The Mining and Exploration News in Mexico: Highlights on the Third Week of January, 2022

By Jorge Cirett

During the 3rd week of the year (January 17th to January 23rd, 2022), at least 34 press releases were announced by companies working in Mexico. To note, seven companies posted exploration advances on their properties, two announced listings on the OTCQB and OTCQX, nine presented quarterly and full year 2021 reports, five reported their 2022 production guidance, one filed the PEA on a tailings project, two filed technical reports on resource estimates and six posted on project development. ON MEXICO ISSUES, BNamericas listed eight properties to be commissioned in 2022-2023 for an investment of US$1.5 billion. ON EXPLORATION, in Sonora, Ranchero Gold released drill results from the Maíz Azul target on the Santa Daniela project; Tocvan Ventures announced trench results from Pilar; Prismo Metals mobilized a crew to explore El Pavito. In Durango, Silver Wolf presented results from surface sampling at Ana Maria. In Sinaloa, Vizsla Silver discovered a fat and juicy low angle vein in the Tajitos zone of its Panuco project. In Zacatecas, Galore resources received the drilling permit for Dos Santos.  In Estado de Mexico, Xali Gold started a drilling application for El Oro. ON MINING, Excellon Resources, Alamos Gold, Avino Silver, First Majestic Silver, Fortuna Silver, McEwen Mining, Capstone Mining, Great Panther, Pan American Silver and Gold Resource presented Q4 and full year 2021 production results. Alamos Gold, Endeavour Silver, Capstone Mining and Torex Gold announced 2022 production guidelines. Tarachi Gold filed the PEA on the Magistral tailings project.   ON FINANCING, Southern Empire and Silver Dollar announced their listings on the OTCQB and OTCQX venture markets respectively. ON RESOURCES AND DEVELOPMENT, GR Silver released drilling results from San Marcial in Sinaloa. Mithril Resources presented metallurgic, surface sampling and drilling results from Copalquin in Durango. Fabled Silver announced results from drilling at its Santa Maria property in Chihuahua. GoGold released results from drilling at El Favor at its Los Ricos North project in Jalisco. Golden Tag announced results from one long hole at San Diego, in Durango. Endeavour Silver filed resource estimates on its Guanaceví and Bolañitos properties in Durango and Jalisco respectively. GoGold Resources filed the resource estimate on Los Ricos North. Barksdale Resources announced assay results from drilling at its San Javier project in Sonora. ON DEALS AND CORPORATE ISSUES, no relevant news. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Mining projects in development in Mexico for US$1.5 billion (US$1,500 million in Mexican notation). BNamericas listed the following projects: 1.-) Juanicipio in Zacatecas (US$440 M, Fresnillo-Mag Silver) with a six-month delay, is to produce 11.7 M Oz Ag, 43.5 K Oz Au per year. 2.-) Buenavista Zinc in Sonora (US$413 M, Southern Copper) is to start operation in 2023, to produce 100 K tonnes Zinc and 20 K tonnes Cu per year. 3.-) Los Filos expansion in Guerrero (US$213 M, Equinox Gold) is to increase production to 350-400 K Oz Au per year. 4.-) Pilares in Sonora (US$159 M, Southern Copper) is to augment production at La Caridad in 35 K tonnes per year. 5.-) Las Chispas in Sonora (US$138 M, SilverCrest Metals) is to produce 5.2 M Oz Ag, 56 K Oz Au per year. 6.-) La Yaqui Grande in Sonora (US$137 M, Alamos Gold) production is to report 123 K Oz Au per year. 7.-) Tahuehueto in Durango (US$32.2 M, Altaley Mining) aims to produce 16.1 K Oz Au per year, with Pb, Cu, Zn, Ag credits. 8.-) Santana in Sonora (US$7.55 M, Minera Alamos) plans to produce around 30 K Oz Au per year.

ON EXPLORATION

  • Ranchero Gold Corp. released drilling results from the Maíz Azul prospect within its 22,300 ha Santa Daniela project in Sonora. Highlighted core-length intervals on three holes comprise 31.50 m @ 4.0 gpt Au (including 12.00 m @ 9.93 gpt Au); 12.00 m @ 0.32 gpt Au; 3.40 m @ 0.27 gpt Au, 21.00 m @ 1.08 gpt Au (including 10.50 m @ 1.68 gpt Au); 1.75 m @ 0.15 gpt Au, 5.90 m @ 0.47 gpt Au, 5.95 m @ 0.28 gpt Au. “Results and analysis are pending for drill hole samples testing the La Cascada target as well as expanding known mineralization at La Colmena. The final holes of the 3000-meter drill program will focus on extending the La Colmena zone eastward …”.
  • Silver Wolf Exploration Ltd. presented assay results from 114 surface grab/chip samples on its 2,549 hectares Ana Maria property in Durango. Some of the highlighted grab sample results comprise 74 gpt Ag, 3.4% Pb; 120 gpt Ag, 11.6% Pb; 169 gpt Ag, 11.5% Pb; 150 gpt Ag, 6.0% Pb; 54 gpt Ag, 1.9% Pb, 12.3% Zn; 56 gpt Ag, 1.6% Pb, 21.3% Zn; 53 gpt Ag, 1.9% Pb, 7.8% Zn; 40 gpt Ag, 1.2% Pb, 16.6% Zn; 199 gpt Ag, 20.1% Pb, 1.7% Zn; 247 gpt Ag, 7.3% Pb; 339 gpt Ag, 10.0% Pb, 7.9% Zn; 319 gpt Ag, 8.3% Pb, 5.8% Zn. “In the southern claim, the extremely high-grade zinc and lead mineralization along with the high-grade silver values as well as the recently discovered historical workings indicate the potential for a carbonate replacement deposit”.
  • Tocvan Ventures Corp.  announced trench results from its Pilar project in Sonora. Four trenches were dug totaling 80 m in length, with highlighted results comprising 4.9 m @ 0.55 gpt Au, 11 gpt Ag in one trench; 19.5 m @ 0.61 gpt Au, 6 gpt Ag (including 2.7 m @ 3.01 gpt Au, 20 gpt Ag) in the second; 19.8 m @ 0.73 gpt Au, 8 gpt Ag (including 8.6 m @ 1.27 gpt Au, 12 gpt Ag) in the third; 7.0 m @ 0.54 gpt Au, 5 gpt Ag in the fourth trench. “Follow-up metallurgical studies will utilize the surface material extracted from the other three trenches”.
  • Galore Resources Inc. received acceptance of its drill permit applications for a 4,000 m diamond drill program at its Dos Santos property in Zacatecas. Crews have been mobilized to start the program that is to test El Alamo and San Jose prospects.
  • Prismo Metals Inc. mobilized a crew of geologists to the 5,289 ha El Pavito project in Sonora. “The Company has planned a four to five-month exploration program that will include comprehensive mapping and extensive sampling of the concession to define drill targets”. Two of the three known main targets in the district are within Prismo concessions, with potential for epithermal and orogenic shear-hosted gold mineralization.
  • Vizsla Silver Corp. announced the discovery of a new vein with high-grade results from drilling the Tajitos zone at its Panuco project in Sinaloa. The vein with a 35 degree dip returned highlighted true-width intervals of 83.10 m @ 0.78 gpt Au, 117 gpt Ag (including 10.46 m @ 4.06 gpt Au, 452 gpt Ag); 24.34 m @ 2.02 gpt Au, 230 gpt Ag (including 1.80 m @ 17.75 gpt Au, 1,523 gpt Ag); 81.91 m @ 1.00 gpt Au, 142 gpt Ag (including 2.31 m @ 18.04 gpt Au, 2,147 gpt Ag); 1.56 m @ 4.70 gpt Au, 599 gpt Ag; 3.81 m @ 0.59 gpt Au, 158 gpt Ag. “The Copala Vein marks the first discovery of this vein orientation and style made by Vizsla that has not been previously exploited by historical mining”.
  • Xali Gold Corp. started a drilling application process for the El Oro project in Estado de México. New drill targets have been delineated by 3D modelling looking for extensions of previous high-grade intercepts in previous drilling. “Some of the higher grades were found in several veins with overlying lower grade disseminated gold near the Mexico-Esperanza Mines border area of the San Rafael vein”.

ON MINING

  • Excellon Resources Inc. announced Q4 and annual 2021 production results from the Platosa mine in Durango. During the Q4 period 20,954  tonnes were mined, 21,309 tonnes milled grading 438 gpt Ag, 4.65% Pb, 5.50% Zn, recovering 90.5% Ag, 78.5% Pb, 83.7% Zn, to produce 271.5 K Oz Ag, 1.72 M Lb Pb, 2.17 M Lb Zn (492 K Oz AgEq). For the year, 85,530 tonnes were mined, 86,021 tonnes were milled @ 494 gpt Ag, 5.01% Pb, 6.03% Zn, recovering 89.5% Ag, 80.0% Pb, 79.0% Zn, to produce 1.22 M Oz Ag, 7.61 M Lb Pb, 9.01 M Lb Zn (2.06 M Oz AgEq).
  • Alamos Gold Inc. reported fourth quarter and full year 2021 production, including figures from its operations in Mexico. At Mulatos, in Sonora, 23,100 Oz Au were produced in Q4 to complete 121,300 Oz Au during the year. “Combined gold production from the Mulatos District (including La Yaqui Grande) is expected to be between 130,000 and 145,000 ounces in 2022”.
  • Avino Silver & Gold Mines Ltd. released its fourth quarter and full year 2021 results from the Avino mine in Durango. During the fourth quarter 103.5 K tonnes were processed @ 56 gpt Ag, 0.86 gpt Au, 0.55% Cu, recovering 89% Ag, 75% Au, 90% Cu, to produce 163.9 K Oz Ag, 2,158 Oz Au, 1.13 M Lb Cu (541.4 K Oz AgEq). For the full year 165.3 K tonnes were processed @ 53 gpt Ag, 0.84 gpt Au, 0.57% Cu, recovering 87% Ag, 75% Au, 88% Cu, to produce 245.4 K Oz Ag, 3,386 Oz Au, 1.87 M Lb Cu (842.4 K Oz AgEq).
  • First Majestic Silver Corp. presented its quarterly and full year 2021 production, including figures from its Mexican operations. For the quarter, at San Dimas in Durango 206.7 K tonnes were processed at a rate of 2,247 tonnes per day (tpd) and a grade of 347 gpt Ag, 3.71 gpt Au, recovering 94% Ag, 96% Au to produce 2.17 M Oz Ag, 23,795 Oz Au (4.01 M Oz AgEq);  at Santa Elena in Sonora, 224.5 K tonnes were processed at 2,440 tpd averaging 72 gpt Ag, 2.97 gpt Au, recovering 82% Ag, 92% Au, to produce 426.9 K Oz Ag, 19,810 Oz Au (1.95 M Oz AgEq); at La Encantada in Coahuila, 268.2 K tonnes were processed at 2,916 tpd averaging 117 gpt Ag, 0.02 gpt Au, recovering 75% Ag, 90% Au, to produce 757.6 K Oz Ag, 146 Oz Au. On the year, San Dimas produced 7.65 M Oz Ag, 81,237 Oz Au (13.52 M Oz AgEq); Santa Elena produced 1.95 M Oz Ag, 42,088 Oz Au (5.04 M Oz AgEq), La Encantada produced 3.24 M Oz Ag, 460 Oz Au (3.27 M Oz AgEq).
  • Fortuna Silver Mines Inc. reported production results for the fourth quarter and full year 2021, including figures from its operations in Mexico. At San Jose, in Oaxaca, 262.8 K tonnes were milled at a rate of 2,920 tpd, at a grade of 219 gpt Ag, 1.27 gpt Au, recovering 92.8% Ag, 92.2% Au, to produce 1.72 M Oz Ag, 9,929 Oz Au during the quarter, and processing 1.04 M tonnes at a 2964 tpd, averaging 209 gpt Ag, 1.29 gpt Au, with recoveries of 91.7% Ag, 91.3% Au, to produce 6.42 M Oz Ag, 39,406 Oz Au in the year. For 2022 Fortuna aims to produce 5.2-5.8 M Oz Ag, 32-36 K Oz Au at an AISC of $13.7-$16.1 per Oz AgEq. “The Brownfields exploration program budget for 2022 at the San Jose Mine is US$7.4 million, which includes 26,200 meters of diamond drilling …”.
  • McEwen Mining Inc. reported production for year 2021, including 540 AuEq Oz Au from residual leaching at El Gallo, in Sinaloa.
  • Endeavour Silver Corp. announced its consolidated production guidance for 2022. At Guanaceví in Durango guidance is a mining at a rate of 1,100 to 1,200 tpd to produce 3.8-4.2 M Oz Ag, 4.6-5.2 K Oz Au, whereas at Bolañitos the sought mining rate is 1,000-1,200 tpd to produce 0.4-0.6 M Oz Ag, 21-23 K Oz Au, for a consolidated production of 6.7-7-6 M Oz AgEq at cash cost $9.00-$10.00 and an AISC of $20.00-21.00 per Oz AgEq. Exploration drilling planned in 2022 at Guanceví, Bolañitos, Terronera, Parral and Pitarrilla amounts to 44,000 m with a budget of US$8.7 M.
  • Capstone Mining Corp. provided a corporate update and 2022 guidance, including figures from its Mexican operations. During 2021 the Cozamin mine in Zacatecas produced 24.5 K tonnes Cu, for 2022 the guidance is 23-26 K tonnes at a cash cost of $1.10-$1.25 Lb Cu. “Construction of the new paste backfill plant and dry stack tailings facility at Cozamin started in Q4 2021 and completion is expected at year-end 2022”. This facility will allow pumping half of the filtered tailings with cement to be used as backfill, and might permit the extraction of pillars from historic areas of the mine.
  • Tarachi Gold Corp. filed the preliminary economic assessment (PEA) for the Magistral tailings project in Durango.
  • Great Panther Mining Ltd. reported Q4 and full year 2021 production results, including figures from its Mexican operations. At Topia, in Durango, 14.6 K tonnes were processed @ 301 gpt Ag, 0.74 gpt Au, recovering 91% Ag, 63% Au to produce 128.6 K Oz Ag, 218 Oz Au, 235 tonnes Pb, 406 K tonnes Zn (2,494 Oz AuEq). At the Guanajuato Mine Complex  (GMC) in Guanajuato, 27.8 K tonnes were processed @ 127 gpt Ag, 1.70 gpt Au, recovering 87% Ag, 86% Au, to produce 98.4 K Oz Ag, 1,302 Oz Au (2,460 Oz AuEq). On the year Topia produced 716.5 K Oz Ag, 1,047 Oz Au, 1,385 tonnes Pb, 1,849 tonnes Zn (13,290 Oz AuEq) and the GMC 485.3 K Oz Ag, 6,659 Oz Au (12,369 Oz AuEq). The company is awaiting “ the permits from CONAGUA necessary to extend the tailings dam. Mining activity at the San Ignacio mine has also been suspended while Great Panther continues to proactively engage with CONAGUA in regards of the tailings dam permit and to explore other alternatives to maximize value from the GMC”.
  • Pan American Silver Corp. presented preliminary production results for Q4 and full year 2021, including figures from its Mexican operations. At La Colorada in Zacatecas 1.58 M Oz Ag, 800 Oz Au were produced in Q4, and 5.17 M Oz Ag, 2,700 Oz Au in the year. At Dolores in Chihuahua 507 K Oz Ag, 40,100 Oz Au were produced in Q4, and 2.24 M Oz Ag, 160,100 Oz Au in the year.
  • Torex Gold Resources Inc. provided 2022 operational guidance for its El Limon Guajes mine in Guerrero. Torex aims to produce $430-470 K Oz Au at total cash cost $695-$735 per Oz Au. The company is to invest $39 M min exploration at Media Luna, ELG Underground, near mine and regional and definition and grade control drilling.
  • Gold Resource Corp. presented Q4 and full year 2021 production results for its Don David project in Oaxaca. During the fourth quarter at the Arista mine 135.4 K tonnes were milled @ 1.93 gpt Au, 82 gpt Ag, 0.38% Cu, 2.2% Pb, 4.8% Zn, to produce 6,854 Oz Au, 330.9 K Oz Ag, 413 tonnes Cu, 2,345 tonnes Pb, 5,350 tonnes Zn. During the year 487 K tonnes were milled @ 2.01 gpt Au, 82 gpt Ag, 0.39% Cu, 1.93 % Pb, 4.36% Zn, to produce 26,438 Oz Au, 1.2 M Oz Ag, 1,506 tonnes Cu, 7,544 tonnes Pb, 17,329 tonnes Zn.  

ON FINANCING

  • Southern Empire Resources Corp. received approval from its shareholders to be listed on the OTCQB in the United States, and granted 900 K shares to directors, officers and consultants (Pedro, Durango).
  • Silver Dollar Resources Inc. reported its shares have qualified to be upgraded from the OTCQB Venture Market to the OTCQX Best Market (La Joya, Durango).

ON RESOURCES AND DEVELOPMENT

  • GR Silver Mining Ltd. released wide, high-grade results from diamond drilling at the San Marcial area of the Plomosas project in Sinaloa. The drilling focus was to test high-grade mineralization extensions along strike and down-dip from the current mineral resource. Highlighted true-width (TW) intercepts comprise 13.5 m @ 773 gpt Ag, 0.3% Pb, 0.4% Zn (including 4.1 m @ 1,792 gpt Ag, and 5.8 m @ 516 gpt Ag); 2.6 m @ 1 gpt Ag, 1.08 gpt Au; 24.5 m @ 97 gpt Ag, 0.2% Pb, 0.2% Zn (including 1.9 m @ 881 gpt Ag); 17.5 m @ 53 gpt Ag, 0.3% Pb, 0.5% Zn.
  • Mithril Resources Ltd. presented metallurgic, surface sampling and drilling results from its Copalquin project in Durango. Metallurgical test work for the El Refugio resource using flotation recovered 94% Au, 88% Ag. High-grade results from samples from workings at Las Brujas, El Peru and Dios Hijo returned up to 0.65 m @ 49.0 gpt Au, 665 gpt Ag; 1.0 m @ 7.93 gpt Au, 366 gpt Ag; 0.8 m @ 10.4 gpt Au, 422 gpt Ag. Highlighted core-length intervals comprise 6.00 m @ 0.84 gpt Au, 117 gpt Ag; 2.00 m @ 5.57 gpt Au, 162 gpt Ag at El Refugio, 4.55 m @ 8.29 gpt Au, 138 gpt Ag; 1.70 m @ 20.2 gpt Au, 298 gpt Ag at El Cometa, 2.0 m @ 1.02 gpt Au, 44 gpt Ag; 1.0 m @ 4.29 gpt Au, 17 gpt Ag; 1.0 m @ 4.47 gpt Au, 7 gpt Ag; 2.0 m @ 1.33 gpt Au, 60 gpt Ag; 1.0 m @ 1.18 gpt Au, 11 gpt Ag; 0.50 m  @ 6.50 gpt Au, 95 gpt Ag; 1.0 m @ 3.61 gpt Au, 22 gpt Ag on the eastern side of El Refugio.
  • Fabled Silver Gold Corp. announced results from surface diamond drilling of the upgraded 14,400 m program at its Santa Maria property in Chihuahua. Highlighted core-length intercepts comprise 0.90 m @ 90 gpt Ag, 0.16 gpt Au; 7.80 m @ 164 gpt Ag, 0.51 gpt Au, 0.1% Pb, 0.2% Zn (including 3.90 m @ 295 gpt Ag, 0.65 gpt Au, 0.1% Pb, 0.5% Zn).
  • GoGold Resources Inc. announced results for nine holes at El Favor East zone on its Los Ricos North project in Jalisco. Highlighted core-length intercepts comprise 54.0 m @ 0.15 gpt Au, 64 gpt Ag (including 5.3 m @ 0.44 gpt Au, 162 gpt Ag); 11.7 m @ 0.41 gpt Au, 129 gpt Ag; 25.5 m @ 0.07 gpt Au, 60 gpt Ag (including 2.0 m @ 0.24 gpt Au, 499 gpt Ag); 28.3 m @ 0.46 gpt Au, 154 gpt Ag (including 1.4 m @ 5.24 gpt Au, 1,310 gpt Ag); 3.3 m @ 0.70 gpt Au, 262 gpt Ag; 8.3 m @ 0.61 gpt Au, 201 gpt Ag; 10.6 m @ 0.95 gpt Au, 202 gpt Ag; 7.2 m @ 0.27 gpt Au, 61 gpt Ag; 52.0 m @ 0.18 gpt Au, 61 gpt Ag. To date approximately 800 m of El Favor East have been drilled, showing strong mineralization. The holes on this release were not included in the resource estimate released past December.
  • Golden Tag Resources Ltd. announced complete results for one drill hole at its San Diego project in Durango. Highlighted core-length intervals comprise 0.50 m @ 329 gpt Ag, 3.7% Pb, 2.7% Zn; 0.95 m @ 623 gpt Ag, 2.2% Pb, 2.5% Zn, 0.17% Cu in the Csplay zone, 0.56 m @ 1,460 gpt Ag, 12.5% Pb, 2.9% Zn, 0.27% Cu; 2.44 m @ 0.13 gpt Au, 104 gpt Ag, 0.7% Pb, 1.2% Zn in the Canta zone, 35.74 m @ 40 gpt Ag, 1.0% Pb, 1.0% Zn (including 7.78 m @ 86 gpt Ag, 2.4% Pb, 2.4% Zn); 322.90 m @ 0.03 gpt Au, 40 gpt Ag, 0.6% Pb, 0.7% Zn (including 27.70 m @ 72 gpt Ag, 1.5% Pb, 1.3% Zn, 0.1% Cu) and 91.60 m @ 60 gpt Ag, 0.7% Pb, 1.1% Zn, 0.13% Cu in the Fernandez zone. “The Fernandez Zone is steeply plunging cigar-shaped structure characterized by green and brown garnet exoskarn and red garnet endoskarn sulphide mineralization (pyrite-pyrrhotite-sphalerite-galena) contained within quartz-sulphide stockwork veins, breccias, and massive sulphide zones which are spatially associated with the contacts of diorite intrusive bodies”.
  • Endeavour Silver Corp. filed the technical reports on Guanaceví, in Durango, and Bolañitos, in Guanajuato. The reports cover the updated mineral resources on the properties, which add up to 312.9 K tonnes @ 49 gpt Ag, 2.53 gpt Au, containing 488.2 K Oz Ag, 25,500 Oz Au in mineral reserves, 468. 1 K tonnes @ 159 gpt Ag, 2.27 gpt Au, containing 2.4 M Oz Ag, 34,218 Oz Au in the measured and indicated category and  625.3 K tonnes @ 120 gpt Ag, 2.52 gpt Au, containing 2.41 M Oz Ag, 50,733 Oz Au in inferred resources at Bolañitos; and mineral reserves  of 1.09 M tonnes @ 343 gpt Ag, 0.93 gpt Au, containing 12 M Oz Ag, 32,527 Oz Au (32.53 M Oz AgEq) with measured, indicated and inferred resources of 1.53 M tonnes @ 440 gpt Ag, 1.03 gpt Au, containing 21.6 M Oz Ag, 50,349 Oz Au (25.64 M Oz AgEq) at Guanaceví.
  • GoGold Resources Inc. filed the technical report with the resource estimate for Los Ricos North in Jalisco. The resources comprises five deposits with indicated resources of 53.5 M Oz Ag, 186 K Oz Au in oxides and 49 M Oz Ag, 148 K Oz Au, 15 M Lb Cu, 90 M Lb Pb, 258 M Lb Zn in sulfides.
  • Barksdale Resources Corp. announced assay results from eight holes from its phase I drilling program at San Javier, in Sonora. Highlighted core-length intervals comprise 6 m @ 0.90% Cu; 18 m @ 0.38% Cu; 39 m @ 0.61% Cu, 27 m @ 0.26% Cu; 12 m @ 0.48% Cu, 33 m @ 0.28% Cu; 12 m @ 0.52% Cu; 27 m @ 0.33% Cu; 13,5 m @ 0.35% Cu; 47 m @ 0.75% Cu; 15 m @ 0.07% Cu, 0.73 gpt Au; 9 m @ 0.02% Cu, 0.41 gpt Au; 9 m @ 0.02% Cu, 0.84 gpt Au; 3 m @ 0.01% Cu, 0.58 gpt Au. “The final results from the drilling program, which are primarily step-out holes to the west and south, are expected to be released within the next few weeks, at which point we can complete our resource estimation for Cerro Verde”.

ON DEALS AND CORPORATE ISSUES

  • No Relevant News.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Coarsely banded multi-stage quartz-barite epithermal vein in the Sonoran desert. Picture by Jorge Cirett.

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

Secondary copper staining

By Miguel A Heredia

During the 2nd week of the year (January 10th to January 16th, 2022), at least 27 press releases were announced by companies working in Mexico, and 4 news published by the media, with eleven reporting resources and developments of their properties, six communicating production results, six informing on exploration results, four disclosing deals and corporate issues, three commenting on Mexican issues, and one discussing social issues.  ON MEXICO ISSUES, Jaime Gutiérrez Núñez, President of the Mexican Mining Chamber (CAMIMEX) stated that political risk causes a reduction in the mining investment in Mexico. Alfonso Durazo, governor of Sonora State declared that the Mining Fund program will be back in the state after it was frozen for a little more than three years. ON EXPLORATION, In Sonora, Reyna Gold reported surface and trench sampling results from its La Gloria project, Colibri announced it has purchased a RC drilling rig to reduce drilling expenses, and Heliostar informed that its 5,000m drill program at its Cumaro project has recommenced after the Christmas break. In Chihuahua, Mammoth added additional drill contractor to its ongoing drill program at its Tenoriba project. Radius Gold and Riverside provided a review of 2021 and an update of their Mexican properties.  ON MINING, Americas Gold and Silver reported December 2021 production results from its Cosalá operation in Sinaloa. Torex announced production results from its El Limon-Guajes mine in Guerrero for the full year 2021. Endeavour reported Q4 and full year 2021 production results from their Mexican mine operations. Golden Minerals reported Q4 and full year 2021 production results from its Rodeo project, Durango. Equinox announced Q4, 2021 production from their Mexican operations and provided production guidance for the year 2022. Gatos Silver reported Q4 and full year 2021 production results from its Cerro Los Gatos mine, Chihuahua. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, Silver Tiger released results from its ongoing drilling program at its El Tigre project, Sonora. Prime announced results from 13 new holes drilled at the Noche Buena deposit within its Los Reyes property in Sinaloa. Avino provided results from its Phase 2 drilling program conducted at its Avino property in Durango. Capitan Mining reported results from six RC holes collared at its Peñoles project in Durango. Excellon released results from its underground drilling program conducted at the Platosa property in Durango.  Fabled released results from its ongoing drilling program at its Santa Maria project, Chihuahua. Zacatecas Silver received permits for 13 new drill pads and applied for permits on additional 27 drill pads at its Panuco deposit in Zacatecas.  Silver Dollar announced that exploration drilling has recommenced at its La Joya project, Durango. Oroco Resource reported results from eight drill holes collared at its Santo Tomas project in Sinaloa. Osisko released drill results on its San Antonio project in Sonora. GoGold release results from 13 drill holes collared at its Los Ricos North project, Jalisco. ON DEALS AND CORPORATE ISSUES, Ranchero Gold announced the appointment of its President effective immediately (Santa Daniela project, Sonora). Starcore announced the appointment of its new President and Director (San Martin mine, Queretaro). Capitan Mining entered into a purchase agreement to acquire a portfolio of royalties including a 2% royalty on the Capitan Gold oxide deposit in Durango. Endeavour entered into a definitive agreement to acquire the Pitarrilla project in Durango State from SSR Mining. ON SOCIAL RESPONSIBILITY, Compañia Minera Cuzcatlán (Fortuna Silver) along with local municipal authorities delivered toys to more than 20,000 girls and boys from Oaxaca.

ON MEXICO ISSUE

  • Jaime Gutiérrez Núñez, President of the Mexican Mining Chamber (CAMIMEX) stated that political risk causes a reduction in the mining investment in Mexico.  The lack of legal certainty and a complex environment for obtaining licenses and concessions are holding back investment in the Mexico’s mining sector, despite the rise in metal prices. Actual spending was USD $4.25B, 15.6% below the original estimates, according to CAMIMEX. The figure is lower than the USD $4.67B in 2019 and is well below the high of USD $8.42B in 2012.  Due to the lack of mining concessions, investment opportunities of USD $25B are lost in the country. Currently, there are 29 applications detained in the Secretary of the Environment and Natural Resources (SEMARNAT) and 34 at the National Water Commission (CONAGUA). With an adequate legal framework and adequate incentives, mining activity could generate 50 thousand additional direct jobs and more than MXP $25B a year in addition to those already paid by mining. “The statements of the President (against mining), not granting mining concessions, denying access to information, making procedures increasingly slow, although the terms are established in the law, and the lack of personnel in the Mining Directorate General  have impeded the advancement of mining projects in the country”.
  • Alfonso Durazo, governor of Sonora State, declared that the Mining Fund program could be back in the state after it was frozen for a little more than three years by the Federal government. If the Mining Fund is back, the injection of resources into the entity in this 2022 will be greater than MXP $1,000M, same that will benefit the mining towns and incidentally will give a good respite to state public finances.

ON EXPLORATION

  • Reyna Gold Corp., reported surface and trench sampling results from its La Gloria project. To date, 1,252 sample results have been received from the Main Zone area where drilling will commence this coming February. A total of 555 samples out of 713 returned greater than 0.1 g/t Au, including 23 with greater than 5 g/t Au at Big Pit area. High grade values were encountered at Big Pit and Pique Viejo areas including values of 93.9 g/t Au, 36.2 g/t Au, 46.1 g/t Au, 24.4 g/t Au, 20.1 g/t Au. Other areas such as Las Quintas, Las Quintas West, San Pedro, and Alamo Muerto returned values of 20.1 g/t Au, 15.9 g/t Au, 13.3 g/t Au, 11.1 g/t Au, 13.6 g/t Au, and 9.3 g/t Au. Reyna Gold has already the drill permits to commence a drilling program at Big Pit and Pique Viejo areas in February, 2022. Sampling and mapping will continue in other target areas of the property.
  • Colibri Resource Corporation announced it has purchased a RC drilling rig and peripheral equipment to reduce drilling expenses and advance its exploration work at their Mexican properties.
  • Heliostar Metals limited informed that its 5,000m drill program at its Cumaro project has recommenced after the Christmas break. Heliostar reported that four holes totalling 428m were completed in December 2021. Results are pending and will be released in late February.
  • Mammoth Resources Corp., added additional drill contractor to its ongoing drill program at its Tenoriba project. The company reported that 4 holes collared at the Central-Masuparia area were completed prior to the Christmas break. Samples were cut and submitted to the lab. Results are pending. Last December, 2021, Mammoth announced the granting of an additional permit to cover an additional 183 drill hole locations, expanding the total number of permitted drill hole locations to 321 over the entire approximately 6-km trend of surface gold-silver mineralization at Tenoriba property, Chihuahua.
  • Radius Gold Inc., provided a review of 2021 and an update of their Mexican properties. At Amalia project. Chihuahua, 45 drill holes totalling 14,402m have been completed of which 10,588m in 31 holes were drilled in the Amalia Vein System and 3,814m in 14 holes were drilled in the California Vein System. Drilling has re-commenced at El Cuervo target with 3,500m of core drilling expected in the coming months. There are still several targets remaining to drill test including Oro Viejo, La Caverna, California SE, El Pozo and Palmillas. At Maricela project, Sonora, the company mapped and sampled the Au-Ag Epithermal Vein system, extending 1.5km long by 300m wide, within which occurs multiple veins, stockworks, and breccias. 576 samples have been collected with highlights including intervals of 4.46 g/t Au and 1,335 g/t Ag over 3m at la Baby Gloria Vein;  1.03 g/t Au and 418 g/t Ag over 63 at Silver Central Vein; and 0.31 g/t Au and 62 g/t Ag over 25.3m at intersecting veins. At Plata Verde project, Chihuahua, Radius completed a geophysical survey. NP/Resistivity sections show significant structural zones extending to depth directly below the known large scale historic silver mines. Two priority targets for drilling have been generated. In addition, the company completed detail underground mapping and sampling of the historic Mina Real y Mina Mojonera. Radius is evaluating options to fund drilling later this year.
  • Riverside Resources inc., provided an outlook on the upcoming 2022 and informed on some of the achievements and milestones in 2021. Riverside plans to advance their exploration projects in Sonora. It plans to advance its La Union project in Sonora, where sampling results have returned up to  84 g/t Au and >1,500 g/t Ag in rock chip samples. On the exploration alliance with BHP, the company is progressing on 3 funded programs with spending of over USD $3M in the first 6 months of 2022, doing exploration on selected and defined projects, finalizing third party acquisitions, and advance work toward drilling. At Cecilia project, Sonora, along with its partner Carlyle, the objective is to complete further drilling which could define a possible mineralized body at depth around the Cerro Magallanes main dome. At Los Cuarentas project in Sonora, the plan is to advance it with further drilling and test the porphyry copper center. It also wants to complete further farm out option deals from the Riverside portfolio such as Suaqui Grande and Suaqui Verde projects in Sonora, among others. Finally, it plans to work with partners to test porphyry copper targets at its Ariel project, Sonora.

ON MINING

  • Americas Gold and Silver Corporation reported that it milled approximately 47K tonnes at a rate of 1,695 tonnes per operating day during, December 2021, with grades of 54 g/t Ag, 4% Zn, and 1.8% Pb to produce 46K Oz Ag, 3.2M Lb Zn, and 1.3M Lb Pb from its Cosalá operation in Sinaloa.
  • Torex Gold Resources inc., announced production results from its El Limon-Guajes mine in Guerrero for Q4 and the full year 2021. The company mined in Q4, 2021, an average of 1,030 tonnes per day from underground and 9,390 tonnes per day from open pit to produce 109,410 Oz Au. Torex mined an average of 1,260 tonnes per day from underground and 13,040 tonnes per day from open pit in the full year 2021 to produce 468,200 Oz Au. The company sold 468,820 Oz Au at an average realized price of USD $1,790/Oz Au, including 109,390 Oz Au at an average realized price of USD $1,795/Oz Au.
  • Endeavour Silver Corp., reported Q4 and full year 2021 production results from their Mexican mine operations. During the period Q4, 2021, the company processed from Guanacevi mine, Durango 108.3K tonnes of 1.21 g/t Au and 417 g/t Ag with metallurgical recoveries of 92.2% and 89.6% respectively to produce 3,885 Oz Au and 1.3M Oz Ag, and from Bolañitos mine, Guanajuato, 105.2K tonnes of 1.83 g/t Au and 48 g/t Ag with metallurgical recoveries of 88.9% and 87% respectively to produce 5,502 Oz Au and 141.2K Oz Ag. Endeavour also reported full year production results from their Mexican mines. It processed 414.3K tonnes from Guanacevi mine, Durango at grades of 1.09 g/t Au and 370 g/t Ag with metallurgical recoveries of 91.7% and 87.9% respectively to produce  13,317 Oz Au and 4.33M Oz Ag; from Bolañitos mine, Guanajuato itprocessed 418.5K tonnes of 2.02 g/t Au and 42 g/t Ag wit metallurgical recoveries of 90.7% and 87% respectively to produce 24,652 Oz Au and 491.4K Oz Ag; and from El Compas mine, Zacatecas it processed  54.5K tonnes of 3.05 g/t Au and 36 g/t Ag with metallurgical recoveries of 80.2% and 72.5% respectively to produce 4,293 Oz Au and 45.8K Oz Ag. Consolidated results for the period Q4, 2021 were 213.5K tonnes of 1.52 g/t Au and 235 g/t Ag with metallurgical recoveries of 90.8% and 89.4% respectively to produce 9,446 Oz Au and 1.44M Oz Ag, while for the full year 2021 were 887.4K tonnes of 1.65 g/t Au and 195 g/t Ag with metallurgical recoveries of 89.8% and 87.6% respectively to produce 42,262 Oz Au and 4.87M Oz Ag.
  • Golden Minerals Company reported Q4 and full year 2021 production results from its Rodeo project, Durango. In Q4, 2021, Golden mined 145,205 tonnes and processed 42,827 tonnes of 4.6 g/t Au and 14 g/t Ag with metallurgical recoveries of 76.5% and 82.6% respectively to produce 4,831 Oz Au and 15,250 Oz Ag (5,028 Oz AuEq). The company sold 5,164 Oz Au and 15,552 Oz Ag (5,366 Oz AuEq) at realized price, before refining and selling costs of USD $1,784 per Oz Au and USD $23.08 per Oz Ag. In the full year 2021, Golden mined 661,102 tonnes and processed 149,411 tonnes of 4.1 g/t Au and 12 g/t Ag with metallurgical recoveries of 74.9% and 89.9% respectively to produce 14,449 Oz Au and 51,058 Oz Ag (15,256 Oz AuEq). The company sold 13,732 Oz Au and 48,970 Oz Ag (14,454 Oz AuEq) at realized price, before refining and selling costs of USD $1,793 per Oz Au and USD $24.83 per Oz Ag.
  • Equinox Gold Corporation announced full year 2021 production from their Mexican operations and provided production guidance for the year 2022. At Los Filos mine, Guerrero, the company produced 144.1K Oz Au and expects to produce 120K-140K Oz Au in the year 2022. At Mercedes mine, Sonora, the company produced 31.8K Oz Au and expects to produce 30K-45K Oz Au in the year 2022.
  • Gatos Silver Inc., reported Q4 and full year 2021 production results from its Cerro Los Gatos mine, Chihuahua. In Q4, 2021 the company milled 241,397 tonnes of 331 g/t Ag, 0.3 g/t Au, 2.2% Pb, and 3.9% Zn with metallurgical recoveries of 90%, 63%, 91%, and 93% respectively, to produce 2.3M Oz Ag, 1,300 Oz Au, 10.2M Lb Pb, and 12.9M Lb Zn. In the full year 2021, Gatos Silver milled 909,586 tonnes of 295 g/t Ag, 0.32% Au, 2.3% Pb, and 3.9% Zn with metallurgical recoveries of 86%, 61%, 86%, and 73% respectively, to produce 7.6M Oz Ag, 5,200 Oz Au, 39.8M Lb Pb, and 49.6M Lb Zn.
  • Oroco Resource Corp., reported results from eight drill holes collared in the North Zone within its Santo Tomas project in Sinaloa. Significant drill intercepts were encountered in hole N001 with 0.18% Cu, 0.012% Mo, 0.02 g/t Au and 1 g/t Ag over 27m, plus 0.39% Cu, 0.01% Mo, 0.045 g/t Au and 2 g/t Ag over 255m, plus 0.17% Cu, 0.003% Mo, 0.008 g/t Au and 1 g/t Ag over 49m; hole N002 with 0.38% Cu, 0.012% Mo, 0.025 g/t Au and 23 g/t Ag over 281.1m; hole N003 with 0.31% Cu, 0.009% Mo, 0.014 g/t Au and 3g/t Ag over 11.8m, plus 0.33% Cu, 0.018% Mo, 0.017 g/t Au, and 1g/t Ag over 17.7m, plus 0.29% Cu, 0.025% Mo, 0.02 g/t Au and 3 g/t Ag over 25.5m, plus 0.5% Cu, 0.008% Mo, 0.026 g/t Au and 3 g/t Ag over 14.3m, plus 0.39% Cu, 0.014% Mo, 0.019 g/t Au and 3 g/t Ag over 207.7m, plus 0.18% Cu, 0.002% Mo, 0.007 g/t Au and 2 g/t Ag over 76.2m, hole N004 with 0.38% Cu, 0.012% Mo, 0.017 g/t Au and 2 g/t Ag over 63.7m; hole N006 with 0.39% Cu, 0.004% Mo, 0.051 g/t Au and 2 g/t Ag over 188.5m, plus 0.17% Cu, 0.005% Mo, 0.011 g/t Au and  1 g/t Ag over 53.7m, hole N007 with 0.32% Cu, 0.005% Mo, 0.029 g/t Au, and 3 g/t Ag over 191.3m, plus 0.32% Cu, 0.012% Mo, 0.018 g/t Au and 3 g/t Ag over 109.9m; and hole N008 with 0.38% Cu, 0.01% Mo, 0.038 g/t Au and 3 g/t Ag over 328.3m. “Drilling confirms that the North Zone is comprised of intensely fractured, potassic- and phyllic-altered andesite volcanics and Laramide-age porphyritic intrusive dikes. Elevated Mo, Au and Ag accompany copper assays along the central axis of the North Zone”.
  • Osisko Gold Royalties Inc., announced that a total of 27,000m were completed on exploration and infill drilling on the Sapuchi, California and Golfo de Oro deposits at its San Antonio project in Sonora. These three deposits comprise 900m of a 3km long Iron Oxide Copper Gold (IOCG) trend that ends at the past producing Luz del Cobre copper deposit. The highlights of the drilling campaign to date include 2.14 g/t Au over 21.65m, and 1.03 g/t Au over 39.9m to extend the known mineralization. Osisko also announced that the historic gold stockpile is being stacked onto a new heap leach pad with production commencing in early 2022 along with an updated resource estimation for the three deposits being drilled.

ON FINANCING

  • No relevant news.

ON RESOURCES AND DEVELOPMENT

  • Silver Tiger Metals Inc., released results from its ongoing drilling program at its El Tigre project, Sonora, including a high grade intercept in a structure located between the Tiger Vein and the Seitz Kelly Vein. Hole ET-21-274 encountered 0.84 g/t Au and  1 g/t Ag (65 g/t AgEq) over 15m, including 1.42 g/t Au and 1 g/t Ag (108 g/t AgEq) over 4.5m, plus 0.4 g/t Au, 8 g/t Ag, 0.02% Cu, 0.02% Pb, and 0.03% Zn (41 g/t AgEq) over 6.3m, including 0.71 g/t Au, 13 g/t Ag, 0.02% Cu, 0.03% Pb, and 0.1% Pb (73 g/t AgEq) over 1.5m on Seitz Kelly Vein; and hole ET-21-278 encountered in a new structure 3.99 g/t Au, 32 g/t Ag, 0.04% Cu, 0.09% Pb, and 0.17% Zn (343 g/t AgEq) over 16.1m, including 12.24 g/t Au, 84 g/t Ag, 0.11% Cu, 0.2% Pb, and 0.3% Zn (1,029 g/t AgEq) over 5.1m, including 102.1 g/t Au, 120 g/t Ag, 0.13% Cu, 0.2% Pb, and 0.4% Zn (7,808 g/t AgEq) over 0.6m, plus 0.01 g/t Au, 78 g/t Ag, 0.07% Cu, 0.06% Pb, and 0.02% Zn (88 g/t AgEq) over 0.9m, plus 0.04 g/t Au, 86 g/t Ag, 0.1% Cu, 0.1% Pb, and 0.2% Zn (108 g/t AgEq) over 1m on Seitz Kelley Vein.
  • Prime Mining Corp., announced results from 13 new holes drilled at the Noche Buena deposit within its Los Reyes property in Sinaloa. Highlights include hole 21NB-22 with 16 g/t Au and 74 g/t Ag over a true width (TW) of 2.7m, plus 0.91 g/t Au and 44 g/t Ag over a TW of 24.3m, including 3.49 g/t Au and 82 g/t Ag over a TW of 0.9m; hole 21NB-23 with 75 g/t Au and 110 g/t Ag over a TW of 3.8m, plus 1.89 g/t Au and 76 g/t Ag over a TW of 19.7m, including 4.83 g/t Au and 250 g/t Ag over a TW of 3m; hole 21NB-21 with 92 g/t Au and 24 g/t Ag over a TW of 12.8m, plus 1.09 g/t Au and 66 g/t Ag over a TW of 4.3m; and hole 21NB-17 with 1.27 g/t Au and 13 g/t Ag over a TW of 12m, including 38 g/t Au and 8 g/t Ag over a TW of 2.2m. These drilling results have extended the size of the Noche Buena deposit. “The Noche Buena portion of the Central Structure has now been tested and mineralization identified along approximately 600 m of its known 1,000 m strike length.  The structure remains open along strike and at depth both to the northwest and the southeast. Phase 2 drilling is planned to test extensions to the northwest towards San Miguel, where there is strong potential to join the two deposits, and to the southeast where the structure has been traced in surface mapping”.
  • Avino Silver & Gold Mines Ltd., provided results from its Phase 2 drilling program conducted at its Avino property in Durango. The company informed that over 15,500m were drilled in 2021 testing several targets including Brecha de Bajo Vein, where the company made the discovery of a new vein splay called Bart Vein which appears to be mineralized. Highlights results from Brecha de Bajo and Bart Veins include hole NBX-21-02 with 0.06 g/t Au, 151 g/t Ag, 0.37% Cu, 0.06% Pb, and 0.2% Zn (211 g/t AgEq) over 1.20m, plus 0.08 g/t Au, 21 g/t Ag, 0.55% Cu, and 0.2% Zn (103 g/t AgEq) over 7.8m, and plus 0.06 g/t Au, 48 g/t Ag, 0.76% Cu, and 00.3% Zn (159 g/t AgEq) over 0.65m; hole NBX-21-03 with 0.14 g/t Au, 84 g/t Ag, 0.32% Cu, and 0.2% Zn (147 g/t AgEq) over 1.5m, plus 0.27 g/t Au, 72 g/t Ag, 0.26% Cu, 0.3% Pb, and 0.1% Zn (141 g/t AgEq) over 15.4m, including 0.3 g/t Au, 380 g/t Ag, 1.19% Cu, 0.4% Pb, and 0.2% Zn (547 g/t AgEq) over 1.05m, plus 0.84 g/t Au, 44 g/t Ag, 0.21% Cu, and 0.2% Pb (151 g/t AgEq) over 32.2m, including 1.58 g/t Au, 120 g/t Ag, 0.11% Cu, and 0.1% Pb (267 g/t AgEq) over 1.95m.
  • Capitan Mining Inc., reported results from six RC holes collared at its Peñoles project in Durango. The most significant drill intercept was encountered in hole CARC 21-48 with 0.39 g/t Au and 3 g/t Ag (0.42 g/t AuEq)  over 35.1m, including 1.08 g/t Au and 2 g/t Ag (1.1 g/t AuEq) over 4.6m, including 0.7 g/t Au and 2 g/t Ag (0.72 g/t AuEq) over 4.6m. This drill result extends mineralization 170m down-dip from hole 21-CARC-25. Capitan Mining informed that assays for 11 drill holes are pending. The drilling program will be resumed in late January.
  • Excellon Resources Inc., released results from its underground drilling program conducted at the Platosa property in Durango. Follow-up drilling on the 817 Zone below Manto 623 defined a zone of high-grade silver mineralization. Highlights include hole EX21UG76 with 4,035 g/t Ag, 25.2% Pb, and 11.8% Zn (5,089 g/t AgEq) over 0.4m, plus 1,430 g/t Ag, 12% Pb, and 21.7% Zn (3,905 g/t AgEq) over 1.8m; hole EX21UG60 with 2,398 g/t Ag, 14.2% Pb, and 33.2% Zn (3,905 g/t AgEq) over 1.8m; hole EX21UG812 with 1,267 g/t Ag, 7.5% Pb, and 19% Zn (2,124 g/t AgEq) over 2.8m; hole EX21UG769 with 4,060 g/t Ag, 29.7% Pb, and 3.3% Zn (4,939 g/t AgEq) over 0.9m; and hole EX21UG770 with 2,956 g/t Ag, 6.1% Pb, and 1.3% Zn (3,158 g/t AgEq) over 1m. The company also informed that underground drilling will continue testing below historical-mined areas for potential vertical zones.
  • Fabled Silver Gold Corp., released results from its ongoing drilling program at its Santa Maria project, Chihuahua. Hole SM20-48 encountered 0.04 g/t Au, 58 g/t Ag, 0.2% Pb, and 0.2% Zn (60 g/t AgEq) over 1.5m, plus 0.4 g/t Au, 90 g/t Ag, 0.2% Pb, and 0.5% Zn (111 g/t AgEq) over 24.5m, including 0.49 g/t Au, 113 g/t Ag, 0.3% Pb, and 0.7% Zn (139 g/t AgEq) over 17.1m, including 0.6 g/t Au, 129 g/t Ag, 0.4% Pb, and 0.8% Zn (160 g/t AgEq) over 7.5m, including 0.83 g/t Au, 210 g/t Ag, 0.6% Pb, and 1.4% Zn (253 g/t AgEq) over 3m, including 1.25 g/t Au, 315 g/t Ag, 0.6% Pb, and 1.2% Zn (379 g/t AgEq) over 1.50m.
  • Zacatecas Silver Corp., received permits for 13 new drill pads and applied for permits on additional 27 drill pads at its Panuco deposit in Zacatecas. The Company is currently drilling shallow angled holes in the northeast of the Panuco North Vein to test the near surface down-dip extension of vein outcrops and shallow historical workings. It also expects to receive soon the approval of an application for permits to drill El Cristo vein system, which was submitted to SEMARNAT in December 2021.
  • Silver Dollar Resources Inc., announced that exploration drilling has recommenced at its La Joya project, Durango. The company completed 5 holes on the Noria portion of the property for a total of 1,134m before the Christmas break with the aim of testing possible structural extensions of known mineralized zones identified in historical drilling. Sample results from these holes will be reported once they are available.
  • GoGold Resources Inc., release results from 13 drill holes collared at Mololoa Area within its Los Ricos North project, Jalisco. Drilling highlights include hole LRGM-21-066 with 1.21 g/t Au and 242g/t Ag (4.44 g/t AuEq or 333 g/t AgEq) over 11.3m, including 5.2 g/t Au and 1,143 g/t Ag (20.44 g/t AuEq or 1,533 g/t AgEq) over 1.4m; hole LRGM-21-068 with 0.6 g/t Au and 155 g/t Ag (2.68 g/t AuEq or 201 g/t AgEq) over 12.9m, including 3.56 g/t Au and 872 g/t Ag (15.19 g/t AuEq or 1,139 g/t AgEq) over 0.7m; hole LRGM-21-077 with 1.51 g/t Au and 376 g/t Ag (6.52 g/t AuEq or 489 g/t AgEq) over 36.3m, including 6.94 g/t Au and 1,683 g/t Ag (29.78 g/t AuEq or 2,204 g/t AgEq) over 6.5m, including 21.8 g/t Au and 5,040 g/t Ag (89 g/t AuEq or 6,675 g/t AgEq) over 1m, plus 5.02 g/t Au and 1,385 g/t Ag (2,349 g/t AuEq or 1,762 g/t AgEq) over 1.6m; and hole LRGM-21-089 with 0.81 g/t Au and 151 g/t Ag (2.82 g/t AuEq or 212 g/t AgEq) over 24.1m, including 2.87 g/t Au and 426 g/t Ag (8.56 g/t AuEq or 641 g/t AgEq) over 4.2m, including 4.18 g/t Au and 748 g/t Ag (14.15 g/t AuEq or 1,061 g/t AgEq). The company is pleased with the drilling results on Mololoa Area and will continue its aggressive resource expansion drilling program at Los Ricos North deposit. GoGold also will commence drilling at the Cabrera zone, which is the newest target for Los Ricos North deposit.

ON DEALS AND CORPORATE ISSUES

  • Ranchero Gold Corp., announced the appointment of its President effective immediately (Santa Daniela project, Sonora).
  • Starcore International Mines Ltd., announced the appointment of its new President and Director. This appointment follows the resignation of Robert Eadie as President of the Company.   Mr. Eadie remains as Chairman, CEO and a director of the Company.  (San Martin mine, Queretaro).
  • Capitan Mining Inc., entered into a purchase agreement to acquire a portfolio of royalties including a 2% royalty on the Capitan Gold oxide deposit in Durango from Exploraciones Altiplano. Total purchase price of royalty portfolio is USD $1M over two years, payable in cash and shares. “Any shares issued to Altiplano are subject to right of first refusal (ROFR) allowing Capitan to market and place shares with investors if Altiplano elects to sell. This transaction with Altiplano in combination with Capitan’s contractual option to retire Riverside Resources 1% royalty for CAD $250K will leave the Peñoles project royalty free and will enhance overall project economics for investors.
  • Endeavour Silver Corp., entered into a definitive agreement to acquire the Pitarrilla project in Durango State from SSR Mining Inc., for total consideration of USD $70M and a 1.25% NSR. The USD $70M will consists of USD $35M in Endeavour shares and a further USD $35M in cash or in Endeavour shares at the election of SSR Mining. The number of Endeavour shares to be issued will be based on a deemed price of USD $4.085 per share.

ON SOCIAL RESPONSIBILITY

  • Compañia Minera Cuzcatlán (Fortuna Silver Mines Inc.), along with local municipal authorities from the Valles Centrales de Oaxaca and Cuenca de Papaloapan Regions delivered toys to more than 20,000 girls and boys from Oaxaca. The delivery of toys is an example of the coordinated work that Compañía Minera Cuzcatlán carries out permanently with different communities, as part of its commitment to generate shared development and well-being in Oaxaca.

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

On the picture above, secondary copper staining on an IOCG project in Sonora, Mexico.  Photo by Miguel A Heredia.

Farewell to David M. Jones

David on a project in northern Sonora, last spring

It was with great sorrow that the news of the passing of David “Dave” Jones at his house in Tucson last week were received. I got to know him while working for BHP in the Sonoran desert, circa 1995, as he started to do consulting work in Mexico. At the time I was impressed by his capacity to read rocks, and re-construct the history of a mineralizing system, even when I did not agree with all of his interpretations. My early career started in the late 80’s, when Mexico was beginning to open to foreign investment in mining, therefore I already had had the chance to interact with plenty of Australians, Americans and Canadians by the time he showed up in Mexico…. And he was clearly one of a kind already by then, before embarking in the quest for discovery of mineral deposits in Mexico. Different not because of his nationality, but for his zest for life, his talkative and witty nature as well as his piercing gaze, the practice of climbing and speleology, his love for beautiful women and the risk taking attitude that later led him to stake large swaths of land in southern Mexico.

A true explorer, he always kept in his mind the curiosity for every feature of mineralized systems, and was permanently looking for ways to understand its formation. He was an instrumental part for the discovery of Los Filos deposit, in Guerrero, and the Switchback system in Oaxaca, and possessed by himself several large mining concessions in Guerrero and Oaxaca. It was always a pleasure to talk to him on mineral deposits or women, his favorite subjects.

His participation as a speaker in a Conference anywhere in Mexico was sure to attract the biggest audiences, as his flamboyant style was imprinted to all technical aspects of geology and exploration, a true geologist, explorer and showman, farewell to David M. Jones, who will be missed in Mexico.

Jorge Cirett

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

Hydrothermal breccia

By Miguel A Heredia

Happy New Year to all of our readers! I want to wish you all the very best in this coming 2022, especially good health, prosperity and a lot of fun!

With deep regret I knew early this week about the sensitive and unexpectedly passing of David Jones at his home in Tucson, Arizona. David was a well-respected geologist who worked for many years in Mexico making many friends. David will be remembered for being responsible of multiple discoveries in Mexico such as Los Filos in the Guerrero Gold Belt, and Switchback vein system at the El Aguila project in Oaxaca among others. “Descansa en paz amigo!”

During the 52nd and last week of the year (December 27th, 2021 to January 2nd, 2022), at least 13 press releases were announced by companies working in Mexico, and 2 news published by the media, with four reporting resources and developments of their properties, three disclosing deals and corporate issues, three informing on exploration results, three announcing financial issues, one commenting on Mexican issues, and one discussing social issues.  ON MEXICO ISSUES, Mexico will lose potential investments if it does not increase its level of certainty in the mining industry, warned Jody Kuzenko, CEO of the Canadian company Torex Gold Resources. ON EXPLORATION, In Sonora, Silver Spruce announced that it is proceeding with the preparation of an Informe Preventivo for trenching and drilling its Jackie property. In Durango, Southern Empire received preliminary results from a geophysical survey conducted at its Pedro Gold project. In Guerrero, Pantera Silver commenced a drilling program at its Nuevo Taxco Silver project.  ON MINING, no relevant news.  ON FINANCING, Altaley executed a loan agreement with Sail Natural for USD $5M (Tahuehueto project, Durango). Prismo completed the first closing of a non-brokered private placement for total gross proceeds of $1M (Palos Verdes project, Sinaloa). SilverCrest completed the third drawdown of USD $30M on its previously announced USD $120M Project Financing Facility (Las Chispas, Sonora). ON RESOURCES AND DEVELOPMENT, Fabled released results from its ongoing drilling program at its Santa Maria project, Chihuahua. Fresnillo and its JV partner Mag Silver provided a commissioning update on its Juanicipio project in Fresnillo, Zacatecas. GoGold provided an outlook and deliverables for 2022 (Los Ricos North and South projects, Jalisco). Silver Tiger provided a review of its 2021 activities at its El Tigre project in Sonora.  ON DEALS AND CORPORATE ISSUES, Gold79 retained Dig Media to provide investor relation services for the company (Taviche project, Oaxaca). Great Panther announced board changes (Topia mine, Durango). Minaurum announced the passing of David Jones. ON SOCIAL RESPONSIBILITY, Compañía Minera Cuzcatlán (Fortuna Silver) reported that its operation does not generate a negative impact on the water resource located in communities surrounding its San Jose mine in Oaxaca.

ON MEXICO ISSUE

  • Mexico will lose potential investments if it does not increase its level of certainty in the mining industry, warned Jody Kuzenko, CEO of the Canadian company Torex Gold Resources. Mexico’s mining industry has slowed because the current administration of President Andrés Manuel López Obrador has suspended the issuance of new mining concessions; likewise, companies in the sector are increasingly forced to deal with crime by hiring private security companies. Recently, the federal government proposed a constitutional reform initiative for the Mexican electricity industry in which it seeks for the Federal Electricity Commission (CFE) to regain a leading role in the sector, establishing that the company will generate at least 54% of consumption national electric. Torex Gold is the third largest gold producing company in Mexico, with 430,480 Oz Au in 2020; its operations are carried out in Guerrero, where Limón-Guajes is the second most important mining unit in the country in terms of gold production. In that same entity, the company plans to invest more than USD $500M to start operations at its Media Luna mining unit in 2024, with a production of 179K Oz Au, 21K tonnes of Cu and 1.5M Oz Ag, although these estimates will be updated with a new feasibility study. Since Torex Gold is growing in Guerrero, it will need more electrical power. “Reliability is required, that the power is not interrupted while you are working; the price must be competitive, and investors are looking for a wide margin in our process of decarbonization and reducing greenhouse gases”.

ON EXPLORATION

  • Silver Spruce Resources Inc., announced that it is proceeding with the preparation of an Informe Preventivo to be filed at the Mexican Government Environmental Authority (SEMARNAT) for conducting trenching and drilling at its Jackie property in Sonora. The environmental permit will include 13 trenches and 36 drill pads. The SEMARNAT permit for the Informe Preventivo is expected within four to six weeks of submission.”
  • Southern Empire Resources Corp., received preliminary high-resolution, airborne magnetic and radiometric geophysical data covering its Pedro Gold Project in Durango. In December 2021, Terraquest Ltd. of Markham, Ontario, collected 393.2 line-kilometers of airborne geophysical data on flight lines that were flown at azimuth 060 / 240 with 50m spacings. This data has been delivered to Condor Consulting, Inc. of Lakewood, Colorado; experts in geophysical processing, analysis and inversion modeling. “The results of our preliminary airborne magnetic data provide some strong clues about the structural setting and underlying ‘plumbing system’ of the HP Breccia gold zone. Together with the regional government magnetics, we see evidence for a deeper intrusive body that could be linked to the hydrothermal fluids and related potential for epithermal vein systems that are the target of Southern Empire’s upcoming drill campaign”. The company has mobilized a diamond drill rig to the Pedro Property and is scheduled to start a 2,000m, nine-hole core drill program in January of 2022.
  • Pantera Silver Corp., commenced a drilling program at its Nuevo Taxco Silver project in Guerrero. The first phase of this maiden exploration drill program will consists of up to 2,000m with holes of approximately 50-150m in depth.

ON MINING

  • No relevant news.

ON FINANCING

  • Altaley Mining Corporation executed a loan agreement with Sail Natural Resources LP for USD $5M. Net proceeds will be used to fund the final costs of construction and working capital at its Tahuehueto project in Durango. The loan agreement is for four years with an interest of 13.5% where Altaley shall make four quarterly payments of interest only on the outstanding amount of the loan commencing on March 10, 2022, and ending on December 10, 2022.
  • Prismo Metals Inc., completed the first closing of a non-brokered private placement for total gross proceeds of $1M (Palos Verdes project, Sinaloa). The company expects to complete a second closing for $1M in the first half of January, 2022. “The Company will use expected $2M gross proceeds from the Units to complete a 4,000m drilling campaign on its Palos Verdes property (estimated at $1M), conduct exploration on its Los Pavitos property, Sonora with a view of identifying drilling targets (estimated at $400K), the costs of the offering (estimated at $125K which includes payment of finder’s fees) and for general working capital”.
  • SilverCrest Metals Inc., completed the third drawdown of USD $30M on its previously announced USD $120M Project Financing Facility with an affiliate of RK Mine Finance. Funds will be used towards the continued construction of the Company’s Las Chispas Project located in Sonora, with a targeted completion in Q2, 2022. 

ON RESOURCES AND DEVELOPMENT

  • Fabled Silver Gold Corp., released results from its ongoing drilling program at its Santa Maria project, Chihuahua. The most significant drill intercept was obtained in hole SM20-45, which encountered a mined-out void zone at the target depth, but before reaching the target depth it intersected the Santa Maria footwall zone with 0.16 g/t Au 34 g/t Ag, 0.01% Pb, and 0.04% Zn (42.5 g/t AgEq) over 6.40m, including 0.23 g/t Au, 38 g/t Ag, 0.01% Pb, and 0.06% Zn (50 g/t AgEq) over 0.60m, and including 0.19 g/t Au, 55 g/t Ag, 0.01% Pb, and 0.04% Zn (68 g/t AgEq) over 1.7m.
  • Fresnillo plc and its JV partner Mag Silver Corp., provided a commissioning update on its Juanicipio project in Fresnillo, Zacatecas. Although the Juanicipio project team delivered the project for plan commissioning on schedule, the “Comisión Federal de Electricidad” (CFE), the state-owned electrical company, notified Fresnillo plc, the Juanicipio Project operator, that approval to complete the tie-in to the national power grid cannot yet be granted and the mill commissioning timeline will therefore be extended by approximately six months. Stoping and mineralized mine development at Juanicipio will continue and will make available any unused plant capacity at its Minera Fresnillo and Minera Saucito operations to process mineralized material produced at Juanicipio, and if possible matching commissioning and ramp up tonnages that were previously expected. The effect on cashflow generation from Juanicipio therefore will also be mitigated while CFE approvals are pending.
  • GoGold Resources Inc., provided an outlook and deliverables for 2022. At Los Ricos North, the company plans to conduct an aggressive drilling and exploration campaign on El Favor East and Gran Cabrera areas to increase the mineral resource estimate at the property. At Los Ricos South, GoGold will initiate a drilling program on the Jamaica structure since this mineralized zone offers the potential for an additional bulk tonnage target in Los Ricos South. The company also plans to initiate a PFS anticipated to be completed prior to the end of 2022.
  • Silver Tiger Metals Inc., provided a review of its 2021 activities at its El Tigre project in Sonora. The company reported wide high grade silver intercepts in quartz veins within a black shale horizon on the Sooy, Benjamin and Seitz Kelly Veins. Highlights include hole ET-20-202 in the Sooy Vein with 382 g/t AgEq over 22.2m, including 668 g/t AgEq over 11.75m; hole ET-21-204 in the Benjamin Vein with 519 g/t AgEq over 14.2m, including 1,010 g/t AgEq over 5.6m; and hole ET-21-264 in the Seitz Kelly Vein with 2,608 g/t AgEq over 17.5m, including 82,873 g/t AgEq over 0.5m. It also completed a $23M bought deal institutional financing, and disclosed 2021 Environmental, Social, & Governance (ESG) strategy roadmap.

ON DEALS AND CORPORATE ISSUES

  • Gold79 Mines Ltd., retained Dig Media Inc. dba Investing News Network, to provide investor relation services for the company. Under the terms of the contract for this advertising and investor awareness campaign, Dig Media will provide various digital media advertising and related services to increase public awareness of the company. (Taviche project, Oaxaca).
  • Great Panther Mining Limited announced the resignation of its Director and Chair of the Board of Directors, and the appointment of one of its independent Directors as the new Chair of the company (Topia mine, Durango).
  • Minaurum Gold Inc., announced the sensitive and unexpectedly passing of David Jones early this week at its home in Tucson, Arizona. “Descansa en paz amigo”.

ON SOCIAL RESPONSIBILITY

  • Compañía Minera Cuzcatlán (Fortuna Silver Mines Inc.) reported that its operation does not generate a negative impact on the water resource located in communities surrounding its San Jose mine in Oaxaca. The company monitors quarterly the water quality in surface and underground bodies. It also stated that since the beginning of its operation, it does not compete for this resource with neighboring communities, nor does it use the water that was monitored for its mining activities. The water samples are required every six months by environmental regulations, but to generate greater certainty and confidence among the population, the company proactively performs them every three months. The foregoing, through the hiring of external and certified laboratories, whose procedures are endorsed by both the National Water Commission (CONAGUA), as well as by the Federal Attorney for Environmental Protection (PROFEPA) and whose results comply with the NOM-OO1 of the Ministry of the Environment and Natural Resources (SEMARNAT).

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

On the picture above, a hydrothermal breccia from a low sulphidation epithermal vein system in a project in Durango, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

During the 51st week of the year (December 20th to December 26th, 2021), at least 16 press releases were announced by companies working in Mexico. To note, three companies posted exploration advances on their properties, one obtained an environmental permit to keep operating, three released financing/shares/stock exchange related news, while five companies posted on project development or resource definition and one more on a property sale. ON MEXICO ISSUES, the environmental permit needed to keep Fortuna Silver’s San José mine in operation was finally granted by SEMARNAT. ON EXPLORATION, In Sonora, Colibri Resources completed a 3,122 m RC drilling campaign at Evelyn; Silver Spruce is preparing to submit the environmental permit for El Mezquite. Southern Empire Resources initiated an air-borne magnetic and radiometric geophysical survey. ON MINING, Fortuna Silver Mines was granted the environmental permit to continue its operations at the San Jose mine in Oaxaca. The company had to sue SEMARNAT because the organism was not granting the permit although complaining with all regulations. In the end, not-public negotiations and technical reviews resulted in the permit being granted. ON FINANCING, Alamos Gold is to repurchase up to 30 M of its public shares. Prime Mining was added to the MVIS Global Junior Miners Index. Sonoro Gold closed its non-brokered placement for $3 M. ON RESOURCES AND DEVELOPMENT, Almaden Minerals updated on its 2022 plans at Ixtaca; The environmental permit is being prepared for re-submittal as well as the human rights impact assessment (HRIA) report; A favorable outcome on a Supreme Court lawsuit is expected for H2 2022. Guanajuato Silver Co. provided drilling results for El Cubo and Pinguico in Guanajuato. Avino Silver & Gold Mines filed the mineral resource estimate for La Preciosa, in Durango. Silver Dollar Resources informed on the drilling of 1,134 m at its La Joya project in Durango. Azucar Minerals defined a large lithocap at a new target zone on its El Cobre project, Veracruz. ON DEALS AND CORPORATE ISSUES, GR Silver Mining sold El Salto and El Salto Sur mining concessions (covering 56,910 ha) to Grupo Minero Venturex, for past taxes and a 0.5% NSR. ON SOCIAL RESPONSIBILITY, SilverCrest Metals, Peña Colorada and Industrias Peñoles informed on social measures for the betterment of communities near its operations.

ON MEXICO ISSUES

  • The Mexican environmental regulator (SEMARNAT) finally approved the environmental permit needed to keep Fortuna Silver’s San José mine (in Oaxaca) in operation. Thousands of workers and inhabitants of communities near the mine to be affected by the impending closure appreciate the outcome.

ON EXPLORATION

  • Colibri Resource Corp. completed 3,122 m of reverse circulation (RC) drilling in 22 holes at its Evelyin project in Sonora. The drill program, geological mapping and outcrop sampling were paused for the holidays.  “The Company will resume Phase I drilling at the El Sahuaro and Cerro Rojo targets, as well as other prioritized targets on the property in January, upon receipt and interpretation drill assay results”.
  • Southern Empire Resources Corp. initiated a high-resolution airborne magnetic and radiometric geophysical surveys at its Pedro project in Durango. The geophysical program comprises 384 line-km in 96 flight lines at 50 m spacing. In addition, a nine-hole 2,000 m drill core program is expected to start in January of 2022 in the 1,750 hectares mineral concession.
  • Silver Spruce Resources Inc. informed it is in the reviewing process for submission of the environmental report (Informe Preventivo) on its El Mezquite project in Sonora. The company intends to carry an additional phase of reverse circulation drilling with up to fourteen holes comprising 1,500 to 2,500 m in the 180 hectares project.

ON MINING

  • Fortuna Silver Mines Inc. informed the Secretaría de Medio Ambiente y Recursos Naturales (SEMERNAT) granted a 12 year extension of the environmental impact authorization (abbreviated as MIA, in Spanish) at the San Jose mine in Oaxaca. SEMERNAT had previously denied the extension application and Fortuna had to appeal the decision. “After continued dialogue and technical evaluation, SEMARNAT confirmed operations at the San Jose Mine are conducted in accordance with all environmental obligations” and granted the extension on the existing MIA.

ON FINANCING

  • Alamos Gold Inc. filed for a normal course issuer bid permitting Alamos to purchase for cancellation up to 30 M class A common shares, representing 10% of the company’s public float of the common shares to date. “The price for any repurchased Common Shares will be the prevailing market price at the time of the purchase. All Common Shares purchased by Alamos will be cancelled“ (Mulatos, Sonora).
  • Prime Mining Corp. has been added to the MVIS Global Junior Miners Index as of December 17, 2021 (Los Reyes, Sinaloa).
  • Sonoro Gold Corp. announced the closing of its previously announced non-brokered placement for aggregate proceeds of $3 M. In total the company paid $47.4 K in finder’s fees and 263.4 K in non-transferable Finder’s warrants.

ON RESOURCES AND DEVELOPMENT

  • Almaden Minerals Ltd. presented its plans for 2022. The company is preparing the resubmittal of the environmental permit for the Ixtaca project in Puebla, documenting well beyond the legal and regulatory framework in Mexico for filing in H1 2022, as well as the human rights impact assessment (HRIA) report. Almaden expects a lawsuit at the Supreme Court of Justice of Mexico being used to dispute the constitutionality of the Mexican mineral title regime to be solved favorably, optimistically in H2 2022. Since the last press release in October 2021, three more drill holes have been completed in the South East Alteration zone target near Ixtaca, and “The geologic observations and complete assay data will be analysed and additional mineral studies will be conducted on the core in order to identify any geochemical or mineral vectors in order to plan follow-up work in this area”.
  • Guanajuato Silver Company Ltd. provided drilling results from the El Cubo and Pinguico in Guanajuato. At the Cebolletas and 1850 Stope true width (TW) highlighted intervals comprise 2.00 m @ 1.10 gpt Au, 85 gpt Ag; 0.45 m @ 4.33 gpt Au, 192 gpt Ag; 3.87 m @ 1.38 gpt Au, 124 gpt Ag; 1.40 m @ 0.37 gpt Au, 99 gpt Ag in drilling by GR Silver and 1.62 m @ 2.85 gpt Au, 179 gpt Ag; 2.60 m @ 1.12 gpt Au, 131 gpt Ag; 1.71 m @ 0.46 gpt Au, 152 gpt Ag in drilling by Endeavour Silver. At El Cubo Villapando highlighted TW intervals comprise 6.35 m @ 0.69 gpt Au, 65 gpt Ag; 1.57 m @ 0.88 gpt Au, 98 gpt Ag. At El Pinguico, highlighted TW intervals comprise 4.05 m @ 0.68 gpt Au, 62 gpt Ag; 1.00 m @ 1.50 gpt Au, 122 gpt Ag; 0.55 m @ 2.11 gpt Au, 505 gpt Ag; 1.65 m @ 2.45 gpt Au, 125 gpt Ag; 7.95 m @ 1.35 gpt Au, 39 gpt Ag; 0.75 m @ 8.81 gpt Au, 208 gpt Ag; 8.10 m @ 1.00 gpt Au, 93 gpt Ag; 0.55 m @ 1.91 gpt Au, 75 gpt Ag.
  • Avino Silver & Gold Mines Ltd. filed the mineral resource estimate report on the La Preciosa project in Durango, which the company is proposing to acquire. The indicated mineral resource estimate comprises 17.4 M tonnes @ 176 gpt Ag, 0.34 gpt Au (202 gpt AgEq), containing 99 M Oz Ag, 189 K Oz Au (113 M Oz AgEq), whereas the inferred mineral resource includes 4.4 M tonnes @ 151 gpt Ag, 0.25 gpt Au (170 gpt AgEq), containing 21 M Oz Ag, 35 K Oz Au (24 M Oz AgEq).
  • Silver Dollar Resources Inc. informed 1,134 m of drilling have been completed in five holes at its La Joya project in Durango. “The initial drilling program is focused on target development on the Noria portion of the La Joya property with an emphasis on testing for possible structural extensions of known mineralized zones”.
  • Azucar Minerals Ltd. defined a large area of lithocap alteration in a newly outlined target at El Cobre project in Veracruz.” The new spectral mineral mapping in this area ….. has further defined a strong alteration signature with clear zoning including a central diaspore-pyrophyllite-shallow alunite/dickite and concentric halos of paragonitic and muscovitic white mica and inner propylitic epidote halo”. A soil sampling program is being completed for spectral and geochemical analysis intending to identify vectors to focus a drill program.

ON DEALS AND CORPORATE ISSUES

  • GR Silver Mining Ltd. announced the sale of El Salto and El Salto Sur non-core concessions, acquired from Mako Mining Corp. on March 2021, to the private Mexican company Grupo Minero Venturex S.A. de C.V.. The company received US$1 K, retaining a 0.5% NSR, and leaving Venturex responsible to pay all outstanding concession fees and related fines (Note by editor.- holding large titled mining concessions in Mexico is very expensive). In June GR Silver applied for the reduction of the surface of the 56,910 ha claims, but still has to receive the approval from the Dirección General de Minas (DGM).

ON SOCIAL RESPONSIBILITY

  • SilverCrest Metals inaugurated the Tetuachi bridge across the Sonora River in Arizpe, Sonora.
  • Peña Colorada donated material and equipment to the Biosfera Sierra de Manantlán.
  • Industrias Peñoles invested seven million pesos in the park Bosque Venustiano Carranza in Torreon, Coahuila.

On the image below: epidote filled fractures with calc-sodic halo and late quartz veinlet in a copper project in the Sonoran Desert. Picture by Jorge Cirett.

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

Scorodite in a quartz vein

By Miguel A Heredia

During the 50th week of the year (December 13th to December 19th, 2021), at least 30 press releases were announced by companies working in Mexico, and 1 news published by the media, with nine reporting resources and developments of their properties, eight disclosing deals and corporate issues, seven informing on exploration results, three communicating production and financial results, one announcing financial issues, and one commenting on Mexican issues.  ON MEXICO ISSUES, Great Panther announced that it has begun the closure process at its Guanajuato facility due to not having the respective permit to expand tailings storage in the Jolula Dam. ON EXPLORATION, In Sonora, Aztec Minerals and its JV partner Kootenay commenced a 5,000m RC drilling program at the Cervantes project, Barksdale announced the completion of the Phase I, 5,000m drilling program at the Cerro Verde Zone within its San Javier project, Canuc provided an update on the ongoing exploration program conducted at its San Javier project, and Tocvan commenced a 5,000-8,000m drilling program at its Pilar project. In Chihuahua, Kootenay released results from the last three holes collared at its Columba project, Monarca Minerals reported results from the last eight holes from its Phase 1 San Jose project exploration program, and Radius released drill results from the California target at its Amalia project.  ON MINING, Americas Gold and Silver announced that its Los Braceros plant has returned to nameplate production at its Cosala mine operation in Sinaloa. GoGold reported Q3, 2021 production and financial results from its Parral Tailings property in Chihuahua. Orla announced that three bars with a total weight of 1,278 Oz containing approximately 770 Oz Au and 510 Oz Ag were poured at its Camino Rojo property in Zacatecas.  ON FINANCING, Barksdale announced a non-brokered private placement of $1,750,000 secured convertible debentures (San Javier project, Sonora). ON RESOURCES AND DEVELOPMENT, Chesapeake provided an update of its Metates property in Durango, and announced technical plans for 2022. Endeavour released drill results from its Parral project, Chihuahua. Fabled released results from its ongoing drilling program at its Santa Maria project in Chihuahua. Impact announced the discovery of the New San Ramon Zone within its Zacualpan mining district in the Sate of Mexico, with high Au-Ag grades intersections. SilverCrest announced remaining results from its 2021 infill and expansion drilling program at its Las Chispas project in Sonora. Tarachi Gold announced positive results of the PEA conducted on its Magistral Mill and Tailing project in Durango. Torex reported results from the 2021 drilling program at its El Limon Guajes underground mine in Guerrero, including zones referred to as Sub-Sill and El Limon Deep. Vizsla released results from three new drill holes targeting the Napoleon Vein resource area at its Panuco project in Sinaloa. Zacatecas Silver reported Initial Inferred Mineral Resource Estimate for its Panuco deposit in Zacatecas.  ON DEALS AND CORPORATE ISSUES, Advance Lithium announced that its stock symbol changed from TSXV: AAX to TSXV: AALI (Tabasqueña project, Zacatecas). Bear Creek entered into a definite agreement with Equinox to acquire a 100% interest in the Mercedes mine in Sonora.  Consolidated Zinc entered into an offtake agreement with Metco Trading for the sale of 100% of the Plomosas lead concentrates produced from Plomosas for calendar year 2022. Defiance announced results from its annual and special general meeting of shareholders (San Acacio project, Zacatecas). Golden Minerals appointed a new member to its Board of Directors (Rodeo project, Durango). Mexican Gold announced favourable resolution of the claims dispute at its Las Minas project, Veracruz.   ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • Great Panther Mining Limited announced that it has begun the closure process at its Guanajuato facility. Great Panther issued a statement announcing the gradual closure of activities, due to not having the respective permit to expand tailings storage in the Jolula Dam, which is part of the mining complex. According to Great Panther, the permit was requested to the National Water Commission (CONAGUA) but so far it has not been authorized. For that reason the company cannot continue operating; but the operations will return, once they receive said authorization. The activities will continue solely for the care and maintenance of facilities. The mines that will be shut down are San Ignacio, the Guanajuato Complex and the Jolulaprocessing plant, located in the former Hacienda de Bustos, also known as ‘Cata’. Mine workers have expressed concern about the situation because when the activities stop in the mines in which they work they will lose their economic income. The precise data on how many employees will be affected by the situation is not yet available.

ON EXPLORATION

  • Aztec Minerals Corp., and its JV partner Kootenay Silver Inc., commenced a 5,000m RC drilling program to test four main targets at the Cervantes project in Sonora. “The primary objectives of the drilling program are to better define the near surface, oxide gold potential of the porphyry gold 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”.
  • Barksdale Resources Corp., announced the completion of the Phase I, 5,000m drilling program conducted at the Cerro Verde Zone within its San Javier project. All of the 36 holes collared at Cerro Verde encountering Cu mineralization. Significant drill results were encountered in hole SJ21-09 with 0.74% Cu over 18m, including 1.75% Cu over 15m; hole SJ21-07 with 1.47% Cu over 15m, plus 0.54% Cu over 12m; hole SJ21-15 with 0.49% Cu over 66m; hole SJ21-08 with 0.64% Cu over 18m, plus 0.54% Cu over 12m; and hole SJ-21-18 with 0.45% Cu over 12m. Although there are still 15 drill holes at the lab pending for results, the drilling has confirmed and expanded the footprint of the Cerro Verde Zone and indicates that Cu mineralization remains open particularly to the south, west, and northeast. The company has logged and sampled all the 36 drill holes collared during the 5,000m, Phase I drill program. It is currently working on completing an updated geological model in early Q1, 2022. Barksdale plans to conduct an initial resource estimate for the Cerro Verde Zone once assays are delivered by the lab. 
  • Canuc Resources Corporation provided an update on the ongoing exploration program at its San Javier project in Sonora. Approximately 11.2 km of drill and trench access roads were completed during the year. One of these roads encountered bedrock consisting of stockwork quartz veining and hydrothermal breccia. A strong northwest trending structure containing gold mineralization was identified along a strike length of more than 3 km. A total of 672 samples were collected from these trenches and road cuts, returning values ranging from <0.005 to 3.18 g/t Au; 00.3 to 169 g/t Ag, and 5ppm to 2.85% Cu. Highlights include 0.47 g/t Au and 0.37% Cu over 14.5m; 0.3 g/t Au over 56m; 0.21 g/t Au over 26m; 0.19 g/t Au over 10m; and 0.16 g/t Au and 0.48% Cu over 13m. Canuc also announced that 27 samples averaging 0.70m wide were collected from known magnetite bearing prospects in the northern part of the property returning up to 1.67 g/t Au, 1,877 g/t Ag and 6,823 ppm Cu, with a weighted average of 0.09 g/t Au, 295 g/t Ag, and 1,784 ppm Cu. In addition, seven channel samples averaging 0.8m wide collected from old mine workings found on recently acquired claims returned notable values in Au (up to 1.67 g/t), Ag (up to 511 g/t) and Cu (up to 1,854 ppm), with a weighted average of 0.15 g/t Au, 282 g/t Ag, and 604 ppm Cu. A drone-supported magnetic survey was completed late in the year and was accompanied by reconnaissance scale geological mapping. Several large magnetic anomalies were identified and targeted for drill testing. The San Javier area has become increasingly recognized as being highly prospective for IOCG, porphyry and other Intrusion-related Au, Ag and Cu-Au mineralization.
  • Tocvan Ventures Corp., commenced a 5,000-8,000m drilling program at its Pilar project. “Drilling will focus on continued step-out drilling along the Main Zone Trend and new 4-Trench Trend. Exploration drilling will continue to evaluate target areas along the Triple Vein Zone. Surface exploration work is currently underway on key target areas and channel samples from the recent trench program have been submitted for analysis”.
  • Kootenay Silver Inc., released results from the last three holes of the 2021 Phase 3 drilling program performed on the B Vein within its Columba project in Chihuahua. Hole CDH-21-111 encountered 105 g/t Ag, 0.04% Pb, and 0.06% Zn over 5.29m, including 190 g/t Ag, 0.07% Pb, and 0.1% Zn over 2.15m, including 387 g/t Ag, 0.2% Pb and 0.1% Zn over 0.65m; hole CDH-21-112 intersected 125 g/t Ag, 0.05% Pb, and 0.1% Zn over 0.7m, plus 174 g/t Ag, 0.07% Pb, and 0.15% Zn over 0.65m, plus 219 g/t Ag, 0.06% Pb, and 0.1% Zn over 29.50m, including 434 g/t Ag, 0.1% Pb, and 0.2% Zn over 13.05m, including 667 g/t Ag, 0.2% Pb, and 0.3 Zn over 7.05m, including 1,050 g/t Ag, 0.4% Pb, and 0.2% Zn over 2m, including 781 g/t Ag, 1% Pb, and 0.1% Zn over 1m; and hole CDH-21-13 with 156 g/t Ag, 0.06% Pb, and 0.1% Zn over 3.5m, including 574 g/t Ag, 0.2% Pb, and 0.3% Zn over 0.6m, plus 47 g/t Ag, 0.01% Pb, and 0.06% Zn over 54.90m, including 114 g/t Ag, 0.01% Pb, and 0.1% Zn over 3m, including 393 g/t Ag, 0.03% Pb, and 0.3% Zn over 2.05m, including 628 g/t Ag, 0.05% Pb, and 0.4% Zn over 1.10m. The company is focused on designing a drill program for the coming year to test the promising high-grade zones at Columba, including the B Vein.
  • Monarca Minerals Inc., reported results from the last eight holes from its Phase 1 San Jose project exploration program. Highlights include hole SJ-05 with 0.3 g/t Au, 2 g/t Ag, and 0.94% Cu over 4.6m, including 0.42g/t Au, 5 g/t Ag, and 0.21% Cu over 1.5m, and hole SJ-8 with 0.04 g/t Au, 79 g/t Ag, 0.34% Cu, 0.4% Pb, and 1.5% Zn over 1.5m, plus 0.36 g/t Au, 3 g/t Ag, 1% Cu, tr Pb, and 0.02% Zn over 6.1m, plus 0.84 g/t Au, <0.5 g/t Ag, 0.07% Cu, tr Pb, and tr Zn over 1.5m, plus 3.11 g/t Au, 32 g/t Ag, 0.13% Cu, 0.08% Pb, and 0.06% Zn over 3m, including 4.29 g/t Au, 53 g/t Ag, 0.18% Cu, 0.1% Pb, and 0.04% Zn over 1.5m. “Mineralization has been intersected in exoskarn and endoskarn and silicified intrusives, which are locally potassically altered with shreddy biotite and potassium feldspar. The area to the west of the completed drilling, where there is potential for skarn mineralization at the contact between mineralized intrusives and overlying dolomitized limestone is the site of the largest IP anomaly in the project area, which remains un-drilled from above where the dolomitized limestone outcrops”.
  • Radius Gold Inc., released drill results from the California target at its Amalia project in Chihuahua. Significant drill interceptions were encountered in holes AMDD21-45 with 60 g/t Ag over 87.25m, including 104 g/t Ag over 10.95m, plus 165 g/t Ag over 3.1m, and plus 187 g/t Ag over 3.3m; hole AMDD21-034 with 87 g/t Ag and 2.15 g/t Au over 3.95m; hole AMDD21-038 with 379 g/t Ag and 1.26 g/t Au over 11.20m; hole AMDD21-039 with 353 g/t Ag and 2.59 g/t Au over 12.75m; and hole AMDD21-044 with 346 g/t Ag and 0.63 g/t Au over 19.05m. “The system remains open to expansion along strike and to depth and so far has only been drilled on 200m centers. With the San Pedro zone drill defined and infill drilling planned for next year at California, we will be in a position to define a significant resource at the Amalia Property. With drilling on-going at the El Cuervo target and many targets remaining to drill test (Oro Viejo, La Caverna, and California SE), 2022 will be an exciting year for Radius”.

ON MINING

  • Americas Gold and Silver Corporation announced that its Los Braceros plant has returned to nameplate production at its Cosala mine operation in Sinaloa.  The company now is milling over 1,600 tonnes of ore per day grading 55 g/t Ag, 4.5 % Zn, and 1.9% Pb. Starting January, 2022 the company expects to increase the throughput to an average of 1,800 tonnes per operating day.
  • GoGold Resources Inc., reported Q3, 2021 production and financial results from its Parral Tailings property in Chihuahua. The company produced 475,734 Oz AgEq at a cash and AISC of USD $14.25 and USD $19.29 per Oz AgEq. GoGold reported revenue of USD $10.95M; cost of sales, including depreciation of USD $8.4M; operating income of USD $178K; and cash flow from operations of USD $538K. Year to date September 30, 2021, GoGold has produced 1.14M Oz Ag, 13,447 Oz Au, and 1.05.M Lb Cu (or 2.27M Oz AgEq). The company reported revenue of USD $53.2M; cash of USD $66.8M, free cash of USD $24.8M, company cash flow from operations before working capital of USD $18.9M, and USD $12.4 M after working capital; and adjusted net income of USD $11M.
  • Orla Mining Ltd., announced that three bars with a total weight of 1,278 Oz containing approximately 770 Oz Au and 510 Oz Ag were poured at its Camino Rojo property in Zacatecas. During the month of November, the Company mined a total of 466,215 ore tonnes at an average grade of 0.65 g/t Au and crushed and stacked a total of 374,976 tonnes on the heap leach pad. Year to date November 30, 2021, the Company mined a total of 1,589,994 tonnes of ore at an average grade of 0.72 g/t Au and crushed and stacked a total of 750,564 tonnes.

ON FINANCING

  • Barksdale Resources Corp., announced a non-brokered private placement of $1,750,000 secured convertible debentures arranged through Delbrook Capital Advisors Inc., an existing shareholder of the company. The net proceeds from the private placement will be used for general corporate and working capital purposes (San Javier project, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Chesapeake Gold Corp., provided an update of its Metates property in Durango, and announced technical plans for 2022. Management members and technical team of the company have been focused on improving the Metates ´project economics as a low cost, scalable mine, and the PEA showed positive results demonstrating an alternative mine plan with an approximately 90% decrease in development capital compared to an autoclave process flow sheet. The company plans to advance the metallurgical and technical work on Metates. In addition, the five-hole PQ diameter core drill program completed for metallurgical test work returned on average, a 19% increase in grade over the block model predicted grades. An overall increase in grade could have a significant impact on the PEA geological model and further improve project economics. Two diamond drill rigs commenced a 16-hole infill program that will drill both up and down dip as well as along strike between the June 2021 holes. The Company expects to release results in early 2022 once assays have been received. Once the assays are received, an updated block model inputting all 21 holes will be the basis for a revised resource estimate, mine planning and future technical studies. On the other hand, Chesapeake plans to carry out follow-up work on four of their regional projects: Nicole, Durango, Lucy, Sinaloa, Sundae, Sinaloa, and Tatatila, Veracruz.
  • Endeavour Silver Corp., released drill results from its Parral project, Chihuahua. In this year, the company has drilled over 14,000m in 59 holes targeting several areas along the La Colorada vein with the goal of expanding the current mineral resources. Highlights from recent drill results include hole VCS-10 on Veta Colorada with 0.01 g/t Au, 2,846 g/t Ag, 0.65% Cu, and 0.01% Zn (2,914 g/t AgEq) over a true width (TW) of 0.89m, including 0.01 g/t Au, 3,380 g/t Ag, and 0.77% Cu (3,461 g/t AgEq) over a TW of 0.79m; hole VCU-38 on the hangingwall of Veta Colorada with 0.05 g/t Au, 204 g/t Ag, 0.07% Cu, 0.8% Pb, and 1.2% Zn (278 g/t AgEq) over a TW of 1.75m, including 0.08 g/t Au, 541 g/t Ag, 0.2% Cu, 0.8% Pb, and 2.2% Zn (667 g/t AgEq) over a TW of 0.33m, plus 0.11 g/t Au, 840 g/t Ag, 0.25% Cu, 9.1% Pb, and 4.7% Zn (1,288 g/t AgEq) over a TW of 2.77m on Veta Colorada, including 0.26 g/t Au, 1,585 g/t Ag, 0.55% Cu, 34.9% Pb, and 4.4% Zn (2,755 g/t AgEq) over a TW of 0.36m; and hole VCU-50 collared on Veta Colorada with 0.55 g/t Au, 708 g/t Ag, 0.2% Cu, 10.9% Pb, and 12.4% Zn (1,504 g/t AgEq) over a TW of 1.23m, including 0.91 g/t Au, 1,130 g/t Ag, 0.25% Cu, 18.9% Pb, and 18.7% Zn (2,406 g/t AgEq) over a TW of 0.69m.
  • Fabled Silver Gold Corp., released results from its ongoing drilling program at its Santa Maria project in Chihuahua. Hole SM20-44 encountered 1.1 g/t Au, 20 g/t Ag, 0.01% Cu, 0.1% Pb, and 0.2% Zn (86 g/t AgEq) over 7.95m, including 1.42 g/t Au, 31 g/t Ag, 0.01% Cu, 0.2% Pb, and 0.3% Zn (104 g/t AgEq) over 5.80m, including 1.68 g/t Au, 40 g/t Ag, 0.01% Cu, 0.2% Pb, and 0.4% Zn (129 g/t AgEq) over 4.05m, including 5 g/t Au, 42 g/t Ag, 0.01% Pb, 0.03% Pb, and 0.1% Zn (229 g/t AgEq) over 1.10m.
  • Impact Silver Corp., announced the discovery of high grade at the New San Ramon Zone located 50m to the south and 150m up dip from previous underground mining and drilling at the San Ramon Mine, within its Zacualpan mining district in Sate of Mexico. A total of 3,726m of drilling in 14 holes has been completed and highlights include hole Z21-15 with 1,443 g/t Au, 0.07% Pb, and 0.1% Zn over a true width (TW) of 1.93m; hole Z21-16 with 897 g/t Ag, 1.6% Pb, and 7.9% Zn over a TW of 1.93m; hole Z21-17 with 453 g/t Ag, 0.2% Pb, and 0.3% Zn over a TW of 2.1m; hole Z21-22 with 410 g/t Ag, 0.1% Pb, and 0.3% Zn over a TW of 1.81m; hole Z21-24 with 568 g/t Ag, 0.6% Pb, and 1% Zn over a TW of 3.65m; and hole Z21-28 with 480 g/t Ag, 0.1% Pb, and 0.1% Zn over a TW of 2.25m. “Known mineralization over the total San Ramon workings has a down dip length of 430m and a strike length of 500m. It remains open for expansion and additional drilling is in progress”.
  • SilverCrest Metals Inc., announced remaining results from its 2021 infill and expansion drilling program at its Las Chispas project in Sonora. The company reported that the 2021 infill and expansion drilling program consisted of 109,590m in 301 drill holes that include a total of 102,560m in 281 holes in the Babi Vista, Babi Vista Splay, Babi Vista FWZ, Babi Norte HG, Granaditas and El Muerto Veins. On Babi Vista Vein, 15 new infill drill holes returned an average grade of 10.82 g/t Au and 863 g/t Ag (1,804 g/t AgEq) over a true width (TW) of 0.90m. 2021 infill drilling results reported an average grade of 9.05 g/t Au and 782 g/t Ag (1,569 g/t AgEq) over a TW of 0.8m. On Babi Vista FWZ, 10 new infill drill holes returned an average grade of 14.13 g/t Au and 1,057 g/t Ag (2,285 g/t AgEq) over a TW of 0.5m. 2021 infill drilling results reported an average grade of 12.58 g/t Au and 2,404 g/t Ag (3,498 g/t AgEq) over a TW of 0.7m. On Babi Norte HW Vein, infill drill holes returned an average grade of 9.87 g/t Au and 98 g/t Ag (1,506 g/t AgEq) over a TW of 0.5m. 2021 infill drilling program reported an average grade of 6.27 g/t Au and 628 g/t Ag (1,167 g/t AgEq) over a TW of 0.5m. On El Muerto Zone and Hanging Wall Vein, the 2021 infill drilling program returned an average grade of 3.97 g/t Au and 274 g/t Ag (619 g/t AgEq) over a TW of 1.4m. On Babi Vista Splay Vein, the infill drilling of 41 holes in 2021 reported an average grade of 15.74 g/t Au and 1,316 g/t Ag (2,684 g/t AgEq) over a TW of 1m. On Granaditas Vein, drilling of 40 holes returned an average grade of 11.65 g/t Au and 2,806 g/t Ag (3,819 g/t AgEq) over 1.2m. “In H1, 2022, underground drill rigs will be working on tighter spaced definition drilling at Babicanora Main, Babi Vista and Babicanora Norte veins in support of underground production planning, a required part of the mining cycle. The surface rig will be working on expansion drilling on the northwest extension of the Babi Vista Vein and further infilling of the El Muerto veins”. 
  • Tarachi Gold Corp., announced positive results of the PEA conducted on its Magistral Mill and Tailing project in Durango. Highlights of the PEA includes an initial capital cost of USD $11.1M and after-tax payback in 1 year; development timeline of 12 months; cash and AISC of USD $648 and USD $705 per Oz Au respectively, net of Ag and Cu credits; pre-tax IRR of 120% and after-tax IRR of 85% at base case price of USD $1,600 Oz Au, USD $22 Oz Ag, and USD $3.40 Lb Cu; pre-tax annual free cash flow of  $15.3M and post-tax cash flow of USD $11.3M during years of full-rate production; and Life of Mine of 3.4 years with total production of 53,900 Oz Au, 75,800 Oz Ag, and 1.9M Lb Cu.
  • Torex Gold Resources Inc., reported results from the 2021 drilling program at its El Limon Guajes underground mine in Guerrero, including zones referred to as Sub-Sill and El Limon Deep. Highlights include holes LDUG-49 with 15.04 g/t Au, 15 g/t Ag, and 0.66% Cu over 34m; hole LDUG-152 with 21.52 g/t Au, 13 g/t Ag and 0.53% Cu over 22.5m; hole LDUG-148 with 9.65 g/t Au, 4 g/t Ag, and 0.18% Cu over 43.5m; hole LDUG-164 with 13.53 g/t Au, 16 g/t Ag, and 0.86% Cu over 28.9m; hole LDUG-166 with 8.92 g/t Au, 4 g/t Ag, and 0.21% Cu over 41m; hole LDUG-139 with 9.21 g/t Au, 19 g/t Ag, and 0.4% Cu over 25.1m; hole LDUG-165 with 6.95 g/t Au, 6 g/t Ag, and 0.27% Cu over 28.7m; hole LDUG-126 with 56.25 g/t Au, 9 g/t Ag, and 0.18% Cu over 3.5m: hole LDUG-146 with 7.02 g/t Au, 4 g/t Ag, and 0.16% Cu over 26.4m; hole LDUG-159 with 10.1 g/t Au, 2 g/t Ag, and 0.12% Cu over 17.8m; hole LDUG-153 with 19.79 g/t Au, 5 g/t Ag, and 0.52% Cu over 7.7m; hole SST-244 with 5.72 g/t Au, 2 g/t Ag, and 0.16% Cu over 24.8m; hole SST-216 with 30.02 g/t Au and 3 g/t Ag over 4m; hole SST-232 with 10.21 g/t Au, 156 g/t Ag, and 1.52% Cu over 11.3m; and hole SST-226 with 10.71 g/t Au, 11 g/t Ag, and 0.44% Cu over 7.8m. To date, Torex has drilled and received assays for 69 drill holes representing approximately 14,200m of drilling. Approximately 5,800m (43 holes) have been drilled at El Limon Deep with an additional 8,400m (26 holes) drilled at Sub-Sill Zone. Torex is expected to complete 25,000m drill program in 2021. There are currently 8 rigs actively drilling off the El Limon Guajes underground, including 3 rigs from surface and 5 rigs underground.
  • Vizsla Silver Corp., released results from three new drill holes targeting the Napoleon Vein resource area at its Panuco project in Sinaloa. Significant mineralization was intersected in holes NP-21-190 with 9.12 g/t Au, 1,058 g/t Ag, 4.7% Pb, and 1.7% Zn (1,902 g/t AgEq) over a true width (TW) of 2.33m, plus 5.14 g/t Au, 161 g/t Ag, 0.4% Pb, 1% Zn (665 g/t AgEq) over a TW of 4.53M; and hole NP-21-197 with 1.12 g/t Au, 55 g/t Ag, 0.05% Pb, and 0.9% Zn (177 g/t AgEq) over a TW of 4.27M, including 3.27 g/t Au, 73 g/t Ag, 0.08% Pb, and 3.3% Zn (452 g/t AgEq) over a TW of 0.99m.
  • Zacatecas Silver Corp., reported Initial Inferred Mineral Resource Estimate for its Panuco deposit in Zacatecas. The company estimated 2.73M tonnes of 171 g/t Ag and 0.17 g/t Au (187 g/t AgEq) for a total of 15.03M Oz Ag and 15K Oz Au (16.4M Oz AgEq), including a zone of 5.1M Oz AgEq at 235 g/t AgEq. The database for the Mineral Resource Estimate consisted of 75 drill holes totalling 23,444 m, and 183 trenches totalling 4,540 m, of which a total of 66 drill holes totalling 19,826 m and 135 trenches totalling 3,545 m intersected the mineralization wireframes used for the Mineral Resource Estimate.

ON DEALS AND CORPORATE ISSUES

  • Advance Lithium Corp., announced that its stock symbol changed from TSXV: AAX to TSXV: AALI (Tabasqueña project, Zacatecas).
  • Bear Creek Mining Corporation entered into a definite agreement with Equinox Gold Corp., to acquire a 100% interest in the Mercedes mine in Sonora: Terms of the agreement are a cash payment of USD $75M and issuance of 24,730,000 Bear Creek common shares on the closing of the acquisition; a deferred cash payment of USD $25M due within six months of the closing date; and a 2% NSR payable on metal production from the Mercedes mining concessions. The USD $75M cash payment on the closing date will be funded by USD $15M from the company´s treasury, and USD $60M from Sandstorm Gold Ltd. Bear Creek and Sandstorm entered into a gold purchase agreement and a debt financing agreement, both subject to customary closing conditions. In exchange for USD $37.5M, Sandstorm will receive 25,200 ounces of gold over 3.5 years, followed by 4.4% of the gold production from Mercedes for the remainder of the life-of-mine, and Sandstorm will pay Bear Creek USD $22.5M to subscribe for a 6%, three-year convertible debenture. Sandstorm has the right to convert the principal amount of the debenture into common shares of Bear Creek, at any time prior to the maturity date, at a 35% premium, or as approved by the TSX-V, to Bear Creek’s share price on closing of the transaction.
  • Consolidated Zinc Limited entered into a offtake agreement with Metco Trading S.A. de C.V. for the sale of 100% of the Plomosas lead concentrates produced from Plomosas for calendar year 2022. Key terms of this agreement include purchase of 100% of lead sulphide concentrates produced from Plomosas; purchase of 100% of lead oxide concentrates, a new lead concentrate product from Plomosas planned to commence production during the 1st quarter of 2022; and fixed treatment charges for 2022, include the new lead oxide concentrates.
  • Defiance Silver Corp., announced results from its annual and special general meeting of shareholders (San Acacio project, Zacatecas).
  • Golden Minerals Company appointed a new member to its Board of Directors, effective December 9, 2021 (Rodeo project, Durango).
  • Mexican Gold Mining Corp., announced favourable resolution of the claims dispute concerning certain lands that overlap a portion of the Company’s Pepe mineral concessions at its Las Minas project, Veracruz.   The General Director of Mines in Mexico has ruled in favour of Mexican Gold, thereby nullifying the portion of the overlapping Santa Fe Claims and reducing it such that it is positioned outside of the Company’s mineral claim boundaries as well as the NI 43-101 resource base.

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, scorodite in a quartz vein displaying boiling texture from an intermediate sulphidation epithermal vein system in a project in Durango, 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 First Week of December, 2021. 

Quartz vein with massive chalcopyrite

By Miguel A Heredia

During the 48th week of the year (November 29th to December 5th, 2021), at least 24 press releases were announced by companies working in Mexico, and 3 news published by the media, with seven announcing financial issues, five reporting resources and developments of their properties, five disclosing deals and corporate issues, four informing on exploration results, three commenting on Mexican issues, and three communicating production and financial results.  ON MEXICO ISSUES, AMLO reaffirmed this week his foolish and unfortunate policy of not granting more mining concessions in Mexico. President Andrés Manuel López Obrador offered to meet the request of residents of San José del Progreso and collaborators of Compañía Minera Cuzcatlán, who asked him to avoid the closure of the San José mining unit, located in that Oaxacan municipality. The current government has stopped the issuance of mining concessions and investment in Mexico. ON EXPLORATION, In Sonora, Ranchero Gold provided an update of its ongoing drilling program conducted at its Maíz Azul project. In Chihuahua, Mammoth received from SEMARNAT a permit to expand its drilling program at its Tenoriba project. In Sinaloa, Kootenay announced drill results from its Copalito project. In Durango, Silverton signed a surface agreement for its Pluton Silver-Zinc project.  ON MINING, Americas Gold and Silver announced the re-opening of its Cosalá mine operation in Sinaloa. Santacruz reported Q3, 2021 production and financial results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. Guanajuato Silver provided a production update on its El Cubo mine, Guanajuato.  ON FINANCING, Guanajuato Silver closed the first tranche of its non-brokered private placement offering of up to 16M units at a price of CAD $0.55 per unit (El Cubo mine, Guanajuato). Fabled renewed its agreement with Agora Internet to provide online advertising, marketing, and branding services and wishes to issue 519,007 common shares in respect of the settlement, and engaged Hybrid Financial to provide marketing services (Santa Maria project, Chihuahua). First Majestic announced that it will issue USD $200M aggregate principal amount of Convertible Senior Notes or USD $230M aggregate principal amount if the over-allotment option is exercised in full (San Dimas mine, Durango). Guanajuato Silver received USD $750K from the sale of 90 tonnes of bulk Ag-Au concentrate from El Cubo mine in Guanajuato, and anticipates receiving a payment of approximately USD $1.3M for the sale of approximately 175 tonnes of additional Ag-Au concentrate on or about December 3, 2021. Orogen announced initial production at the Ermitaño deposit in Sonora where the company holds a 2% net smelter return. VVC announced an arrangement with Stockhouse Publishing to assists VVC with general market outreach and investor awareness (Gloria Copper project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Discovery reported a Preliminary Economic Assessment (PEA) on its Cordero project, Chihuahua. Endeavour released high grade results from its ongoing drilling program at their Guanacevi and Bolañitos mines in Durango and Guanajuato respectively. Silver Tiger reported a wide high grade drill intersection on the Benjamin Vein at its El Tigre project, Sonora. Fabled released results from hole SM0-42 collared at its Santa Maria project, Chihuahua. GR Silver announced the discovery of a gold-silver rich mineralized zone during the initial reconnaissance drilling at Loma Dorada target within its Plomosas project in Sinaloa.    ON DEALS AND CORPORATE ISSUES, Almadex announced the appointment of two members to its Board of Directors and the retirement of one Director after many years of valued service (El Chato project, Puebla). Capstone and Mantos Copper entered into a definitive agreement to combine business to create Capstone Copper (Cozamin mine, Zacatecas). Heliostar announced the appointment of a new member to its Board of Directors (Cumaro project, Sonora). Monumental Minerals announced the appointment of an advisory board to assist the company with the exploration and drill target definition of its Jemi rare earth elements project in Coahuila. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • AMLO reaffirmed this week his foolish and unfortunate policy of not granting more mining concessions in Mexico. He declared that mining companies were speculating in the financial market. López Obrador asserted that the existing mining concessions will be respected; however, his government will no longer give more, as many companies “cheated” and have not carried out exploitation tasks.
  • President Andrés Manuel López Obrador offered to meet the request of residents of San José del Progreso and collaborators of Compañía Minera Cuzcatlán, who asked him to avoid the closure of the San José mining unit, located in that Oaxacan municipality. The president was asked to avoid the loss of more than 1,200 direct jobs and around 8,000 indirect ones.
  • The current government has stopped the issuance of mining concessions and investment in Mexico. Parallel to the policy of null concessions, the president has presented a bill that intends to reserve strategic minerals such as lithium only for the State, denying any concession for their exploration, production or commercialization. Both their decisions not to grant a single concession in three years of government “and the promise not to do so in the entire six-year term”and to reserve strategic minerals for the State have been strongly criticized by specialists and representatives of the mining industry, to the point of warning that the future of the country is being“mortgaged.

ON EXPLORATION

  • Ranchero Gold Corp., provided an update of its ongoing drilling program conducted at its Maíz Azul project, located 3.5km east of Alamos Gold´s Mulatos mine in Sonora. To date, eight holes have been drilled totalling 1,245m, which represents 42% of the Phase 1 drill program which plans to test the La Colmena, La Cascada, and X-structure targets. 175 samples have been submitted to lab and results are expected to arrive in Q1, 2022.
  • Mammoth Resources Corp., received from SEMARNAT a permit to expand its drilling program at its Tenoriba project in Chihuahua. SEMARNAT approved the company´s application for up to 182 additional drill sites and covers the entire 6 km Au-Ag mineralization at the Tenoriba project.
  • Kootenay Silver Inc., announced drill results from Agua, 5 Señores, and Chiva Veins within its Copalito project in Sinaloa. Highlights at Agua Vein include hole BDH-20-055 with 2 g/t Au, 125 g/t Ag and 0.9% combined Pb+Zn (276 g/t AgEq) over 23m, including 9.26 g/t Au, 28 g/t Ag, and 0.6% combined Pb+Zn (643 g/t AgEq) over 5m, including 21.1 g/t Au, 29 g/t Ag, and 0.3% combined Pb+Zn (1,409 g/t AgEq) over 0.65m, plus 0.82 g/t Au, 587 g/t Ag, and 1.6% combined Pb+Zn (676 g/t AgEq) over 3m; hole BDH-21-056 with 0.22 g/t Au, 101 g/t Ag, and 0.9% combined Pb+Zn (135 g/t AgEq) over 21m, including 0.28 g/t Au, 163 g/t Ag, and 0.8% combined Pb+Zn (199 g/t AgEq) over 7m, including 0.48 g/t Au, 440 g/t Ag and 0.9% combined Pb+Zn (492 g/t AgEq) over 1.5m; and hole CDH-21-80 with 0.42 g/t Au, 63 g/t Ag, and 4.8% combined Pb+Zn (199 g/t AgEq) over 1.84m, including 0.69 g/t Au, 133 g/t Ag, and 11% combined Pb+Zn (423 g/t AgEq) over 0.43m. Highlights at 5 Señores Vein include hole BDH-20-51 with 2.95 g/t Au, 98 g/t Ag, and 0.3% combined Pb+Zn (290 g/t AgEq) over 1.4m; and hole BDH-20-052 with 0.23 g/t Au, 14 g/t Ag, and 0.6% combined Pb+Zn (34 g/t AgEq) over 3.3m, including 1.28 g/t Au, 61 g/t Ag, and 3.3% combined Pb+Zn (174 g/t AgEq) over 0.48m. Highlight on Chiva Vein include hole BDH-21-057 with 0.06 g/t Au, 106 g/t Ag, and 0.3% combined Pb+Zn (118 g/t AgEq) over 6.33m, including 0.23 g/t Au, 513 g/t Ag, and 0.8% combined Pb+Zn (546 g/t AgEq) over 0.82m; hole BDH-21-058 with 0.07 g/t Au, 41 g/t Ag, and 0.1% combined Pb+Zn (48 g/t AgEq) over 12m, including 0.5 g/t Au, 300 g/t Ag, and 1.4% combined Pb+Zn (1,364 g/t AgEq) over 0.35m; and hole BDH-21-063 with 0.92 g/t Au, 86 g/t Ag, and 5.5% combined Pb+Zn (269 g/t AgEq) over 1.82m, including 4.49 g/t Au, 453 g/t Ag, and 2.7% combined Pb+Zn (1,344 g/t AgEq) over 0.32m.
  • Silverton Metals Corp., signed a surface agreement for three years for its Pluton Silver-Zinc project with the Comisariado Ejidal of Ejido Mapimi in Durango State. The agreement provides access to the land for surface exploration work, including diamond drilling and use of a core storage facility.

ON MINING

  • Americas Gold and Silver Corporation, announced the re-opening of its Cosalá mine operation in Sinaloa. The Los Braceros plant has returned to nameplate production with a steady source of feed from a combination of existing stockpiled ore and new production from the San Rafael mine.
  • Santacruz Silver Mining Ltd., reported Q3, 2021 production and financial results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. At Zimapan mine, Hidalgo, the company milled 186,642 tonnes to produce 867.2K Oz AgEq, and sold 829.2K Oz AgEq. Cash costs per ton and per Oz AgEq produced were USD $53.88 and USD $17.72 respectively. AISC was USD $22.81 per Oz Ag Eq. The company reported revenue of USD $14.4M and a gross profit of USD $3.93M. At Rosario mine, San Luis Potosi, the company milled 2,306 tonnes to produce 5,698 Oz AgEq and sold 10,765 Oz AgEq. Cash costs per ton and per Oz AgEq produced were USD $173.04 and USD $42.81 respectively. AISC was USD $22.47 per Oz AgEq produced. The company reported revenue for USD $182K and gross profit of (272K).
  • Guanajuato Silver Company Ltd., provided a production update on its El Cubo mine, Guanajuato. The company has mined since October 15, 2021 450 tonnes of ore per day from El Cubo mine and is processing an average of 1,000 tonnes per day. It expects the plant to operate for 22 to 24 days for an average monthly operating rate of 22,500 tonnes for the next 6 months.

ON FINANCING

  • Guanajuato Silver Company Ltd., closed the first tranche of its non-brokered private placement offering of up to 16M units at a price of CAD $0.55 per unit. The net proceeds from the offering will be used to fund the ongoing exploration, development, and expansion of the Company’s El Cubo mine and mill complex and El Pinguico silver and gold project, and for general corporate and working capital purposes.
  • Fabled Silver Gold Corp., renewed its agreement with Agora Internet Relations to provide online advertising, marketing, and branding services and wishes to issue 519,007 common shares in respect of the settlement. It also engaged Hybrid Financial Ltd., to provide marketing services. Hybrid has been engaged for an initial period of 6 months, starting on December 1, 2021 and will be paid a monthly fee of $22,500 plus payable taxes (Santa Maria project, Chihuahua).
  • First Majestic Silver Corp., announced that it will issue USD $200M aggregate principal amount of Convertible Senior Notes or USD $230M aggregate principal amount if the over-allotment option is exercised in full. The company intends to use approximately USD $164.9M of the net proceeds of the offering to repurchase, in separate privately negotiated transactions, approximately USD $125.2M aggregate principal amount of its outstanding 1.875% convertible senior notes. The company intends to use the remainder of the net proceeds from the offering for general corporate purposes, including strategic opportunities (San Dimas mine, Durango).
  • Guanajuato Silver Company Ltd., received USD $750K from the sale of 90 tonnes of bulk Ag-Au concentrate grading approximately 220 Oz Ag per tonne and 2.2 Oz Au per tonne from El Cubo mine in Guanajuato, and anticipates receiving a payment of approximately USD $1.3M for the sale of approximately 175 tonnes of additional Ag-Au concentrate at similar grades on or about December 3, 2021.
  • Orogen Royalties Inc., announced initial production at the Ermitaño deposit in Sonora where the company holds a 2% net smelter return. The first doré gold-silver pour occurred November 11, 2021 and commercial production is expected in Q1 2022.
  • VVC Exploration Corporation announced an arrangement with Stockhouse Publishing to assists VVC with general market outreach and investor awareness. At the time, the company issued to Stockhouse 157,900 common shares of VVC and a $60K Note to be converted into shares in four tranches over a year. With the approval of TSX Venture Exchange, one quarter of the note ($15K) will now converted, as part of the second tranche, to 136,365 shares at a price of $0.11 per share, being yesterday´s market price discounted by 25%. The next share issuance will occur in three months (Gloria Copper project, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp., reported a Preliminary Economic Assessment (PEA) on its Cordero project, Chihuahua. The reports indicates that the ultimate pit contains 719M tonnes consisting of 228M tonnes of mill feed and 491M tonnes of waste for an average strip ratio of 2.2:1 Highlights include a Base Case after-tax NPV 5% of USD $1,160M and IRR of 38% assuming prices of USD $22 / Oz Ag, USD $1,600/ Oz Au, USD 1/Lb Pb, and USD $1.0/ Lb Zn; and a Upside Case after-tax NPV 5% of USD $1,889M and IRR of 55%, assuming prices of USD $27.5/Oz Ag, USD $1,880/Oz Au,  USD $1.1/Lb Pb, and USD $1.45/Lb Zn; 16-year mine life with an average annual production of 26M Oz AgEq at an AISC of USD $12.35 / Oz AgEq; initial development CAPEX of USD $368M post-tax payback of 2 years for Base Case and 1.4 years for Upside Case; 99% of tonnes processed in the PEA mine are in the Measured + Indicated category; and Ag represents > 60% of the net smelter return in the first five years of the mine life and >50% of the net smelter return over the life of mine.
  • Endeavour Silver Corp., released high grade results from its ongoing drilling program at their Guanacevi and Bolañitos mines in Durango and Guanajuato respectively. At Guanacevi mine, highlights include hole UCM-67 with 1.97 g/t Au and 1,254 g/t Ag (1,412 g/t AgEq) over a true width (TW) of 3.22m, including 3.6 g/t Au and 2,690 g/t Ag (2,978 g/t AgEq) over a TW of 0.2m, extending the El Curso orebody along strike; and hole SCSU-11 with 4.36 g/t Au, 1,450 g/t Ag (1,798 g/t AgEq) over a TW of 3.18m, including 7.97 g/t Au and 4,568 g/t Ag (5,206 g/t AgEq) over 0.31m, extending the Santa Cruz South orebody to depth. At Bolañitos mine, Guanajuato, highlights include hole BS-04 with 8.08 g/t Au and 151 g/t Ag (797 g/t AgEq) over a TW of 1.67m, including 89.6 g/t Au and 88 g/t Ag (8,046 g/t AgEq) over a TW of 0.08m on a new discovery, the Tepetateras vein, south of the current workings; and hole BS-03 with 1.26 g/t Au and 241 g/t Ag (342 g/t AgEq) over 0.96m, on the Lulu vein, south of the current workings.
  • Silver Tiger Metals Inc., reported a wide high grade drill intersection on the Benjamin Vein at its El Tigre project in Sonora. Hole ET-21-272 encountered 0.35 g/t Au, 388 g/t Ag, 0.14% Cu, 2.9% Pb, and 6.2% Zn (701 g/t AgEq) over 23.1m, including 0.5 g/t Au, 587 g/t Ag, 0.21% Cu, 4.3% Pb, and 9.2% Zn (1,051 g/t AgEq) over 15.1m, including 0.52 g/t Au, 1,642 g/t Ag, 0.58% Cu, 11.9% Pb, and 25.2% Zn (2,855 g/t AgEq) over 5.1m, including 0.37 g/t Au, 2,877 g/t Ag, 1.05% Cu, 14.6% Pb, and 30.8% Zn (4,375 g/t AgEq) over 2.6m.
  • Fabled Silver Gold Corp., released results from hole SM0-42 collared at its Santa Maria project, Chihuahua. This hole was designed to fill in a drill poor gap just to the west of the current resources. The hole intersected six gold bearing zones. Highlights are 0.49 g/t Au, 117 g/t Ag, 0.05% Pb, 0.1% Zn (143 g/t AgEq) over 3.70m, including 0.91 g/t Au, 211 g/t Ag, 0.1% Pb, 0.1% Zn, and 0.01% Cu (258 g/t AgEq) over 1.20m, plus 0.43 g/t Au, 227 g/t Ag, 0.1% Pb, 0.3% Zn and 0.01% Cu (249 g/t AgEq) over 1.71m.
  • GR Silver Mining Ltd., announced the discovery of a gold-silver rich mineralized zone during the initial reconnaissance drilling at Loma Dorada target within its Plomosas project in Sinaloa. Hole LDSP21-007 encountered 5.23 g/t Au and 166 g/t Ag over 1m. “The Loma Dorada target is currently the subject of reconnaissance drilling, testing a new geological model of NW trending, Au-Ag rich veining – a possible extension 1.2 km along strike from La Colorada”.

ON DEALS AND CORPORATE ISSUES

  • Almadex Minerals Ltd., announced the appointment of two members to its Board of Directors and the retirement of one Director after many years of valued service. The company also granted stock options to officers, employees and directors to purchase an aggregate of 1,075,000 common shares at a price of $0.31 per share which expires on December 5, 2023 (El Chato project, Puebla).
  • Capstone Mining Corp. and Mantos Copper Limited entered into a definitive agreement to combine business to create Capstone Copper Corp., a premier copper producer with transformational near-term growth. Upon completion of the transaction, former Capstone and Mantos shareholders will collectively own 60.75% and 39.25% of Capstone Copper, respectively, on a fully-diluted share basis. (Cozamin mine, Zacatecas).
  • Heliostar Metals Limited announced the appointment of a new member to its Board of Directors (Cumaro project, Sonora).
  • Monumental Minerals Corp., announced the appointment of an advisory board to assist the company with the exploration and drill target definition of its Jemi rare earth elements project in Coahuila. Monumental also appointed a new Director to its Board. The Company also granted 275,000 incentive stock options to advisors at a price of $0.50 per common share for a period of five years.

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, a piece of core showing a quartz vein with massive chalcopyrite from an epithermal quartz vein system in a current producing mine in Zacatecas, Mexico.  Photo by Miguel A Heredia.

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

Geologists Christian StClair and Tomás Tapia in a copper stained specularite vein ridge in the Sonoran Desert. Picture by Jorge Cirett

By Jorge Cirett

During the 47th week of the year (November 22nd to November 28th, 2021), at least 17 press releases were announced by companies working in Mexico. To note, only three companies posted exploration advances on their properties, three more released Q3 reports, one reported concentrate theft, two released financing news and one on quarterly dividends, while four companies posted on project development or resource definition and one more on a mine in peril of closing by government red tape. ON MEXICO ISSUES, at MINNOVATION 2021 several companies received an award for social responsibility. In Oaxaca, inhabitants near Fortuna’s San José mine are being pressured to sign a document asking for the denial of expedition of an environmental permit, action that would result on the mine closure. ON EXPLORATION, In Sonora, Ridgestone Mining is preparing to drill El Cobre target on its Rebeico property. In Chihuahua, Radius Gold informed on excellent drilling results from the California target at its Amalia project; Silver Spruce updated on exploration plans at Pino de Plata.   ON MINING, Impact Silver, Altaley Mining and Discovery Silver presented their Q3 2021 reports. Consolidated Zinc informed on the armed robbery suffered at its Plomosas plant in Chihuahua, where 90 tonnes of Zn concentrate were stolen. ON FINANCING, Galore Resources and Canasil resources informed on the closing of financing rounds that accrued CAD$818.5 K and $810.7 K respectively. Alamos Gold declared a $48 M quarterly dividend for its shareholders, adding to a total of $235 M delivered in 12 years. ON RESOURCES AND DEVELOPMENT, GoGold Resources released initial metallurgical tests at Los Ricos North in Jalisco. Zacatecas Silver presented drilling results from the Panuco Central and Tres Cruces veins at its Zacatecas Silver project. Fabled Silver Gold informed on drilling results from its Santa Maria project in Chihuahua. First Majestic Silver filed an updated technical report for its Santa Elena and Ermitaño project in Sonora.   ON DEALS AND CORPORATE ISSUES, Fortuna Silver Mines is working with legal advisors to appeal the denial order received from SEMARNAT regarding its request for an extension of the environmental permit. ON SOCIAL RESPONSIBILITY, Industrias Peñoles, Fresnillo PLC, Torex Gold and Grupo Mexico informed on its support for communities, environment and education.

ON MEXICO ISSUES

  • Alfonso Durazo, Sonora’s governor, praised the social responsibility of the mining industry. This as he delivered awards to companies on the Sonora Mining cluster, for abiding by Responsabilidad Social Empresarial (Corporate Social Responsibility). Companies receiving the award included Peñoles, Autlán, Molymex and  Alamos Gold, among others. The event was part of MINNOVACION 2021.
  • Inhabitants of communities near San José del Progreso, Oaxaca, where Fortuna Silver’s San José mine is located, denounce pressure and intimidation by agrarian and municipal authorities to sign documents asking for denial of the environmental permit by SEMERNAT (The Mexican environmental regulator), and to risk losing government aid if not complying with the request.

ON EXPLORATION

  • Ridgestone Mining Inc. finalized plans for a drill program on El Cobre property, within its 3,500 hectare Rebeico project in Sonora. The program envisages 2,700 m in 14 reverse circulation (RC) holes to test the mineralization below historical workings that run for 200 m along strike. Recent surface sample results include 1.0 m @ 3.5% Cu, 0.32 gpt Au; 1.5 m @ 1.5% Cu, 0.44 gpt Au; 3.0 m @ 2.65% Cu; 1.0 m @ 2.62% Cu; 1.5 m @ 2.21% Cu; 3.0 m @ 2.0% Cu.
  • Radius Gold Inc. informed on more drilling results from the California target at the Amalia project in Chihuahua. Highlighted core length results comprise 12.8 m @ 259 gpt Ag, 0.54 gpt Au (including 3.2 m @ 705 gpt Ag, 1.92 gpt Au); 39.7 m @ 204 gpt Ag, 0.35 gpt Au (including 19.1 m @ 346 gpt Ag, 0.63 gpt Au). Broad multiphase mineralization up to 50 m in width has been intercepted along 1 km of the California 2.8 Km long structure, to 300 m of depth. Other targets along the structure are still to be drilled due to the current lack of roads. Drilling is underway at the 1.5 km long El Cuervo vein target, a subparallel structure between the Amalia and California structures, where stockwork veining and brecciation have been mapped at up to 40 m in width.
  • Silver Spruce Resources Inc. updated on exploration at its 397-hectare Pino de Plata property in Chihuahua. A Lidar survey has been completed and the generated high-resolution topography provides a base for the incoming drilling, structural lineament mapping and future exploration. Negotiations continue with the surface owner to gain access to some of the drill targets.

ON MINING

  • Consolidated Zinc Ltd. informed that on November 16th a group of armed bandits entered its Plomosas mine in Chihuahua to steal 90 tonnes of zinc concentrate valued at US$90 K. The security guard and employees were unharmed, but locked in a transport container.
  • Impact Silver Corp. released financial and operating results for the Q3 2021. At Zacualpan, 34,587 tonnes were milled @ 156 gpt Ag to produce 152 K Oz Ag. At the Guadalupe mine production is being ramped-up to pre-pandemic levels, and a fourth drill rig has been added to the company’s fleet. The Capire open pit deposit and processing plant are being reviewed eyeing a re-start of operations.
  • Altaley Mining Corp. released quarterly reports for Q3 – 2021. At its Campo Morado mine in Guerrero, 168.4 K tonnes were processed, recovering 66% Zn, 29% Pb, to produce 10,743 tons of Zn concentrate (45% Zn, 2.29 gpt Au, 724 gpt Ag), 2,690 tons of Pb concentrate (22%Pb, 1.56% Cu, 5.45 gpt Au, 919 gpt Ag). Total cash cost was US$0.45 per Zn Lb and AISC of US$0.70 per Zn Lb.
  • Discovery Silver Corp. presented its financial results for the Q3 2021 and an update on the activities at the Cordero project in Chihuahua. Metallurgical tests show recoveries of 80-89% Ag, 83-91% Pb, 81-90% from locked cycle tests in sulfides and 54-80% Ag, 61-75% Au on oxide and transition ore cyanidation bottle roll procedures. An updated mineral resource estimate has been produced with information from 224,000 m of drilling in 517 holes, with 87% of the resource in the measured and indicated category. Phase 2 drilling is ongoing and focused on upgrading inferred resources, resource expansion of bulk-tonnage mineralization and testing the high-grade veins in the deposit. A PEA is expected to be released before the end of the current quarter, and a PFS on 2022.

ON FINANCING

  • Alamos Gold Inc. declared a quarterly dividend of US$0.025 per common share, and the repurchase of 383 K shares with a cost of $2.9 M. During the year Alamos has repurchased $8.9 M in shares. Thus far in 2021 the company has returned $48 M to shareholders through dividends and share buybacks, accumulating $235 M in dividends in 12 years (Mulatos, Sonora).
  • Galore Resources Inc. closed its non-brokered private placement financing, raising gross proceeds of CAD$818.5 K (Dos Santos, Zacatecas).
  • Canasil Resources Inc. announced the closing of the non-brokered private placement previously announced to gather $500 K, same that ended accruing $708.7 K in gross proceeds. The company also received $102 K from the exercise of warrants, taking the total to $810.7 K (Nora, Durango).

ON RESOURCES AND DEVELOPMENT

  • GoGold Resources Inc. announced positive initial results of metallurgic tests at its Los Ricos North project in Jalisco. HQ core from 108 drill holes at the Casados, El Favor, La Trini and El Orito deposits was composited and tested in Canada laboratories. The composites from Casados, El Favor and La Trini were subjected to direct cyanidation leaching of Au and Ag, while the one from El Orito was treated by flotation to extract also the base metal content. Recoveries ranged from 86% to 96% Au and 90% to 96% Ag on Casados, El Favor and La Trini, while at El Orito were 86% Au, 90% Ag, 87% Pb, 90% Zn and 90% Cu.
  • Zacatecas Silver Corp. released results from the drilling program targeting the Panuco Central vein and the Tres Cruces vein at its Zacatecas Silver project in Zacatecas. Assay results for four of the holes at Tres cruces have been received, and the highlighted intervals comprise 1.85 m @ 224 gpt Ag, 0.49 gpt Au; 2.17 m @ 798 gpt Ag, 0.34 gpt Au; 3.00 m @ 203 gpt Ag, 0.85 gpt Au. “Three holes targeted a historical high-grade intercept in Central Tres Cruces, over 1 km to the northwest and along strike of the eastern Tres Cruces holes. Assays for hole PAN 2021-013, which intercepted almost 5 metres of sulphidic quartz vein, are pending”.
  • Fabled Silver Gold Corp. informed on results from drilling at its Santa Maria project in Chihuahua. The drilling targeted and intercepted the down plunge extension of holes that recently returned significant gold grades, extending the zone 200 m below. Highlighted core-length intercepts comprise 1.5 m @ 69 gpt Ag, 0.63 gpt Au; 0.45 m @ 45 gpt Ag, 0.86 gpt Au; 1.05 m @ 165 gpt Ag, 0.58 gpt Au; 1.05 m @ 67 gpt Ag, 1.18 gpt Au; 3.3 m @ 138 gpt Ag, 1.46 gpt Au, 1.4% Pb, 2.0% Zn (including 1.85 m @ 107 gpt Ag, 2.40 gpt Au, 2.4% Pb, 3.5% Zn) in one hole.
  • First Majestic Silver Corp. filed an updated technical report for its Santa Elena mine in Sonora. The report also includes the results of a pre-feasibility study (PFS) on the Ermitaño project, four kilometers from the Santa Elena processing plant. Measured and Indicated resources for both projects comprise 6.06 M tonnes @ 97 gpt Ag, 2.85 gpt Au, containing 18.9 M Oz Ag, 557 K Oz Au, while inferred resources stand at 6.25 M tonnes @ 80 gpt Ag, 2.43 gpt Au, containing 16.2 M Oz Ag, 490 K Oz Au.

ON DEALS AND CORPORATE ISSUES

  • Fortuna Silver Mines Inc . “is working with legal advisors to file an appeal to the denial order received from SEMARNAT regarding its request to extend its environmental impact authorization (EIA) for its San José mine in Oaxaca. The company reported it continues to work with the authorities. However, due to the lack of concrete answers, it will use other legal alternatives”. The San Jose mine started operations back in 2011, but one of its environmental permits expired last month, and SEMARNAT (the Mexican environmental regulatory agency) is denying the permit on grounds of a pending evaluation on the regulation of the mine’s infrastructure and an indigenous consultation.

ON SOCIAL RESPONSIBILITY

  • Industrias Peñoles and Fresnillo PLC informed on programs to aid education of the new generations in Coahuila, Durango, Chihuahua, Guerrero, Estado de Mexico, Sonora and Zacatecas.
  • Minera Media Luna (Torex Gold) is supporting the education of students in Guerrero with the donation of computing equipment and facilities as well as providing professional practices on its installations for up to 20 students at a time.
  • Fundación Grupo Mexico delivered through its “Vagón Verde” (Green train car) 8,000 tree saplings to the city of Celaya, Guanajuato.

On the image below: Geologists Christian StClair and Tomás Tapia in a copper stained specularite vein ridge in the Sonoran Desert. Picture by Jorge Cirett.

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

Quartz hydrothermal breccia

By Miguel A Heredia

During the 46th week of the year (November 15th to November 21st, 2021), at least 35 press releases were announced by companies working in Mexico, and 4 news published by the media with twelve reporting resources and developments of their properties, seven announcing financial issues, seven communicating production and financial results, four informing on exploration results, four disclosing deals and corporate issues, four commenting on Mexican issues, and one discussing social issues.  ON MEXICO ISSUES, Fortuna Silver announced that it is trying to avoid the closure of its San Jose silver mine in Oaxaca after the expiration of its environmental permit last month. The company stated that it is fighting for the stability of 1,200 active workers of its San Jose mine. Mexico´s Secretary of the Environment and Natural Resources (SEMARNAT) announced that it will carry out an indigenous consultation to define the future of the San Jose mine in Oaxaca. ON EXPLORATION, In Sonora, Tocvan announced exploration plan for its El Picacho project, and Ridgestone received permit for drill program on the El Cobre target at its Rebeico project.  In Chihuahua, Mammoth Resources reported initial drill results from its diamond drilling program conducted on Carneritos area at its Tenoriba project. In Nayarit, Sierra Madre presented trenching sampling results from its la Tigra project. ON MINING, Argonaut announced Q3, 2021 production and financial results from their Mexican operations. Excellon presented Q3, 2021 production and financial results from its Platosa mine in Durango. Elemental Royalties reported the production of 9,722 Oz Au from its Mercedes mine in Sonora during the period Q3, 2021. Americas Gold and Silver announced that its Cosalá operations are expected to ramp-out to full production of approximately 1,800 tonnes per day next month. SilverCrest reported unaudited financial results for the period Q3, 2021. Starcore announced Q2, 2021 production results from its San Martin mine in Queretaro. DynaResource reported year to date 2021 production and financial results at September 30, 2021 from its San Jose de Gracia mine in Sinaloa.  ON FINANCING, Advance increased its previously announced non-brokered private placement to $475K (Tabasquena property, Zacatecas). Aloro reported that the final CAD 60K + VAT payment of the option agreement for the Los Venados claim, Sonora with Almadex has been made by Alamos Gold. Guanajuato Silver arranged an early payment of USD $2.5M to Endeavour Silver for the acquisition of the El Cubo mine in Guanajuato. Mag Silver signed a binding commitment letter with the Bank of Montreal for a fully underwritten USD $40M revolving credit facility. Aztec closed the final tranche of its oversubscribed CAD $1.6M private placement for total proceeds of CAD $575K (Cervantes project, Sonora). Guanajuato Silver arranged a non-brokered private placement offering for gross proceeds of CAD $8.25M (El Cubo mine, Guanajuato). Silver Wolf announced a non-brokered private placement for gross proceeds of up to CAD $1.5M (Ana Maria project, Durango).  ON RESOURCES AND DEVELOPMENT, Fabled released results from hole SM20-40 collared at its Santa Maria project in Chihuahua. GoGold presented results from the last nine holes collared at its Los Ricos project in Jalisco, prior to upcoming mineral resource estimate. Orex filed a NI 43-101 technical report for a mineral resource estimate on its Coneto project in Durango. Orla provided a construction update of its Camino Rojo project in Zacatecas. Oroco commenced a diamond drilling program on Brasiles Zone at its Santo Tomas project in Sinaloa.  Prime Mining commenced a Phase 2 drilling program on its Los Reyes project in Sinaloa, which will consist of 250 holes for a total of 50,000m. Silver Dollar began an initial 3,000m drilling program at its la Joya property in Durango. SilverCrest provided an update on the construction of its Las Chispas mine in Sonora.  Southern Silver released drill results from its Cerro Las Minitas project, Durango. Capitan Mining presented results from five RC holes collared on El Capitan deposit at its Peñoles project, Durango. Mithril released its maiden JORC mineral resource estimate for the first target area at its Copalquin project, Durango. Silver Tiger presented drill results from ten holes collared on the Protectora and Caleigh veins at its El Tigre project in Sonora. ON DEALS AND CORPORATE ISSUES, Fabled received an approval from the court to spin-out its copper exploration assets in Fabled Copper Corp. Rockland signed an option agreement to acquire 100% interest in the Elektra clay lithium project in Sonora. Starcore reported results from its annual general meeting of shareholders (San Martin mine, Queretaro). Goldgroup announced the appointment of its new CEO (Cerro Prieto mine, Sonora). ON SOCIAL RESPONSIBILITY, Fresnillo plc applies development and scientific research, consolidating the concept of what they call “sustainable mining”.

ON MEXICO ISSUES

  • Fortuna Silver Mines Inc., announced that it is trying to avoid the closure of its San Jose silver mine in Oaxaca after the expiration of its environmental permit last month. Although the San Jose mine has been in operation since 2011, its main environmental authorization expired on October 23, despite the company’s efforts since May to request an extension of the permit. A recent court order allows the mine to continue operating, but only temporarily. Maria Luisa Albores, the Environment Secretariat issued a statement saying it would work to organize a consultation with indigenous communities close to the project as part of the environmental authorization. It did not provide details on the timing of the consultation, nor did it say whether the mine could continue to operate in the meantime. The company stated that it is fighting for the stability of 1,200 active workers of its San Jose mine.
  • Mexico’s Secretary of the Environment and Natural Resources (SEMARNAT) announced that it will carry out an indigenous consultation to define the future of the San Jose mine in Oaxaca. A dozen of Zapotecas communities will decide whether the San José mine, owned by Minera Cuzcatlán, will continue operating in the Valles Centrales region of Oaxaca, through a consultation carried out by the Ministry of SEMARNAT. It should be noted that the San José mine has four environmental impact authorizations in force, however there is another one that expired on October 23, and although the company requested its extension in due time and form, SEMARNAT has not issued a ruling.
  • Fortuna Silver Mines Inc., provided an update on the appeal to the denial of the extension of the environmental impact authorization (EIA) at its San Jose mine, Oaxaca. “The appeal will be brought by Minera Cuzcatlán in the Mexican court. The grounds for the appeal are that Minera Cuzcatlán is in full compliance with all material environmental laws, and therefore Minera Cuzcatlán has the right to an extension of the EIA under applicable law”.

ON EXPLORATION

  • Tocvan Ventures Corp., announced exploration plan for its El Picacho project in Sonora, where five primary targets have been identified to date combining for over 6km of prospective trend. The company plans to carry out surface sampling and detailed target mapping, trenching and channel sampling of priority targets, and drill targeting. The project is fully permitted for 1,995m of trenching, 60 drill holes (up to 15,000m), and 2.2km of access roads.
  • Ridgestone Mining Inc., received permit for drill program on the El Cobre target at its Rebeico project in Sonora. This maiden drill program will consists of 14 RC holes for a total of approximately 2,700m, and will be conducted along the main El Cobre structure, where recent grab and rock-chip sampling of the surface stockpile of mined material from the El Cobre structure returned up to 3.5% Cu, 53 g/t Ag and 0.52 % Mo over widths of up to 5.0m.
  • Mammoth Resources Corp., reported initial drill results from its diamond drilling program conducted on Carneritos area at its Tenoriba project in Chihuahua. Four diamond holes have been completed for a total of 426m. Highlights include hole TEN21-01 with 0.31 g/t Au and 17 g/t Ag (0.53 g/t AuEq) over 37.5m, including 0.47 g/t Au and 75 g/t Ag (1.7 g/t AuEq) over 4.5m; hole TEN21-03 with 0.54 g/t Au and 4 g/t Ag (0.59 g/t AuEq) over 43.5m, including 0.69 g/t Au and 3 g/t Ag (0.73 g/t AuEq) over 6m, including 0.67 g/t Au and 5 g/t Ag (0.73 g/t AuEq) over 4.5m; and hole TEN21-04 with 0.53 g/t Au and 7 g/t Ag (0.63 g/t AuEq) over 19.5m.
  • Sierra Madre Gold and Silver Ltd., presented trenching sampling results from its la Tigra project in Nayarit. Trench LTZ01 returned 1.44 g/t Au and 10 /t Ag (1.58 g/t AuEq) over a length of 8.6m;  trench LTZ02 returned 0.46 g/t Au and 56 g7t Ag over a length of 19.7m; trench LTZ03 returned 1.22 g/t Au and 7 g/t Ag (1.3 g/t AuEq) over a length of 11.6m, including 2.52 g/t Au and 10 g/t Ag (2.7 g/t AuEq) over a length of 4.25m; and trench LTZ04 returned 1.45 g/t Au and 9 g/t Ag (1.57 g/t AuEq) over a length of 12.8m, including 3.22 g/t Au and 35 g/t Ag (3.69 g/t AuEq) over a length of 5.3m.

ON MINING

  • Argonaut Gold Inc., announced Q3, 2021 production and financial results from their Mexican operations. At El Castillo mine, Durango, Argonaut mined 2,143,000 tonnes of 0.28 g/t Au to produce 11,123 Oz Au and 10,448 Oz Ag or 11,246 Gold Equivalents Ounces (GEOs). It sold 10,473 Oz Au and 11,875 Oz Ag (10,612 GEOs) at a cash cost of USD $1,173 per Oz Au sold. At San Agustin Mine, Durango, the company mined 2,598,000 tones of 0.30 g/t Au to produce 16,258 Oz Au and 116,309 Oz Ag (17,626 GEOs). Argonaut sold 17,611 Oz Au and 121,993 Oz Ag at a cash cost of USD $1,011 per Oz Au sold. At La Colorada mine, Sonora, the company mined 1,224,000 tonnes of 0.67 g/t Au to produce 15,360 Oz Au and 37590 Oz Ag (15,802 GEOs). It sold 15,332 Oz Au and 35408 Oz Ag (15,749 GEOs) at a cash cost of USD $696 per Oz Au sold.
  • Excellon Resources Inc., presented Q3, 2021 production and financial results from its Platosa mine in Durango. The company mined 21,592 tonnes and milled 21,302 tonnes of 526 g/t Ag, 4.9% Pb, and 5.4 % Zn with metallurgical recoveries of 90.9%, 81.2%, and 78.3% respectively. Excellon produced 326.7K Oz Ag, 1.87M Lb Pb, and 1.98M Lb Zn (521.2K Oz AgEq) at total and AISC of USD$11.02 and USD$21.52 per Oz Ag payable respectively. The company reported revenues of USD $9.2M; gross profit of USD $1.8M, and cash and marketable securities of USD $5M at September 30, 2021.
  • Elemental Royalties Corp., reported the production of 9,722 Oz Au from its Mercedes mine in Sonora during the period Q3, 2021.
  • Americas Gold and Silver Corporation announced that its Cosalá operations are expected to ramp-out to full production of approximately 1,800 tonnes per day next month. Concentrate shipment have resumed. A return to revenue and cash flow generation is expected later in Q4, 2021.
  • SilverCrest Metals Inc., reported unaudited financial results for the period Q3, 2021. The Company recorded USD $42.1M as development expenditures under mineral property, plant and equipment, for the Las Chispas Project, which primarily consisted of decline construction and underground working of USD $17.2M; drilling costs of USD $9.7M; field and administrative costs of USD $6.3M; and salaries and remuneration of USD $3.3M. The Company also recorded additions, during the nine months ended September 30, 2021, of USD $60M related to the Las Chispas Project as mineral property, plant and equipment for various items which was primarily construction in progress.  At September 30, 2021, SilverCrest had cash and cash equivalents of USD $199M. At September 30, 2021, the Company had value-added taxes (“IVA”) receivable in Mexico of USD $17.9M. The Company has financed its operations to date through the issuance of common shares and debt. The Company currently has no operations from which to derive revenues.
  • Starcore International Mines Ltd., announced Q2, 2021 production results from its San Martin mine in Queretaro. The company milled 56,061 tonnes of 1.56 g/t Au and 23 g/t Ag with metallurgical recoveries of 87.81% and 54.83% respectively, to produce 2,782 Oz AuEq.
  • DynaResource Inc., reported year to date 2021 production and financial results at September 30, 2021 from its San Jose de Gracia mine in Sinaloa. The company mined and milled 66,695 tonnes of 9.48 g/t Au with a metallurgical recovery of 89.45%, to produce 18,141 Oz Au, from which 16,036 Oz Au were sold. The company reported revenue of $25.9M, net operating income of $11.3M, and earnings per share of $0.64.

ON FINANCING

  • Advance Gold Corp., increased its previously announced non-brokered private placement to $475K (Tabasquena project, Zacatecas).
  • Aloro Mining Corp., reported that the final CAD 60K + VAT payment of the option agreement for the Los Venados claim, Sonora with Almadex Minerals Limited has been made by Alamos Gold Inc.  Aloro also reported that by mutual agreement with Alamos, the second year work commitment was reduced from USD $1.5M to USD $750K, while the third year work commitment was increased from USD $3M to USD$3.75M, to total USD $M to earn 70% interest in the Los Venados project.
  • Guanajuato Silver Company Ltd., arranged an early payment of USD $2.5M promissory note to Endeavour Silver Corp., for the acquisition of the El Cubo mine in Guanajuato. In consideration, Endeavour has agreed to reduce the principal amount of the note by USD $25K and settle the Mexican VAT for common shares of the company. It will issue 901,224 common shares to Endeavour at a deemed price of CAD $0.55 per share to settle VAT totalling USD $396K.
  • Mag Silver Corp., signed a binding commitment letter with the Bank of Montreal for a fully underwritten USD $40M revolving credit facility. The facility will be used to develop its Juanicipio project in Zacatecas, as well as for working capital and general corporate purposes (Mag Silver only controls 44% of the project).
  • Aztec Minerals Corp., closed the final tranche of its oversubscribed CAD $1.6M private placement for total proceeds of CAD $575K. Part of the proceeds will be used to conduct exploration work on its Cervantes project in Sonora, as well as for general working capital purposes.
  • Guanajuato Silver Company Ltd., arranged a non-brokered private placement offering of 15M units at a price of CAD $0.55 for gross proceeds of CAD $8.25M. The net proceeds from the offering will be used to fund the ongoing exploration, development, and expansion of the Company’s El Cubo mine and mill complex and El Pinguico silver and gold project, both located near the city of Guanajuato, Mexico; and for general corporate and working capital purposes.
  • Silver Wolf Exploration ltd., announced a non-brokered private placement financing for up to 6M units at a price of CAD $0.25 per unit for aggregate gross proceeds of up to CAD $1.5M. Net proceeds will be used for financing the initial drill program at its Ana Maria project in Durango, and for general working capital purposes.

ON RESOURCES AND DEVELOPMENT

  • Fabled Silver Gold Corp., released results from hole SM20-40 collared at its Santa Maria project in Chihuahua. The drill hole encountered seven gold bearing zones as shown in the figure below:
“Hole SM20-40 was successful and continues to add to the mineral inventory as the down plunge of the gold domain system discovered in holes SM20 – 20, 22 remains open at depth. Hole SM20-41 will further explore the down dip potential of this zone. Further drilling maybe required in this area”.
·         GoGold Resources Inc., presented results from the last nine holes collared at its Los Ricos North project in Jalisco, prior to upcoming mineral resource estimate. The most significant mineralized intervals were encountered in holes LRGF-21-095 collared at El Favor Este with 0.35 g/t Au and 113 g/t Ag (1.85 g/t AuEq or 139 g/t AgEq) over 13.3m, including 3.81 g/t Au and 1,237 g/t Ag (20.3 g/ AuEq or 1,523 g/t AgEq) over 0.7m, and 0.56 g/t Au and 156 g/t Ag (2.65 g/t AuEq or 199 g/t AgEq) over 1.2m; and hole LRGF-21-084 with 0.17 g/t Au and 58 g/t Ag (0.94 g/t AuEq or 70 g/t AgEq) over 66.1m, including 0.37 g/t Au and 111 g/t Ag (1.85 g/t AuEq or 138 g/t AgEq) over 13.5m, including 1.03 g/t Au and 167 g/t Ag (3.26 g/t AuEq and 245 g/t AgEq) over 3m, plus 0.31 g/t Au and 154 g/t Ag (2.36 g/t AuEq or 177 g/t AgEq) over 5.5m.
·         Orex Minerals Inc., filed a NI 43-101 technical report for a mineral resource estimate on its Coneto project in Durango. Orex reported inferred resources for 5,325,000 tonnes of 1.67 g/t Au and 112 g/t Ag (3.15 g/t AuEq) to contain 286K Oz Au and 19.1M Oz Ag (538K Oz AuEq) as at August 30, 2021.
·         Orla Mining Ltd., informed that up to October 2021, the mine construction of its Camino Rojo project in Zacatecas shows a progress of 96% and that it remains on budget.  The company reported capital expenditures of USD $24.3M in Q3, 2021 and totalled USD $106.3M as Sept 30, 2021, out of a total of USD $134.1M. “The main activities completed during the quarter included ramp up of mining activities, mechanical completion of the crushing system, conveying system, reclaim tunnel, overland conveyor, and grasshopper conveyors, commencement of wet commissioning with introduction of ore into the crushing circuit, and completion of the camp facilities. Overliner ore material was placed on the heap leach pad and ore stacking began in early October in preparation for cyanide leaching which is expected to begin in mid-November”.
·         Oroco Resource Corp., commenced a diamond drilling program on Brasiles Zone at its Santo Tomas project in Sinaloa. Brasiles is the northern extension of the mineralization in the Santo Tomas North Zone, and consists of two very broad, sub-parallel exploration targets. The first hole underway will test a NE striking, chargeability-high resistivity low response, while the second hole will test a blind chargeability-high feature located west of and sub-parallel to the Brasiles target.
·         Prime Mining Corp., commenced a Phase 2 drilling program on its Los Reyes project in Sinaloa, which will consist of 250 holes for a total of 50,000m. Goal of the Phase 2 drilling program is to expand resources along the three main corridors of known open-pit mineralization: Guadalupe Structure, Zapote-Tahonitas, and Central Zone Structure. In addition, Prime will test several high potential new target generated in the previous exploration campaign   which are located within approximately 5km radius of the main mineralized corridors at Los Reyes such as Mina 20/21, Mariposa, Las Primas, Fresnillo, El Tule and others on the two parallel El Orito trends.
·         Silver Dollar Resources Inc., began an initial 3,000m drilling program at its la Joya property in Durango.  Objective of the drilling program is to test the possible structural extension of known mineralized zones identified in historical drilling on the Noria portion of the La Joya property.
·         SilverCrest Metals Inc., informed that the construction progress at its Las Chispas mine in Sonora was 54% complete compared to an overall scheduled completion of 48%. Construction continued to progress well in the quarter with the main access road, plant detailed engineering, and concrete work now complete, bridge construction 88% complete, plant construction 49% complete, power line 47% complete, and underground infrastructure ongoing. With underground development ahead of schedule at the end of the H1, 2021, development rates continued to progress well in Q3, 2021 for a total of 15.7 km completed since underground development began in Q1, 2019.
·         Southern Silver Exploration Corp., released drill results from the North Felsite chimney at its Cerro Las Minitas project, Durango. Highlights include hole 21CLM-175 with 599 g/t Ag, 0.08 g/t Au, 0.03% Cu, 16.9% Pb, and 10.2% Zn (1,530 g/t AgEq or 38.8% ZnEq) over a true width (TW) of 1.9m, including 760 g/t Ag,0.07 g/t Au, 0.03% Cu, 23.2% Pb, and 17.4% Zn (2,169 g/t AgEq or 55% ZnEq); and hole 21CLM-172 with 313 g/t Ag, 0.25 g/t Au, 0.07% Cu, 7% Pb, and 1.3% Zn (610 g/t AgEq or 15.5% ZnEq) over a TW of 0.4m, plus 180 g/t Ag, 0.06 g/t Au, 0.36% Cu, 3.7% Pb, and 0.5% Zn (361 g/t AgEq or 9.1% ZnEq) over a TW of 0.5m. Mineralization remains open along strike and at depths below 250m.
·         Capitan Mining Inc., presented results from five RC holes collared on El Capitan deposit at its Peñoles project, Durango. The most significant drill intercept was encountered in hole 21-CARC-40 with 0.30 g/t Au over 15.2m, including 1.44 g/t Au over 1.5m in the hanging wall zone, plus 0.32 g/t Au and 7 g/t Ag (0.40 g/t AuEq) over 76.2m, including 0.59 g/t Au and 8 g/t Ag (0.70 g/t AuEq) over 18.3m, including 1.2 g/t Au and 10 g/t Ag (1.33 g/t AuEq) over 1.5m in the Capitan Main zone.
·         Mithril Resources Ltd., released its maiden JORC mineral resource estimate for the first target area at its Copalquin project, Durango. The company reported for El Refugio-La Soledad target indicated resources for 691,000 tonnes of 5.43 g/t Au and 114 g/t Ag (7.06 g/t AuEq) to contain 121K Oz Au and 2.54M Oz Ag (157K Oz AuEq) and inferred resources for 1,725,000 of 4.55 g/t Au and 152g/t Ag (6.72 g/t AuEq) to contain 252K Oz Au and 8.4M Oz Ag (372K Oz AuEq). Total Indicated + Inferred resources are 2,416,000 tonnes of 4.8 g/t Au and 141 g/t Ag (6.81 g/t AuEq) to contain 373K Oz Au and 10.95M Oz Ag (529K Oz AuEq).
·         Silver Tiger Metals Inc., presented drill results from ten holes collared on the Protectora and Caleigh veins at its El Tigre project in Sonora. The most significant mineralized intervals were encountered in holes ET-20-163 collared on the Protectora Vein with 0.74 g/t Au and 335 g/t Ag (5.21 g/t AuEq or 391 g/t AgEq) over 3.2m, including 3.56 g/t Au and 1,782 g/t Ag (27.32 g/t AuEq or 2,049 g/t AgEq) over 0.5m, plus 0.48 g/t Au and 727 g/t Ag (10.17 g/t AuEq or 763 g/t AgEq) over 1m, including 0.89 g/t Au and 1,374 g/t Ag (19.21 g/t AuEq or 1,441 g/t AgEq) over 0.5m; hole ET-20-164 on the Protectora Vein with 4.59 g/t Au and 370 g/t Ag (9.52 g/t AuEq or 714 g/t AgEq) over 1.2m, including 10.5 g/t Au and 805 g/t Ag (21.23 g/t AuEq or 1,592 g/t AgEq) over 0.5m; hole ET-20-158 on Caleigh Vein with 4.09 g/t Au and 815 g/t Ag (14.96 g/t AuEq or 1,122 g/t AgEq) over 0.7m; and hole ET-20-156 collared on Caleigh Vein with 7.09 g/t Au and 752 g/t Ag (17.12 g/t AuEq or 1,284 g/t AgEq) over 0.3m.

ON DEALS AND CORPORATE ISSUES
·         Fabled Silver Gold Corp., received an approval from the court to spin-out its copper exploration assets in Fabled Copper Corp.
·         Rockland Resources Ltd., signed an option agreement to acquire 100% interest in the Elektra clay lithium project in Sonora. The Elektra project is contiguous to the advanced Sonora Lithium project owned by Bacanora Lithium plc. The company can earn a 100% interest (less NSR) in the Elektra project through cumulative option payments of 10M common shares in the company and USD $1.5M over a 48 month period. A 2% NSR will be granted to the vendors and the company will have an option to purchase 50% of the NSR for USD $1M at any time.
·         Starcore International Mines Ltd., reported results from its annual general meeting of shareholders (San Martin mine, Queretaro).
·         Goldgroup Mining Inc., announced the appointment of its new CEO effectively immediately. The previous interim CEO will continue as the company´s CFO (Cerro Prieto mine, Sonora).

ON SOCIAL RESPONSIBILITY
·         Fresnillo plc informed that it applies development and scientific research, consolidating the concept of what they call “sustainable mining”. The company implemented a “life vest” for monitoring the health of its workers, coupled with the use of artificial intelligence in data analysis systems such as Big Data, biometric readers and new generation extraction.

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On the picture above, quartz hydrothermal breccia cemented by silica and fine disseminated sulphides in an epithermal quartz vein system in a project in Chihuahua, Mexico.  Photo by Miguel A Heredia.