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

Chalcedonic quartz breccia

By Miguel A Heredia

During the forty-one week of the year (October 7th to October 13th, 2019), at least 29 press releases were announced by companies working in Mexico, with eight communicating production results, seven announcing financial rounds, five informing on exploration results, three commenting on Mexican issues, three reporting on resources and developments of their projects, two disclosing deals and corporate issues, and one notifying on social responsibility.  ON MEXICO ISSUES, Newmont-Goldcorp confirmed that the illegal blockade of its Peñasquito mine in Zacatecas was lifted on October 8, 2019. ON EXPLORATION, In Sonora, Azure released high grade results from 21 dump samples at its Alacran project, and announced the identification of five new targets.  In Chihuahua, Sable completed a ground geophysical survey at its Vinata project, and the Pan American-Radius JV announced the commencement of the phase 3 exploration work on its Amalia project. In Durango, Chesapeake provided updated results from its on-going regional exploration program near its Metates project. In Zacatecas, Advance Gold initiated the second phase of a geophysical survey on its Tabasquena project. ON MINING, Newmont-Goldcorp, Coeur, Consolidated Zinc, Endeavour, GoGold, Great Panther, Hecla, and US Antimony presented Q3, 2019 production results from their Mexican operations. ON FINANCING, Advanced Gold announced its plan to rise up to $250K through a non-brokered private placement (Tabasquena project, Zacatecas). Discovery Metals announced its intention to complete a non-brokered private placement for gross proceed of up to $17M (Cordero deposit, Chihuahua).  First Mexican announced the share cancellation, consolidation, and reinstatement of its common shares, as well as its intention to complete a non-brokered private placement for gross proceeds of up to $0.5M (Guadalupe property, Sonora). Fortuna Silver announced the closing of convertible debenture of the over-allotment option for gross proceeds of $46M (San Jose mine, Oaxaca). Goldplay announced its plan to complete a brokered private placement for gross proceeds of up to $2.5M (San Marcial property, Sinaloa).  Magellan announced agreements to convert an aggregate of $2.45M of outstanding debt obligations into a newly-created series of preferred shares of the company (San Dieguito de Arriba flotation plant, Nayarit). Vizsla received conditional approval from TSX for the acquisition of Canam Alpine Ventures LTD, and resumed trading on October 9, 2019 (Copala-Panuco project, Sinaloa). Santacruz reported that the Silva Family acquired an aggregate of 30M common shares, at a deemed price of CAD $0.05 per share for total deemed consideration of CAD $1.5M (Veta Grande project, Zacatecas). ON RESOURCES AND DEVELOPMENT, SilverCrest announced expansion drill results and the discovery of a new vein at its Las Chispas project in Sonora. Mexus Gold reported that the Merrill-Crow Au recovery plant for its Santa Elena mine in Sonora is en route. Mexican Gold presented a new NI 43-101 resource estimate for its Las Minas project in Veracruz. US Antimony informed that the fencing of the tailings pond, completion of the water well, and most of the major construction has been completed at its Puerto Blanco mill for its Los Juarez mine in Queretaro. ON DEALS AND CORPORATE ISSUES, Canuc completed its final payment for the El Tule 1 claim at its San Javier project in Sonora. Santacruz completed the acquisition of Carrizal Mining and reported that the Silva Family acquired an aggregate of 30M common shares.    ON SOCIAL RESPONSIBILITY, Alamos Gold received the corporate social responsibility (CSR) best practices award, for its achievements in social, economic and environmental sustainability (Mulatos mine, Sonora).

 ON MEXICO ISSUES

  • Newmont-Goldcorp Corporation, confirmed that the illegal blockade of its Peñasquito mine in Zacatecas was lifted on October 8, 2019, however, operations remain temporarily suspended pending to further assurances. “The company continues to work closely with the federal and state governments toward a sustainable, long-term solution, and lifting of the blockade paves the way for the government-sponsored dialogue to resume”.

ON EXPLORATION

  • Azure Minerals Limited, released high grade results from samples collected from 21 dumps that surround some of the historical old workings in the southeast area of its Alacran project in Sonora, and announced the identification of five new targets. This sampling returned very high grades with maximum values of 3,675 g/t Ag, 24.1 g/t Au, 2.3% Cu, 33.5% Pb, and 21.0% Zn. 10 samples returning values greater than 1,000 g/t Ag (average of 21 samples = 1,073g/t Ag); 17 samples returning values greater than 1.0g/t Au (average of 21 samples = 4.43g/t Au); 10 samples returning values greater than 1.0% Cu (average of 21 samples = 0.95% Cu); 12 samples returning values greater than 10.0% Pb (average of 21 samples = 14.92% Pb); and 10 samples returning values greater than 10.0% Zn (average of 21 samples = 9.28% Zn). “This first-pass sampling is very encouraging and further systematic sampling and detailed mapping of the veins will commence shortly to provide targets for follow-up trenching and drilling”.
  • Sable Resources, completed 170km of GroundMag conducted along E-W lines spaced 200m apart, and 8,950m of CSAMT surveys in nine lines at its Vinata project in Chihuahua. “The outcropping NNE epithermal vein system, which represents the main target at the project, appears coincident with a MagLow running on the western margin of the rhyolite intrusion for over 3 km in strike. Some stratigraphic features are also defined on the Mag sections; including a well-defined MagLow feature observed at the contact between the rhyolite intrusion and the interpreted limestones that underlie the upper volcanic sequence; this contact constitutes an additional potential target zone. At Vinata Sur the outcropping faults and breccias containing Fe-Mn oxides and associated Mn, Ba, Sb, As, Mo, Zn anomalies, hosted by volcanic rocks, are coincident with an elliptical shape NS oriented MagLow”. These geophysical surveys were carried out as preparation work for the first ever upcoming drilling campaign, which will consists of 2,000m to test for high-grade precious metal horizons approximately 200 metres below anomalous surface samples. This Phase 1 drill program will be expanded should positive results warrant additional drilling.
  • Pan American Silver Corp., – Radius Gold Inc JV, announced the commencement of the phase 3 exploration work on its Amalia project in Chihuahua. Pan American will operate this phase of exploration work, which will be focused on preparation and execution of the phase 3 drilling program that includes an additional 2,500m of diamond drilling.
  • Chesapeake Gold Corp., provided updated results from its on-going regional exploration program near its Metates project. “Three significant Au-Ag prospects, Crisy, San Javier and Cerro Pelon, continue to demonstrate district scale potential within different regional structural settings associated with intermediate composition intrusive rocks”. The most significant trench sampling results at Crisy prospect were 1.4 g/t Au and 75 g/t Ag over 43m; 1.9 g/t Au and 11 g/t Ag over 38m; and 2.4 g/t Au and 80 g/t Ag over 24m. At San Javier prospect, channel samples returned 1.6 g/t Au and 25 g/t Ag over 12m and 8.3 g/t Au and 1,972 g/t Ag over 1.6m. At Cerro Pelon prospect, channel samples collected on a new identified NW trending breccia yielded significant results such as 33 g/t Au over 3m, and 3.4 g/t Au over 10m.
  • Advance Gold Corp., initiated the second phase of a 3D IP survey on its Tabasquena project in Zacatecas. The goal is to explore to the south the 800m by 500m chargeability anomaly detected during the first phase IP survey, where the anomaly comes closest to surface.

ON MINING

  • Newmont-Goldcorp Corporation, reported Q3, 2019 production results from its Peñasquito mine in Zacatecas. It produced 58K Oz Au, 7.4M Oz Ag, 51.1M Lb Pb, and 83.1M Lb Zn. The illegal blockade impacted Peñasquito’s third quarter production by approximately 11K Oz Au, 1.7 M Oz Ag, 13.7 M Lb Pb and 22.8 M Lb Zn, and is expected to impact the company’s full-year results for the operation.
  • Coeur Mining Inc., presented Q3, 2019 production results from its Palmarejo mine in Chihuahua. The company milled 442,464 tonnes of 2.8 g/t Au and 152 g/t Ag, to produce 31.8K Oz Au and 1.7M Oz Ag. Metallurgical recoveries were 81.7% and 79.6% for Au and Ag respectively. Coeur announced that its full-year production guidance remains unchanged at 95K-105K Oz Au and 6.5-7.2M Oz Ag.
  • Consolidated Zinc Limited, announced production results from its Plomosas mine in Chihuahua for the period September, 2019. The company milled 1,363 tonnes with grades of 10.4% Zn, 7.5% Pb, and 32 g/t Ag, to produce 318K Lb Zn, 228.5K Oz Pb, and 1,402 Oz Ag. It also reported that 3,607 tonnes were milled and processed at the Aldama facility with grades of 10.4% Zn, 7.5% Pb, and 32 g/t Ag. The ore material processed produced high-quality clean Zn and Pb concentrates free to smelting and refining.
  • Endeavour Silver Corp., reported Q3, 2019 production results from their four Mexican operations. Consolidated production was a total of 234,196 tonnes of 144 g/t Ag and 1.49 g/t Au with metallurgical recoveries of 87.6% and 86.7% respectively, to produce 5K Oz Ag and 9.7K Oz Au. The table below shows the production figures  by separate mine:

  • GoGold Resources Inc., presented production results from its Parral tailings project in Chihuahua for the period Q3, 2019. The company produced 326.6K Oz Ag and 2,921 Oz Au (580.7 Oz AgEq).
  • Great Panther Mining Limited, announced Q3, 2019 production results from their Topia and Guanajuato mines. At Topia mine in Durango, it processed 21,761 tonnes of 0.86 g/t Au and 418 g/t Ag, with metallurgical recoveries of 4% and 93.8% respectively, to produce 344 Oz Au, 274.2K Oz Ag, 1.2M Lb Pb, and 1.5M Lb Zn (501.5K OZ AgEq). At its Guanajuato mine complex, the company processed 44K tonnes of 2.47 g/t Au and 119 g/t Ag with metallurgical recoveries of 85.4% and 85.6% respectively, to produce 3K Oz Au and 143.8K Oz Ag (383K Oz AgEq).
  • Hecla Mining Company, presented Q3, 2019 production results from its San Sebastian mine in Durango. The mill at San Sebastian operated at an average of 586 tonnes per day, to produce 0.6M Oz Ag and 4,719 Oz Au.
  • US Antimony Corporation, reported estimated sales for the period Q3, 2019 from their Mexican operations. It sold 381.7K Lb Sb, 12.5 Oz Au, and 3.4K Oz Ag.

ON FINANCING

  • Advance Gold Corp., announced its intention to rise funds up to $250K through a non-brokered private placement. Net proceeds will be used to advance its Tabasquena project in Zacatecas.
  • Discovery Metals Corp., announced its intention to complete a non-brokered private placement for gross proceeds of up to $17M, including an investment of 5M from Eric Sprott. “The balance of Mr. Sprott’s investment will be completed with the purchase of subscription receipts, which if converted, will increase his interest in the company to approximately 22%, assuming the private placement is fully subscribed (Cordero deposit, Chihuahua)”.
  • First Mexican Gold Corp., announced a number of administrative tasks that the company had to work diligently to get a reinstatement of trading of its common shares on the TSX. First Mexican cancelled 9M shares that it had issued without obtaining prior TSX approval, and then, 1M shares without TSX approval as payment to arrange a credit facility. Once this problem was solved by the director and offices of the compnay, First Mexican consolidated its common shares on a ten for one basis, reducing the number of its outstanding common shares from 81,844,360 to 8,184,429. It also announced its intention to complete a post-consolidation basis private placement for gross proceeds of up to $0.5M but TSX notified that it will be unable to complete the offering until the company shares are reinstated for trading. As such, the company has cancelled the offering and will look to complete it at a future time. First Mexican has worked diligently looking the revocation of a cease trade order issued by the various commission securities. The company finally reported that the trading of its common shares will reinstate on October 11, 2019 (Guadalupe property, Sonora).
  • Fortuna Silver Mines Inc., announced the closing of convertible debenture of the over-allotment granted to CIBC Capital Markets, Scotiabank, and BMO Capital Markets. The company sold unsecured convertible debentures for gross proceeds of USD $6M in connection with the bought deal offering completed on October 2, 2019 for gross proceeds of USD $40M, bringing the total aggregate gross proceeds to USD $46M (San Jose mine, Oaxaca).
  • Goldplay Exploration Ltd., announced its intention to complete a brokered private placement for gross proceeds of up to $2.5M. It also has granted the agent an option to increase the size of the offering by up to 20% of the number of shares. Net proceeds will be used for exploration work on its San Marcial property in Sinaloa.
  • Magellan Gold Corporation, announced agreements with its primary secured creditors and largest shareholder to convert an aggregate of $2.5M of outstanding debt obligations into a newly-created series of preferred shares of the company. The Preferred Shares will carry a $2.45 million liquidation preference, subject to adjustments, be convertible into common stock at $1.00 per share and bear a 10% annual dividend payable in kind at the option of the company. “The agreements release and reduce liens on certain assets of the company and convert portions of both its secured and unsecured debt holdings to preferred shares in order enhance the balance sheet and facilitate new financing arrangements (San Dieguito de Arriba flotation plant, Nayarit).
  • Vizsla Resources Corp., received conditional approval from TSX for the acquisition of Canam Alpine Ventures Ltd., and resumed trading on October 9, 2019 (Copala-Panuco project, Sinaloa).
  • Santacruz Silver Mining Ltd., reported that the Silva Family acquired an aggregate of 30M common shares, at a deemed price of CAD $0.05 per share for total deemed consideration of CAD $1.5M. This transaction represents approximately 14.7% of the issued and outstanding common shares of the company on a non-diluted basis and 15.3% on a partially-diluted basis assuming the exercise of the stock options owned by Mr. Silva (Veta Grande project, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • SilverCrest Metals Inc., reported the results of 31 expansion drill holes for Giovanni, Blanquita, and Las Chispas veins and the discovery of a new vein (Blanquita Dos vein) at its Las Chispas project in Sonora. The most significant expansion drill results were encountered in hole LC19-111 (Giovanni Vein) with 8.99 g/t Au and 1,424 g/t Ag (2,098 g/t AgEq) over a true width of 1.6m; hole LC19-107 (Las Chispas Vein) with 7.72 g/t Au and 1,105 g/t Ag (1,584 g/t AgEq) over a true width of 1.2m; and hole LC19-101 (Giovanni Vein), with 4.17 g/t Au and 642 g/t Ag (955 g/t AgEq) over a true width of 2.5m. These drill results confirmed that deeper mineralization which could expand the current resource estimate at Las Chispas project. SilverCrest also reported the discovery of a new vein called Blanquita Dos Vein. “The La Blanquita Dos Vein is a new near-surface discovery located in the hanging wall of the La Blanquita Vein. The most significant drill intersection encountered on this vein was in hole LC19-98 with 6.58 g/t Au and 274 g/t Ag (767 g/t AgEq) over a true width of 0.8m, including 13.1 g/t Au and 392 g/t Ag (1,375 g/t AgEq) over a true width of 0.4m. This vein is approximately 50 metres from La Blanquita and was discovered while drilling to depth for the Giovanni Vein and the Las Chispas Vein. “There are currently 18 core drills operating at Las Chispas; 16 surface and 2 underground. This includes one rig completing process plant site condemnation, 16 rigs completing in-fill and known vein expansion holes in the Babicanora Area veins, and one rig working on new vein targets in the Las Chispas Area with two more to be re-allocated after in-fill drilling completion. Approximately 80 holes for 30,000 metres remain to be completed in 2019 of which 25 to 35 holes (8,000 metres) are for the Las Chispas Area veins. An updated resource estimate, including the Las Chispas Area veins, is expected in H1, 2020, along with the ongoing feasibility study”.
  • Mexus Gold US, reported that the Merrill-Crow Au recovery plant for its Santa Elena mine in Sonora is en route, as well as a 80Kw generator which is necessary to run the plant. The company expects the new equipment to be operational by November 1st, 2019.
  • Mexican Gold Corp., presented a new 43-101 resource estimate for its Las Minas project in Veracruz. The new resource estimate as of September 12, 2019. Indicated resources are 5,457,000 tons of 1.78 g/t Au, 6.5 g/t Ag, and 1.25% Cu (3.67 g/t AuEq), for a total of 313K Oz Au, 1.15M Oz Ag, and 150.3M Lb Cu (645K Oz AuEq).  Inferred resources are 2,514,000 tons of 1.25 g/t Au, 5.5 g/t Ag, and 0.94% Cu (2.68 g/t AuEq) for a total of 101K Oz Au, 446K Oz Ag, and 51.96M Lb Cu (217K Oz AuEq).
  • US Antimony Corporation, informed that the fencing of the tailings pond, completion of the water well, and most of the major construction has been completed at its Puerto Blanco mill for the Los Juarez mine in Querétaro. Testing will proceed during the completion of the laboratory.

 ON DEALS AND CORPORATE ISSUES

  • Canuc Resources Corporation, completed its final payment to Minerales y Carbones de Mexico S.A. de C.V., for the El Tule 1 claim. Canuc has expanded its san Javier project area in Sonora State by 151.14 ha. The company now owns 17 contiguous mineral concessions along the San Javier mineralized corridor, extending to 3km from the historical Santa Rosa mine old workings.
  • Santacruz Silver Mining Ltd., completed the acquisition of Carrizal Mining S.A. de C.V., after purchasing the remaining 50% of outstanding shares of PCG Mining S.A. de C.V., which is the parent holding of Carrizal Mining S.A. de C.V, in consideration for the issue of 30M common shares of the compnay. It also reported that the Silva Family acquired an aggregate of 30M common shares, which represent approximately 14.7% of the issued and outstanding common shares of the Company on a non-diluted basis and 15.3% on a partially-diluted basis assuming the exercise of the stock options owned by Mr. Silva.

ON SOCIAL RESPONSIBILITY

  • Alamos Gold Inc., received the corporate social responsibility (CSR) best practices award, for its achievements in social, economic and environmental sustainability (Mulatos mine, Sonora).This award created by the Mexican Center for Philanthropy and the alliance for CSR was granted to Minas de Oro Nacional, a subsidiary of Alamos Gold as its program called “A new horizon for the families of Mulatos and Matarachi” was the winner in the category of community engagement.

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

On the picture above, chalcedonic quartz breccia with disseminated pyrite in a project in Zacatecas, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

During the 16th week of the year (April 15th to April 21st, 2019), at least 28 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, a lower court in Puebla ruled Mexico’s mineral title system unconstitutional based on consultation not being required before issuing the title. Inhabitants of San Antonio, Baja California Sur, manifested in support for the construction of the San Antonio mine. ON EXPLORATION, In Sonora, Aztec Gold delineated several new targets using geophysics at Cervantes; San Marcos disclosed explorations plans for its properties in the year. In Jalisco, GoGold released interesting results from drilling at Los Ricos. ON MINING, Avino Silver, Sierra Metals, First Majestic, Gold Resource and Hecla disclosed production results for Q1 2019.
Fresnillo PLC presented its annual report 2018.  ON FINANCING, Ridgestone Mining, Oroco and Camrova raised $1.12 M; 800 K and 12 K respectively. Sonoro and Minaurum granted options to consultants and directors. Minaurum was named to the Venture 50tm. Sierra Metals entered into an automatic purchase plan. ON RESOURCES AND DEVELOPMENT, Goldplay reported channel sample results from a new zone at its San Marcial project in Sinaloa. SilverCrest Metals released good metallurgical results from its Las Chispas property in Sonora. ON DEALS AND CORPORATE ISSUES, Newmont Goldcorp Corp. has been delivered. Consolidated Zinc presented notice of its annual general meeting. Aura completed the sale of 80% interest of its Taviche project to Minaurum.

ON MEXICO ISSUES

  • Almaden Minerals Ltd. informed that “a lower court in Puebla State has ruled that Mexico’s mineral title system is unconstitutional because consultation is not required before the granting of mineral title………..This ruling can be appealed by both the Government of Mexico and Almaden. The Company believes that this lawsuit is part of a broad effort by special interest groups to change the mining law and there are other similar actions active across Mexico”. Almaden stated that no communities within the company’s current mining concessions on its Ixtaca project in Puebla are party to this lawsuit.
  • Fresnillo PLC. Presented its 2018 annual report. It is here recommended to all interested in the mining business in Mexico to take a look to the report (http://www.fresnilloplc.com/media/412015/fres-30452-annual-report-2018-web.pdf), especially on the section “Managing our risks”. In the said section, the risks of participating in the industry in Mexico are assessed, including those of metal prices, potential actions by the government, access to land, security, public perception against mining, safety, union relations, exploration, project performance, cyber security, environmental incidents and human resources. Although the report had in mind Fresnillo’s particular situation as one of the largest Mexican mining conglomerates, many parts of the evaluation concern risks that affect all mining enterprises in the country.
  • Some 500 inhabitants of San Antonio, in Baja California Sur, gathered in support of Argonaut Gold’s San Antonio mining project in their locality.

ON EXPLORATION

  • Aztec Minerals Corp.  and Kootenay Silver Inc. informed that interpretation of a recent magnetic and radiometric survey produced multiple porphyry copper targets on the Cervantes property in Sonora. “Cervantes has multiple porphyry cells aligned along a northeast-southwest orientation, manifested as high-level alteration footprints related to intrusive bodies. There are also prominent northwest-southeast trending magnetic anomalies found to be associated with strong alteration, gold-copper mineralization, and intrusive rocks.”   
  • GoGold Resources Inc. disclosed the results from the first two diamond holes on its Los Ricos property in Jalisco. The two diamond drill holes twinned previous RC perforations, replicating the mineralized zones, with 35.5 m @ 1.24 gpt Au, 285 gpt Ag and 27.6 m @ 1.56 gpt Au, 159 gpt Ag. The holes are part of a 10,000 m diamond drill program focused on following the high grade ore shoot down dip below the historical RC drilling.
  • San Marco Resources Inc. plans for 2019 in Sonora include target delineation at Espiritu Santo and 1068 properties, follow-up of underexplored areas at the Chunibas project, extensive participation on lotteries of released ground by the government, evaluation of multiple property acquisitions and ongoing partnership discussions of existing assets.

ON MINING

  • Avino Silver & Gold Mines Ltd. released production results from its Avino property in Durango for 2019’s first quarter. During the period production came from three sources: Avino mine, San Gonzalo mine and historic stockpiles. At Avino, 100.9 K tonnes were milled @ 41 g/t Ag, 0.48 gpt Au, 0.49% Cu, recovering 84% Ag, 71% Au, 87% Cu. At San Gonzalo (which is nearing the end of its mine life) 17.9 K tonnes were milled @ 188 gpt Ag, 0.54 gpt Au, recovering 65% Ag, 61% Au. From historic stockpiles 78.8 K tonnes were milled @ 61 gpt Ag, 0.40 gpt Au, 0.21% Cu, recovering 55%, Ag, 52% Au, 29% Cu. Total production was 1,813 Oz Au, 268.4 K Oz Ag, 1.06 M Lb Cu, or 615 K Oz AgEq.
  • Sierra Metals Inc. reported first quarter 2019 results, including figures from its Mexican mines. The Bolivar mine in Chihuahua processed 263.2 K tonnes (~3,008 tpd, targeting 3,600 tpd for Q2 2019)) grading 0.81% Cu, 19.5 gpt Ag, 0.19 gpt Au, recovering 82.2% Cu, 79.1% Ag, 67.9% Au to produce 3.87 M Lb Cu, 130 K Oz Ag, 1,100 Oz Au (or 5.08 MLb CuEq). At the Cusi mine, also in Chihuahua, 71.3 K tonnes were processed @ 105 gpt Ag, 0.15 gpt Au, 0.3% Pb, 0.3% Zn, recovering 79.5% Ag, 37.5% Au, 75.2% Pb to produce 192 K Oz Ag, 133 Au Oz, 349 K Lb Pb, no Zn.
  • Fresnillo PLC. Filed its annual report 2018. During the year Fresnillo produced 61.8 M Oz Ag, 922 K Oz Au, holding resources of 2.2 billion Oz Ag and 39.1 M Oz Au. At Fresnillo, in Zacatecas, 2.44 M tonnes were milled @ 214 gpt Ag to produce 15.1 M Oz Ag, 42,290 Oz Au, 19,619 tonnes Pb, 31,094 tonnes Zn. At Saucito, in Zacatecas, 2.79 M tonnes were milled @ 257 gpt Ag, 1.25 gpt Au to produce 19.78 M Oz Ag, 86,092 Oz Au, 22,662 tonnes Pb, 29,506 tonnes Zn, while the Pyrites Plant processed 131.8 K tonnes @ 393 gpt Ag, 2.8 gpt Au to produce 977 K Oz Ag, 3,556 Oz Au. At San Julian, in Chihuahua, 1.27 M tonnes were processed from the veins @144.1 gpt Ag, 2.0 gpt Au, to produce 5.43 M Oz Ag, 79,218 Oz Au. 2.22 M tonnes were processed from the disseminated orebody @ 154 gpt Ag, 0.1 gpt Au, 0.4% Pb, 1.4% Zn, to produce 9.2 M Oz Ag, 3,125 Oz Au, 6,101 tonnes Pb, 22,027 tonnes Zn. At Cienega, in Durango, 1.32 M tonnes were milled @ 164 gpt Ag, 1.65 g/t Au to produce 6 M Oz Ag, 66,869 Oz Au, 4,799 tonnes Pb, 5,892 tonnes Zn. At Herradura, in Sonora, 22.15 M tonnes @ 0.76 gpt Au were deposited on the heaps to produce 474,168 Oz Au, 1.52 M Oz Ag, at cash cost $504 per Au Oz (total volume hauled, 124 M tonnes). At Nochebuena, in Sonora, 18.2 M tonnes were deposited on the heaps @ 0.52 gpt Au to produce 167.2 K Oz Au, 52 K Oz Ag, at cash cost $735.4 per Oz Au (total volume hauled, 80.3 M tonnes).  The company had $580.7 M as cash and cash equivalents by the end of the year.

First Majestic Silver Corp. produced 6.3 AgEq Oz during the first quarter of 2019. During the period 831.2 K tonnes of ore were milled @ 150 gpt Ag, 1.26 gpt Au, with recoveries of 83% Ag, 96% Au, to produce 3.33 M Oz Ag, 32,037 Oz Au, 2.66 M Lb Pb, 1.26 M Lb Zn.  The ore had averages and recoveries of 287 gpt Ag, 4.18 gpt Au (93% Ag, 96% Au) at San Dimas, Durango; 121 gpt Ag, 1.87 gpt Au (89% Ag, 95% Au) at Santa Elena, Sonora; 126 gpt Ag (66% Ag) at La Encantada, Coahuila; 187 gpt Ag, 0.58 gpt Au (89% Ag, 93% Au)at San Martin, Jalisco; 54 gpt Ag, 1.8% Pb, 1.6% Zn (75% Ag by flotation, 62% Ag by cyanidation, 69% Pb, 48% Zn) at La Parrilla, Durango; 114 gpt Ag, 2.1% Pb (74% Ag, 0.7 M Lb Pb)at Del Toro, Zacatecas.

  • Gold Resource Corp. reported preliminary production results for the first quarter 2019. The Oaxaca Mining Unit (El Aguila, Arista, Switchback) produced 6,538 Au Oz, 364.6 K Oz Ag, 433 tonnes Cu, 2,153 tonnes Pb, 5,838 tonnes Zn. “The Company maintains its 2019 Oaxaca Mining Unit Annual Outlook of 27,000 gold ounces and 1,700,000 silver ounces, plus or minus 10%”.
  • Hecla Mining Co. announced preliminary production results for the first quarter of 2019. At San Sebastian, in Durango, the mill operated at 494 tpd to produce 0.4 M Oz Ag, 3,530 Oz Au. “A review of sulfide ore continues, including a bulk sample to test the capabilities of the third-party plant and the suitability of long-hole stoping for the ore body, with results expected by the fourth quarter of 2019.”

ON FINANCING

  • Ridgestone Mining Inc. completed its previously announced private placement financing, for gross proceeds of $1.12 M. The company paid 6% ($43.2 K) cash and 309 K compensation warrants. Also, 72.2 K bonus shares were issued to a director of the company, under a loan agreement (Rebeico, Sonora).
  • Sierra Metals Inc. entered into an automatic purchase plan with its designated broker (Cusi and Bolivar, Chihuahua).
  • Sonoro Metals Corp. granted 100 K incentive options to a director of the company. These options vest immediately and are exercisable at a price of $0.18 per share (Cerro Caliche, Sonora).
  • Minaurum Gold Inc. has been named to the TSX Venture Exchange Venture 50tm , the annual ranking of Canada’s top 50 emerging publicly traded companies across five industry sectors. Minaurum also granted 3.35 M common share stock options to directors, officers and consultants. The options are exercisable at a price of $0.45 for a period of 10 years from the issue date. The company also granted consultants 275 k options exercisable at a price of $0.45 for a period of five years. Ten percent vest immediately, and another 15% each semiannually (Alamos, Sonora).   
  • Oroco Resources Corp. closed a non-brokered private placement financing, raising $800 K in gross proceeds. No finder’s fee was paid (Santo Tomas, Sinaloa).
  • Camrova Resources Inc. closed the second tranche of the previously announced private placement, for proceeds of $12 K, bringing the total combined proceeds to $66 K. The third and final tranche of the Private Placement is expected to close in early May (Boleo, Baja California Sur).

ON RESOURCES AND DEVELOPMENT

  • Goldplay Exploration Ltd. reported channel sample results from a new zone at its San Marcial project in Sinaloa. The Nava zone, 500 long by 100 m wide, is extensively altered and hosts low sulphidation quartz veining and stockwork mineralization. Channel samples from the zone returned assays ranging from 1.04 gpt Au to up to 10.0 gpt Au.
  • SilverCrest Metals Inc. announced positive metallurgical results for Las Chispas project, in Sonora. “A total of 445 kg was selected from 51 core holes and nine underground samples to compile 15 different samples, based on geo-metallurgical domains which were combined into three master composites. These composites utilized 210 kilograms of mass representing a variety of grades (low, medium and high) of 500 to 2000 gpt AgEq expected during conceptual operation”. The new metallurgical tests show estimated recoveries of 98.4% to 98.9% Au and 91.4% to 94.8% Ag, using conventional methods comprised of gravity concentration and intensive leaching followed by gravity tails standard leaching.

ON DEALS AND CORPORATE ISSUES

  • Newmont Mining Corp. announced that it has extended the previously announced offers to exchange all outstanding notes issued by Goldcorp Inc. for up to two billion dollars  aggregate principal amount of new notes to be issued by Newmont, as part of the proposed arrangement on which Newmont acquires all outstaning shares of Goldcorp (Peñasquito, Zacatecas).
  • Consolidated Zinc Ltd. presented its notice of annual general meeting for the annual general meeting of shareholders to be held on 23 May 2019 (Plomosas, Chihuahua).
  • Aura Resources Inc. announced the completion of the sale of an 80% interest in its East Taviche project in Oaxaca, to Minaurum Gold Inc.. Minaurum issued 100 K common shares to Aura and paid 39.4 K on closing; additionally, Minaurum is to issue further 100 K shares on receipt of the pertinent drilling permits. The remaining 20% can be acquired by Minaurum paying CDN$1 M.
  • Newmont Goldcorp Corp. announced the successful conclusion of its transaction combining Newmont Mining Corp. and Goldcorp Inc. to form the world’s leading gold business. The company targets six to seven million ounces of steady gold production over a decades-long time horizon (Peñasquito, Zacatecas).

Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group. On the image below, glory hole developed on Inguaran, Michoacan. Picture by Jorge Cirett.

New Gold Reports Fourth Quarter and Year-End Financial Results Provides Updated Reserves and Resources

new gold reports Q4 2018 results

February 14, 2019 – New Gold Inc. (“New Gold” or the “Company”) (TSX and NYSE American: NGD) reports fourth quarter and year-end results for the Company and provides updated Mineral Reserves and Resources as of December 31, 2018. (All amounts are in U.S. dollars unless otherwise indicated).

Highlights on the First Week of November, 2018. Mining and Exploration News in Mexico

IMG_4536 - copia

By Jorge Cirett

During the 44th week of the year (October 29th to November 4th, 2018), at least 26 press releases were announced by companies working in Mexico. Prize Mining, Southern Silver, Kootenay, Excellon, Colibri, Golden Minerals and Galore released advances in exploration. Consolidated Zinc and Telson released news on mining, while Endeavour, Excellon and  Great Panther reported Q3 financial results. Aloro Mining and Sonoro Metals reported news related to financing. Goldplay and SilverCrest reported on advances on its properties, while Silver Bull presented an updated resource base. Marlin Gold and Golden Reign advance on their acquisition agreement and Colibri entered into a purchase agreement with Yaque Minerals. Golden Minerals is acquiring the Yoquivo property in Chihuahua. ON MEXICO ISSUES, CAMIMEX presented figures on the state of the mining industry in Mexico. ON EXPLORATION, In Sonora, Colibri described its El Mezquite and Jackie projects. In Chihuahua Golden Minerals released high-grade results from its Yoquivo project, and Kootenay presented interesting results from early exploration on its Mecatona project. In Coahuila, Prize Mining is doing regional exploration on its Manto Negro project. In Durango, Southern Silver presented significant results from drilling on its CLM West claim group. In Zacatecas, Galore has received permit to drill on its El Alamo claim. ON FINANCING, Sonoro has completed a private placement for $500 K. Aloro Mining completed its placement for gross proceeds of C$800 K. ON RESOURCES AND DEVELOPMENT, Goldplay reported results from sampling historical core at its San Marcial project in Sinaloa. Silver Bull presented an updated resource on its Sierra Mojada project in Coahuila. SilverCrest presented high-grade results from infill drilling at its Las Chispas project in Sonora. A PEA is to be completed for a 1,000 to 1,500 tonne/day underground operation. ON DEALS AND CORPORATE ISSUES, Golden Reign, Marlin Gold and Sailfish Royalties continue to advance its purchase agreement. Colibri Resource is to acquire Yaque Minerals S.A. de C.V. owned by OnTop Capital. Golden Minerals holds an option to acquire the Yoquivo property in Chihuahua.

ON MEXICO ISSUES

  • In AIMMGM’s past conference in October, Fernando Alanis from CAMIMEX (Cámara Minera de México) presented figures from the mining industry in Mexico. Mineral royalties collected US$220 M in 2017, adding up to US$631 M on the last four years. An additional US$248 M were invested by companies in the communities and environment where they are located. Just in mining duties over concessions amounted to US$132.9 M. In the attractiveness index for investment, Mexico has gone from the 11th place in 2011 to the 44th place in 2018. At the same time our direct competitors for investment in the mining industry are doing better, Peru passed from the 39th to the 19th position, and Chile from the 6th to the 8th position. Points suggested to make of Mexico a mining country include improvements in security, a better infrastructure (railways, ports), certainty on land rights, a common ground with other mining countries in fiscal terms, administrative efficiency in the application and issuing of mining concession titles and certainty and transparency in the timely granting of permits.

ON EXPLORATION

  • Prize Mining Corp. engaged a consultant to compile a GIS database for a regional exploration program on its 17,659 ha Manto Negro project in Coahuila. The 3,000 m drill program continues with its focus on the Granizo and Pilar Grande areas.
  • Southern Silver Exploration Corp. reported drill results from its CLM West claim group, adjacent to its Cerro Las Minitas project in Durango. One of three holes intercepted 3.0 m @ 168 g/t Ag, while the other two returned strong (up to 0.1%) arsenic and antimony anomalies. “The mineralization represents the first significant silver intercept identified on the CLM West claim group where drilling is targeting new Ag-Au epithermal systems”.
  • Kootenay Silver Inc. staked 2,857 ha in Chihuahua, creating the Mecatona project. The Ag dominant epithermal system is hosted in veins and breccias, with one anomalous structure running for more than 1.7 km, and another zone hosting stockworks and quartz veinlets in an 80 m wide argillic alteration zone. Results from 78 samples collected at the property are as high as 735 g/t Ag, 6.94 g/t Au, 3.5% Pb, 8.0% Zn.
  • Excellon Resources Inc. received title to concessions that increases its land position to over 45,000 hectares on its consolidated “Evolución” property, within the Miguel Auza district in Durango, along strike to HECLA’s San Sebastian mine. As announced in previous press releases, initial drilling has already shown broad mineralized intersections with anomalous Au, Ag, Pb, Zn, “including discrete higher‐grade zones of carbonate veining, bladed calcite and silica with galena, sphalerite and pyrite”.
  • Colibri Resource Corp. described the El Mezquite and Jackie projects in Sonora, its new properties through the acquisition of Yaque Minerals S.A. de C.V. from On Top Capital Ltd. The 180 hectares Mezquite project contains an alteration zone 2 km by 1 km , within which are at least four zones of sulfide oxidation related to contacts with a silicified feldspar porphyry. Assay results from 321 rock chip samples returned 42 samples over 0.1 g/t Au, averaging 0.74 g/t Au and up to 3.41 g/t Au, 198 g/t Ag. The 1,130 ha Jackie project is 2 km south of El Mezquite, and abuts to the east with the Santana project, owned by Minera Alamos.
  • Golden Minerals Co. released high-grade results from sampling at its Yoquivo project in Chihuahua. Highlighted results comprise 6 m @ 5.9 g/t Au, 937 g/t Ag; 6 m @ 1.7 g/t Au, 399 g/t Ag from the Pertenencia vein. 4 m @ 2.3 g/t Au, 489 g/t Ag from the Central breccia zone. 2.9 m @ 1.7 g/t Au, 345 g/t Ag from the San Francisco vein. To date 756 samples have been collected, identifying a series of low-sulfidation quartz veins and breccias. A regional exploration program was launched to search for additional veins.
  • Galore Resources Inc. has been granted permits to begin a 12-hole, 3,000 m diamond core drill program at its El Alamo claim in Zacatecas. El Alamo consists of Cretaceous sediments, mostly limestone with some siltstone and chert, and major faults bounding the project. Alteration and mineralization are represented by silicification and iron-oxide bodies after sulfides. Some of the higher grade gold values are associated with extensively iron-oxide jasperoid breccias. A shallow drill percussion camping collared 35 holes in 2012, and defined a 500 long by 200 wide target zone.

ON MINING

  • Consolidated Zinc Ltd. presented its September 2018 quarterly activities report. The Group entered a 12 month toll treatment and offtake purchase agreement with Grupo Mexico to treat its ore at the Santa Eulalia’s concentrator plant, with mining at the Plomosas mine in Chihuahua beginning on September 13th 2018. A detailed costing study (DCS) was completed and incorporated into a bankable feasibility study (BFS). “During the quarter the Mexican Environmental Authority (PROFEPA) provided the Company with an MIA Exception (EPA exception) for the mine and processing plant area”. Cash balance at the end of the period was $0.61 M.
  • Telson Mining Corp. reported concluding a renewable power purchase agreement for its Campo Morado mine in Guerrero. The ten-year agreement sets the price for consuming 42.00 GW per year at a price that is 32% lower than the last nine-month average price paid at the site.
  • Endeavour Silver Corp. reported third quarter 2018 financial results. During the period silver production (1.43 M Oz) increased 13% and gold (12,968 Oz) decreased by 5%, with a silver equivalent production of 2.4 M Oz, and the Terronera pre-feasibility study was completed with improved project economics. On the financial side a net loss of $5.5 M was recorded, with EBITDA decreasing 8% to $5.6 M, mine operating cash flow decreased 20% to $9.6 M, cash cost rose to $8.86 per Oz Ag (net of gold credits) and All-in sustaining cost fell to $16.14 per Oz Ag, with a working capital of $57.4 M, whilst $5.6 M were raised through ATM financing.
  • Excellon Resources Inc. reported financial results for the third quarter 2018. During the period 10,974 of ore were produced, 17,907 tonnes processed (ore and stockpile), grading 416 g/t Ag, 3.47% Pb, 4.33% Zn (for ore) and 151 g/t Ag,1.36% Pb, 1.45% Zn (stockpile), recovering 89.9% Ag, 74.2% Pb, 78.2% Zn to produce 171.2 K Oz Ag, 824 K Lb Pb, 1,005 K Lb Zn. Revenue was $2.6 M ($7.6 M a year earlier) for a gross loss of $3.5 M from operations, cash cost of $29.94 per Ag Oz and All-in sustaining cost of $44.02 per Ag Oz. Financial results were impacted by lower production, lower by-product prices and associated price adjustments. Management changes were made at the Platosa mine, and now production and development rates have increased.
  • Great Panther Silver Ltd. presented third quarter 2018 financial results. During the period 92.9 K tonnes were milled to produce 448.8 K Oz Ag, 4,737 Oz Au (adding to 1.023 M Oz AgEq) at cash cost $12.79 per Ag Oz ($13.59 per AgEq Ag Oz), all-in sustaining cost $19.74 ($16.56 per AgEq Oz). The revenue was $11.7 M, with a net loss of 3.642 M, EBITDA of $(3.679) and a networking capital at end of period of $57.9 M. Lower metal prices, lower production levels and a large concentrate load that could not be shipped before the end of the period impacted on the lower results.

ON FINANCING

  • Aloro Mining Corp. closed a non-brokered private placement for gross proceeds of C$800 K. Agnico Eagle, which owns 8.7% of Aloro shares, bought half the issued shares. (Los Venados, Sonora).
  • Sonoro Metals Corp. completed a non-brokered private placement, for gross proceeds of $500 K (Cerro Caliche, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Goldplay Exploration Ltd. reported results from sampling historical drill core from its San Marcial project in Sinaloa. These results are said to support the open pit potential for the historical NI-43-101 resource at the property. Highlighted results comprise 47.8 m (TW) @ 93 g/t AgEq (including 17.3 m @ 160 g/t AgEq); 42.0 m @ 61 g/t AgEq (including 24.8 m @ 79 g/t AgEq); 9.4 m @ 126 g/t AgEq.
  • Silver Bull Resources Inc. provided an updated NI43-101 resource report for the Sierra Mojada project in Coahuila. The open pit resource includes a high grade zinc zone of 13.5 M tonnes @ 11.2% Zn and a high grade silver zone with 15.2 M tonnes @ 114.9 g/t Ag. The total measured and indicated resources 70.4 M tonnes @ 38.6 g/t Ag, 3.4% Zn containing 5.354 billion pounds zinc and 87.4 M ounces silver.Sierra Mojada Resource table1
  • SilverCrest Metals Inc. is to complete a preliminary economic assessment (PEA) for Las Chispas project in Sonora. A 1,000 to 1,500 tonne per day underground mining operation is being considered, with a counter-current decantation facility and Merrill Crowe recovery circuit similar to the nearby Santa Elena and Mercedes mines. Cyanidation with a possible add-on flotation circuit followed by intense leaching is being evaluated for the higher-grade ore, to raise the 86% Ag, 98% Au recovery with standard cyanidation only. SilverCrest is proceeding with the construction of a 500 m long, 4.5 m wide, 4.0 m high decline, and drifting 600 to 800 m along the mineralized structure to collect information on vein grade, width continuity, grade reconciliation, mineability and bulk sampling.
  • SilverCrest Metals Inc. reported the best drill intercept to date for its Las Chispas project in Sonora. Results from 7 drill holes from the in-fill program were released, with highlighted intervals (TW) comprising 9.9 m @ 14.4 g/t Au, 2,132 g/t Ag (this is the best intercept to date, including 4.5 m @ 30.3 g/t Au, 4,498 g/t Ag); 3.8 m @ 6.78 g/t Au, 1,090 g/t Ag; 3.5 m @ 33.06 g/t Au, 2,092 g/t Ag; 11.1 m @ 3.99 g/t Au, 580 g/t Ag; 5.1 m @ 4.16 g/t Au, 197 g/t Ag; The weighted average for the five holes on the Area 51 is 6.0 m @ 11.41 g/t Au, 1,369 g/t Ag. A total of 351 holes have been collared, for 94,735 m of core, with 119 drill intercepts grading more than 1,000 g/t AgEq.

ON DEALS AND CORPORATE ISSUES

  • Sailfish Royalty Corp. announced its shareholders voted in favor of the restructuring of the company’s gold stream on the San Albino project. The stream restructuring is a condition to the closing of the transaction in which Golden Reign Resources Ltd. will acquire all issued shares of Marlin Gold Mining Ltd. (Trinidad, Sinaloa).
  • Marlin Gold Mining Ltd. shareholders voted in favour of a special resolution to approve the plan of arrangement and certain connected transactions, pursuant to which Golden Reign Resources Ltd. (“Golden Reign”) will acquire all of the issued and outstanding shares of Marlin (Trinidad, Sinaloa).
  • Golden Reign Resources Ltd. and Marlin Gold Mining Ltd. have been granted the final court order from the Supreme Court of British Columbia approving the plan of arrangement pursuant to which Golden Reign will acquire all of the issued and outstanding common shares of Marlin (Trinidad, Sinaloa).
  • Colibri Resource Corp. entered into a share purchase agreement with OnTop Capital Ltd. to purchase all issued and outstanding shares of Yaque Minerals S. A. de C.V., a wholly owned subsidiary of OnTop. Yaque assets consist of El Mezquite and Jackie mineral exploration properties close to the Santana project owned by Minera Alamos in Sonora. “As consideration for the Transaction, Colibri has agreed to issue a convertible debenture in the amount of $1 million CDN bearing an annual interest rate of 2.5% which is convertible at any time, in whole or in part, over the next 5 years into common shares of Colibri at $0.20 per share for a total of up to 5 million shares”.
  • Golden Minerals Co. holds an option to purchase the six concessions that comprise the 2,367 hectares Yoquivo property in Chihuahua, for payments totaling $0.5 M over four years and subject to a 2% NSR royalty.

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 above, intermediate composition dike with chilled margins intruding andesitic volcanic rocks in Jalisco. Picture by Jorge Cirett.

Highlights on the Fourth Week of September, 2018. Mining and Exploration News in Mexico

 

Bladed quartz texture

By Miguel A Heredia

During the 39th week of the year (September 24th to September 30th, 2018), at least 19 press releases were announced by companies working in Mexico, with seven informing on exploration results, five announcing financing issues, four communicating deals and corporate issues, two reporting mining activities and one reporting on resources and developments.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Mexus Gold announced a drill program at the Julio Shear Zone within its Santa Elena project. In Chihuahua, Ethos Gold provided an update on its la Purisima project, and Harvest Gold announced that a drill program will commence shortly on its Cerro Cascaron project. In Coahuila, Discovery Metals released exploration results from its Puerto Rico project. In Jalisco, Evrim expanded gold mineralization at its Cuale project. In Veracruz, Azucar Minerals revealed drilling results from its El Cobre project. In Estado de Mexico, Impact reported sampling results from its Santa Teresa Au-Cu area. ON MINING, Telson provided an update on its Campo Morado mine in Guerrero and Goldcorp announced that will release Q3, 2018 results on October.  ON FINANCING, Defiance increased a loan facility from $700K to up to $1,120,810. Harvest Gold raised $980K from the purchase of 12.25M of warrants. Telson announced a non brokered private placement for CAD$6.5M. Avino closed a US$4.6M underwritten public offering.  Consolidated Zinc announced a share purchase plan to raise funds. ON RESOURCES AND DEVELOPMENT, Goldplay announced sampling results of historical core from its San Marcial project in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Ethos Gold entered in an option agreement to expand its La Purisima project in Chihuahua. Southern Silver provided a corporate update (Cerro Las Minitas, Durango). Alamos Gold declared semi-annual dividend (Mulatos mine, Sonora) and Gold Resource monthly dividend (El Aguila mine, Oaxaca).

ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Mexus Gold US, is to commence a drilling program at the 2,200m long by 300m wide Julio Shear Zone within its Santa Elena project in Sonora. The 12 hole core drill program “is to establish structural features, the types of mineralization and define up to 100K Oz Au resource in about a 500,000 ton resource block, building towards a future 43-101 report”.
  • Ethos Gold Corp., reported that has completed a rock sampling and geological mapping program on its La Purisima project in Chihuahua. “Work to date indicates at least five sub parallel north-west striking mineralized veins with significant broad vein enveloping areas of gold mineralized stockwork in intervening rock between the veins. Additionally, gold mineralized vein splays and stockwork zones diverge from the primary veining, usually into northeast trends”. Ethos has designed an angled holes drill program to test targets at its la Purisima property. Permitting for the drill program is now underway.
  • Harvest Gold Corporation, announced that a first phase drilling program will commence shortly on its Cerro Cascaron project in Chihuahua. The first phase plan for diamond drilling consists of 14 diamond drill holes comprising 3,000m to 3,500m in five of eight target areas on the property which have been defined by rock channel, grab and soil samples.  Planned drill hole depths range from 100m to 300m.
  • Discovery Metals Corp., released results from an underground channel sampling at its Puerto Rico project in Coahuila. Highlights results are 1.8m of 101 g/t Ag, 9.5% Pb and 20% Zn on “Manto 7”; 1.4m of 116 g/t Ag, 6.1% Pb, and 22.5% Zn on “Manto 12”; and 1.1m of 253 g/t Ag, 10.8% Pb, and 11.7% Zn on “Manto 8”; 0.8m of 279 g/t Ag, 27% Pb, and 26.5% Zn on “Chimney NW1”; 0.6m of 484 g/t Ag, 22.7% Pb, and 22.1% Zn; and 0.5m of 701 g/t Ag, 43.5% Pb, and 5.9% Zn.
  • Evrim Resource Corp., expanded outcropping Au mineralization at its Cuale project in Jalisco. Trenching on the La Gloria area extended the outcropping mineralization to the southwest where continuous mineralization remains open, and the CSAMT geophysical survey confirmed at least 200m of depth potential beneath the trenches. Highlights of the trenching sampling at la Gloria are T-6 with 158.8m of 1 g/t Au, including 90.8m of 1.44 g/t Au from 66m along the trench, and 14.8m of 5.19 g/t Au from 142m along the trench; and T-7 with 141.1m of 0.72 g/t Au, including 80m of 1.02 g/t Au from 107.1m along the trench, and 40m of 1.42 g/t Au from 145.1m along the trench. The sampling results define a NW trend of Au mineralization along 1,430m, including the North Dome Target that contains assays up to 11.9 g/t Au, and reveals a new drill target 1Km NW of the La Gloria trenches. The CSAMT geophysical survey also defined a prospective silica target extending 200-300 directly beneath the trenches at La Gloria area, doubling the depth potential. Evrim is interpreting all the results to refine and finalize drill hole location for the initial drilling program at its Cuale project.
  • Azucar Minerals Ltd., revealed drill results from its El Cobre project in Veracruz. Significant intersections are in hole EC-18-049, Norte Zone with 44m of 0.47 g/t Au and 0.32% Cu, including 10m of 0.88 g/t Au and 0.47% Cu, and 10m of 0.53% Au and 0.39% Cu, and hole EC-18-051 Norte Zone with 227m of 0.37 g/t Au and 0.14% Cu, including 12m of0.80 g/t Au and 0.32% Cu, 75.5m of 0.61 g/t Au and 0.19% Cu, 12.5m of 1.17 g/t Au and 0.33% Cu, and other interval of 118m of 0.70 g/t Au and 0.23% Cu, including 6m of 1.09 g/t Au and 0.34% Cu.
  • Impact Silver Corp., reported assay results from its Santa Teresa Au-Cu area within the Zacualpan District in Estado de Mexico. A recent sampling from the El Canelo vein systems at Santa Teresa averaged 6.5g/t gold over a true width of 1.66 meters along a strike length of 50 meters. The system remains open for expansion and parallel vein systems in the area are being mapped and sampled at this time.

ON MINING

  • Telson Mining Corporation, provided an update on its Campo Morado mine in Guerrero. The company made several upgrades in the mill processing plant to increase the grinding capacity of the mill to process up to 3,000 tonnes per day by the end of 2018. The company also conducted metallurgical testing obtaining favourable results for increasing the quality of Zn concentrates.

ON FINANCING

  • Defiance Silver Corp., increased a loan facility from $700K to $1.12M. This financing is to complete its proposed merger with ValOro Resources Inc. (San Acacio, Zacatecas).
  • Harvest Gold Corporation, announced that 12.25M of warrants were exercised for aggregate proceeds of $980K. (Cerro Cascaron, Chihuahua).
  • Telson Mining Corporation, announced a non-brokered private placement for CAD$6.5M. Net gross proceeds will be used for finalizing construction of its Tahuehueto mine in Durango.
  • Avino Silver & Gold Mines Ltd., closed a US$4.6M underwritten public offering, including the partial exercise of underwriters´ overallotment option. After deducting the underwriting discounts and commissions, the net proceeds are expected to be approximately US$4.1M (Avino mine, Durango).
  • Consolidated Zinc Limited, invited to its shareholders to participate in a share purchase plan with no brokerage cost to raise $1.5M (Plomosas mine, Chihuahua).

 

ON RESOURCES AND DEVELOPMENT

  • Goldplay Exploration Ltd., reported sampling results of historical core from its San Marcial project in Sinaloa. Significant results are 93m (TW 68m) of 104 g/t Ag or 165 g/t Ag Eq, including 10m of 324 g/t Ag or 508 g/t Ag Eq; 57m (TW 46m) of 122 g/t Ag or 270 g/t Ag Eq; 42m (TW 39.6m) of 80 g/t Ag or 153 g/t Ag Eq; 35m (TW 32m) of 38 g/t Ag or 64 g/t Ag Eq; 19.2m (TW 12.6m) of 130 g/t Ag or 144 g/t Ag Eq; 12m (TW 12m) of 419 g/t Ag or 467 g/t Ag Eq, including 6m of 939 g/t Ag or 1,012 g/t Ag Eq. These results, together with the historical results, reinforce open pit development potential at San Marcial. “The continuous sampling from the historical core is providing valuable information to expand and connect mineralized zones previously modeled in the historic resource”.

ON DEALS AND CORPORATE ISSUES

  • Ethos Gold Corp., entered in an option agreement in Chihuahua to earn a 100% right, title and interest in and to 897 hectares of mineral concessions contiguous to its La Purisima project. Ethos can exercise the option by paying the property owner US$550K and granting 2% NSR of which the company can purchase 1% by paying US$1.0M. It also includes advance NSR payments of US$25K on closing, US$35K by the first anniversary, US$35K by the second anniversary, and US$50K by the third anniversary and by each subsequent anniversary until commercial production is commenced. In addition, Ethos will assign 1.5M Ethos warrants, having a 5-year term, and each exercisable to purchase one Ethos common share at CAD$0.15 per share, with these warrants vesting as to 500K on closing, 500K vesting 18 months, and 500K vesting 36 months after closing.
  • Southern Silver Exploration Corp., announced the re-election of Directors at its annual general meeting and granted 800K incentive stock options to directors, officers and consultants.
  • Alamos Gold Inc., declared semi-annual dividend to its shareholders of US$0.01 per common share (Mulatos mine, Sonora)
  • Gold Resource Corporation, declared monthly dividend to its shareholders of 1/6 of a cent per common share (El Aguila mine, Oaxaca).

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,  bladed quartz texture in a low sulphidation epithermal project in Zacatecas, Mexico.  Photo by Miguel A Heredia.

 

Telson Mining Corporation Campo Morado Update

telson_campo morado update

Vancouver, British Columbia, Sept 24, 2018

Telson Mining Corporation (“Telson” or the “Company”) (TSX-V – TSN, OTC Pink – SOHFF, Frankfurt – TSGN (formerly SQ82)) is pleased to provide the following corporate update.

Several scheduled upgrades were recently made in the mill processing plant installations, including among others: i) changing of ball mill liners with newly designed liners that allow for the replacement of the past 5″ ball that were being used, with 3” balls, which increases the life of the liners; ii) conducting a review of the primary jaw crusher and initiation of adaptations for the installation of a secondary cone crusher, which will reduce the size of the ore feed to the mill from -7″ to -2″; and iii) revising the cyclones classification system to reduce the circulating load in grinding. These changes are all aimed at increasing the grinding capacity of the mill to facilitate reaching managements target of processing up to 3,000 tpd by the end of 2018.

Highlights on the Second Week of September, 2018. Mining and Exploration News in Mexico

Banded quartz epithermal vein

By Miguel A Heredia

During the 37th week of the year (September 10th to September 16th, 2018), at least 22 press releases were announced by companies working in Mexico, with ten informing on exploration results, six reporting on resources and developments, four communicating deals and corporate issues, and two announcing production results.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Riverside and Kootenay announced exploration results from its Cecilia and La Mina projects respectively. In Chihuahua, Harvest Gold began preparations to drill test its Cerro Cascaron project and Sable Resources released drilling results from its Margarita project.  In Sinaloa, Auxico reported sampling results from its Zamora project In Durango, Gainey announced a 1st phase of exploration at its Las Margaritas project, Orex commenced fieldwork exploration on its San Luis del Cordero project, and Prospero reported drilling results from its Buenavista project. In Zacatecas, Advance Gold started a phase 2 drilling program at its Tabasquena project. In Jalisco, Evrim announced trench and soil results from its Cuale project.  ON MINING, Starcore reported Q1 2018 results from its San Martin mine in Queretaro. US Antimony announced plans to increase its production of Sb, Au and Ag in Mexico. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, In Sonora, SilverCrest and Premier Gold released drilling results from its Las Chispas and Mercedes projects respectively. Aura provided an update at its Aranzazu mine in Zacatecas. Candelaria announced a PEA for its Pinos Gold project in Zacatecas.   McEwen reported that hopes to add 12 years of mine life at its El Gallo Complex in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Evrim and First Majestic agreed to exercise the Ermitaño and Cumobabi option agreements in Sonora. New Gold announced the appointment of its new President and CEO (Cerro San Pedro mine, San Luis Potosi). Levon announced results from its annual general meeting (Cordero project, Chihuahua). Vangold withdrew its submission to acquire the San Carlos property in Guanajuato (El Pinguico mine, Guanajuato).

ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Riverside Resources Inc., completed 11 N-S lines for soil sampling which returned strong multi-elements anomalies with Au, Pb, Cu, and other key elements. These results along with previous exploration work have outlined four new target areas on its Cecilia project in Sonora. Target 1 is a 4km long by 300m wide target where previous rock sampling has found up to 2 g/t Au in silicified conglomerates , but the soil anomaly is open in both directions beyond the 4 Km and more than 800m wide. Target 2 is a NE trending Ag, Pb, Au, Zn, Sb, Hg and Cu soil anomaly over 2km long and 600m wide in rock cracks with faults and host veining displaying a series of NW striking feeder dikes. Target 3 is a 1km long by 500m wide Au-Zn with minor Ag, Cu, Pb and Bi soil anomaly associated to a N-S trending fault system intersecting Paleozoic limestones. This target is also along the border edge of a magnetic high reported in a regional government geophysics survey likely associated with Pre Cambrian granitic basement.  Target 4 contains “high-grade gold samples in soils and alteration with jasperoid, silicification, and carbonate veining of the Paleozoic limestone that gives a potential limestone hosted Au with anomalous soil assays of Zn, Pb, Ag and Mn”.
  • Kootenay Silver Inc., announced that its partner Capstone Mining Corp., has commenced an exploration program on its la Mina project in Sonora. The exploration program will consists of detailed mapping and rock chip / stream sediment sampling to generate potential drill targets.
  • Harvest Gold Corporation, reported that Evrim Resources, its JV partner and operator on its Cerro Cascaron project in Chihuahua, has mobilized an advance team to the site to start preparations to drill test the property. The drill program, expected to commence at the end of September, will consist of 3,000 m to test the Cascaron Gold targets and the Cascarita Silver targets.
  • Sable Resources, released drilling results from its Margarita project in Chihuahua. Significant intersections are from hole M-DDH-18-09 with 6.5m of 111 g/t Ag Eq, including 3.5m of 153 g/t Ag; hole M-DDH-18-11 with 11.3m of 252 g/t Ag Eq, including 1.3m of 889 g/t Ag Eq; hole M-DDH-18-12 with 12.7m of 98 g/t Ag Eq, including 1.8m of 244 g/t Ag Eq. Additionally, Sable identified a low-grade stockwork style of mineralization evident in numerous holes. The most significant results are hole M-DDH-18-03 with 44.13m of 50 g/t Ag Eq, including 6.95m of 142 g/t Ag Eq; hole M-DDH-18-07 with 7.6m of 54 g/t Ag Eq, and hole M-DDH-18-12 with 21.35m of 37 g/t Ag Eq. “With the first stage of drilling now complete we will evaluate our results and formulate a plan for stage 2 drilling targeting further extensions of Margarita and the other adjacent parallel veins”.
  • Auxico Resources Canada Inc., reported high-grade sampling results from its Zamora project in Sinaloa. Significant results are 0.80m of 4Kg Ag and 29.2 g/t Au at La Franca claim, 600m southwest of the Campanillas mine along a structure that can be followed by at least 600m along strike. Mineralization consists of breccia-stockwork veining containing galena, sphalerite and possible silver sulphosalts, malachite and chalcopyrite. Other significant results are from Aguamas area where some channel samples returned 0.65m of 6.38 g/t Au and 23 g/t Ag; 0.70m of 14.7 g/t Au and 34 g/t Ag; 0.50m of 3.55 g/t Au and 108.7 g/t Ag; and 1.60m of 6.64 g/t Au and 220 g/t Ag.
  • Gainey Capital Corp., announced a phase 1 exploration program on its Las Margaritas project in Durango. Las Margaritas is a mineralized vein system that extends at least 1.5Km along strike and averages 1-2m in width. The 1st phase exploration program will consists of detailed mapping and sampling with the objective to identify prospective areas to generate the best drill targets.
  • Orex Minerals Inc., commenced an exploration program on its San Luis del Cordero project in Durango, where the company has an option to acquire 100% interest in the property from Exploraciones del Altiplano S.A. de C.V. Mineralization at San Luis del Cordero is characterized by skarn and epithermal vein Ag-Cu-Zn as a result of Tertiary-quartz-feldspar-porphyry intrusions affecting Jurassic and Cretaceous limestones, calcareous sandstones and shales. The project has seen several phases of exploration from different mining companies, including 16,400m drilled in 62 holes in the period 2000-2016. The property contains indicated resources of 662.6K tonnes of 121 g/t Ag, 0.78 % Cu and 1.1 % Zn for a total of 5.1M Oz Ag Eq, and inferred resources of 2, 785,300 tonnes of 144 g/t Ag, 0.75 % Cu and 1.45 % Zn, for a total of 24.4 M Oz Ag Eq.
  • Prospero Silver Corp., reported core drilling results from eleven holes totaling 2, 811m drilled at its Buenavista project in Durango. Mineralization drilled-tested at Buenavista consists of structurally controlled epithermal veins centered on a rhyolite dome complex. “All holes cut anomalous silver mineralization, with a best interval of 1.6m @ 353g/t Ag from 185.6m downhole, within a broader interval of 49m @ 43g/t Ag in hole BVF-18-05”.
  • Advance Gold Corp., started a second phase drilling program at its Tabasquena project in Zacatecas to test the La Tabasquena epithermal vein at a depth of 1,800m. Phase 2 will test below the gold discovery hole of phase 1. It also will test some of the potential feeder type targets and all of the veins below the oxide zone which goes down to an estimated 175 metres below surface.
  • Evrim Resources Corp., announced new trench and soil results from its Cuale project in Jalisco. Highlight results include the trench 2 which was extended from 29.4m to 184.1m with an average grade of 0.85 g/t Au, including 59.1m of 1.79 g/t Au, and including 21.6m of 4.18 g/t Au; Trench 4 , extended from 106.2m to 156.2m with an average grade of 9.57 g/t Au, including 64.6m of 20.85 g/t Au, and including 7.5m of 163.31 g/t Au; and Trench 5 which contains 174m of 0.62 g/t Au, including 70m of 1.16 g/t Au, and including 40m of 1.45 g/t Au. A soil grid with 200 metre spacing outlined a Au anomaly over the entire La Gloria prospect with grades >0.01 g/t Au of 2,300m by 800m with a central corridor of 1,700m by 300m >0.1 g/t Au extending north of the trenched area.  “The soil anomaly at higher elevation correlates with elevated silver, antimony, molybdenum, arsenic and low contents of manganese and zinc.  At lower elevations gold correlates with elevated copper, tellurium, arsenic, bismuth and iron”. “The new trench results expand the La Gloria zone to the northwest and the east with consistent gold mineralization.  Soil sampling indicates the La Gloria system footprint is measurably larger with the potential to host a significant deposit and/or additional mineralized centers within the La Gloria prospect”.   “The soil survey has a distinctive high sulphidation signature centred on a large gold in soil anomaly that is approximately 2,300 metres by 800 metres.  The results indicate a potential major system with significant upside for additional mineralized centers within the La Gloria prospect.”

ON MINING

  • Starcore International Mines Ltd., reported Q21 2018 results from its San Martin mine in Queretaro. Starcore milled 77,400 tonnes of 1.53 g/t Au and 49 g/t Ag to produce 3.3K Oz Au and 72.7K Oz Ag, with an all-in sustaining cost of US$ 1,215 for Eq Oz. Metallurgical recoveries were 88.1% for Au and 59.6% for Ag.
  • US Antimony Corporation, produced 131,184 Lb Sb and 1,244 short tonnes of zeolites in August 2018 and announced plans to increase its production of Sb, Au and Ag in Mexico. At its Wadley mine in San Luis Potosi, the general level will be reactivated by cleaning up the waste to provide access and transportation of the lower grade for the mill. At Sierra Guadalupe in Zacatecas, the Santa Monica drift will be restarted. The ore is primarily sulphides and can be upgraded to 60-70% Sb flotation concentrate at its Puerto Blanco Mill to make antimony tri-sulphide. At the Soyatal district in Queretaro, a buying program will be started to purchase direct shipping ore for its Madero smelter. The construction of the cyanide leach plant for the Los Juarez Au-Ag-Sb should allow pilot testing to commence during Q4 2018. The company also closed an agreement purchase, dismantle and transport an antimony plant from Reynosa, Tamaulipas. When installed, the equipment from the Reynosa plant will increase the capacity of the Madero Smelter in Coahuila to approximately 30,000,000 Lb per year of antimony oxide.

ON FINANCING

  • No relevant news.

 

ON RESOURCES AND DEVELOPMENT

  • SilverCrest Metals Inc., released drilling results from its Las Chispas project in Sonora and expanded the high grade at Babicanora Norte vein. Drill holes have intersected additional high-grade Ag-Au mineralization at Babicanora Norte vein which is located about 300m NE of Babicanora vein and apparently is connected with the Granaditas area which contains multiple veins to the southeast. The most significant results are 1.8 m of 15.11 g/t Au and 1,718 g/t Ag or 2,851 g/t Ag Eq, 1.6 m of 8.96 g/t Au and 1,078 g/t Ag or 1,750 g/t Ag Eq and 1.5 m of 4.22 g/t Au and 687 g/t Ag or 1 Kg Ag Eq. The drilling results of Babicanora Norte vein will be part of the upcoming updated resource which will include 8 of the 30 identified veins in the district.
  • Premier Gold Mines Limited, reported drilling results from the Rey de Oro deposit at its Mercedes mine in Sonora. Highlights results include hole UG-R018-013 which returned 12.64 g/t Au and 240.1 g/t Ag across 29.65 m (TW of 13.5 m), hole UG-R018-015 with 0.41 g/t Au and 3120.0 g/t Ag (91.0 oz/ton) across 1.52 m (TW of 1.06 m), and hole UG-R018-012 with 17.00 g/t Au and 321.0 g/t Ag across 1.1 m (TW of 0.8 m) and 4.47 g/t Au and 138.5 g/t Ag across 8.25 m (TW of 6.1 m). “Underground drilling at Rey de Oro consists of step-out and delineation drilling of this recently developed horizon. This drilling continues to intersect some of the widest vein intercepts on the property and demonstrate the potential to continue to extend the mine life at Mercedes”.
  • Aura Minerals Inc., provided an update at its Aranzazu mine in Zacatecas. Aura has obtained all the necessary permits and initiated the construction of the new tailings disposal system. “The Company expects the Aranzazu mine to achieve commercial production later this year and to achieve the average processing of 2,600 tonnes per day shortly thereafter”.
  • Candelaria Mining Corp., announced a PEA for its Pinos Gold project in Zacatecas. Highlight results from the PEA indicate an after tax net present value (NPV) of US$ 12M using a 5% discount rate, an after tax internal rate return (IRR) of 25%, and a 7 years life of mine with projected gold equivalent ounce (“GEO”) production of 89,000. The PEA includes a mineral resource estimate as of September 13, 2018. Measured resources (Dump) are 85,847 tonnes of 1.6 g/t Au and 83 g/t Ag for a total of 4,444 Oz Au and 229K Oz Ag. Indicated resources are 175,697 tonnes of 3.6 g/t Au and 47 g/t Ag for a total of 20.6K Oz Au and 268K Oz Ag. Inferred resources are 529,267 tonnes of 3.6 g/t Au and 48 g/t Ag for a total of 60.7K Oz Au and 811K Oz Ag. Average recovery for Au and Ag are 90 and 80% respectively. The company plans to have an annual production of 12,700 GEO with an overall average direct cash cost of %US 666 per GEO.
  • McEwen Mining Inc., reported that hopes to add 12 years of mine life at its El Gallo Complex in Sinaloa, combining mineralized sources from five locations that will be developed in two distinct process plant construction phases. McEwen plans to produce 47K Oz Au Eq per year.
  • Bacanora Lithium plc., announced plans to start the mine construction on its Sonora Lithium project in Sonora. $US 420M will be invested in the first phase and is expected to begin to operate in 2020.

ON DEALS AND CORPORATE ISSUES

  • Evrim Resources Corp., and First Majestic Silver Corp., agreed to exercise the Ermitaño and Cumobabi option agreements in Sonora. First Majestic has completed its 100% earn-in for both projects. First Majestic has paid $1.5M in cash to Evrim and has granted a 2% NSR in the case of Ermitaño project and 1.5% NSR in the case of Cumobabi project.
  • New Gold Inc., announced the appointment of its new President and CEO (Cerro San Pedro mine, San Luis Potosi).
  • Levon Resources Ltd., released results from its annual general meeting (Cordero project, Chihuahua).
  • Vangold Mining Corp., withdrew its submission to the TSX Venture Exchange to acquire the San Carlos property in Guanajuato.

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 banded quartz vein in an intermediate sulphidation epithermal project in Zacatecas, Mexico.  Photo by Miguel A Heredia.

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

By Miguel A Heredia

During the 29th week of the year (July 16th to July 22th, 2018), at least 30 press releases were announced by companies working in Mexico, with twelve informing on exploration results, nine announcing production results, four reporting on resources and developments, three communicating deals and corporate issues, and two  announcing financing issues.  ON MEXICO ISSUES, no relevant news. ON EXPLORATION, In Baja California Norte, One World Lithium presented geophysical results from its Salar del Diablo project. In Sonora, Colibri reported drill results from its El Pilar project, Minaurum reported exploration results from its Promontorio-Quintera project, San Marco announced exploration results from its Chunibas exploration program, and Millrock and Azure provided an exploration update on their Mexican properties. In Chihuahua, Mammoth Resources announced drill results from its Tenoriba project. In Coahuila, Discovery Metals reported exploration results from its Puerto Rico project. In Sinaloa, Kootenay presented exploration results from its Copalito project. In Durango, Southern Silver announced an expansion of the exploration program at its Cerro Las Minitas project. In Zacatecas, Advance Gold reported drill results from its Tabasquena project.  In the Estado de México, Impact discovered new zones at its San Ramon mine.  ON MINING, Several companies reported Q2, 2018 results on its Mexican operations. In Sonora, Mexus provided an update on its 370-8 Brothers property in Sonora. In Chihuahua, Sierra Metals announced Q2 results from its Bolivar and Cusi mines while GoGold reported results from its Parral property. In Sinaloa, Americas Silver presented Q2 results from its Cosala operation. In Durango, Avino reported Q2 results from its Avino mine. In Oaxaca, Fortuna Silver announced Q2 2018 results from its San Jose mine. First Majestic presented Q2 2018 results from its Mexican operations in Sonora, Sinaloa, Chihuahua, Durango, Zacatecas, Jalisco and Estado de Mexico. In Puebla, Almaden announced an increase of the average mill feed grades for its Ixtaca property.  ON FINANCING, Bacanora Minerals dropped a $100M placing for its Sonora Lithium project in Sonora. Candente announced the approval to extend the purchase of 5M of share warrants. ON RESOURCES AND DEVELOPMENT, Aranzazu filed a NI 43-101 FS for the restart of operations at its Aranzazu mine in Zacatecas and updated the resource estimate. Starcore filed updated 43-101 technical report on its San Martin mine. Capstone filed a NI 43-101 technical report for its Cozamin mine in Zacatecas. Gold Resource announced an expansion of its Arista Mine in Oaxaca. ON DEALS AND CORPORATE ISSUES, Evrim announced results of its annual and special general meeting of shareholders.  Silver Spruce executed an offtake agreement for potential future production from its Pino de Plata project in Chihuahua.

ON MEXICO ISSUES

  • No relevant news.

 ON EXPLORATION

  • One World Lithium Inc., presented results from a geophysical survey conducted on its Salar del Diablo project in Baja California Norte. Three very large and highly conductive zones were identified by a Volterra TEM in loop survey. Zone 1 is > 100m thick and covers six square km. Zone 2 surrounds Zone 1 and is < 100m thick and covers 24 square km. Zone 3 is estimated to be approximately 200m thick and covers > 30 square km.
  • Colibri Resources Corporation, reported RC drilling results from its Pilar project in Sonora. Significant results are 61m of 0.75 g/t Au, including 1.5m of 17.3 g/t Au; 6m of 0.68 g/t Au; 3m of 5.40 g/t Au; and 34.5m of 0.32 g/t Au. The drill results extend the Main Zone´s mineralized envelope to the northwest and southeast by upwards of a total of 145m. It represents an increase of 52% in the length of the Main Zone. Potential is open in both directions of the mineralized zone.
  • Minaurum Gold Inc., discovered the extension of the Promontorio-Quintera and Nueva Europa veins at its Alamos Silver project in Sonora. The Promontorio-Quintera vein was mapped and extends for 1km and is cut-off and down-dropped by a northwest trending fault while the Nueva Europa vein was mapped for over 600m. The extensions have the potential to host virgin mineralization at depth. Surface sampling on Promontorio South vein returned 1.1m of 181 g/t Ag and 1.06% Cu, while at Nueva Europa South vein, a 0.8m long chip rock sample returned 52 g/t Ag and 0.54% Cu, and a dump sample returned 91 g/t Ag and 1% Cu.
  • San Marco Resources Inc., identified many new significant Cu-Ag occurrences at its Chunibas property in Sonora; conducted a portable X-ray fluorescence rock analysis on an area of 300m by 1,400m, indicating anomalous to significant copper values, and received assays from ninety six rock chip samples ranging from 0.1% to 1.34% Cu. The company also carried out a saw-cut continuous channel sampling returning 30m of 0.16% Cu and 3 g/t Ag, and 22m of 0.17% Cu and 2 g/t Ag. Now, the mineralized NW-SE corridor is 1.7Km long by 300m wide, and remains open along strike and down dip. San Marco has begun preparations to perform a drill program at its Chunibas property.
  • Millrock Resources Inc., provided and exploration update on their Mexican properties in Sonora and San Luis Potosi. In Sonora, at La Navidad project, a 2,900m drilling program has been recently completed to test the El Cobre and the Crossover targets. Complete results are anticipated in early August. At El Picacho project (Orogenic gold), drill targets are emerging from the exploration work conducted in the first half of 2018. The company has authorized a drill program to begin later in the summer. At Batamote, good geological signs of a porphyry copper deposit have been identified and a major company is currently evaluating the property. At Los Cuarenta project (low-sulphidation epithermal Au-Ag), Millrock has acquired an option to purchase a key internal claim called Santa Rosalia. Drilling targets have been developed and drilling permit is in place. In San Luis Potosi, the Guadalcazar project hosts a high-grade Ag-Pb-Zn skarn with good drill intersections and historic mine workings, with potential to expand the known deposit. Millrock has received an offer to form an option agreement.
  • Azure Minerals Limited., provided an exploration update on its Sara Alicia and El Alacran properties in Sonora. At the Sara Alicia project, the stage 2 drilling campaign confirmed near-surface, high-grade Au-Co mineralization with maximum grade returning 53.8 g/t Au over 0.90m and 2.82% Co over 0.80m. The best Au interception was 19.6m of 8.6 g/t Au, including 15.3m of 10.6 g/t Au, while the best Co interception was 3.65m of 1.19% Co, including 1.5m of 2.66% Co. At the El Alacran project, the drilling campaign indicated the southern expansion of Loma Bonita epithermal Au-Ag system based on the presence of silicified zones covered by fresh-rock and high-resistivity geophysical anomalies extending to depth. At Cerro Colorado the company geologists identified the presence of porphyry-type alteration and veining with trace copper and molybdenum mineralization, warranting follow-up work. Teck will continue exploring the property with drilling planned to restart in Q3 2018.
  • Mammoth Resources Inc., announced drill results from its Tenoriba project in Chihuahua. Results are from the Masuparia area, in the central portion of the 6 km long trend of gold mineralization on the property. Significant results are 3m of 0.19 g/t Au and 10 g/t Ag in hole TEN 17-09 and multiple intersections in hole TEN 17-10 such as 4.5m of 0.42 g/t Au and 8 g/t Ag; 4.5m of 0.45 g/t Au and 3 g/t Ag, 22.5m of 0.35 g/t Au and 4 g/t Ag, 3m of 1.31 g/t Au and 50 g/t Ag, 3m of 0.65 g/t Au and 5 g/t Ag, and 24m of 0.31 g/t Au and 4 g/t Ag.
  • Discovery Metals Inc., reported underground channel sample results from the San Jose mine within its Puerto Rico project in Coahuila. Assay results represent 140m of workings and were collected at 3-5m intervals along both sides of the entire length of the developed workings. Mineralization is related to mantos, chimneys and faults. Mantos range from 0.5m to 1.5m in width (restricted by dimensions of workings) and are open in all directions laterally along strike and dip. Fourteen samples from mantos returned an average of 229 g/t Ag, 9.3% Pb, 17.6% Zn, and 0.3% Cu. Chimney widths range from 1m to 6m, with the main part of the chimney having a width of 5-6m, while the mineralized faults widths range from 0.4m to 1.4m, and are open along strike and at depth. Thirty three samples from chimneys and faults returned an average grade of 50 g/t Ag, 3.5% Pb, 4% Zn, and 0.8% Cu. The company is currently carrying out a detail structural study on the entire property to identify controls on mineralization. Additionally, it is planning to conduct a magnetic survey in preparation for drilling later in 2H 2018.
  • Kootenay Silver Inc., presented sampling results from its Copalito project in Sinaloa. Copalito is a low-sulphidation epithermal vein system. At least 4 main veins and numerous smaller veins have been identified, with individual veins found to be up to 15m wide and at least 2km long along strike. Eleven samples (5 chips and 6 grabs) on Cobriza vein returned grades from 47 to 2.5 kg/t Ag and 0.03 to 2.7 g/t Au, while twenty two samples on El Pilar vein returned grades from 2 to 166 g/t Ag and 0.04 to 1.05 g/t Au. Mapping and sampling on the La Chiva and Cinco Señores veins in the southern area of Copalito is ongoing. All the results will be used to determine grade distribution along the veins for drill targeting.
  • Sothern Silver Exploration Corp., announced an expansion of the exploration program at its Cerro Las Minitas project in Durango, with the mobilization of a second drill rig. The objective is to drill 2,000m of core to test multiple Ag-Au quartz veins within the recently acquired CLM West claim. Drill targets were identified by mapping and ground geophysics, and a sampling program of over 6000 float and rock chip samples throughout a >10km by 5km N-S corridor underlying the 207 square km CLM West claim package.
  • Advance Gold Corp., reported phase 1 drill results from its Tabasquena project in Zacatecas. Significant results are 10.5m of Au-Ag mineralization including 1.7m of 9.46 g/t Au and 37 g/t Ag, 0.55m of 12.65 g/t Au and 28 g/t Ag, and 0.55m of 6.31 g/t Au and 42 g/t Ag. The company is planning a second phase drill program to test the recently discovered veins and explore for new ones, as well as to follow-up on the high-grade gold intersections.
  • Impact Silver Corp., discovered new zones at its San Ramon mine through an underground drill program. Significant results with intersections 100m south of the current levels of the San Ramon mine are 2.04m of 0.23 g/t Au, 661 g/t Ag, 1.28% Pb, and 3.28% Zn; 4.97m of 0.12 g/t Au, 354 g/t Ag, 0.57% Pb and 1.48% Zn; and 1.25m of 0.1 g/t Au, 259 g/t Ag, 0.34% Pb and 1.14% Zn. The zone remains open for further extension vertically above for nearly 300m and to the south.

ON MINING

  • Mexus Gold US, provided and update on its 370-8 Brothers property in Sonora. VAT leaching test of oxidized sulphide ore reported that 50% of the sulphides remain as encapsulated Au and Ag bearing mineralization, with As, Pb and Zn, making difficult its extraction by simple gravity and/or cyanide leaching, unless they are pretreated via roasting to eliminate the sulphur. “About 80 tons of this oxidized ore was crushed to < 3 inches and put in a steel tank and leached for a period of 25 days.  Eight head assay samples were taken averaging 1g/t Au and 50 g/t Ag with one sample showing 30 g/t Au and another sample with 800 g/t Ag.  Solution was assayed daily for a week showing recoveries of 1.25% in gold and 13% in silver with a slow increase after a week and large cyanide consumption.  The solution was assayed after 3 weeks and turned out to have minimum increase up to 26% in silver and gold remaining the same”.
  • Sierra Metals Inc., reported Q2 results from its Bolivar and Cusi mines in Chihuahua. At Bolivar mine, a total of 272K tonnes were processed at grades of 0.15 g/t Au, 17 g/t Ag, and 0.97% Cu to produce 911 OZ Au, 110K Oz Ag, and 4.7M Lb Cu, with metallurgical recoveries of 71.81%, 75.53% and 81.33% respectively. At Cusi mine, a total of 46.4K tonnes were processed at grades of 0.16 g/t Au, 156 g/t Ag, 0.4% Pb, and 0.3% Zn, to produce 96 Oz Au, 190K Oz Ag, and 287K Lb Pb, with metallurgical recoveries of 39.8% Au, 81.66% Ag, 77.22% Pb and 0% Zn.
  • GoGold Resources Inc., presented Q2 2018 results from its Parral operation in Chihuahua. GoGold processed 447K tonnes of tailings material to produce 164K Oz Ag and 1,630 Oz Au.
  • Americas Silver Corporation, announced results from its Cosala operation in Sinaloa. On Q2, 2018, the company milled 139K tonnes of 42 g/t Ag to produce 94K Oz Ag, 2.9M Lb Pb, and 8.7M Lb Zn
  • Avino Silver & Gold Mines Ltd., presented Q2 2018 results from its Avino mine in Durango. The company processed 184.7K tonnes of 0.42 g/t Au, 70 g/t Ag, and 0.45% Cu to produce 1,734 Oz Au, 323 Oz Ag, and 1.48M Lb Cu, with metallurgical recoveries of 75%, 81% and 90% respectively.
  • Fortuna Silver Mines Inc., reported Q2 2018 results from its San Jose mine in Oaxaca. Fortuna milled 134K tonnes of 1. 86 g/t Au and 268 g/t Ag to produce 14.4K Oz Au and 2M Oz Ag with metallurgical recoveries of 91.54% and 91.67% respectively.
  • First Majestic Silver Corp., announced Q2, 2018 production results from its Mexican operations. At Santa Elena mine in Sonora, a total of 228K tonnes of 2.3 g/t Au and 120 g/t Ag were milled to produce 11K Oz Au and 535K Oz Ag. At San Dimas mine in Sinaloa, a total of 85.7K tonnes of 4.3 g/t Au and 307 g/t Ag were processed to produce 11.3K Oz Au and 809K Oz Ag. At La Encantada mine in Chihuahua, a total of 238K tonnes of 83 g/t Ag were processed to produce 23 Oz Au and 325K Oz Ag. At La Parrilla mine in Durango, a total of 123.6K tonnes of 131 g/t Ag, 1.4% Pb and 1.5% Zn were milled to produce 235 Oz Au and 361K Oz Ag, 1.6M Lb Pb, and 1.4M Lb Zn. At Del Toro mine in Zacatecas, a total of 65.8K tonnes of 117 g/t Ag and 2.7% Pb were processed to produce 73 Oz Au, 167.6K Oz Ag, and 2.3M Lb Pb. At San Martin mine in Jalisco, a total of 74.4K tonnes of 0.6 g/t Au and 203 g/t Ag were milled to produce 1,331 Oz Au and 138.4K Oz Ag. At La Guitarra mine in Estado de Mexico, a total of 35.7K tonnes of 1.5 g/t Au and 154 g/t Ag were milled to produce 1400 Oz Au and 138.4K Oz Ag. Unfortunately, First Majestic announced the temporary suspension of work at its la Guitarra mine scheduled to start on August 1st. It is until economic conditions improve or the property is sold.
  • Almaden Minerals Ltd., announced an increase of the average feed mill grades of 39% for Au and 47% for Ag from bulk ore sort test for its Ixtaca project in Puebla. Applying the ore sort process, the metallurgical recovery is 88% for Au and 93% for Ag and reduces the environmental footprint over the life of mine by reducing process tailings, water usage and energy requirements and CO2 “The detailed impact of the ore sorting results on the Ixtaca project will be evaluated as part of the ongoing Feasibility Study, which is anticipated to be completed in 2018”.

ON FINANCING

  • Bacanora Lithium plc., dropped a $100M placing for its Sonora Lithium project in Sonora, citing “difficult market conditions”.
  • Candente Gold Corp., announced the approval to extend the exercise period of 5M of share purchase warrants from August 12, 2018 to August 12, 2020.

 ON RESOURCES AND DEVELOPMENT

  • Aura Minerals Inc., filed a NI 43-101 FS for the restart of operations at its Aranzazu mine in Zacatecas. The company also updated the mineral resource and reserve estimates. Measured + indicated resources are 12.5M tonnes of 1.08 g/t Au, 20 g/t Ag, and 1.61% Cu for a total of 435K Oz Au, 8M Oz Ag and 444.4M Lb Cu. Proven and probable reserves are 4.6M tonnes of 1.17 g/t Au, 19 g/t Ag, and 1.72% Cu, for a total of 174K Oz Au, 2.8M Oz Ag, and 176.4M Lb Cu. (Mineral reserves are inclusive of mineral resources). The orebody consists of seven mineralized domains and has a strike length of 1.5km, width up to 250m and 600m depth. The mineral resource estimate is based on 1,336 holes for a total of 219,586m.
  • Starcore International Mines Ltd., filed an updated 43-101 technical report for its San Martin mine in Queretaro in which reported mineral resources and reserves as of April 30, 2018. Total proven + probable reserves are 1.65M tonnes of 2.11 g/t Au and 33 g/t Ag for a total of 154.4K Oz Au Eq. Total indicated + inferred resources are 1.5M tonnes of 1.94 g/t Au and 25 g/t Ag for a total of 113K Oz Au Eq. The total mineral reserves and resources are 3.1M tonnes of 2.03 g/t Au and 29 g/t Ag for a total of 267.3K Oz Au Eq.
  • Capstone Mining Corp., filed a NI 43-101 technical report for its Cozamin mine in Zacatecas. In this TR, Capstone reported a mineral resource estimate which was announced on the past June 05, 2018.
  • Gold Resource Corporation, announced significant drill interceptions of 23.39m @ 2 g/t Au, 200 g/t Ag, 0.58% Cu, 3.1% Pb, and 9% Zn, including 1.66m of 8.92g/t Au, 1.3Kg/t Ag, 0.93% Cu, 6.3% Pb and 8.8%Zn, and 9.94m @ 2.16 g/t Au, 95 g/t Ag, 0.82% Cu, 4.1% Pb and 12% Zn, including 3.1m @ 3.99 g/t Au, 177 g/t Ag, 1.01% Cu, 7% Pb, and 14.5% Zn to expands the Switchback´s strike length by approximately 100m, and discovered a new structure in the Arista vein system intercepting 2.08m @ 1.98 g/t Au, 1.6Kg Ag/ton, 0.25% Cu, 1% Pb, and 2.2% Zn, including 0.9m of 3.31 g/t Au, 2.7Kg/t Ag, 0.45% Cu, 2% Pb, and 4.1% Zn.

ON DEALS AND CORPORATE ISSUES

  • Evrim Resources Corp., announced results of its annual and special general meeting of shareholders. (Cuale project, Jalisco).
  • Silver Spruce Resources Inc., executed an offtake agreement with IBB International Holdings Limited for potential future production from its Pino de Plata project in Chihuahua. “The Company has agreed to deliver any and all future production from the Pino de Plata project for a period of at least ten years, commencing with the first delivery. The ten-year term of the agreement will automatically extend by successive one-year terms, unless either party expresses written desire o terminate the agreement. The purchase price of the delivered production will be at a three percent (3%) discount to the London Metals Exchange metals pricing on the dates of delivery to the buyer”.

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 diatreme breccia in a prospect in Durango, Mexico. Photo by Miguel A Heredia.

 

 

 

AMERICAS SILVER CORPORATION PROVIDES SECOND QUARTER PRODUCTION AND COST UPDATE  

americas silver reports Q2 2018 result

TORONTO, ONTARIO—July 19, 2018—Americas Silver Corporation (TSX: USA) (NYSE American: USAS) (“Americas Silver” or the “Company”) today announced production and operating cost results for the second quarter of 2018 on a consolidated basis and individually for its Cosalá Operations and Galena Complex. All figures are in U.S. dollars unless otherwise indicated.