By Jorge Cirett

During the 11^thweek of the year (March 11^th to March 17^th, 2024), companies working in Mexico posted at least 26 press releases. Three companies reported on exploration at its properties while three more released results for the last quarter/full-year. Four companies announced financing rounds for a total of C$7.8 M, one is delisting from one Stock Exchange and listing in another one, another is extending its warrants expiry date and one more is granting stock options. One company informed on work at its advanced property. One company obtained a hard-sought community authorization for exploration activities, while one other is stopping activities in Mexico. A company announced an appointment to the board and one more the optioning of a property. One company is to process third-party material at its mill, one is cancelling an option and its related financing round and one more is updating on its legal action against the Mexican government. ON MEXICO ISSUES, a couple of judicial resolutions set the application of the new mining law on hold. The anti-mining stance by the federal government is bearing fruit, pushing mining investment out of the country. ON EXPLORATION, in Sonora, Colibri Resource updated on work at its EP project. In Chihuahua, Kootenay Silver is to drill at Columba. In Durango, Silver Dollar is re-evaluating the Nora project. ON FINANCING, three companies informed on the opening or closing of financing rounds: Regency Silver (C$250 K), Reyna Silver (C$3.2 M), Defiance Silver (C$2.6 M) Guanajuato Silver granted options to directors, management and consultants. Pantera Silver is to extend the expiry date of warrants. Almaden Minerals is to change its listing stock exchange. ON RESOURCES AND DEVELOPMENT, Atacama Copper started drilling at Cristina, in Chihuahua, focusing on high-grade resources. ON DEALS AND CORPORATE ISSUES, USAntimony is closing operations in Mexico. Vortex Metal obtained community exploration approbation. Sonoro Gold announced an appointment to the board. Riverside Resources and Fortuna Silver signed an option agreement on the Cecilia project, in Sonora. CMC Metals dropped the option on the Gavilanes project and the concurrent financing round on lack of exploration permit. Guanajuato Silver Company signed a new third-party processing agreement. Almaden Minerals and Almadex Minerals updated on its request for consultation under the CPTPP. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

According to the newspaper La Jornada a judge upheld a partial suspension on the reforms to the mining law, specifically on the article that disposes all mining concession applications not yet titled. First Majestic Silver promoted the appeal on grounds of unconstitutionality.
The Poder Judicial Federal suspended multiple parts of the reform to the Mining Law of last May 2023, as these are likely unconstitutional. By Mid-April the Supreme Court has to discuss if the reforms are invalidated because of violations to the legislative process, although the project on the Mining Law still has to be included on the minute. Some points addressed in the reform include the reduction from 50 to 30 years of duration of the concession, auctioning of mining concessions, community consultation and retribution and water use limitations among others.
The Mexican government mining policies are bearing fruit. The Mining Law changes of last year (likely to be soon rejected by the Supreme Court), the reluctance by the environmental agency (SEMARNAT) to reauthorize mining permits, the lack of permits for open pit mining, the unwillingness to end illegal blockades and the general anti-mining stance of the current federal government are working as expected, deterring mining investment and pushing the more disadvantaged players, junior foreign companies, out of the country. Just this week USAntimony is closing operations in Mexico, CMC Metals is bailing out of a deal to option a property because of SEMARNAT’s failure to extend an exploration permit and Almaden Minerals informed on the international proceedings regarding its Ixtaca project in Puebla. Those companies are adding to the likes of Fortune Silver, Argonaut Gold, Riverside Resources and Golden Minerals, among others, that have made public during this quarter their reassessment of continuing operations in Mexico or have current arbitration cases, like Silver Bull Resources on its Sierra Mojada project in Coahuila. How much this scenery is to change depends on when/if the Mining Law changes are repealed and the open pit mining ban scraped.

ON EXPLORATION

Silver Dollar Resources Inc. commenced its re-evaluation of the Nora property in Durango during last February, with the collection of 72 surface samples on the East, West and South anomalies, as well as from the main Candy structure. Rock samples on the Candy structure attempt to replicate the results from the previous operator, and will be reported when received.
Colibri Resource Corp. updated on exploration activities at its EP Gold project in Sonora. Work includes an airborne magnetic survey covering 1,385 ha at a height of 35 m and a 50 m spacing between flight lines. Similar equipment and survey parameters with previous surveys allowed for the combination of the datasets. Geological mapping completed on selected areas with 64 rock samples collected as well as 23 rocks for thin section petrography. Interpretation of geological, geochemical and geophysical surveys highlighted the importance of north-northeast trending structures, and the recognition of easterly trending ones. Colibri has identified 14 target areas, prioritizing four of these for drilling.
Kootenay Silver Inc. announced the initiation of the Q1 diamond drill program at Columba, in Chihuahua. The program envisages 15 to 17 holes for 5,000 m designed to expand upon previous intercepts along the D-Vein target. “The current drilling program is designed to extend the D-Vein in preparation of a follow up program of likely 15,000 meters, aimed to delineate a maiden resource expected in late 2024 which is dependent on additional drilling beyond the 5000 meter program and the financing it requires.”

ON MINING

Endeavour Silver Corp. announced financial and operating results for Q4 and full-year 2023. During the year the company produced 5.7 M Oz Ag, 37,858 Oz Au, or 8.7 M Oz AgEq, for a total revenue of $205 M, $37 M in operating cash flow before working capital changes and net income of $6.1 M. Consolidated cash cost net of by-product credits was $13.49 per Oz Ag, and an AISC of $22.93 per Oz Ag, impacted by higher costs. During the year Bolañitos in Guanajuato processed 441 K tonnes to produce 537.5 K Oz Ag, while Guanaceví in Durango processed 433.4 K tonnes to produce 5.09 M Oz Ag. Construction of the Terronera mine in Jalisco continues on schedule. Cash position of $35.3 M and $42.5 M in working capital.
SilverCrest Metals Inc. released financial results for Q4 and year 2023. During the year Las Chispas mine in Sonora mined 300.9 K tonnes, processed 431.4 K tonnes at a rate of 877 tpd, with ore averaging 4.39 gpt Au, 423 gpt Ag (or 771 gpt AgEq), recovering 98.1% Au, 96.5% Ag, to produce 59,700 Oz Au, 5.65 M Oz Ag (or 10.4 M Oz AgEq) at cash cost $7.73 per Oz AgEq. In 2023 the company completed 13.2 km of horizontal and vertical underground development. During the year SilverCrest generated $116.7 M in net earnings and free cash flow was $121.1 M, holding cash and cash equivalents of $86 M by the end of the year.
Gold Resource Corp. announced full-year operational results from its Don David Gold Mine in Oaxaca. During Q4 2023 the mine milled 111.2 K tonnes @ 1.44 gpt Au, 85 gpt Ag, 0.39% Cu, 1.39% Pb, 2.95% Zn to produce 4,077 Oz Au, 282.5 K Oz Ag, 341 Cu tonnes, 1,072 Pb tonnes, 2,884 Zn tonnes in the quarter, adding up to 18,534 Oz Au, 1.04 M Oz Ag (31,085 Oz AuEq). For 2024 the guidance is to produce 13,000 to 15,000 Oz Au, 1.25 to 1.4 M Oz Ag, (29,500 to 31,500 Oz AuEq) at cash cost $1,450 to $1,650 per Oz AuEq. Negotiations during Q4 2023 reduced royalties from 5% to 3% on the La Tehuana, El Aguila, and Mina El Aire mining concessions.

ON FINANCING

Regency Silver Corp. closed further $253 K of a previously announced non-brokered placement of $800 K. The company also granted stock options to acquire 1.7 M of common shares to directors, officers, employees and consultants (Dios Padre, Sonora).
Pantera Silvera Corp. applied to extend the expiry date of 11.8 M share purchase warrants to March 11, 2025 (Nuevo Taxco, Guerrero).
Reyna Silver Corp. increased the size of its non-brokered listed issuer financing exemption (“LIFE”) announced on Feb 14, 2024, and its previously announced concurrent non-brokered private placement. The amended LIFE offering is to raise up to $3.2 M (Guigui, Chihuahua).
Almaden Minerals Ltd. informed that because of the low price of its share (due to the dispute with the Mexican government. – See below) the company will voluntarily delist from the NYSE and parallelly seek a listing on the OTCQB Marketplace (Ixtaca, Puebla).
Defiance Silver Corp. closed the final tranche of its previously announced non-brokered private placement for aggregate gross proceeds of C$2.6 M. Windermere Capital Fund SPC – Breakaway Strategic Resource SP, an insider of the company purchased C$1.2 M in shares, taking its ownership to a total of 41.5 M common shares and 3.05 M warrants. (Zacatecas, Zacatecas).
Guanajuato Silver Company Ltd. granted stock options and restricted share units to select officers, directors, employees and consultants (El Cubo, Guanajuato).
Sierra Madre Gold and Silver Ltd. upsized and closed its previously announced non-brokered private placement financing raising total gross proceeds of $1 M (La Guitarra, Estado de Mexico).

ON RESOURCES AND DEVELOPMENT

Atacama Copper Corp. started a 10,000 m diamond drilling campaign at its Cristina project in Chihuahua. “The Cristina project consists of multiple outcropping quartz veins that are frequently greater than 10 metre in width and extend for a currently known strike length of up to five kilometres. At least four parallel mineralized vein zones have been mapped and sampled to date”. Epithermal to mesothermal mineralization is known to occur over 1,100 m of vertical range, hosted by andesitic volcanic rocks of the Lower Volcanic Group and locally covered by Upper Volcanic Group rhyolitic rocks. Current open pit constrained resources are centered on the Guadalupe vein, comprising 752 K Oz AuEq in indicated resources and 777 K Oz AuEq in inferred resources. Atacama is trying to define an underground higher-grade resource.

ON DEALS AND CORPORATE ISSUES

United States Antimony Corp. announced plans to discontinue all Latin America operational activities and close its US Antimony Mexico, S.A. de C.V. (USAMSA) subsidiary, terminating the majority of its employees on March 11, 2024, immediately. “The Company intends to possibly sell or lease its USAMSA entity, operations, or assets over the next year and has initiated an active search for buyers or leasing opportunities of its operations and/or existing assets.” United States Antimony will continue to hold its existing Los Juarez mining claims in Queretaro. The reasons stated to close include high operating costs, new stringent Mexican mining laws, safety concerns, and the inability to collect back taxes from the Mexican government.
Vortex Metals Inc. announced the authorization by the Santiago Astata Agrarian Community to Vortex to carry on mineral exploration activities, including drilling, at its Zaachila project in Oaxaca. “Furthermore, the company has committed to forming an environmental monitoring committee with active community participation to oversee the activities and ensure environmental protection throughout the exploration program”.
Sonoro Gold Corp. appointed Katherine Reagan to the board of directors, in addition to her position of vice president of corporate development and corporate secretary (Cerro Caliche, Sonora).
Riverside Resources Inc. signed an option agreement with Fortuna Silver on Riverside’s Cecilia project in Sonora. The option term agreement envisages 5 years to earn 51% by spending US3.75 M, delivery of $150 K in cash payments and at least $500 K spent on work in the first year. Fortuna paid Riverside the initial $25 K on signing, and is to pay $25 K on filing of the agreement in Mexico, and further $25 K per year, with Riverside acting as operator charging a 10% management fee on top of work spending. Upon earning 51%, Fortuna may earn 80% by spending an additional $2.25 M in work over 3 years. After earning 80%, Fortuna might elect within 120 days to pay Riverside $5 M cash and grant Riverside a 2% NSR where 1% NSR may be purchased for $3 M, with Fortuna earning 100% in the project. The low sulfidation Au-Ag epithermal mineralization is associated to at least two nested dome complexes in sedimentary rocks.
CMC Metals Ltd. announced the cancellation of the $1.2 M private placement previously announced due to the failure, of the property owner of the Ag-Au Gavilanes project in Durango, to achieve an extension of the exploration permit with SEMARNAT (Mexico’s environmental Agency). “CMC has subsequently served notice of its intent to terminate the agreement with Sailfish Royalty Corp. to acquire the Gavilanes project but remains interested in securing exclusivity rights until October 2024.” The company intends to focus on its flagship Silverknife property in British Columbia.
Guanajuato Silver Company Ltd. announced the signing of a new third-party processing agreement with REM Marfil S.A. de C.V., a local Guanajuato based company. Under the agreement mineralized material from the past producing La Providencia mine is to be processed at the El Cubo and Cata processing facilities in Guanajuato. “The Agreement covers the processing of an initial 80,000 dry metric tonnes of mineralized material with a minimum head grade of 0.43 grams per tonne gold and 192 grams per tonne silver.”
Almaden Minerals Ltd. and Almadex Minerals Ltd. updated on its Request for Consultation delivered to the Mexican government in December 2023 according to the Comprehensive and Progressive Agreement of for Trans-Pacific Partnership (CPTPP). The Mexican government acknowledged receipt but never proposed dates for a consultation meeting. On March 14, 2024, Almaden delivered to Mexico written notice of its intention to submit a claim to arbitration under the CPTPP. “The damages relating to the Almaden and Almadex Claim will be for no less than US$200 million, in the aggregate. The Notice enables the Company to initiate arbitration should an amicable resolution of the dispute with the Mexican government not be reached.”

ON SOCIAL RESPONSIBILITY

No Relevant News.

On the image below: Specularite-quartz matrix breccia in a project in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the First Week of March, 2024

March 10, 2024 / gambusinoprospectormexico / Leave a comment

Quartz-barite-specularite vein

By Miguel A Heredia

During the 10^thweek of the year (March 4^thto March 10^th, 2024), at least 24 press releases were announced by companies working in Mexico, with eight disclosing deals and corporate issues, five communicating production results, four announcing financing issues, four informing on exploration results, and three reporting resources and developments of their projects. ON MEXICO ISSUES, no relevant news. ON EXPLORATION, In Sonora, Tocvan reported surface exploration results from areas located over 6km north of the El Pilar Main Zone at its Pilar project, and Aztec reported final results from the 2023 RC drilling from its Cervantes project. In Chihuahua, Radius secured funding to commence drilling at the Plata Verde project. In Durango, Centenario Gold announced results from the first drill program on its Eden project. ON MINING, SilverCrest announced that it will file its audited annual financial statement and management discussion and analysis for the fiscal year ended December 31, 2023 on March 11th, 2024 (Las Chispas mine, Sonora). Argonaut reported Q3 and year-end 2023 production and financial results from their Mexican operations. Fortuna released Q3 and end-year production results from its San Jose mine in Oaxaca. Luca Mining reported production results from its Tahuehueto, Durango and provided an update on its Campo Morado, Guerrero mine operation. MAG Silver reported a preliminary 2024 Juanicipio, Zacatecas guidance. ON FINANCING, Capitan Silver announced that it intends to rise CAD $1.5M by way of a non-brokered private placement (Cruz de Plata project, Durango). Infinitum Copper announced a private placement (amended later on) for gross proceeds of up to CAD $450K (Adelita project, Sonora). Reyna Silver increased the size of its non-brokered private placement and announced the second closing of the life offering and the first closing of the concurrent private placement (Guigui and Batopilas projects, Chihuahua). ON RESOURCES AND DEVELOPMENT, Tocvan reported that a RC drilling is to commence at its Pilar project in Sonora. Kootenay filed a NI 43-101 Technical Report on its La Cigarra project, Chihuahua. GR Silver provided an operational update and announced the start of a small bulk sampling and test mining at its Plomosas project in Sinaloa. ON DEALS AND CORPORATE ISSUES, US Antimony announced executive management changes. Golden Minerals announced that one member of its Board of Director has passed away (Velardeña property, Durango). Sierra Metals announced the appointment of its Vice President, Health, & Safety, effective March 1, 2024 (Bolivar mine, Chihuahua). Pan American announced that the Toronto Stock Exchange (TSX) accepted its intention to purchase up to 5% of Pan American´s issued and outstanding shares (La Colorada, Zacatecas-Durango). Goldgroup reported a contractor fatality at its Cerro Prieto mine in Sonora. Kootenay granted stock options to officers, directors, employees, and consultants (Columba project, Chihuahua). Defiance Silver confirmed ownership of the Tepal project in Michoacan. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

No relevant news.

ON EXPLORATION

Tocvan Ventures Corp., reported surface exploration results from areas located over 6km north of Pilar´s Main Zone within its Pilar project in Sonora. Sampling returned very high-grade silver with gold values.. Two samples yielded 1,225 g/t Ag with 3.2 g/t Au and 744 g/t Ag with 0.2 g/t Au from sample material next to historical artisanal workings. One of the samples also show higher polymetallic association returning 0.42% Cu, 3.4% Zn, and over 20% Pb (assay over limit was reached).
Aztec Minerals Corp., reported final results from the 2023 RC drilling from its Cervantes project. The RC drilling program consisted of 1,646m in 13 holes testing the California porphyry gold target. All drill holes intersected oxidized Au mineralization; the California target continues to be open; the California target now has an area of 1,000m by 300m drill demonstrated; and the California target was found to continue on strike to the east at least another 400m. The multi-element ICP results show good, positive relationships between Au, Cu, Bi, Ag, As, W and K (potassic alteration), negative relationships with Mo, Sb and Ca. The multi-element grades support the potential for an Au-Cu porphyry deposit at depth.
Radius Gold Inc., secured funding to commence drilling at the Plata Verde project in Chihuahua, Mexico, through an option agreement with Minera San Julian and Geometales del Norte-Geonorte. The initial investment for mobilizing drilling and field teams is USD $250K, with additional funding to follow as approved by technical committee. The project has shown significant silver mineralization and historical production potential. Minera San Julian aims to spend a minimum of USD $4,762,000 over four years on exploration activities at Plata Verde and has the right to earn a 70% interest in the project.
Centenario Gold Corp., announced results from the first drill program on its Eden project in Durango. The company completed 1,506m in 11 core holes “testing the strike and downdip extensions of the mineralized structure along a section of the ‘Buenavista’ corridor”. All holes intersected the ‘Buenavista’ vein-breccia structure at depths ranging between 50 to 110 m. Assay results have been received on 9 of the 11 holes. Assays are pending for holes ED24-09 and ED24-11 and will be released when received.

ON MINING

SilverCrest Metals Inc., announced that it will file its audited annual financial statement and management discussion and analysis for the fiscal year ended December 31, 2023 on March 11th, 2024 (Las Chispas mine, Sonora).
Argonaut Gold Inc., reported Q3 and year-end 2023 production and financial results from their Mexican operations (all dollar amounts are expressed in USD). In Q3, 2023, the company sold at La Colorada, Sonora, 7,967 Oz Au; reported cost of sales for $13,998,000; a cost of sales per Oz Au sold of $1,757; production costs of $10,353,000; a cash cost of $10,066,000; a cash cost per Oz Au sold of $1,263; and all in sustaining cost (AISC) of $1,316. For the year-end, it sold 25,957 Oz Au; reported cost of sales for $48,556,000; a cost of sales per Oz Au sold of $1,871; production costs of $39,057,000; a cash cost of $38,065,000; a cash cost per Oz Au sold of $1,466; and AISC of $1,532. At San Agustin, Durango, the company sold in Q3, 2023 9,556 Oz Au; reported cost of sales for $17,624,000; a cost of sales per Oz Au sold of $1,844; production costs of $16,000,000; a cash cost of $15,249,000; a cash cost per Oz Au sold of $1,596; and AISC of $1,631. For the year-end, it sold 44,148 Oz Au; reported cost of sales for $81,324,000; a cost of sales per Oz Au sold of $1,842; production costs of $71,263,000; a cash cost of $66,867,000; a cash cost per Oz Au sold of $1,515; and AISC of $1,552. At El Castillo, Durango, the company sold in Q3, 2023 4,353 Oz Au; reported cost of sales for $6,362,000; a cost of sales per Oz Au sold of $1,462; production costs of $6,009,000; a cash cost of $5,972,000; a cash cost per Oz Au sold of $1,372; and AISC of $1,402. For the year-end, it sold 21,325 Oz Au; reported cost of sales for $36,005,000; a cost of sales per Oz Au sold of $1,688; production costs of $32,252,000; a cash cost of $31,837,000; a cash cost per Oz Au sold of $1,493; and AISC of $1,518.
Fortuna Silver Mines Inc., released Q3 and end-year production results from its San Jose mine in Oaxaca. In Q3, 2023, the company milled 241,035 tonnes of 145 g/t Ag and 0.91 g/t Au with metallurgical recoveries of 91% and 90% respectively, to produce 1,023,325 Oz Ag and 6,345 Oz Au of which sold 1,040,888 Oz Ag and 6,046 Oz Au at an average realized price of USD $23.35 per Oz Ag and USD $1,983 per Oz Au. Fortuna reported a production cash and AISC of USD $17.57 and USD $21.98 per Oz AgEq respectively. In the full year 2023, the company milled 930,200 tonnes of 171 g/t Ag and 1.06 g/t Au with metallurgical recoveries of 91% and 90% respectively, to produce 4,656,631 Oz Ag and 28,559 Oz Au of which sold 4,659,611 Oz Ag and 28,524 Oz Au at an average realized price of USD $23.36 per Oz Ag and USD $1,942 per Oz Au. Fortuna reported a production cash and AISC of USD $14.40 and USD $19.40 per Oz AgEq respectively.
Luca Mining Corp. reported production results from its Tahuehueto, Durango and provided an update on its Campo Morado, Guerrero mine operation. At Tahuehueto, Durango, the mine achieved a new daily production record of 655 tonnes last week. The mine plan calls for the ramp-up to an approximate 1,000 tonne per day operation during 2H 2024 which is rapidly being achieved. At Campo Morado, Guerrero, “the optimization program has to date developed fundamental improvements in productivity, operational efficiency and cashflow. Key features of the program include effective mine-to-mill planning, new procedures for ore blending, increased metallurgical test work, optimized grinding and reagent dosing for improved recoveries, and phased equipment upgrades for mine and mill”.
MAG Silver Corp., reported a preliminary 2024 Juanicipio, Zacatecas guidance. MAG Silver reported preliminary guidance for the production potential of the high-grade Juanicipio Mine jointly owned by Fresnillo and MAG. The silver head grade is expected to range between 380 g/t and 420 g/t for 2024, with the plant anticipated to operate at nameplate capacity per operating day with an effective utilization of 91%. MAG remains on schedule to publish its updated technical report by the end of Q1 2024, providing more definitive guidance and solidifying the outlook for the Juanicipio Mine.

ON FINANCING

Capitan Silver Corp., announced that it intends to rise CAD $1.5M by way of a non-brokered private placement of 10M common shares at a price of CAD $0.15 per share. Gross proceeds will be used to advance Cruz de Plata project in Durango, to evaluate potential acquisitions, as well as to fund working capital and general corporate expenses.
Infinitum Copper Corp., announced a private placement (amended later on) for gross proceeds of up to CAD $450K through the issue of up to 22.5M units of the company at a price of CAD $0.02 per unit. Each unit will be comprised of one common share of the company and one common share purchase warrant. Net proceeds will be used for the establishment of mining operations at La Adelita project in Sonora, and for general corporate purposes.
Reyna Silver Corp., increased the size of its non-brokered private placement from $2.5M to $2.9M, and announced the second closing of the listed issuer financing exemption (LIFE) offering of 8,240,666 units for gross proceeds of approximately $988,880, and the first closing of the concurrent private placement of 12,401,610 units for gross proceeds of approximately 1,488,193. The company plans to use part of the net proceeds for the exploration of Guigui and Batopilas projects, Chihuahua.

ON RESOURCES AND DEVELOPMENT

Tocvan Ventures Corp., reported that a RC drilling is to commence at its Pilar project in Sonora for resource definition and expansion, as well as evaluation of new discoveries and targets. “The initial focus will be on infill and step-out targeting within and adjacent to the Pilar Main Zone including where previous drill campaigns successfully discovered the southern extension of the Main Zone, returning 108.6 meters of 0.8 g/t Au, including 9.4 meters of 7.6 g/t Au and 5 g/t Ag”.
Kootenay Silver Inc., filed a NI 43-101 Technical Report titled “Mineral Resource Estimate Update for the La Cigarra Ag-Pb-Zn Project, Chihuahua State, Mexico” with an effective date of November 29, 2023.
GR Silver Mining Ltd., provided an operational update and announced the start of a small bulk sampling and test mining at its Plomosas project in Sinaloa. GR Silver Mining has entered commercial agreements with private local operators to explore opportunities related to the Plomosas Project. The company has started the Bulk Sampling Test Mining (BSTM) program for future use in engineering and metallurgical reports at the San Juan and La Colorada sites, which has the potential to unveil valuable geological information related to high-grade modeling & targeting, grade reconciliation, and mineral deposit modeling to define new drill targets in the vicinities of the existing historical mines. The BSTM program will allow low-cost preparation of sites for future drilling, aiming to continue resource expansion in the project.

ON DEALS AND CORPORATE ISSUES

US Antimony Corporation announced executive management changes. Its previous CEO was appointed as President of the Company’s Antimony Division after relinquished his title as a CEO of US Antimony Corporation (Los Juarez project, Queretaro).
Golden Minerals Company announced that one member of its Board of Director has passed away (Velardeña property, Durango).
Sierra Metals Inc., announced the appointment of its Vice President, Health, & Safety, effective March 1, 2024 (Bolivar mine, Chihuahua).
Pan American Silver Corp., has announced a normal course issuer bid to purchase up to 5% of its issued and outstanding shares starting on March 6, 2024. The purchases will be made on the open market through various trading platforms. The company believes that its shares may not fully reflect its underlying value, making them an attractive investment. The bid will be funded from the company’s working capital, and purchases will be made at market prices. Pan American has established an automatic securities purchase plan to facilitate share repurchases. (La Colorada, Zacatecas-Durango).
Goldgroup Mining Inc., reported a contractor fatality at its Cerro Prieto mine in Sonora. Relevant regulatory authorities were notified and attended the site to investigate.
Kootenay Silver Inc., granted stock options to officers, directors, employees, and consultants to purchase up to an aggregate of 1,310,000 million shares and issued restricted share and deferred units totalling 905,000 common shares. The stock options have been granted at a price of $0.90 per common share for a period of five years.
Defiance Silver Corp., confirmed ownership of the Tepal project in Michoacan. The Mexican Court restored the Company’s rightful ownership to the mining concessions forming part of the Tepal project. As a result, the judgement is now fully enforceable, and Geologix Explorations Mexico, S.V de C.A, a subsidiary of the Company, is now confirmed as the legitimate and rightful owner of the concessions.

ON SOCIAL RESPONSIBILITY

No relevant news.

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

On the picture above, a quartz-barite-specularite vein on a project of the Sonoran Desert. Photo taken by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of February, 2024

February 25, 2024 / gambusinoprospectormexico / Leave a comment

Rhyolite dike showing flow banded texture

By Miguel A Heredia

During the 8^thweek of the year (February 19^thto February 25^th, 2024), at least 29 press releases were announced by companies working in Mexico, with ten communicating production results, eight reporting resources and developments of their projects, five disclosing deals and corporate issues, four announcing financing issues, one commenting on Mexican issues, and one informing on exploration results. ON MEXICO ISSUES, Orla Mining, Silver Storm, and Prismo Metals reported the best drilling intercepts in Mexico on the fourth week of February, 2024. ON EXPLORATION, In Sonora, Prismo provided an exploration update on its Pavitos project. ON MINING, Aura reported Q4 and year-end 2023 production and financial results from its Aranzazu mine in Zacatecas, and provided guidance for 2024. Gatos Silver announced Q4 and year-end 2023 production and financial results from its Cerro Los Gatos mine, Chihuahua, and provided 2024 guidance. Capstone released Q4, 2023 production results from its Cozamin mine, Zacatecas. Alamos Gold announced Q4 and year-end 2023 production and financial results from its Mulatos mine, Sonora. Coeur reported Q4 and year-end 2023 production and financial results from its Palmarejo mine in Chihuahua. Equinox provided 2024 production guidance for its Los Filos mine, Guerrero. Minera Alamos announced 2024 operational outlook for its Santana mine in Sonora. Torex reported Q4 and year-end 2023 production results from its El Limon-Guajes Mine Complex, Guerrero. First Majestic announced Q3 and year-end production and financial results from their Mexican operations. SilverCrest provided 2024 production guidance for its Las Chispas mine, Sonora. ON FINANCING, Kootenay closed the final tranche of its previously announced non-brokered private placement for gross proceeds of $237.5K to complete a total aggregate gross proceeds of $3.7M (Columba project, Chihuahua). Oroco announced the closing of a non-brokered private placement for net proceeds of $1M (Santo Tomas project, Sinaloa). Sonoran Dessert declared that in response to the continuing weakness in the junior resource sector, the company will be reducing the price and increasing the amount of its private placement financing. Vizsla announced $30M bought deal financing (Panuco project, Sinaloa). ON RESOURCES AND DEVELOPMENT, Vizsla filed an independent technical report containing an updated Mineral Resource Estimate on its Panuco project in Sinaloa. Luca reported significant improvements at its Campo Morado mine, Guerrero. Alamos Gold reported Mineral Resources and Reserves at its Mulatos mine operation in Sonora, as of December 31, 2023. Silver Storm released results from three holes drilled at its la Parrilla mine in Durango. Silver Tiger provided an update on the Company’s ongoing Pre-feasibility Study (PFS) drilling program on the Stockwork Gold Deposit on its El Tigre Project in Sonora. Orla discovered new style of mineralization at its Camino Rojo project in Zacatecas and recent drilling extended mineralization beyond the current mineral resource envelope, presenting a considerable opportunity for resource expansion. Prime Mining provided a summary of the 2023 exploration activities and released the final 2023 drilling results for its Los Reyes Gold-Silver Project in Sinaloa. Discovery Silver announced results from the Feasibility Study (FS) on its Cordero project, Chihuahua. ON DEALS AND CORPORATE ISSUES, Trident Royalties Plc, in a joint venture with Sonoroy Holdings Limited, is acquiring a 3.0% Gross Revenue Royalty over the Sonora Lithium Project in Mexico. Bear Creek announced the resignation of its CEO effective March 8, 2024, and later on appointed its successor (Mercedes mine, Sonora). DynaResource announced the resignation of two Directors and appointed two new members to its Board of Directors. The resignations and appointments are effective February 16, 2024 (San Jose de Gracia project, Sinaloa). Tarachi notified that its CEO was elected to the Board of Directors (Magistral Mill & Tailings project, Durango). ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

Orla Mining Ltd., Silver Storm Mining Ltd., and Prismo Metals Inc., reported the best drilling intercepts in Mexico on the fourth week of February, 2024. Details are shown in the table below:

ON EXPLORATION

Prismo Metals Inc., provided an exploration update on its Pavitos project in Sonora. Prismo Metals has reported positive results from its ongoing exploration program at Los Pavitos, a 5,300 ha Project in southern Sonora State, Mexico. The 2023 exploration program included geologic mapping, sampling, and drilling that resulted in identifying 5 structures and positive results from 4 widely-spaced structures. The best results from the drilling were 2.6 g/t Gold over 0.5m and 1.18 g/t Gold over 0.5m at the Las Auras and Oromuri structures. In addition, a new zone with several structures was identified and sampled in the previously unexplored northeastern portion of the project area. Surface sampling along the northeastern projection of the gold and silver-rich Santa Cruz structure yielded high silver assay of 1,130 g/t Ag, with 1.33 g/t Au over 0.15 meters. Based on the exploration results, Los Pavitos gold footprint has grown 2.5 km to the northeast and silver footprint also grew 1 km.

ON MINING

Aura Minerals Inc., reported Q4 and year-end 2023 production and financial results from its Aranzazu mine in Zacatecas, and provided guidance for 2024. In Q4, 2023, the company produced at its Aranzazu mine 26,532 Gold Equivalent Ounces (GEO), for a total of 106,119 GEO. It also provided guidance for 2024 and estimate to produce between 94K-108K GEO at cash and all in sustaining costs of USD $826-1008 and USD $1,089-1,331 per Oz Au produced respectively.
Gatos Silver Inc., announced Q4 and year-end 2023 production and financial results from its Cerro Los Gatos mine, Chihuahua and provided 2024 guidance (the reported currency is USDS $). The company has a 70% interest in the Los Gatos JV. Los Gatos JV (100% basis) milled in Q4, 2023 a total of 277,318 tonnes of 318 g/t Ag, 3.9% Zn, 1.9% Pb, and 0.3 g/t Au to produce 2.6M Oz Ag, 14.6M Lb Zn, 10.2M Lb Pb, and 1.4K Oz Au (3.9M Oz AgEq) at cash and all in sustaining costs of $11.26 and $14.73 per Oz AgEq respectively ($6.02 and $11.12 per Oz Ag). In the 2023 full year, the company milled a total of 1,071,400 tonnes of 299 g/t Ag, 3.9% Zn, 1.8% Pb, and 0.29 g/t Au to produce 9.2M Oz Ag, 57.3M Lb Zn, 38.9M Lb Pb, and 5.3K Oz Au (14.3M Oz AgEq) at cash and all in sustaining costs of $12.11 and $15.51 per Oz AgEq respectively ($6.31 and $11.33 per Oz Ag). Gatos Silver also reported for the period Q4, 2023 revenue of $73.5M; cost of sales of $28M; net income of $24.9M; EBIDTA of $38.6M; cash from operating activities of $38.2M; sustaining capital of $11.7M; and free cash flow of $22.3M. For the 2023 year full it reported revenue of $268.7M; cost of sales of $111.3M; net income of $53.4M; EBIDTA of $135.8M; cash from operating activities of $142M; sustaining capital of $41.6M; and free cash flow of $84.9M. The company expects to produce in 2024 between 8.4-9.2M Oz Ag, 61-69M Lb Zn, 40-46M Lb Pb, and 4.5-5.5K Oz Au (13-5-15M Oz AgEq) at a all in sustaining cost of $9.50-$11.50 per Oz Ag (or $14-$16 per Oz AgEq).
Capstone Copper Corporation released Q4, 2023 production results from its Cozamin mine, Zacatecas. The company processed 6,564 tonnes to produce 14.8M Lb Cu at a cash cost of USD $1.76 per Lb Cu produced. Capstone provided an outlook for 2024 and expects to produced between 49.3-53.8M Lb Cu at cash cost of USD $1.85-USD $2.05 per Lb Cu produced.
Alamos Gold Inc., announced Q4 and year-end 2023 production and financial results from its Mulatos mine, Sonora. During the period Q4, 2023, the company produced 48.1K Oz Au and sold 50,489 Oz Au. Alamos reported cost of sales of USD $68.3M; cost of sales per Oz Au sold (including amortization) of USD $1,353; total cash cost per Oz Au sold of USD $957; mine site all in sustaining cost (AISC) per Oz Au sold of USD $1,030; and a capital expenditure of USD $8.4M. For the year-end 2023, Alamos produced 212,800 Oz Au and sold 215,833 Oz Au. The company reported cost of sales of USD $265.9M; cost of sales per Oz Au sold (including amortization) of USD $1,232; total cash cost per Oz Au sold of USD $883; mine site AISC Oz Au sold of USD $967; and a capital expenditure of USD $30.4M. It also provided its 2024 guidance and expects to produce between 160-170K Oz Au at total and AISC of USD $925-975, and USD $1,000-1,050 per Oz Au sold respectively.
Coeur Mining Inc., reported Q4 and year-end 2023 production and financial results from its Palmarejo mine in Chihuahua. Highlights are provided below:

Equinox Gold Corp., provided 2024 production and cost guidance for its Los Filos mine, Guerrero. The company expects to produce 155K-175K Oz Au at cash costs of USD $1,785- $1,885 per Oz Au and AISC of USD $2,090- $2,190 per Oz Au.
Minera Alamos Inc., announced 2024 operational outlook for its Santana mine in Sonora. The company is looking forward to significant advancements at the Santana gold mine in 2024 after facing challenges in 2023. It plans to expand mining and stacking operations using the current permitted pad space while awaiting permit amendments for future expansion. The company is finalizing plans for the year, including discussions with their mining contractor and permit approvals. Advanced development activities have already begun at the Nicho Main zone to support the new operational plan. Upgrades to equipment and personnel are expected to increase production levels from 2023. “Approximately 20K Oz Au at an average grade of 0.63 g/t and an approximate strip ratio of 1.6:1has now been defined for mining and loading over a 12-month schedule utilizing the current leach pad installed capacity. Included in the current plan are an additional 4,500 Oz of higher grade (~1 g/t) mineralized material. Due to its elevated gold content, this mineralization will be stockpiled initially for future processing pending additional studies to determine an optimal approach for crushing and processing to maximize recoveries”.
Torex Gold Resources inc., reported Q4 and year-end 2023 production results from its El Limon-Guajes Mine Complex, Guerrero (all currency is reported in USD$). In Q4, 2023, the company produced 137,993 Oz Au and sold 138,794 Oz Au at an average realized gold price of $1,995, contributing to revenue of $282.4M. Total cash costs of $885 per Oz Au sold and all-in sustaining costs of $1,073 per Oz Au sold. Cost of sales was $191.6M or $1,380 per Oz Au sold. Torex reported net income of $50.4M, generated an EBITDA and adjusted EBITDA of $115.4M and $142.6M respectively. Net cash generated from operating activities totalled $120M and $133.5M before changes in non-cash operating working capital, including income taxes paid of $12M and negative free cash flow of $24.3M. In the full-year 2023, the company produced 453,778 Oz Au and sold 444,750 Oz Au at an average realized gold price of $1,952, contributing to revenue of $882.6M. Total cash costs of $866 per Oz Au sold and all-in sustaining costs of $1,200 per Oz Au sold. Cost of sales was $600.1M or $1,349 per Oz Au sold. Torex reported net income of $204.4M, generated an EBITDA and adjusted EBITDA of $422.6M and $442.2M respectively. Net cash generated from operating activities totalled $300.8M and $340.8M before changes in non-cash operating working capital, including income taxes paid of $116.2M and negative free cash flow of $185.4M.
First Majestic Silver Corp., announced Q3 and year-end production and financial results from their Mexican operations. Figures by separate mine are provided below:

SilverCrest Metals Inc., provided 2024 production guidance for its Las Chispas mine, Sonora. The company expects to produce between 9.8-10.2M Oz AgEq at cash and AISC of USD $9.5-$10 and USD $15-$15.90 per Oz AgEq sold respectively. Sustaining Capital of USD $40M-$44M will be largely related to underground development and underground infrastructure. An exploration budget within a range of USD $12M-$14M has been approved for 2024 with a focus on converting inferred resources to indicated for reserve consideration in proximity to existing or planned infrastructure, return to early stage exploration at Las Chispas, and regionally define new targets that could benefit mine life extensions.

ON FINANCING

Kootenay Silver Inc., closed the final tranche of its previously announced non-brokered private placement for gross proceeds of $237.5K to complete a total aggregate gross proceeds of $3.7M from the offering. Net proceeds will be used for exploration activities, property commitments on the Company’s projects, working capital and general corporate purposes (Columba project, Chihuahua).
Oroco Resource Corp., announced the closing of a non-brokered private placement for net proceeds of $1M through the sale of 2.57M units at a price of $0.4 per unit. Net proceeds will be used to continue improving various underlying aspects of the Company’s Preliminary Economic Assessment, including those relating to the Santo Tomas mine plan, together with property maintenance and corporate overhead.
Sonoran Dessert Copper Corporation declared that in response to the continuing weakness in the junior resource sector, the Company will be reducing the price and increasing the amount of its private placement financing. Previously, the company was offering up to 2.5M units priced at $0.20, for aggregate gross proceeds of up to $500K. The updated financing will now offer up to 10M units priced at $0.10, for aggregate gross proceeds of up to $1M. Proceeds from the financing will be used for general working capital, the continuing development of the company’s Cuatro Hermanos Copper Project in Sonora, and to evaluate and secure further opportunities in the copper sector.
Vizsla Silver Corp., announced $30M bought deal financing by selling 20M common shares at a price of $1.5 per common share. Net proceeds will be used to advance the exploration, drilling, and development of its Panuco project in Sinaloa, as well as for working capital and general corporate purposes.

ON RESOURCES AND DEVELOPMENT

Vizsla Silver Corp., filed an independent technical report containing an updated Mineral Resource Estimate on its Panuco project in Sinaloa.
Luca Mining Corp., reported significant improvements at its Campo Morado mine, Guerrero. Highlights include significantly improved overall performance in Q4, 2023 compared to previous quarters, yielding increased revenues; plant performance exceeded expectations with operational consistency; and higher metallurgical recoveries and concentrate grades, especially for copper in the bulk concentrate increasing from less than 48% recovery to over 70% recovery. Currently, Campo Morado produces a zinc concentrate, and a bulk copper-lead concentrate.
Alamos Gold Inc., reported Mineral Resources and Reserves as of December 31, 2023 for its Mulatos mine operation. Proven reserves are 1,032,000 of 3.98 g/t Au for a total of 132K Oz Au contained and probable reserves are 15,661,000 tonnes of 2.02 g/t Au for a total of 1.32M Oz Au contained. Proven + Probable reserves are 16,693,000 tonnes of 2.71 g/t Au for a total of $1.45M Oz Au contained. Mineral Resources are exclusive of Mineral Reserves, and the company reported measured resources for 1,333,000 tonnes of 1.76 g/t Au for a total of 76K Oz Au contained and indicated resources for 10,284,000 tonnes of 1.48 g/t Au for a total of 488K Oz Au contained. Measured + Indicated resources are 11,617,000 tonnes of 1.51 g/t Au for a total of 564K Oz Au contained. Inferred resources are 1,651,000 tonnes of 1.07 g/t Au for a total of 57K Oz Au contained.
Silver Storm Mining Ltd., released results from three holes drilled at the Quebradillas mine within its la Parrilla property in Durango. Drilling highlights include holes Q-23-022A with 64 g/t Ag, 0.16 g/t Au, 0.9% Pb, 16.7% Zn, and 0.21% Cu (535 g/t AgEq) over 0.55m, plus 498 g/t Ag, 0.08 g/t Au, 6.5% Pb, 8.5% Zn, and 0.06% Cu (911 g/t AgEq) over 13.65m, including 1,350 g/t Ag, 0.23 g/t Au, 2.1% Pb, 8.4% Zn, and 0.06% Cu (2,361 g/t AgEq) over 2.60m, and 674 g/t Ag, 0.06 g/t Au, 5.4% Pb, 16.2% Zn, and 0.06% Cu (1,266 g/t AgEq) over 2.15m; and hole Q23-023 with 124 g/t Ag, 0.16 g/t Au, 0.6% Pb, 7.2% Zn, and 0.07% Cu (347 g/t AgEq) over 9.65m, including 136 g/t Ag, 0.18 g/t Au, 0.4% Pb, 8.7% Zn, and 0.08% Cu (397 g/t AgEq) over 5.3m. “Combined, these two holes have demonstrated the mineralization extends 74 metres below the last mined stope (1767 EL), with higher grades and widths than what was previously mined in this area”. More drilling will be allocated in this location in 2024.
Silver Tiger Metals Inc., provided an update on the Company’s ongoing Pre-feasibility Study (PFS) drilling program on the Stockwork Gold Deposit on its El Tigre Project in Sonora. The PFS aims to de-risk the Stockwork Deposit through the 25,000m drilling program focused on increasing confidence of the Mineral Resource with in-fill drilling expansion and classification, metallurgical and geotechnical as it progresses from an exploration to a development project. The company expects the publication of the PFS in H2-2024, and it continues to work on a substantial, permitted underground Mineral Resource Estimate and advance towards a Preliminary Economic Assessment by H2-2024.
Orla Mining Ltd., discovered a new polymetallic sulphide replacement-style mineralization at its Camino Rojo project in Zacatecas and recent drilling extended mineralization beyond the current mineral resource envelope, presenting a considerable opportunity for resource expansion. The drill program involved over 2,600 meters of drilling across four holes, with significant mineralized intercepts up to 450 meters down-plunge of the existing open pit mineral resource boundaries. Drilling highlights are provided in the table below:

The company also reported positive initial metallurgical results and plans to complete a 30,000-meter drill program in 2024 to further explore the extensive potential of the growing Camino Rojo Deposit.

Prime Mining Corporation provided a summary of the 2023 exploration activities and released the final 2023 drilling results for its Los Reyes Gold-Silver Project in Sinaloa. The company completed 58,896m of drilling over 184 holes following success-based exploration program; 162 drill holes intercepted mineralization above approximately 0.2 g/t Au cutoff. The drilling outlined indicated resources of 1M Oz Au at 1.16 g/t and 35M Oz Ag at 40 g/t Ag (1.47M Oz AuEq at 1.16 g/t), and inferred resources of 0.5M Oz Au at 0.85 g/t and 18.4M Oz Ag at 31 g/t (0.77M Oz AuEq at 1.26 g/t). The company is focused on resource expansion through new discoveries and technical de-risking activities. Prime advanced the metallurgical, geochemical, geotechnical and project understanding through testwork and field studies.
Discovery Silver Corp., announced results from the Feasibility Study (FS) on its Cordero project, Chihuahua. Highlights include 19-year mine life with average annual production of 37M Oz AgEq in Year 1 to Year 12; average AISC of less than USD $12.50 over the first eight years of the mine life; initial development capex of USD $606M resulting in an attractive after-tax NPV-to-capex ratio of 2.0; Base Case after-tax NPV5% (NPV) of USD $1.2 B and IRR of 22% with NPV expanding to USD $2.2 B in Year 4; Reserves of 302M Oz Ag, 840K Oz Au, 3 B Lb Pb, and 5.2 B Lb Zn; 240M tonnes of Measured & Indicated Resource sit outside the FS pit highlighting the potential to materially extend the mine life at modestly higher silver prices; an initial investment of over USD $600M, 2,500 jobs created during construction, USD $4 B of goods and services purchased and estimated tax contributions of over USD $1.4 B within Mexico; and third-party reviews of proposed environmental practices to ensure adherence to both Mexican regulatory standards and Equator Principles 4.

ON DEALS AND CORPORATE ISSUES

Trident Royalties Plc, in a joint venture with Sonoroy Holdings Limited, is acquiring a 3.0% Gross Revenue Royalty over the Sonora Lithium Project in Mexico. The completion date for the transaction has been extended to December 31, 2026, allowing time for resolution of ongoing litigation and administrative reviews. Trident has the option to terminate the joint venture based on the outcome of the litigation. The acquisition aims to provide exposure to a long-life lithium project with expansion potential, operated by Ganfeng Lithium Co., Ltd. The company’s strategy focuses on building a diversified mining royalty and streaming portfolio while targeting small-to-mid size transactions in resource-friendly jurisdictions worldwide.
Bear Creek Mining Corporation announced the resignation of its CEO effective March 8, 2024, and later on the Board of Directors appointed its successor effective on or about March 18, 2024 (Mercedes mine, Sonora).
DynaResource Inc., announced the resignation of two Directors and appointed two new members to its Board of Directors (San Jose de Gracia project, Sinaloa).
Tarachi Gold Corp., notified that its CEO was elected to the Board of Directors (Magistral Mill & Tailings 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, a rhyolite dike showing flow banded texture on a project of the Sonoran Desert. Photo taken by Miguel A Heredia.

AVINO PROVIDES OUTLOOK FOR 2024 AND HIGHLIGHTS ITS MAJOR 2023 MILESTONES

February 13, 2024 / gambusinoprospectormexico / Leave a comment

2024-02-13_avino-provides-outlook-for-2024 Download

The Mining and Exploration News in Mexico: Highlights on the Second Week of February, 2024

February 11, 2024 / gambusinoprospectormexico / Leave a comment

Silica sinter

By Miguel A Heredia

During the 6^thweek of the year (February 5^thto February 11^th, 2024), at least 25 press releases were announced by companies working in Mexico, and 3 news published by the media with eight reporting resources and developments of their projects, six announcing financing issues, five disclosing deals and corporate issues, four commenting on Mexican issues, two communicating production results, two informing on exploration results, and one discussing social issues. ON MEXICO ISSUES, Analysts announced that Q4, 2023 reports will be disparate on the Stock Market. President Andrés Manuel López Obrador (AMLO) has presented 20 proposals for constitutional reforms in Mexico. AMLO presented initiative to prohibit open pit mining. Orla Mining, First Majestic, Prismo Metals, and Prime Mining reported the best drilling intercepts in Mexico on the second week of February, 2024. ON EXPLORATION, In Sinaloa, Prismo provided an exploration update on its Palos Verdes project. In Durango, Silver Dollar acquired from Canasil a 100% interest in the Nora project, and provided a project update. ON MINING, Argonaut announced that it will report Q4 and year-end 2023 production and financial results of their Mexican operations on March 6, 2024. GoGold released Q1, 2024 production and financial results from its Parral Tailings project, Chihuahua. ON FINANCING, Capstone and Orion closed its previously announced CADS $431M bought deal offering (Cozamine mine, Zacatecas). Defiance announced a non-brokered private placement for gross proceeds of up to CAD $3M (San Acacio project, Zacatecas). Kootenay increased the size of its previously announced non-brokered private placement to $3.5M (Columba project, Chihuahua). Sonoro announced a non-brokered private placement for gross proceeds of up to CAD $1M (Cerro Caliche project, Sonora). Regency Silver extended the closing its private placement (Dios Padre project, Sonora). Zacatecas Silver upsized and closed its previously announced private placement from $1.8M to $2.5M (Zacatecas Silver project, Zacatecas). ON RESOURCES AND DEVELOPMENT, Luca Miningprovided an update progress at its Tahuehueto property in Durango. Avino presented the results of the Pre Feasibility (PFS) for its Oxide Tailings project at its Avino mine operation in Durango. Sierra Madre provided an update on La Guitarra mine in the State of Mexico. Heliostar announced that it is evaluating test mining scenarios for its Ana Paula project, Guerrero in 2024. Orla concluded its 2023 Camino Rojo Sulphides Infill program in Zacatecas with strong results. Prime Mining released results from the 2023 drilling program at the Z-T Area within its Los Reyes project, Sinaloa. First Majestic reported positive exploration results from their San Dimas property in Durango, and Santa Elena property in Sonora. Torex provided a Q4, 2023 update on its Media Luna project in Guerrero. ON DEALS AND CORPORATE ISSUES, Capstone announced that it has commenced trading on the Australian Securities Exchange (Cozamin mine, Zacatecas). Colibri appointed Douglas Coleman to its Advisory Board (Evelyn project, Sonora). Fabled Silver terminated its letter of intent with Kootenay with respect to the proposed acquisition the Mecatona Property, Chihuahua. Luca Mining appointed a new member to its Board of Directors (Tahuehueto project, Durango). Defiance clarified technical disclosures pertaining to its technical reports related to their Tepal project, Michoacan and San Acacio project, Zacatecas. ON SOCIAL RESPONSIBILITY, Fortuna Silver announced its objectives, metrics, and targets to reduce Scope 1 and Scope 2 greenhouse gas (GHG) emissions (San Jose mine, Oaxaca).

ON MEXICO ISSUE

Analysts predict that the fourth quarter of 2023 will be a mixed bag for Mexican mining companies due to pressures on costs and falling prices of industrial metals. While some companies may benefit from increasing prices of precious metals like gold and silver, others will also face higher costs. Grupo Mexico has already reported weak financial results due to decreased sales of copper, while the other companies are expected to face similar challenges in 2024 due to China’s economic slowdown. Only Minera Frisco has generated a positive return so far this year among the four mining companies. Autlán is expected to make some sequential improvements due to cost-cutting efforts, but the industry as a whole is predicted to face challenges in the coming year. All of last year, only the companies that are part of the S&P/BMV stock index IPC Grupo México (+37.66%) and Peñoles (+3.58%) had gains on the Stock Market. While the share of Fresnillo, a subsidiary of Peñoles listed on the London Stock Exchange, lost 34.08%, that of Autlán lost 26.43% and that of Frisco lost 9.01%.
President Andrés Manuel López Obrador (AMLO) has presented 20 proposals for constitutional reforms in Mexico. One of the proposals is to return the Comisión Federal de Electricidad (CFE) to its status as a public, strategic, and nationally important company. AMLO also proposes to prohibit the extraction of hydrocarbons through hydraulic fracturing (fracking) and to not grant concessions to private companies for open-pit mining activities. However, in the economic budget planned for 2024, the government has contemplated two projects with fracking for MXP $4.63M, according to data from the organization Mexican Alliance against Fracking (AMCF). Currently, of the almost 250 mines that operate in the country, 97 are open pit metal mines and 152 more are underground mines; However, until March 2022, 15,551 mining concessions were registered in the country with validity after 2050. It should be noted that since the arrival of AMLO to the presidency, not a single mining concession has been granted, which has led the sector to have a drop in investment that decreased its participation in the national GDP, from 2.50 in 2021 to 2.46 percent in 2022, while in industrial GDP from 8.78% to 8.63%. The proposed reforms also aim to eliminate “costly and elitist” dependencies and organizations that were supposedly autonomous but disconnected from the interests of the people. Some of the autonomous bodies that could be affected by these proposals include the Comisión Reguladora de Energía (CRE), Comisión Nacional de Hidrocarburos (CNH), and Comisión Federal de Competencia Económica (COFECE). AMLO will submit these initiatives to the Chamber of Deputies for discussion in the current or next legislative session.
President Andrés Manuel López (AMLO) presented initiative to prohibit open pit mining. On February 5, on the anniversary of the Political Constitution of the United Mexican States, AMLO presented an Initiative with a Draft Decree to carry out various reforms, one of these being the prohibition of open pit mining. According to the initiative, addressed to Dip. Marcela Guerra Castillo, President of the Chamber of Deputies, in order to protect the environment and health, we seek to modify art. 27 constitutional to “prohibit both the granting of concessions and the activities of exploration, exploitation, benefit, use or exploitation of minerals, metals or metalloids in the open pit, with the addition that the people who carry out these activities will be sanctioned.” The AMLO project indicates that there are currently around 264 open pit mines in Mexico, and much emphasis is placed on the old vision of predatory mining, leaving aside that for a mine to operate in our country it must have more than a thousand rules and regulations, in addition to having comprehensive closure plans.
Orla Mining Ltd., First Majestic Silver Corp., Prismo Metals Inc., and Prime Mining Corp., reported the best drilling intercepts in Mexico on the second week of February, 2024. Details are shown in the table below:

ON EXPLORATION

Prismo Metals Inc., provided an exploration update on its Palos Verdes project in Sinaloa. Following the completion of its third drill campaign with 2,923 meters drilled in 15 holes, and in preparation of the upcoming expanded drill program to be drilled from Vizsla Silver Corp, Prismo completed an alteration and geochemical study that confirmed a downward offset of the mineralized ore shoot defined by drilling to date and that a second blind mineralized shoot may exist to the northeastern portion of the Palos Verdes vein, based on a geochemical sampling which revealed high-grade silver, gold, zinc, and lead values in the vein system. The best sample from this program assayed 930 g/t silver and 10.55 g/t gold with 15.4% zinc and 4.5% lead (2,605 g/t Ag/Eq) over 0.5m. The company plans to conduct deep drilling from Vizsla Silver’s ground to explore these concepts further.
Silver Dollar Resources Inc., acquired from Canasil a 100% interest in the Nora project in Durango, and provided a project update. In connection with the acquisition of the Nora property, Silver Dollar encountered certain unresolved discrepancies in verifying the 2020 and 2021 drill results Canasil reported on the Nora property. For gold: of the 157 samples duplicated, Canasil reported 42 samples >1 g/t Au (1.23 – 43.7 g/t) including 18 samples >5 g/t (5.3 – 43.7 g/t), whereas Silver Dollar’s re-assaying yielded only three samples >1 g/t Au (1.04, 1.75, and 2.30 g/t). For silver: of the 157 samples duplicated, Canasil reported 44 samples >200 g/t Ag (133 -1,924 g/t) including 19 samples >500 g/t Ag (504 – 1,925 g/t), whereas Silver Dollar’s re-assaying yielded only three samples >100 g/t Ag (129, 158, and 448 g/t). “The QPs from both companies discussed the situation and recommended a further analytical program be carried out to provide some insight into what may have caused the assay discrepancies. However, Canasil did not have the financial resources to contribute to the recommended program and alternatively offered to waive certain of Silver Dollar’s consideration obligations under the Nora Option Agreement and transfer 100% ownership of the Nora property to Silver Dollar for the consideration that has been provided to date (as detailed below), subject to a 2% net smelter returns royalty with Silver Dollar having the right to buy back 1% of the Royalty for $1M. As of the date hereof, Silver Dollar has incurred a total of approximately $134,779 in exploration expenditures on the Nora property, as full consideration for the acquisition thereof. Silver Dollar is not required to provide any further consideration to Canasil to complete the acquisition and the transfer of the Nora concessions to Silver Dollar has been initiated”.

ON MINING

Argonaut Gold Inc., announced that it will report Q4 and year-end 2023 production and financial results of their Mexican operations on March 6, 2024.
GoGold Resources Inc., released Q1, 2024 production and financial results from its Parral Tailings project, Chihuahua. The company produced 109K Oz Ag, 1,848 Oz Au, and 212.8K Lb Cu (300,260 Oz AgEq). It also reported a revenue of USD $6.8M on the sale of 305,087 Oz AgEq, at a realized price of USD $22.28 per Oz Ag, and an adjusted cash cost and all in sustaining cost of USD $16.83 and USD $24.64 per Oz AgEq respectively ; a net income of USD $192K; and a cash of USD $88.8M.

ON FINANCING

Capstone Copper Corp., and Orion Fund JV Limited, Orion Mine Finance Fund II LP and Orion Mine Finance (Master) Fund I-A LP (collectively, Orion) closed its previously announced bought deal offering of common shares of Capstone by a syndicate of underwriters, which consisted of a total of 68,448,000 common shares at a price of CAD $6.30 per common share, which included the exercise in full of the Underwriters’ over-allotment option of 8,928,000 common shares from the company, for aggregate gross proceeds under the offering of CAD $431,222,400 (Cozamine mine, Zacatecas).
Defiance Silver Corp., announced a non-brokered private placement for gross proceeds of up to CAD $3M. The offering is priced at $0.10/unit. Each unit shall consist of one common share of the company and one half of one common share purchase warrant. Net proceeds will be used for exploration of the company’s projects and for general working capital purposes (San Acacio project, Zacatecas).
Kootenay Silver Inc., increased the size of its previously announced non-brokered private placement to $3.5M, at a price of $0.75 per unit. The net proceeds from the offering will be used for exploration activities, property commitments on the company’s projects, working capital and general corporate purposes (Columba project, Chihuahua).
Sonoro Gold Corp., announced a non-brokered private placement offering consisting of up to 22,222,222 units at a price of CAD $0.45 per unit for gross proceeds of up to CAD $1M. Net proceeds will be used to fund the ongoing development of the company’s Cerro Caliche gold project in Sonora, Mexico as well as working capital.
Regency Silver Corp., extended the closing its previously announced private placement dated January 17, 2024 (Dios Padre project, Sonora).
Zacatecas Silver Corp., upsized and closed its previously announced private placement from $1.8M to $2.5M. The Company will now proceed to immediately close the financing, by way of receiving subscription agreements and funds and intends to close within the next week. The Company intends to use the net proceeds to satisfy ongoing costs associated with its properties as well as general working capital purposes (Zacatecas Silver project, Zacatecas).

ON RESOURCES AND DEVELOPMENT

Luca Mining Corp., provided an update progress at its Tahuehueto property in Durango. The project to increase throughput at the Tahuehueto mill to 1,000 tonnes per day is in the final commissioning stage. The testing of the second ball mill is well advanced and will provide a total installed grinding capacity of 1,250 tonnes per day. Once the second mill is commissioned, production will ramp up and progressively increase to 35,000-40,000 oz AuEq per year.
Avino Silver & Gold Mines Ltd., presented the results of the Pre Feasibility (PFS) for its Oxide Tailings project at its Avino mine operation in Durango. Highlights include a NVP of USD $98M (pre-tax) and USD $61M (after-tax) at a 5% discount rate; an IRR of 35% (pre-tax) and 26% (after-tax); a payback period of 2.9 years (pre-tax) and 3.5 years (after-tax); an initial capital cost of USD $49.1M, including a contingency provision in the amount of USD $5.3M; the ongoing sustaining capital cost is USD $5.1M; On-site Operating Costs (OOC) and All-In Sustaining Cost (AISC) of USD $9.71 and USD $10.23 per Oz AgEq respectively; proven and probable mineral reserves of 6.70M tonnes at a silver and gold grade of 55 g/t and 0.47 g/t respectively; metal recoveries: 77.2% Ag and 74.9% Au; Doré production: Total 9,073,000 Oz Ag and 76,000 Oz Au, life-of-project (averaging 1,008,000 Oz Ag and 8,445 Oz Au per year); and the project will generate USD $52.4M in tax contributions to the local economy and government.
Sierra Madre Gold and Silver Ltd., provided an update on La Guitarra mine in the State of Mexico. The company has retained TechSer Mining Consultants Ltd., to complete the Mine Restart Study (MRS), which include an estimation of underground mine material for the Guitarra, Coloso and Nazareno mines and the Los Angeles bulk tonnage deposit. The MRS is expected to be completed in Q2 of this year. On the other hand, work has been ongoing to determine necessary steps for the potential re-start of production. In accordance with recommendations made by officials with the Secretaria de la Defensa Nacional, SEDENA, improvements to the underground powder magazines have been completed. Finally, all circuits in the processing plant are undergoing maintenance and rehabilitation work which would be required for the resumption of operations. In the grinding circuit, the three ball mills are being relined, all parts of the central drive shaft mechanisms overhauled, and the motors cleaned and tested. A fourth ball mill with limited capacity will not be rebuilt at this time.
Heliostar Metals Ltd., announced that it is evaluating test mining scenarios for its Ana Paula project, Guerrero in 2024. The company is exploring the potential to complete the existing underground decline at the Ana Paula deposit in Guerrero, to enable test mining of a bulk gold sample. This would help de-risk the underground plan for Ana Paula while creating a potential pathway to production from test mining in 12 months. The company has initiated a Preliminary Economic Assessment (PEA) for completion in H2, 2024, and will continue resource growth drilling. Heliostar is assessing non-equity funding options for this program and has held discussions with potential offtake partners. Multiple scenarios indicate the potential to recover more than 20K Oz Au from a bulk sample from stocks averaging 7-10 g/t Au.
Orla Mining Ltd., concluded its 2023 Camino Rojo Sulphides Infill program in Zacatecas with strong results. Drilling highlights of the remaining unreported 14 holes completed as part of the 52 drill holes, 35,070 m infill program are shown in the table below:

“A preliminary underground resource estimate on the Camino Rojo Sulphides is eagerly anticipated to be completed in the second half of 2024. Metallurgy evaluation on the recent phase of Camino Rojo sulphide infill drilling is expected to continue throughout 2024”.

Prime Mining Corp., released results from the 2023 drilling program at the Z-T Area within its Los Reyes project, Sinaloa. Highlights of the drilling are shown in the table below:

“Ongoing drilling at Z-T aims to extend the high-grade shoots that remain open at depth, as well as following up on the newly discovered mineralization along strike”.

First Majestic Silver Corp., reported positive exploration results from their San Dimas property in Durango, and Santa Elena property in Sonora. At San Dimas, Durango, exploration drilling intersected significant gold and silver mineralization in multiple veins at Sinaloa North-Elia, Santa Teresa, Rosario and Perez Areas. Drilling highlights (true widths reported) include holes ST23-014 with 7.03 g/t Au and 903 g/t Ag (1,466 g/t AgEq) over 0.78m, plus 3.95 g/t Au and 270 g/t Ag (586 g/t AgEq) over 1.86m, plus 2.07 g/t Au and 130 g/t Ag (296 g/t AgEq) over 2.90m, plus 40.40 g/t Au and 2,092 g/t Ag (5,324 g/t AgEq) over 0.91m; hole SIN23-073 with 13.50 g/t Au and 1,007 g/t Ag (2,087 g/t AgEq) over 0.7m, plus 11.83 g/t Au and 758 g/t Ag (1,681 g/t AgEq) over 2.97m: hole PE23-225 with 1.6 g/t Au and 243 g/t Ag (371 g/t AgEq) over 0.77m, plus 14.18 g/t Au and 2,439 g/t Ag (3,574 g/t AgEq) over 1.03m, plus 3.78 g/t Au and 4.21 g/t Ag (723 g/t AgEq) over 7.78m, plus 9.16 g/t Au and 242 g/t Ag (974 g/t AgEq) over 0.84m, plus 1.33 g/t Au and 293 g/t Ag (293 g/t AgEq) over 0.96m; and hole PE23-242 with 7.36 g/t Au and 1,238 g/t Ag (1,826 g/t AgEq) over 2.41m. At Santa Elena, Sonora, the drilling program designed to convert Mineral Resources to Mineral Reserves at the Ermitaño mine, cut multiple high-grade intersections of gold and silver mineralization. Drilling highlights (true widths reported) include holes EWUG-23-012 with 7.02 g/t Au and 189 g/t Ag (750 g/t AgEq) over 10.05m, plus 20.95 g/t Au and 311 g/t Ag (1,987 g/t AgEq) over 4.88m, plus 7.99 g/t Au and 187 g/t Ag (826 g/t AgEq) over 2.38m; hole EWUG-23-007 with 4.51 g/t Au and 155 g/t Ag (516 g/t AgEq) over 8.18m, plus 4.33 g/t Au and 88 g/t Ag (434 g/t AgEq) over 3.93m, plus 18.50 g/t Au and 304 g/t Ag (1,784 g/t AgEq) over 1.71m, plus 7.44 g/t Au and 107 g/t Ag (702 g/t AgEq) over 1.32m; and hole EWUG-23-15 with 9.38 g/t Au and 230 g/t Ag (980 g/t AgEq) over 5.23m, plus 3.43 g/t Au and 192 g/t Ag (466 g/t AgEq) over 1.63m.
Torex Gold Resources Inc., provided a Q4, 2023 update on its Media Luna project in Guerrero. In Q4 2023, Torex Gold’s Media Luna Project made significant progress towards completion. During Q4 2023, USD $124M was invested in the project, the highest quarterly spend to date. Total spend in 2023 was USD $366.3M, in line with revised annual project guidance of USD $360 to USD $390M. USD $350 to USD $400M has been guided for project capital expenditures in 2024, with quarterly expenditures through Q3 2024 expected to be similar to the level experienced in Q4 2023, before declining as the project nears completion. The project was 60% complete, with detailed engineering at 84% and procurement at 63%. Underground development and construction advanced, with the Guajes Tunnel breakthrough achieved ahead of schedule. Operational readiness activities continued, and the project remained on track for first concentrate production in late 2024 and commercial production in early 2025. Funding has exceeded remaining capital expenditures, and the project execution plan remains unchanged, with only minor adjustments to interim activities.

ON DEALS AND CORPORATE ISSUES

Capstone Copper Corp., announced that it has commenced trading on the Australian Securities Exchange (ASX) (Cozamin mine, Zacatecas). Capstone was admitted to the official list of ASX on January 31, 2024, and will trade under the ticker symbol “CSC” (ASX: CSC).
Colibri Resource Corporation appointed Douglas Coleman to its Advisory Board (Evelyn project, Sonora).
Fabled Silver Gold Corp., terminated its letter of intent with Kootenay Silver Inc., with respect to the proposed acquisition the Mecatona Property, Chihuahua.
Luca Mining Corp., appointed a new member to its Board of Directors (Tahuehueto project, Durango).
Defiance Silver Corp., clarified technical disclosures pertaining to its technical reports entitled “NI 43-101 Technical Report Preliminary Economic Assessment on the Tepal Project, Michoacan” dated February 24, 2017 with an effective date of January 17, 2017, and its technical report entitled “Technical Report and Resource Estimate, San Acacio Silver Deposit, Zacatecas, Mexico” dated September 26, 2014, with an effective date of April 1, 2014. The company understands it will need to amend the technical reports accordingly.

ON SOCIAL RESPONSIBILITY

Fortuna Silver Mines Inc., announced its objectives, metrics, and targets to reduce Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 15% in 2023 compared to the forecasted emissions in 2030 without intervention measures. The company is committed to supporting the global ambition of net-zero GHG emissions by 2050. To achieve the 2030 GHG emissions reduction target, Fortuna plans to implement projects such as providing renewable energy to its operations, providing low-carbon electricity, and constructing and modernizing mine paste fill plants. Fortuna is committed to monitoring the GHG emissions of each of its mines on a monthly basis, reviewing progress against GHG emissions reduction target and its pathway, and assessing potential climate-related risks and opportunities.

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, silica sinter in a low-sulphidation epithermal vein system in a project in Durango. Photo by Miguel A Heredia

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of January, 2024

January 28, 2024January 28, 2024 / gambusinoprospectormexico / Leave a comment

Silica Ridge

By Miguel A Heredia

During the 4^thweek of the year (January 22^ndto January 28^th, 2024), at least 26 press releases were announced by companies working in Mexico, with seven reporting resources and developments of their projects, six communicating production results, six disclosing deals and corporate issues, five informing on exploration results, one announcing financing issues, and one commenting on Mexican issues. ON MEXICO ISSUES, Orla Mining, Gatos Silver, and Minaurum reported the best drilling intercepts in Mexico on the fourth week of January, 2024. ON EXPLORATION, In Sonora, Infinitum commenced a 2,500m drilling program in its flagship La Adelita project, Sonora, Minaurum released final 2023 drilling results at La Adelita project, and Tocvan reported rock chip samples results from its Picachos project. In Chihuahua, Reyna Silver shared results from Artificial Intelligence optimization of existing geophysical data from the Guigui project. In Nayarit, Angel Wings provided an exploration update and filed a NI 43-101 technical report on its La Reyna project. ON MINING, Golden Minerals commenced mining operations at its Velardeña mine in Durango. Americas Gold and Silver reported Q4 and full- year 2023 production results from its Cosalá mine operation in Sinaloa. Capstone announced Q4 and full-year 2023 production results and provided production and cost guidance for 2024 for its Cozamin mine in Zacatecas. Mag Silver reported Q4 and full-year 2023 production results from its Juanicipio project in Zacatecas. Sierra Metals provided a summary of the work conducted in the year 2023 (Bolivar mine, Chihuahua). SilverCrest reported Q4 and full-year 2023 production and financial results from its Las Chispas mine in Sonora. ON FINANCING, Bear Creek closed its previously announced restructuring transaction with Sandstorm Gold Ltd (Mercedes Mine, Sonora). ON RESOURCES AND DEVELOPMENT, Discovery Silver outlined its 2024 work program for its Cordero project in Chihuahua. Endeavour provides a development update for its Terronera project in Jalisco. Kootenay announced updated mineral resource estimate for its La Cigarra project, Chihuahua. Gatos Silver reported results from its resource definition drilling program and exploration work being conducted at its Cerro Los Gatos project, Chihuahua. Orla provided an update of the infill drilling program at its Camino Rojo sulphide deposit in Zacatecas. Prime Mining revealed the 2024 outlook for its high-grade Los Reyes project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Angel Wing announced that it has changed its auditors (La Reyna project, Nayarit). Goldgroup announced that the TSX determined to delist the company common shares (Cerro Prieto property, Sonora). Guanajuato Silver announced that it will be updating the technical reports of their Mexican mining operations. Infinitum Copper informed that it has already completes the necessary expenditure commitment to earn an initial 80% of La Adelita property, Sonora from Minaurum Gold Inc. Mexus announced management changes (Santa Elena property, Caborca, Sonora). Prime granted incentive stock options to management of the company (Los Reyes, Sinaloa). ON SOCIAL RESPONSIBILITY, No relevant news.

ON MEXICO ISSUE

Orla Mining Ltd., Gatos Silver Inc., and Minaurum Gold Inc., reported the best drilling intercepts in Mexico on the fourth week of January, 2024. Details are shown in the table below:

ON EXPLORATION

Infinitum Copper Corp., commenced a drilling program at its flagship La Adelita project, Sonora. The program will consists of 15 diamond holes for a total of 2,500m. Objective of the drilling program is to expand the size of the high-grade mineralized area at Cerro Grande zone as well as test for mineralization at depth in the Las Trancas zone.
Minaurum Gold Inc., released 2023 drilling results from the last six holes drilled at La Adelita project in Sonora. Hole AD-23-0034 encountered sporadic mineralization across multiple horizons: 0.08% Cu, 0.2 g/t Au, 16 g/t Ag, and 0.7% Zn over 3m, plus 0.40% Cu, 0.46 g/t Au, 86 g/t Ag, and 0.26% Zn over 0.95m, plus 0.117% Cu, 1.03 g/t Au, 30 g/t Ag, and 0.18% Zn over 2.80m, and plus 0.90% Cu, 0.18 g/t Au, 43 g/t Ag, and 0.33% Zn over 4.05m.
Tocvan Ventures Corp., reported results of 75 rock chip samples from its Picachos project in Sonora. The 75 samples average 0.6 g/t Au and 2 g/t Ag with the values up to 15.9 g/t Au and 32 g/t Ag. “A new mineralized trend extending over 1.6 km in length has been discovered marked by old historic workings and exposure of mineralized veins and shear zones”.
Reyna Silver Corp., shared results from Artificial Intelligence (AI) optimization of existing geophysical data from the Guigui project in Chihuahua. Explore Tech´s proprietary AI algorithm highlight a strong, multi-layered magnetic anomaly southeast of the 0.5 sq.km sulphide- mineralized skarn footprint identified in 2022 drilling. Explore Tech’s platform first uses AI to identify and locate where a geophysical anomaly actually is and then design the optimum hole geometry to hit it. “The results reinforce existing geological thinking that the intrusive source for the district lies in that area and greatly enhance the area’s potential. Pads to drill the target are already permitted and accessible”.
Angel Wings Metals Inc., provided an exploration update and filed a NI 43-101 technical report on its La Reyna project, Nayarit. La Reyna is a contiguous block of fully titled mineral claims hat consolidates most of the historical Aguila de Oro mining district, with rock chip samples returning from nil to 27.12 g/t Au and nil to 2,938 g/t Ag., as well as anomalous values of Pb, Zn, Cu, Co, Bi, and Mo. “Mineralization is hosted in an extensive area of alteration that has been mapped over 70 square kilometers and is host to numerous past producing shallow mine and gambusino workings. To date, over 20 prospects with highly anomalous gold and silver have been identified on the project. A ground geophysics program including 11.2 line kilometers of Induced Polarization and 2 line kilometers of HSMAT is underway over El Polo-Dolorosa. Data is being processed with a report including the sections and maps due in early February”.

ON MINING

Golden Minerals Company commenced mining operations at its Velardeña mine in Durango. It begin mining in six stopes and is steadily ramping up daily production to reach a rate of approximately 150 tonnes per day in March, and ultimately a full production rate of approximately 325 tpd in the second quarter.
Americas Gold and Silver Corporation reported Q4 and full-year 2023 production results from its Cosalá mine operation in Sinaloa. The company produced 321K Oz Ag, 2.7M Lb Pb, and 8.3M Lb Zn (3.8M Oz AgEq) in Q4, 2023 to complete a total production of 1.1M Oz Ag, 11.5M Lb Pb, and 34.1M Lb Zn in the full-year 2023.
Capstone Copper Corp., announced Q4 and full-year 2023 production results and provided production and cost guidance for 2024 for its Cozamin mine in Zacatecas. During Q4, 2023 the company produced 14.7M Lb Cu for a total production of 54.5M Lb Cu in the full year 2023. Capstone also provided production and cost guidance for 2024 and expects to produce between 49.3M Lb Cu and 53.8M Lb Cu at a cash costs of USD $1.85-USD $2.05 per Lb Cu produced.
Mag Silver Corp., reported Q4 and full-year 2023 production results from its Juanicipio project in Zacatecas (56% / 44% Fresnillo plc and Mag Silver, respectively). In Q4, 2023, Juanicipio processed on 100% basis, 346,766 tonnes of 467 g/t Ag, 1.37 g/t Au, 1.3% Pb, and 2.4% Zn to produce 4.5M Oz Ag, 10.59K Oz Au, 9.19M Lb Pb, and 15.08M Lb Zn. For the full-year 2023, the tonnage processed on 100% basis was 1,268,756 tonnes of 520 g/t Ag, 1.39 g/t Au, 0.9% Pb, and 1.7% Zn to produce 16.8M Oz Ag, 36.7K Oz Au, 28.35M Lb Pb, and 44.75M Lb Zn.
Sierra Metals Inc., provided a summary of the work conducted in the year 2023 at its Bolivar mine in Chihuahua. The company announced that Bolivar mine achieved record production levels and that it also replaced 104% of the ore mined. On the other hand, Cusi mine in Chihuahua was placed on care and maintenance allowing management to direct full effort and resources to optimize the company’s two core assets at Yauricocha (Peru) and Bolivar (Mexico). The company also announced that it raised CAD $16M and that its share price increased by more than 210%, moving from CAD $0.24 to CAD $0.75.
SilverCrest Metals Inc., reported Q4 and full-year 2023 production and financial results from its Las Chispas mine in Sonora. In Q4, 2023 the company milled 78,600 tonnes of 4.28 g/t Au and 410 g/t Ag, with metallurgical recoveries of 98.3% and 97.7% respectively to recover 14,100 Oz Au and 1.34M Oz Ag (2.47 M Oz AgEq), of which it sold 16,100 Oz Au and 1.27M Oz Ag (2.56M Oz AgEq) at average realized prices of USD $1,977 per Oz Au and USD $23.09 per Oz Ag, generating USD $61.3M of revenue. In the full-year 2023 the company milled 300,900 tonnes of 4.39 g/t Au and 423 g/t Ag, with metallurgical recoveries of 98.1% and 96.5% respectively to recover 59,700 Oz Au and 5.65M Oz Ag (10.4M Oz AgEq), of which it sold 58,200 Oz Au and 5,62M Oz Ag (10.25 M Oz AgEq), at average realized prices of USD $1,945 per Oz Au and USD $245.1M of revenue.

ON FINANCING

Bear Creek Mining Corporation closed its previously announced restructuring transaction with Sandstorm Gold Ltd. The Transaction is expected to improve the Company’s ability to produce free cash flow in the near term from the Mercedes mine in Sonora.

ON RESOURCES AND DEVELOPMENT

Discovery Silver Corp., outlined its 2024 work program for its Cordero project in Chihuahua. The Feasibility Study (FS) is nearing completion and is expected to be delivered later this quarter. The FS will include an additional 35,000m of reserve definition and expansion drilling, the results from the FS metallurgical testwork program as well as additional geotechnical and hydrogeology data collected in 2023. The Company will also provide an updated resource estimate concurrent with the results of the Study. In Permitting, the Environmental Impact Assessment is under review and approval by the Secretariat of the Environment and Natural Resource (SEMARNAT), while the Change of Land Use (CUS) known as Estudio Tecnico Justificativo (ETJ) will be finalized in the coming months with formal submission of the CUS expected to be made by 3Q 2024. Impact assessment and power installation studies were completed in 2023 confirming that there is sufficient capacity in the existing power grid to supply the project with power for operations at peak throughput levels. In 2023 the Company secured the surface rights that correspond with the planned open pit and key infrastructure locations at Cordero. The two potential sources of water for the project are local groundwater and water from local water treatment plants in the region. The Company has completed a hydro geological assessment through its Mexican specialist consultant utilizing data from hydrogeology drilling and pump test wells. Initial results indicate the potential for sufficient local groundwater for Phase 1 of the project (mill throughput of ~25,000 tonnes per day). In 2024, the company plans to complete mapping and sampling of new target areas along with 2,500 m of drilling.
Endeavour Silver Corp., provides a development update for its Terronera project in Jalisco. The company has made significant construction progress and has updated its initial capital cost, schedule, and execution plan. The table below summarizes the main items:

In terms of project funding, the company expects to make the first draw under the $120 million project loan debt facility in the first quarter of 2024. Construction of the project remains on track and the funds available under the project loan debt facility will be allocated to fund construction.

Kootenay Silver Inc., announced updated mineral resource estimate for its La Cigarra project, Chihuahua. The 2024 Mineral Resource Estimate (MRE) incorporates a significantly revised geological model compared to the previous resource and features a database of 201surface diamond and RC drillholes totaling 36,988 meters and 26,419 assay intervals. The below table shows the 2024 MRE for la Cigarra project:

Gatos Silver Inc., reported results from its resource definition drilling program being conducted at the South-East Deeps Zone, as well as an update of the exploration work carried out a its Cerro Los Gatos project in Chihuahua. Resource definition drilling highlights (true widths reported) include holes SE-557 with 245 g/t Ag, 2.0% Zn, 1.9% Pb, 0.3 g/t Au, and 0.67% Cu over 5.5m, including 528 g/t Ag, 0.3% Zn, 1.3% Pb, 0.06 g/t Au, and 1.41% Cu over 2.8M; hole SE-558 with 88 g/t Ag, 11.7% Zn, 3.7% Pb, 0.15 g/t Au, and 0.23% Cu over 3.1m, plus 70 g/t Ag, 2.7% Zn, 1.7% Pb, 0.03 g/t Au, and 0.3% Cu over 1.2m, plus 151 g/t Ag, 2.8% Zn, 6.1% Pb, 0.18 g/t Au, and 0.43% Cu over 4m, including 291 g/t Ag, 4.3% Zn, 12.2% Pb, 0.4 g/t Au, and 0.55% Cu over 1.6m: hole SE-559 with 103 g/t Ag, 16.5% Zn, 7.0% Pb, 0.14 g/t Au, and 0.21% Cu, plus 52 g/t Ag, 9.8% Zn, 3.2% Pb, 0.22 g/t Au, and 0.13% Cu over 2.4m; hole SE-560 with 58 g/t Ag, 3.2% Zn, 2.2% Pb, 0.05 g/t Au, and 0.09% Cu over 1.3m, plus 243 g/t Ag, 9.7% Zn, 6% Pb, 0.39 g/t Au, and 0.28% Cu in 3.3m; hole SE-562 with 31 g/t Ag, 3.1% Zn, 0.9% Pb, 0.16 g/t Au, and 0.08% Cu over 2.5m, plus 179 g/t Ag, 5.8% Zn, 4.5% Pb, 1.1 g/t Au, and 0.65% Cu over 2.5m, plus 20 g/t Ag, 5.8% Zn, 2.2% Pb, 0.4 g/t Au, and 0.02% Cu over 1.7m; hole SE-563 with 133 g/t Ag, 8.3% Zn, 3.2% Pb, 0.11 g/t Au, and 0.16% Cu over 8.9m, plus 54 g/t Ag, 2.8% Zn, 4.1% Pb, 0.07 g/t Au, and 0.11% Cu over 1.2m; and hole SE-272 with 97 g/t Ag, 7.8% Zn, 2.4% Pb, 0.24 g/t Au, and 0.35% Cu over 4.8m, including 201 g/t Ag, 15.4% Zn, 4.3% Pb, 0.25 g/t Au, and 0.73% Cu over 1.3m. Greenfields exploration work in Los Gatos District continues to advance in preparation for increased drilling expected to start in Q2 2024. One hole has been completed at Portigueño and one hole at Cascabel with positive indicator minerals and favourable structures present. The company also completed detailed mapping and rock geochemistry at the Esperanza, San Agustin, Portigueño, Cieneguita and San Luis areas to support drill target generation.
Orla Mining Ltd., provided an update of the 37, 677m infill drilling program at its Camino Rojo sulphide deposit in Zacatecas. Drilling highlights of 23 out of 56 holes include holes CRSX23-17 with 2.54 g/t Au over 68.5m, including 13.1 g/t Au over 1.5m; hole CRSX23-19C with 2.08 g/t Au over 124.5m, including 2.46 g/t Au over 60m, and including 11.7 g/t Au over 1.5m, and including 11.7 g/t Au over 3m, and including 3.11 g/t Au over 20.5m; hole CRSX23-20B with 2.22 g/t Au over 96.5m, including 3.24 g/t Au over 33.9m, including 12.8 g/t Au over 1.2m, and including 17.5 g/t Au over 1.6m; hole CRSX23-20F with 2.36 g/t Au over 65.4m, including 2.77 g/t Au over 13.5m, and including 2.86 g/t Au over 36.5m, and including 14.8 g/t Au over 1.5m; hole CRSX23-21A with 2.44 g/t Au over 49.5m, including 4.59 g/t Au over 21m, including 17.21 g/t Au over 1.5m, and including 18.8 g/t Au over 1.5m; hole CRSX23-23A with 3.41 g/t Au over 36m, including 5.94 g/t Au over 18m, and including 29.2 g/t Au over 3m; and hole CRSX23-24A with 2.94 g/t Au over 66.5m, including 4.98 g/t Au over 16.5m, including 21.7 g/t Au over 1.5m, and including 13.9 g/t Au over 1.5m.
Prime Mining Corp., revealed the 2024 outlook for its high-grade Los Reyes project in Sinaloa. The 2024 plans include the targeting completion of 40,000m of drilling and continue the geological mapping and geochemical sampling; continue preliminary investigations of metallurgical, geotechnical and mine planning parameters, including process optimization, assessment of open pit VS underground opportunities and evaluation of permitting requirements; continue to engage with local ejidos through educational and community programming access improvements, and water access; and target a late-2024 resource increase. The exploration drilling will focus on extending the high-grade at Z-T areas; expanding the high-grade mineralization at Guadalupe East; increasing the Central Area resource; and generative target drilling of high-grade intercepts at Las Primas, Mariposa, Fresnillo, Mina, and others to further develop the resource potential at Los Reyes.

ON DEALS AND CORPORATE ISSUES

Angel Wing Metals Inc., announced that it has changed its auditors from Kenway Mack SlusarchukStewart LLP to Davidson & Company LLP (La Reyna project, Nayarit).
Goldgroup Mining Inc., announced that the TSX determined to delist the company common shares effective at the close of market on February 16, 2024 for failing to meet the continued listing requirements of the TSX (Cerro Prieto property, Sonora).
Guanajuato Silver Company Ltd., announced that, because of a disclosure review of the British Columbia Securities Commission, it will be providing updates to its NI 43-101 technical reports (El Cubo mine, Guanajuato).
Infinitum Copper Corp., informed that it has already completes the necessary expenditure commitment to earn an initial 80% of La Adelita property, Sonora from Minaurum Gold Inc., by making a total expenditure on the project of CAD $3,042,090.
Mexus Gold US announced management changes. The company and Mr. Mark Ashley have mutually agreed to terminate the August 2, 2023 contract between both parties. The termination of this agreement was completed on December 26, 2023 (Santa Elena property, in Caborca, Sonora).
Prime Mining Corp., granted incentive stock options to management of the company for a total of 991,626 options, 455,846 restricted share units, and 661,202 deferred share units. The Options were granted to management of the company and are exercisable at the price of $1.83 per share. The Options will vest and become exercisable over a three year period, with one-third vesting on the first year anniversary of the grant, one-third on the second year anniversary, and one-third on the third year anniversary (Los Reyes, Sinaloa).

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, silica ridge in a low-sulphidation epithermal vein system in a project in Zacatecas. Photo by Miguel A Heredia

The Mining and Exploration News in Mexico: Highlights on the Second Week of December, 2023

December 17, 2023 / gambusinoprospectormexico / Leave a comment

hydrothermal breccia with hematite-rich matrix

By Miguel A Heredia

During the 50^thweek of the year (December 11^thto December 17^th, 2023), at least 20 press releases were announced by companies working in Mexico, and 1 news published by the media, with seven reporting resources and developments, six disclosing deals and corporate issues, three announcing financing issues, three commenting on Mexican issues, one communicating production results, and one informing on exploration results. ON MEXICO ISSUES, Personnel from the Attorney General’s Office of the State of Coahuila announced that they will begin the search and recovery process for the bodies of the 10 miners who were trapped in the El Pinabete coal mine on August 3, 2022, located in Sabinas, Coahuila. Almaden announced that it delivered to the Mexican government a request for consultations in accordance with the comprehensive and progressive agreement for Trans-Pacific Partnership relating to an investment dispute with Mexico. Gold Resource, Vizsla Silver, Prime Mining, and Kootenay Silver reported the best drilling intercepts in Mexico on the second week of December, 2023. ON EXPLORATION, In Baja California Sur, King announced that the letter of intent (Oct 18, 2023) to acquire 50% of the Las Misiones project in Baja California Sur has lapsed and the Company will not be pursuing the project at this time. ON MINING, Guanajuato Silver reported Mid-Q4, 2023 production results from their Mexican operations. ON FINANCING Argonaut closed its previously announced CAD $85M bought deal public offering (El Castillo mine, Durango). Heliostar completed its previously announced warrant exercise incentive program for gross proceeds of $5,274,463.20 (Ana Paula property, Guerrero). Tocvan closed the second tranche of its previously announced non-brokered private placement for gross proceeds of $306,150 (Pilar project, Sonora). ON RESOURCES AND DEVELOPMENT, Fortuna Silver provided an exploration update on its San Jose mine, Oaxaca. Gold Resource reported the results of one of its recent step-out drill holes at Don David mine, Oaxaca. Tocvan released trench channel sample results from its Pilar project, Sonora. Prime reported expansion drill results from its ongoing 60,000m 2023 drilling program at its Los Reyes project, Sinaloa. Vizsla released results from 15 holes from its flagship Panuco project, Sinaloa. Kootenay announced results from the last two holes of the 2023 drill program at its Columba project, Chihuahua. Minera Alamos announced that it filed on SEDAR an independent Technical Report and estimate of the Mineral Resource for its Santana mine in Sonora. ON DEALS AND CORPORATE ISSUES, Coeur appointed a new member to its Board of Directors (Palmarejo mine, Chihuahua). Defiance reported results of its annual general meeting of shareholders (San Acacio project, Zacatecas). Heliostar announced management changes and additions to its Board (Ana Paula project, Guerrero). Monumental appointed a new member to its Board of Directors (Jemi HREE project, Coahuila). Minera Alamos reported results from its annual general meeting of shareholders (Santana mine, Sonora). Almaden granted stock options to Directors, officers, and Employees of the company (San Pedro project, Jalisco). ON SOCIAL RESPONSIBILITY, No relevant news.

ON MEXICO ISSUE

Personnel from the Attorney General’s Office of the State of Coahuila announced that they will begin the search and recovery process for the bodies of the 10 miners who were trapped in the El Pinabete coal mine on August 3, 2022, located in Sabinas, Coahuila. Almost 500 days after the tragedy that cost the lives of 10 miners, the personnel responsible for the search and recovery tasks safely reached the galleries of the El Pinabete mine.
Almaden Minerals Ltd., announced that it delivered to the Mexican government a request for consultations in accordance with the comprehensive and progressive agreement for Trans-Pacific Partnership (CPTTP) relating to an investment dispute with Mexico. “The investment dispute arises out of certain acts and omissions of Mexico in breach of the CPTPP relating to the Company’s investment in the Ixtaca Gold-Silver Project. The Company has suffered substantial harm arising out of Mexico’s conduct in breach of its investment protection obligations under the CPTPP, including (without limitation): the Mexican Ministry of Economy’s (Economia) declaration that the Project’s mineral titles were void; Economia’s reassessment of the original applications for the mineral titles holding them to be deficient and unfeasible, contradicting the position previously adopted by it, and violating the Company and its subsidiary’s right to amend or supplement the mineral title applications; and the Mexican Secretariat of Environment and Natural Resources’ (Secretaría del Medio Ambiente y Recursos Naturales, SEMARNAT) delay in issuance and ultimate refusal to issue the Project’s environmental permit (Manifiesto de Impacto Ambiental)”. The Company confirms that it is taking all necessary actions to preserve its rights and protect its investments in Mexico.
Gold Resource Corporation, Vizsla Silver Corp., Prime Mining Corp., and Kootenay Silver Inc., reported their best drilling intercepts in Mexico on the third week of November, 2023. Details are shown in the table below:

ON EXPLORATION

King Global Ventures Inc., announced that the letter of intent (Oct 18, 2023) to acquire 50% of the Las Misiones project in Baja California Sur has lapsed and the Company will not be pursuing the project at this time.

ON MINING

Guanajuato Silver Company Ltd., reported Mid-Q4, 2023 production results from their Mexican operations. Results from October to the end of November are shown by mine in the table below:

ON FINANCING

Argonaut Gold Inc., closed its previously announced bought deal public offering of 223,685,000 common shares of the company at a price of CAD $0.38 for gross proceeds of CAD $85M. Part of the gross proceeds will be used for working capital purposes (El Castillo mine, Durango).
Heliostar Metals Ltd., completed its previously announced warrant exercise incentive program. A total of 17,581,544 common shares in the capital of the company were issued upon the exercise of 17,581,544 previously outstanding share purchase warrants, providing aggregate gross proceeds of $5,274,463.20 to the company. The proceeds of the incentive program will be used for exploration and development of the Ana Paula Project and for working capital purposes.
Tocvan Ventures Corp., closed the second tranche of its previously announced non-brokered private placement. It consisted of the issuance of an aggregate of 680,333 units at a price of $0.45 per unit, for gross proceeds of $306,150. The proceeds of the raise will go towards the advancement of the Pilar Au-Ag project in Sonora.

ON RESOURCES AND DEVELOPMENT

Fortuna Silver Mines Inc., provided an exploration update on its San Jose mine, Oaxaca. It reported results from the drilling program at Jessi Vein. Drilling highlights (true widths reported) include holes SJOM-1357 with 1.8 g/t Au and 60 g/t Ag (204 g/t AgEq) over 7.1m; hole SJOM-1366A with 1.58 g/t Au and 195 g/t Ag (321 g/t AgEq) over 0.2m, plus 0.78 g/t Au and 91 g/t Ag (153 g/t AgEq) over 1.5m, plus 0.75 g/t Au and 102 g/t Ag (162 g/t AgEq) over 0.4m, plus 0.70 g/t Au and 96 g/t Ag (152 g/t AgEq) over 0.4m, plus 1.22 g/t Au and 161 g/t Ag (258 g/t AgEq) over 1m; hole SJO-1417 with 4.61 g/t Au and 489 g/t Ag (858 g/t AgEq) over 0.5m, plus 1.40 g/t Au and 140 g/t Ag (252 g/t AgEq) over 0.6m; hole SJOM-1418 with 1.13 g/t Au and 95 g/t Ag (185 g/t AgEq) over 0.8m; hole SJOM-1428 with 2.48 g/t Au and 347 g/t Ag (545 g/t AgEq) over 17m, including 6.26 g/t Au and 620 g/t Ag (1,121 g/t AgEq) over 0.4m, plus 1.98 g/t Au and 307 g/t Ag (465 g/t AgEq) over 0.3m, plus 11.27 g/t Au and 1,344 g/t Ag (2,246 g/t AgEq) over 0.5m, plus 11.07 g/t Au and 1,137 g/t Ag (2,023 g/t AgEq) over 0.5m, plus 2.5 g/t Au and 314 g/t Ag (514 g/t AgEq) over 0.3m, plus 9.42 g/t Au and 774 g/t Ag (1,528 g/t AgEq) over 0.2m, plus 32 g/t Au and 5,905 g/t Ag (8,465 g/t AgEq) over 0.5m; hole SJO-1430 with 0.61 g/t Au and 84 g/t Ag (133 g/t AgEq) over 0.9m, plus 8.26 g/t Au and 770 g/t Ag (1,431 g/t AgEq) over 1.1m, plus 0.7 g/t Au and 90 g/t Ag (146 g/t AgEq) over 1.7m, plus 1.25 g/t Au and 150 g/t Ag (250 g/t AgEq) over 4m, plus 2.11 g/t Au and 170 g/t Ag (339 g/t AgEq) over 0.3m; and hole SJO-1431 with 5.38 g/t Au and 576 g/t Ag (1,006 g/t AgEq) over 0.3m, plus 1.02 g/t Au and 114 g/t Ag (195 g/t AgEq) over 5.2m, including 7.16 g/t Au and 838 g/t Ag (1,411 g/t AgEq) over 0.2m, plus 1.18 g/t Au and 146 g/t Ag (240 g/t AgEq) over 0.2m, plus 1.45 g/t Au and 147 g/t Ag (263 g/t AgEq) over 0.4m, plus 1.29 g/t Au and 136 g/t Ag (239 g/t AgEq) over 0.3m
Gold Resource Corporation reported the results of one of its recent step-out drill holes at Don David mine, Oaxaca. This program will consist of 34,000m in 150 holes. Assays detail of hole 523136 are shown in the table below:

“The exceptional width and grade appears to occur at the confluence of two veins (Sandy 1 and Sandy 2) that are part of the Gloria and Three sisters vein arrays in the upper portion of the Mine, located approximately 250 meters below surface”.

Tocvan Ventures Corp., released channel sample results from four trenches cut at its Pilar project, Sonora. Highlights include TR-2023-02 with 1.87 g/t Au and 9 g/t Ag over 22m; and TR-2023-03 with 1.88 g/t Au and 8 g/t Ag over 14m, including 3.65 g/t Au and 17 g/t Ag over 6m.
Prime Mining Corp., reported expansion drill results from its ongoing 60,000m 2023 drilling program at its Los Reyes project, Sinaloa. The company drilled 10 holes at Central-Noche Buena Area and 3 holes at Central-San Miguel East Area. At Central-Noche Buena Area, drilling highlights (true widths reported) include holes 23NB-51 with 3.36 g/t Au and 12 g/t Ag (3.51 g/t AuEq) over 4.97m, including 2.70 g/t Au and 409 g/t Ag (8 g/t AuEq) over 2.56m; hole 23NB-53 with 1.62 g/t Au and 169 g/t Ag (3.81 g/t AuEq) over 2.56m, including 2.77 g/t Au and 420 g/t Ag (8.21 g/t AuEq) over 0.97m, plus 0.27 g/t Au and 81 g/t Ag (1.32 g/t AuEq) over 3.28m, plus 0.42 g/t Au and 65 g/t Ag (1.26 g/t AuEq) over 7.49m; and hole 23NB-52 with 0.45 g/t Au and 60 g/t Ag (1.23 g/t AuEq) over 8.40m, including 1.25 g/t Au and 155 g/t Ag (3.25 g/t AuEq) over 1.55m. At Central-San Miguel East Area, drilling highlights include holes 23SME-37 with 0.55 g/t Au and 60 g/t Ag (1.33 g/t AuEq) over 4.40m, including 2.03 g/t Au and 48 g/t Ag (2.65 g/t AuEq) over 0.65m; and hole 23SME-34 with 0.99 g/t Au and 96 g/t Ag (2.23 g/t AuEq) over 1.40m, including 0.79 g/t Au and 4 g/t Ag (0.85 g/t AuEq) over 5.85m.
Vizsla Silver Corp., released results from 15 holes from its flagship Panuco project, Sinaloa, targeting La Luisa Vein located about 700m west of the Napoleon Area resource. Drilling highlights (true widths reported) include holes NP-23-419 with 58 g/t Ag, 7.74 g/t Au, 0.7% Pb, and 1.4% Zn (650 g/t AgEq) over 3.25m, 50 g/t Ag, 16.74 g/t Au, 0.3% Pb, and 1% Zn (1,220 g/t AgEq) over 0.62m; hole NP-23-397 with 32 g/t Ag, 1.44 g/t Au, 0.2% Pb, and 2.5% Zn (221 g/t AgEq) over 8.70m, including 77 g/t Ag, 6.55 g/t Au, 0.5% Pb, and 1.3% Zn (577 g/t AgEq) over 1.26m, plus 137 g/t Ag, 1.77 g/t Au, 0.4% Pb, and 5.4% Zn (455 g/t AgEq) over 3.55m, including 408 g/t Ag, 2.64 g/t Au, 0.3% Pb, and 18.2% Zn (1,228 g/t AgEq) over 0.70m; hole NP-23-420 with 95 g/t Ag, 6.97 g/t Au, 0.1% Pb, and 0.2% Zn (568 g/t AgEq) over 2.8m, including 116 g/t Ag, 11.5 g/t Au, 0.05% Pb, and 0.07% Zn (888 g/t AgEq) over 1.90; and hole NP-23-401 with 191 g/t Ag, 0.27 g/t Au, 0.04% Pb, and 0.5% Zn (214 g/t AgEq) over 0.90m, plus 386 g/t Ag, 1.43 g/t Au, 0.9% Pb, and 1.7% Zn (542 g/t AgEq) over 1.35m. “Recently completed shallow drilling has confirmed the northern continuation of the Luisa structure, expanding its potential strike-length to 1,670 metres”.
Kootenay Silver Inc., announced results from the last two holes of the 2023 drill program at its Columba project, Chihuahua, which consisted of 12 holes for a total of 3,052.8m designed to extend known mineralization on the “D Vein” target area. Selected highlights for drill hole CDH-23-146 include 501 g/t Ag, 0.3% Pb, and 0.7%Zn over 10.26m, including 2,123 g/t Ag, 1.3% Pb, and 2.2% Zn over 1.54m, including 4,120 g/t Ag, 3.4% Pb, 2.8% Zn over 0.54m. Selected highlights for drill hole CDH-23-147 include 532 g/t Ag, 0.2% Pb, and 0.7% Zn over 8.19m, including 914 g/t Ag, 0.3% Pb, and 0.7% Zn over 1m, plus 777 g/t Ag, 0.6% Pb, and o.7% Zn over 1m. “The current drilling program is designed to extend the D-Vein in preparation of a wider spaced follow up program aimed to delineate a maiden resource expected in late 2024”.
Minera Alamos Inc., announced that it filed on SEDAR the results of the independent Technical Report and estimate of the Mineral Resource for its Santana mine in Sonora.

ON DEALS AND CORPORATE ISSUES

Coeur Mining Inc., appointed a new member to its Board of Directors (Palmarejo mine, Chihuahua).
Defiance Silver Corp., reported results of its annual general meeting of shareholders (San Acacio project, Zacatecas).
Heliostar Metals Limited announced management changes and additions to its Board. The company appointed to its non-executive director with immediately effect to its Board of Directors, and Mr. Charles Funk will add the title and role of President to his current title and responsibilities as Chief Executive Officer (Ana Paula project, Guerrero).
Monumental Energy Corp., appointed a new member to its Board of Directors (Jemi HREE project, Coahuila).
Minera Alamos Inc., reported results from its annual general meeting of shareholders (Santana mine, Sonora).
Almadex Minerals Ltd., granted stock options to Directors, officers, and Employees of the company to purchase an aggregate 1,075,000 common shares in the capital of the Company at an exercise price of $0.21 per share expiring on July 10th, 2028 (San Pedro project, Jalisco).

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, hydrothermal breccia with hematite-rich matrix in an epithermal vein system in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Third Week of November, 2023

November 19, 2023 / gambusinoprospectormexico / Leave a comment

Old mine working along a quartz vein

By Miguel A Heredia

During the 46^thweek of the year (November 13^thto November 19^th, 2023), at least 25 press releases were announced by companies working in Mexico, with eight disclosing deals and corporate issues, seven communicating production results, four announcing financing issues, three reporting resources and developments of their properties, one informing on exploration results, one commenting on Mexican issues, and one discussing social issues. ON MEXICO ISSUES, Torex Gold reported their best drilling intercepts in Mexico on the third week of November, 2023. ON EXPLORATION, In Sinaloa, Centenario initiated its first ever drilling program at its Eden project. ON MINING, Argonaut reported Q3, 2023 production and financial results from their Mexican mine operations. Sierra Metals announced Q3, 2023 production and financial results from its Bolivar Mine, Chihuahua. Orla reported Q3, 2023 production and financial results from its Camino Rojo Mine, Zacatecas. Discovery Silver reported Q3, 2023 financial results (Cordero project, Chihuahua). US Antimony will present Q3, 2023 financial results this November 17, 2023 (Los Juarez project, Queretaro). Starcore reported Q2, 2023 production results from its San Martin mine, Queretaro. Torex announced Q3, 2023 production and financial results from its El Limon-Guajes Mine Complex, Guerrero. ON FINANCING Sonoran Desert announced consolidation of its common shares (Cuatro Hermanos project, Sonora). GR Silver completed a non-brokered private placement for gross proceeds of $1.2M (Plomosas project, Sinaloa). Heliostar announced a warrant exercise incentive program to advance its Ana Paula project, Guerrero. Sierra Madre announced conversion of subscription receipts (La Guitarra mine, State of Mexico). ON RESOURCES AND DEVELOPMENT, Torex received approval from Mexico’s Secretariat of Environment and Natural Resources (SEMARNAT) for in-pit tailings deposition (Media Luna project, Guerrero). Discovery Silver provided a summary of key events for Q3, 2023 and subsequent to quarter-end (Cordero project, Chihuahua). Torex reported results from its 2023 El Limon-Guajes underground drilling program. ON DEALS AND CORPORATE ISSUES, Fortuna (San Jose mine, Oaxaca), Silver Storm (La Parrilla mine, Durango), and Vortex (Riqueza Marina project, Oaxaca) announced that they will be attending the 121 Mining Investment London Conference. Vizsla appointed Mr. Eduardo Luna to its Board of Directors (Panuco project, Sinaloa). Sierra Metals announced that it will start trading on the OTCQX Market in the United States (Bolivar mine, Chihuahua). Fresnillo completed a USD $171K payment to Radius for the development of Plata Verde property in Chihuahua. Monumental Minerals announced name change to Monumental Energy Corp. Silver Valley appointed new members to its Board of Directors (Mexi-Can Lithium-potash project in Zacatecas and San Luis Potosi). ON SOCIAL RESPONSIBILITY, Alamos Gold releases its annual Environmental, Social, and Governance (ESG) 2022 report (Mulatos Mine, Sonora).

ON MEXICO ISSUE

Torex Gold Resources Inc., reported their best drilling intercepts in Mexico on the third week of November, 2023. Details are shown in the table below:

ON EXPLORATION

Centenario Gold Corp., initiated its first ever drilling program at its Eden project in Sinaloa. This core drilling program will consists of 1.500m in 10-12 holes to test the strike and down-dip extensions of Eden’s Buenavista vein-breccia mineralized corridor E-NE and S-SW of the old mining workings area.

ON MINING

Argonaut Gold Inc., reported Q3, 2023 production and financial results from their Mexican mine operations (all dollar amounts are expressed in US dollars). At La Colorada, Sonora, the company reported that it sold 7,224 Oz Au; a cost of sales of $ 13,722,000; a cost of sales of $1,900 per Oz Au sold; a production cost of $10,883,000; a cash cost of $10,646,000; an AISC of $11,148,000; and cash cost and AISC of $1,474 and $1,543 per Oz Au sold respectively. At San Agustin, Durango, Argonaut reported that it sold 10,327 Oz Au; a cost of sales of $ 19,019,000; a cost of sales of $1,842 per Oz Au sold; a production cost of $17,011,000; a cash cost of $16,066,000; an AISC of $16,952,000; and cash cost and AISC of $1,550 and $1,642 per Oz Au sold respectively. At El Castillo, Durango, the company reported that it sold 4,111 Oz Au; a cost of sales of $ 6,559,000; a cost of sales of $1,595 per Oz Au sold; a production cost of $6,167,000; a cash cost of $6,091,000; an AISC of $6,229,000; and cash cost and AISC of $1,482 and $1,514 per Oz Au sold respectively.
Sierra Metals Inc., announced Q3, 2023 production and financial results from its Bolivar Mine, Chihuahua (all amounts are expressed in US dollars). The company processed 362,890 tonnes to produce 8.1M Lb CuEq at a cash cost and AISC of $2.15 and $3.57 per Lb CuEq payable respectively. Sierra Metals reported a cost of sales of $22,860,000; a total cash cost of $17,245,000; a total AISC of $30.874, 000; and a cash cost of $47.52 per tonne processed.
Orla Mining Ltd., reported Q3, 2023 production and financial results from its Camino Rojo Mine, Zacatecas (all amounts expressed in US dollars). The company produced 32,425 Oz Au and sold 31,061 Oz Au at a realized price of $1,921 per Oz Au. The company reported cost of sales of $16M, and a cash cost and AISC of $527 and $743 per Oz Au respectively. Orla announced revenue of $60.3M; a net income of $5.4; adjusted earnings of $6.6M; and earnings per share of $0.02; adjusted earnings per share of $0.02; a cash flow from operating activities before changes in non-cash working capital of $21.8M; and a free cash flow of $18.8M. Finally, it reported as of September 30, 2023, a cash and cash equivalent of $132.8M, and a net debt of $3.4M.
Discovery Silver Corp., announced Q3, 2023 financial results (all amounts expressed in Canadian dollars). The company reported a net loss of $2,207.479; a basic and diluted per share of $0.01; a net loss and total comprehensive loss of $3,059,766; and a total weighted average shares outstanding of $395,720,230. As of September 30, 2023 the company also reported a cash and cash equivalents of $59,931,068; total assets of $150,770,808; total current liabilities of $13,327,861; a working capital of $59,402,439; and total shareholders´ equity of $132,902,518. Subsequent to September 30, 2023, the Company received a refund for the cumulative IVA return filed of approximately $8.0M, including interest and inflationary adjustments (Cordero project, Chihuahua).
US Antimony Corporation will present Q3, 2023 financial results this November 17, 2023 (Los Juarez project, Queretaro).
Starcore International Mines Ltd., reported Q2, 2023 production results from its San Martin mine, Queretaro. The company milled 58,019 tonnes of 1.42 g/t Au and 15 g/t Ag with metallurgical recoveries of 85.23% and 48.81% respectively, to produce 2,420 Oz AuEq.
Torex Gold Resources Inc., announced Q3, 2023 production and financial results from its El Limon-Guajes Mine Complex, Guerrero (all amounts expressed in US dollars). The company produced 85,360 Oz Au and sold 81,752 Oz Au at a total cash of $1,086 per Oz Au, an AISC of $1,450 per Oz Au, at an average realized price of $1,944 per Oz Au. Torex reported revenues of $160.1M; cost of sales of $133M; earnings from mine operations of $27.1M; net income of $10.5M; adjusted net earnings of $11.1M; EBITDA of $79.4M; cash and cash equivalents of $209.4M; lease- related obligations of $21.1: and net cash of $188.3M. The company is confidence in achieving full year production guidance of 440,000 to 470,000 Oz Au.

ON FINANCING

Sonoran Desert Copper Corporation announced consolidation of its issued and outstanding common shares on a ratio of one post-consolidation share for four pre-consolidation shares. The shares of the company will trade on a post-consolidation basis under the new CUSIP 83569N207 (ISIN: CA83569N2077). “Company currently has 101,139,062 shares issued and outstanding. Following the consolidation, there will be approximately 25,284,766 shares issued and outstanding (Cuatro Hermanos project, Sonora).
GR Silver Mining Ltd., completed a non-brokered private placement for gross proceeds of $1.2M. Net proceeds will be used to pay outstanding amounts currently owing to persons who are arm’s length to the Company, to pay outstanding amounts owing to management and directors of the Company, and to fund general working capital (Plomosas project, Sinaloa).
Heliostar Metals Ltd., announced a warrant exercise incentive program designed to encourage the early exercise of up to 46,363,630 common share purchase warrants issued on March 16, 2023. “Each Incentive Warrant will allow the holder to acquire one Common Share at an exercise price of $0.40 for a period of two years following the date of the issuance of the Incentive Warrant. A holder may elect to exercise all, none, or a portion of their Outstanding Warrants. Each Warrant is currently exercisable to purchase one Common Share at $0.30 per Common Share until March 16, 2026. Any Outstanding Warrants remaining un-exercised after 12:00 p.m. PST on December 8, 2023 will remain outstanding and continue to be exercisable pursuant to their existing terms”. Net proceeds will be used to advance its Ana Paula project, Guerrero, and for general working capital.
Sierra Madre Gold and Silver Ltd., announced conversion of subscription receipts. “The escrow release conditions of all 5,123,092 subscription receipts have been satisfied and the proceeds from the purchase of the subscription receipts have been released from escrow. As a result, the subscription receipts have converted into a total of 5,123,092 common shares in the capital of the Company, and the Company now has access to the $3,330,010 in proceeds” (La Guitarra mine, State of Mexico).

ON RESOURCES AND DEVELOPMENT

Torex Gold Resources Inc., received approval from Mexico’s Secretariat of Environment and Natural Resources (SEMARNAT) regarding an amendment to the key environmental permit (MIA) for the Media Luna project in Guerrero, which will allow for the deposition of tailings into the mined-out Guajes open pit.
Discovery Silver Corp., provided a summary of key events for Q3, 2023 and subsequent to quarter-end. Highlights from the Q3, 2023 activities performed include: results reported from the Feasibility Study (FS) metallurgical test program demonstrating higher silver recoveries of up to 7% to the precious metals concentrate at significantly lower reagent consumption; formal submission for evaluation of the MIA to Secretaría de Medio Ambiente y Recursos Naturales (SEMARNAT), the federal government agency responsible for evaluating MIA submissions; completion of the reserve expansion and definition component of our FS program consisting of an additional 35,000 m of drilling in over 100 drill holes completed since the cut-off for the Pre-Feasibility Study (PFS) with results demonstrating the potential to further grow reserves within and on the margins of the open pit; release of the Company’s 2022 Environmental, Social and Governance (“ESG”) report highlighting the Company’s current practices and priorities going forward (Cordero project, Chihuahua).
Torex Gold Resources Inc., reported results from its 2023 El Limon-Guajes (ELG) underground drilling program. As of the end of September, approximately 54,600 m across 235 holes had been drilled as part of the 2023 ELG brownfield and near-mine exploration and drilling programs, representing 96% of the planned metres for the year. Year to date, assay results have been received for 55% of the total holes drilled. Highlights at El Limon Trend Sur include holes LS-293 with 20.1 g/t Au, 12 g/t Ag, and 0.06% Cu (20.74 g/t AuEq) over 4.63M; hole LDUG-239 with 10.94 g/t Au, 12 g/t Ag, and 0.41% Cu (11.75 g/t AuEq) over 22.91m; hole LDUG-290 with 9.97 g/t Au, 8 g/t Ag, and 0.93% Cu (11.55 g/t AuEq) over 14.93m; hole LDUG-296 with 9.17 g/t Au, 9 g/t Ag, and 0.47% Cu (10.03 g/t AuEq) over 14.35m; and hole LDUG-289 with 5.26 g/t Au, 31 g/t Ag, and 1.56% Cu (8.13 g/t AuEq) over 12.43m. Highlights at El Limon Deep Trend include holes LDUG-256 with 32.95 g/t Au, 7 g/t Ag, and 0.54% Cu (33.91 g/t AuEq) over 9.08m; and hole LDUG-268 with 35.41 g/t Au, 12 g/t Ag, and 0.16% Cu (35.81 g/t AuEq) over 4.83m, plus 6.58 g/t Au, 4 g/t Ag, and 0.15% Cu (6.87 g/t AuEq) over 5.39m. Highlights at Sub-Sill Trend include hole SST-313 with 23.18 g/t Au, 9 g/t Ag, and 0.01% Cu (17.74 g/t AuEq) over 4.69m. Highlights at El Limon West Trend include holes LS-287 with 14.98 g/t Au, 73 g/t Ag, and 1.16% Cu (17.74 g/t AuEq) over 5.4m, plus 9.16 g/t Au, 10 g/t Ag, and 0.47% Cu (10.04 g/t AuEq) over 13.4m; and hole LS-229 with 2.36 g/t Au, 65 g/t Ag, and 2.33% Cu (6.9 g/t AuEq) over 3.38m.

ON DEALS AND CORPORATE ISSUES

Fortuna Silver Mines Inc.(San Jose mine, Oaxaca), Silver Storm Mining Ltd., (La Parrilla mine, Durango), and Vortex Metals Inc., (Riqueza Marina project, Oaxaca)announced that they will be attending the 121 Mining Investment London Conference from November 20 to 21, 2023.
Vizsla Silver Corp., appointed Mr. Eduardo Luna to its Board of Directors (Panuco project, Sinaloa). “Vizsla has granted 400,000 stock Options at an exercise price of $1.36 to a director and a consultant of the Company, pursuant to the Company’s Omnibus Equity Incentive Compensation Plan. The Options are exercisable for a period of five years and will vest over the next two years. The Options are subject to the approval and policies of the TSX Venture Exchange and the NYSE American”.
Sierra Metals Inc., announced that it will start trading on the OTCQX Market in the United States under the symbol “SMTSF”. Sierra Metals continues to trade on the Toronto Stock Exchange under the symbol “SMT” (Bolivar mine, Chihuahua).
Fresnillo plc completed a USD $171K payment to Radius Gold Inc., for the development of its Plata Verde property in Chihuahua, under the terms of an Exclusivity Agreement between the companies. A maiden drill program is anticipated at Plata Verde in Q1 2024. Minera San Julian, a wholly owned subsidiary of Fresnillo plc, has an Exclusivity Period to January 7, 2024 to negotiate a definitive agreement that would include an option agreement to earn a 70% interest in Plata Verde. Minera San Julian has the right to extend its Exclusivity Period for 6 additional months beyond January 7, 2024, by providing Geonorte, a wholly owned subsidiary of Radius Gold, a minimum of USD $500K to commence drilling at Plata Verde. Such drilling shall be initiated within 3 months following January 7, 2024.
Monumental Minerals Corp., announced name change to Monumental Energy Corp., effective on November 21, 2023. The company’s common shares will trade on the TSX Venture Exchange under the new name. In connection with the name change, the Company’s trading symbol will be changed to “MNRG”.
Silver Valley Metals Corp., appointed new members to its Board of Directors (Mexi-Can Lithium-potash project in Zacatecas and San Luis Potosi).

ON SOCIAL RESPONSIBILITY

Alamos Gold Inc., releases its annual Environmental, Social, and Governance (ESG) 2022 report, which outlines its performance across its operations, projects, and offices, and provides directions on planned initiatives for 2023. Highlights of the significant progress achieved by the company during the past year include: an 8% growth in its workforce, with 77% hired from local communities, and a 36% reduction in employee turnover rate; a company-wide target of a 30% reduction in absolute greenhouse gas (“GHG”) emissions by 2030, achieving a 6% reduction in total Scope 1 and 2 GHG emissions in 2022; zero significant environmental incidents during the year, including zero reportable tailings-related incidents; $1.8M invested in local community initiatives including donations, sponsorships, community programs and infrastructure; the Mulatos mine was awarded the Silver Helmet by the Mining Chamber of Mexico (CAMIMEX) in recognition of outstanding health and safety performance; the Mulatos mine was also awarded the Socially Responsible Company (Empresa Socialmente Responsible) Award by CEMEFI, the Mexican Center for Philanthropy, for the 14^th consecutive year, and was the recipient for the Award for Corporate Ethics and Values in Industry for the third consecutive year; completed close to 1,700 training hours for occupational health and safety and emergency management; introduced the Island Gold Employee Wellness Program with licensed physical therapists on site; and three years in compliance with the World Gold Council’s Responsible Gold Mining Principles (RGMPs), and developed 12 new Alamos Sustainability Standards.

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, old mine working along a gold quartz vein hosted in rhyolites in a low-sulphidation epithermal vein system in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Second Week of November 2023

November 12, 2023 / Gambusino Prospector / Leave a comment

By Jorge Cirett

During the 45^thweek of the year (November 6^th to November 12^th, 2023), companies working in Mexico posted 29 news releases. Two companies reported exploration advances on their properties and twelve companies released Q3 2023 reports. Two companies informed on financing rounds, one on the granting of share options and one more on its share consolidation process. One company amended the terms on a property acquisition, one is reviewing its strategic options forward, one more is waiting for mining permits and two announced director’s appointments. ON MEXICO ISSUES, Ganfeng Lithium Company is trying to negotiate with the Mexican government the recent cancellation of its mining concessions in Sonora. ON EXPLORATION, In Chihuahua, Mammoth Resources presented metallurgical results from Tenoriba. In Zacatecas, Radius Gold presented drilling results from Tropico. ON MINING, Capstone Copper, Endeavour Silver, Gold Resource, Pan American Silver, Aura Minerals, Gatos Silver, Fortuna Silver, SilverCrest Metals, Coeur Mining, Avino Silver, Golden Minerals and MAG Silver presented Q3 2023 production results. ON FINANCING, Tocvan Ventures is to close a CAD$500 K financing round. Golden Minerals closed a US$4.2 M public offering. Minaurum Gold granted stock options to directors, officers and consultants. Kootenay Silver announced the consolidation of its shares. ON RESOURCES AND DEVELOPMENT, Heliostar Metals reported drilling results from its Ana Paula project in Guerrero. Prime Mining reported on drilling at its Los Reyes project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Pantera Silver amended the terms on the acquisition of the Nuevo Taxco project in Guerrero. Bear Creek Mining announced the appointment of directors of the company. Gold Resource is reviewing its strategic alternatives, including the potential sale of the company. Minaurum Gold announced the appointment of Rubén Padilla to the board of directors. Osisko Development is waiting for mining permits at San Antonio, in Sonora. ON SOCIAL RESPONSIBILITY, Argonaut Gold, SilverCrest Metals and Avino Silver presented information on their impact on communities.

ON MEXICO ISSUES

Ganfeng Lithium Company is trying to negotiate with the Mexican government the recent cancellation of its mining concessions in Sonora.

ON EXPLORATION

Radius Gold Inc. provided an update of drilling at its Tropico project in Zacatecas. The company completed an initial 1,300 m diamond drill program in eight holes, with assays received for the first seven holes. Drilling is planned to resume upon the receipt of remaining assays. Highlighted core length results comprise 29.18 m @ 0.34 gpt Au, 4 gpt Ag; 30.10 m @ 0.35 gpt Au, 3 gpt Ag; 44.20 m @ 0.28 gpt Au, 2 gpt Ag; 28.52 m @ 0.28 gpt Au, 3 gpt Ag; 36.25 m @ 0.55 gpt Au, 9 gpt Ag (including 7.52 m @ 1.40 gpt Au, 29 gpt Ag); 12.30 m @ 0.44 gpt Au, 3 gpt Ag. “The expected hydrothermal breccia pipe was not found vertically below the sinter as predicted by the geophysics, instead is rather un-expectedly dipping at 45o east and has now been defined under soil cover 200m to the east of the outcropping target”.
Mammoth Resources Corp. announced results from bottle roll tests performed on three composite samples of assay reject sample material of drill holes from the Carneritos area of its Tenoriba property in Chihuahua. Results from oxide material reached 92% and 88% dissolution Au and 55% Ag in 12 hours and 94% and 91% Au, 59% Ag after 96 hours. Results for the oxidized-sulfide transition material reached 72% Au, 61% Ag in 12 hours and 75% Au, 64% Ag in 96 hours. “Based on the success from these initial bottle roll tests, Mammoth has commenced testing a coarser fraction of the oxidized and mixed oxidized-sulfide zone material and preliminary tests of a sulfide sample and looks forward to reporting on these results in the near future”.

ON MINING

Capstone Copper Corp. reported financial results for Q3 2023, including figures from its Mexican operations. Of a consolidated production of 40.3 K tonnes Cu during the quarter, 5.9 K tonnes were produced at Cozamin, in Zacatecas, at $1.85 cash cost per Lb Cu. “Q3 2023 infill drilling at the Mala Noche Main Vein West Target was on hold while the development of the lower elevation mine cross-cut was completed. Infill drilling will recommence in early Q4 2023 to support an updated mineral resource estimate in 2024”.
Endeavour Silver Corp. announced financial and operating results for Q3 2023. Consolidated production at the Bolañitos (Guanajuato) and Guanaceví (Durango) mines during the quarter of 1.46 M Oz Ag, 9,089 Oz Au (1.87 M Oz AgEq) at cash cost $17.94 per Oz Ag and ASIC of $24.10 per Oz Ag. “Cost metrics were significantly impacted by lower production at the Guanaceví mine and increased operating development resulting from mine sequencing changes required to focus on improved access and ventilation as well as plant maintenance required during the last week of September”. Cash position of $41 M and working capital of $75.9 M by the end of the period. During the quarter $23.4 M were raised, primarily to fund the Terronera mine construction.
Gold Resource Corp. presented operational results for the year to date from its Don David mine in Oaxaca. A total of 14,777 Oz Au, 778 K Oz Ag, 8,772 tonnes Zn, 904 tonnes Cu, 3,681 tonnes Pb were produced on the year to date at total cash cost after co-product credits of $1,389 per Oz AuEq on the last quarter. At the quarters end the company had a cash balance of $6.7 M with no debt and working capital of $13.8 M.
Pan American Silver Corp. reported results for the third quarter 2023, without disclosing production figures by project. The company produced 5.7 M Oz Ag, 244.2 K Oz Au, with a silver segment cash cost of $13.13 and an AISC of $18.19, to end the period with $832.1 M, inclusive of cash and investments of $386 M, a $750 M revolving line of credit and $809 M of total debt primarily related to the acquisition of Yamana. At La Colorada, in Zacatecas, “the Company invested $14.0 million of project capital in Q3 2023 to advance the La Colorada Skarn project, largely for exploration and the preliminary economic study underway, as well as advancing the excavation of the concrete-lined ventilation shaft”. The preliminary economic study for the project is to be released by year-end 2023.
Aura Minerals Inc. filed consolidated financial statements for the period ended on September 30^th 2023. Consolidated production from all its mines reached 64,875 Oz AuEq, of which 27,933 Oz AuEq were produced at Aranzazu, in Zacatecas. The AISC of consolidated production was $1,437 per Oz Au. Aura Minerals ended the quarter with a cash balance of $179 M and a net debt of $112.1 M.
Gatos Silver Inc. announced third quarter 2023 financial and operating results. The company has a 70% interest in the Cerro Los Gatos mine in Chihuahua, which processed 268.3 K tonnes at a rate of 2,916 tpd, averaging 0.30 gpt Au, 285 gpt Ag, 1.84% Pb, 3.82% Zn, to produce 1.28 K Oz Au, 2.22 M Oz Ag, 9.5 M Lb Pb, 13.8 M Lb Zn, or 3.46 M Oz AgEq at co-product cash cost of $14.42 and a co-product AISC of $17.64 per Oz AgEq. As of October 31, 2023, the company had $57.7 M in cash, no debt and a $50 M revolving credit facility available.
Fortuna Silver Mines Inc. reported financial and operating results for the third quarter 2023. The company consolidated production from its operations in several countries was 94,821 Oz Au, 1.68 M Oz Ag. At the San Jose mine in Oaxaca, 247.5 K tonnes were processed at a rate of 2,845 tpd, grading 189 gpt Ag, 1.14 gpt Au, recovering 91% Ag, 91% Au, to produce 1.37 M Oz Ag, 8,205 Oz Au, at a cash cost of $13.84 per Oz AgEq and an AISC of $18.04 per Oz AgEq. Infill drilling led to the discovery of the Yessi vein, a blind structure 200 m horizontally from existing underground infrastructure, with highlighted true width intercepts of 9.9 m @ 1,299 gpt AgEq and 5 m @ 621 gpt AgEq.
SilverCrest Metals Inc. released its financial results for the third quarter of 2023 and expanded on October 2023 operational results from Las Chispas mine, in Sonora. During the period the company mined 83,800 tonnes, processing 114,500 tonnes at a daily rate of 1,245 tpd, averaging 4.35 gpt Au, 413 gpt Ag, recovering 98.3% Au, 98.1% Ag to produce 15,700 Oz Au, 1.49 M Oz Ag at cash cost $6.53 per Oz AgEq and an AISC of $12.23 per Oz AgEq. During the quarter 14,183 m of exploration drilling was completed, 83% in resource conversion and the rest in new vein targets, at a cost of $2.8 M. By the end of the Period SilverCrest held 70.0 M in cash and 11.7 M in bullion.
Coeur Mining Inc. reported third quarter 2023 financial results including figures from its operations in Mexico. At Palmarejo, in Chihuahua, 501.7 K tonnes were milled, averaging 1.71 gpt Au, 114.1 gpt Ag, recovering 97.6% Au, 86.9% Ag to produce 26,870 Oz Au, 1.60 M Oz Ag at CAS of $917 per Oz Au and CAS of $15.56 per Oz Ag. “The focus of exploration has transitioned from primarily mapping and sampling to more intensive drilling from four rigs during the quarter compared to one rig in the previous quarter…. focused on finding the intersection of structures where there is potential for a higher-grade shoot”. During the period Palmarejo apported 34% of the gold and 69% of the silver produced by Coeur, at the lowest costs per ounce. Full-year production is expected be 100 to 112.5 K Oz Au, 6.5 to 7.5 M Oz Ag at Palmarejo. Coeur ended the quarter with $53 M in cash and $220 M available capacity under its $390 M revolving credit facility and $7 M of marketable securities.
Avino Silver & Gold Mines Ltd. released consolidated financial results for the third quarter 2023. At the Avino mine in Durango, 154.5 K tonnes were milled to produce 237 K Oz Ag, 2,077 Oz Au, 1.14 M Lb Cu, or 591.2 K Oz AgEq at cash cost $16.90 per Oz AgEq. Recent deep drilling indicates that “The vein system continues to be open along strike and at depth”. At the end of the period Avino had $1.85 M in cash and $7.44 M in working capital.
Golden Minerals Co. released financial results and business summary for the quarter ending on September 30, 2023. The company is working on “permitting, equipment readiness, arrangements with union staff, contract miners, plant operators and support personnel. The Velardeña mines last operated in November 2015”. Also during the period a PEA report for the Velardeña properties in Durango was filed. Mining activities were concluded at Rodeo, in Durango in June 2023, and continued processing stockpiled material until August, with the pouring of the last doré in September. At the end of the period Golden Minerals held $1.6 M in cash and no debt.
MAG Silver Corp. announced unaudited financial results for Q3 2023. At Juanicipio (Fresnillo PLC 56% / MAG Silver 44%) in Zacatecas, 313.1 K tonnes were mined, 322.2 K tonnes processed @ 523 gpt Ag, 1.32 gpt Au, 1.33% Pb, 2.25% Zn, to produce 4.29 M Oz Ag, 7.76 K Oz Au, 7.69 M Lb Pb, 9.59 M Lb Zn at cash cost $4.68 per Oz Ag and an AISC of $9.19 per Oz Ag. The Juanicipio processing facility has achieved nameplate capacity, with Ag recovery above 88%. By the end of the period MAG held working capital of $55.1 M, including cash of $58.5 M and no long-term debt.

ON FINANCING

Tocvan Ventures Corp. announced the incoming closing a non-brokered private placement for gross proceeds of up to CAD$500 K (Pilar, Sonora).
Golden Minerals Co. announced and closed during the week a public offering, raising US$4.2 M (Velardeña, Durango).
Minaurum Gold Inc. granted 1.75 M common share stock options to directors, officers and consultants (Alamos Silver, Sonora).
Kootenay Silver Inc. announced that the 10 to 1 consolidation of the outstanding common shares of the company will be made effective on November 14, 2023 (Columba, Chihuahua).

ON RESOURCES AND DEVELOPMENT

Heliostar Metals Ltd. reported results from two diamond drill holes at the Parallel Panel target at the Ana Paula project in Guerrero. This target is 50 m north of the High Grade Panel, and was identified over the last few months. Highlighted core length intervals comprise 14.75 m @ 5.06 gpt Au (including 5.3 m @ 11.7 gpt Au); 18.1 m @ 2.3 gpt Au; 147.05 m @ 4.13 gpt Au (including 16 m @ 11.2 gpt Au and 7.0 m @ 14.5 gpt Au and 8.6 m @ 8.70 gpt Au). “The new holes demonstrate good continuity of width and grade within the Parallel Panel”.
Prime Mining Corp. reported expansion drilling results from Los Reyes project in Sinaloa. Highlighted true width intervals comprise 20.10 m @ 2.11 gpt Au, 29 gpt Ag (including 6.30 m @ 5.74 gpt Au, 43 gpt Ag); 5.50 m @ 1.06 gpt Au, 73 gpt Ag (including 1.80 m @ 2.57 gpt Au, 79 gpt Ag); 4.45 m @ 1.04 gpt Au, 8 gpt Ag (including 1.00 m @ 3.26 gpt Au, 20 gpt Ag). “Today’s results, along with previously released holes in this area, have extended mineralization approximately 250m down-dip from the May 2023 resource pits”. There are now six rigs operating at Los Reyes, extending the high-grade Z-T area shoots at depth and along strike, expanding the two other resource areas and exploring new generative targets. “Prime has completed over 48,000 m of its planned 60,000 m 2023 drill program”.

ON DEALS AND CORPORATE ISSUES

Pantera Silver Corp. amended the terms of the Nuevo Taxco option agreement to acquire the 1,100-ha project in Guerrero. Under the new terms Pantera is to issue 1.5 M shares in lieu of making a final cash $150 K payment. A final 2 M shares payment will be due on October 30^th, 2024 and under the amended terms the vendor has the option to accept the 2 M shares or $150 K cash plus 500 K shares. The final $800 K work commitment has been extended to be competed before the end of 2025.
Bear Creek Mining Corp. announced the appointment of Ms. Sandra Daycock Ms. Susan Toews as directors of the company, and Mr. Brian Peer to the position of Chief Operating Officer (Mercedes, Sonora).
Gold Resource Corp. presented a review of strategic alternatives. “Notwithstanding the technical successes …… in light of the continued challenges facing the Company, the Company’s Board of Directors has decided to initiate a formal review process, with the assistance of outside financial and legal advisors, to evaluate strategic alternatives for the Company. The comprehensive process will begin immediately and will evaluate a broad range of options to maximize shareholder value, including a potential sale of the Company”.
Minaurum Gold Inc. announced the appointment of Dr. Ruben Padilla, PhD to the board of directors (Alamos Silver, Sonora).
Osisko Development Corp. presented its third quarter 2023 report, with a few lines on the San Antonio project in Sonora. The company produced 13,591 Oz Au from the San Antonio heap leach since commencing processing of stockpiled inventory in Q1 2022. During Q3 production from the remaining stockpile inventory was completed, with no further production envisaged. “The Company awaits next steps from the government of Mexico with respect to the permitting process”.

ON SOCIAL RESPONSIBILITY

Argonaut Gold Inc. released its 2022 Environmental, Social, and Governance (ESG) Report and ESG strategy. For the first time released detailed energy and climate, water management, and biodiversity, with a water recycling rate of 91% on all its mines. Company-wide the Lost Time Injury Rate was lowered from 0.32 in 2021 to 0.07 in 2022. Zero operational disruptions due to labor or community issues.
Silver Crest Metals Inc. signed “a collaboration agreement with Comisión Estatal del Agua (CEA) and the municipality of Arizpe to work on agriculture infrastructure, sewage system and water concessions for agricultural use for the local communities”.
Avino Silver & Gold Mines Ltd. currently holds “448 direct jobs at the mine, which has increased substantially since the restart of operations in 2021, which typically translates to 3 times the number of indirect jobs for services, consultants and suppliers in the surrounding communities and the Durango area”.

On the image below: Geologist Julio Carcamo in a Sonoran Desert project. Picture by Jorge Cirett.

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