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

Cervantite crystals in jasperoids

By Miguel A Heredia

During the thirty one week of the year (July 29th to August 4th, 2019), at least 37 press releases were announced by companies working in Mexico, with twelve communicating production results, nine disclosing deals and corporate issues, six announcing financial rounds, five reporting on resources and development of their projects, two informing on exploration results, and one commenting on Mexican issues.   ON MEXICO ISSUES, Mexican president, Andres Manuel Lopez Obrador, declared that the mining sector will face several legislative and state government proposals to tighten environmental restrictions and raise taxes.   ON EXPLORATION, In Jalisco, GoGold released drilling results from four new holes at its Los Ricos project, and Silver Spruce confirmed high grade Au mineralization at its Cocula project. ON MINING, Alamos Gold, Americas Silver, Azure, Capstone, Consolidated Zinc, Excellon, Fresnillo, Leagold, McEwen, Newmont Goldcorp, Santacruz, and Starcore reported production and financial results from their Mexican mining operations. ON FINANCING, Avino, Chesapeake, Great Panther, Millrock, Sonoro and VVC announced financial rounds. ON RESOURCES AND DEVELOPMENT, Capstone provided an update on the development of its one-way ramp system at Cozamin mine in Zacatecas, to increase Cu output by the end of 2020. It also initiated a large in-fill drilling program to reserve conversion. Goldplay announced drilling results from the first hole drilled at the Faisanes target, adjacent to the western edge of its San Marcial NI43-101 resource in Sinaloa.  Pan American Silver announced results from the exploration drilling completed over the past three months at its La Colorada mine in Zacatecas. Silver Bull provided results from five new holes drilled to test possible extensions at depth to the main deposit at its Sierra Mojada project in Coahuila. Sonoro filed a technical report on its Cerro Caliche project in Sonora, to present an estimate of mineral resources. SSR Mining commented that is reviewing drill programs and engineering studies to identify additional zones and continuity of high-grade mineral resources at its Pitarrilla project in Durango. ON DEALS AND CORPORATE ISSUES, Starcore entered into an agreement covering the sale of its processing facility in Matehuala, San Luis Potosi. Aztec Minerals completed the terms of its earn-in and exercised its option to acquire 65% interest in the Cervantes project in Sonora.   Bacanora Lithium provided an update on the strategic investment by Ganfeng Lithium (Sonora Lithium project, Sonora).  Discovery Metals completed the acquisition of Levon Resources (Cordero project, Chihuahua).  One World Lithium announced the engagement of Montgomery and Associate to assist them as consultant on its Salar del Diablo project in Baja California Norte. Sierra Metals announced management changes (Bolivar mine, Chihuahua). Gold Resource declared July monthly dividend to its shareholders (El Aguila mine, Oaxaca). Peñoles stock sinked more than 10% in the Mexican Stock Exchange.

 ON MEXICO ISSUES

  • Mexican president Andres Manuel Lopez Obrador, declared that the mining sector will face several legislative and state government proposals to tighten environmental restrictions, raise taxes, regularize rights payments and give greater voice and vote to communities where companies have or intend to establish extraction projects. Fernando Alanis Ortega, president of CAMIMEX and general director of Industrias Peñoles commented that “there have been complicated initiatives that show a deep ignorance of what our sector is. It is important to have more executive work within the legislature to have a better coordination in the initiatives”.

ON EXPLORATION

  • GoGold Resources Inc., released drilling results of new four holes from the ongoing drilling program at its Los Ricos project in Jalisco. To date, 41 holes have been drilled for a total of 5,522m. Significant intersections were encountered in hole LRGG-19-18 (the deepest hole to intersect Los Ricos vein to date) with 21.4m of 0.81 g/t Au and 170 g/t Ag (3.08 g/t AuEq), including 12.9m of 1.24 g/t Au and 262 g/t Ag (4.74 g/t AuEq), including 7.5m of 1.78 g/t Au and 342 g/t Ag (6.35 g/t AuEq); hole LRGG-19-019 with 4.5m of 1.5 g/t Au and 197 g/t Ag (4.13 g/t AuEq, followed by 2.2m of open stope, to continue with 13.8m of 0.63 g/t Au and 86 g/t Ag (1.78 g/t AuEq), including 4.2m of 1.52 g/t Au and 198 g/t Ag (4.17 g/t AuEq); hole LRGG-19-020 with 14.9m of 1.78 g/t Au and 106 g/t Ag (3.2 g/t AuEq), including 7m of 3.48 g/t Au and 156 g/t Ag (5.55 g/t AuEq); and hole LRGG-19-021 with 7.5m of 0.09 g/t Au and 18 g/t Ag (0.33 g/t AuEq), followed by 6m of open stope, to continue with 15.6m of 1.15 g/t Au and 113 g/t Ag (2.67 g/t AuEq), including 6.5m of 2.38 g/t Au and 236 g/t Ag (5.54 g/t AuEq). GoGold plans to complete 10,000m of drilling at the property.
  • Silver Spruce Resources Inc., received results from a first set of fifteen RC drilling samples and from a second set of eight surface samples and four RC samples for due diligence purposes to confirm grades reported previously by Timmins Gold (now Alio Gold) at the advanced Au Cocula project in Jalisco. Re-assays showed a good correlation with those results reported previously by Timmins.

ON MINING

  • Alamos Gold Inc., presented production and financial results for the period Q2, 2019 from their Mulatos and Chanate mines in Sonora. At its Mulatos mine, the company processed 2,107,590 tonnes of 0.94 g/t Au to produce 36.3K Oz Au and sold 40.12K Oz Au. Sale cost per Oz Au produced was $725 for an AISC of $1,257 per Oz Au. At its Chanate mine (transitioned to residual leaching in October, 2018), Alamos produced 4,400 Oz Au and sold 4,376 Oz Au. Production cost was $1,234 USD per Oz Au for an AISC of $1,257 per Oz Au. The company expects to produce 150K-160K Oz Au at Mulatos mine and over 15K-25K Oz Au at El Chanate during 2019.
  • Americas Silver Corporation, announced Q2, 2019 production and operating cost results from its Cosala mine operation in Sinaloa. It processed 156,998 tonnes of 49 g/t Ag to produce 145.4K Oz Ag, 11.15M Lb Zn, and 4M Lb Pb (1.3M Oz AgEq), at a cash cost of $18.27 per Oz Ag and AISC of 11.66 per Oz Ag.
  • Azure Minerals Limited, reported that during Q2, 2019 over 1,200 tonnes of ore have been mined and stockpiled from its Oposura project in Sonora, with an estimated grade to be between 10-15% combined Zn+Pb. Ore will be processed under a toll treatment agreement through the nearby San Javier sulphide flotation processing facility. Ore transport will start in August and processing is expected to start in September.
  • Capstone Mining Corp., released production and financial results for the period Q2, 2019 from its Cozamine mine in Zacatecas. Capstone milled 284K tonnes of 1.48% Cu, 0.96% Zn, and 45 g/ton Ag to produce 8.72M Lb Cu, 3.84M Lb Zn, and 323K Oz Ag. Metallurgical recoveries were 94.1% for Cu, 64.2% for Zn, and 77.3% for Ag. Site operating cost was $47.71 per tonne milled, with cash cost of $1.06 per Lb Cu produced. The company reported revenue of $24.3M for an EBITDA of $9.3M.
  • Consolidated Zinc Limited, reported Q2, 2019 production and financial results from its Plomosas mine in Chihuahua. It mined 15,881 tonnes of 14.8% Zn, 6.7% Pb, and 35 g/t Ag, and processed 10,273 tonnes of 13.2% Zn, 4.7% Pb, and 35 g/t Ag, for a total of 3M Lb Zn, 1M Lb Pb, and 11.6K Oz Ag contained. From this total metal contained, only 1.3M Lb Zn, 334K Lb Pb, and 4KOz Ag was sold with cash cost of $0.78 per Lb Zn produced. 742 tonnes of Zn concentrate and 246 tonnes of Pb concentrate were stockpiled and will be available for sale at June 30, 2019.
  • Excellon Resources Inc., presented Q2 and H1, 2019 production and financial results from its La Platosa mine in Durango. It processed 19,964 tonnes of 514 g/t Ag, 5% Pb, and 7.4% Zn during Q2, 2019 for a total of 38,183 tonnes of 523 g/t Ag, 5% Pb, and 7.7% Zn in H1, 2019. Total production in Q2, 2019 was 276.8K Oz Ag, 1.8M Lb Pb, and 2.8M Lb Zn (583K Oz AgEq), for a total of 537.2 Oz Ag, 3.14M Lb Pb, and 4.5M Lb Zn (1M Oz AgEq) during the period H1, 2019. Excellon reported a production cost of $304 and $204 per tonne for Q2 and H1, 2019 respectively. Cash cost per Oz Ag produced was $9.18 and 10.06 for the periods Q2 and H1, 2019 respectively, with an AISC per Oz Ag payable of $16.89 and $19.82 respectively. The company had revenues for $8.67M and $13.85M for the periods Q2 and H1, 2019 respectively.
  • Fresnillo plc., announced consolidated production and financial results for the period H1, 2019 from their Mexican operations. Fresnillo produced 27.56M Oz Ag (including a Ag stream production of 1,548 Oz Ag), 432.4K Oz Au, 56.4M Lb Pb, and 95M Lb Zn. Adjusted revenue of USD $1,069M were reported with an EBITDA of USD $307.9M for a total profit for the period of USD$ 70.9M. The company also presented production results by mine for H1, 2019. At Fresnillo mine, Zacatecas, 1,194,199 tonnes were processed with grades of 187 g/t Ag, 0.86 g/t Au, 0.85% Pb, and 1.5% Zn for a total of 6.4M Oz Ag, 25K Oz Au, 19.6M Lb Pb, and 26.8M Lb Zn. At Saucito mine, Zacatecas, Fresnillo processed 1,327,673 tonnes of 243 g/t Ag, 1.14 g/t Au, 0.9%Pb, and 1.6% Zn to produce 8.8M Oz Ag, 36.7K Oz Au, 23.4M Lb Pb, and 33.7M Lb Zn. At its Pyrites Plant, it processed 87K tonnes of 305 g/t Ag and 2.31 g/t Au to produce 638K Oz Ag and 2,315 Oz Au. At Cienega mine in Durango, the company processed 650,107 tonnes of 1.55 g/t Au, 163 g/t Ag, 0.6% Pb, and 1% Zn to produce 29.7K Oz Au, 2.9M Oz Ag, 5.2M Lb Pb, and 8.6M Lb Zn. At the San Julian mine in Chihuahua-Durango border, Fresnillo processed 661,680 tonnes of 1.74 g/t Au and 120 g/t Ag from San Julian Veins to produce 35.3K Oz Au and 2.3M Oz Ag, while 1,107,875 tonnes were processed from the San Julian Disseminated Ore Body with grades of 0.08 g/t Au, 137 g/t Ag, 0.4% Pb, and 1.4% Zn, to produce 1,143 Oz Au, 4.2M Oz Ag, 8.1M Lb Pb, and 25.9M Lb Zn. Total production at San Julian was 36.4K Oz Au and 6.5M Oz Ag. At its Noche Buena mine in Sonora, the company processed 6,575,328 tonnes of 0.53 g/t Au and 0.2 g/t Ag to produce 65.4K Oz Au and 29K Oz Ag.
  • Leagold Mining Corporation, reported production and financial results from its Los Filos mine in Guerrero for the period Q2, 2019. Leagold reported Au production and sales for 44.9K Oz Au and 47K Oz Au respectively, at a cash cost of USD $853 per Oz Au sold and AISC of USD $978 per Oz Au sold for an associated revenue of USD $59.9M. Au production and sales were 108.9K Oz Au and 112.9K Oz Au respectively for the period H1, 2019, for revenue of USD $144.1M and AISC of USD $846 per Oz Au sold.
  • McEwen Mining Inc., announced production and financial results from its El Gallo mine in Sinaloa for the period Q2, 2019. The company produced 5.4K GEOs (Au Eq ounces) at cash cost of USD $967 per Oz Au and AISC of USD $989 per Oz Au produced. Total production in H1, 2019 reached 23K GEOs at cash cost of USD $724 per Oz Au and AISC of USD $776 per Oz Au produced.
  • Newmont Goldcorp Corporation, announced Q2, 2019 production and financial results from its Peñasquito mine in Zacatecas. It produced 165K GEOs, 245M Lb Zn, 180M Lb Pb, and 25M Oz Ag at cash cost of USD $820 per Oz Au and AISC of USD $1,095 per Oz Au produced.
  • Santacruz Silver Mining Ltd., presented Q2, 2019 production results from their Veta Grande mine in Zacatecas and El Rosario mine in San Luis Potosi. At Veta Grande mine, Zacatecas, it processed 37,156 tonnes of 101 g/t Ag, 0.21 g/t Au, 1.1% Pb, and 2.1% Zn, to produce 73K Oz Ag, 138 Oz Au, 826.5K Lb Pb, and 1.36M Lb Zn for a total of 240.2K Oz AgEq. At El Rosario mine in San Luis Potosi, the company processed 20,789 tonnes of 74 g/t Ag, 0.28 g/t Au, 0.4% Pb, and 2.1% Zn to produce 46.1K Oz Ag, 116 Oz Au, 194.9K Lb Pb, and 844.5K Lb Zn for a total of 133.1K Oz AgEq.
  • Starcore International Mines Ltd., reported year end dated April, 30, 2019 production and financial results from its San Martin mine in Queretaro. Starcore milled 301.9K tonnes with grades of 1.63 g/t Au and 86 g/t Ag with metallurgical recoveries of 86.2% and 58.4% respectively, to produce 13.7K Oz Au and 224.5K Oz Ag at an operating cost of USD $58 per tonne and USD $1,081 per Oz Au produced. Total revenues of CAD $32.8M were obtained, including CAD $5.7M of purchased concentrate processing revenue.

ON FINANCING

  • Avino Silver & Gold Mines Ltd., closed a bought deal financing for aggregate gross proceeds of CAD $6M. Net proceeds will be used to advance the exploration and development of its Avino mine in Durango.
  • Chesapeake Gold Corp., announced that it entered in a bought deal private placement financing for gross proceeds of $12M. In addition, Chesapeake also entered into a non-brokered private placement for gross proceeds of $3M (Metates project, Durango).
  • Great Panther Mining Limited, entered in a bought deal financing agreement for gross proceeds of approximately $15M. In addition, Great Panther granted an over-allotment option for gross proceeds of $2.25M (Topia mine, Durango).
  • Millrock Resources Inc., closed the first tranche of a non-brokered private placement for gross proceeds of $1M (Guadalcazar project, San Luis Potosi).
  • Sonoro Metals Corp., completed a non-brokered private placement for gross proceeds of $750K (Cerro Caliche project, Sonora).
  • VVC Exploration Corporation, announced a non-brokered private placement to intend to raise up to CAD $2.5M. Proceeds will be used to pay for exploration and development of its Samalayuca project in Chihuahua, land use permits and associated costs, metallurgical bench testing of copper mineralization, and proposed pilot mining investigation and evaluation process.

 ON RESOURCES AND DEVELOPMENT

  • Capstone Mining Corp., announced that the development of the one-way ramp system is on schedule for completion by the end of 2020, which is expected to increase copper output by 30% to between 40 to 45M Lb per annum. In addition, Cozamin initiated a large in-fill definition drilling program during the quarter that will target resource to reserve conversion to support a doubling of Cozamin’s mine life.
  • Goldplay Exploration Ltd., reported results from the first hole drilled at the Faisanes target, immediately adjacent to the western edge of its San Marcial NI43-101 resource in Sinaloa. Hole SM-19-01 intersected 1m of 204.6 g/t Au and defined a new Au mineralized zone close to surface. Goldplay is actively focused on surface and drilling exploration along the 600 m long Faisanes zone.
  • Pan American Silver Corp., provided results from the exploration drilling completed over the last three months at its la Colorada mine in Zacatecas. The drilling program covered an area of 600m by 300m and delineated skarn/manto zones that are still open laterally and at depth. Four drill rigs operating underground and three drill rigs on surface have completed 11,300m of infill and step-out drilling in the last three months, bringing the total meters drilled to date to 31,000m. Significant drill intersections were encountered in hole U-51-19 with 109 g/t Ag, 0.38% Cu, 1.7% Pb, and 3.8 % Zn over 114m, including 158g/t Ag, 0.59%Cu, 2.6% Pb, and 5% Zn over 58.2m ; hole  U-46-19 with 55 g/t Ag, 0.22% Cu, 3.8% Pb, and 6.6% Zn over 126m, including 74 g/t Ag, 0.44% Cu, 5.4% Pb, and 10.3% Zn over 32.9m; hole U-42-19 with 40 g/t Ag, 0.17% Cu, 1.2% Pb, and 2.8% Zn over 214.2m, including 75 g/t Ag, 0.33% Cu, 3.4% Pb, and 3.5% Zn over 38.3m; hole U-37-19 with 28 g/t Ag, 0.11% Cu, 1.9% Pb, and 3.9% Zn over 45.8m, including 36 g/t Ag, 0.08% Cu, 3.2% Pb, and 3.7% Zn over 18.1m; hole U-35-19 with 41 g/t Ag, 0.3% Cu, 0.9% Pb, and 4% Zn over 82.6m; hole U-29-19 with 67 g/t Ag, 0.23% Cu, 1.5% Pb, and 4.5% Zn over 18.8m; hole U-22.19 with 42 g/t Ag, 0.05% Cu, 0.8% Pb, and 3.9% Zn over 104.7m and 64 g/t Ag, 0.28% Cu, 2% Pb, and 5.8% Zn over 15.1m. Pan American plans to complete 50,000m of drilling and review 12,000 km magnetotellurics geophysics survey to better define the skarn footprint limits.
  • Silver Bull Resources Inc., provided results from five holes drilled to test possible extensions at depth of its Sierra Mojada deposit in Coahuila. Significant intersections were encountered in hole B19005 with 9% Zn, 2.1% Pb, and 16 g/t Ag over 13.25m of massive sulphide mineralization, including 11.9% Zn, 2.8% Pb, and 24 g/t Ag over 5.85m: hole B19004 with 8.1%Zn, 1.8% Pb, and 27 g/t Ag over 46.23m, including 8.1% Zn, 1.8% Pb, and 27 g/t Ag over 0.87m: hole B19006 with 7.2% Zn, 1.2% Pb, 195 g/t Ag, and 0.13% Cu over 0.85m. These drill holes are part of an 8,000m surface drilling program to test extensions of the main deposit at Sierra Mojada, Coahuila.
  • Sonoro Metals Corp., filed a NI43-101 technical report on its Cerro Caliche project in Sonora in which reported inferred resources of 11,470,000 tonnes of 0.49 g/t Au and 4 g/t Ag (or 0.55 g/t AuEq) to contain a total of 183K Oz Au and 1.6M Oz Ag (or 201K Oz AuEq). “The estimate of mineral resources is based on a total of 21,091 meters of RC drilling in 200 holes. Of these, 10,328m in 96 holes were drilled by Sonoro, plus 7,725m in 86 holes were drilled by Corex Gold and 3,038m in 18 holes were drilled by Paget Southern, both previous operators of the Cerro Caliche project”.
  • SSR Mining Inc, informed that is reviewing drill programs and engineering studies to identify additional zones and continuity of high-grade mineral resources at its Pitarrilla project in Durango. It is also evaluating contractors to extend the existing underground access and drill these areas.

 ON DEALS AND CORPORATE ISSUES

  • Starcore International Mines Ltd., entered in an agreement to cover the sale of its subsidiary Altiplano Goldsilver SA de CV, which owns the processing facility in Matehuala, San Luis Potosi. Terms of the transaction includes a deposit of USD $0.5M; a payment of USD $0.5M on August 31, 2019; a payment of USD $200K on November 30, 2019; a payment of USD $200K on February 28, 2020; and a final payment of USD $200K on May 31, 2020. In addition, Starcore informed that reduced its staff by 125 people at its San Martin mine in Queretaro. It will incur in severance cost of USD $600K related to the staff reduction.
  • Aztec Minerals Corp., completed the terms of its ear-in and exercised its option to acquire 65% interest in the Cervantes project in Sonora from Kootenay Silver Inc. Both companies expect to finalize the terms of the JV agreement shortly and form a management committee to review the exploration results to date and approve the next exploration program and budget at Cervantes.
  • Bacanora Lithium plc., provided an updated on the strategic investment by Ganfeng Lithium (GFL) to participate at the Sonora Lithium operation. GFL will acquire 29.99% of Bacanora, and 22.5% of the Sonora Lithium project in Sonora.
  • Discovery Metals Corp., completed the acquisition of Levon Resources Ltd. Based on the agreement, the shareholders of Levon received 0.55% of a common share of Discovery. “Effective on the closing of the Arrangement, there were approximately 168M Discovery shares issued and outstanding (including the conversion of the Subscription Receipts, as described below, and the issuance of 64,412,929 Discovery Shares issued to Levon shareholders pursuant to the Arrangement), and Discovery’s market capitalization is approximately $66M, based on Discovery’s closing price on the TSX Venture Exchange on August 1, 2019”.
  • One World Lithium Inc., announced the engagement of Montgomery and Associates to consult with the company on its exploration program at its Salar del Diablo project in Baja California Norte.
  • Sierra Metals Inc., announced management changes after the departure of its COO (Bolivar mine, Chihuahua).
  • Torex Gold Resources Inc., amended and restated a USD $400M debt facility with bank institutions.  This debt facility is comprised of USD $185M term loan, and USD $150M revolving loan facility. All conditions precedent to the initial advance under the debt have been satisfied as of July 30, 2019, and at that date, the full amount of the term facility and USD $100M of the revolving facility is outstanding ( El Limon-Guajes Mining Complex, Guerrero).
  • Gold Resource Corporation, declared July monthly dividend of 1/6 of a cent per common share to its shareholders (El Aguila mine, Oaxaca).
  • Industrias Peñoles SA de CV, informed that its stock plummeted 58 % in the Mexican Stock Exchange after reporting losses in Q2, 2019 due to the fall of metal prices and production cost increase. The company’s operating flow collapsed 58.4% in said period 2019 against the same period of 2018. Metal operations showed a decrease in volumes: Pb production fell 13.8%, Au 8.8 %, and Ag 4.5%. The exception was Zn, where production grew 15.1%.

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, cervantite crystals after stibnite in jasperoids in a prospect in Durango, Mexico.  Photo by Miguel A Heredia.

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

IMG_2618 - copia

By Jorge Cirett

During the 30th week of the year (July 22nd to July 28th, 2019), at least 29 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, the Chihuahua government announced the Los Gatos mine is about to start production in the municipality of Satevó, and stated that the mining industry is of uttermost importance in the State, with 44 companies (80% Canadian) providing 12,300 well-paid jobs. ON EXPLORATION, In Sonora, Evrim released drill results from its Sarape project. ON MINING, Excellon, Mexus Gold and Great Panther presented production or financial results. Azure commenced open-pit mining at its Oposura project in Sonora. ON FINANCING, In a great week for the resource companies sector, Impact Silver, Golden Minerals, Americas Silver, SilverCrest Metals, Mako Mining, Southern Silver, Avino Silver, Discovery Metals and Oroco announced financing rounds for combined tens of millions of dollars, with several of those placements having been increased after the opening. Silver One Resources granted options to its personnel and consultants. Defiance Silver entered into a $200 K loan with one of its officers. Mexus Gold US paid a $105 K loan. Capstone Mining extended and amended its US$300 million corporate revolving credit facility.  ON RESOURCES AND DEVELOPMENT, Avino Silver released results from holes previously drilled testing the Avino system stockwork hanging-wall. GoGold released results from four more holes at its Los Ricos project in Jalisco. ON DEALS AND CORPORATE ISSUES, Prize Mining intends to change its name to Boundary Gold and Copper Mining. One World Lithium issued a technical clarification on its previous press release on drilling at its Salar del Diablo project in Baja California. Discovery Metals received conditional approval for the plan of arrangement with Levon Resources for the combination of its businesses, and Levon shareholders approved the said plan of arrangement.

ON MEXICO ISSUES

  • The Secretariat on Innovation and economic Development of Chihuahua announced that a new mining project is about to start operations in the state: Los Gatos, in San Jose del Sitio, Satevó, with a US$316 M investment by Sunshine Silver and Dowa Holdings Co. Ltd. from Japan, that is to create more than 350 jobs. Other mining operations in the state include Pan American Silver’s Dolores mine in Madera, where 850 persons work, and Coeur’s Palmarejo mine with 800 workers. Chihuahua has 14 big mining operations, with 44 companies exploring in the state (80% Canadian companies) that generate 12,300 direct jobs with salaries that are 190% above the State average.

ON EXPLORATION

  • Evrim Resources Corp. released drill results from the 2019 maiden drill program at the Sarape project in Sonora. The 2,390 m ten hole program covered a 380 m strike length along the Sarape (6 km long), La Nune and Chiltepin veins. Highlighted results include 0.25 m @ 1.48 gpt Au, 20 gpt Ag; 8.47 m @ 0.33 gpt Au, 8 gpt Ag; 7.55 m @ 0.19 gpt Au, 11 gpt Ag; 24.68 m @ 0.18 gpt Au, 9 gpt Ag (including 1.4 m @ 0.55 gpt Au, 31 gpt Ag); 1.47 m @ 0.31 gpt Au, 21 gpt Ag; 1.46 m @ 0.80 gpt Au, 34 gpt Ag; 3.15 m @ 0.26 gpt Au, 10 gpt Ag; 11.57 m @ 0.22 gpt Au, 5 gpt Ag.

ON MINING

  • Excellon Resources Inc. announced second quarter 2019 production results from its Platosa mine, Durango. At the site 18,717 tonnes were mined, 19,964 tonnes processed @ 514 gpt Ag, 4.97% Pb, 7.40% Zn, recovering 90.6% Ag, 83.6% Pb, 79.6% Zn to produce 276.8 K Oz Ag, 1.76 M Lb Pb, 2.5 M Lb Zn. “.. the operation accessed multiple ore faces in the Rodilla, Pierna, 623 and Guadalupe South mantos. Operational efficiencies implemented in previous quarters continued to deliver results with lower dilution, higher grades and steady production rates”.
  • Mexus Gold US. informed that leaching from its 2,500 ton leach pad is returning solution to the holding pond at its Santa Elena mine in Sonora (not to mistake for First Majestic’s Santa Elena mine, also in Sonora). “It is expected to accumulate 5 to 7 oz. the first week with leaching continuing until the return solution stabilizes. Mexus will be adding new ore to the pad with the Merrill Crow gold recovery system running weekly to keep up with production.”
  • Great Panther Mining Ltd. reported financial results for the second quarter 2019. Most of the report is focused on the operation of the company’s recently acquired Tucano mine in Brazil, and not much is disclosed about its Mexican operations, other than the production of 10,023 Oz AuEq. At the end of the period cash and short-term deposits were $9.9 M (Topia, Durango).
  • Capstone Mining Corp. extended and amended its US$300 million corporate revolving credit facility with Canadian Imperial Bank of Commerce (CBIC) and Bank of Nova Scotia. “In the quarter ending June 30, 2019, Capstone paid an additional $20 million towards long-term debt , bringing the total deleveraging payments to $129 million over the last ten fiscal quarters, and the total long-term debt balance to $199.9 million” (Cozamin, Zacatecas).
  • Azure Minerals Ltd. commenced mining at its Oposura project in Sonora. Ore grading 10-15% Pb-Zn is being open-pit mined at a rate of 1,500-3,000 tonnes per month on the East-Zone, where all material being mined is classified as indicated mineral resources. “Processing of this ore is expected to commence in September under a toll treatment agreement with a third-party sulphide flotation processing plant”.

ON FINANCING

  • Silver One Resources Inc. granted 2.43 M stock options to its directors, officers, consultants and advisors (La Frazada, Nayarit).
  • Impact Silver Corp. amended the terms of its ongoing non-brokered private placement financing due to strong interest. Under the actual terms, Impact has closed a first tranche for gross proceeds of $1.235 M and expects to close a second tranche for additional $714 K. Under the modified terms a third tranche has been added seeking to raise additional $3 M (Zacualpan District, Estado de Mexico).
  • Impact Silver Corp. completed the second tranche of the previously announced non-brokered private placement, receiving aggregate gross proceeds of $714.3 K (Zacualpan District, Estado de Mexico).
  • Golden Minerals Co. closed the direct offering previously announced, for gross proceeds $2.25 M (Rodeo, Durango).
  • Americas Silver Corp. announced that Eric Sprott purchased shares of the company for a total of US$10 M in a non-brokered private placement, increasing its ownership to above 8% (Cosalá, Sinaloa).
  • SilverCrest Metals Inc. entered into an agreement with a syndicate of underwriters for the purchase of shares with gross proceeds of C$22.0 M, with the company paying the underwriters a cash commission of up to 5% of the gross proceeds. SSR Mining elected to exercise its right to maintain its pro rata ownership of up to 9.9% (Las Chispas, Sonora).
  • Defiance Silver Corp. “entered into a loan agreement with an entity controlled by one of its officers and directors which allows Defiance to borrow up to $200,000. The Loan is unsecured and will bear interest at the rate of 1% per month, accrued daily. It will mature on July 22, 2020”(San Acacio, Zacatecas).
  • Mako Mining Corp. announced the completion of the previously announced rights offering, raising total aggregate gross proceeds of $27 M.
  • Mexus Gold US. informed that the company has satisfied a $105 K loan commitment on time (Santa Elena, Sonora).
  • Southern Silver Exploration Corp. announced its previously announced $2M non-brokered private placement has been increased to $3 M (Cerro Las Minitas, Durango).
  • Avino Silver & Gold Mines Ltd. entered into an agreement with Cantor Fitzgerald Canada Corp. as sole underwriter to the purchase of common shares of the company for gross proceeds of $4M and additional flow-through common shares for additional gross proceeds of $2 M (Avino, Durango).
  • Discovery Metals Corp. closed its non-brokered private placement, raising $ 9.0 M. Mr Eric Sprott acquired 17.56 M shares, and as a result he’s now the owner of 19.9% of Discovery’s issued and outstanding common shares. Finders’ fees of $17,500 were paid (Puerto Rico, Coahuila; Cordero, Chihuahua).
  • Oroco Resource Corp. announced a non-brokered private placement to raise $1.35 M (Santo Tomas, Sinaloa).
  • Americas Silver Corp. closed its previously announced non-brokered private placement with Mr. Eric Sprott, raising gross proceeds of US$10 M.
  • Capstone Mining Corp. extended and amended its US$300 million corporate revolving credit facility with Canadian Imperial Bank of Commerce (CBIC) and Bank of Nova Scotia. “In the quarter ending June 30, 2019, Capstone paid an additional $20 million towards long-term debt , bringing the total deleveraging payments to $129 million over the last ten fiscal quarters, and the total long-term debt balance to $199.9 million” (Cozamin, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Avino Silver & Gold Mines Ltd. released results from a sampling campaign comprising 52 recent and historic holes that were previously drilled on the hanging-wall of the Avino stockwork system of its Avino property in Durango. Some of the results released: 3.05 m @ 1.31 gpt Au, 24 gpt Ag, 0.02% Cu; 4.30 m @ 1.47 gpt Au, 71 gpt Ag, 0.49% Cu; 2.20 m @ 5.00 gpt Au, 120 gpt Ag, 0.13% Cu; 16.00 m @ 2.06 gpt Au, 67 gpt Ag, 0.69% Cu; 2.95 m @ 1.50 gpt Au, 31 gpt Ag, 0.47% Cu; 1.25 m @ 3.27 gpt Au, 10 gpt Ag, 0.11% Cu; 2.00 m @ 15.60 gpt Au, 146 gpt Ag, 0.28% Cu; 4.10 m @ 3.82 gpt Au, 103 gpt Ag, 0.23% Cu; 5.45 m @ 1.26 gpt Au, 133 gpt Ag, 0.07% Cu; 9.50 m @ 1.82 gpt Au, 119 gpt Ag, 0.50% Cu; 5.95 m @ 2.29 gpt Au, 232 gpt Ag, 0.30% Cu; 4.90 m @ 5.36 gpt Au, 26 gpt Ag, 0.07% Cu; 8.43 m @ 2.16 gpt Au, 21 gpt Ag, 0.15% Cu.
  • GoGold Resources Inc. delivered assays results from four more holes at its Los Ricos project in Jalisco. Highlighted intervals comprise: 21.4 m @ 0.81 gpt Au, 170 gpt Ag (including 12.9 m @ 1.24 gpt Au, 262 gpt Ag which includes 7.5 m @ 1.78 gpt Au, 342 gpt Ag) in one hole; 4.5 m @ 1.50 gpt Au, 197 gpt Ag, then stope, then 13.8 m @ 0.63 gpt Au, 86 gpt Ag) in another hole; 14.9 m @ 1.78 gpt Au, 106 gpt Ag in a third one and 7.5 m @ 0.09 gpt Au, 18 gpt Ag, then 2.2 m of open stope, then 15.6 m @ 1.15 gpt Au, 113 gpt Ag (including 6.5 m @ 2.38 gpt Au, 236 gpt Ag. The first hole of this release is the deepest so far to intersect the Los Ricos vein.

ON DEALS AND CORPORATE ISSUES

  • Prize Mining Corp. announced its shareholders will be asked in August 22 to approve the continuation of the company into the jurisdiction of Britsh Columbia, the consolidation of its shares on a 5 to one basis and the name change of the company to Boundary Gold and Copper Mining Ltd. (Manto Negro, Coahuila).
  • Discovery Metals Inc. has received conditional approval from the TSX Venture Exchange to complete the transaction with Levon Resources Ltd. for the combination of their businesses (Puerto Rico, Coahuila; Cordero, Chihuahua).
  • One World Lithium Inc. issued a technical clarification as a result of a review by the British Columbia Securities Commission about a previous news release on drilling results at its Salar del Diablo project in Baja California. The company had three distinct target levels at several zones, but drilling encountered harsh conditions due to the natural variability of the unconsolidated basin sediments. “Dense mudstones were interlayered with unconsolidated, water- and brinebearing sands. Drill bits and related equipment were commonly plugged by the mudstones, requiring multiple trips out of the hole to clean and unplug the drill bits. Unconsolidated sands poured or sloughed into the drill bore, requiring substantial time to stabilize the drill hole before drilling to additional depths. Some measure of control was established by drilling and setting casing at deeper levels, but high amounts of water impeded the progress of the drill…..”
  •  Discovery Metals Inc. announced a majority of Levon Resource Ltd’s shareholders approved the plan of arrangement for the combination of businesses (Puerto Rico, Coahuila, Cordero, Chihuahua).

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: sheeted quartz veinlets and minor stockwork development in metamorphic rocks of a project in Oaxaca. Picture by Jorge Cirett

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

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By Jorge Cirett

During the 28th week of the year (July 8th to July 14th, 2019), at least 27 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, Camimex announced investments for US$2,705 M on new gold projects from 2019 to 2024. The same organism informed Mexico’s gold production declined 6.7% between 2017 and 2018. ON EXPLORATION, In Baja California, One World Lithium released results from drilling at Salar del Diablo. In Sonora, Magna Gold started its phase one exploration program at its Mercedes project on the Santa Rosa de Yecora district. In Chihuahua, Sable Resources received the drilling permit for its Vinata project. In Coahuila, Discovery Metals received the drilling permit for its Monclova project. In Guanajuato, Fresnillo explores near Mineral de La Luz. ON MINING, Torex Gold, Coeur Mining, Great Panther, GoGold Resources and Endeavour Silver presented production results for the second quarter of 2019. ON FINANCING, Mexican Gold Corp, Impact Silver, One World Lithium, Oceanus Resources, Silver One Resources, Advance Gold and Millrock undertook or completed tranches of financing rounds for a combined $13.45 M. Evrim Resources granted 1 M stock options to an officer. ON RESOURCES AND DEVELOPMENT, SilverCrest Metals filed the PEA on Las Chispas, Sonora. VVC Exploration received the environmental permit  and a land use change permit for its Samalayuca project in Chihuahua. SilverCrest Metals released high grade results from underground sampling of the Babicanora vein at Las Chispas, Sonora. Goldplay released good gold results from trenching on an extension of the Nava zone on its San Marcial project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Orex Minerals and Pan American Silver entered into an agreement to negotiate a formal JV agreement on the Sandra Escobar project in Durango. Oroco Resources signed a letter of agreement to acquire the 766 ha. Rossy concession adjacent to Oroco’s land package on the Santo Tomas district in Sinaloa.

ON MEXICO ISSUES

  • Camimex (Cámara Minera de México), informed on a list of new gold producing projects that involve the investment of US$2,705 M between 2019 and 2024. Among the biggest investments are those of Torex Gold (US$482 M) in Media Luna, Guerrero; Grupo Mexico’s (US$413 M) Buenavista Zinc in Sonora and Fresnillo’s (US$350 M) Orisyvo in Chihuahua. Other investments include the second dynamic leaching plant at La Herradura; the Pyrites plant in Fresnillo; Goldcorp’s Pyrite plant in Peñasquito, Zacatecas; and Endeavour’s El Compas in Zacatecas; Candelaria Mining is to start operations at Pinos, Zacatecas; Mag Silver and Fresnillo are to begin production at Juanicipio, Zacatecas; Telson Resources is to finish construction of the mine at Tahuehueto, Durango; Hecla’s will continue with open pit and then underground operations at San Sebastian, Durango.
  • Camimex stated that during 2018 Mexico’s gold production diminished 6.7% compared with 2017, reaching 3.8 M Oz Au. Five companies produced more than half of the overall gold production in 2018: Fresnillo (24.1%), Torex Gold (9.3%), Agnico Eagle (8.5%), Goldcorp (7.1%) and Minera Frisco (6.5%) (Editor’s note.- This last company has the dubious honor of being the most opaque for disclosing production, reserves and resources from its projects in Mexico).

ON EXPLORATION

  • Sable Resources Ltd. has received the permit needed to drill the Vinata project in Chihuahua. The surface agreements have been approved by the local community for an initial 2,500 m diamond drill program “to test the vertical continuity and mineral zoning along a section of the Vinata vein system where the veins are observed outcropping over 1000 m along strike”. Sable will contract a ground electromagnetic survey (CSAMT) to better define the vein system at depth and the contacts between a felsic dome and volcanic and sedimentary rocks. The mineralisation at Vinata occurs as a series of quartz veins that outcrop for 1,200 m, with multiple sub-parallel veins and stockwork zones over a width of 15 to 170 m, with individual veins ranging to up to 12 m in width.
  • One World Lithium Inc. released results from drilling at its Salar del Diablo property in Baja California (there is not a state named Baja California Norte in Mexico). The drill holes did not reach the target depths due to “the constant sluffing of sand, presence of multiple clay formations, unconsolidated gravel and rubble”. The highest lithum grade in sediment samples was 273 ppm Li, whereas the water samples are thought to have been diluted by the injection of significant amounts of fresh water while drilling. The Company intends to resume its 4,250 foot drilling program before the end of September 2019.
  • Discovery Metals Corp. has been granted drilling permits for its Monclova project in Coahuila. “The Real Viejo area is the key near-term target. It hosts five historic shallow underground mines along a strike of 1.5km at a limestone-intrusive rock contact”, with rock channel samples averaging 277 gpt Ag, 6.7% Zn, 1.9% Pb. The Real Viejo area is 2 square-km in size and is located along the southern contact of the Monclova intrusive complex, where a series of Ag-ZnPb mineralised, silica-rich vein, replacement bodies (mantos), skarn-altered embayment zones and breccias 2-10 m wide are located.
  • Fresnillo Plc. is realizing exploration work in the Guanajuato district, mainly near Mineral de La Luz.
  • Magna Gold Corp. initiated its phase one exploration program on the Mercedes project in Sonora. The aim on this phase is to confirm the existence (suggested by historical drilling) of an oxide zone of quartz stockwork Au-Ag mineralisation 60 m wide and 220 m long, and a surface study including geological mapping of a 500 ha zone and  systematic rock chip and soil geochemical surveys.

ON MINING

  • Torex Gold Resources Inc. reported Q2 2019 gold production of 113,600 Oz Au at its Limon-Guajes mine in Guerrero. Plant throughput averaged 11,670 tonnes per day (tdp), underground mine production was 1,280 tpd, open pit ore production was 18,600 tpd and the open pit strip ratio was 6.8:1.
  • Coeur Mining Inc. announced second quarter 2019 production. At Palmarejo, in Chihuahua, 447.7 K tonnes were milled @ 2.18 gpt Au, 147.4 gpt Ag, with recoveries of 87.7% Au, 81.8% Ag to produce 28,246 Oz Au, 1.7 M Oz Ag. Production at the La Nacion deposit began and is anticipated to add 400 tpd of mill feed.
  • Great Panther Mining Ltd. presented second quarter 2019 results including figures from its Mexican operations. At Topia, in Durango 18.4 K tonnes were processed @ 392 gpt Ag, 1.01 gpt Au, recovering 93.9% Ag, 58.9% Au to produce 218 K Oz Ag, 353 Oz Au, 453 tonnes Pb, 575 tonnes Zn. At the Guanajuato mine Complex, solely from the San Ignacio mine, 45.5 K tonnes were processed @ 2.52 gpt Au, 105 gpt Ag, recovering 85.5% Ag, 87.0% Au, to produce 388.4 K Oz Ag, 3,209 Oz Au.
  • GoGold Resources Inc. reported production results from its tailings project in Parral, Chihuahua. During the period 250 K Oz Ag, 2,281 Oz Au were recovered.

Endeavour Silver Corp. disclosed second quarter 2019 production results from its four mines in Mexico.

Endeavour Q2 2019 Production table1

ON FINANCING

  • Mexican Gold Corp. is undertaking a non-brokered private placement for aggregate gross proceeds of up to $4 M (Las Minas, Veracruz).
  • Impact Silver Corp. completed the first tranche of its non-brokered private placement, raising gross proceeds of $1.23 M, and announced the increase on the second tranche of financing to up to $1.5 M (Zacualpan, Estado de Mexico).
  • Evrim Resources Corp. announced the approval of the grant of 1 M stock options to an officer under the terms of the company’s stock option plan (Cerro Cascaron, Chihuahua).
  • One World Lithium Inc. closed the first tranche of its private placement financing, raising CDN$734.6 K (Salar del Diablo, Baja California. Please note there is not a Baja California Norte state in Mexico).
  • Oceanus Resources Corp. closed a non-brokered private placement raising $750 K (El Tigre, Sonora).
  • Silver One Resources Inc. increased its previously announced private placement, for gross proceeds of $5 M (La Frazada, Nayarit).
  • Advance Gold Corp. closed the non-brokered private placement financing previously announced, for gross proceeds of $234 K (Tabasquena, Zacatecas).
  • Millrock Resources Inc. plans to raise gross proceeds of between $1 M and $1.5 M through a non-brokered private placement. Finder’s fees of 7% cash and 7% finder’s warrants may be paid in connection with the Offering (Batamote, Sonora).

ON RESOURCES AND DEVELOPMENT

  • SilverCrest Metals Inc. filed the technical report titled “Technical Report and Preliminary Economic Assessment for the Las Chispas Property, Sonora, Mexico”. The PEA results were previously released.
  • VVC Exploration Corp. received the environmental permit and a land use change permit for its Samalayuca copper property in Chihuahua. With those permits the company can initiate mining operations in the Gloria zones of the Kaity claim. VVC began bench testing with mineralised material from the Gloria zones to assess metallurgy with different crush sizes and acid flow rates.
  • SilverCrest Metals Inc. provided the first underground sample results from the Babicanora vein on its Las Chispas project in Sonora. A total of 133 samples were collected from blast faces for 35 m of a 3.5 m by 3.5 m drift along the vein, same that averaged 2.6 m (vein width) @ 13.70 gpt Au, 1,107 gpt Ag (or 2,132 gpt AgEq). Some of the best intervals released comprise: 3.9 m @ 62.66 gpt Au, 4,610 gpt Ag (including 0.6 m @ 336 gpt Au, 26,435 gpt Ag); 4.1 m @ 13.91 gpt Au, 709 gpt Ag; 3.5 m @ 16.69 gpt Au, 2,192 gpt Ag; 1.8 m @ 53.18 gpt Au, 3,548 gpt Ag; 3.2 m @ 12.89 gpt Au, 799 gpt Ag; 5 m @ 16.69 gpt Au, 2,192 gpt Ag; 3.2 m @ 18.74 gpt Au, 459 gpt Ag; 2.1 m @ 14.77 gpt Au, 1,542 gpt Ag; 2.5 m @ 15.27 gpt Au, 1,426 gpt Ag; 2.5 m @ 21.73 gpt Au, 1,231 gpt Ag.
  • Goldplay Exploration Ltd. encountered a broad gold zone at the Nava target of its San Marcial project in Sinaloa. The results come from a zone 300 m west of the first Nava trenches, where a 31 m true width (tw) zone mineralised zone of epithermal quartz veins and a zone of intense stockwork which returned 17.7 m (tw) @ 2.11 gpt Au. The target is to be drill tested on the next drill program with a couple of holes.

ON DEALS AND CORPORATE ISSUES

  • Orex Minerals Inc. entered into an agreement with Pan American Silver Corp. to negotiate a formal JV agreement on the Sandra Escobar project in Durango, to replace a previous agreement from 2015, and will suspend the operation of the 2015 agreement until the new agreement is entered into, or until December 31, 2019, whichever is earlier.
  • Oroco Resources Corp. entered into a letter of agreement for the acquisition of an 80% interest in the 766.7 ha Rossy mining concession located within Oroco’s land package on the Santo Tomas district in Sinaloa. The company has to pay US$125 K over two years and issue 300 K shares and grant 1.5 NSR.

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, orogenic gold style milky quartz vein bearing pyrite and jarosite in Oaxaca. Picture by Jorge Cirett

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One World Lithium Announces Initial Drilling Results and Future Drilling Program

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VANCOUVER, BC – July 11, 2019 – One World Lithium Inc. (OTCQB -OWRDF) (CSE-OWLI) (the “Company” or “OWL”) announces it has received drilling results from JehCorp Inc., the operator. The results from the initial five holes did not drill deep enough to test the geophysical, geochemical, and geological targets as previously disclosed. In summary, the planned target depths for drill holes 1,3,6,9, & 11 totalled 1,700 meters (5,600 feet) where the actual total depths reached were 690 meters (2,260 feet) from the Company’s Salar del Diablo Property located in the State of California Baja Norte, Mexico.

One World Lithium Announces First Tranche Closing of Private Placement

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VANCOUVER, BC – JULY 8, 2019 – One World Lithium Inc. (OTCQB -OWRDF) (CSE-OWLI) (the “Company”) (“OWL”) announces that it has closed a portion of its private placement which was previously announced on June 7, 2019. The Company raised $ 734,586 CDN to date through the issuance of 3,672,930 units at a price of $0.20 per unit under the offering leaving $ 1,265,414 of the offering yet to close. Each unit consists of one common share of the Company (a “Common Share”) and one-half of a nontransferable Common Share Purchase Warrant (each whole warrant, a “Warrant”). Each Warrant will entitle the holder to purchase one Common Share at a price of $0.25 for a period of 24 months from the closing of the offering. All securities are subject to a four month and one day hold from the closing date.

The Mining and Exploration News in Mexico: Highlights on the Second Week of June, 2019

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By Jorge Cirett

During the 26th week of the year (June 24th to June 30th, 2019), at least 43 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, a resolution by the Supreme Court is awaited to learn how the Mining Fund resources are to be allocated, if for social and environmental infrastructure (as planned) or as direct allocations to the people of the communities, the preferred method of the president (a method the opposition denounces as vote buying). In Sonora a local congressman introduced a bill for a new state tax on dirt extracted from open pits, a measure that if implemented is to pose a further weight in the already heavy fiscal load for mining companies in Mexico. Furthermore, the Economy Secretariat (Secretaria de Economia) published a letter stating that the “Protocol of Good Practice of Mining for the Public Consultation” (Protocolo de buenas practicas de la Minería para la consulta pública) is under review by the agency. It is not possible to underrate the importance of the review of this protocol, because if it is implemented incorrectly the result would impact fast and catastrophically the Mexican exploration industry. One of the more pressing issues is the fact that placing the consultation process before exploration takes place, would end most exploration in one swipe. If in doubt, just take a look to Oaxaca, where, although not being in the law you have to make the community consultation process before exploring, and the result is that hardly any exploration work is nowadays conducted in one of the states with the best mineralization potential in Mexico. Trust is hard to earn, let’s not throw it away so carelessly. ON EXPLORATION, In Zacatecas, Galore continues to drill at Dos Santos; Alien Metals updated on its exploration of Donovan 2 and Los Campos. ON MINING, Alien Metals released its financial results for 2018. ON FINANCING, Santacruz signed an agreement to extend the payment of a US$2.3 M loan. Galore is making a $1.5 M financing. Goldplay closed an oversubscribed financing for $1.37 M. Leagold completed a debt refinancing for a $200 M term loan and a $200 M revolving credit facility. ePower intends to conduct a private placement for Cdn$6 M. Sable granted 2.8 M incentive stock options. Alien Metals raised £350 K.  ON RESOURCES AND DEVELOPMENT, Mexus Gold  is to start leaching at Santa Elena, in Sonora. Telson reported significant underground channel sample results at Tahuehueto. Orla presented the result of the FS on Camino Rojo. Premier Gold presented results of its 42,000 m drilling campaign at Mercedes. Southern Silver file a technical report with updated resources on Cerro Las Minas. Santacruz presented results of drilling at Veta Grande. GoGold released results of drilling at Los Ricos. SilverCrest informed the decline has intersected the Babicanora vein at Las Chispas. Minera Alamos informed on the permitting of Santana. Almaden updated on permitting and legal issues at its Ixtaca project in Puebla. ON DEALS AND CORPORATE ISSUES, Millrock sold its Sonoran portfolio to Riverside. ePower Metals entered into a definitive agreement with Minera Alamos to acquire the Los Reyes project in Sinaloa. Silver Viper renegotiated much better terms on the lease of two properties within its La Virgina project in Sonora. Golden Minerals entered into an agreement under which Minera Autlan is to buy its Velardeña properties. Bacanora Lithoum signed an investment agreement and an offtake agreement with Ganfeng Lithium on its Sonora lithium project. Canasil and Pan American agreed on terms for the acquisition of Pan American of the Sandra Escobar project in Durango.

ON MEXICO ISSUES

  • The Economy Secretariat is awaiting the resolution of the Supreme Court on the change of rules to apply the Mining Fund, which this year is anticipated to be amounting to 3.2 billion pesos (3,200 millones) or approximately US$168.4 M. The proposal by the present Federal government (ie.- the president) is to deliver the resources directly to the people to “augment the capacities” of the mining communities. The aim would be to organize the community and the service providers to be part of the service chain for the mining industry. The resources on the Mining Fund to date are to be funneled according with the current rules, until a resolution by the Supreme Court clarifies the issue.
  • In Sonora, local congressman Carlos Navarrete from the Encuentro Social party (allied to the Morena party) introduced a bill for a new State tax on dirt extracted from open pits (includes waste, sand, dimension stone, clays, limestone, lime, among others). The US$0.63 tax per cubic metre of material would be split 80/20 between the municipalities and the State. The resources would be utilized in physical investments and infrastructure with social impact, in the environment and urban development (The bill intends to use the resources thus gathered in the same way that those of the Mining Fund were supposed to be used, and for which a 7% federal royalty tax was imposed on mining a few years ago. Now that the current president Andrés Manuel Lopez Obrador intends to use the resources of the Mining Fund for his preferred programs, allied politicians are trying to make the mining industry pay even more taxes).
  • The Economy Secretariat published a letter on the “Protocol of Good Practice of Mining for the Public Consultation”. In the letter the Economy Secretariat states that the protocol is under review by the agency. On the Letter: The consultation process is to be applied to all communities that can be impacted by the mining activity. Also, both exploration and exploitation should be consulted before their realization. The responsible authority is to be the Economy Secretariat, with aid by the Instituto Nacional de los Pueblos Indigenas and other authorities (SEMARNAT, CONAGUA, CFE, local municipal and state governments), as well as the state and federal Human Rights Commissions.

ON EXPLORATION

  • Galore Resources Inc. informed its 2,500 m diamond core drilling program at the El Alamo target of its Dos Santos project in Zacatecas continues to progress well. The first hole “intersected multiple zones of alteration and brecciation …… silicified and brecciated limestone similar to those observed on the surface over a much wider zone than was anticipated”.
  • Alien Metals Ltd. updated on its exploration activities at its Zacatecas properties Donovan 2, Los Campos and Don Celso. Sampling and mapping at Donovan 2 has resulted in high grade mineralisation in historic workings open along strike, and channel sample assays of up to 1.15% Cu and float samples of up to 0.45 gpt Au. Planned work includes a ground induced polarisation (IP) geophysical survey before the first phase of drilling. Surface mapping and sampling will be undertaken at Los Campos and Don Celso properties, as well as underground sampling and a geophysical survey at Los Campos.

ON MINING

  • Alien Metals Ltd. released its audited financial results for 2018. The company owns the Donovan 2, Los Campos, San Celso and La Africana projects in Zacatecas. The company held US$0.7 M in cash and cash equivalents by the end of the period.

ON FINANCING

  • Santacruz Silver Mining Ltd. reached an agreement to amend the repayment terms of the US$2.3 M short-term loan that it has borrowed from a private Bolivian mining company. The principal balance of US$2.3 million is now to be repaid by January 30, 2020. As consideration for the extension on the date of repayment Santacruz is to increase the issue of 2 M warrants to 2.5 M warrants (Veta Grande, Zacatecas).
  • Galore Resources Inc. is to commence a non-brokered private placement to raise gross proceeds of up to $1.5 M (Dos Santos, Zacatecas).
  • Goldplay Exploration Ltd. closed its over-subscribed previously announced financing, for gross proceeds of $1.37 M. A total of $28.9 K was paid and 231 K warrants were issued as a finder’s fee payment (San Marcial, Sinaloa).
  • Leagold Mining Corp. completed the debt refinancing with a syndicate of lenders that includes a $200 million term loan and a $200 million revolving credit facility. These loans have been used to replace $238 million of existing short-term debt, and will aid in the development of the Bermejal underground complex, the Guadalupe open pit and the CIL plant construction at it Los Filos mine in Guerrero.
  • ePower Metals Inc. intends to conduct a non-brokered private placement to raise up to Cdn$6 M (Los Reyes, Sinaloa).
  • Sable Resources Ltd. granted 2.8 M incentive stock options to certain officers, directors, employees and consultants of the company. Such options are exercisable at a price of $0.15 for a period of five years (Margarita and Vinata, Chihuahua).
  • Alien Metals Ltd. raised £350 K through the placement of shares (Donovan 2, Los Campos, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Mexus Gold US. is to start leaching at its Santa Elena mine in Sonora (not to mistake for First Majestic’s Santa Elena mine, also in Sonora). Leaching is programmed to start on June 27th, with ore grading 1.8 gpt Au, 8 gpt Ag, to later on add ore @ 4 gpt Au, 12 gpt Ag. By September the company expects to be mining 3,500 tonnes per week.
  • Telson Mining Corp. reported significant channel sample assay results for underground mine development at its Tahuehueto project in Durango, where a 1,000 tonne per day mine is under construction. Highlighted results include: 2.42 m @ 5.76 gpt Au, 129 gpt Ag, 1.44% Cu, 3.8% Pb, 6.2% Zn; 5.50 m @ 3.31 gpt Au, 57 gpt Ag, 0.32% Cu, 0.9% Pb, 3.5% Zn; 5.38 m @ 4.41 gpt Au, 44 gpt Ag, 0.38% Cu, 1.5% Pb, 3.6% Zn; 7.0 m @ 5.12 gpt Au, 40 gpt Ag, 0.29% Cu, 1.0% Pb, 3.2% Zn; 6.45 m @ 5.69 gpt Au, 51 gpt Ag, 0.21% Cu, 2.3% Pb, 5.6% Zn; 4.42 m @ 8.70 gpt Au, 59 gpt Ag, 0.18% Cu, 1.7% Pb, 2.2% Zn; 4.08 m @ 9.27 gpt Au, 69 gpt Ag, 0.19% Cu, 0.6% Pb, 1.0% Zn; 3.56 m @ 7.95 gpt Au, 76 gpt Ag, 0.25% Cu, 3.3% Pb, 4.6% Zn. Individual assays are often above 5 gpt Au, and up to 28 gpt Au.
  • Orla Mining Ltd. presented the results of a feasibility study on its Camino Rojo Oxide project in Zacatecas. The main points include 18 K tonnes per day operation, with 44 M tonnes of ore to be put on the leach pad @ 0.73 gpt Au, 14.2 gpt Ag, containing 1 M Oz Au, 20.1 M Oz Ag. The expected recovery is 64% Au, 17% Ag, with an annual gold production of 97 K Oz Au at by-product cash cost $515 per Au Oz and an AISC of $576 per Au Oz. The after tax net present value (5%) is $142 M, with an after tax internal rate of return of 28.7% and a payback period of three years, all this in the case scenario of $1,250 per Au Oz price. The proven and probable mineral reserves stand at 44 M tonnes @ 0.73 gpt Au, 14.4 gpt Ag, whereas the measured and indicated resources amount to 353.4 M tonnes @ 0.83 gpt Au, 8.8 gpt Ag, containing 9.46 M Oz Au, 100.4 M Oz Ag. Inferred mineral resources are 60.9 M tonnes @ 0.87 gpt Au, 7.4 gpt Ag, containing 1.70 M Oz Au, 14.5 M Oz Ag.
  • Premier Gold Mines Ltd. presented exploration results of its 42,000 m drilling program at its Mercedes mine in Sonora. New mineralised veins have been confirmed at San Martin, opening the area 600 m to the west of the Lupita deposit. Drilling at San Martin returned multiple intercepts, including 7.2 m @ 4.64 gpt Au, 30 gpt Ag; 1.4 m @ 5.56 gpt Au, 38 gpt Ag. Ongoing delineation at Lupita includes intercepts of 3.9 m @ 10.3 gpt Au, 88 gpt Ag and 1.5 m @ 23.9 gpt Au, 71 gpt Ag. Exploration is to be activated at La Mesa area, adjacent to Agnico Eagle’s Santa Gertrudis project.
  • Southern Silver Corp. filed a NI-43-101 report with an updated mineral resource estimate for its Cerro Las Minas project in Durango (previously disclosed). The indicated resources amount to 11.1 M tonnes @ 105 gpt Ag, 0.1 gpt Au, 0.16% Cu, 1.2% Pb, 3.7% Zn, containing 37.5 M OZ Ag, 35 K Oz Au, 40 M Lb Cu, 303 M Lb Pb, 897 Lb Zn, Inferred mineral resources comprise 12.8 Mt @ 111 gpt Ag, 0.07 gpt Au, 0.27% Cu, 0.9% Pb, 2.8% Zn, containing 45.7 M Oz Ag, 31 K Oz Au, 76 M Lb Cu, 253 M Lb Pb, 796 M Lb Zn. “The overall objective of the 2019-20 exploration program is to continue to increase the existing resource base and to identify and drill test new epithermal vein systems within the larger claim package.”
  • Santacruz Silver Mining Ltd. released results from phase 1 of the current drilling program on the Veta Grande, Armados and Navidad veins on its Veta Grande project in Zacatecas. Highlighted true width intercepts comprise 0.55 m @ 761 gpt Ag, 0.2 gpt Au, 0.86% Pb, 1.84% Zn, 0.04% Cu; 1.94 m @ 65 gpt Ag, 0.75 gpt Au, 1.23% Pb, 3.84% Zn, 0.03% Cu at the Navidad vein; 2.40 m @ 227 gpt Ag, 0.88 gpt Au, 2.71% Pb, 2.64% Zn, 0.19% Cu; 1.59 m @ 280 gpt Ag, 0.61 gpt Au, 3.60% Pb, 3.24% Zn, 0.22% Cu.
  • GoGold Resources Inc. released results from two more diamond drill holes at its Los Ricos property in Jalisco. Highlighted intervals comprise 5.0 m @ 0.52 gpt Au, 161 gpt Ag; 6.3 m @ 2.14 gpt Au, 337 gpt Ag and 32.0 m @ 0.80 gpt Au, 179 gpt Ag, including 11.3 m @ 1.46 gpt Au, 348 gpt Ag. The 10,000 m HQ diamond drill program “is focused on defining the mineralized halo around the historical high grade ore shoots as defined by the underground workings and the 65 historical RC drill holes on the property”.
  • SilverCrest Metals Inc. informed the decline has intersected the Babicanora vein at the Las Chispas project in Sonora. The decline intersected the Babicanora vein and the newly identified Baby Vista vein, the first with 3.6 m true width and the second with 1.5 m true width. Additional highlighted infill results of the area 51 of the Babicanora vein include 7.6 m @ 26.6 gpt Au, 2,676 gpt Ag; 3.5 m @ 32 gpt Au, 3,417 gpt Ag; 5.6 m @ 13.6 gpt Au, 1,154 gpt Ag. The 51 in-fill drill holes totaling 18,488 m reported in this news release were “generally targeting mineralization on the outer edges of the current block model” have a weighted average true width of 2.2 m @ 7.17 gpt Au, 753 gpt Ag. An additional 40,000 to 50,000 m of infill and expansion drilling with 15 drill rigs on site focused on expanding mineralization and improving resource confidence. To date over 203,000 m of drilling have been sunk in the property. Ongoing work includes the Feasibility study expected in H1, 2020 development of the Babicanora Vein in Area 51 zone, stockpiling of high-grade material, an extensive metallurgical test program, geotechnical work and permitting for project development.
  • Minera Alamos Inc. received notification by SEMARNAT (Mexican environmental agency) confirming the successful completion of the technical review phase of the application (Estudio Tecnico Justificativo – “ETJ”) for the change of land use to allow the construction of mining and processing facilities at the Santana project area in Sonora. Phase 2 exploration will continue on the coming months, focusing to “demonstrate the potential of the project to host multiple “Nicho-style” mineralized systems that could be combined to supply feed material for an expanded regional production facility”.
  • Almaden Minerals Ltd. current focus at its Ixtaca property in Puebla relates to permitting and financing activities. “Review by Mexican authorities of Almaden’s environmental permit application (Manifestación de Impacto Ambiental, or “MIA”) continues in the normal course, and recently SEMARNAT, Mexico’s environmental authority, completed its public information meeting in the town of Santa Maria”. Almaden is engaged with several potential financing parties to secure funds for the development of the project. Regarding a decision by a lower court in Puebla State concerning Mexico’s mineral title system, Mexico’s Federal Congress, Senate, and Ministry of the Economy each filed appeals against the decision, as well as Almaden.

ON DEALS AND CORPORATE ISSUES

  • Ridgestone Mining Inc. entered into an agreement to acquire 100% interest in ten mining concessions adjacent to its Rebeico project in Sonora. The concessions cover 3,292 ha west of the Ridgestone claims, in an area with “numerous artisanal workings and mineralized outcrops”. Ridgestone has to make a $83 K payment and issue 5 M shares to the vendor.
  • Millrock Resources Inc. entered into an agreement to sell the La Union, Los Cuarentas, El Pima, El Valle and Llano del Nogal claim blocks to Riverside Resources Inc. The Santa Rosalia option from the Los Cuarenta project will also be transferred. The deal, that includes a geological database and exploration equipment, involves Riverside paying $35 K and issuing 150 K shares to Millrock, as well as a 0.5% net smelter royalty (NSR) on the El Pima and El Valle claims, and in the Santa Rosalia option.
  • ePower Metals Inc. entered into a definitive agreement with Minera Alamos Inc. and Vista Gold Corp. under which ePower has the right to earn 100% interest in the Los Reyes project in Sinaloa. In connection with the Transaction, the Company intends to change its name to “Prime Mining Corp.”, and will focus its resources on the immediate development of Los Reyes. ePower has to complete a $1.5 M cash payment to Minera Alamos, and assume the remaining option payments to Vista Gold of US$1.5 M on October 2019 and US$1.5 M on October 2021, as well as issuing Minera Alamos 9.45 M post-consolidation shares and 3.35 M warrants. ePower has to consolidate its common shares capital on a two-for-one basis and complete a financing of at least Cdn$6 M. The Los Reyes project has an historical estimate of 427.2 K Oz Au, 7.5 M Oz Ag in indicated resources and 196.7 K Oz Au, 4.8 M Oz Ag of inferred resources.
  • Silver Viper Minerals Corp. renegotiated the terms of the Rubi-Esperanza option agreement to purchase three mineral concessions within its La Virginia project in Sonora. The overall agreement reduced the total cash payments from $4.49 M to $3 M, augmented in one year the term of the option and crucially reduced the amount on the first three payments by $1.46 M, enabling Silver Viper to direct maximum expenditures to advancing the project. According to the new agreement the company has to pay US$50 K on June 2019 (paid), US$75 K on June 2020, US$100 K on June 2021, US$200 K on June 2022 and US$2.575 M on June 2023. A 2% NSR can be purchased for US$2 M within 5 years of the original agreement remains unchanged. “Surface geochemistry and prospecting have identified targets to the north, south and east of the El Rubi discovery (6 m TW @ 3.16 gpt Au, 228 gpt Ag) which will be tested during the next phase of drilling. In addition, Silver Viper has contracted Geotech Ltd. to conduct a 720 line-kilometer magnetic and radiometric survey over the El Rubi and La Gloria targets for a total coverage of 4,900 hectares”.
  • Golden Minerals Co. entered into an agreement to sell its Velardeña properties to Compañía Minera Autlán S.A.B. de C.V. for $22 M. The deal comprises the Velardeña properties, including the Velardeña and Chicago mines (currently in care and maintenance) and other adjacent exploration properties, and the lease agreement under which Golden Minerals has the oxide plant with Hecla thorough 2020. The proposed transaction also would include the sale of the Rodeo and the Santa Maria project concessions. Upon execution of this agreement, Autlan paid a deposit of US$1.5 million to Golden Minerals, which will be applied to the purchase price upon closing.
  • Bacanora Lithium PLC. signed an investment agreement and off-take agreement with Ganfeng Lithium Co. (a key player in the lithium industry globally). Once completed this agreement would form a major part of the financing package needed to develop the initial 17,500 tonnes per year production of lithium carbonate. The £14.4 M strategic investment provides Ganfeng with 29.99% of Bacanora, pre-emption rights and a director on the board. Another project level investment of £7.56 M in Sonora Lithium Ltd. (the holding company of the project) accrues Ganfeng 22.5% of the holding company, with an option to increase its interest to 50% within 24 months and the appointment of a director to the board. GFL will provide a plant and process commissioning team to assist Bacanora in delivering first production in 2021.
  • Canasil Resources Inc. and Pan American Silver Corp. signed the definitive agreement under which Pan American has the right to acquire Canasil’s interest in the Sandra Escobar project, in Durango. The transaction was closed for a payment of CDN$2 M and grant of a 2% NSR, with Pan American being able to buy 1% of the NSR by the payment to Canasil of CDN$4 M.

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, conglomerate with well-rounded quartz vein and silicified rock fragments in the coastal plain in Veracruz. Picture by Jorge Cirett.

IMG_1079 - copia

Bacanora Lithium plc Signing of Investment and Offtake Agreement with Ganfeng Lithium

Bacanora_29062019_nr

Bacanora Lithium plc (AIM: BCN), the London traded lithium company, is pleased to announce the signing of its Investment Agreement and Offtake Agreement (‘the Strategic Investment’) with Ganfeng Lithium Co., Ltd. (“Ganfeng” or “GFL”), the world’s largest lithium metals producer in terms of production capacity and the world’s third largest lithium compounds producer.  Both agreements, which are on substantially the same terms as outlined in the Company’s announcement on 20 May 2019, have now been submitted to the relevant authorities in China for approval and completion.  Completion of the Strategic Investment is anticipated by the end of July 2019 and would form a major part of the Company’s finance package for an initial 17,500 tonnes per annum lithium carbonate operation at the large scale, high grade Sonora Project in Mexico.

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

 

Quartz blade texture

By Miguel A Heredia

During the twenty three week of the year (June 17th to June 23th, 2019), at least 33 press releases were announced by companies working in Mexico, with sixteen disclosing deals and corporate issues, seven announcing financial rounds, six reporting on resources and development of their projects, and three informing on exploration results.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Baja California Norte, One World Lithium reported completion of holes 2019-01 and 2019-03 at its Salar del Diablo project, and reported results from the ongoing drilling program. In Durango, Gainey announced its plan to conduct a drilling program at its Las Margaritas project, with an initial phase of 16 drill holes for a total of approximately 2,190m.  ON MINING, no relevant news. ON FINANCING, Prize closed the second and final tranche of its non-brokered private placement for gross proceeds of $195K (Manto Negro project, Coahuila). Sonoro proposed to undertake a non-brokered private placement financing for gross proceeds of up to $750K (Cerro Caliche project, Sonora). Advanced Gold proposed to undertake a non-brokered private placement for gross proceeds of a minimum of $150K (Tabasquena project, Zacatecas). Goldplay announced that it will be undertaken a non-brokered private placement for gross proceeds of up to $1.1M, and increase it to $1,376,250 (San Marcial project, Sinaloa). Impact Silver announced a non-brokered private placement for gross proceeds of up to $1M (Zacualpan mine, State of Mexico). Discovery Metals announced it has applied to the TSX to extend the term of 31,237,000 outstanding common share purchase warrants (Puerto Rico project, Coahuila). Azure secured financing for A$ 2M via a convertible note (Oposura project, Sonora). ON RESOURCES AND DEVELOPMENT, Endeavour received final tailings permit for its Terronera mine in Jalisco. GoGold announced that it is moving forward with the installation of a sulfidation acidification, re-neutralization, and thickening (SART) plant at its Parral tailings re-processing facility in Chihuahua.  Azure provided an update of the mining and processing operation planned for its Oposura project in Sonora.  Torex announced maiden mineral reserves for its El Limón Deep Zone at its El Limón-Guajes Mining Complex in Guerrero. Telson released significant channel samples results from underground development at its Tahuehueto mine in Durango.  Silver Bull announced the extension at depth of its Sierra Mojada deposit in Coahuila. ON DEALS AND CORPORATE ISSUES, Newmont Goldcorp announced that it is ramping up operations at its Peñasquito mine in Zacatecas. Evrim and Harvest Gold extended their JV agreement on Cerro Cascaron project in Chihuahua. Sierra Metals and Fortuna Silver announced results from their annual general meeting of shareholders (Cusi mine, Chihuahua, and San Jose mine, Oaxaca respectively). Premier Gold and Azure announced that their annual general meeting of shareholders will be held on July 25 and on June 19, 2019 respectively.  Excellon, GoGold, Mexican Gold, and Minaurum announced management changes. Oroco engaged San Diego Torrey Hills to provide market awareness and investor relations services to the company (Santo Tomas project, Sinaloa). Telson announced that it will provide a company update in a conference to be held in New Jersey (Tahuehueto project, Durango). Santacruz reached an agreement to amend the repayment terms of a short-term loan that it has borrowed from a private mining company (Veta Grande project, Zacatecas).

 ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • One World Lithium Inc., announced the completion of holes 2019-01 and 2019-03 on its Salar del Diablo project in Baja California Norte, and sent all the samples from holes 2019-01, 03, 06, 09, and 11 to the lab for assays. The lab reported that 4 of the drill holes intersected aquifers that contain brines. A fifth hole intersected an aquifer that likely contains brine as the pH test was 8.6 which can be a good indicator of brines. “The presence of multiple aquifers containing brine indicates a potentially prospective area of over 20,000 hectares or 77 square miles on the northern third of the Salar del Diablo property”. One World also has staked an additional 28,030 hectares claim block bringing the company´s total claim block to 103,430 hectares or 399 square miles.
  • Gainey Capital Corp., announced its plans to conduct a drilling program at its Las Margaritas project in Durango. Gainey has been approved by SEMARNAT to drill up to 32 drill holes but will commence with an initial phase of 16 holes for a total of approximately 2,190m. Las Margaritas project consists of an undrilled low-sulphidation epithermal system in which surface sampling has returned up to 73.7 g/t Au.

ON MINING

  • No relevant news.

ON FINANCING

  • Prize Mining Corporation, closed the second a final tranche of its non-brokered private placement for gross proceeds of $195K. The total combined proceeds from the first and final tranches of the offering were $825K (Manto Negro project, Coahuila).
  • Sonoro Metals Corp., proposed to undertake a non-brokered private placement financing for gross proceeds of up to $750K. The gross proceeds will be used to complete the Phase 2 drilling program and fund the launch of a Phase 3 drilling program at its Cerro Caliche project in Sonora. Funding will also be allocated for the commissioning of preliminary studies required to produce a NI 43-101 compliant study to assess the viability of the development of a heap leach operation at its Cerro Caliche project.
  • Advanced Gold Corp., proposed to undertake a non-brokered private placement for gross proceeds of a minimum of $150K. The gross proceeds will be used to fund a geophysical program and further drilling at its Tabasquena project in Zacatecas.
  • Goldplay Exploration Ltd, proposed to undertake a non-brokered private placement for gross proceeds of up to $1.1M and increase it to $1,376,250. The gross proceeds of the offering will be used for exploration of its San Marcial project in Sinaloa, and for general and administration costs for its operations in Mexico and Canada.
  • Impact Silver , announced a non-brokered private placement for gross proceeds of up to $1M. The gross proceeds will be used to further explore its Zacualpan land package for high-potential Au-Cu targets such as Santa Teresa and manto America, Dense Media Separation engineering studies on the Capire VMS resource mill and production center, and ongoing efficiency improvements at the Guadalupe production mill. The Company reserves the right to increase the size of the private placement by up to 20%.
  • Discovery Metals Corp., announced it has applied to TSX to extend the term of 31,237,000 outstanding common share purchase warrants. “The Company is proposing to extend the expiry date of the warrants by an additional 18 months, such that each warrant will expire on February 17, 2021. The exercise price of all warrants will remain unchanged, at the current exercise price of $1.00 per common share”.
  • Azure Minerals Limited, secured financing for A$ 2M via a convertible note. This funding will enable Azure to meet start-up costs and working capital requirements at its Oposura project in Sonora.

 ON RESOURCES AND DEVELOPMENT

  • Endeavour Silver Corp., received final tailings permit for its Terronera mine in Jalisco. The authorization to change soil use on forest land was issued by SEMARNAT and gives the right to store tailings from the proposed Terronera high grade, underground Ag-Au mine in a secure, filtered dry stack tailings facility adjacent to the proposed plant site. “Now that the Terronera mine project is fully permitted, Endeavour Silver plans to complete a final improved pre-feasibility study in the 3rd quarter and arrange appropriate financing to build Endeavour’s next core asset. The mine is expected to produce more than 5M Oz AgEq (at an 80:1 Ag: Au ratio) over a minimum 12 year mine life”.
  • GoGold Resources Inc., announced that it is moving forward with the installation of a sulfidation acidification, re-neutralization, and thickening (SART) plant at its Parral tailings re-processing facility in Chihuahua. “The construction is planned to be completed before the end of 2019 at a cost of approximately $2.6 million USD and commissioning will begin immediately following practical completion”.
  • Azure Minerals Limited., provided an update of the mining and processing operation planned for its Oposura project in Sonora. High-grade mining is expected to start in the September quarter, at an anticipated production rate of 1,500 tonnes to 3,000 tonnes grading approximately 15% combined Zn + Pb. All mineralization to be mined has been classified under the indicated mineral resource category.
  • Torex Gold Resources Inc., announced maiden mineral reserves for its El Limón Deep Zone at its El Limón-Guajes Mining Complex in Guerrero. Probable mineral reserves as of April 2019 are 487,000 tonnes of 5.5 g/t Au and 6 g/t Ag to contain 86K Oz Au and 101K Oz Ag. Measured mineral resources are 797,000 tonnes of 5.52 g/t Au and 7 g/t Ag to contain 141K Oz Au and 170K Oz Ag, while inferred mineral resources are 1,090,000 tonnes of 5.2 g/t Au and 7 g/t Ag to contain 182K Oz Au and 243K Oz Ag. The mineral reserve is a subset of the mineral resource. The mineral resource is the downdip extension of mineralization in the El Limón open pit. It is located approximately 400 meters north-northwest of the Sub-Sill deposit and is open in three directions.
  • Telson Mining Corporation, released significant channel samples results from underground development at its Tahuehueto mine in Durango. Significant results are  87 g/t Au, 76 g/t Ag, 0.55% Cu, 3.7% Pb, and 12.1% Zn over 2.70m; 7.28 g/t Au, 83 g/t Ag, 0.56% Cu, 5.8% Pb, and 14% Zn over 3.45m; 8.25 g/t Au, 61 g/t Ag, 0.36% Cu, 3.1% Pb, and 6.8%Zn over 2.60m; 9.34 g/t Au, 69 g/t Ag, 0.73% Cu, 2% Pb, and 5.5% Zn over 3.07m; 6.98 g/t Au, 80 g/t Ag, 0.45% Cu, 4.3% Pb, and 5.7% Zn over 2.49m; and 12.55 g/t Au, 248 g/t Ag, 0.75% Cu, 6%Pb, and 8.6%Zn over 1.74m.
  • Silver Bull Resources Inc., announced that drilling results at its Sierra Mojada project in Coahuila have extended at depth the strike length of the deposit by 950m. Highlights include 5% Zn, 8.2% Pb, and 586 g/t Ag over 1.35m and 12.2% Zn, 1.4% Pb, and 53 g/t Ag over 1.8m in hole B19001; and 7.8% Zn, 1.5% Pb, and 36 g/t Ag over 2.05m in hole B19002, both holes in mixed oxide/sulphide mineralization. The company, along with its JV partner South 32 is conducting an initial 8,000m surface drill program targeting a series of possible sulphide extensions at depth to the main deposit, as well as a series of never before tested targets within the wider area.

ON DEALS AND CORPORATE ISSUES

  • Newmont Goldcorp Corporation, announced that it is ramping up operations at its Peñasquito mine in Zacatecas, following the lifting of an illegal blockade and the establishment of a dialogue process sponsored by the national government.
  • Evrim Resources Corp., & Harvest Gold Corp., extended their JV agreement on the Cerro Cascaron property in Chihuahua for a period of six months. Under the terms of the agreement, both companies will attempt to renegotiate the Cerro Cascaron deal and search for a new Au project in Mexico. Harvest has agreed to pay $55K to Evrim to maintain property payments at Cerro Cascaron while both parties renegotiate the Cerro Cascaron agreement. Once the Cerro Cascaron agreement has been renegotiated, Harvest Gold plans to complete a second target drill program on the property. Evrim also announced the appointment of its new VP of Exploration.
  • Sierra Metals Inc., announced results from its annual general meeting of shareholders (Cusi mine, Chihuahua).
  • Fortuna Silver Mines Inc., announced results from its annual general meeting of shareholders (San Jose mine, Oaxaca).
  • Premier Gold Mines Limited, announced its annual general meeting of shareholders will be held on July 25, 2019 (Mercedes mine, Sonora).
  • Azure Minerals Limited, announced its annual general meeting of shareholders to be held on June 19, 2019 (Oposura project, Sonora).
  • Excellon Resources Inc., appointed its new CFO and VP Corporate Development (La Platosa mine, Durango).
  • GoGold Resources Inc., announced management changes on its Board of Directors appointing a new Director, the same who will also serve as Chairman of the Board (Los Ricos project, Jalisco).
  • Mexican Gold Corp., announced the resignation of its President and Director and appointed its new CEO, the same that will serve as the new President and Director of the company. It also appointed its new CFO who will remain as a Director of the company (Las Minas project, Veracruz).
  • Minaurum Gold Inc., appointed a new Director to its Board. It also announced that Mr. David J Baker will be stepping down as a Director of the company (Alamo Silver project, Sonora).
  • Oroco Resource Corp., announced that it has engaged San Diego Torrey Hills Capital Inc., to provide market awareness and investor relations services to the company (Santo Tomas project, Sinaloa).
  • Telson Mining Corporation , announced that it will provide a company update at the John Tumazos Very Independent Research Metals Conference in Holmdel, New Jersey, including the discussion of the Q1 2019 financial results, and the progress being made in the construction of its on-site 1,000 tonnes per day mineral processing plant at its Tahuehueto project in Durango.
  • Santacruz Silver Mining Ltd., reached an agreement to amend the repayment terms of the US$ 2.3M short-term loan that it has borrowed from a private Bolivian mining company. The $US 2.3M payment is now to be repaid by January 30, 2010 (Veta Grande project, 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, quartz blade texture in a low sulphidation epithermal vein system in a prospect in Guanajuato, Mexico.  Photo by Miguel A Heredia.