The Mining and Exploration News in Mexico; Highlights on the First Week of September 2022

By Jorge Cirett

During the 35th week of the year (August 29th to September 4th, 2022), at least 21 press releases were announced by companies working in Mexico. Five companies posted exploration advances on their properties and three presented production results for the second quarter, while one more provided an operational update. One company sold a portfolio of royalties in Mexican properties, one declared a dividend and closed a $5 M concentrate pre-payment facility. On advanced properties, one company reported metallurgical results, one updated its resource base, one released PEA numbers and one more released drilling results. One company is looking for partners for its projects and one more informed on the completion of the bought of their flagship property.  ON MEXICO ISSUES, the lithium government company is to be run by the son of one federal government executive in Sonora. The rescue effort on ten coal miners in Coahuila is changing to a recovery mission. ON EXPLORATION, in Sonora, Tocvan Ventures released drilling results from Pilar; Prismo Metals received the Lidar survey processed data on Los Pavitos. In Chihuahua, Radius Gold presented drilling results from Amalia. Kootenay Silver released drilling results from Columba. In Zacatecas, Zacatecas Silver reported drill results from El Cristo vein. ON MINING, Impact Silver, Santacruz Silver and Magna Gold financial/operational results for the second quarter 2022. Guanajuato Silver Company provided and operational update on Topia, San Ignacio and El Cubo and Valenciana complexes. ON FINANCING, Millrock Resources sold a portfolio of royalties in Mexican properties to Osisko Gold Royalties. Alamos Gold declared a quarterly dividen, Guanajuato Silver Company closed on a $5 M concentrate pre-payment facility.  ON RESOURCES AND DEVELOPMENT, Discovery Silver reported metallurgical results from its Cordero project in Chihuahua. Starcore International Mines updated on NI 43-101 complaint resources at its San Martin mine in Queretaro. Southern Silver Exploration released numbers on the recently completed PEA at its Cerro Las Minitas project in Durango. Capitan Mining reported drilling results from the Jesus Maria target at its Cruz de Plata project in Durango. ON DEALS AND CORPORATE ISSUES, Mexus Gold US is seeking a partner for its Santa Elena property in Sonora. Minaurum Gold completed the acquisition of its Alamos Silver property in Sonora, with a final payment in cash and shares. ON SOCIAL RESPONSIBILITY, Vizsla Silver released its environmental social and governance (ESG) initiative.

ON MEXICO ISSUES

  • LitioMx. The federal government operation of its newly created Lithium Mining Company (LitioMx) is still hazy, but the possibility has been raised that private companies might participate, also that the current Sonora governor might be involved, and a director has been named, which happens to be a relative of the presidency representative in the State (Although eager to advertise its different way of doing things, this government is making a great effort to replicate the worst practices of past governments).
  • Trapped Coal Miners. Blame put aside, the fate of the 10 trapped miners in Coahuila after the flooding of the coal mine on August 3 is almost defined, and the effort is now changing from rescue to body recovery, which might take months.

ON EXPLORATION

  • Prismo Metals Inc. received results from the Lidar survey carried out at its 5,289 ha Los Pavitos project in Sonora. “Mineralization at Los Pavitos consists of quartz veins and stockworks hosted in metasediments, in shear zones and parallel to foliation and crossing foliation”.
  • Tocvan Ventures Corp. released results from the four final holes drilled at its Pilar project in Sonora. Highlighted drill length intervals comprise 16.78 m @ 0.11 gpt Au; 18.30 m @ 0.24 gpt Au; 50.33 m @ 0.14 gpt Au, 10 gpt Ag (including 10.68 m @ 0.59 gpt Au, 40 gpt Ag); 21.35 m @ 0.13 gpt Au. “All four drill holes were drilled in new areas and intersected alteration and structures known to host gold-silver mineralization at Pilar”.
  • Zacatecas Silver Corp. reported results from the completed phase one diamond drilling at El Cristo vein system in the Zacatecas Silver project in Zacatecas. Highlighted core length intervals comprise 2.1 m @ 204 gpt Ag; 9.0 m @ 149 gpt Ag; 0.53 m @ 200 gpt Ag, 0.34 gpt Au, 0.8% Pb, 0.8% Zn; 0.82 m @ 84 gpt Ag, 0.14 gpt Au, 11.8% Pb, 3.7% Zn; 0.85 m @ 45 gpt Ag, 0.82 gpt Au, 1.9% Pb, 2.4% Zn; 3.0 m @ 250 gpt Ag; 0.55 m @ 198 gpt Ag, 1.6 m @ 175 gpt Ag. “Drill holes targeted the near surface depth extension of the larger surface workings and/or the depth extension of veins around the deeper historical shaft. The 28 holes drilled to date by the Company have been scout holes also designed to test select veins over at least 2 km of strike extension”.
  • Radius Gold Inc. reported results from three drill holes on El Cuervo target at the Amalia project in Chihuahua (Radius 35%, Pan American Silver 65%). Highlighted core length drill results comprise 17.00 m @ 438 gpt Ag, 0.80 gpt Au (including 2.0 m @ 3,182 gpt Ag, 4.49 gpt Au); 13.55 m @ 841 gpt Ag, 10.25 gpt Au (including 5.65 m @ 1,560 gpt Ag, 19.6 gpt Au). “Drilling at El Cuervo has defined mineralization similar to the Amalia structure, consisting of epithermal quartz veins, breccias and veinlets stockworks hosted within rhyolite volcanics along a major fault system. El Cuervo remains open to expansion along strike and to depth”.
  • Kootenay Silver Inc. released another batch of results from its phase 4 drilling program at Columba, Chihuahua. Highlighted core length results comprise 3.90 m @ 574 gpt Ag, 0.2% Pb, 0.7% Zn (including 0.90 m @ 949 gpt Ag, 0.4% Pb, 1.1% Zn) in the D vein, and 17.00 m @ 95 gpt Ag, 0.1% Zn (including 2.05 m @ 221 gpt Ag, 0.2% Zn); 0.4 m @ 325 gpt Ag, 0.2% Pb, 0.6% Zn; 1.58 m @ 425 gpt Ag, 0.1% Pb, 0.3% Zn; 2.97 m @ 91 gpt Ag, 0.2% Zn; 1.63 m @ 2,330 gpt Ag, 0.8% Zn; 6.5 m @ 156 gpt Ag, 0.1% Pb, 0.1% Zn (including 1.05 m @ 769 gpt Ag, 0.5% Zn); 1.00 m @ 305 gpt Ag, 0.2% Pb, 0.2% Zn; 1.00 m @ 194 gpt Ag, 0.2% Pb, 0.2% Zn.

ON MINING

  • Impact Silver Corp. announced financial and operating results for the second quarter 2022. At its Real de Zacualpan project in Estado de Mexico, 37.2 K tonnes averaging 159 gpt Ag were milled during the period, to sell 151.3 K Oz Ag. Impact has no long term debt and cash on hand stands at $18.4 M. Two underground and two surface rigs continue with the 20,000 meters drilling program for the year.
  • Santacruz Silver Mining Ltd. reported its financial and operating results for the second quarter 2022. At Zimapan, in Hidalgo, 200 K tonnes were milled to produce 914.5 K Oz AgEq at $16.71 cash cost per Oz AgEq and an AISC of $20.64 per Oz AgEq.
  • Magna Gold Corp. announced operating and financial results for the second quarter of 2022. At the San Francisco mine in Sonora 5.9 M tonnes were mined, of which 1.4 M tonnes averaging 0.39 gpt Au were placed on the heaps to produce 10,795 Oz Au. Cash at the end of the period was $1.4 M, while working capital was negative $35.4 M. “management believes it is prudent to preserve capital by reducing mining rates and secondary activities across the Company’s portfolio of assets……… the Company’s board and management determined that previously stated guidance for FY 2022 will be retracted and revised at a later date when a more accurate estimate of production impacts is known”.
  • Guanajuato Silver Company Ltd. provided an operational update detailing the integration of El Cubo mine and milling complex with the recently acquired Topia (Durango) and San Ignacio (Guanajuato) mines from Great Panther Mining Ltd. and the San Ignacio mine and Valenciana mines complex (both in Guanajuato). At El Cubo, the development of a 150 m tunnel and ramp reduced the total haulage distance from 7.2 km to 2.5 km with a strong impact on the project economics. Mineral from the San Ignacio mine is being transported to El Cubo mill for processing, and is expected to provide 5 to 6 K tonnes of material per month to the end of the year. At the Valenciana Mines Complex opportunities are being reviewed to restart mining and to process the material at the Cata mill in 2023. At Topia, the sale of 99.2 dry tonnes of Pb-Zn-Au concentrate 97.7 dry tonnes of Zn-Ag concentrate has been reported since the completion of the acquisition.

ON FINANCING

  • Millrock Resources Inc. sold a portfolio of royalties to Osisko Gold Royalties Ltd. with gross proceeds of $1.2 M. The Mexican properties involved include Santa Rosalía (Sonora), El Valle, El Pima (Sonora), Violeta and Guadalcazar (San Luis Potosi).
  • Alamos Gold Inc. informed the company’s board of directors declared a quarterly dividend of US$0.025 per common share (Mulatos, Sonora).
  • Guanajuato Silver Company Ltd. reported that in conjunction with the acquisition of the Topia mine in Durango and the Mine Complex in Guanajuato from Great Panther Mining Ltd., has closed a US$5 M concentrate pre-payment facility with Ocean Partners UK Ltd. “Interest on the loan will be calculated at 12-month LIBOR + 7.5%” (Guanajuato Mine Complex, Guanajuato).

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp. reported results from the metallurgical test program on the pre-feasibility study (PFS) from its Cordero project in Chihuahua. Recoveries of 94-98% Ag, 89-97% Pb, 92-96% Zn were achieved on high grade samples of all major rock types, and recoveries of 83-92% Ag, 85-92% Pb, 81-89% Zn on medium grade samples of blended rock types. “Oxide-sulphide blend testwork establish oxide-specific recoveries of ~60% for silver, ~40% for lead and ~85% for zinc via flotation; co-processing oxide mineralized material via flotation eliminates the need for heap leach processing”.
  • Starcore International Mines Ltd. released its updated NI 43-101 reserve and resource estimates for its San Martin mine in Querétaro. Proven and probable reserves stand at 1.35 M tonnes @ 1.74 gpt Au, 13 gpt Ag containing 75,353 Oz Au, 573 K Oz Ag, and indicated and inferred resources of 1.48 M tonnes @ 1.78 gpt Au, 14 gpt Ag, containing 160,352 Oz Au, 1.22 M Oz Ag. The exploration program for 2022 envisages 10,000 meters of diamond drilling near the current operations.
  • Southern Silver Exploration Corp. reported results from its preliminary economic assessment (PEA) on its Cerro Las Minitas project in Durango. The study’s base case envisages an after-tax NPV5% of $349 M, an IRR of 17.9% with Ag at $21.95 per Oz, Cu at $3.78 per Lb, Pb at $0.94 per Lb, Zn at $1.33 per Lb. The indicated mineral resources included on the study comprise 12.3 M tonnes @ 106 gpt Ag, 0.16% Cu, 1.3% Pb, 3.3% Zn containing 42.1 M Oz Ag, 44 M Lb Cu, 358 M Lb Pb, 895 M Lb Zn, while inferred resources comprise 19.6 M tonnes @ 117 gpt Ag, 0.23% Cu, 1.2% Pb, 2,3% Zn, totaling 73.6 M Oz Ag, 98 M Lb Cu, 500 M Lb Pb, 1,009 M Lb Zn. Only sulfide mineralization was included in the study to produce Cu, Pb and zinc concentrates with the recoveries estimated at 91.6% Ag, 60% Cu, 88% Pb, 93% Zn.
  • Capitan Mining Inc. reported exploration results from five reverse circulation holes at its Cruz de Plata project in Durango. “All drillholes were successful in intersecting Jesus Maria style mineralization, expanding the zone between 43m and 114m down-dip along section”. Highlighted drill length intervals comprise 3.0 m @ 52 gpt Ag, 0.10 gpt Au, 1.3% Pb, 3.4% Zn; 19.8 m @ 29 gpt Ag, 0.08 gpt Au, 0.4% Pb, 0.6% Zn; 13.7 m @ 69 gpt Ag, 0.17 gpt Au, 0.5% Pb, 1.0% Zn; 21.3 m @ 84 gpt Ag, 0.05 gpt Au, 0.6% Pb, 0.7% Zn (including 1.5 m @ 189 gpt Ag, 0.02 gpt Au; 2.3% Pb, 2.3% Zn.

ON DEALS AND CORPORATE ISSUES

  • Mexus Gold US. continues to seek the right partner for production and/or exploration of its Santa Elena property in Sonora (not to mistake for First Majestic’s Santa Elena mine, also in Sonora).
  • Minaurum Gold Inc. announced the completion of the acquisition of 100% interest in the Alamos Silver project in Sonora. The 37,928-hectare property encompasses the historical 200 M Oz Ag Alamos district including 26 epithermal veins. Minaurum completed all work commitments and option payments and made a final compensation of C$300 K in cash and 443.6 K shares.

ON SOCIAL RESPONSIBILITY

  • Vizsla Silver Corp. announced the continued progression on its environmental, social and governance (ESG) initiatives through safety, sustainability and commitment to communities.

On the image below: Banded Specularite-quartz-calcite vein in the Sonoran Desert. Picture by Jorge Cirett.

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

Quartz vein displaying boiling texture.

By Miguel A Heredia

During the 34th week of the year (August 22nd to August 28th, 2022), at least 16 press releases were announced by companies working in Mexico, and 7 news published by the media with seven commenting on Mexican issues, four communicating production and financial results, four disclosing deals and corporate issues, three reporting resources and developments of their properties, three announcing financial issues, and two informing on exploration results. ON MEXICO ISSUES, Colibri and Oroco reported the best drilling intercepts in Mexico on the fourth week of August, 2022. The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M.   Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa. Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021. Mining in Mexico grew by 7.1% in 2021 despite friction with the government. The governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country. In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic.  ON EXPLORATION, In Sonora, Colibri reported results from the second half of its Phase 1 drill program completed on its Evelyn project, and Tocvan announced latest drill results from its Pilar project.  ON MINING, Guanajuato Silver, Discovery Silver, Minera Alamos, and Orogen reported Q2, 2022 production and financial results from their Mexican operations. ON FINANCING, Canasil announced a non-brokered private placement for gross proceeds of up to $550K (Nora project, Durango). Minera Alamos arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise (Cerro de Oro project, Zacatecas). Eric Sprott announced holdings in Orex Minerals Inc. ON RESOURCES AND DEVELOPMENT, Discovery Silver reported Q2, 2022 results from its flagship Cordero project, Chihuahua.  Minera Alamos provided an update on its Cerro de Oro project, Zacatecas. Oroco successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Monumental announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila). Argonaut announced the appointment of its Vice President, Canadian Operations (La Colorada mine, Sonora).  Aztec purchased 35% interest in the Cervantes property in Sonora from Kootenay. Colibri announced reinstatement of trading on the TSX Venture Exchange and the appointment of its CFO.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • Colibri Resource Corporation and Oroco Resource Corp., reported the best drilling intercepts in Mexico on the fourth week of August, 2022. Details are shown in the table below:
·        The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). The Government of Mexico created LitioMx as a decentralized public organism of the Federal Public Administration and coordinated by the Ministry of Energy, with its own legal personality and assets and with technical, operational and management autonomy. The objective of LitioMx will be the exploration, exploitation, benefit and use of lithium, located in national territory, as well as the administration and control of the economic value chains of such mineral.
·        According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M, which are still waiting for better conditions to be able to reactivate. Jaime Núñez, president of CAMIMEX stated that is essential to encourage exploration since unfortunately in the last seven years we have seen a decrease in investments in exploration, leaving several projects on standby.
·        Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa, and that the Federal Electricity Commission (CFE) should certify where the mineral it buys comes from and its conditions.
·        Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021, but according to the Mexican Mining Chamber (CAMIMEX), it will remain below the record figure of USD $8.04B seen in 2012 amid difficult conditions. Growing security problems, a high tax burden and the government’s decision to stop granting concessions for projects have prevented investments in the sector from increasing faster, said CAMIMEX head Jaime Gutiérrez.
·        Mining in Mexico grew by 7.1% in 2021 despite friction with the government. According to CAMIMEX’s annual report, this increase positioned it as the only productive activity that recovered and even exceeded the fall of 2020, when the covid-19 pandemic initially stopped its operations because the government did not consider it “essential activity”. Even without tax incentives, the mining sector presented an increase in its contribution to the gross domestic product (GDP) going from 2.3% in 2020 to 2.5% in 2021, and an annual advance in the proportion of industrial GDP from 8.3% to 8.6% in the same period.
·        The Governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country, even though it is an enabler that prevents the migration of people in the communities where it develops its production processes, for job creation and social benefits. Mining Entrepreneurs stated that mining generates jobs and is one of the industries that pays the most taxes, since in 7 years it has contributed more than MXP $240,000M (approximately USD $12B) in taxes and other rights.
·        In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic, in which 406,179 jobs have been generated and a production value that already exceeds MXP $334,782M (approximately USD $16.7B). Among the main minerals extracted from these deposits are gold, copper, silver, zinc, iron, molybdenum, lead, fluorite, among others. For its exploration and exploitation, in 2021 alone, investments have been made for more than USD $4,810M and more than USD $5,538M are expected by the end of 2022. Of the 1,209 mining projects that exist in Mexico, 286 are in Sonora, Chihuahua has 160 and Durango has 128, which positions them as the entities with the greatest economic benefit thanks to mining concessions. Of the total number of projects, 749 correspond to precious metals; 180 to polymetallic minerals, 167 to copper, 71 to iron ore and the remaining 42 to other metals and minerals. According to the Mexican Mining Chamber (CAMIMEX), there are currently a total of 263 projects in the exploration stage, 76 in production, 39 in the development stage, while 822 projects are being postponed and 9 operations are reported as closed. However, the agency assures that, since the start of the current administration, the federal government has stopped granting permits or concessions for the exploration and development of new projects, since so far more than USD $959.7M dollars have not been invested. .
ON EXPLORATION
·        Colibri Resource Corporation reported results from the second half of its Phase 1 drill program completed on its Evelyn project, Sonora, and included 3,101m of RC drilling completed in 22 holes. In total, Phase 1 consisted of 6,223m of RC drilling in 42 holes.  Highlights include hole EVE22-042 with 0.17 g/t Au over 86m, including 0.32 g/t Au over 22m; hole EVE 22-043 with 0.92 g/t Au over 3m; hole EVE22-046 with 1.94 g/t Au over 2m, including 3.36 g/t Au over 1m; hole EVE22-044 with 0.63 g/t Au over 6m; hole EVE22-036 with 1.3 g/t Au over 1m; hole EVE22-033 with 1.92 g/t Au over 1m; hole EVE22-030 with 0.13 g/t Au over 87m, including 0.34 g/t Au over 8m; hole EVE22-029 with 1.39 g/t Au over 5m; and hole EVE22-028 with 0.13 g/t Au over 19m. In addition to drilling, Colibri is completing the geological mapping as well as conducting soil sampling to infill the historical property wide soil surveys.
·        Tocvan Ventures Corp., informed that seven holes were completed at its Pilar project in Sonora, totalling 1,382m and released results from the three first drill holes where the most significant drill intercepts was encountered in hole JES-22-67 with 0.4 g/t Au over 30.5m, including 7.6 g/t Au over 1.5m. Results are pending for the remaining four holes.
ON MINING
·        Guanajuato Silver Company Ltd., reported Q2, 2022 production and financial results from their El Cubo and Pinguico mines in Guanajuato (all amounts in American dollars). The company milled 94,212 tonnes to produce 155, 912 Oz Ag and 2,161 Oz Au (or 337,760 Oz AgEq) wit metallurgical recoveries of 80.91% and 82.52% respectively, at cash and all included sustaining cost (AISC) of $16.98 and $24-06 per Oz AgEq respectively. Guanajuato Silver reported revenue of $6.13M; cost of sales of $7.8M; mine operating loss of ($1.66M); net loss of ($3.5M); EBIDTA of ($1.1M); and working capital of ($2.04M). The company sold 159,840 Oz Ag, and 2,195 Oz Au (or 342, 987 Oz AgEq) at realized prices of $22.56 and $1,873 per Oz respectively.
·        Discovery Silver Corp., reported Q2, 2022 financial results (all amounts in Canadian dollars). The company reported cash and cash equivalents of $63.6M; total assets of  $101.8M; total current liabilities of $2.54M; working capital of $62.5M; and total shareholder´s equity of $99.2M.
·        Minera Alamos Inc., reported Q2, 2022 production and financial results from its Santana mine in Sonora (all amounts in Canadian dollars). The company reported that monthly mine production rates were approximately 300K tonnes, but with the opening of the Nicho Main Zone during Q2, the company is now in the position to ramp up production levels. Alamos sold 3,128 Oz Au and reported revenues of $7.3M; cost of goods sold of  $3.26M; direct cost of production of $16 per Oz; income from operations of  $2.6M; net income of $2.7M; cash and cash equivalents (including marketable securities) of  $9M; and working capital of $17M.
·        Orogen Royalties Inc., announced Q2, 2022 financial results (all amounts in Canadian dollars). The company reported revenue of $959.8K comprised from the Ermitaño royalty and $17.5K generated from prospect generation activities; project generation cost of $433.5K and recovered $448.9K in expense reimbursement from partners on optioned projects; general and administrative expenses of $875.2K; loss of $754.8K; net loss from operations of $648.6K; cash and cash equivalents from operating activities of $131.3K; cash from operating activities excluding changes in cash-cash working capital of $257.9K ; and working capital of $10.5M including $3.05M in cash and cash equivalents and $5.13M in short term investments and no long-term debt.
ON FINANCING
·        Canasil Resources Inc., announced a non-brokered private placement for gross proceeds of up to $550K. Gross proceeds will be used to fund the company´s exploration programs (Nora project, Durango).
·        Minera Alamos Inc., arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise of common shares at $0.55/share. The combination of both enhancing the company´s working capital position as development work extends to the advancement of the Cerro de Oro project in Zacatecas.
·        Eric Sprott announced that 18,333,333 common share purchase warrants of Orex Minerals Inc., expired unexercised representing a decrease in holdings of approximately 7.2% of the outstanding common shares on a partially diluted basis since the date of the last early warning report. As a result of the warrants expiry, Mr. Sprott now beneficially owns and controls 36,666,666 shares representing approximately 19.6% of the outstanding shares on a noun-diluted basis.
ON RESOURCES AND DEVELOPMENT
·        Discovery Silver Corp., reported Q2, 2022 results from its flagship Cordero project, Chihuahua. The company reported that initial results from the Preliminary Feasibility Study (PFS) metallurgical work had recoveries of 90-95% for Ag, Pb, and Zn. It also reported that Phase 2 drilling program intercepted excellent grades below the Preliminary Economic Assessment (PEA) pit including hole C21-564 with 95 g/t Ag, 0.21 g/t Au, 1.9% Pb, and 4.5% Zn (337 g/t AgEq) over 33.9m, and hole C21-560 with 234 g/t Ag, 0.15 g/t Au, 3.8% Pb, and 6.5% Zn (606 g/t AgEq) over 18.1m, as well as hole C22-610 collared outside the current resource with 115 g/t Ag, 0.05 g/t Ag, 3.7% Pb, and 4.1% Zn (388 g/t AgEq) over 32.6m, including 187 g/t Ag, 0.05 g/t Au, 6.5% Pb, and 7.2% Zn (660 g/t AgEq) over 17.8m.
·        Minera Alamos Inc., provided an update on its Cerro de Oro project, Zacatecas. The company informed the sign off of the documentation for its Cerro de Oro project surface rights agreement in Zacatecas, allowing the company to move forward with the permitting process for the construction of its second gold operation in Mexico. Minera Alamos also informed that the NI 43-101 compliant Preliminary Economic Assessment (PEA) is nearly to be completed and is expected to get it done by next month.
·        Oroco Resource Corp., successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa by drilling 3,050m. Drilling has confirmed and expanded the 2009 Grade shell model of Cu > 0.30% derived from the historical drilling described in the Company’s 2019 Technical Report. A total of 26 holes (18,136 m of drilling) have now been completed in the North Zone, spanning 1,100m of strike length, with intersections of good grade mineralization returned in all holes for which the Company has received assays. Highlights of the last holes collared at the western side of the North Zone include hole N015 with 0.31% Cu, 0.009% Mo, 0.025 g/t Au, and 2 g/t Ag (0.36% CuEq) over 292m; hole N016 with 0.32 g/t Cu, 0.006% Mo, 0.032 g/t Au, and 2 g/t Ag (0.73% CuEq) over 95.4m, plus 0.39% Cu, 0.016%Mo, 0.022 g/t Au, and 4 g/t Ag (0.46% CuEq) over 44.7m, plus 0.26% Cu, 0.010% Mo, 0.014 g/t Au, and 2 g/t Ag (0.31% CuEq) over 88.7m; hole N017 with 0.31% Cu, 0.011% Mo, 0.02 g/t Au, and 2 g/t Ag (0.73% CuEq) over 63.8m, plus 0.22% Cu, 0.01% Mo, 0.02 g/t Au, and 1 g/t Ag (0.28% CuEq) over 159.2m; and hole N018 with 0.36% Cu, 0.011% Mo, 0.017 g/t Au, and 3 g/t Ag (0.42% CuEq) over 21m, plus 0.65% Cu, 0.012% Mo, 0.019 g/t Au, and 3 g/t Ag (0.68% CuEq) over 10m, plus 0.33% Cu, 0.012% Mo, 0.017 g/t Au, and 2 g/t Ag (0.38% CuEq) over 42.3m. The Company will commence a drill program targeted at testing the South Zone in 2022.  
ON DEALS AND CORPORATE ISSUES
·        Monumental Minerals Corp., announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila).
·        Argonaut Gold Inc., announced the appointment of its Vice President, Canadian Operations, effective August 29, 2022 (La Colorada mine, Sonora).
·        Aztec Minerals Corp., purchased indirectly from Kootenay Silver Inc., 35% interest in the Cervantes property in Sonora by issue 10M common shares at a price of CAD $0.25 per Aztec share for aggregate consideration of CAD $2.5M. Kootenay will retain a 0.5% Net Smelter Returned Royalty. Following the closing of the Transaction, Kootenay owns a total of 10.68M Aztec shares, which represents approximately 11.85% of the issued and outstanding Aztec shares on an undiluted basis.
·        Colibri Resource Corporation announced reinstatement of trading of its common shares on the TSX Venture Exchange. The shares will re-open for trading on the Exchange at the opening of trading on Monday, August 29. The company also announced the appointment of its new CFO (Evelyn project, Sonora).
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, boiling texture in a low-intermediate epithermal vein system in a project in Durango, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico; Highlights on the First Week of August, 2022

By Jorge Cirett

During the 31st week of the year (August 1st to August 7th, 2022), at least 21 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties and four presented production results for the second quarter. Only one company reported on the closing of a private placement, one on the granting of incentive options to officers, directors and consultants, one on a $5 M loan facility and one in a share consolidation plan. One company filed an amended report. One company closed the sale of its Mexican properties and one more amended the option agreement of a property.  ON MEXICO ISSUES, no relevant news. ON EXPLORATION, in Sonora, Silver Spruce completed an RC drilling program at Diamante; Tocvan Ventures informed on drilling at Pilar. In Chihuahua, Kootenay Silver informed on drilling at Columba; Mammoth Resources presented drilling results from Tenoriba. In Zacatecas, Alien Metals updated on work at Donovan 2 and San Celso. In Oaxaca, Vortex Metals updated on exploration at Riqueza Marina and Zaachila projects. ON MINING, Coeur Mining, Torex Gold, Equinox Gold and First Majestic Silver presented financial and operational results for the second quarter 2022. ON FINANCING, Heliostat closed a private placement for $3 M. Bear Creek Mining entered into a US$5 M loan facility. Tocvan is granting incentive stock options and Ridgestone Mining is proposing consolidation of its shares.  ON RESOURCES AND DEVELOPMENT, Discovery Silver is filing an amended technical report for the Cordero project in Chihuahua. ON DEALS AND CORPORATE ISSUES, Great Panther Mining closed the sale of its Mexican properties to Guanajuato Silver Company. ON SOCIAL RESPONSIBILITY, Grupo Mexico’s metallurgical complex at Nacozari, in Sonora, was granted the “Great Place to Work” certification.

ON MEXICO ISSUES

  • No Relevant News.

ON EXPLORATION

  • Silver Spruce Resources Inc. along with Colibri Resource Corp. completed its phase 1 drilling program at the 1,057 ha Diamante project in Sonora. The 2,005 m reverse-circulation program in 19 holes, up to 135 m in depth, covered the La Prieta, and Pillado targets. “Mineralization is reported visually as pyrite, arsenopyrite, chalcopyrite, sphalerite, argentiferous galena, argentite, hematite and probable metal oxides, carbonates and sulphates, including copper carbonate (malachite), copper sulphates and plumbojarosite”.
  • Vortex Metals Inc. provided an update in exploration of its Riqueza Marina and Zaachila projects in Oaxaca. The late David Jones identified this area in the early 2000’s …”Copper-gold mineralization within both the Riqueza Marina and Zaachila projects is associated with geologic processes operative in the Late Jurassic to Middle Cretaceous within a back-arc sequence of bi-modal volcanics and volcaniclastics deposited on the sea floor. Early exploration conducted by Dave Jones identified several copper and gold anomalies over a broad area but clearly associated with specific rocks, i.e. exhalite, rhyolite debris aprons or breccia. These associations prompted the identification of a geologic environment which incorporated these features. The Volcanogenic Massive Sulfide (VMS) model incorporates the geologic and geochemical features observed to date”.
  • Kootenay Silver Inc. informed significant progress has been made on the 15,000 m drilling campaign at Columba, in Chihuahua. The current program will test extensions of the F, D, B and JZ veins and exploratory step-outs on other prospective veins. The V vein has been traced for over 700 m of strike and 200 m of depth with an average of 2 m in width, the D vein has been hit along 430 m of strike and 340 m of depth with an average of 6.9 m in width.
  • Tocvan Ventures Corp. informed that seven reverse circulation drill holes for a total of 1,382 m have been completed on the phase III drill program at Pilar, in Sonora.
  • Alien Metals Ltd. updated on exploration work at its San Celso and Donovan 2 projects in Zacatecas. Three holes totaling 201 m were drilled at San Celso and four holes at Donovan 2 for 410 m. No significant intersections were returned for San Celso. At Donovan 2, a 1.87 m interval returned 0.33% Cu, although the recovery was in the 15-20% range. A weak Zn anomaly correlates with a similar zone in a previous hole.
  • Mammoth Resources Corp. provided results from four holes at its Tenoriba project in Chihuahua. The four holes totaled 388.95 m brining the total to 2,623.55 m in 21 holes. Highlighted intercepts comprise 81.0 m @ 0.45 gpt Au, 2 gpt Ag (including 12.0 m @ 1.03 gpt Au, 3 gpt Ag); 10.6 m @ 1.14 gpt Au, 18 gpt Ag; 30.0 m @ 0.32 gpt Au, 3 gpt Ag; 48.0 m @ 1.11 gpt Au, 7 gpt Ag (including 4.5 m @ 2.88 gpt Au, 4 gpt Ag).

ON MINING

  • Coeur Mining Inc. reported second quarter 2022 financial results, including figures from its operations in Mexico. At Palmarejo, in Chihuahua, 539.6 K tonnes were milled @ 1.68 gpt Au, 125 gpt Ag, recovering 92.4% Au, 84.2% Ag, to produce 27,109 Oz Au, 1.79 M Oz Ag. Four drill rigs are to be active in the third quarter 2022 on infill drilling of the Hidalgo and Nacion zones and expansion drilling on the NW Hidalgo and La Carmela zones.
  • Torex Gold Resources Inc. released financial and operating results for the second quarter 2022. During the period, 123,363 Oz Au were produced at its El Limon-Guajes project in Guerrero, at total cash cost $703 per Oz Au and AISC of $911. Construction at Media Luna (close to El Limon-Guajes), is well underway, with a physical progress of 5%, including the development of 2,100 m at the Guajes tunnel and 700 m at South Portal. At the end of the period the company had net cash of $306.3 M with no debt and an undrawn $150.0 M credit facility.
  • Equinox Gold Corp. announced its second quarter 2022 financial and operating results. The report includes the sale of the Mercedes mine in Sonora to Bear Creek Mining Corp., but does not elaborate on production numbers for Mercedes or Los Filos in Guerrero, other than a guidance of 155-170 K Oz Au production from Los Filos in 2022.
  • First Majestic Silver Corp. presented financial results for the second quarter 2022. During the quarter the company negotiated and signed a conclusive agreement with the Mexican tax authority (SAT) though the office of the taxpayer ombudsman (PRODECON) to settle an uncertain tax position relating to intercompany debt financing in Mexico, with a one-time payment of $21.3 M. Consolidated production in Mexico was 6.16 M Oz AgEq, as shown in the table below.

ON FINANCING

  • Bear Creek Mining Corp. entered into a US$5.0 M loan facility with Auramet International LLC.. Bear Creek will sell Auramet 100% of the outrun from the Mercedes mine in Sonora until the note is paid in full and 50 K Oz thereafter (Mercedes, Sonora).
  • Heliostar Metals Ltd. closed its non-brokered private placement offering for gross proceeds of $3 M (Oso Negro and El Picacho, Sonora).
  • Tocvan Ventures Corp. announced the approval of the grant of 1.3 M incentive stock options to officers, directors and consultants of the company (Pilar, Sonora).
  • Ridgestone Mining Inc. intends to seek shareholder approval at its upcoming annual general meeting to consolidate its commons shares in a 20 to 1 ratio. “The proposed Consolidation remains subject to certain conditions including, but not limited to, the receipt of all necessary shareholder and regulatory approvals, including the approval of the TSX Venture Exchange”.

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp. is filing an amended technical report on the Cordero project in Chihuahua. The phrase “the Cordero project is technically and economically viable” was removed, as “the economic analysis is a preliminary economic assessment and cannot demonstrate economic viability”. Discovery is well advanced on a pre-feasibility study (PFS) to be completed on Q4 2022, which is to outline the technical and economic viability of the project.

ON DEALS AND CORPORATE ISSUES

  • Great Panther Mining Ltd. closed the previously announced sale of the Guanajuato Mine Complex (Guanajuato), the Topia mine (Durango) and the El Horcón and Santa Rosa projects (Guanajuato) to Guanajuato Silver Company Ltd.. The deal comprised US$8 M in cash, plus additional cash of US$1.35 M, US$6.7 M in GSilver shares, US$500 K when Topia produces an aggregate of 2.5 M Oz Ag and US$750 K if the silver price rises above US$27.50 per Oz for a month within two years of closing, and US$750 K if the silver price closes above US$30.00 per Oz for a month within three years of closing.
  • Ridgestone Mining Inc. announced the amendment of the property agreement on the Guadalupe y Calvo project in Chihuahua. The revised option agreement with Endeavour Silver extends the cash, share and work commitments of year 2 from February 2023 to March 2024, that of year 3 from February 2024 to March 2025 and that of year 4 from February 2025 to March 2026.

ON SOCIAL RESPONSIBILITY

  • Grupo Mexico’s metallurgical complex in Nacozari, Sonora, obtained the certificate “Great Place to Work”. The certification is recognized in more than 60 countries.

On the image below: Quartz-specularite veining on a project in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the First Week of July, 2022

By Jorge Cirett

During the 27th week of the year (June 4th to July 10th, 2022), at least 26 press releases were announced by companies working in Mexico. To note, three companies posted exploration advances on their properties, one company poured its first gold and silver, one presented production results for the second quarter. Four companies reported on the opening or closing of financing rounds for a total of US$4.5 M and C$13.3 M, one company reported on a relevant investor share purchase. Five companies posted on work at its advanced properties, one company is to produce a PFS report and one other presented a NI 43-101 compliant report on reserves and resources of its recently acquired mine. One company informed on details of government resolutions on its mining concessions and an incoming indigenous consult.  One more company agreed with the Union representing its workforce on a profit-sharing scheme. The completion of the acquisition of a large silver property was announced.  ON MEXICO ISSUES, Mining companies on the BMV are resenting the lower prices on metals. ON EXPLORATION, in Sonora, Tocvan Ventures released surface sample results from El Picacho. In Chihuahua, Golden Minerals reported drilling results from nine holes at Yoquivo. In Zacatecas, Zacatecas Silver released drilling results at the El Cristo project, within its Zacatecas Silver concessions. ON MINING, SilverCrest Metals reported the first pour of gold and silver on its Las Chispas mine in Sonora. Endeavour Silver presented Q2 production results. ON FINANCING, Sonoro Gold closed its oversubscribed financing for $3 M. Silver Viper Minerals closed the final tranche of the private placement raising $306 K. Guanajuato Silver increased its private placement to C$13.3 M.  ON RESOURCES AND DEVELOPMENT, Zacatecas Silver is to prepare a PFS on its Esperanza project in Morelos. Bear Creek Mining filed a NI 43-101 compliant report on reserves and resources for its Mercedes mine in Sonora. GoGold Resources released results from drilling at El Favor deposit on its Los Ricos North project in Jalisco. Vizsla Silver reported drilling results from the San Antonio vein at the Panuco project in Sinaloa. Torex Gold released results from resource expansion and exploratory drilling in the broader Media Luna area in Guerrero. Mithril Resources released drilling results from El Refugio at its Copalquin project in Durango. ON DEALS AND CORPORATE ISSUES, Almaden Minerals has been notified its Ixtaca mining concessions in Puebla are “ineffective”, but the filing of applications made in conformity with the law. Newmont Corp. reached a profit-sharing agreement with the Union representing the workforce of its Peñasquito mine in Zacatecas. Endeavour Silver completed the acquisition of the Pitarrilla project in Durango.  ON SOCIAL RESPONSIBILITY, Almaden Resources will participate on a pilot program conducted by United Nations Expert Group Resource Management and the Economy Secretariat on sustainable development. Grupo Mexico continues to work on cultural development of mining communities.

ON MEXICO ISSUES

  • Mining companies on the Bolsa Mexicana de Valores (BMV) impacted by lower metal prices. From the start of the year to now, Industrias Peñoles shares have fallen 21.7%, Fresnillo 23.2%, Frisco 16.9% and Grupo Mexico 8.9%. During the year the year gold has depreciated 5.2%, silver 18.2% and copper 21.6%.

ON EXPLORATION

  • Tocvan Ventures Corp. released surface rock sample results from its El Picacho project in Sonora. A total of 65 samples were collected at the Murcielago prospect, of which 14 returned values over 0.1 gpt Au. Selected results from the sampling program comprise 7.19 gpt Au, 36 gpt Ag, 4.3% Pb; 4.52 gpt Au, 197 gpt Ag, 0.17% Cu; 4.8% Pb, 7.1% Zn; 3.25 gpt Au, 66 gpt Ag, 1.6% Pb; 2.71 gpt Au, 25 gpt Ag, 1.9% Zn; 2.71 gpt Au, 12 gpt Ag, 1.6% Pb, 1.3% Zn; 2.18 gpt Au, 15 gpt Ag, 1.3% Pb, 1.1% Zn; 1.50 gpt Au, 176 gpt Ag, 1.2% Zn. The samples are from a brecciated dolomitic limestone unit along a 450 m long trend with historic artisanal workings showing significant lead and zinc mineralization with gold and silver, in Jurassic sedimentary rocks.
  • Golden Minerals Co. reported results from the first nine holes on the third drill program at its Yoquivo project in Chihuahua. Highlighted true width results comprise 80.1 m @ 0.89 gpt Au, 64 gpt Ag (including 8.2 m @ 3.93 gpt Au, 120 gpt Ag; which includes 2.2 m @ 10.21 gpt Au, 139 gpt Ag); 0.4 m @ 30.80 gpt Au, 5,260 gpt Ag; 4.2 m @ 0.16 gpt Au, 229 gpt Ag; 1.7 m @ 0.13 gpt Au, 355 gpt Ag. “This most recent drilling has focused on testing the Pertenencia vein system to extend the known mineralized strike length into previously untested areas. The Pertenencia vein has continued to return strong gold-silver grades, and the vein remains open to depth and to the north”.
  • Zacatecas Silver Corp. released results from drilling at El Cristo project, on its Zacatecas Silver property in Zacatecas. Highlighted core length intervals comprise 9.53 m @ 167 gpt Ag; 1.45 m @ 11 gpt Ag, 0.18 gpt Au, 0.5% Pb, 1.6% Zn; 0.8 m @ 94 gpt Ag; 1.08 m @ 90 gpt Ag; 0.65 m @ 1.2 gpt Au, 565 gpt Ag, 1.3% Pb, 2.7% Zn; 1.2 m @ 134 gpt Ag, 0.1 gpt Au, 0.2% Zn; 4.36 m @ 48 gpt Ag, 0.19 gpt Au, 1.5% Pb, 2.7% Zn; 0.5 m @ 20 gpt Ag, 0.23 gpt Au, 1.0% Pb, 17.5% Zn. The epithermal intermediate sulfidation system at El Cristo crops out within a dilational zone that is at least 4 km long and up to 600 m wide.

ON MINING

  • SilverCrest Metals Inc. reported the first pour of silver and gold at Las Chispas mine, in Sonora. The plant commissioning is on track to reach its 1,250 tonnes per day capacity. “The plant started in late May 2022 and milled an estimated 12,700 tonnes of low-grade ore during June 2022”.
  • Endeavour Silver Corp. presented second quarter production results of 1.36 M Oz Ag, 9,289 Oz Au, or 2.1 M Oz AgEq. At Guanaceví, in Durango, 94 K tonnes were processed at 1,045 tonnes per day (tpd), grading 465 gpt Ag, 1.37 gpt Au, recovering 85.0% Ag, 88.9% Au, to produce 1.19 M Oz Ag, 3,680 Oz Ag. At Bolañitos, in Guanajuato, 107.3 K tonnes were processed at 1,193 tpd, averaging 54 gpt Ag, 1.77 gpt Au, recovering 88.6% Ag, 91.8% Au, to produce 165 K Oz Ag, 5,609 Oz Au. On other developments: Recent drilling has intercepted high-grade gold and silver at Guanceví; Drilling continued to intersect high-grade mineralization on the La Colorada structure at Parral, in Chihuahua; In the coming months the company expects to make a formal construction decision on La Terronera, in Jalisco.    

ON FINANCING

  • Sonoro Gold Corp. closed an oversubscribed non-brokered private placement for aggregate gross proceeds of $3 M (Cerro Caliche, Sonora).
  • Starcore International Mines Ltd. approved a non-brokered private placement in July 4, 2022, to raise up to $1.2 M in gross proceeds. On the next day Starcore reported the closing of the placement confirming $1.2 M in gross proceeds (El Creston, Sonora; San Martin, Queretaro).
  • Sonoro Gold Corp. informed that R. Stuart Angus reported the acquisition in June of $485 K in shares of Sonoro Gold, operation after which he owns 9.95 M shares and 8.35 M warrants of the corporation, representing 7.1% of the outstanding shares on a non-diluted basis and 12.4% on a partially diluted basis (Cerro Caliche, Sonora).
  • Silver Viper Minerals Corp. closed the final tranche of its non-brokered private placement for aggregate gross proceeds of $306 K (La Virginia, Sonora).
  • Guanajuato Silver Company Ltd. expanded the size of its previously announced brokered private placement to C$13.3 M with the option to increase the financing an additional 15%. (Topia, Durango; El Cubo, Guanajuato).

ON RESOURCES AND DEVELOPMENT

  • Zacatecas Silver Corp. announced the engagement of Palaris Ltd. to lead a pre-feasibility study (PFS) on the Esperanza project in Morelos.
  • Oroco Resource Corp. resumed drilling at its Santo Tomas project in Sinaloa. Operations started at the end of federal military operations in the area. “Core logging and assaying have continued during the period of drill stoppage, with an improvement in methods of handling and analysis, thereby better preparing the geological team for an increase in the rate of core processing”.
  • Bear Creek Mining Corp. filed a NI 43-100 compliant technical report on its Mercedes mine, in Sonora. The report provides a mineral reserves and resources estimate to December 31, 2021.
  • GoGold Resources Inc. released results from six holes from El Favor East deposit at its Los Ricos North project in Jalisco. Highlighted core length intercepts comprise 18.8 m @ 0.62 gpt Au, 156 gpt Ag (including 7.4 m @ 1.50 gpt Au, 344 gpt Ag); 11.4 m @ 0.37 gpt Au, 90 gpt Ag; 4.5 m @ 0.27 gpt Au, 76 gpt Ag; 2.8 m @ 0.36 gpt Au, 76 gpt Ag; 2.0 m @ 0.37 gpt Au, 127 gpt Ag; 1.8 m @ 0.24 gpt Au, 138 gpt Ag; 2.2 m @ 0.80 gpt Au, 227 gpt Ag; 9.3 m @ 0.64 gpt Au, 155 gpt Ag (including 0.7 m @ 5.23 gpt Au, 1,196 gpt Ag); 0.7 m @ 4.34 gpt Au, 1,295 gpt Ag.
  • Vizsla Silver Corp. reported results from seven holes on the San Antonio vein of the Cordon de Oro corridor at its Panuco project in Sinaloa. Highlighted true width intercepts comprise 6.40 m @ 5.76 gpt Au, 621 gpt Ag (including 0.57 m @ 34.2 gpt Au, 2,940 gpt Ag); 6.0 m @ 0.37 gpt Au, 124 gpt Ag; 4.89 m @ 0.60 gpt Au, 122 gpt Ag; 7.50 m @ 1.15 gpt Au, 213 gpt Ag; 3.15 m @ 2.29 gpt Au, 549 gpt Ag; 4.20 m @ 1.19 gpt Au, 202 gpt Ag; 2.0 m @ 4.75 gpt Au, 355 gpt Ag; 2.01 m @ 1.29 gpt Au, 226 gpt Ag.
  • Torex Gold Resources Inc. released results from resource expansion and exploratory drilling completed in the broader Media Luna area in Guerrero. The work extends mineralization to the south and west of the EPO deposit and identified a potential new zone of mineralization between the Media Luna deposit and the Media Luna West target. Highlighted true width results comprise 9.73 m @ 8.51 gpt Au, 33 gpt Ag, 1.57% Cu; 17.25 m @ 4.18 gpt Au, 25 gpt Ag 1.74% Cu; 35.63 m @ 2.05 gpt Au, 30 gpt Ag, 1.05% Cu; 16.48 m @ 8.70 gpt Au, 4 gpt Ag, 0.54% Cu; 6.31 m @ 4.00 gpt Au, 19 gpt Ag, 0.78% Cu; 5.10 m @ 2.79 gpt Au, 9 gpt Ag, 0.27% Cu. Infill, step-out, exploration, ore control and definition drilling budgeted includes $19 M at Media Luna, $6 M at ELG Underground, $9 M in near mine and regional and $5 M in definition and grade control in the ELG open pit and underground. “The Media Luna deposit is hosted within the Mesozoic carbonate-rich Morelos Platform, which has been intruded by Paleocene stocks, sills, and dykes of granodioritic to tonalitic composition. Skarn-hosted gold-silver-copper mineralization is developed within the sedimentary rocks along the contacts of intrusive rocks as well as within altered dykes of the skarn envelope….Mineralization at Media Luna is hosted in skarn that developed at the contact of the intrusive granodiorite and overlying sedimentary rocks. The skarn is characterized by a mineral assemblage of pyroxene, garnet, and magnetite. Metal deposition and sulfidation occurred during retrograde alteration and is associated with a mineral assemblage comprising amphibole, phlogopite, chlorite, and calcite ± quartz ± epidote as well as variable amounts of magnetite and sulfides, primarily pyrrhotite. Additional mineralization is associated with skarn developed within and along dykes and sills above the main granodiorite intrusion”.
  • Mithril Resources Ltd. released drilling results from deep drilling at El Refugio, at its Copalquin project in Durango. Highlighted core length results comprise 5.67 m @ 4.37 gpt Au, 174 gpt Ag (including 1.67 m @ 9.64 gpt Au, 399 gpt Ag); 1.0 m @ 1.68 gpt Au, 67 gpt Ag; 1.0 m @ 1.27 gpt Au, 46 gpt Ag; 0.50 m @ 2.13 gpt Au, 118 gpt Ag; 0.90 m @ 1.04 gpt Au, 11 gpt Ag.

ON DEALS AND CORPORATE ISSUES

  • Almaden Minerals Ltd. informed the Ministry of Economy has officially notified Almaden that the company’s mining concessions titles relating to the Ixtaca project in Puebla are “ineffective”, but that the title applications were filed in conformity with the law. This is understood to mean that “the mineral title has reverted to application status, and that these applications preserve the mineral rights for Almaden but do not allow the Company to engage in exploration, until such time as Economia completes its court-ordered indigenous consultation in the area covered by the mineral title applications”. Almaden also announced that the environmental permit application will be submitted once the Human Rights Impact Assessment (HRIA) and the indigenous consultation process are finalized.
  • Newmont Corp. announced it has reached a profit-sharing agreement with the Union at its Peñasquito mine in Zacatecas. Newmont will pay its unionized workforce an uncapped profit-sharing bonus up to 10%, “with an immediate cost equivalent of $70 million, which is representative of the payments related to 2021 results”.
  • Endeavour Silver Corp. announced the completion of its acquisition of the Pitarrilla project in Durango. The deal involved the bought of $70 M in shares from Silver Standard Ventures Inc. subsidiary (SSR Durango S.A. de C.V.) and a further 1.25% NSR on Pitarrilla. Endeavour plans to invest $1.8 M for drilling and exploration to verify the historical data and define a current resource in 2022.

ON SOCIAL RESPONSIBILITY

  • Almaden Minerals Ltd. reported the Ixtaca project in Puebla was selected to be included in a pilot project conducted by the United Nations Expert Group Resource Management (UNRMS) in coordination with Mexico’s Ministry of Economy (Secretaría de Economía). The UNRMS “considers a range of socio-economic, technological, and knowledge factors that are important for the sustainable development of each project”.
  • Grupo Mexico continues with its support for cultural development of the mining communities. This week the Orchestras and Choruses from Buenavista and La Caridad made a presentation in Hermosillo, Sonora, along with other cultural institutions and organizations, under the event “El Cobre Hecho Arte”.

On the image below: Weathered monzonite porphyry on a project in the Sonoran Desert. Picture by Jorge Cirett.

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

By Jorge Cirett

During the 21st week of the year (May 23rd to May 29th, 2022), at least 25 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties, one released first quarter 2022 reports, one announced the commissioning commencement on its project, one updated on a merger, one on the significant ownership by one investor, one on the compliance to issue by-weekly reports until its management cease trade order is lifted, three released drilling results from their advanced projects and one commissioned a company to prepare a resource estimate for its property.  ON MEXICO ISSUES, SEMARNAT, the Mexican environmental agency, voiced its support for anti-mining organizations in Morelos. A miner’s Union has taken legal steps to get back to previous profit-sharing schemes by mining companies. The president of Mexico expressed the likelihood of its government going to court to stop a company from mining limestone in Quintana Roo. ON EXPLORATION, in Sonora, Benjamin Hill Mining released results from drilling at its Sonora Gold property; Ranchero Gold updated on exploration at Santa Daniela; Silver Spruce Resources is preparing ground for drilling at Diamante; Tocavan Ventures released drill results from Pilar. In Nayarit, Sierra Madre Gold and Silver released results from drilling at La Tigra. In Veracruz, Azucar Minerals completed the first hole near the center of a large target at El Cobre. ON MINING, SilverCrest Metals announced the completion of construction of the processing plant at Las Chispas, in Sonora. Magna Gold presented its Q1 2022 operating and financial report. ON FINANCING, Sailfish Royalty received a lead order commitment in its path to create a silver exploration company starting with the Gavilanes project in Durango.  Eric Sprott owns 26.2% of outstanding shares of Discovery Silver. Gatos Silver is providing a by-weekly default status report.  ON RESOURCES AND DEVELOPMENT, Avino Silver & Gold Mines released drill results from the Oxide Tailings project at Avino, Durango. GR Silver released results from underground drilling at Plomosas, in Sinaloa. Sonoro Gold reported results from drilling at Cerro Caliche, in Sonora. Barksdale Resources engaged a company for the elaboration of the resource estimate at San Javier, in Sonora. ON DEALS AND CORPORATE ISSUES, Sierra Madre Gold and Silver signed an agreement with First Majestic to acquire La Guitarra, in Estado de Mexico. Bear Creek Mining has been placed on the default list by the British Columbia Securities Commission, on concerns regarding the credentials of consultants that signed a technical report on the Mercedes mine, in Sonora. Discovery Silver updated on activities at Cordero, in Chihuahua.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • SEMARNAT, the Mexican environmental agency, pointed that it backs those against mining projects in Morelos. This statement was done regarding Alamos Gold’s Esperanza project near Temixco, in the process of acquisition by Zacatecas Silver Corp.. The agency stressed that the Mexican government maintains its commitment to not authorize any new open pit development in the country, based on ideological ideas (No mention was done whatsoever about the project complying or not with the law).
  • The Union “Sindicato Nacional Minero Metalúrgico FRENTE” informed on legal procedures taken by the organization to fight for the 10% of profits that previously were distributed among the workforce of mining companies in Mexico, same that were recently capped at three months of salary per worker.
  • The president of Mexico, Andrés M. López Obrador, stated that Mexico will take Vulcan Materials, a company mining limestone in Quintana Roo, to court if necessary. The company has stated in the past that it has all the needed permits for its operations.

ON EXPLORATION

  • Benjamin Hill Mining Corp. released results from diamond drilling at its Sonora Gold project in Sonora. A total of 34 holes were completed covering 5,800 m on seven targets in the 6,400 hectares property. Assays have been received for the first 20 holes. Highlighted intervals from the Sonora Copper area comprise 28.2 m @ 0.42% Cu (interval that includes 16 m @ 0.3 gpt Au; 3.5 m @ 26 gpt Ag; 1.44 m @ 2.99% Cu, 0.664 gpt Au, 103 gpt Ag) and 9.21 m @ 0.92% Cu (including 5.36 m @ 1.7% Cu, 1.95 gpt Au, 44 gpt Ag) in one hole; and 20.55 m @ 0.55% Cu (including 2 m @ 1.05% Cu, 0.379 gpt Au, 18 gpt Ag; 3.96 m @ 1.12%) in a second hole. Highlighted intervals from other areas comprise 1.2 m @ 0.43% Cu, 1.52 gpt Au; 0.90 m @ 0.14% Cu, 1.73 gpt Au; 0.60 m @ >10% Cu, 2.11 gpt Au, 52 gpt Ag).
  • Sierra Madre Gold and Silver Ltd. announced results from the three first holes of its drilling program at La Tigra project, Nayarit. Highlighted core length intervals (interpreted as 90% of the core interval) comprise 9.0 m @ 0.46 gpt Au, 9 gpt Ag; 6.60 m @ 0.49 gpt Au, 6 gpt Ag; 5.10 m @ 2.21 gpt Au, 24 gpt Ag; 32.0 m @ 1.00 gpt Au, 4 gpt Ag (including 4.0 m @ 3.03 gpt Au and 4.45 m @ 2.72 gpt Au, 7 gpt Ag). An application was filed for a new 1,653 ha claim to the west of La Tigra, named Sabra.
  • Ranchero Gold Corp. provided an update on exploration at its Santa Daniela concessions in Sonora. Machine-learning technology has been applied in the 2,220 hectares land package to identify 47 exploration targets, of which nine are high priority. Follow-up field visits are ongoing to Rincon, San Francisco and Yaqui Sur.
  • Silver Spruce Resources Inc. is preparing access trails and pads for its incoming 2,000 m reverse circulation drilling campaign at its 1,057 hectares Diamante project in Sonora. The drilling company it to mobilize to site next week.
  • Azucar Minerals Ltd. announced the completion of the first hole (1,280 m of depth) in a large lithocap target at El Cobre, in Veracurz. This area has been targeted for drilling based on a mineral vectoring study utilizing chlorite and epidote that indicates a fertile medium to large sized porphyry system, a coinciding deep IP geophysical anomaly, surface pyrophyllite, spectral mineral mapping and high crystallinity illite over the entire target. Drill hole results are pending. “The closest hole to this deep core IP anomaly, which did not test the anomaly, intersected intense quartz pyrite sericite (QSP) phyllic alteration which provides further support to this new target representing a possible porphyry centre”.
  • Tocvan Ventures Corp. released diamond drill results from its Pilar property in Sonora. An infill hole in the Main zone intercepted a core-length interval of 108.6 m @ 0.8 gpt Au, 3 gpt Ag (including 31.9 m @ 2.4 gpt Au, 2 gpt Ag and 9.4 m @ 7.6 gpt Au, 5 gpt Ag). As part of the Phase III program, nine drill holes totaling 1,562 m have been completed.

ON MINING

  • SilverCrest Metals Inc. announced that Ausenco Engineering Canada Inc. has completed the construction of the processing plant at Las Chispas in Sonora. The processing plant commissioning is now underway, and expected to reach commercial production in Q4, 2022.
  • Magna Gold Corp. released operating and financial results for the first quarter of 2022. At San Francisco, in Sonora, 7.3 M tonnes were mined with a strip ratio of 6.7:1, processing 1.4  M tonnes to produce 11,874 Oz Au at cash cost $1,675 per Oz Au and AISC at $2,467 per Oz Au. The San Francisco deposit has measured and indicated resources of 99.7 M tonnes @ 0.446 gpt Au, containing 1,430 K OZ Au and inferred resources of 11.4 M tonnes @ 0.446 gpt Au, containing 171 K Oz Au.

ON FINANCING

  • Sailfish Royalty Corp. has received a lead order commitment from Barnwell Investments LLC. in connection to the private placement contemplated as part of a combination transaction with Swordfish Silver. The proposed transaction includes a private placement of Swordfish shares for US$5 M. The goal of the proposed transaction is to create a silver focused exploration and development company, resulting in the transfer of Sailfish’s Gavilanes property in Durango.
  • Ontario Ltd., a company Eric Sprott owns, announced the exercise of warrants on Discovery Silver Corp. for an aggregate consideration of $7 M. As a result of the warrant exercise Mr. Sprott owns 26.2% of the outstanding Shares on a non-diluted basis and approximately 27.3% on a partially diluted basis.
  • Gatos Silver Inc. is providing a by-weekly default status report in accordance with National Policy 12-203 – Management Cease Trade Orders. “The Company believes that it will be able to file its annual report on Form 10-K for the year ended December 31, 2021, and its quarterly report on Form 10-Q for the quarter ended March 31, 2022 in the second half of 2022. The Company is also evaluating the material weaknesses in its internal controls over financial reporting related to the mineral reserve reporting errors”.

ON RESOURCES AND DEVELOPMENT

  • Avino Silver & Gold Mines Ltd. released results from 17 short holes drilled on its Oxide Tailings project at Avino, in Durango. “The 2022 drill program included 17 drill holes for a total of 209 metres of drilling”. The average of 90 m drilled on the sulphide zone of the tailings returned 0.34 gpt Au, 30 gpt Ag, whereas those from the oxide zone averaged 0.49 gpt Au, 41 gpt Ag on a total of 90 m.
  • GR Silver Mining Ltd. announced results from underground infill drilling at the Plomosas Project in Sinaloa. Highlighted apparent width intervals comprise 2.9 m @ 190 gpt Ag, 0.1% Pb, 0.1% Zn; 14.0 m @ 146 gpt Ag; 6.5 m @ 1,458 gpt Ag, 0.2% Pb, 0.2% Zn.
  • Sonoro Gold Corp. reported results from 10 holes completed at its Cerro Caliche project in Sonora. The highlighted core length results from the El Colorado and Buena Suerte zones comprise 21.34 m @ 0.557 gpt Au (including 3.04 m @ 1.52 gpt Au); 1.52 m @ 2.19 gpt Au; 7.62 m @ 0.72 gpt Au; 10.67 m @ 1.183 gpt Au; 4.57 m @ 1.09 gpt Au; 1.52 m @ 9.57 gpt Au; 28.95 m @ 1.021 gpt Au (including 3.05 m @ 2.706 gpt Au). Results from further seven drill holes at Las Abejas are pending.
  • Barksdale Resources Corp. engaged Independent Mining Consultants Inc. (IMC) to prepare a resource estimate and NI 43-101 Technical Report for the Cerro Verde copper zone on the San Javier project in Sonora. Approximately 30,000 m of drilling data will be utilized in the process to create the report. The resource estimate is expected to be delivered to Barksdale within the next 30 days.

ON DEALS AND CORPORATE ISSUES

  • Sierra Madre Gold and Silver Ltd. signed an arm’s length definitive agreement with First Majestic Silver Corp. to acquire the 39,714 hectare La Guitarra property in Estado de Mexico. La Guitarra is a past-producing underground mine with an on-site process facility that operated until 2018. Historical measured and indicated resources in the property amount to 7.45 M Oz AgEq and inferred resources to 10 M Oz AgEq. Sierra Madre will issue to First Majestic 69.06 M of its common shares, for an aggregate value of $35 M. Upon completion of the transaction First Majestic will become the largest shareholder of Sierra Madre.
  • Bear Creek Mining Corp. has been placed on the default list by the British Columbia Securities Commission. This as a result of the BCSC’s concerns regarding the credentials of certain independent third-party consultants to act as qualified persons under National Instrument 43-101 in respect of certain chapters of the Aprill 22 technical report on the Mercede mine, in Sonora. “Bear Creek estimates that the Amended Mercedes Report will be filed within approximately 30 days”.
  • Discovery Silver Corp.released its financial results for the first quarter 2022 and an update on activities. The Pre-Feasibility Study (PFS) work for the Cordero project in Chihuahua is to be delivered on the fourth quarter 2022, the metallurgical test work on sulfides is 60% complete, the reserve definition drilling is now complete, and the first of three open pit geotechnical drill holes is underway. More than 30,000 m of drilling are planned this year on resource expansion targets and the first ever drilling of five targets within 10 km of Cordero. Cash and cash equivalents by the end of the period was at $61.2 M

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Sampling of quartz-barite vein in the Sonora Desert. Picture by Jorge Cirett.

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

By Jorge Cirett

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

ON MEXICO ISSUES

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

ON EXPLORATION

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

ON MINING

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

ON FINANCING

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

ON RESOURCES AND DEVELOPMENT

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

ON DEALS AND CORPORATE ISSUES

  • No Relevant News.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

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

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

Quartz-pyrite-FeOx stockwork veining

By Miguel A Heredia

During the 16th week of the year (April 18th to April 24th, 2022), at least 13 press releases were announced by companies working in Mexico, and three news published by the media, with four reporting resources and developments of their properties, three communicating production and financial results, three disclosing deals and corporate issues, three commenting on Mexican issues, two announcing financial issues, and one informing on exploration results. ON MEXICO ISSUES, Mexico Chamber of Deputies approved the initiative proposed by Andres Manuel López Obrador to reform the mining law on the nationalization of lithium. Fernando Alanís, Pro Secretary of the Confederation of the Industrial Chamber (CONCAMIN), declared that the project to reform the Mining Law to reserve the new concessions for the exploitation of lithium to the State is ambiguous and will add even more uncertainty and concern to investors. Armando Ortega, president of the Mining Task Force, of the Canadian Chamber of Commerce (CanCham) in Mexico, stated that the proposed reform of the Mining Law on lithium would violate Mexico’s commitments in international treaties.  ON EXPLORATION, In Sonora, Reyna Gold announced results from eight holes drilled at its flagship La Gloria project. ON MINING, Americas Gold and Silver reported Q1, 2022 production results from its Cosala mine in Sinaloa. First Majestic announced Q1, 2022 production results from their Mexican mine operations. Sierra Metals reported Q1, 2022 production results from their Bolivar and Cusi mines located in Chihuahua. ON FINANCING, Magna Gold announced completion of its debt settlement with PEAL de Mexico SA de CV (San Francisco mine, Sonora). Tarachi Gold amended the option agreement terms with Minerals de Tarachi (Magistral Mill and tailings project, Durango).  ON RESOURCES AND DEVELOPMENT, Magna Gold announced Maiden Resource Estimate for its Margarita project in Chihuahua. Bear Creek filed a NI 43-101 technical report for its Mercedes mine in Sonora, which includes the Mineral Reserves and Resources as of December 31, 2021. Oroco released results from its ongoing drilling program at its Santo Tomas project in Sinaloa. Sonoro announced results from 15 holes drilled at the Colorado and Guadalupe zones within its Cerro Caliche project in Sonora.  ON DEALS AND CORPORATE ISSUES, Benjamin Hill signed and investor relation agreement and granted incentive stock options to other contractors (Sonora Gold project, Sonora). Gatos Silver received a notice from the New York Stock Exchange as a result of its failure to timely file its annual report (Cerro Los Gatos mine, Chihuahua). Silver Wolf announced the appointment of a new member to its Technical Advisory Board (Ana Maria project, Durango).  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • Mexico Chamber of Deputies approved the initiative proposed by Andres Manuel López Obrador to reform the mining law on the nationalization of lithium, with 275 votes in favor, 24 against and 187 abstentions. The reform contemplates the authorization of mining concessions with the exception of lithium, which will be administered directly by the Mexican State. López Obrador reiterated that his government will not allow foreigners to exploit lithium even if they have previous concessions. Instead, there will be a State company “to exploit, explore, extract, process, industrialize and sell it”.
  • Fernando Alanís, Pro Secretary of the Confederation of the Industrial Chamber (CONCAMIN), declared that the project to reform the Mining Law to reserve the new concessions for the exploitation of lithium to the State is ambiguous and will add even more uncertainty and concern to investors. Despite the fact that Mexico is among the 10 largest producers worldwide of 17 minerals, being the first in silver and the eighth in gold, the mining industry has lost attractiveness for investment in recent years after the government suspension of mineral concessions, in addition to the high taxes paid by the sector in our country.
  • Armando Ortega, president of the Mining Task Force, of the Canadian Chamber of Commerce (CanCham) in Mexico, stated that the proposed reform of the Mining Law on lithium would violate Mexico’s commitments in international treaties. He argued that minerals cannot be reserved, in this case, for the exclusive exploration and exploitation by the State, without having made the aforementioned reservation in the Treaty between Mexico, the United States and Canada (T-MEC). From his point of view, reservations are areas of exclusion of obligations and commitments, and to do so without prior negotiation is arbitrary and prohibited. The CanCham argued that reserving lithium only for the exploration and exploitation of the Mexican State ex-post is in violation of both the provisions of the World Trade Organization (WTO), as well as those corresponding to all Free Trade Agreements (FTA). ) signed by Mexico.

ON EXPLORATION

  • Reyna Gold Corp., announced results from eight holes totalling 710m of its ongoing 10,000m drilling program conducted at its flagship La Gloria project, Sonora. Drilling highlights include hole LG-22-005 with 3.95 g/t Au over 7.85m, including 19.65 g/t Au over 1.3m; hole LG-22-001 with 0.51 g/t Au over 30.6m; hole LG-22-007 with 8.61g/t Au over 0.6m; and hole LG-22-008 with 4.13 g/t Au over 0.5m.

ON MINING

  • Americas Gold and Silver Corporation reported Q1, 2022 production results from its Cosala mine in Sinaloa. The company produced 127K Oz Ag, 3.9M Lb Pb, and 9.6M Lb Zn. Americas expects to produce 0.7-0.9M Oz Ag, 36-40M Lb Pb, and 13-15M Lb Zn in the full year 2022.
  • First Majestic Silver Corporation announced Q1, 2022 production results from their Mexican mine operations. Figures by  mine are shown in the table below:
  • Sierra Metals Inc., reported Q1, 2022 production results from their Bolivar and Cusi mines located in Chihuahua. At Bolivar mine, the company processed 187,556 tonnes of 0.58% Cu, 11 g/t Ag, and 0.16 g/t Au with metallurgical recoveries of 85.12%,  88.44%, and 63.53% respectively, to produce 2M Lb Cu, 58K Oz Ag, and 592 Oz Au (2,6M Lb CuEq). At Cusi mine, Sierra metals processed 87,924 tonnes of 174 g/t Ag, 0.19 g/t Au, and 0.3% Pb with metallurgical recoveries of 85.37%, 49.94%, and 76.96% respectively, to produce 420K Oz Ag, 274 Oz Au, and 388K Lb Pb (458K Oz AgEq).
  • Sonoro Gold Corp., announced results from 15 holes drilled at the Colorado and Guadalupe zones within its Cerro Caliche project in Sonora. Goal of this drill program is to increase the size and grade of the project´s oxide gold mineralization. Drilling highlights include hole SCR-289 with 0.56 g/t Au over 7.62m, including 1.38 g/t Au over 1.52m; hole SCR-293 with 0.87 g/t Au over 12.19m, including 3.62 g/t Au over 1.52m, plus 0.92 g/t Au over 6.10m, including 2.22 g/t Au over 1.53m, plus 2.26 g/t Au over 7.62m, including 10.25 g/t Au over 1.53m; hole SCR-296 with 0.67 g/t Au over 7.62m, including 1.83 g/t Au over 1.53m, plus 0.42 g/t Au over 6.1m, including 1 g/t Au over 1.52m; hole SCR-299 with 9.02 g/t Au over 10.67m, including 15.56 g/t Au over 6.10m; and hole SCR-301 with 0.49 g/t Au over 10.67m, including 1.79 g/t Au over 1.53m.

ON FINANCING

  • Magna Gold Corp., announced completion of its debt settlement with PEAL de Mexico SA de CV. the company has issued an aggregate of 1,660,132 common shares in the capital of the company at a deemed price of $0.76 per Common Share to PEAL de Mexico S.A. de C.V., in settlement of outstanding debt in the aggregate amount of USD 1M (San Francisco mine, Sonora).
  • Tarachi Gold Corp., amended the option agreement terms with Minerales de Tarachi , resulting in a significant reduction in future cash obligations. A comparison of the original and amended option terms can be found in the table below:

ON RESOURCES AND DEVELOPMENT

  • Magna Gold Corp., announced Maiden Resource Estimate for its Margarita project in Chihuahua. Indicated resources using a cut-off of 75 g/t Ag are 1.854M tonnes of 205 g/t Ag to contain 12.22M Oz Ag and inferred resources are 0.45M tonnes of 153 g/t Ag to contain 2.24M Oz Ag. The deposit includes a well defined high grade core of 0.78M tonnes of 332 g/t Ag for a total of 8.32M Oz Ag contained. Magna reported that mineralization at Margarita is open in all directions and at depth. It also informed that the drill program discovered and confirmed multiple parallel vein systems most notable of which were the Juliana and Caido veins. The company plans to conduct follow-up drilling to define additional resources in these parallel vein systems. The current resource estimate only includes mineralization in the main Margarita vein.
  • Bear Creek Mining Corporation filed a NI 43-101 technical report for its Mercedes mine in Sonora, which includes an independent audit of the Mineral Reserves and Mineral Resources as of December 31, 2021. Measured + Indicated Mineral Resources (exclusive of Mineral Reserves) are 2.98M tonnes of 4 g/t Au and 36 g/t Ag to contain 384K Oz Au and 3.5M Oz Ag; and Inferred Resources of 884K tonnes of 4.5 g/t Au and 41 g/t Ag to contain 128K Oz Au and 1.17M Oz Ag. Proven + Probable Mineral Reserves are 2.2M tonnes of 3.75 g/t Au and 29 g/t Ag to contain 267K Oz Au and 2.1M Oz Ag.
  • Oroco Resource Corp., released results from its ongoing drilling program conducted on the North Zone within its Santo Tomas project in Sinaloa. Drilling highlights include hole N010 with 0.36% Cu, 0.011% Mo, 0.03 g/t Au, and 2 g/t Ag (0.42% CuEq) over 311m; hole N011 with 0.39% Cu, 0.007% Mo, 0.04 g/t Au, and 3 g/t Ag (0.45% CuEq); and hole N012 with 0.35% Cu, 0.015% Mo, 0.02 g/t Au, and 3 g/t Ag (0.41% CuEq) over 296.9m. “The 2021-2022 drill program in the North Zone has now spanned 900 m of strike length along the core of the mineral deposit”. Holes N013 to N016 in the North Zone and B001 to B004 in the Brasiles Zone are completed and constitute an additional 6,205 m of drilling from which assays have yet to be generated.  To date, the 20 drill holes that have been completed at Santo Tomas (16 in the North Zone) total 14,838 m of diamond drilling, mainly in HQ core size.

ON DEALS AND CORPORATE ISSUES

  • Benjamin Hill Mining Corp., signed and investor relation agreement with Pacificquest Communications Corp., for a term of one year. In connection with the agreement, the company granted 200K options exercisable at $0.50 per common share having a term of 3 years and subject to vesting of 25% of the options each calendar quarter over a one-year period.   The company also granted 100K incentive stock options to other contractors exercisable at $0.50 per common share having a term of 3 years and subject to vesting of 25% of the options each calendar quarter over a one-year period.   (Sonora Gold project, Sonora).
  • Gatos Silver Inc., received a notice from the New York Stock Exchange (NYSE) as a result of its failure to timely file its annual report. “In accordance with Section 802.01E of the NYSE Listed Company Manual, the NYSE will closely monitor the status of the Company’s late filing and related public disclosures for up to six months from the date of the filing delinquency”  (Cerro Los Gatos mine, Chihuahua).
  • Silver Wolf Exploration Ltd., announced the appointment of a new member to its Technical Advisory Board (Ana Maria project, Durango).

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, quartz-py-FeOx stockwork veining in an intrusive in Guanajuato, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

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

ON MEXICO ISSUES

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

ON EXPLORATION

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

ON MINING

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

ON FINANCING

  • No Relevant News.

ON RESOURCES AND DEVELOPMENT

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

ON DEALS AND CORPORATE ISSUES

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

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

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

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

Flow banded rhyolite

By Miguel A Heredia

During the 14th week of the year (April 04th to April 10th, 2022), at least 22 press releases were announced by companies working in Mexico, and one news published by the media, with nine reporting resources and developments of their properties, seven informing on exploration results, five communicating production and financial results, one disclosing deals and corporate issues, and one discussing social issues. ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Silver Spruce reported the approval of an Informe Preventivo for its second drilling permit at its Mezquite project, Ranchero Gold released results from its inaugural drilling program at its Santa Daniela project, and Starcore presented results from its drilling program conducted at its Opodepe project. In Chihuahua, Mammoth presented results from three holes drilled at its Tenoriba project, and Reyna Silver announced results from its 8,000m phase 2 drilling program conducted at its Guigui project. In Durango, Silver Wolf released results from 88 samples collected at its Ana Maria project. In Nayarit, Sierra Madre commenced a maiden drilling program at its La Tigra project. ON MINING, Gatos Silver reported Q1, 2022 production results from its 70%-owned Cerro Los Gatos mine, Chihuahua. GoGold announced Q1, 2022 production results from its Parral Tailings mine in Chihuahua. Mexus completed an open pit test heap leach Au recovery process that produced 278 Oz Au from 6 test pits at its Santa Elena mine in Sonora.  Minera Alamos announced Q1, 2022 production results from its Santana mine in Sonora. Orla presented Q1, 2022 production results from its Camino Rojo project in Zacatecas. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, Vizsla reported that it filed on the System for Electronic Document Analysis and Retrieval (SEDAR) an independent technical report on its Panuco project in Sinaloa. Azucar Minerals commenced to drill test a large lithocap target discussed previously at its El Cobre project, Veracruz. GR Silver reported results from three underground drill holes collared at its San Marcial project, Sinaloa. Avino published results from 110 holes drilled on the oxide tailings project at its Avino property in Durango. Golden Tag released results from hole 22-64 drilled at its San Diego mine, Durango. Silver Dollar announced that phase 2 exploration drilling program is underway at its la Joya project in Durango. Silver Viper conducted a TITAN-MT deep-penetrating geophysical survey centered on the El Rubi deposit, Paredones, and El Molino target areas at its La Virginia project in Chihuahua. Starcore provided an update on the diamond drilling program conducted at its San Martin mine in Querétaro. Zacatecas Silver announced results from its ongoing diamond drilling program on the Panuco North and Panuco Central Veins at its Zacatecas project in Zacatecas state.   ON DEALS AND CORPORATE ISSUES, Sailfish provided an update on its previously announced Swordfish silver transaction (Gavilanes project, Durango).  ON SOCIAL RESPONSIBILITY, Esperanza Silver has a Community Engagement Plan to meet the objectives proposed by the New Socially and Environmentally Responsible Mining Model.

ON MEXICO ISSUE

  • No relevant news.

ON EXPLORATION

  • Silver Spruce Resources Inc., reported the approval of an Informe Preventivo by the Mexican government Environmental Authority (SEMARNAT) for its second drilling permit at its Mezquite project in Sonora. The second drilling program will consists of 1,500-2,500m of Reverse Circulation (RC), which include twenty-four new pads on the northern, northwestern and southeastern sections of the property.
  • Ranchero Gold Corp., released results from its 16 holes, Phase 1 inaugural drilling program at the Maíz Azul prospect within its Santa Daniela project in Sonora. All of the 16 holes intersected Au mineralization and were planned to drill test shallow-near surface mineralization. Highlights include hole MA22-10 with 4 g/t Au over 31.5m; hole MA21-14 with 1.2 g/t Au over 21.2m; hole MA22-25 with 1.2 g/t Au over 15.6m, and hole MA21-11 with 1.1 g/t Au over 21m. Mineralization remains completely open at depth since it was only tested at depths of 100-150m below surface. The company is currently designing a second phase of drilling. The plan of this drilling program is to expand La Colmena zone eastward, initiate drill testing of the X-structure target, initiate drilling of new targets identified by the on-going modelling, and start definition drilling. In addition, Ranchero Gold is also advancing its regional reconnaissance program on the entire property. The company has identified from a previous Aster study, nine high-priority targets that warrant follow-up field work. “Ranchero Gold will continue its field investigation in parallel with the work conducted at Maíz Azul with the objective of identifying new drill targets by year-end.
  • Mammoth Resources Corp., presented results from three holes drilled at its Tenoriba project in Chihuahua. The most significant mineralized interval was encountered in hole TEN-21-13 on the Moreno Zone with 0.98 g/t Au and 15 g/t Ag (1.18 g/t AuEq) over 37.5m, including 1.13 g/t Au, 21 g/t Ag, and 0.55% Cu (2.34 g/t AuEq) over 18m.
  • Reyna Silver Corp., announced results from its 8,000m phase 2 drilling program conducted at its Guigui project in Chihuahua. Drilling highlights include hole GG21-31 with 130 g/t Ag, 0.2% Pb, and 0.2% Zn over 2.62m, including 338 g/t Ag, 0.4% Pb, and 0.4% Zn over 0.7m, including 1,040 g/t Ag, 1.5% Pb, and 0.5% Zn over 0.18m, plus 54 g/t Ag, 2.2% Pb, and 9.9% Zn over 3.15m, including 128 g/t Ag, 3.7% Pb, and 16% Zn over 1.85m; hole GG21-30 with 233 g/t Ag, 0.02% Pb, and 0.02% Zn over 2.11m; hole GG21-31 with 105 g/t Ag, 4.9% Pb, and 0.6% Zn over 1.20m; and hole GG21-33 with 106 g/t Ag, 0.9% Pb, and 0.1% Zn over 4.51m. The company reported that the mineralized skarn footprint now exceeds 0.5km2.
  • Silver Wolf Exploration Ltd., released results from 88 grab samples collected at its Ana Maria project in Durango. Highlights include 246 g/t Ag, 0.03% Cu, 4.5% Pb, and 1.7% Zn; 578 g/t Ag, 0.03% Cu, 11.9% Pb, and 0.3% Zn; 442 g/t Ag, 0.04% Cu, 11.4% Pb, and 1.5% Zn; 163 g/t Ag, 0.04% Cu, 6.2% Pb, and 0.5% Zn; 168 g/t Ag, 0.01% Cu, 4.1% Pb, and 0.2% Zn; 1,227 g/t Ag, 0.06% Cu, 25.7% Pb, and 0.6% Zn; 309 g/t Ag, 0.03% Cu, 2.3% Pb, and 4.8% Zn; 1,306 g/t Ag, 0.09% Cu, 20.4% Pb, and 7.4% Zn; and 792 g/t Ag, 0.04% Cu, 16.9% Pb, and 0.6% Zn. Silver Wolf is waiting for the final geophysical data interpretation to better define drill targets for later this year.
  • Sierra Madre Gold and Silver Ltd., commenced a maiden drilling program at its La Tigra project in Nayarit. This is the first ever drill program undertaken within the district and is focused primarily on areas defined by the ongoing trenching program. Trenching highlights include 1.22 g/t Au and 7 g/t Ag (1.3 g/t AuEq) over 11.6m, including 2.52 g/t Au and 10 g/t Ag (2.7 g/t AuEq) over 4.3m; 1.45 g/t Au and 9 g/t Ag (1.57 g/t AuEq) over 12.8m, including 3.22 g/t Au and 35 g/t Ag (3.69 g/t AuEq) over 5.3m; 1.59 g/t Au and 3 g/t Ag (1.63 g/t AuEq) over 24.2m, including 5.58 g/t Au and 4 g/t Ag (5.64 g/t AuEq) over 4.7m; and 1.78 g/t Au and 6 g/t Ag (1.85 g/t AuEq) over 22.9m, including 2.2 g/t Au and 7 g/t Ag (2.3 g/t AuEq) over 7.1m.
  • Starcore International Mines Ltd., presented results from its drilling program conducted at its Opodepe project in Sonora. The drill program consisted of 3,289.6 m in 25 short holes. Drilling highlights include hole OPDS-21-001 with 4.79 g/t AuEq over 6.73m; hole OPDS-21-018 with 2.3 g/t AuEq over 1.91m; and hole OPDS-21-021 with 1.96 g/t AuEq over 2.19m. The first stage of drilling was focused on the upper part of the veins and has been considered as recognition drilling. “However, in this year 2022, the drilling is focused on the zone of the veins which the geologists have considered as favorable zones to find economic reserves”.

ON MINING

  • Gatos Silver Inc., reported Q1, 2022 production results from its 70%-owned Cerro Los Gatos mine, Chihuahua. The company milled 234,985 tonnes of 353 g/t Ag, 0.3 g/t Au, 2.2% Pb, and 4.1% Zn at metallurgical recoveries of 89.7%, 57.1% , 89.2%, and 64.3% respectively, to produce 2.39M Oz Ag, 1.3K Oz Au, 10.3M Lb Pb, and 13.8M Lb Zn. Gatos reported over USD $40M in cash as of March 31, 2022.
  • GoGold Resources Inc., announced Q1, 2022 production results from its Parral Tailings mine in Chihuahua. The company produced 186,655 Oz Ag, 2,791 Oz Au, and 280K Lb Cu (455,991 Oz AgEq).
  • Mexus Gold US completed an open pit test heap leach Au recovery process that produced 278 Oz Au from 6 test pits at its Santa Elena mine in Sonora.  The company is looking for a mining company to joint venture with at its Santa Elena mine. Mexus believes that the property contains > 1M Oz Au. It stated that is open to also JV its Ures Au-Ag-Cu property in Sonora.
  • Minera Alamos Inc., announced Q1, 2022 production results from its Santana mine in Sonora. It mined 600K tonnes to produce 3,390 Oz Au. Cumulative Au recovery from mineralization under leach for more that 30 days is now approximately 75% with additional recovery ongoing. The company reported that the total of Au inventory moved to leach pad to date is 14K Oz. In addition, the company announced that site preparation activities were initiated at the Nicho Main Zone with a goal to start mining activities at that deposit later in Q2-2022.
  • Orla Mining Ltd., presented Q1, 2022 production results from its Camino Rojo project in Zacatecas. The company mined 684,255 tonnes and processed 539,379 tonnes of 0.8 g/t Au to produce 23,031 Oz Au. Gold guidance for the full year 2022 is maintained by Orla at 90-100 Oz Au.

ON FINANCING

  • No relevant news.

ON RESOURCES AND DEVELOPMENT

  • Vizsla Silver Corp., reported that it filed on the System for Electronic Document Analysis and Retrieval (SEDAR), an independent technical report containing a maiden mineral resource estimate on its Panuco project in Sinaloa.
  • Azucar Minerals Ltd., commenced to drill test a large lithocap target discussed previously at its El Cobre project, Veracruz. The lithocap target was outlined by several exploration techniques, including geophysics, mineralogy, geochemistry and past drilling campaigns at the property.
  • GR Silver Mining Ltd., reported results from three underground drill holes collared at its San Marcial project, Sinaloa. The most significant drill intercepts were encountered in holes SM121-07 with 201 g/t Ag, 0.02 g/t Au, 0.2% Pb, and 0.3% Zn over a true width (TW) of 3.7m, including 1,413 g/t Ag, 0.11 g/t Au, 0.9% Pb, and 1.3% Zn over a TW of 0.2m, plus 124 g/t Ag, 0.01 g/t Au, 0.1% Pb, and 0.1% Zn over a TW of 8.5m, including, 223 g/t Ag, 0.01 g/t Au, 0.1% Pb, and 0.1% Zn over a TW of 2.4m, including 553 g/t Ag, 0.03 g/t Au, 0.2% Pb, and 0.4% Zn over a TW of 0.5m. Results confirmed a significant expansion of high-grade Ag mineralization approximately 300m down dip below the lower limit of the pit-constrained San Marcial mineral resource. A two phase 4,500m drilling program is planned for 2022 at San Marcial to support future resource expansion and an updated NI 43-101 mineral resource estimate.
  • Avino Silver & Gold Mines Ltd., published results from 110 holes drilled on the oxide tailings project at its Avino property in Durango. The drilling program consisted of 3,645m. The drill density of the current program should be sufficient to upgrade most of the existing inferred mineral resources to the measured and indicated categories, and to potentially expand the resources. Selected highlights are shown below:
·        Golden Tag Resources Ltd., released results from hole 22-64 drilled at its San Diego mine, Durango. This hole is part of an exploration program targeting bulk-tonnage mineralization and encountered several mineralized intervals. Key highlights include 0.07 g/t Au, 45 g/t Ag, 0.1% Pb, 0.1% Zn, and 0.02% Cu (60 g/t AgEq) over 73.5m, including 0.45 g/t Au, 882 g/t Ag, 0.7% Pb, 0.8% Zn, and 0.17% Cu (980 g/t AgEq) over 0.91m, 0.31 g/t Au, 371 g/t Ag, 0.7% Pb, 0.4% Zn, and 0.07% Cu (441 g/t AgEq) over 2.80m, plus 0.24 g/t Au, 385 g/t Ag, 0.5% Pb, 1.4% Zn, and 0.05% Cu (482 g/t AgEq) over 1.80m, plus  0.2 g/t Au, 475 g/t Ag, 1% Pb, 4.9% Zn, and 0.15% Cu (734 g/t AgEq) over 0.53m (all in the 57 target zone); plus 3.64 g/t Au, 18 g/t Ag, 0.04% Pb, 0.1% Zn, and 0.01% Cu (317 g/t AgEq) over 0.60m (on the Montanez zone), plus 0.18 g/t Au, 212 g/t Ag, 1.8% Pb, 2.9% Zn, and 0.07% Cu (405 g/t AgEq) over 0.70m (on the Canta target area), plus 0.32 g/t Au, 355 g/t Ag, 0.5% Pb, 0.5% Zn, and 0.08% Cu (422 g/t AgEq) over 0.63, and plus 0.08 g/t Au, 286 g/t Ag, 0.2% Pb, 0.6% Zn, and 0.06% Cu (331 g/t AgEq) over 1.04m (On the Rata target area). This result extends the open pit mineralization for over 290m vertical.
·        Silver Dollar Resources Inc., announced that phase 2 exploration drilling program is underway at its la Joya project in Durango. Phase 2 drilling will remain focused on the underexplored Noria portion of the Property and new targets that were identified in the results received to date from the Phase 1 drilling program, which consisted of 11 holes for a total of 2,424 m of drilling. Assays for the first seven holes were reported and results for the remaining holes are expected shortly.
·        Silver Viper Minerals Corp., conducted a TITAN-MT deep-penetrating geophysical survey centered on the El Rubi deposit, Paredones, and El Molino target areas at its La Virginia project in Chihuahua, to assist in targeting for deeper portions of the mineralized system. The TITAN Magnetotelluric (MT) survey is capable of acquiring information from depths in excess of 1,500m below surface. Geologist of the company have reviewed preliminary 2D imaging from the first of the MT survey lines and believe the method will be very effective at La Virginia property. Silver Viper expects to receive final deliverables in the coming weeks.
·        Starcore International Mines Ltd., provided an update on the diamond drilling program conducted at its San Martin mine in Querétaro. A total of 9,410m were drilled in 2021 until the end of March, 2022 which focused on two areas of the mine:  the first focusing on the northwest part of the operating mine, and the second searching for the extension of the orebodies of high – grade discovered during the 30 years of the mine’s life.  Highlights on the area 33 include hole DC3221-10 with 7.36 g/t Au and 28 g/t Ag over 3m; hole DC3221-11 with 2.21 g/t Au and 26 g/t Ag over 8m; hole DC3221-12 with 16.27 g/t Au and 7 g/t Ag over 0.5m; and hole DC3221-15 with 12.2 g/t Au and 10 g/t Ag over 0.60m. Highlights on the area 28 include hole DC2820-214 with 2.14 g/t Au and 57 g/t Ag over 2.4m; hole DC2820-215 with 2.42 g7t Au and 21 g/t Ag over 2.95m; and hole DC2821-217 with 8.08 g/t Au and 15 g/t Ag over 2.15m.
·        Zacatecas Silver Corp., announced results from its ongoing diamond drilling program on the Panuco North and Panuco Central Veins at its Zacatecas project in Zacatecas state. Drilling highlights include hole PAN2022-042 with 1,423 g/t Ag and 0.28 g/t Au (1,440 g/t AgEq) over 1.25m; hole  PAN2022-044 with 353 g/t Ag and 0.29 g/t Au (379 g/t AgEq) over 4.35m; hole PAN2022-043 with 358 g/t Ag and 0.28 g/t Au (379 g/t AgEq) over 1.55m; hole PAN2022-046 with 201 g/t Ag and 0.28 g/t Au (222 g/t AgEq) over 1.05m; and hole PAN2022-045 with 115 g/t Ag and 0.85 g/t Au (179 g/t AgEq) over 5.96m. “Following the recent grant of 27 additional drill pads, Zacatecas Silver will be able to test the depth extension of mineralization at south-eastern Panuco North over a strike length of 600 m and to complete a maiden drill program along the central part of the Panuco North vein over a strike length of 1.4 km”.

ON DEALS AND CORPORATE ISSUES

·        Sailfish Royalty Corp., provided an update on its previously announced Swordfish silver transaction. The proposed transaction is expected to result in the transfer of the Company’s wholly owned Gavilanes silver property located in Durango, Mexico. Closing of the Gavilanes Acquisition is subject to, among other things, Swordfish acquiring the Commonwealth Silver-Gold Project in exchange for shares of Swordfish, a concurrent private placement financing for proceeds of USD $5M.

ON SOCIAL RESPONSIBILITY

·        Esperanza Silver has a Community Engagement Plan to meet the objectives proposed by the New Socially and Environmentally Responsible Mining Model. It has the objective of developing a gold and silver mine in the lands of common use of the community of San Agustín Tetlamam, located in the municipality of Temixco in the state of Morelos. “This new way of developing mining, prioritizing social bonding and the use of techniques that allow avoiding, minimizing, mitigating and compensating for environmental impacts, is due to the genuine interest of Esperanza Silver de México and Alamos Gold Inc. in responding to the demands of a society interested in caring for the environment and the social environment.”

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, flow banded rhyolite in Durango, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

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

ON MEXICO ISSUES

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

ON EXPLORATION

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

ON MINING

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

ON FINANCING

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

ON RESOURCES AND DEVELOPMENT

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

ON DEALS AND CORPORATE ISSUES

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

ON SOCIAL RESPONSIBILITY

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