Vancouver, B.C. MAG Silver Corp. (TSX and NYSE AMERICAN: MAG) (“MAG” or the “Company”) announces the Company’s unaudited financial results for the three and nine months ended September 30, 2017. For details of the September 30, 2017 unaudited condensed interim consolidated Financial Statements and Management’s Discussion and Analysis, please see the Company’s filings on SEDAR (www.sedar.com) or on EDGAR (www.sec.gov).
All amounts herein are reported in thousands of United States dollars (“US$”) unless otherwise specified.
2017 THIRD QUARTER HIGHLIGHTS
- New expanded Juanicipio Resource Estimate and robust 2017 PEA(1) announced subsequent to the quarter end (see press release November 7, 2017) with Base Case(2) highlights (100% basis) as follows:
- Process plant ramp up to a throughput rate of 1.4 million tonnes/year (4,000 tpd(1));
- LOM(1) payable production of 183 million ounces of silver, and on a silver equivalent basis 352 million ounces(2)
- Low LOM AISC(1) of $5.02/ounce of silver over an initial 19 years of mine-life;
- Base case pre-tax IRR(1) 64.5%; after tax IRR 44.5%;
- Base case pre-tax NPV(1) at a 5% discount rate of $1.86 billion; after tax NPV of $1.14 billion;
- Initial capital costs on 100% basis as of January 1, 2018 of $360 M(1) (MAG’s 44% $158.4 M);
- Accelerated early silver flow gives less than a 2-year payback from plant start-up.
- Intensified underground development is in process to allow for the planned increase to 4,000 tpd in mining rate and processing capacity.
- Permitting based on an upgraded mine design has commenced according to the operator, Fresnillo plc (“Fresnillo”).
- Independent feasibility study by AMC expected to be completed by early 2018, as required for a production decision under the Minera Juanicipio Shareholders’ Agreement.
- Formal Minera Juanicipio and respective joint venture partner board approvals expected upon completion of the feasibility study.
- 20,000 metre exploration drill program commenced in July, 2017.
- Company is well funded (cash and cash equivalents totaling $121,638 as at September 30, 2017).
TORONTO, Ontario, November 7, 2017 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX:TXG) reports that during the evening of Monday, November 6th, a group of approximately 35 persons, entered the ELG mine site and threatened the site staff. These staff members were monitoring to protect the environment, monitoring the pumps in the open pits, and maintaining the processing plant status to that required for a rapid restart of operations upon conclusion of the illegal blockade of the site access road. Of the 35 persons, about 25% were unknown to the Company, the rest were local citizens. These individuals told the ELG staff, that if they did not leave by Tuesday, November 7th, then they would be forcibly removed from site. The staff have been evacuated from the site and the off-site accommodation facilities are in the process of being evacuated. The Company has requested to the appropriate authorities that they take action to restore law and order.
Vancouver, B.C. MAG Silver Corp. (TSX: MAG) (NYSE American: MAG) (“MAG”) announces that an investor conference call with President and CEO, George Paspalas and management, will be held November 7, 2017 at 4:30 pm Eastern time (1:30 pm Pacific time). Mr. Paspalas will present results of the new, MAG commissioned, independent National Instrument 43-101 Technical Report encompassing a new Mineral Resource Estimate and Preliminary Economic Assessment (see Press Release November 7, 2017) for development of the stand-alone Juanicipio Joint Venture Project. A question and answer period will follow the presentation.
To participate, please dial: Canada/USA toll-free (800) 319-4610 or International toll-free (604) 638-5340 and request join to the “MAG Silver Conference Call”. Participants please dial in five to 10 minutes prior to the scheduled start time.
TORONTO, Ontario, November 6, 2017 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX:TXG) announced that during the afternoon of Friday, November 03, a group of approximately 20 local unionized workers illegally blockaded the main gate to the ELG mine, demanding a change in labour union. This action came after a meeting held earlier in the day where the Company explained to these workers that the Company did not have the authority to enact such a change. It could only be accomplished through a government sanctioned process that considered the intentions of the majority of unionized employees. The illegal blockade has continued since then, in a peaceful manner, and no unionized workers remain on site. Without a workforce, the Company shutdown the processing plant in an orderly manner. During the stoppage, there will be a focus on maintaining environmental protections.
GOLDEN, CO, October 25, 2017 (GLOBE NEWSWIRE) ‐‐ Golden Minerals Company (“Golden Minerals”, “Golden” or “the Company”) (NYSE American and TSX: AUMN) has released results of high‐grade silver intercepts from the first six holes of a drilling program conducted at its Santa Maria property located in Santa Barbara, Chihuahua State, Mexico.
Warren Rehn, President and CEO of Golden Minerals, comments, “The results from Santa Maria show the continuation of the mineralized veins and provide initial support for our goal of doubling the size of the existing resource. Santa Maria appears to be an excellent opportunity for Golden to establish near‐term new silver production in the Parral area at a very low capital cost. We are executing our exploration programs efficiently while retaining a healthy cash balance and without the need for additional financing.”
Minera Alamos Inc. (TSXV:MAI, OTCQB:VGMTF) (the “Company” or “Minera Alamos“) is pleased to announce it has entered into an option agreement dated October 23, 2017 (the “Agreement”) with Vista Gold Corp. (“Vista Gold”) to acquire all of the issued shares (the “Shares”) of Vista Gold’s subsidiary Minera Gold Stake S.A. de C.V. which owns the Guadalupe de Los Reyes Project (“Guadalupe” or the “Project”). Guadalupe is a gold-silver project located in the Sierra Madre Range in Sinaloa, Mexico and approximately 3 hours from the Company’s base of operations in Culiacan. It is one of the most significant historic gold producers in this region of Mexico and contains a near surface gold resource consisting of 380,100 Indicated ounces (6.8 MM tonnes @ 1.73 g/t Au) with an additional 155,200 Inferred ounces (3.2 MM tonnes @ 1.49 g/t Au)*, in addition to significant exploration potential from previously identified mineralized structures that remain undrilled. Minera Alamos’ immediate goal is to utilize its extensive in-house technical expertise to evaluate the potential for the project to be developed as a low capital heap leaching operation.
- Acquisition of second high quality advanced stage gold development project: Acquisition leverages Company’s new strategic alliance with Osisko Gold Royalties Ltd. and management’s extensive expertise with the development and operation of low capex heap leach projects in Mexico.
- Project is ideal complement to Company’s flagship La Fortuna gold project: Addition of Guadalupe project almost triples the Company’s current base of gold resources and is ideally located to be advanced in tandem as the Company’s second potential production asset.
- Acquisition cost of approximately US$ 15/oz (gold): Based on the Guadalupe resource totals as presently estimated.
- Large prospective land package: Over 6000 hectares of contiguous land holdings surrounding the historic Guadalupe de los Reyes mine. Large regional system of epithermal mineralized structures with at least eight zones of mineralization mapped and sampled at surface, only four of which have been partially drilled.
TORONTO, Ontario, October 17, 2017 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX:TXG) is pleased to announce the initiation of its in-fill drilling program at its Media Luna development project in Southwest Mexico. The purpose of this program is to upgrade, to the Indicated confidence level, 25% of the current inferred Media Luna resource of 7.4 million Au Eq. ounces (51.5Mt @ 4.48g/t Au Eq.). The program plan contains 175 holes, averaging 600 meters in depth, for a total of 105,000 meters of drilling. The budgeted cost for the program is US$15M, and the 175 holes are scheduled for completion by the end of 2018. Subsequent to the completion of the program, a Measured and Indicated resource estimate will be prepared, and this will form the basis for a Media Luna feasibility study, which is scheduled for completion in the second half of 2019.
Fred Stanford, President & CEO of Torex stated: “The start of this in-fill drilling program is a big step in advancing the development of the Media Luna deposit. That development process will be aided by the increased geological understanding and confidence that comes from the drilling program. It will also be potentially enhanced by the optimization of the Media Luna production and service processes, that have been developed by internal teams, while we waited for the financial flexibility to proceed with in-fill drilling. An updated preliminary economic assessment (“PEA”), scheduled for late in Q1, 2018, is expected to illustrate the commercial advantages of the proposed optimized processes. Internal and external study teams are also focusing on design elements that are expected to expedite the permitting process. Pending success of future technical studies, the potential timeline contemplates beginning construction of the Media Luna mine in early 2020, is expected to be financed from internal cash flow, and gold production is expected to begin in early 2022.”
TORONTO, Ontario, October 10, 2017 – Torex Gold Resources Inc. (the “Company” or “Torex”) (TSX:TXG) is pleased to announce that its wholly owned subsidiary, Minera Media Luna S.A. de C.V., (“MML”) has signed a long term, common land, lease agreement with the Puente Sur Balsas Ejido for the use of the land required for the exploration, construction, and mining of minerals at its Media Luna Gold Project in Southwest Mexico. The agreement can be revoked at the company’s discretion, with one year’s notice. The agreement satisfies the land access requirement that is a pre-condition to entering the regulatory process to obtain permits for the potential development and operation of a future Media Luna mine.
Fred Stanford, President & CEO of Torex stated: “The signing of this 25-year land lease agreement achieves another important milestone along the path to the development of the Media Luna project. I commend the Ejido members and our community relations team for conducting productive negotiations that quickly delivered a mutually beneficial outcome. Now we can all look forward to the next stages of project development, and the tremendous potential this project offers to create value.”
Levon Resources Ltd. (“Levon” or “the Company”) (TSX Symbol: LVN; OTCQX: LVNVF) Levon is pleased to announce results of the 2017 core drill program (news release of May 15, 2017) at the Cordero Ag, Zn, Pb, Au discovery, 35 km north of Hidalgo Del Parral, Chihuahua, Mexico. Complete hole assays have been returned. The drill results are conformable with the grid drilling results of the 2014 Cordero resource (the “Resource”) (news release of May 15, 2017) and extend a Au (gold) enriched sulphide zone in a northern part of the Resource (Figures 1 and 2).
The Company completed a total of 5,655 m of core in 18 infill core holes within the central part of the Resource (Figure 1), aimed at better definition and exploration for improved grades. We have learned that a gold enriched sulphide zone forms a key part of the Resource and extends from the Pozo de Plata Diatreme into the Cordero Felsic Dome toward the higher grade Aida feeder zone identified in past drilling (news release of April 30, 2014).
The 2017 drill holes also tested the youngest rhyolite intrusives within the composite Dome complex to the south, which also returned significant by-product gold results.
The ongoing Resource starter pit studies by independent Mining Consultants (IMC) of Tucson in collaboration with M3 indicate by-product gold within the starter pits has a significant impact on pit shapes, modeled production scheduling and projected starter pit economics.
Golden, Colorado ‐ (GLOBE NEWSWIRE) ‐ September 7, 2017 – Golden Minerals Company (NYSE American and TSX: AUMN) (“Golden Minerals”, “Golden” or “the Company”) is pleased to announce the start of a new drill program at its Santa Maria silver and gold project located near Santa Barbara in Chihuahua State, Mexico.
The drill program targets extensions of the vein deposit described in the previous Preliminary Economic Assessment (“PEA”) and resource update reported March 30, 2017.
Drilling commenced August 25, 2017. Two holes have been completed to date, SM17‐01 and SM17‐15, both with visible mineralized intercepts. These two holes bracket the western and eastern limits of the strike extent of the vein currently being tested. Assay results are pending and initial results are expected to be available early in the fourth quarter 2017.