During the 10th week of the year (March 6th to March 12nd, 2023), at least 9 press releases were announced by companies working in Mexico, and 4 news published by the media with five commenting on Mexican Issues, three informing on exploration results, two reporting resources and developments, two disclosing deals and corporate issues, and one discussing social issues. ON MEXICO ISSUES, Peñoles and Fresnillo plc recognized the role of women in mining, commemorating his legacy from the beginning of his participation in this sector. In Mexico, women in mining have access to salaries up to 30% higher than the national average. According to figures from the Mexican Social Security Institute (IMSS), more than 66,000 women work in the mining-metallurgical industry, which is equivalent to 16.3% of the total workforce. Proposals to modify the Mining Law lack support, say experts, since the industry complies with at least 4,000 legal obligations, before starting operations of a mining unit. GoGold and Torex reported the best drilling intercepts in Mexico on the second week of March, 2023. ON EXPLORATION, In Sonora, Aztec Minerals reported that it has commenced the 2023 exploration program at its Cervantes project. In Sinaloa, Prismo announced that it has received authorization for drilling its Palos Verdes project. In Oaxaca, Vortex Metals provided an update on the environmental works it has conducted at its flagship Riqueza Marina project. ON MINING, no relevant news. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, GoGold reported additional drilling results from Los Ricos South, within the Eagle and Main Deposits in Jalisco. Torex released results from the drilling program conducted at its Media Luna project in Guerrero. ON DEALS AND CORPORATE ISSUES, Guanajuato Silver announced that a new shareholder has acquired a significant equity position in the company (El Cubo, Valenciana, and San Ignacio Mines in Guanajuato). Bear Creek provided an update on the USD $25M payment to Equinox Gold for the Mercedes mine in Sonora. ON SOCIAL RESPONSIBILITY, Endeavour published its inaugural climate strategic report (Guanacevi mine, Durango).
ON MEXICO ISSUE
Servicios Industriales Peñoles S.A.B. de C.V., and Fresnillo plc recognized the role of women in mining, commemorating his legacy from the beginning of his participation in this sector. Both companies have maintained a strong gender agenda that offers equal opportunities to women and men, equal salaries that depend on the responsibilities of each employee, programs to prevent harassment and to reinforce female leadership.
In Mexico, women in mining have access to salaries up to 30% higher than the national average, with remunerations that exceed MXP $11K a month, above the MXP $5K and up to MXP $7K received by workers in the agricultural and construction sectors, textile employees, drivers and merchants, according to sector estimates. The mining industry has made progress on issues of diversity and inclusion, since in the last 13 years the participation of women has increased, going from 33,260 at the end of 2008 to 66,037 by 2022, according to data from Mining Chamber of Mexico (CAMIMEX).
According to figures from the Mexican Social Security Institute (IMSS), more than 66,000 women work in the mining-metallurgical industry, which is equivalent to 16.3% of the total workforce. The number of women who are entering careers in mining engineering, metallurgy and geology is increasing and therefore their presence in the productive field and in the management of the operation of mining units is increasing. Of the total number of women who participate in the industry, 10% hold directive positions and 14% hold management positions.
Proposals to modify the Mining Law lack support, say experts, since the industry complies with at least 4,000 legal obligations, before starting operations of a mining unit. The reform initiatives to the Mining Law that have been presented in the Congress of the Union lack support in the real circumstances of this industry or refer to issues that should be the subject of other legal regulations, as uncertainty for this activity. The experts explained that issues such as creating or increasing taxes and/or rights must be ruled out in the legislative drafts, since mining entrepreneurs pay, like any other taxpayer, the Income Tax, the Special Tax on Production and Services, in addition to they also pay mining rights and some local contributions, such as payroll and property taxes, as well as some of the so-called ecological taxes. They added that it is estimated that the tax burden of mining in Mexico is high, compared to other countries with mining activity. Mining is an industry misunderstood and unknown by many, even by those who promote changes to its legislation, for which they trusted that the voice of those who know and participate directly in the industry will be heard.
GoGold Resources Inc., and Torex Gold Resources Inc., reported the best drilling intercepts in Mexico on the second week of March, 2023. Details are shown in the table below:
ON EXPLORATION
Aztec Minerals Corp., reported that it has commenced the 2023 exploration program at its Cervantes project in Sonora. The plan of the company is to conduct a surface exploration program which will consist of road cut, reconnaissance outcrop, and soil sampling, Terraspec SWIR data collection, and geological mapping. It will comprise collecting over 1,300 geochemical samples, including 950 roads cut, 120 soils, and 250 outcrop chips.
Prismo Metals Inc., announced that it has received authorization for drilling its Palos Verdes project, located in the historic Panuco-Copala mining district in Sinaloa. The company plan is to complete a 2,500m drilling program to test the strike length of the Palos Verdes Vein that was not previously accessible until now.
Vortex Metals Inc., provided an update on the environmental works it has conducted at its flagship Riqueza Marina project in Oaxaca. Vortex has completed the environmental work activities and has interpreted and organized the information according to predetermined formats required for the Secretariat of Environment and Natural Resources (SEMARNAT). Additionally, the company is working closely with the community looking that a beneficial relationship is established and the general assembly confirms and seals the agreements.
ON MINING
No relevant news.
ON FINANCING
No relevant news.
ON RESOURCES AND DEVELOPMENT
GoGold Resources Inc., reported additional drilling results from Los Ricos South, within the Eagle and Main Deposits in Jalisco. Drilling highlights include hole LRGAG-22-117 on Eagle Deposit with 1.09 g/t Au and 133 g/t Ag (2.87 g/t AuEq or 215 g/t AgEq) over25m, including 1.96 g/t Au and 307 g/t Ag (6.06 g/t AuEq or 454 g/t AgEq) over 9m, including 8.08 g/t Au and 1,460 g/t Ag (27.75 g/t AuEq or 2,066 g/t AgEq) over 1m; hole LR-GAG-22-125 on Eagle Deposit with 2.14 g/t Au and 128 g/t Ag (3.84 g/t AuEq or 288 g/t AgEq) over 42.3m, including 9.66 g/t Au and 486 g/t Ag (16.13 g/t AuEq or 1,210 g/t AgEq) over 7.3m; including 15.35 g/t Au and 866 g/t Ag (26.89 g/t AuEq or 2,017 g/t AgEq) over 2.8m; and hole LRGG-22-232 on Main Deposit with 2.60 g/t Au and 61 g/t Ag (3.41 g/t AuEq or 256 g/t AgEq) over 10.2m, including 24.60 g/t Au and 238 g/t Ag (27.77 g/t AuEq or 2,083 g/t AgEq) over 0.8m. The Eagle Deposit adjoins the Main Deposit and represents a northern extension of the previously defined Mineral Resource Estimate in the Los Ricos South PEA.
Torex Gold Resources Inc., released results from the drilling program conducted at its Media Luna project in Guerrero. This program was focused on upgrading Indicated Resources to the Measured category and targeting spatial gaps in prior drilling to expand Inferred Mineral Resources. Drilling highlights include hole ML22-823D with 40.48 g/t Au, 87 g/t Ag, and 2.76% Cu (46.05 g/t AuEq) over 28.40m; hole ML22-804D with 10.79 g/t Au, 101 g/t Ag, and 3.09% Cu (17.08 g/t AuEq) over 58.08m; hole ML22-768D with 13.98 g/t Au, 112 g/t Ag, and 3.69% Cu (21.39 g/t AuEq) over 26.39m; hole ML22-762A with 13.27 g/t Au, 17 g/t Ag, and 0.46% Cu (14.23 g/t AuEQ9 over 22.43m; hole ML22-835D with 6.72 g/t Au, 29 g/t Ag, and 0.92% Cu (8.58 g/t AuEq) over 34.75m; hole ML22-767D with 4.57 g/t Au, 80 g/t Ag, and 2.50% Cu (9.63 g/t AuEq) over 26.15m; hole ML22-913 with 4.75 g/t Au, 29 g/t Ag, and 1.76% Cu (8 g/t AuEq) over 25.43 g/t AuEq over 25.43m; hole ML22-910 with 1.06 g/t Au, 54 g/t Ag, and 1.25% Cu (3.78 g/t AuEq) over 48.05m; hole ML22-877A with 1.53 g/t Au, 25 g/t Ag, and 0.73% Cu (3.03 g/t AuEq) over 26.77m; and hole ML22-915 with 1.94 g/t Au, 6 g/t Ag, and 0.34% Cu (2.56 g/t AuEq) over 18.05m.
ON DEALS AND CORPORATE ISSUES
Guanajuato Silver Company Ltd., announced that a leading US based institutional investor has acquired a significant equity position in the company through the purchase of 24M common shares representing the majority of the equity position previously held by Great Panther Mining Ltd. (El Cubo, Valenciana, and San Ignacio Mines in Guanajuato).
Bear Creek Mining Corporation provided an update on the USD $25M payment to Equinox Gold Corp., for the Mercedes mine in Sonora. Bear Creek has revised the terms of the heads of agreement with Equinox to amortize over a two-year period payment of the final USD $25M purchase price installment. “The Revised Terms provide for converting the Deferred Payment into a secured interest bearing promissory note (the “Note”). The Note bears a nominal rate of interest equal to 12.5% per annum plus the greater of (i) 90-day average Secured Overnight Financing Rate and (ii) 2.50% per annum, and matures after a term of two years on October 21, 2024 (the “Maturity Date”). Commencing March 3, 2023, the Note will amortize at a fixed rate of USD $700K per month during the first year until March 3, 2024 and thereafter at an amount per month equal to the greater of (i) USD $700K and (ii) 50% of the free cash flow generated from Mercedes”. In addition to the Note, the Company will issue to Equinox Gold 2,750,000 common shares of the Company.
ON SOCIAL RESPONSIBILITY
Endeavour Silver Corp., published its inaugural climate strategic report in which provided specific information in four areas: governance, strategy, risk management, and metrics and targets (Guanacevi mine, Durango).
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-sericite-pyrite (phyllic alteration) in a porphyry copper project in Sonora, Mexico. Photo by Miguel A Heredia.
During the 2nd week of the year (January 09th to January 15th, 2023), at least 30 press releases were announced by companies working in Mexico, and 4 news published by the media with nine communicating production and financial results, seven reporting resources and developments of their properties, five disclosing deals and corporate issues, five informing on exploration results, four announcing financing issues, and four commenting on Mexican issues. ON MEXICO ISSUES, The Ministry of the Environment and Natural Resources (SEMARNAT) withdrew the permit to Fortuna Silver Mines, which operates the San José mine in Oaxaca through the company Minera Cuzcatlán. Compañía Minera Cuzcatlán (Fortuna Silver) responded to SEMARNAT that it is operating normally at its San José mine in Oaxaca under complete legality. Mining companies shine at the beginning of the year on the Mexican Stock Exchange. The governments of Mexico and Canada have agreed to strengthen resilience in the supply chain in which both countries participate, reported Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development of Canada. Prime Mining, Tocvan Ventures, Oroco, and Silver Tiger reported the best drilling intercepts in Mexico on the second week of January, 2023. ON EXPLORATION, In Sonora, Aztec Minerals presented a summary of the results from its recently completed 2022 drilling program at its Cervantes project, Colibri completed additional drilling on its Evelyn project, Tocvan drill intersected a broad zone of gold at its El Picacho project, and Riverside provided a corporate outlook for 2023. In Sinaloa, Prismo Metals released results from the remaining holes from its now completed 2022 drill program at its Palos Verdes project. ON MINING, Aura, Alamos Gold, Americas, Endeavour, Gatos Silver, GoGold, Golden Minerals, and Torex announced Q4 and full-year 2022 production from their Mexican operations, and Altaley reported pre-production results during mill commissioning at its Tahuehueto property in Durango. ON FINANCING, Canuc closed a non-brokered private placement for gross proceeds of CAD $680K (San Javier project, Sonora). Guanajuato Silver closed the second and final tranche of its non-brokered private placement offering totaling CAD $8.5M (El Cubo, San Ignacio, and Valenciana mines, Guanajuato). Fabled announced that it plans to complete a non-brokered private placement for gross proceeds of up to CAD $1.5M (Santa Maria property, Chihuahua). Altaley entered into a debt settlement agreement with an arms’ length mining contractor to settle CAD $1,176,297 which is owing to the contractor as a result of underground mine development work (Tahuehueto mine, Durango). ON RESOURCES AND DEVELOPMENT, Regency Silver announced recommencement of the 2023 drilling program at its Dios Padre property in Sonora, as well as the commencement of an IP survey. Discovery outlined its 2023 work program and budget for its Cordero property in Chihuahua. Oroco released further assay results from the North Zone drilling program at its Santo Tomas project in Sinaloa. Prime Mining presented results from 48 drill holes collared in the Z-T area at its Los Reyes project, Sinaloa. Silver Tiger released results from its ongoing drilling program being conducted at its El Tigre project, Sonora. Sailfish announced results from its recently drilling program conducted at its Gavilanes property in Durango. Silver Viper reported positive geophysical and geochemical survey results at its Virginia project, Sonora. ON DEALS AND CORPORATE ISSUES, Santacruz announced the appointment of its new CFO (Zimapan property, Hidalgo). Excellon announced that its Board of Directors has approved the voluntary delisting of its common shares from the New York Stock Exchange (La Platosa mine, Durango). Fabled´s shareholders approved a share consolidation of the outstanding securities of the Company on an up to ten for one basis (Santa Maria property, Chihuahua). Vizsla completed strategic investment in the acquisition of Palos Verdes project, Sinaloa from Prismo Metals. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
The Ministry of the Environment and Natural Resources (SEMARNAT) withdrew the permit to Fortuna Silver Mines, which operates the San Jose mine in Oaxaca through the company Minera Cuzcatlán since, according to SEMARNAT, it incurred in several irregularities. Such permit had been previously granted by some servants of SEMARNAT. In 2022, SEMARNAT said that it had been a misspelling to have issued a permit for 12 more years for the operation of this company. SEMARNAT was even questioned for providing legal advice to the company in order to obtain the environmental impact authorization and the regularization of construction of works for which it did not have authorization. With the suspension of the permit, SEMARNAT said that the company can appeal and resort to its influence peddling as it has done since its settlement in Oaxaca. However, if the judges confirm the resolution, it must withdraw and return the land to its owners, in addition to repairing the damage caused by the excessive pollution it has generated in the area.
Compañia Minera Cuzcatlán (Fortuna Silver) responded to SEMARNAT that it is operating normally at its San Jose mine in Oaxaca under complete legality. Derived from the notification received by the Ministry of the Environment and Natural Resources (SEMARNAT) at the beginning of 2023, regarding the intention of evaluating the MIA (Environmental Impact Statement) granted legally and correctly in December 2021, it is notified that this new procedure does not affect the daily activities of the Company, thus confirming that the San José Mining Unit, located in San José del Progreso, Oaxaca, is operating normally. Fortuna Silver Mines, communicated on January 5 of this year, that its San José Mining Unit, which operates through its subsidiary Compañía Minera Cuzcatlán, fully complies with all current environmental laws, for which it has expressed its disagreement and is taking legal measures to protect its more than 1,200 employees, a value chain made up of more than 600 companies, 150 of them from the area, as well as an annual income of more than MXP $600M that benefits more than 30,000 people in the Central Valleys of Oaxaca. “Likewise, the Company highlights that, in 11 years of operation, it has been inspected 15 times by the Federal Attorney for Environmental Protection (PROFEPA), in turn it has registered two inspections by the National Water Commission (CONAGUA), who in none of their proceedings have ruled on facts and/or indications of contamination at the site or derived from the operation of the San José Mine. Finally, Compañía Minera Cuzcatlán reiterates its commitment to continue working together with neighboring communities to improve and expand the social benefits of its operation, through sustainable development initiatives”.
Mining companies shine at the beginning of the year on the Mexican Stock Exchange. The increase in the price of metals such as gold, silver and copper, supported the rebound in the price of the shares of companies in the Mexican market these days. Industrias Peñoles and Grupo México are framed as the first and third issuers in the S&P/BMV IPC index, which brings together the 36 largest firms in the Mexican stock market, which have accumulated the most performance in these first days of 2023. In the first case its shares maintain gains of 21.55%, at a price of 291.30 pesos per unit, in the first six business days of January. For the second, the return has been 18.35%, at 80.96 pesos.
The governments of Mexico and Canada have agreed to strengthen resilience in the supply chain in which both countries participate, reported Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development of Canada. Mexico, Canada, and the United States have agreed to joint actions to strengthen their supply chains both regionally and globally. In 2021, the Joe Biden Administration launched its Bailout for America, under the Bailout for America Act of 2021, signed into law in March.
Prime Mining Corp., Tocvan Ventures Corp., Oroco Resource Corp., and Silver Tiger Metals Inc., reported the best drilling intercepts in Mexico on the second week of January, 2023. Details are shown in the table below:
ON EXPLORATION
Aztec Minerals Corp., presented a summary of the results from its recently completed RC and oriented core holes 2022 drilling program at its Cervantes project in Sonora. It consisted of 26 RC holes totalling 5,248.6m, and 11 oriented core holes totalling 2,588m. Combined 2022 drilling program totaled 37 holes and 7,836.6m on California, California Norte, Purisima East and Jasper targets. All the holes collared in 2022 at California and California Norte targets, except one, encountered near surface, oxidized gold mineralization with minor copper values. Now, California target has been expanded to approximately 900m long E-W by 730m wide N-S, and with continuous mineralization of up to 170m depth. “The porphyry gold-copper mineralization is still open in all directions with anomalous mineralization and alteration up to 265m depth vertically. The California and California Norte targets appear to be merging from drilling and surface exposures”. At Jasper target, step out 600m west of the California Zone, the drilling program intercepted broad alteration and strongly oxidized, argillically altered, and brecciated siltstone-quartzite sediments. “Strong copper oxide mineralization is found on outcrops and in the drilling. Sulfides have not yet been found in drilling to 209 m depth, suggesting the there is a possibility to encounter a secondary sulfide enrichment blanket”. “At the Purisima Este target drilling found anomalous Au and multi-element mineralization related to the edges of its diatreme-breccia pipe related to quartz feldspar intrusive and follow-up work is planned”. Drilling highlights of the 2022 program include hole CAL22-001 with 1.04 g/t Au over 94m, including 3.96 g/t Au over 55m, and 0.36% over 55m; hole CAL 22-004 with 1.0 g/t Au over 65m, including 4.25 g/t Au over 24.4m, and 0.065% Cu over 160m; hole CAL 22-005 with 1.49 g/t Au, including 3.42 g/t Au over 51.7m, and 0.091% Cu over 119m; hole CAL 22-006 with 0.75 g/t Au, including 3.08 g/t Au over 9.14m, and 0.1% Cu over 138m; hole 0.87 g/t Au over 152m, including 2.05 g/t Au over 33.5m, and 0.095% Cu over 123m; hole CAL 22-027 with 0.68 g/t Au over 120m, including 1.46 g/t Au over 27m; and hole CAL 22-031 with 0.56 g/t Au over 135m, including 2.29 g/t Au over 12m.
Colibri Resource Corporation completed additional drilling on its Evelyn project in Sonora, which included 3 diamond holes totaling 1,063m, 5 reverse circulation holes totaling 1,205m, and 130 short RC holes totaling 1,548 m to penetrate alluvium and sample the top of bedrock.
Tocvan Ventures Corp., announced results from 3 out of 10 holes drilled at its Picacho project in Sonora. The company reported that hole SRA-22-003 intersected a broad zone of gold, returning 0.3 g/t Au and 0.5 g/t Ag over 48.8m, including 0.51 g/t Au and 0.8 g/t Ag over 27.5m, including 0.71 g/t Au and 1 g/t Ag over 19.8m, including 1.14 g/t Au and 1 g/t Ag over 12.2m, and including 4.73 g/t Au and 2 g/t Ag over 1.5m. Results for the remaining seven drillholes are pending.
Riverside Resources Inc., provided a corporate outlook for 2023 of the company´s growth plans. Highlights include look for a new strategic alliance with a major base metal producer; to drill-test with partner funds at least one project in H1, 2023 (BHP); look for new partnership to advance its La Union property in Sonora after high-grade results in 2022; and farm-out its Cecilia project in Sonora, which has a proposed drilling program to be executed at the property.
Prismo Metals Inc., released results from the remaining holes from its now completed 2022 drill program at its Palos Verdes project, Sinaloa, which consisted of eight holes totalling 2,100m. The best drill intercept was encountered in hole PV-22-17 with 0.43 g/t Au, 115 g/t Ag, 0.28% Cu, 0.47% Pb, and 0.81% Zn (200 g/t AgEq) over a true width (TW) of 3m, including 1.18 g/t Au, 297 g/t Ag, 0.56% Pb, 1.18% Pb, and 1.97% Zn (516 g/t AgEq) over a TW of 1.05m.
ON MINING
Aura Minerals Inc., reported that it produced 28,591 gold equivalent ounces during Q4, 2022 from its Aranzazu mine, Zacatecas.
Alamos Gold Inc., reported Q4 and annual 2022 production results from its Mulatos mine in Sonora, and provided updated three-year production and operating guidance. In Q4, 2022 the company produced 49,100 Oz Au at an average grade of 0.78 g/t Au. Alamos expects to produce over 175K-185K Oz Au at an average grade of 0.73 g/t Au in 2023 with a total cash cost in te range of USD $900-USD $950 per Oz Au; an all included sustaining cost of USD $950-1,000 per Oz Au; a sustaining capital of USD $10M; grow capital of USD $5-10M (a total sustaining and grow capital of USD $19-24M); capitalized exploration of USD $4M; an a total capital expenditures and capitalized exploration of USD $19-24M. Production for 2024 and 2025 is expected to be in the range of 140-150K Oz Au and 110-120K Oz Au respectively.
Altaley Mining Corporation reported pre-production results during mill commissioning at its Tahuehueto property in Durango. Tahuehueto is currently operating one ball mill in a commissioning phase, as part of the initial 500 tonnes per day project, producing precious metals-rich, commercial grade lead and zinc concentrates. The company produced in Q4, 2022 862 tonnes of Pb concentrate with grades of 26.31% Pb, 76.72 g/t Au, and 643 g/t Ag with metallurgical recoveries of 76.68%, 76.72%, and 68.115 respectively; and 878 tonnes of Zn concentrate with grades of 47.51% Zn, 7.5 g/t Au, and 145 g/t Ag with metallurgical recoveries of 54.31%, 13.23%, and 15.12% respectively.
Americas Gold and Silver Corporation reported Q4 and annual year 2022 production from its Cosala mine operation in Sinaloa. It produced 196K Oz Ag, 3.8M Lb Pb, and 10.4M Lb Zn during Q4, 2022, and 636K Oz Ag, 15.3M Lb Pb, and 39.3M Lb Zn in the full-year 2022.
Endeavour Silver Corp., released Q4 and full-year 2022 production results from their Mexican mine operations. Consolidated figures for Q4 and annual 2022, compared to the year 2021 are shown in the table below:
Figures by mine for the period Q4, and full year 2022 are shown in the tables below:
Gatos Silver Inc., announced guidance and Q4 and full year 2022 production results from its 70% owned Cerro Los Gatos, Chihuahua. On te period Q4, 2022 (100% Basis), the company milled 261,929 tonnes of 387 g/t Ag, 3.7% Zn, 1.9% Pb, and 0.3 g/t Au with metallurgical recoveries of 89.6%, 62.7%, 86.3%, and 53.9% respectively, to produce 2.9M Oz Ag, 13.5M Lb Zn, 9.7M Lb Pb, and 1.4K Oz Au. For the full-year 2022, the company reported production of 10.3M Oz Ag, 60.7M Lb Zn, 45.9M Lb Pb, and 5.3K Oz Au. 2022 guidance announced by Gatos Silver was 9.35-9.65M Oz Ag, 58-61M Lb Zn, 43-45M Lb Pb, and 5.0-5.3K Oz Au. Zinc, lead and gold production increased during 2022, with zinc and gold near the high end of guidance, and lead near the guidance midpoint. Compared with 2021, zinc production increased by 22%, lead production by 10%, and gold production by 2%. As of December 2022, the company reported a cash balance of $17M and outstanding balance of the company´s credit facility of $9M.
GoGold Resources Inc., reported Q4, 2022 production results from its Parral Tailings project, Chihuahua. The company produced 159,838 Oz Ag, 2,399 Oz Au, and 497.3K Lb Cu (441,217 Oz AgEq).
Golden Minerals Company announced Q4, and full-year 2022 production and financial results from its Rodeo project, Durango. The company in Q4, 2022 mined 161,244 tonnes and processed 52,736 tonnes of 2 g/t Au and 10 g/t Ag with metallurgical recoveries of 73.3% and 82% respectively, to produce 2,398 payable Oz Au (in doré) and 13,560 payable Oz Ag (in doré) or 2,568 payable Oz AuEq (in doré). Golden sold 2,518 Oz Au and 14,217 Oz Ag (2,696 Oz AuEq), at realized prices, before refining and selling costs of USD $1,729.40 and USD $21.69 respectively. For the full year 2022, Golden mined 771,485 tonnes and processed 195,599 tonnes of 2.6 g/t Au and 11 g/t Ag with metallurgical recoveries of 74.7% and 81.2% respectively, to produce 11,982 payable Oz Au (in doré) and 52,179 payable Oz Ag (in doré) or 12,616 payable Oz AuEq (in doré). Golden sold 12,451 Oz Au and 53,486 Oz Ag (13,101 Oz AuEq), at realized prices, before refining and selling costs of USD $1,805.34 and USD $21.93 respectively.
Torex Gold Resources Inc., reported Q4 and full-year 2022 production results from El Limón-Guajes mine complex, Guerrero. The company produced 116,196 Oz Au in Q4 to total 474,035 Oz Au in the full-year 2022. It surpassed the upper end of the guided range of 430K-470K Oz Au. Torex sold in Q4, 2022 121,913 Oz Au for a total of 473,122 Oz Au in the full-year 2022.
ON FINANCING
Canuc Resources Corporation issued 8.5M of common shares at a price of CAD $0.08 per common share to close a non-brokered private placement for gross proceeds of CAD $680K. Most of the gross proceeds will be used for exploration on the San Javier project, Sonora.
Guanajuato Silver Company Ltd., closed the second and final tranche of its non-brokered private placement offering. The company issued 4,080,486 common shares for gross proceeds of CAD $1,734,206.55 in the second tranche for a total offering of CAD $20,032,682 for gross proceeds of CAD $ 8,513,889.85. The net proceeds of the offering will be used to, among other things, ramp up production at the Company’s existing mines in and about Guanajuato, Mexico including El Cubo, San Ignacio and Valenciana, expand and modernize the processing facilities at the Topia mine in Durango, Mexico, increase brownfields’ exploration programs, and fund general and administrative expenses.
Fabled Silver Gold Corp., announced that it plans to complete a non-brokered private placement for gross proceeds of up to CAD $1.5M at a price of CAD $0.10 per common share. Net proceeds will be used to make required property payments, to further explore the Santa Maria Property, and for general working capital.
Altaley Mining Corporation entered into a debt settlement agreement with an arms’ length mining contractor to settle CAD $1,176,297 which is owing to the contractor as a result of underground mine development work. The Company and the contractor have agreed that the issuance to the contractor of 735,186 common shares of the company at a deemed price of CAD $1.60 per common share will extinguish and settle the debt.
ON RESOURCES AND DEVELOPMENT
Regency Silver Corp., announced recommencement of the 2023 drilling program at its Dios Padre property in Sonora, as well as the commencement of an IP survey. The company plans to drill a minimum of 3,000m as an initial follow up to the successful drilling program completed in August, 2022. It also will commence an IP survey to provide 3D information to a depth of 800m. “The current drill and IP program is designed to determine more specifically what type of broad, mineralizing system is present at Dios Padre”.
Discovery Silver Corp., outlined its 2023 work program and budget for its Cordero property in Chihuahua. The goal is to complete the Pre-Feasibility Study (PFS) later this month and will be focused on optimization opportunities including improved mining and processing efficiencies, as well as complete a Feasibility Study (FS) in Q1, 2023.. Alongside this work, Cordero has allocated drill metres to the exploration potential on the large, highly-prospective land package owned by the company. “Construction permitting for Cordero will be undertaken in-parallel with the FS work, with the submission of the Environmental Impact Statement (MIA) expected to be made to the Mexican Federal Environmental Department (SEMARNAT) in the first half of 2023. Assuming a 12 to 18 month permitting timeline, this would position the Company to make a construction decision in the second half of 2024. The 2023 work programs are budgeted at $26 million. The Company is well positioned to fund this work with a cash balance of over $45 million and no debt at the end of 2022.
Oroco Resource Corp., released further assay results from the North Zone drilling program at its Santo Tomas project in Sinaloa. Holes N039 to N043 totalled 2,668 m of drilling which demonstrated continuity of good grade mineralization. Highlights include hole NO39 with 0.14% Cu, 0.002% Mo, 0.01 g/t Au and 1 g/t Ag (0.15% CuEq) over 58m, plus 0.46% Cu, 0.005% Mo, 0.016 g/t Au, and 4 g/t Ag (0.49% CuEq) over 21.4m, plus 0.31% Cu, 0.01% Mo, 0.02 g/t Au and 2 g/t Ag (0.36% CuEq) over 265m; hole NO40 with 0.21% Cu, 0.007% Mo, 0.012 g/t Au, and 2 g/t Ag (0.24% CuEq) over 41m, plus 0.29% Cu, 0.009% Mo, 0.013 g/t Au, and 3 g/t Ag (0.33% CuEq) over 152.1m; hole N041 with 0.3% Cu, 0.002% Mo, 0.003 g/t Au, and 1 g/t Ag (0.35% CuEq) over 20.6m, plus 0.47% Cu, 0.006% Mo, 0.038 g/t Au, and 2 g/t Ag (0.52% CuEq) over 96m; and hole N042 with 0.53% Cu, 0.005% Mo, 0.075 g/t Au, and 3 g/t Ag (0.60% CuEq) over 135m.
Prime Mining Corp., presented results from 48 drill holes collared in the Z-T area at its Los Reyes project, Sinaloa. Drilling highlights include holes 22TA-51 with 2.5 g/t Au and 278 g/t Ag (6.1 g/t AuEq) over a true width (TW) of 3,1m, plus 10 g/t Au and 131 g/t Ag (11.6g/t AuEq) over a TW of 3.1m, including 28.5 g/t Au and 310 g/t Ag (32.5 g/t AuEq) over a TW of 1.1m; hole 22ZAP-87 with 4.7 g/t Au and 103 g/t Ag (6 g/t AuEq) over a TW of 8.7m, including 39.6 g/t Au and 174 g/t Ag (41.9 g/t AuEq) over a TW of 0.7m, and 8.6 g/t Au and 163 g/t Ag (10.7g/t AuEq) over a TW of 1.0m; hole 22TA-44 with 2.7 g/t Au and 451 g/t Ag (8.6 g/t AuEq) over a TW of 4.8m, including 4.8 g/t Au and 821 g/t Ag (15.4 g/t AuEq) over a TW of 2.3m; hole 22 ZAP-82 with 1.3 g/t Au and 22 g/t Ag (1.6 g/t AuEq) over a TW of 13m, including 13 g/t Au and 48 g/t Ag (13.6 g/t AuEq) over a TW of 0.8m, plus 3.6 g/t Au and 20 g/t Ag (3.8 g/t AuEq) over a TW of 13.8m,including 22.2 g/t Au and 41 g/t Ag (22.8 g/t AuEq) over a TW of 1.9m; hole 22TA-43 with 4.2 g/t Au and 59 g/t Ag (4.9 g/t AuEq) over a TW of 5.4m, including 23.6 g/t Au and 103 g/t Ag (24.9 g/t AuEq) over a TW of 0.8m; and hole 22SMW-12 with 6.9 g/t Au and 33 g/t Ag (7.3 g/t AuEq) over a TW of 14.8m, including 9.1 g/t Au and 31 g/t Ag (9.5 g/t AuEq) over a TW of 8.9m, including 21 g/t Au and 55 g/t Ag (21.7 g/t AuEq) over a TW of 1.5m.
Silver Tiger Metals Inc., released results from its ongoing drilling program being conducted at its El Tigre project, Sonora. Drilling highlights include hole ET-22-333with 0.46 g/t Au, 429 g/t Ag, 0.07% Cu, 0.04% Pb, and 0.06% Zn (474 g/t AgEq) over 10.1m on Seitz Kelly Shale Zone, including 0.83 g/t Au, 3,639 g/t Ag, 0.61% Cu, 0.14% Pb, and 0.14% Zn (3,767 g/t AgEq) over 1.2m, including 0.22 g/t Au, 6,063 g/t Ag, 1% Cu, 0.14% Pb, and 0.09% Zn (6,182 g/t AgEq) over 0.7m; hole ET-22-333 with 0.14 g/t Au, 307 g/t Ag, 0.07% Cu, 0.2% Pb, and 0.2% Zn (337 g/t AgEq) over 2.4m on El Tigre Vein, including 0.32 g/t Au, 778 g/t Ag, 0.17% Cu, 0.4% Pb, and 0.6% Zn (849 g/t AgEq) over 0.9m, plus 0.25 g/t Au, 69 g/t Ag, 0.13% Cu, 0.5% Pb, and 1% Zn over 18.6m on the Seitz Kelly Shale Zone, including 0.25 g/t Au, 778 g/t Ag, 1.69% Cu, 7.1% Zn, and 15% Zn (1,633 g/t AgEq) over 1.1m on the Seitz Kelly Vein; and hole ET-22-335 with 0.15 g/t Au, 331 g/t Ag, 0.24% Cu, 0.2% Pb, and 0.5% Zn (386 g/t AgEq) over 4.3m on Seitz Kelly Vein, including 0.15 g/t Au, 2,343 g/t Ag, 1.67% Cu, 1.36% Pb, and 3.32% Zn (2,658 g/t AgEq) over 0.6m.
Sailfish Royalty Corp., announced results from its recently exploration work conducted at its Gavilanes property in Durango. Gavilanes comprises multiple high-grade polymetallic silver veins located approximately 30 km away from First Majestic’s San Dimas mine operation. Sailfish has drilled 47 shallow diamond drill holes on three of these veins which host mineralization in veins and stockworks of an intermediate sulphidation epithermal system. Sailfish geologists have collected representative chip channel samples across veins or structures, which returned encourages high-grade values. Highlights include 12.80 g/t Au and 48 g/t Ag over 2.5m and 0.87 g/t Au and 40 g/t Ag over 18m on Descubridora Vein; 30 g/t Au and 190 g/t Ag over 1m and 0.84 g/t Au and 754 g/t Ag over 2m on San Nicolas Vein; 0.02 g/t Au and 1,867 g/t Ag over 1m on San Nicolas-Veta del Pueblo; 10.12 g/t Au and 16 g/t Ag over 2.2m on Forasteros Vein; and 0.51 g/t Au and 1,546 g/t Ag over 0.51m pon La Cruz Vein. Gavilanes currently has an inferred mineral resource of 2.833M tonnes at an average grade of 246 g/t AgEq (22.4M Oz AgEq). This inferred mineral resource is highlighted by having 18.9M Oz Ag at an average grade of 207 g/t Ag.
Silver Viper Minerals Corp., reported positive geophysical and geochemical survey results at its Virginia project, Sonora. Detailed mapping and geochemical sampling following a TITAN MT deep penetrating Geophysical survey conducted in Q2, 2022 identified new targets at El Molino, along the Macho trend. “Geological mapping and rock and chip-channel sampling has outlined new targets at Los Cantiles, El Oriental and the eastern and southern sectors of Macho Libre. The new prospecting area, Los Cantiles, garnered surface chip channel sample results up to 5.7 g/t Au and 148 g/t Ag. Dump samples up to 17.8 g/t Au and 1,001 g/t Ag, and chip-channel samples up to 4.2 g/t Au and 310 g/t Ag, have been located at the El Oriental Target. Hydrothermal silicified breccia with up to 2.36 g/t Au and 71 g/t Ag has been outlined at the Macho Libre Target. At El Molino, several new structures have been outlined, containing breccias with quartz boiling type textures, with initial results up to 1.6 g/t Au and most analytical results pending. At El Molino, ongoing soil sampling reveals continuous gold and silver anomalies, with supportive infill results from north-west to south-east along the trend”.
ON DEALS AND CORPORATE ISSUES
Santacruz Silver Mining Ltd., announced the appointment of its new CFO and Corporate Secretary of the Company effective January 9, 2023 (Zimapan property, Hidalgo).
Excellon Resources Inc., announced that its Board of Directors has approved the voluntary delisting of its common shares from the New York Stock Exchange (NYSE)and the deregistration with the U.S. Securities and Exchange Commission (SEC) (La Platosa mine, Durango).
Fabled Silver Gold Corp´s shareholders approved a share consolidation of the outstanding securities of the Company on an up to ten for one basis. The board of directors of the company has now determined to proceed with the consolidation on a five to one basis. As of today’s date, the company has 215,446,649 common shares issued and outstanding. Following the completion of the consolidation (but before giving effect to the offering), the number of issued and outstanding common shares of the company will be approximately 43,089,330. (Santa Maria property, Chihuahua).
Vizsla Silver Corp., completed strategic investment in the acquisition of Palos Verdes project, Sinaloa from Prismo Metals Inc. Vizsla acquired a right of first refusal to purchase the Palos Verdes project from Prismo, and 4M units of Prismo at a price of $0.50 per Prismo unit, for aggregate consideration of $2M. Each Prismo unit consist of one common share of Prismo and one-half of one common share purchase warrant. Each Prismo Warrant entitles Vizsla to purchase one additional Prismo Share for a period of two years from the closing date at a price of $0.75.The consideration for the Strategic Investment consisted of a cash payment of $500K and the issuance to Prismo of 1M common shares of Vizsla. The Consideration Shares are subject to a statutory hold period of four months and one day, and a voluntary escrow period of 24 months with 25% of the securities released every six months.
ON SOCIAL RESPONSIBILITY
No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, a fault-plane displaying slickensides in a Mn-Fe hydrothermal breccia in a project in Chihuahua, Mexico. Photo by Miguel A Heredia.
During the 52nd week of the year (December 26th to January 1st, 2022), at least 9 press releases were announced by companies working in Mexico, and 1 news published by the media with three disclosing deals and corporate issues, two informing on exploration results, two reporting resources and developments of their properties, and two announcing financing issues. ON MEXICO ISSUES, Mining in Mexico closed 2022 with more expenses in exploration due to lack of mining concessions. ON EXPLORATION, In Sonora, Tocvan provided an annual summary of the activities carried out in 2022 at its Pilar and Picacho properties. In Chihuahua, Mammoth provided a year-end update on activities developed at its Tenoriba project. Zacatecas Silver provided a summary of the 2022 exploration activities developed at its Zacatecas Silver and Esperanza projects located in Zacatecas and Morelos States respectively. ON MINING, no relevant news. ON FINANCING, Guanajuato Silver closed the first tranche of its non-brokered private placement for gross proceeds of CAD $6.8M (El Cubo, San Ignacio, and Valenciana mines, Guanajuato). Regency completed a non-brokered private placement for gross proceeds of CAD $2,159,000 (Dios Padre Project, Sonora). ON RESOURCES AND DEVELOPMENT, MAG Silver reported that final testing of the downstream power distribution and control systems at its Juanicipio project in Zacatecas is now complete. Zacatecas Silver provided a summary of the 2022 exploration activities developed at its Zacatecas Silver and Esperanza projects located in Zacatecas and Morelos States respectively. ON DEALS AND CORPORATE ISSUES, Sierra Madre provided an update on its proposed acquisition of the La Guitarra mine in the State of Mexico. Gatos Silver provided a bi-weekly default status report in accordance with National Policy 12-203 – Management Cease Trade Orders (Cerro Los Gatos mine, Chihuahua). Mammoth announced the issuance of 2,206,000 common share stock options to directors, officers, and contract employees, exercisable at a price of $0.05 per common share (Tenoriba project, Chihuahua). ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
Mining in Mexico closed 2022 with more expenses in exploration due to lack of mining concessions. The current administration of President Andres Manuel Lopez Obrador has not approved new mining concessions, which has led mining companies to invest more in exploration, with a view of finding new deposits in previously granted ground. In 2018, the concessioned area for mining activities in Mexico was of 10.64%, a figure that by the end of this 2022 stands at 8.59%, according to data from the Ministry of Economy.
ON EXPLORATION
Tocvan Ventures Corp., provided an annual summary of the activities carried out in 2022 at its Pilar and Picacho properties in Sonora. At Pilar project, the company executed the first core drilling program which was successful in intersecting broad gold mineralization across the Main Zone with one hole returning 1.2 g/t Au over 116.9m, including 12 g/t Au over 10.2m, an a second hole returning 0.8 g/t Au over 108.9m, including 7.6 g/t Au over 9.4m. “Infill and recognizing drilling at Pilar has confirmed that gold mineralization occurs in at least three parallel zones to the Main Zone across a 600m wide area and so far defined along 600m of strike, the same that based on surface indications and historic workings seems to continue for another 600m towards the southeast”. Column Leach studies from surface material at Pilar returned above regional average recovery for gold, reporting over 85% recovery from initial metallurgical testing. At El Picacho property, surface work outlined key target areas across the large 24 square-km project area. An initial drill program was completed at its San Ramon Prospect, but results are pending to be released.
Mammoth Resources Corp., provided a year-end update on activities developed at its Tenoriba project, Chihuahua. Highlights include the report of the final six drill holes of a 27-hole diamond drill program for a total of 3,244.25m. To date, Mammoth has drill-tested five targets zones within three project areas: El Moreno, Masuparia, and Carneritos, with 55 holes totalling 8,158.25m. “These project areas measure from hundreds of meters to over 1 km in strike length, along a 4km, east-west trend of gold-silver mineralization identified in 3-D modelling incorporating data from over 3,000 soil, chip and channel samples, 26 prior diamond drill holes, geological and structural mapping, and the potential continuity at depth of surface mineralization as indicated by an Induced Polarization/Magnetometer (IP/Mag) geophysical survey”. The company is currently conducting additional studies on the results of the 27 holes, including metallurgical testing, as well as the assessment by a third party resource modelling expert to recommend drill spacing to estimate a maiden mineral resource at the Tenoriba project. The company is also working on a technical report to communicate findings, conclusions, and recommendation for future work.
ON MINING
No relevant news.
ON FINANCING
Guanajuato Silver Company Ltd.,issued a total of 15,952,196 units at a price of CAD $0.425 per unit to close the first tranche of its non-brokered private placement for gross proceeds of CAD $6.8M. Net proceeds will be used to ramp up production at the Company’s existing mines in and about Guanajuato, Mexico including El Cubo, San Ignacio and Valenciana, expand and modernize the processing facilities at the Topia mine in Durango, Mexico, increase brownfields’ exploration programs, and fund general and administrative expenses. The closing of a second tranche of the Offering is expected to occur on or about January 12, 2023.
Regency Silver Corp., completed a non-brokered private placement of 10,795,000 common shares at a price of CAD $0.20 per share for gross proceeds of CAD $2,159,000. The company paid a finder´s fee of CAD $16K in cash in connection with part of the closing of the private placement. Net proceeds will be used for work programs on the properties of Regency Silver including drilling and geophysics in early January 2023 on our flagship Dios Padre property, for property payments on other properties of the Company and for general working capital.
ON RESOURCES AND DEVELOPMENT
MAG Silver Corp., received confirmation from Fresnillo plc that final testing of the downstream power distribution and control systems at its Juanicipio project in Zacatecas is now complete. The entire system has now been energized and Juanicipio has been connected to the national power grid.
Zacatecas Silver Corp., provided a summary of the 2022 exploration activities developed at its Zacatecas Silver project in Zacatecas State, and Esperanza project in Morelos State. At Zacatecas project, the company filed a NI 43-101 technical report to support its initial Mineral Resource Estimate on the Panuco Vein located within the Zacatecas Silver project. After filing the technical report, the company reported multiple high grade silver intercepts from drilling in an area north of the resource, named Panuco North and in an area of the property named El Cristo, which is an extension of the prolific Veta Grande Silver Vein on the Zacatecas Silver Property. At Esperanza project, the company completed an initial Mineral Resource Estimate outlining a high grade oxide gold deposit with significant exploration potential, and reported that a Pre-Feasibility Study is underway to support high margin, high grade, low capex, and low cost production. In addition, the company announced that multiple community programs continue to function and grow, including projects relating to health, education, and environment.
ON DEALS AND CORPORATE ISSUES
Sierra Madre Gold and Silver ltd., entered an arm´s length definitive agreement with First Majestic on May 25, 2022 to acquire a 100% interest in the 39,714-hectare La Guitarra mine in the State of Mexico and provided an update on its proposed acquisition. Earlier this month, shareholders voted in favour of a resolution to approve the proposed acquisition of all the issued and outstanding shares of La Guitarra Compañia Minera S.A. de C.V from Corporacion First Majestic, S.A. de C.V., in exchange for 69,063,076 common shares of the company at a deemed price of CAD $0.65 per Consideration Share, having an aggregate value of CAD $44,890,999 (USD $35M). The ordinary resolution with respect to the transaction was approved by 99.99% of the votes cast by shareholders. The transaction has been conditionally accepted by the TSX Venture Exchange.
Gatos Silver Inc., provided a bi-weekly default status report in accordance with National Policy 12-203 – Management Cease Trade Orders (MCTO). Pursuant to National Policy 12-203, the company must file bi-weekly status reports in the form of further news releases during the period from the Notice until the MCTO is revoked. “The company reports that since the Notice: (i) there have been no material changes regarding the information contained in the Notice that have not been disclosed in a bi-weekly default status report or in a news release referenced therein; (ii) there have been no failures by the company in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines under NP 12-203; and (iii) there has not been any specified default subsequent to the defaults announced in the Notice and the news releases dated May 13, 2022, August 5, 2022 and November 11, 2022”. (Cerro Los Gatos mine, Chihuahua).
Mammoth Resources Corp., announced the issuance of 2,206,000 common share stock options to directors, officers, and contract employees, exercisable at a price of $0.05 per common share (Tenoriba project, Chihuahua).
ON SOCIAL RESPONSIBILITY
No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, ginguro texture in a banded quartz vein-breccia from an intermediate sulphidation epithermal system in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.
During the 50th week of the year (December 12th to December 18th, 2022), at least 20 press releases were announced by companies working in Mexico with six informing on exploration results, five reporting resources and developments of their properties, five announcing financing issues, two commenting on Mexican issues, and two disclosing deals and corporate issues. ON MEXICO ISSUES, Trafigura announced that along with eFactor Network and a number of financing institutions are piloting a Sustainable Supply Chain Finance Program for mining companies in Mexico. GR Silver, Vizsla, Mammoth, GoGold, and Almadex reported the best drilling intercepts in Mexico on the third week of December, 2022. ON EXPLORATION, In Sonora, Aztec released final results from its 2021-2022 drilling program at its Cervantes project, and Minaurum provided an update on its optioned Adelita project. In Chihuahua, Mammoth presented results from six holes from its 27 holes diamond drilling program at its Tenoriba project, and Southern Empire has initiated the field exploration program work on its recently optioned Centauro property. In Coahuila, Monumental completed reconnaissance exploration program and defined drill targets at its Jemi Rare Earth Element project. In Jalisco, Almadex released results from the second hole drilled in 2022 at its San Pedro project. Minaurum provided and update on its optioned Taviche mining property. ON MINING, no relevant news. ON FINANCING, Guanajuato Silver announced a non-brokered listed issuer financing exemption private placement for gross proceeds of CAD $7.5M, subject to a minimum offering for gross proceeds of CAD $3M (El Cubo, San Ignacio, and Valenciana mines, Guanajuato). Prismo Metals closed its previously announced brokered private placement for gross proceeds of $3,016,000 (Palos Verdes project, Sinaloa). Tarachi announced a non-brokered private placement for gross proceeds of up to CAD $500K (Magistral Mill and tailings project, Durango). Fortuna announced that it has amendment its existing senior secured revolving credit facility to increase the maximum facility amount by USD $50M to USD $250M (San Jose Mine, Oaxaca). Regency Silver announced a non-brokered private placement for gross proceeds of CAD $2M (Dios Padre Project, Sonora). ON RESOURCES AND DEVELOPMENT, GoGold presented results of nine holes from its ongoing drilling program at its Los Ricos North project, Jalisco. GR Silver announced additional results from its 2022 underground infill drilling program at its Plomosas mine area in Sinaloa. Vizsla Silver Corp., released results from nineteen new drill holes targeting the Tajitos-Copala resource area at its Panuco project, Sinaloa. Tocvan announced plan to collect a bulk sample from its El Pilar project in Sonora. Silver Dollar reported progress on its new underexplored Noria target at its La Joya project, Durango. ON DEALS AND CORPORATE ISSUES, Osisko Development strengthened its Board of Directors with the appointment of a new Non-Executive Director, effective December 14, 2022 (San Antonio Gold project, Sonora). Sierra Metals completed voluntary delisting from the Lima Stock Exchange (Cusi and Bolivar mines, Chihuahua). Southern Empire entered into an option agreement to acquire 100% interest in the Centauro property in Chihuahua. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
Trafigura Pte Ltd., announced that along with eFactor Network and a number of financial institutions are piloting a Sustainable Supply Chain Finance Program for mining companies in Mexico. The Program, the first of its type and providing a model that can be scaled across the region, is structured to improve mining companies’ working capital whilst driving responsible sourcing practices along the metals value chain.
GR Silver Mining Ltd., Vizsla Silver Corp., Mammoth Resources Corp., GoGold Resources Inc., and Almadex Minerals Ltd., reported the best drilling intercepts in Mexico on the third week of December, 2022. Details are shown in the table below:
ON EXPLORATION
Aztec Minerals Corp., released final results from its 2021-2022 drilling program at its Cervantes project. The 2022-2022 drilling program consisted of 27 RC totaling 5,249m, and 11 oriented core totaling 2,558.5m for a total combined amount drilled of 7,837.5m in 37 drill holes on the California Zone, California Norte, Jasper, and Purisima Este targets. It was successful in intercepting strong mineralization, as well as in expanding the targets. “The multi-element ICP values support the exploration model of the California zone being at the highest portion of a porphyry system, where an overlying high sulfidation zone has been eroded away”. Results of this drilling program are currently being analyzed in order to refine future targeting.
Minaurum Gold Inc., provided an updated on its Adelita project in Sonora, which is under an option agreement with Infinitum Copper Corp. Infinitum has identified five main target areas of which Cerro Grande is being drilled and plans to drill Las Trancas target soon. Significant mineralization has been intersected at Cerro Grande target in hole AD-22-0018 with 1.91% Cu, 2 g/t Au, and 41 g/t Ag over a true width (TW) of 20.6m; and hole AD-22-0019 with 1.01% Cu, 0.52 g/t Au, and 40 g/t Ag over a TW of 32.25m, including 1.68% Cu, 0.83 g/t Au, and 59 g/t Ag over a TW of 17.05m. Cerro Grand Target is a mineralized zone of up to 36m thick, over 250m deep and has a strike 200m.
Mammoth Resources Corp., presented results from six holes for a total of 620.7m from its 27 holes diamond drilling program at its Tenoriba project in Chihuahua. Highlights of the drilling include hole TEN21-22 collared on Carneritos Zone with 0.98 g/t Au and 10 g/t Ag (1.12 g/t AuEq) over 3m, and 0.57 g/t Au and 8 g/t Ag (0.68 g/t AuEq) over 10.5m; and hole TEN21 -24 with 1.14 g/t Au and 75 g/t Ag (1.13 g/t AuEq) over 39m, including 5.28 g/t Au and 13 g/t Ag (5.45 g/t AuEq) over 3m, including 1.45 g/t Au and 11 g/t Ag (1.60 g/t AuEq) over 9m, plus 0.46 g/t Au and 2 g/t Ag (0.48 g/t AuEq) over 42m, including 1.21 g/t Au and 5 g/t Ag (1.28 g/t AuEq) over 12m. These six holes bring the total meters drilled in the recent phase to 3,244.25m in twenty seven holes.
Southern Empire Resources Corp., has initiated the field exploration program work on its recently optioned Centauro property. The company contracted PhotoSat Information Ltd to provide maps of alteration mineral suites typically associated with epithermal precious metal deposits, using their proprietary processing methods for16 band WorldView-3 and high-resolution ASTER satellite optical spectral data. Results of the PhotoSat studies show significant trends highlighting argillic, sericite, and chlorite alteration. Southern also collected 396 soil samples at 50m spacing along E-W lines, spaced 100-200m apart to cover a zone of prospective alteration and mineralization over 4km strike length. Assays are pending.
Monumental Minerals Corp., completed reconnaissance exploration program, which consisted of detailed geological mapping, regional stream sediment sampling, ground radiometric geophysical surveys, and lithogeochemical sampling to delineate discreet drill targets at its Jemi Rare Earth Element project. To date, 37 whole-rock analytic results from rocks collected at the Jemi project of which 11 have returned values greater than 0.15% total Rare Earth Oxide (TREO), including six samples that returned values greater than 0.23% TREO and up to 0.43% TREO. Results for 269 samples are still pending to arrive. Heavy rare earth oxide (HREO) values (include dysprosium (Dy) and terbium (Tb)), ranged between 1614 ppm and 39 ppm in peralkaline pegmatites, averaging 447 ppm. Six samples exceeded 680 ppm, including three that exceeded 830 ppm. Light rare earth oxides (LREO) values including neodymium (Nd) and praseodymium (Pr), returned values up to 0.26% and 0.23%, with values in trend with HREO concentrations suggesting similar REE-hosting phases in the peralkaline rock samples. “Geological mapping has confirmed that samples with the highest TREO and HREO values are from pegmatitic bodies. Three-dimensional airborne magnetics modeling show that surface pegmatite bodies are spatially associated with a numerous larger magnetic anomalies at depth that may represent potential source intrusions. Specific drill locations will target these pegmatites”.
Almadex Minerals Ltd., released results from the second hole drilled in 2022 at its San Pedro project in Jalisco. Hole SP-22-004 intersected 846 /t Au over 1.3m. The current drilling program intends to better understand the orientation and distribution of the breccia zone so that further, more focused drilling can eventually be carried out.
Minaurum Gold Inc., provided an updated on its Taviche project in Oaxaca, which is under an option agreement with Fortuna Silver Corp. Fortuna is currently focused on the re-negotiation of surface rights to be followed by drill permits. “Review of historic data and field mapping over the last year identified the possible continuation of the Mezcal Fault for 3km to the northwest. Drill targeting is in progress along the Mezcal Fault to test for both Mezcal-style gold mineralization and silver bonanza style mineralization associated with jasperoid-related mantos”. Another goal is to develop additional concepts to test the potential at depth at the Cerro La Mina Zone where a drill hole encountered 235 g/t Ag and 0.19 g/t Au over 46.3m.
ON MINING
No relevant news.
ON FINANCING
Guanajuato Silver Company Ltd., announced a non-brokered listed issuer financing exemption private placement of up to 17,647,059 units at CAD $0.425 for gross proceeds of CADS $7.5M, subject to a minimum offering of 7,058,824 units for gross proceeds of CAD $3M. Gross proceeds will be used to ramp up production at El Cubo, San Ignacio, and Valenciana mines in Guanajuato; expand and modernize the processing facilities at the Topia mine in Durango; increase brownfield exploration programs across all company´s projects; and fund general working capital expenses and strengthen Guanajuato Silver’s balance sheet.
Prismo Metals Inc., closed its previously announced brokered private placement for gross proceeds of $3,016,000. The gross proceeds will be used to continue drilling at its Palos Verdes project in Sinaloa, and to continue the mapping and sampling at its Pavitos project in Sonora, as well as to conduct an initial diamond drilling program.
Tarachi Gold Corp., announced a non-brokered private placement of up to 10M units at a price of CAD $0.05 per unit for gross proceeds of up to CAD $500K. The gross proceeds will be used for exploration, working capital purposes, and for the ongoing development of the Company’s Magistral project in Mexico including, but not limited to, metallurgical test work, final design and permitting.
Fortuna Silver Mines Inc., announced that it has amendment its existing senior secured revolving credit facility to increase the maximum facility amount by USD $50M to USD $250M (San Jose Mine, Oaxaca).
Regency Silver Corp., announced a non-brokered private placement of 10M common shares at a price of CAD $0.20 per share for gross proceeds of CAD $2M. Net proceeds will be used for work programs including drilling and geophysics in its flagship Dios Padre project, Sonora, as well as for general working capital.
ON RESOURCES AND DEVELOPMENT
GoGold Resources Inc., presented results of nine holes from its ongoing drilling program collared at El Favor East deposit within its Los Ricos North project, Jalisco. Highlights of the drilling include hole LRGF-22-140 with 1.39 g/t Au and 139 g/t Ag (3.24 g/t AuEq or 243 g/t AgEq) over 2.5m, plus 0.48 g/t Au and 257 g/t Ag (3.92 g/t AuEq or 294 g/t AgEq) over 13.9m, including 1.84 g/t Au and 960 g/t Ag (14.65 g/t AuEq or 1,099 g/t AgEq) over 3.2m, including 2.96 g/t Au and 2,307 g/t Ag (33.72 g/t AuEq or 2,529 g/t AgEq) over 0.7m; and hole LRGF-22-137 with 0.29 g/t Au and 143 g/t Ag (2.2 g/t AuEq or 165 g/t AgEq) over 61.5m, including 0.66 g/t Au and 300 g/t Ag (4.66 g/t AuEq or 350 g/t AgEq) over 24.3m, including 1.71 g/t Au and 881 g/t Ag (13.46 g/t AuEq or 1,009 g/t AuEq) over 0.7m.
GR Silver Mining Ltd., announced additional results from its 2022 underground infill drilling program at its Plomosas Mine Area in Sinaloa. Highlights of the drilling include hole PLIP22-28 with 55 g/t Ag, 8.66 g/t Au, 2.7% Pb, 6.6% Zn, and 0.5% Cu (1,242 g/t AgEq) over a true width (TW) of 6.9m; hole PLI17-26 with 3 g/t Ag, 2.64 g/t Au, 0.1% Pb, and 0.1% Zn (257 g/t AgEq) over a TW of 10.7m; hole PLI22-42 with 43 g/t Ag, 1.96 g/t Au, 1.2% Pb, 2.1% Zn, and 0.3% Cu (369 g/t AgEq) over a TW of 20.9m, including 61 g/t Ag, 4.52 g/t Au, 2.9% Pb, 5.5% Zn, and 0.3% Cu (802 g/t AgEq) over a TW of 7.5m, plus 28 g/t Ag, 3.6 g/t Au, 0.6% Pb, 2.3% Zn, and 0.2% Cu (489 g/t AgEq) over a TW of 10.6m, including 46 g/t Ag, 11.5 g/t Au, 0.2% Pb, 3.7% Zn, and 0.4% Cu (1,263 g/t AgEq) over a TW of 2m, plus 87 g/t Ag, 7.13 g/t Au, 4.4% Pb, 8.3% Zn, and 0.2% Cu (1,184 g/t AgEq) over a TW of 0.8m, plus 42 g/t Ag, 3.90 g/t Au, 0.3% Pb, 1.2% Zn, and 0.2% Cu (479 g/t AgEq) over a TW of 1.7m, plus 28 g/t Ag, 6.05 g/t Au, 0.7% Pb, 1.9% Zn, and 0.1% Cu (695 g/t AgEq) over a TW of 1.5m; hole PLI22-47 with 281 g/t Ag, 2.15 g/t Au, 8.9% Pb, and 6% Zn (970 g/t AgEq) over a TW of 2.4m; and hole PLI22-46 with 44 g/t Ag, 1.9 g/t Au, 11.2% Pb, 10% Zn, and 0.1% Cu (940 g/t AgEq) over a TW of 4.9m, including 64 g/t Ag, 4.02 g/t Au, 19.5% Pb, 17% Zn, and 0.1% Cu (1,659 g/t AgEq) over a TW of 1.9m. “The infill drilling program at the Plomosas Mine Area continues to provide information for the Company to enhance the geological model and confirm the presence of high-grade structures on the hanging wall and footwall of the main mineralized breccia. Gold mineralized zones exceeding 20 m down hole width have been drilled in the current program in both the hanging wall and footwall”.
Vizsla Silver Corp., released results from nineteen new drill holes targeting the Tajitos-Copala resource area at its Panuco project, Sinaloa. Highlights of the drilling include hole CS-22-205 with 2,101 g/t Ag and 9.54 g/t Au (2,640 g/t AgEq) over a true width (TW) of 5.30m, including 3,080 g/t Ag and 23.60 g/t Au (4,563 g/t AgEq) over a TW of 0.58m, plus 85 g/t Ag and 0.24 g/t Au (96 g/t AgEq) over a TW of 0.16m; hole CS-22-210 with 425 g/t Ag and 2.31 g/t Au (561 g/t AgEq) over a TW of 15.50m, including 2,710 g/t Ag and 22.30 g/t Au (4,125 g/t AgEq) over a TW of 0.41m, including 1,285 g/t Ag and 7.24 g/t Au (1,716 g/t AgEq) over a TW of 0.54m, including 1,800 g/t Ag and 9.69 g/t Au (2,371 g/t AgEq) over a TW of 0.41m, including 1,630 g/t Ag and 7.34 g/t Au (2,044 g/t AgEq) over a TW of 1.01m; hole CS-22-216 with 626 g/t Ag and 4.48 g/t Au (905 g/t AgEq) over a TW of 8.09m, including 1,250 g/t Ag and 14 g/t Au (2,170 g/t AgEq) over a TW of 0.81m, including 2,230 g/t Ag and 18.1 g/t Au (3,376 g/t AgEq) over a TW of 0.57m, including 1,170 g/t Ag and 7.54 g/t Au (1,631 g/t AgEq) over a TW of 0.75m; hole CS-22-201 with 237 g/t Ag and 1.74 g/t Au (346 g/t AgEq) over a TW of 2.18m, including 427 g/t Ag and 3.22 g/t Au (629 g/t AgEq) over a TW of 1.11m, plus 2,536 g/t Ag and 13.65 g/t Au (3,340 g/t AgEq) over a TW of 1.86m, including 7,740 g/t Ag and 57.6 g/t Au (11,343 g/t AgEq) over a TW of 0.19m, including 6,220 g/t Ag and 27.20 g/t Au (7,742 g/t AgEq) over a TW of 0.43m; and hole CS-22-217 with 1,496 g/t Ag and 6.56 g/t Au (1,862 g/t AgEq) over a TW of 2.71m, including 1,295 g/t Ag and 4.59 g/t Au (1,535 g/t AgEq) over a TW of 0.64m, including 13,118 g/t Ag and 63.7 g/t Au (16,783 g/t AgEq) over a TW of 0.20m. “The infill results support grade continuity in the south-central portion of Copala structure, while resource expansion drilling to the north and southeast continue to highlight mineralization remains open”.
Tocvan Ventures Corp., entered into an agreement with a neighboring private mining company for the completion of its first bulk sampling for processing by heap-leach method from its El Pilar project in Sonora. The plan is to process up to 1,000 tonnes of material at a private mining operation less than 25km to the west of Pilar with the aim of providing a more detail account of expected head-grade and recovery percentage of gold. Processing and analysis of this bulk sample is expected to span three to four months. Other goals to accomplish are to continue drilling, update reporting and maiden resource estimate, and permitting for full-scale on-site mine facilities and processing.
Silver Dollar Resources Inc., reported progress on its new underexplored Noria target at its La Joya project, Durango. The company recently completed a ground magnetic survey on the Coloradito area within the Noria portion of the property, which consisted of 14 lines spaced 50-100m and ranging over 1.3km in length for a total of approximately 19.8km of magnetic data. The geophysics contractor identified 3 relatively well-contrasted and thin magnetic beds striking N150°/N330°, which may underscore, sulphide and ferromagnesian horizons hosted along shear zones. In addition, a total of 125 rock samples have been collected and submitted to the lab of which 79 samples have been received to date. In one of the targets sample assays returned values up to 291 g/t Ag, 0.8 g/t Au, and 1.2% Zn, while in another one 7 samples returned elevated Zn and Pb, ranging from 0.3-1% and 1.4-6.2% respectively. Further follow-up work is being conducted in the areas where both geophysical and geochemical anomalies have been identified to develop new drill targets.
ON DEALS AND CORPORATE ISSUES
Osisko Development Corporation strengthened its Board of Directors with the appointment of a new Non-Executive Director, effective December 14, 2022 (San Antonio Gold project, Sonora).
Sierra Metals Inc., completed voluntary delisting from the Lima Stock Exchange, effective December 15, 2022. Sierra Metals’ common shares will continue to trade on the Toronto Stock Exchange (Cusi and Bolivar mines, Chihuahua).
Southern Empire Resources Corp., entered into an option agreement to acquire 100% interest in the Centauro property in Chihuahua. Southern can earn 100% interest by making cash payments totalling USD $750K, issuing 1.5M common shares of Southern Empire and completing work commitment of USD $800K over a five years period. The option agreement include a 3% Net Smelter Return (NSR) and Southern Empire has the right to buy 2% of the NSR for USD $2M.
ON SOCIAL RESPONSIBILITY
No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, panning gold in a cow´s horn in a low sulphidation epithermal vein system project in Zacatecas, Mexico. Photo by Miguel A Heredia.
During the 44th week of the year (October 31st to November 06th, 2022), at least 21 press releases were announced by companies working in Mexico, and 2 news published by the media with six reporting resources and developments of their properties, six disclosing deals and corporate issues, five informing on exploration results, three commenting on Mexican issues, two announcing financing issues, and one communicating production and financial issues. ON MEXICO ISSUES, The Canadian government has told its Mexican counterpart that it is concerned about the investment climate in Mexico’s energy and mining sectors. The President of Mexico, Andres Manuel López Obrador stated that the rescue efforts of the bodies of 10 miners who were trapped in the El Pinabete mine, in Sabinas, Coahuila, were suspended due to a change of supplier. GoGold, GR Silver, Pan American Silver, and Southern Silver reported the best drilling intercepts in Mexico on the first week of November, 2022. ON EXPLORATION, In Sonora, Ranchero Gold provided an exploration update on its Daniela project, and Reyna Gold announced results from its on-going, district-scale exploration program at its La Gloria property. In Sinaloa, Prismo signed a definitive surface agreement with the Francisco Villa Ejido and commenced drill permitting for its Los Pavitos project. In Jalisco, Almadex mobilised an exploration team to commence a follow-up drill program at its San Pedro project. In Coahuila, Monumental provided an update of its currently on-going exploration program at its Jemi project. ON MINING, Capstone reported Q3, 2022 production and financial results from its Cozamine mine in Zacatecas. ON FINANCING, Kootenay increased its previously announced private placement from $4M to $4.35M, and granted an option to Red Cloud Securities Inc, to offer for sale an additional 15% of the number of units of the company at a price of $0.09 per unit (Columba project, Chihuahua). Xali Gold received advance net profits interest payment from Sun River Gold for the El Orito Tailings project in the State of Mexico. ON RESOURCES AND DEVELOPMENT, Sonoro Gold announced that it has engaged SRK to prepare an NI43-101 compliant updated Mineral Resource Estimate for its Cerro Caliche project in Sonora. GoGold reported results from the second set of drill holes collared at the newly acquired Eagle concession on the Los Ricos South property in Jalisco. GR Silver released results from 38 infill drill holes in the resource update program underway at its Plomosas mine area in Sinaloa. Osisko provided an operational update on its San Antonio Gold project in Sonora. Pan American release results from 45 new infill and exploration drill holes collared at its La Colorada Skarn project in Zacatecas. Southern Silver announced results from its final 4 drill holes at its Cerro Las Minitas, Durango. ON DEALS AND CORPORATE ISSUES, Silverton Metals announced that its Board of Directors approved a change of the company’s name to Lodestar Battery Metals Corp (Peñasco Quemado project, Sonora). Ranchero Gold appointed its interim CEO and CFO (Santa Daniela project, Sonora). Pan American and Agnico delivered definitive binding offer to acquire Yamana. Sierra Madre entered into an amendment and restated the share purchase agreement with First Majestic in respect of the previously announced acquisition of La Guitarra mine in the State of Mexico. Sierra Metals received letter of intent from Compañía Minera Kolpa for a proposed business combination. Xali Gold increased its ownership in the San Dieguito de Arriba plant in Nayarit from 30% to 50% by issuing 4,125,758 shares at a price of $0.066 to Magellan. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
The Canadian government has told its Mexican counterpart that it is concerned about the investment climate in Mexico’s energy and mining sectors. Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development of Canada, expressed this position to Raquel Buenrostro, Secretary of the Economy of Mexico. Minister Ng reaffirmed Canada’s commitment to advance in the implementation of the Treaty between Mexico, the United States and Canada (T-MEC) and to continue with the work carried out within the framework of initiatives such as the Economic Dialogue of Canada-Mexico High Level to deepen bilateral business, trade and investment ties and support inclusive and resilient economic growth. Two-way merchandise trade between the two countries was USD $41.7 billion in 2021. Mexico is Canada’s third-largest merchandise trading partner in a single country (after the United States and China).
The President of Mexico, Andres Manuel López Obrador stated that the rescue efforts of the bodies of 10 miners who were trapped in the El Pinabete mine, in Sabinas, Coahuila, were suspended due to a change of supplier, but will be resumed.
GoGold Resources Inc., , GR Silver Mining Ltd., Pan American Silver Corp., and Southern Silver Exploration Corp., reported the best drilling intercepts in Mexico on the first week of November. Details are shown in the table below:
ON EXPLORATION
Ranchero Gold Corp., provided an exploration update on its Daniela project in Sonora. The company reported that it has completed the follow-up work of the nine priority targets previously identified at the property. Ranchero Gold stated that the San Francisco, Carboneras Sur, Carboneras Este, Rincón, and Moritas Este targets have shown evidence of gold mineralization, related alteration and lithologies known to host significant gold deposits in the district. “Subsequent field efforts currently underway will include detailed mapping, systematic sampling and drone-based magnetic surveys designed to identify potential mineralized host rocks below surface”.
Reyna Gold Corp., announced results from its on-going, district-scale exploration program at its La Gloria property in Sonora. The company identified multiple mineralized zones with high grade gold, silver, and copper that align with major geophysical anomalies, silica alterations, and structural controls on the property. Highlights of the 8 rock sampling collected at La Republicana Zone returned values from 4.03 g/t Au up to 56.90 g/t Au; 7 samples ranging from 13 g/t Ag up to 47 g/t Ag; and 2 samples with 0.2% Pb and 0.5% Pb, with a single assay of 2.41% Cu. At Las Carmelitas zone, 7 rock samples returned 3 values of 0.11 g/t Au, 0.33 g/t Au, and 10.52 g/t Au; 5 samples ranging from 67 g/t Ag up to 116 g/t Ag; and 6 samples ranging from 1.53% up to 2.25% Cu. At Western Zone, 7 rock samples returned values from 2.51 g/t Au up to 16.60 g/t Au; 2 samples with values of 21g/t Ag and 249 g/t Ag; and a single sample with 1.15% Cu, 3.4% Zn, 1.3% Pb, 0.1 g/t Au, and 27 g/t Ag. At El Sombrero Zone, 7 samples returned gold values ranging from 1.1 g/t Au up to 23.6 g/t Au; 4 samples ranging from 149 g/t Ag up to 733 g/t Ag; 4 samples ranging from 0.68% up to 3.60% Cu; 4 samples ranging from 0.2% Pb up to 1.4% Pb, and 4 samples ranging from 0.1%Zn to 0.2% Zn. The company is presently conducting an IP survey at four target zones: La Republicana, Western, Las Carmelitas, and Main Zone. After completion of the IP geophysical survey, drilling will recommence in this area focused on La Republicana, Western, Las Carmelitas and Main Zone targets.
Prismo Metals Inc., signed a definitive surface agreement with the Francisco Villa Ejido, the surface owners over the Los Pavitos project in Sinaloa. This agreement is for two years and allows Prismo to carry out exploration work including drilling. The company has commenced drill permitting planned to begin in early 2023. Meanwhile, Prismo will continue with the geological mapping and sampling program to cover the remaining area to identify drill targets.
Almadex Minerals Ltd., mobilised an exploration team to commence a follow-up drill program at its San Pedro project in Jalisco. The drill program will target a recently identified structural trend associated with float rock of vein material, soil anomalies and old mining workings, where channel sampling has encountered 0.02 g/t Au and 138 g/t Ag over an interval of 6.8m, and 3.7 g/t Au and 168 g/t Ag over an interval of 4.2m. A total of 14 grab and chip samples collected on this trend averaged 0.6 g/t Au and 180 g/t Ag.
Monumental Minerals Corp., provided an update of its currently on-going exploration program at its Jemi project in Coahuila, which consists of detailed geological mapping, regional stream sediment sampling, ground radiometric geophysical surveys, and litho geochemistry. To date, the stream sediment sampling program, consisting of 47 samples has been completed. It returned 5 samples with values greater than 7.8 ppm dysprosium (Dy), 65.3 ppm neodymium (Nd); and up to 14.1 ppm Dy and 160 ppm Nd, defining four general areas of interest along the west and south portions of the company’s concessions, of which two are associated with known HREE mineralized (eudialyte bearing) peralkaline rock (Jemi Dyke Area and Veladora North). The remaining two areas with anomalous Dy and Nd concentrations were previously unrecognized as being prospective (Zone 2 and Zone 4). Follow-up exploration work to identify the source of the high REEs at these two areas will be undertaken during the current field program for quick delineation.
ON MINING
Capstone Copper Corp., reported Q3, 2022 production and financial results from its Cozamine mine in Zacatecas. The company mined 3,829 tonnes per day with an average grade of 1.86% and metallurgical recovery of 96.8%, to produce 36.74 M Lb Cu at a cash cost of USD $1.20 per Lb produced.
ON FINANCING
Kootenay Silver Inc., increased its previously announced private placement from $4M to $4.35M, and granted an option to Red Cloud Securities Inc, to offer for sale an additional 15% of the number of units of the company at a price of $0.09 per unit. If the offer for sale from Red Cloud is exercised in full, the total gross proceeds to the company will be $5M (Columba project, Chihuahua).
Xali Gold Corp., received advance net profits interest (NPI) payment from Sun River Gold, LLC for the El Orito Tailings project in the State of Mexico. Sun River has started making advance NPI payments of USD $15K per month to Xali Gold as part of the second extension agreement on the El Oro Tailings project, in El Oro, State of Mexico. Advanced NPI payments of USD $50K per month will be paid by Sun River once commercial production is reached (or first concentrate is produced or dore gold is poured) and during the first year of operation, after which normal 5% NPI payments are to be made.
ON RESOURCES AND DEVELOPMENT
Sonoro Gold Corp., announced that it has engaged SRK Consulting Inc., to prepare an NI43-101 compliant updated Mineral Resource Estimate for its Cerro Caliche project in Sonora. This updated Mineral Resource Estimate is to include an additional 7,200m of drilling completed in May 2022 which returned multiple higher grade gold intercepts and expanded several known mineralized gold zones within the concession.
GoGold Resources Inc., reported results from the second set of drill holes collared at the newly acquired Eagle concession on the Los Ricos South property in Jalisco. Highlights of the drilling include hole LRGAG-22-035 with 1.64 g/t Au and 265 g/t Ag (5.17 g/t AuEq or 387 g/t AgEq) over 110.6m, including 11.31 g/t Au and 2,198 g/t Ag (40.62 g/t AuEq or 3,047 g/t AgEq) over 11.5m, including 30.24 g/t Au and 6,392 g/t Ag (115.48 g/t AuEq or 8,661 g/t AgEq) over 3.5m, including 63.24 g/t Au and 12,729 g/t Ag (232.96 g/t AuEq or 17,472 g/t AgEq) over 1.5m, including 104.50 g/t Au and 13,742 g/t Ag (287.73 g/t AuEq or 21,580 g/t AgEq) over 0.90m; and hole LRGAG-22-032 with 1.36 g/t Au and 108 g/t Ag (2.79 g/t AuEq or 210 g/t AgEq) over 65.8m, including 2.96 g/t Au and 217 g/t Ag (5.85 g/t AuEq or 439 g/t AgEq) over 28.1m, including 7.17 g/t Au and 1,013 g/t Ag (20.68 g/t AuEq or 1,551 g/t AgEq) over 4.3m, including 25 g/t Au and 3,020 g/t Ag (65.27 g/t AuEq or 4,895 g/t AgEq) over 0.6m. “Mapping and geophysics indicate the Eagle structure extending in excess of 2.5km to the northwest, at which point it continues onto the Company’s previously owned Jamaica concessions”. “The Eagle concession connects the Company’s concessions held in the southern portion of its Los Ricos South project, including the Main area where the Initial Resource was released, to its northern concessions in Los Ricos South, which includes the Jamaica exploration target. As a result, all of the concessions in Los Ricos South are now contiguous”. This offers the potential for an additional bulk tonnage target in Los Ricos South, with continuity from the Main Area and Eagle.
GR Silver Mining Ltd., released results from 38 infill drill holes in the resource update program underway at its Plomosas mine area in Sinaloa. Highlights of the drilling include hole PLI22-38 with 301 g/t Ag, 0.41 g/t Au, 1.6% Pb, and 2.1% Zn (471 g/t AgEq) over a true width (TW) of 15.9m, including 856 g/t Ag, 0.70 g/t Au, 1.3% Pb, and 2.3% Zn (1,052 g/t AgEq) over a TW of 3.9m; hole PL!22-23 with 268 g/t Ag, 1 g/t Au, 2.4% Pb, 1.7% Zn, and 0.2% Cu (518 g/t AgEq) over a TW of 36.5m, including 626 g/t Ag, 0.03 g/t Au, 1% Pb, 0.6% Zn, and 0.1% Cu (684 g/t AgEq) over a TW of 4.9m, plus 1028 g/t Ag, 5.11g/t Au, 8.3% Pb, 7% Zn, and 0.9% Cu (2,101 g/t AgEq) over a TW of 5.9m, including 2,667 g/t Ag, 1.27 g/t Au, 12.2% Pb, 6.9% Zn, and 0.3% Cu (3,431 g/t AgEq) over a TW of 2.2m; hole PLI22-24 with 1,159 g/t Ag, 0.53 g/t Au, 1.4% Pb, 1% Zn, and 0.8% Cu (1,354 g/t AgEq) over a TW of 0.20m, plus 135 g/t Ag, 0.39 g/t Au, 4% Pb, 1.7% Zn, and 0.2% Cu (365 g/t AgEq) over a TW of 7.1m, including 292 g/t Ag, 0.13 g/t Au, 3.1% Pb, 1.3% Zn, and 0.1% Cu (453 g/t AgEq) over a TW of 2m; hole PLI22-25 with 629 g/t Ag, 0.56 g/t Au, 9.2% Pb, 4% Zn, and 0.4% Cu (1,146 g/t AgEq) over a TW of 11.4m, including 1,791 g/t Ag, 0.23 g/t Au, 1.3% Pb, 1.4% Zn, and 0.1% Cu (1,917 g/t AgEq) over a TW of 1.4m; hole LP122-27 with 109 g/t Ag, 0.91 g/t Au, 3.5% Pb, 1.7% Zn, and 0.1% Cu (371 g/t AgEq) over a TW of 7.2m, including 212 g/t Ag, 2.74 g/t Au, 10.9% Pb, 4.1% Zn, and 0.22 % Cu (961 g/t AgEq) over a TW of 2.1; hole PLI22-30 with 344 g/t Ag, 0.04 g/t Au, 0.2% Pb, 0.3% Zn, and 0.1% Cu (370 g/t AgEq) over a TW of 1m, plus 2,251 g/t Ag, 0.12 g/t Au, 1.1% Pb, 0.1% Zn, and 0.6% Cu (2,365 g/t AgEq) over a TW of 0.5m, plus 1,697 g/t Ag, 0.21 g/t Au, 0.2% Pb, 0.2% Zn, and 0.6% Cu (1,792 g/t AgEq) over a TW of 0.1m, plus 134 g/t Ag, 0.05 g/t Au, 0.6% Pb, 2.7% Zn, and 0.1% Cu (273 g/t AgEq) over a TW of 3m, including 328 g/t Ag, 0.08 g/t Au, 1.1% Pb, 5% Zn, and 0.2% Cu (576 g/t AgEq) over a TW of 0.9m; hole PLIP22-30 with 69 g/t Ag, 2.67 g/t Au, 0.1% b, 0.2% Zn, and 0.2% Cu (353 g/t AgEq) over a TW of 10.8m, including 227 g/t Ag, 5.39 g/t Au, 0.3% Pb, 0.6% Zn, and 0.4% Cu (809 g/t AgEq) over a TW of 1.2m, plus 219 g/t Ag, 40.18 g/t Au, 0.3% Pb, and 1% Cu (4,074 g/t AgEq) over a TW of 0.5m; and hole PLIP22-42 with 40 g/t Ag, 0.9 g/t Au, 10.5% Pb, 9.8% Zn, and 0.4% Cu (852 g/t AgEq) over a TW of 6.5m. “GR Silver Mining’s infill drilling program is continuing in the Plomosas Mine Area, and to date has added 105 holes (7,330 m) of new drilling inside the historic Plomosas Mine since completion of the Company’s 2021 NI 43-101 mineral resource estimation”.
Osisko Development Corp., provided an operational update on its San Antonio Gold project in Sonora. The company reported that 1.1M tonnes of 0.58 g/t Au and 0.25 g/t Ag have been placed on the heap leach pad for an estimated total of 20,090 oz of Au and 8,818 oz of Ag. Osisko also reported that 10,149 Oz Au and 3,516 Oz Ag at recoveries to the end of the third quarter of 2022 of 50.5% for gold and 39.9% for silver total production have been produced from the heap leach pad as of October 27, 2022, of which 7,350 Oz Au were sold.
Pan American Silver Corp., release results from 45 new infill and exploration drill holes collared at its La Colorada Skarn project in Zacatecas. Highlights of the drilling are shown in the table below:
With the inclusion of these new drill holes, this area has been expanded to measure approximately 200 metres in diameter and up to 250 metres vertically.
Southern Silver Exploration Corp., announced results from its final 4 drill holes on the North Felsite-North Skarn targets at its Cerro Las Minitas, Durango. Highlights of the drilling include hole 22CLM-194 with 140 g/t Ag, 0.04 g/t Au, 0.01% Cu, 1.9% Pb, and 0.1% Zn (212 g/t AgEq or 5.2% ZnEq) over a true width (TW) of 2.3m, plus 386 g/t Ag, 0.17 g/t Au, 0.25% Cu, 6% Pb, and 4.7% Zn (827 g/t AgEq or 20.1% ZnEq) over a TW of 0.7m, plus 336 g/t Ag, 0.14 g/t Au, 0.16% Cu, 6.5% Pb, and 4.7% Zn (780 g/t AgEq or 18.9% ZnEq) over a TW of 2.6m, including 746 g/t Ag, 0.09 g/t Au, 0.12% Cu, 17.1% Pb, and 13.2% Zn (1,904 g/t AgEq or 46.3% ZnEq) over a TW of 0.6m; and hole 22CLM-193 with 124 g/t Ag, 0.02 g/t Au, 0.03% Cu, 1.4% Pb, and 0.4% Zn (195 g/t AgEq or 4.7% ZnEq) over a TW of 5.6m, including 219 g/t Ag, 0.02 g/t Au, 0.04% Cu, 2.5% Pb, and 0.6% Zn (333 g/t AgEq or 8.1% ZnEq) over a TW of 3m. “Drilling on these targets, which started in September 2021, has now tested a 400 metre strike-length of mineralization which wraps around the eastern and northern perimeter of the Central Intrusion and links previously identified mineralization in the Mina La Bocona and Skarn Front deposits. Twenty-five holes totaling 11,275 metres were completed in the two target areas to depths of up to 450 metres below surface”.
ON DEALS AND CORPORATE ISSUES
Silverton Metals Corp., announced that its Board of Directors approved a change of the company’s name to Lodestar Battery Metals Corp., to better reflects the company’s focus on exploration and development of lithium and silver projects (Peñasco Quemado project, Sonora).
Ranchero Gold Corp., made the appointments of its interim CEO and CFO (Santa Daniela project, Sonora).
Pan American Silver Corp. and Agnico Eagle Limited delivered definitive binding offer to acquire Yamana Gold Inc. Pan American would acquire all of the issued and outstanding common shares of Yamana, and Yamana would sell certain subsidiaries and partnerships which hold Yamana´s interest in its Canadian assets to Agnico Eagle, including the Canadian Malartic mine. “The consideration consists of 153,539,579 common shares in the capital of Pan American (“Pan American Shares”); USD$1.0 billion in cash contributed by Agnico Eagle; and 36,089,907 common shares in the capital of Agnico Eagle (“Agnico Eagle Shares”). Under the Binding Offer, each Yamana Share would be exchanged for approximately USD$1.04 in cash, 0.1598 Pan American Shares and 0.0376 Agnico Eagle Shares, for an aggregate value of USD$5.02 per Yamana Share based on the closing price of each Pan American Share and Agnico Eagle Share on November 3, 2022. The Binding Offer is not subject to any financing condition or additional due diligence”.
Sierra Madre Gold and Silver Ltd., entered into an amendment and restated the share purchase agreement with First Majestic Silver Corp., in respect of the previously announced acquisition of La Guitarra mine in the State of Mexico. The amendment states that (a) the 2% net smelter return royalty on La Guitarra will now be granted by Compañía Minera La Guitarra S.A. de C.V., to First Majestic prior to closing of the transaction, rather than rather than concurrently with closing as previously anticipated; and (b) certain governmental approvals will be required prior to closing of the transaction. All other material terms of the transaction remain unchanged. The company expects to complete the transaction by the end of 2022.
Sierra Metals Inc., received letter of intent from Compañía Minera Kolpa S.A. for a proposed business combination. A Special Committee of the independent members of Sierra Metals´ Board of Directors is exploring, reviewing and considering financing, restructuring and strategic options in the best interest of Sierra Metals.
Xali Gold Corp., increased its ownership in the San Dieguito de Arriba (SDA) plant in Nayarit from 30% to 50% by issuing 4,125,758 shares at a price of $0.066 to Magellan. The company also informed that has received interest from third parties desiring to enter into JV in the SDA plant and near-surface high grade mineralization near the plant.
ON SOCIAL RESPONSIBILITY
No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, a fault plane from an intermediate-sulphidation epithermal Au-Ag-Pb-Zn vein system in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.
During the 40th week of the year (October 03rd to October 09th, 2022), at least 20 press releases were announced by companies working in Mexico, and 4 news published by the media with seven reporting resources and developments of their properties, four announcing financing issues, four discussing social issues, three informing on exploration results, two communicating production and financial results, two commenting on Mexican issues, and two discussing deals and corporate issues. ON MEXICO ISSUES, The Discoveries Mining Conference 2022 was held in Hermosillo, Sonora on October 4-6, 2022. The Governor of Guerrero, Evelyn Salgado announced the reinstatement of the State Mining Council and confirmed that Acapulco will host the 35th edition of the Mining Convention in 2023. ON EXPLORATION, In Sonora, Canuc reported that recent work at its San Javier project has identified eight targets within four distinct mineralized zones. In Durango, Orex announced the completion of the Phase-1 reconnaissance exploration drilling program on its Sandra project. In Oaxaca, Vortex provided an update of the exploration work completed to date at its Riqueza Marina project. ON MINING, Bear Creek presented Q3, 2022 production results from its Mercedes mine in Sonora. Guanajuato Silver provided an update highlighting the impact of additional production from the Topia and San Ignacio mines in Durango and Guanajuato states respectively. ON FINANCING, Advance Lithium closed a previously announced private placement financing for gross proceeds of $75K (Sarape project, Sonora). Capitan Mining announced a non-brokered private placement for gross proceeds of up to CAD $3M (Cruz de Plata project, Durango). Guanajuato Silver has arranged to issue 2,468,750 common shares of the company in settlement of outstanding accounts payable and accrued liabilities to various parties totaling approximately CAD $987K (Pinguico mine, Guanajuato). Barksdale announced that Teck Resources has elected to exercise its pro-rata equity participation rights for gross proceeds of $264K (San Javier project, Sonora). ON RESOURCES AND DEVELOPMENT, Azucar Minerals completed second hole into the large porphyry lithocap target at its El Cobre project in Veracruz. Gatos Silver provided updates on its Cerro Los Gatos Mineral Resources, Mineral Reserves, and Life of Mine. Minera Alamos announced positive results of an independent Preliminary Economic Assessment (PEA) for its Cerro de Oro project in Zacatecas. Oroco announced that, based on drill results, expanded the North Zone mineralization, and confirmed higher grade at its Santo Tomas project in Sinaloa. Tarachi Gold received final metallurgy results for its Magistral Mill and Tailings project in Durango. Torex received key environmental permit for its Media Luna project in Guerrero. Prime Meridian provided an update on its La Verde project in Michoacan. ON DEALS AND CORPORATE ISSUES, Starcore announced results of its annual general meeting of shareholders (San Martin mine, Queretaro). Riverside regained 100% control of the La Union project in Sonora after Hochschild announced its decision to not to proceed with the option. ON SOCIAL RESPONSIBILITY, Peñoles and Fresnillo Plc work together for an appropriate and healthy habitat. Peñoles and Fresnillo Plc were awarded with a distinction in Ethics and Values of the Industry 2022. GoGold presented its second annual sustainability report that sets out the company´s performance and achievements with respect to its environmental, social, and governance practices. MAG Silver announced the publication of its inaugural Sustainability Report.
ON MEXICO ISSUES
The Discoveries Mining Conference 2022 was held in Hermosillo, Sonora on October 4-6, 2022, and included more than 50 talks covering topics ranging from the latest geological discoveries, new technologies applied to mining and exploration, social, legal and political issues affecting the industry, and the challenges and obstacles confronted and overcome on the way to production.
The Governor of Guerrero, Evelyn Salgadoannounced the reinstatement of the State Mining Council and confirmed that Acapulco will host the 35th edition of the Mining Convention in 2023. She also recognized this industry, which each year leaves an approximate spill of MXP $3,400M. The Governor pointed out that the mining sector is one of the main economic activities in Guerrero, which has a presence in 29 municipalities in the Central, Tierra Caliente and North regions of the state, with an important gold production that places the entity in the first places. She stressed that the mining industry in Guerrero generates more than 4,500 direct jobs and more than 22,000 indirect jobs, with an economic benefit of more than MXP $3,400M, which translates into development and well-being, for which she urged that the Mining Council in Guerrero, be a space for dialogue and consensus that allows the construction of shared strategies and programs hand in hand with the various sectors with a comprehensive perspective seeking the development of Guerrero. In addition, she declared that Guerrero is the state of the country with the largest investment announced for this year for more than USD $1,327M for new mining projects, estimating growth with a favorable environment.
ON EXPLORATION
Canuc Resources Corporation reported that recent work at its San Javier project in Sonora has identified eight targets within four distinct mineralized zones, which now merit-follow-up work. At the Silver Zone, about additional 100 soils samples were collected to better define a strong Ag and Au anomaly. Now, the Ag soils anomaly is 750m in strike length with values up to 21 g/t Ag and 1.65 g/t Au, and remains open in both the southwest and northeast direction. Recent prospecting and rock sampling (10 samples) on the northeast end of this zone, approximately 400m of the soil survey has returned Ag values from 38 g/t Ag to 1,533 g/t Ag associated to magnetite veins which daylight near the margins of a magnetic high. Additionally, seven samples were collected near old artisanal workings and assayed from 27g/t Ag to 604 g/t Ag and from 0.1 g/t Au to 1.2 g/t Au. More sampling is planned throughout this area. At the Gold Zone South and Gold Zone Central, the company collected 1,829 channel samples from 11 bulldozed trenches. All the trenches contain elevated Au values ranging from 0.2 g/t Au to 40 g/t Au. At the South Gold Zone, two targets measuring 300m to 400m in diameter have been outlined. Sampling on one of those called La Cascada returned 0.16 g/t Au and 0.48% Cu over a width of 13m, while the other called Loma Pelona assayed 0.59 g/t Au and 0.47% Cu over a width of 10.5m. The Central Gold Zone contains 3 distinct targets measuring 300 to 400m in diameter. La Mesa target includes elevated Au values ranging from trace to 1.42 g/t Au. One section returned 0.28 g/t Au over 16m. At La Curva target the trenching sampling returned 0.45 g/t Au over 6m; 0.48 g/t Au over 4m; and 0.45 g/t Au over 4m. At La Quebrada target, trenching sampling returned 0.68 g/t Au over a width of 14m. Six channel samples collected over a an area of 100mlong by 50m wide, located approximately 80m southeast of the trench area, returned an average grade of 3.09 g/t Au, ranging from 0.018 g/t Au to 11.4 g/t Au. At the North Zone, a target called Chapoteados was prospected and sampled on an area of 600m long by 200m wide. Twenty two samples were taken and contained an average grade of 0.38% Cu, 0.3 g/t Au, and 4 g/t Ag. A second target called Arroyo Hondo, located 800m northeast of the Chapoteados target also was sampled. Twenty five samples collected on an area of 300m by 100m averaged 15 g/t Ag, (ranging from trace to 145 g/t Ag), 0.14 g/t Au, (ranging from 0.01 g/t Au to 1.19 g/t Au), and 220 ppm Cu, (ranging from 20 ppm to 0.38% Cu).
Orex Minerals Inc., announced the completion of the Phase-1 reconnaissance exploration drilling program on its Sandra project in northwest Durango. Sandra project is a JV agreement between Pan American Silver Corp., (60%) and Orex Minerals (40%). Phase-1 consisted of 2,665.30m in 8 diamond drill holes. Four holes were drilled on targets in the Central Corridor aand four holes were drilled in the Eastern Corridor. Drilling highlights include hole SA-22-066 collared in the Central Corridor with 1.04 g/t Au over a true width (TW) of 1.53m; and hole SA-22-.073 collared in the Eastern Corridor with 39 g/t Ag, 0.1% Pb, and 0.2% Zn over a TW of 14.5m, including 51 g/t Ag, 0.2% Pb, and 0.,2% Zn over a TW of 5.1m.
Vortex Metals Inc., provided an update of the exploration work completed to date at its Riqueza Marina Volcanogenic Massive Sulphide project in Oaxaca. The company completed a gravity and magnetic survey at the Rhyolite Dome target that produced extensive geophysical anomalies coincident with geochemical anomalies, including the West and East Gossan Areas. Rock sampling returned 12 samples with more than 1% Cu, up to 20.2% Cu and an additional 34 samples contain more than 1,000 ppm Cu. Vortex plans to drill this target once the drill permits are secured.
ON MINING
Bear Creek Mining Corporation, presented Q3, 2022 production results from its Mercedes mine in Sonora. The company mined 128,698 tonnes and processed 148,211 tonnes of 2.45 g/t Au with metallurgical recovery of 95.53% to produce 11,169 Oz Au. Bear Creek sold 12,310 Oz Au. It also reported a gold stream of 2,759 Oz Au.
Guanajuato Silver Company Ltd., provided an update highlighting the impact of additional production from the recently acquired Topia and San Ignacio mines in Durango and Guanajuato states respectively. Guanajuato Silver increased 85% its production from July to August 2022. The company reported that in August, 2022 it mined from the El Cubo & San Ignacio mines in Guanajuato, and Topia mine in Durango 41,372 tonnes and milled 36,948 tonnes to produce 128,780 Oz Ag, 1,091 Oz Au, 348,137 Lb Zn, and 266,881 Lb Pb (267,525 Oz AgEq) with metallurgical recoveries of 88.9%, 85.6%, 81.8%, and 89.5% respectively, at a cash cost of $15.09 per Oz AgEq.
ON FINANCING
Advance Lithium Corp., closed a previously announced private placement financing for gross proceeds of $75K. Proceeds will be used to advance the Lithium and Sarape projects, and for general corporate purposes (Sarape project, Sonora).
Capitan Mining Inc., announced a non-brokered private placement for gross proceeds of up to CAD $3M. It will consists of 15M of common shares at a price of CAD $0.20 per share. Net proceeds will be used to advance drilling and work program at the Cruz de Plata project in Durango, as well as for working capital and general corporate expenses.
Guanajuato Silver Company Ltd., has arranged to issue 2,468,750 common shares of the company at a deemed price of CAD $0.40 per share in settlement of outstanding accounts payable and accrued liabilities to various parties totaling approximately CAD $987K (Pinguico mine, Guanajuato).
Barksdale Resources Corp., announced that Teck Resources Limited has elected to exercise its pro-rata equity participation rights for gross proceeds of $264K. Teck will hold approximately 9.9% of Barksdale’s equity on a partially diluted basis. Net proceeds from the financing will be used to advance the Company’s mineral projects and for general corporate and working capital purposes (San Javier project, Sonora).
ON RESOURCES AND DEVELOPMENT
Azucar Minerals Ltd., completed second hole into the large porphyry lithocap target at its El Cobre project in Veracruz. “This hole passed trough typical clay dominant lithocap alteration into phyllic alteration. Large intervals of brecciated rock were intersected possibly reflecting a diatreme like body that may have disrupted any earlier porphyry alteration zonation in this area. Alteration data has been collected from the core using a Terraspec infrared spectrometer along with samples for assay and fluid inclusion analysis. Any future drilling in this area will be guided by the results and interpretation of these analyses from both holes”.
Gatos Silver Inc., provided updates on Mineral Resources, Mineral Reserves, and Life of Mine for its Cerro Los Gatos and Esther mines in Chihuahua. Figures are shown in the tables below:
Cerro Los Gatos – Mineral Reserves as at July 1, 2022.
Cerro Los Gatos – Mineral Resources as at July 1, 2022.
Esther – Mineral Resources as at July 1, 2022.
*Mineral Resources are exclusive of Mineral Reserves.
As for the Cerro Los Gatos Life of Mine plan using only the 2022 Mineral Reserves, the company reported that the current reserve mine life continues to 2028; the average annual production of 7.8M Oz Ag will generate an average annual cash flow of USD $79M (after tax) through 2028 at USD $22 per Oz Ag price; an all in sustaining cost (AISC) of USD $7.06 per Oz of payable Ag, net of by-product credits; an average cost of USD $89.76 per tonne milled ; and a net present value (NVP) at a discount rate of USD $491M(USD $337M after tax).
Minera Alamos Inc., announced positive results of an independent Preliminary Economic Assessment (PEA) for its Cerro de Oro project in Zacatecas. Highlights of the PEA include an average annual gold production approaching 60K Oz (approx. 60K-to 70K Oz in years 1 through 4); a 8.2 mine life based on initial mineable total of 59M tonnes of 0.37 g/t Au, heap leached at an average rate of approximately 20K tonnes per day of over 0.4 g/t Au in years 1 through 4; 477K Oz Au produced in loaded carbon/doré; a life of mine (LOM) strip ratio of 0.3:1(waste: mineralization); a LOM all included sustaining cost (AISC) of USD $873 per Oz Au , averaging USD $763 per Oz Au in years 1 through 4; an after tax NPV at 5% discount rate of USD $150.5M and an internal rate return (IRR) of USD $111%; a pre-production capital cost of USD $28.1M (includes 30% contingency); a payback period of 11 months; and used crushing plant already purchased to reduce up-front capital requirements. The company also reported an updated mineral resource estimate containing 67M tonnes of 0.37 g/t Au(790K Oz Au contained) based on an upward revision of the base case resource metal price to USD $1,700 per Oz.
Oroco Resource Corp., announced that, based on drill results, expanded the North Zone mineralization, and confirmed higher grade at its Santo Tomas project in Sinaloa. Extension drilling highlights include hole NO19 with 0.26% and 0.006% Mo over 127.8M, plus 0.21% Cu and 0.008% Mo over 126m; hole NO21 with 0.34% Cu and 0.008% Mo over 81.4m, plus 0.41% Cu and 0.018% Mo over 32.9M, and hole NO24 with 0.30% Cu and 0.016% Mo over 86.6m, plus 0.22% Cu and 0.007% Mo over 90.1m. High grade drilling highlights include hole NO22 with 0.37% Cu and 0.009% Mo over 152.1m, plus 0.21% Cu and 0.005% Mo over 102m; hole NO23 with 0.31% Cu and 0.005% Mo over 139m, including 0.55% Cu and 0.006% Mo over 56.7m; hole NO25 with 0.40% Cu and 0.004% Mo over 286m; and hole NO26 with 0.6% Cu and 0.01% Mo over 92.2m, plus 0.25% Cu and 0.009% Mo over 69.8m. A total of 35 holes (22,769m of drilling) have now been completed in the North Zone, spanning approximately 1,300m of strike length, with intersections of good grade mineralization returned in all holes for which the company has received assays.
Tarachi Gold Corp., received final metallurgy results for its Magistral Mill and Tailings project in Durango. Highlights include up to 99% of Cu in solution precipitated into high-grade in sulphidation, acidification, recycling and thickening (SART) concentrate; more gold expected to report to Merrill-Crowe circuit for greater metal value payability compared to assumptions used in Preliminary Economic Assessment; and lower mercury CN-solubility than previously assumed and potential for 2-stage SART process to remove mercury from concentrate.
Torex Gold Resources Inc., received approval from Mexico’s Secretariat of Environmental and Natural Resources (SEMARNAT) on the key, culminating environmental permit for its Media Luna project in Guerrero. The approval (MIA Integral) allows for operations to begin at Media Luna and builds on the receipt of the MIA Modification received last year, which allowed for the execution of development activities on the south side of the Balsas River. The Company has also received approval to increase the power draw at site to 45 megawatts.
Prime Meridian Resources Corporation provided an update on its La Verde project in Michoacan. The company and the vendor have elected to modify the La Verde project purchase agreement by changing the requirement for two USD $200K option payments due under the current agreement to USD $20K minimum monthly payments. With this modification, the work program expenditures for the next six months are projected as follow: USD $165,600 for monthly options payment; USD $22,434 for La Verde project-mining duties; and USD $262,200 for La Verde project-Phase 1 work program. The Phase 1 program will consist of Structural Mapping / Magnetometer Study; Prospecting / Geochemical Sampling; and 1,200m of Definition Drilling.
ON DEALS AND CORPORATE ISSUES
Starcore International Mines Ltd., announced results of its annual general meeting of shareholders (San Martin mine, Queretaro).
Riverside Resources Inc., regained 100% control of the La Union project in Sonora after Hochschild Mining Corporation announced its decision to not to proceed with the option. Riverside was reimbursed for past taxes and fees with more than USD $500K of new mineral exploration and consolidation work completed to-date as per the option agreement with Hochschild. “Exploration work completed to-date includes extensive field mapping, sampling, and geochemistry. The newly mapped and sampled areas show alteration features typical of CRD targets and particularly the gossan oxidation of potential sulfide bodies at shallow depths (<100m) that remain wide open for relatively low-risk, high-potential exploration”. Riverside will integrate all of the data and evaluate new partnership opportunities in the near future.
ON SOCIAL RESPONSIBILITY
Industrias Peñoles S.A.B. de and Fresnillo plc., work together for an appropriate and healthy habitat. Both companies have the purpose of contributing to the well-being of the population through sustainable mining practices. Therefore, they recognize the shared responsibility to create, maintain and develop an appropriate habitat for the life of all species, including people. Octavio Alvídrez, CEO of Fresnillo plc., stated that “promoting the urban development of the communities in which we operate, as well as preserving and restoring the biodiversity of the areas surrounding our facilities, is a priority in our management and a constant throughout the life cycle of each of our mining units”.
Industrias Peñoles S.A.B. de and Fresnillo plc., were awarded with a distinction in Ethics and Values of the Industry 2022 in recognition of their corporate responsibility practices. Both Peñoles and Fresnillo plc have a social impact strategy through various outreach programs and thereby contribute to the well-being of families in the communities where they operate, in addition to promoting values and self-development among their neighbors.
GoGold Resources Inc., presented its second annual sustainability report that sets out the company´s performance and achievements with respect to its environmental, social, and governance practices (ESG). Highlights of this report include 0.006 tCO2 per Oz AgEq produced; 0.004 tCO2e per tonne of ore processed; 9,500 hours of safety and professional development training; awarded the ESR distinction (Empresa Socialmente Responsables – Corporate Social Responsibility); USD $17.1M spent in local purchases, including USD $422K in community investment; and adoption of new policies related to Environment, Human Rights, Diversity Equity and Inclusion, Climate Change, and Water Resources.
MAG Silver Corp., announced the publication of its inaugural 2021 Sustainability Report. Highlights of this report include zero fatalities at the Juanicipio project and MAG Silver´s exploration projects; a Juanicipio project(one million hours) lost time injury frequency rate of 10.8 (employees and mine contractors; excluding construction contractors; over 51,000 hours dedicated to safety training in 2021 at the Juanicipio project; risk management system reviewed and updated in 2021 and 2022; a freshwater use ratio of 4% and a renewable power ratio of 84% at the Juanicipio Project while in the construction phase; in 2021, MAG Silver benchmarked current Climate-related risk and opportunities performance with the recommendations of the Task Force on Climate-related Financial Disclosures; MAG’s 2021 commitment to increase Board and senior management diversity means that currently 38% of MAG’s Board and 40% of MAG’s employees are female; and MAG’s Human Rights Policy and Diversity, Equity and Inclusion Policy were updated and approved, complementing and enhancing pre-existing commitments.
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, banded quartz from an intermediate sulphidation vein system in a project in Zacatecas, Mexico. Photo by Miguel A Heredia.
During the 17th week of the year (April 25th to May 1st, 2022), at least 24 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their properties, four released first quarter 2022 reports, one reported a temporary suspension of mining, one on a financing round, another one on an updated credit facility, eight reported either drill results or updated on work in their advanced properties. ON MEXICO ISSUES, according to Miner Deck, one company working in Mexico had the best gold intercept of the week, and five companies in Mexico participated in the best eight silver intercepts. The SGM stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization. Several institutions pointed out that Mexico can be involved in international litigations if proceeds to nullify mining concessions under the reform to the mining law recently approved. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Silver Spruce received results from Diamante. In Durango, Commander Resources informed on drilling by Southern Empire Resources at Pedro. In Chihuahua, Mammoth Resources provide drilling results from Tenoriba. ON MINING, Guanajuato Silver reported 2021 production, Mag Silver, Alamos Gold and Agnico Eagle reported Q1 2022 production results. Gatos Silver temporarily suspended mining operations at Cerro Los Gatos in Chihuahua. ON FINANCING, Sonoro Gold is to raise up to C$3 M. Orla Mining informed on a project finance facility for US$150 M. ON RESOURCES AND DEVELOPMENT, Barksdale Resources released the last results from its drilling campaign at San Javier, in Sonora. Endeavour Silver reported drilling results from its Parral project in Chihuahua. Altaley Mining filed an updated technical report on Tahuehueto, Durango. Sierra Madre Gold and Silver announced results from drilling at the Tepic project, in Nayarit. Chesapeake Gold released results from metallurgical infill holes at Metates, in Durango. SilverCrest Metals updated on construction work at Las Chispas, in Sonora. Discovery Silver updated on work at Cordero, in Chihuahua, GR Silver Mining released high-grade results from drilling at Plomosas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, no relevant news. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUES
According to Miner Deck, one company working in Mexico, Chesapeake Gold, drilled the best gold drilling intercept of the week, with 405 m @ 0.90 gpt Au at Metates, in Durango.
According to Miner Deck, five of the top eight silver intervals were drilled by companies working in Mexico. Gr Silver Mining was first with 24.2 m @ 1,094 gpt Ag at Plomosas, in Sinaloa. Chesapeake Gold was third with 357 m @ 31.6 gpt Ag, at Metates, in Durango. Radius Gold was fifth, with 11.8 m @ 450 gpt Ag at Amalia, in Chihuahua. Endeavour Silver was sixth, with 5.7 m @ 392 gpt Ag at Guanaceví, in Durango. Sierra Madre was eighth, with 3.05 m 625 gpt Ag at Tepic, in Nayarit.
The Servicio Geológico Mexicano (SGM), stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization.
The Cámara de Comercio Internacional argued that if the Mexican government nullifies mining concessions as results of the recently approved reform to the mining law, will be obligated to indemnify investors. This as a result of modifying the regulatory framework, as also pointed the Comisión de Comercio y Políticas de Inversión y el Comité de Arbitraje de Inversión de la International Chamber of Commerce.
ON EXPLORATION
Radius Gold Inc. reported drilling results from El Cuervo target at its Amalia project in Chihuahua. Highlighted core length intercepts comprise 14.60 m @ 117 gpt Ag, 0.92 gpt Au (including 0.9 m @ 1,185 gpt Ag, 6.93 gpt Au); 17.35 m @ 253 gpt Ag, 1.11 gpt Au (Including 7.60 m @ 414 gpt Ag, 2.10 gpt Au); 11.80 m @ 450 gpt Ag, 1.31 gpt Au (including 2.10 m @ 1,577 gpt Ag, 2.27 gpt Au). These holes were drilled from two platforms testing 350 m of strike and 300 m of depth.
Tocvan Ventures Corp. announced results from one more drill hole at its Pilar project in Sonora. Highlighted core length intervals comprise 108.6 m @ 0.8 gpt Au, 3 gpt Ag (including 31.9 m @ 2.4 gpt Au, 2 gpt Ag, which includes 9.4 m @ 7.6 gpt Au, 5 gpt Ag). The drill hole intersected a silicified andesite, including the 9.4 m high-grade breccia zone.
Commander Resources Ltd. informed on work by partner Southern Empire Resources at the Pedro project in Durango. Southern Empire completed six core holes for a total of 856 m. Highlighted core length results comprise 9.26 m @ 0.087 gpt Au; 5.28 m @ 0.151 gpt Au; 19.82 m @ 0.311 gpt Au; 5.26 m @ 0.115 gpt Au; 15.23 m @ 0.577 gpt Au; 5.88 m @ 0.098 gpt Au; 14.75 m @ 0.230 gpt Au. “The Au-As-Sb-Hg-Tl-Te geochemical suite associated with strong orpiment (As S ) and realgar (AsS) mineralization observed in the Pedro drill core is, in part, indicative of Carlin-style gold deposits”.
Mammoth Resources Corp. provided results from three additional diamond drill holes at Tenoriba, in Chihuahua. Highlighted core length intervals comprise 6.0 m @ 0.20 gpt Au, 3 gpt Ag; 15.0 m @ 0.34 gpt Au, 2 gpt Ag; 6.0 m @ 0.59 gpt Au, 3 gpt Ag in one hole on the Moreno zone; 46.5 m @ 0.45 gpt Au, 5 gpt Ag in another hole on the Carneritos zone and 37.5 m @ 0.98 gpt Au, 15 gpt Ag (including 18.0 m @ 1.13 gpt Au, 21 gpt Ag, 0.55% Cu) and 12.0 m @ 0.08 gpt Au, 0.45% Cu in one other hole on the Moreno zone. To date, results for 1,914 m have been released from 13 holes on the current drilling program of 27 holes with 3,240 m drilled. The program has been halted for lack of water for drilling.
ON MINING
Guanajuato Silver Company Ltd. reported selected financial and production results for 2021. Production at El Cubo mine in Guanajuato commenced in October 2021. A total of 89.1 K tonnes were mined from El Cubo and existing stockpiles from El Pinguico, with 77.5 K tonnes milled, recovering 82.6% Ag, 78.8% Au to produce 124,7 K Oz Ag, 1,440 Oz Au at cash cost $20.36 per Oz AgEq mined. By the end of the period the company had $8.23 M in cash and an additional $1.6 M in bullion.
MAG Silver Corp. reported first quarter 2022 production of underground development and stope material at Juanicipio (56% Fresnillo/44% Mag Silver), in Zacatecas. On a 100% basis, 145.5 K tonnes were processed @ 597 gpt Ag, producing 2.4 M Oz Ag, 5,837 Oz Au. MAG Silver attributable production is 1.06 M Oz Ag, 2,568 Oz Au; the associated Pb and Zn production is to be reported with MAG’s first quarter filings.
Gatos Silver Inc. suspended temporarily mine operations at Cerro Los Gatos in Chihuahua. “The Mexican Ministry of Defense (“SEDENA”), who regulates all explosives permits in Mexico, temporarily suspended CLG’s explosive and blasting permit on April 21, 2022, following a blasting incident during underground development activities where two blasts were detonated prematurely”. No personnel were injured and no significant damage to equipment occurred. The company expects the resumption of mining activities next week.
Alamos Gold Inc. reported Q1 2022 financial results, including figures from its Mexican operations. At Mulatos in Sonora, 613.8 K tonnes of ore were mined, 1.97 M tonnes of waste moved, stacking 1.74 M tonnes @ 0.73 gpt Au, for 40,852 Oz Au stacked. During the period 22,500 Oz Au were produced at cash cost $1,570 per Oz Au, and an AISC of $1,782 per Oz Au. “Mulatos produced 22,500 ounces in the first quarter, lower than the prior year period though consistent with first half 2022 guidance of between 45,000 and 50,000 ounces. Initial production from La Yaqui Grande in the third quarter and higher grades from El Salto are expected drive production substantially higher in the second half of the year to between 85,000 and 95,000 ounces”.
Agnico Eagle Mines Ltd. released first quarter 2022 results, including figures from its Mexican operations. At Pinos Altos, in Chihuahua, 384 K tonnes were processed at a rate of 4,267 tonnes per day (tpd), averaging 2.14 gpt Au, to produce 25,170 Oz Au at cash cost $1,078 per Oz Au. At Creston Mascota, residual recovery from the heap leach pad continued, producing 1,006 Oz Au at cash cost $407 per Oz Au with residual leaching to continue throughout the second quarter of 2022. At La India, in Sonora, 1.56 M tonnes were processed at a rate of 17.4 K tpd, averaging 0.57 gpt Au, to produce 21,702 Oz Au at cash cost $820 per Oz Au.
ON FINANCING
Sonoro Gold Corp. is to undertake a non-brokered private placement offering to raise up to C$3 M (Cerro Caliche, Sonora).
Orla Mining Ltd. announced the refinancing of its US$125 M project finance facility with a new US$150 M secured credit facility which includes a US$100 M term facility and a US$50 M revolving facility through the Bank of Nova Scotia, Bank of Montreal, and Canadian Imperial Bank of Commerce (Camino Rojo, Zacatecas).
ON RESOURCES AND DEVELOPMENT
Barksdale Resources Corp. announced additional drill results from its 5,000 m phase I drilling program at the Cerro Verde zone of the San Javier project in Sonora. Highlighted core length intervals in three holes comprise 21 m @ 0.14% Cu, 0.47 gpt Au; 21 m @ 0.61% Cu, 0.28 gpt Au; 6 m @ 0.04% Cu, 1.90 gpt Au; 6 m @ 0.19% Cu, 0.49 gpt Au; 15 m @ 1.48% Cu (including 9 m @ 2.22% Cu); 6 m @ 0.10% Cu, 0.49 gpt Au in one hole; 27 m @ 0.31% Cu; 18 m @ 0.36% Cu; 6 m @ 0.25% Cu; 12 m @ 0.80% Cu; 6 m @ 1.19% Cu; 66 m @ 0.33% Cu in a second hole, 33 m @ 0.29% Cu; 6 m @ 0.25% Cu in the third hole and 15 m @ 0.23% Cu; 3 m @ 0.10% Cu, 0.45 gpt Au; 3 m @ 0.17% Cu, 0.37 gpt Au; 6 m @ 0.29% Cu. “Two additional holes on the western flank of Cerro Verde have intercepted broad zones of mineralization further to the west, while hole SJ21-32 has confirmed copper mineralization in addition to further extending oxide gold”. Next in line is the completion of an initial resource estimate at Cerro Verde and planning of the next exploration phase, which is likely to include targets at La Trinidad and Mesa Grande prospects.
Endeavour Silver Corp. reported results from drilling at its Parral project in Chihuahua. Highlighted true width intercepts comprise 0.98 m @ 169 gpt Ag, 3.9% Pb, 2.3% Zn; 3.24 m @ 194 gpt Ag, 0.1% Pb, 0.2% Zn; 5.91 m @ 218 gpt Ag, 0.6% Pb, 1.1% Zn; 2.31 m @ 314 gpt Ag, 0.7% Pb, 0.3% Zn; 1.92 m @ 203 gpt Ag, 0.2% Pb; 1.13 m @ 439 gpt Ag, 0.23% Cu, 0.6% Pb, 0.1% Zn; 3.27 m @ 392 gpt Ag, 0.6% Pb, 2.1% Zn at Veta Colorada Sierra Plata Deep vein; 1.96 m @ 513 gpt Ag, 0.11% Cu, 2.0% Pb, 1.7% Zn; 4.23 m @ 0.14 gpt Au, 331 gpt Ag, 2.8% Pb, 2.2% Zn; 1.84 m @ 178 gpt Ag, 0.9% Pb, 1.0% Zn; 1.25 m @ 0.14 gpt Au, 310 gpt Ag, 1.8% Pb, 2.0% Zn; 3.49 m @ 395 gpt Ag, 0.14% Cu, 2.8% Pb, 2.7% Zn; 1.17 m @ 289 gpt Ag, 0.12% Cu, 3.0% Pb, 2.6% Zn; 1.18 m @ 191 gpt Ag, 0.8% Pb, 1.6% Zn; 2.48 m @ 0.12 gpt Au, 532 gpt Ag, 0.28% Cu, 3.1% Pb, 3.1% Zn at the Veta Colorada El Verde vein zone, and 2.09 m @ 0.61 gpt Au, 55 gpt Ag, 0.13% Cu, 3.0% Pb, 3.5% Zn; 0.48 m @ 0.49 gpt Au, 75 gpt Ag, 5.8% Pb, 4.7% Zn, at the Veta Colorada-San Joaquín vein. “Veta Colorada (including the Sierra Plata and El Verde mines) was a past producing mining operation owned by Grupo Mexico that closed in 1991 due to low silver prices. Mineralization, which occurs in a major silver vein structure that ranges from 1 to 30 metres thick, was mined seven levels down to 300-metre depths below surface in places and was traced for seven kilometres”.
Altaley Mining Corp. filed an updated technical report, including a preliminary feasibility study (PFS) for its Tahuehueto project in Durango. The previous report released in March 2021 “contained errors related to net smelter return calculations that under-estimated the PFS economics”, the updated disclosure increases “approximately 30% to the overall economics of the project”. The project envisages 1 K tpd operation with a mine life (LOM) of 10.9 years, to process a total of 3.55 M tonnes of ore @ 2.58 gpt Au, 50.5 gpt Ag, 0.3% Cu, 1.1% Pb, 1.9% Zn, with planned recovery of 87% Au, 85% Ag, 85% Cu, 85% Pb, 68% Zn to have a total net smelter return (NSR) of $645.4 M, LOM total capital cost of $56.9 M, an AISC of $855 per Oz AuEq, an EBITDA LOM of 357.7 M and an IRR of 65.5 with a payback period of 2 years. The project estimate of resources stands at 6.26 M tonnes @ 47 gpt Ag, 2.11 gpt Au, 0.27% Cu, 0.9% Pb, 1.98% Zn containing 9.45 M Oz Ag, 425 K Oz Au, 36.6 M Lb Cu, 123.9 M Lb Pb, 273.3 M Lb Zn in measures and indicated resources and 0.92 M tonnes @ 28.5 gpt Ag, 1.02 gpt Au, 0.15% Cu, 1.16% Pb, 1.96% Zn, containing 0.84 M Oz Ag, 30 K Oz Au, 3.K M Lb Cu, 23.6 M Lb Pb, 39.7 M Lb Zn.
Sierra Madre Gold and Silver Ltd. announced results from additional drill holes from the phase 2 program at its Tepic project in Nayarit. Highlighted core length intervals comprise 6.65 m @ 210 gpt Ag, 1.06 gpt Au (including 1.5 m @ 524 gpt Ag, 2.47 gpt Au); 4.5 m @ 264 gpt Ag, 1.85 gpt Au (including 1.5 m @ 740 gpt Ag, 2.37 gpt Au); 3.05 m @ 625 gpt Ag, 1.60 gpt Au; 1.5 m @ 185 gpt Ag, 0.26 gpt Au; 1.5 m @ 110 gpt Ag, 0.23 gpt Au. “Ten of the twelve holes were designed to test up dip or strike extensions of known structures outside of the volumes used in the historical resource estimations”.
Chesapeake Gold Corp. released results for the last 13 PQ size infill core drill holes at its Metates project in Durango. The 2021-2022 infill drill campaign totaled 7,485 m, returning 22% higher grades within intrusive hosted mineralization. Highlighted core-length intervals comprise 357 m @ 0.63 gpt Au, 20.5 gpt Ag; 357 m @ 1.00 gpt Au, 31.6 gpt Ag; 39 m @ 0.28 gpt Au, 30.9 gpt Ag; 118 m @ 1.24 gpt Au, 14.4 gpt Ag; 350 m @ 0.74 gpt Au, 23.2 gpt Ag (including 43 m @ 1.17 gpt Au, 8.6 gpt Ag); 69 m @ 0.50 gpt Au, 16.3 gpt Ag; 45 m @ 1.01 gpt Au, 11.5 gpt Ag; 226 m @ 0.95 gpt Au, 16.2 gpt Ag; 9 m @ 2.20 gpt Au, 6.8 gpt Ag; 405 m @ 0.90 gpt Au, 27.6 gpt Ag; 172 m @ 0.41 gpt Au, 25.4 gpt Ag; 45 m @ 0.82 gpt Au, 56.8 gpt Ag; 63 m @ 0.59 gpt Au, 10.6 gpt Ag; 138 m @ 1.38 gpt Au, 11.1 gpt Ag. “The infill drill holes targeted the intrusive-hosted mineralization and are spaced at approximately 50 metre intervals”.
SilverCrest Metals Inc. updated on construction at Las Chispas project in Sonora. At the end of Q1 construction at Las Chispas was 95.7%, with plant start-up on track for Q2 2022. Capital costs remain on budget, the power line is to be completed in Q2 and energized in Q3 while rental power generators were commissioned and are operational. A total of 19 .5 Km of underground development have been completed, 2.0 km in the last quarter. “The H1, 2022 exploration focus at Las Chispas is to map and sample unexplored areas and generate new drill targets”. At the end of Q1 2022 SilverCrest had cash and cash equivalents of $152 M, and $30 M available on a $120 M financing facility.
Discovery Silver Corp. updated on work at Cordero, in Chihuahua, to the Q4 2021. During the period a PEA on Cordero was completed, outlining a 16-year mine life producing 26 M Oz AgEq per year at an AISC of $12.35 per Oz AgEq. Work for this 2022 includes the pre-feasibility study (PFS), resource expansion and initial drill testing of five targets within the extensive land package owned by Discovery.
GR Silver Mining Ltd. announced results from its surface infill drill program at Plomosas, in Sinaloa. The results are part of the phase 1 program in the Plomosas mine area. Some of the highlighted true width results comprise 0.9 m @ 435 gpt Ag, 1.1% Pb, 5.1% Zn; 0.9 m @ 805 gpt Ag, 4.2% Pb, 5.6% Zn; 4.5 m @ 257 gpt Ag, 0.3% Pb, 0.4% Zn; 9.0 m @ 96 gpt Ag, 0.11 gpt Au, 0.2% Pb, 0.4% Zn; 2.8 m @ 176 gpt Ag, 0.3% Pb, 0.4% Zn; 8.5 m @ 410 gpt Ag, 0.30 gpt Au, 1.0% Pb, 1.0% Zn; 6.9 m @ 1,521 gpt Ag, 1.2% Pb, 1.6% Zn; 30.5 m @ 12 gpt Ag, 0.28 gpt Au, 1.0% Pb, 0.8% Zn; 16.0 m @ 289 gpt Ag, 0.1% Pb, 0.1% Zn; 15.7 m @ 238 gpt Ag, 0.1% Pb, 0.1% Zn; 9.5 m @ 372 gpt Ag, 0.1% Pb, 0.1% Zn.
ON DEALS AND CORPORATE ISSUES
No Relevant News.
ON SOCIAL RESPONSIBILITY
No Relevant News.
On the image below: Quartz-barite-FeOx vein in the Sonoran Desert. Picture by Jorge Cirett.
During the 11th week of the year (March 14th to March 20th, 2022), at least 21 press releases were announced by companies working in Mexico. To note, only three companies posted exploration advances on their properties, four released quarterly and full year 2021 reports, four informed on financing rounds, three on share granting, repurchase or new market trading, two released new resource estimates, three posted drill results on properties with resources and one informed on the repossession of a property and mining concessions. ON MEXICO ISSUES, five of the top ten silver intercepts on the second week of March were obtained by companies working in Mexico. ON EXPLORATION, in Sonora, Rockland Resources recommenced exploration at its Elektra lithium project; Infinitum Copper discovered three new mineralization zones at Adelita. In Zacatecas, Orla Mining is to begin brownfield exploration around Camino Rojo. ON MINING, Avino Silver, Sierra Metals, American Gold and Silver, Orla Mining and Starcore International released quarterly and full year 2021 reports. ON FINANCING, Golden Tag granted stock options to directors, officers employees and consultants. Reyna Gold started trading at the OTCQB Market Exchange in USA. Oroco Resource announced the oversubscription of its previously announced private placement. Silver Tiger closed its financing for gross proceeds of C$23 M. Altaley Mining is to conduct a financing round for up to C$5 M. Minaurum Gold informed on the acquisition of 16% of Infinitum copper shares. First Majestic Silver was approved to extend its share repurchase program to up to 10 M shares. ON RESOURCES AND DEVELOPMENT, GoGold Resources released drilling results from El Favor East, at Los Ricos North in Jalisco. Torex Gold Resources released the 2021 resource estimate (4.47 M Oz Au) for El Limon Guajes Complex in Guerrero. Fortuna Silver Mines updated the resource estimate (46.6 M Oz Ag, 296 K Oz Au) to the end of 2021 on its San José mine in Oaxaca. Vizsla Silver reported results from drilling the Cruz Negra vein at Panuco, in Sinaloa. Mithril Resources provided drilling results from Copalquin, in Durango. ON DEALS AND CORPORATE ISSUES, Galore Resources regained control of the Duraznillo ranch and the mining concessions on its Dos Santos project in Zacatecas. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUES
Of the top ten silver intersects released on the second week of March, five were from companies working in Mexico, according to Miner Deck. Vizsla Silver was first with 9.45 m @ 1,559 gpt Ag at Panuco, in Sinaloa, whilst Magna Gold was second with 55.95 m @ 156 gpt Ag at Margarita, in Chihuahua. Prime Mining, Capitan Mining and Avino Silver were also in the list, with their project in Sinaloa and Durango.
ON EXPLORATION
Rockland Resources Ltd. announced exploration is to initiate at its Elektra project in Sonora. The company is to review the surface and drill information generated in 2017, when 1,762 m were drilled in 16 holes. Best intercepts of that campaign include 33 m @ 1,058 ppm Li and 24 m @ 1,050 ppm Li. The target is a lithium in clays deposit akin to the nearby “Sonora Lithium” property owned by Bacanora Lithium PLC.
Orla Mining Ltd. is to begin exploration in and around its Camino Rojo mine in Zacatecas. The company is planning to invest $10 M in exploration in Mexico during 2022. The current year drilling program is to infill drill the deposit and reduce the spacing to 50-125m in the sulfide zone. Last year program returned up to 108 m @ 2.38 gpt Au; 111 m @ 2.63 gpt Au; 58.5 m @ 2.51 gpt Au; 115.5 m @ 2.11 gpt Au; 64.6 m @ 3.04 gpt Au; 55.5 m @ 4.47 gpt Au; 55.5 m @ 4.95 gpt Au. The 2021 regional exploration program included an airborne magnetic survey, an IP survey, soil sampling and direct exploration under cover with 9,146 m of RAB drilling on 284 holes (holes 500 m apart, with 1,000 m line spacing) to sample the bedrock under shallow cover (up to 3 m @ 1.94 gpt Au, 7 km from Camino Rojo). That effort produced several targets that are to be followed-up this year, while target generation still continues.
Infinitum Copper Corp. announced the discovery of new zones of high-grade copper mineralization on the surface at its Adelita project in Sonora-Sinaloa. Mapping, prospecting and sampling (1,024 channel samples) program identified the Cerro Grande Footwall, Las Trancas and Pericos zones. At Cerro Grande, sampling on a garnet skarn alteration zone returned 7.50 m @ 1.88% Cu, 0.89 gpt Au, 127 gpt Ag, 0.9% Zn. Skarn hosted mineralization is also present at Pericos, estimated at 12 m in width, with results pending. At Las Trancas an oxidized breccia returned 0.5 m @ 3.67% Cu, 1.14 gpt Au, 4.2% Zn, with the structure having been traced for 780 m, and pending results in trench samples. A 14.8 line-km magneto-telluric geophysical survey is to be conducted over the Cerro Grande, Cerro Grande Footwall, Pericos and Las Trancas zones. Drilling is to start in late March.
ON MINING
Avino Silver & Gold Mines Ltd. released financial results for Q4 and year 2021. At Avino, in Durango, in 2021 the company milled 165.3 K tonnes (103.5 K tonnes on Q4, after normalization of operations) to produce 245.4 K Oz Ag, 3,386 Oz Au, 1.87 M Lb Cu (842.4 K Oz AgEq). Over 15,500 m of drilling were completed in 124 holes during the year. In October of 2021 Avino entered into a definitive agreement with Coeur Mining Inc. to acquire the La Preciosa project, close to the Avino mine “for upfront consideration of $29.7 million on closing and $5 million due within 12 months of closing. Further contingent consideration including cash, royalties and a mineral reserve discovery payment. The transaction is expected to close during Q1 2022”. At the year’s end the company held US$22.3 M in cash.
Sierra Metals Inc. reported 2021 financial results and 2022 guidance, without specifying figures of production by mine. At Bolivar, in Chihuahua, cash cost was $2.18 per Lb CuEq and the AISC was $4.22 per Lb CuEq. At Cusi, in Chihuahua, cash cost was $16.71 per Oz AgEq, and the AISC was $28.59. At Bolivar, 13,072 m of drilling were completed, as well as 21,059 m of infill drilling and 4,703 m of brownfield drilling at Cusi. The company held cash and cash equivalents of $34.9 M by the end of the year. “In Q4 2021, the Company announced its increased focus on copper and other steel-making products, including the strategic review process for the silver-producing Cusi Mine in Mexico. As part of this process, the carrying value of Cusi was reviewed. As a result, a non-cash impairment charge of $35 million was recognized for the year”.
Americas Gold and Silver Corp. reported consolidated financial and operational results for the year 2021. At Cosalá, in Sinaloa, re-started operations in September after a long struggle with an illegal blockade “after reaching an agreement with union representatives and certain Mexican government ministries in July 2021…. Production from the San Rafael mine increased during Q4‐2021 as the normal mining cycle was re‐established. The Los Braceros processing plant was fed with a combination of over 20,000 tonnes of existing stockpiled ore and new production from the mine. The milling rate ramped up in tandem with mine production, averaging approximately 1,700 tonnes per day during December 2021 and continuing into 2022”. During the Q4 61 K Oz Ag, 4.2 M Lb Zn, 1.7 M Lb Pb were produced.
Orla Mining Ltd. announced results for the Q4 and year 2021. During its commissioning year, at Camino Rojo in Zacatecas, 2.06 M tonnes were mined, of which 1.71 M tonnes were processed, 349.4 K placed on the low grade stockpile and further 2.05 M tonnes of waste were moved. The stacked ore grade was 0.74 gpt Au, and the gold produced was 2,422 Oz. “Orla continues to evaluate multiple development scenarios on the Camino Rojo Sulphide Project. The development scenarios being considered to potentially form the basis of a Preliminary Economic Assessment (“PEA”) currently include: (1) an underground mining option, (2) an open pit mining option with processing at a to-be-constructed sulphide facility at Camino Rojo, and (3) an open pit mining option with processing at Newmont’s Peñasquito plant. Based on the additional drilling and testwork to date, all development options remain possible”.
Starcore International Mines Ltd. filed the results for the third quarter ended January 2022. At San Martin, in Queretaro, 56.7 K tonnes were milled @ 1.46 gpt Au, 21.2 gpt Ag, recovering 88.1% Au, 45.8% Ag, to produce 2.4 K Oz Au, 17.8 K Oz Ag (2,588 Oz AuEq), at an AISC of $1,623 per Oz AuEq.
ON FINANCING
Silver Bull Resources Inc. granted 3.3 M stock options to various directors, officers, employees and consultants (Sierra Mojada, Coahuila).
Reyna Gold Corp. announced its common shares started trading on the OTCQB Market Exchange in USA (La Gloria, Sonora).
Oroco Resource Corp. announced the over subscription of the previously announced private placement (Santo Tomás, Sinaloa).
Silver Tiger Metals Inc. closed the previously announced bought deal offering of common shares of the company, for gross proceeds of C$23 M (El Tigre, Sonora).
Altaley Mining Corp. intends to conduct a non-brokered private placement financing, to raise gross proceeds of up to C$5 M. The net proceeds will be used for working capital expenses related to the beginning of mining and milling operations at Tahuehueto, in Durango.
Minaurum Gold Inc. informed on the acquisition of 6.1 M shares of Infinitum Copper Corp., which represents 16% of Infinitum (Alamos Silver, Sonora; Adelita, Sonora).
First Majestic Silver Corp. received regulatory consent to extend its share repurchase program, with the ability now to repurchase up to 10 M shares, or 3.8% of the issued and outstanding shares (San Dimas, Sinaloa).
ON RESOURCES AND DEVELOPMENT
GoGold Resources Inc. released results from five drill holes at El Favor East, within Los Ricos North project in Jalisco. Highlighted core length intervals comprise 1.0 m @ 0.15 gpt Au, 73 gpt Ag; 1.2 m @ 0.24 gpt Au, 82 gpt Au; 6.0 m @ 0.18 gpt Au, 100 gpt Ag (including 1.1 m @ 0.09 gpt Au, 210 gpt Ag); 1.2 m @ 0.50 gpt Au, 152 gpt Ag; 1.7 m @ 0.90 gpt Au, 257 gpt Ag; 45.5 m @ 0.52 gpt Au, 97 gpt Ag (including 0.9 m @ 13.05 gpt Au, 716 gpt Ag); 5.0 m @ 0.42 gpt Au, 93 gpt Ag; 7.4 m @ 0.36 gpt Au, 107 gpt Ag.
Torex Gold Resources Inc. reported mineral reserves and resources for the El Limón Guajes Complex in Guerrero, to the end of 2021. Proven and probable reserves of 17.5 M tonnes @ 3.03 gpt Au, containing 1.74 M Oz Au; measured and indicated resources of 21.31 M tonnes @ 3.61 gpt Au containing 2.47 M Oz Au; inferred resources of 2.19 M tonnes @ 3.74 gpt Au containing 264 K Oz Au. During 2021, 529 K Oz Au were processed.
Fortuna Silver Mines Inc. updated mineral reserve and resource estimates for its San José mine in Oaxaca. Proven and probable reserves stand at 6.16 M tonnes @ 131 gpt Ag, 0.67 gpt Au, containing 17.3 M Oz Ag, 113 K Oz Au; measured and indicated resources stand at 940 K tonnes @ 99 gpt Ag, 0.66 gpt Au, containing 3.0 M Oz Ag, 20 K Oz Ag; inferred resources stand at 6.82 M tonnes @ 120 gpt Ag, 0.74 gpt Au, containing 26.3 M Oz Ag, 163 K Oz Au.
Vizsla Silver Corp. reported results from five holes targeting the Cruz Negra vein, at its Panuco project in Sinaloa. Highlighted core-length intervals comprise 0.70 m @ 1,795 gpt Ag, 21.00 gpt Au, 0.2% Pb, 0.5% Zn; 4.45 m @ 34 gpt Ag, 3.26 gpt Au, 0.1% Pb, 1.0% Zn; 1.65 m @ 1,066 gpt Au, 9.85 gpt Au, 0.4% Pb, 0.7% Zn; 3.70 m @ 440 gpt Ag, 3.74 gpt Au, 0.5% Pb, 2.2% Zn; 3.20 m @ 160 gpt Ag, 10.40 gpt Au, 0.5% Pb, 4.3% Zn.
Mithril Resources Ltd. provided drilling results from its Copalquin project in Durango. Highlighted core-length intervals comprise 6.00 m @ 1.84 gpt Au, 23 gpt Ag; 1.00 m @ 1.79 gpt Au, 25 gpt Ag; 1.70 m @ 1.77 gpt Au, 117 gpt Ag; 2.14 m @ 0.89 gpt Au, 64 gpt Ag in one hole, 4.80 m @ 0.91 gpt Au, 57 gpt Ag; 2.30 m @ 1.75 gpt Au, 135 gpt Ag; 0.55 m @ 5.89 gpt Au, 474 gpt Ag in a second hole, 8.10 m @ 1.64 gpt Au, 106 gpt Ag in a third hole. Exploration work has defined over 7 km of veins in the project, with a major target area identified at La Montura, on strike with El Refugio, whereas Los Pinos area displays strong alteration, gold in soils and early stage drilling results of 0.60 m @ 9.91 gpt Au, 161 gpt Ag.
ON DEALS AND CORPORATE ISSUES
Galore Resources Inc. announced that “has legally and safely regained possession and control of the Duraznillo Ranch mining operation” at its Dos Santos project in Zacatecas. In January 2018 Galore entered into a mining exploitation agreement with Urbanizaciones y Acabados, S.A. de C.V., but due to a breach in the agreement Galore asked and had to file a demand to recover the Duraznillo ranch and the mining properties. On March 8, 2022, the ranch and the mining properties were peaceful and smoothly repossessed by Galore
ON SOCIAL RESPONSIBILITY
No Relevant News.
On the image below: Barite-quartz-hematite vein from a project in the Sonoran desert. Picture by Jorge Cirett.
Malachite after chalcopyrite in a hydrothermal breccia.
By Miguel A Heredia
During the 10th week of the year (March 7th to March 13th, 2022), at least 20 press releases were announced by companies working in Mexico, and 3 news published by the media, with nine reporting resources and developments of their properties, four informing on exploration results, four communicating production and financial results, three discussing social issues, two announcing financial issues, and one disclosing deals and corporate issues. ON MEXICO ISSUES, no relevant news. ON EXPLORATION, In Sonora, Silver Spruce filed environmental permits to drill at their the Diamante, Mezquite and Jackie projects. In Durango, Canasil provided a review of the results from its 2020-21 drill program on the Candy Vein at its Nora project and Silver Wolf provided a 2021 year in review and 2022 outlook on its Ana Maria property. ON MINING, Endeavour reported consolidated full year 2021 production and financial results from their mining operations in México. First Majestic announced Q4 and full year 2021 production and financial results from their Mexican mine operations. Gatos Silver presented Q4 and 2021 year-end production and financial results from its 70% owned Cerro Los Gatos operation in Chihuahua, and provided a corporate update. Gold Resource provided Q4 and year-end 2021 production and financial results from its Don David Gold mine in Oaxaca. ON FINANCING, Argonaut sold 9.74M of common shares of Magna Gold for aggregate gross proceeds of CAD $6.82M. Kootenay closed a brokered private placement for gross proceeds of $4.78M and a non-brokered portion of the offering for gross proceeds of approximately $1.47M, for total aggregate gross proceeds to the company of $6.25M (Columba project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Altaley announced positive Pre-Feasibility Study and updated Mineral Resources and Reserves at its Tahuehueto project, Durango. Capitan Mining released results from its ongoing RC drilling program at its Cruz de Plata project (former referred as Peñoles) in Durango. Magna Gold released results from the first 22 of 43 drill holes completed at its Margarita project in Chihuahua. Prime Mining reported results from its ongoing drilling program at its Los Reyes project, Sinaloa. Avino announced drill results from the La Potosina area at its Avino project, Durango. Azucar Minerals reported that it will commence to drill test a new large lithocap alteration at its El Cobre project, Veracruz. Barksdale released results from its phase I, 5,000m drilling program at the Cerro Verde zone on its San Javier project, Sonora. Vizsla reported results from seven new drill holes collared on the Copala and Christiano veins within its Panuco project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Ranchero Gold announced the appointments of two new members to its Board of Directors (Santa Daniela project, Sonora). Fabled announced that it has completed the planning of its phase 2 definition diamond drill program at its Santa Maria project in Chihuahua. ON SOCIAL RESPONSIBILITY, Fresnillo plc reported the return to face-to-face work in the state, and the opening of its outdoor activities. Grupo Mexico, within the framework of the International Mother Language Day, held activities related to the preservation and promotion of indigenous languages in the communities where it has a presence. Media Luna Mining Company (Torex Gold) ratified for the sixth consecutive year the collaboration agreement with fishing cooperatives in the Balsas River Basin in Guerrero.
ON MEXICO ISSUE
No relevant news.
ON EXPLORATION
Silver Spruce Resources Inc., filed environmental permits with the Secretariat of Natural Resources and Environment (SEMARNAT) to drill at their the Diamante, Mezquite and Jackie projects in Sonora. Approvals from SEMARNAT are expected to be obtained by late March, 2022.
Canasil Resources Inc., provided a review of the results from its 2020-21 drill program on the Candy Vein at its Nora project. 13 drill holes were completed for a total of 3,296m to test the Candy vein over a strike distance of 500m and to a vertical depth of 250m below surface. All the holes encountered the mineralized vein with the highest true width x grade value on hole NRE-21-11 with 5.31 g/t Au and 336 g/t Ag (748 g/t AgEq) over a true width (TW) of 11.29m, giving a TW x grade value of 8,445 g/t AgEq x m. The drill results show that the Candy vein hosts consistently high grade gold and silver mineralization over appreciable widths. The Candy vein is known over 3km long but only 500m have been drill tested. Additionally, Canasil reported that systematic grid soil sampling over a 2km east-west and 3km north-south area covering the central zone of the project returned widespread silver, gold, copper, zinc and lead geochemical anomalies. “The gold and silver anomalies are particularly strong over the 3-Km strike extent of the Candy vein structure on the western side of the project area, as well as to the southwest and east of the Candy vein structure. A strong silver and gold anomaly also extends for 1.5 Km southwest from the location of the above high grade drill intercepts on the Candy vein and a breccia target has been identified to the south with potential for hosting bulk tonnage disseminated silver-gold mineralization”.
Silver Wolf Exploration Ltd., provided a 2021 year in review and 2022 outlook on its Ana Maria property in Durango. The accomplished goals on 2021 include the completion of a NI-43-101 compliant technical report on the properties; an Aster satellite imaging survey, an airborne LiDAR and Hyperspectral imaging survey, an Airborne geophysical data survey, the application to expand the land package by 3x, and the completion of the 2021 mapping and sampling program to identify prospective areas and uncover previous historical workings. The company also provided a 2022 outlook that include the completion of the geophysical data interpretation, to define drill targets for the initial drill program, to apply and receive drill permits, to mobilize drilling equipment to execute an initial drill program, and to receive approval from the Mexican authorities on the expanded land application.
ON MINING
Endeavour Silver Corp., reported consolidated full year 2021 production and financial results from their mining operations in México. The company mined 887,424 tonnes to produce 4.87M Oz Ag, and 42.3K Oz Au at a cash cost of USD $9.31 per Oz Ag, a total production cost of USD $14.70 per Oz Ag, and all-in sustaining cost (AISC) of USD $20.34 per Oz Ag. Endeavor sold 3.86 M Oz Ag and 39.1K Oz Au and reported revenues of USD $165.3M, adjust net earnings of USD $(-8.6M), mine operating earnings of USD $36.4M, EBIDTA of USD $54.9M, and working capital of USD $121.2M.
First Majestic Silver Corp., announced Q4 and full year 2021 production and financial results from their Mexican mine operations. The below tables show the figures per separate mine for Q4, and full year 2021.
First Majestic reported consolidated financial results (including Jerritt Canyon mine in USA). It reported revenues of USD $204.9M and USD $584.1M respectively for the periods Q4, and full year 2021; mine operating earnings of USD $40.4M and USD $101.4M respectively; loss earnings of USD $4M and USD $4.9M respectively; operating cash flows before working capital and taxes of USD $71.8M and USD $176.8M respectively; cash and cash equivalents of USD $237.9M in each period; working capital of USD $224.4M in each period; and free cash flow of USD $66.4M and USD ($16.9M) for Q4 and full year 2021 respectively.
Gatos Silver Inc., presented Q4 and 2021 year-end production and financial results from its 70% owned Cerro Los Gatos operation in Chihuahua, and provided a corporate update. On Q4, 2021, the company milled 241,397 tonnes of 331 g/t Ag, 0.3 g/t Au, 2.2% Pb, and 3.9% Zn with metallurgical recoveries of 90%, 63%, 91% and 73% respectively, to produce 2.3M Oz Ag, 1.3K Oz Au, 10.2M Lb Pb, and 12.9M Lb Zn. Average realized price per Oz Ag, Oz Au, Lb Pb, and Lb Zn were USD $23.08, USD $1,804, USD $1.04, and USD $1.58 respectively. For the full year, Gatos milled 909,886 tonnes of 295 g/t Ag, 0.32 g/t Au, 2.3% Pb, and 3.9% Zn with metallurgical recoveries of 88%, 63%, 90% and 73% respectively, to produce 7.6M Oz Ag, 5.2K Oz Au, 39.8M Lb Pb, and 49.6M Lb Zn. Average realized price per Oz Ag, Oz Au, Lb Pb, and Lb Zn were USD $24.51, USD $1,804, USD $0.99, and USD $1.36 respectively. The company reported exploration expenses, operating costs and sales for the period Q4, 2021 of USD $0.3 , USD $3.8M, and USD &72.9M respectively, while for the full year 2021 of USD $1.7, USD $19.3M, and USD $251.2M respectively. Gatos provided its 2022 guidance and expects to produce between 8.5- 9M Oz Ag, 4-4.5K Oz Au, 36-40M Lb Pb, and 49-54M Lb Zn at AISC of USD $16.5-18.5 per payable silver on Co-product basis and USD $13-15 per payable silver on by-product basis.
Gold Resource Corporation provided Q4 and year-end 2021 production and financial results from its Don David Gold mine in Oaxaca. On Q4, 2021 the company milled 135,398 tonnes of 1.93 g/t Au, 82 g/t Ag, 0.38% Cu, 2.2% Pb, and 4.8% Zn to produce 1.8K Oz Au, 287.8K Oz Ag, 907.2K Lb Cu, 4.6M Lb Pb, and 9.33M Lb Zn at average metal prices realized of USD $1,811 per Oz Au, USD $23.51 per Oz Ag, USD $9,768 per tonne of Cu, usd $2,339 per tonne of Pb, and USD $3,446 per tonne of Zn. On the full year 2021, Gatos milled 501,978 tonnes of 2.01 g/t Au, 80 g/t Ag, 0.39% Cu, 1.9% Pb, and 4.4% Zn to produce 22.6K Oz Au, 1.06M Oz Ag, 3.18M Lb Cu, 13-4M Lb Pb, and 30.3M Lb Zn at average metal prices realized of USD $1,796 per Oz Au, USD $25.06 per Oz Ag, USD $9,553 per tonne of Cu, USD $2,268 per tonne of Pb, and USD $3,091 per tonne of Zn. On Q4, 2021, the company reported sales for USD $38.6M, EBIDTA of USD $10.3M, and operating cost of USD $12.9M, while on the full year 2021 it reported USD $125.2M, USD $33.64M, and USD $34.78M respectively.
ON FINANCING
Argonaut Gold Inc., sold 9.74M of common shares of Magna Gold at a price of CAD $0.70 per common share for aggregate gross proceeds of CAD $6.82M.
Kootenay Silver Inc., closed a brokered private placement for gross proceeds of $4.78M and a non-brokered portion of the offering for gross proceeds of approximately $1.47M, for total aggregate gross proceeds to the company of $6.25M. Gross proceeds will be used for exploration activities, working capital and other general corporate purposes (Columba project, Chihuahua).
ON RESOURCES AND DEVELOPMENT
Altaley Mining Corporation announced positive Pre-Feasibility Study (PFS) and updated Mineral Resources and Reserves at its Tahuehueto project, Durango. Highlights of the PFS include a throughput of 1,000 tonnes per day; a mine life of 10.9 years; a pre-tax net cash flow of USD $240.9M; a total capital cost of USD $56.9M; an all in sustaining cost (AISC) of USD $844 per Oz AuEq; a pre-tax Net Present Value (VNP) of USD $152.8M at 5% discount rate; an EBIDTA of USD $246.1M, and an internal rate of return (IRR) of 45%. The company also updated Mineral Resources and Reserves. It reported Proven+ Probable Reserves of 3.58M tonnes grading 2.55 g/t Au, 50 g/t Ag, 0.26% Cu, 1.1% Pb, and 1.9% Zn with metallurgical recoveries of 87%, 85%, 85%, 85% and 68& respectively to contain 294K Oz Au, 5.7M Oz Ag, 20.55M Lb Cu, 87.36M Lb Pb, and 151.6M Lb Zn. Altaley also reported Measured +Indicated Resources of 6.26M tonnes grading 2.11 g/t Au, 47 g/t Ag, 0.27% Cu, 0.9% Pb, and 2% Zn (4.47 g/t AuEq) to contain 415K Oz Au, 9.4M Oz Ag, 36.6M Lb Cu, 123.9M Lb Pb, and 273.3M Lb Zn (900K Oz AuEq); and Indicated Resources of 918K tonnes grading 1.02 g/t Au, 29 g/t Ag, 0.15% Cu, 1.2% Pb, and 2% Zn (3.05 g/t AuEq) to contain 30K Oz Au, 840K Oz Ag, 3M Lb Cu, 23.5M Lb Pb, and 39.7M Lb Zn (90K Oz AuEq).
Capitan Mining Inc., released results from its ongoing RC drilling program at its Cruz de Plata project (former referred as Peñoles) in Durango. Hole 21-JMRC03 drilled on Jesus Maria Vein system returned 0.37 g/t Au, 177 g/t Ag, 3.2% Pb, and 3.6% Zn (435 g/t AgEq) over 10.7m, including 0.71 g/t Au, 290 g/t Ag, 6.8% Pb, 6.6% Zn (798 g/t AgEq) over 11.5m, including 0.45 g/t Au, 258 g/t Ag, 4.7% Pb, and 5% Zn (620 g/t AgEq) over 1.5m, including 0.27 g/t Au, 370 g/t Ag, 5.6% Pb, and 8% Zn (860 g/t AgEq) over 1.5m, including 0.55 g/t Au, 122 g/t Ag, 2.6% Pb, and 3% Zn (358 g/t AgEq) over 1.5m, including 0.51 g/t Au, 281 g/t Ag, 5.9% Pb, and 3.8% Zn (641 g/t AgEq) over 1.5m. Assays are still pending for 11 RC holes out of 15 completed.
Magna Gold Corp., released results from the first 22 of 43 drill holes completed at its Margarita project in Chihuahua. Drill highlights include hole MAR-21-002 with 139 g/t Ag, 0.1% Pb and 0.6% Zn over 46.8m, including 801 g/t Ag, 0.5% Pb, and 0.8% Zn over 2.85m; hole MAR-21-004 with 113 g/t Ag, 0.03% Pb, and 0.1% Zn over 32.55m, including 300 g/t Ag, 0.6% Pb, and 0.2% Zn over 6m; hole MAR-21-005 with 133 g/t Ag, 0.05% Pb and 0.2% Zn over 39.5m, including 540 g/t Ag, 0.01% Pb, and 0.4% Zn over 1.85m, and 301 g/t Ag, 0.06% Pb, and 0.1% Zn over 5.1m; hole MAR-21-016 with 157 g/t Ag, 0.5% Pb, and 1.1% Zn over 29.5m, including 0.31 g/t Au, 821 g/t Ag, 2.4% Pb, and 5.6% Zn over 3.9m; hole MAR-21-020 with 156 g/t Ag, 0.1% Pb, and 0.5% Zn over 55.95m, including 498 g/t Ag, 0.4% Pb, and 1.6% Zn over 12.8m;and hole MAR-21-022 with 127 g/t Ag, 0.1% Pb, and 0.3% Zn over 19.2m, including 0.3 g/t Au, 567 g/t Ag, 0.4% Pb, and 1.4% Zn over 3.55m, and 110 g/t Ag, 0.4% Pb, and 0.6% Zn over 16.55m, including 0.18 g/t Au, 440 g/t Ag, 1.6% Pb, and 1.8% Zn over 3m. Magna plans to release a maiden resource toward the end of the Q1, 2022. This resource estimate will lead to the completion of the first ever preliminary economic assessment (PEA) shortly thereafter.
Prime Mining Corp., reported results from its ongoing drilling program at Guadalupe East on its Los Reyes project, Sinaloa. Hole 22GE-33 intersected multiple mineralized intervals. This hole intersected 11.60 g/t Au and 219 g/t Ag over a true width (TW) of 1.20m, then a 3.7m stope, to continue with 3.33 g/t Au and 115 g/t Ag over a TW of 29.29m, including 2.68 g/t Au, and 93 g/t Ag over a TW of 6.10m, and including 6.57 g/t Au and 137 g/t Ag over a TW of 9m, including 30.9 g/t Au and 605 g/t Ag over a TW of 1.20m, and including 3.67 g/t Au and 204 g/t Ag over a TW of 10.40m, including 8.39 g/t Au and 321 g/t Ag over a TW of 2.10m. This hole is located on the west side of the Guadalupe East conceptual open pit. There are currently 15 pending drill holes at Guadalupe East out of a total of 49 completed.
Avino Silver & Gold Mines Ltd., announced drill results from its 2,400m drilling program conducted in 2021 on the La Potosina area at its Avino project, Durango. Highlights include hole LP-21-06 with 0.09 g/t Au, 270 g/t Ag, 0.25% Cu, 0.9% Pb, and 2.5% Zn (463 g/t AgEq) over a true width (TW) of 1.7m, including 0.09 g/t Au, 1,257 g/t Ag, 0.48% Cu, 2.8% Pb, and 4.4% Zn (1,641 g/t AgEq) over a TW of 0.20m, including 0.08 g/t Au, 510 g/t Ag, 0.6% Cu, 2.2% Pb, and 5% Zn (918 g/t AgEq) over a TW of 0.35m, including 0.07 g/t Au, 406 g/t Ag, 0.44% Cu, 1.3% Pb, and 4.2% Zn (717 g/t AgEq) over a TW of 0.45m; and hole LP-21-007 with 0.4 g/t Au, 617 g/t Ag, 0.1% Pb, and 0.2% Zn (668 g/t AgEq) over a TW of 2.87m. On 2022, Avino plans include an additional 40 holes with 6,000m of drilling to test the continuity of the vein at elevations above 2,100m while looking for favorable dilation structures in the northwest.
Azucar Minerals Ltd., reported that it will commence to drill test a new large lithocap alteration at its El Cobre project, Veracruz. A mineral mapping study conducted on this area defined a strong alteration signature interpreted to reflect the surface zoning of an underlying porphyry body.
Barksdale Resources Corp., released results from its phase I, 5,000m drilling program at the Cerro Verde zone on its San Javier project, Sonora. Drilling highlights include hole SJ21-31 with 0.05% Cu and 1.11 g/t Au over 36m, including 0.03% Cu and 1.71 g/t Au over 15m, and 0.06% Cu and 1.89 g/t Au over 3m, plus 0.54% Cu over 48m, including 1.35% Cu over 6m; and hole SJ21-35 with 0.24% Cu over 6m, plus 0.22% Cu over 12m, plus 0.35% Cu over 15m. Drilling results confirmed and expanded the footprint of the Cerro Verde Zone.
Fabled Silver Gold Corp., announced that it has completed the planning of its phase 2 definition diamond drill program at its Santa Maria project in Chihuahua as well as a plan to drill test other structures in the property. This second phase will consist of a minimum of 5,000m for definition drilling, and drill test possible structural dilation zones on the Northeast and secondary mineralized structures, identified after performing a property wide mapping & sampling as well as an structural interpretation. “Once the field work and observations have been completed the phase 2 exploration first priority drill targets will be defined in the coming weeks”.
Vizsla Silver Corp., reported results from seven new drill holes collared on the Copala and Christiano veins within its Panuco project in Sinaloa. Drill highlights include hole CS-21-116 with 97 g/t Ag and 0.55 g/t Au (141 g/t AgEq) over a true width (TW) of 2.4m, and 1,559 g/t Ag and 7.29 g/t Au (2,142 g/t AgEq) over a TW of 7.81m, including 2,728 g/t Ag and 13.10 g/t Au (3,775 g/t AgEq) over a TW of 2.60m, and 1,531 g/t Ag and 6.94 g/t Au (2,086 g/t AgEq) over a TW of 3.14m; hole CS-21-123 with 248 g/t Ag and 2.03 g/t Au (410 g/t AgEq) over a TW of 14.45m, including 1,237 g/t Ag and 10.53 g/t Au (2,078 g/t AgEq) over a TW of 2.09m, and including 197 g/t Ag and 1.45 g/t Au (312 g/t AgEq) over a TW of 2.68m; hole CS-21-115 with 1,900 g/t Ag and 11.09 g/t Au (2,787 g/t AgEq) over a TW of 1.21m; and hole CS-21-112 with 682 g/t Ag and 5.51 g/t Au (1,122 g/t AgEq) over a TW of 1.73m, including 973 g/t Ag and 7.97 g/t Au (1,610 g/t AgEq) over a TW of 1.1m. The Copala Vein has now been tested with 17 holes with mineralization open in all directions.
ON DEALS AND CORPORATE ISSUES
Ranchero Gold Corp., announced the appointments of two new members to its Board of Directors, and the addition of Ken Balleweg to its Technical Advisory team (Santa Daniela project, Sonora).
ON SOCIAL RESPONSIBILITY
Fresnillo plc reported the return to face-to-face work in the state, and the opening of its outdoor activities, taking into account the hygiene and healthy distance measures promoted by the health authorities, as well as the presentation of the vaccination certificate for access the corresponding facilities. For Fresnillo plc, physical activation represents one of the stronger pillars for the people development.
Grupo Mexico, within the framework of the International Mother Language Day, held activities related to the preservation and promotion of indigenous languages in the communities where it has a presence.
Media Luna Mining Company (Torex Gold) ratified for the sixth consecutive year the collaboration agreement with fishing cooperatives in the Balsas River Basin in Guerrero. F is the second most important economic activity in the mining corridor, so the commitment is to help to consolidate economic activities in the communities.
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On the picture above, malachite after chalcopyrite in a hydrothermal breccia from an intermediate sulphidation epithermal vein system in Durango, Mexico. Photo by Miguel A Heredia.
During the 4th week of the year (January 24th to January 30th, 2022), at least 25 press releases were announced by companies working in Mexico, and 6 news published by the media, with ten informing on exploration results, nine reporting resources and developments of their properties, five communicating production results, four discussing social issues, two commenting on Mexican issues, and one disclosing deals and corporate issues. ON MEXICO ISSUES, Americas Gold hosted an official opening ceremony at its Cosalá operation in Sinaloa. Pablo Méndez Alvídrez, president of the Mining Cluster of Chihuahua stated that this sector is a mainstay of economic development since it represents 4% of the State gross domestic public (GDP). ON EXPLORATION, In Sonora, Silver Spruce announced that it has initiated an environmental report for a drill permit at its Diamante project and reported high grade results from historical sampling, Aztec–Kootenay JV completed first 14 holes totaling 2,810.6m of the current 5,000m, 22-hole Phase 2 RC drill program at the Cervantes property, Ranchero Gold released results from its ongoing drilling program at its Santa Daniela project, Orogen provided an update of the drilling exploration program funded by Hochschild on its Sarape project, and announced the termination of the option agreement by Hochschild, Tarachi Gold provided an overview of the exploration activities carried out in 2021 at its Jabali and San Javier mining concessions, and Colibri announced it has resumed the drilling program at its flagship Evelyn project. In Chihuahua, Golden Minerals released results from 5 holes drilled at its Yoquivo project. In Durango, Southern Empire started a drill program at its San Pedro project, Silverton announced that it completed a geophysical 3D modeling of airborne electromagnetic data and the commencement of a seismic survey at its Pluton project, and Canasil announced results of three holes drilled at its Nora project. ON MINING, Altaley reported Q4 2021 production and financial results from its Campo Morado mine in Guerrero. Equinox Gold provided 2022 production and cost guidance for its Los Filos mine in Guerrero. Sierra Metals announced Q4 and full year 2021 production results from their Bolivar and Cusi mines in Chihuahua. MAG Silver reported Q4 and full year 2021 production results from its Juanicipio project in Zacatecas. Magna Gold announced Q4 and full year 2021 production results from its San Francisco Mine in Sonora. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, Capitan Mining reported results from its RC drilling program as well as from chip sampling on the Jesus Maria Silver deposit at its Peñoles project in Durango. Silver Tiger released results from its ongoing drilling program on the Sooy Vein at its El Tigre project, Sonora. SilverCrest provided an update on the construction of its Las Chispas mine in Sonora. GoGold released high grade results from nine holes collared at Mololoa-Tamara area within its Los Ricos North project in Jalisco. Southern Silver announced a new high grade mineral discovery on the El Sol concession at its Cerro Las Minitas project, Durango. Gatos Silver provided an update on the resource and reserve estimation process following recent reconciliation work at its Cerro Los Gatos, Chihuahua, and provided 2022 production and cost guidance. Vizsla provided a 2021 year end summary of its activities at its flagship Panuco project in Sinaloa. Tarachi Gold made significant progress in developing its Magistral tailing project in Durango towards a production decision. Mithril provided a Q4, 2021 on activities at its Copalquin project, Durango. ON DEALS AND CORPORATE ISSUES, Bear Creek provided an update of the acquisition from Equinox of Mercedes mine, Sonora. ON SOCIAL RESPONSIBILITY, Minera Penmont (Fresnillo plc) carried out in collaboration with the Urban Development and Ecology area of the Caborca City Council, the first Reforestation Day 2022. Four educational institutions that Grupo México supports in the Mexican Republic have obtained results above the national average in the most recent evaluations carried out by the Ministry of Public Education. Minera Media Luna (Torex Gold) invested over MXP $7M in seven public works in four communities. Minera San Xavier S.A de C.V. informed that, as of January 2022, it has made significant progress in the execution of its biophysical and social Closure Plan, which has been Responsible, Inclusive and Participatory.
ON MEXICO ISSUE
Americas Gold and Silver Corporation hosted an official opening ceremony at its Cosalá operation in Sinaloa with the participation of the Mexican Minister of Economy, the Governor of Sinaloa State, The Cosala Major, and the CEO of the company. All of them pointed the importance of the mine to the local community, the Sinaloa State and the country. All three government representatives thanked to the company for its perseverance during the illegal blockade and the commitment of capital to re-open the mine.
Pablo Méndez Alvídrez, president of the Mining Cluster of Chihuahua stated that this sector is a mainstay of economic development since it represents 4% of the State gross domestic public and has generated more than 20,000 direct jobs and more than 102,000 indirect jobs, which is a great contribution to the state.
ON EXPLORATION
Silver Spruce Resources Inc., announced that it has initiated an environmental report for a drill permit on its Diamante project and reported high grade results from historical sampling. The environmental report will be filed to SEMARNAT once it is completed and is expected within four to six weeks of submission. The company identified historical reports with maps, field sections and assays for 77 previously unreleased samples with precious and base metal values reporting up to 25.69 g/t Au, 1,360 g/t Ag, 18 % Pb, 33 % Zn and 1.47% Cu.
Aztec Minerals Corp.-Kootenay Silver Inc. JV completed first 14 holes totaling 2,810.6m of the current 5,000m, 22-hole Phase 2 RC drill program at the Cervantes property in Sonora. Samples have been submitted to the lab for analysis and results are expected to arrive in the next several weeks. Meanwhile, the company will continue the surface sampling and mapping on the property to continue the 2021 Phase 1 surface program.
Ranchero Gold Corp. released results from its ongoing drilling program at its Santa Daniela project in Sonora. Hole MA-21-013 intersected 1.11 g/t Au over 13.15m, and hole MA-21-14 intersected 1.18 g/t Au over 21.15m on La Colmena target. The company announced that further sampling was required both above and below the interval sampled in both holes, and results will be released shortly.
Orogen Royalties Inc., provided an update of the drilling exploration program funded by Hochschild Mining Plc., on its Sarape project in Sonora. Hochschild funded a 3,163 m drill program with eight holes testing the quartz-carbonate Sarape Vein. All holes intercepted weakly anomalous gold and silver, except hole SAR-21-12 which intersected 3.76 g/t Au and 15 g/t Ag over 2.4m, including 9.5 g/t Au and 29 g/t Ag over 0.7m. Hochschild terminated the option agreement and Orogen is seeking a new exploration partner for the project.
Tarachi Gold Corp., provided an overview of the exploration activities carried out in 2021 at its Jabali and San Javier mining concessions. At the Jabali concession, a Phase 2 underground drilling program at the La Dura mine returned the company´s best drill intersections to date in hole JAB-219-009 with 6.91 g/t Au over 63.4m, including 17.42 g/t Au over 9.3m and 17.37 g/t Au over 13.9m; and hole JAB-21-010 with 1.7 g/t Au over 42m, including 8 g/t Au over 3.4m. In addition, the company completed a short RC surface drilling program with hole JAB-21-14 returning 7.26 g/t Au over 12m. At the San Javier concession, a surface diamond drilling program encountered a mineralized breccia system in several holes. Hole SJA-20-005 intersected 11.9 g/t Au over 2m; hole SJA-20-006 encountered 5.39 g/t Au over 5.6m; and hole SJA-21-014 intersected 0.45 g/t Au over 52m, including 4.11 g/t Au over 1.5m. Tarachi also informed that “plans are underway to conduct field work in 2022 on some of the other concessions in Sonora including La Texana. The goal of the field program will be to identify potential drill targets for later in the year”.
Colibri Resource Corporation announced it has resumed the drilling program at its flagship Evelyn project in Sonora. The company will continue with its 10,000m RC drill program of which 3,122m have been completed in 22 holes before pausing for the holiday season on December 18, 2021. “The Company is planning on completing the 10,000 metres of RC drilling on the Evelyn property in two phases. Phase 1 which is now resuming is aimed at evaluating areas of anomalous and higher-grade Au assay results from surface and trench exposures coincident with magnetic gradients and lineaments and with structures identified through geological mapping. Phase 2 drilling will be planned to follow up positive results from Phase 1 as well as test numerous targets including chargeability anomalies derived from the Induced Polarization (“IP”) survey completed in 2021, targets derived from interpretation of the drone-borne magnetic survey completed in 2020, and targets derived from the on-going property wide geological/structural interpretation”.
Golden Minerals Company released results from 5 holes drilled of a 21 holes second phase drill program recently completed on the Pertenencia Vein at its Yoquivo project in Chihuahua. Highlights include hole YQ-021-002 with 0.51 g/t Au and 706 g/t Ag over 2.4m, plus 0.16 g/t Au, and 91 g/t Ag over 8.5m, including 0.18 g/t Au and 116 g/t Ag over 2.4m, including 0.67 g/t Au and 309 g/t Ag over 0.4m; hole YQ-021-004 with 4.02 g/t Au and 1,473 g/t Ag over 1.5m, plus 0.33 g/t Au and 110 g/t Ag over 1.6m, including 0.92 g/t Au and 313 g/t Ag over 0.3m, plus 0.49 g/t Au and 158 g/t Ag over 3.5m, including 1.67 g/t Au and 578 g/t Ag over 0.3m, plus 1.03 g/t Au and 267 g/t Ag over 2.4m, including 5.15 g/t Au and 1,320 g/t Ag over 0.4m, plus 0.04 g/t Au and 179 g/t Ag over .5m, including 0.11 g/t Au and 904 g/t Ag over 0.5m. The company is currently awaiting additional assay results that it expects to report in the coming months.
Southern Empire Resources Corp., started its first core drilling program at its San Pedro project in Durango. The drilling program will test the West Zone where sampling on a NW linear trending heterolithic breccia up to 300m in length returned Au values between 0.33 g/t Au and 2.2 g/t Au. This breccia is coincident with IP chargeability and resistivity geophysical anomalies. The drilling program will consist of 2,000 in 6 to 9 holes.
Silverton Metals Corp., completed a 3D modelling of airborne electromagnetic data (ZTEM) and the commencement of a seismic survey at its Pluton project in Durango. The company announced that the ZTEM processing and 3D modelling was successful in identifying significant anomalies potentially related to mineralization. These are coincident to six targets previously identified. In addition, “to supplement the ZTEM, the company has commenced work on a seismic line survey to better understand the sedimentary units and identify the contact between the overlying clastic rocks and the limestones which have the potential to host manto and chimney Carbonate Replacement Deposits”.
Canasil Resources Inc., announced results of three holes drilled on the Candy vein at its Nora project in Durango. Hole NRC-21-13 intersected 2.96 g/t Au, 241 g/t Ag, 0.15% Cu, 0.02% Pb, and 0.2% Zn (489 g/t AgEq) over a true width (TW) of 3.46m, including 5.49 g/t Au, 432 g/t Ag, 0.15% Cu, 0.01% Pb, and 0.2% Zn (876 g/t AgEq) over a TW of 1.69m, including 9.69 g/t Au, 530 g/t Ag, 0.33% Cu, 0.02% Pb, and 0.2% Zn (1,323 g/t AgEq) over a TW of 0.32m, plus 8,83 g/t Au, 706 g/t Ag, 0.17% Cu, 0.02% Pb, and 0.2% Zn (1,411 g/t AgEq) over a TW of 0.55m, and plus 2.12 g/t Au, 199 g/t Ag, 0.01% Pb, and 0.01% Zn (363 g/t AgEq) over a TW of 0.91m; hole NRC-21-14 intersected 2.13 g/t Au, 164 g/t Ag, 0.09% Cu, 0.1% Pb, and 0.1% Zn (340 g/t AgEq) over a TW of 1.43m, including 2.14 g/t Au, 207 g/t Ag, 0.06% Cu, 0.04% Pb, and 0.1% Zn (381 g/t AgEq) over a TW of 0.85m, plus 1.4 g/t Au, 181 g/t Ag, 0.01% Cu, 0.03% Pb, and 0.1% Zn (290 g/t AgEq) over a TW of 0.67m; and hole NCR-21-15 encountered 2.21 g/t Au, 211 g/t Ag, 0.06% Cu, 0.03% Pb, and 0.2% Zn (390 g/t AgEq) over a TW of 1.54m, including 2.34 g/t Au, 213 g/t Ag, 0.02% Cu, 0.03% Pb, and 0.2% Zn (394 g/t AgEq) over a TW of 0.75m, plus 2.73 g/t Au, 84 g/t Ag, 0.04% Pb, and 0.1% Zn (296 g/t AgEq) over a TW of 0.45m.” The Candy vein structure remains open in both directions along strike and to depth for continued drill testing, and the low base metal values in these drill intercepts suggest drilling to date is still in the higher levels of the system”.
ON MINING
Altaley Mining Corporation reported Q4 2021 production and financial results from its Campo Morado mine, Guerrero. The company milled 183.1K tonnes of 1 g/t Au, 118 g/t Ag, 1.1% Pb, and 4.3% Zn with metallurgical recoveries of 21%, 47%, 30%, and 71% respectively, to produce 12.2K tonnes of Zn concentrate and 2.7K tonnes of lead concentrate, at cash and AISC of $0.88 and USD $1.06 per Lb Zn respectively. The company reported revenue of CAD $17.07M from Zn concentrate and CAD $2.9M from Pb concentrate for total revenue of CAD $19.98M.
Equinox Gold Corp., provided 2022 production and cost guidance for its Los Filos mine in Guerrero. The production for 2022 is estimated at 160K-180K Oz Au at cash of USD $1,400 to 1,475 per Oz Au, with AISC of USD $1,625 to 1,750 per Oz Au. Equinox will invest USD $38M of sustaining capital and USD $62M of non-sustaining capital.
Sierra Metals Inc., announced Q4 and full year 2021 production results from their Bolivar and Cusi mines in Chihuahua. At Bolivar mine, during Q4, 2021, the company processed 227, 722 tonnes of 0.55% Cu, 9 g/t Ag and 0.11 g/t Au with metallurgical recoveries of 80.79%, 82.34%, and 78.32% respectively to produce 2.23M Lb Cu, 57K Oz Ag, and 634 Oz Au (2.8M Lb CuEq). For the full year 2021, the company processed 1,349,602 tonnes of 0.72% Cu, 15 g/t Ag, and 0.16 g/t Au with metallurgical recoveries of 79.28%, 81.95%, and 68.88% respectively, to produce 24.5M Lb Cu, 551K Oz Ag, and 4,751 Oz Au (35.8M Lb CuEq). At Cusi mine, during Q4, 2021, Sierra Metals processed 84,804 tonnes of 179 g/t Ag, 0.21 g/t Au and 0.4% Pb with metallurgical recoveries of 85.52%, 47.29%, and 80.69% respectively to produce 417K Oz Ag, 272 Oz Au and 581K Lb Pb (465K Oz AgEq). For the full year 2021, the company processed 295,771 tonnes of 160 g/t Ag, 0.18 g/t Au and 0.3% Pb with metallurgical recoveries of 82.98%, 45.05%, and 81.78% respectively to produce 1.26M Oz Ag, 762 Oz Au and 1.7M Lb Pb (1.38M Oz AgEq).
MAG Silver Corp., reported Q4 and full year 2021 production results from its Juanicipio project in Zacatecas. This project is a JV between Fresnillo plc and MAG Silver and reported that during Q4, 2021, 113,950 tonnes of mineralized material were processed to produce 1.6M Oz Ag and 9,385 Oz Au, of which 44% are attributable to MAG Silver (718K Oz Ag and 1,754 Oz Au). For the full year 2021, 251,907 tonnes were processed to produce 3.2M Oz Ag and 6,577 Oz Au, of which 44% are attributable to MAG Silver (1.4M Oz Ag and 2,894 Oz Au).
Magna Gold Corp., announced Q4 and full year 2021 production results from its San Francisco Mine in Sonora. During Q4, the company mined 1,456,000 tonnes of 0.44 g/t Au and processed 1,688,000 tonnes of 0.41 g/t Au, to produce 15.5K Oz Au and 5,712 Oz Ag at a cash cost of USD $1,123 per Oz Au. The company sold 16,305 Oz Au and 6,177 Oz Ag. The company reported that 57K Oz Au were produced in the full year 2021 at a cash cost of USD $1,299 per Oz Au. Magna Gold also provided a 2022 production guidance and estimates to produce 65K-71K Oz Au at a cash cost of USD $1250-USD $1,350 per Oz Au.
ON FINANCING
No relevant news.
ON RESOURCES AND DEVELOPMENT
Capitan Mining Inc., reported results from its RC drilling program on its Capitan project, as well as from chip sampling on the Jesus Maria Silver deposit at its Peñoles project in Durango. Hole 21-CARC-29 encountered a broad mineralized intersection on Capitan structure of 0.34 g/t Au and 2 g/t Ag (0.34 g/t AuEq) over 195.1m, including 0.35 g/t Au and 1 g/t Ag (0.37 g/t AuEq) over 149.4m, including 0.61 g/t Au and 2 g/t Ag (0.63 g/t AuEq) over 38.1m, including 0.92 g/t Au and 2 g/t Ag (0.95 g/t AuEq) over 100.7m, plus a 3m wide intersection of the Jesus Maria Vein which returned 0.26 g/t Au and 103 g/t Ag, 0.1% Pb, and 0.49% Zn. The mineralized intersection of Jesus Maria vein is significant as it represents a 350m step out down-dip, and to the south of the previous drill-defined extent of the Jesus Maria Silver Deposit. Capitan Mining also reported results from chip sampling conducted on outcrops north of the Jesus Maria Silver Deposit with values up to 410 g/t Ag, 0.9 g/t Au, 1.7% Pb, and 0.7% Zn over 0.6m. Trenching along the new Gully Fault target, between the Capitan Gold Deposit and the Jesus Maria Silver Deposit, has identified a wide zone of mineralization up to 54m wide with 0.14 g/t Au.
Silver Tiger Metals Inc., released results from its ongoing drilling program on the Sooy Vein at its El Tigre project, Sonora. Significant mineral intersections were encountered in hole ET-21-287 with 0.74 g/t Au, 60 g/t Ag, 0.01% Cu, 0.03% Pb, and 0.03% Zn (117 g/t AgEq) over 12.4m, including 5.99 g/t Au, 174 g/t Ag, 0.01% Cu, and 0.06% Pb (625 g/t AgEq) over 1.5m, plus 0.06 g/t Au, 273 g/t Ag, 0.21% Cu, 0.7% Pb, and 1% Zn ( g/t AgEq) over 6.6m, including 0.03 g/t Au, 2,393 g/t Ag, 1.81% Cu, 7.5% Pb, and 10% Zn (3,083 g/t AgEq) over 0.5m; and hole ET-21-263 with 0.09 g/t Au, 247 g/t Ag, 0.12% Cu, 0.6% Pb, and 1% Zn (314 g/t AgEq) over 3.1m, including 0.15 g/t Au, 421 g/t Ag, 0.18% Cu, 0.7% Pb, and 2.9% Zn (567 g/t AgEq) over 1m, plus 0.21 g/t Au, 180 g/t Ag, 0.13% Cu, 0.6% Pb, and 0.6% Zn (242 g/t AgEq) over 22.6m, including 1.05 g/t Au, 702g/t Ag, 0.54% Cu, 1.8% Pb, and 1.9% Zn (940 g/t AgEq) over 3m, including 0.06 g/t Au, 740 g/t Ag, 0.56% Cu, 0.3% Pb, and 0.6% Zn (826 g/t AgEq) over 1.5m.
SilverCrest Metals Inc., provided an update on the construction of its Las Chispas mine in Sonora. Construction progress was 86.2% complete. During 2021, the company committed 75.2% ($103.6M) of the $137.7M Feasibility Study (FS) capital cost estimate. Construction of the power line is expected to be complete in Q2, 2022. The company has completed a total of 17.5km of underground development since 2019. Approximately 1.8km of additional development occurred in 2021, beyond the FS life of mine. As at Dec 31, 2021, SilverCrest has cash and cash equivalents of $176.5M and $30M project remaining available under a $120M project financing facility.
GoGold Resources Inc., released high grade results from nine holes collared at Mololoa-Tamara area within its Los Ricos North project in Jalisco. The highest grades were encountered in hole LRGM-21-088 with 2.58 g/t Au and 684 g/t Ag (11.70 g/t AuEq or 877 g/t AgEq) over 14.6m, including 9.73 g/t Au and 2,577 g/t Ag (44.1 g/t AuEq or 3,307 g/t AgEq) over 3.8m; and hole LRGM-21-090, with 3.84 g/t Au and 999 g/t Ag (17.15 g/t AuEq or 1,286 g/t AgEq) over 5.3m, including 23.50 g/t Au and 6,310 g/t Ag (107.63 g/t AuEq or 8,072 g/t AgEq) over 0.6m, plus 0.49 g/t Au and 129 g/t Ag (2.22 g/t AuEq or 106 g/t AgEq) over 5.7m, including 3 g/t Au and 876 g/t Ag (14.68 g/t AuEq or 1,101 g/t AgEq) over 0.7m, plus 0.27 g/t Au and 85 g/t Ag (1.40 g/t AuEq or 105 g/t AgEq) over 2.5m.
Southern Silver Exploration Corp., announced drill results and reported a new high grade mineral discovery on the El Sol concession at its Cerro Las Minitas project, Durango. Hole 21SOL-003 intersected 549 g/t Ag, 0.2 g/t Au, 8.6% Pb, and 3.6% Zn (982 g/t AgEq or 24.9% ZnEq) over 3.5m, including 1,760 g/t Ag, 0.9 g/t Au, 0.1% Cu, 23.6% Pb, and 1.2% Zn (2,622 g/t AgEq or 66.5% ZnEq) over 0.8m, plus 129 g/t Ag, 0.6 g/t Au, 3.9% Pb, and 6.2% Zn (547 g/t AgEq or 13.9% ZnEq) over 0.4m. Drill crews have mobilized back to the El Sol concession to complete an additional three core holes.
Gatos Silver Inc., provided an update on the resource and reserve estimation process following recent reconciliation work at its Cerro Los Gatos, Chihuahua, and provided 2022 production and cost guidance. “The company concluded that there were errors in the technical report entitled “Los Gatos Project, Chihuahua, Mexico” with an effective date of July 1, 2020, as well as indications that there is an overestimation in the existing resource model. On a preliminary basis, the company estimates a potential reduction of the metal content of Cero Los Gatos mineral reserve ranging from 30% to 50% of the metal content remaining after depletion. The company is working with independent engineering consultants to better understand the magnitude of the overestimation, including conducting a detailed reconciliation of production to previous models and reserve calculation estimates, as well as creating a new Life of Mine (“LOM”) plan. The Company is working expeditiously to complete this reconciliation”. Los Gatos produced in 2021 over 7.6M Oz Ag, 50 M Lb Zn, 40M Lb Pb and 5K Oz Au. It also provided a 2022 production and cost guidance. It estimates to produce 8.5-9M Oz Ag, 49-54M Lb Zn, -M Lb Pb, and 4-4.5K Oz Au at AISC of USD $16.50-18.50/Oz (co-product basis) and USD $13-15/Oz (by product basis).
Vizsla Silver Corp., provided a 2021 year end summary of its activities at its flagship Panuco project in Sinaloa. In 2021, the company drilled 99,783m in 319 holes at Panuco, focused on the western portion of the district at both Napoleon and Tajitos targets. Now, the company has drilled 127,756 m in 449 holes on the property. The most relevant results are at the Napoleon target where drilling has delineated a 1,920m by 300m resource area defined by 148 holes, suggesting an estimated weighted average true width of 3.36m at an average grade of 421 g/t AgEq. High grade remains open along strike and down dip to the south. Vizsla also contracted ALS Canada to conduct preliminary metallurgical testing on representative composited material sourced from the Napoleon vein, and has initiated data capture of standard geotechnical parameters on all resource/exploration drilling. Vizsla has contracted SRK Consulting to design and lead the preliminary data collection program, with most of the work being carried out by Vizsla geologists. “Focus for 2022 is exploration and growth. With +120,000 meter fully funded drill program designed to 1) further expand the Project’s maiden resource base on the western portion of the property and 2) test high priority targets on the central and eastern portions of the district, Vizsla aims to identify new centers of mineralization from which to delineate additional resources while simultaneously investigating accelerated development opportunities”.
Tarachi Gold Corp., made significant progress in developing its Magistral tailing project in Durango towards a production decision, including an auger drill program to provide assay data for a resource estimate and bulk material for metallurgical testing, which demonstrated that >80% Au recoveries without the need for re-grinding the feed. The company completed a PEA study, including a resource estimate of 1.26 M tonnes of 1.93 g/t Au with approximately 87% of the resource in the measured category, outlining a potentially high-margin, low capex gold mining scenario. Highlights of the PEA include an average annual production of 16K Oz Au plus Cu concentrate by-product, AISC of $705/OZ net of Ag and Cu credits, and after-tax IRR of 85%.
Mithril Resources Ltd., provided a Q4, 2021 on activities at its Copalquin project, Durango. Highlights include the delivery of its high-grade maiden JORC indicated and inferred mineral resource estimate of El Refugio-La Soledad in the Copalquin district in Durango, with 2,416,000 tonnes of 4.8 g/t Au and 141 g/t Ag (6.81 g/t AuEq), for a total of 373K Oz Au and 10.95M Oz Ag (529K Oz Au) contained using a cut-off of 2 g/t Au; commencement of a metallurgical and mining study work for El Refugio resource; expansion of targets for the district scale Copalquin for 2022 exploration program; and progress on the acquisition of the Copalquin mining district mining concessions via its purchase option agreement to 25% by completing USD $4M direct expenditure.
ON DEALS AND CORPORATE ISSUES
Bear Creek Mining Corporation provided an update of the acquisition from Equinox Gold Corp., of the Mercedes mine, located in Sonora. TSX has approved the acquisition as well as of for (i) the company´s gold purchase agreement with Sandstorm Gold Ltd. “Sandstorm will provide the company with USD$37.5M and in exchange Bear Creek will sell to Sandstorm 600 ounces of refined gold per month for 42 months (a total of 25,200 ounces) at a price equal to 7.5% of the spot gold price at the time of delivery and thereafter the company will sell to Sandstorm 4.4% of gold produced by Mercedes at a price equal to 25% of the spot price at the time of delivery; and (ii) the private placement by the Company to Sandstorm of a 6%, three-year Convertible Debentures having a principal amount of USD $22.5M. Proceeds from the Gold Purchase Agreement and the Convertible Debentures will be applied to partially fund the purchase price of the acquisition”.
ON SOCIAL RESPONSIBILITY
Minera Penmont (Fresnillo plc) carried out in collaboration with the Urban Development and Ecology area of the Caborca City Council, the first Reforestation Day 2022. During the day, 400 regional trees of the Mezquite and Neem species, as well as a hose and accessories for their installation, were delivered to representatives of 13 schools in Pitiquito and Caborca to inform about the importance of reforestation and of having an environmental culture for the benefit of all the inhabitants.
Four educational institutions that Grupo México supports in the Mexican Republic have obtained results above the national average in the most recent evaluations carried out by the Ministry of Public Education. In addition, education also focuses on the teaching of English as a second language
Minera Media Luna (Torex Gold) invested over MXP $7M in seven public works in four communities. These works in the towns of Atzcala, Real del Limón, La Fundición and Nuevo Balsas are part of the Minera Media Luna program as a Socially Responsible Company, whose objective is to take advantage of the money in infrastructure works that allow social development.
Minera San Xavier S.A de C.V. (Cerro San Pedro, San Luis Potosi), informed that, as of January 2022, it has made significant progress in the execution of its biophysical and social Closure Plan, which has been Responsible, Inclusive and Participatory.
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On the picture above, a quartz breccia cemented by tourmaline from a prospect in Chihuahua, Mexico. Photo by Miguel A Heredia.
