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

Stibnite in a fine grained quartz vein.

By Miguel A Heredia

During the thirty seven week of the year (September 7th to September 13th, 2020), at least 24 press releases were announced by companies working in Mexico and 13 news published by the media, with ten disclosing deals and corporate issues, seven discussing social issues, six commenting on Mexican issues, five informing on exploration results, five announcing financial rounds, two reporting on resources and developments of their mine operations, and two communicating production and financial results.  ON MEXICO ISSUES, Deputy Mario Delgado from MORENA party presented a reform to eliminate trust funds, including the Mining Fund. Mexico intends to lead lithium production. Federal Deputy Monica Almeida of the PRD party stated that the disappearance of the undersecretary of Mining must be re-considered. Mining companies operating in Mexico have cut their capital investment budgets by 20% on average in 2020 due to disruptions caused by COVID-19. The company Roca Fosforica Mexicana (Rofomex) seeks to expand its mining area in Baja California Sur.  ON EXPLORATION, In Sonora, Colibri received an exploration permit to begin a trench program at its Evelyn project, and Silver Tiger provided an exploration update for its El Tigre project. In Sinaloa, Brigadier provided an exploration update on its Picachos project, and Oroco initiated a 3D IP survey at its Santo Tomas project. In Durango, Canasil released results from 2 drill holes collared recently at its Nora project. ON MINING, Excellon provided an operation update on its La Platosa mine in Durango. Consolidated Zinc reported H1, 2020 production and financial results from its Plomosas mine in Chihuahua.  ON FINANCING, Mag Silver completed its previously announced at the market equity program for gross proceeds of USD $50M (Juanicipio property, Zacatecas). Comet Resources announced that it will be conducting a placement to raise gross proceeds of $2M (Santa Teresa project, Baja California). Excellon completed its share consolidation (La Platosa mine, Durango). Monarca completed its previously announced shares for debt transaction to settle an aggregate of $301,324 owing to certain officers, directors and services providers of the company. Sable closed its previously announced private placement for total gross proceeds of approximately $9.9M (Margarita and Vinata project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Bacanora provided an operational update of its Sonora Lithium project in Sonora. Capstone provided updated proven and probable mineral reserves and positive results of an updated technical report for its Cozamin mine in Zacatecas.    ON DEALS AND CORPORATE ISSUES, Excellon announced that it has applied to list on the New York Stock Exchange (NYSE) American (La Platosa mine, Durango).  Mithril announced that its CEO was appointed as Managing Director (Copalquin project, Durango). Sonoro announced results of its annual general meeting of shareholders and changed its name from Sonoro Metals Corp. to Sonoro Gold Corp (Cerro Caliche project, Sonora). Alien entered into an exclusivity agreement with Capstone in respect of the potential farm out of an interest in its Donovan 2 Copper-Gold project in Zacatecas. Almaden announced the decision of the Second District Court in Puebla in respect of its environmental permit application for its Ixtaca project in Puebla.  Argonaut entered into a definitive agreement for the sale of its Ana Paula property in Guerrero.  Consolidated Zinc secured an agreement with Industrias Peñoles to sale the 100% of the Zn concentrate produced by the company in 2021. Newmont appointed Susan N Story to its board of directors and achieves gender parity for non-executive directors (Peñasquito mine, Zacatecas).  Southern Silver presented results from its annual general meeting of shareholders (Cerro Las Minitas project, Durango). ON SOCIAL RESPONSIBILITY, First Majestic invested USD $3.8M in local communities where it operates.  Fresnillo plc, continued donating personal equipment to prevent infections by COVID-19 in Caborca, Sonora. The Municipal President of Fresnillo, Zacatecas delivered the first stage of the rainwater collector with an investment of MXP $6M from the Mining Fund. The Municipal President of Cuencame, Durango announced that MXP $16.6M from the Mining Fund were invested in the construction of domes and paved streets, installation of electrical network, potable water and drainage in several communities in Cuencame, Durango. Grupo Mexico offered more than 130 weekly workshops via social networks generating content for the community. Minera Media Luna (Torex) improved public spaces in the Atzcala community in Guerrero. The Peñoles nursery garden continues donating trees to people seeking to expand the green folder in their home, plaza or a larger space for the population, and continue supporting the community with other social activities.

ON MEXICO ISSUES

  • Deputy Mario Delgado from MORENA party presented a reform to eliminate trust funds, including the Mining Fund. A period is proposed for the Ministry of Finance and Public Credit and the Welfare Bank (Banco del Bienestar, created by MORENA) to proceed to the extinction of the Public Administration and Payment Trust called “Fund for the Development of Mining Production Zones” (Mining Fund), in accordance with provided for in the Federal Budget and Fiscal Responsibility Law. Obviously, this is not the reason and the goal the Mining Fund was created for.
  • Mexico intends to lead lithium production since lithium is required to make rechargeable batteries, and the demand for this mineral has multiplied in the last decade, with the rise of laptops and smartphones. Annual sales of batteries made from lithium-ion batteries are projected to reach a value of $100B in 2029 and about $116B in 2030, according to Bloomberg New Energy Finance. While Mexico’s reserves are not yet certified, the size of the deposit found in Sonora (Sonora Lithium project owned by Bacanora)- which, according to Mining Technology, is the largest deposit under development in the world – placed the country on the radar of global lithium investors. The project will be the first to produce significant volumes of lithium in Mexico. Initially, production is estimated to approach 17,500 tonnes per year of lithium carbonate, which will double to 35,000 tonnes starting in 2026, after a projected expansion in its investment of USD $380M.
  • Monica Almeida, Federal Deputy of the PRD party, stated that the disappearance of the undersecretary of Mining must be re-considered and warned that neither the economic adjustments nor the so-called “republican austerity” should be a pretext for the disappearance of an undersecretary that served a sector of utmost importance for Mexico, since at the world is within the top 10 in the production of 19 minerals. This measure was not shared by the members of the country’s mining sector, among which are the Mexican Mining Chamber (CAMIMEX), the Association of Mining Engineers, Metallurgists and Geologists of Mexico (AIMMGM), the Mining Task Force of the Canadian Chamber of Commerce in Mexico (CANCHAM), the Mining Clusters of Chihuahua, Guerrero, Sinaloa, Sonora and Zacatecas, the College of Mining Engineers, Metallurgists and Geologists of Mexico (CIMMGM) and the organization Mujeres en la Mineria – WIM Mexico; who have openly expressed their disagreement with the measure. It should be remembered that the mining-metallurgical sector in Mexico contributes 2.4% of GDP. Also this year, our country ranks first in silver production worldwide, generating 379 thousand direct jobs and 2.4 million indirect ones.
  • Mining companies operating in Mexico have cut their capital investment budgets by 20% on average in 2020 due to disruptions caused by COVID-19. Updated estimates from nine of the country’s largest gold, silver and copper producers show total spending of USD $1.95B, down USD $488M from the projected amount of USD $2.44B before the pandemic.
  • The company Roca Fosforica Mexicana (Rofomex) seeks to expand its mining area in San Juan de la Costa north of La Paz Baja California Sur. Rofomex filed an environmental permit to explore outside the boundaries of the mining project. The exploration plan established an area where the project will be carried out. It is more than 1,203 ha and contemplates the completion of works for the drilling of 7 holes.

ON EXPLORATION

  • Colibri Resource Corporation received an exploration permit to begin a trench program at its Evelyn project. The company plans to dig up to 2.2km of trenches in up to 13 separate areas on Evelyn project in order to extend mineralization at selected occurrences and to provide exposure for geological and structural mapping of veins and structures.
  • Silver Tiger Metals Inc., provided an update on ongoing exploration at its wholly-owned El Tigre Silver project in Sonora. The company is currently conducting a drill program with two rigs focused on the Caleigh, the Protectora and the Fundadora veins, all of which outcrop on surface and are exposed in exploration drifts in the 3km north of the historic El Tigre mine.
  • Brigadier Gold Limited provided an exploration update on its Picachos project in Sinaloa. The company is preparing a fully financed 5,000m drilling program in approximately 40 holes targeting four high grade Au-Ag veins found within the Colomeca vein system, comprised of several sub-parallel veins over a 1.5km wide zone. In addition, Brigadier is also planning approximately 3 line-km of trenching across several historic sample sites to follow-up anomalies identified by the historic work to define drill targets. “Brigadier intends to have drills turning by the third week of September and look forward to providing updates as results become available.”
  • Oroco Resource Corp., initiated a 3D resistivity and IP survey at its Santo Tomas project in Sinaloa. The survey is targeted to cover an area of approximately 10 km of the property which will encompass the mineralized South Zone, North Zone and the Brasiles Zone at Santo Tomas. The survey comprises a dipole – pole – dipole arrangement and targets the layout of some 26 Rx (receiver) lines spaced at 200m.
  • Canasil Resources Inc., released results from 2 initial drill holes collared at its Nora project in Durango. Hole NCR-20-01tested the Candy vein and intersected 1.6 g/t Au, 440 g/t Ag, 2.51% Cu, 2.1% Pb, and 0.61% Zn over 0.29m, while hole NCR-20-02 encountered 0.72 g/t Au, 21 g/t Ag, 0.1% Cu, 0.2% Pb, and 0.5% Zn over 4.8m, including 1.81 g/t Au, 62 g/t Ag, 0.08% Cu, 0.1% Pb, and 0.61% Zn over 0.38m. Drill hole NRC-20-03, targeted below NRC-20-02 has been completed to a depth of 302 metres, and NRC-20-04 is in progress, targeted below NRC-20-01 as planned.

ON MINING

  • Excellon Resources Inc., provided an operation update on its La Platosa mine in Durango. The company achieved a strong production after resuming mining and milling activities in mid-June, 2020. In July, 2020 the company mined and processed 7,044 and 7,408 tonnes respectively with grades of 528 g/t Ag, 5.8% Pb, and 7.7% Zn at metallurgical recoveries of 92.4%, 85.7%, and 77.6% respectively, to produce 116.3K Oz Ag, 972K Lb Pb, and 7K Lb Zn (198.5K Oz AgEq).
  • Consolidated Zinc Ltd., reported H1, 2020 production and financial results from its Plomosas mine in Chihuahua. The company mined in H1, 2020, over 12,332 tonnes of 16.4% Zn and 8.6% Pb to produce 2.25M Lb of payable Zn, 546.7K Lb of payable Pb, and 455 Oz of payable Ag sold in Zn and Pb concentrates. Consolidated Zinc reported a net loss after income tax of USD $2.19M, a profit of USD $0.56M, total assets of USD $4.14M, and total liabilities of USD $3.79M. Total cash reported was USD $0.77M and borrowings were USD $0.98M.

ON FINANCING

  • Mag Silver Corp., completed its previously announced at the market equity program for gross and net proceeds of USD $50M and USD $48.62M respectively. Net proceeds will be used to fund the completion of construction of the Juanicipio project, with any reminder to fund further exploration of Juanicipio and other projects, and for working capital and general corporate purposes.
  • Comet Resources Limited announced that it will be conducting a placement for gross proceeds of $2M. The offer under the plan will raise a maximum of $500K on the terms and conditions contained in this letter. In conjunction with the placement, this will provide the company with additional funds of up to $2.5M. Part of the funds raised will be used for ongoing exploration at Santa Teresa project in Baja California as well as for the payment of costs associated with the plan and placement and general working capital.
  • Excellon Resources Inc., completed its share consolidation in connection with its plan to trade on the NYSE American LLC, which is now effective. Excellon’s shares are expected to commence trading on the NYSE American by the end of September under the ticker symbol “EXN” (La Platosa mine, Durango).
  • Monarca Minerals Inc., completed its previously announced shares for debt transaction to settle an aggregate of $301,324 owing to certain officers, directors and services providers of the company. The amount settled includes $194K out of $342K of accrued directors, management, and consulting fees (Tejamen property, Durango).
  • Sable Resources Ltd., closed its previously announced private placement for total gross proceeds of approximately $9.9M. Net proceeds will be used for exploration and general corporate and working capital purposes (Margarita and Vinata project, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Bacanora Lithium plc., provided an operational update of its Sonora Lithium project in Sonora. The pilot plant has completed the bulk sampling required for the Sonora plant, the same that were submitted to relevant partners in China and USA for optimization of the final design. GR Engineer completed its concentrator design work and will integrate this into the overall project scope, and its JV partner Ganfeng Lithium completed its flow sheet design testwork for the production of battery grade lithium from the samples provided by the pilot plant.  Bacanora therefore remains on schedule to commence initial site works at Sonora in H1 2021, subject to completion of financing, which would enable commencement of production at the plant in 2023.
  • Capstone Mining Corp., provided updated proven and probable mineral reserves and positive results of an updated technical report for its Cozamin mine in Zacatecas. Proven and probable reserves as of April 30, 2020 are 10,178,000 tones of 1.79% Cu, 41 g/t Ag , o.36% Zn and 0.05% Pb for a total of 2M Lb Cu, 13.5M Oz Ag, 79.4M Lb Zn, and 11M Lb Pb. Capstone updated life of mine plan with annual average Cu and Ag production increased by 70% to 61.4M Lb Cu and 43% to 1.75M Oz Ag respectively. Average annual C1 costs (net of by-products) are expected to move 23% lower to $0.67 per payable Lb Cu. It also announced that ramp-up to 1.35 million tonnes milled per annum (“tpa”) by Q2 2021 is on time and budget, that tailings management transformation activities are progressing on schedule, and that a PFS of an underground paste backfill system is underway. Finally, it also reported that a new step-out hole drill program totalling 80 holes targeting the down dip extension to the southeast of both Vein 10 and Vein 20 is underway. Hole S499 and S503 intersected high grade polymetallic copper, zinc, lead and silver in a 650-meter step-out from the current mineral resource. A 1 km exploration drift is being considered to provide a drilling platform to target this new area.

ON DEALS AND CORPORATE ISSUES

  • Excellon Resources Inc., announced that it has applied to list its issued and outstanding common shares on the New York Stock Exchange (NYSE) American, LLC., under the ticker symbol “EXN” (La Platosa mine, Durango).
  • Mithril Resources Limited announced that its CEO was appointed as Managing Director (Copalquin project, Durango).
  • Sonoro Metals Corp., presented results from its annual general meeting of shareholders and announced it has changed its name from Sonoro Metals Corp., to Sonoro Gold Corp., and will commence to trade with the new ticker symbol “SGO” (Cerro Caliche project, Sonora).
  • Alien Metals Ltd., entered into an exclusivity agreement with Capstone Mining Corp., in respect of the potential farm out of an interest in its Donovan 2 Copper-Gold project in Zacatecas. The agreement provides for a 45-day period for Capstone to undertake due diligence to their satisfaction. If the parties decide to move into a definitive agreement, then Capstone could earn-in to the Donovan 2 property through a combination of carried expenditures and cash payments.
  • Almaden Minerals Ltd., announced the decision of the Second District Court in Puebla in respect of its environmental permit application for its Ixtaca project in Puebla. “The company challenged an October, 2019 decision by Mexico’s environmental authority (“SEMARNAT”) to suspend its review of the Ixtaca project’s environmental permit application (“MIA”) until resolution of legal proceedings (the “Amparo”) regarding certain of the Company’s mineral concessions which encompass the area of the Ixtaca project. In its recent decision, the Court dismissed the “incident” principally on the basis that SEMARNAT is not a party to the Amparo. Furthermore, in a related communication with SEMARNAT, the Court also confirmed that the existence of the Amparo does not prevent SEMARNAT from resolving the MIA permit application and that SEMARNAT is free to act within its jurisdiction and authority in respect of the MIA review. The Ministry of the Economy, the Mining Authorities, the Congress, Senate, and the Office of the Presidency all made submissions to the Court as part of this decision. The Company awaits a response from SEMARNAT to the Court decision”.
  • Argonaut Gold Inc., entered into a definitive agreement for the sale of its Ana Paula property in Guerrero. Total consideration to Argonaut includes USD $30M on closing, CAD $10M upon the announcement of commencement of construction, a 1% NSR, and 9.9% of the outstanding common shares of the acquiring company, which will be formed by a business combination of 1252201 BC Ltd (“AP Mining”) and Pinehurst Capital II Inc. (“Pinehurst”), creating a new publicly traded gold development company (the “Resulting Issuer”).
  • Consolidated Zinc Limited secured an agreement with Industrias Peñoles to sale under favorable terms the 100% of the Zn concentrate produced by the company in 2021 at its Plomosas mine in Chihuahua.
  • Newmont Corporation appointed Susan N Story to its board of directors and achieves gender parity for non-executive directors (Peñasquito mine, Zacatecas).
  • Southern Silver Exploration Corp., presented results from its annual general meeting of shareholders. In this meeting shareholders re-elected directors and approved the purchase of Electrum Global Holdings L.P.’s 60% ownership interest in Southern Silver Holdings Limited and indirect 60% interest in the Cerro Las Minitas property in Durango.

ON SOCIAL RESPONSIBILITY

  • First Majestic Silver Corp., invested during 2019, USD $3.8M in local communities where it operates, destined to health programs, infrastructure, access to water, and youth projects. In 2019, First Majestic planted 105,730 native plants through reforestation initiatives, and also recycled more than 80% of the water used in its operations. At the end of 2019, First Majestic employed a total of 4,681 people: 3,305 employees and 1,376 contractors, distributed in the six operating mines of the company: San Dimas, and La Parrilla, in Durango; La Encantada, in Coahuila; Santa Elena, in Sonora; Del Toro, in Zacatecas, and San Martín, in Jalisco.
  • Fresnillo plc, continued donating personal equipment to prevent infections by COVID-19 in Caborca, Sonora. The company delivered 8,000 face masks as part of a social program to raise awareness among the population about the importance of health care to avoid the spread of the virus.
  • The Municipal President of Fresnillo, Zacatecas delivered the first stage of the rainwater collector with an investment of MXP $6M from the Mining Fund. This work has 180 linear meters and has favored the inhabitants of the El Vergel subdivision and neighboring colonies since it is channeled to rainwater and prevents floods.
  • The Municipal President of Cuencame, Durango announced that MXP $16.6M were invested in the construction of domes and paved street, installation of electrical networks, potable water and drainage in several communities in Cuencame, Durango. In addition, she also reported that more than two thousand direct and indirect jobs were generated.
  • Grupo Mexico S.A.B de C.V., offered more than 130 weekly workshops via social networks generating content for the community with a focus on prevention, healthy distance and stay at home, as well as implementation of workshops in the areas of education and culture, health and safety, environment and sports.
  • The Peñoles nursery garden continues donating trees to people seeking to expand the green folder in their home, plaza or a larger space for the community. Goal of the program is to reforest public spaces in order to maintain an ecological balance. The company also is carrying out cleaning and disinfection of classrooms, furniture and teaching materials at a Federal Middle School #2.
  • Minera Media Luna (Torex Gold Resource) improved public spaces in the Atzcala community in Guerrero. Among the activities carried out were the pruning of trees, painting of sidewalks and fences, construction of concrete tops, cleaning of planters, reforestation, cleaning in the elementary school and kindergarten, placement of fencing in the field, replacement of lights and other activities.

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, stibnite in a fine grained quartz vein from an epithermal vein system in a prospect in San Luis Potosi, Mexico.  Photo by Miguel A Heredia

 

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

By Jorge Cirett

During the 36th week of the year (August 31st to September 6th, 2020), at least 22 press releases were announced by companies working in Mexico. The dominant news on the country relating to the mining industry during the week, was the cancellation of the Sub Secretary of Mining (created during the last presidential term), headed by Francisco Quiroga, who had gained the trust of the enterprises and organizations of the industry by his relentless and hands-on daily effort to help better the mining industry in Mexico. He will be missed, unlike his predecessor. ON MEXICO ISSUES, the Sub Secretary of Mining was cancelled, its role absorbed within the Economy Secretary; loud complaints from the mining industry organizations followed, to fall on deaf ears. Pending investments in mining for the near future of US$1991 M. The Sonora Mining Fund Committee approved the investment of US$3.5 M on an aqueduct. FIFOMI has US$164 M in current credits to the mining industry. The Mining Fund is gone, for the purposes it was created for. (This is a measure taken by the actual federal government against the opinion of all mining enterprises and organizations. In my personal point of view, it opens the way to the use of the funds in a very centralized manner, same that can be exploited for political gains by those in power. There was just no need for this change). The very Mexican “illegal mine blockade roulette” now struck Equinox’s Los Filos mine in Guerrero. ON EXPLORATION, in Baja, Comet Resources updated on its Santa Teresa property. In Sonora, Redstar Gold updated on its Cumaro project. In Sinaloa, Viszla Resources released drilling results at Panuco. In Veracruz, Azucar Minerals released drilling results from El Cobre.  ON MINING, Santacruz Silver reported second quarter 2020 results. Equinox Gold’s Los Filos mine in Guerrero is affected by an illegal blockade. ON FINANCING, seven companies made announcements regarding the opening or closing of financing rounds: Southern Silver Exploration ($456 K), Barksdale Resources ($6.3 M), GoGold Resources (C$30 M), Silver Dollar Resources ($10.5 M), Inomin Mines ($400 K), Americas Gold and Silver (C$39.4 M), Alien Metals (£1.25 M). Gold79 Mines, Golden Tag Resources and Redstar Gold granted stock options to officers, directors and consultants. ON RESOURCES AND DEVELOPMENT, Silver Bull Resources updated on the legal battle and an illegal blockade at its Sierra Mojada project in Coahuila. ON DEALS AND CORPORATE ISSUES, Odyssey Marine Exploration received funds for the legal battle to obtain the government permit to mine its Exploraciones Oceánicas phosphate project offshore Baja California Sur. Tarachi Gold acquired the Juliana group of properties, increasing the size of its Tarachi property to 3,708 hectares. Inomin Mines executed the agreement on the acquisition of the La Gitana and Peña Blanca properties in Oaxaca. ON SOCIAL RESPONSIBILITY. Peñasquito, First Majestic, Minera San Javier, Alamos Gold and SilverCrest informed on donations, community involvement and safety measures on the areas near their operations.

ON MEXICO ISSUES

  • Francisco Quiroga, in his last day as Sub-Secretary of Mining, called for the AIMMGM (Asociación de Ingenieros Mineros, Metalurgistas y Geólogos de México) to play a leading role in the transformation of the industry and its relationship with the public sector.
  • The AIMMGM installed the newly elected board for the 2020-2022 period.
  • The Secretaría de Economía announced the cancellation of the Mining Sub-Secretary, onward from September 1st, 2020.
  • The cancellation of the Mining Sub-Secretary by the federal government brought loud complaints from companies and organisms within the industry (not that these complaints are to be attended to). The Cámara Minera de México (CAMIMEX), the Asociación de Ingenieros Mineros, Metalurgistas y Geólogos de México (AIMMGM), the Mining Task Force of the Cámara de Comercio del Canadá en México, the Sonora, Chihuahua, Guerrero, Sinaloa and Zacatecas Mining clusters, the Colegio de Ingenieros de Minas, Metalurgistas y Geólogos de México (CIMMGM) and the organization Mujeres en la Minería (WIM Mexico) extended its congratulations to Francisco Quiroga, departing Mining Sub-Secretary and expressed the profound disagreement for the disappearance of the Sub Secretary of Mining.   
  • Camimex (Cámara Minera de México) informed Mexico has a list of projects that add up to $1,991 M dollars in programmed investment. Amongst these are the Campo Morado mine in Guerrero, La Yaqui Grande in Sonora, as well as the Orysivo project in Chihuahua, the Centauro Profundo project in Sonora and the Media Luna project in Guerrero. Mexico had a production peak of 123,364 kg of gold in 2015, same that has declined to 73,451 kg in 2019.
  • The Mining Fund Sonora Committee approved the investment of MX$75 M pesos (US$3.5 M) for the construction of the Macoyahui-Alamos aqueduct. The project includes 24.5 Km of PVC tubing and five pumping stations.
  • INEGI informed the mining activity is resuming after the COVID lockdown. Sulphur, iron,, lead, gold, copper, silver, fluorite are among the commodities that have seen their production significantly increased. In January 2020 the industry generated 381,456 direct jobs and more than 2 M indirect jobs, according to the IMSS.
  • Request for the Mining Sub Secretary to stay in Chihuahua by Omar Bazán, deputy, and the Chihuahua Mining Cluster.
  • The Fideicomiso de Fomento Minero (FIFOMI) has $3,530 M pesos (US$164 M) on current credits to the mining sector.
  • The Mining Fund is gone, for the purposes it was created for. Graciela Márquez, Economy Secretary confirmed the resources no longer are going to be distributed among mining municipalities, but through different agreements with government organisms and federal programs to help mining communities.
  • Graciela Márquez, Economy Secretary, stated the disappearance of the Mining Sub-Secretary is not to affect the mining industry as all relevant structures stay in place (We beg to disagree).

ON EXPLORATION

  • Radius Gold Inc. informed on exploration at its Amalia and Plata Verde projects in Chihuahua. At Amalia, “phase 4 drilling funded by JV partner Pan American Silver remains on stand-by due to COVID-19. Semarnat, the permitting agency in Chihuahua, has returned to work on a limited scale and Pan American has recently provided updated information requested by Semarnat”. At Plata Verde, there is advance in the signing of agreements to expand the property package. “The next phase of field work will consist of geophysical programs to identify feeder systems and expansions of the known mineralization under the thin (>100m) cover volcanics”.
  • Redstar Gold Corp. announced its Cumaro project in Sonora is adjacent to SilverCrest’s Picacho property. “Previous drilling on SilverCrest Metals’ Picacho vein, two kilometres north of the Cumaro property, returned intersections including 13.9 metres at 16.22 grams per tonne (g/t) gold and 33.9 g/t silver in hole PDD07-013, and 4.1 metres at 3.86 g/t gold and 35.0 g/t silver…” in other hole on the Dos Amigos vein. The company believes there is a down-thrown block on the eastern side of the property, where the extensions of the veins exposed on the western side could be present on a much shallower level.
  • Comet Resources Ltd. Informed in a corporate presentation on its Santa Teresa property in Baja California. Santa Teresa is a high-grade mesothermal lode gold deposit (ie.- orogenic gold) with an existing NI 43-101 inferred resource of 64 K Oz Au capped at 20 gpt Au, with a cutoff grade of 4 gpt Au and average grade of 8 gpt Au. Historical drilling has intersected quartz veins grading up to 958 gpt Au over 1 m, and multiple other drill results above 30 gpt Au. The deposit is open along strike and at depth.
  • Vizsla Resources Corp. announced a fourth new discovery at its Panuco project in Sinaloa. The first four drill holes at the Tajitos vein have been completed on the Cinco Señores vein corridor. Highlighted intercepts from the three first drill holes comprise 4.5 m @ 1,200 gpt Ag, 7.29 gpt Au (including 1.15 m @ 2,210 gpt Ag, 16.13 gpt Au); 1.15 m @ 812 gpt Ag, 4.59 gpt Au. ”The Tajitos vein zone is composed of a quartz breccia vein with an early white locally banded quartz supporting andesite lithic clasts, followed by a later white to greyish quartz supporting brecciated clasts of earlier white quartz veins. This zone was then cut by a later white to clear quartz vein with local dark bands or patches of fine-grained sulphides that is cutting a zone of quartz psuedomorphs after bladed calcite and pink rhodochrosite. The better grades are in the earlier breccias associated with dark bands or dark patches of very fine-grained disseminated sulphides. This vein zone is hosted in a package of andesite flows and tuffs”.
  • Azucar Minerals Ltd. released drilling results from its El Cobre project in Veracruz. The holes in the Primo target returned 23.75 m  @ 0.22 gpt Au, 0.08% Cu; 8.50 m @ 0.71 gpt Au, 0.24% Cu; 123.50 m @ 0.14 gpt Au, 0.14% Cu. Azucar is currently preparing its facilities  and implementing the health protocols required to enable a safe return to work.

ON MINING

  • Santacruz Silver Mining Ltd. Reported operating and financial results for the second quarter 2020. At Veta Grande in Zacatecas, 37.1 K tonnes were milled to produce 204.6 K Oz AgEq at cash cost $17.68 per Oz AgEq and an AISC of $19.70 per Oz AgEq. At Rosario in San Luis Potosi, 20.8 K tonnes were milled to produce 141.4 K Oz AgEq at cash cost $14.23 per Oz AgEq and an AISC of $15.59 per Oz AgEq.
  • Equinox Gold Corp. reports that “mining activities at its Los Filos mine in Mexico have been suspended since September 3, 2020 as the result of an illegal road blockade by members of the nearby Carrizalillo community. The individuals allege non-compliance with the community social collaboration agreement signed in 2019. The mine remains staffed with a reduced workforce to maintain appropriate safety, security and environmental systems. Equinox Gold is in active discussions with the Carrizalillo community leaders to resolve the issues”.

ON FINANCING

  • Gold79 Mines Ltd. Approved the granting of 6 M stock options to officers, directors and consultants of the company (Taviche, Oaxaca).
  • Southern Silver Exploration Corp. plans to conduct a non-brokered private placement to raise $456 K (Cerro Las Minitas, Durango).
  • Golden Tag Resources Ltd. Granted 9.9 M incentive stock options to management and directors (San Diego, Durango).
  • Barksdale Resources Corp. increased the size of its non-brokered private placement financing for gross proceeds of up to $6.3 M (San Javier, Sonora).
  • GoGold Resources Inc. entered into an agreement on a bought deal basis with a syndicate of underwriters for the acquisition of shares for gross proceeds of C$30 M (Los Ricos, Jalisco).
  • Silver Dollar Resources Inc. has arranged a non-brokered private placement to raise up to $10.5 M (La Joya, Durango).
  • Redstar Gold Corp. announced the granting of 20.73 M stock options to directors, officers and consultants of the company (Cumaro, Oso Negro and La Lola, Sonora).
  • Inomin Mines Inc. announced a non-brokered private placement to raise up to $400 K in gross profits (La Gitana, Oaxaca).
  • Americas Gold and Silver Corp. closed its previously announced and up-sized bought deal financing for aggregate gross proceeds of C$39.4 M (Cosalá, Sinaloa).
  • Alien Metals Ltd. announced that it has conditionally raised £1.25 M (Los Campos and Los Celsos, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Silver Bull Resources Inc. updated on its Sierra Mojada project in Coahuila. Sociedad Cooperativa de Exploración Minera Mineros Norteños, S.C.L. (Mineros Norteños), the group which is illegally blocking the Sierra Mojada project, has filed an appeal in the recently reopened Mexican courts to try and overturn a favorable ruling for Silver Bull on their lawsuit against the Company filed in 2014. The company sees the whole lawsuit as frivolous (looking for payment of an NSR on production that has not taken place), and explains Mineros Norteños has lost already three rulings, and Silver Bull expects a final ruling on the case, which cannot be appealed by Mineros Norteños, to be handed down from the courts within the next 6 months. Mineros Norteños has illegally blocked access to the project since September 2019.

ON DEALS AND CORPORATE ISSUES

  • Odyssey Marine Exploration Inc. had a financing transaction that provides the company with $11.3 M, a portion of which will be used to fund operating expenses of the “Exploraciones Oceánicas” phosphate project offshore Baja California Sur. “The investor group was anchored by Odyssey’s existing NAFTA funding partner, Poplar Grove LLC. Poplar Grove is managed by Drumcliffe LLC, a private investment management firm that oversees high-value litigation funding portfolios of over $14 billion in claims”.   
  • Telson Mining Corp. announced the resignation from its board of directors by Remigio Martínez Muller.
  • Tarachi Gold Corp. entered into an arm’s length option agreement with Exploradora Cobre de Bacanoras S. de R.L. de C.V. to acquire 100% interest in the group of mining concessions known as the Juliana, Juliana No.1, Juliana No.2 and Las Morita mining concessions covering 1,140 hectares in Sonora. “Tarachi’s projects now consist of the San Javier, Pretoria, Chivitas, Jabali, Juliana, Texana and Tarachi concessions for a total of 3,708 ha in the Mulatos District. The deal involves the payment of $40 K on the execution date, $30 K on six months, $30 K on 12 months, $30 K on 18 months, $60 K on 24 months, $60 K on 30 months, $150 K on 36 months, $150 K on 42 months, $150 K on 48 months, $700 K on 54 months and $700 K on 60 months, and the issue of 4 M common shares, 400 K of those on the execution date, 1 M shares on 12 months, 1 M shares on 24 months and 1.5 M shares on 26 months. The transfer of the concessions is subject to a 3% NSR from production, with the company having the right to buy at any time 1/3 of the NSR for $1 M.
  • Inomin Mines Inc. announced the execution of the agreement to acquire the La Gitana and Peña Blanca projects in Oaxaca. Inomin is acquiring 100% interest on both properties for 1 M common shares of Inomin, $25 K cash and the grant of 1.5 % NSR on the Peña Blanca property, of which 0.5% can be bought at any time for $1 M.

ON SOCIAL RESPONSIBILITY

  • Peñasquito continues to apply bio-security protocols. Up to date 27,359 fast test have been applied in the facilities and neighboring communities, resulting in six confirmed cases.
  • First Majestic Silver Corp. invested during 2019 US$3.8 M in local community, health youth programs, infrastructure and access to clean water. Over 25,600 medical consultations were provided in local communities. Planted 105,730 native plant species through reforestation initiatives .
  • Minera San Javier (NewGold) donated personal medical equipment to hospitals in San Luis Potosí, and personal medical equipment and sanitization supplies to the Cerro San Pedro municipality health clinics. The company continues to deliver food pantries to persons in need in Planta del Carmen, La Zapatilla, Monte Caldera, Cuesta de Campa, Calderón, Portezuelo and Cerro San Pedro.
  • Alamos Gold donated medical equipment and a mobile unit to the Sahuaripa DIF (Desarrollo Integral de la Familia) in Sonora.
  • SilverCrest’s Las Chispas project has accumulated 600 days without accidents in Sonora.

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

On the image below: The whitish ledge from left to center is a silicified paleo water table in the Mexican Altiplano. Picture by Jorge Cirett.

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

Hydrothermal breccia

By Miguel A Heredia

During the thirty three week of the year (August 24th to August 30th, 2020), at least 39 press releases were announced by companies working in Mexico, with eleven commenting on Mexican issues, ten disclosing deals and corporate issues, six informing on exploration results, five announcing financial rounds, four reporting on resources and developments of their mine operations, two communicating production and financial results, and one discussing social issues. ON MEXICO ISSUES, AMLO stated in one of its morning press conferences that the Mining Fund will be re-activated and re-organized. The Undersecretary of Mining, The Mexican Mining Chamber (CAMIMEX) demanded that the Mining Fund go back to communities. Francisco Quiroga spoke about the role that the mining industry plays in Mexico. Mexico Mining sector captures USD $873M of Foreign Direct Investment (FDI). Fernando Alanis, President of the Mexican Mining Chamber (CAMIMEX), declared that the investment in mining exploration in Mexico could fall to its lowest level in 14 years. The Undersecretary of Mining, Francisco Quiroga, informed that in Mexico, mining is promoted without environmental disasters or social conflicts. Coeur Mining Inc, a US mining company, claimed MXP $1,000M (over USD $46M) to the government of Mexico.  Jorge Mátar Vargas, a businessman from Morelos, said that the investment of the Esperanza Silver mining project would reactivate the economy of Morelos, given the crisis it faces due to the COVID-19 pandemic. Napoleón Gómez Urrutia, senator and leader of one of the Mexican mining union tweeted that he won a labor lawsuit against Grupo Peñoles. Sergio Almazán is the new President of the Association of Metallurgical, Mining and Geologist Engineers of Mexico A.C (AIMMGM). Francisco Quiroga, Undersecretary of Mining of Mexico, declared that the recovery of the prices of the main minerals produced in Mexico will reinforce mining investment projects in the country. ON EXPLORATION, In Sonora, Tocvan released results from the structural analysis carried out at its El Pilar project, Silver Viper reported results from ten drill holes collared at its El Rubi project, and Tarachi announced the beginning of a 5,000m drilling program at its Tarachi Gold project. In Sinaloa, Vizsla released drill results from its Panuco project. In Durango, Mithril released drilling results from its Copalquin project. ON MINING, Impact reported Q2, 2020 production and financial results from its Zacualpan mining district in the State of Mexico. Santacruz reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo.  ON FINANCING, Redstar completed a non-brokered private placement for gross proceeds of CAD $7M (Heliodor properties, Mexico). Kootenay closed its previously announced private placement for gross proceeds of $7M (Columba project, Chihuahua). Capitan Mining closed a private placement for gross proceeds of $3,840,855 (Peñoles project, Durango). VVC announced a non-brokered private placement to raise gross proceeds of up to CAD $3.3M (Kaity Copper project, Chihuahua).  Gold Resource declared its August monthly dividend to shareholders (Arista mine, Oaxaca). ON RESOURCES AND DEVELOPMENT, Mexus provided an update on progress at its Santa Elena mine in Sonora.  Silver Dollar reported phase 3 drilling results not previously reported by SilverCrest from its la Joya project in Durango. GoGold announced the filing of a NI43-101 technical report on the initial mineral resource estimate for their Los Ricos South project in Jalisco. Santacruz reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Golden Minerals released results from its resource definition drill program at its Rodeo project in Durango.  ON DEALS AND CORPORATE ISSUES, Redstar announced the acquisition of Heliodor Metals Limited and appointed its new CEO. Orla appointed its Senior VP Exploration (Camino Rojo project, Zacatecas). Sonoro announced that its board of directors approved the change of the company´s name to Sonoro Gold Corp (Cerro Caliche project, Sonora). Azure presented results from its annual general meeting of shareholders (Mesa de Plata project, Sonora).   Newmont announced the replacement of the General Manager of the Peñasquito mine, Zacatecas.  Silver Spruce granted stock options to its CFO (El Mezquite project, Sonora). SilverCrest acquired El Picacho property near its Chispas project in Sonora. Orogen (former Evrim) optioned the Sarape Au property in Sonora to Minera Hochschild SA de CV, a subsidiary of Hochschild Mining PLC. Comet executed a share purchase a JV agreement with El Alamo Resource to acquire 100% interest in the Santa Teresa project in Baja California. ON SOCIAL RESPONSIBILITY, Fresnillo plc trains its staff on COVID-19.

ON MEXICO ISSUES

  • Andrés Manuel López Obrador (AMLO), President of Mexico, stated in one of its morning press conferences held in Zacatecas that the Mining Fund will be re-activated and re-organized. He cited that, in the case of the Mining Fund, the resources reached the governments municipalities, but not to the communities.
  • The Mexican Mining Chamber (CAMIMEX), demanded that the Mining Fund go back to communities. Mexico imposed a 7.5% royalty in 2014, plus a special mining tax of 0.5% on gold and silver operations. Most of the proceeds go to social infrastructure projects in mining communities, distributed through the Mining Fund. However, under a reorganization announced by President Andrés Manuel López Obrador, the funds were redirected to a federal budget for schools. Although AMLO has said that the previous system recorded corruption cases and sometimes the cash for projects did not arrive, some industry experts consider that the Mining Fund is a critical tool for mines and projects to win and maintain support of the communities.
  • The Undersecretary of Mining, Francisco Quiroga, spoke about the role that the mining industry plays in Mexico. He said that mining, which is carried out generally in remote locations with difficult access, is a great generator of foreign exchange, as it is mainly an exporter in the case of Mexico, where it contributes more than 4% of GDP. He also emphasized that only small and medium-sized mines require investments of between USD $350-500M, and that medium-scale mines generate 1,000 to 2,000 direct jobs and around 5,000 – 10,000 indirect jobs.
  • Mexico Mining sector, captures USD $873M of Foreign Direct Investment (FDI) in the first half of 2020, a year-on-year decline of 18.6%, according to statistics from the Ministry of the Economy. About 25% of the Mexican territory has been explored in detail, so there is a great opportunity for the development of new projects. Mexico places 12 to 19 minerals year after year within the top 10 production places globally. Development risk in mining is concentrated in the exploration stages and decreases as the operation stage progresses.
  • Fernando Alanis, President of the Mexican Mining Chamber (CAMIMEX), declared that the investment in mining exploration in Mexico could fall to its lowest level in 14 years, although the drop would be even greater given that it does not consider the impact of the COVID-19 pandemic. He said that in recent years exploration activities in the country have suffered a strong fall due to the uncertainty of investors. “Mexico has lost attractiveness as a mining investment destination… that is a fact”. “We have seen a very important reduction of more than 150 exploration companies that are no longer in Mexico and that is worrying.”
  • The Undersecretary of Mining, Francisco Quiroga, informed that in Mexico, the mining sector has to do it environmentally sustainable and socially inclusive, with zero fatalities, no environmental disasters or generating social conflicts. He also informed that active mining concessions represent only four million hectares, that is, a little more than 2% of the national territory and after conducting a review, total concessions decreased from 25 thousand to 21 thousand, which represented a reduction from 21 million to 16 million hectares.
  • Coeur Mining Inc , a US mining company, claimed MXP $1,000M (over USD $46M) to the government of Mexico. Coeur, the fifth silver producer in Mexico, seeks to obtain this compensation from the federal government because the Mexican Tax Administration (SAT) did not refund the VAT. This is the second case that is presented so far in 2020. The first was the notice of the Canadian company First Majestic Silver Corp to the Mexican government, also due to an action by the SAT. On May 13, in its notification, it communicated that the claim amounts to USD $500M, in addition to the interest generated, expenses and costs applicable in the arbitration procedure.
  • Jorge Mátar Vargas, a businessman from Morelos, said that the investment of the Esperanza Silver mining project would reactivate the economy of Morelos, given the crisis it faces due to the COVID-19 pandemic. He also argued that with the Esperanza Silver mining project, state economic activity would be detonated. It would help reduce the deficit of jobs in the state and rescue small entrepreneurs. This project represents a millionaire private investment for the entity, with the capacity to generate hundreds of direct and indirect jobs and is a potential to strengthen the local economy.
  • Napoleón Gómez Urrutia, senator and leader of one of the Mexican mining union tweeted (by the way, a very strange tweet), that he won a labor lawsuit against Grupo Peñoles for unjustified dismissal, for which the company must pay him MXP $1M of lost wages and benefits for 12 years and 8 months that he worked for Minera Mexicana La Ciénega.
  • Sergio Almazán is the new President of the Association of Metallurgical, Mining and Geologist Engineers of Mexico A.C (AIMMGM) for the biennium 2020-2022.
  • Francisco Quiroga, Undersecretary of Mining of Mexico, declared that the recovery of the prices of the main minerals produced in Mexico will reinforce mining investment projects in the country and will allow mining to be part of the competitive advantage for other industries in the country such as manufacturing.

ON EXPLORATION

  • Tocvan Ventures Corp., JV partner of Colibri Resource Corporation, released results from the structural analysis carried out at its El Pilar project in Sonora. “The initial overview of the 3D inversion of magnetic susceptibility data has revealed stand-out significant major structures that are universally associated with “plumbing” systems for gold-silver fluid flow and deposition. Structures appear as shear zones, faults, brecciated rock, rotational gashes within shear zones and other such dilation structures”. The main identified structure is a 1,000m by 250m large NW-SE trending structure bounded by additional N-S trending structures with approximate lengths of 300m. The NW-SE structure as been interpreted as a structural corridor holding a shear zone with rotational features that suggest excellent means of plumbing for metal-mineral-rich fluids to flow through and deposit.
  • Silver Viper Minerals Corp., reported results from ten drill holes collared its La Virginia project in Sonora. Of the ten holes, six were drilled at El Rubi and four at Macho Libre. At El Rubi area, a broad zone of mineralization was encountered in hole LV20-245#1 with 0.76 g/t Au and 38 g/t Ag over a true width (TW) of 55.2m, including 1.79 g/t Au and 92 g/t Ag over a TW of 3m; and 2.49 g/t Au and 152 g/t Ag over a TW of 1m; and 7.98 g/t Au and 353 g/t Ag over a TW of 2.5m, including 20.7 g/t Au and 854 g/t Ag over a TW of 0.5m; hole LV20-245#2 with 0.6 g/t Au and 14 g/t Ag over a TW of 11.2m, including 1.43 g/t Au and 4 g/t Ag over a TW of 1.5m; and hole LV20-245#3 with 0.56 g/t Au and 22 g/t Ag over a TW of 7.5m, including 3.26 g/t Au and 19 g/t Ag over a TW of 0.5m, and an interval of 0.93 g/t Au and 124 g/t Ag over a TW of 0.2m. At Macho Libre, the most significant drill intercept was encountered at hole LV20-240M with 0.5 g(t Au and 7 g(t Ag over a TW of 0.6m.
  • Tarachi Gold Corp., announced the beginning of a 5,000m drilling program at its Tarachi Gold project in Sonora. The company plans to start the drill program at La Dura mine where channel sampling returned 6.34 g/t Au over 62.55m.
  • Vizsla Resources Corp., released the first step-out drill results along the Napoleon Vein corridor at its Panuco project in Sinaloa. Hole NP-20-18, located 1km north from the original discovery at Napoleon encountered 3.76 g/t Au, 689 g/t Ag, 0.2% Pb, 0.6% Zn (1,019 g/t AgEq) over a width of 2.5m, including 7.96 g/t Au, 1,515 g/t Ag, 0.5% Pb, and 1.2% Zn (2,206 g/t AgEq) over a width of 1m. Assays are pending for holes NP-20-19 and NP-20-21 separated each other for a distance of 90m.
  • Mithril Resources Ltd, announced results from the two first drill holes collared at its Copalquin project in Durango. Hole CDH-001 encountered 34.72 g/t Au and 3,129 g/t Ag over 3m, including 88.4 g/t Au and 6,750 g/t Ag over 1m; and hole CDH-002 with 5.64 g/t Au and 325 g/t Ag over 4.55m, including 9.82 g/t Au and 574 g/t Ag over 1.5m, plus 9.27 g/t Au and 825 g/t Ag over 0.5m. The two first holes are part of a 5,000m (35 holes) drilling program and intercepted the Soledad vein, confirming historically bonanza grades.

ON MINING

  • Impact Silver Corp., reported Q2, 2020 production and financial results from its Zacualpan mining district, State of Mexico. Despite losing nearly half the quarter (April to June) due to mandatory shutdown, Impact milled 25,602 tonnes with an average mill feed grade of Ag of 187 g/t to produced 129,570 Oz Ag. Q2, 2020 production at the Guadalupe mill came from the Guadalupe mine (37%), the San Ramon mine (23%), the Cuchara mine (23%), and the Veta Negra mine (17%). Impact reported revenues for $2.84M and an adjusted EBIDTA of $0.48M. At June 30, 2020, cash position was at $6.3M with working capital at $5.3M.
  • Santacruz Silver Mining Ltd., reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Zimapan consists of 34 mining concessions totalling 5,138.76 ha and has had an extensive mining history dating back to the 1660´s. There are fourteen known mineral zones that are hosted in Lower Cretaceous limestone and calcareous shales. The zones contain targets that range from 3-10 m in width that have been traced 40-1000 m along strike and 40-590 m down dip. The property has been in production since January 1, 2010 and as of December 31, 2019 Carrizal Mining mined approximately 5.88M tonnes of mineralized material, including 3.43M tonnes at head grades ranging from 73-101 g/t Ag, 0.4-0.5% Pb, 1.8-2.8% Zn, and 0.49-0.67 % Cu from the Monte mine, and  45 MT at head grades ranging from 82-124 g/t Ag, 0.6-1.2 % Pb, 2.-4.4 % Zn, and 0.28-0.48 % Cu from the Carrizal mine.

ON FINANCING

  • Redstar Gold Corp., completed a non-brokered private placement for gross proceeds of CAD $7M. The company plans to use the net proceeds for exploration drilling and resource delineation, updating the resource and general working capital (Heliodor properties, Mexico).
  • Kootenay Silver Inc., closed its previously announced private placement for gross proceeds of $7M. The Company intends to use the net proceeds from the offering for exploration and development activities, working capital requirements and other general corporate purposes (Columba project, Chihuahua).
  • Capitan Mining Inc., closed its private placement for gross proceeds of $3,840,885.00 instead of the 10,000,000 shares ($2,000,000) originally contemplated. Net proceeds will be used to fund a focused drill program at the Peñoles project in Durango, additional project acquisitions and general corporate purposes.
  • VVC Exploration Corporation, announced a non-brokered private placement to raise gross proceeds of up to CAD $3.3M. Gross proceeds will be used for development of its Kaity project, Chihuahua, including costs associated with various permits, metallurgical bench testing, and investigation, evaluation and implementation of the Gloria pilot mining; option payments in Mexico; current accounts payable; general administrative expenses; and working capital.
  • Gold Resource Corporation, declared its August monthly dividend to shareholders. It will consists of one-third of a cent per common share for August 2020 payable on September 23, 2020 to shareholders of record as of September 11, 2020. (Arista mine, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Mexus Gold US, provided an update on progress at its Santa Elena mine in Sonora. The company improved the crushing circuit to maximize efficiencies, hired two new equipment operators and a lab technician, and acquired a 330 excavator a 40 ton haul truck and repaired existing equipment. The company expects to show an increase in production during the Q2 of its fiscal year (July through September).
  • Silver Dollar Resources Inc., reported phase 3 drilling results not previously reported by SilverCrest from its la Joya project in Durango. This in-fill drilling program consisted of 17 drill holes targeted to advance towards an updated resource model in H1, 2015. Significant drill intercepts were encountered in hole LJDD14-109 with 0.73 g/t Au, 33 g/t Ag and 0.36% Cu (119 g/t AgEq) over a width of 21.92m, including 3.45 g/t Au, 12 g/t Ag and 0.1% Cu (231 g/t AgEq) over a width of 4.4m; LJDD14-114 with 0.09 g/t Au, 193 g/t Ag and 2.58% Cu (501 g/t AgEq) over a width of 1.2m and 0.38 g/t Au, 43 g/t Ag, and 0.27% Cu (98 g/t AgEq) over a width of 66.4m. including 1.26 g/t Au, 219 g/t Ag, and 1.48% Cu (468 g/t AgEq) over a width of 3.15m; hole LJDD20-115 with 0.06 g/t Au, 234 g/t Ag, and 1.24% Cu (382 g/t AgEq) over a width of 6.1m, including 0.17 g/t Au, 734 g/t Ag, and 3.75% Cu (1,182 g/t AgEq) over a width of 1m; hole LJDD20-116 with 0.06 g/t Au, 76 g/t Ag, and 0.55% Cu (144 g/t AgEq) over a width of 25.1m, including 0.04 g/t Au, 185 g/t Ag, and 1.37% Cu (348 g/t AgEq) over a width of 9.1m, and 0.11 g/t Au, 602 g/t Ag, and 4.64% Cu (1,151 g/t AgEq) over a width of 1.8m, and 0.29 g/t Au, 106 g/t Ag, and 1.2% Cu (234 g/t AgEq) over a width of 23.1m, including 0.09 g/t Au, 723 g/t Ag, and 8.97% Cu (1,778 g/t AgEq) over a width of 2m.
  • GoGold Resources Inc., announced the filing of a NI43-101 technical report on the initial mineral resource estimate for their Los Ricos South project in Jalisco. Measured and indicated mineral resource are 10M tonnes of 199 g/t AgEq to contain 63.7M Oz AgEq, and Inferred resources are 3.3M tonnes of 190 g/t AgEq to contain 19.9M Oz AgEq. Los Ricos South mineral resource is potentially amenable to both open pit and bulk underground mining methods. The company also expanded the surface rights agreement. On August 9,2020 the Ejido Cinco Minas, which owns the surface rights over the majority of the Los Ricos South concessions including all of those within the mineral resource estimate, signed an agreement with the company for a period of 12 years with an additional 12 year renewal period.
  • Santacruz Silver Mining Ltd., reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Zimapan consists of 34 mining concessions totalling 5,138.76 ha and has had an extensive mining history dating back to the 1660´s. There are fourteen known mineral zones that are hosted in Lower Cretaceous limestone and calcareous shales. The zones contain targets that range from 3-10 m in width that have been traced 40-1000 m along strike and 40-590 m down dip. The property has been in production since January 1, 2010 and as of December 31, 2019 Carrizal Mining mined approximately 5.88M tonnes of mineralized material, including 3.43M tonnes at head grades ranging from 73-101 g/t Ag, 0.4-0.5% Pb, 1.8-2.8% Zn, and 0.49-0.67 % Cu from the Monte mine, and  45 MT at head grades ranging from 82-124 g/t Ag, 0.6-1.2 % Pb, 2.-4.4 % Zn, and 0.28-0.48 % Cu from the Carrizal mine.
  • Golden Minerals Company, released results from its resource definition drill program at its Rodeo project in Durango. Golden reported results from 11 drill holes with significant intercepts showing wide zones of high-grade near-surface Au mineralization. Highlights include hole RDO_20_012 with 6.66 g/t Au and 14 g/t Ag over 24.5m, including 9.3 g/t Au and 15 g/t Ag over 8.6m; hole RDO_20_014 with 5.87 g/t Au and 27 g/t Ag over 23.5m, including 8.83 g/t Au and 38 g/t Ag over 12.9m; and hole RDO_20_017 with 2.85 g/t Au and 11 g/t Ag over 21.4m, including 5.1 g/t Au and 15 g/t Ag over 6m.

ON DEALS AND CORPORATE ISSUES

  • Redstar Gold Corp., announced the acquisition of Heliodor Metals Limited., and appointed its new CEO and board of directors. To acquire Heliodor, Redstar issued an aggregate of 86,621,003 shares to the former Heliodor shareholders in exchange for all the issued and outstanding Heliodor securities.
  • Orla Mining Ltd., announced the appointment of its Senior VP Exploration (Camino Rojo project, Zacatecas).
  • Sonoro Metals Corp., announced that its board of directors approved the change of the company´s name to Sonoro Gold Corp (Cerro Caliche project, Sonora).
  • Azure Minerals Limited, presented results from its annual general meeting of shareholders (Mesa de Plata project, Sonora).
  • Newmont Corporation, announced the replacement of the General Manager of the Peñasquito mine, Zacatecas. The former General Manager was ceased for violations of Newmont´s Code of Conduct.
  • Silver Spruce Resources Inc., granted 300K stock options to its CFO (El Mezquite project, Sonora).
  • SilverCrest Metals Inc., announced the acquisition of El Picacho property, near its Las Chispas project in Sonora, from American Metal Mining. The purchase price paid by SilverCrest was for the amount of USD $1.6M and is for a 100% ownership in 11 mining concessions totalling approximately 7,060 hectares. The company also paid all the mining taxes to bring these concessions to good standing. The Property was a historic gold and silver producer, with the first noted production in late 1800s with grades greater than 15 g/t Au. “There are seven (7) low-sulphidation epithermal main veins on the concessions, with numerous near parallel hanging and footwall veins. The main veins have a known cumulative strike length of over 10km with widths ranging from 0.5 to 15m”.
  • Orogen Royalties Inc., (former Evrim) optioned the Sarape Au property in Sonora to Minera Hochschild SA de CV, a subsidiary of Hochschild Mining PLCHochschild can earn a 100% interest in the Sarape project by making cash payments of USD $5.35M and completing expenditures of USD$5M over a five-year period. Upon exercise of the option, Hochschild will grant to Orogen a 3% NSR of which 1% can be purchased for USD $2M.
  • Comet Resources Ltd., executed a share purchase and JV agreement with El Alamo Resources Limited to acquire 100% interest in the Santa Teresa project in Baja California. The acquisition will be completed on a staged basis, with Comet acquiring an initial 50% interest by making a refundable $100K cash payment. The remaining 50% interest will be acquired upon a decision to mine being made in respect of the Project within a two year period. Comet is now 50% owner of the Santa Teresa property and has the option to increase its ownership to 100% within two years. Historical production in the surrounding El Alamo district has been estimated in between 100K-200K Oz Au. The Santa Teresa project is comprised of two mineral claims totalling 202 hectares. Previous operator drilled 32 holes with significant results such as 32.4 g/t Au over 2m ; 958.4 g/t Au over 1m; 38 g/t Au over 2.5m; 39 g/t Au over 3.9m; 19.9 g/t Au over 3m; 125.9 g/t Au over 1m; 14.4 g/t Au over 3.1m; and 16 g/t Au over 3.1m. The company plans are to re-assay historic drill core to prepare a JORC compliant mineral resource estimate and then to test the upside potential at under explored areas.

ON SOCIAL RESPONSIBILITY

  • Fresnillo plc, seeks to promote knowledge about COVID-19 among its employees and train them to carry out all the actions and measures necessary to prevent the spread of the virus in their homes, community and in the company.

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 hydrothermal breccia related to an epithermal system in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

Discovery Reports Q2 2020 Operating & Financial Results

20200827_pr_-_2q2020_financials_final

August 27, 2020, Toronto, Ontario – Discovery Metals Corp. (TSX-V: DSV, OTCQX: DSVMF) (“Discovery” or the “Company”) is pleased to announce its operating and financial results for the three months ended June 30, 2020, and to provide a summary of key events subsequent to quarter end. All amounts are presented in Canadian dollars (“C$”) unless otherwise stated.

Pan American Silver to Host ESG Conference Call and Webcast

Pan American Silver _ Corporate Site

VANCOUVER, BCAug. 26, 2020 /CNW/ – Pan American Silver Corp. (NASDAQ: PAAS) (TSX: PAAS) (“the Company”) will host a call to discuss the Company’s approach and performance on environmental, social and governance (“ESG”) matters on September 14, 2020 at 11:00 am ET (8:00 am PT). Senior members of the Company’s management team will describe the key opportunities and challenges regarding its sustainability strategy, discuss the Company’s 2019 Sustainability Report, and respond to questions from investors and analysts.

SilverCrest Announces Acquisition of El Picacho Property Near Las Chispas

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VANCOUVER, BC – August 27, 2020 – SilverCrest Metals Inc. (“SilverCrest” or the “Company”) is pleased to announce it has acquired the El Picacho Property (“Picacho” or the “Property”) located near its Las Chispas Project (“Las Chispas”) in Sonora, Mexico. The Property was acquired by the Company’s subsidiary, Compañía Minera La Llamarada, S.A. de C.V., from American Metal Mining, S.A. de C.V. (the “Vendor”, a Mexican company), and an affiliate. The purchase price for a 100% ownership in 11 mining concessions of the Property totalling approximately 7,060 hectares was US$1.6 million (paid to the Vendor). The Company also paid the necessary government taxes to bring these concessions to good standing.

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

Phyllic alteration

By Miguel A Heredia

During the thirty three week of the year (August 10th to August 16th, 2020), at least 43 press releases were announced by companies working in Mexico, with twelve disclosing deals and corporate issues, seven announcing financial rounds, six communicating production and financial results, six informing on exploration results, five reporting on resources and development of their mine operations, four discussing social issues, and three commenting on Mexican issues. ON MEXICO ISSUES, Mining drives the economy of the municipalities of Santa Barbara and San Francisco del Oro, Chihuahua. The Undersecretary of Mining, Francisco Quiroga and the Major of Progreso, Coahuila, Federico Quintanilla started up the modern “La Esperanza” locomotive at the Santa Barbara mine, with the purpose of promoting a fair and safe reactivation of coal orders that will be transformed into jobs for this municipality. Mexican Au production will suffer declines due to COVID-19 pandemic.  ON EXPLORATION, In Sonora, Colibri Resource began a high resolution mag survey at its Evelyn project, its JV partner Silver Spruce commenced a mapping and sampling program at its El Mezquite, and Silver Tiger reported underground channel sampling results from its El Tigre project. In Chihuahua, Kootenay presented drill results from 4 holes collared at its Columba project. In Sinaloa, GR Silver released drill results from 14 holes drilled by previous companies at its Plomosas project but not previously released, and Vizsla reported a second discovery drilling at its Panuco project.  ON MINING, Argonaut, Equinox, GoGold, MAG Silver, and Santacruz Silver presented Q2, 2020 production and financial results from their Mexican mine operations; Starcore presented Q1, 2021 production and financial results from its San Martin mine in Queretaro.  ON FINANCING, Canuc closed a non-brokered private placement for gross proceeds of $225K (San Javier project, Sonora). Discovery Metals closed a non-brokered private placement for gross proceeds of CAD $35M, including CAD $15M investment from Eric Sprott (Cordero project, Chihuahua).  Orex Minerals announced a non-brokered private placement offering for aggregate gross proceeds of up to $5.5M (Sandra and Coneto projects, Durango). One World Lithium closed a portion of its previously announced non-brokered private placement raising gross proceeds for CAD $336K (Salar del Diablo project, Baja California). Silver Spruce announced a private placement financing for gross proceeds of up to $1.6M (El Mezquite project, Sonora).  Sonoro Metals closed a non-brokered private placement financing for gross proceeds of $8M including the fully subscribed overallotment option (Cerro Caliche project, Sonora). Sable Resources entered    into an agreement with Sprott Capital for a private placement financing for gross proceeds of up to CAD $5M (Margarita project, Chihuahua). ON RESOURCES AND DEVELOPMENT, SilverCrest released drill results from its Las Chispas project. Golden Minerals announced results from 9 diamond holes of its in-fill resource definition drill program at its Rodeo project in Durango. Coeur provided mid-year 2020 exploration update on its Palmarejo project in Chihuahua. SilverCrest provided an update of the activities carried out at its Las Chispas project in Sonora during the period H1, 2020. Orla Mining received from the Mexican Federal Environmental Department (“SEMARNAT”), the environmental permit required for the development of its Camino Rojo project in Zacatecas.   ON DEALS AND CORPORATE ISSUES, Brigadier signed a definitive agreement to acquire Picachos property in Sinaloa, including the past producing San Agustin mine, and made the appointment of a new member to its board of directors.  Magna Gold entered into a definitive option agreement with a private party to acquire a 100% undivided interest in the Los Muertos property in Sonora. Silver Dollar signed a definitive agreement with First Majestic to acquire up to a 100% interest in the La Joya property in Durango. Alien appointed IBK Capital Corp to assists it with the project level funding and JV process for its Donovan 2 project in Zacatecas. Avino has granted the exclusive right to Gray Rock Resources to acquire a 100% interest in the Ana Maria and Laberinto properties in Durango. Evrim reported results from its annual general meeting of shareholders, and approved the merger with Renaissance Gold (Ermitaño project, Sonora).  Excellon announced results from its 2020 annual general meeting of shareholders (La Platosa mine, Durango). Riverside completed the spin-out of shares of Capitan Mining Inc. (Peñoles mining district, Durango). Monarca closed the sale of the El Sol project in Durango to Southern Silver and appointed a new member to its board of directors (Tejamen project, Durango). Minera Alamos granted stock options to an officer of the company (Santana project, Sonora).  ON SOCIAL RESPONSIBILITY, Minera Media Luna (Torex Gold), inaugurated a waste water treatment system at Cocula municipality of Guerrero. Grupo Mexico Foundation donated seven assisted breathing ventilators, as well as personal protection equipment for ambulances from the Ministry of Health of Coahuila. Personnel of Fresnillo plc will carry out rapid tests of COVID-19 in the communities and neighborhoods near the area of operation of the mines in the Fresnillo district.

ON MEXICO ISSUES

  • Mining drives the economy of the municipalities of Santa Barbara and San Francisco del Oro, Chihuahua. The main source of employment in Santa Barbara and San Francisco del Oro is mining. If not, these two towns could become “ghost” cities. Currently these two areas of the south of the state have prospered thanks to the establishment of mining companies that have taken advantage of the resources from their respective foundations, which were precisely constituted by the discovery of mines at the time of the Viceroyalty and until now they continue operating.
  • The Undersecretary of Mining, Francisco Quiroga and the Major of Progreso, Coahuila, Federico Quintanilla started up the modern “La Esperanza” locomotive at the Santa Barbara mine, with the purpose of promoting a fair and safe reactivation of coal orders that will be transformed into jobs for this municipality. In meeting with the Undersecretary of Mining, the mayor explained the need to request coal orders from the Federal Electricity Commission (CFE) to ensure investment and, above all, return employment to hundreds of families who depend on this activity in the municipality of Progress, Coahuila.
  • Mexican Au production, will suffer a decrease of more than 300K Oz in Au production this year due to the COVID-19 pandemic. The figure represents 9.3% of the 3.46M Oz Au of the production originally projected for 2020, according to BNamericas’ forecast and estimates for 20 companies in March, 2020. Mexico produced 126,607 Oz Au in May, 37.5% less than the same month last year, according to the national Institute of Statistics and Geography (INEGI).

ON EXPLORATION

  • Colibri Resource Corporation, began a high resolution mag survey at its Evelyn project in Sonora. The planned airborne magnetic survey will consist of 150 km in 59 N-S lines at 50m line spacing and 5 E-W tie-lines at 500m separation using a DRONE equipped with a Mag magnetometer. Results from this mag survey along with surface chip and channel samples, property wide soil sampling and previous drill results will be analyzed to plan drill targets for a fall 2020 drill program.
  • Silver Spruce Resources, has mobilized a crew to its El Mezquite property in Sonora to conduct geology mapping of the entire property and collect additional rock samples for analysis as well as for an study of alteration intensity and style using a Terraspec hyperspectral tool.
  • Silver Tiger Metals Inc., presented underground channel sampling results from its El Tigre project in Sonora. This sampling program is intended to generate drill targets. In the Fundadora Vein, highlights include 4.44 g/t Au and 3,064 g/t Ag (3,397 g/t AgEq) over a true width (TW) of 0.5m; 8.6 g/t Au and 2,500 g/t Ag (3,145 g/t AgEq) over a TW of 0.4m; and 22.3 g/t Au and 606 g/t Ag (2,278 g/t AgEq) over a TW of 1.2m. At Protectora Vein, highlights include 32.99 g/t Au and 2,283 g/t Ag (2,474 g/t AgEq) over a TW of 0.4m. At Caleigh Vein, highlights include 26.65 g/t Au and 1,679 g/t Ag (1,999 g/t AgEq) over a TW of 0.4m. At the Aquilas Norte area, sampling returned significant results such as 4.71 g/t Au and 1,709 g/t A (2,062 g/t AgEq) over a TW of 0.3m; and 1.37 g/t Au and 1,843 g/t Ag (1,946 g/t AgEq) over a TW of 0.3m.
  • Kootenay Silver Inc., presented drill results from additional four holes collared at its Columba project in Chihuahua in the J and Z Veins. Highlights include hole CDH-20-060 with 132 g/t Ag over a width of 64m, including two notable intervals: 1,025 g/t Ag over 1m within 226 g/t Ag over 9m, and 361 g/t Ag over 11m, including 608 g/t Ag over 5m, and 1,160 g/t Ag over 1m, all within 229 g/t Ag over 22m; and hole CDH-19-030 with 200 g/t Ag over 25.85m, including 415 g/t Ag over 11.15m, including 982 g/t Ag over 1.9m within 721 g/t Ag over 4.07m. The Ag mineralization in the J and Z Vein system is related to silicified breccias and thin quartz vein stockworks following classic banded quartz vein structures more characteristic of the F-Vein.
  • GR Silver Mining Ltd., announced drill results from 14 holes drilled by previous companies but not previously released from its Plomosas project in Sinaloa, revealing the presence of wide zones of Au mineralization in addition to attractive near surface Ag-Pb-Zn mineralization. Significant drill intercepts were encountered at hole PLSS18-02 with 0.2 g/t Au, 350 g/t Ag, 0.3% Pb, and 0.2% Zn (383 g/t AgEq) over a true width (TW) of 2m, including 0.5 g/t Au, 1,559 g/t Ag, 1.4% Pb, and 1.1% Zn (1,687 g/t AgEq) over a TW of 0.4m; hole 219 with 1.9 g/t Au, 191 g7t Ag, 7.1% Pb, and 3.4% Zn (716 g/t AgEq) over a TW of 4.4m, and hole 235 with 2.3 g/t Au, 134 g/t Ag, 0.1% Pb, and 2.4% Zn (437 g/t AgEq) over a TW of 0.8m; and hole 244 with 1.7 g/t Au, 17 g/t Ag and 0.7% Zn (209 g/t AgEq) over a TW of 12.6m. These drill results define a mineralized strike length of up to 700m, with field evidence and underground mapping indicating further continuity along strike and down dip.
  • Vizsla Resources Corp., reported a second discovery drilling at the San Carlos mine on the Animas Vein corridor within its Panuco project in Sinaloa. Highlights include hole AM-20-15 with 0.61 g/t Au and 93 g/t Ag (144.9 g/t AgEq) over 0.35m; and hole AM-20-16 with 1.14 g/t Au and 130 g/t Ag (229 g/t AgEq) over 16.25m, including 2.19 g/t Au and 231 g/t Ag (421 g/t AgEq) over 6.75m, including 5.08 g/t Au and 821 g/t Ag (1,245 g/t AgEq) over 1.50m. The San Carlos Mine is over 6 km east of the recent discovery at the Napoleon vein corridor.

ON MINING

  • Argonaut Gold Inc., announced Q2, 2020 production and financial results from their Mexican operations. At El Castillo mine in Durango, Argonaut processed 902K tonnes of 0.43 g/t Au to produce 9,151 Oz Au and 19,547 Oz Ag or 9,394 GEOs (Oz AuEq), at a cash cost of $862 per Oz Au sold. At San Agustin mine in Durango, the company processed 1.18M tonnes of 0.33 g/t Au to produce 13,403 Oz Au and 69,242 Oz Ag (14,288 GEOs) at a cash cost of $76 per Oz Au sold. The El Castillo complex (Castillo + San Agustin mines) produced 23,662 GEOs at a cash cost of $802 per Oz Au sold during Q2, 2020. At La Colorada mine in Sonora, Argonaut processed 506K tonnes of 0.42 g/t Au to produce 7,537 Oz Au and 26,554 Oz Ag (7,869 GEOs) at a cash cost of $1,169 per Oz Au sold.
  • Equinox Gold Corp., did not report production results by single operation but presented a consolidated production of 127K Oz Au from their mine operations and sold 125.8K Oz, having earnings of USD $85.1M, a net loss of USD $58.7M, and an adjusted net income of USD $26.6M. For Los Filos mine in Guerrero, most of the period Q2, 2020, the mine was on suspension due to the COVID-19 pandemic but the company provided a H2, 2020 guidance and expects to produce 90K-100K Oz Au at an AISC of USD $850-950 per Oz Au.
  • GoGold Resources Inc., presented financial results from its Parral Tailings project in Chihuahua for the period Q2, 2020. GoGold stacked 282.7K tonnes at a cash and AISC cost of USD $12.13 and USD $14.93 per Oz AgEq respectively. The company sold 469.5K Oz AgEq with revenue of USD $7.9M and a free cash of flow of USD $2.2M.
  • MAG Silver Corp., announced that underground production at its Juanicipio project in a JV with Fresnillo plc in Zacatecas is expected to commence soon. An anticipated processing of 16K tonnes per month from which 8,850 tonnes were successfully at the Fresnillo pant on a test basis while the Juanicipio plant is commissioned. The capex expended from January 1, 2018 to June 30, 2020 is approximately USD $172,695 leaving an estimated USD $267,305 of remaining initial capital (MAG’s 44% estimated remaining share is USD $117,614 as at June 30, 2020). This funding requirement would be reduced by both: existing cash held in Minera Juanicipio as at June 30, 2020 (USD$35,337); and, expected cash flows generated from mineralized rock sold and processed through the Fresnillo processing plant referenced above.
  • Santacruz Silver Mining ltd., reported Q2, 2020 production and financial results from its Mexican mine operations. Consolidated production results of Santacruz for the period Q2, 2020 resulted in 116,799 tonnes processed to produce 216K Oz Ag, 57 Oz Au, 679K Lb Cu, 1.68M Lb Pb, and 4.85M Lb Zn. At Zimapan mine in Hidalgo, the company processed 106,725 tonnes of 75 g/t Ag, 0.42% Cu, 0.7% Pb, and 2.5% Zn to produce 181.8K Oz Ag, 679K Lb Cu, 1.5M Lb Pb, and 4.45M Lb Zn. At Rosario mine in San Luis Potosi, Santacruz processed 10,074 tonnes of 0.25 g/t Au, 113 g/t Ag, 0.8% Pb, and 2% Zn to produce 57 Oz Au, 34.2K Oz Ag, 154K Lb Pb, and 392.4K Lb Zn.
  • Starcore International Mines Ltd., presented production results from its San Martin mine in Queretaro for the period Q1, 2021. Starcore processed 59.1K tonnes of 1.7 g/t Au and 29 g/t Ag at metallurgical recoveries of 88.77% and 56.53% respectively to produce 3,250 Oz AuEq.

ON FINANCING

  • Canuc Resources Corporation, closed a non-brokered private placement for gross proceeds of $275K. Net proceeds will be used for exploration at its San Javier project in Sonora.
  • Discovery Metals Corp., closed a non-brokered private placement for gross proceeds of CAD $35M, including CAD $15M investment from Eric Sprott. After this investment. Mr. Sprott will own approximately 26.4% interest in Discovery Metals on a non-diluted basis or 29.9% on a partially diluted basis assuming the exercise of warrants held by Mr. Sprott. Net proceeds will be used to fund Discovery´s continuing exploration programs at its Cordero project in Chihuahua and its other projects in Coahuila.
  • Orex Minerals Inc., announced a non-brokered private placement offering for aggregate gross proceeds of up to $5.5M (Sandra project. Durango). Mr. Eric Sprott intends to subscribe for the entirety of the offering. Net proceeds will be used for working capital requirements and other general corporate purposes (Sandra and Coneto properties in Durango).
  • One World Lithium Inc., closed a portion of its previously announced non-brokered private placement raising gross proceeds for CAD $336K. Net proceeds will be used primarily for funding part of its Salar del Diablo drilling program in Baja California and for working capital.
  • Silver Spruce Resources Inc., announced a private placement financing for gross proceeds of $1.6M. The proceeds will be used for exploration of the El Mezquite and Pino de Plata projects in Sonora and Chihuahua states respectively.
  • Sonoro Metals Corp., closed a non-brokered private placement financing for gross proceeds of $8M including the fully subscribed overallotment option. The Company plans to use the proceeds from the offering to launch Phase One of the 2020-21 Core Drilling Program to test its Cerro Caliche epithermal system’s potential to host high-grade gold mineralization at depth as discussed previously.
  • Sable Resources Ltd., entered into an agreement with Sprott Capital Partners LP as lead agent for a private placement financing for gross proceeds of up to CAD $5M. The offering is expected to close on or about September 10, 2020. Gross proceeds will be used for exploration and general corporate and working capital purposes (Margarita project, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • SilverCrest Metals Inc., released drill results from the Babi Vista Vein within its Las Chispas project in Sonora. This program is designed to expand and in-fill high grade mineralization to be included in the updated resource for the ongoing FS. The expanded high-grade footprint for Babi Vista is estimated at 800m along strike by an average 150m in height. The most significant results were encountered at hole BV20-60 with 635 g/t Au and 26,004 g/t Ag (73,595 g/t AgEq) over a true width (TW) of 1.3m; hole BV20-53 with 19.87 g/t Au and 2,996 g/t Ag (4,486 g/t AgEq) over a TW of 4.4m; and hole BV20-94 with 85.4 g/t Au and 4,716 g/t Ag (11,121 g/t AgEq) over a TW of 0.7m.
  • Golden Minerals Company, announced results from nine diamond holes of its in-fill resource definition drill program at its Rodeo project in Durango. Each of the first nine diamond drill holes intersected wide zones of near-surface gold mineralization, with significant drill intercepts encountered at hole RDO-20-001-M with 1.85 g/t Au and 11 g/t Ag over 45m, including 2.59 g/t Au and 13 g/t Ag over 29.44m, including 4.04 g/t Au and 20 g/t Ag over 13.23m; hole RDO-20-002 with 2.18 g/t Au and 7 g/t Ag over 35m, including 4.21 g/t Au and 5 g/t Ag over 9.9m, including 2.44 g/t Au and 2.44 g/t Au and 17 g/t Ag over 10.39m; hole RDO-20-003-M with 3.23 g/t Au and 11 g/t Ag over 40m, including 6.86 g/t Au and 16 g/t Ag over 12.95m, including 2.62 g/t Au and 15 g/t Ag over 10.85m; hole RD-20-004 with 1.27 g/t Au and 8 g/t Ag over 50m, including 3.33 g/t Au and 3 g/t Ag over 9.18m; hole RDO-20-005-M with 3.78 g/t Au and 18 g/t Ag over 40m, including 5.96 g/t Au and 20 g/t Ag over 23.4m; hole RDO-20-006 with 3.06 g/t Au and 9 g/t Ag over 30m, including 5.21 g/t Au and 10 g/t Ag over 15.5m, including 7.55 g/t Au and 11 g/t Ag over 8.11m; hole RDO-20-007 with 0.76 g/t Au and 3 g/t Ag over 50m, including 3.36 g/t Au and 7 g/t Ag over 7.2m; hole RDO-20-008 with 2.95 g/t Au and 10 g/t Ag over 40m, including 5.13 g/t Au and 15 g/t Ag over 20.5m, including 7.23 g/t Au and 24 g/t Ag over 9.6m; and hole RDO-20-009 with 1.51 g/t Au and 6 g/t Ag over 45m, including 2.67 g/t Au and 5 g/t Ag over 20.25m, including 3.32 g/t Au and 7 g/t Ag over 13.25m. Drill holes 001M, 003M and 005M were drilled with PQ drill-core to collect samples for metallurgical test work. Remaining drill holes were drilled with HQ drill-core.
  • Coeur Mining Inc., provided H1, 2020 exploration update on its Palmarejo project in Chihuahua. Exploration has been focused primarily on resource conversion and expansion drilling around the Guadalupe mine complex, and secondly on the Independencia mine complex. The company has drilled 29, 496m at a total investment of approximately $4.1M. At North Independencia, key drill results were encountered at hole VIDH-140 with 5.4 g/t Au and 236 g/t Ag over 5.3m and 21.4 g/t Au and 36 g/t Ag over 1.6m; at Northwest Independencia, hole VIDH-136 cut multiple intercepts: 4 g/t Au and 439 g/t Ag over 5.3m; 2.1 g/t Au and 293 g/t Ag over 6.6m; 1.8 g/t Au and 100 g/t Ag over 6.3m; 0.7 g/t Au and 282 g/t Ag over 3.6m; 2.9 g/t Au and 207 g/t Ag over 2.4m; and 4.8 g/t Au and 638 g/t Ag over 0.6m. At East Independencia, hole BVDH-047 intersected 1.4 g/t Au and 248 g/t Ag over 7.6m. Coeur has expanded the overall footprint in the district by mapping and sampling exposures of new veins SW and NE of the two underground mining complexes as well as new veins W and E of legacy open pit mine. It plans to continue aggressively drilling resource expansion targets in several areas during the remainder of 2020 and into 2021.
  • SilverCrest Metals Inc., provided an update on the activities developed at its Las Chispas project in Sonora in H1, 2020. The company completed 97,700m of in-fill and expansion drilling and completed approximately 2.1km of underground decline and lateral development, and stockpiled an additional 12K tonnes of mineralized material for a total stockpile of an estimated 41K tonnes at estimated diluted grade of 1Kg AgEq. SilverCrest expects to release a FS by the end of 2020.
  • Orla Mining Ltd., received from the Mexican Federal Environmental Department (“SEMARNAT”) the environmental permit required for the development of its Camino Rojo project in Zacatecas. Orla now has the two principal permits necessary for commencement of construction activities at Camino Rojo.

ON DEALS AND CORPORATE ISSUES

  • Brigadier Gold Ltd., signed a definitive agreement to acquire a 100% interest in the 3,954 ha Picachos property in Sinaloa, including the past producing San Agustin high grade Au mine. Picachos is along a large trend that host several precious metals epithermal vein systems and recently, a large porphyry copper target has been identified. To acquire 100% interest in the property, Brigadier has to make staged payments to the vendors totalling USD $275K over a 5-year period, issuance of 4M common shares of Brigadier, and cumulative exploration expenditures of USD $3,850,000. Brigadier will also make payments to the vendor for Picachos development milestones as to 1M common shares upon delineating a mineral resource estimate containing a minimum of 350K Oz Au in the inferred category, USD $725K and 1M common shares upon completion of a FS recommending the construction of a mine on the property, and USD $2M upon commencement of commercial production. In addition, Brigadier may, at its option, issue common shares, at the then current market price, subject to a minimum of $0.30 per share, in lieu of one half of the cash payments to be made pursuant to each of, and a 2% NSR will be retained by the vendor who is arm´s length to Brigadier. The company also announced the appointment of a new member to its board of directors.
  • Magna Gold Corp., entered into a definitive option agreement with a private party to acquire a 100% undivided interest in the Los Muertos property in Sonora. Los Muertos is characterized by extreme silicification, hematization, and argillic alteration, suggesting the potential for both extensive Ag-Au vein systems, and coincident, pervasive disseminated   Magna can earn a 100% undivided interest by paying an aggregate amount of USD $425K plus VAT in five annual installments commencing on the effective date of the agreement, August 3rd, 2020.
  • Silver Dollar Resources Inc., signed a definitive agreement with First Majestic to acquire up to a 100% interest in the La Joya property in Durango. The company may acquire an initial 80% interest by making staged payment totalling $1.3M over a 5-year period plus annual holding costs for the property, incurring exploration expenditures on the property of not less than $1M within 3 years, and issuing such number of common shares of the company as is equal to 19.9% of the then-issued and outstanding shares of Silver Dollar. . If Silver Dollar incurs at least $1,000,000 of exploration expenditures on the Property within three years of the date of the Definitive Agreement, First Majestic will waive the third- and fourth-anniversary cash option payments described above totalling $600,000. First Majestic will reserve a 2% NSR in all minerals produced from the property. Within 30 days after exercising its first option, Silver Dollar may exercise its second option and acquire the remaining 20% interest in the subsidiary that owns the La Joya Silver Project by delivering notice and issuing to First Majestic the number of shares as is equal to 5% of the then-issued and outstanding shares of Silver Dollar.
  • Alien Metals ltd., appointed IBK Capital Corp to assists it with the project level funding and JV process for its Donovan 2 project in Zacatecas. Its services include private placements of equity and debt instruments, with significant experience in the mining sector.
  • Avino Silver & Gold Mines Ltd., has granted the exclusive right to Gray Rock Resources Ltd., to acquire a 100% interest in the Ana Maria and Laberinto properties in Durango. In order to exercise the option, Gray Rock has to issue to Avino a total of $600k in cash or common shares: $50K in cash or shares within 30 days of the approval date; $50K in cash or common shares on or before the first anniversary of the approval date; $100K in cash or common shares on or before the second anniversary of the approval date; $200K in cash or common shares on or before the third anniversary of the approval date; $200K in cash or common shares on or before the fourth anniversary of the approval date; incur a total of $750K in exploration expenditures ($50K on or before the first anniversary of the approval date; 100K on or before the second anniversary of the approval date; and 600K on or before the fourth anniversary of the approval date). Gray Rock also granted Avino a right of first refusal on 60 days’ notice to Avino to purchase and process any ore or concentrate extracted from the properties under a custom milling contract at Avino’s mine facilities.
  • Evrim Resources Inc., reported results from its annual general meeting of shareholders, and approved the previously announced merger transaction with Renaissance Gold Inc Under the terms of the arrangement, each outstanding RenGold common share will be exchanged for 1.2448 Evrim common shares, which will result in RenGold shareholders immediately prior to the arrangement holding 50% of the issued and outstanding shares Evrim shares immediately following the arrangement.. Once the arrangement is completed, the company will change its name to Orogen Royalties Inc. (Ermitaño project, Sonora).
  • Excellon Resources Inc., announced results of its 2020 annual general meeting of shareholders, as well as the election of directors (La Platosa mine, Durango).
  • Riverside Resources Inc., completed the spin-out of shares of Capitan Mining Inc. Capitan and its shareholders will now hold 100% interest of the Au-Ag resource at the Peñoles project. Pursuant to the arrangement, holders of common shares of Riverside on August 13, 2020 will receive one new common share of Riverside and 0.2594 of a Capitan share for each common share held. The existing common shares of Riverside were delisted from the TSX Venture Exchange (TSXV) on August 13, 2020. Riverside shares commenced trading on the TSXV at the market opening on August 14, 2020.
  • Monarca Minerals Inc., closed the sale of the El Sol project in Durango to Southern Silver and appointed a new member to its board of directors. El Sol is a small mining concession of 63 ha adjacent to Southern Silver´s Cerro Minas project. The agreement is for USD $300K payable in three equal instalments on execution of a definitive agreement, twelve months and eighteen months together with retention by the Company of 2% NSR on production from the claim with a right in Southern Silver to purchase the royalty at any time for USD $1M. El Sol is a non-core asset for Monarca and net proceeds from the sell will be used to advance the company’s San Jose project in Chihuahua, Mexico and for general working capital.
  • Minera Alamos Inc., granted 600K options exercisable at a price of $0.67 to an officer of the company (Santana project, Sonora). The options will expire in five years.

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna (Torex Gold), inaugurated a waste water treatment system at Cocula municipality of Guerrero. This system had an investment of MXP $6.3M and is part of the infrastructure endowment that the subsidiary mine of Torex Gold Resource planned for the relocation of said town in which 360 inhabitants live in 103 homes.
  • Grupo Mexico Foundation, donated seven assisted breathing ventilators, as well as personal protection equipment for ambulances from the Ministry of Health of Coahuila. In this way, the Ministry of Health of the Government of Coahuila guarantees high-quality advanced care, which can be offered from the place of the incident or report, to the transfer to the hospital for more personalized attention for COVID-19.
  • Personnel of Fresnillo plc, will carried out rapid tests of COVID-19 in the communities and neighborhoods near the area of operation of the mines in the Fresnillo district.

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, phyllic alteration in a porphyry Cu system in a prospect in Puebla, Mexico.  Photo by Miguel A Heredia.

Golden Minerals Drills 23.4m Grading 5.96 g/t Au at Rodeo Gold Project, Durango, Mexico

Golden Minerals_11082020

GOLDEN, Colo., Aug. 11, 2020 (GLOBE NEWSWIRE) — Golden Minerals Company (“Golden Minerals”, “Golden” or the “Company”) (NYSE American and TSX: AUMN) today announced it has received positive assay results from the first nine diamond drill holes of its in-fill resource definition drill program at the Rodeo gold-silver project located in Durango State, Mexico.