes per day, to produce 0.6M Oz Ag and 4,719 Oz Au.
- US Antimony Corporation, reported estimated sales for the period Q3, 2019 from their Mexican operations. It sold 381.7K Lb Sb, 12.5 Oz Au, and 3.4K Oz Ag.
- Advance Gold Corp., announced its intention to rise funds up to $250K through a non-brokered private placement. Net proceeds will be used to advance its Tabasquena project in Zacatecas.
- Discovery Metals Corp., announced its intention to complete a non-brokered private placement for gross proceeds of up to $17M, including an investment of 5M from Eric Sprott. “The balance of Mr. Sprott’s investment will be completed with the purchase of subscription receipts, which if converted, will increase his interest in the company to approximately 22%, assuming the private placement is fully subscribed (Cordero deposit, Chihuahua)”.
- First Mexican Gold Corp., announced a number of administrative tasks that the company had to work diligently to get a reinstatement of trading of its common shares on the TSX. First Mexican cancelled 9M shares that it had issued without obtaining prior TSX approval, and then, 1M shares without TSX approval as payment to arrange a credit facility. Once this problem was solved by the director and offices of the compnay, First Mexican consolidated its common shares on a ten for one basis, reducing the number of its outstanding common shares from 81,844,360 to 8,184,429. It also announced its intention to complete a post-consolidation basis private placement for gross proceeds of up to $0.5M but TSX notified that it will be unable to complete the offering until the company shares are reinstated for trading. As such, the company has cancelled the offering and will look to complete it at a future time. First Mexican has worked diligently looking the revocation of a cease trade order issued by the various commission securities. The company finally reported that the trading of its common shares will reinstate on October 11, 2019 (Guadalupe property, Sonora).
- Fortuna Silver Mines Inc., announced the closing of convertible debenture of the over-allotment granted to CIBC Capital Markets, Scotiabank, and BMO Capital Markets. The company sold unsecured convertible debentures for gross proceeds of USD $6M in connection with the bought deal offering completed on October 2, 2019 for gross proceeds of USD $40M, bringing the total aggregate gross proceeds to USD $46M (San Jose mine, Oaxaca).
- Goldplay Exploration Ltd., announced its intention to complete a brokered private placement for gross proceeds of up to $2.5M. It also has granted the agent an option to increase the size of the offering by up to 20% of the number of shares. Net proceeds will be used for exploration work on its San Marcial property in Sinaloa.
- Magellan Gold Corporation, announced agreements with its primary secured creditors and largest shareholder to convert an aggregate of $2.5M of outstanding debt obligations into a newly-created series of preferred shares of the company. The Preferred Shares will carry a $2.45 million liquidation preference, subject to adjustments, be convertible into common stock at $1.00 per share and bear a 10% annual dividend payable in kind at the option of the company. “The agreements release and reduce liens on certain assets of the company and convert portions of both its secured and unsecured debt holdings to preferred shares in order enhance the balance sheet and facilitate new financing arrangements (San Dieguito de Arriba flotation plant, Nayarit).
- Vizsla Resources Corp., received conditional approval from TSX for the acquisition of Canam Alpine Ventures Ltd., and resumed trading on October 9, 2019 (Copala-Panuco project, Sinaloa).
- Santacruz Silver Mining Ltd., reported that the Silva Family acquired an aggregate of 30M common shares, at a deemed price of CAD $0.05 per share for total deemed consideration of CAD $1.5M. This transaction represents approximately 14.7% of the issued and outstanding common shares of the company on a non-diluted basis and 15.3% on a partially-diluted basis assuming the exercise of the stock options owned by Mr. Silva (Veta Grande project, Zacatecas).
ON RESOURCES AND DEVELOPMENT
- SilverCrest Metals Inc., reported the results of 31 expansion drill holes for Giovanni, Blanquita, and Las Chispas veins and the discovery of a new vein (Blanquita Dos vein) at its Las Chispas project in Sonora. The most significant expansion drill results were encountered in hole LC19-111 (Giovanni Vein) with 8.99 g/t Au and 1,424 g/t Ag (2,098 g/t AgEq) over a true width of 1.6m; hole LC19-107 (Las Chispas Vein) with 7.72 g/t Au and 1,105 g/t Ag (1,584 g/t AgEq) over a true width of 1.2m; and hole LC19-101 (Giovanni Vein), with 4.17 g/t Au and 642 g/t Ag (955 g/t AgEq) over a true width of 2.5m. These drill results confirmed that deeper mineralization which could expand the current resource estimate at Las Chispas project. SilverCrest also reported the discovery of a new vein called Blanquita Dos Vein. “The La Blanquita Dos Vein is a new near-surface discovery located in the hanging wall of the La Blanquita Vein. The most significant drill intersection encountered on this vein was in hole LC19-98 with 6.58 g/t Au and 274 g/t Ag (767 g/t AgEq) over a true width of 0.8m, including 13.1 g/t Au and 392 g/t Ag (1,375 g/t AgEq) over a true width of 0.4m. This vein is approximately 50 metres from La Blanquita and was discovered while drilling to depth for the Giovanni Vein and the Las Chispas Vein. “There are currently 18 core drills operating at Las Chispas; 16 surface and 2 underground. This includes one rig completing process plant site condemnation, 16 rigs completing in-fill and known vein expansion holes in the Babicanora Area veins, and one rig working on new vein targets in the Las Chispas Area with two more to be re-allocated after in-fill drilling completion. Approximately 80 holes for 30,000 metres remain to be completed in 2019 of which 25 to 35 holes (8,000 metres) are for the Las Chispas Area veins. An updated resource estimate, including the Las Chispas Area veins, is expected in H1, 2020, along with the ongoing feasibility study”.
- Mexus Gold US, reported that the Merrill-Crow Au recovery plant for its Santa Elena mine in Sonora is en route, as well as a 80Kw generator which is necessary to run the plant. The company expects the new equipment to be operational by November 1st, 2019.
- Mexican Gold Corp., presented a new 43-101 resource estimate for its Las Minas project in Veracruz. The new resource estimate as of September 12, 2019. Indicated resources are 5,457,000 tons of 1.78 g/t Au, 6.5 g/t Ag, and 1.25% Cu (3.67 g/t AuEq), for a total of 313K Oz Au, 1.15M Oz Ag, and 150.3M Lb Cu (645K Oz AuEq). Inferred resources are 2,514,000 tons of 1.25 g/t Au, 5.5 g/t Ag, and 0.94% Cu (2.68 g/t AuEq) for a total of 101K Oz Au, 446K Oz Ag, and 51.96M Lb Cu (217K Oz AuEq).
- US Antimony Corporation, informed that the fencing of the tailings pond, completion of the water well, and most of the major construction has been completed at its Puerto Blanco mill for the Los Juarez mine in Querétaro. Testing will proceed during the completion of the laboratory.
ON DEALS AND CORPORATE ISSUES
- Canuc Resources Corporation, completed its final payment to Minerales y Carbones de Mexico S.A. de C.V., for the El Tule 1 claim. Canuc has expanded its san Javier project area in Sonora State by 151.14 ha. The company now owns 17 contiguous mineral concessions along the San Javier mineralized corridor, extending to 3km from the historical Santa Rosa mine old workings.
- Santacruz Silver Mining Ltd., completed the acquisition of Carrizal Mining S.A. de C.V., after purchasing the remaining 50% of outstanding shares of PCG Mining S.A. de C.V., which is the parent holding of Carrizal Mining S.A. de C.V, in consideration for the issue of 30M common shares of the compnay. It also reported that the Silva Family acquired an aggregate of 30M common shares, which represent approximately 14.7% of the issued and outstanding common shares of the Company on a non-diluted basis and 15.3% on a partially-diluted basis assuming the exercise of the stock options owned by Mr. Silva.
ON SOCIAL RESPONSIBILITY
- Alamos Gold Inc., received the corporate social responsibility (CSR) best practices award, for its achievements in social, economic and environmental sustainability (Mulatos mine, Sonora).This award created by the Mexican Center for Philanthropy and the alliance for CSR was granted to Minas de Oro Nacional, a subsidiary of Alamos Gold as its program called “A new horizon for the families of Mulatos and Matarachi” was the winner in the category of community engagement.
On the picture above, chalcedonic quartz breccia with disseminated pyrite in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.
Azure Minerals Limited (ASX: AZS) (“Azure” or “the Company”) is pleased to advise that having restarted exploration on its 100%-owned Alacrán Project, the first program has returned very high grades of silver, gold, copper, lead and zinc from sampling of mine dumps at five separate groups of historical mine workings located in the southeast of the property