The Mining and Exploration News in Mexico: Highlights on the Third Week of September, 2020

By Jorge Cirett

During the 38th week of the year (September 14th to September 20th, 2020), at least 38 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their projects, fourteen companies posted news related to financing or share structure, and six on their projects development. Companies that raised funds include Southern Silver, Oroco Resource, Comet Resources, Consolidated Zinc, First Majestic, Defiance Silver, Argonaut Gold, GoGold Resources and Silver Dollar Resources. ON MEXICO ISSUES, Fortuna Silver tries to avoid an illegal blockade from occurring at its San José mine in Oaxaca. Mexico loses positions in the 2019 Fraser Institute ranking on mining regions. Cancham points out the Mexican mining environment is facing multiple challenges. Guanajuato intends to form a Mining Cluster. Fernando Alanís, Camimmex president clearly explained how mining concessions function in Mexico. ON EXPLORATION, in Sonora, Minaurum started the second phase drilling program at its Alamos Silver project. In Sinaloa, Brigadier Gold released surface sampling results from its Picachos property. In Zacatecas, Minera Alamos released results from historical drill holes at Cerro de Oro; Alien Metals released underground and surface sampling results from San Celso and Los Campos; Advance Gold informed on the drilling (providing no results) at Tabasqueña. In Guanajuato, VanGold Mining updated on exploration/development at El Pinguico.  ON MINING, Mexus Gold is nearing the completion of a ball mill gravity gold recovery system at its Santa Elena mine in Sonora. Starcore International reported results for the last quarter. Excellon Resources provided production results for August 2020 from its Platosa mine in Durango. ON FINANCING, nine companies made announcements regarding the opening or closing of financing rounds: Southern Silver ($456 K), Oroco Resource ($7.26 M), Comet Resources (a streaming facility, up to $20 M), Consolidated Zinc (A$2 M), First Majestic (C$78 M), Defiance Silver (C$10 M), Argonaut Gold (C$10 M), GoGold Resources (C$30 M) and Silver Dollar Resources ($10.5 M). Silver Bull is going for a reverse stock split of 8 to 1. Canuc Resources and Solaris Resources are now trading at the OTCQB Venture Market. ON RESOURCES AND DEVELOPMENT, Discovery Metals released results from drilling at its Cordero project in Chihuahua. Almaden Minerals resumes exploration at its Ixtaca project in Puebla. GR Silver Mining released drilling results from its Plomosas project in Sinaloa. Magna Gold completed a pre-feasibility report on its San Francisco project in Sonora.  Excellon recommenced underground and surface drilling at its Platosa mine, Durango. SSR Mining is extending a decline to drill, from the underground, high-grade portions of the mineral resource at Pitarrilla, Durango. ON DEALS AND CORPORATE ISSUES, Sonora Metals is changing name to Sonoro Gold. Barksdale Resources informed on title issues that have promoted some changes on how the deal is structured with Tusk Resources on the San Javier project in Sonora. Southern Silver informed it has closed the transaction to acquire Electrum’s 60% interest on Cerro Las Mintas project, Durango. Odyssey Marine Exploration filed the First Memorial on a case against Mexico, related to the lack of issuance of an environmental permit to mine a large off-shore phosphate resource. Excellon Resources informed on the results of litigation relating to a land surface purchase near its Platosa mine in Durango. ON SOCIAL RESPONSIBILITY. Fresnillo PLC, Fortuna Silver and Frisco informed on sustainability, health, safety, environment, social and governance programs.

ON MEXICO ISSUES

  • Compañía Minera Cuzcatlán (Fortuna Mines), called for the civil organizations promoting an illegal blockage of the San José mine in Oaxaca to reconsider its program. The blockage is being called to pressure the authorities on the delivery of resources, an issue completely unrelated to the mining company.
  • In 2019 Mexico fell nine positions, according to the Fraser’s Institute. Mexico’s shine to attract mining investment is getting dull with the lack of confidence and certitude derived of the president’s declarations on the review of mining concessions and the recent disappearance of the Mining Sub Secretary. The federal government has been clear, under his tenure no mining concessions are to be issued. The president has stated that up to 40% of the country ground has been under mining concessions, and that amount should suffice (for mining companies) for thousands of years.
  • Armando Ortega, president of the Mining Task Force of the Cámara de Comercio de Canadá en México (Cancham) stated that the mining environment in Mexico is not propitious because political signals of ideological nature are not favorable to investment, and some measures announced by the government are worrisome. Among the factors supporting its points are: initiatives to forbid open pit mining; initiatives to enlarge natural protected areas, encroaching to areas of active mining; the initiative to change the law on water use, changing its regime from concession to license; the stated fact by the president to not to grant a single mining concession during his tenure; the disappearance of the Mining Sub Secretary; the extortion by unions to companies, exemplified by the tricky wining by Napoleón Gómez Urrutia of the collective contract at is Cosalá mine complex in Sinaloa.  
  • According to a Camimex post, projects that are coming into production include an expansion at Los Filos, Guerrero (Equinox Gold); Ixtaca, Puebla (Almaden Minerals); Camino Rojo, Zacatecas (Orla Mining); Las Chispas, Sonora (SilverCrest Metals); Santana in Sonora, La Fortuna in Durango and Cerro de Oro in Zacatecas (Minera Alamos).  
  • Guanajuato announced its intention to conform a Mining Cluster.
  • Fernando Alanís, Camimex (Cámara Minera de México) president, explained some facts on how mining concessions function in Mexico. According to the constitution everything under the surface is property of the Nation, hence the permit needed to extract gas, oil, water or minerals by individuals or companies, permit that is precisely a concession. In mining the concession is a permit to explore and mine an ore deposit if found, it provides no rights for surface rights, reason for which an agreement has to be negotiated with the surface owner to access the land. He stressed that having a mining concession is no guarantee of finding an ore deposit. To keep a mining concession, the concessionaire has to pay every six months a due per hectare, due that increases with the age of the concession, to avoid speculative land grabs; and also the concessionaire has to comply with a minimum yearly investment that also increases with the age of the concession, again to avoid speculation. According to the DGM (Dirección General de Minas) 20.7 M hectares are concessioned in México, out of almost 200 M hectares in the country, meaning about 10.35% of the country is concessioned, of which only 1 M hectares include a project in exploitation. The government granting of mining concessions is the more efficient way to exploit the natural resources, letting others run the risks and expensive investments of exploration. The government receives the due payments, and in case of an ore body being found and a mine built, receive taxes for its operation. Mining is the economic activity that has the steepest rate of taxes and dues, which add up to 55% on the income of mining firms.

ON EXPLORATION

  • Brigadier Gold Ltd. released sampling results from two vein systems at its Picachos property in Sinaloa. Highlighted results comprise 7 m @ 160 gpt Ag, 0.6 gpt Au; 3 m @ 205 gpt Ag, 0.2 gpt Au; 0.5 m @ 356 gpt Ag, 6.6 gpt Au at the Garabato vein system, and 1.6 m @ 1.9 gpt Au, 98 gpt Ag, 0.6% Cu, 3.7% Pb, 1.5% Zn; 1.0 m @ 21.3 gpt Au, 5 gpt Ag, 3.2% Pb, 0.8% Zn; 0.2 m @ 56.7 gpt Au, 288 gpt Ag, 1.9% Cu, 5.9% Pb, 1.3% Zn at El Pino. The Garabato veins are coincident with a 20 ha soil anomaly that returned up to 36 ppm Ag, 366 ppm Cu, 1,049 ppm Pb, 1,184 ppm Zn. Three basins draining the El Pino vein system show stream sediment anomalies of up to 1.72 ppm Au, 0.9 ppm Ag, 597 ppm Pb and 329 ppm Zn.
  • Minaurum Gold Inc. announced the start of a 20,000 metre Phase II drilling program at its Alamos Silver project in Sonora. The program will commence with one rig offsetting an intercept of 8.25 m @ 1,760 gpt Ag on the Europa-Guadalupe veins, while a second rig will test targets at Promontorio, where recently acquired historical data revealed intercepts of up to 12.2 m @ 710 gpt Ag (Note.- Take a look to the press release, it is worth it).
  • Minera Alamos Inc. released additional historic drill data on the Cerro de Oro project in Zacatecas. The reverse circulation holes were drilled by a private operator in 2017-2018, to refine the previous drilling by Noranda in the 1990’s. Some of the highlighted results comprise 48 m 0.70 gpt Au; 112 m @ 0.42 gpt Au, 40 m @ 0.51 gpt Au; 64 m @ 0.38 gpt Au; 42 m @ 0.42 gpt Au; 100 m @ 0.42 gpt Au; 54 m @ 0.76 gpt Au; 102 m @ 0.38 gpt Au; 72 m @ 0.47 gpt Au; 56 m @ 0.47 gpt Au; 66 m @ 0.33 gpt Au;  96 m @ 1.10 gpt Au; 42 m @ 0.50 gpt Au.
  • Alien Metals Inc. informed on underground and surface sampling results from its San Celso and Los Campos projects in Zacatecas. At San Celso, underground sampling confirmed 2006 sample results, like 0.9 m @ 477 gpt Ag (0.5 m @ 422 gpt Ag on previous sample) and 1.4 m @ 225 gpt Ag (1.6 m @ 335 gpt Ag on previous sample). At Los Campos, dump sampling returned up to 0.3 gpt Au, 254 gpt Ag, 0.12% Pb, 0.07% Zn. The Nueva Andromeda claim, adjacent to San Celso, has been optioned.
  • VanGold Mining Corp. updated on exploration at its El Pinguico project in Guanajuato. Approximately 40 m have been sampled on a recently cleared section of the shaft, a 3D model is being generated, sampling for XRF sampling are being collected on #4 adit, and trenching of additional surface exposures and clearing of the #7 adit are being performed.
  • Advance Gold Corp. reported on the drilling done at its Tabasqueña project in Zacatecas. “Of the four holes drilled to date into the 3500-metre continuous IP chargeability anomaly, drill hole AGT-16 has encountered the best mineralization, including a 10.7 metre sulphide zone. Mineralization in this hole has zones of semi-massive pyrite, containing 15 to 30% pyrite, together with up to 3% sphalerite and some galena (core photos shown below and on company website). The first three holes intersected stacked lenses of disseminated sulphides and are around 3000 metres to the south of AGT-16”.

ON MINING

  • Mexus Gold US. is nearing the completion and test running of its high grade ball mill gravity gold recovery system at its Santa Elena mine in Sonora (not to mistake with First Majestic’s Santa Elena mine, also in Sonora). The company will mill material from a quartz vein with a 10 gpt Au cutoff, and recover the gold through the gravity system, while lower grade ore continues to be placed on the heap leach.
  • Starcore International Mines Ltd. Reported results of the first quarter ended July 31, 2020. Production during the period at its San Martin mine in Queretaro included the milling of 59.1 K tonnes @ 1.70 gpt Au, 29.2 gpt Ag, recovering 88.8% Au, 56.5% Ag, to produce 2.9 K Oz Au, 32.5 K Oz Ag.
  • Excellon Resources Inc. provided August 2020 production results from its Platosa mine in Durango. During the month 7.6 K tonnes were mined, 8.5 K tonnes processed @ 451 gpt Ag, 4.95% Pb, 6.76% Zn, recovering 86.8% Ag, 78.8% Pb, 78.9% Zn, to produce 106.7 K Oz Ag, 729.1 K Lb Pb, 997.2 K Lb Zn.

ON FINANCING

  • Silver Bull Resources. management approved a 1-for-8 reverse stock split of the of the company’s issued and outstanding common stock (Sierra Mojada, Coahuila).
  • Southern Silver Exploration Corp. closed the recently announced non-brokered private placement for gross proceeds of $456 K (Cerro Las Minitas, Durango).
  • Oroco Resource Corp. closed a non-brokered private placement for gross proceeds of $7.26 M (Santo Tomás, Sinaloa).
  • Canuc Resources Corp. announced it is now trading its shares on the OTCQB Venture Market (San Javier, Sonora).
  • Comet Resources Ltd. executed a binding agreement with Raptor Capital International Ltd.for the provision of a streaming facility to provide a minimum of US$6m and up to US$20m in funding for development of the Santa Teresa High Grade Gold Project in Baja California”.
  • Southern Silver Exploration Corp. informed on private placements recently closed. A brokered offering for gross proceeds of C$10 M followed by a non-brokered offering for gross proceeds of C$4 M and a non-brokered private placement for gross proceeds of $456 K (Cerro Las Minitas, Durango).
  • Consolidated Zinc Ltd. Intends to undertake “a fully underwritten non-renounceable pro rata entitlement offer on the basis of three (3) new fully paid ordinary shares (“New Shares”) for every eleven (11) Shares held on 24 September 2020”. The intention is to raise approximately A$2 M (Plomosas, Chihuahua).
  • First Majestic Silver Corp. closed its previously announced bought deal with Eric Sprott for gross proceeds of CDN$78 M (Santa Elena, Sonora; San Dimas, Durango).
  • Solaris Resources Inc. announced its common shares have been approved to trade on the OTCQB Venture Market, effective September 17, 2020 (La Verde, Michoacan).
  • Defiance Silver Corp. closed the previously announced brokered private placement for gross proceeds totaling C$10 M (Veta Grande, Zacatecas).
  • Argonaut Gold Inc. entered into an agreement with a syndicate of underwriters with a bought deal private placement financing for aggregate gross proceeds of C$10 M (La Colorada, Sonora).
  • GoGold Resources Inc. closed its previously announced bought deal offering for gross proceeds of C$30 M (Los Ricos South, Los Ricos North, Jalisco).
  • Silver Dollar Resources Inc. completed its previously announced non-brokered private placement to raise $10.5 M in gross proceeds (La Joya, Durango).
  • Silver Viper Minerals Corp. announced that it has elected to accelerate the expiry date of the common share purchase warrants issued on September 24, 2019, to the new date of October 8, 2020 (La Virginia, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Discovery Metals Corp. released results from four diamond drill holes targeting bulk-tonnage mineralization in the South Corridor at its Cordero project in Chihuahua. Highlighted intercepts comprise 401.7 m @ 49 gpt Ag, 0.07 gpt Au, 1.0% Pb, 1.1% Zn ( including 30.3 m @ 57 gpt Ag, 0.10 gpt Au, 0.8% Pb, 2.2% Zn; 112.3 m @ 96 gpt Ag, 0.08 gpt Au, 2.0% Pb, 1.8% Zn; 44.2 m @ 84 gpt Ag, 0.10 gpt Au, 1.8% Pb, 2.0% Zn); 5.1 m @ 231 gpt Ag, 0.21 gpt Au, 2.0% Pb, 2.6% Zn; 15.7 m @ 111 gpt Ag, 0.06 gpt Au, 1.7% Pb, 0.2% Zn.
  • Almaden Minerals Ltd. announced its intention to resume exploration in the area of the Ixtaca project in Puebla. “This program is starting with a desktop review of exploration data previously gathered, which is expected to lead to further field work in the near-term which may include mapping, surface sampling, geochemical stream silt and soil sampling, and geophysics. These data will be used to design a future drill program”.
  • GR Silver Mining Ltd. Released results from its surface core drilling program at Plomosas, Sinaloa. The drilling completed to date has delineated a 700 m mineralized zone with multiple veins including a low angle Pb-Zn-Ag rich hydrothermal breccia and high angle low sulfidation vein and stockwork systems. Highlighted true width intercepts comprise 6.0 m @ 85 gpt Ag, 0.4 gpt Ag, 1.1% Pb, 0.6% Zn (including 2.5 m @ 172 gpt Ag, 0.9 gpt Au, 2.7% Pb, 1.4% Zn); 22.3 m @ 48 gpt Ag, 0.1 gpt Au, 0.3% Pb, 0.6% Zn.
  • Magna Gold Corp. released the results of its recently completed pre-feasibility report on its San Francisco mine in Sonora. The report presents a base case at $1,450 per Oz Au with an NPV (Net present Value) of $80 M at 5% discount rate, producing 69 K Oz Au per year from 2021 to 2027 at an average all-in sustaining cost cash cost of $1,204 per Au Oz and no major capital required for resuming mining. Mineral reserves stand at 47.6 M tonnes @ 0.495 gpt Au, containing 758 K Oz Au and mineral resources (including mineral reserves) comprise 99.7 M tonnes @ 0.446 gpt Au, containing 1.43 M Oz Au. The inferred resources category includes 11.4 M tonnes @ 0.467 gpt Au, containing 171 K Oz Au.
  • Excellon Resources Inc. “has recommenced underground and surface drilling at the Platosa Mine and broader Platosa Property, respectively. Underground exploration is focused on expanding and further defining known mineralization. Surface exploration is focused on near mine targets around the Platosa deposit and the Jaboncillo and PDN targets north of the mine. Jaboncillo, 11 kilometres northwest of the Platosa Mine, is a Platosa-style target with a 4 x 4 kilometre alteration footprint, multiple times the size of the Platosa footprint, where the Company intersected near-surface gossans in 2019 drilling. PDN, two kilometres north of the Platosa Mine, is a skarn-style geophysical target that may be associated with the skarn discovery made in 2012 at Rincón del Caído”.
  • SSR Mining Inc. informed it is planning to spend $5 M in 2020 at Pitarrilla, Durango. The investment is part of a “program to extend an existing decline to provide drill access to the underground Mineral Resources. An improved geological model from work completed in 2019 indicates strong potential to better define known, high-grade mineralized veining associated with steeply dipping rhyolite dyke contacts. Extending the underground ramp provides access for tighter spaced drilling at better orientations to test the rhyolite dykes and veins for continuity. If infill drilling confirms the continuity of high-grade mineralized structures, there would be potential to enhance the grades of existing Mineral Resources“.

ON DEALS AND CORPORATE ISSUES

  • Sonoro Metals Corp. changes name to Sonoro Gold Corp. on September 9, 2020 (Cerro Caliche, Sonora).   
  • Barksdale Resources Corp. informed thatFollowing a detailed due diligence campaign, the Company identified certain title issues with respect to three of the twelve mining concessions comprising approximately 307.46 hectares of the total lands covered under the option. Tusk Exploration Ltd (“Tusk”) is in the process of rectifying these title issues and expects the process to be completed in 2021. Until the title issues have been rectified, Barksdale and Tusk have agreed to defer 35% of the Year 1 and Year 2 option cash and share payments” (San Javier, Sonora).
  • Southern Silver Exploration Corp. closed the transaction with Electrum Global Holdings L.P. to acquire Electrum’s 60% indirect working interest in the Cerro Las Minitas project in Durango. Southern Silver must pay Electrum US$15 M in a combination of cash and common shares, of which US$5 M and 2.34 M shares and a credit of C$1.35 M deposit have been paid. Remaining are US$2 M and shares equal to US$2 M to be paid on March of 2021 and US$2 M and shares equal to US$2 M to be paid on September of 2021.
  • Odyssey Marine Exploration Inc. filed “the First Memorial in the case brought against Mexico under the North American Free Trade Agreement (NAFTA) on its behalf and on behalf of subsidiary Exploraciones Oceánicas (ExO), alleging that Mexico wrongfully denied environmental approval of the ExO Phosphate project in breach of NAFTA ….. Odyssey seeks damages of more than $2.3 billion including interest from April 2016 to the date of the First Memorial’s submission”.
  • Excellon Resources Inc. informed an appeal on the acquisition of 295 hectares north of the Platosa mine (in Durango) was denied by an appeals court in Mexico. “The Company does not consider the land material to its mining operation or exploration activities. The decision does not impact Excellon’s mineral rights and the Company does not expect it to have any impact on its operations”.

ON SOCIAL RESPONSIBILITY

  • Fortuna Silver Mines (San José mine in Oaxaca) has added a new sustainability section on its website, where the company´s sustainability approach is expressed, as well as its environmental, social, and governance (ESG) management and performance.
  • Great Panther Mining Ltd. announced the publication of its first sustainability report highlighting the progress, initiatives and commitments in the areas of health, safety, environmental, social, and governance management.
  • Fresnillo PLC, Minera San Xavier and Frisco informed on health and community programs on the areas of their respective projects.

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: Opaline silica layer in the vadose zone of a low sulfidation system in Queretaro. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Third Week of August, 2020

By Jorge Cirett

During the 34th week of the year (August 17th to August 23rd, 2020), at least 36 press releases were announced by companies working in Mexico. To note, twelve of those were either opening or closing rounds of financing, several presenting oversubscriptions. Even with the difficulties to assign the total amount to any given week, the announcements on this period add up to $38.3 M and C$90.5 M, standing out Chesapeake’s $20 M and Americas Silver C$35 M. ON MEXICO ISSUES, the Guanajuato Mining Cluster is being consolidated; The MIA on Camino Rojo in Zacatecas has been approved; A new Mining Museum opens in Zimapan, Hidalgo; Francisco Quiroga, Mining Undersecretary stressed community acceptance is vital for mining companies; Minera Peñasquito and the Cedros Ejido have signed a new agreement; Foreign investment decreased during the first half of 2020; Neida Patricia Madrid, is the first large shovel female operator in Mexico; The Mexican mining industry lost 4 billion dollars in two months. ON EXPLORATION, in Sonora, Tarachi Gold released assay results from trenching at its Tarachi project. In Zacatecas, VanGold Mining accessed the #6 level on the Pinguico mine. Advance Gold is extending the IP survey at Tabasqueña. ON MINING, Odyssey Exploration continues to seek a favorable resolution on the litigation to obtain the development permit for its offshore Exploraciones Oceanica project in Baja California Sur. Americas Silver informed the illegal blockade at its Cosalá complex in Sinaloa was lifted, and the process for new union elections is coming. Mexus Gold is acquiring more heavy equipment for its Santa Elena mine in Sonora. Premier Gold informed of positive cash flow under its new reduced production plan at Mercedes, in Sonora. ON FINANCING, twelve companies made announcements regarding the opening or closing of financing rounds: Golden Tag ($7 M), VanGold Mining ($3.97 M), Southern Silver Exploration (C$14 M), Sable Resources (C$9 M), Tarachi Gold (C$9.49 M), Minera Alamos (C$13 M), Defiance Silver (C$7 M), Americas Silver (C$35 M), Chesapeake Gold ($20 M), Orex Minerals ($5.5 M), Monarca Minerals (C$3 M), Silver Spruce ($1.8 M). ON RESOURCES AND DEVELOPMENT, Azure Minerals has sent samples for metallurgical studies from the Mesa de Plata deposit at its El Alacrán project in Sonora. Prime Mining released trench results from Los Reyes, in Sinaloa. Discovery Metals released drilling results from high-grade veins from its Cordero deposit in Chihuahua. Aura Minerals updated on exploration efforts at its Aranzazu project in Zacatecas. GoGold Resources released results from six more holes at Los Ricos North, in Jalisco. ON DEALS AND CORPORATE ISSUES, Southern Silver entered into a definitive agreement with Electrum Global Holdings to acquire Electrum’s interest in the Cerro Las Minitas project in Durango. Evrim Resources and Renaissance Gold completed its merger and name change to Orogen Royalties. Sun River Gold has increased its ownership in an additional 5% NPI of the mine tailings project at El Oro, Estado de Mexico. VanGold Mining signed an agreement to re-purchase the underlying royalties on its El Pinguico project in Guanajuato. Zanzibar Gold appointed Sergio Trelles as special advisor to the board. Megastar Development amended the option agreement to extend the dates for expenditures at the Rama de Oro, Yautepec and Magdalena projects in Oaxaca. ON SOCIAL RESPONSIBILITY. Grupo Mexico, Fresnillo PLC, Peñoles, Minera Media Luna and Minera Fresnillo informed on donations and community involvement measures on the areas near their operations.

ON MEXICO ISSUES

  • The Guanajuato Mining Cluster is being consolidated. The move seeks to develop local industries as service providers for the mining industry.
  • SEMARNAT (the Mexican environmental agency) approved the Environmental Impact Report (MIA) of Orla Mining to develop the Camino Rojo Oxide project in Zacatecas.
  • The Mining Museum has been inaugurated in Zimapan, Hidalgo.
  • Francisco Quiroga, sub secretary of Mining, in the Camimex organized “Mining in the New Normality” forum, stressed that the main challenge for mining companies is to work on its acceptance by communities.
  • Minera Newmont announced the signing of the agreement between the company and the Cedros Ejido in Peñasquito, Zacatecas. To work free of illegal blockades, the company is to solve the damage to the El Socavon spring, build infrastructure to promote physical activities, develop a social area, build a civic plaza and revise the temporal occupation agreements of the mining unit at Cedros. To reach this accord 60 workshops were held with the mediation of the governor Alejandro Tello, Francisco Quiroga (Mining sub secretary) and the Secretary of the Interior Olga Sanchez.
  • The foreign direct investment in Mexico decreased during the first half of 2020 in sectors like mining, electricity and tourism. The economic crisis has coupled with changes in the regulation of the electricity generation market and the cancellation of already permitted developments like the investment by Constellation Brands and its Brewery in Baja California, to reduce the attraction to invest in the country.
  • First woman to be operator of a mechanical shovel in Mexico, Neida Patricia Madrid, Minera Buenavista del Cobre employee is the first woman to operate this 22 m high, 12 m wide machine used to load ore into off-road dump trucks. Born in Cananea, Sonora, Neida Patricia was selected for training after working for several years as dump truck operator.
  • The Mexican mining industry lost 4 billion dollars in two months, according to Francisco Quiroga, Mining Sub-secretary. Even so, he pointed that the industry has benefited of a 17% depreciation of the Mexican peso, and the rise on the price of metals, like silver in 58%, gold in 28%, and copper in 41%. Silver production was expected to reach 324 M Oz, but after the Coronavirus emergency lockdown, the outlook has been reduced to 270 million ounces, although with a much better price.  

ON EXPLORATION

  • VanGold Mining Corp. informed the continuation of its summer program at El Pinguico project in Zacatecas. Rehabilitation work has now safely accessed the #6 level, which is believed to have been inaccessible since 1913. Work is underway to access also the #5 and #7 levels. Sampling of the bottom of the backfill on the #7 level is expected to be possible.
  • Advance Gold Corp. informed four additional lines of induced polarization are being surveyed to increase detail on an anomaly at its Tabasqueña project in Zacatecas. Drilling continues, with samples to be sent to the lab once the current hole being drilled is completed.
  • Tarachi Gold Corp. released high-grade results from channel sampling at La Dura historic underground mine on the Jabalí concession pf the Tarachi project in Sonora. Rock-saw samples returned 62.55 m @ 6.34 gpt Au (including 2.0 m @ 42.65 gpt Au); 9.4 m @ 0.63 gpt Au; 4.35 m @ 4.42 gpt Au; 6.25 m @ 1.13 gpt Au.   

ON MINING

  • Odyssey Marine Exploration Inc. reported results for the second quarter 2020. During the period, the focus has been seeking the advance of its offshore “Exploraciones Oceanicas” phosphate project in Baja California Sur. “Odyssey’s legal teams are working two separate, but concurrent processes, while Odyssey continues to work through diplomatic channels in attempts to reach a mutually beneficial agreement with Mexico .…… While we are hopeful an agreement will be reached, we must continue to pursue our North American Free Trade Agreement (NAFTA) claim against Mexico to protect our shareholders’ rights”.
  • Americas Gold and Silver Corp. reported consolidated financial and operational results for the second quarter of 2020. The illegal blockade that had been in place at the Cosalá operations in Sinaloa since the end of January 2020 “has been resolved favourably without negotiation or compromise with those responsible for the illegal action…. The Company has worked with government authorities to secure a democratic election to ratify a legitimate union to represent its workers which is now set for September 9, 2020”. The company finished the earn-in agreement for the San Felipe project (Sonora) with Hochschild, by providing notice and agreeing to pay the remaining $3.75 M plus VAT in common shares.
  • Mexus Gold US. Informs on the acquisition of more mining equipment for its Santa Elena mine in Sonora, The company aims to increase its mine output to 500 tonnes per day to the leach pad.
  • Premier Gold Mines Ltd. Informed the Mercedes mine in Sonora is generating positive cash flow under its revised production plan. “Following a two-month suspension of operations due to the COVID-19 pandemic, mine operations resumed under a new simplified production plan developed by the Mercedes team….. Ongoing exploration at Mercedes has returned positive results and is prioritized on extending mine life through the growth of reserves in proximity to existing mine workings and the delineation of future resources at the San Martin and Marianas zones. Results to-date have been positive”.

ON FINANCING

  • Golden Tag Resources Ltd. closed its non-brokered private placement for total gross proceeds of $7.0 M. Eric Sprott participated with the acquisition of 10.7 M shares. A commission fee of C$345.7 K was paid to Red Cloud Securities Inc., PI Financial Corp., PowerOne Capital Markets Limited, Canaccord Genuity Corp. y Haywood Securities Inc. (San Diego-Velardeña, Durango).
  • VanGold Mining Ltd. closed the final second tranche of its non-brokered private placement for gross proceeds of $278.6 K, adding up to total gross proceeds of $3.97 M (El Pinguico, Zacatecas).
  • Southern Silver Exploration Corp. has closed a brokered placement for C$10 M and a non-brokered placement for gross proceeds of C$4 M. The company paid fees to agents of $312 K, 1.56 M compensation options, a corporate finance fee of $237.9 K and 1.19 M corporate finance options.
  • Sable Resources Ltd. increased the size of its private placement to up to C$9 M (Margarita and Vinata, Chihuahua).
  • Tarachi Gold Corp. closed its non-brokered private placement, which was oversubscribed, for gross proceeds of CAD$9.49 M (Tarachi Gold, Sonora).
  • Minera Alamos Inc. entered into an agreement with National Bank Financial Inc. on a bought deal private placement for gross proceeds of approximately C$10 M. Later on the week Minera Alamos produced another press release where the private placement was increased to C$13 M (Santana, Sonora).
  • Defiance Silver Corp. entered into an agreement with Red Cloud Securities Inc. for a private placement to raise up to C$7 M (San Acacio, Zacatecas).  
  • Americas Silver and Gold Corp. announced it is increasing the size of its previously announced offering from C$25 M to C$35 M in gross proceeds (Cosalá, Sinaloa).
  • Chesapeake Gold Corp. closed its previously announced non-brokered private placement for gross proceeds of $20 M. Eric Sprott acquired $12.5 M in shares, same that coupled with prior shares in his possession amount to 15.5% of the issued and outstanding shares of Chesapeake.  “The net proceeds from the Private Placement will be used to undertake Metates metallurgical test work and ongoing regional exploration and for general working capital” (Metates, Durango).
  • Orex Minerals Inc. closed its previously announced non-brokered private placement to Eric Sprott, for gross proceeds of $5.5 M. The investment by Eric Sprott represents 19.6% ownership in non-diluted basis, and 26.8% on partially diluted basis (Sandra, Durango).
  • Monarca Minerals Inc. announced the closing of the previously announced non-brokered private placement, for gross proceeds of C$3 M. Aggregate fees of C$212 K were paid, and 4.24 M of finders warrants issued (Tejamen, Durango).
  •  Silver Spruce Resources Inc. increased and closed its previously announced private placement, for gross proceeds of $1.8 M. Finders fees of $138.3 K and 165 K broker warrants were paid (Mezquite, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Azure Minerals Ltd. has sent samples from its Mesa de Plata deposit at its Alacrán project (Sonora) for advanced metallurgic testwork. Previous metallurgic studies highlighted the presence of romeite, a silver-rich mineral that neither floats nor leaches, and subsequent studies point to that mineral being amenable to recovery by gravity separation methods. Three reverse circulation holes were drilled specifically to collect high-grade samples containing silver-rich romeite, which intercepted 10.5 m @ 805 gpt Ag (including 6 m @ 1,284 gpt Ag); 15.0 m @ 677 gpt Ag (including 3.0 m @ 1,832 gpt Ag); 10.5 m @ 774 gpt Ag. “If processing by a combination of gravity separation, flotation and leaching is successful, the Company is aiming for total silver recoveries of ~90%”.
  • Prime Mining Corp. reported results of ongoing surface sampling on the Los Reyes project, Sinaloa. One trench returned 42.0 m  (18.0 m estimated true width, or TW) @ 1.93 gpt Au, 26 gpt Ag, including 4.0 m TW @ 7.46 gpt Au, 98 gpt Ag; Other trenches returned: 16.5 m @ 1.28 gpt Au, 103 gpt Ag; 16.5 m @ 0.89 gpt Au, 14 gpt Ag; 42.0 m @ 0.85 gpt Au, 20 gpt Ag; 52.5 m @ 0.9 gpt Au, 13 gpt Ag; 33.0 m @ 1.0 gpt Au, 20 gpt Ag; 10.5 m @ 2.01 gpt Au, 7 gpt Ag.
  • Discovery Metals Corp. released results from four diamond drill holes targeting “extensive” veins at its Cordero project in Chihuahua. These holes are part of a 55,000 m program that commenced on September 2019, of which 22,600 m have been completed in 62 holes. Highlighted intercepts comprise: 4.7 m @ 635 gpt Ag, 0.15 gpt Au, 12.3% Pb, 5.3% Zn (including 1.9 m @ 1,035 gpt Ag, 0.06 gpt Au, 20.0% Pb, 6.4% Zn); 5.6 m @ 135 gpt Ag, 0.18 gpt Au, 2.7% Pb, 1.6% Zn); 1.3 m @ 587 gpt Ag, 0.67 gpt Au, 9.4% Pb, 2.4% Zn; 2.0 m @ 846 gpt Ag, 0.33 gpt Au, 2.6% Pb, 0.1% Zn; 0.7 m @ 433 gpt Ag, 0.12 gpt Au, 1.4% Pb, 7.1% Zn. Four rigs are currently operating at the site.
  • Aura Minerals Inc. provided an update of exploration at its Aranzazu mine in Zacatecas. “The deposit at Aranzazu consists of a tertiary age Gold-Copper-Silver skarn type mineralization subdivided in three main zones, Mexicana, Glory Hole and Cabrestante, striking 1.2 kilometers along a structure….”. During 2020 the company intends to perform infill drilling in the Glory Hole zone, an extension drill program at the Glory hole and Cabestrante zones and important exploration effort mainly in El Cobre skarn target 3 km NW form the Aranzazu mine. Highlighted TW drill intercept results comprise: 11.37 m @ 0.90 gpt Au, 0.88% Cu, 14 gpt Ag; 43.02 m @ 3.68 gpt Au, 6.46% Cu, 95 gpt Ag; 24.01 m @ 4.88 gpt Au, 8.6% Cu, 127 gpt Ag; 26.79 m @ 1.20 gpt Au, 2.09% Cu, 22 gpt Ag; 10.72 m @ 1.78 gpt Au, 1.12% Cu, 16 gpt Ag, 6.0 m @ 0.93 gpt Au, 1.70% Cu, 17 gpt Ag; 2.0 m @ 2.21 gpt Au, 2.94% Cu, 36 gpt Ag.
  • GoGold Resources Inc. released assay results from six more drill holes at La Trini deposit on its Los Ricos North project in Jalisco. Highlighted core-length intercepts comprise: 29.4 m @ 1.77 gpt Au, 122 gpt Ag (including 8.8 m @ 5.11 gpt Au, 286 gpt Ag); 28.4 m @ 1.07 gpt Au, 103 gpt Ag; 20.7 m @ 0.16 gpt Au, 58 gpt Ag; 25.2 m @ 0.25 gpt Au, 94 gpt Ag; 19.0 m @ 0.1 gpt Au, 31 gpt Ag; 32.2 m @ 0.62 gpt Au, 79 gpt Ag; 15.7 m @ 0.38 gpt Au, 85 gpt Ag.

ON DEALS AND CORPORATE ISSUES

  • Southern Silver Exploration Corp. has entered into a definitive agreement with Electrum Global Holdings L.P. to acquire Electrum’s 60% interest in the Cerro Las Minitas project in Durango for current and future payments totaling US$15 M. On the closing of the date of the transaction the company has to pay US$5 M and issue US$2 M in shares.  
  • Evrim Resources Corp. and Renaissance Gold Inc. announced the completion of its merger, and the concurrent name change to Orogen Royalties Inc. “Underpinning Orogen’s strategic royalty focus are two organically created cornerstone assets: (i) a 2% net smelter return royalty (“NSR”) on the Ermitaño West gold-silver deposit in Sonora, Mexico, where production by First Majestic Silver Corp. is slated to begin in 2021(1); and (ii) a 1% NSR on the Silicon gold project in Nevada, U.S.A., which is being advanced by AngloGold Ashanti S.A.”.
  • Candente Gold Corp. announced that Sun River Gold has made the final payment of US$111 K to increase their ownership in an additional 5% NPI (Net Profit Interest) of the Mine Tailings at El Oro, Estado de México. “Sun River has the option to acquire 100% of the Tailings Project by making staged payments totalling US$300,000 (paid), bring the tailings into commercial production by October 31, 2021, and grant to the Company a 10% NPI, Life of Mine royalty (the “Candente Royalty”) as well as the Municipality’s 8% NPI on production from the properties. Sun River had the right to reduce the NPI payable to the Company to 5% by paying an additional US$200,000 in payments (now paid)”.
  • VanGold Mining Corp. signed an option agreement to re-purchase three underlying royalties on its El Pinguico project in Guanajuato. The company will pay C$1.68 M (C$5 K paid) and issue 3.75 M units of VanGold to Exploraciones Mineras del Bajio, S.A. de C.V.. The royalties to be scraped are: 1) a 4% NSR on all broken material, 2) a 3% NSR on all in-situ newly discovered material and 3) a 5% NPI on all in-situ newly discovered material. “Upon exercise of the Option, VanGold’s Mexican subsidiary, Obras Mineras El Pinguico, S.A de C.V., will own its undivided 100% interest in the El Pinguico silver and gold project free from royalties, save for a 15% net profits royalty in favour of EMBSA solely on the existing above ground and underground stockpiles of mineralized material. There will be no other royalties, net smelter returns or otherwise, on the El Pinguico project including the existing stockpiled material”.
  • Zanzibar Gold Inc. announced the appointment of geologist Sergio A. Trelles Monge as a special advisor to the board of the company. “Mr. Trelles was the Director General of Mining Promotion of the State of Sonora, Assistant Director of Mining Resources of Mexico’s Geological Survey. He was also President of the Association of Mining Engineers, Metallurgists and Geologists of Mexico, Civil Association [Asociación de Ingenieros de Minas, Metalurgistas, y Geólogos de México A.C]. and Chairman of the College of Mining Engineers, Metallurgists and Geologists of Mexico, Civil Association [Colegio de Ingenieros de Minas, Metalurgistas y Geólogos de México A.C].”.
  • Megastar Development Corp. has amended the option agreements to acquire 100% interest in the Rama de Oro, Magdalena and Yautepec projects in Oaxaca, by extending the due dates for the exploration expenditures on each project. “The Rama de Oro expenditure commitment of US $350,000 was extended from May 9, 2020 to May 9, 2022 and the Magdalena and Yautepec expenditure commitments, in the aggregate amount of US $310,000, were extended from June 1, 2021 to December 1, 2021. In consideration of the extension, the Company has agreed to pay an aggregate US $12,500 to the vendor, who is a director of the Company”.  

ON SOCIAL RESPONSIBILITY

  • Grupo Mexico donated eight thousand tree seedlings to the Salamanca Municipality in Guanajuato.
  • Fresnillo PLC, through Minera Penmont and Innovec, has been sponsoring online workshops for kids in 22 communities of Caborca, Sonora.
  • Minera Penmont distributed 4,000 washable face masks in 22 communities of the Caborca municipality, and expects to deliver another 6,000 before the end of the week.
  • Peñoles has more than 1,500 local service providers in the La Laguna region (Torreón-Gómez Palacio-Lerdo). The company has 3,500 workers and generates another 2,000 full time jobs. No one was fired during the pandemic emergency, while 450 vulnerable employees were been sent home with full pay and are now in the process of returning to work following government directives.
  • Minera Media Luna built an artificial swamp for treatment of residual waters in Cocula, Guerrero.
  • Minera Fresnillo and Concretos Lanzados de Los Mochis donate meals for community dinner rooms in 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 image below: Artisanal kaolin mine above a low sulfidation epithermal system in Guanajuato. Picture by Jorge Cirett.

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

 

Rhyolite breccia cemented by Mn oxides

By Miguel A Heredia

During the eleven week of the year (March 25th to March 3ist, 2019), at least 33 press releases were announced by companies working in Mexico, with fifteen disclosing deals and corporate issues, six informing on exploration results, four communicating financial and production results, three announcing financial rounds, three reporting on resources and development of their properties, and two discussing Mexican news. ON MEXICO ISSUES, Mazatlan, Sinaloa will be the venue for the Discovery Mining Conference 2019 from April 2 to 4. Also, Sinaloa State government expects at least US$100M of mining investment during 2019.   ON EXPLORATION, In Sonora, Colibri presented exploration results on its Evelyn and Mezquite projects. In Chihuahua, Kootenay released exploration results from its Columba Silver project and Silver Spruce identified additional drill targets at its Pino de Plata project. In Zacatecas, Advanced Gold started the third phase of drilling at its Tabasqueña project. In the State of Mexico, Impact announced drill results from the El Canelo Vein system within its Zacualpan district project. In Veracruz, Azucar Minerals presented drill results from its El Cobre project.  ON MINING, Telson reported that process testing at its Campo Morado mine in Guerrero shows increase in the production rate by 15%. Sierra Metals reported full year 2018 financial results. First Majestic reported 2018 production results from its Mexican operations. ON FINANCING McEwen closed a registered direct offering for aggregate gross proceeds of US$25M (Fenix project, Sinaloa).  Vangold closed its first tranche of the previous announced private placement for gross proceeds of $335K and increased it to $700K (El Pinguino, Guanajuato). ON RESOURCES AND DEVELOPMENT, Mexus Gold announced positive progress towards Au production at its Santa Elena project in Sonora. Goldplay filed a mineral resource estimation and technical report for its san Marcial project in Sinaloa. First Majestic provided an update of its 2018 mineral reserve and resource estimates.   ON DEALS AND CORPORATE ISSUES, Odyssey provided an update of its Mexican phosphate project in Baja California Sur. In Jalisco, GoGold acquired and consolidated 29 mining concessions in a large exploration program called Los Ricos. Fortuna Silver reported that CONAGUA has completed its investigation and issued a resolution confirming that no remediation of the nearby Coyote Creek is required (San Jose mine, Oaxaca).  The compnay also filed its fiscal 2018 annual report on form 40-F with the SEC. Minera Alamos filed its annual information form and 2018 annual report on Form 40-F. It also announced results of its annual meeting of shareholders (Mulatos mine, Sonora). GoGold announced results of their annual meeting of shareholders (Parral tailings project, Chihuahua). Consolidated Zinc provided an update regarding a land use agreement in place for its Plomosas mine in Chihuahua. Levon announced the pass away of its CEO and appointed its VP Exploration as interim CEO (Cordero project, Chihuahua). Newmont received Mexican anti-trust approval for its pending acquisition of Goldcorp. Goldcorp, along with Institutional Shareholders Services Inc., continues to recommend that its shareholders vote in favour of the completion of the arrangement. Both companies also announced successful early tender period for exchange offers and consent solicitations. Goldcorp announced support for Newmont special dividend to its shareholders. Great Panther announced resignation of its Director (Topia mine, Durango).

 

ON MEXICO ISSUES

  • Mazatlan, Sinaloa, will be the venue for the Discovery Mining Conference 2019 from April 2 to 4. Organizers expect the participation of 70 mining companies and the assistance of 1,000 national and foreigners’ people.
  • Sinaloa State, When announcing Mazatlan as the venue for the Discovery Mining Conference 2019, from April 2 to 4, the director of mining in the state, Alfredo Villegas Padilla, announced that this year at least US100M (MXP$1,937M) are expected in mining investment, both in new projects and in the continuity of some existing ones.

ON EXPLORATION

  • Colibri Resource Corporation, presented exploration results from its recently completed mapping and sampling programs on their Evelyn and Mesquite projects in Sonora. Highlights include two high grade assays of 43.9 g/t Au and 7.28 g/t Au, and several Au values varying from 0.13 to 0.57 g/t Au, from a shear zone containing orogenic type quartz veins at its Evelyn project. At El Mesquite project, the company geologists confirmed that the mineralization style is of the high sulphidation affinity and encountered Au values ranging from 17 ppb up to almost 1 g/t Au, and from 1 to 152 g/t Ag. Colibri plans to continue the mapping and sampling programs in both properties.
  • Kootenay Silver Inc., released exploration results from its ongoing mapping and surface sampling program conducted on its Columba Silver project in Chihuahua. Highlights of the recent field work include the discovery of five new veins, the high-grade values encountered in some of the veins, and the delineation of approximately 2km of strike length in new veins and veins extensions. Some of the significant sampling results are 692 g/t Ag over 0.8m, 426 g/t Ag over 0.70m, 360 g/t Ag over 1.8m, 330 g/t Ag over 2.0m, 275 g/t Ag over 3.5m, 215 g/t A over 3.0m, and 182 g/t Ag over 6.6m. The company is in the process of obtaining permits to conduct a drilling program in the first half of Q2, 2019.
  • Silver Spruce Resources Inc., identified additional drill targets at its Pino de Plata project in Chihuahua. Field examination conducted by geologists of the company identified a new zone of over 20 square kilometers of strongly altered rock located to the west of the El Terrero target. It appears to be associated with La Perla Vein and the historic El Terrero workings. Currently, the geological field crews are using a portable XRF (x-ray fluorescence) analyzer and a near-infrared spectrometer to obtain immediate indications of mineralization, pathfinder elements and associated alteration. Several sample lines will be tested on outcrops and soils with the handheld instruments as an orientation survey prior to detailed data collection on a grid pattern.
  • Advanced Gold Corp., announced that a phase 3 drilling program is ongoing at its Tabasqueña property in Zacatecas. ”Two targets are planned to be drilled during this program, one is a near surface target and the other deeper to test the boiling zone of the cluster of epithermal veins drilled in the two earlier phases of drilling”. Focus of the phase 3 drilling program is to drill deeper to target the boiling zone of the epithermal vein system
  • Impact Silver Corp., announced results of the initial six holes program drilled on the El Canelo Vein within its Zacualpan district project in the State of Mexico. Four of the six holes encountered encouraging mineralized intersections. Significant intercepts are in hole Z19-01 with 4.84 g/t Au, 24 g/t Ag, and 0.1% Cu (5.27 g/t AuEq) over 2.69m (TW); hole Z19-03 with 1.64 g/t Au, 39 g/t Ag, and 0.93% Cu (3.46 g/t AuEq) over 1.17m (TW), and hole Z19-04 with 1.01 g/t Au, 99 g/t Ag, and 0.97% Cu (3.61 g/t AuEq) over 0.35m (TW).
  • Azucar Minerals Ltd., presented drill results from El Porvenir and Suegro zones within its El Cobre project in Veracruz. El Suegro target is located 250m south of El Porvenir Zone, and the mineralization is associated with an altered intrusive displaying locally intense phyllic alteration overprinting potassic alteration. Significant drill intersections at El Porvenir Zone were encountered in hole EC-18-056 with 184m of 0.48 g/t Au and 0.16% Cu, including 72.50m of 0.99 g/t Au and 0.26% Cu, and 28.50m of 1.66 g/t Au and 0.33% Cu, and in hole EC-18-062 with 194.55m of 0.23 g/t Au and 0.16% Cu, including 47.25m of 0.44 g/t Au and 0.16% Cu, and 36m of 0.49 g/t Au and 0.17% Cu. At the Suegro Zone, significant drill intersections were encountered in hole EC-18-064 with 109.30m of 0.24 g/t Au and 0.13% Cu, including 3m of 0.93 g/t Au and 0.43% Cu, and in hole EC-18-06 with 130.50m of 0.16 g/t Au and 0.15% Cu, including 13m of 0.26 g/t Au and 0.17% Cu. “The newly discovered Suegro zone demonstrates the potential for multiple porphyry centers over a five kilometers strike”.

ON MINING

  • Telson Mining Corporation, reported that a significant increase in production at its Campo Morado mine in Guerrero can be achieved by reducing the size of crushed mineral mill feed. With this, Telson plans to increase the SAG Mill throughput processing rate by at least 15%.
  • Sierra Metals Inc., presented full year 2018 financial results from its mining operations. The company had revenue of $232.4M and adjusted EBITDA of $89.8M on throughput of 2,325,288 tonnes and metal production of 2.72M Oz Ag, 33.9M Lb Cu, 27.7M Lb Pb, 76.8M Lb Zn, and 7,743 Oz Au or 18M Oz AgEq, 95.2M Lb CuEq, and 251 M Lb ZnEq for the year 2018.
  • First Majestic Silver Corp., announced 2018 production results of its Mexican operations. The next table shows figures by mine:

ON FINANCING

  • McEwen Mining Inc., closed a registered direct offering for aggregate gross proceeds of US$25M. Insiders of the company, including Rob McEwen subscribed for US$3M of the offering (Fenix project, Sinaloa).
  • Vangold Mining Corp., closed its first tranche of the previous announced private placement for gross proceeds of $335K. It also increased it private placement to $700K (El Pinguino, Guanajuato

 

ON RESOURCES AND DEVELOPMENT

  • Goldplay Exploration Ltd., filed a mineral resource estimation and technical report for its San Marcial project in Sinaloa. “The report documents a maiden mineral resource estimate for the initial 500 m long x 100 m wide resource area, part of a 3.5 km mineralized exploration corridor at the San Marcial Project”. Indicated resources are 7.6M of tonnes at grades of 117 g/t Ag, 0.5% Zn, and 0.3% Ob (or 147 g/t AgEq) containing 29M Oz Ag, 86M Lb Zn, and 53M Lb Pb or 36M Oz AgEq. Inferred resources are 3.39M tonnes of 91 g/t Ag, 0.35% Zn, and 0.1%Pb (or 108 g/t AgEq) containing 10M Oz Ag, 26M Lb Zn, and 8M Lb Pb or 12M Oz AgEq.
  • Mexus Gold US, announced positive progress towards Au production at its Santa Elena project in Sonora. The company has already purchased a CAT front end loader and a Gardner Denver hydraulic track mounted blast drill. It also confirmed that the company has sufficient ore grades to begin a 3500 ton per week mining operation with expected grades of 4 grams Au per ton.
  • First Majestic Silver Corp., updated its mineral reserve and resource estimates as of December 31, 2018. Figures by mine are showed in the next tables:

ON DEALS AND CORPORATE ISSUES

  • Odyssey Marine Exploration Inc., provided an update of its Mexican phosphate project in Baja California Sur. The company has advised that a legal step has been taken to defend shareholder interests and realize the full economic value in the development of the project due to the negative decision of the past administration of Mexico to authorize the development of its project. Odyssey has filed a claim against Mexico under Chapter eleven of NAFTA.
  • GoGold Resources Inc., signed an option agreement to acquire and consolidate 29 mining concessions in a large exploration program called Los Ricos in Jalisco. The consolidated area covers 22,000 ha and is located approximately 100km NW of Guadalajara City. As part of the option agreement to consolidate the concessions of this large-scale exploration property, the Company will make an upfront payment of $70K, monthly payments of $12K for the first 12 months, monthly payments of $20K for months 13 to 24, monthly payments of $30K for months 25 to 36, monthly payments of $31.5K for the months 37 to 60. It also includes a 2% NSR on five of the concessions. If the company elects to exercise the option, a lump sum payment not to exceed $11 million can be made at any time within the six year option period.
  • Fortuna Silver Mines Inc., reported that CONAGUA has completed its investigation and issued a resolution on the overflow of the contingency pond at the dry stack tailings facility at its San Jose mine in Oaxaca. CONAGUA confirmed that no remediation of the nearby Coyote Creek is required but the company received a fine of approximately $US42K related to the incident. On the other hands, it also filed its fiscal 2018 annual report on form 40-F with the SEC.
  • Alamos Gold Inc., filed its annual information form and 2018 annual report on Form 40-F. It also announced results of its annual meeting of shareholders (Mulatos mine, Sonora).
  • GoGold Resources Inc., announced results of their annual meeting of shareholders (Parral tailings project, Chihuahua).
  • Consolidated Zinc Limited, announced that a local rancher with which the company has a land use agreement commenced legal proceedings against the Mexican subsidiary that owns the Plomosas mine in Chihuahua, to terminate the agreement. Legal advises received by the company determined there was no basis for the proceedings.
  • Levon Resources Ltd., announced the pass away of its CDEO and appointed its VP Exploration as interim CEO (Cordero project, Chihuahua).
  • Newmont Mining Corporation, received the Mexican anti-trust approval for its pending acquisition of Goldcorp Inc. Goldcorp, along with Institutional Shareholders Services Inc., continues to recommend that its shareholders vote in favour of the completion of the arrangement. Both companies also announced successful early tender period for exchange offers and consent solicitations. Goldcorp announced support for Newmont Special Dividend to its shareholders. The dividend delivers value to existing Newmont shareholders with an immediate cash payment for a portion of the synergy potential arising from the Nevada joint venture announced with Barrick Gold Corporation.
  • Great Panther Mining Limited, announced resignation of its Director (Topia mine, Durango).

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

On the picture above, a rhyolite breccia cemented by Mn oxides in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

Odyssey Marine Exploration Provides Update on Mexican Phosphate Project

Odyssey Marine Exploration Inc

TAMPA, Fla., March 25, 2019 (GLOBE NEWSWIRE) — Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the field of deep-ocean exploration, today provided an update on subsidiary Exploraciones Oceanicas (ExO)’s phosphate project in Mexico.  Notably, Odyssey here advises of an additional legal step it has taken to defend shareholder interests and realize the full economic value in the development of the project.

ODYSSEY MARINE EXPLORATION OFRECE INFORMACIÓN ACTUALIZADA SOBRE LA PRESENTACIÓN LEGAL PARA EL PROYECTO DE FOSFATO MEXICANO

Odyssey _25102018_nr

TAMPA, Fla., Oct. 25, 2018 (GLOBE NEWSWIRE) — Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the field of deep-ocean exploration, has been informed that on October 22, 2018, legal counsel for Exploraciones Oceanica (ExO) filed an action before the Superior Section of the Mexican Federal Administrative Court. ExO is a controlled subsidiary of Odyssey.

Odyssey Marine Exploration Provides Update on Mexican Phosphate Project

Odyssey Marine Exploration_19102018

TAMPA, Fla., Oct. 19, 2018 (GLOBE NEWSWIRE) — Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the field of deep-ocean exploration, received notification late Thursday afternoon that SEMARNAT repeated their refusal to issue an environmental permit for the phosphate deposit controlled by Exploraciones Oceánicas, S. de R.L. de C.V. (ExO) , in direct contravention of the Order of the Federal Administrative Court. ExO is a controlled subsidiary of Odyssey.

 

Explotación minera en el mar, opción o pesadilla

https://www.eleconomista.com.mx/opinion/Explotacion-minera-en-el-mar-opcion-o-pesadilla-20180504-0041.html

La explotación minera de fondos oceánicos será pronto una realidad. Sus impactos ambientales están siendo intensamente evaluados por instituciones académicas y agencias internacionales, mientras la ingeniería avanza lo suficiente para colocarla como opción viable y rentable, en muchos casos, superior a la minería en tierra. Crece la escasez de minerales metálicos y no metálicos en yacimientos terrestres accesibles y de costo aceptable, mientras el reciclaje es insuficiente y la demanda aumenta exponencialmente por la industria electrónica y la fabricación de baterías para vehículos eléctricos. Níquel, cobalto, tungsteno, platino, rodio, manganeso y otros metales son indispensables para nuevas tecnologías electrónicas, y el fósforo es insumo vital para la manufactura de fertilizantes esenciales en la agricultura. El impacto ambiental de actividades mineras en tierra llega a ser devastador en cuanto a ecosistemas y paisajes, deforestación, y contaminación de aguas, suelos y atmósfera.

Highlights on the Second Week of March, 2017. Mineral Exploration in Mexico

During the 10th week of the year (March 6th to March 12th, 2017), at least 22 press releases were announced by companies working in Mexico. ON EXPLORATION, Chesapeake presented an update on regional exploration in Durango and Sinaloa. ON MINING, McEwen, Timmins Gold, US Antimony and Odyssey Marine Exploration presented 2016 results. Consolidated Zinc presented drilling and rockchip sample results ON FINANCING, Four companies announced financial news, with Leagold raising C$175 M; Telson obtaining a US$2 M credit line; Alix raising $248.5 K and McEwen on a share repurchase plan. ON RESOURCES AND DEVELOPMENT, McEwen announced a well-funded exploration budget for its properties in Sinaloa; Mag Silver disclosed a probable increase on the projected processing plant at Valdecañas by its JV partner, Mexus advances toward production in Sonora and Sierra Metals informed of fairly good drilling results from a brownfield zone in Chihuahua.   ON DEALS AND CORPORATE ISSUES, Avino Silver announced the death of founder and CEO for more than 30 years, Louis Wolfin, a pioneer of Canadian mining investments in Mexico; Radius Silver sold a property in Oaxaca; Santacruz Silver amended an agreement with Hochschild; finally, Colibri shares on the TSX remain halted.

ON EXPLORATION

  • Chesapeake Gold Corp. has identified four precious and base metals projects with district scale potential in the more than 85,000 hectares held by the company. At Yarely, Sinaloa, three target areas have been defined on a 70,000 hectare land package assembled by staking and acquisition. At Yarely North 12 veins ranging up to 12 m in width have been traced for an average length of 650 m, with rock samples returning 2 m @ 19.5 g/t Au, 505 g/t Ag; 11 m @ 1.1 g/t Au, 42, g/t Ag, 8 m @ 1.6 g/t Au, 33 g/t Ag; 3 m @ 1.1 g/t Au, 805 g/t Ag. At Yarely Central the mineralized zone measures 1.5 by 2.0 Km, with several wide zones of quartz stockwork and disseminated polymetallic mineralization, with trench samples returning 14 m @ 1.5 g/t Au, 143 g/t Ag; 93 m @ 17 g/t Ag; 36 m @ 0.7 g/t Au, 26 g/t Ag. At Yarely South preliminary sampling has returned up to 83 g/t Ag, 2.9% Cu, 0.12% Mo. At El Paso in Sinaloa, extensive exoskarn and intrusive hosted quartz stockworks are present, with channel samples returning 69 m @ 2.2 g/t Au, 8 g/t Ag, 1.1% Zn; 50 m @ 0.6 g/t Au, 12 g/t Ag. At Nicole, in Durango, quartz breccia veins transition at depth to dissemination and stockwork. On the veins, channel samples returned 7 m @ 3.1 g/t Au, 238 g/t Ag, 0.3% Zn; 3 m @ 12 g/t Au, 450 g/t Ag; while lower in the system sampling has returned 30 m @ 1.2 g/t Au, 29 g/t Ag, 1.5% Zn; 30 m @ 0.7 g/t Au, 19 g/t Ag, 0.7% Zn. At San Javier, in Durango, sampling on a 4 km long quartz stockwork has returned 60 m @71 g/t Ag, 0.6% Pb; 28 m @ 158 g/t Ag, 0.3% Pb; while another 3 km long structurally associated breccia has returned 48 m @ 1.0 g/t Au.

ON MINING

  • McEwen Mining Inc. reported financial results for 2016, including figures for its El Gallo mine in Sinaloa, where 54,929 Oz Au, 25,336 Oz Ag were produced at an average grade for the ore of 2.14 g/t Au. The 2017 guidance for the unit is 49,700 Oz Au, 24,000 Oz Ag, at cash cost $760 and AISC $900 per AuEq Oz. As of the end of 2016 the company had 58.8 M in cash, investments and precious metals, and no debt.
  • United States Antimony Corp. announced that it has successfully transitioned from custom smelting antimony concentrates at the Madero, Coahuila, plant to its own mine production. Antimony production in January was 159 K pounds and 185.8 K pounds in February. The company expects to ramp up production form Wadley (San Luis Potosi), Soyatal (Queretaro) and Guadalupe. During 2016 US Antimony produced 2.9 M pounds Sb, 604 Oz Au, 38.1 K Oz Ag.
  • Timmins Gold Corp. announced financial results 2016, producing 100,322 Oz Au at cash cost $734 and all-in sustaining cost of $853 per gold ounce. The company ended the year with $33.9 M in cash and working capital of $37.8 M.
  • Consolidated Zinc Ltd. released rock sample results from the Tres Amigos North zone, and resource drilling results at its Plomosas project in Chihuahua. The results from seven continuous rock samples range from  21.4% to 24.8% Zn+Pb, including up to 19.2% Zn, 11.6% Pb and 38 g/t Ag. Resource definition drilling results include 1.3 m @ 4.5% Zn, 1.7% Pb, 15 g/t Ag; 4.7 m @ 11.6% Zn, 6.7% Pb, 31 g/t Ag; 3.95 m @ 3.8% Zn, 0.1% Pb, 1 g/t Ag.
  • Odyssey Marine Exploration Inc. reported full year results for 2016, with a net loss of $6.3 M. Its seabed phosphate San Diego Project off the coast of Baja California has not yet been awarded the environmental permit needed, Odyssey expects to obtain the said permit in 2017.

ON FINANCING

  • McEwen Mining Inc. plans to repurchase up to 5.4% of its outstanding common stock (up to $15 M). During 2015 and 2016 $1.8 M and 0.6 M were repurchased respectively.
  • Alix Resources Corp. completed the second and final tranche of a non-brokered flow through private placement, for gross proceeds of $248.5 K.
  • Telson Resources Inc. has secured a $2 M line of credit for leasing underground and surface mining equipment for mine development at its Tahuehueto project in Durango. The surface area rights to install the processing plant in Tepehuanes have been secured.
  • Leagold Mining Corp. completed its previously announced offering for aggregate gross proceeds of C$175 M. The net proceeds from the offering will be used to fund a portion of the purchase price of the Los Filos mine in Guerrero from Goldcorp Inc.

ON RESOURCES AND DEVELOPMENT

  • McEwen Inc. has budgeted $6 M for El Gallo silver project in Sinaloa, $3 M in exploration and $3 M in development.
  • Mag Silver Corp. disclosed that its JV partner (Fresnillo PLC) in the Valdecañas project in Zacatecas is considering to increase the planned processing plant capacity from 2,650 tonnes per day (tpd) to 4,000 tpd, reflecting the latest drill intercepts in the deeper zone. Permitting on the new design has already commenced, and formal approval by Frenillo’s Board is to come on the next three to four months. A 20,000 meters drill program for 2017 has still to be approved by the JV Technical Committee.
  • Mexus Gold US. has completed the testing of the leach circuit. Testing and calibration of chemical treatment equipment is underway before the leaching process begins.
  • Sierra Metals Inc. delivered drilling results from La Sidra vein and Bolivar West, at its Bolivar mine site in Chihuahua. At La Sidra Ag-Au mineralization currently extends over 500 m in length and 300 m in depth, and is open along strike and depth, while at Bolivar drilling proceeds at the skarn ore area and geophysics targets. At La Sidra, drill length intercepts include 3.75 m @ 0.7 g/t Au, 717 g/t Ag, 0.4% Pb, 1.3% Zn; 9.75 m @ 4.0 g/t Au, 390 g/t Ag, 1.9% Pb, 5.0% Zn; 5.7 m @ 1.8 g/t Au, 91 g/t Ag, 0.7% Pb, 1.8% Zn; 1.75 m @ 3.9 g/t Au, 537 g/t Ag, 1.2% Pb, 1.7% Zn. At Bolivar intercepts include 9.15 m @ 69 g/t Ag, 2.3% Cu, 2% Zn; 7.35 m @ 42 g/t Ag, 1.3% Cu, 1.4% Zn; 12.6 m @ 133 g/t Ag, 1.4% Cu, 0.7% Zn; 6.0 m @ 1.4 g/t Au, 42 g/t Ag, 1.4% Cu.

ON DEALS AND CORPORATE ISSUES

  • Avino Silver & Golod Mines Ltd. announced the death of founder and CEO for more than 30 years, Louis Wolfin, at the age of 85. Mister Wolfin founded Avino in 1968, and the Avino mine went into production in 1974. Avino Silver Gold Mines Ltd. was one of the first Canadian companies to invest in the mining industry in Mexico, more than 20 years before the opening of the industry for full foreign investment in the country.
  • Radius Gold Inc. reached an agreement for the sale of its Tlacolula property in Oaxaca to Fortuna Silver Mines Inc. As an amendment to a previous contract, Fortuna acquires 100% interest in the property by issuing Radius 250 K shares of Fortuna and granting a 2% NSR royalty. Fortuna will retain the right to purchase 1% of the royalty by paying Radius US$1.5 M.
  • Santacruz Silver Mining Ltd. completed the amended agreement with Hochschild by issuing 13.4 M shares of the company, in consideration for the restructuring of the payment there-under.
  • Colibri Resource Corp. announced trading in its shares remains halted pending filing and review of documentation by Investment Industry Regulatory Organization of Canada, regarding the acquisition of Canadian Gold Resources.

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

On the picture below, Cerro Lanza in Chiapas, a Tertiary volcanic neck poking through Mesozoic sedimentary rocks. Photo by Jorge Cirett.

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Odyssey Marine Exploration Reports Full Year 2016 Results

http://www.euroinvestor.com/news/2017/03/10/odyssey-marine-exploration-reports-full-year-2016-results/13551181

TAMPA, Fla., March 10, 2017 (GLOBE NEWSWIRE) — Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the field of deep-ocean exploration, reports results for full year ended December 31, 2016.

2016 Highlights

  • Generated $4.7 million in revenue from operations, compared to $3.4 million in revenue from operations in 2015, a 38% increase.
  • Continued to actively manage costs, reducing operating expenses 43% from prior year
  • Decreased net loss 65% from $18.2 million in 2015 to $6.3 million in 2016, with the net loss per share decreased from $2.46 in 2015 to $.84 per share in 2016.
  • Launched CLIO Offshore, a division of Odyssey, which is focused on generating cash from the provision of services to the third-party clients including survey, remotely operated vehicle (ROV) and recovery services. This allows us to leverage our seasoned technical team and assets between major projects.
  • Completed the first contract for offshore services for our shipwreck business partner using Odyssey technology and marine personnel, resulting in revenue of $2.9 million.
  • Continued to support subsidiaries’ pursuit of environmental approval to begin recovery of phosphate sands from the Don Diego project and development of additional mineral projects.