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

Calcite veinlets in an oxidized siltstone-sandstone sequence

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

By Miguel A Heredia

During the 35th week of the year (September 6th to September 12th, 2021), at least 23 press releases were announced by companies working in Mexico and 6 news published by the media, with fourteen reporting resources and developments of their properties, eight informing on exploration results, five commenting on Mexican issues, one  communicating production and financial results, and one discussing social issues.  ON MEXICO ISSUES, the National Autonomous University of Mexico (UNAM) and the Mexican Mining Chamber (CAMIMEX) signed a collaboration agreement to promote research, scientific-technical advice and the training of human resources related to the mining sector. Mining companies in Mexico increased their consumption of clean energy from 14 to 31% from 2019 to 2020. Silver production in Mexico was led by the companies Fresnillo plc, Newmont and Grupo México in 2020, reported CAMIMEX. The Mexican Geological Service (SGM) has detected 14 points to explore for lithium carbonate in Sonora. The head of CAMIMEX stated that Mexican mining companies face “major delays” with environmental and water permits. ON EXPLORATION, In Sonora, Benjamin Hill released assay results at its Benjamin Hill property, Colibri completed an IP survey and applied for a drill permit on its Evelyn project, and along with its partner Silver Spruce informed on exploration results at their Mezquite, Jackie and Diamante properties. In Chihuahua, Reyna Silver presented results from the first seven holes collared at its Batopilas property. In Nayarit, Sierra Madre announced results from its confirmation drilling program at its Tepic project. In Zacatecas, Defiance Silver released drill results from its ongoing drilling program at its San Acacio project.  ON MINING, Minera Alamos provided an update on the ongoing ramp up of mining operations at its Santana project in Sonora.  ON FINANCING, no relevant news.  ON RESOURCES AND DEVELOPMENT, Almaden provided an update on its current drilling program at the Ixtaca project in Puebla. Coeur provided an update of its ongoing infill and expansion drilling program at its Palmarejo property in Chihuahua.  Discovery Silver reported positive results from metallurgical test work at its Cordero property in Chihuahua. Endeavour completed a Feasibility Study (FS) on its Terronera property in Jalisco. Fabled announced additional results from its 1,200m drilling program conducted at its Santa Maria property in Chihuahua. GoGold released results from five holes drilled at its Los Ricos project in Jalisco.  Gold Resource confirmed down-dip extension of the Switchback Vein System at its Arista mine, and commenced process of ramping up activities at its Don David mine in Oaxaca. Golden Tag released results from its drilling program conducted at its San Diego property in Durango. GR Silver presented results from the exploration program conducted on the GAP area located between the San Juan and San Marcial areas in Sinaloa. Prime Mining released results from its phase 1 drilling program conducted at its Los Reyes property in Sinaloa.  SilverCrest announced infill and expansion drill results at its Las Chispas property in Sonora. ON DEALS AND CORPORATE ISSUES, no relevant news. ON SOCIAL RESPONSIBILITY, Fresnillo plc, through Minera Juanicipio promotes the economy of the communities of Carrillo and Nuevo Mexico in Fresnillo, Zacatecas.

ON MEXICO ISSUES

  • The National Autonomous University of Mexico (UNAM) and the Mexican Mining Chamber (CAMIMEX) signed a collaboration agreement to promote research, scientific-technical advice and the training of human resources related to the mining sector. The agreement will allow addressing specific problems in this strategic sector for the country, such as the management of polluting waste and the new technologies applicable in mining processes to reduce the environmental impact and the impact on local communities.
  • Mining companies in Mexico increased their consumption of clean energy from 14 to 31% from 2019 to 2020, according to the Mining Chamber of Mexico (CAMIMEX). The results correspond to the member companies of CAMIMEX, which account for about 90% of the value of the country´s mining-metallurgical production.
  • Silver production in Mexico was led by the companies Fresnillo plc, Newmont and Grupo México in 2020, reported the Mexican Mining Chamber (CAMIMEX). Silver mining production was 180.2 M Oz in 2020, 4% less than the corresponding year. Of that total, Fresnillo plc, the world’s largest producer company, recorded a production of 27.7%. This was followed by Newmont (15.4%) and Grupo México (8.8%). By federal entity, Zacatecas retains the first position, with a participation of 38.9%.The largest silver mines in the country are located in this state: “Peñasquito”, “Saucito” and “Fresnillo”.
  • The Mexican Geological Service (SGM) has detected 14 points to explore for lithium carbonate in Sonora. Lithium is used to create batteries, technological tools, mobile devices and electric cars that is revolutionizing the automotive industry.
  • The head of CAMIMEX, Fernando Alanis, stated that Mexican mining companies face “major delays” with environmental and water permits. “According to CAMIMEX, 18 specific mining project permits are pending before SEMARNAT, corresponding to projects that represent investment of nearly USD $2,800M. The metals sector seeks to boost operations in the one of the country’s biggest industries.

ON EXPLORATION

  • Benjamin Hill Mining Corp., released assay results from its Benjamin Hill property in Sonora with values as high as up to 20.0 g/t of Au at the eastern part of the area and values that ascend to 6.1, 4.4 and 3.6 g/t of Au to the south and silver values that exceed 200 g/t. These results confirm a N-S mineralized trend that runs at least by 3m long and 3 km wide. The company considers it is a new target area worthy to be drill tested.
  • Colibri Resource Corporation completed an IP survey and applied for a drill permit on its Evelyn project. At Evelyn property, the company completed an IP survey and reported that at 100m vertical depth, two broad areas of higher chargeability were identified underlying the northeast and central-east regions of the property; at 100m vertical depth, a sharp north-northwest showing more resistive domain to the northeast and a less resistive domain to the southwest was identified and has been interpreted as a moderately westerly dipping fault zone; and at 200m vertical depth, a strong chargeability was identified underlying the chargeability anomaly at 100m depth being interpreted as due to a stronger chargeability response below the zone of oxidation. Colibri also informed that it filed a drill permit with the Mexican Environmental Authority (SEMARNAT) to drill up to 56 holes at Evelyn property. This drilling program is based on data compilation and interpretation including the IP survey.
  • Colibri Resource Corporation, along with its partner Silver Spruce Resources Inc., informed on exploration results at their Mezquite, Jacky and Diamante properties. At El Mezquite property, the companies released drill results for the first 10 holes of its phase 1 drilling program and reported that 9 out of 10 returned assays or assay intercepts greater that 0.1 g/t Au with a highlight of 0.83 g/t Au over 3.05 metres in hole MEZ-21-005. These 10 holes are part of the 20 holes completed on July from eight pads for a total of 2,485m. Results of the remaining 10 holes are pending. The company also received a comprehensive interpretation of regional ASTER and LANDSAT 8 Hyperspectral and Image Analysis at their Jackie, El Diamante, and Mezquite properties. Alteration zonesassociated with NW trending lineaments (partially targeted by phase 1 drilling) were identified at Mezquite property. At Jackie, there are andesites displaying intense oxidation, silicification and argillization in areas free of vegetation. At Diamante property, there are many areas of alteration that require field verification as part of the first drill target definition.
  • Reyna Silver Corp., presented results from the first seven holes totaling 1,095m collared at its Batopilas property in Chihuahua. This is part of a 10,000m stage 1 drilling program. Significant mineralization was encountered in hole BA21-30 with 3.03 g/t Au and 703 g/t Ag over 3.2m, including 10,565 g/t Ag over 0.2m, and 8.74 g/t Au over 0.85m; and hole BA21-34 with 4.88 g/t Au and 11 g/t Ag  over 1.5m, including 28.7 g/t Au and 59 g/t Ag over 0.25m. “Reyna Silver’s exploration program in the district is focused on tracing the known and projected native- silver bearing veins into the less explored and exploited parts of the district using surface mapping, trenching and satellite imagery”.
  • Sierra Madre Gold & Silver Ltd., announced results from its recently completed confirmation drilling program at its Tepic project. This program comprised 21 RC holes totalling 2,136m. Drilling highlights include hole TRC012 with 2.23 g/t Au and 263 g/t Ag (419 g/t AgEq) over 1.2m and hole TRC013 with 1.47 g/t Au and 119 g/t Ag (222 g/t AgEq) over 22.9m. Sierra Madre is advancing the property to a NI 43-101resource estimation.
  • Defiance Silver Corp., released drill results from its ongoing drilling program out of the existing resource area at the San Acacio project. Drilling highlights include holes DDSA-21-48 with 0.11 g/t Au, 144 g/t Ag, 0.4% Pb, and 0.5% Zn (179 g/t AgEq) over 20.97m, including 0.23 g/t Au, 597 g/t Ag, 0.5% Pb, and 1.1% Zn (665 g/t AgEq) over 1.63m, including 0.4 g/t Au, 1,460 g/t Ag, 0.8% Pb, and 1.9% Zn (1,574 g/t AgEq) over 0.6m, plus 0.36 g/t Au, 21 g/t Ag, 0.7% Pb and 1.3% Zn (109 g/t AgEq) over 5.16m; hole DDSA-21-47 with 0.5 g/t Au, 274 g/t Ag, 0.3% Pb, and 1.2% Zn (362 g/t AgEq) over 3.5m, including 0.47 g/t Au, 474 g/t Ag, 0.4% Pb, and 1.3% Zn (564 g/t AgEq) over 1.80, and further down this hole encountered historical working with poor recovery core that returned 0.4 g/t Au, 183 g/t Ag, 0.8% Pb, and 1.7% Zn (289 g/t AgEq) over 12m; and hole DDSA-21-46 with 0.25 g/t Au, 9 g/t Ag, 1.4% Pb, and 4.3% Zn (212 g/t AgEq) over 3.15m.  These results confirm up-dip and down-dip continuity of the main Veta Grande vein-structure outside of the current resource estimate.

ON MINING

  • Minera Alamos Inc. provided an updated on the ongoing ramp up of mining operations at its Santana project in Sonora. The company continued to expand blasting and mining activities aimed at removing the upper portion of the Nicho Norte mineralized “pipe”. The company has mined out over 147K tonnes from June to August, the same that were placed on the leach pad. The average grade of the blasthole assays in the mineralized zone was 0.86 g/t Au.

ON FINANCING

  • No relevant news.

ON RESOURCES AND DEVELOPMENT

  • Almaden Minerals Ltd., provided an update on its current drilling program at the Ixtaca project in Puebla. The company has identified an increase in the number of COVID 19 cases in the  municipality of Ixtacamaxtitlan and has decided to pause drilling for two weeks out. To date, Almaden has drilled only one hole at the Southeast Alteration Zone to a depth of 78m. Core samples have been already dispatched to lab for assay.
  • Coeur Mining Inc., provided an update of its ongoing infill and expansion drilling program at its Palmarejo property in Chihuahua. Drilling highlights of the infill program conducted at the Independence deposit include hole HGDH_050 with 3.8 g/t Au and 271 g/t Ag over 3.5m; hole HGDH_069 with 4.8 g/t Au and 531 g/t Ag over 16.8m; hole HGDH_072 with 23.7 g/t Au and 819 g/t Ag over 3.9m, and VIDH_161 with 9.3 g/t Au and 538 g/t Ag over 3.4m. At the Patria deposit, highlights include hole LPDH with 6.2 g/ Au and 130 g/t Ag over 13m. Expansion drilling is also being conducted at Elmira and Johnson areas and highlights include hole EL21-0850-192-X30 with 36.3 g/t Au over 4.5m, hole EL21-0850-192-X23 with 16.5 g/t Au over 6m; and hole EL21-0850-156-X11 with 27.8 g/t Au over 3.2m, 220 g/t Au over 0.2m; and 53.7 g/ Au over 0.4m. “Coeur plans to transition its focus on various resource expansion targets in the remainder of 2021, while also continuing the infill program at the Independencia North, Hidalgo and La Patria zones”.
  • Discovery Silver Corp., reported positive results from metallurgical test work at its Cordero property in Chihuahua. Sulphide flotation test work returned silver recoveries of 80-89%, lead recoveries of 83-91%, and zinc recoveries of 81-90% from locked cycle tests, while oxide & transition cyanidation test work returned silver recoveries of 54-80%, and gold recoveries of 61-75% at coarse crush / grind sizes from coarse bottle roll testing.
  • Endeavour Silver Corp., completed a Feasibility Study (FS) on its Terronera property in Jalisco. Highlights of the FS at Base Case (using USD $24 silver and USD $1,800 gold ) are an after-tax NPV (5%) of USD $174M, after-tax IRR of 21.3%, a payback period of 3.6 years, a pre-tax cumulative undiscounted free cash flow of USD $476M, and after-tax cumulative undiscounted free cash flow of USD $311M. These figures are for an underground mine operation that will process 7.4M tonnes of ore at 1,700 tons per day over the 12-year mine life.
  • Fabled Silver Gold Corp., announced additional results from its 1,200m drilling program conducted at its Santa Maria property in Chihuahua. Hole SMUG-21-14 intersected 0.23 g/t Au, 81 g/t Ag, 0.1% Pb, 0.1% Zn, and 0.01% Cu (93 g/t AgEq) over 7.2m, including 0.5 g/t Au, 143 g/t Ag, 0.5% Pb, 0.3% Zn, and 0.01% Cu (143 g/t AgEq) over 4m, plus 0.33 g/t Au, 177 g/t Ag, 0.1% Pb, 0.4% Zn, and 0.01% Cu (177 g/t AgEq) over 6.75m, including 0.53 g/t Au, 286 g/t Ag, 0.2% Pb, 0.6% Zn, and 0.01% Cu (286 g/t AgEq) over 3.85m, including 1.08 g/t Au, 634 g/t Ag, 0.3% Pb, 0.9% Zn, and 0.02% Cu (690 g/t AgEq) over 1.35m. “Holes SMUG21- 16, 17 and 18 have been completed and submitted for assay. Hole SMUG21- 18 is the last hole drilled for the underground drill campaign”.
  • GoGold Resources Inc., released results from five holes drilled at its Los Ricos project in Jalisco. The most significant drill intersection was encountered in hole LRGF-21-060 collared at El Favor deposit with 0.36 g/t Au and 238 g/t Ag (3.54 g/t AuEq or 265 g/t AgEq) over 82.9m, including 0.62 g/t Au and 408 g/t Ag (6.05 g/t AuEq or 454 g/t AgEq) over 44.4m, including 1.09 g/t Au and 700 g/t Ag (10.43 g/t AuEq or 782 g/t AgEq) over 13.8 m, including 1.56 g/t Au and 1,009 g/t Ag (15.02 g/t AuEq or 1,126 g/t AgEq) over 8.1m, including 5.66 g/t Au and 2,163 g/t Ag (34.49 g/t AuEq or 2,587 g/t AgEq) over 1.4m.
  • Gold Resource Corporation confirmed down-dip extension of the Switchback Vein System at its Arista mine in Oaxaca, with interceptions of precious and base metal mineralization approximately 80m below existing workings. “The results of drilling completed during the second and third quarters of 2021 have confirmed the potential for adding precious metal bearing mineralization that is amenable to mining in the short term. Geologists continue to focus on exploring new areas and identifying additional mineralization along strike as well as up- and down-dip of the current mine workings.” At its Don David mine, the company commenced the process of ramping up activities after bringing employees back to the mine site, and provided an updated 2021 production guidance. Gold Resource expects to produce 21K-23K Oz Au and 1.1-1.3M Oz Ag, at cash and AISC of USD $250- 290 and USD $800-900 per Oz AuEq.
  • Golden Tag Resources Ltd., released results from its drilling program conducted at its San Diego property in Durango. Hole 21-57 intersected directly over top of the NW contact of the Fernandez Zone 0.1 g/t Au, 43 g/t Ag, 0.2% Pb,  0.3% Zn, and 0.02% Cu ( 76 g/t AgEq) over 273.65m, including 0.55 g/t Au, 628 g/t Ag, 1.1% Pb, 3.61 g/t Zn, and 0.12% Cu (892 g/t AgEq) over 10m. Other significant intersections included in this long interval are 0.11 g/t Au, 362 g/t Ag, 1.2% Pb, 2.8% Zn, and 0.26% Cu (570 g/t AgEq) over 1.07m, 0.1 g/t Au, 221 g/t Ag, 3.8% Pb, 2.5% Zn, and 0.12% Cu (492 g/t AgEq) over 1.23m, and 0.08 g/t Au, 43 g/t Ag, 0.7% Pb, 0.8% Zn, and 0.05% Cu (115 g/t AgEq) over 17m, plus a deeper intersection (1849 target area) of 0.13 g/t Au, 20 g/t Ag, 0.6% Pb, 0.7% Zn, and 0.05% Cu (92 g/t AgEq) over 134.37m, including 0.22 g/t Au, 25 g/t Ag, 0.6% Pb, 0.9% Zn, and 0.07% Cu (117 g/t AgEq) over 66.04m. “This new discovery sits directly over top of the NW contact of the Fernandez Zone and contains a broad interval of silver mineralization that will be tested for continuity and the potential for additional open pit style of mineralization. The second discovery was made within the 1849 Target area, which now becomes the 1849 Zone, located only 120 m NW of the Fernandez Zone.”
  • GR Silver Mining Ltd., presented results from the exploration program conducted on the GAP area located between the San Juan and San Marcial areas in Sinaloa. Channel sampling highlights include 10.72 g/t Au and 251 g/t Ag over, 0.3m; 0.81 g/t Au and 1,450 g/t Ag over 0.35m; and 2.77 g/t Au and 363 g/t Ag over 0.3m. Rock chip sampling highlights include 0.54 g/t Au, 3.5% Pb, and 11.8% Zn; 1.6 g/t Au and 440 g/t Ag. The company controls 7km of structural trend between San Marcial and San Juan areas, which hosts the new GAP Area discovery.
  • Prime Mining Corp., released results from its phase 1 drilling program conducted at its Los Reyes property in Sinaloa. Drilling highlights include hole 21GE-20 with 35.37 g/t Au and 1.626 g/t Ag over a true width (TW) of 6m, including 62.6 g/t Au and 2,574 g/t Ag over a TW of 3m; hole 21GE-18 with 15.58 g/t Au and 270 g/t Ag over a TW of 9.4m; and hole 21GE-19 with 2.66 g/t Au and 118 g/t Ag over a TW of 30.7m. These drill results expands the open-pit potential at Guadalupe East Vein System. 
  • Silver Tiger Metals Inc., presented results from its ongoing drilling program at its El Tigre property in Sonora. The most significant drill intersection was encountered in hole 21-236  on Soy Vein with 0.34 g/t Au, 324 g/t Ag, 0.47% Cu, 0.7% Pb, and 0.4% Zn (428 g/t AgEq) including 0.27 g/t Au, 894 g/t Ag, 0.9% Cu, 0.8% Pb, and 0.5% Zn (1,039 g/t AgEq) over 0.8m.
  • SilverCrest Metals Inc., announced infill and expansion drilling results in the Babicanora Area at its Las Chispas property in Sonora. Drilling highlights include hole BV21-307 with 17.13 g/t Au and 1,830 g/t Ag (3,319 g/t AgEq) over a true width (TW) of 2.96m, including 42.3 g/t Au and 4,490 g/t Ag (8,166 g/t AgEq) over a TW of 1.21m; hole BV21-308 with 15.83 g/t Au and 1,440 g/t Ag (2,815 g/t AgEq) over a TW of 3.55m, including 93.6 g/t Au and 7,750 g/t Ag (15,884 g/t AgEq) over a TW of 3.55m, including 93.6 g/t Au and 7,750 g/t Ag (7,249 g/t AgEq) over a TW of 0.42m; and hole BV21-340 with 34.4 g/t Au and 4,260 g/t Ag (7,249 g/t AgEq) over a TW of 0.41m. This drilling is targeting conversion of an estimated 15.4M Oz AgEq grading 9.97 g/t Au and 708 g/t Ag, or 1,574 g/t AgEq.

ON DEALS AND CORPORATE ISSUES

  • No relevant news.

ON SOCIAL RESPONSIBILITY

  • Fresnillo plc, through Minera Juanicipio promotes the economy of the communities of Carrillo and Mexico Nuevo in Fresnillo, Zacatecas. The company carried out the programs “Family Gardens” and “Backyard Birds” in the communities of Carrillo and Mexico Nuevo, in order to stimulate the local economy and benefit 50 families from Fresnillo, Zacatecas. This activity has the support of local authorities.

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, calcite veinlets hosted in an oxidized siltstone-sandstone sequence in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the First Week of September, 2021

By Jorge Cirett

During the 34th week of the year (August 30th to September 5th, 2021), at least 21 press releases were announced by companies working in Mexico. To note, four companies posted exploration advances on their properties, four posted on mining or quarterly reports, seven on financing or shares and four more on project development or resource definition. ON MEXICO ISSUES, Camimex informed on direct and indirect employment generated by the mining industry. In 2020, Mexico was the top silver producer in the world. Sixty percent of foreign held mining projects are idle. Mexico is the ninth top producer of gold in the world, with 41.3 tonnes produced in 2020. ON EXPLORATION, in Chihuahua, Monarca Minerals completed the first two RC holes at San Jose. In Sinaloa, Vizsla Silver released results from 19 holes on the Naploleon area of the Panuco project. Durango, Canasil Resources released results from two diamond holes at Nora. In Guanajuato, Guanajuato Silver informed drilling continues at Pinguico.  ON MINING, Altaley Mining and Santacruz Silver reported second quarter 2021 results. Torex Gold released its multi-year production outlook for el Limon Guajes complex, aiming to produce 1.59 to 1.75 M Oz Au in 2021-2024. Guanajuato Silver commenced infill drilling at El Cubo. ON FINANCING, Prime Mining reported the exercise of warrants for C$9.5 M; Silver Spruce announced a financing round for up to $1 M; Mithril plans to raise up to A$3.3 M. Silver Wolf shares are now eligible for electronic clearing in the USA. SilverCrest completed the second scheduled drawdown of US$30 M. Candelaria Mining announced a non-brokered private placement for $7.8 M, on which Agnico Eagle subscribed for a $6 M consideration. ON RESOURCES AND DEVELOPMENT, Cheasapeake Gold filed a NI43-101 report on the Metates heap leach project. Zacatecas Silver is to commence drilling at Panuco. Sonora Gold reported surface assay results from Cerro Caliche. GR Silver Mining commenced 1,500 m of underground resource expansion drilling at San Marcial. ON DEALS AND CORPORATE ISSUES, No relevant news. ON SOCIAL RESPONSIBILITY, Torex Gold, Autlán, Industrias Peñoles, Fortuna Silver and Almaden Minerals informed on social responsibility actions by the companies on communities and society.

ON MEXICO ISSUES

  • Camimex (Cámara Minera de México) informed that during the first half of 2021 the mining industry generated 40,895 new direct jobs and more than 2 million new indirect jobs, boasting salaries 36% higher than the national average.  Also, during 2020 the industry invested US$3,532 M (US$3.5 billion, in American notation) and is posed to invest further US$5,034 M (US$5 billion in American notation) in 2021 and a total of more than US$24,000 M (US$24 billion in American notation) in the next six years.  
  • Mexico was the top producer of silver in the world in 2020, with 5,541 tonnes, China and Peru stand in the second and third place producing 3,443 tonnes and 2,991 tonnes respectively.
  • There are 1,190 mining projects funded by foreign capital in Mexico, but 6 of each 10 are idle, regardless of the increase in metal prices. Of the 1,190 projects, 754 are idle, 307 in exploration, 78 in production, 43 in development and 8 have closed. One of the issues affecting the mining industry in Mexico is the fiscal load, with taxes on profit of 52.7%, same tax burden that in other countries is lower: USA 30.2%, Canada 34.6%, Chile 35.7%, Peru 39.9%.
  • Mexico is the ninth producer of gold in the world, tied with Uzbekistan. Gold production during the first half of 2021 was 41,325 kg, which is 30% higher than a year before. This is the first yearly increase in gold production since the historic high of 2015, when 60,325 kg were produced. Sonora produced 29.8% of the total amount, Zacatecas 18.8% and Chihuahua 16.1%. Five companies produced almost 60% of the total, Fresnillo PLC, Newmont (Peñasquito), Torex Gold, Agnico Eagle and Alamos Gold.

ON EXPLORATION

  • Monarca Minerals Inc. informed on the completion of the first two drill holes at the San Jose project in Chihuahua. Both RC holes intersected endoskarn and exoskarn mineralization with pyrite and fine grained sulfides (probably galena and sphalerite) and local chalcopyrite. Both holes targeted geophysical anomalies.
  • Canasil Resources Inc. released results from the second and third holes of the 2021 drill program at Nora, in Durango. Highlighted true-width intervals comprise 7.18 m @ 2.05 gpt Au, 344 gpt Ag, 0.4% Pb, 0.8% Zn (including 1.87 m @ 4.42 gpt Au, 541 gpt Ag, 0.9% Pb, 1.9% Zn and 0.94 m @ 2.92 gpt Au, 766 gpt Ag, 1.0% Pb, 2.1% Zn); 0.94 m @ 5.91 gpt Au, 316 gpt Ag, 0.8% Pb, 1.7% Zn; 0.94 m @ 7.0 gpt Au, 279 gpt Ag; 0.94 m @ 2.13 gpt, 203 gpt Ag; 5.33 m @ 1.14 gpt Au, 157 gpt Ag (including 1.85 m @ 2.45 gpt Au, 284 gpt Ag); 1.36 m @ 1.30 gpt Au, 302 gpt Ag; 3.29 m @ 6.44 gpt Au, 884 gpt Ag, 0.2% Zn; 0.90 m @ 1.65 gpt Au, 431 gpt Ag, 0.1% Zn; 1.53 m @ 20.59 gpt Au, 1,290 gpt Ag, 0.1% Pb, 0.3% Zn; 2.71 m @ 2.76 gpt Au, 250 gpt Ag, 0.1% Zn. “Gold-silver mineralization is hosted within two structurally-controlled epithermal veins, Candy and Nora… The fault structure hosting the Candy vein has been traced for a distance of over 3 km…. The second vein, Nora, is found 600 metres northeast of the Candy vein and can be traced for 230 metres with widths of over 9.0 metres”.
  • Vizsla Silver Corp. released the results from 19 new holes targeting the Napoleon vein resource area at its Panuco project in Sinaloa. Highlighted true-width results comprise 1.46 m @ 10.74 gpt Au, 188 gpt Ag, 1.3% Pb, 3.5% Zn; 3.01 m @ 3.62 gpt Au, 40 gpt Ag, 0.8% Pb, 4.0% Zn; 3.40 m @ 3.10 gpt Au, 110 gpt Ag, 1.2% Pb, 1.1% Zn; 1.40 m @ 6.49 gpt Au, 114 gpt Ag, 0.8% Pb, 8.0% Zn; 5.93 m @ 11.35 gpt Au, 185 gpt Ag, 0.5% Pb, 2.2% Zn; 6.33 m @ 1.79 gpt Au, 52 gpt Ag, 0.2% Pb, 1.1% Zn. To date 105 holes on the Napoleon resource area define an average vein width of 3.5 m @ 3.11 gpt Au, 161 gpt Ag, 0.45% Pb, 1.3% Zn. A maiden resource estimate is planned for Q1 2022.
  • Guanajuato Silver Company Ltd. informed that drilling continues at El Pinguico project in Guanajuato.

ON MINING

  • Altaley Mining Corp. released its financial and operating results for Q2 2021. At Campo Morado, Guerrero, the company processed 164 K tonnes at 1,803 tonnes per day, grading 4.5% Zn, 0.34% Cu, 129 gpt Ag, 1.16 gpt Au, recovering 74% Zn, 31% Pb, at cash cost $0.48per Lb Zn and an AISC of $0.77 per Lb Zn.
  • Santacruz Silver Mining Ltd. reported its financial and operating results for the second quarter 2021. The company operating the Zimapan and Rosario mines in Hidalgo and San Lusi Potosi respectively, processed 172.3 K tonnes to produce 799 K Oz Ag at cash cost $55.48 per tonne, cash cost $19.87 per Oz Ag, an AISC of $23.74 per Oz Ag. Revenue increased to $13.7 M and gross profits to $3.8 M.
  • Torex Gold Resources Inc. informed on the multi-year outlook for production at its El Limon Guajes mining complex in Guerrero. Torex plans to produce at El Limon Guajes 430-470 K Oz Au in 2021, 430-470 K Oz Au in 2021, 400-450 K Oz Au in 2023 and 330-350 K Oz Au in 2024 (1.59-1.74 M Oz Au, total). “The current production outlook assumes production from the ELG open pits through mid-2024, and stable production from the ELG Underground through to at least the end of 2024 and likely longer based on exploration results”.
  • Guanajuato Silver Company Ltd. announced that infill and expansion drilling has commenced at its El Cubo mine in Guanajuato.

ON FINANCING

  • Prime Mining Corp.  reports the exercising of warrants for gross proceeds of C$9.52 M, resulting in a cash position of C$31.9 M. “From the 15,000 metre (“m”) Phase 1 diamond drill program at Los Reyes completed in June 2021, 29 unreported holes are expected to be released in the coming weeks” (Los Reyes, Sinaloa).
  • Silver Wolf Exploration Ltd. announced its shares are now eligible for electronic clearing and settlement in the United States (Ana Maria, Durango).
  • SilverCrest Metals Inc. announced the completion of the second scheduled drawdown of US$30 M on its previously announced US$120 Million project financing facility with an affiliate of RK Mine Finance (Las Chispas, Sonora).
  • Silver Spruce Resources Inc. announced a private placement to gather up to $1 M (El Mezquite, Sonora).
  • Candelaria Mining Corp. announced a non-brokered private placement geared to raise up to $7.8 M in gross proceeds (Caballo Blanco, Veracruz).
  • Agnico Eagle Mines Ltd. is subscribing 13.333 M units of Candelaria Mining Corp., for a total consideration of $6 M. On closing of the private placement, Agnico is to own 15.94% of the issued and outstanding shares of Candelaria (Pinos Altos, Chihuahua).
  • Mithril Resources Ltd. Is planning to raise up to A$3.3 M through a share placement (Coplaquin, Durango).

ON RESOURCES AND DEVELOPMENT

  • Chesapeake Gold Corp. filed a NI-43-101 technical report on the Metates sulfide heap leach project in Durango. The company has shipped selected drill core samples for metallurgical testing in Vancouver. “The Company will prioritize the intrusive and intrusive breccia portions of the Metates orebody with results of the testwork to be released on an ongoing basis. First results are expected in earlyQ1 2022”.
  • Zacatecas Silver Corp. informed drilling to commence at the Panuco deposit and San Gill breccia zone on its Zacatecas Silver project. The Phase One program is to include 10,000 m of drilling. “A total of three veins will be drilled — Panuco NW, Panuco Central and Tres Cruces — which remain open at depth and along strike. These are high-priority drill targets”.
  • Sonoro Gold Corp. reported assay results from surface sampling at its Cerro Caliche project in Sonora. “Surface rock samples were collected from several well-defined vein and gold mineralized structures by channel sampling perpendicular across measured veins and wall rocks with sample lengths ranging from 0.4 to 2.0 meters. Assay results from 17 samples returned grades between 2.5 and 14.3 grams of gold per tonne”. These assays are from extensions to significant structural corridors at the Buena Suerte and El Colorado zones.
  • GR Silver Mining Ltd. commenced the initial 1,500 m underground resource expansion diamond drill program at San Marcial, in Sinaloa. The program will test down-dip and along strike extensions to the existing NI-43-101 resource and new targets defined by a recent geophysical program.

ON DEALS AND CORPORATE ISSUES

  • No Relevant News.

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna (Torex Gold) informed on medical supplies to some communities in Guerrero.
  • Autlán received for second consecutive year the Ethics and Values award granted by CONCAMIN (Confederación de Cámaras Industriales).
  • Peñoles received the Ethics and Values, and the Health and Wellbeing awards granted by CONCAMIN (Confederación de Cámaras Industriales).
  • Minera Cuzcatlán (Fortuna Silver) informed on aid to local communities near its San José mine in Oaxaca.
  • Fresnillo and Industrias Peñoles informed on aid to communities and organizations thorough the country.
  • Minera Gorrión (Alamaden Minerals informed on the way it is letting the communities know about its current drilling program in Puebla.

On the image below:  Low sulfidation epithermal quartz veining from a project in northern Sonora. Picture by Jorge Cirett.

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

By Miguel A Heredia

During the 32nd week of the year (August 9th to August 15th, 2021), at least 22 press releases were announced by companies working in Mexico and 2 news published by the media, with eight reporting resources and developments of their properties, seven communicating production and financial results, four informing on exploration results, two announcing financial topics,, one disclosing deal and corporate issues, one commenting on Mexican issues and one discussing social issues.  ON MEXICO ISSUES, According to World Bank Data, Mexico continued to dominate world silver production last year, despite a 9.5% drop on the previous year.  ON EXPLORATION, In Durango, Canasil released results from the first drill hole of its 2020 follow up drill program collared at its Nora project, and Mithril presented drilling results, extending the El Refugio high-grade “clavo” zone 80m further east. In Zacatecas, Zacatecas Silver announced it has received drilling permits for their El Panuco and San Gil projects. In the State of Mexico, Xali has identified new drill targets at its El Oro-Tlalpujahua mining district.  ON MINING, Gatos Silver reported Q2, 2021 production and financial results from its Los Gatos mine in Chihuahua. Argonaut announced Q2, 2021 production and financial results from their Mexican operations. Endeavour presented Q2, 2021 consolidated financial results from their Mexican operations. GoGold reported Q2, 2021 production and financial results from its Parral Tailings project in Chihuahua.  Guanajuato Silver announced that it began stockpiling mineralized material from its El Cubo mine in Guanajuato. Pan American reported Q2, 2021 production and financial results from their La Colorada and Dolores mines in Zacatecas and Chihuahua respectively. Sierra Metals announced Q2, 2021 production and financial results from their Bolivar and Cusi mines in Chihuahua.  ON FINANCING, Magna provided an update to its previously announced non-brokered private placement of CAD $10M convertible debentures (San Francisco mine, Sonora). Southern Silver provided exercise instructions for warrants dated September 11, 2020 (Cerro Las Minitas, Durango).  ON RESOURCES AND DEVELOPMENT, Barksdale commenced a 5,000m Phase 1 drilling program at its San Javier project in Sonora. Azucar Minerals provided an update for its El Cobre project in Veracruz. Gatos Silver reported drilling results from its definitional drilling at its Cerro Los Gatos, Chihuahua. Gold Resource confirmed the up-dip extension of the Switchback Vein system and has also intersected additional mineralization outside of the current mining area (Don David Gold mine, Oaxaca). Osisko provided an update of the activities carried out in 2021 at its San Antonio project, Sonora.  Pan American reported its estimated mineral reserves and resources as of June 30, 2021 at their La Colorada, Dolores, and La Bolsa deposits in Zacatecas, Chihuahua, and Sonora respectively. SilverCrest provided an update on its Las Chispas mine construction in Sonora.  Southern Silver released assay results from its ongoing drilling program at its Cerro Las Minitas project, Durango. ON DEALS AND CORPORATE ISSUES, Excellon provided an update on litigation in respect of the La Antigua mineral concession (Evolution property, Zacatecas). ON SOCIAL RESPONSIBILITY, Alamos Gold has allocated MXP $400M in environmental investment at its la Yaqui Grande mining project in Sonora.  

ON MEXICO ISSUES

  • According to World Bank Data, Mexico continued to dominate world silver production last year, despite a 9.5% drop on the previous year. Mexico produced 5,541 tonnes of silver, followed by China with 3,443 tonnes, and by Peru with 2,991 tonnes. Global production of silver totaled 25,516 tonnes last year, a 3.7% decrease compared to 2019, largely due to COVID-19 restrictions which required several major silver producers to temporarily halt production. “Mexico´s Fresnillo plc, the world´s largest silver producing company, said mine extraction of the metal has shown a steady decline since 2015”.

ON EXPLORATION

  • Canasil Resources Inc., released results from the first drill hole of its 2020 follow up drill program collared at its Nora project. Highlights of the hole NRC-21-09 drilled on the Candy Vein include 20.59 g/t Au and 1,290 g/t Ag (2,783 g/t AgEq) over a true width (TW) of 1.53m, including 43.7 g/t Au and 1,290 g/t Ag (4,458 g7t AgEq) over a TW of 0.63m; plus 6.44 g/t Au and 884 g/t Ag (1,355 g/t AgEq) over a TW of 3.29m on the Candy hanging wall structure, including 8.45 g/t Au and 1,021 g/t Ag (1,634 g/t AgEq) over a TW of 1.84m, including 15.6g/t Au and 561 g/t Ag (1,692 g/t AgEq) over a TW of 0.50m; plus 2.76 g/t Au and 250 g/t Ag (450 g/t AgEq) over a TW of 2.71m on the Candy foot wall structure, including 6.19 g/t Au and 319 g/t Ag (768 g/t AgEq) over a TW of 0.90m. The high gold and silver grades and relatively low base metal values suggest the upper levels of the system which is open to depth.
  • Mithril Resources Ltd., presented drilling results, extending the El Refugio high-grade “clavo” zone 80m further east. High-grade was intercepted in hole CDH-079 with 7.60 g/t Au and 332 g/t Ag over 12.4m, including 18.1 g/t Au and 810 g/t Ag over 4.19m; and hole CDH-80 with 5.08 g/t Au and 197 g/t Ag over 6.11m, including 9.47 g/t Au and 399 g/t Ag over 2.3m.
  • Zacatecas Silver Corp., announced it has received drilling permits from SEMARNAT for the execution of 10,000m of drilling at their El Panuco and San Gil projects in Zacatecas. The company also completed environmental studies at San Manuel and El Cristo projects and has submitted drill permit applications to SEMARNAT which expect to be received in approximately four weeks.
  • Xali Gold Corp., has identified in a 3D Leapfrog model, new drill targets at its El Oro-Tlalpujahua mining district in the State of Mexico. These targets are designed to test potential extensions to the mineralized veins where they are intersected by cross-cutting mineralized structures. These structures have been incorporated into the 3D model in order to optimize drill angles and azimuths.

ON MINING

  • Gatos Silver Inc., reported Q2, 2021 production and financial results from the Los Gatos mine in Chihuahua. The company mined 240,047 tonnes and milled 230,656 tonnes of 322 g/t Ag, 0.35 g/t Au, 2.5% Pb, and 4.4% Zn with metallurgical recoveries of 89%, 63%, 90%, and 75% respectively to produce 2.1M Oz Ag, 1.5K Oz Au, 11.2M Lb Pb, and 14.5M Lb Zn. Co-product cash cost and Co-product AISC were $11.5 and $17.65 per Oz AgEq respectively, while by-product cash cost and by-product AISC were $2.87 and $12.63 per Oz AgEq respectively. Gatos Silver reported operating expenses for $5.1M, a net income of $13.5M, and a cash and cash equivalents at June 30, 2021 for $29.6M.
  • Argonaut Gold Inc., announced Q2, 2021 production and financial results from their Mexican operations. At El Castillo mine in Durango, the company mined 2,496,000 tonnes and processed 2,468,000 tonnes on leach pads with a grade of 0.25 g/t Au to produce 12.7K Oz Au and 17.4K Oz Ag or 12,929 Gold Equivalent Ounces (GEOs) at a cash cost of USD $1,109 per Oz Au sold. At San Agustin mine in Durango, Argonaut mined 2,718,000 tonnes and processed 2,962,000 tonnes on leach pads with a grade of 0.32 g/t Au to produce 18.1K Oz Au and 138.5K Oz Ag or 19,734 GEOs, at a cash cost of USD $801 per Oz Au sold. Consolidated results for El Castillo Complex (El Castillo + San Agustin mines) were 5,214,000 tonnes mined and 5,450,000 tonnes processed with a grade of 0.29 g/t Au to produce 30.8K Oz Au and 155.9K Oz Ag or 31.4K GEOs at a cash cost of USD $924 per Oz Au sold. At La Colorada mine in Sonora, it mined 1,150,000 tonnes and processed 1,247,000 tonnes on leach pads with a grade of 0.76 g/t Au to produce 16.7K Oz Au and 48.1K Oz Ag or 17,288 GEOs, at a cash cost of USD $608 per Oz Au sold. Argonaut also reported the discovery of high-grade gold veins below the El Creston open pit, including 98.9 g/t Au and 30 g/t Ag over 12.2m, and 44.6 g/t Au and 275 g/t Ag over 21.3m.
  • Endeavour Silver Corp., presented Q2, 2021 consolidated financial results from their Mexican operations. The company produced 1.07M Oz Ag and 11.1K Oz Au (2MOz AgEq) at cash and AISC of USD $13.03 and USD $25.39 per Oz Ag payable respectively. It reported net revenue of USD $47.7M from the sale of 1.12M Oz Ag and 9.8K Oz Au; cash flow of USD $8.7M before working capital changes; earning of USD $6.7M; adjusted earning of USD $0.8M; cash position of USD $125.2M; and working capital of USD $146.8M. Endeavour also announced the suspension of operations at its El Compas mine in Zacatecas. 
  • GoGold Resources Inc., reported Q2, 2021 production and financial results from its Parral Tailings project in Chihuahua. The company produced 315.6K Oz Ag, 3,170 Oz Au, and 268.8K Lb Cu (563.4K Oz AgEq) at cash and AISC of USD $13.31 and USD $16.98 per Oz AgEq. GoGold reported revenues for USD $15M on the sale of 563.4K Oz AgEq; free cash of USD $7.5M; cash flow from operations before working capital of USD $6M, and USD $2.7M after working capital; adjusted net income of USD $3.9M; and cash of USD 73.5M. The company plans to use the free cash flow generated from its Parral Tailings project to fund the current exploration program conducted at its Los Ricos project in Jalisco.
  • Guanajuato Silver Company Ltd., announced that mining, mucking, and stockpiling of mineralized material has begun at its El Cubo mine in Guanajuato in anticipation of the recommencement of operations at the El Cubo mill.
  • Pan American Silver Corp., reported Q2, 2021 production and financial results from their La Colorada and Dolores mines in Zacatecas and Chihuahua respectively. At La Colorada, Zacatecas, the company produced 1.01M Oz Ag and 700 Oz Au at cash and AISC of USD $4.52 and USD $12.42 per Oz Ag respectively. At Dolores, Chihuahua, Pan American produced 612K Oz Ag and 43.3K Oz Au at cash and AISC of USD $602 and USD $716 per Oz Au respectively.
  • Sierra Metals Inc., announced Q2, 2021 production and financial results from their Bolivar and Cusi mines in Chihuahua. At Bolivar mine, Chihuahua, the company processed 385,331 tonnes of 0.86% Cu, 19 g/t Ag, and 0.21 g/t Au to produce 5.8M Lb Cu, 202K Oz Ag, and 1,627 Oz Au (7.75M Lb CuEq) at cash and AISC of USD $1.17 and USD $3.27 per Lb CuEq respectively. At Cusi mine, Chihuahua, Sierra Metals processed 73,294 tonnes of 139 g/t Ag, 0.16 g/t Au and 0.1% Pb to produce 269K Oz Ag, 142 Oz Au and 129K Lb Pb (283K Oz AgEq) at cash and AISC of USD $21.67 and USD $35.73 per Oz AgEq.

ON FINANCING

  • Magna Gold Corp., provided an update to its previously announced non-brokered private placement of CAD $10M convertible debentures. The principal amount of the debentures is convertible, at the election of Delbrook Capital Advisors Inc., into common shares of the company at a conversion price of CAD $1.25 per common share.  The Company will pay Delbrook a 1.25% arrangement fee on closing of the private placement (San Francisco mine, Sonora).
  • Southern Silver Exploration Corp., provided exercise instructions for warrants dated September 11, 2020 in connection with a CAD $10M brokered private placement of subscription receipts and a CAD $4M non-brokered private placement of subscription receipts which both closed on August 14, 2020 (Cerro Las Minitas, Durango).

ON RESOURCES AND DEVELOPMENT

  • Barksdale Resources Corp., commenced a 5,000m Phase 1 drilling program at its San Javier project in Sonora. Goals of this Phase 1 drilling program is to test the controls of the Cu mineralization at the Cerro Verde deposit in San Javier project, to step out of from known areas of previously drilled mineralization, and provide metallurgical samples for a column test work. Results from this drilling phase will be used to update a 3D model that will form the base for a new resource estimate.
  • Azucar Minerals Ltd., provided an update for its El Cobre project in Veracruz. It has drilled a couple of holes: one at El Pedregal target and a second one at the Raya Tembrillo target within the Villa Rica Zone at its El Cobre property. A hole planned for the large area of alteration and mineralization of the Encinal Zone will be deferred until more detailed geologic work and review is complete. Assays of the two holes already drilled will be released when they are received and processed. It is also reviewing past acquired data to plan additional drilling for future programs.
  • Gatos Silver Inc., reported drilling results from its 27,000m definitional drilling at its Cerro Los Gatos, Chihuahua. Highlights include hole GA404 collared at SE Zone of Esther deposit with 211 g/t Ag, 0.28 g/t Au, 5.5% Pb, and 8.3% Zn over 12.5m, and hole GA392 collared at NW Zone of Esther deposit with 27 g/t Ag, 0.9% Pb, and 4.5% Zn over 30m. “Drilling has identified three separate veins in SE Block #4: an upper vein, a middle vein with more characteristic thickness and grade of the main Cerro Los Gatos system, and a deeper footwall vein which was first identified in this campaign of drilling. The upper vein now has a demonstrated strike length of 400 meters which is open to the southeast and at depth. The middle vein has a demonstrated strike length of 520 meters which remains open to the northwest and at depth. The third vein has a demonstrated strike length of 800 meters and remains open to the southeast and at depth. These drill results extended 800m from the existing resource reserve blocks and remains open to the SE”.
  • Gold Resource Corporation confirmed the up-dip extension of the Switchback Vein system and has also intersected additional mineralization at Sandi Vein system outside of the current mining area with upside potential to develop a new mineralized zone.  Drilling highlight on Switchback Vein include hole # 521013 with 1.51 g/t Au, 95 g/t Ag, 0.21% Cu, 1.2% Pb, and 1.8% Zn over 5.37m, including 2.61 g/t Au, 155 g/t Ag, 0.25% Cu, 2.1% Pb, and 3% Zn over 2.9m; hole # 521014 with 0.82 g/t Au, 640 g/t Ag, 0.24% Cu, 0.2% Pb, and 0.8% Zn over 0.78m, hole # 521015 with 0.01 g/t Au,  2,610 g/t Ag, and 0.31% Cu over 1.55m; and hole # 521018 with 4.45 g/t Au, 4,460 g/t Ag, 0.03% Cu, 1% Pb, and 2.4% Zn over 0.36m. Drilling highlights at Sandy Vein system include hole # 521021 with 1.61 g/t Au, 33 g/t Ag, 0.5% Cu, 2.4% Pb, and 2.1% Zn over 8.67m, including 4.88 g/t Au, 75 g/t Ag, 0.93% Cu, 6.4% Pb, and 4% Zn over 2.77m; and hole # 521022 with 2.32 g/t Au, 19 g/t Ag, 0.2% Cu, 1.4% Pb, and 6.8% Zn over 1.18m. “The Sandy 1 vein is open on dip and along strike to the northwest, whilst southeastern potential, including linkage to the Switchback system, is being evaluated”.
  • Osisko Development Corp., provided an update of the activities carried out in 2021 at its San Antonio project, Sonora. The company completed 9,900m of infill drilling of a planned two phase 45,000m drilling campaign. It also continues preparations to commence processing of the large stockpile on site, and announced that the heap leaching permitting is on schedule and anticipates granting of the permit by the end of the year.
  • Pan American Silver Corp., reported its estimated mineral reserves and resources as of June 30, 2021 at their La Colorada, Dolores, and La Bolsa deposits in Zacatecas, Chihuahua, and Sonora respectively. Mineral resources are exclusive of mineral reserves. At La Colorada mine, Zacatecas, the company reported proven reserves of 3.9M tonnes of 350 g/t Ag and 0.25 g/t Au for a total of 43.5M Oz Ag and 30.6K Oz Au contained and probable reserves of 6.2M tonnes of 289 g/t Ag and 0.19 g/t Au for a total of 57.3M Oz Ag and 38.2K Oz Au contained. It also reported measured resources of 1.3M tonnes of 185 g/t Ag and 0.15 g/t Au for a total of 7.6M Oz Ag and 6K Oz Au contained, indicated resources of 1.9M tonnes of 175 g/t Ag and 0.15 g/t Au, for a total of 10.6M Oz Ag and 9K Oz Au contained, and inferred resources of 8.4M tonnes of 190 g/t Ag and 0.15 g/t Au for a total of 51.1M Oz Ag and 40.9K Oz Au. In addition La Colorada Skarn has inferred resources of 100.4M tonnes of 44 g/t Ag to contain a total of 141M Oz Ag. At Dolores mine, Chihuahua, Pan American reported proven reserves of 20.8M tonnes of 22 g/t Ag and 0.74 g/t Au for a total of 14.9M Oz Ag and 495.3K Oz Au contained and probable reserves of 6.2M tonnes of 28 g/t Ag and 0.78 g/t Au for a total of 5.6M Oz Ag and 155.1K Oz Au contained. The company also reported measured resources of 2.82M tonnes of 16 g/t Ag and 0.3 g/t Au for a total of 1.5M Oz Ag and 27.2K Oz Au, indicated resources of 0.82M tonnes of 22 g/t Ag and 0.62 g/t Au for a total of 0.6M Oz Ag and 16.3K Oz Au contained, and 2.7M tonnes of 46 g/t Ag and 1.25 g/t Au for a total of 4M Oz Ag and 108.5K Oz Au contained. At La Bolsa deposit, Sonora, the company reported measured resources of 10.8M tonnes of 10 g/t Ag and 0.7 g/t Au for a total of 3.5M Oz Ag and 242.8K Oz Au contained, indicated resources of 10.6M Oz tonnes of 8 g/t Ag and 0.54 g/t Au for a total of 2.7M Oz Ag and 154.3K Oz Au contained, and inferred resources of 13.7M tonnes of 8 g/t Ag, and 0.51 g/t Au for a total of 3.3M Oz Ag and 224.6K Oz Au contained.
  • SilverCrest Metals Inc., provided an update on its Las Chispas mine construction in Sonora. The company reported that at the end of HI, 2021 Las Chispas progress was 33% completed; camp facility and earthworks completed; concrete foundation work 74% complete; plant tank, power line, road and bridge commenced; and 4.6Km of underground development completed. SilverCrest reported that as at July 31, 2021, the company remains well funded with cash and cash equivalents of USD $188M and USD $90M available under a USD $120M project financing facility. “Las Chispas could generate after-tax project free cash flow of approximately USD $160M in 2023 and an estimated average of USD $110M per year from 2023 to 2029”.
  • Southern Silver Exploration Corp., released assay results from its ongoing drilling program at its Cerro Las Minitas project, Durango. Drilling highlights from Mina La Bocona Area include hole 21CLM-164 with 102 g/t Ag, 1.8% Pb, and 1.7% Zn (234 g/t AgEq) over a true width (TW) of 16.3m, including 383 g/t Ag, 7.9% Pb, and 10.2% Zn (1,051 g/t AgEq) over a TW of 1.4m; 21CLM-167 with 263 g/t Ag, 0.2 g/t Au, 6% Pb, and 1.2% Zn (513 g/t AgEq) over a TW of 1.7m, including 543 g/t Ag, 0.4 g/t Au, 12.7% Pb, and 1% Zn (1,011 g/t AgEq) over a TW of 0.7m; and hole 21CLM-170 with 7 g/t Ag, 0.4% Cu, and 10.6% Zn (443 g/t AgEq) over a TW of 2.5m, including 14 g/t Ag, 0.4% Cu, and 21% Zn (844 g/t AgEq) over a TW of 0.7m. The current drill program has now completed 56 core holes totaling 22,360 metres since drilling recommenced in September 2020. Assay results from five drill holes are pending and are anticipated over the coming weeks. “Southern Silver has now tested over 850m of strike length along the east side of the Cerro to depths of up to 500m, primarily in the South Skarn and Mina La Bocona target areas. Three bonanza grade mineralized zones have been identified as well as shallow intercepts of high-grade mineralization to the northwest of the Bocona target, results of which will be incorporated into an upcoming mineral resource update on the project”.

ON DEALS AND CORPORATE ISSUES

  • Excellon Resources Inc., provided an update on litigation involving the Company’s subsidiary, San Pedro Resources SA de CV (San Pedro) in respect of the La Antigua mineral concession (Evolution property, Zacatecas). Excellon received an initial electronic notice last July that San Pedro’s appeal to the federal courts of Mexico in respect of the litigation was dismissed, despite the lack of evidence, facts or law to support this outcome. The Company has now received the formal written decision on the appeal which, based on initial legal review, appears to uphold the judgment granting the plaintiff an award of approximately USD $23M and is not subject to further legal appeal in Mexico.  Brendan Cahill, President and CEO of Excellon, stated that “The value ascribed in the judgment is impossible based on evidence, facts or law. Simply put, the maximum value realizable by the plaintiff from the agreement on La Antigua was USD $500K in the best-case scenario, yet the Miguel Auza Mine was shut down in 2008 almost immediately after operations commenced.”

ON SOCIAL RESPONSIBILITY

  • Alamos Gold Inc., has allocated MXP $400M in environmental investment at its la Yaqui Grande mining project in Sonora. The foregoing consists of environmental remediation works that will be carried out as areas of the mine are vacated, a different model from the traditional work that waits until the end of the useful life of a mine to carry out reclamation and closure activities. In La Yaqui Grande, it is contemplated to have constant reclamation of areas, placing the vegetal roof covering in layers and stages, which implied a special design and engineering to make it possible throughout the seven years of operation. The company will also acquire a treatment plant that will allow the water used in the operation to be recirculated, reducing its consumption. The design of “tepetateras or dumps” is different from the traditional ones and there is already a nursery for the reproduction of native plants of the region, which will supply the demand for the development of this environmental project.

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 volcanic-hosted quartz vein with oxidized pyrite in a low sulphidation epithermal vein system from a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

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

Quartz vein displaying boiling texture

By Miguel A Heredia

During the 30th week of the year (July 26th to August 1st, 2021), at least 28 press releases were announced by companies working in Mexico and 3 news published by the media, with eight communicating production and financial results, eight informing on exploration results, five disclosing deal and corporate issues, four reporting on resources and developments of their properties, two announcing financial topics, two commenting on Mexican issues and two discussing social issues.  ON MEXICO ISSUES, Equinox announced that the illegal blockade at its Los Filos mine in Guerrero has been lifted. According to information from the Mexican Mining Chamber (CAMIMEX), mining companies working in Mexico have a sustainable commitment with the environment.   ON EXPLORATION, In Sonora, Tocvan and its partner Colibri reported results from its ongoing drilling program at the Pilar project, and Riverside announced results from the first hole testing the Santa Rosalia target at its the Cuarentas project. In Sinaloa, Vizsla released new results from its ongoing 100,000m drilling program at its Panuco project. In Durango, Canasil informed that it has completed three holes at its Nora project and Mithril provided a report of the exploration activities carried out at its Copalquin project during the period Q2, 2021.  In Puebla, Almaden commenced prospect drilling at its Ixtaca property. ON MINING, Mexus announced that mining continues at the Vein 2 Area within its Santa Elena mine in Sonora. Santacruz reported Q2, 2021 production results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. Alamos Gold presented Q2, 2021 production and financial results from its Mulatos mine in Sonora.  Capstone announced Q2, 2021 production and financial results from its Cozamine mine in Zacatecas. Agnico Eagle reported Q2, 2021 from their Mexican operations in Chihuahua and Sonora. Coeur presented Q2, 2021 production and financial results from its Palmarejo mine in Chihuahua. Gold Resource announced Q2, 2021 production and financial results from its Arista mine in Oaxaca. Mag Silver and its JV partner Fresnillo plc reported Q2, 2021 production results from its Juanicipio project in Zacatecas. ON FINANCING, Gold Resource declared quarterly dividends of $0.01 per common share to shareholders for the period Q2, 2021 (Arista mine, Oaxaca). Guanajuato Silver announced it has drawn down USD $7.5M from its loan facility (El Cubo mine, Guanajuato). ON RESOURCES AND DEVELOPMENT, Chesapeake released results of its PEA for the Phase 1 mine plan of its Metates project, Durango. Fabled reported drill results and expanded to 14,200m its ongoing drilling program at the Santa Maria project, Chihuahua. GoGold continued releasing drill results from the ongoing drilling campaign at its Los Ricos North project in Jalisco.   Golden Tag filed a drill permit to quadruple the number of drill pads at its San Diego project, Durango.  ON DEALS AND CORPORATE ISSUES, Commander optioned the Pedro project, Durango to Southern Empire. Vizsla announced the appointment of its VP of Business Development and Strategy (Panuco project, Sinaloa). SilverCrest announced the appointment of its VP of Technical Services (Las Chispas, Sonora). Altaley launched its new corporate website (Campo Morado mine, Guerrero). ON SOCIAL RESPONSIBILITY, Grupo Mexico delivered 9,000 trees for forestry programs to the Municipality of San Francisco del Rincón, Aguascalientes. Fresnillo plc and Industrias Peñoles have implemented strategies for the care and management of water for their operational processes in all their mines and plants.

ON MEXICO ISSUES

  • Equinox Gold Corp., announced that the illegal blockade at its Los Filos mine, Guerrero has been lifted, access to the mine has been restored and Los Filos mine has resumed operations.  There are some members of Xochipala community still camped near the Guadalupe and Bermejal open pits but Equinox´s representatives are in talks with government and Xochipala representatives to achieve resolution.
  • According to information from the Mexican Mining Chamber (CAMIMEX), mining companies working in Mexico have a sustainable commitment. In 2020 more than MXP $7,450M was invested in the country to take care of the environment such as efficient water management, reforestation, and conservation of the flora and fauna species as part of its sustainability policies and in compliance with Mexican legislation.

ON EXPLORATION

  • Tocvan Ventures Corp. and its partner Colibri Resources Corporation reported results from its 20-holes, 2500 m Phase 2 RC program at the Pilar project in Sonora. Significant drill results were encountered in holes JES-21-53 with 1.09 g/t Au and 2 g/t Ag (1.11 g/t AuEq) over 15.25m, including 2.42 g/t Au and 3 g/t Ag (2.45 g/t AuEq) over 4.58m, including 4.57 g/t Au and 3 g/t Ag (4.65 g/t AuEq) over 1.53m; hole JES-21-52 with 0.63 g/t Au and 47 g/t Ag (1.13 g/t AuEq) over 3.05m, plus 0.49 g/t Au and 31 g/t Ag (0.81 g/t AuEq) over 3.06m; hole JES-21-55 with 0.43 g/t Au and 4 g/t Ag (0.47 g/t AuEq) over 10.67m, including 1.16 g/t Au and 7 g/t Ag (1.24 g/t AuEq) over 1.52m, plus 1.2 g/t Au over 1.53m; and hole JES-21-50 with 0.96 g/t Au and 2 g/t Ag (0.99 g/t AuEq) over 39.65m, including 3.04 g/t Au and 6 g/t Ag (3.1 g/t AuEq) over 12.2m, including 14.55 g/t Au and 11 g/t Ag (14.67 g/t AuEq) over 1.53m. “The drilling appears to be defining a footprint of mineralization approximately 500m X 500m with expansion potential to the southeast”.
  • Riverside Resources Inc., announced results from the first drill hole testing the Santa Rosalia target at its the Cuarentas project. Hole LC20-010 intersected 0.36 g/t Au over 3.15m, including 0.88 g/t Au over 0.7m, plus 0.58 g/t Au over 1.55m, including 1.05 g/t Au over 0.65m. “The Cuarentas epithermal vein drilled mineralized area intersected at surface and appears to be the upper part of a copper-gold porphyry system that is potentially responsible for the extensive >6km area including sericite and pyrophyllite alteration”. Riverside is highlighting the possibility of a feeder system of intermediate sulphidation along the Testerazo fault corridor.
  • Vizsla Silver Corp., released new results from its ongoing 100,000m drilling program at its Panuco project. These new results are from ten holes completed at Cordon del Oro area, on which nine out of the ten holes intersected a new east-west trending vein within the San Antonio Vein corridor. The most significant drill intercepts were encountered in holes CO-21-44 with 6.64 g/t Au and 705 g/t Ag (1,283 g/t AgEq) over a true width (TW) of 2.07m, including 14.65 g/t Au and 1,365 g/t Ag (2,649 g/t AgEq) over a TW of 0.78m; and hole CO-21-50 with 2.59 g/t Au and 747 g/t AgEq (943 g/t AgEq) over a TW of 2.17m, including 4.23 g/t Au and 1,230 g/t Ag (1,551 g/t AgEq) over a TW of 1.18m.  Drilling results have delineated near-surface mineralization zone of 200m along strike and 100m down dip, and remain open in all directions. Next step is to expand this new zone both at depth and laterally.
  • Canasil Resources Inc., informed that it has completed three holes and a fourth is on progress at its Nora project in Durango. All holes were collared below and between high-grade gold and silver intercepts from the 2020 drill holes NRC-20-04 and NRC-20-06 on the Candy vein structure. A total of 790 metres of core drilling has been completed since the start of the program in early July 2021. 110 core samples from holes NRC-21-09 y NRC-21-10 have been already shipped to the lab for assays.
  • Mithril Resources Ltd., provided a report of the exploration activities carried out at its Copalquin project during the period Q2, 2021. Highlights include a) drilling at El Refugio target has extended the known mineralization to 700m X 350m; the discovery of the “77 Clavo” with bonanzas grades  such as those encountered in hole CDH-077 with 80.3 g/t Au and 705 g/t Ag over a length of 8.26m, including 106 g/t Au and 913 g/t Ag over a length of 6.26m, including 837 g/t Au and 6,680 g/t Ag over a lengths of 0.77m; b) Continue expansion of the El Refugio Clavo with multiple high-grade intercepts including hole CDH-075 with 13.8 g/t Au and 83 g/t Ag over a length of 2.70m, plus 10.9 g/t Au and 364 g/t Ag over a length of 4.25m; hole CDH-063 with 5.32 g/t Au and 105 g7t Ag over a length of 83; hole CDH-062 with 4.12 g/t Au and 107 g/t Ag over a length of 4.82m; and hole 2.34 g/t Au and 144 g/t Ag over a length of 7.60m; c) Confirmation of the El Cometa bonanza grades with twin of historic drill hole CDH-072 which intersected 74 g/t Au and 841 g/t Ag over a length of 6.8m, including 235 g/t Au and 2,554 g/t Ag over a length of 2.1m; d) Results from 240 soil samples collected at El Refugio Zone have extended the target zone for drilling a full 1.3Km west from the currently westernmost drill holes; and e) the company is preparing a maiden JORC resource estimate for El Refugio/El Cometa Zones and is expected to be completed by H2, 2021.
  • Almaden Minerals ltd., commenced prospect drilling at its Ixtaca property in Puebla. Focus of the drilling program is the Southeast Alteration Zone (SE Alteration Zone) located approximately 1km from the Ixtaca deposit. The SE Alteration Zone measures about 1.5Km x 1km and comprises clay-altered volcanic rocks with clusters of anomalies identified from a hyperspectral survey, including kaolinite, alunite, and buddingtonite.  Work exploration of this area has also included geophysics and geological mapping.

ON MINING

  • Mexus Gold US announced that mining continues at the Vein 2 Area within its Santa Elena mine in Sonora.  “Mining is currently being developed at the quartz vein with 1 to 1.5 meter with some wider pocket zones. Mexus has found 10 g/t gold zones randomly with notable oxide coloring due to former sulphides. Thrust fault shear mineral is being worked around it and only high grade quartz vein is loaded and hauled”. Pregnant solution from the heap leach pad is ranging from 0.3 to 1.7 g/t Au and is treated by Carbon absorption. One ton of loaded carbon is en route to Chicago for processing for final sale which will allow Mexus to increase production on a weekly basis.
  • Santacruz Silver Mining Ltd., reported Q2, 2021 production results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. At Zimapan, Hidalgo, the company processed 155,047 tonnes of 84 g/t Ag, 0.6% Pb, 2.5% Zn, and 0.38% Cu (202 g/t AgEq) to produce 310.9K Oz Ag, 0.67M Lb Pb, 6.38M Lb Zn, and 1.08M Lb Cu  (757.9K Oz AgEq). At Rosario mine, San Luis Potosi, Santacruz processed 16,917 tonnes of 45 g/t Ag, 0.16 g/t Au, 0.2% Pb, and 1.4% Zn (104 g/t AgEq) to produce 18.49K Oz Ag, 53 Oz Au, 69.4K Lb Pb, and 394.2K Lb Zn (41.1K Oz AgEq).
  • Alamos Gold Inc., presented Q2, 2021 production and financial results from its Mulatos mine in Sonora. It produced 35.9K Oz Au and sold 28.67K Oz Au at a cost of USD $1,395 and USD $893 per Oz Au produced respectively, and an AISC of USD $1,144 per Oz Au sold. Alamos also provided a 2021 guidance and expects to produce between 150K-160K Oz Au at total and AISC of USD $840-890 and USD $1,060-1,110 per Oz Au respectively.
  • Capstone Mining Corp., announced Q2, 2021 production and financial results from its Cozamine mine in Zacatecas. The company mined 332K tonnes and milled 348K tonnes of 1.86% Cu, 0.5% Zn, and 40 g/t Ag with metallurgical recoveries of 96.3%, 46.7%, and 82.1% respectively, to produce 13.8M Lb Cu, 1.88M Lb Zn, and 364K Oz Ag. Cash cost was USD $1/lb Cu produced. Cozamine reported revenues for USD $68.6M and an adjusted EBIDTA of USD $50M.
  • Agnico Eagle Mines Limited reported Q2, 2021 from their Mexican operations in Chihuahua and Sonora. At Pinos Altos, Chihuahua, Agnico processed 521K tonnes of 2.07 g/t Au to produce 32.6K Oz Au and 331K Oz Ag at a production and total cash costs of USD $1,106 and USD $849 per Oz Au produced respectively. At Creston-Mascota, Chihuahua, the company produced 3.23K Oz Au and 41K Oz Ag at production and total cash costs of USD $608 and USD $341 per Oz Au produced respectively from residual leaching . At La India, Sonora, it processed 1.745M tonnes of 0.46 g/t Au to produce 4.7K Oz Au and 7K Oz Ag at costs of USD $1,390 and USD $1,350 per Oz Au produced respectively.
  • Coeur Mining Inc., presented Q2, 2021 production and financial results from its Palmarejo mine in Chihuahua. The company milled 517,373 tonnes of 1.8 g/t Au and 122 g/t Ag with metallurgical recoveries of 92.4% and 81.9% respectively to produce 27.6K Oz Au and 1.67M Oz Ag. Coeur sold 30.5K Oz Au and 1.64M Oz Ag at an adjusted cost of USD $662 and USD $13.34 per Oz Au sold and Oz Ag sold respectively. The company reported a cash flow of USD $33.4M and a free cash flow of USD $23.6M.
  • Gold Resource Corporation announced Q2, 2021 production and financial results from its Arista mine in Oaxaca. The company milled 129.6K tonnes of 1.93 g/t Au, 77 g/t Ag, 0.4% Cu, 1.6% Pb, and 3.6% Zn at total cash and AISC of USD $713 and USD $1,280 respectively to produce 5,697 Oz Au, 270.3K Oz Ag, 817.6K Lb Cu, 2.72M Lb Pb, and 7.15M Lb Zn (9,685 Oz AuEq). Gold Resource reported an EBIDTA of USD $7.4M and an operating cash flow of USD $9.3M.
  • Mag Silver Corp., and its JV partner Fresnillo plc reported Q2, 2021 production results from its Juanicipio project in Zacatecas. Mag Silver (44%) and Fresnillo plc (56%) processed 44,435 tonnes of underground development material to produce 434.9K Oz Ag and 787 Oz Au of which 191.35K Oz Ag and 346 Oz Au are attributable to Mag Silver. The associated lead and zinc production will be reported with MAG’s second quarter filings.

ON FINANCING

  • Gold Resource Corporation declared quarterly dividends of $0.01 per common share to shareholders for the period Q2, 2021 payable on September 30, 2021 (Arista mine, Oaxaca).
  • Guanajuato Silver Company Ltd., announced it has drawn down USD $7.5M from its loan facility with trading firm OCIM Group. This financing will be used to restarts its El Cubo mine and mill complex in Guanajuato.

ON RESOURCES AND DEVELOPMENT

  • Chesapeake Gold Corp., released results of its PEA for the Phase 1 mine plan of its Metates project, Durango. The PEA demonstrates robust project economics such as Pre-Tax NPV of USD $1.14B and 35% IRR at USD $1,600 per Oz Au and USD $22 per Oz Ag at a 5% discount rate, over a 31-year mine life. The PEA includes a revised mineral resource estimate for the Metates Project and replaces the mineral reserve estimate contained in the Company’s updated preliminary feasibility study dated April 29, 2016. The measured and indicated mineral resource is 1.3 billion tonnes at 0.47 g/t gold and 12.9 g/t silver for 19.8M Oz Au and 542M Oz Ag. Inferred mineral resource is an additional 62.2M tonnes at 0.32g/t gold and 9.0 g/t silver for 640K Oz Au and 18M Oz Ag. The PEA reports an average annual production of over 110K Oz Au and 2.5M Oz Ag during the first 15 years at AISC of USD $748 per Oz Au produced.
  • Fabled Silver Gold Corp., reported drill results and announced expansion of its ongoing drilling program at the Santa Maria project, Chihuahua to 14,200m. Hole SM20-21 intersected 0.16 g/t Au, 7 g/t Ag, 0.4% Pb, 0.1% Zn, and 0.01% Cu (15 g/t Ag) over 18.9m, including 0.62 g/t Au, 16 g/t Ag, 0.2% Pb, 0.5% Zn, and 0.01% Cu (63 g/t AgEq) over 2.10m; and hole SM20-22 intersected 4.95 g/t Au, 13 g/t Ag, 0.1% Pb, 0.3% Zn, and 0.02% Cu (268 g/t AgEq) over 14.4m, including 7.17 g/t Au, 16 g/t Ag, 0.1% Pb, 0.3% Zn, and 0.03% Cu (385 g/t AgEq) over 9.5m, plus 0.94 g/t Au, 59 g/t Ag, 0.5% Pb, 0.4% Zn, and 0.04% Cu (107 g/t AgEq) over 3.1m, including 1.05 g/t Au, 66 g/t Ag, 0.8% Pb, and 0.04% Cu (120 g/t AgEq) over 1m, including 1.56 g/t Au, 78 g/t Ag, and 0.07% Cu (158 g/t AgEq) over 0.9m. The company expanded the present drilling by 5,000m to a total of 14,200m to properly evaluate the mineralization at the Santa Maria property.
  • GoGold Resources Inc., continued released results from five holes drilled at its Los Ricos North project in Jalisco. The best drill intercept was encountered in hole LRGF-21.052 with 0.31 g/t Au, 113 g/t Ag (1.82 g/t AuEq or 136 g/t AgEq) over a length of 51.3m, including 0.96 g/t Au, 235 g/t Ag (4.1 g/t AuEq or 307 g/t AgEq) over a length of 11.4m, including 2.78 g/t Au and 1,367 g/t Ag (21.01 g/t AuEq or 1,576 g/t AgEq) over a length of 0.9m, including  2.65 g/t Au and 336 g/t Ag (7.13 g/t AuEq or 535 g/t AgEq) over a length of 3m, including 9.63 g/t Au and 655 g/t Ag (18.35 g/t AuEq or 1,376 g/t AgEq) over a length of 0.7m, plus 0.18 g/t Au and 169 g/t Ag (2.44 g/t AuEq or 183 g/t AgEq) over a length of 1.5m. Another significant drill intercept was encountered in hole LRGF-21-054 with 0.20 g/t Au and 77 g/t Ag (1.24 g/t AuEq or 93 g/t AgEq) over a length of 63.6m, including 1.1 g/t Au and 401 g/t Ag (6.46 g/t AuEq or 484 g/t AgEq) over a length of 5.6m, including 1.52 g/t Au and 539 g/t Ag (8.71 g/t AuEq or 653 g/t AgEq) over a length of 4m, including 1.96 g/t Au and 784 g/t Ag (12.41 g/t AuEq or 931 g/t AgEq) over a length of 1m.
  • Golden Tag Resources Ltd., filed with SEMARNAT a drill permit to quadruple the number of drill pads from 14 to 58 at its San Diego project, Durango. The drill permit is expected to be obtained during Q3, 2021.

ON DEALS AND CORPORATE ISSUES

  • Commander Resources Ltd., granted an option to Southern Empire Resources Corp. to acquire a 100% interest in the Pedro project, Durango. Pedro is an epithermal gold project with potential for both bulk mineable and bonanza-grade vein deposit and comprises 1,750 Ha in three mineral claims. Total consideration for the option is CDN $700K as follow: CDN $25K and 100K shares on completion of a definitive agreement, CDN $125K on the first agreement anniversary, CDN $250K on the second anniversary, and CDN $300K on the third anniversary.  Southern Empire also must to complete CDN $1.5M in exploration expenditures, including CDN $400K within the first year of the agreement. Commander will retain a 2% NSR royalty with no buydown provision.
  • Vizsla Silver Corp., announced the appointment of its VP of Business Development and Strategy (Panuco project, Sinaloa).
  • SilverCrest Metals Inc., announced the appointment of its VP of Technical Services (Las Chispas, Sonora).
  • Altaley Mining Corporation launched its completely renewed corporate website with modern design to facilitate the access to its information (Campo Morado mine, Guerrero).

ON SOCIAL RESPONSIBILITY

  • Grupo Mexico delivered 9,000 trees for forestry program to the Municipality of San Francisco del Rincón, Aguascalientes. This program called “Mexicanos Sembrando” is one of the initiatives that have been generated to take care of the environment.
  • Fresnillo plc and Industrias Peñoles S.A.B. de C.V., have implemented strategies for the care and management of water for their operational processes in all their mines and plants. Both Peñoles and Fresnillo plc collaborate with the communities with campaigns to raise awareness about the use and conservation of the resource.  Likewise, they support the human right to access to water in nearby towns through the service of pipes and support the population with rainwater collectors. In the same way, Peñoles participates in community projects such as the creation of water wells in different localities of Guerrero, Durango, Sonora and Chihuahua.

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

On the picture above, a quartz vein displaying boiling texture in a low sulphidation epithermal vein system from a prospect in San Luis Potosi, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

During the 27th week of the year (July 5th to July 11th, 2021), at least 22 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties, four on quarterly production and one about the end of an illegal blockade 17 months long, one posted on financing, five more on project development or resource definition and one posted an update on a law suite. ON MEXICO ISSUES, the illegal blockade on Americas Gold and Silver Cosalá operations in Sinaloa was terminated. Mexico has fallen 13 places on the Fraser’s Index on Mining Attractiveness, affected by perceptions on security and rule of law. ON EXPLORATION, in Sonora, Benjamin Hill Mining released surface assay results high in Cu and Au; Tocvan Ventures released results from RC drilling at Pilar. In Sinaloa, Brigadier Gold released drilling and underground sampling results from Picachos. In Durango, Canasil started drilling at Nora. In Zacatecas, Zacatecas Silver signed surface access agreements to the San Gill zone at its Zacatecas Silver project. In Oaxaca, Madoro Metals updated on exploration at Yautepec. ON MINING, GoGold Resources, Gatos Silver, Endeavour Silver and Torex Gold presented second quarter 2021 production results. Americas Gold and Silver signed an agreement with several ministries to reopen Its Cosalá operations in Sinaloa.  ON FINANCING, Gold79 Mines commenced trading on the OTCQB Venture Market in USA. Minaurum Gold closed a financing round for C$9.2 M. ON RESOURCES AND DEVELOPMENT, Southern Silver released drilling results from Cerro Las Minitas in Durango. GR Silver Mining, reported drill hole results from Plomosas in Sinaloa. Capitan Mining reported RC holes results from Peñoles, Durango. Guanajuato Silver provided drilling results from Pinguico, Guanajuato. Fabled Silver reported underground drilling results from Santa Maria, Chihuahua. ON DEALS AND CORPORATE ISSUES, Excellon Resources informed on a legal suite regarding the Miguel Auza mine in Zacatecas. ON SOCIAL RESPONSIBILITY, Fresnillo PLC, Minera Autlán and Newmont Peñasquito informed on activities supporting sports, the environment and community equipment in different localities.

ON MEXICO ISSUES

  • Mexico has fallen 13 places in the Fraser’s Index of Mining attractiveness from 2008 to 2020. Investment also saw a 42.8% reduction in the same period, including some effect by the pandemic. Security, labor regulations, political instability, lack of mining concessions and a nationalization streak in the current government were cited as deterrents to investment in the country. Those viewpoints are reflected in less investment, less employment and fewer opportunities to find new orebodies, factors that will lead to  reductions in production and taxes to be paid in the coming years.
  • The illegal blockade on Americas Gold and Silver Cosalá operations is off. After 17 months of illegal blockade, the negotiations aided by the federal government can hardly be called a success. Events like this one add to the deterioration on the global perception of Mexico as a good place for mining investment.
  • The AIMMGM (Asociación de Ingenieros de Minas, Metalurgista y Geólogos de México) stated through its president Sergio Almazán, that investment in the Mexican mining sector has been affect by the lack of certitude.

ON EXPLORATION

  • Benjamin Hill Mining Corp. released assay results from surface sampling at the Caracahui, Caracahui Norte and Sonora Copper areas from its Sonora Gold property in Sonora. Some of the highlighted comprise: 0.1 gpt Au, 12.2% Cu, 80 gpt Ag; 1.7 gpt Au, 10.2% Cu, 15 gpt Ag; 4.4% Cu, 8 gpt Ag; 0.2 gpt Au, 4.3% Cu, 25 gpt Ag; 1.2 gpt Au, 2.4% Cu, 98 gpt Ag; 0.1 gpt Au, 1.9% Cu, 3 gpt Ag; 0.6 gpt Au, 1.5% Cu, 24 gpt Ag; 2.2 gpt Au, 0.9% Cu, 17 gpt Ag; 15.9 gpt Au, 0.4% Cu, 3 gpt Ag; 3.3 gpt Au, 0.1% Cu, 47 gpt Ag; 2.5 gpt Au, 0.1% Cu, 65 gpt Ag; 2.4 gpt Au, 0.5% Cu, 7 gpt Ag; 2.2 gpt Au, 0.9% Cu, 17 gpt Ag; 2.0 gpt Au, 0.3% Cu, 53 gpt Ag. “The recent advancement of exploration on the Sonora Gold concession has identified expansive copper mineralization along broadly continuous structural trends which have not yet been fully explored”.
  • Canasil Resources Inc. announced the start of the 2021 drill program at the Nora project in Durango. The initial focus is to test below, between and on strike extensions from high-grade Au and Ag intercepts from the 2020 program. Highlighted true width intercepts from the previous campaign include 2.40 m @ 4.78 gpt Au, 351 gpt Ag; 1.49 m @ 11.86 gpt Au, 378 gpt Ag and 3.05 m @ 3.71 gpt Au, 489 gpt Ag, with Pb, Zn, Cu credits.
  • Brigadier Gold Ltd. released drilling and underground sampling results from its Picachos project in Sinaloa. Highlighted underground sampling results comprise 0.3 m @ 31.4 gpt Au, 11 gpt Ag, 0.2% Cu, 0.5% Pb, 2% Zn; 3.2 m @ 7.43 gpt Au, 0.1% Pb, 0.2% Zn; 0.9 m @ 4.64 gpt Au, 0.1% Pb, 0.1% Zn; 0.5 m @ 38.88 gpt Au, 22 gpt Ag, 0.4% Cu, 1.7% Pb, 1.5% Zn; 1.0 m @ 12.79 gpt Au, 8 gpt Ag, 0.1% Cu, 0.9% Pb, 0.9% Zn. A surface trench returned 8 m @ 2.14 gpt Au, 0.1% Pb. Highlighted core length intervals comprise 6.5 m @ 0.26 gpt Au, 6 gpt Ag; 60.3 m @ 0.41 gpt Au, 0.2% Zn (including 4.5 m @ 0.56 gpt Au, 0.1% Pb, 0.1% Zn and 7.5 m @ 0.98 gpt Au, 0.1% Zn); 113 m @ 0.19 gpt Au, 0.1% Pb, 0.2% Zn (including 1 m @ 6.89 gpt Au, 0.1% Zn; 4 m @ 1.85 gpt Au; 1 m @ 5.51 gpt Au, 0.1% Zn); 123 m @ 0.27 gpt Au, 0.1% Pb, 0.2% Zn (including 4 m @ 1.08 gpt Au; 4 m @ 1.10 gpt Au, 0.4% Pb, 1.7% Zn; 1 m @ 3.51 gpt Au, 0.1% Pb).
  • Madoro Metals Corp. provided an update on recent exploration results from its Yautepec project in Oaxaca. A previously unknown 7 km long trend of epithermal alteration was found in the southern part of the project by company geologists. Highlighted results comprise 0.10 m @ 12.35 gpt Au, 1,250 gpt Ag in a quartz vein grab sample within a stockwork complex 400 by 200 m in the Tecolote zone; 0.10 m vein @ 0.54 gpt Au, 0.16% Cu, 1.3% Zn on the Southern Dike zone.
  • Zacatecas Silver Corp. completed access agreements with landowners at the San Gill breccia zone and San Gill vein system at its Zacatecas Silver project in Zacatecas. Environmental reports have been sent to SEMARNAT for the drilling of the Panuco and San Gill systems, and a third one is being prepared for El Cristo zone.
  • Tocvan Ventures Corp. released results from six reverse circulation drill holes at its Pilar project in Sonora. The phase II program sunk over 3,500 m in 20 holes, highlighted core length intervals comprise 44.22 m @ 0.41 gpt Au, 4 gpt Ag (including 7.63 m @ 1.66 gpt Au, 7 gpt Ag); 47.27 m @ 0.75 gpt Au, 5 gpt Ag (including 12.20 m @ 1.12 gpt Au and 19.82 m @ 1.06 gpt Au).

ON MINING

  • GoGold Resources Inc. reported production of 315.6 K Oz Ag, 3,170 Oz Au, 120 tonnes Cu during the second quarter of 2021 at its Parral tailings project in Chihuahua.
  • Americas Gold and Silver Corp. signed an agreement with the Mexican Ministries of Economy, Interior and Labour committing to a reopening of its Cosalá operations in Sinaloa, shut by an illegal blockade spanning 17 months. “After the long period of denied access, the agreement contemplates immediate right to possession of the property with a joint inspection coordinated by the Ministry of Labor this Thursday, so that the mine can restart operations in a safe and sustainable manner”.  
  • Gatos Silver Inc. released its production report for the second quarter of 2021, which constitute a record for the company. A total of 240 K tonnes were mined, 230.6 K tonnes were milled at a daily rate of 2,535 tonnes, with an average grade of 322 gpt Ag, 0.35 gpt Au, 2.51% Pb, 4.41% Zn, with recoveries of 89% Ag, 63% Au, 90% Pb, 75% Zn, to produce 2.1 M Oz Ag, 1.5 K Oz Au, 11.2 M lb Pb, 14.5 M Lb Zn in Pb and Zn concentrates.
  • Endeavour Silver Corp. reported production results for the second quarter 2021. During the period 1.07 M Oz Ag, 11,166 Oz Au were produced. The El Cubo mine in Guanajuato was sold to Guanajuato Silver Corp..
  • Torex Gold Resources Inc. released production results for Q2 2021. At its El Limón-Guajes mine in Guerrero, a total of 118,050 Oz Au was produced, with an average plant throughput of 11,980 tpd, average underground ore mined of 1,420 tpd and an average open pit ore mined of 12,430 tpd.

ON FINANCING

  • Gold 79 Mines Ltd. commenced trading on the OTCQB Venture Market in the United States, operated by the OTC Markets Group Inc., under the stock symbol AUSVF (Taviche , Oaxaca).
  • Minaurum Gold Inc. closed a previously announced bought deal public offering, for gross proceeds of C$9.2 M. Due to the demand, the offering was upsized from the original gross proceeds of C$7 M. The offering included an investment from Crescat Capital (Alamos Silver, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Southern Silver Exploration Corp. released drilling results that extend mineralization at the South Skarn and La Bocona areas at its Cerro Las Minitas project in Durango. True width core intervals comprise 1.8 m @ 161 gpt Ag, 0.1 gpt Au, 4.9% Pb, 3.0% Zn (including 0.4 m @ 422 gpt Ag, 0.4 gpt Au, 13.2% Pb, 9.1% Zn); 2.6 m @ 159 gpt Ag, 0.1 gpt Au, 2.4% Pb, 3.5% Zn; 14.0 m @ 162 gpt Ag, 0.2 gpt Au, 1.4% Pb, 0.5% Zn; 1.1 m @ 227 gpt Ag, 0.1 gpt Au, 3.7% Pb, 1.9% Zn. As of May 2019, the indicated resources stood at 37.5 M Oz Ag, 40 M Lb Cu, 303 M Lb Pb, 897 M Lb Zn; and inferred resources at 45.7 M Oz Ag, 76 M Lb Cu, 253 M Lb Pb, 796 M Lb Zn.
  • GR Silver Mining Ltd. reported results from the final drill holes to be incorporated in to the incoming resource estimation on the Plomosas mine area of the Plomosas project in Sinaloa. True width highlighted intervals comprise 29.5 m @ 1.13 gpt Au, 0.1% Zn (including 9.1 m @ 2.12 gpt Au, 0.1% Pb, 0.1% Zn); 6.4 m @ 0.81 gpt Au, 0.1% Zn; 3.6 m @ 163 gpt Ag, 0.05 gpt Au, 6.4% Pb, 3.7% Zn, 0.2% Cu; 6.1 m @ 120 gpt Ag, 0.48 gpt Au, 2.8% Pb, 0.7% Zn, 0.1% Cu; 0.9 m @ 5.24 gpt Au, 0.2% Pb, 0.2% Zn; 11.8 m @ 328 gpt Ag, 0.19 gpt Au, 0.5% Pb, 1.2% Zn; 1.0 m @ 680 gpt Ag, 0.04 gpt Au, 0.6% Pb, 2.4% Zn; 4.9 m @ 143 gpt Ag, 1.2% Pb, 4.3% Zn.
  • Capitan Mining Inc. reported results for four reverse circulation drill holes from the Capitan deposit at its Peñoles project in Durango. Highlighted intervals comprise 56.4 m @ 0.58 gpt Au, 14 gpt Ag (including 10.7 m @ 0.99 gpt Au, 16 gpt Ag); 38.1 m @ 0.26 gpt Au; 6.1 m @ 0.28 gpt Au, 5 gpt Ag; 187.5 m @ 0.23 gpt Au, 1 gpt Ag (including 29.0 m @ 0.51 gpt Au, 3 gpt Ag); 10.7 m @ 0.25 gpt Au, 4 gpt Ag; 41.1 m @ 0.24 gpt Au, 5 gpt Ag. Capitan Mining expects to complete a 6,000 m reverse circulation program during the summer whilst continuing exploration work on additional targets.
  • Guanajuato Silver Company Ltd. provided drilling results from El Pinguico, Guanajuato. Highlighted core length results comprise 1.65 m @ 2.45 gpt Au, 125 gpt Ag; 7.95 m @ 1.35 gpt Au, 39 gpt Ag (including 0.75 m @ 8.81 gpt Au, 208 gpt Ag); 8.10 m @ 1.00 gpt Au, 93 gpt Ag (including 0.90 m @ 5.96 gpt Au, 476 gpt Ag). GS Silver is planning a 3,800 m 18-hole strong drill program, with the aim of estimating resources.
  • Fabled Silver Gold Corp. announced results from underground drilling at the Santa Maria property in Chihuahua. Results comprise 9.90 m @ 0.08 gpt Au, 17 gpt Ag, minor (<0.1%) Pb-Zn-Cu; 1.20 m @ 0.08 gpt Au, 13 gpt Ag, minor Pb-Zn-Cu; 18.0 m @ 0.24 gpt Au, 20 gpt Ag, minor Pb-Zn-Cu; 2.40 m @ 0.06 gpt Au, 36 gpt Ag, minor Pb-Zn-Cu; 0.80 m @ 0.24 gpt Au, 302 gpt Ag, 0.1% Pb, 0.25% Zn; 6.30 m @ 0.04 gpt Au, 17 gpt Ag, minor Pb-Zn-Cu.

ON DEALS AND CORPORATE ISSUES

  • Excellon Resources Inc. informed on the legal action regarding the Antigua concession within its Evolution project in Durango. A subsidiary of Excellon, San Pedro Resources SA de CV has been mandated in court to pay US$23 M in damages for not having in operation the Miguel Auza mine. “Excellon understands from an initial electronic notice that San Pedro’s appeal of this decision to the federal courts of Mexico was dismissed on July 1, 2021, despite the decision not being supported by the evidence, facts or law”.

ON SOCIAL RESPONSIBILITY

  • Fresnillo PLC informed on the re-activation of sports programs in Coahuila.
  • Minera Autlán supports an environmental project in Hidalgo.
  • Fresnillo PLC backs the environment in Durango, aiding the El Porvenir sustainable forest.
  • Newmont Peñasquito installed a solar powered pumping system at El Nuevo Vergel, Zacatecas.

On the image below:  Structure in andesitic rocks exposed on a road cut in Sonora. Picture by Jorge Cirett.

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

Flow Banded Rhyolite Dome

By Miguel A Heredia

During the 26th week of the year (June 28th to July 04th, 2021), at least 25 press releases were announced by companies working in Mexico and 5 news published by the media, with nine disclosing deals and corporate issues, seven announcing financial rounds, three reporting on resources and developments, three informing on exploration results, three communicating production and financial results, three commenting on Mexican issues, and two discussing social issues.  ON MEXICO ISSUES, The Ministry of the Environment and Natural Resources (SEMARNAT) authorized the expansion of the El Boleo mine in Baja California. Guanajuato Silver announced that it will restart activities at its El Cubo mine in October 2021. Mexico was the world’s leading silver producer in 2020. ON EXPLORATION, In Sonora, Silver Spruce announced it has contracted regional ASTER and LANDSAT spectral analysis on their Mezquite, Jackie and Diamante mining properties. In Chihuahua, Reyna Silver announced that it has started a 10,000m drilling program at its Batopilas project, and reported that a second drill rig has been added to speed up the completion of the current drilling  program conducted at its Guigui project.  ON MINING, Consolidated Zinc provided an operation update of its Plomosas mine in Chihuahua. Magna Gold announced it has achieved full-scale commercial production at its San Francisco mine in Sonora. Mexus Gold announced that it has sold gold doré as a result of recent production at its Santa Elena mine in Sonora.  ON FINANCING, Altaley restructured a USD $$26,027,240 debt with Trafigura and Nyrstar (Campo Morado mine, Guerrero). Comet issued 5M of fully paid ordinary shares (Santa Teresa property, Baja California Norte).  Defiance Silver granted stock options to certain directors and officers (San Acacio property, Zacatecas). Orla subscribed a non-brokered prospectus financing for gross proceeds of USD $35M (Camino Rojo project, Zacatecas). Silver Wolf received approval from OTC Markets Group Inc. to commence trading on the OTCQB Venture Market under the ticker symbol “GYRRF” (Ana Maria and El Laberinto properties in Durango). Silver Bull closed a private placement for gross proceeds of CAD $500K (Sierra Mojada project, Coahuila). Vista Gold received a final payment for $1M from Prime Mining to complete the agreement on the Guadalupe de Los Reyes property in Sinaloa.  ON RESOURCES AND DEVELOPMENT, Chesapeake drilled five core drill holes at its Metates project in Durango to provide core for a comprehensive metallurgical testwork program and to confirm the higher-grade nature of the Metates intrusive hosted mineralization. Prime Mining reported new results from its ongoing drill program conducted at its Los Reyes project in Sinaloa. Silver Tiger released results from its ongoing drilling program conducted at its El Tigre project in Sonora. ON DEALS AND CORPORATE ISSUES, Capstone published its 2020 sustainability report (Cozamine mine, Zacatecas). Discovery Silver presented results of its annual general meeting of shareholders (Cordero project, Chihuahua). Fortuna and Roxgold completed its previously announced business combination (San Jose mine, Oaxaca). GoGold presented its first sustainability report (Los Ricos project, Jalisco). Gold79 announced results from its annual general meeting of shareholders (Taviche project, Oaxaca). GR Silver appointed its Chairman of the Board of Directors (Plomosas project, Sinaloa).  Maverix acquired royalty portfolio from Pan American Silver, including Hernandez property in Sonora.  Sonoro presented results from its annual general meeting of shareholders (Cerro Caliche project, Sonora).  ON SOCIAL RESPONSIBILITY, The company Minera Media Luna (MML), a subsidiary of Torex Gold Resources, convened the second edition of the “Enchulemos Juntos Nuestra Comunidad” (let’s improve our community together) program in the town of Nuevo Balsas, Guerrero. The Secretary of Tourism, Eduardo Yarto delivered two S stamps to Fresnillo plc, after it concluded its processes of renewal of procedures within its facilities to implement good sustainable practices.

ON MEXICO ISSUES

  • The Ministry of the Environment and Natural Resources (SEMARNAT) approved on a conditional basis the expansion of the Environmental Impact Manifestation (MIA) requested by Minera y Metalúrgica del Boleo for the exploitation of copper, cobalt and zinc in 446 hectares for 16 years in the municipality of Mulegé, in Baja California. 2,481 participants representing 89% voted In favor of the expansion.
  • Guanajuato Silver Company Ltd., announced that it will restart activities at its El Cubo mine, Guanajuato in October 2021, which is expected to employ more than 200 miners in the capital, with priority in hiring those who were fired in the closure two years ago.
  • Mexico was the world’s leading silver producer in 2020 maintained the leadership in silver production on a global scale in 2020, with 5,541M tonnes. The Mexican mining company Fresnillo plc owned by Grupo Bal and linked to the Baillères family, is the largest company primary silver producer in the world.

ON EXPLORATION

  • Silver Spruce Resources Inc., announced it has contracted Strategic Consultants IGIS for a regional ASTER and LANDSAT spectral analysis on their Mezquite, Jackie and Diamante mining properties in Sonora. This study will help to understand the structural and lithological controls in a regional context and provide additional detail on the mineral by mineral distribution over each of the properties. It also will help to outline alteration pattern for enhanced target definition in each of the mining properties.
  • Reyna Silver Corp., announced that it has started a 10,000m drilling program at its Batopilas project in Chihuahua. The program is focused on testing targets identified in the spring of 2021 exploration campaign, which discovered multiple extensions to the 30 known veins in the district, of which two new veins returned high-grade values up to 42,302 g/t Ag and 210.4 g/t Au. The company also announced that a second drill rig has been added to its Guigui project in the Santa Eulalia mining district in Chihuahua to extend and speed up the completion of the ongoing drilling program. The company has completed 8,000m of the 12,000m planned and this second rig will allow to speed up the completion of the entire Phase 1 drilling by the end of July, 2021. Results of the Phase 1 drilling campaign will be released soon after.

ON MINING

  • Consolidated Zinc Limited provided an operation update of its Plomosas mine in Chihuahua. The company announced that it processed 3,958 tonnes of ore in May, 2021 for 719 tonnes of zinc concentrates and 184 tonnes of lead concentrates at its Plomosas and Aldama plants in Chihuahua. The company intends to continue processing through both plants until ore stockpiles are depleted and the Plomosas plant sustains the targeted 4,500tpm process rate.
  • Magna Gold Corp., announced it has achieved full-scale commercial production at its San Francisco mine in Sonora. Magna is on track to achieve its earlier stated 2021 guidance of 55K-65K Oz Au production, since it has completed the necessary pre-stripping and substantially lowered the mine strip ratio from ~8:1 to ~3:1. At San Francisco, the company anticipates a production run rate of ~6K Oz Au/month in Q3 and looks to exit the year at a run rate of ~7.5K Oz Au/month.
  • Mexus Gold US announced that it has sold gold doré as a result of recent production at its Santa Elena mine in Sonora. The sales netted the company $24K. “The company is in the process of shipping activated carbon to the U.S. for processing. It is believed that this material contains up to 75 OZ Au.  Mexus is also adding liner to the existing heap leach pad which will allow for increased production. Material currently being mined continues to test in the 5.66g/t Au range”.

ON FINANCING

  • Altaley Mining Corporation restructured a USD $26,027,240 debt with Trafigura Mexico S.A. de C.V., and Nyrstar Canada (Holdings) Ltd.  Terms of the total debt restructured was USD $14,720,840 on the Tahuehueto project in Durango for a term of 32 months, an London interbank offered interest rate (LIBOR) of 6% (1 year), and a grace period of 8 months; USD $4,024,678 on the Campo Morado mine in Guerrero for a term of 26 months, a LIBOR of 5% (3 months), and a grace period of 8 months; and USD $7,281,722 on the Campo Morado mine in Guerrero for a term of 26 months and a LIBOR of 10%.
  • Comet Resources Ltd., issued 5M of fully paid ordinary shares upon the exercise of unlisted options exercisable at $0.02 each on or before 30 June 2021.  (Santa Teresa property, Baja California Norte).
  • Defiance Silver Corp., granted stock options to certain directors and officers to purchase an aggregate of 1.425M of common shares at an exercise price of $0.90. The options are exercisable for a ten-year term expiring June 30, 2031 (San Acacio property, Zacatecas).
  • Orla Mining Ltd., subscribed a non-brokered prospectus financing for gross proceeds of USD $35M, consisting of 9,085,263 common shares priced at CAD $4.75 per common share. Part of the net proceeds will be used for development activities at its Camino Rojo Oxide Gold project in Zacatecas. The offering is expected to close on or about July 14, 2021.
  • Silver Wolf Exploration Ltd., received approval from OTC Markets Group Inc. to commence trading on the OTCQB Venture Market under the ticker symbol “GYRRF” (Ana Maria and El Laberinto properties in Durango).
  • Silver Bull Resources Inc., closed a private placement for gross proceeds of CAD $500K. Net proceeds of the private placement will be used by Silver Bull for general working capital purposes   (Sierra Mojada project, Coahuila).
  • Vista Gold Corp., received a final payment for $1M from Prime Mining Corp. to complete the agreement on the Guadalupe de Los Reyes property in Sinaloa. With this $1.0M payment, Vista has no remaining right to be granted the royalties and back-in rights.

ON RESOURCES AND DEVELOPMENT

  • Chesapeake Gold Corp., drilled five core drill holes at its Metates project in Durango to provide core for a comprehensive metallurgical testwork program and to confirm the higher-grade nature of the Metates intrusive hosted mineralization. Significant drill intercepts were encountered in hole CKG21-086 with 1.15 g/t Au and 49 g/t Ag (1.80 g/t AuEq or 135 g/t AgEq) over a true width (TW) of 432m, including 1.21 g(t Au and 417 g/t Ag (6.77 g/t AuEq or 508 g/t AgEq) over a TW of 9m, including 2.49 g/t Au and 22 g/t Ag (2.78 g/t AuEq or 20+9 g/t AgEq) over a TW of 69m, and including 2.13 g/t Au and 9 g/t Ag (2.25 g/t AuEq or 170 g/t AgEq) over a TW of 57m; hole CKG21-085 with 1.13 g/t Au and 29 g/t Ag (1.53 g/t AuEq or 114 g/t AgEq) over a TW of 282m, including 1.34 g/t Au and 32 g/t Ag (1.76 g/t AuEq or 132 g/t AgEq) over a TW of 150m; and hole CKG21-084 with 1.06 g/t Au and 17 g/t Ag (1.29 g/t AuEq or 97 g/t AgEq) over a TW of 135m, plus 0.86 g/t Au and 11 g/t Ag (1.01 g/t AuEq or 75 g/t AgEq) over a TW of 90m.
  • Prime Mining Corp., reported new results from its ongoing drill program conducted at its Los Reyes project in Sinaloa. The most significant drill intercepts were encountered in hole 21Mina-02 with 4.44 g/t Au and 1,060 g/t Ag over an estimated true width (ETW) of 4.8m, including 6.62 g/t Au and 1,398 g/t Ag over an ETW of 2m, including 6.3 g/t Au and 1,881 g/t Ag over an ETW of 1.2m; hole 21Mina-05 with 3,243 g/t Ag over an ETW of 0.74m, plus 1.45 g/t Au and 29 g/t Ag over an ETW of 1.85m; and hole 21Mina-06 with 1.72 g/t Au and 30 g/t Ag over an ETW of 3.20m.  These results are from six holes completed at Mina Area during phase I drilling. To date, 15,000m Phase I is complete and the 30,000m Phase 2 program has been started.
  • Silver Tiger Metals Inc., released results from its ongoing drilling program conducted on the Sooy Vein at its El Tigre project in Sonora. Highlights include hole ET21-233 with 0.13 g/t Au, 491 g/t Ag, 0.08% Pb, and 0.01% Zn (510 g/t AgEq) over 0.5m, plus  0.25 g/t Au, 2,041 g/t Ag, 0.65% Cu, 1.2% Pb, and 3.6% Zn (2,271 g/t AgEq), including 4,048 g/t Ag, 0.45 g/t Au, 1.31% Cu, 0.6% Pb, and 7.3% Zn (4,461 g/t AgEq) over 0.5m; hole ET21-230 with 0.15 g/t Au, 704 g/t Ag, 0.14% Cu, 0.05% Zn (731 g/t AgEq) over 0.5m, plus 0.12 g/t Au, 193 g/t Ag, 0.09% Cu, 0.03% Pb, and 0.15 % Zn (217 g/t AgEq) over 3m, including 0.2 g/t Au, 1,080 g/t Ag, 0.55% Cu, 0.1% Pb, and 0.75% Zn (1,176 g/t AgEq) over 0.5m, plus 0.28 g/t Au, 199 g/t Ag, 0.06% Cu, 0.2% Pb, and 0.3% Zn (241 g/t AgEq) over 0.5, plus 0.41 g/t Au, 161 g/t Ag, 0.04% Cu, 0.2% Pn, and 0.4% Zn (214 g/t AgEq) over 0.5m; and hole ET21-229 with 0.13 g/t Au, 63 g/t Ag, 0.21% Cu, 0.8% Pb, and 1.6% Zn (165 g/t AgEq) over 13.5m, including 0.11 g/t Au, 83 g/t Ag, 0.27% Cu, 1% Pb, and 2% Zn (209 g/t AgEq) over 9.9m, including 0.21 g/t Au, 114 g/t Ag, 0.38% Cu, 3.7% Pb, and 8.7% Zn (542 g/t AgEq) over 1.8m.

ON DEALS AND CORPORATE ISSUES

  • Capstone Mining Corp., published its 2020 sustainability report.  (Cozamine mine, Zacatecas)
  • Discovery Silver Corp. presented results of voting at its annual general meeting of shareholders (Cordero project, Chihuahua).
  • Fortuna Silver Mines Inc., and Roxgold Inc., completed its previously announced business combination to create a global premier growth-oriented intermediate gold and silver producer (San Jose mine, Oaxaca).
  • GoGold Resources Inc., presented its first sustainability report that sets out the company’s priorities with respect to its environmental, social and governance (“ESG”) practices (Los Ricos project, Jalisco).
  • Gold79 Mines Ltd., announced results from its annual general meeting of shareholders (Taviche project, Oaxaca).
  • GR Silver Mining Ltd., appointed its Chairman of the Board of Directors (Plomosas project, Sinaloa).
  • Maverix Metals Inc., acquired royalty portfolio from Pan American Silver, including Hernandez property in Sonora. The Hernandez property, currently on exploration, is owned by First Majestic and includes a 2.5% NSR.
  • Sonoro Gold Corp., presented results from its annual general meeting of shareholders (Cerro Caliche project, Sonora). 

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna (MML), a subsidiary of Torex Gold Resources, convened the second edition of the “Enchulemos Juntos Nuestra Comunidad” (let’s improve our community together) program in the town of Nuevo Balsas, Guerrero. During the cleaning day, about 300 people participated, including contractors, residents and collaborators of the mining company, remodeling four public spaces: the vehicular roundabout on Gerardo Reyes Norte Street, the camellones on that same street, the sports area in the southern part and the perimeter fencing of the downtown court. The investment of the work done amounted to MXP $1.3M. Members of the Public and Community Relations areas of MML, the collaborators of 11 contractor companies, members of the Participatory Community Development Committee (CODECOP) and residents of Nuevo Balsas cleaned and reforested green areas, painted fences and garrisons, and assisted in various activities that together aim to maintain the program to improve public spaces that the mining company began last year. The effort achieved the painting of 2,300 meters of trimmings, the planting of 90 trees, the collection of five tons of garbage, and the painting of 300 square meters of fences.
  • The Secretary of Tourism in Zacatecas, Eduardo Yarto delivered two S stamps to Fresnillo plc, after it concluded its processes of renewal of procedures within its facilities to implement good sustainable practices. The Secretary underlined the disposition of Fresnillo plc, with the renewal of the certification for the golf course and the ecological park Fresnillo PLC, to offer quality services to users.

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 flow banded rhyolite dome intruding a clay-altered rhyolitic ignimbrite sequence in Chihuahua, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

During the 25th week of the year (June 21st to June 28th, 2021), at least 34 press releases were announced by companies working in Mexico. To note, seven companies posted exploration advances on their properties, six posted on financing, warrants extension, options distribution or option payments received, eight more on project development or resource definition and four posted on deals or corporate issues. ON MEXICO ISSUES, there is a new illegal blockade at Los Filos in Guerrero. Canadian Mining companies are suffering the results of the asylum provided by Canada to Mexican union leader Napoleon Gómez Urrutia. ON EXPLORATION, in Sonora, Riverside is receiving funding for exploration of five properties; Ridgestone released surface sample results from Rebeico; Colibri completed an IP survey on Evelyn. In Chihuahua, Kootenay is to rehabilitate underground workings at Columba. In Sinaloa, GR Silver initiated a drilling campaign in the Rosario district. In Durango, Mithril intersected bonanza grade mineralization in drill holes at Copalquin. In Jalisco, Xali Gold identified targets at its Tepic project. ON MINING, Mexus Gold produced some gold at Santa Elena in Sonora. Fresnillo paid US$176.2 M in taxes to the Mexican government in 2020. Santacruz Silver reported a fatality at is Rosario mine in San Luis Potosi. ON FINANCING, Reyna Silver, Wealth Minerals and Southern Silver reported on financing rounds for C$6.06 M, $675 K and $3 M respectively. Vizsla Silver granted options, Radius Gold received $400 K as payment from Pan American Silver related to an earn-in agreement on the Amalia project. Advance Gold extended the expiry date of some warrants. ON RESOURCES AND DEVELOPMENT, Guanajuato Silver informed on advance at getting the El Cubo and Pinguico mines back to production. Minera Alamos informed construction has been completed at Santana, in Sonora. Fabled Silver Gold released drilling results from Santa Maria, in Chihuahua. Discovery Silver released results from drilling targeting bulk mining mineralization at Cordero, in Chihuahua. Vizsla Silver released interesting drilling results from Panuco, in Sinaloa. Silver Dollar signed a surface access agreement at La Joya, in Durango. Oroco Resources received the environmental permit to drill at Santo Tomas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, Vizsla Silver is to spin a Canadian copper asset, forming Vizsla Copper. Fortuna Silver and Roxgold received a recommendation for their business combination. David Jones is on Benjamin Hill as a technical advisor. Orogen Royalties is to trade on the OTCQX ON SOCIAL RESPONSIBILITY, Peñoles, Fresnillo PLC, the Chihuahua Mining cluster and Minera Peñasquito informed on actions the companies realize to help communities and the environment. Great Panther published its sustainability report. Newmont launched its Climate Strategy Report.

ON MEXICO ISSUES

  • Equinox Gold Corp. informed an illegal blockade has temporarily suspended mining activities at Los Filos, Guerrero. the illegal blockades are led by “a group of unionized employees and members of the Xochipala community, both of whom are demanding payments in excess of their contractual agreements.
  • Americas Gold & Silver continues its fight against Napoleón Gómez Urrutia union. The company has had its San Rafael mine in Cosalá, Sinaloa, under siege for 18 months by the section 333 of the Sindicato de Trabajadores Mineros, Metalurgicos, Siderurgicos y Similares de la República Mexicana (the union led by Napoleón Gómez Urrutia). The company asked the Canadian government for help on what they see as an illegal blockade disguised as a dispute for the Union to control the company’s personnel collective contract (speaking of retribution, Canadian Mining companies are paying for the asylum Canada provided to the Union leader, and are set to pay dearly if do not fight back).

ON EXPLORATION

  • Riverside Resources Inc. informed BHP is funding exploration in five projects in Sonora, acquired under the BHP-Riverside Exploration Funding Agreement. A total of US$1.3 M over two years was allocated for generative funding, with an additional US$1 M in specific work programs. Riverside anticipates two projects will see a maiden drill campaign on 2021, of five under evaluation. The Chuin and Palofierro projects are the most advanced, while Sinoquipe, Penitas and Montosa projects are to follow suite. Magneto-teluric (MT) and gravity geophysics, green-mineral, whole rock and prospecting are being used for vectoring and district evaluations.
  • GR Silver Mining Ltd. initiated a 14,000 m exploration drill program in the Rosario district in Sinaloa.  Seven drill rigs are being mobilized to dill vein systems covering a combined 75 km strike length of the Plomosas, San Marcial and La Trinidad project areas. Some of the targets include the GAP area, Loma Dorada structure.
  • Xali Gold Corp. identified drill targets that can extend known mineralization at its Cocula project in Jalisco. These drill targets were identified on a 3D model, and are designed to test potential extensions to previously defined zones. The project displays two styles of mineralization, gold-silver as dissemination in oxidized breccias near surface and higher-grade gold silver and base metals in structures containing stockwork quartz veining.
  • Ridgestone Mining Inc. released assay results from sampling on recent mapping at its Rebeico project in Sonora. Sampling at El Cobre mine returned up to 1.0 m @ 3.5% Cu, 0.32 gpt Au, 32 gpt Ag, 0.136% Mo on the main structure. Regional mapping returned up to 1.2 m @ 1.06% Cu, 2.40 gpt Au, 6 gpt Ag in a quartz vein and 1.5 m @ 0.08% Cu, 3.45 gpt Au in a breccia. “The El Cobre mine was put into production by Asarco during the sixties and was developed on two levels, with the upper level having over 230 metres of drift development and the lower level having over 100 metres long of drift development at a depth of 180 metres below surface. The main structure, with widths varying from 1 to 5 metres, has been emplaced within a granodiorite intrusive and remains open along strike and at Depth”.
  • Kootenay Silver Inc. announced the signing of a contract with Tlasa Obras Mineras S. de R.L. de C.V. to rehabilitate the historic underground workings of the F vein at the Coulmba project in Chihuahua. Work is expected to take four months.
  • Colibri Resource Corp. reported the completion of the previously announced IP survey at Evelyn, in Sonora. The IP survey consisted of 38-line km of 3D-IP covering the eastern half of the Evelyn project. “…the highest chargeability response is spatially associated with the Main Zone within the Cerro Rojo target area…. the Company has decided to extend the IP survey to the western boundary thus completing 3D IP coverage over most of the property”.
  • Mithril Resources Ltd. released drill results from its Copalquin project in Durango. Highlighted core length results comprise: 6.8 m @ 74 gpt Au, 841 gpt Ag (including 2.1 m @ 235 gpt Au, 2,554 gpt Ag); 4.61 m @ 1.87 gpt Au, 89 gpt Ag; 7.60 m @ 2.34 gpt Au, 144 gpt Ag; 1.0 m @ 2.64 gpt Au, 167 gpt Ag; 6.0 m @ 1.41 gpt Au, 66 gpt Ag; 1.80 m @ 2.38 gpt Au, 53 gpt Ag; 1.05 m @ 2.36 gpt Au, 95 gpt Ag; 0.50 m @ 28.9 gpt Au, 471 gpt Ag; 1.66 m @ 2.41 gpt Au, 153 gpt Ag. Drilling continues along El Refugio structure, and soil sampling is in progress to define the structure a further 1.3 km to the west.

ON MINING

  • Mexus Gold US. informed its Santa Elena mine in Sonora produced 20 Oz Au last week and confirmed the presence of 30 ounces more on the activated carbon cells.
  • Fresnillo PLC. presented a report on the payments to the governments of Mexico, Chile and Peru. In Mexico, Fresnillo paid US$ 139.3 M in taxes, US$1.48 M in royalties and US$35.4 M in concession fees, for a total of US$176.2 M.
  • Santacruz Silver Mining Ltd. reported a fatality at its Rosario project in San Luis Potosi. ”The accident took place at the Membrillo mine as a result of a rock fall”.

ON FINANCING

  • Vizsla Silver Corp. granted 4.15 M options to directors, officers, employees and consultants (Panuco, Sinaloa).
  • Reyna Silver Corp. has over-sold the offering and completed a brokered private placement for gross proceeds of C$6.06 M (GuiGui, Chihuahua).
  • Radius Gold Inc. reported that Pan American Silver, its joint venture partner in at the Amalia project in Chihuahua, has paid a scheduled US$400 K property payment to Radius, and plans further drilling at the project. “Exploration completed at Amalia includes 31 holes for 10,588m of diamond core drilling, primarily at the San Pedro zone on the Amalia structure. The next targets to be drill tested are El Cuervo…. and at California”.
  • Wealth Minerals Ltd. closed the second tranche of the placement, for gross proceeds of $675 K (Coronado, Chihuahua).
  • Southern Silver Exploration Corp. closed the non-brokered private placement financing for gross proceeds of $3 M (Cerro Las Minitas, Durango).
  • Advance Gold Corp.  applied to the TSX Venture Exchange to extend the expiry date on 3.08 M share purchase warrants issued pursuant to the private placement financing in July 2019, by one year, to July 9, 2022 (Tabasqueña, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Guanajuato Silver Company Ltd. informed on staffing mill and mine refurbishment at El Cubo, Guanajuato. Also the company is doing metallurgical studies on El Cubo and Pinguico deposits.
  • Minera Alamos Inc. informed all construction has now been completed at Santana, in Sonora. “All construction has now been completed with the full leach pad now lined and available for stacking….. First loading of mined material from the Nicho Norte pit commenced earlier this month …in preparation for the commissioning of leach operations around the end of the June”.
  • Fabled Silver Gold Corp. released drilling results from its ongoing campaign at Santa Maria, Chihuahua. Highlighted core length results comprise 10.50 m @ 0.38 gpt Au, 31 gpt Ag, 0.2% Pb, 1.0% Zn Cu (including 1.20 m @ 1.37 gpt Au, 51 gpt Ag, 0.6% Pb, 4.2% Zn); 27.50 m @ 0.19 gpt Au, 20 gpt Ag (including 1.20 m @ 0.52 gpt Au, 163 gpt Ag, 0.3% Pb, 1.0% Zn); 19.65 m @ 0.44 gpt Au, 52 gpt Ag, 0.3% Pb, 0.6% Zn (including 7.90 m @ 0.74 gpt Au, 104 gpt Ag, 0.5% Pb, 1.2% Zn); 1.00 m @ 0.33 gpt Au, 322 gpt Ag, 0.3% Pb, 0.4% Zn.
  • Discovery Silver Corp. released results from 12 drill holes targeting bulk-mining mineralization at its Cordero project in Chihuahua. Highlighted results comprise 65.9 m @ 69 gpt Ag, 0.11 gpt Au, 0.7% Pb, 3.7% Zn; 143 m @ 39 gpt Ag, 0.13 gpt Au, 0.4% Pb, 1.3% Zn; 59.5 m @ 54 gpt Ag, 0.08 gpt Au, 0.9% Pb, 1.5% Zn; 86.0 m @ 33 gpt Ag, 0.17 gpt Au, 0.3% Pb, 1.2% Zn; 82.3 m @ 44 gpt Ag, 0.06 gpt Au, 0.7% Pb, 1.5% Zn; 59.4 m @ 48 gpt Ag, 0.06 gpt Au, 1.0% Pb, 2.0% Zn; 48.9 m @ 85 gpt Ag, 0.08 gpt Au, 0.6% Pb, 1.1% Zn.
  • Vizsla Silver Corp. provided results for fourteen holes from the Napoleon prospect at the Panuco project in Sinaloa. Highlighted true width results comprise 3.73 m @ 2.85 gpt Au, 105 gpt Ag, 0.7% Pb, 1.4% Zn; 2.62 m @ 5.51 gpt Au, 476 gpt Ag, 1.5% Pb, 1.1% Zn; 8.36 m @ 5.58 gpt Au, 372 gpt Ag, 0.2% Pb, 0.9% Zn (including 2.31 m @ 18.88 gpt Au, 1,306 gpt Ag, 0.7% Pb, 2.1% Zn; 3.21 m @ 0.94 gpt Au, 30 gpt Ag, 0.1% Pb, 0.9% Zn; 3.45 m @ 1.81 gpt Au, 43 gpt Ag, 0.3% Pb, 1.2% Zn; 11.34 m @ 3.11 gpt Au, 88 gpt Ag, 0.3% Pb, 2.1% Zn; 4.87 m @ 3.70 gpt Au, 112 gpt Ag, 0.3% Pb, 1.5% Zn.
  • GoGold Resources Inc. informed on results from seven drill holes from El Favor deposit at its Los Ricos North project in Jalisco. Highlighted core length results comprise: 15.0 m @ 0.41 gpt Au, 136 gpt Ag (including 6.4 m @ 0.80 gpt Au, 258 gpt Ag); 20.6 m @ 0.13 gpt Au, 44 gpt Ag; 10.6 m @ 0.09 gpt Au, 38 gpt Ag; 6.5 m @ 0.17 gpt Au, 81 gpt Ag; 63.7 m @ 0.11 gpt Au, 47 gpt Ag (including 9.1 m @ 0.54 gpt Au, 186 gpt Ag); 61.3 m @ 0.56 gpt Au, 243 gpt Ag (including 9.3 m @ 2.06 gpt Au, 973 gpt Ag); 9.4 m @ 0.10 gpt Au, 45 gpt Ag; 6.8 m @ 0.12 gpt Au, 136 gpt Ag; 4.8 m @ 0.25 gpt Au, 88 gpt Ag; 14.4 m @ 0.17 gpt Au, 49 gpt Ag; 35.2 m @ 0.17 gpt Au, 43 gpt Ag. “Three of the four major veins (Salomon, Guitarrillas and Los Chivos) appear to converge into a 100m wide zone at the western end of the El Favor deposit in the vicinity of the Hundido Pit….”.
  • Silver Dollar Resources Inc. entered into a formal surface access agreement with the ejido Noria de Pilares, at its La Joya project in Durango.
  • Oroco Resources Corp. received approval by SEMARNAT to conduct a drilling program at its Santo Tomas project in Sinaloa. The permit allows for 46 drill locations to test the Brasiles gossan zone and the Western blind target, both supported by a 3D IP survey, and nine drill locations on the North zone for confirmation and expansion drilling.

ON DEALS AND CORPORATE ISSUES

  • Vizsla Silver Corp. informed on the approval of the proposed plan of arrangement on which Vizsla Silver is to spin-out its British Columbia exploration assets to Vizsla Copper Corp. (Panuco, Sinaloa).
  • Fortuna Silver Mines Inc. and Roxgold Inc. informed two leading proxy advisory firms have recommended that both Fortuna and Roxgold shareholders vote for the proposed business combination (San Jose, Oaxaca).
  • Benjamin Hill Mining Corp. announced the appointment of David M. Jones, M.Sc., as technical advisor to the company (Sonora Gold, Sonora).
  • Orogen Royalties Inc. announced its shares have been qualified to trade on the OTCQX Best Market (Ermitaño, Sonora).

ON SOCIAL RESPONSIBILITY

  • Peñasquito informed its water purification plant in Cedros has increased its capacity to 400 cubic meters per day. The community, which doubled its population since the development of the mine, receives the water at no cost. There are two other water purification plants run by the company at the Mesas and Charcos communities.
  • Greath Panther Mining published its 2020 sustainability report, describing its safety performance, Covid prevention, zero sanctions, decrease in water consumption, community engagement, gender opportunities and diversity policy.
  • The Chihuahua Mining Cluster is aiding in the community effort to extinguish forest fires in the Sierra Madre.
  • Newmont Corp. launched its first Climate Strategy Report, which outlines the Company’s climate-related risks and opportunities, strategic planning, and pathways to achieving climate targets.
  • Industrias Peñoles informed on the reforestation effort with native species in La Laguna region (Coahuila-Durango).
  • Peñoles and Fresnillo PLC are to support micro business and auto-development economic proyects in Caborca, Sonora.

On the image below:  Sheeted quartz veining in granodioritic intrusive rocks in Sinaloa. Picture by Jorge Cirett.

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

Quartz Vein-Breccia

By Miguel A Heredia

During the 24th week of the year (June 14th to June 20th, 2021), at least 15 press releases were announced by companies working in Mexico and 6 news published by the media, with seven reporting on resources and developments, five informing on exploration results, four commenting on Mexican issues, two announcing financial rounds, two discussing social issues, and one disclosing deals and corporate issues.  ON MEXICO ISSUES, Dhipna Yanssen Weichselbaum, head of the Federal Programs in Baja California explained that 12,000 people will be consulted in Mulegé to carry out the consultation of El Boleo. The Argentine Embassy in Mexico along with the Ministry of Mining of that country carried out a working seminar with the Mexican company Baluarte Minero (Industrias Peñoles and Fresnillo PLC). The consultation for the nationalization of lithium, proposed by President Andrés Manuel López Obrador, is not necessary, since, it is already owned by Mexico. ON EXPLORATION, In Sonora, Tocvan and its JV partner Colibri reported drill results from its the El Pilar project, and Tarachi started a second drilling program on its San Javier mining concession at La Colorada gold bearing breccia pipe. In Chihuahua, Mammoth reported results from an additional 1.7km of 3D geophysical modeling conducted at its Tenoriba project. In Nayarit, Sierra Madre provided an update on the activities developed at its Tepic project. ON MINING, no relevant news. ON FINANCING, Azucar granted stock options to certain directors and officers of the company (El Cobre project, Veracruz). Advance Gold closed a private placement financing for gross proceeds of $200K (Tabasqueña project, Zacatecas). ON RESOURCES AND DEVELOPMENT, Almaden completed a surface induced polarization geophysical (IP) program at its Ixtaca project in Puebla. GoGold released results from eight drill holes collared at its Los Ricos project in Jalisco. Silver Viper filed on SEDAR a NI 43-101 technical report supporting the maiden mineral resource estimate for its La Virginia project in Sonora. Torex released an updated mineral resource estimate for its media Luna project in Guerrero. Zacatecas Silver announced positive preliminary metallurgical test results from its Zacatecas Silver property. Excellon filed on SEDAR an independent NI 43-101 technical report for its La Platosa mine in Durango. Ridgestone announced that it filed on SEDAR a NI 43-101 technical report for its Guadalupe y Calvo project in Chihuahua.    ON DEALS AND CORPORATE ISSUES, SilverCrest presented results of its annual general meeting of shareholders (Las Chispas project, Sonora).    ON SOCIAL RESPONSIBILITY, Peñoles community center received population from 40 to 49 years for anticovid vaccine in Torreón. Peñoles and Fresnillo plc announced that they are training young Mexicans in seven states.

ON MEXICO ISSUES

  • Dhipna Yanssen Weichselbaum, head of the Federal Programs in Baja California explained that 12,000 people will be consulted in Mulegé to carry out the consultation of El Boleo. the procedure will consist of 2 phases: one is the publication of the call to know the expansion of the MIA project and then the citizen consultation that will take place in the communities of Santa Rosalía and San Ignacio, among others, which are related to the El Boleo mining company.
  • The Argentine Embassy in Mexico along with the Ministry of Mining of that country carried out a working seminar with the Mexican company Baluarte Minero (Industrias Peñoles and Fresnillo PLC). The group’s interest was particularly focused on the provinces of Neuquén, Rio Negro, Salta, Mendoza and San Juan, where Mexican businessmen expressed their intention to evaluate the possibility of investing in mining projects in the region. Technical experts and professionals from Baluarte Minero were informed about prospects for gold, silver, copper, potassium and lithium in Argentina.
  • According to experts of the Association of Mining Engineers, Metallurgists and Geologists of Mexico (AIMMGM), the consultation for the nationalization of lithium, proposed by President Andrés Manuel López Obrador, is not necessary, since, it is already owned by Mexico. Article 27 of the constitution clearly states that all mineral deposits that are in Mexican territory are property of the Nation, so it would not be necessary to nationalize lithium.

ON EXPLORATION

  • Tocvan Ventures Corp., and its JV partner Colibri Resource Corporation reported drill results from four RC holes collared at its the El Pilar project in Sonora. Highlights includes a drill intersection of 0.66 g/t Au over a length of 35.1m in hole JES-21-43 drilled at the Main Zone. This drill intercept includes 1.7 g/t Au over 13.7m, including 6.8 g/t Au and 7 g/t Ag over 3.1m. Tocvan is currently completing 3,500m of RC drilling in 20 holes comprising its Phase II program at Pilar. Thirteen RC holes are still pending of assay results.
  • Tarachi Gold Corp., started a second drilling program on its San Javier mining concession at La Colorada gold bearing breccia pipe. The plan is to drill four holes down-dip of the breccia pipe to test the continuity of the positive results encountered from the 2020 drill program performed at the property, which returned high grade intersections.
  • Mammoth Resources Corp., reported results from an additional 1.7km of 3D geophysical modeling conducted at its Tenoriba project in Chihuahua. “This additional 3D modelling shows similar strong correlation between IP/Mag  geophysical features and anomalous surface gold-in-soil, chips and channel samples together with numerous gold intervals in diamond drilling and extends these coincident features over this additional 1.7Km of a total of 4km of IP/Mag coverage over a larger 6km east-west trend of surface gold-silver mineralization at Tenoriba”.
  • Sierra Madre Gold and Silver Ltd., provided an update on the activities developed at its Tepic project in Nayarit. The company has already drilled over 80% of the 2,000m and is expected to be completed soon. This is part of the 20 RC holes panned for its phase 1 drilling program. RC drill results will be released once assaying is completed. Sierra Madre is preparing new drill permits to conduct a Phase 2 drill program for additional 100-200 holes. The company also has commenced a 2,700m Phase 1 trenching program for the central project area. It will help to provide information to consider designing the Phase 2 drill program. The company also announced that, mapping and sampling continue in the northern and eastern project areas with an emphasis on prospecting arroyos and creek beds for signs of mineralization.

ON MINING

  • No relevant news.

ON FINANCING

  • Azucar Minerals Ltd., granted stock options to certain directors and officers of the company to purchase an aggregate of 413K common shares at an exercise price of $0.13 per share which expire on June 14, 2023 (El Cobre project, Veracruz).
  • Advance Gold Corp., closed a private placement financing for gross proceeds of $200K. The company plans to use the proceeds to advance their lithium-potassium boron prospective salars in central Mexico and for general corporate purposes.

ON RESOURCES AND DEVELOPMENT

  • Almaden Minerals Ltd., completed a surface induced polarization geophysical (IP) program at its Ixtaca project in Puebla. The IP results are being processed and combined with geological, geochemical and geophysical data collected in the past to outline drill targets beneath the Southeast Alteration Zone and at depth beneath the Ixtaca deposit.
  • GoGold Resources Inc., released results from eight drill holes collared at the Casados deposit at its Los Ricos North project in Jalisco. The most significant drill intersection was encountered in hole LRGCS-21-043 with 0.12 g/t Au and 270 g/t Ag (3.72 g/t AuEq or 279 g/t AgEq) over 0.9m, plus 0.46 g/t Au and 135 g/t Ag (2.25 g/t AuEq or 169 g/t AgEq) over 0.46m, plus 0.43 g/t Au and 132 g/t Ag (2.19 g/t AuEq or 164 g/t AgEq) over 33.6m, including 0.88 g/t Au and 270 g/t Ag (4.48 g/t AuEq or 336 g/t AgEq) over 15.3m, including 1.78 g/t Au and 539 g/t Ag (8.97 g/t AuEq or 673 g/t AgEq) over 6.7m, including 3.77 g/t Au and 930 g/t Ag (16.17 g/t AuEq or 1,213 g/t AgEq) over 1.9m.
  • Silver Viper Minerals Corp., filed on SEDAR a NI 43-101 technical report supporting the maiden mineral resource estimate for its La Virginia project in Sonora. El Rubi Zone contains an indicated resource of 6,179,000 tonnes of 0.78 g/t Au and 35 g/t Ag for 154.3K Oz Au and 6.93M Oz Ag, and inferred resources of 3,255,000 tonnes of 0.9 g/t Au and 36 g/t Ag for 94.1K Oz Au and 3.75M Oz Ag in open pit category. Virginia, El Oriental, Las Huatas and Las Huatas South add and inferred resource of 6,622,000 tonnes of 0.71 g/t Au and 41 g/t Ag for 152.2K Oz Au and 8.74M Oz Ag in open pit category, and 277K tonnes of 1.92 g/t Au and 62 g/t Ag for an additional 14K Oz Au and 451.5K Oz Ag in the underground category. Gold and Silver Equivalents for Indicated resource equal 253,286 Oz AuEq or 17,730,000 Oz AgEq. Gold and Silver Equivalents for Inferred resource equal 445,176 Oz AuEq or 31,162,300 Oz AgEq.
  • Torex Gold Resources Inc., released an updated mineral resource estimate for its media Luna project in Guerrero. Torex reported indicated resources for 20.9M tonnes of 3.21 g/t Au, 32 g/t Ag, and 1.07% Cu (5.27 g/t AuEq) to contain 2.15M Oz Au, 21.3M Oz Ag, and 492M Lb Cu (3.54M Oz AuEq), and inferred resources for 18.9M tonnes of 2.11 g/t Au, 28 g/t Ag, and 1.04% Cu (4.08 g/t AuEq) to contain 1.28M Oz Au, 17.1M Oz Ag, and 431M Lb Cu (2.48M Oz AuEq).
  • Zacatecas Silver Corp., announced positive preliminary metallurgical test results from its Zacatecas Silver property, for both bulk flotation and sequential flotation recovery options,  with the bulk floatation flow-path producing a single gold, silver, lead and zinc rougher concentrate (15 minutes of floatation and 23% mass pull) with 697 g/t silver, 0.97 g/t gold, 1.67% zinc and 0.58% lead and recovering 96.2 % of the silver, 93.6% of the gold, 96.5% of the zinc and 92.1 % of the lead.
  • Excellon Resources Inc., filed on SEDAR an independent NI 43-101 technical report. This technical report documents a mineral resource statement for the Platosa Mine in Durango. The company reported measured + indicated resources for 317K tonnes of 485 g/t Ag, 5.3% Pb, and 5.5% Zn to contain 4.9M Oz Ag, 36.79M Lb Pb, and 38.78M Lb Zn, and inferred resources for 42K tonnes of 749 g/t Ag, 4.3% Pb, and 5.4% Zn to contain 1M Oz Ag, 4M Lb Pb, and 5M Lb Zn.
  • Ridgestone Mining Inc., announced that it filed on SEDAR a NI 43-101 technical report to support the maiden mineral resource estimate for its Guadalupe y Calvo project in Chihuahua. Ridgestone reported indicated resources for 6,427,444 tonnes of 50 g/t Ag and 1.05 g/t Au (1.72 g/t AuEq) to contain 10.43M Oz Ag and 217K Oz Au (356K Oz AuEq), and inferred resources for 3,074,146 tonnes of 94 g/t Ag and 3.4 g/t Au (4.65 g/t AuEq) to contain 9.3M Oz Ag and 335.6K Oz Au (460K Oz AuEq).

ON DEALS AND CORPORATE ISSUES

  • SilverCrest Metals Inc., presented results of its annual general meeting of shareholders held in Vancouver, BC, Canada (Las Chispas project, Sonora). 

ON SOCIAL RESPONSIBILITY

  • Industrias Peñoles S.A.B. de C.V., community center received population from 40 to 49 years and pregnant women of more than nine weeks of gestation for anticovid vaccine in Torreón. The inoculation is carried out by personnel of the General Hospital of the Zone from the Mexican Social Security Institute  # 18 (IMSS) as well as nurses from said mining company.
  • Industrias Peñoles S.A.B. de C.V., and Fresnillo plc announced that they are training young Mexicans in seven states. Both companies recognize that education plays an important role in people’s lives, because it provides them with new tools that contribute to improve their quality of life. In this sense, they teach specialized courses for girls, children and young people in various areas such as science, technology, engineering, human development, health, entrepreneurship and children’s literacy, among others.

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

On the picture above, a quartz vein-bx in a low sulphidation epithermal system in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

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

By Jorge Cirett

During the 23rd week of the year (June 7th to June 13th, 2021), at least 25 press releases were announced by companies working in Mexico. To note, six companies posted exploration advances on their properties, three posted on financing ($2.6M, $1.43 M, C$11.5 M) and one on a debt settlement with shares, six more on project development or resource definition and three posted on deals or corporate issues. ON MEXICO ISSUES, The bodies of seven miners killed on a coal mine collapse in Coahuila have been recovered. ON EXPLORATION, in Baja, Comet Resources commenced a drill program at Santa Teresa. In Sonora, Minaurum is re-commencing drilling at its Alamos Silver project; Silver Spruce commenced phase II ground exploration at Jackie; Tarachi Gold released RC drilling results from La Dura mine at its Tarachi project. Radius gold released ground exploration results from Maricela. In Sinaloa, Kootenay Silver released good drilling results at Copalito.  ON MINING, no relevant news. ON FINANCING, Santacruz Silver settled a C$4.5 M debt by issuing shares to debtors. Three companies informed on financing rounds: Silver Viper Minerals ($1.4 M, aggregate $6 M), Mammoth Resources ($2.6 M) and Defiance Silver (C$11.5 M). ON RESOURCES AND DEVELOPMENT, GR Silver Mining reported drill results from Plomosas, in Sinaloa. Endeavour Silver released high-grade intercepts at Terronera, Jalisco. Advance Gold released (low) lithium drilling results from the Saldivar Salar in San Luis Potosi. GoGold Resources reported drilling results from Los Ricos North in Jalisco. Golden Tag Resources released drilling results from a bulk tonnage target at San Diego, Durango. Golden Minerals reported assay results from expansion drilling at Rodeo, Durango.  ON DEALS AND CORPORATE ISSUES, Millrock Resources and Tocvan Ventures signed a letter of commitment in relation to El Picacho project in Sonora. Telson Mining completed its change name to Altaley Mining. VanGold Mining announced its name change to Guanajuato Mining. ON SOCIAL RESPONSIBILITY, Peñoles and Fresnillo PLC informed on actions the companies realize to help the environment. Mazapil inhabitants evaluated the water quality they receive with Minera Peñasquito support.

ON MEXICO ISSUES

  • The bodies of six of seven miners have been recovered after the collapse of a coal mine in Coahuila.
  • Luisa María Alcalde, head of the Secretariat of Work and Social Prevision informed the mine collapse in Coahuila that caused several fatalities was due to strong rains in the region.

ON EXPLORATION

  • Kootenay Silver Inc. released results from five holes at its Copalito project in Sinaloa. The holes are from the 5 Señores vein, which has now been tested on 600 m of its 1 km known extension. Highlighted core length results comprise 35 m @ 75 gpt Ag, 0.6 gpt Au, 0.1% Pb+Zn (126 gpt AgEq) which include 1.70 m @ 43 gpt Ag, 2.56 gpt Au, 0.8% Pb+Zn (218 gpt Ag) and 1.31 m @ 264 gpt Ag, 0.23 gpt Au, 2.3% Pb+Zn (326 gpt AgEq); 19.43 m @ 218 gpt Ag, 0.83 gpt Au, 1.5% Pb+Zn (306 gpt AgEq) including 7.97 m @ 330 gpt Ag, 1.23 gpt Au, 2.0% Pb+Zn (456 gpt AgEq); 15.0 m @ 61 gpt Ag, 0.75 gpt Au, 0.4% Pb+Zn (119 gpt Ag) including 2.0 m @ 220 gpt Ag, 3.79 gpt Au, 0.4% Pb+Zn (475 gpt AgEq); 12.0 m @ 66 gpt Ag, 0.17 gpt Au, 0.8% Pb+Zn (96 gpt AgEq) including 2.20 m @ 241 gpt Ag, 0.42 gpt Au, 0.8% Pb+Zn (289 gpt AgEq); 10.0 m @ 65 gpt Ag, 0.11 gpt Au, 0.3% Pb+Zn (79 gpt AgEq) including 1.68 m @ 210 gpt Ag, 0.45 gpt Au, 0.4% Pb+Zn (248 gpt AgEq).
  • Minaurum Gold Inc. informed on rig mobilization to its Alamos silver property in Sonora. “Drilling will focus on defining emerging silver shoots in previously explored veins as well as discovering new shoots in underexplored veins. Drill targets will be 100- to 150-metre step-outs of, up- and down-dip, and along-strike of mineralized vein zones, with allowances made for plunging shoots. Minaurum is also continuing reconnaissance work to the south and west in the Alamos project to develop new target veins for later drilling”. Some of the zones to be tested include the Europa-Guadalupe, San José, Minas Nuevas, Alessandra, Ana, Promontorio, Púlpito and Cotera.
  • Comet Resources Ltd. Commenced a 2,000 m diamond drilling program at Santa Teresa, in Baja California. This is the first drilling program since Premier Gold tested the property in 2008.
  • Radius Gold Inc. defined high grade and bulk tonnage targets at its Maricela project in Sonora. Rock chip sampling returned up to 3 m @ 4.46 gpt Au, 1,335 gpt Ag; 22.0 m @ 0.15 gpt Au, 39 gpt Ag; 4 m @ 1.23 gpt Au, 111 gpt Ag at Baby Gloria, 25.3 m @0.31 gpt Au, 62 gpt Ag; 10 m @ 0.62 gpt Au, 142 gpt Ag at Virgen de Plata, 4 m @ 0.45 gpt Au, 98 gpt Ag; 10.5 m @ 0.50 gpt Au, 105 gpt Ag at EL Arco; 6 m @ 1.03 gpt Au, 417 gpt Ag at Central. “The project hosts an epithermal silver & gold mineralized vein system extending approximately 1.5km long by 300m wide, within which occurs multiple veins, stockworks and breccias which at intersections have exposed widths +25 meters. Recent mapping and sampling (273 rock chips) identified 6 major veins with combined strike approximately of 5km”.
  • Silver Spruce Resources Inc. commenced phase II ground exploration at the 1,130 ha Jackie property in Sonora. “The work will be performed on a 100-hectare section of the Property with grid-controlled detailed geological mapping and rock sampling focused on a 25-hectare central block covering the core of the gold and silver discovery area with additional wider spaced grid mapping of the surrounding area”.
  • Tarachi Gold Corp. released results from surface reverse circulation holes drilled on La Dura mine within the Jabali concession at the Tarachi project in Sonora. Highlighted hole-length intervals comprise 3.0 m @ 0.63 gpt Au, 9.0 m @ 0.22 gpt Au, 3.0 m @ 0.37 gpt Au, 3.0 m @ 2.35 gpt Au; 1.50 m @ 1.56 GPT Au; 12.0 m @ 7.26 gpt Au (including 6.0 m @ 12.2 gpt Au); 3.0 m @ 1.68 gpt Au, 12.0 m @ 0.23 gpt Au. “The drill program tested the down-dip and potential southern plunge in areas of known gold bearing structures”. 

ON MINING

  • No relevant news.

ON FINANCING

  • Santacruz Silver Mining Ltd. announced the settling of a debt of C$4.47 M by issuing 10.3 M shares to Empresa Minera Manquiri S.A. and Minas Guilloyna S.A. de C.V. (Zimapan, Hidalgo).
  • Mammoth Resources Corp. closed its previously announced oversubscribed non-brokered private placement financing to raise up to $2.6 M in gross proceeds (Tenoriba, Chihuahua).
  • Silver Viper Minerals Corp. closed the final tranche of its non-brokered private placement for aggregate proceeds of $1.43 M. Aggregate profits under the offering were $6 M (La Virginia, Sonora).
  • Defiance Silver Corp. closed the previously announced brokered private placement for Gross proceeds of C$11.5 M (San Acacio, Zacatecas; Tepal, Michoacan).

ON RESOURCES AND DEVELOPMENT

  • GR Silver Mining Ltd. reported drill results from the Plomosas project in Sinaloa. Highlighted true width (TW) intercepts on the northern portion of the Plomosas mine area of polymetallic hydrothermal breccia comprise 16.2 m @ 75 gpt Ag, 0.25 Au, 0.7% Pb, 0.8% Zn, 0.1% Cu (including 5.8 m @ 171 gpt Ag, 0.41 gpt Au, 1.1% Pb, 0.7% Zn, 0.2% Cu); 7.6 m @ 227 gpt Ag, 0.27 gpt Au, 1.7% Pb, 1.4% Zn, 0.1% Cu; 10.7 m @ 12 gpt Ag, 2.48 gpt Au, 1.1% Pb, 1.5% Zn (including 1.5 m @ 17 gpt Ag, 15.81 gpt Au, 1.1% Pb, 3.9% Zn); 3.6 m @ 100 gpt Ag, 0.14 gpt Au, 0.2% Pb, 1.1% Zn, 0.5% Cu; 21.0 m @ 25 gpt Ag, 0.67 gpt Au, 1.6% Pb, 2.4% Zn, 0.1% Cu).
  • Endeavour Silver Corp. announced high-grade intercepts in a number of structures near the Terronera vein at Terronera, Jalisco. True width intercepts comprise 1.12 m @ 0.32 gpt Au, 170 gpt Ag; 2.14 m @ 3.97 gpt Au, 73 gpt Ag; 5.59 m @ 2.17 gpt Au, 177 gpt Ag; 1.35 m @ 9.78 gpt Au, 214 gpt Ag at San Simón, 1.41 m @ 2.20 gpt Au, 54 gpt Ag; 2.88 m @ 6.05 gpt Au, 1,056 gpt Ag; 1.98 m @ 3.38 gpt Au, 347 gpt Ag; 1.39 m @ 2.04 gpt Au, 66 gpt Ag at Fresno, 1.08 m @ 2.63 gpt Au, 25 gpt Ag at Lindero, 1.08 m @ 1.09 gpt Au, 445 gpt Ag at Pendencia, and 1.95 m @ 9.52 gpt Au, 148 gpt Ag; 1.07 m @ 2.81 gpt Au, 54 gpt Ag at Los Cuates.
  • Advance Gold Corp. announced results from four core holes at its Saldivar Salar in San Luis Potosí. One hole averaged 84 m @ 136 ppm Li (232 ppm peak value), 225 ppm B, 1.3 % K; a second hole averaged 77 m @ 142 ppm Li (229 ppm peak value), 213 ppm B, 1.3% K; a third hole averaged 53 m @ 130 ppm Li (214 ppm peak value), 230 ppm B, 1.2% K; a fourth hole returned 50 m @ 137 ppm Li (231 ppm peak value), 226 ppm B, 1.4% K. 
  • GoGold Resources Inc. released results from drilling on El Orito prospect at it Los Ricos North project in Jalisco. Highlighted core length intersections comprise 9.5 m @ 20 gpt Ag, 0.03 gpt Au, 0.10% Cu, 0.3% Pb, 0.7% Zn; 12.4 m @ 38 gpt Ag, 0.08 gpt Au, 0.23% Cu, 2.1% Pb, 3.8% Zn (including 2.6 m @ 93 gpt Ag, 0.09 gpt Au, 0.61% Cu, 5.3% Pb, 9.9% Zn); 3.0 m @ 222 gpt Ag, 1.93 gpt Au, 0.29% Cu, 2.7% Pb, 0.1% Zn; 44.3 m @ 23 gpt Ag, 0.04 gpt Au, 0.08% Cu, 0.7% Pb, 1.2% Zn (including 4.9 m @ 44 gpt Ag, 0.16 gpt Au, 0.16% Cu, 2.5% Pb, 3.5% Zn); 26.6 m @ 14 gpt Ag, 0.04 gpt Au, 0.07% Cu, 1.1% Pb, 1.3% Zn (including 5.1 m @ 38 gpt Ag, 0.17 gpt Au, 0.20% Cu, 4.5% Pb, 1.9% Zn); 29.4 m @ 36 gpt Ag, 0.06 gpt Au, 0.23% Cu, 2.2% Pb, 4.1% Zn; (including 6.3 m @ 90 gpt Ag, 0.09 gpt Au, 0.65% Cu, 5.2% Pb, 9.5% Zn); 23.0 m @ 61 gpt Ag, 0.08 gpt Au, 0.40% Cu, 2.4% Pb, 4.9% Zn; 58.0 m @ 31 gpt Ag, 0.04 gpt Au, 0.19% Cu, 1.2% Pb, 2.6% Zn. “mineralization averaging approximately 30m in width for more than 700m in strike length and up to approximately 300m in vertical depth from surface and is open in all directions….. The known strike length of the El Orito – El Favor structure is now approaching 2,500 meters and is still open in both directions”.
  • Golden Tag Resources Ltd. released results from a diamond hole at the Trovador zone of its San Diego project in Durango. Highlighted results comprise 8.40 m @ 0.58 gpt Au, 30 gpt Ag, 0.3% Pb, 0.4% Zn, 0.09% Cu; 86.64 m @ 0.03 gpt Au, 39 gpt Ag, 0.9% Pb, 0.6% Zn; 169.83 m @ 0.04 gpt Au, 32 gpt Ag, 0.6% Pb, 0.8% Zn, 0.05% Cu (including 14.47 m @ 0.03 gpt Au, 81 gpt Ag, 1.9% Pb, 2.2% Zn, 0.12% Cu); 116.45 m @ 0.03 gpt Au, 42 gpt Ag, 0.6% Pb, 0.7% Zn; 2.71 m @ 0.05 gpt Au, 97 gpt Ag, 0.5% Pb, 3.1% Zn, 0.35% Cu.
  • Golden Minerals Co. released initial results from its expansion drill program at its Rodeo open pit mine in Durango. Highlighted results comprise 14.65 m @ 3.94 gpt Au, 8 gpt Ag; 9.30 m @ 5.38 gpt Au, 10 gpt Ag; 3.70 m @ 7.02 gpt Au, 21 gpt Ag (including 0.90 m @ 21.09 gpt Au, 50 gpt Ag); 13.75 m @ 2.64 gpt Au, 10 gpt Ag, 6.35 m @ 1.41 gpt Au, 36 gpt Ag; 3.80 m @ 2.69 gpt Au, 26 gpt Ag.
  • GR Silver Mining Ltd. reported drill results from high-grade epithermal veining from La Colorada and San Juan veins at Plomosas, Sinaloa. Highlighted core length intervals comprise 9.0 m @ 710 gpt Ag, 1.82 gpt Au, 1.1% Pb, 0.3% Zn, 0.1% Cu (including 0.7 m @ 8,519 gpt Ag, 18.77 gpt Au, 8.9% Pb, 0.7% Zn, 0.2% Cu); 33.0 m @ 20 gpt Ag, 0.11 gpt Au, 0.5% Pb, 0.3% Zn; 11.1 m @ 139 gpt Ag, 0.69 gpt Au, 0.1% Pb, 0.2% Zn; 7.0 m @ 341 gpt Ag, 1.00 gpt Au, 0.2% Pb, p.6% Zn; 2.1 m @ 480 gpt Ag, 0.05 gpt Au, 0.2% Pb, 0.2% Zn. “The La Colorada vein is a hydrothermal breccia that contains Au-Ag-Pb-Zn values in a mineralized quartz and hematite matrix. It is hosted in andesite and ignimbrite country rock. Sphalerite, galena and acanthite (Ag-bearing mineral) are found in the quartz veins.”.

ON DEALS AND CORPORATE ISSUES

  • Millrock Resources Inc. signed a letter of commitment with Tocvan Ventures Corp. in relation to 2,414 ha El Picacho gold project in Sonora, west of the San Francisco mine. Tocvan must make make cash payments of US$2 M to the underlying concession owners over a five-year term to acquire 100% interest in the project, pay back taxes and Millrock is to retain a 2% NSR, of Which Tocvan may purchase back 1% for US$1 M.
  • Telson Mining Corp. is completing its name change to Altaley Mining Corp. on June 11, 2021 (Campo Morado, Guerrero).
  • VanGold Mining Corp. announced the name change to Guanajuato Mining Corp. to be effective from June 10, 2021 (El Cubo and El Pinguico, Guanajuato).

ON SOCIAL RESPONSIBILITY

  • Peñoles and Fresnillo PLC informed on actions the companies realize to help the environment.
  • Mesas Mazapil inhabitants informed on the supervision they do on the water source delivered by Minera Peñasquito.

On the image below:  Felsic volcanic rocks autobreccia with hematite rich matrix in Sinaloa. Picture by Jorge Cirett.

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

Quartz Blade Texture

By Miguel A Heredia

During the 22nd week of the year (May 31st to June 06th, 2021), at least 24 press releases were announced by companies working in Mexico and 1 news published by the media, with six disclosing deals and corporate issues, six announcing financial rounds, five informing on exploration results, four reporting on resources and developments, three discussing social issues, and one communicating production and financial results.  ON MEXICO ISSUES, No relevant news.  ON EXPLORATION, In Sonora, Benjamin Hill Mining released additional sampling results from its Benjamin Hill property, Silver Spruce and its JV partner Colibri commenced the phase 1 exploration drilling at its Mezquite project, and Heliostar presented results from its mapping and sampling program at its Oso Negro project. In Zacatecas, Zacatecas Silver completed the geological mapping and sampling program of the San Manuel Vein System. ON MINING, Santacruz reported Q1, 2021 production and financial results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi States respectively. ON FINANCING, Alamos Gold declared quarterly dividend of USD $0.025 per common share (Mulatos mine, Sonora). Chesapeake reported that it granted 73,500 incentive stock options at an exercise price of $4.37 per share (Metates project, Durango). Colibri announced that its previously announced private placement has been oversubscribed for an additional 399,139 units at $.10 per unit (El Pilar project, Sonora). Silver Viper closed the first tranche of a $6M private placement for gross proceeds of $4.57M (La Virginia project, Sonora).  VanGold signed a definitive agreement to obtain a non-dilutive USD $7.5M in the form of a silver and gold loan (El Cubo mine, Guanajuato). Vizsla closed a bought deal financing offering for gross proceeds of CAD $69M (Panuco project, Sinaloa). ON RESOURCES AND DEVELOPMENT, Barksdale outlined a 5,000m drilling program at its San Javier project in Sonora. GoGold released results from six holes collared at its Los Ricos North project in Jalisco. Oroco presented results from the 3D IP survey conducted at its Santo Tomas project in Sinaloa. Sonoro completed the nine final RC holes at its Cerro Caliche project in Sonora and moves towards an updated technical report and new PEA. ON DEALS AND CORPORATE ISSUES, Capstone announced the resignation of a member of its Board of Directors (Cozamine mine, Zacatecas). VanGold announced that it will change its name to Guanajuato Silver Company, Ltd. (El Cubo mine, Guanajuato). Gatos Silver announced the appointment of its President and CEO, effective June 1, 2021 (Los Gatos mine, Chihuahua). Great Panther appointed its new CFO and COO (Topia mine, Durango). First Majestic released results from its annual general meeting of shareholders (San Dimas property, Durango).  Fortuna Silver provided an update of the legal dispute against the Mexican Geological Survey (SGM) if the royalty in one of its claims at San Jose mine in Oaxaca is not paid.  ON SOCIAL RESPONSIBILITY, Minera Alamos released its 2020 Environmental, Social, and Corporate Governance (ESG) Report (Mulatos mine, Sonora).  Grupo México delivered seed capital for productive and social projects in the community of Sombrerete, Zacatecas. Newmont Corporation launched its 2020 Annual Sustainability Report.

ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Benjamin Hill Mining Corp., released additional assays from 45 samples collected at the new La Salada East Area within its Benjamin Hill property in Sonora. Chip samples returned multiple results ranging from 1 g/t Au to 3.8 g/t Au with peaks of 10 g/t Au and 10.1 g/t Au. Gold values are associated with quartz veining and quartz breccias often with chalcopyrite, galena and hematite, limonite and “boxwork” pyrite. These results extend the known gold mineralization previously reported. The company also announced that it is finalizing drill program planning to test the most prospective targets generated to date and expects to receive drill permits in early June.
  • Silver Spruce Resources Inc., and its JV partner Colibri Resource Corporation commenced the 2,000m phase 1 exploration RC drilling at its Mezquite project in Sonora. Six holes are planned to drill test an area of 400m by 600m with elevated values to 3.41 g/t Au and 387 g/t Ag.
  • Heliostar Metals Limited presented results from its mapping and sampling program at its Oso Negro project in Sonora. High grade channel samples defined drill targets at the Prospecto Vein zone including 5.14 g/t Au, 953 g/t Ag, 1% Pb, and 1.9% Zn (1,428 g/t AgEq) over 1.2m; 2.55 g/t Au, 346 g/t Ag, 0.4% Pb, and 1.2% Zn (588 g/t AgEq) over 1.8m; and 3.29 g/t Au, 89 g/t Ag, 0.2% Pb, and 0.6% Zn (362 g/t AgEq) over 2.4m. This target has a length of 360m of strike, and has a weighted average grade of 420 g/t AgEq over and average width of 1.3m. Heliostar also announced the stacking of a new claim, Angel de Plata 2, increasing its land position to 120 square kilometers. Two new vein corridors have been discovered on the new claim with mine dump samples from historic workings up to 1,810 g/t AgEq.
  • Zacatecas Silver Corp., completed the first pass of its geological mapping and sampling program on the San Manuel Vein System. The company defined eight sets of oxidized, silver-base metal mineralized veins for over at least 3 km in length, with a dilation zone that is at least 600m wide. This extensional zone represents robust drill targets. The company has already commenced an environmental study at San Gill-San Manuel, concurrent with planning of first phase drilling at this target, which should be completed within 4 weeks.

ON MINING

  • Santacruz Silver Mining Ltd., Santacruz reported Q1, 2021 production and financial results from their Zimapan and Rosario mines in Hidalgo and San Luis Potosi states respectively.  At Zimapan, Hidalgo, the company processed 156, 433 tonnes to produce 646K Oz AgEq at cash and AISC of USD $19.91 and USD $27.19 per Oz AgEq respectively. At Rosario, San Luis Potosi, Santacruz processed 19,806 tonnes to produce 60.9K Oz AgEq at cash and AISC of USD $27.19 and USD $52.57 respectively. The company reported consolidated revenues of USD $11.1M, gross profit of USD $2.2M, EBITDA of USD $983K, and cash and marketable securities of USD $6.8M (Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively).

ON FINANCING

  • Alamos Gold Inc., declared quarterly dividend of USD $0.025 per common share. The company also implemented a dividend reinvestment plan. It gives the shareholders the option of increasing their investment by electing to receive common shares instead of cash dividend at a 3% discount to the prevailing market price (Mulatos mine, Sonora).
  • Chesapeake Gold Corp., reported that it granted 73,500 incentive stock options at an exercise price of $4.37 per share. The Options will vest and be exercisable on the basis of 25% annually, commencing May 31, 2022, the first anniversary of the date of the grant. (Metates project, Durango).
  • Colibri Resource Corporation announced that its previously announced private placement of 23,482,000 units has been oversubscribed for an additional 399,139 units at $.10 per unit with each unit consisting of one common share and one common share purchase warrant exercisable at $0.15 for one common share for a period of twenty-four months from the date of issue. (El Pilar project, Sonora).
  • Silver Viper Minerals Corp., closed the first tranche of a $6M private placement for gross proceeds of $4.57M (La Virginia project, Sonora).  The Company intends to use the net proceeds from the Offering for working capital requirements and other general corporate purposes.
  • VanGold Mining Corp., signed a definitive agreement to obtain a non-dilutive USD $7.5M in the form of a silver and gold loan. The company estimates that the amount of gold and silver required to repay this loan facility will represent approximately 25% of the projected gold and silver to be produced by VanGold from its operations at the El Cubo mill in Guanajuato during the 12-month repayment period of the loan.
  • Vizsla Silver Corp., closed a bought deal financing offering for gross proceeds of CAD $69M. The net proceeds of the Public Offering will be used to advance the exploration and development of the Company’s Panuco project, to make option payments and pursue potential future acquisitions, as well as for working capital and general corporate purposes.

ON RESOURCES AND DEVELOPMENT

  • Barksdale Resources Corp., outlined a 5,000m drilling program at its San Javier project in Sonora. The plan is to start drilling in July 2021 at the Cerro Verde area to confirm near surface copper oxide and gold mineralization up to 200m and test structures believed to control higher grade mineralization.  Cerro Verde has historic indicated + inferred resources for 86M tonnes of 0.33% Cu for a total of 630M Lb Cu. The company also plans to run metallurgical tests to better understand the potential processing routes for both copper and gold mineralization.
  • GoGold Resources Inc., released results from six holes collared at its Los Ricos North project in Jalisco. The most significant results was encountered in hole LRGF-21-041 with 0.38 g/t Au and 84 g/t Ag (1.5 g/t AuEq or 113 g/t AgEq) over 1.7m, plus 0.31 g/t Au and 82 g/t Ag (1.41 g/t AuEq or 105 g/t AgEq) over 56.1m, including 3.57 g/t Au and 975 g/t Ag (16.57 g/t AuEq or 1,243 g/t AgEq) over 1.3m, plus 0.19 g/ Au and 90 g/t Ag (1.39 g/t AuEq or 104 g/t AgEq) over 2.3m.
  • Oroco Resource Corporation presented results from the 3D IP survey conducted at its Santo Tomas project in Sinaloa. The 3D IP results show a good correlation of chargeability and resistivity features with known mineralization and alteration zones in the area of historical drilling and resource delineation. “Final survey data displays a very extensive distribution of chargeability / resistivity features beyond the confines of the historical work at Santo Tomas”. 
  • Sonoro Gold Corp., completed the nine final RC holes at its Cerro Caliche project in Sonora and moves towards an updated technical report and new PEA. The most significant drill intersections were encountered in hole SCR-262 collared at Buena Suerte Area with 0.37 g/t Au and 0.6 g/t Ag (0.38 g/t AuEq) over 21.33m, and ole SCR-264 also collared at Buena Suerte area with 0.29 g/t Au and 12 g/t Ag (0.47 g/t AuEq) over 21.34m, including 1.59 g/t Au and 135 g/t Ag (3.52 g/t AuEq) over 1.53, plus 0.76 g/t Au and 7 g/t Ag (0.87 g/t AuEq) over 15.24m, including 2.4 g/t Au and 2 g/t Ag (2.43 g/t AuEq) over 1.52m. These results indicated a coalescence of the Buena Suerte and Los Japoneses areas into a single orebody of shallow, oxide gold mineralization. Sonoro expects two independent 43-101 compliant reports to update the resource size and classification and determine whether it is sufficient to support the Company’s proposed heap leach mining operation with a conceptual operation of up to 15,000 tonnes per day.

ON DEALS AND CORPORATE ISSUES

  • Capstone Mining Corp., announced the resignation of a member from its Board of Directors (Cozamine mine, Zacatecas).
  • VanGold Mining Corp., announced that it will change its name to Guanajuato Silver Company, Ltd., for which it has reserved the stock symbol GSVR with the TSX Venture Exchange (El Cubo mine, Guanajuato).
  • Gatos Silver Inc., announced the appointment of its President and CEO. He will assume its role, effective June 1, 2021 (Los Gatos mine, Chihuahua).
  • Great Panther Mining Limited, appointed its new CFO and COO, effective June 30, 2021 (Topia mine, Durango).
  • First Majestic Silver Corp., released results from its annual general meeting of shareholders (San Dimas property, Durango). 
  • Fortuna Silver Mines Inc., provided an update of the legal dispute against the Mexican Geological Survey (SGM) if the royalty in one of its claims at San Jose mine in Oaxaca is not paid. Effective May 27, 2021, the General Direction of Mines (DGM) provided notice to the Company of the termination of the cancellation procedure, as it has determined that the required cause for cancellation of the concession was not established.   As a result, the Company has discontinued the Amparo Proceedings in the Collegiate Court in Mexico. In light of these constructive developments, the Company is now engaged in goodwill discussions with the SGM to reach an agreement to the satisfaction of both parties with respect to the royalty claim.

ON SOCIAL RESPONSIBILITY

  • Alamos Gold Inc., released its 2020 Environmental, Social, and Corporate Governance (ESG) Report. It outlines the company’s progress on its ESG performance in 2020 across its operations, projects and offices, and provides direction on planned initiatives for 2021 (Mulatos mine, Sonora). 
  • Grupo México delivered seed capital for productive and social projects in the community of Sombrerete, Zacatecas, which contribute to promoting development and building a more competitive community. This project that has been carried out since 2009 has approved more than 600 projects. On this occasion, seven new projects were approved whose support is MXP $1M, which is distributed among the projects, according to the scope presented by each one.
  • Newmont Corporation launched its 2020 Annual Sustainability Report. This is part of the suite of reports on the Company’s environmental, social and governance (ESG) practices in key areas that include health, safety and security, human rights, the environment, social acceptance, governance, and inclusion and diversity.

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

On the picture above, quartz blade texture in a hot spring and epithermal vein system in a project in Hidalgo, Mexico.  Photo by Miguel A Heredia.