The Mining and Exploration News in Mexico: Highlights on the Fourth Week of April, 2022

By Jorge Cirett

During the 17th week of the year (April 25th to May 1st, 2022), at least 24 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their properties, four released first quarter 2022 reports, one reported a temporary suspension of mining, one on a financing round, another one on an updated credit facility, eight reported either drill results or updated on work in their advanced properties. ON MEXICO ISSUES, according to Miner Deck, one company working in Mexico had the best gold intercept of the week, and five companies in Mexico participated in the best eight silver intercepts. The SGM stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization. Several institutions pointed out that Mexico can be involved in international litigations if proceeds to nullify mining concessions under the reform to the mining law recently approved. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Silver Spruce received results from Diamante. In Durango, Commander Resources informed on drilling by Southern Empire Resources at Pedro. In Chihuahua, Mammoth Resources provide drilling results from Tenoriba. ON MINING, Guanajuato Silver reported 2021 production, Mag Silver, Alamos Gold and Agnico Eagle reported Q1 2022 production results. Gatos Silver temporarily suspended mining operations at Cerro Los Gatos in Chihuahua. ON FINANCING, Sonoro Gold is to raise up to C$3 M. Orla Mining informed on a project finance facility for US$150 M.  ON RESOURCES AND DEVELOPMENT, Barksdale Resources released the last results from its drilling campaign at San Javier, in Sonora. Endeavour Silver reported drilling results from its Parral project in Chihuahua. Altaley Mining filed an updated technical report on Tahuehueto, Durango. Sierra Madre Gold and Silver announced results from drilling at the Tepic project, in Nayarit. Chesapeake Gold released results from metallurgical infill holes at Metates, in Durango. SilverCrest Metals updated on construction work at Las Chispas, in Sonora. Discovery Silver updated on work at Cordero, in Chihuahua, GR Silver Mining released high-grade results from drilling at Plomosas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, no relevant news.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • According to Miner Deck, one company working in Mexico, Chesapeake Gold, drilled the best gold drilling intercept of the week, with 405 m @ 0.90 gpt Au at Metates, in Durango.
  • According to Miner Deck, five of the top eight silver intervals were drilled by companies working in Mexico. Gr Silver Mining was first with 24.2 m @ 1,094 gpt Ag at Plomosas, in Sinaloa. Chesapeake Gold was third with 357 m @ 31.6 gpt Ag, at Metates, in Durango. Radius Gold was fifth, with 11.8 m @ 450 gpt Ag at Amalia, in Chihuahua. Endeavour Silver was sixth, with 5.7 m @ 392 gpt Ag at Guanaceví, in Durango. Sierra Madre was eighth, with 3.05 m 625 gpt Ag at Tepic, in Nayarit.
  • The Servicio Geológico Mexicano (SGM), stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization.
  • The Cámara de Comercio Internacional argued that if the Mexican government nullifies mining concessions as results of the recently approved reform to the mining law, will be obligated to indemnify investors. This as a result of modifying the regulatory framework, as also pointed the Comisión de Comercio y Políticas de Inversión y el Comité de Arbitraje de Inversión de la International Chamber of Commerce.

ON EXPLORATION

  • Radius Gold Inc. reported drilling results from El Cuervo target at its Amalia project in Chihuahua. Highlighted core length intercepts comprise 14.60 m @ 117 gpt Ag, 0.92 gpt Au (including 0.9 m @ 1,185 gpt Ag, 6.93 gpt Au); 17.35 m @ 253 gpt Ag, 1.11 gpt Au (Including 7.60 m @ 414 gpt Ag, 2.10 gpt Au); 11.80 m @ 450 gpt Ag, 1.31 gpt Au (including 2.10 m @ 1,577 gpt Ag, 2.27 gpt Au). These holes were drilled from two platforms testing 350 m of strike and 300 m of depth.
  • Tocvan Ventures Corp. announced results from one more drill hole at its Pilar project in Sonora. Highlighted core length intervals comprise 108.6 m @ 0.8 gpt Au, 3 gpt Ag (including 31.9 m @ 2.4 gpt Au, 2 gpt Ag, which includes 9.4 m @ 7.6 gpt Au, 5 gpt Ag). The drill hole intersected a silicified andesite, including the 9.4 m high-grade breccia zone.
  • Silver Spruce Resources Inc. received high-grade surface sample results from its Diamante project in Sonora. The results are part of the phase 1 geological mapping program on the main drill target areas. Intense silica, sericite, clay and propylitic alteration was confirmed peripheral to veins and breccias in andesitic tuff, rhyolite and granodiorite. Highlighted surface sample results comprise 51.5 gpt Au, 11 gpt Ag; 7.57 gpt Au, 186 gpt Ag, 114 ppm Bi, 6.3% Pb; 3.31 gpt Au, 191 gpt Ag, 0.5% Pb; 2.99 gpt Au, 2,270 gpt Ag, 422 gpt Bi, 0.29% Cu, 4.4% Pb; 2.08 gpt Au, 533 gpt Ag, 0.19% Cu, 3.8% Pb, 7.5% Zn; 1.80 gpt Au, 199 gpt Ag, 2.8% Pb, 0.2% Zn; 1.141 gpt Au, 140 gpt Ag, 0.17% Cu, 2.6 % Pb, 3.6% Zn; 1.38 gpt Au, 1,980 gpt Ag, 3,290 ppm Bi, 11.1% Pb; 1.34 gpt Au, 100 gpt Ag, 100 ppm Bi, >1000 ppm Cd, 3.2% Cu, 5.7% Pb, 16.7% Zn; 0.94 gpt Au, 223 gpt Ag, 0.27% Cu, 4.0% Pb, 6.5% Zn; 0.72 gpt Au, 226 gpt Ag, 375 ppm Bi, 2.4% Pb; 0.27 gpt Au, 82 gpt Ag, 44 ppm Bi, >1,000 ppm Cd, 3.6% Pb, 22.9% Zn; 0.20 gpt Au, 1,310 gpt Ag, 0.37% Cu, 42.3% Pb, 8.2% Zn.
  • Commander Resources Ltd. informed on work by partner Southern Empire Resources at the Pedro project in Durango. Southern Empire completed six core holes for a total of 856 m. Highlighted core length results comprise 9.26 m @ 0.087 gpt Au; 5.28 m @ 0.151 gpt Au; 19.82 m @ 0.311 gpt Au; 5.26 m @ 0.115 gpt Au; 15.23 m @ 0.577 gpt Au; 5.88 m @ 0.098 gpt Au; 14.75 m @ 0.230 gpt Au. “The Au-As-Sb-Hg-Tl-Te geochemical suite associated with strong orpiment (As S ) and realgar (AsS) mineralization observed in the Pedro drill core is, in part, indicative of Carlin-style gold deposits”.
  • Mammoth Resources Corp. provided results from three additional diamond drill holes at Tenoriba, in Chihuahua. Highlighted core length intervals comprise 6.0 m @ 0.20 gpt Au, 3 gpt Ag; 15.0 m @ 0.34 gpt Au, 2 gpt Ag; 6.0 m @ 0.59 gpt Au, 3 gpt Ag in one hole on the Moreno zone; 46.5 m @ 0.45 gpt Au, 5 gpt Ag in another hole on the Carneritos zone and 37.5 m @ 0.98 gpt Au, 15 gpt Ag (including 18.0 m @ 1.13 gpt Au, 21 gpt Ag, 0.55% Cu) and 12.0 m @ 0.08 gpt Au, 0.45% Cu in one other hole on the Moreno zone. To date, results for 1,914 m have been released from 13 holes on the current drilling program of 27 holes with 3,240 m drilled. The program has been halted for lack of water for drilling.

ON MINING

  • Guanajuato Silver Company Ltd. reported selected financial and production results for 2021. Production at El Cubo mine in Guanajuato commenced in October 2021. A total of 89.1 K tonnes were mined from El Cubo and existing stockpiles from El Pinguico, with 77.5 K tonnes milled, recovering 82.6% Ag, 78.8% Au to produce 124,7 K Oz Ag, 1,440 Oz Au at cash cost $20.36 per Oz AgEq mined. By the end of the period the company had $8.23 M in cash and an additional $1.6 M in bullion.
  • MAG Silver Corp. reported first quarter 2022 production of underground development and stope material at Juanicipio (56% Fresnillo/44% Mag Silver), in Zacatecas. On a 100% basis, 145.5 K tonnes were processed @ 597 gpt Ag, producing 2.4 M Oz Ag, 5,837 Oz Au. MAG Silver attributable production is 1.06 M Oz Ag, 2,568 Oz Au; the associated Pb and Zn production is to be reported with MAG’s first quarter filings.
  • Gatos Silver Inc. suspended temporarily mine operations at Cerro Los Gatos in Chihuahua. “The Mexican Ministry of Defense (“SEDENA”), who regulates all explosives permits in Mexico, temporarily suspended CLG’s explosive and blasting permit on April 21, 2022, following a blasting incident during underground development activities where two blasts were detonated prematurely”. No personnel were injured and no significant damage to equipment occurred. The company expects the resumption of mining activities next week.  
  • Alamos Gold Inc. reported Q1 2022 financial results, including figures from its Mexican operations. At Mulatos in Sonora, 613.8 K tonnes of ore were mined, 1.97 M tonnes of waste moved, stacking 1.74 M tonnes @ 0.73 gpt Au, for 40,852 Oz Au stacked. During the period 22,500 Oz Au were produced at cash cost $1,570 per Oz Au, and an AISC of $1,782 per Oz Au. “Mulatos produced 22,500 ounces in the first quarter, lower than the prior year period though consistent with first half 2022 guidance of between 45,000 and 50,000 ounces. Initial production from La Yaqui Grande in the third quarter and higher grades from El Salto are expected drive production substantially higher in the second half of the year to between 85,000 and 95,000 ounces”.
  • Agnico Eagle Mines Ltd. released first quarter 2022 results, including figures from its Mexican operations. At Pinos Altos, in Chihuahua, 384 K tonnes were processed at a rate of 4,267 tonnes per day (tpd), averaging 2.14 gpt Au, to produce 25,170 Oz Au at cash cost $1,078 per Oz Au. At Creston Mascota, residual recovery from the heap leach pad continued, producing 1,006 Oz Au at cash cost $407 per Oz Au with residual leaching to continue throughout the second quarter of 2022. At La India, in Sonora, 1.56 M tonnes were processed at a rate of 17.4 K tpd, averaging 0.57 gpt Au, to produce 21,702 Oz Au at cash cost $820 per Oz Au.

ON FINANCING

  • Sonoro Gold Corp. is to undertake a non-brokered private placement offering to raise up to C$3 M (Cerro Caliche, Sonora).
  • Orla Mining Ltd. announced the refinancing of its US$125 M project finance facility with a new US$150 M secured credit facility which includes a US$100 M term facility and a US$50 M revolving facility through the Bank of Nova Scotia, Bank of Montreal, and Canadian Imperial Bank of Commerce (Camino Rojo, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Barksdale Resources Corp. announced additional drill results from its 5,000 m phase I drilling program at the Cerro Verde zone of the San Javier project in Sonora. Highlighted core length intervals in three holes comprise 21 m @ 0.14% Cu, 0.47 gpt Au; 21 m @ 0.61% Cu, 0.28 gpt Au; 6 m @ 0.04% Cu, 1.90 gpt Au; 6 m @ 0.19% Cu, 0.49 gpt Au; 15 m @ 1.48% Cu (including 9 m @ 2.22% Cu); 6 m @ 0.10% Cu, 0.49 gpt Au in one hole; 27 m @ 0.31% Cu; 18 m @ 0.36% Cu; 6 m @ 0.25% Cu; 12 m @ 0.80% Cu; 6 m @ 1.19% Cu; 66 m @ 0.33% Cu in a second hole, 33 m @ 0.29% Cu; 6 m @ 0.25% Cu in the third hole and 15 m @ 0.23% Cu; 3 m @ 0.10% Cu, 0.45 gpt Au; 3 m @ 0.17% Cu, 0.37 gpt Au; 6 m @ 0.29% Cu. “Two additional holes on the western flank of Cerro Verde have intercepted broad zones of mineralization further to the west, while hole SJ21-32 has confirmed copper mineralization in addition to further extending oxide gold”. Next in line is the completion of an initial resource estimate at Cerro Verde and planning of the next exploration phase, which is likely to include targets at La Trinidad and Mesa Grande prospects.
  • Endeavour Silver Corp. reported results from drilling at its Parral project in Chihuahua. Highlighted true width intercepts comprise 0.98 m @ 169 gpt Ag, 3.9% Pb, 2.3% Zn; 3.24 m @ 194 gpt Ag, 0.1% Pb, 0.2% Zn; 5.91 m @ 218 gpt Ag, 0.6% Pb, 1.1% Zn; 2.31 m @ 314 gpt Ag, 0.7% Pb, 0.3% Zn; 1.92 m @ 203 gpt Ag, 0.2% Pb; 1.13 m @ 439 gpt Ag, 0.23% Cu, 0.6% Pb, 0.1% Zn; 3.27 m @ 392 gpt Ag, 0.6% Pb, 2.1% Zn at Veta Colorada Sierra Plata Deep vein; 1.96 m @ 513 gpt Ag, 0.11% Cu, 2.0% Pb, 1.7% Zn; 4.23 m @ 0.14 gpt Au, 331 gpt Ag, 2.8% Pb, 2.2% Zn; 1.84 m @ 178 gpt Ag, 0.9% Pb, 1.0% Zn; 1.25 m @ 0.14 gpt Au, 310 gpt Ag, 1.8% Pb, 2.0% Zn; 3.49 m @ 395 gpt Ag, 0.14% Cu, 2.8% Pb, 2.7% Zn; 1.17 m @ 289 gpt Ag, 0.12% Cu, 3.0% Pb, 2.6% Zn; 1.18 m @ 191 gpt Ag, 0.8% Pb, 1.6% Zn; 2.48 m @ 0.12 gpt Au, 532 gpt Ag, 0.28% Cu, 3.1% Pb, 3.1% Zn at the Veta Colorada El Verde vein zone, and 2.09 m @ 0.61 gpt Au, 55 gpt Ag, 0.13% Cu, 3.0% Pb, 3.5% Zn; 0.48 m @ 0.49 gpt Au, 75 gpt Ag, 5.8% Pb, 4.7% Zn, at the Veta Colorada-San Joaquín vein. “Veta Colorada (including the Sierra Plata and El Verde mines) was a past producing mining operation owned by Grupo Mexico that closed in 1991 due to low silver prices. Mineralization, which occurs in a major silver vein structure that ranges from 1 to 30 metres thick, was mined seven levels down to 300-metre depths below surface in places and was traced for seven kilometres”.
  • Altaley Mining Corp. filed an updated technical report, including a preliminary feasibility study (PFS) for its Tahuehueto project in Durango. The previous report released in March 2021 “contained errors related to net smelter return calculations that under-estimated the PFS economics”, the updated disclosure increases “approximately 30% to the overall economics of the project”. The project envisages 1 K tpd operation with a mine life (LOM) of 10.9 years, to process a total of 3.55 M tonnes of ore @ 2.58 gpt Au, 50.5 gpt Ag, 0.3% Cu, 1.1% Pb, 1.9% Zn, with planned recovery of 87% Au, 85% Ag, 85% Cu, 85% Pb, 68% Zn to have a total net smelter return (NSR) of $645.4 M, LOM total capital cost of $56.9 M, an AISC of $855 per Oz AuEq, an EBITDA LOM of 357.7 M and an IRR of 65.5 with a payback period of 2 years. The project estimate of resources stands at 6.26 M tonnes @ 47 gpt Ag, 2.11 gpt Au, 0.27% Cu, 0.9% Pb, 1.98% Zn containing 9.45 M Oz Ag, 425 K Oz Au, 36.6 M Lb Cu, 123.9 M Lb Pb, 273.3 M Lb Zn in measures and indicated resources and 0.92 M tonnes @ 28.5 gpt Ag, 1.02 gpt Au, 0.15% Cu, 1.16% Pb, 1.96% Zn, containing 0.84 M Oz Ag, 30 K Oz Au, 3.K M Lb Cu, 23.6 M Lb Pb, 39.7 M Lb Zn.
  • Sierra Madre Gold and Silver Ltd. announced results from additional drill holes from the phase 2 program at its Tepic project in Nayarit. Highlighted core length intervals comprise 6.65 m @ 210 gpt Ag, 1.06 gpt Au (including 1.5 m @ 524 gpt Ag, 2.47 gpt Au); 4.5 m @ 264 gpt Ag, 1.85 gpt Au (including 1.5 m @ 740 gpt Ag, 2.37 gpt Au); 3.05 m @ 625 gpt Ag, 1.60 gpt Au; 1.5 m @ 185 gpt Ag, 0.26 gpt Au; 1.5 m @ 110 gpt Ag, 0.23 gpt Au. “Ten of the twelve holes were designed to test up dip or strike extensions of known structures outside of the volumes used in the historical resource estimations”.
  • Chesapeake Gold Corp. released results for the last 13 PQ size infill core drill holes at its Metates project in Durango. The 2021-2022 infill drill campaign totaled 7,485 m, returning 22% higher grades within intrusive hosted mineralization. Highlighted core-length intervals comprise 357 m @ 0.63 gpt Au, 20.5 gpt Ag; 357 m @ 1.00 gpt Au, 31.6 gpt Ag; 39 m @ 0.28 gpt Au, 30.9 gpt Ag; 118 m @ 1.24 gpt Au, 14.4 gpt Ag; 350 m @ 0.74 gpt Au, 23.2 gpt Ag (including 43 m @ 1.17 gpt Au, 8.6 gpt Ag); 69 m @ 0.50 gpt Au, 16.3 gpt Ag; 45 m @ 1.01 gpt Au, 11.5 gpt Ag; 226 m @ 0.95 gpt Au, 16.2 gpt Ag; 9 m @ 2.20 gpt Au, 6.8 gpt Ag; 405 m @ 0.90 gpt Au, 27.6 gpt Ag; 172 m @ 0.41 gpt Au, 25.4 gpt Ag; 45 m @ 0.82 gpt Au, 56.8 gpt Ag; 63 m @ 0.59 gpt Au, 10.6 gpt Ag; 138 m @ 1.38 gpt Au, 11.1 gpt Ag. “The infill drill holes targeted the intrusive-hosted mineralization and are spaced at approximately 50 metre intervals”.
  • SilverCrest Metals Inc. updated on construction at Las Chispas project in Sonora. At the end of Q1 construction at Las Chispas was 95.7%, with plant start-up on track for Q2 2022. Capital costs remain on budget, the power line is to be completed in Q2 and energized in Q3 while rental power generators were commissioned and are operational. A total of 19 .5 Km of underground development have been completed, 2.0 km in the last quarter. “The H1, 2022 exploration focus at Las Chispas is to map and sample unexplored areas and generate new drill targets”. At the end of Q1 2022 SilverCrest had cash and cash equivalents of $152 M, and $30 M available on a $120 M financing facility.
  • Discovery Silver Corp. updated on work at Cordero, in Chihuahua, to the Q4 2021. During the period a PEA on Cordero was completed, outlining a 16-year mine life producing 26 M Oz AgEq per year at an AISC of $12.35 per Oz AgEq. Work for this 2022 includes the pre-feasibility study (PFS), resource expansion and initial drill testing of five targets within the extensive land package owned by Discovery.
  • GR Silver Mining Ltd. announced results from its surface infill drill program at Plomosas, in Sinaloa. The results are part of the phase 1 program in the Plomosas mine area. Some of the highlighted true width results comprise 0.9 m @ 435 gpt Ag, 1.1% Pb, 5.1% Zn; 0.9 m @ 805 gpt Ag, 4.2% Pb, 5.6% Zn; 4.5 m @ 257 gpt Ag, 0.3% Pb, 0.4% Zn; 9.0 m @ 96 gpt Ag, 0.11 gpt Au, 0.2% Pb, 0.4% Zn; 2.8 m @ 176 gpt Ag, 0.3% Pb, 0.4% Zn; 8.5 m @ 410 gpt Ag, 0.30 gpt Au, 1.0% Pb, 1.0% Zn; 6.9 m @ 1,521 gpt Ag, 1.2% Pb, 1.6% Zn; 30.5 m @ 12 gpt Ag, 0.28 gpt Au, 1.0% Pb, 0.8% Zn; 16.0 m @ 289 gpt Ag, 0.1% Pb, 0.1% Zn; 15.7 m @ 238 gpt Ag, 0.1% Pb, 0.1% Zn; 9.5 m @ 372 gpt Ag, 0.1% Pb, 0.1% Zn.  

ON DEALS AND CORPORATE ISSUES

  • No Relevant News.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Quartz-barite-FeOx vein in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Second Week of April, 2022

By Jorge Cirett

During the 15th week of the year (April 11th to April 17th, 2022), at least 30 press releases were announced by companies working in Mexico. To note, nine companies posted exploration advances on their properties, six released first quarter 2022 reports, one updated on project work, six reported drill results on their advanced properties and one signed an exploitation agreement on a small scale mine. ON MEXICO ISSUES, Mexico’s president Andrés M. López Obrador warned he will change the mining law to make a government’s monopoly on lithium, if his Energy bill is not approved. According to Miner Deck, three of the top ten gold intercepts on the second week of April were drilled by companies working in Mexico. Six of the top ten silver intercepts were by companies in Mexico. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Infinitum Copper released trench results at La Adelita; Silver Spruce had the preventive report approved for drilling at Diamante; Reyna Gold started drilling at La Gloria; Aztec Minerals finished the phase 2 RC drill campaign at Cervantes. In Chihuahua, Reyna Silver released drill results from Batopilas. In Nayarit, Sierra Madre Gold and Silver released drilling results from Tepic. In Guerrero, Pantera Silver reported drill results from Nuevo Taxco. In Zacatecas, Defiance Silver completed drilling at the Lucita prospect in its Zacatecas Silver project. ON MINING, Endeavour Silver, Fortuna Silver, Avino Silver, Golden Minerals, Great Panther and Torex Gold released first quarter 2022 reports. ON FINANCING, No Relevant News.  ON RESOURCES AND DEVELOPMENT, Prime Mining released drill results from Los Reyes, in Sinaloa. Silver Tiger Metals provided drilling results for El Tigre, in Sonora. Silverton Metals released RC drilling results from Peñasco Quemado, in Sonora. Vizsla Silver reported drilling results from the Animas vein corridor at Panuco, in Sinaloa. Endeavour Silver informed on drill results from the El Curso property at its Guanaceví mine in Durango. Fabled Silver Gold is planning phase 2 drilling at Santa Maria, in Chihuahua. SilverCrest Metals announced drill results from Picacho, in Sonora. ON DEALS AND CORPORATE ISSUES, Galore Resources entered into an exploitation agreement with Oztoc Metal Corp for mining at the Duraznillo mine in Zacatecas.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Mexico’s president Andrés M. López Obrador, warned that, “if Congress does not approve a constitutional reform on electrical matters next week….. he will push for a rewrite of the country’s Mining Law”. He stated that modifying the Mining Law requires simple majority (which he has), “to make lithium a mineral that belongs to the nation, to the Mexicans”.
  • According to Miner Deck, three of the top ten gold intercepts on the second week of April were from companies working in Mexico: Prime Mining (fifth) with 4.23 m @ 52.08 gpt Au at Los Reyes, in Sinaloa; Tocvan Ventures (eighth) with 116.9 m @ 1.2 gpt Au at Pilar, in Sonora, and Silver Crest Metals (tenth) with 4.7 m @ 20.86 gpt Au at Picacho, in Sonora.
  • According to Miner Deck, six of the top ten silver intercepts on the second week of April were by companies in Mexico: Endeavour Silver (third) with 7.46 m @ 2,067 gpt Ag at Guanaceví, in Durango; Prime Mining (fourth) with 4.3 m @ 1,008 gpt Ag at Los Reyes in Sinaloa; Defiance Silver (sixth) with 3.33 m @ 709 gpt Ag, Vizsla Silver (seventh) with 2.4 m @ 959 gpt Ag at Panuco, in Sinaloa; Silver Tiger Metals (nineth) with 23.8 m @ 95 gpt Ag at El Tigre in Sonora; Sierra Madre Gold and Silver (tenth) with 2.55 m @ 878 gpt Ag at Tepic.

ON EXPLORATION

  • Silver Spruce Resources Inc. announced the approval by SEMARNAT (Environmental authority) of the preventive report for drilling at the 1,057 ha Diamante property in Sonora. The program envisages 2,000 m of reverse circulation drilling starting in May, on the La Prieta, Aguaje, El Chon, El Chon Oeste, La Olla, Calton, El Cumbro, and Mezquite-Raizudo targets.
  • Sierra Madre Gold and Silver Ltd. released results from seven drill holes of the phase II drilling program at the Tepic project in Nayarit. “Four of the holes are up-dip extensions from the previously defined historic resource area while three are strike extensions”. Highlighted core-length intercepts comprise 7.05 m @ 125 gpt Ag, 0.90 gpt Au; 3.2 m @ 194 gpt Ag, 1.36 gpt Au; 12.1 m @ 146 gpt Ag, 0.64 gpt Au (including 1.5 m @ 489 gpt Ag, 0.77 gpt Au); 2.25 m @ 48 gpt Ag, 0.90 gpt Au; 1.5 m @ 7 gpt Ag, 1.89 gpt Au; 4.6 m @ 156 gpt Ag, 1.20 gpt Au; 4.8 m @ 106 gpt Ag, 1.48 gpt Au; 2.55 m @ 878 gpt Ag, 3.04 gpt Au; 1.05 m @ 11 gpt Ag, 2.66 gpt Au. True widths estimated at 90% of core-length intervals.
  • Reyna Gold Corp. reported channel and dump sample results from the Sombrero target at its La Gloria property in Sonora. Highlighted results comprise 8.68 gpt Au, 0.56% Cu, 64 gpt Ag, 0.4% Pb, 0.1% Zn; 8.17 gpt Au, 0.34% Cu, 49 gpt Ag, 0.1% Pb; 2.84 gpt Au, 0.17% Cu, 36 gpt Ag, 0.3% Pb, 0.2% Zn. “Reyna has started drilling at El Sombrero and expanded the number of planned holes from an initial 10 to now 22 holes in the El Sombrero target as part of its ongoing 10,000-meter drill program, which now comprises of a total of 36 holes”.
  • Pantera Silver Corp. reported initial drill results from the Nuevo Taxco project in Guerrero. Highlighted true width (tw) results comprise 0.55 m @ 98 gpt Ag; 1.15 m @ 0.10 gpt Au, 48 gpt Ag; 1.6 m @ 98 gpt Ag; 1.3 m @ 96 gpt Ag; 0.8 m @ 82 gpt Ag; 1.85 m @ 0.09 gpt Au, 225 gpt Ag on the Negrilla vein and 5.05 m @ 0.30 gpt Au, 108 gpt Ag; 1.75 m @ 0.42 gpt Au, 7 gpt Ag; 1.00 m @ 0.41 gpt Au, 14 gpt Ag; 0.86 m @ 1.86 gpt Au, 35 gpt Ag; 1.25 m @ 0.51 gpt Au, 9 gpt Ag; 4.29 m @ 0.78 gpt Au, 9 gpt Ag on the Creston de Maria vein. This drilling campaign tested 630 m along strike on two veins of 21 in the property, with a combined longitude of more than 11 km.
  • Tocvan Ventures Corp. announced results from one core hole at its Pilar property in Sonora. Highlighted core length intervals comprise 116.85 m @ 1.19 gpt Au, 7 gpt Ag (including 48.05 m @ 2.81 gpt Au, 9 gpt Ag, which includes 10.20 m @ 12.04 gpt Au, 23 gpt Ag). This core hole is a twin form a reverse circulation hole that returned 94.6 m @ 1.6 gpt Au. Nine holes totalling 1,562 m have been completed of phase III drilling.
  • Reyna Silver Corp. released results from 19 holes totalling 7,964 m of its 10,000 m stage 1 drill program at Batopilas, in Chihuahua. Highlighted core length intervals comprise 9.35 m @ 3.38 gpt Au (including 3.65 m @ 8.18 gpt Au, which includes 1.65 m @ 12.75 gpt Au); 1.45 m @ 6.87 gpt Au (including 0.35 m @ 18.95 gpt Au); 5.40 m @ 5.68 gpt Au (including 3.65 m @ 8.18 gpt Au); 0.75 m @ 9.55 gpt Au; 1.8 m @ 4.06 gpt Au. Reyna Silver is doing more exploration work to define the extent of gold rich versus silver rich mineralization, and their relationship.
  • Aztec Minerals Corp. and JV partner Kootenay finished the phase 2 reverse circulation program with 26 holes totaling 4,649 m at Cervantes, in Sonora. Highlighted hole length intervals comprise 88.41 m @ 1.10 gpt Au (including 15.24 m @ 3.96 gpt Au); 108.2 m @ 0.37 gpt Au; 45.7 m @ 0.45 gpt Au, 167.20 m @ 1.00 gpt Au, (including 24.4 m @ 4.25 gpt Au); 136.8 m @ 1.49 gpt Au (including 51.68 m @ 3.42 gpt Au); 100.32 m @ 0.75 gpt Au; 12.2 m @ 0.92 gpt Au; 7.6 m @ 0.68 gpt Au; 54.72 m @ 0.88 gpt Au; 7.6 m @ 0.74 gpt Au; 86.64 m @ 0.50 gpt Au; 138.32 m @ 0.53 gpt Au; 132.2 m @ 0.43 gpt Au; 9.1 m @ 0.46 gpt Au; 152.4 m @ 0.97 gpt Au (including 33.5 m @ 2.05 gpt Au); 54.9 m @ 0.48 gpt Au.  The focus of the program was to “better define the open pit, heap leach gold potential of the porphyry oxide cap at California, evaluate the potential for deeper copper-gold porphyry sulfide mineralization underlying the oxide cap, test for north and west extensions of the California mineralization at California North and Jasper, and assess the breccia potential of Purisima East”.
  • Infinitum Copper Corp. released trenching results from La Adelita project in Sonora-Sinaloa. Trench 2 returned a true thickness of 9.15 m @ 16.45 gpt Au, 1.90% Cu, 3 gpt Ag. Three magneto-telluric lines have been completed at Las Trancas, with interpreted results pending. Surface samples from Andalucia and Cerro Potreritos have returned up to 5.49 gpt Au, 1.34% Cu, 139 gpt Ag. “Additional surface sampling at Pericos confirmed the presence of skarn mineralization on the west limb of the Cerro Grande anticline, 800 m to the west of the Cerro Grande zone” with samples up to 1.38% Cu, 77 gpt Ag, 1.31 gpt Au.
  • Defiance Silver Corp. informed in the completed 4,750 m drill program at the 2,674 ha Lucita property, on Defiance’s Zacatecas project in Zacatecas. This is the first drilling in the central Lucita asset currently under option from Pan American Silver Corp.. Highlighted core length intervals comprise 3.33 m @ 0.06 gpt Au, 709 gpt Ag (including 1.15 m @ 0.11 gpt Au, 1,604 gpt Ag); 0.94 m @ 0.11 gpt Au, 107 gpt Ag; 2.73 m @ 0.16 gpt Au, 102 gpt Ag; 3.48 m @ 514 gpt Ag (including 1.9 m @ 940 gpt Ag); 1.05 m @ 0.19 gpt Au, 317 gpt Ag; 4.09 m @ 0.10 gpt Au, 137 gpt Ag (including 0.6 m @ 0.28 gpt Au, 618 gpt Ag); 1.51 m @ 0.76 gpt Au, 192 gpt Ag. “The dominant silver mineralization consists of pyrargyrite-proustite, acanthite, and argentite hosted in polyphase quartz and calcite veins, breccias, and stockwork veinlet zones”.

ON MINING

  • Endeavour Silver Corp. reported first quarter 2022 production. At Guanceví, in Durango, 101.2 K tonnes were produced at 1,125 tonnes per day (tpd) grading 407 gpt Ag, 1.19 gpt Au, recovering 85.6% Ag, 89.8% Au to produce 1.13 M Oz Ag, 3,477 Oz Au. At Bolañitos, in Guanajuato, 104.9 K tonnes were produced @ 61 gpt Ag, 1.73 gpt Au, recovering 85.9% Ag, 89.6% Au to produce 181.1 K Oz Ag, 5,218 Oz Au.
  • Fortuna Silver Mines Inc. released production results for the first quarter 2022, including figures from its operations in Mexico. In San Jose, in Oaxaca, 250.9 K tonnes were milled at a rate of 2,918 tpd, grading 185 gpt Ag, 1.13 gpt Au, recovering 91% Ag, 90% Au to recover 1.36 M Oz Ag, 8,239 Oz Au.
  • Avino Silver & Gold Mines Ltd. reported first quarter 2022 production results. At Avino, in Durango, 111.1 K tonnes were milled, averaging 50 gpt Ag, 0.29 gpt Au, 0.56% Cu, recovering 92% Ag, 77% Au, 89% Cu, to produce 164.4 K Oz Ag, 801 Oz Au, 1.22 M Lb Cu (457.8 K Oz AgEq). During the quarter the acquisition of La Preciosa project was completed, and drill results from La Potosina of up to 2.95 m @ 668 gpt AgEq were released. “Avino is completing its conversion to dry stack tailings”.
  • Golden Minerals Co. reported production for the first quarter 2022. At Rodeo, in Durango, 203.6 K tonnes were mined, 10.9 K tonnes stockpiled awaiting process, 88.6 K tonnes in low grade stockpiles 47.4 K tonnes processed at a rate of 527 tpd, grading 3.1 gpt Au, 11.6 gpt Ag, recovering 75.4% Au, 82.8% Ag, to produce 3,608 Oz Au, 13.9 K Oz Ag (3,787 Oz AuEq).
  • Great Panther Mining Ltd. reported production first quarter 2022 results, including figures from its Mexican operations. At Topia, in Durango, 16.3 K tonnes were mined, 16.2 K tonnes milled, averaging 362 gpt Ag, 0.84 gpt Au, recovering 92% Ag, 64% Au, to produce 173.7 K Oz Ag, 282 Oz Au, 365 tonnes Pb, 525 tonnes Zn (3,876 Oz Au Eq). The Guanajuato Mine Complex is currently in care and maintenance, while waiting for the CONAGUA (water use authority) tailings dam permit.
  • Torex Gold Resources Inc. released production results for Q1 2022. At its Limon-Guajes mine in Guerrero, 12,600 tpd were processed, 1,260 tpd mined from underground, 11,780 tpd mined by open pit, to produce 112,440 Oz Au during the period.  

ON FINANCING

  • No Relevant News.

ON RESOURCES AND DEVELOPMENT

  • Prime Mining Corp. released drill results for 26 holes at its Los Reyes project in Sinaloa. A second high-grade ore shoot and the deepest mineralization to date was identified in Guadalupe East, with bonanza-grades found in 550 m step out from the inferred open pit boundary. True width highlighted results comprise 4.0 m @ 52.0 gpt Au, 1,008 gpt Ag; 0.6 m @ 7.62 gpt Au, 1,970 gpt Ag; 18.3 m @ 1.38 gpt Au, 39 gpt Ag; 14.1 m @ 1.12 gpt Au, 38 gpt Ag; 2.5 m @ 4.09 gpt Au, 103 gpt Ag; 7.5 m @ 1.47 gpt Au, 40 gpt Ag; 1.9 m @ 3.72 gpt Au, 370 gpt Ag; 1.0 m @ 1.57 gpt Au; 0.6 m @ 1.19 gpt Au, 9 gpt Ag; 2.8 m @ 1.38 gpt Au, 63 gpt Ag.
  • Silver Tiger Metals Inc. provided drilling results from its El Tigre project in Sonora. The seven drill holes targeted down dip under El Tigre historic workings at the North end, highlighted core-length intervals comprise 27.8 m @ 0.08 gpt Au, 18 gpt Ag; 1.0 m @ 0.09 gpt Au, 158 gpt Ag; 26 m @ 0.06 gpt Au, 25 gpt Ag; 2.1 m @ 0.23 gpt Au, 250 gpt Ag; 10.2 m @ 1.63 gpt Au, 6 gpt Ag (including 1.5 m @ 10.7 gpt Au, 23 gpt Ag); 1.2 m @ 0.04 gpt Au, 104 gpt Ag; 0.5 m @ 1.69 gpt Au, 101 gpt Ag; 23.8 m @ 0.19 gpt Au, 95 gpt Ag (including 2.3 m @ 0.94 gpt Au, 542 gpt Ag); 0.5 m @ 2.21 gpt Au, 1,200 gpt Ag. Underground rehabilitation is progressing at the historic El Tigre mine, with 215 m completed to date.
  • Silverton Metals Corp. released results from its step-out reverse circulation drilling at Peñasco Quemado, in Sonora. Highlighted hole-length intervals comprise 6.75 m @ 0.10 gpt Au, 46 gpt Ag; 1.00 m @ 75 gpt Ag, 0.37% Cu; 0.97 m @ 69 gpt Ag, 0.42% Cu; 5.10 m @ 27 gpt Ag; 11.30 m @ 54 gpt Ag (including 0.95 m @ 438 gpt Ag, 0.62% Cu); 3.74 m @ 47 gpt Ag; 11.85 m @ 17 gpt Ag; 19.70 m @ 27 gpt Ag; 5.30 m @ 46 gpt Ag; 54.10 m @ 23 gpt Ag; 6.45 m @ 73 gpt Ag; 7.45 m @ 26 gpt Ag; 10.30 m @ 31 gpt Ag; 5.60 m @ 42 gpt Ag. A total of 2,105 meters were drilled in nine holes.
  • Vizsla Silver Corp. reported results for 19 holes targeting the Animas vein corridor at its Panuco project in Sinaloa. Highlighted true width intercepts comprise 5.84 m @ 39 gpt Ag, 0.48 gpt Au, 0.2% Pb, 1.9% Zn; 3.09 m @ 84 gpt Ag, 1.30 gpt Au, 0.2% Pb, 0.3% Zn; 5.25 m @ 85 gpt Ag, 0.50 gpt Au; 1.14 m @ 121 gpt Ag, 2.21 gpt Au, 1.9% Pb, 3.2% Zn; 4.71 m @ 391 gpt Ag, 2.23 gpt Au, 1.5% Pb, 1.1% Zn; 7.13 m @ 39 gpt Ag, 1.16 gpt Au, 0.1% Pb, 0.8% Zn; 4.62 m @ 29 gpt Ag, 1.24 gpt Au, 0.2% Zn; 1.10 m @ 195 gpt Ag, 1.17 gpt Au; 5.66 m @ 124 gpt Ag, 0.98 gpt Au, 0.4% Pb, 1.3% Zn; 1.14 m @ 312 gpt Ag, 1.23 gpt Au, 0.1% Pb, 0.2% Zn; 1.00 m @ 622 gpt Ag, 2.75 gpt Au; 1.26 m @ 787 gpt Ag, 3.65 gpt Au, 0.2% Zn. Highlighted core length intervals comprise 2.40 m @ 959 gpt Ag, 5.97 gpt Au; 2.10 m @ 486 gpt Ag, 2.68 gpt Au; 0.95 m @ 113 gpt Ag, 4.85 gpt Au, 0.1% Pb, 0.3% Zn.
  • Endeavour Silver Corp. informed on high-grade underground drill results from El Curso property at its Guanceví mine in Durango. Highlighted true width results from the underground program comprise 2.09 m @ 0.92 gpt Au, 296 gpt Ag; 4.22 m @ 0.93 gpt Au, 428 gpt Ag; 7.26 m @ 0.84 gpt Au, 324 gpt Ag; 7.23 m @ 0.63 gpt Au, 323 gpt Ag; 1.34 m @ 1.30 gpt Au, 498 gpt Ag; 4.18 m @ 2.63 gpt Au, 857 gpt Ag; 7.46 m @ 5.83 gpt Au, 2,067 gpt Ag (including 0.47 m @ 56.50 gpt Au, 22,562 gpt Ag); 7.57 m @ 1.89 gpt Au, 975 gpt Ag; 6.26 m @ 0.60 gpt Au, 354 gpt Ag; 1.80 m @ 1.33 gpt Au, 814 gpt Ag; 13.12 m @ 0.74 gpt Au, 214 gpt Ag; 7.99 m @ 1.52 gpt Au, 262 gpt Ag; 1.87 m @ 2.36 gpt Au, 807 gpt Ag. El Curso property, covers the Santa Cruz vein “between Endeavour’s previously mined Porvenir Cuatro orebody and the Milache orebody currently being mined”.
  • Fabled Silver Gold Corp. is currently planning the phase 2 diamond drill program at Santa Maria, in Chihuahua. The Santa Maria veins were found in phase 1 drilling to be “mineralized breccias at the contacts or within diorite dikes”, which has led to the definition of five mineral/structural trends to pursue.
  • SilverCrest Metals Inc. announced results from drilling at El Picacho property in Sonora. This release covers 56,780 m in 247 holes (of a total to date of 68,200 m in 289 holes by SilverCrest). The focus of this campaign was to redefine and expand the Picacho Main vein historical resource of 364.4 K tonnes @ 8.54 gpt Au, 40 gpt Ag, containing 100 K Oz Au, 473 K Oz Ag defined in 2010 with only 14 holes and underground workings. The Picacho Main vein is 550 m long, 300 min depth, with an estimated true width of 2.4 m @ 5.42 gpt Au, 24 gpt Ag (Best tw intercept: 3.7 m @ 20.86 gpt Au, 73 gpt Ag); The Picacho Hanging Wall vein is 500 m long, 200 m in depth, 1.5 m in width @ 4.38 gpt Au, 38 gpt Ag (Best tw intercept: 1.3 m @ 42.3 gpt Au, 542 gpt Ag); The Picacho Hanging Wall 2 vein is 200 m long, 135 m in depth, 0.8 m in width @ 6.32 gpt Au, 46 gpt Ag (Best tw intercept: 2.8 m @ 11.9 gpt Au, 21 gpt Ag); The Picacho Hanging Wall 3 vein is 80 m long, 100 m in depth, 0.5 m in width @ 8.7 gpt Au, 450 gpt Ag (Best tw intercept: 0.8 m @ 10.71 gpt Au, 7 gpt Ag); The Picacho Footwall vein is 100 m long, 175 m in depth, 1.3 m in width @ 9.45 gpt Au, 16.1 gpt Ag (Best tw intercept: 1.7 m @ 37.09 gpt Au, 32 gpt Ag).  

ON DEALS AND CORPORATE ISSUES

  • Galore Resources Inc. entered into an exploitation agreement between Oztoc Metal Corp. S. de R.L. de C.V. to reengage the mining activities that the previous tenant, URBYASA was conducting at the Duraznillo ranch in Zacatecas. The five-year contract includes the Los Gemelos I and Duende 7 mining concessions. Galore will receive 30% of gross revenues and OZTOC is to keep 70% for development, production and profit from the Duraznillo mine.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Banded quartz-barite vein in the Sonoran desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fifth Week of March, 2022

By Jorge Cirett

During the 13th week of the year (March 28th to April 3rd, 2022), at least 32 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their properties, three released quarterly and full year 2021 reports, one informed on the end of a strike and one declared commercial production. One announced the granting of stock options, three updated on project work, three reported drill results on their advanced properties, two released new resource estimates. ON MEXICO ISSUES, three of the top eight silver intercepts on the fifth week of March were obtained by companies working in Mexico. For the quarter, four of the top ten silver intercepts were from projects in Mexico. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Infinitum Copper commenced drilling at Adelita; Silver Spruce had the preventive report approved for drilling at Jackie. In Zacatecas, Galore Resources informed on drilling at Dos Santos project. In Nayarit, Sierra Madre Gold and Silver released additional trenching results at La Tigra. ON MINING, SilverCrest Metals, Excellon Resources and Mag Silver released quarterly and full year 2021 reports. Excellon Resources informed the strike on its Platosa mine in Durango was terminated. Orla Mining initiated commercial production at Camino Rojo, in Zacatecas. ON FINANCING, Inomin Mines granted stock options to director and a contractor.  ON RESOURCES AND DEVELOPMENT, Mexus Gold informed partner company Irmex is modelling the Mabel deposit in Sonora. Solaris Resources is preparing exploration work at La Verde, in Michoacan. Vizsla Silver reported drill results at Panuco, in Sinaloa. Prime Mining delivered drill results from Los Reyes, in Sinaloa. Discovery Silver released results from 17 holes at Cordero, Chihuahua. Torex Gold presented results of the updated technical report on the Morelos Complex in Guerrero. First Majestic Silver presented 2021 resource estimates for its properties. Silver Valley Metals updated on its potassium-lithium salars in Zacatecas and San Luis Potosi. ON DEALS AND CORPORATE ISSUES, Tamino Minerals is triggering a securities fraud probe. Huntington Exploration acquired the El Grande project in Nayarit. Xali Gold ratified the agreement on the tailings with El Oro Municipality in Estado de Mexico. Prime Meridian Resource updated on the purchase of La Verde project in Sonora.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Of the top eight silver intersects released on the fifth week of March, three were by companies working in Mexico, according to Miner Deck. Discovery Silver was first with 45.6 m @ 125 gpt Ag at Cordero in Chihuahua, Vizsla Silver was sixth 2.75 m @ 322 gpt Ag at Panuco, in Sinaloa, and Prime Mining was eighth with 42.7 m @ 43 gpt Ag at Los Reyes, in Sinaloa.
  • According to Miner Deck, of the top ten silver intersects released on Q1 2022, four were by companies working in Mexico. Pan American Silver was fourth with 322.9 m @ 64 gpt Ag at La Colorada Skarn in Zacatecas, GoGold Resources was fifth with 25.7 m @ 776 gpt Ag at Los Ricos, in Jalisco; Silver Tiger was eight with 25.9 m @ 687 gpt Ag at El Tigre, in Sonora and Radius Gold was tenth with 96 m @ 167 gpt Ag at Amalia, in Chihuahua.

ON EXPLORATION

  • Sierra Madre Gold and Silver Ltd. announced additional results from the ongoing trenching program at La Tigra, in Nayarit. Highlighted intervals comprise 6.1 m @ 0.98 gpt Au; 24.2 m @ 1.59 gpt Au (including 4.7 m @ 5.58 gpt Au); 22.9 m @ 1.78 gpt Au, 6 gpt Ag; 6.6 m @ 3.42 gpt Au.
  • Galore Resources Inc. provided a drilling update of Los Gemelos, at its Dos Santos project in Zacatecas. Three holes have been finished on the San José area, showing recrystallized limestone, dikes and sills of intermediate composition with phyllic and argillic alteration, multiple bodies with hydroxides, hematite, calcite, and local sulfides and quartz, and hydrothermal breccia cemented by calcite and iron oxides. ”The mineralization is repetitive that is concentrated as veins, veins and stratabound bodies, hosted between the carbonate marine sedimentary sequence and the cupula of an unexhumed pluton….”.
  • Tocvan Ventures Corp. provided results for the three first holes of the phase III drilling campaign at Pilar, in Sonora. Highlighted drill-length intervals comprise 33.3 m @ 0.63 gpt Au (including 21.7 m @ 0.94 gpt Au) and 5.5 m @ 0.64 gpt Au, 10 gpt Ag in core holes and 6.1 m @ 0.51 gpt Au, 8 gpt Ag in a reverse circulation hole.
  • Infinitum Copper Corp. commenced diamond drilling at La Adelita project in Sonora and Sinaloa. The program envisages a total of 9,000 m of drilling in two phases, with phase I consisting of 3,000 m targeting areas within and adjacent to the existing mineralized zones, and some drilling on new zones like Cerro Grande footwall, Pericos and Las Trancas Sur. A magneto-telluric geophysical is underway, and is expected to aid in targeting.
  • Silver Spruce Resources Inc. informed the approval by SEMARNAT (environmental agency) of the preventive report for the 1,130 hectares Jackie project in Sonora. “Exploration plans were submitted for a 500-1,000-metre trenching program followed by an initial 1,000-2,000-metre reverse circulation drill program”.

ON MINING

  • SilverCrest Metals Inc. reported the financial results for the year 2021. At the end of the year construction progress at Las Chispas in Sonora was 86.2%, slightly ahead of schedule. Since 2019 over 17.5 km of underground development has been completed at Las Chispas, and during last year 114,143 m of drilling were completed, mostly as infill holes. At El Picacho, 40 km north of Las Chispas, 80,700 m of drilling were completed in 2021. At the end of the period the SilverCrest held cash and cash equivalents of $176.5 M, and $30 M remaining under a $120 M financing facility.
  • Excellon Resources Inc. posted financial results for Q4 and full year 2021. During the year, 85.5 K tonnes were mined, 86.0 K tonnes milled @ 494 gpt Ag, 5.01% Pb, 6.03% Zn, recovering 90.5% Ag, 78.5% Pb, 83.7% Zn, to produce 1.22 M Oz Ag, 7.61 M Lb Pb, 9.01 M Lb Zn (2.02 M Oz AgEq). Cash cost was $13.01 per Oz Ag and AISC $26.78 per Ag Oz. “current mining is entering an area of the deposit that steepens significantly, with fewer vertical-tonnes-per-metre than historically encountered…. the Company currently expects to wind down operations at Platosa during Q3 2022, subject to results from ongoing exploration programs” (Note by editor.- Although high-grade, Platosa seems to be at the end of its mine life due to a combination of deeper ores and high de-watering costs).
  • Excellon Resources Inc. announced on April 1, 2022 the resolution of the labor action initiated on March 7 by the Sindicato Nacional Minero Metalúrgico (Miner’s Union) at its Platosa mine in Durango.
  • Mag Silver Corp. presented its financial results for year 2021. The 4,000 tpd Juanicipio (56% Fresnillo PLC, 44% Mag Silver) plant was delivered to plant commissioning late in Q4, but due to regulatory approval commissioning was extended to Q2 2022. It is expected the plant to be working 85% to 90% of capacity by late 2022. Processing of mineralized headings from Juanicipio continues at the nearby Fresnillo plant and has begun to be processed at the Saucito facilities; Processing rates have increased from 38 K tonnes per month in Q4 to 45 K tonnes on the first two months of 2022. During 2021, 251.9 K tonnes from Juanicipio were processed, averaging 470 gpt Ag, to produce 2.97 M Oz Ag, 5,975 Oz Au, 1,065 tonnes Pb, 1,519 tonnes Zn. According to Juanicipio operator, Fresnillo PLC, the project construction is expected to be delivered on budget at $440 M. As of end of 2021 Mag held cash of $56.7 M.
  • Orla Mining Ltd. declared commercial production at the Camino Rojo Oxide mine in Zacatecas. “The declaration of commercial production at Camino Rojo comes after a successful commissioning period which included the ramp up of mining and processing to sustained throughput levels in excess of 75% of designed nameplate capacity of 18,000 tonnes per day”.

ON FINANCING

  • Inomin Mines Inc. informed 350 K stock options were granted to director and a contractor of the company (La Gitana, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Mexus Gold US. informed that its partner at the Mabel project in Sonora, Irmex, “has been working on modelizing the Mexus data including the 611 core and RC holes previously carried out by Pacific Comox before acquisition by Mexus Gold”. To date Irmex has calculated a volume of 184.4 K tonnes @ 1.15 gpt Au, 76 gpt Ag, but work continues to increase the resource. Signature of the definitive agreement is planned for late April 2022.
  • Solaris Resources Inc. is planning more exploration work to advance its La Verde project (60% Solaris, 40% Teck) in Michoacan. The work envisaged includes the possible extensions of higher-grade ore. A spin-off company, Solaris Exploration, probably will continue with the work on La Verde, while Solaris Resources focus in Ecuador.
  • Vizsla Silver Corp. reported results from 53 holes on the Napoleon vein corridor at Panuco, in Sinaloa. The mineralized zone has been extended 350 m, which takes the total length of the corridor to 2,500 m. Highlighted true-width intervals comprise 4.00 m @ 55 gpt Ag, 20.38 gpt Au, 0.2% Pb, 3.0% Zn and 9.42 m @ 85 gpt Ag, 2.73 gpt Au, 0.9% Pb, 4.1% Zn (including 2.17 m @ 85 gpt Ag, 7.91 gpt Au, 1.2% Pb, 7.4% Zn) on the Napoleon vein, 2.7 m @ 746 gpt Ag, 6.27 gpt Au, 0.7% Pb, 2.9% Zn on the Napoleon hanging wall vein and 0.47 m @ 17 gpt Ag, 60.5 gpt Au, 0.4% Pb, 1.4% Zn at the Josephine vein.
  • Prime Mining Corp. released results from the phase II drill program on El Zapote Sur, one of eight ore deposits, at its Los Reyes project in Sinaloa. Highlighted true-width intervals comprise 27.4 m @ 2.38 gpt Au, 43 gpt Ag; 5.8 m @ 7.75 gpt Au, 57 gpt Ag; 3.9 m @ 2.68 gpt Au, 15 gpt Ag; 5.6 m @ 2.91 gpt Au, 41 gpt Ag; 4.3 m @ 2.73 gpt Au, 23 gpt Ag; 8.8 m @ 1.49 gpt Au, 20 gpt Ag; 2.3 m @ 7.10 gpt Au, 20 gpt Ag; 5.3 m @ 1.92 gpt Au, 42 gpt Ag; 18.2 m @ 1.09 gpt Au, 32 gpt Ag. Currently nine rigs are operating at Los Reyes, having completed 30,000 m (in 106 holes) of the planned 50,000 m program. “Mineralization at Zapote South consists primarily of white to grey crystalline to chalcedonic quartz, quartz breccia and stockwork ….. fault structures within or along the margins of rhyolite dykes …… Quartz is massive to crustiform, locally displaying colliform to bladed replacement textures. Higher-grade intervals are marked by finely banded green adularia”.
  • Discovery Silver Corp. informed on results from 17 holes from the phase 2 drilling program at Cordero, in Chihuahua. Highlighted core-length intervals comprise 45.6 m @ 125 gpt Ag, 0.54 gpt Au, 2.0% Pb, 2.7% Zn (328 gpt AgEq); 177.4 m @ 27 gpt Ag, 0.03 gpt Au, 0.1% Pb, 1.1% Zn (74 gpt AgEq); 44.5 m @ 20 gpt Ag, 0.03 gpt Au, 0.1% Pb, 2.2% Zn (106 gpt AgEq) outside the current resource, 38.6 m @ 91 gpt Ag, 0.11 gpt Au, 1.3% Pb, 1.3% Zn (189 gpt AgEq) beneath the PEA pit and 32.3 m @ 70 gpt Ag, 0.12 gpt Au, 0.8% Pb, 1.0% Zn (142 gpt AgEq); 17.7 m @ 68 gpt Au, 0.03 gpt Au, 0.3% Pb, 0.4% Zn on the margins of the PEA pit. “This current set of results was predominantly targeting the expansion of the open pit and the resource in the northeast of the deposit”.
  • Torex Gold Resources Inc. presented the results of the updated technical report on its Morelos Complex in Guerrero. The Morelos Complex has a baseline cumulative cash flow of $1,418 M and after-tax (NPV 5%) of $1,040 M, while the Media Luna (ML) projects presents an after-tax NPV(5%) of $458 M. Life of mine (LOM) estimated at 11.5 years, commencing in April 2022, with an annualized production of 374 K Oz AuEq at total cash cost $809 per Oz AuEq and AISC of $954 per Oz AuEq. Total mineral reserves of 5.123 M Oz AuEq @ 3.90 gpt AuEq.
  • First Majestic Silver Corp. announced its 2021 mineral reserve and mineral resource estimates for the company’s properties, including figures from its operations in Mexico. In its three Mexican mines (San Dimas in Durango, Santa Elena/Ermitaño in Sonora and La Encantada in Coahuila), the company holds 63 M Oz Ag, 879 K Oz Au in the proven and probable categories (included in resources), as well as 111 M Oz Ag, 1.28 M Oz Au in the measured and indicated resource categories and 75 M Oz Ag, 829 K Oz Au in the inferred resource category.
  • Silver Valley Metals Corp. updated on its potassium-lithium salars in Zacatecas and San Luis Potosi. “it is in advanced discussions and under NDA’s with several well financed and highly technical groups ……… All options remain open for the Company, including a direct investment into the Company itself and the Company moving the project forward, to a joint venture, to a spin out of the asset, to a buy-out of the entire asset”. The inferred resource on the properties comprise 243 K tonnes of lithium carbonate equivalent and 12.3 M tonnes of sulphate potash in 120 M tonnes @ 4.6% K, 380 ppm Li.

ON DEALS AND CORPORATE ISSUES

  • Tamino Minerals Inc. informed it is planning to trigger a Securities Fraud Probe against whomever results responsible of highly unusual “market activity witnessed during the last several months” (El Volcan, Sonora).
  • Huntington Exploration Inc. completed the acquisition of Lago de Oro S.A. de C.V. and its 550 square km El Grande gold project in Nayarit. A definitive agreement was reached to purchase all shares of the holding company for a cash payment of US$500 K, issuing 4 M shares of the company, a 2% NSR to the vendor and milestone payments on resources above 500 K Oz Au backed by NI-43-101 technical reports, capped at 20 M shares.
  • Xali Gold Corp. announced the ratification of the tailings and tourism agreements with the El Oro Municipality on El Oro tailings project in Estado de Mexico. “Renewing the Tailings Agreement is the final item required for Sun River Gold Corp (“Sun River”), who have the option to acquire 100% of the Tailings Project from Xali’s subsidiary…. The Tailings Agreement provides Xali Gold with the right to recover all available gold and silver from the tailings deposit and pay to the Municipality of El Oro an 8% Net Profits Interest”.
  • Prime Meridian Resources Corp. updated on the option to purchase La Verde project in Sonora. Prime Meridian (PMR) formed the Mexican subsidiary Sonoran Copper, S.A. de C.V. and reserved the new company’s new name Sonoran Desert Corporation. PMR has to make a US$200 K payment on Exchange approval, and a further US$200 K payment on late February 2023. Also, Cdn$3.75 M in shares of PMR prior to the first anniversary, and Cdn$2.5 M of PMR shares on the second anniversary. A 2% NSR on production from skarn mineralization will be retained by the vendor, and a 2% NSR on production from porphyry mineralization, with PMR having the right to buy 1% for US$1 M.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Epidote bearing porphyritic rock from a project in the Sonoran desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of March, 2022. 

Sheetd quartz veins

By Miguel A Heredia

During the 12th week of the year (March 21st to March 27th, 2022), at least 28 press releases were announced by companies working in Mexico, with eight disclosing deals and corporate issues, seven reporting resources and developments of their properties, seven informing on exploration results, four communicating production and financial results, and two announcing financial issues,   ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Infinitum Copper commenced a geophysical survey at its Adelita project, Tocvan completed 1,540m of its phase III drilling program at its Pilar project and provided an update on its Picachos project, the Aztec Minerals-Kootenay JV released results from the ongoing 2022 RC program on its Cervantes project, and Benjamin Hill announced results of the recently completed induce polarization survey and provided an update on the ongoing drill program at its Sonora project. In Chihuahua, Radius announced drill results from its ongoing drilling program at its Amalia project. In Coahuila, Monumental announced that it will be visiting its Jemi heavy rare earth element property during the month of May. ON MINING, Fortuna Silver reported Q4 and full year 2021 production results from its San Jose Mine in Oaxaca. Golden Minerals announced full year 2021 financial results and provided a 2022 forecast for its Rodeo production in Durango. Impact Silver reported full year 2021 production and financial results from its Zacualpan mining district in the State of México. SilverCrest presented full year 2021 financial results. ON FINANCING, Endeavour closed a bought deal financing for gross proceeds of USD $46M, including the exercise of the over-allotment option in full (Pitarrilla project, Durango). Zacatecas Silver announced the closing of a $19.15M offering of subscription receipts (Esperanza Gold project, Morelos) ON RESOURCES AND DEVELOPMENT, Zacatecas Silver received the approval from the Mexican Federal Environmental Permitting Agency (SEMARNAT) for 27 new drill pads at its Panuco project, Zacatecas. Silver Tiger reported results from its ongoing drill program from its El Tigre project in Sonora. Torex announced it will release an updated technical report for the Morelos Complex by March 31, 2022. Silver Dollar reported results from the drilling program recently completed at its La Joya project in Durango. Golden Minerals completed technical reports for their Rodeo and Velardeña properties in Durango, including updated mineral resources. Golden Tag released results from 2 holes drilled at its San Diego project in Durango. ON DEALS AND CORPORATE ISSUES, Guanajuato Silver announced the appointment of Ramón Dávila to the position of President (Cubo and Pinguico projects, Guanajuato). Avino closed the acquisition of La Preciosa project in Durango with Coeur Mining. Aztec Minerals informed that its common shares traded in USA under the symbol AZZTF are now Depository Trust Company (Cervantes project, Sonora). Gold Resource announced its 2022 annual meeting of shareholders (Don David Gold Mine, Oaxaca). Magna entered into an amending agreement with Peal de México on the acquisition of the San Francisco mine, Sonora. Tarachi announced the appointment of its VP of Operation, and signed a new land and water rights agreement with the local Magistral Ejido Community (Magistral Tailings project, Durango). Bear Creek provided an update on the acquisition of Mercedes mine in Sonora. GoGold reported results of six holes from its Los Ricos North project in Jalisco.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • No relevant news.

ON EXPLORATION

  • Infinitum Copper Corp., commenced a magneto-telluric geophysical survey at its Adelita project in Sonora. It will consist of 10 lines totaling 14.8km and is expected to be completed in three weeks.
  • Tocvan Ventures Corp., completed nine holes for a total of 1,540m of its phase III drilling program at its Pilar project in Sonora, looking to expand the Main Zone. All samples have been submitted to lab and results will be released once they are available. At Picachos project, the company is doing site visits to determine the best use of exploration funds in the near term. Currently, Tocvan has already obtained drill and trenching fully permits for 15km and 2km respectively. Drilling will take place once assessment of key target areas by mapping, geochemistry and geophysics are complete.
  • The Aztec Minerals Corp –Kootenay Silver Inc JV released results from the ongoing 2022 RC program on its Cervantes project in Sonora. Drilling highlights include hole CAL22-008 with 0.88 g/t Au over 54.72m, including 1.96 g/t Au over 13.72m, plus 0.74 g/t Au over 7.6m; hole CAL22-009 with 0.5 g/t Au over 86.64m; and hole CAL22-010 with 0.53 g/t Au over 138.82m, including 1.62 g/t Au over 10.67m. The Aztec-Kootenay JV has now completed its Phase 2 RC program with 26 holes for a total of 4,649m drilled. “It covers an area now measuring approximately 900m long by 250 to 500m wide, with demonstrated, continuous mineralization up to 265 metres depth vertically. The porphyry gold-copper mineralization is still open in all directions”. 
  • Benjamin Hill Mining Corp., announced results of the recently completed induce polarization (IP) survey and provided an update on the ongoing drill program at its Sonora project in Sonora. The IP survey consisted of eight lines for a total of 11,200m over known zones of mineralization. Multiple geophysical anomalies were detected including seven high chargeability and six medium chargeability anomalies, and three high priority resistivity anomalies, and one medium priority resistivity anomaly. “The affinity of the geophysical anomalies with positive surface sampling results has provided the geological team with prime drill targets in each exploration area”. On the other hand, the company has completed 13 of the planned 32 holes for a total of 3,310.85m out of the 8,500m planned. Assays are still pending.
  • Radius Gold Inc., announced drill results from its ongoing drilling program on El Cuervo target at its Amalia project in Chihuahua. Drilling highlights include hole AMDD21-49 with 144 g/t Ag and 0.92 g/t Au over a true width (TW) of 15.3m, including 190 g/t Ag and 1.01 g/t Au over a TW of 9.1m, including 469 g/t Ag and 0.97 g/t Au over a TW of 0.9m, including 483 g/t Ag and 3.94 g/t Au over a TW of 1m; and hole AMDD21-48 with 116 g/t Ag and 1.39 g/t Au over a TW of 1.5m, plus 32 g/t Ag and 0.56 g/t Au over a TW of 1.3m, plus 77 g/t Ag and 0.61 g/t Au over a TW of 6.1m, including 125 g/t Ag and 0.68 g/t Au over a TW of 2.1m, and 54 g/t Ag and 0.34 g/t Au over a TW of 36.6m, including 84 g/t Ag and 0.75 g/t Au over a TW of 10.1m, including 139 g/t Ag and 4.02 g/t Au over a TW of 1.65m.
  • Monumental Minerals Corp., announced that it will be visiting its Jemi heavy rare earth element property during the month of May to field review airborne radiometric and magnetic geophysical features that relate to peralkaline rocks and associated ore-grade concentrations of rare earth elements, with the aim of defining drill targets.

ON MINING

  • Fortuna Silver Mines Inc., reported Q4 and full year 2021 production results from its San Jose Mine in Oaxaca. In Q4, 2021 the company milled 262,282 tonnes of 219 g/t Ag and 1.27 g/t Au with metallurgical recoveries of 93% and 92% respectively, to produce 1.72 M Oz Ag and 9.9K Oz Au. It sold 1.73M Oz Ag and 9,983 Oz Au at a realized price of USD $23.35 per Oz Ag and USD $1,797 per Oz Au. Fortuna reported a cash and all in sustaining cost (AISC) of USD $9.15 and USD $14.52 per Oz AgEq respectively, and a net smelting royalty (NSR) of USD $207.57 per tonne. For the full year 2021, the company reported that it milled 1,041,154 tonnes of 209 g/t Ag and 1.29 g/t Au with metallurgical recoveries of 92% and 91% respectively, to produce 6.62M Oz Ag and 39.4K Oz Au. Fortuna sold 6.43M Oz Ag and 34.4K Oz Au at a realized price of USD $25.15 per Oz Ag and USD $1,798 per Oz Au. The company reported a cash and AISC of USD $9.30 and USD $14.38 per Oz AgEq respectively, and a NSR of USD $210.95 per tonne.
  • Golden Minerals Company announced full year 2021 production and financial results and provided a 2022 forecast for its Rodeo production in Durango. The company processed from Rodeo mine, Durango the amount of 149K tonnes of 4.1g/t Au and 12 g/t Ag with metallurgical recoveries of 75% and 90% respectively to produce 14.4K Oz Au and 59.9K Oz Ag at a cash cost of USD $937 per payable Oz Au. In addition, Golden reported revenues of USD $25.6M, a net operating margin of USD $12.3M, a cost of metals sold of USD $13.3M, cash and equivalents balance of USD $12.2M and a cash inflow of USD $16.6M. The company also provided a 2022 forecast for its Rodeo mine. It expects to process between 175K-180K tonnes of 2.9g/t Au and 9 g/t Ag, with metallurgical recoveries of approximately 80% for both Au and Ag to produce between 12K-14K Oz Au and 42K-47K Oz Ag at a cash cost of USD $1,100-USD$ 1,200 per Oz Au.
  • Impact Silver Corp., reported full year 2021 production and financial results from its Zacualpan mining district in the State of México. The company milled 145,458 tonnes of 172 g/t Ag to produce 617.7K Oz Ag. It sold 633.9K Oz Ag. Impact reported revenue of $17.7M, a mine operating earnings before amortization and depreciation of $4.7M,  earnings before interests, taxes, depreciation and amortization of $1.5M, cash flow from operations of $3M, cash position of $21.1M, and working capital of $21.5M.
  • SilverCrest Metals Inc., presented full year 2021 financial results. The company reported cash and cash equivalents for USD $176.5M and USD $30M remains under a USD $120M project financing facility. It also reported a cash inflow offset by USD $32.9M. During 2021, SilverCrest committed 7.2% (USD $103.6M) of the USD $137.7M feasibility study capital cost estimate. Of the remaining capital to be incurred in 2022, 20.7% (USD $8.9M) is related to the Ausenco fixed price engineering, procurement and construction contract for process plant construction and 14.7% (USD $6.3M) is unused contingency. 

ON FINANCING

  • Endeavour Silver Corp., closed a bought deal financing for gross proceeds of USD $46M, including the exercise of the over-allotment option in full. Gross proceeds will be used by the company to pay the USD $35M cash consideration payable to SSR Mining Inc., for the acquisition of Pitarrilla project in Durango, as well as for general corporate purposes and working capital.
  • Zacatecas Silver Corp., announced the closing of a $19.15M offering of subscription receipts. Net proceeds will be used to pay the USD $5M cash consideration for the acquisition of the Esperanza Gold project to Alamos Gold, begin the advancing the Esperanza project towards production, fund the ongoing drill program at the company´s existing project and for general working capital purposes.

ON RESOURCES AND DEVELOPMENT

  • Zacatecas Silver Corp., received the approval from the Mexican Federal Environmental Permitting Agency (SEMARNAT) for 27 new drill pads at its Panuco project, Zacatecas. The company is presently completing environmental studies at Muleros and San Manuel ahead of drill pad applications.
  • Silver Tiger Metals Inc., reported results from its ongoing drill program from its El Tigre project in Sonora. Drilling highlights include hole ET-21-296 on Sooy Vein with 1.73 g/t Au, 687 g/t Ag, 0.01% Cu, 0.2% Pb, and 0.01% Zn (822 g/t AgEq) over 25.9m, including 2.30 g/t Au, 921 g/t Ag, 0.02% Cu, 0.2% Pb, and 0.01% Zn (1,101 g/t AgEq) over 19m, including 4.65 g/t Au, 1,877 g/t Ag, 0.03% Cu, 0.4% Pb, and 0.02% Zn (2,239 g/t AgEq) over 9.2m, including 0.39 g/t Au, 2,450 g/t Ag, 0.03% Cu, 0.3% Pb, and 0.01% Zn (2,489 g/t AgEq) over 2.9m; and hole ET-22-319 on Sooy Vein with 0.24 g/t Au, 160 g/t Ag, 0.01% Cu, 0.2% Pb, and 0.01% Zn (186 g/t AgEq) over 17.3m, including 0.56 g/t Au, 362 g/t Ag, 0.02% Cu, 0.6% Pb, and 0.02% Zn (420 g/t AgEq) over 6.5m, including 1.15 g/t Au, 690 g/t Ag, 0.04% Cu, 0.9% Pb, and 0.01% Zn (804 g/t AgEq) over 2.5m, including 1.44 g/t Au, 887 g/t Ag, 0.07% Cu, 1% Pb, and 0.01% Zn (1,024 g/t AgEq) over 1.5m.
  • Torex Gold Resources Inc., announced it will release an updated technical report for the Morelos Complex by March 31, 2022.
  • Silver Dollar Resources Inc., reported results from the drilling program recently completed at its La Joya project in Durango. Drilling highlights include holes NOR-21-002 with 110 g/t Ag, 0.19 g/t Au, 0.04% Cu, 0.2% Pb, and 0.3% Zn (131 g/t AgEq) over 5.37m, including 141.3 g/t Ag, 0.06 g/t Au, 0.04% Cu, 0.4% Pb, and 0.4% Zn (161 g/t AgEq); and hole NOR-21-004 with 49 g/t Ag, 19.2 g/t Au, 0.48% Cu, and 0.03% Zn (1,590 g/t AgEq) over 3m, plus 17 g/t Ag, 4.3 g/t Au, 0.1% Cu, and 0.01% Zn (363 g/t AgEq) over 8.37m, including 58 g/t Ag, 29 g/t Au, 0.15% Cu, and 0.01% Zn (2,369 g/t AgEq) over 1.01m. “Drilling focused on the underexplored Noria portion of the Property and was successful in identifying possible structural extensions of the known mineralized zones as well as the discovery of a new shallow high-grade gold zone. The next phase of drilling will focus on these new targets and is expected to commence before month-end”.
  • GoGold Resources Inc., reported results of six holes drilled at the Mololoa deposit within its Los Ricos North project in Jalisco. Significant mineralization was encountered in hole LRGM-21-093 with 0.19 g/t Au and 111 g/t Ag (1.68 g/t AuEq or 126 g/t AgEq) over 1.7m, plus 0.16 g/t Au and 213 g/t Ag (3.01 g/t AuEq or 226 g/t AgEq) over 2.3m, including 0.59 g/t Au and 912 g/t Ag (12.75 g/t AuEq or 956 g/t AgEq) over 0.5m, plus 0.28 g/t Au and 100 g/t Ag (1.62 g/t AuEq or 122 g/t AgEq) over 31.9m, including 3.33 g/t Au and 827 g/t Ag (14.36 g/t AuEq or 1,077 g/t AgEq) over 0.6m; and hole LRGM-21-104 with 1.09 g/t Au and 235 g/t Ag (4.22 g/t AuEq or 317 g/t AgEq) over 33.4m, including 3.56 g/t Au and 765 g/t Ag (13.76 g/t AuEq or 1,032 g/t AgEq) over 9.8m, including 8.48 g/t Au and 1,682 g/t Ag (30.9 g/t AuEq or 2,317 g/t AgEq) over 3.5m, including 17.15 g/t Au and 3,080 g/t Ag (58.22 g/t AuEq or 4,366 g/t AgEq) over 1.1m.
  • Golden Minerals Company completed technical reports for their Rodeo and Velardeña properties in Durango, including updated mineral resources. At Rodeo, Durango, Mineral Resources were calculated having an effective date of October 31, 2021, assuming prices of USD $1,800/ Oz Au and USD $25/Oz Ag.  For the low-grade material (stockpile), a cutoff of 1.0 g/t Au was considered to estimate measured resources of 208,500 tonnes grading 1.24 g/t Au and 10 g/t Ag for a total of 8.3K Oz Au and 67.2K Oz Ag contained; indicated resources of 86,400 tonnes of 1.58 g/t Au and 5 g/t Ag for a total of 2.1K Oz Au and 9.4K Oz Ag contained. Measured + Indicated resources are 264,900 tonnes of 1.23 g/t Au and 9 g/t Ag for a total of 10.5K Oz Au and 76.6K Oz Ag contained. Inferred resources are 1,500 tonnes of 1.2 g/t Au and 4 g/t Ag for a total of 58 Oz Au and 198 Oz Ag contained. For the high-grade material a cutoff of 1.6 g/t Au was considered to estimate measured resources of 10,700 tonnes grading 3.11 g/t Au and 13 g/t Ag for a total of 31.1K Oz Au and 131K Oz Ag contained; indicated resources of 43,700 tonnes grading 3.17 g/t Au and 11 g/t Ag for a total of 4.5K Oz Au and 15K Oz Ag contained. Measured + Indicated resources are 954,400 tonnes of 3.12 g/t Au and 13 g/t Ag for a total of 35.6K Oz Au and 146K Oz Ag contained. The Life of Mine is 24 months of operation and assumes 12 months to perform closure and reclamation.  The company reported a pre-tax net present value (NPV) of USD $22.9M using a discount rate of 8%. At Velardeña, Durango, Mineral Resources were calculated having an effective date of February 28, 2022, assuming prices of USD $1,744/Oz Au, USD $23.70/Oz Ag, USD $0.97/Lb Pb, and USD $1.15/Lb Zn. Mineral resources are reported at a Net Smelting Royalty of USD $175. Measured resources estimated are 385K tonnes of 327 g/t Ag, 5.58 g/t Au, 1.6% Pb, and 1.8% Zn for a total of 4M Oz Ag, 69K Oz Au, 13.75M Lb Pb, and 15.1M Lb Zn contained; Indicated resources estimated are 883.8K tonnes of 316 g/t Ag, 4.88 g/t Au, 1.5% Pb, and 1.8% Zn for a total of 8.98M Oz Ag, 138.5K Oz Au, 30.16M Lb Pb, and 34.34M Lb Zn contained. Measured + Indicated resources are 1,268,800 tonnes of 319 g/t Ag, 5.09 g/t Au, 1.6% Pb, and 1.8% Zn for a total of 13.03M Oz Ag, 207.5K Oz Au, 43.9M Lb Pb, and 49.94M Lb Zn contained. Inferred resources estimated are 1,709,200 tonnes of 362 g/t Ag, 4.8 g/t Au, 1.7% Pb, and 1.9% Zn for a total of 19.89M Oz Ag, 263.8K Oz Au, 65.26M Lb Pb, and 70.2M Lb Zn. The Life of Mine is 11 years, with a pre-tax NVP of USD $119M using a discount rate of 8%.
  • Golden Tag Resources Ltd., released results from 2 holes drilled at its San Diego project in Durango. Hole 21-62 intersected several structures. This hole encountered 0.04 g/t Au, 214 g/t Ag, 0.2% Pb, 0.5% Zn ,and 0.03% Cu (244 g/t AgEq) over 1.75m, plus 0.06 g/t Au, 107 g/t Ag, 0.1% Pb, 0.08% Zn, and 0.03% Cu (122 g/t AgEq) over 0.50m (in the San Jose Zone), plus 1.29 g/t Au, 72 g/t Ag, 0.04% Pb, 0.07% Zn, and 0.02% Cu (182 g/t AgEq) over 2m (on the 57 NE A Zone), plus 0.1 g/t Au, 305 g/t Ag, 2% Pb,3% Zn, and 0.09% Cu (504 g/t AgEq) over 1.2m, plus 0.12 g/t Au, 137 g/t Ag, 0.4% Pb, 0.6% Zn, and 0.05% Cu (187 g/t AgEq) over 0.65m (in the 57 NE B zone). Hole 21-63 also intersected several mineralized intervals. Highlights include 0.48 g/t Au, 142 g/t Ag, 1.3% Pb, 1.6% Zn, and 0.12% Cu (295 g/t AgEq) over 2.10m, plus 0.11 g/t Au, 147 g/t Ag, 0.6% Pb, 0.8% Zn, and 0.04% Cu (211 g/t AgEq) over 0.60m (in the 57 NE B zone), plus 0.16 g/t Au, 284 g/t Ag, 4.4% Pb, 1.4% Zn, and 0.04% Cu (491 g/t AgEq) over 0.50m (in the Montanez zone), plus 0.11 g/t Au, 76 g/t Ag, 0.6% Pb, 1.4% Zn, and 0.05% Cu (166 g/t AgEq) over 10.15m, including 0.15 g/t Au, 229 g/t Ag, 2.2% Pb, 5.6% Zn, and 0.09% Cu (541 g/t AgEq) over 1.66m, plus 0.11 g/t Au, 146 g/t Ag, 1.2% Pb, 1.5% Zn, and 0.1% Cu (260 g/t AgEq) over 1m, plus 0.28 g/t Au, 730 g/t Ag, 4% Pb, 4.6% Zn, and 0.4% Cu (1,095 g/t AgEq) over 0.57m (in the Canta Zone).

ON DEALS AND CORPORATE ISSUES

  • Avino Silver & Gold Mines Ltd., closed the acquisition of La Preciosa project in Durango with Coeur Mining Inc., by paying USD $15.3M in cash; a promissory note for USD $5M in favour of Coeur, payable without interest on or before March 21. 2023;  the issuance of 14M common shares of Avino to Coeur; the issuance of 7M share purchase warrants exercisable at USD $1.09 per share until September 21, 2023; an additional cash payment of USD $8.75M, to be paid no later than 12 months after initial production at La Preciosa; a 1.25% NSR on the La Gloria and Abundancia areas of La Preciosa and 2% gross value royalty on all of other areas of La Preciosa; and a payment of USD $0.25 per silver equivalent ounce of new mineral reserves discovered and declared outside of the current mineral resource area at La Preciosa, subject to a cap of USD $50M.
  • Aztec Minerals Corp., informed that its common shares traded in USA under the symbol AZZTF are now Depository Trust Company. It will increase the visibility and accessibility of the Aztec common shares for current and potential shareholders in USA (Cervantes project, Sonora).
  • Gold Resource Corporation announced its 2022 annual meeting of shareholders (Don David Gold Mine, Oaxaca).
  • Guanajuato Silver Company Ltd., announced the appointment of Ramón Dávila to the position of President (Cubo and Pinguico projects, Guanajuato).
  • Magna Gold Corp., entered into an amending agreement with Peal de México on the acquisition of the San Francisco mine, Sonora. Magna amended the agreement to settle outstanding amounts owing in exchange for the issuance of common shares of the company with a value of USD $1M, which reduced the company´s amount owing by USD $1M from USD $4,054,351 to USD $3,054,351.
  • Tarachi Gold Corp., announced the appointment of its VP of Operation, and signed a new land and water rights agreement with the local Magistral Ejido Community. “The Land Lease Agreement is for a 30-year term, granting Tarachi and its Mexican subsidiary’s use of 63.9 hectares of land for mining, processing, and tailings disposal purposes. The Company will pay to the Ejido an amount of MXP $5K (approximately USD $250) per month to maintain the right to retrieve water from within the Ejido’s territory and use of the Ejido’s water related infrastructure. The company and the Ejido have also amended their existing exclusive agreement to purchase mine and process certain tailings materials belonging to the Ejido. The amendment will result in an increase of USD $0.25 per tonne in the purchase fee paid by the Company for Ejido tailings material when gold prices are above USD $1475/Oz, compared to the previous agreement terms.
  • Bear Creek Mining Corporation provided an update on the acquisition of the Mercedes mine in Sonora. The completion of the acquisition remains subject to anti-trust approval which the company expects to receive in April 2022. On March 24, 2022, the company and Equinox Gold agreed to extend the outside date for the completion of the Acquisition to April 30, 2022. “The Company has become aware that on March 23, 2022, TRR Offtakes LLC (“Trident”) – a subsidiary of Trident Royalties Plc which in January 2022 acquired a non-material offtake agreement with subsidiaries of Equinox Gold – brought an application for an order of an arbitrator restraining and enjoining the closing of the Acquisition (the “Application”). Bear Creek believes the Application is without merit. The Company intends to hold Trident fully responsible for all loss and damage Bear Creek may suffer as a consequence of Trident’s interfering conduct”.

ON SOCIAL RESPONSIBILITY

  • No relevant news.

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, sheeted quartz veins in an intermediate sulphidation epithermal vein system in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of February, 2022. 

Quartz Vein

By Miguel A Heredia

During the 8th week of the year (February 21st to February 27th, 2022), at least 24 press releases were announced by companies working in Mexico, and 6 news published by the media, with eight reporting resources and developments of their properties, six disclosing deals and corporate issues, four informing on exploration results, three discussing social issues, three communicating production results, three announcing financial issues, and three commenting on Mexican issues.  ON MEXICO ISSUES, Magna Gold announced that after several inspections at its San Francisco mine in Sonora, the suspension of the crushing and laboratory areas has been lifted. Mexico was the largest silver producer country in 2021. Marisol Barragán swore in as President of the Mexico City District of Mujeres WIM Mexico.  ON EXPLORATION, In Sonora, Aztec-Kootenay JV released results from the ongoing RC drilling program conducted at the Cervantes project, and Ranchero Gold released the final results from its recently completed phase 1 drill program at its Maíz Azul prospect within its Santa Daniela project.  In Chihuahua, Radius announced results from its ongoing drill program at its Amalia project. In Nayarit, Sierra Madre informed that it received the drilling permit from the Mexican Federal Environmental Permitting Agency (SEMARNAT) and entered into formal surface rights exploration agreement with the surface owners for its La Tigra project.  ON MINING, Americas Gold and Silver provided silver production guidance for 2022 for its Cosala Operations in Sinaloa. Orla provided a 2022 production, operating costs, capital costs, and exploration spending guidance for the full year 2022 for its Camino Rojo property, Zacatecas. Equinox Gold reported Q4 and full year 2021 production and financial results from their Mexican operations. ON FINANCING, Golden Tag increased its previously announced non-brokered private placement by up to 5M unit for aggregate proceeds of up to 1.25M (San Diego project, Durango). Pan American Silver declared dividend to shareholders of $0.12 per common share (La Colorada mine, Zacatecas). Gold Resource declared Q1, 2022 dividend to shareholders (Arista mine, Oaxaca). ON RESOURCES AND DEVELOPMENT, Silver Dollar announced that it completed a 2,424 m drill program in 11 holes at its La Joya project in Durango. Silver Tiger informed that it will commence the rehabilitation of the historic El Tigre mine. Alamos Gold updated mineral reserves and resources as of December 31, 2021 (Mulatos Mine, Sonora). Pan American Silver released results for 20 new infill and exploration holes drilled at its la Colorada mine in Zacatecas. Prime Mining announced results from its first drill program at the Guadalupe West deposit within its Los Reyes project in Sinaloa. Stroud commenced its phase 2 diamond drilling program at its Santo Domingo project in Jalisco. Mithril reported positive results from the metallurgical testwork conducted at its Copalquin project in Durango. Newmont reported mineral reserves and resources for their Peñasquito and Noche Buena properties in Zacatecas.  ON DEALS AND CORPORATE ISSUES, Benjamin Hill granted options to directors, officers and a consultant (Sonora Gold project, Sonora). Monumental announced the appointment of its CEO (Jemi project, Coahuila). Orla Mining announced the appointment of its Chief Sustainability Officer (Camino Rojo, Zacatecas). SSR informed that it has entered into a definitive agreement to sell its Pitarrilla silver project in Durango to Endeavour. Riverside signed an agreement with Agnico Eagle for the sale of the Pima property located in Sonora. Sierra Metals announced the appointment of a new member to its Board of Directors (Bolivar mine, Chihuahua). Great Panther announced senior management changes (Topia mine, Durango). ON SOCIAL RESPONSIBILITY, Esperanza Silver supported the first generation of the education program in Morelos. Grupo México offered employment to 100 women in Santa Bárbara, Chihuahua. Minera Peñasquito delivered the remodeling and rehabilitation of a plaza to the community of Nuevo Peñasco, Mazapil in Zacatecas.

ON MEXICO ISSUE

  • Magna Gold Corp., announced that after several inspections at its San Francisco mine in Sonora, the suspension of the crushing and laboratory areas has been lifted.
  • Mexico was the largest silver producer country in 2021 with 5,600 tonnes, followed by China with 3,400 tonnes and by Peru with 3,000 tonnes.
  • Marisol Barragán swore in as President of the Mexico City District of Mujeres WIM Mexico, with the primary purpose of boosting initiatives that promote equal opportunities and working conditions for women in the mining industry in Mexico,

ON EXPLORATION

  • Aztec Minerals Corp – Kootenay Silver Inc JV released results from the ongoing RC drilling program conducted at the Cervantes project. Drilling highlights include hole CAL22-004 with 1 g/t Au over 167.2m, including 4.25 g/t Au over 24.4m; hole CAL22-002 with 0.37 g/t Au over 99.1m; and hole CAL22-003 with 0.45 g/t Au over 45.7m, including 0.87 g/t Au over 13.7m. Gold appears to be widely distributed in disseminations, fractures and veinlets within quartz-feldspars porphyry, feldspar porphyry stocks, and related hydrothermal breccias.
  • Ranchero Gold Corp., released the final results from its recently completed phase 1 drill program at its Maíz Azul prospect within its Santa Daniela project in Sonora. The drill program consisted of 3,122m in 16 holes. Hole MA22-25 intersected 1.2 g/t Au over 15.6m at the La Colmena target. The company will update its geological mapping to further identify new structures that control mineralization. It also will plan the phase II drill program with the goal of expanding the newly discovered gold mineralization as well as testing additional targets including the X-structure. 
  • Radius Gold Inc., announced results from its ongoing drill program at El Cuervo area within its Amalia project in Chihuahua. Drill highlights include hole AMDD21-47 with 167 g/t Ag and 0.54 g/t Au over 96m, including 232 g/t Ag and 0.65 g/t Au over 61.20m, including 290 g/t Ag and 0.8 g/t Au over 45.20m, including 302 g/t Ag and 1.13 g/t Au over 17.35m, including 592 g/t Ag and 0.65 g/t Au over 7.35m, including 438 g/t Ag and 1.12 g/t Au over 7.85m; and hole AMDD21-46 with 44 g/t Ag and 0.13 g/t Au over 31m, including 158 g/t Ag and 0.49 g/t Au over 3.7m, including 233 g/t Ag and 0.31 g/t Au over 1.7m, and 203 g/t Ag and 0.53 g/t Au over 3.50m, including 381 g/t Ag and 1.31 g/t Au over 1.1m.  “The initial drilling at El Cuervo has confirmed a significant mineralized system and drilling is ongoing to define the size potential”.
  • Sierra Madre Gold and Silver Ltd., informed that it received the drilling permit from the Mexican Federal Environmental Permitting Agency (SEMARNAT) authorizing the use of 30 drill pads within its La Tigra project in Nayarit. The company also informed that it entered into formal surface rights exploration agreement with the ejido Santa Maria Picachos, the surface owners at La Tigra project that allows for the commencement of the drilling program.

ON MINING

  • Americas Gold and Silver Corporation provided silver production guidance for 2022 for its Cosala Operations in Sinaloa. Silver production from the Cosala Operations in 2022 is forecast to be between 0.7 to 0.9M Oz Ag, 13-15M Lb Pb, and 36 to 40M Lb Zn. “
  • Orla Mining Ltd., provided a 2022 production, operating costs, capital costs, and exploration spending guidance for the full year 2022 for its Camino Rojo property, Zacatecas. The company expects to produce from Camino Rojo over 90-100K Oz Au for the full year 2022 with an AISC of USD $600-700 per Oz Au sold. Total sustaining cost and exploration spending are expected to total USD $5M and USD $10M respectively.
  • Equinox Gold Corporation reported Q4 and full year 2021 production and financial results from their Los Filos and Mercedes mines located in Guerrero and Sonora respectively. At Los Filos mine, Guerrero, Equinox mined 3.4M tonnes of 0.77 g/t Au (open pit) and 162K tonnes of 3.11 g/t Au (underground) to produce 54.7K Oz Au. It sold 55,144 Oz Au during Q4, 2021 and reported revenue of USD $98.8M, and cash and AISC of USD $1,311 and USD $1,433 per Oz Au sold respectively. For the full year, the company mined 7.09M tonnes of 0.71 g/t Au (open pit) and 519K tonnes of 3.23 g/t Au to produce 144.1K Oz Au. It sold 143.8K Oz Au during the full year 2021, and reported revenue of USD $257.2M, and cash and AISC of USD $1,575 and USD $1,753 per Oz Au sold. Equinox provided production and guidance cost for 2022. It expects to produce between 160-180KOz Au at cash and AISC of USD $1400-1600 and USD $1,625-1,700 per Oz Au sold respectively. At Mercedes mine, Sonora, the company mined 125K tonnes and processed 161K tonnes of 2.30 g/t Au during Q4, 2021 to produce 11,35K Oz Au. It sold 10.3K Oz Au and reported revenue of USD $18.9M and cash and AISC of USD $1,091 and USD $1,584 respectively. For the full year, the company mined 348K tonnes and processed 398K tonnes of 2.59 g/t Au to produce 31.8K Oz Au, It sold 30.9K Oz Au, and reported revenue of USD $56.9M , and cash and AISC of USD $966 and USD $1,357 per Oz Au respectively. On Dec 16, 2021, Equinox entered into an agreement to sell Mercedes mine to Bear Creek.

ON FINANCING

  • Golden Tag Resources Ltd., increased its previously announced non-brokered private placement by up to 5M unit for aggregate proceeds of up to $1.25M. The company plans to use the gross proceeds to fund advancement of its San Diego project in Durango.
  • Pan American Silver Corp., declared dividend of $0.12 per common share under new dividend policy. The cash dividend of $0.12 per common share, or approximately $25.3M in aggregate cash dividends, is payable on or about March 21, 2022 (La Colorada mine, Zacatecas).
  • Gold Resource Corporation declared its quarterly dividend of $0.01 per common share for Q1, 2022 to shareholders (Arista mine, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Silver Dollar Resources Inc., announced that it completed a 2,424 m drill program in 11 holes on the Noria portion at its La Joya project in Durango. Aim of the drill program was target development and testing for possible structural extensions of known mineralized zones identified in historical drilling. Assays are pending and drilling is on standby until the company receives assay results and gets an interpretation.
  • Silver Tiger Metals Inc., informed that it has contracted Cominvi, an underground mine contractor, to commence the rehabilitation of the historic El Tigre mine. “Initial rehabilitation will begin on the Level 7 main entry to the Historic El Tigre Mine to allow access to the Sooy Vein, El Tigre Vein and the Seitz Kelly Vein in contemplation of underground channel sampling, drilling and bulk sampling on those veins and the black shale horizon”.
  • Alamos Gold Inc., updated mineral reserves and resources as of December 31, 2021. The company increased its mineral reserves at Mulatos mine 14% to 1.5M Oz Au (29.4M tonnes of 1.64 g/t Au) with a 32% increase in grades reflecting the addition of higher-grade underground mineral reserves at Puerto del Aire, which is adjacent to the main Mulatos pit. The company reported proven + probable reserves for 29.36M tonnes of 1.64 g/t Au for a total of 1.54M Oz Au contained. It also reported Measured + Indicated resources for 8.2M tonnes of 1.34 g/t Au for a total of 353K Oz Au and Inferred resources for 1.72M tonnes of 1.06 g/t Au for a total of 59K Oz Au contained. The remaining mineral reserve mine of life of the Mulatos district is approximately six years as of December 31, 2021 (excluding the underground mineral reserves of Puerto del Aire Deposit.
  • Pan American Silver Corp., released results for 20 new infill and exploration holes drilled at its la Colorada mine in Zacatecas. Drill highlights include hole U-83-21 with 64 g/t Ag, 0.06% Cu, 1.9% Pb, and 3.8% Zn over 322.85m, including 178 g/t Ag, 0.06% Cu, 4.3% Pb, and 6.3% Zn over 64.90m; hole S-73-21 with 76 g/t Ag, 0.36% Cu, 4.2% Pb, and 9.5% Zn over 78.55m, including 91 g/t Ag, 0.46% Cu, 5.2% Pb, and 11.4% Zn over 58.1m; hole D-73-01-21 with 79 g/t Ag, 0.29% Cu, 2.2% Pb, and 5.7% Zn over 159 m, including 112 g/t Ag, 0.45% Cu, 3.2% Pb, and 8.1% Zn over 99.2m; hole D-71-01-21 with 48 g/t Ag, 0.05% Cu, 3% Pb, and 5.8% Zn over 44.65m, including 100 g/t Ag, 0.28% Cu, 7.3% Pb, and 7.1% Zn over 15.95m; hole D71-03-21 with 60 g/t Ag, 0.09% Cu, 2.1% Pb, and 3.2% Zn over 22.1m, and 42 g/t Ag, 0.07% Cu, 1.2% Pb, and 3.9% Zn over 55.60m, and 91 g/t Ag, 0.2% Cu, 4.8% Pb, and 8% Zn over 191.85m; and hole D-21-02-21 with 59 g/t Ag, 0.2% Cu, 1.2% Pb, and 3.8% Zn over 219.90m, including 51 g/t Ag, 0.2% Cu, 2% Pb, and 6.1% Zn over 91.3m.
  • Prime Mining Corp., announced results from its first drill program at the Guadalupe West deposit within its Los Reyes project in Sinaloa. Twelve new holes, of which seven were diamond holes and 5 were RC holes are reported and drill highlights include hole 21GW-12R with 1.68 g/t Au and 26 g/t Ag over a true width (TW) of 19.8m; hole 21GW-07 with 1.6 g/t Au and 50 g/t Ag over a TW of 8.6m, and 1.92 g/t Au and 34 g/t Ag over a TW of 17.7m; hole 21GW-02 with 1.82 g/t Au and 52 g/t Ag over 4.8m, and 0.53 g/t Au and 15 g/t Ag over a TW of 27.6m; hole 21GW-01 with 1.08 g/t Au and 38 g/t Ag over a TW of 3.6m; and hole 21GW-11R with 0.9 g/t Au and 63 g/t Ag over a TW of 4.3m.
  • Stroud Resources Ltd., commenced its phase 2 diamond drilling program, which will consist of 3,500m targeting the newly discovered Zopilotes Vein, the Guadalupe Vein, and the La Raya Vein, within its Santo Domingo project in Jalisco. “The company’s current drilling permit covers 13 drill pads (drill setups) located across the property. A second drilling permit will be submitted seeking additional drill pad locations to facilitate further delineation of the three known mineralized vein systems and other exploration targets”. 
  • Mithril Resources Ltd., reported positive results from the metallurgical testwork conducted at its Copalquin project in Durango. The company reported that the final overall recoveries after leaching of the flotation products were 96.5% for gold and 96.1% for silver.
  • Newmont Corporation reported mineral reserves and resources for their Peñasquito and Noche Buena properties in Zacatecas as of December 31, 2021. At Peñasquito, Zacatecas, Newmont reported Proven Reserves of 115M tonnes of 0.61 g/t Au, 38 g/t Ag, 0.9% Zn, and 0.4% Pb for a total of 2.25M Oz Au, 141.5M Oz Ag, 2.38 B Lb Zn, and 940M Lb Pb and Probable Reserves of 247M tonnes of 0.51 g/t Au, 32 g/t Ag, 0.7% Zn, and 0.3% Pb for a total of 4.08M Oz Au, 252.4M Oz Ag, 3.87 B Lb Zn, and 1.64 B Lb Pb. Proven + Probable Reserves are 362M tonnes of 0.54 g/t Au, 34 g/t Ag, 0.8% Zn, and 0.3% Pb for a total of 6.33M Oz Au, 393.9M Oz Ag, 6.25 B Lb Zn, and 2.58 B Lb Pb. Measured Resources are 31.4M tonnes of 0.27 g/t Au, 26 g/t Ag, 0.7% Zn, and 0.3% Pb for a total of 280K Oz Au, 26M Oz Ag, 460M Lb Zn, and 200M Lb Pb, and Indicated Resources of 176.6M tonnes of 0.27 g/t Au, 26 g/t Ag, 0.6% Zn, and 0.3% Pb for a total of 1.5M Oz Au, 149.6M Oz Ag, 2.2 B Lb Zn, and 1.02 B Lb Pb. Measured + Indicated Resources are  208M tonnes of 0.27g/t Au, 26 g/t Ag, 0.6%Zn, and 0.3% Pb for a total of 1.78M Oz Au, 175.6M Oz Ag, 2.69 B Lb Zn, and 1.23 B Lb Pb. Inferred Resources are 89.8M tonnes of 89.8M tonnes of 0.4 g/t Au, 28 g/t Ag, 0.5% Zn, and 0.2% Pb for a total of 1.16M Oz Au, 80.84M Oz Ag, 1.07 B Lb Zn, and 480M Lb Pb. At Noche Buena, Zacatecas (50% attributable to Newmont), it reported Indicated Resources of 21M tonnes of 0.37 g/t Au and 14 g/t Ag for a total of 250K Oz Au and 9.4M Oz Ag, and Inferred Resources of 1.6M tonnes of 1.07 g/t Au and 11 g/t Ag for a total of 230K Oz Au and 570K Oz Ag. Resources are reported exclusive of Reserves.

ON DEALS AND CORPORATE ISSUES

  • Benjamin Hill Mining Corp., granted 1.4.M options exercisable at $0.44 per common share of which 980K options granted to directors/officers shall have a term of 5 years, and 500K options granted to a consultant shall have a term of 2 years (Sonora Gold project, Sonora).
  • Monumental Minerals Corp., announced the appointment of its CEO (Jemi project, Coahuila).
  • Orla Mining Ltd., announced the appointment of its Chief Sustainability Officer, effective march 1, 2022 (Camino Rojo, Zacatecas).
  • SSR Mining Inc., informed that it has entered into a definitive agreement to sell its Pitarrilla silver project in Durango to Endeavour Silver Corp., for a total consideration of up to USD $127M. This consideration includes USD $35M in cash, USD $35M in Endeavour shares, and a 1.25% Net Smelter Return (“NSR”) royalty on the Pitarrilla property.
  • Riverside Resources Inc., signed an agreement with Agnico Eagle for the sale of the Pima property located in Sonora. Riverside will receive cash and completes the pass through royalty transfer with Millrock Resources Inc. 
  • Sierra Metals Inc., announced the appointment of a new member to its Board of Directors (Bolivar mine, Chihuahua).
  • Great Panther Mining Limited informed about the resignation of its President and CEO and announced the appointment of his replacement on an interim basis (Topia mine, Durango).

ON SOCIAL RESPONSIBILITY

  • Esperanza Silver, supported the first generation of 14 people between women and men who accredited the upper secondary level as a results of an alliance in favor of the education integrated for inhabitants of the community of San Agustin Tetlama and Esperanza Silver.
  • Grupo México offered employment to 100 women in Santa Bárbara, Chihuahua. Andrés Torres, general secretary of the Section 11 Miners’ Union reported that by 2022 there is a goal of employing a hundred women in the different areas of the companies.
  • Minera Peñasquito (Newmont) delivered the inhabitants of the community of Nuevo Peñasco, belonging to Ejido Cedros, in Mazapil, the remodeling and rehabilitation of their plaza, as part of Newmont Peñasquito’s commitment to creating shared value in the communities in its area of influence. Additionally, the company provided 27 trees of different species, the same that were planted throughout the square.

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 quartz vein from a low sulphidation epithermal vein project in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Second Week of February, 2022. 

Banded quartz vein

By Miguel A Heredia

During the 6th week of the year (February 7th to February 13th, 2022), at least 18 press releases were announced by companies working in Mexico, and 3 news published by the media, with six reporting resources and developments of their properties, six informing on exploration results, four discussing social issues, three communicating production results, one disclosing deals and corporate issues, and one announcing financial issues.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Colibri reported assays received from its ongoing RC drill program at its Evelyn project, and La Reyna commenced a 10,000m drill program at its La Gloria project. In Nayarit, Sierra Madre announced the commencement of its Phase II drill program at its Tepic project.  In Zacatecas, Alien Metals informed that it has been granted with all the necessary statutory and local permits to be legally able to commence drilling on its Donovan 2, Los Campos and San Celso permits.  In Jalisco, Stroud presented drill results from its Santo Domingo project. ON MINING, GoGold announced Q1, 2022, for the three months ended December 31, 2021 (Parral tailings project, Chihuahua). Avino provided its outlook for 2022. Minera Alamos provided a 2021 year-end summary of the ramp-up of mining activities at its Santana mine in Sonora. ON FINANCING, Kootenay entered into a private placement financing for gross proceeds of up to $4M (Columba project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Impact Silver completed Phase 2 of the Veta Negra drill program in its Zacualpan mining district in Mexico State. Silver Tiger presented results from its ongoing drill program on the Seitz Kelly Vein at its El Tigre project in Sonora. Zacatecas Silver provided an update on its ongoing drilling activities at the Panuco deposit and San Gil Breccia within its Zacatecas property. Fabled provided a summary of the exploration work carried out at its Santa Maria project, Chihuahua. Discovery Silver released results from 23 holes from its Phase 2 drill program at its Cordero project, Chihuahua. GR Silver presented channel and drill results from the Loma Dorada – La Colorada Vein System, within its Plomosas project, Sinaloa. Great Panther updated mineral resource estimates for their Topia and Guanajuato mines.  ON DEALS AND CORPORATE ISSUES, Monarca Minerals announced management changes (San Jose project, Chihuahua).   ON SOCIAL RESPONSIBILITY, Grupo México continues to firmly support Cananea against COVID-19. Fundación Grupo México launched a contest to present high-impact projects for the solution of social and/or environmental problems. Peñoles and Fresnillo plc promote the participation of girls and women in science.  Minera Cuzcatlán achieved 91% recycling and use of urban solid waste and special handling in 2021.

ON MEXICO ISSUE

  • No relevant news.

ON EXPLORATION

  • Colibri Resource Corporation reported assays received from its ongoing RC drill program at its Evelyn project in Sonora.- The best drill intercepts were encountered in holes EVE21-027 with 2.82 g/t Au over 14m, including 4.82 g/t Au over 8m, including 12.19 g/t Au over 3m, including 30 g/t Au over 1m; and hole EVE21-019 with 2.36 g/t Au over 15m, including 33.7 g/t Au over 1m. Colibri is in the process of executing a fully funded 10,000 metre RC drill program on the Evelyn Gold Project.
  • Reyna Gold Corp., commenced a Phase 1, 10,000m drill program at its La Gloria project in Sonora. The aim of the initial drilling will be to explore for extensions of known mineralization from the Main Zone and El Sombrero targets.
  • Sierra Madre Gold and Silver Ltd., announced the commencement of its Phase II drill program at its Tepic project in Nayarit. The company increased its permitted drill pads from 47 to 182 drill pads with the Secretariat of Natural Resources and Environment (SEMARNAT). This will allow Sierra Madre to potentially drill in excess of 300 holes, utilizing the same drill pads with offset drilling. The company has already secured exploration agreements with all surface owners in the areas to be drilled.
  • Alien Metals Ltd., informed that it has been granted with all the necessary permissions to commence drilling on its Los Campos and San Celso Silver Projects and the Donovan 2 Copper-Gold Project in Zacatecas.
  • Stroud Resources Ltd., presented drill results from its Santo Domingo project in Jalisco. Drilling highlights include hole SD-21-49 on Guadalupe Vein with 0.32 g/t Au and 70 g/t Ag (94 g/t AgEq) over 2.15m, plus 0.01 g/t Au and 624 g/t Ag (625 g/t AgEq) over 1.55m, and plus 0.13 g/t Au and 42 g/t Ag /52 g/t AgEq) over 2.70m; hole SD-21-52 on La Raya Vein with 1.11 g/t Au and 113 g/t Ag (196 g/t AgEq) over 15.10m, including 1.36 g/t Au and 137 g/t Ag (240 g/t AgEq) over 10.5m, including 3.07 g/t Au and 130 g/t Ag (360 g/t AgEq) over 2.70m; and hole SD-21-57 on Guadalupe Vein with 0.5 g/t Au and 138 g/t Ag (176 g/t AgEq) over 4.55m, plus 0.18 g/t Au and 50 g/t Ag (64 g/t AgEq) over 0.65m, plus 1.05 g/t Au and 197 g/t Ag (276 g/t AgEq) over 6.10m, including 2.02 g/t Au and 362 g/t Ag (513 g/t AgEq) over 3.05m, plus 0.04 g/t Au and 65 g/t Ag (68 g/t AgEq) over 1.05m, plus 0.31 g/t Au and 35 g/t Ag (59 g/t AgEq) over 7.9m, including 0.63 g/t Au and 61 g/t Ag (108 g/t AgEq) over 2.9m, plus 0.82 g/t Au and 67 g/t Ag (137 g/t AgEq) over 3.40m, including 1.72 g/t Au and 102 g/t Ag (231 g/t AgEq) over a.a5m, plus 0.07 g/t Au and 53 g/t Ag (59 g/t AgEq) over 10m, including 0.08 g/t Au and 57 g/t Ag (63 g/t AgEq) over 8m, plus .6 g/t Au and 45 g/t Ag (65 g/t AgEq) over 1.2m. “The company is currently updating its planned Phase 2 drilling program and will refine the program as the balance of assay results is received. Remaining assays from the 2021 drilling program will be reported as they continue to be released from the laboratory. Phase 2 drilling is expected to start soon, with initial assay results expected by the end of Q1 2022”.

ON MINING

  • GoGold Resources Inc., announced Q1, 2022, for the three months ended December 31, 2021. The company reported revenues of USD $8.9M from the sale of 195.7K Oz Ag and 2,558 Oz Au (401,214 Oz AgEq) from its Parral Tailings project in Chihuahua.  Cash and AISC were USD $13.51 and USD $18.58 per Oz AgEq respectively.
  • Avino Silver & Gold Mines Ltd., provided its outlook for 2022. The company will continue with the completion of the Dry Stack Tailing Storage Facility which will represent a cost of approximately $1M. The existing Preliminary Economic Assessment (PEA) will be used as the framework for an updated study, either at the Pre-Feasibility Study (PFS) level or at the Feasibility Study (FS) level. For 2022, Avino expects to process 600K tonnes to produce between 2.2-2.6M Oz AgEq. In exploration and evaluation, the company plans to drill approximately 15,000m on the Avino property and will target the areas below the current mining area at Avino (ET Area), the Bart vein located very close to the Avino workings as well as La Potosina. Additional holes may also be drilled on the Oxide Tailings Resource to determine if additional tonnage could be added to the existing 3.12M tonnes. 
  • Minera Alamos Inc., provided a 2021 year-end summary of the ramp-up of mining activities at its Santana mine in Sonora. The company reported that approximately 9,100 Oz Au were mined and stacked on the leach pad during the first phase of the project mining activities. Cumulative Au recovery from mineralization under leach for more than 30 days exceeds 70% with additional recovery ongoing. “Mining rates have approached the initial monthly targets of 100,000 tonnes of mineralized material from the Nicho Norte starter pit prior to the next phase of operations where production will ultimately expand to also include material from the main Nicho deposit”.

ON FINANCING

  • Kootenay Silver Inc., entered into a private placement financing for gross proceeds of up to $4M. Net proceeds will be used for working capital requirements and other general corporate purposes (Columba project, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Impact Silver Corp., completed Phase 2 of the Veta Negra drill program in its Zacualpan mining district in Mexico State. It consisted of eight holes for a total of 1,221m to test the mineralization below and to the south of the operating open pit. Drilling highlights include hole Z21-38 (Socorro Vein) with 428 g/t Ag, 0.25 g/t Au, 0.6% Pb, and 1.5% Zn over a true width (TW) of 6.88m; hole Z21-39 (Veta Negra Vein) with 487 g/t Ag, 0.26 g/t Au, 0.2% Pb, and 0.4% Zn over a TW of 12.97m; hole Z21-41 (Veta Negra) with 258 g/t Ag, 0.06 g/t Au, 0.1% Pb, and 0.3% Zn over a TW of 19.85m; and hole Z21-46 (El Socorro splay) with 457 g/t Ag, 0.63 g/t Au, 1.8% Pb, and 3.8% Zn over a TW of2.29m.
  • Silver Tiger Metals Inc., presented results from its ongoing drill program on the Seitz Kelly Vein at its El Tigre project in Sonora. The most significant drill intercept was encountered in hole ET-21-293 on the Seitz Kelly Hangingwall Vein with 0.03 g/t Au, 149 g/t Ag, 0.06% Cu, 0.1% Pb, and 0.5% Zn (175 g/t AgEq) over 6.5m, including 0.09 g/t Au, 1,664 g/t Ag, 0.63% Cu, 0.8% Pb, and 0.2% Zn (1,758 g/t AgEq) over 0.5m, plus 0.05 g/t Au, 290 g/t Ag, 0.1% Cu, 0.2% Pb, and 0.2% Zn (314 g/t AgEq) over 7.4m on Seitz Kelly Vein, including 0.17 g/t Au, 1,582 g/t Ag, 0.52% Cu, 0.9% Pb, and 1.3% Zn (1,708 g/t AgEq) over 0.9m.
  • Zacatecas Silver Corp., provided an update on its ongoing drilling activities at the Panuco deposit and San Gil Breccia within its Zacatecas property. The company has completed 29 angled holes at Panuco North, of which 15 are still with assays pending. Assays are also pending for 4 holes completed at northern splay of Panuco Central Vein. Zacatecas Silver also informed that at San Gil Breccia, 36 diamond drill pads were approved while at Panuco North, the approval for an additional 29 drill pads is expected within the next few weeks.
  • Fabled Silver Gold Corp., provided a summary of the 2021 exploration work carried out at its Santa Maria project, Chihuahua. The company completed 50 surface diamond drill holes for a total of 13,693m, of which 36 were exploration holes and 14 were definition holes, and 21 underground diamond drill holes for a total of 2,091m. In summary, it has drilled 71 diamond drill holes (surface + underground) totalling 15,784m.  Fabled have taken 5,944 surface drill hole samples, 846, underground drill hole samples, and 120 surface exploration samples for a total of 6,900 samples collected. “Moving forwards the company will compile all the results from drilling, surface mapping and sampling, plus geophysical anomalies in preparation for the design and selection for a Phase 2 drill program. Phase 2 will not only seek to grow the mineralization as seen above but to also explore the eastern sector of the property which has yet to be drilled”.
  • Discovery Silver Corp., released results from 23 holes from its Phase 2 drill program at its Cordero project, Chihuahua. Highlights intercepts include hole C21-533 (NE Extension) with 24 g/t Ag, 0.24 g/t Au, 0.6% Pb, and 0.8% Zn (91 g/t AgEq) over 16.4m, plus 99 g/t Ag, 0.26 g/t Au, 1.9% Pb, and 1.8% Zn (247 g/t AgEq) over 49.9m, including 185 g/t Ag, 0.46 g/t Au, 3.5% Pb, and 3.2% Zn (446 g/t AgEq) over 21.4m; hole C21-556 (South Corridor) with 37 g/t Ag, 0.04 g/t Au, 0.9% Pb, and 1.2% Zn (114 g/t AgEq) over 43.6m, plus 61 g/t Ag, 0.07 g/t Au, 1.4% Pb, and 4.8% Zn (288 g/t AgEq) over 46.8m, including 271 g/t Ag, 0.15 g/t Au, 5.5% Pb, and 35.5% Zn (1,777 g/t AgEq) over 5.2m; hole C21-555 (South Corridor) with 28 g/t Ag, 0.09 g/t Au, 0.2% Pb, and 1.6% Zn (101 g/t AgEq) over 113.6m, including 46 g/t Ag, 0.16 g/t Au, 0.3% Pb, and 2.9% Zn (173 g/t AgEq) over 45.8m; and hole C21-545 (South Corridor) with 33 g/t Ag, 0.06 g/t Au, 0.7% Pb, and  0.9% Zn (92 g/t AgEq) over 165m, plus 45 g/t Ag, 0.08 g/t Au, 1% Pb, and 1% Zn (119 g/t AgEq) over 25.7m, including 58 g/t Ag, 0.07 g/t Au, 1.1% Pb, and 1.2% Zn (141 g/t AgEq) over 31.3m. “The Company has now completed 47,600 m (86 holes) as part of its Phase 2 drill program. Phase 2 drilling will continue through the remainder of the year and will be focused on three key areas: (1) Pre-Feasibility Study drilling consisting of reserve definition and engineering drilling; (2) resource expansion in the northeast of the deposit and at depth; and (3) initial drill testing of five property-wide targets on the Company’s extensive land package”.
  • GR Silver Mining Ltd., presented channel and drill results from the Loma Dorada – La Colorada Vein System, within its Plomosas project, Sinaloa. Highlights include hole LDS21-CH-014 with 244 g/t Ag and 16.45 g/t Au over 2.3m, including 358 g/t Ag and 6.71 g/t Au over a 1.2m; hole LDS21-CH-015 with 64 g/t Ag and 4.55 g/t Au over 1.9m, including 120 g/t Ag and 8.68 g/t Au over 0.6m; hole LDS21-01A with 25 g/t Ag and 0.36 g/t Au over 12.9m, including 82 g/t Ag and 1.78 g/t Au over 2.1m; and hole LDS21-06 with 9 g/t Ag and 0.21 g/t Au over 23.7m, including 60 g/t Ag and 1.35 g/t Au over 2m. “Drill results from the 2021 drilling program have extended several NNW-SSE trending Au-Ag veins over 600m strike length, and possibly connecting the Loma Dorada and La Colorada vein systems”. Surface channel sampling in the furthest NW portion of La Colorada returned  244 g/t Ag and 16.45 g/t Au over 2.3m  demonstrating attractive high-grade Au-Ag mineralization within the NW-SE trending vein system.
  • Great Panther Mining Limited updated mineral resource estimates for their Topia and Guanajuato Mine Complex (GMC), located in Durango and Guanajuato states respectively. Mineral Resources Estimates for each mine are shown in the tables below:

ON DEALS AND CORPORATE ISSUES

  • Monarca Minerals Inc., announced the resignation of its current President and CEO effective March 4, 2022, and the appointment of the replacement. Both members will remain as Directors of the company (San Jose project, Chihuahua).

ON SOCIAL RESPONSIBILITY

  • Grupo México continues to firmly support Cananea against COVID-19. The company donated more than 900 personal protection items to government institutions, civil society organizations and the City Hall of Cananea.
  • Fundación Grupo México launched a contest to present high-impact projects for the solution of social and/or environmental problems. Through the Foundation’s Institutional Support area, it seeks to implement this type of initiative with the aim of adding to the transformation of the cycle of traditional philanthropy, offering a procurement model that provides training, accompaniment, alliances and a novel funding source; thus contributing to creating a new vision of Corporate Social Responsibility and philanthropy.
  • Peñoles and Fresnillo plc promote the participation of girls and women in science. Peñoles and Fresnillo plc have sponsored teams throughout the country, whose members show an unparalleled passion for the challenge of developing robotics projects that represent an opportunity for social, economic and environmental improvement in their communities.
  • Minera Cuzcatlán (Fortuna Silver Mines Inc.) informed that the 460 tons  generated by the company of urban solid waste and special handling in 2021 were subjected to recycling and use processes, fulfilling the objective of caring for the environment, taking advantage of resources and protecting the health of the people, collaborators, and surrounding communities.

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 from a low sulphidation epithermal vein project in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Second Week of December, 2021

By Jorge Cirett

During the 49th week of the year (December 6th to December 12th, 2021), at least 20 press releases were announced by companies working in Mexico. To note, four companies posted exploration advances on their properties, there were no mining related news, two released financing news, one more settled a debt with shares and one more qualified to trade on the OTCQB; two companies released resource estimates, one posted on drilling results from an advanced property and one more provided an update on ramping up mining activities. One company changed its name and one more is to create a spin-off company for its remaining exploration projects. ON MEXICO ISSUES, Sonora, Guerrero and Oaxaca can become poles of mining activity. Camimex asked the president to ease the grip on the issuance of mining concessions, as it is to strangle the industry. The Zacatecas Mining Cluster inaugurated Quantum City. The national employment service increased the jobs offered in the mining industry. ON EXPLORATION, In Sonora, Heliostar Metals commenced drilling at Cumaro; Tocvan Ventures is trenching at Pilar. In Sinaloa, Vizsla Silver released drilling results from the Napoleon deposit at Panuco. In Guerrero, Pantera Silver received a drill permit for Nuevo Taxco. ON MINING, no relevant news. ON FINANCING, Guanajuato Silver and Prismo Metals announced or closed financing rounds for C$9.52 M and $2 M respectively. Aloro Mining is to settle a $211 K debt with shares. Sierra Madre Gold and Silver qualified for trading at the OTCQB in the USA. ON RESOURCES AND DEVELOPMENT, Discovery Silver filed the technical report with updated mineral resources at Cordero. Fabled Silver released drill results at Santa Maria. GoGold presented the initial mineral resource estimate on four deposits at Los Ricos North project, and current resources at Los Ricos Sur and the Parral tailings projects. Minera Alamos updated on ramping up of mining at Santana. Oroco Resources released its first drilling results from drilling the Santo Tomás deposit in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Advance Gold changed its name to Advance Lithium Corp., and Solaris Resources intends to transfer its non-core assets to a subsidiary company. Prime Meridian Resources optioned the La Verde Grande project in Sonora, for which is to forward US400 K in cash and US$8 M in shares in staged payments. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • According to a note by Mexico Business News, Sonora, Guerrero and Oaxaca are to be poles of mining exploration in the coming years.
  • Camimex (Cámara Minera de México) asked the AMLO presidency to grant new mining concessions, as the lack of issuance of titles is to result in a shortage of mines in the future due to the lack of exploration. Mexico has seen its standing on the Fraser Institute report to fall from the 29 to the 42 position from 2018 to 2020.
  • The Zacatecas Mining Cluster inaugurated its Mining Center in Quantum City, to forward research, innovation and technological development in the State’s mining industry.
  • The Servicio Nacional de Empleo (National Employment Service) increased its jobs offer in the mining industry.

ON EXPLORATION

  • Vizsla Silver Corp. released results from twenty one drill holes targeting the Napoleon vein resource area, at Panuco, Sinaloa. The Napoleon vein measures approximately 1,000 m by 3.86 m in width, to a depth of 400 m, averaging 148 gpt Ag, 2.90 gpt Au, 0.46% Pb, 1.44% Zn (453 gpt AgEq), while the greater Napoleon vein resource area (including the previous one) measures 1,820 m by an average of 3.36 m in width to a depth of 300 m, averaging 142 gpt Ag, 2.62 gpt Au, 0.46% Pb, 1.39% Zn (421 gpt AgEq). Highlighted true width intercepts comprise 5.76 m @ 0.81 gpt Au, 56 gpt Ag, 0.8% Pb, 2.5% Zn; 1.21 m @ 2.25 gpt Au, 26 gpt Ag; 10.69 m @ 1.21 gpt Au, 220 gpt Ag, 0.4% Pb, 0.8% Zn; 1.74 m @ 0.29 gpt Au, 206 gpt Ag; 1.63 m @ 2.69 gpt Au, 34 gpt Ag, 0.2% Pb, 2.2% Zn; 2.52 m @ 0.54 gpt Au, 156 gpt Ag; 1.14 m @ 4.75 gpt Au, 128 gpt Ag, 1.2% Pb, 2.5% Zn; 2.90 m @ 0.76 gpt Au, 210 gpt Ag, 2.2% Pb, 1.8% Zn.
  • Heliostar Metals Ltd. commenced a drill program at its Cumaro project in Sonora. The drill program will focus on the Verde, Basaitegui and Palmita vein corridors. The Verde target comprises three veins with 530 m strike length 0.5 to 5.0 m in width, where previous surface sampling has returned 5.0 m @ 10.3 gpt Au, 168 gpt Ag; 5.9 m @ 2.65 gpt Au, 105 gpt Ag; 3.0 m @ 4.68 gpt Au, 61 gpt Ag; 1.75 m @ 11.5 gpt Au, 125 gpt Ag. At the Basaitegui target vein textures indicate a shallower part of the system is exposed and the vein at depth is to be tested. At the 1.7 km long Palmita target the mineralization system is also interpreted as shallow and the aim is to intercept the vein at depth.
  • Pantera Silver Corp. received a drill permit from the government for its Nuevo Taxco project in Guerrero. The maiden drill program is focused on priority targets within 135 ha area historically prepared for drilling by Impact Silver. This area hosts over 21 veins with “substantial width” and mapped lengths of 150 to 350 m, remaining open along strike and depth.
  • Tocvan Ventures Corp. updated on the trenching program at the Pilar project in Sonora. “Trenching is currently underway with four trenches completed to date at 4-Trench, North Hill and Main Zone targets”. At the Main zone the plan is to test an area where surface sampling has returned 10 m @ 2.5 gpt Au, 27 gpt Ag.

ON MINING

  • No relevant news.

ON FINANCING

  • Guanajuato Silver Company Ltd. closed the second and final tranche of its non-brokered private placement offering, for gross proceeds of C$9.52 M (El Cubo, Guanajuato).
  • Prismo Metals Inc. announced a non-brokered private placement intended to raise gross proceeds of up to $2 M (Los Pavitos, Sonora).
  • Aloro Mining Corp. intends to settle a debt for $211.2 K to various insiders of the company with 3.84 M shares (Los Venados, Sonora).
  • Sierra Madre Gold and Silver Ltd. announced it has qualified for trading on the OTCQB Venture Market in the United States operated by the OTC Markets Group Inc. (Tepic and La Tigra projects, Nayarit).

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp. filed the technical report with the update of mineral resources for the Cordero project in Chihuahua. The NI-43-101 report for the preliminary economic assessment (PEA) for Cordero will be filed within 45 days of November 30, 2021.
  • Fabled Silver Gold Corp. released results from one more hole at Santa Maria in Chihuahua. Nine core length intervals 1.5 to 3.0 m in width returned up to 0.16 gpt Au, 66 gpt Ag.
  • GoGold Resources Inc. released its initial mineral resource estimate for the Los Ricos North project in Jalisco, and updated the mineral reserve at the Parral tailings operation. Oxide indicated mineral from the El Favor, Casados, La Trini and Mololoa deposits adds up to 14.5 M tonnes @ 0.37 gpt Au, 100 gpt Ag, and inferred mineral resources of 15.0 m tonnes @ 0.28 gpt Au, 95 gpt Ag, containing 171 K Oz Au, 46.5 M Oz Ag and 136 K Oz Au, 44.1 M Oz Ag respectively. At El Orito sulfide zone there are 7.8 M tonnes @ 0.06 gpt Au, 28 gpt Ag, 0.11% Cu, 0.88% Pb, 1.33% Zn as indicated resources, and 5.5 M tonnes @ 0.06 gpt Au, 28 gpt Ag, 0.12% Cu, 0.74% Pb, 1.20% Zn as inferred resources, containing 15 K Oz Au, 7 M Oz Ag, 19 M Lb Cu, 151 M Lb, Pb, 229 M Lb Zn and 11 K Oz Au, 4.9 M Oz Ag, 15 M Lb Cu, 90 M Lb Pb, 146 M Lb Zn respectively, for a grand total of 334 K Oz Au, 93.5 M Oz Ag, 34 M Lb Cu, 241 M Lb Pb, 375 M Lb Zn. At the neighboring Los Ricos Sur project, the company holds 385 K Oz Au, 49.9 M Oz Ag in measured, indicated and inferred resources. At the Parral tailing project proven and probable mineral reserves are 12.8 M tonnes @ 0.35 gpt Au, 32.6 gpt Ag, containing 144 K Oz Au, 13.4 M Oz Ag.
  • Minera Alamos Inc. provided an update on the ramping-up of mining at Santana, in Sonora. Over 7,300 Oz Au have been placed on the leach pad, while cumulative gold recovery from ore under leach for more than 30 days his approaching 70%. “Mining and crushing activities at the project site continue to progress as operating experience is gained and the available Nicho Norte starter pit operating areas increase”.
  • Oroco Resources Corp. released results from drilling at its Santo Tomas project in Sinaloa. The eight holes completed so far in the North zone and drilling continues, whilst results for the first three holes have been received. Copper grades are comparable to historical grades and confirm the 2009 gradeshell model of Cu > 0.3%, with chalcopyrite and bornite disseminations and veinlets with sparse pyrite. “Sulphide mineralization in the main intersections on the North Zone are hosted in strongly potassic-altered volcanic and intrusive rocks with an overprint of phyllic alteration”. Highlighted core-length intervals comprise 255.0 m @ 0.39% Cu, 100 ppm Mo, 45 ppb Au; 280.1 m @ 0.38% Cu, 120 ppm Mo, 25 ppb Au; 25.5 m @ 0.29% Cu, 150 ppm Mo, 20 ppb Au; 14.3 m @ 0.50 % Cu, 80 ppm Mo, 26 ppb Au; 207.7 m @ 0.39% Cu, 140 ppm Mo, 19 ppb Au; 76.2 m @ 0.18% Cu, 20 ppm Mo, 7 ppb Au.
  • Prime Mining Corp. updated on exploration at its Los Reyes project in Sinaloa. Exploration results during the Q3 2021 include the discovery of Au-Ag mineralization in San Miguel East pit-constrained resource, in addition to near surface mineralization at Las Primas, additional high-grade results at Guadalupe East and strike and depth potential of the Zapote-Tahonitas mineralized structure. The planned phase two drilling program is to comprise 250 new holes and a minimum of 50,000 m.

ON DEALS AND CORPORATE ISSUES

  • Advance Gold Corp. changed its name to Advance Lithium Corp. (Tabasqueña, Zacatecas).
  • Solaris Resources Inc. intends to transfer its non-core assets in Ecuador, Peru, Chile and Mexico, into a newly incorporated subsidiary named Solaris Exploration Inc., while Solaris Resources focuses on the Warintza project in Ecuador (La Verde (60%), Michoacan).
  • Prime Meridian Resources Corp. executed a letter of intent (LOI) to purchase up to 100% interest in La Verde Grande 2,493 ha project in Sonora. “The Company’s plan is to fast-track the exploration and development of the seven currently known Cu-Zn-Ag-Au skarn zones, while evaluating in parallel, the significant opportunity for the discovery of copper porphyry mineralization proximal to those skarn zones”. PMR will make cash payments of US$400 K and payments in shares of US$8 M to acquire up to 100% indirect ownership of the La Verde project, subject to a 2% royalty. Upon completing the US$400 K payment, PMR will have earned 5% indirect ownership of the La Verde project, and further 45% indirect ownership upon issuance of 25 M shares @ CA$0.15 per share. PMR will acquire further 25% indirect interest by issuing an additional US$3 M in shares before the first anniversary. A final 25% indirect interest will be earned by issuing US$2 M in shares before the second anniversary. Of the 2% royalty, 1% can be bought by US$1.0 M.

ON SOCIAL RESPONSIBILITY

  • No relevant news.

On the image below: X marks the spot. Mafic dike on granitic intrusive rock in Sonora. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Second Week of November, 2021

By Jorge Cirett

During the 45th week of the year (November 8th to November 14th, 2021), at least 22 press releases were announced by companies working in Mexico. To note, seven companies posted exploration advances on their properties, five released Q3 reports, two on financing related news and one on marketing services contracting, while five companies posted on project development or resource definition and one more on a project acquisition. ON MEXICO ISSUES, no relevant news. ON EXPLORATION, In Sonora, Starcore International is exploring its Tecouitla and Meztli 4 concessions; Colibri Resources started RC drilling at Evelyn; Minaurum Gold informed on drilling at Alamos Silver; Silver Tiger reported high-grade results from drilling at El Tigre; Tocvan Ventures commenced field operations at Pilar. In Durango, Canasil Resources is to resume drilling at Nora.   ON MINING, Gatos Silver, Avino Silver, Pan American Silver, Fortuna Silver and Endeavour Silver (all silver companies) presented their Q3 2021 reports. ON FINANCING, Candelaria Mining contracted the service of two marketing companies. Heliostar Metals closed a financing round for $4 M. Great Panther announced the underwriting of $20 M in shares. ON RESOURCES AND DEVELOPMENT, Fabled Silver released results from underground drilling at Santa Maria, Chihuahua. GoGold Resources reported drilling results from Los Ricos North in Jalisco. Pan American Silver disclosed further impressive drilling results from La Colorada Skarn in Zacatecas. Golden Minerals released RC drilling results from Rodeo, Durango. Osisko Development disclosed drilling results from the Sapuchi deposit at San Antonio in Sonora.   ON DEALS AND CORPORATE ISSUES, Millrock Resources singed an agreement with Mine Discovery Fund on El Batamote property in Sonora. ON SOCIAL RESPONSIBILITY, Coanzamex, Industrias Peñoles and Fresnillo PLC informed on its support for communities, science and education.

ON MEXICO ISSUES

  • No Relevant News.

ON EXPLORATION

  • Starcore International Mines Ltd. is to start drilling at it “Meztli 4” and “Tecouilta” mining concessions in Sonora. The first stage drilling is to explore five veins that have more than eight months of reconnaissance work and 2,000 surface samples. Starcore holds 14,451 hectares in the area, which includes the Creston molybdenum deposit. The veins range from 0.55 to 1.07 m in width at the surface, with grades of up to 4.19 gpt Au and 250 gpt Ag.
  • Monarca Minerals Inc. released results from reverse circulation drilling at San Jose, in Chihuahua. “Large volumes of skarn and altered intrusive rocks have been intersected in the drilling …….. Mineralization is hosted in both exoskarn and endoskarn and in silicified intrusive rocks, which are locally potassically altered”. Some of the highlighted hole-length intervals comprise 3 m @ 4.07 gpt Au, 6 gpt Ag, 0.2% Pb, 0.5% Zn; 1.5 m @ 79 gpt Ag, 0.34% cu, 0.4% Pb, 1.5% Zn; 6.1 m @ 0.36 gpt Au, 3 gpt Ag, 1% Cu; 3 m @ 3.11 gpt Au, 32 gpt Ag, 0.13 % Cu; 1.5 m @ 0.92 gpt Au, 2 gpt Ag; 4.6 m @ 0.13 gpt Au, 0.33% Cu.
  • Colibri Resources Corp. started reverse circulation drilling at its Evelyn project in Sonora. The first 5,000 m phase of drilling will take approximately two months, focusing on targets generated by high-grade surface and trench sample results coincident with magnetic gradients and lineaments and mapped structures.
  • Minaurum Gold Inc. informed on drilling results at its Alamos Silver project in Sonora. “. Drilling at the Alessandra vein recently discovered a blind Ag-Cu-Pb-Zn skarn that is open in all directions while ongoing drilling at Europa-Guadalupe continues to delineate a high-grade mineralized vein system which is now been extended by 40% to at least 800 meters in length. Europa-Guadalupe remains open at depth and along strike”. Highlighted core-length results comprise 1.60 m @ 174 gpt Ag, 1.3% Cu; 1.20 m @ 0.3% Pb, 2.4% Zn; 5.05 m @ 106 gpt Ag, 0.2% Pb, 0.5% Zn; 2.25 m @ 228 gpt Ag, 0.1 gpt Au, 0.17% Cu, 0.5% Pb, 1.3% Zn; 1.55 m @ 139 gpt Ag, 0.13% Cu, 0.1% Pb, 0.2% Zn; 1.65 m @ 240 gpt Ag, 0.4% Cu, 0.5% Pb, 0.6% Zn; 1.10 m @ 1.2% Pb, 7.6% Zn; 0.90 m @ 57 gpt Ag, 0.24 gpt Au, 1.0% Pb, 3.0% Zn; 3.85 m @ 57 gpt Ag, 0.56 gpt Au, 0.8% Pb, 2.1% Zn; 11.05 m @ 120 gpt Ag, 0.25 gpt Au, 1.12% Cu, 0.4% Pb, 1.8% Zn; 6.40 m @ 147 gpt Ag, 0.13% Cu, 0.3% Pb, 0.6% Zn; 0.95 m @ 435 gpt Ag, 0.35 gpt Au, 0.43% Cu, 1.4% Pb, 3.6% Zn; 0.70 m @ 513 gpt Ag, 0.26% Cu, 0.2% Pb, 0.3% Zn; 1.50 m @ 1.1 gpt Au; 2.85 m @ 91 gpt Ag, 0.24% Cu, 0.3% Pb, 0.5% Zn; 21.85 m @ 62 gpt Ag, 0.14% Cu, 0.2% Pb, 0.4% Zn.
  • Silver Tiger Metals Inc. reported high-grade results from drilling on the Seitz Kelley vein at El Tigre project in Sonora. Highlighted core-length intervals comprise 17.5 m @ 31.53 gpt Au, 139 gpt Ag, 0.11% Cu, 0.9% Pb, 2.2% Zn, including 1.6 m @ 343.12 gpt Au, 238 gpt Ag, 0.1% Cu, 1.6% Pb, 2.6% Zn (which includes 0.5 m @ 1,097.8 gpt Au, 255 gpt Ag), and 7.1 m @ 0.21 gpt Au, 277 gpt Ag, 0.24% Cu, 1.8% Pb, 4.7% Zn. “The historical underground workings on the Seitz Kelly vein extended over a strike length of 1,000 meters on 11 working levels. Geological and assay plan maps from the original operations were recovered from the Anaconda Collection archives at the University of Wyoming. A total of 5,301 underground channel samples with gold and silver assays in the Seitz Kelly workings (levels, raises, winzes, crosscuts) were digitized and plotted. Mining on the upper levels of the Seitz Kelly vein was advanced to Section 5500N but only to 5100N on Level 6 and 5000N on Level 7 below the Espuelas Canyon (see Sooy and Seitz Kelly Vein Plan Map) when the mine shut down in 1930. Both drifts were advancing to the north in high grade ore”.
  • Tocvan Ventures Corp. commenced field operations at Pilar, in Sonora. The company intends to evaluate surface mineralization with trenching and channel sampling, metallurgical studies and additional 5,000 to 8,000 m of drilling.
  • Canasil Resources Inc. is planning to resume core drilling at the Nora project in Durango. The work is set to start on the third week of November, and is to focus on testing below and along strike extensions of the Candy vein high-grade already defined. Ten holes have tested the Candy vein for 500 m of the 3 Km traced strike on the surface, to a depth of 175 below, returning up to 11.29 true-width @ 5.31 gpt Au, 336 gpt Ag.

ON MINING

  • Gatos Silver Inc. reported third quarter 2021 operational and financial results. At Cerro Los Gatos in Chihuahua, 242.9 K tonnes were mined, 234 K tonnes milled at 2,544 tpd, averaging 256 gpt Ag, 0.30 gpt Au, 2.35% Pb, 4.10% Zn, containing 1.7 M Oz Ag, 1.3 K Oz Au, 10.8 M Lb Pb, 13.5 M Lb Zn, having recovered 89% Ag, 63% Au, 91% Pb, 74% Zn. By-product cash cost was $3.58 per AgEq Oz and By-product AISC $19.57 per AgEq Oz.
  • Avino Silver & Gold Mines Ltd. presented its consolidated financial results for the third quarter 2021. During the period at the Avino mine in Durango, 58.2 K tonnes were milled to produce 77.9 K Oz Ag, 1,183 Oz Au, 685.5 K Lb Cu, at cash cost $6.75 per AgEq and AISC of $25.60. Currently mining and milling are proceeding at between 1,000 and 1,500 tpd, below the 2,500 tpd plant capacity. As announced before, the La Preciosa property was acquired and plans are being prepared to integrate production into the Avino operations.
  • Pan American Silver Corp. reported unaudited results for the third quarter 2021, including some figures from its Mexican operations. At La Colorada, in Zacatecas, 1.4 M Oz Ag, 700 Oz Au were produced at cash cost $12.65 and AISC $18.48 per Ag Oz. At Dolores, in Chihuahua, 484 K Oz Ag, 39.6 K Oz Au were produced at cash cost $767 and AISC $951 per Au Oz.
  • Fortuna Silver Mines Inc. reported third quarter 2021 financial results, including figures from its Mexican operations. At San Jose, in Oaxaca, 250 K tonnes were milled at an average rate of 2,862 tonnes per day (tpd), grading 185 gpt Ag, 1.22 gpt Au, with recoveries of 92% and 91% respectively, to produce 1.43 M Oz Ag, 8,910 Oz Au at cash cost $9.99 per Oz AgEq and an AISC of $15.51 per Oz AgEq.
  • Endeavour Silver Corp. released its financial results for the Q3 2021. The company operates the Guanaceví mine in Durango and the Bolañitos mine in Guanajuato, having suspended recently operations at the El Compas mine in Zacatecas. During the period 1.3 M Oz Ag, 10,541 Oz Au were produced at $8.16 per Oz Ag and AISC of $17.46 per Oz AgEq, net of gold credits.

ON FINANCING

  • Candelaria Mining Corp. has contracted the services of two marketing companies, Adelaide Capital Markets Inc. and Investor News Network (Caballo Blanco, Veracruz).
  • Heliostar Metals Ltd. closed the second and final tranche of its non-brokered private placement offering for gross proceeds of $2.713.6 K, which combined with the first tranche amount to aggregate gross proceeds of $4 M (Cumaro, Sonora).
  • Great Panther Mining Ltd. announced an agreement under which the underwriters are to buy shares of the company for aggregate gross proceeds of $20 M (Guanajuato Mine Complex, Guanajuato and Topia, Durango).

ON RESOURCES AND DEVELOPMENT

  • Fabled Silver Gold Corp. released results from underground diamond drilling on its Santa Maria property in Chihuahua. The highlighted core-length interval is 16.50 m @ 0.04 gpt Au, 20 gpt Ag, including 3.0 m @ 0.11 gpt Au, 42 gpt Ag, and 1.50 m @ 0.11 gpt Au, 50 gpt Ag, and 1.50 m @ 0.12 gpt Au, 33 gpt Ag. The interval is in a dike with 1 mm stockwork quartz/oxidized pyrite veining.
  • GoGold Resources Inc. reported results form 11 holes at Mololoa and 19 holes at El Nayar at its Los Ricos North project in Jalisco. Some of the highlighted core-length intervals at Mololoa comprise 8.5 m @ 0.12 gpt Au, 50 gpt Ag; 23.5 m @ 0.25 gpt Au, 78 gpt Ag; 1.4 m @ 1.87 gpt Au, 798 gpt Ag; 5.0 m @ 0.23 gpt Au, 75 gpt Ag; 19.9 m @ 0.39 gpt Au, 90 gpt Ag; 6.8 m @ 0.12 gpt Au, 51 gpt Ag; 9.7 m @ 0.35 gpt Au, 97 gpt Ag, and 8.0 m @ 0.21 gpt Au, 70 gpt Ag; 7.1 m @ 0.33 gpt Au, 126 gpt Ag; 3.9 m @ 1.73 gpt Au, 288 gpt Ag; 16.6 m @ 0.50 gpt Au, 116 gpt Ag; 5.6 m @ 0.27 gpt Au, 81 gpt Ag; 5.5 m @ 157 gpt Ag; 1.5 m @ 0.36 gpt Au, 335 gpt Ag; 3.8 m @ 0.87 gpt Au, 161 gpt Ag; 14.1 m @ 0.12 gpt Au, 92 gpt Ag; 3.1 m @ 3.20 gpt Au, 67 gpt Ag at El Nayar.
  • Pan American Silver Corp. provided results from 39 infill and step-out holes at La Colorada Skarn in Zacatecas. During the current year 36,000 m of infill drilling and 14,000 m of exploration drilling have been completed, and 18,000 m are planned before the year ends and a further 60,000 m in 2022. Highlighted core length intervals comprise 31.9 m @ 48 gpt Ag, 0.13% Cu, 3.5% Pb, 5.2% Zn; 77.1 m @ 119 gpt Ag, 0.26% Cu, 7.7% Pb, 13.6% Zn; 114.6 m @ 133 gpt Ag, 3.6% Pb, 4.8% Zn; 70.3 m @ 82 gpt Ag, 4.2% Pb, 10.0% Zn; 204.5 m @ 48 gpt Ag, 0.19% Cu, 3.2% Pb, 5.3% Zn; 181.7 m @ 60 gpt Ag, 0.13% Cu, 3.8% Pb, 4.3% Zn; 96.3 m @ 19 gpt Ag, 2.4% Pb, 3.1% Zn; 89.0 m @ 65 gpt Ag, 0.19% Cu, 3.3% Pb, 6.6% Zn; 264.1 m @ 60 gpt Ag, 0.23% Cu, 3.4% Pb, 6.8% Zn; 314.1 m @ 35 gpt Ag, 0.17% Cu, 0.17% Cu, 1.6% Pb, 2.8% Zn; 64.5 m @ 69 gpt Ag, 0.15% Cu, 2.1% Pb, 4.7% Zn; 111.0 m @ 41 gpt Ag, 0.22% Cu, 1.3% Pb, 4.3% Zn.
  • Golden Minerals Co. released assays from its reverse circulation and diamond drill programs at Rodeo, in Durango. Highlighted drilled-length intervals comprise 28 m @ 2.0 gpt Au, 18 gpt Ag; 34 m @ 2.3 gpt Au, 9 gpt Ag; 20 m @ 8.2 gpt Au, 23 gpt Ag; 26 m @ 2.4 gpt Au, 23 gpt Ag; 24 m @ 3.7 gpt Au, 14 gpt Ag. “The 2021 drilling programs conducted at Rodeo consisted of 47 RC holes totaling 3,187m, plus 35 diamond holes totaling 2461m”.
  • Osisko Development Corp. announced drilling results from its exploration and category conversion drill program at its San Antonio project in Sonora. Mineralization at Sapuchi, Golfo de Oro and California is in a hydrothermal breccia 3,000 m long with intense sericite-chlorite alteration in sedimentary rocks, related to an intrusion and interpreted as of iron oxide gold style affinity (IOCG). A total of 27,000 m on 156 holes have been drilled in 2021, of which results for the first 41 holes at Sapuchi were presented on this press release. Core length results comprise 12.50 m @ 2.16 gpt Au; 10.25 m @ 2.37 gpt Au; 17.70 m @ 1.01 gpt Au, 12 gpt Ag; 13.85 m @ 1.50 gpt Au; 9.45 m @ 1.58 gpt Au, 32 gpt Ag; 20.45 m @ 1.08 gpt Au; 22.15 m @ 1.59 gpt Au; 12.65 m @ 2.94 gpt Au; 9.00 m @ 2.24 gpt Au, 14 gpt Ag; 39.90 m @ 1.02 gpt Au; 19.30 m @ 1.60 gpt Au; 22.00 m @ 1.30 gpt Au; 21.65 m @ 2.14 gpt Au; 29.20 m @ 1.52 gpt Au, 14 gpt Ag; 11.85 m @ 1.80 gpt Au; 9.10 m @ 2.19 gpt Au.

ON DEALS AND CORPORATE ISSUES

  • Millrock Resources inc. signed a binding letter agreement (and received a US$50 K payment) with Mine Discovery Fund Pty. Ltd. on its El Batamote property in Sonora. A definitive agreement will be signed once MDF incorporates a subsidiary company in Mexico. To earn a 100% interest in the concessions, cash payments for a total of US$1 M over five years should be made, execute US$6 M in exploration and pay Millrock US$250 K in shares. If the purchase option is exercised, annual advanced minimum royalty payments will have to be made, the first of US$50 K, and then increasing annually until a US$500 K is reached, remaining capped at that level until commercial production is achieved, when a 1% NSR on production enters into effect.  The Batamote property hosts porphyry copper mineralization in the Cananea – La Caridad trend.

ON SOCIAL RESPONSIBILITY

  • Coanzamex informed on its sponsorship of the fire department in Parral, Chihuahua.
  • Industrias Peñoles and Fresnillo PLC informed on their support for basic science and education.
  • Grupo Mexico announced the donation of tree saplings to the Chihuahua government.

On the image below: Porphyritic dike on a porphyry copper project in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of October, 2021

By Jorge Cirett

During the 43rd week of the year (October 25th to October 31st, 2021), at least 34 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties, six released Q3 reports, one on commencement of mining and one other in red tape issues, there were no financing related news, while ten companies posted on project development or resource definition and one more on a project acquisition. ON MEXICO ISSUES, a leftist senator asked for the Mining Fund to be reinstated for the benefit of communities. The head of the Energy Secretariat confirmed plans to create a lithium State company, and the government’s drive to monopolize the electricity market. Mixed market results for Mexican companies in 2021. ON EXPLORATION, In Sonora, Colibri Resources updated on drilling preparations. In Chihuahua, Reyna Silver has drilled the first skarn intervals in the Guigui project, rising the stakes and probing that pursuing geological models can pay off. Radius Gold released good drill results from the California target in the Amalia project. In Durango, Silverton updated on exploration activities at Pluton. In Sinaloa, Brigadier Gold released trench results from El Placer vein system at its Picachos property. In Nayarit, Sierra Madre Gold and Silver released surface sample results.   ON MINING, Fortuna Silver is awaiting a resolution on an application to continue mining at San José, in Oaxaca. Agnico Eagle, Altaley Mining, Guanajuato Silver, Alamos Gold, Coeur Mining, Gold Resource and Fresnillo PLC presented their Q3 2021 reports. Guanajuato Silver shipped its first concentrate from El Cubo mill. ON FINANCING, for the first time in a long period, no relevant news on this matter. ON RESOURCES AND DEVELOPMENT, Sonoro Gold plans a 10,000 m RC drilling campaign alongside the development of a 15 K tpd leach mining operation at Cerro Caliche in Sonora. A PEA has been filed. Barksdale Resources released good drilling results from San Javier, in Sonora. SilverCrest Metals continues construction on budget and on schedule at Las Chispas, Sonora. Excellon Resources presented high-grade drilling results from Platosa, in Durango. Silver Dollar is preparing for drilling at La Joya, Durango. Southern Silver Exploration updated the resource estimate at Cerro Las Minitas, Durango. GoGold Resources released drilling results from Los Ricos North project in Jalisco. Orex Minerals pointed that Fresnillo PLC, its JV partner at the Coneto project in Durango, released a maiden resource estimation. Mag Silver reported production from development at Juanicipio, Zacatecas by its JV partner Fresnillo PLC.   ON DEALS AND CORPORATE ISSUES, Avino silver & Gold Mines acquired the La Preciosa project, neighboring its Avino mine in Durango. Advance Gold filed a patent for lithium extraction from clays and fine sands. ON SOCIAL RESPONSIBILITY, Fresnillo PLC informed on health campaigns in Zacatecas.

ON MEXICO ISSUES

  • Geovanna Bañuelos, senator by the Partido del Trabajo (PT) asked for the Mining Fund to be reinstated in benefit to communities and municipalities where mining takes place.
  • Rocío Nahle, head of the Energy Secretariat, confirmed plans to create a lithium State company, as part of a wider reform in the electricity industry, same that is seen as containing expropriation streaks. The private sector is overwhelmingly against this reform, that is seen to conduct to higher energy prices and pollution, as well to scare other investments from the country.
  • Mixed results for Mexican Mining companies reflect changes in metal prices. Companies that have seen their stock tumble during 2021 include Fresnillo (-20.7% in Mexico, -18.3% in London). Peñoles (-11.4%) and Frisco (-4.2%) by their exposure to precious metals that have contracted by 5% in the case of gold and 7.4% for silver. Companies that have seen their stock appreciate include Autlán (+23.5%) and Grupo Mexico (+13.5%), the latter due to the 26.7% increase in the copper price.

ON EXPLORATION

  • Silverton Metals Corp. updated on the exploration activities at the Pluton project in Durango. The company’s processing and 3-D modelling of geophysical data is showing features not previously identified and defined new target areas. “Magnetometry reprocessing has been completed while ZTEM and gravity modelling are in progress. Permitting is underway for a seismic test line scheduled to be surveyed before year end. The seismic profile is expected to determine the depth to carbonate rocks” which might determine the depth to the favorable carbonate rocks.
  • Brigadier Gold Ltd. released results from additional trenches at El Placer Sur vein system at its 3,954-hectare Picachos project in Sinaloa. The property shows a porphyry Cu-Mo in an intrusive complex and Au-Ag-Cu-Pb-Zn veins. Intrusion hosted bulk tonnage coppers is exposed on the lower elevations, with sericitic breccias bearing Mo-rich stockworks a little bit above and peripheral to these, Au-Cu-Pb-Zn veins occur with propylitic, argillic and sericitic alteration on host rocks. At EL Placer Sur, veins historically mined on narrow widths are showing wider spans in trenches, like 10.65 m @ 2.08 gpt Au, 38 gpt Ag, 638 ppm Cu, 2.9% Pb, 3.5% Zn; 5 m @ 3.37 gpt Au, 3 gpt Ag.
  • Radius Gold Inc. released high-grade results from drilling by Pan American Silver Corp. of the California target at the Amalia project in Chihuahua. “The California vein breccia system has been mapped for 2.8km” with 3,814 m of drilling limited to 1km. Reported intervals include 6.20 m @ 93 gpt Ag, 0.43 gpt Au; 27.30 m @ 90 gpt Ag, 0.26 gpt Au; 50.40 m @ 50 gpt Ag, 0.05 gpt Au; 3.95 m @ 487 gpt Ag, 2.15 gpt Au; 17.15 m @ 35 gpt Ag, 0.07 gpt Au; 1.75 m @ 578 gpt Ag, 0.27 gpt Au; 11.20 m @ 379 gpt Ag, 1.26 gpt Au; 26.90 m @ 353 gpt Ag, 2.59 gpt Au (including 7.50 m @ 976 gpt Ag, 7.38 gpt Au); 11.15 m @ 99 gpt Ag, 0.64 gpt Au.
  • Reyna Silver Corp. reported initial results for its 13-hole drilling program at Guigui, in Chihuahua. “The program was designed to narrow down the location of the probable source intrusion for the Santa Eulalia District- Mexico’s largest known Carbonate Replacement Deposit (CRD)”. Two holes cut a 200 m thick rhyolitic intrusion, starting at 1,309 m of depth, previously unknown in the district, with extensive high-grade mineralization at its base. The highlighted interval comprises 54.90 m @ 23 gpt Ag, 0.67% Pb, 1.86% Zn, including 15.80 m @ 60 gpt Ag, 2.19% Pb, 5.85% Zn. The epidote skarn present shows textural evidence for multiple stages of formation that point to repeated pulses of mineralization related to a possible multi-phase intrusive center (Note by Editor.- Congratulations to Peter Megaw, who has been relentlessly pursuing this beast for several
  • Sierra Madre Gold and Silver Ltd. released results from assaying of 319 reconnaissance surface samples at La Tigra, Nayarit. The samples average 0.48 gpt Au, with 10% of the total returning more than 1 gpt Au and a peak of 18.2 gpt Au.
  • Colibri Resource Corp. updated on preparations for drilling at Evelyn in Sonora. Current work includes geological mapping and sampling, as well as construction of drill access roads and pads. The incoming reverse circulation program of up to 10,000 m will be based on the surface distribution of higher-grade assay results coincident with magnetic gradients and lineaments, as well as mapped structures.

ON MINING

  • Fortuna Silver Mines Inc. informed the company filed with SEMARNAT (Environmental regulator) an application to extend by ten years the term of the environmental impact authorization (EIA) on its San Jose mine in Oaxaca. SEMARNAT has failed to resolve timely on the application, and Fortuna has obtained a provisional injunction from a federal court that allows the continued operation of the San Jose mine beyond the expiry date of the EIA. The company is seeking “an additional injunction to permit the continued operation of the San Jose Mine until the extension to the EIA is granted”.
  • Agnico Eagle Mines Ltd. presented Q3 2021 results, including figures from its Mexican operations. At Pinos Altos, in Chihuahua, 444 K tonnes were processed at a rate of 4,826 tonnes per day (tpd), averaging 2.40 gpt Au, to produce 32,402 Oz Au at production cash cost $1,156 per Oz Au and total cash cost of $854 per Oz Au. At Creston Mascota, residual leaching produced 2,988 Oz Au at $593 per Oz Au and total cost of $486 per Oz Au. At La India, in Sonora, 1.23 M tonnes were processed at a rate of 13,402 tpd and a grade of 0.62 gpt Au, to produce 17,124 Oz Au at a production cost of $931 per Oz Au and a total cash cost of $971 pr Oz Au.
  • Altaley Mining Corp. provided preliminary production results for the quarter ending on September 30, 2021. At Campo Morado in Guerrero, 163.7 K tonnes were milled @ 1.2 gpt Au, 129 gpt Ag, 1.1% Pb, 4.5% Zn, recovering 22% Au, 46% Ag, 31% Pb, 74% Zn to produce 11.8 K tonnes of Zn concentrate and 2.7 K tonnes of Pb concentrate.
  • Guanajuato Silver Company Ltd. announced the first shipment of Au-Ag concentrate from El Cubo mill in Guanajuato. Approximately 75 tonnes of concentrate produced on the recently refurbished processing plant, averaging 200 Oz Ag per tonne and 2 Oz Au per tonne.
  • Alamos Gold Inc. presented its third quarter 2021 production report, including figures from its Mexican operations. At Mulatos, in Sonora, 744.8 K tonnes of ore and 1.675 M tonnes of waste were moved, with 1.58 M tonnes stacked @ 1.08 gpt Au, containing 54,999 Oz Au with a recovery rate of 49% Au to produce 26,700 Oz Au. A further 6.3 M tonnes of waste were moved at La Yaqui Grande pit, as part of pre-stripping. Production was significantly impacted by an above-average rainy season.
  • Coeur Mining Inc. reported third quarter financial results including figures from its operation in Mexico. At Palmarejo in Chihuahua, 517.4 K tonnes were milled @ 1.55 gpt Au, 120 gpt Ag, recovering 93.7% Au, 85.5% Ag to produce 24,254 Oz Au, 1.7 M Oz Ag. La Preciosa deposit in Durango was sold to Avino Silver & Gold Mines Ltd. for a total potential consideration between 58.8 M and $93.4 M plus two royalties.
  • Gold Resource Corp. reported Q3 2021 results. At the Don David mine in Oaxaca, 155.5 K tonnes were milled @ 1.26 gpt Au, 68 gpt Ag, 0.40% Cu, 1.9% Pb, 5.0% Zn, to produce 4,728 Oz Au, 324.6 K Oz Ag, 428 tonnes Cu, 2,157 tonnes Pb, 5,538 tonnes Zn.
  • Fresnillo PLC reported production of 12.7 M Oz Ag in the third quarter of 2021. The company maintains the 2021 guidance between 53.5 M Oz Ag and 59.5 M Oz Ag.

ON FINANCING

  • No Relevant News.

ON RESOURCES AND DEVELOPMENT

  • Sonoro Gold Corp. intends to resume drilling at the Cerro Caliche project in Sonora, with a 10,000 m reverse circulation (RC) drilling campaign. The drilling is to proceed alongside the proposed development of 15,000 tonnes per day (tpd) heap leach mining operation. The six-month program is to focus in expanding oxide gold mineralization and some potential high-grade targets in a total of 12 zones, with holes averaging 100-110 m in depth.
  • Barksdale Resources Corp. released good drill results from the current 5,000m program at its San Javier project in Sonora. Results from the Cerro Verde zone testing gaps between historically known mineralization intercepted 38.5 m @ 0.38% Cu, 0.38 gpt Au and 51 m @ 0.32% Cu, 0.29 gpt Au in one hole, with a 27 m 1.97 gpt Au interval partially overlapping with these two zones. Another hole intercepted 105 m @ 0.63% Cu, 0.40 gpt Au, including 15 m @ 1.01% Cu; 9 m @ 1.57% Cu, 2.20 gpt Au; with a 18 m @ 1.77 gpt Au, 0.97% Cu interval partially overlapping and an independent 21 m @ 0.55 gpt Au interval. To date 24 diamond drill holes have been completed, of which the first four were drilled partially or completely in PQ size (for metallurgical studies), and the rest as HQ size.  
  • SilverCrest Metals Inc. advised project construction continues on schedule and budget at its Las Chispas property in Sonora. Well-advanced or completed areas comprise the plant detailed engineering, process plant construction, electrical powerline (81 Km) construction, bridge construction, confined camp construction, access road construction, underground development, underground infrastructure and stockpile growth, dry stack tailings facility and assay lab construction.
  • Excellon Resources Inc. presented results from underground drilling at Platosa, in Durango. Highlighted core-length intervals comprise 7.5 m @ 648 gpt Ag, 2.6% Pb, 1.4% Zn; 2.2 m @ 2,160 gpt Ag, 24.6% Pb, 7.2% Zn; 0.5 m @ 4,451 gpt Ag, 8.8% Pb, 12.2% Zn, 0.2 gpt Au; 3.4 m @ 501 gpt Ag, 5.8% Pb, 4.4% Zn; 0.9 m @ 1,310 gpt Ag, 9.8% Pb, 4.2% Zn, 0.1 gpt Au; 1.4 m @ 585 gpt Ag, 4.5% Pb, 3.0% Zn; 3.4 m @ 766 gpt Ag, 4.7% Pb, 3.5% Zn; 1.5 m @ 445 gpt Ag, 3.9% Pb, 7.4% Zn; 2.7 m @ 523 gpt Ag, 3.5% Pb, 8.5% Zn; 1.9 m @ 748 gpt Ag, 4.0% Pb, 12.8% Zn.
  • Silver Dollar Resources Inc. is relogging and resampling select historical drill core, along with targeted surface sampling and mapping to refine drill locations for its incoming drilling program at La Joya, Durango.
  • Southern Silver Exploration Corp. updated its mineral resource estimate on Cerro Las Minitas project in Durango. Indicated sulfide mineral resources stand at 12.32 M tonnes @ 106 gpt Ag, 0.07 gpt Au, 1.3 % Pb, 3.3% Zn, 0.16% Cu (347 gpt AgEq) containing 42.1 M Oz Ag, 28 K Oz Au, 358 M Lb Pb, 895 M Lb Zn, 44 M Lb Cu (137.3 M Oz AgEq) and inferred sulfide resources at 19.6 M tonnes @ 117 gpt Ag, 0.12 gpt Au, 1.2% Pb, 2.3% Zn, 0.23% Cu (314 gpt AgEq), containing 73.6 M Oz Ag, 78 K Oz Au, 500 M Lb Pb, 1,009 M Lb Zn, 98 M Lb Cu (197.7 M Oz AgEq).
  • GoGold Resources Inc. released the results of four drill holes from the El Favor East zone at its Los Ricos North project in Jalisco. Highlighted core-length results comprise 10.1 m @ 0.14 gpt Au, 42 gpt Ag; 27.5 m @ 0.04 gpt Au, 40 gpt Ag; 22.0 m @ 0.45 gpt Au, 151 gpt Ag (including 1.3 m @ 4.16 gpt Au, 827 gpt Ag); 20.0 m @ 0.37 gpt Au, 122 gpt Ag; 4.8 m @ 0.28 gpt Au, 107 gpt Ag; 1.4 m @ 0.40 gpt Au, 29 gpt Ag; 1.3 m @ 0.15 gpt Au, 60 gpt Ag; 12.1 m @ 0.32 gpt Au, 89 gpt Ag (including 1.3 m @ 1.94 gpt Au, 348 gpt Ag). The new drilling extended El Favor East for another 150 m.
  • Orex Minerals Inc. announced that the joint venture company which is 55% Fresnillo and 45% Orex received results from the first mineral resource estimate at the Coneto project in Durango. A total of 38,515 m of drilling in 106 diamond holes were used to calculate 5.32 M tonnes @ 1.67 gpt Au, 112 gpt Ag (3.15 gpt AuEq) containing 286 K Oz Au, 19.1 M Oz Ag (538 K Oz AuEq) in inferred resources.
  • Mag Silver Corp. reported 2021 third quarter production of underground development material from the Juanicipio project (56% Fresnillo PLC/44% Mag Silver). During the period 57.1 K tonnes were processed to produce 667.5 K Oz Ag, 1,107 Oz Au. “Construction of the Juanicipio processing plant continues to make good progress, with the focus now on transitioning from construction to commissioning activities”.
  • Sonoro Gold Corp. filed a preliminary economic assessment (PEA) of the Cerro Caliche project in Sonora. The report envisages a Pre-Tax NPV (5%) of US$6.7 M and an IRR of 52.7% with a price of US$1,750 per Oz Au; 7 years of life of mine producing an average of 45.7 K Oz Au for a total of 325 K Oz Au; recoveries of 74% Au and 27% Ag; AISC of US$1,351 per Oz Au; 349 K Oz Au measured and indicated resources at 0.41 gpt Au and 71 K Oz Au of inferred resources at 0.40 gpt Au.

ON DEALS AND CORPORATE ISSUES

  • Advance Gold Corp. filed a patent application to extract lithium and potassium from clay and fine sand salars. The company intends to use this environmentally friendly method from its properties in central Mexico. The method uses water and an electrical process to obtain a solution of Li and K that can produce a high-grade concentrate from which Li and K extracted using organic compounds.
  • Avino Silver & Gold Mines Ltd. acquired the La Preciosa project in Durango from Coeur Mining Inc. through the purchase of the shares of holding companies. La Preciosa is neighboring to the Avino mine, with operational synergies due to its location. Furthermore, metallurgical testing of ore achieved 80% Au and 60% gold recovery using flotation methods currently used at Avino’s mill facilities. La Preciosa holds 99 Moz Ag, 189 K Oz Au in indicated resources and 21 M Oz Ag, 35 K Oz Au in inferred resources. Avino agreed to pay a cash consideration of $15 M on closing and $5 M a year after closing, and issue 14 M shares (~12% of Avino stock will be owned by Coeur). A contingent cash consideration of $8.75 M will be paid within one year of commencement of mining. “Coeur will retain ownership of a 1.25% net smelter return royalty on the Gloria and Abundancia areas of La Preciosa, and a 2.00% gross value royalty on all areas of La Preciosa other than the Gloria and Abundancia areas”.

ON SOCIAL RESPONSIBILITY

  • Fresnillo PLC informed on health campaigns in Zacatecas.

On the image below: Calc-sodic alteration along epidote veinlets in intrusive rocks on a project in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Second Week of October, 2021

By Jorge Cirett

During the 41st week of the year (October 11th to October 17th, 2021), at least 25 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties, six released Q3 reports and one on commencement of mining, two on financing and eight more on project development or resource definition and one more on mining concessions acquisitions. ON MEXICO ISSUES, Mexico’s president presented a proposal to change the law in the energy industry, but also restricting lithium exploration and production to the government. Several other elements could be included in the bill, referred to as “strategic minerals”, without elaborating, although a government party senator named cobalt, niquel, rare earths and even copper. ON EXPLORATION, In Sonora, Benjamin Hill Mining released results from geophysical processing and from fluid inclusion studies that support a buried intrusive source for the mineralization at the Benjamin Hill property; Canuc Resources updated on its deep drilling program at San Javier; Colibri Resources received the permit to drill Evelyn. In Chihuahua, Kootenay silver increased land holdings at its Columba project. In Sinaloa, Vizsla Silver presented drilling results from the Tajitos zone at its Panuco project.   ON MINING, Guanajuato Silver commenced mining at El Cubo, in Guanajuato. First Majestic Silver, Golden Minerals, Gold Resource, Magna Gold, Aura Minerals and Avino Silver & Gold Mines presented its Q3 2021 reports. ON FINANCING, Candelaria Mining informed one of its lenders, Accendo Banco, had its operating permit revoked by Mexican authorities. Xali Gold announced Sun River Gold arranged a financing for US$6.5 M for the tailings project at El Oro, Estado de Mexico. ON RESOURCES AND DEVELOPMENT, GR Silver Mining filed a NI-43-101 technical report on the Plomosas project, Sinaloa. Orla Mining provided an update on the construction of the Camino Rojo Oxide project. Prime Mining released further drilling results from Los Reyes, Sinaloa. Fabled Silver Gold released underground drilling results for Santa Maria, in Chihuahua. GoGold Resources reported results from drilling at El Favor, on its Los Ricos North project located in Jalisco. Golden Tag resources is adding 4,500 m to its 2021 drilling program at San Diego, Durango. Capitan Mining reported results from drilling at El Capitan, in Durango. Zacatecas Silver is drilling the Panuco and Las Cruces areas, at its Zacatecas project, results pending.   ON DEALS AND CORPORATE ISSUES, Argonaut Gold acquired from Fresnillo PLC 4,791 ha in key concessions surrounding its San Agustin mine in Durango. ON SOCIAL RESPONSIBILITY, Minera Media Luna, Peñols, Newmont Peñasquito and Pan American Silver informed on community programs in education and health.

ON MEXICO ISSUES

  • Mexico is far from being a powerhouse in lithium production according to the Statistical Review of World Energy 2021 by BP. Australia, Chile and China hold 81.2% of reserves and 86.5% of lithium production, whereas Argentina, Brazil, Portugal, the United States and Zimbabwe account for 20.5% of reserves and 12.8% of the production. Camimex (Cámara Minera de México) points that the constitutional reform presented by the Mexican president lacks technical support, as even if there are several lithium projects in Mexico, none has proven economic viability. The most visible of these projects, in Sonora, is said to be the largest lithium prospect in the Globe, but its economic viability has still to be proven, as to date there is not a single mine of lithium in clays in the World.
  • Mexico will not grant lithium concessions, said the Mexican president. He stated that even if his electricity reform is not approved by congress, his government has the power to reject any request for a concession to mine lithium. “We will deny any request for a concession to mine lithium and we have the power to do so. We want this to be established in the constitution, lithium belongs to the state”.
  • Nationalistic views with control on “strategic minerals” have been voiced by Morena, the party in power in Mexico. Besides the explicit aim by the President to save all lithium extracting and processing activities for the government, his recent proposal also refers, without elaborating, to be applied in other “strategic minerals”. A senator form Morena mentioned these other minerals could include cobalt, nickel, rare earths and copper, although a spokeswoman from the Economy Secretariat mentioned that the list of strategic minerals was to be provided by the Mexican Geological Survey at a later date.

ON EXPLORATION

  • Canuc Resources Corp. updated on the exploration program at its San Javier project in Sonora. Three holes have been completed and a fourth one is in progress, currently at 922 m of depth and ongoing. Chalcopyrite has been encountered from 302 m and is still visible at 922 m of depth. “The drill hole has intersected a broad zone of variably stockworked and brecciated Barranca sediments with minor andesitic dykes. The Barranca sediments show contact metamorphism from about 461 m and downward, variable amounts of magnetite bearing veinlets, stringers and breccia matrix throughout”. The first two holes intercepted Barranca Formation sedimentary rocks with magnetite veinlets and best intercepts of 2.35 m @ 126 gpt Ag and 2.0 m @ 243 gpt Ag. The third hole was drilled on the Tarahumara Formation volcanic rocks for 500.5 m before being terminated due to drilling problems, intercepting several volcanic lithologies, chalcocite from 38 m of depth and sulfides including chalcopyrite from 332 m. Scattered gold and copper values on short intervals were intercepted, of up to 1.19 gpt Au and 0.41% Cu. Results for the current hole are still pending.
  • Colibri Resource Corp. received the needed permit to drill up to 56 holes at the Evelyn project in Sonora. “The fully funded drill program of up to 10,000 metres is expected to be conducted in two phases”.
  • Kootenay Silver Inc. increased its land holdings at its Columba project in Chihuahua. The company applied for a 10,825 hectare concession, supporting the decision to do so on the high-grade silver intercepts on drilling of the property.
  • Vizsla Silver Corp. presented the results from 23 new drill holes from the Tajitos vein at its Panuco project in Sinaloa. Highlighted true width intercepts comprise 1.38 m @ 1.16 gpt Au, 79 gpt Ag; 1.34 m @ 7.94 gpt Au, 960 gpt Ag; 0.70 m @ 4.16 gpt Au, 2,082 gpt Ag; 2.15 m @ 1.09 gpt Au, 188 gpt Ag; 1.38 m @ 2.83 gpt Au, 527 gpt Ag; 8.7 m @ 0.51 gpt Au, 99 gpt Ag; 1.99 m @ 2.46 gpt Au, 615 gpt Ag; 0.86 m @ 3.37 gpt Au, 315 gpt Ag; 1.39 m @ 3.26 gpt Au, 73 gpt Ag; 1.3 m @ 2.47 gpt Au, 600 gpt Ag; 1.50 m @ 9.90 gpt Au, 2,607 gpt Ag; 0.7 m @ 5.73 gpt Au, 1,115 gpt Ag; 4.38 m @ 1.62 gpt Au, 216 gpt Ag. The footprint of the Tajitos zone has been recognized for 800 m along strike and 300 m of depth.
  • Benjamin Hill Mining Corp. informed the seven kilometer long trend of epithermal mineralization at its Benjamin Hill project in Sonora is related to a well-defined magnetic anomaly. A magnetic high more than 12 kilometers long and 4 km wide lies beneath the surface, crossing the property in a N-NE orientation, with the Au-Cu mineralization parallel to the crest of the magnetic high.  “Our hypothesis explains that the magnetic anomaly corresponds to a partially exhumed fertile pluton. We suggest the mineralization seen at surface was driven by the heat engine of a buried pluton providing hydrothermal fluids that formed mineralized tabular bodies enriched with Au, Ag, and Cu (i.e. veins and breccias), as well as fluids that caused hydrothermal alteration halos (phyllic, epidote-magnetite and argillic alteration)…”.
  • Mammoth Resources Corp. updated on drilling at its Tenoriba project in Chihuahua. The company informed heavy rainfall during August and September is subduing by now, and that they expect an increase in the drilling rate that produced only 420 m of core in 8 weeks. “Mammoth intends to initially drill 2 – 4 holes within each target zone then move to another target zone to drill a similar number of holes”. Results on the first holes are pending.
  • Benjamin Hill Mining Corp. informed on results of fluid inclusion studies at its Benjamin Hill property in Sonora. The salinity and homogenization temperatures point to an epithermal system with an overprinting magmatic influence, and exhumation depths  between 150 m and 750 m in the mineralized structures. “This observation combined with recent geophysical data, supports the hypothesis of the existence of a mineralized plutonic source with a high possibility for Au-Cu metallic enrichment and porphyry potential”.

ON MINING

  • Guanajuato Silver Company Ltd. commenced to process silver-gold ore at its El Cubo mine and mill in Guanajuato. Prior to the start of mill operations, 20 K tonnes of material from El Cubo were mined and stockpiled, to be processed at 750 tonnes per day (tpd) in the plant with a capacity for 1,500 tpd, or over 500 K tonnes per year.
  • First Majestic Silver Corp. presented production results for the third quarte 2021, including figures from its three Mexican operations. At San Dimas, Durango, 214.2 K tonnes were processed at a rate of 2,328 tpd and a grade of 289 gpt Ag, 3.14 gpt Au, recovering 95% Ag, 96% Au to produce 20,767 Oz Au, 1.89 M Oz Ag. At Santa Elena in Sonora 234.9 K tonnes were processed grading 74 gpt Ag, 1.04 gpt Au, recovering 91% Ag, 96% Au to produce 508.6 K Oz Ag, 7,498 Oz Au. At La Encantada in Coahuila, 263.6 K tonnes were processed grading 134 gpt Ag, 0.02 gpt Au, recovering 80% Ag, 90% Au to produce 905 K Oz Ag, 114 Oz Au.
  • Golden Minerals Co. reported third quarter 2021 production from its Rodeo mine in Durango. The mill processed an average of 532 tpd at a grade of 4.0 gpt Au, recovering 76.5% Au to produce 4,777 Oz Au, 12,196 Oz Ag. Golden’s guidance for 2021 continues between 12 K – 14 K Oz Au and 25 K – 30 K Oz Ag.
  • Gold Resource Corp. presented preliminary third quarter 2021 production results. At its Arista mine in Oaxaca 98 K tonnes were milled at a rate of 1,353 tpd, grading 2.68 gpt Au, 91 gpt Ag, 0.37% Cu, 2.3% Pb, 4.8% Zn, to produce 6,933 Oz Au, 265.8 K Oz Ag, 1,808 tonnes Pb, 3,920 tonnes Zn. The cash cost per AuEq Oz was between $250-$290 and the AISC per AuEq Oz between $250-$290.
  • Magna Gold Corp. reported Q3 2021 production results. At San Francisco, in Sonora, 1.72 M tonnes were mined @ 0.46 gpt Au, and 4.52 M tonnes of waste moved (2.62 strip ratio), 1.76 M tonnes were processed @ 0.45 gpt Au, with 25,663 Oz Au placed in the pads to produce 19,102 Oz Au, 7,115 Oz Ag. The guidance for the year remains at 55-65 K Oz Au.
  • Aura Minerals Inc. announced preliminary production results for the third quarter of 2021, including figures from its Mexican operations. At Aranzazu, in Zacatecas, Aura produced 6,404 Oz Au, 106.1 K Oz Ag, 8.15 M Lb Cu, or 26,745 Oz AuEq.
  • Avino Silver & Gold Mines Ltd. released its production report for the third quarter 2021. The Avino mine in Durango successfully recommenced operations at a 1,000 to 1,500 tpd rate (with a 2,500 tpd plant capacity) with 58.2 K tonnes produced, 61,8 K tonnes processed (with aid of some stock piled material) grading 48 gpt Ag, 0.83 gpt Au, 0.58% Cu, recovering 86% Ag, 75% Au, 85% Cu to produce 77.9 K Oz Ag, 1,183 Oz Au, 685.5 K tonnes Cu.

ON FINANCING

  • Candelaria mining Corp. informed one of its lenders, Accendo Banco S.A. had its authorization to operate as a banking institution revoked by the Mexican National Banking and Securities Commission. “The Company has a US$9.0 million loan facility in place with Accendo and to date has drawn US$1.5 million under the loan facility. The Company anticipates that its ability to draw any further funds from its loan facility with Accendo may be impaired by these developments.” (Pinos, Zacatecas).
  • Xali Gold Corp. announced that Sun River Gold has arranged a financing of US$6.5 M to build an put in operation the tailings reprocessing operation at El Oro, Estado de México. “Sun River has the option to acquire 100% of the Tailings Project from Minera CCM by making staged payments totalling US$500,000 (paid), bring the tailings into commercial production by October 31, 2021 (extended to March 31, 2022 due to COVID), and grant to the Company a 5% NPI, Life of Mine royalty (the “Candente Royalty”) as well as the Municipality’s 8% NPI on production from the properties” (El dorado, Nayarit).

ON RESOURCES AND DEVELOPMENT

  • GR Silver Mining Ltd. filed a technical report on the Plomosas project, in Sinaloa. The report envisages 3.4 M Oz Ag, 53 K Oz Au, 73 M Lb Zn, 48 M Lb Pb (10.3 M Oz AgEq) in indicated resources and 8.6 M Oz Ag, 85 K Oz Au, 149 M Lb Zn, 116 M Lb Pb (21.0 M Oz AgEq) in inferred resources. The report includes information from over 100,000 meters of drilling in 476 historic and 80 new drill holes. A 14,000 meters drilling program with seven rigs is in progress.
  • Orla Mining Ltd. provided a construction update for the Camino Rojo Oxide project in Zacatecas. To date Camino Rojo is 89% complete with the ramp up of mining operations according to plan, and the crushing and conveying system, reclaim tunnel, overland conveyor and grasshopper conveyors completed. The Merrill-Crowe plant and refinery are 98% complete. In the year 757.1 K tonnes have been mined at a grade of 0.86 gpt Au, of which 511.2 K tonnes have been crushed and 220.2 K tonnes stacked.
  • Prime Mining Corp. informed on further drilling results from its Los Reyes project in Sinaloa. Highlighted true width (TW) intercepts comprise 11.8 m @ 6.12 gpt Au, 62 gpt Ag, (including 5.5 m @ 12.02 gpt Au, 61 gpt Ag); 13.1 m @ 3.36 gpt Au, 83 gpt Ag; 13.2 m @ 2.18 gpt Au, 31 gpt Ag; 8.4 m @ 2.85 gpt Au, 31 gpt Ag; 1.4 m @ 3.89 gpt Au, 13 gpt Ag in the Zapote South step out holes, and 3.8 m @ 14.51 gpt Au, 82 gpt Ag; 2.2 m @ 3.96 gpt Au, 9 gpt Ag; 2.1 m @ 5.55 gpt Au, 164 gpt Ag; 2.90 m @ 2.07 gpt Au, 248 gpt Ag; 3.9 m @ 1.90 gpt Au, 78 gpt Ag; 0.9 m @ 3.86 gpt Au, 448 gpt Ag; 4.0 m @ 1.55 gpt Au, 230 gpt Ag in the Tahonitas step out drilling. The boiling level at Zapote, with its corresponding higher grades, has been identified 50 m below previous reports, expanding the exploration targets.
  • Fabled Silver Gold Corp. released further assay results from its Santa Maria property in Chihuahua. The underground drilling was successful in intersecting a geochemically anomalous intrusive rock with a 54.6 m interval grading 0.02 gpt Au, 9 gpt Ag (including three intervals 1.5, 1.5 and 1.2 m in width grading 20, 21 and 23 gpt Ag respectively) and another hole returning 4.5 m @ 13 gpt Ag.
  • GoGold Resources Inc. reported results of 10 new holes from El Favor east zone, extending the mineralized strike by over 450 meters at its Los Ricos North project in Jalisco. Some of the core-length intervals intercepted comprise 27.0 m @ 0.44 gpt Au, 64 gpt Ag; 3.0 m @ 0.51 gpt Au, 86 gpt Ag; 22.3 m @ 0.31 gpt Au, 118 gpt Ag (including 1.0 m @ 3.96 gpt Au, 944 gpt Ag); 7.7 m @ 0.46 gpt Au, 147 gpt Ag; 24.2 m @ 0.45 gpt Au, 105 gpt Ag (including 2.0 m @ 4.16 gpt Au, 794 gpt Ag); 6.1 m @ 1.32 gpt Au, 328 gpt Ag; 2.1 m @ 0.63 gpt Au, 179 gpt Ag; 11.4 m @ 0.26 gpt Au, 136 gpt Ag (including 6.0 m @ 0.38 gpt Au, 179 gpt Ag); 20.1 m @ 0.22 gpt Au, 68 gpt Ag (including 1.0 m @ 2.59 gpt Au, 563 gpt Ag); 18.3 m @ 0.30 gpt Au, 98 gpt Ag (including 5.6 m @ 0.90 gpt Au, 255 gpt Ag). El Favor East mineralization is now known for 900 m, of which 600 m have been drilled.
  • Golden Tag Resources Ltd. announced the addition of 4,500 meters of diamond drilling to its exploration program for 2021 at its San Diego project in Durango. That meterage is in addition to the 4,716 meters already sunk and reported in 2021.   The program discovered epithermal mineralization near the surface, the following are some selected core-length intervals: 273.65 m @ 0.10 gpt Au, 43 gpt Ag, 0.2% Pb, 0.3% Zn (76 gpt AgEq); 50.17 m @ 0.05 gpt Au, 31 gpt Ag, 0.9% Pb, 0.7% Zn; 99.53 m @ 0.09 gpt Au, 27 gpt Ag, 0.7% Pb, 0.6% Zn; 25.55 m @ 0.08 gpt Au, 37 gpt Ag, 0.3% Pb, 0.6% Zn; 86.64 m @ 0.03 gpt Au, 39 gpt Ag, 0.9% Pb, 0.6% Zn; 169.83 m @ 0.04 gpt Au, 32 gpt Ag, 0.6% Pb, 0.8% Zn; 116.45 m @ 0.03 gpt Au, 42 gpt Ag, 0.6% Pb, 0.7% Zn; 134.37 m @ 0.13 gpt Au, 20 gpt Ag, 0.6% Pb, 0.7% Zn; 191.57 m @ 0.04 gpt Au, 35 gpt Ag, 0.8% Pb, 0.8% Zn.
  • Capitan Mining Inc. reported results form five reverse circulation (RC) drill holes at El Capitan, in Durango. Highlighted core length intervals comprise 6.1 m @ 0.15 gpt Au; 13.7 m @ 0.32 gpt Au; 44.2 m @ 0.13 gpt Au, 3 gpt Ag; 6.1 m @ 0.12 gpt Au, 5 gpt Ag; 10.7 m @ 0.12 gpt Au, 27.4 m @ 0.23 gpt Au; 62.5 m @ 0.38 gpt Au, 4 gpt Ag; 35.1 m @ 0.14 gpt Au; 21.3 m @ 0.19 gpt Au; 18.3 m @ 0.15 gpt Au; 6.1 m @ 0.29 gpt Au; 13.7 m @ 0.39 gpt Au, 4 gpt Ag; 85.3 m @ 0.16 gpt Au; 19.8 m @ 0.15 gpt Au, 4 gpt Ag.
  • Zacatecas Silver Corp. provided an update on the drilling program at Panuco, within its Zacatecas property in Zacatecas. Four drill holes were completed for a total of 1,088m at Panuco, while two more were completed at Las Cruces vein system and one more is ongoing. Results are pending.

ON DEALS AND CORPORATE ISSUES

  • Argonaut Gold Inc. has acquired key mineral concessions from Fresnillo PLC for a cash consideration of US$5.75 M. The acquired package comprises a 4,791-ha concession and four key small concessions totalling 27 ha, which will allow Argonaut to expand the pit, increase mineral reserves and extend mine life.

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna informed on educational programs presented at communities in Guerrero.
  • Peñoles presented its company-wide water saving strategy on all its activities.
  • Newmont Peñasquito updated on activities with positive results in near-by communities.
  • Panamerican Silver informed on community health programs near its La Colorada mine in Zacatecas.

On the image below: Galena bearing milky quartz vein on a project in the Sonoran Desert. Picture by Jorge Cirett.