The Mining and Exploration News in Mexico: Highlights on the Second Week of June, 2020

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By Jorge Cirett

During the 24th week of the year (June 8th to June 14th, 2020), at least 35 press releases were announced by companies working in Mexico. Notably, 8 of those were exploration updates and 9 related to financing. ON MEXICO ISSUES, Senator Miguel Lucero and a coalition of mining unions proposed the creation of the Mining Secretariat, against the presidential bid to close the Sub-Secretariat of Mining. The Mexican president asked publicly the Canadian ambassador for help to get Canadian mining companies to pay due taxes. First Majestic asked the Canadian ambassador to intervene on the tax dispute. Copper prices have reached $2.60 per pound. Two rival unions were involved in a brawl in Fresnillo, Zacatecas. Francisco Quiroga Sub-Secretary of Mining informed that mines in Mexico are free of confirmed Coronavirus cases. All mines have procedures in place to detect and control outbreaks on transport and work sites. ON EXPLORATION, in Sonora, Silver Viper resumes drilling at La Virginia; Aztec Minerals updated on exploration at its Cervantes project; Colibri presented assay results from grab samples at the Evelyn project. In Chihuahua, Kootenay Silver recommenced drilling at Columba. In Sinaloa, Kootenay Silver restarted drilling at the Copalito property. In Durango, Mithril Resources prepares to drill the Copalquin project. In Jalisco, GoGold Resources began drilling Los Ricos North project. ON MINING, Mexus Gold continues mining at its Santa Elena property. Peñoles is to invest one billion dollars in 2020 in its mining operations. Fresnillo PLC reported on payments to governments of Mexico and Peru. ON FINANCING, Minaurum closed a private placement netting $4.21 M. Discovery closed the second and final tranche of its private placement, accruing C$25 M. Silver Viper commenced trading on the OTCQB in USA. Sonoro Metals realized a third MOU on its Cerro Caliche project, Sonora. Starcore paid its debts and is now debt free. Consolidated Zinc is to raise $0.57 M to purchase equipment. Vangold accelerated the warrant program relating to its 2019 placement. Prime Mining completed the offering for C$10 M. Mag Silver now holds 19.9% of Reyna Silver.   ON RESOURCES AND DEVELOPMENT, Mexican Gold started the fieldwork needed to complete the environmental baseline report at its Las Minas property in Veracruz. Minera Alamos reported more drill results from its Santana project in Sonora. Capstone updated on the mineral resources of its Cozamin mine in Zacatecas, showing a nice increase. ON DEALS AND CORPORATE ISSUES, Magellan Gold is leaving Mexico. Mithril Resources appointed new CEO and Chief Geologist. Sonoro Metals postponed its general meeting. Evrim Resources and Renaissance Gold are merging into a new entity named Orogen Royalties. Silver Spruce optioned the El Mezquite property in Sonora. GR Silver Mining filed on SEDAR the amended technical report on its San Marcial project. ON SOCIAL RESPONSIBILITY. Grupo Mexico, Fresnillo PLC, Argonaut Gold, Bylsa Drilling, Asociación de Real de Minas de San Javier, SilverCrest, Alamos Gold, Agnico Eagle, EMS, Molymex, Metallorum-Autlán, FLSmidth, First Majestic, Gruminex, Peñoles, Barimont, MAC Distribuciones, Dynapro Pumps, Cobre del Mayo, Minera Capela, Peña Colorada and Newmont Corp. informed on a large  array of investments and measures that benefit the mining communities.

ON MEXICO ISSUES

  • Senator Miguel A. Lucero (president of the mining and regional development commission in the senate) proposed the creation of the Mining Secretariat. This was his viewpoint in the rumors that the president Lopez Obrador is about to disappear several sub secretariats on grounds of saving resources. He stressed that the mining industry operates in over 200 municipalities that deserves close attention.
  • The Union Nacional de Sindicatos MineroMetalurgicos de Mexico asked the president Lopez Obrador to evaluate the creation of a Mining Secretariat, to foster national and foreign investment and generate jobs.
  • The President of Mexico, Andres Manuel Lopez Obrador (AMLO) asked publicly the Canadian ambassador for help to get Canadian mining companies to pay due taxes. He stated that the debts are clear and that there is no point on the mining companies to seek legal complaints.
  • First Majestic Silver Corp. has asked Canada’s ambassador to Mexico to intervene in an escalating tax dispute with President Andres Manuel Lopez Obrador’s government. “We’ve been trying to get somebody to the table to finally put this behind us,” First Majestic CEO Keith Neumeyer told Reuters. Neumeyer said the company had proposed three settlement offers since 2018 before launching the trade challenge last month. “Each of the offers has been rebuffed”.
  • Copper prices grew 25% from its March minimums, reaching US$2.60 per Lb thanks to the Chinese recovery.
  • Rival Unions in Fresnillo, Zacatecas, participated in a brawl that resulted in several persons conducted to a nearby hospital for medical care. This arises for a rivalry between the Sindicato Nacional Minero Metalúrgico (FRENTE) and the Sindicato Independiente for representation of workers at the Fresnillo mine.
  • Francisco Quiroga, Sub-Secretary of Mining informed that mines in Mexico are free of confirmed Coronavirus cases. All mines have procedures in place to detect and control outbreaks on transport and work sites.

ON EXPLORATION

  • VanGold Mining Corp. completed a bulk sample and metallurgical test at its Pinguico project in Guanajuato. The 1,039 tonne bulk sample was processed at Endeavour Silver Corp’s Bolañitos mill in Guanajuato, with an average grade of 1.23 gpt AuEq, and a recovery rate of 75.2% Au, 60.4% Ag.
  • Silver Viper Minerals Corp. resumes exploration at its La Virginia project in Sonora. “The recently renewed work program continues Phase II drilling at the El Rubi discovery area, where systematic testing of the structure is being conducted on 50m sectional step outs. A second drill will test exploration targets in and around the El Rubi location”.
  • Kootenay Silver Inc. recommenced drilling at its Columba project in Chihuahua. The initial holes of the remaining 5,200 meters of the phase II 7,000 m program “will focus on expanding the F-vein by following-up on positive results from the first 10 holes of the Program…… Beyond augmenting previously drilled areas the Program will investigate untouched veins mapped out by Kootenay’s geological team”.
  • Aztec Minerals Corp. updated on the exploration of the Cervantes project in Sonora, in advance of the signing of the 65/35 joint venture agreement with Kootenay Silver Inc. Highlights from the 2017 drilling program at the California target include the following intercepts: 160 m @ 0.77 gpt Au (including 80 m @ 1.04 gpt Au, 0.11% Cu); 139 m @ 0.71 gpt Au (including 20 m @ 2.10 gpt Au, 0.16% Cu); 118 m @ 0.63 gpt Au (including 43 m @ 1.18 gpt Au, 0.16% Cu); 122 m @ 0.60 gpt Au (including 62 m @ 0.88 gpt Au, 0.06% Cu); 170 m @ 0.42 gpt Au (including 32 m @ 0.87 gpt Au, 0.06% Cu). Other targets include Purisima East, Estrella, Purisima West and Jasper. Preliminary metallurgical tests have shown 85.1% to 87.7% Au recovery in oxide, 77.9% Au recovery in mixed oxide/sulfide and 51.2% in sulfide.
  • Kootenay Silver Inc. recommenced drilling at its Copalito property in Sinaloa. The 3,000 m drill program was halted due to the Coronavirus lockdown when only one 105.2 m hole had been completed. Over 10 kilometres of untested vein strike has been mapped, with strike lengths up to 2 km and widths from 0.5 m to 15 m. Previously reported grab and channel samples have returned up to 3,770 gpt Ag, 8.2 gpt Au, 17.4% Zn, 9.9% Pb and 1.5% Cu.
  • GoGold Resources Inc. began drilling at the La Trini target, part of the Los Ricos North project in Jalisco. Historical intersections by Tumi Resources include: 24.4 m @ 6.4 gpt Au, 1,629 gpt Ag; 18.3 m @ 3.1 gpt Au, 150 gpt Ag; 6.1 m @ 2.8 gpt Au, 174 gpt Ag; 19.7 m @ 4.9 gpt Au, 193 gpt Ag; 14.1 m @ 4.9 gpt Au, 261 gpt Ag; 10.5 m @ 5.7 gpt Au, 188 gpt Ag.
  • Mithril Resources Ltd. prepares to drill its Copalquin project in Durango. “Drilling and helicopter support contracts have been signed with mobilisation of equipment commencing in June 2020…… Previous drilling has identified three areas with underground mineable grades over potentially mineable widths. These areas are El Refugio, La Soledad and El Cometa (which also include open pit resource potential). Mithril’s drilling campaign will systematically test each of these high-priority areas and will also drill test Los Reyes, Los Pinos, and later La Constancia and the important San Manuel multi-level mine workings”.
  • Colibri Resource Corp. received assays from samples collected on the western part of the Evelyn property in Sonora. The western part of the project is mostly covered by a thin veneer of alluvium and colluvium. More than 50 grab samples have been taken from small areas of sub-crop and outcrop exposed through the cover. “Three samples returned values greater than 2.0 g/t Au, 6 samples returned values greater that 0.25 g/t Au, and a total of 15 samples returned anomalous Au” up to 27.5 gpt Au.

ON MINING

  • Mexus Gold US. continues mining and expects to put 1,800 tons of material in the leach pads by the end of this week, on its Santa Elena mine in Sonora (not to mistake for First Majestic Santa Elena mine, also in Sonora).
  • Industrias Mineras Peñoles. is to invest one billion dollars in Mexico this year, regardless of the economic downturn by the Coronavirus pandemic.
  • Fresnillo PLC. reported on payments done to Mexico and Peru governments derived from its operations in both countries. The company paid in Mexico a total of US$233.7 M in Mexico, of which US$28.6 M were from licences and mining concessions fees.Fresnillo PLC Report on Payments to Governments1

ON FINANCING

  • Minaurum Gold Inc. announced the closing of the previously announced non-brokered private placement, for gross proceeds of $4.21 M, with the prominent participation of Sprott Global Resources Investments Ltd. (Alamos Silver, Sonora).
  • Discovery Metals Corp. closed the second and final tranche of its non-brokered private placement for aggregate proceeds of C$25 M. “The Company also announces it has received approval by the Mexican government to resume operations at its Cordero project with strict COVID-19 health and safety protocols”. The company has over $40 M in cash on its balance sheet (Cordero, Chihuahua).
  • Silver Viper Minerals Corp. commenced trading on the OTCQB Venture Market in the United States (La Virginia, Sonora).
  • Sonoro Metals Corp. executed a third memorandum of understanding (MoU) for the finance and development of its proposed Cerro Caliche Heap Leach Pilot Operation. As of February 28, 2020, Sonoro had received two executed MoUs regarding project debt financing and EPC services for its proposed Cerro Caliche heap leach (Cerro Caliche, Sonora).
  • Starcore International Mines Ltd. reported that the company paid out CAD$3 M of secured bonds plus accrued interest of CAD$235.4 K. In addition to this, the company also repaid a US$1 M loan. The payments were made from the Company’s cash flow generated from mine operations and prior asset sales (San Martin mine, Queretaro).
  • Consolidated Zinc Ltd. announced firm commitments to raise a further $0.57 M via a single tranche placement. “Funds raised from the Placement will be applied towards the purchase of equipment to increase efficiencies at Plomosas, working capital and offer costs” (Plomosas, Chihuahua).
  • VanGold Mining Corp. announced that to date the warrant acceleration program in connection with the company’s 2019 placement has rendered $1.16 M in gross proceeds of which $650 K were accrued by the exercise of warrants by Vangold’s directors and officers. “…funding for a portion of the exercise of warrants by directors and officers was facilitated through the sale of a portion their existing share holdings” (El Pinguico, Zacatecas).
  • Prime Mining Corp. announced the completion of the offering for gross proceeds of C$10 M (Los Reyes, Sinaloa).
  • Mag Silver Corp. has acquired 14.55 M shares of Reyna Silver Corp., owning to date 19.9% of its outstanding shares.

ON RESOURCES AND DEVELOPMENT

  • Mexican Gold Mining Corp. announced “that fieldwork towards completing an environmental baseline study has commenced at the Las Minas project. Drilling at Las Minas is scheduled to commence in early July”.
  • Minera Alamos Inc. reported more drilling results from its Phase II program at its Santana project in Sonora. The results further expand mineralization to the SW, and confirm the depth potential previously identified. Highlighted core length intervals comprise: 202.7 m @ 0.51 gpt Au; 105.6 m @ 0.31 gpt Au, 50.9 m @ 0.34 gpt Au; 90.0 m @ 0.40 gpt Au; 43.3 m @ 0.61 gpt Au; 42.5 m @ 0.36 gpt Au; 62.5 m @ 0.31 gpt Au, 188.2 m @ 0.28 gpt Au.
  • Capstone Mining Corp. updated the mineral resource estimate for the Cozamin mine in Zacatecas.cozamin-june2020-resource-estimate-update1cozamin-june2020-resource-estimate-update21

ON DEALS AND CORPORATE ISSUES

  • Magellan Gold Corp. is redirecting its focus toward opportunities within the United States. “the company has divested all of its Mexico operations through the sale of its subsidiary Magellan Acquisition Corp.”. Among the operations divested is the SDA mill and the El Dorado property, both in Nayarit.
  • Mithril Resources Ltd. appointed John Skeet as its new CEO and Hall Stewart as its Chief Geologist (Copalquin, Durango)
  • Sonoro Metals Corp. postponed its annual general meeting to September 4, 2020 (Cerro Caliche, Sonora).
  • Evrim Resources Corp. and Renaissance Gold Inc. entered into an agreement to combine in a merger of equals “in which Evrim will acquire all of the outstanding common shares of Renaissance through a share exchange transaction to create a new company, to be named Orogen Royalties Inc. Orogen will focus on project generation as has been the history of both Evrim and Renaissance but with a renewed focus on organic royalty creation and royalty acquisition” (royalty in Ermitaño, Sonora).
  • Silver Spruce Resources Inc. signed a binding option agreement with Colibri Resources Corp. to acquire 50% interest in its wholly owned Mexican subsidiary Yaque Minerals S.A. de C.V., which holds the El Mezquite project in Sonora. El Mezquite is 12 Km NE of the Santana property, currently under mine development by Minera Alamos. To obtain 50% interest Silver Spruce has to pay US$82.5 K by September 1, 2020, US$127.5 K by September 1, 2021, and CDN$500 K for a debenture due in October 2023. The company will have the option to pay US$107.5 K by December 31, 2020 to complete the cash acquisition for a discounted total of US$190 K. Minimum work expenditures total US$600 K on the four year term of the agreement. A 1% royalty to the original vendors of the property can be purchased for US500 K at any time.
  • GR Silver Mining Ltd. filed on SEDAR its amended technical report on resources estimation of its San Marcial project in Sinaloa. There are 12 amendments in different parts of the report, with no material differences on the resource estimation.

ON SOCIAL RESPONSIBILITY

  • In Sonora more than 125 thousand persons in 30 municipalities and 47 rural communities have received support by 13 mining companies and six service providers: Grupo México, Fresnillo Plc, Argonaut Gold, Bylsa Drilling, Asociación de Real de Minas de San Javier, SilverCrest, Alamos Gold, Agnico Eagle, EMS, Molymex, Metallorum-Autlán, FLSmidth, First Majestic, Gruminex, Peñoles, Barimont, MAC Distribuciones, Dynapro Pumps and Cobre del Mayo).
  • The mining sector in Mexico strives nowadays for social co-responsibility between community, government and enterprises, where the communities define their needs and priorities, the government complies with its responsibilities and enterprises promote and provide resources, organize community committees and develop executive projects.
  • The world day of the environment was held in Teloloapan, Guerrero, with the presence of Efrén Romero, municipal president, Army members and Minera Capela executives.
  • In Cuencamé, Durango, a road work investment of 11 million pesos was inaugurated by Luly Martínez. Municipal president. The investment was made possible with resources from the Mining Fund.
  • Agnico Eagle received the Environmental Excellence Award from the Mining Association in Canada, for its work in Pinos Altos, Chihuahua, where was developed an ultra-high density grazing initiative.
  • Peña Colorada builds a medical facility in Manzanillo. With an investment of 4 M pesos, the facility will count with an area for patient care, and another area for the rest of the medical personnel, as this new building is by the side of the Hospital General de Manzanillo.
  • Newmont Corp. published its 2019 sustainability report. The report displays all the work planned and done by the company as it strives to better its environmental, social and governmental imprint in Mexico.
  • Bylsa Drilling efforts on social responsibility on the communities neighboring the Las Chispas and Alamos Silver projects in Sonora were commended by governor Claudia Pavlovich.
  • The Mining Fund provided the resources to build the Doctores Avenue in Fresnillo, Zacatecas. The 27.14 million pesos invested funded 670 m of paving and drainage construction.
  • Grupo Mexico restated its compromise on the state of Chihuahua with the donation of a termo-cycler to the State Health Laboratory. Previously the company had donated five mechanical ventilators to the University Central Hospital, same that shortly is to receive 25 non-invasive ventilators more.

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

On the image below: Quartz-graphite vein, Hermosillo District, Sonora. Picture by Jorge Cirett.

172

The Mining and Exploration News in Mexico: Highlights on the First Week of June, 2020.

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By Miguel A Heredia

During the twenty three week of the year (June 1st to June 7th, 2020), at least 49 press releases were announced by companies working in Mexico, with fifteen commenting on Mexican issues, twelve communicating resumptions, production and financial results, six announcing financial rounds, five discussing on social issues, five reporting on resources and developments, three disclosing deals and corporate issues, and three informing on exploration results.  ON MEXICO ISSUES, The Undersecretary of Mining and the state Governors declared that the resumption of the mining activities in the first week of June has been successful. Francisco Quiroga, the Undersecretary of Mining, stated that the mining sector will sustain part of the national economic recovery after the COVID-19 pandemic.  The Mexican government, in a very unfortunate statement, declared that it is analyzing the possibility to disappear the Undersecretariat of Mining. Fernando Alanís, president of the Mexican Mining Chamber (Camimex), stated that Mexico’s mining production would drop 17% this year due to coronavirus pandemic. The deputy of the PRI, Carlos Pavón Campos, will present a proposal requesting that the Mining Fund returns to be used in accordance to its original objective. Esperanza Silver de México (Alamos Gold Inc.) announced that it expects to create hundreds of direct + indirect jobs if they open its Esperanza mine in Morelos. According to Fernando Alanis, president of the Mining Chamber of Mexico (CAMIMEX), mining companies plan to invest USD $4B in 2020.  Resuming of the mining activities in Oaxaca will activate 10,000 jobs. ON EXPLORATION, In Sinaloa, Vizsla recommenced drilling at its Panuco project. In Zacatecas, Advance Gold provided an exploration update on its Tabasqueña project. In Jalisco, GoGold resumed drilling at its Los Ricos project.  ON MINING, Several mining, such as GoGold, Great Panther, Avino, Argonaut, Impact Silver, Pan American Silver, Telson, Excellon, and Sierra Metals among others, announced the restart of their Mexican mining operations after receiving approval of the Mexican Social Security Institute (IMSS).  Mexus Gold reported its May 2020 production results from its Santa Elena mine in Sonora. US Antimony reported its Sb and zeolite production for the month of May 2020. Excellon presented Q1 2020 production and financial results (La Platosa, Durango).  ON FINANCING, Advance Gold announced a non-brokered private placement for gross proceeds of up to $300K (Tabasqueña project, Zacatecas). Discovery Metals closed the first tranche of a CAD $35M non brokered private placement, for aggregates proceeds of CAD $17.1M (Cordero project, Chihuahua). Magna Gold closed its previously announced non-brokered private placement for gross proceeds of $7M (San Francisco mine, Sonora). Silver Viper closed its previously brokered private placement for gross proceeds of CAD $5.12M (La Virginia project, Sonora). Alamos Gold declared quarterly dividends of USD $0.015 per common share (Mulatos mine, Sonora).  Pan American Silver announced the closing of its overnight marketed secondary offering of common shares of Maverix Metals Inc., in which it raised gross proceeds of USD $45.54M (La Colorada mine, Zacatecas).  ON RESOURCES AND DEVELOPMENT, VanGold concluded its +1,000 tonnes bulk sample and metallurgical test of mineral material from its Pinguino project in Guanajuato. Premier announced an update on its delineation core drilling program at its Mercedes mine in Sonora. US Antimony reported that a thickener circuit is being constructed on site at its Puerto Blanco mill in Guanajuato.  Endeavour released new high grade Au-Ag drill results from its Guanacevi mine in Durango. Golden Minerals President & CEO spoke about its Velardeña and Rodeo projects in Durango and its intention to bring them into production in 2021.   ON DEALS AND CORPORATE ISSUES, Canuc postponed the filing of its interim consolidated financial statement and management´s discussion and analysis for the period ended March 31, 2020 due to the COVID-19 pandemic (San Javier project, Sonora).  San Marco granted stock options to directors and officers (Chunibas project, Sonora). Newmont published its 2019 sustainability report (Peñasquito mine, Zacatecas).  ON SOCIAL RESPONSIBILITY, Consorcio Minero Peña Colorada invested MXP $4M to refurbish health unit in Manzanillo, Colima. The Grupo Mexico Foundation delivered important donation to the Health Sector of Chihuahua and Sombrerete, Zacatecas. Minera Cuzcatlán (Fortuna Silver) donated medical ventilator, pantries, medicines and cleaning kits in Oaxaca. Minera San Julián (Fresnillo plc) delivered a mechanical ventilator and personal protection equipment to medical personnel of the Mexican Social Security Institute (IMSS) of Parral, Chihuahua.

ON MEXICO ISSUES

  • The Undersecretary of Mining and the state governments, declared that the resumption of the mining activities in the first week of June has been successful. Almost 90% of the companies in the sector are already on work, thanks to the support of Francisco Quiroga, the Undersecretary of Mining of the Ministry of Economy, who established agreements with Governors of the states and with the companies, so that they could return to work safely and without risk of COVID-19 infections. The remaining 10% of mining companies are preparing sanitary protocols to resume activities in the coming days.
  • Francisco Quiroga, the Undersecretary of Mining, stated that the mining sector will sustain part of the national economic recovery after the COVID-19 pandemic. Activities derived from the mining industry serve to maintain various communities and even in some areas is the main source of economy. The mining sector is carrying out its reactivation of activities in a progressive way and with respect to health protocols. The sector has always worked with rigorous safety protocols to carry out its activities,
  • The Mexican government, in a very unfortunate statement, declared that it is analyzing the possibility to disappear the Undersecretariat of Mining. The measure would be in complete contradiction to the recent recognition of mining as an essential sector that generates 2.6 million jobs, has an impact in 10 states of the country and represents around 3% of GDP. The president AMLO has suggested the imminent disappearance, conversion, or inclusion in another agency, in order to reduce public spending. It occurs just when the Undersecretary of Mining, Francisco Quiroga, reached agreements with Governors, and the mining companies and their representatives have worked hard in a coordinated way to implement the security protocols. Entrepreneurs in this area, both Mexican and foreign, consider that the disappearance of the Undersecretariat of Mining may be negative for a sector that represents around 8% of industrial GDP. The panorama is worrying, since it seems to show the little interest of the current administration to encourage the development of the mining sector. Mining companies and their representatives see this measure as a setback for the country´s development. AMLO stated that to date, none decision has been taken so far, and recognized that mining is a fundamental economic activity that generates many jobs in the case of Sonora, Chihuahua, Durango, and the rest of the mining states.
  • Fernando Alanís, president of the Mexican Mining Chamber (Camimex), stated that Mexico’s mining production would drop 17% this year and the sector´s export could decrease by around 10% due to the cessation of operations to contain the spread of the coronavirus. He also said that although activities in the industry were beginning to resume and about half of the operating personnel had returned to work, exploration work remained suspended and anticipated that the pandemic would also have ended with some 71,000 indirect jobs in the local sector.
  • The deputy of the PRI, Carlos Pavón Campos, will present a proposal in the Chamber of Deputies, requiring that the Mining Fund returns to carry out infrastructure works in the municipalities of the country where mining activity is performed, with the purpose of promoting the development of the communities, which was its original objective.
  • Esperanza Silver de México (Alamos Gold Inc.), announced that it expects to create hundreds of direct + indirect jobs if they open its Esperanza mine in Morelos. Esperanza Silver, under the scheme of a “New Model of Social and Environmentally Responsible Mining” policy, wants to bring its project to the community of Tetlama to protect the environment and generate employment that is essential for the economic reactivation of the state due to the direct + indirect jobs that will be generated, the value chains and supplies that will be activated, and the generation of taxes that will favorably impact state and municipal public finances. The company has projected an estimated investment of USD $450M to bring into production its mining project.
  • According to Fernando Alanis, president of the Mining Chamber of Mexico (CAMIMEX), mining companies plan to invest USD $4B in 2020, which represents 14% more than in 2019, despite the COVID-19 health crisis.
  • Resuming of the mining activities in Oaxaca, will activate 10,000 jobs. The mining personnel will carry out all the health and training protocols to avoid COVID-19 infections, supervised by the Mexican Social Security Institute (IMSS).

ON EXPLORATION

  • Vizsla Resources Corp., announced that it has re-commenced drilling at its Panuco project in Sinaloa. It had previously announced the return of its staff to the project on May 21, 2020 to execute its exploration program at its district-scale project.
  • Advance Gold Corp., provided an update on its Tabasqueña project in Zacatecas. The CEO of the company stated that they have hit what appears to be a very large sulphide system with their recent drilling program collared into a 3.2Km continuous IP chargeability anomaly. These holes encountered promising grades in the stacked lenses of disseminated sulphides. Next step will be to drill the core of the system on the hinge zone of the IP chargeability anomaly, where it increases in width, to confirm the identified mineralization.
  • GoGold Resources Inc., resumed drilling at its Los Ricos project in Jalisco. The Company is nearing completion of resource drilling at Los Ricos South for its upcoming 43-101 compliant resource calculation.

ON MINING

  • Several mining companies, such as GoGold, Great Panther, Avino, Argonaut, Impact Silver, Pan American Silver, Telson, Excellon, and Sierra Metals, among others, announced the restart of their Mexican mining operations following a government order adding mining to the list of essential services, and after receiving approval from the Mexican Social Security Institute (IMSS).
  • Mexus Gold US, reported May 2020 production results from its Santa Elena mine in Sonora. It produced 102 Oz Au. The company announced that it plans to produce 150 Oz Au in June 2020. The heap leach pad at the Santa Elena mine currently holds 18,000 tons of mineralized material. Head grades are estimated at 3 to 4 g/t Au.
  • US Antimony Corporation, announced that it produced 108.9K Lb Sb and 1,129 tonnes of zeolites during the month of May 2020.
  • Excellon Resources Inc., presented Q1 2020 production and financial results from its La Platosa mine in Durango. It processed 19,042 tonnes of 542 g/t Ag, 5.4% Pb and 6.8% Zn to produce 296.3K Oz Ag, 1.89M Lb Pb, and 2.1M Lb Zn (or 523.7K Oz AgEq) with metallurgical recoveries of 89.3%, 82.8%, and 74.9% respectively.  Total cash and AISC of USD $15.35 and USD $26.52 per Oz Ag payable was reported respectively. The company had revenues of USD $6.6M, gross loss of USD $0.1M, cash and cash equivalents of USD $8.4M.

ON FINANCING

  • Advance Gold Corp., announced a non-brokered private placement to raise gross proceeds for a maximum of $300K. Net proceeds will be used to advance its Tabasqueña project in Zacatecas and for general corporate purposes.
  • Discovery Metals Corp., closed the first tranche of a CAD $35M non brokered private placement, for aggregates proceeds of CAD $17.1M. Discovery intends to close a further CAD$7,9M in subscriptions in a second tranche of the private placement, for an aggregate total of CAD $25M. Net proceeds of the first tranche will be used to fund their Cordero and Coahuila projects in Chihuahua and Coahuila states respectively, and for general working capital purposes.
  • Magna Gold Corp., closed its previously announced non-brokered private placement for gross proceeds of $7M. Gross proceeds will be used for working capital purposes in connection with their existing projects (San Francisco mine and Mercedes and San Judas projects, Sonora).
  • Silver Viper Minerals Inc., closed its previously announced brokered private placement for gross proceeds of CAD $5.12M. A cash commission of CAD $218,770 was paid to the brokers, representing a 6% of the gross proceeds. Silver Viper will be used the net proceeds to fund the development of its Virginia project in Sonora, and for working capital and general corporate purposes.
  • Alamos Gold Inc., declared quarterly dividends of USD $0.015 per common share. The company has paid dividends for 11 consecutive years during which time USD $173M has been returned to shareholders through dividends and share buybacks.
  • Pan American Silver Corp., announced the closing of its overnight marketed secondary offering of common shares of Maverix Metals Inc., in which Pan American raised gross proceeds of USD $45.54M (La Colorada mine, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • VanGold Mining , concluded its +1,000 tonnes bulk sample and metallurgical test of mineral material from its Pinguino project in Guanajuato. This bulk sample was sent to Endeavour’s Bolañitos mill, located approximately 28km from El Pinguico project. The company will report the results obtained once the information is received. On the other hand, crews are clearing the bottom of the El Pinguino shaft since approximately 30 m of debris has accumulated at the bottom. Once it is done, VanGold plans to sample the bottom of the underground stockpile in order to determine if the grades of Au and Ag obtained on the top of the stockpile extends to the bottom of it; inspecting the #7 Sangria adit since it may provide a potential safe and inexpensive haulage way to bring the underground material to surface; and sample the Colmillo stope since it was a high grade portion of the Pinguico mine during the period prior to its closure in 1913.
  • Premier Gold Mines Limited, announced an update on its delineation core drilling program at its Mercedes mine in Sonora. The 2020 delineation drilling campaign is focused on expanding and confirming higher-grade mineralization in several areas including Marianas and Diluvio West. Highlights at Diluvio West include hole UG-DI20-096 with 6.1 g/t Au and 23 g/t Ag over 84.7m, and hole UG-DI20-095 with 6.38 g/t Au and 14 g/t Ag over 73.5m. At Marianas, good drill intersections were encountered at hole UG-MR20-056 with 11.67 g/t Au and 56g/t Ag over 5.2m and hole UG-MR20-059 with 9.74 g/t Au and 16 g/t Ag over 11.3m. Diluvio consists of a stockwork system that is divided into Diluvio Central, hosted in felsic volcanoclastic, and Diluvio West hosted in an andesite while Marianas represents the down-plunge extension of the main Mercedes mine trend.
  • US Antimony Corporation, reported that a thickener circuit is being constructed on site at its Puerto Blanco mill in Guanajuato to increase the production rate and control the pulp density of ore to be processed. “The company is anxious to continue on the cyanide leach of the gold and silver Los Juarez ore now that they will have a thickener.”
  • Endeavour Silver Corp., released drill results of 18 holes collared in the Santa Cruz vein on the El Curso property at its Guanacevi mine in Durango, of which 12 holes reported new high grade Au-Ag values over minable widths. Drilling highlights include hole UCM-27 with 3.25 g/t Au and 1,085 g/t Ag (1,410 g/t AgEq) over a true width (TW) of 10m; hole UCM-26 with 1.87 g/t Au and 762 g/t Ag (949 g/t AgEq) over a TW of 5.1m; and hole UCM-25 with 1.43 g/t Au and 986 g/t Ag (1,129 g/t AgEq) over a TW of 4.8m. This drilling program confirmed the extension of the P4 orebody, and now the extension measures 200 m long by 300 m deep, still open at depth, and discovered a new mineralized zone to the west of the P4 extension of 250 m long by 150 m deep, still open along strike and at depth.
  • Golden Minerals Company President & CEO, spoke about its Velardeña and Rodeo projects in Durango and its intention to bring them into production in 2021. The company is currently generating revenue through the lease of its oxide mill in Mexico to Hecla Mining Company, and intends to bring into production its Rodeo open pit Au project in 2021 after the lease concludes with Hecla at the end of 2020. Rodeo, according to the PEA “is capable to provide almost USD $25M in after-tax cash flow in two years of production. The goal of the company is to use the cash generated from Rodeo to finance a potential startup for its Ag-Au Velardeña project. Velardeña’s 2020 PEA shows an USD $86M NPV”.

 ON DEALS AND CORPORATE ISSUES

  • Canuc Resources Corporation, postponed the filing of its interim consolidated financial statement and management´s discussion and analysis for the period ended March 31, 2020 due to the COVID-19 pandemic (San Javier project, Sonora).
  • San Marco Resources Inc. granted stock options to directors and officers (Chunibas project, Sonora).
  • Newmont Corporation, published its 2019 sustainability report, “Beyond the Mine”, a transparent and comprehensive disclosure of the Company’s environmental, social and governance (ESG) performance.

ON SOCIAL RESPONSIBILITY

  • Consorcio Minero Peña Colorada S.A. de C.V., invested MXP $4M to reconvert a building attached to the Manzanillo General Hospital, providing it with medical equipment and furniture for 3 medical care modules and one more for the rest of medical personnel.
  • The Grupo Mexico Foundation, delivered important donation to the Health Sector of Chihuahua, which consisted of five new mechanical ventilators, 15,000 medical equipment consisting of N-95 masks, disposable gowns, face masks, goggles, overalls, boot covers, respirators, aprons and gloves, as well as ultrasound equipment, portable X-rays and monitoring panels. The donation also included 25 non-invasive ventilators and 10,000 serological tests for COVID-19, which will allow detecting a greater number of people infected and have a broader overview of the behavior of the disease in the state. Additionally, Grupo México Foundation also joined the Chihuahua Food Program, by donating 650 pantries to support vulnerable groups in the municipalities of Aquiles Serdán and Santa Bárbara. In Sombrerete, Zacatecas, the Grupo Mexico Foundation also delivered more than 1,700 articles of medical supplies consisting of tyvek coveralls, N95 masks, face shields, disposable gowns and boot covers, and alcohol gel, and donated 700 pantries to the municipality of Sombrerete through the Municipal DIF to be distributed among the groups most at risk from this epidemic, as is the case of older adults in the Divine Providence Asylum that received 40 pantries with items from the basic food basket.
  • Compañía Minera Cuzcatlán (Fortuna Silver Mines Inc., donated MXP $1.3M to the Business Contingent Exchange and the Medical Support Program promoted by the Oaxaca Ministry of Economy to buy an equipment for ventilation and respiratory monitoring in the Intensive care unit, and delivered more than 3,300 pantries, 3,400 family cleaning packages and 4,600 medicines to the population of San José del Progreso and communities close to the operation of the San José mining unit. It is estimated that these actions have benefited more than 7,000 Oaxacans.
  • Minera San Julián (Fresnillo plc), delivered a mechanical ventilator equipment to the Mexican Social Security Institute (IMSS) of Parral, Chihuahua and donated more than 2,000 pieces of personal protective equipment such as 50 tyvek suits, 200 N-95 face masks, 200 surgical fabric mouth masks, 600 mine-made mouth masks, 1,000 pairs of nitrile gloves and 50 safety glasses to employees of the health institution.

 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, tight folds in an orogenic Au prospect in Michoacan, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of May, 2020

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By Jorge Cirett

During the 22nd week of the year (May 24th to May 31st, 2020), at least 36 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, Francisco Quiroga, subsecretary of mining had a very active week by reviewing personally the health protocols put in place by mining companies in several states, as well as being present on the installation of regional mining committees in a handful of states, before the full re-start of mining operations allowed by the government. BNamericas presented a list of 24 mining projects going ahead in Mexico from 2020 to 2026, with a capital investment of US$7,450 M. Mining companies scrambled on the restart of operations permitted by the government with the inclusion of the industry in the category of essential activities that can operate during the Coronavirus emergency. ON EXPLORATION, in Sonora, Ridgestone Mining resumed activities at its Rebeico project. In Chihuahua, Kootenay Silver released results from drilling at its Columba project; Mammoth Resources announced Centerra is returning for exploration work at its Tenoriba project. In Nayarit, Candente Gold is to rehabilitate underground workings to advance its El Dorado project. In Zacatecas, Defiance Silver delineated several targets at the San Acacio property. ON MINING, Sierra Metals, Impact Silver, Mexus Gold, Fortuna Silver, Gold Resource, Endeavour Silver and Aura Minerals announced the recommencement of activities, following the government easing of restrictions on mining. Impact Silver and Discovery Metals reported first quarter 2020 results. GR Silver Mining is postponing the filing of first quarter 2020 results, under the blanket relief granted by the regulatory authorities in Canada. ON FINANCING, in a pretty busy week, 16 companies made announcements related to their financing.  Canasil Resources granted 1.75 M options. Orex Minerals intends to raise up $2 M. Silver Tiger Metals is now trading on the OTCQB quotation system in the US. Vangold Mining accelerated a warrant bonus program in connection with its 2019 private placement. Equinox Gold saw warrants exercised for $145 M. Southern Silver Exploration extended the expiry date of some warrants for two years. Ridgestone Mining is now listed in the Frankfurt Stock Exchange. Aztec Mining engaged a Swiss investor relations firm for European exposure. Vizsla Resources is pursuing a financing round for C$4 M. DynaResources closed a financing agreement for $3.9 M. Minaurum Gold closed its private placement grossing $5 M. Telson closed the second tranche of its private placement for $196.6 K. Golden Tag Announced a non-brokered private placement for up to $1.12 M. Solaris Resources raised C$20 M. Mammoth Resources announced a private placement for up to $131 K. Consolidated Zn intends to raise up to $1.73 M.   ON RESOURCES AND DEVELOPMENT, Mexican Gold Mining is working on the PEA for its Las Minas project in Veracruz. Golden Minerals filed the PEA on Rodeo, Durango. Bacanora Lithium updated on activities to further advance its Sonora Lithium project. Discovery Metals has completed 15,000 m of its 30,000 m phase 1 drill program at its Cordero project in Chihuahua. ON DEALS AND CORPORATE ISSUES, Mithril completed the acquisition of Sun Minerals, obtaining thus the Copalquin project in Durango. Candente Gold amended the memorandum of understanding to acquire the El Dorado property and the SDA mill in Nayarit. Sonora Metals published and filed a new version of the Cerro Caliche development report, as requested by the British Columbia Securities Commission. ON SOCIAL RESPONSIBILITY. Minera Peña Colorada, Grupo Mexico, Fresnillo PLC, Minera Real Bonanza and the mining industry in Sonora  informed on donations and work realized to aid communities, mainly on subjects related to the Coronavirus emergency, like medical supplies and equipment, comprising also a large array of investments and measures that benefit the mining communities.

ON MEXICO ISSUES

  • Francisco Quiroga, subsecretary of Mining, personally verified the application of safety protocols to re-start operations in mines. Quiroga visited Agnico Eagle’s Pinos Altos, Grupo Mexico’s Santa Barbara and Frisco’s Concheño mines in Chihuahua. He will also review protocols in Durango, Zacatecas and Coahuila.
  • The fourth virtual personnel hiring session was held by La Cantera Desarrollos Mineros in Zacatecas.
  • The silver price has seen its strongest monthly growth in almost seven years. Prices have reached up to $17.69 per ounce.
  • The Regional Committee for the Development of Mining Zones was constituted in Durango.
  • Mining Companies are to re-start operations on June 1, 2020. Dozens of mining companies prepare to re-commence mining and processing activities, reviewing its health and work protocols.
  • The Regional Committee for the Development of Mining Zones was installed in Zacatecas. The governor Alejandro Tello, the Camimex president, Fernando Alanís and the Mining subsecretary Francisco Quiroga were in the event that also saw the presence of representatives of Fresnillo PLC, Industrias Peñoles, Minera Frsico, Capstone Gold, Excellon Resources, Newmont, Aura Minerals, Arian Silver, Grupo Mexico, Impulsora Minera Santacruz, First Majestic, Grupo Minera Candelaria, Minera Camino Rojo, and Minas de San Nicolás.
  • The subsecretary of Mining Francisco Quiroga reviewed the sanitary procedures of Minera El Roble.
  • Peñasquito restarted operations in Zacatecas, after the review of the health protocol by Francisco Quiroga, subsecretary of mining.
  • Bnamericas presented a list of mining projects going forward in 2020-2026 with a capital investment of US$7,450 M, notwithstanding the pandemic induced stoppages. A total of 24 projects would increase the annual production by 1.5 M Oz Au, 33 M Oz Ag and 247 K tonnes Cu to 2026.Bnamericas table, Mining Projects 2020-2026

ON EXPLORATION

  • Kootenay Silver Inc. released results from four more drill holes at its Columba project in Chihuahua. Highlighted core length intervals comprise: 1.06 m @ 259 gpt Ag; 7.0 m @ 124 gpt Ag (including 3.6 m @ 197 gpt Ag); 2.8 m @ 762 gpt Ag (including, 1.0 m @ 2,010 gpt Ag); 10.2 m @ 68 gpt Ag (including 0.65 m @ 368 gpt Ag); 4.4 m @ 209 gpt Ag (including 1.4 m @ 484 gpt Ag); 38 m @ 50 gpt Ag (including 0.45 m @ 486 gpt Ag); 6.0 m @ 317 gpt Ag (including 2.0 m @ 865 gpt Ag); 36 m @ 72 gpt Ag (including 1.1 m @ 769 gpt Ag and 4.36 m @ 317 gpt Ag). Drill results show continuity and high grades along nearly 600 meters of strike on the F Vein at depths from 15 to 200 meters.
  • Ridgestone Mining Inc. has resumed activities at its Rebeico project in Sonora. “Core samples from the first three drill holes at the New Year Zone, which encountered abundant sulphides, have been sent to ALS Chemex in Hermosillo for assaying”.
  • Mammoth Resources Corp. announced the return of Centerra Gold Inc. personnel to Mammoth’s Tenoriba project in Chihuahua.
  • Candente Gold Corp. is planning underground work on the El Dorado project in Las Minitas, Nayarit. Rehabilitation of underground workings is to aid in the construction of a 3-D model of unmined blocks and vein structure, to guide potential mining/extraction operations. Drill data from the 2010-2011 campaign would be also incorporated.
  • Defiance Silver Corp. announced the delineation of multiple targets at is San Acacio project in Zacatecas, which include a 1.3 Km by 300 m corridor where a hanging wall mineralizing event has been identified, deep targets along the Veta Grande strike to the SE, and the El Mirador part of the multi-km long La Veta Morada fault. Re-logging and sampling of historical drill holes is to continue, with a 5,000 m drilling program planned on existing targets. Defiance is preparing additional drill permit applications that will test some of the targets that lie outside of the current drill permit.

ON MINING

  • Sierra Metals Inc. informed the Mexican government issued a communication stating “that the effective date for Mining to be deemed an essential service was June 1, 2020. The Company is currently recalling employees from the Bolivar Mine (Chihuahua) to begin a COVID-19 screening process, including a quarantine period, allowing the Company to be ready to commence mining activities on June 1, 2020. The Cusi Mine (Chihuahua), as previously discussed in the May 13, 2020 press release, remains in care and maintenance”.
  • Aura Minerals Inc. announced that the Company filed its interim financial statements for the first quarter of 2020 (Aranzazu, Zacatecas).
  • Impact Silver Corp. announced its financial and operational results for the first quarter of 2020. Silver production was 179 K Oz Ag, with mill feeds from the Guadalupe, San Ramon, Cuchara and Veta Negra mines. At the end of the period the company cash and working capital stood at $3.9 M and $3.4 M respectively. Mining is to resume on June 1st, 2020, following government directions (Zacualpan, Estado de Mexico).
  • Mexus Gold US. Resumed full operational production after the Coronavirus emergency slowdown at its Santa Elena mine in Sonora (not to be mistaken with First Majestic’s Santa Elena mine, also in Sonora).
  • Fortuna Silver Mines Inc. resumed production activities at its San José mine in Oaxaca.
  • Gold Resource Corp. received written government approval to restart its Oaxaca Mining Unit in Oaxaca. “After reviewing Gold Resource Corporation’s safety protocol documentation, the Instituto Mexicano del Seguro Social (IMMS) approved in writing the restart of the Company’s OMU operations on May 25, 2020”.
  • Endeavour Silver Corp. has restarted operations at its three underground mines in Mexico. “The Company filed its mine operating and health plans with, and received approvals from, the Secretariat of Health in Mexico to recommence mining operations”. Guanaceví in Durango, Bolanitos in Durango and El Compa in Zacatecas are ramping up activities to achieve normal operations.
  • Discovery Metals Corp. announced its operating and financial results for the first quarter 2020. By the end of the period Discovery had cash and cash equivalents of $20 M (Cordero, Chihuahua).
  • Minera Capela (Industrias Peñoles) reported a rock-fall that resulted in two deaths and three more casualties in Tehuixtla, Teloloapan, Guerrero.
  • GR Silver Mining Ltd. Informed that due to international logistics and delays caused by the COVID-19 pandemic, the Company is relying on the blanket relief granted by the securities regulatory authorities in Canada to postpone the filing of its Q1 2020 reports. (Plomosas, Sinaloa).
  • Aura Minerals Inc. expects it will be able to gradually and safely resume activities at Aranzazu, Zacatecas, over the next few weeks.

ON FINANCING

  • Canasil Resources Inc. granted 1.75 M incentive stock options to directors, officers, consultants and employees. David Terry has agreed to act as an advisor to Canasil’s board of directors (La Esperanza, Zacatecas).
  • Orex Minerals Inc. intends to undertake a private placement financing to raise gross proceeds of up to $2 M. “Orex intends to use the net proceeds of the Offering to maintain its 40% share of the Sandra-Escobar Project in good standing and fund its 40% share of the upcoming work program, and for general corporate and working capital purposes”.
  • Silver Tiger Metals Inc. (formerly Oceanus Resources) announced it is now trading on the OTCQB, a US interdealer quotation system. Silver Tiger’s common shares also trade on the TSX Venture Exchange under its trading symbol SLVR (El Tigre, Sonora).
  • VanGold Mining Corp. adopted a warrant acceleration bonus program for its outstanding share purchase warrants granted in connection with the company’s 2019 private placement financing (El Pinguico, Zacatecas).
  • Equinox Gold Corp. reports that from April 1 to May 25, 2020, warrants s held by various security holders have been exercised for net proceeds of approximately $145 M. “As at May 26, 2020, the Company’s cash balance is more than $480 million” (Los Filos, Guerrero).
  • Southern Silver Exploration Corp. announced that the TSX Venture Exchange has approved the extension of the expiry date of certain of the company’s outstanding common share purchase warrants for an additional two years, with the expiration date now from June 2022 to September 2022 (Cerro Las Minitas, Durango).
  • Ridgestone Mining Inc. common shares are now listed on the Frankfurt Stock Exchange, broadening the corporation’s shareholders base in Europe (Rebeico, Sonora).
  • Aztec Minerals Corp. has engaged “Commodity-TV and Rohstoff-TV for an initial three month period to assist with Aztec’s investor relations activities. Pursuant to an agreement dated May 20, 2020, Aztec will pay C&R-TV €9000 plus expenses. C&R-TV is based in Switzerland and will introduce Aztec to its European investor network” (Cerro Cervantes, Sonora).
  • Vizsla Resources Corp. entered into an agreement with Canaccord Genuity Corp. for a bought deal purchase of shares for C$4 M in gross profits (Panuco, Sinaloa).
  • DynaResources Inc. closed a financing agreement with Golden Post Rail, LLC. and with certain individual shareholders of DynaUSA. Golden Post acquired a convertible promissory note of $2.5 M, bearing interest at 10% and maturing two years from the execution date. The other purchaser acquired convertible security notes in the amount of $1.4 M, bearing interest at 10% and maturing two years from the date of issuance (San Jose de Gracia, Sinaloa).
  • Minaurum Gold Inc. closed its previously announced brokered private placement offering, for aggregate gross proceeds of $5 M (Alamos Silver, Sonora).
  • Telson Mining Corp. closed a second and final tranche of the non-brokered private placement announced on December 27, 2019, for gross proceeds of $196.6 K (Tahuehueto, Durango).
  • Golden Tag Resources Ltd. Announced a non-brokered private placement for gross proceeds of up to $1.12 M. “Subsequent to closing of the Financing, the Company will have cash balances of approximately $2.1 million, and no debt” (San Diego, Durango).
  • Solaris Resources Inc. completed a non-brokered private placement financing raising gross proceeds of C$20 M (La Verde, Michoacan).
  • Mammoth Resources Corp. announced a non brokered private placement for gross proceeds of up to $131 K (Tenoriba, Chihuahua).
  • Consolidated Zinc Ltd. announced that the fully underwritten pro-rata non-renounceable entitlements offer to raise $1.73 M on the basis on 1 new share for every 3 shares held at the record date has closed (Plomosas, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Mexican Gold Mining Corp. announced the company will resume activities at Las Minas, Veracruz, in July of 2020, with the goal of having all the necessary inputs for a preliminary economic assessment (PEA) study completed by the end of the year. A 3,000 m drilling program has been designed to expand and upgrade the current resource at El Dorado and continue exploration at the Cinco Señores and Changarro areas. A comprehensive metallurgical study is to be elaborated, as well as an airborne LIDAR on 50 square Km to map the ground surface to 10 Cm resolution.
  • Golden Minerals Co. announced the filing on SEDAR of a preliminary Economic assessment (PEA) for its Rodeo property in Durango.
  • Bacanora Lithium PLC. updated on activities at its Sonora Lithium project in Sonora. The pilot plant in Hermosillo is to remain closed until authorities lift the Coronavirus pandemic restrictions. Completion of the flow sheet engineering will provide an engineering, procurement and construction style engineering proposal to produce downstream battery grade lithium products, is now scheduled for end of Q4, 2020. from Sonora.
  • Discovery Metals Corp. informed that to date the company has completed 17,500 m (48 holes) of its planned 30,000 to 35,000 phase 1 drill program, demonstrating near-surface higher-grade potential over a strike length of 1,250 m, intercepting multiple sulfide veins with grades over 1 kilogram silver per tonne at its Cordero project, Chihuahua.

ON DEALS AND CORPORATE ISSUES

  • Mithril Resources Ltd. has completed the acquisition of Sun Minerals Pty Ltd., which holds and exclusive option to acquire the high-grade Copalquin project in Durango. The company issued 673.85 M ordinary shares for the acquisition of all the issued capital of Sun Minerals. Mithril also issued 10 M ordinary shares and paid US$200 K to Compañía Minera Copalquin, S.A. de C.V., and issued 225 M performance rights.
  • Candente Gold Corp. informed the memorandum of understanding (MOU) the company signed with Magellan Acquisition Corp. giving Candente the right to earn up to a 100% interest in both the SDA plant and the El Dorado property, in Nayarit, has been amended such that a payment of US$5 K is being paid upon signing the revised MOU and the payment of shares upon completion of due diligence and a definitive agreement to earn 10% interest has been increased from 4 M shares to 5 M shares, all other terms remain the same. The MOU is subject to TSX Venture approval as well as due diligence and execution of a definitive agreement.
  • Sonoro Metals Corp. has published a revised version of its Cerro Caliche project development report dated May 22, 2020. As a result of a review by the British Columbia Securities Commission, Sonoro withdrew an April 28, 2020 version of this project development report as it contained certain technical disclosures that did not comply with National Instrument 43-101 standards of disclosure for mineral projects. The revised report is not a technical report as defined by NI 43-101 and has been updated to address those disclosure issues and is now available on the Cerro Caliche project page of the Company’s website.

ON SOCIAL RESPONSIBILITY

  • Minera Peña Colorada donated 1000 sets of groceries to aid the most needed families in Cuatitlán de García Barragán, Jalisco.
  • Grupo Mexico donated 23 respiratory ventilators to the State of Sonora, to be distributed mainly in the capital hospitals.
  • Fresnillo PLC donated personal medical protection equipment in Caborca, Sonora.
  • Minera Real Bonanza supports the fight against the Covid-19 menace through the Hacienda Santa Ana museum in Real de Catorce, San Luis Potosi.
  • Grupo Mexico Foundation and Fechac delivered health protection kits to hospitals in Ciudad Juárez, Chihuahua.
  • Fresnillo PLC donated a respiratory ventilator to health authorities in Durango.
  • Fresnillo PLC donated medical protection equipment to a hospital in Fresnillo, Zacatecas.
  • The mining industry in Sonora has contributed with sanitizing kits, grocery kits, medical protection sets, hospital equipment, office equipment and public spaces sanitizing. These have benefited 125,813 people with an investment of $64.6 M pesos during April and May 2020, in communities like Cananea, Caborca, La Colorada, Nacozari, Cumpas, Fronteras, Magdalena, San Javier and Esqueda.

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

On the image below: White, granular quartz-graphite vein, Hermosillo District, Sonora. Picture by Jorge Cirett.

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The Mining and Exploration News in Mexico: Highlights on the Fourth Week of April, 2020.

Cervantite crystals in jasperoids

By Miguel A Heredia

During the seventeen week of the year (April 20th to April 20th, 2020), at least 41 press releases were announced by companies working in Mexico, with ten discussing issues on social responsibility, six informing on exploration results, six, commenting on Mexican issues, six announcing financing rounds, five communicating production and financial results, four disclosing deals and corporate issues and four reporting on resources and developments.  ON MEXICO ISSUES, The Mexican Federal Government has ordered an extension of the suspension of non-essential activities in Mexico until May 30, 2020 in response to COVID-219 pandemic. Firms affiliated to the Mexican Mining Chamber joined to fight against the COVID-19 pandemic.  The Secretary of Economic Development of the State of Colima requested the release of the Mining Fund to face contingency caused by COVID-19 pandemic. The Government of Mexico ordered to paralyze the mining sector from March 30 to May 30, not considering it an essential activity. The Secretary of Tax Administration (SAT) owes USD $1B to mining companies operating in Mexico. A senator of the MORENA party promotes that mining to be considered essential activity. ON EXPLORATION, In Sonora, Riverside defined high-grade targets and received drill permits for its Los Cuarentas project, and Silver Viper reported high-grade drilling results from its La Virginia project. In Chihuahua, Consolidated Zinc identified widespread Au with high-grade potential at its Plomosas project. In Sinaloa, Oroco filed a revised technical report on its Santo Tomas project. In Jalisco, GoGold released results from twelve drill holes collared at its Los Ricos project. In Guanajuato, VanGold announced it is planning its 2020 campaign to advance its El Pinguino project.   ON MINING, Consolidated Zinc suspended operation since April 6, 2020 at its Plomosas mine in Chihuahua due to the COVID-19 pandemic and expects to restart activities on varying dates from May 01 to May 31, based on the pandemic status in their location. Gold Resource reported Q1, 2020 production results from its El Aguila mine in Oaxaca.  Premier Gold reported Q1, 2020 production results from its Mercedes mine in Sonora. Santacruz Silver suspended operations at its Zimapan mine in Hidalgo due to COVID-19 pandemic. ON FINANCING, Aloro reported the cancelation of its previously announced non-brokered private placement (Los Venados, Sonora). Golden Minerals entered into a definitive agreement with some investors to raise approximately $3M (Velardeña project, Durango). One World Lithium announced a non-brokered private placement for gross proceeds of up to $1M (Salar del Diablo project, Baja California Norte). SilverCrest closed a non-brokered private placement with SSR Mining for gross proceeds of CAD $27M (Las Chispas, Son). SSR Mining secured CAD $0.5M gain from exercise of Silver Crest equity participation right. Consolidated Zinc announced its plan to raise funds for approximately $1.7M.  ON RESOURCES AND DEVELOPMENT, Capstone released results from five infill and twenty two step-out drill holes collared at its Cozamin mine in Zacatecas. GR Silver announced historical drilling results from its Plomosas Silver project in Sinaloa. Consolidated Zinc reported high-grade drilling and channel sample results as part of its inferred to indicated category conversion resources at its Plomosas mine in Chihuahua. Prime Mining announced results from new surface trenches and road cuts on its Los Reyes project in Sinaloa. ON DEALS AND CORPORATE ISSUES, One World Lithium renewed the agreement with its IR consulting firm and granted them with stock options.  Excellon announced the acquisition of Otis Gold (Platosas mine, Durango). Argonaut and Alio announced its plan to merge and create a diversified intermediate producer in North America (El Castillo mine, Durango). Great Panther announced changes to its board of directors and senior management team (Topia mine, Durango). ON SOCIAL RESPONSIBILITY, Argonaut Gold implemented a sanitation campaign in public spaces, local businesses, offices, homes and streets in the La Colorada community, in Sonora. Bylsa Drilling and SilverCrest provided support and raised awareness in the Rio Sonora community about the importance of being aware and taking the necessary measures to prevent the spread of COVID-19. Esperanza Silver delivered pantries to local communities and protection equipment to doctors and nurses in Cuernavaca and Temixco communities in Morelos state. In Zacatecas, two new water wells were put into operation with resources from the Mining Fund. Minera Peñasquito donated supplies to local hospitals where it is operating and delivered 1,000 pantries in Mazapil to adults over 60 years of age, pregnant women and people with disabilities from 25 communities neighboring their mining operation.  Minera San Xavier (New Gold Inc.) continued the donations of medical material In the face of the health emergency caused by the COVID-19 pandemic. Orbia (former Mexichem) announced that it will donate 50,000 inhalers to the Mexican Institute of Social Security (IMSS), in the face of the health emergency caused by the COVID-19. Grupo México donated MXP $1.3M and equipment for Red Cross rescuers of Hermosillo, Sonora to face the health contingency experienced in the state. Pan American donated 900 pantries to the local communities around its La Colorada and Dolores mines, located in Zacatecas and Chihuahua respectively.

ON MEXICO ISSUES

  • The Mexican Federal Government, ordered an extension of the suspension of non-essential activities in Mexico until May 30, 2020 to combat the spread of the COVID-19 virus. The directive provides for a potential re-start of operations following May 18, 2020 for operations located in municipalities exhibiting low, or no, cases of COVID-19. Mining companies operating in Mexico are aligned with this decree and will be evaluating zones with the least COVID-19 impact for potential earlier start-up.
  • The Mexican Mining Chamber, announced that their affiliated firms have jointed to fight together against the COVID-19 pandemic. The mining industry has implemented very strict Health and Prevention Protocols in each of its operations since the declaration of the pandemic by the World Health Organization (WHO). The companies affiliated to the Mining Chamber of Mexico have communicated to the authorities that if they allowed continuity they would be unable to operate with less than 50% of the personnel in the field, under the health conditions dictated by the national authorities and applied by international good practices. Mining reaffirms its commitment to the more than 690 communities that host its operations, by implementing joint actions for the care and well-being of its inhabitants and collaborators. 110 joint actions have been carried out with authorities.
  • The Secretary of Economic Development of the State of Colima, requested the release of the Mining Fund to face the contingency caused by the CIVID-19 pandemic and strengthens companies to retain jobs. During the dialogue, the progress made on the commitments made by the State Government in the first extraordinary session was also announced, including tax benefit packages, financial support to companies and the implementation of the Emergent Food Assistance Program.
  • The Government of Mexico, ordered to paralyze the mining sector from March 30 to May 30, not considering it an essential activity. However, mining companies are working to bring health to the regions where they operate. On April 20, the Mining Chamber of Mexico(CAMIMEX) issued a report on the actions in favor of public health undertaken by 29 mining groups affiliated with the Chamber, which they represent 85% of the national mining production and generate around 379,000 direct jobs. Likewise, these mining companies have 182 paramedics, 123 doctors and 74 nurses available to the mining communities, and have a presence in 212 municipalities in Mexico, where they operate. 442 medical units, have 3,362 beds for hospital care, and have supported 10,657 people. “The mining industry reaffirms its commitment to Mexico by being essential as a supplier of raw materials for industrial chains that produce food, medicine, equipment and medical tools, telecommunications, chemicals, among others”, declared Although the mining sector has always supported health of its collaborators and neighboring communities, today, due to the pandemic coronavirus, mining companies make an extra effort to help Mexican society face this health crisis.
  • The Secretary of Tax Administration (SAT) owes USD $1B in VAT to mining companies operating in Mexico. According to the president of CAMIMEX, it is estimated that “in our sector, close to a billion dollars of VAT have been accumulated that the authority has not returned, which has put the flow of several of them at risk.” This is in addition to the economic consequences of social distancing measures and the cessation of non-essential activities, including mining.
  • A senator of the official MORENA party, has asked to the Senate board of directors to consider mining as an essential activity. He promotes to reactivate the mining sector to counteract the economic and social damages caused by the COVID-19 pandemic.

ON EXPLORATION

  • Riverside Resources Inc., defined high-grade gold targets and received drill permits for its Los Cuarentas project in Sonora. The rock-chip sampling returned anomalous Au > 0.2 g/t on 30% of the samples, with high- grade Au samples including 18 g/t, 12.3g/t, 3 g/t, and 3 g/t.  It also identified three new prospective structures: El Sombrerito, defined by a series of old workings;  El Sombrero Norte, mostly covered  by post-mineral andesites; and Rosalia Norte, defined by  steam heated alteration mineralogy and the presence of silicified rhyolite dikes. Riverside announced that it has received the drill permits from the Sonoran Environmental Agency to support further exploration and drilling at its project.
  • Silver Viper Minerals Corp., released results from seven drill holes collared at its La Virginia project in Sonora. Significant drill intersections were encountered in hole LV20-224 with 3.55 g/t Au and 80 g/t Ag over a true width (TW) of 5.20m, including 8.31 g/t Au and 453 g/t Ag over a TW of 0.74m, including 14.4 g/t Au and 12 g/t Ag over a TW of 0.74m, and 0.56 g/t Au and 21 g/t Ag over a TW of 1.11m; and hole LV20-229 with 0.3 g/t Au and 22 g/t Ag over a TW of 4.55m, and 1.27 g/t Au and 106 g/t Ag over a TW of 0.33m, and 0.84 g/t Au and 13 g/t Ag over 11.05m, including 10.9 g/t Au and 12 g/t Ag over a TW of 0.65m, and 2.47 g/t Au and 65 g/t Ag over a TW of 1.95m, including 5.16 g/t Au and 31 g/t Ag over 0.65m, and 16.8 g/t Au and 31 g/t Ag over a TW of 0.98m, including 43.7 g/t Au and 40 g/t Ag over a TW of 0.33m, including 6.12 g/t Au and 31 g/t Ag over a TW of 00.33m, and 2.73 g/t Au and 49 g/t Ag over a TW of 0.33m. Currently, al, field activities were paused and drill equipment is stored on site awaiting a restart order.
  • Consolidated Zinc Limited, identified widespread Au with high-grade potential at its Plomosas project. During a reconnaissance sampling. Highlighted rock chip results from the La Chona and Enrique areas include 6.21 g/t Au and 8 g/t Ag on a gossan, 4.75 g/t Au and 8 g/t Ag, 3.32 g/t Au and 6 g/t Ag, and 2.32 and 6 g/t Ag on limestone/quartz veining, and 1.45 g/t Au, 6 g/t Ag, and 0.64% Cu and 0.82 g/t Au, 3 g/t Ag, and 0.60% Cu on limestone/Fe-Cu Ox. Additionally, mapping has identified mineralized structures to the north of La Chona and Enrique vein systems, related to a large structural lineament. Results from this program are encouraging and further exploration is planned to develop the interpretation of the mineralized systems. Exploration will continue to focus on the La Chona-Enrique system and along the extensions that occur in the northwest.
  • Oroco Resource Corp., filed a revised technical report on the core concession of its Santo Tomas project in Sinaloa. Key revisions focused on the format and cautionary parameters around the disclosure of historical mineral resource estimates.
  • GoGold Resources Inc., released results from twelve drill holes collared at its Los Ricos project in Jalisco. Significant results were encountered in holes LRGG-20-132 with 0.41 g/t Au and 80 g7t Ag (1.48 g/t AuEq or 111 g/t AgEq) over a width of 49.4m, including 5.42 g/t Au and 865 g/t Ag (16.95 g/t AuEq or 1,271 g/t AgEq) over a width of 3m; and hole LRGG-20-135 with 1.06 g/t Au and 133 g/t Ag (2.82 g/t AuEq or 212 g/t AgEq) over a width of 22.6m, including 1.29 g/t Au and 200 g/t Ag (3.96 g/t AuEq or 297 g/t AgEq) over a width of 11.3m. Drilling at the Los Ricos projects is temporarily suspended due to COVID-19 to ensure the safety of the Company’s employees, contractors, and surrounding communities, in compliance with the Mexican Federal government’s mandate that all non-essential business temporarily suspend activities.
  • VanGold Mining Corp., announced it is planning its 2020 campaign to advance its El Pinguino project in Guanajuato. The Company is actively engaged with three separate initiatives: processing a substantial bulk sample through a local mill, making accessible an additional 30 meters of vertical distance at the bottom of the El Pinguico shaft, and developing a comprehensive drill plan to be initiated in late summer/early fall.

ON MINING

  • Consolidated Zinc Limited, suspended operation at its Plomosas mine in Chihuahua due to the COVID-19 pandemic and expects to restart activities on varying dates from May 01 to May 31, based on the pandemic status in their location. During the enforced closure of the mine and plant since the 6 April 2020 essential services have repaired key equipment, replaced pumps, completed overhauls on generated power supply equipment and maintained e ready to operate when the Mexican Government allows a return to work.
  • Gold Resource Corporation, reported Q1 2020 production results from its El Aguila mine in Oaxaca. It produced 6,450 Oz Au, 402.5K Oz Ag, 1.1M Lb Cu, 5.6M Lb Pb, and 123.1M Lb Zn.
  • Premier Gold Mines Limited, reported Q1 2020 production results from its Mercedes mine in Sonora. It produced 11,587 Oz Au for the period. The production was impacted by the COVID-19 pandemic. The mine was placed into care and maintenance pursuant to the decree from the Mexican Federal Government which took effect March 30, 2020.
  • Santacruz Silver Mining Ltd., suspended operations at its Zimapan mine in Hidalgo until April 30. Subject to government regulations and other health expert input, activities are expected to re-commence on or about May 1, 2020 or at such other date as mandated by Mexican authorities.

ON FINANCING

  • Aloro Mining Corp., reported the cancelation of its previously announced non-brokered private placement due to COVID-19 pandemic and market conditions (Los Venados project, Sonora).
  • Golden Minerals Company, entered into a definitive agreement with some investors to raise funds for approximately $3M. Gross proceeds will be used to advance its Rodeo and Velardeña properties in Durango.
  • One World Lithium, announced a non-brokered private placement for gross proceeds of up to $1M. Gross proceeds will be used to conduct a drilling program at its Salar del Diablo project, Baja California Norte).
  • SilverCrest Metals Inc., closed a non-brokered private placement with SSR Mining for gross proceeds of CAD $27M. Net proceeds will be used to advance its Las Chispas project in Sonora. With this financing, SilverCrest makes a cash balance of CAD $234M in its treasury. In turn, SSR Mining entered into a transaction for resale of the common shares to a corporation beneficially controlled by Eric Sprott.
  • RSS Mining, secured a gain of CAD $0.5M from the exercise of some common shares of SilverCrest to a third party beneficially controlled by Eric Sprott.
  • Consolidated Zinc Limited, announced its plan to raise gross proceeds for approximately $1.7M. Gross proceeds will be used for the exploration of Au prospects at its Plomosas mine in Chihuahua, to repay unsecured loans, and for working capital.

ON RESOURCES AND DEVELOPMENT

  • Capstone Mining Corp., released results from five infill and twenty two step-out drill holes collared at its Cozamin mine in Zacatecas. To date, 177 holes of the 200 program have been completed. The most significant drill intersections were encountered in hole CG-20-S471 with 7.58% Cu, 0.26% Zn, 0.01% Pb, and 113 g/t Ag over a true width (TW) of 5.1m, including 9.61% Cu, 0.32% Zn, 0.01% Pb, and 141 g/t Ag over a TW of 3.7m; hole CG-20-S473 with 5.16% Cu, 0.15% Zn, and 92 g/t Ag over a TW of 5.2m, including 7.38% Cu, 0.21% Zn, and 131 g/t Ag over a TW of 3.4m; hole SG-20-S466 with 3.70% Cu, 0.12% Zn, and 64 g/t Ag over a TW of 7.3m, including 6.16% Cu, 0.19% Zn, and 105 g/t Ag over a TW of 2.9m; hole CG-20-S476 with 5.94% Cu, 0.18% Zn, and 101 g/t Ag over a TW of 3.2m; and hole CG-20-S470 with 4.87% Cu, 0.23% Zn, and 131 g/t Ag over a TW of 16.7m, including 6.95% Cu, 0.40% Zn, and 213 g/t Ag over a TW of 7.2m.
  • GR Silver Mining Ltd., announced historical drilling results from its Plomosas silver project in Sinaloa. The most significant drill results were in hole SD-45 with 26.9 g/t Au, 44 g/t Ag, 1.2% Zn, and 0.1% Pb over a true width (TW) of 1.5m, and 4.7 g/t Au, 12 g/t Ag, 0.5% Zn, and 0.1% Pb over a TW of 12.2m; hole PLI17-01 with 1.7 g/t Au, 7 g/t Ag, 1.0% Zn, and 1.3% Pb over a TW of 18m, including 11.9 g/t Au, 22 g/t Ag, 0.1% Zn, and 0.2% Pb over a TW of 2.1m; and hole SD-10 with 0.8 g/t Au, 26 g/t Ag, 4.8% Zn, and 6.0% Pb over a TW of 50.6m, including 1.9 g/t Au, 65 g/t Ag, 15.7% Zn, and 15.5% Pb over a TW of 13.4m.
  • Consolidated Zinc Limited, reported high-grade channel samples and drilling results as part of its inferred to indicated category conversion resources at its Plomosas mine in Chihuahua. Significant drilling intersections were encountered in hole LV7065 with 24.8% Zn, 8.3% Pb, and 69 g/t Ag over a width of 3.3m; hole LV8023 with 14.2% Zn, 5.4% Pb, and 49 g/t Ag over a width of 5.30m; and hole LV 8025 with 22.5% Zn, 7.5% Pb, and 36 g/t Ag over a width of 3.5m. In addition, 44 channel samples were taken perpendicular to bedding at 2 to 3 m spacing for a total of 97 samples. Significant assays were LV913006 with 43% Zn, 13.5% Pb, and 83 g/t Ag over a true width (TW) of 2.2m; LV913012 with 36.6% Zn, 20.4% Pb, and 139 g/t Ag over a TW of 1.8m; LV907006 with 36.4% Zn, 19.4% Pb, and 80 g87t Ag over a TW of 1.9m; LV907005 with 35.2% Zn, 19.9% Pb, and 80 g7t Ag over a TW of 1.9m; LV907009 with 34.1% Zn, 28% Pb, and 80 g/t Ag over a TW of 1.8m; LV907010 with 32.7% Zn, 23.5% Pb, and 99 g/t Ag over a TW of 1m; and LV913008 with 31.9% Zn, 23.7% Pb, and 92 g/t Ag over a TW of 2.5m.
  • Prime Mining Corp., announced results from new surface trenches and road cuts on its Los Reyes project in Sinaloa. The company will integrate the results into the new resource model. Highlights of the surface trenching sampling are in GW-3750E with 0.83 g/t Au and 20 g/t Ag over 12m; GW-3720E with 0.68 g/t Au and 20 g/t Ag over 4.5m; and GW-3650E with 0.51 g/t Au and 14 g/t Ag over 1.5m. A highlight of the road cut sampling is GW-R51 with 0.49 g7t Au and 22 g/t Ag over 19.5m. The Guadalupe West deposit has been modeled using the previous drilling along with some new trenching and road cut sample data and a pit constrained resource has been estimated (see below table):

ON DEALS AND CORPORATE ISSUES

  • One World Lithium, renewed the agreement with its IR consulting firm and granted them with stock options. It also granted incentive stock options to three consultants of the company to purchase up to 1.1M common shares at a price of $ 0.01 per common share (Salar del Diablo project, Baja California Norte).
  • Excellon Resources Inc., received final court approval of business combination and announced the acquisition of all of the issued and outstanding common shares of Otis Gold Corp. Under the terms of the Arrangement, Otis shareholders will be entitled to receive 0.23 common shares of Excellon in exchange for each common share of Otis held. The goal is to increase the company precious metals exposure from 50% to 90%.
  • Argonaut Gold , and Alio Gold Inc., announced its plan to merge and create a diversified intermediate producer in North America. Under the terms of the Arrangement Agreement, all of the Alio issued and outstanding common shares will be exchanged on the basis of 0.67 of an Argonaut common share per each Alio share (El Castillo mine, Durango).
  • Great Panther Mining limited, announced changes to its board of directors and senior management team (Topia mine, Durango).

ON SOCIAL RESPONSIBILITY

  • Argonaut Gold Inc., implemented a sanitation campaign in public spaces, local businesses, offices, homes and streets in the La Colorada community, in Sonora to prevent the spread of the COVID-19 virus. The mining company, in accordance with federal and state decrees, maintains the temporary closure of its operation and will continue with this emerging program before COVID-19 with other direct social support for the population.
  • Bylsa Drilling and SilverCrest Metals Inc., provided support and raised awareness in the Rio Sonora community about the importance of being aware and taking the necessary measures to prevent the spread of COVID-19. At strategic points in the communities, companies also provided different supplies in the region, including thousands of liters of antibacterial gel, chlorine, and soap powder to disinfect and reduce the impact of COVID-19. The companies also support the elaboration of mouth covers by women from the community, and facilitation of the materials required for their preparation. Another important task was to clean roads to have quick and safe access in case of emergency.
  • Esperanza Silver SA de CV (Alamos Gold Inc.), delivered pantries to families in the communities of Tetlama and Milpillas in the Municipality of Temixco and protection equipment to doctors and nurses in Cuernavaca and Temixco municipalities in Morelos state. The company delivered 600 KN95 masks and 1,200 pairs of gloves.
  • In Zacatecas state, two new water wells were put in operation with resources from the Mining fund. With a contribution of 2.5M liters of water per day, one of the wells will beneficiate 18,000 people. The second well will provide 970K liters of water daily for the benefit of hundreds of families in the most populated area of ​​Guadalupe.
  • Minera Peñasquito, donates 660 boxes, 50 pairs of disposable gloves, 3,600 mouth covers, 3,700 disposable gowns, 4,350 N95 respirators and 66 gallons of antibacterial gel, in five medical instances in the area of ​​influence from Peñasquito, such as the San Juan de Los Cedros UMR, the Salaverna UMR, the Mazapil Clinic, the IMSS Hospital of Concepción del Oro and the Sanitary Jurisdiction 7. The company also donated 1,000 pantries in Mazapil to adults over 60 years of age, pregnant women and people with disabilities from 25 communities neighboring their mining operation. This action aims to support the population of the communities surrounding the mining operation, but above all, create conditions so that the population does not leave their homes and can have the possibilities and follow the recommendations of the health authorities to reduce the contagion by COVID-19.
  • Minera San Xavier (New Gold Inc.), continued the donations of medical material In the face of the health emergency caused by the COVID-19 pandemic. The donation consisted of tyvek type protection coveralls, with complete superior barrier protection, breathability and durability and N95 respirators, masks with a level of filtration recommended by the World Health Organization, with the aim that they are destined for the medical and nursing personnel who work and who will attend cases of COVID 19 in the local hospital.
  • Orbia (former Mexichem), announced that it will donate 50,000 inhalers to the Mexican Institute of Social Security (IMSS), in the face of the health emergency caused by the COVID-19. The relationship of Orbia with the inhalers that are commonly called ventolins is very close, since with the fluoride that is extracted at the Las Cuevas mine in San Luis Potosi, approximately 80% of inhalers around the world are produced. These devices are essential for those who suffer from respiratory conditions such as asthma and chronic obstructive pulmonary disease.
  • Grupo México , donated MXP $1.3M and 300 personal protective equipment for Red Cross rescuers of Hermosillo, Sonora to face the health contingency experienced in the state. The protective equipment consists of suits, N95 masks and goggles.
  • Pan American Silver Corp., donated 900 pantries to the communities of La Magdalena, Canoas, La Libertad y Sombrerete in the municipality of Chalchihuites Zacatecas, as well as in the community of Arroyo Amplio, a community around of its Dolores mine in Chihuahua. The pantries were delivered to elderly people with disabilities and families from vulnerable sectors. Different actions have been carried out with the communities, such as sanitation at the IMSS, which is open to the community. Donation of antibacterial gel, covers mouths, gloves and basic health check-up.

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, cervantite crystals in jasperoid in a mining prospect in Durango, Mexico.  Photo by Miguel A Heredia.

 

The Mining and Exploration News in Mexico: Highlights on the Fifth Week of January, 2020.

Sulphur crystals in an epithermal hot spring system

By Miguel A Heredia

During the fifth week of the year (January 27th to February 2nd, 2020), at least 33 press releases were announced by companies working in Mexico, with nine discussing issues on social responsibility, eight disclosing deals and corporate issues, five communicating production results, four announcing financial rounds, three reporting on resources and developments, three informing on exploration results, and one commenting on Mexican issues.  ON MEXICO ISSUES, Jorge Vidal Ahumada, Minister of Economy of Sonora State, announced that more of USD $500M will be invested in Sonora in 2020.  ON EXPLORATION, In Sonora, Ridgestone reported high-grade rock sampling from its Rebeico project, and Azure provided a report of the activities carried out during the period Q4, 2019 at its Sara Alicia project. In Chihuahua, Consolidated Zinc identified a high-grade Au system nearby its Plomosas mine.  ON MINING, Excellon, and Santacruz announced Q4 and annual 2019 production results from their Mexican operations. Telson resumed full scale mining and milling operation at its Campo Morado mine in Guerrero. Mexus reported that additional material has been crushed and placed on the leach pad at its Santa Elena mine in Sonora.  Endeavour provided 2020 production and cost guidance for their Mexican mining operations.  ON FINANCING, Azure completed a $4M placement to conduct an aggressive exploration program on its Alacrán project in Sonora, and also announced that it received payments for MXP $16.5M from the Mexican Tax Office for the recovery of IVA (GST). Millrock announced its plan to conduct a non-brokered private placement for gross proceeds of up to $1M (Batamote project, Sonora). Gold Resource declared January 2020 monthly dividend for its shareholders (Arista mine, Oaxaca).  Telson has been marketing a non-brokered private placement for gross proceeds for up to CAD $3M (Campo Morado mine, Guerrero).  ON RESOURCES AND DEVELOPMENT, Azure announced results from the activities performed at its Alacrán and Oposura project in Sonora in the period Q4, 2019. Great Panther announced 2019 exploration results and 2020 plans for its Mexican operations. Minera Alamos entered into a purchase agreement to acquire a crushing system for its Santana mine in Sonora. Endeavour updated 2019 mineral reserve and resource estimate for its three Au-Ag Mexican mines. ON DEALS AND CORPORATE ISSUES, Bacanora Lithium announced results from its annual general meeting of shareholders (Bacanora project, Sonora). Plata Latina entered into an agreement with Electrum for its three Mexican properties (Vaquerias, Palo Alto, and La Joya). Minaurum signed an option to acquire 100% of the Aurifero Gold project in Sonora, expanding its land control in the Alamos mining district. Mexican Gold announced that it entered into a binding letter agreement to complete business combination with New Found Gold (Las Minas, Veracruz). Equinox Gold and Leagold shareholders approved merger to create a premier Americas Au producer (Los Filos mine, Guerrero). Minera Alamos entered into a purchase agreement to acquire a crushing system for its Santana mine in Sonora. Mithril announced results from their 2019 activities, which consisted mainly on the Sun Minerals acquisition and the exclusive option to acquire 100% of the Copalquin project in Durango. Fortuna provided an update on the status of disputed royalty in one of its extractive mining concessions in its San Jose mine in Oaxaca. ON SOCIAL RESPONSIBILITY, The Mexican President, Luis Manuel López Obrador (AMLO) thanked Peñoles for joining the program “Youth Building the Future”. Governor of Sonora, Claudia Pavlovich Arellano, opened the Community House of Argonaut Gold Inc in La Colorada, Sonora. A labor agreement between the municipality of Guadalupe and Calvo, Chihuahua and Fresnillo plc (San Julian mining company) was signed to hire personnel to work at the mine. Fresnillo plc demonstrates Social Responsibility since it works on four strategic axes including education, health, capacity development, and environmental care. Grupo Mexico delivered seed capital in Nueva Rosita, Coahuila, and presented a large urban development project for San Luis Potosi. Minera Media Luna (Torex Gold) supported local communities nearby its Mexican mining operation in Guerrero with medical equipment. Minera Peñasquito (Newmont Goldcorp) delivered tractors and agricultural equipment to the inhabitants of the Ejido El Vergel in the municipality of Mazapil, Zacatecas. Newmont Goldcorp was recognized for its high social, environmental and corporate governance performance, which places it as a leader in the mining sector worldwide.

ON MEXICO ISSUES

  • The Minister of Economy of Sonora, Jorge Vidal Ahumada announced that more than USD $500M will be invested in Sonora in the mining sector in 2020.

ON EXPLORATION

  • Ridgestone Mining Inc., reported high-grade rock sampling results of 188 samples collected at its Rebeico project in Sonora in an area of 200m by 100m with widths between 1-3m. Highlights include up to 12.95 g/t Au, with 8 samples returning > 4 g/t Au, 30 samples returning > 1 g/t Au, and 33 samples returning between 0.1-1.0 g/t Au. It also reported that 73 samples returned >0.1% Cu, with 14 samples returning >0.4% Cu with a peak of 0.65% Cu. High Bi values associated with Au and Cu suggests a proximal intrusion-related mineralized system. Mineralization is hosted by brecciated andesite with variable amounts of gossan ± magnetite ± quartz, as well as chloritized and fractured andesites peripheral to the brecciated zones.
  • Azure Minerals Limited, provided a report of the activities carried out during the period Q4, 2019 at its Sara Alicia project in Sonora. It acquired 100% of the Sara Alicia II mining concession. Azure had acquired the original Sara Alicia mining concession in 2017 but also it was recognized that a second, adjoining mining concession named Sara Alicia II had been cancelled by the mining registry. After almost 2 years later, the Federal Appeal Court ruled the cancellation was invalid and title of the concession was restored to a local Mexican family who had owned both Sara Alicia mining concessions since the 1930s. For a consideration of USD $80K, a purchase agreement between the owners and Azure was executed and 100% ownership of the Sara Alicia II concession was transferred to Azure. With the control of the ground now confirmed, the company plans to conduct geological mapping, sampling and a geophysical survey in H1, 2020.
  • Consolidated Zinc Ltd, identified with regional exploration, a high-grade Au system located 3 -5Km NW of its Plomosas mine. Rock chip sampling at La Chona-Enrique and Potrero targets returned encouraging results with grades of 2.55 g/t Au; 4.77 g/t Au; 7.42 g/t Au; 27.5 g/t Au, and 61 g/t Au, and 2.19% Cu; 2.88% Cu, 2.91% Cu, and 4.06% Cu. La Chona-Enrique areas consist of narrow quartz-calcite-hematite veins with malachite from 0.3-1.2m wide, which have been interpreted to be mesothermal in origin. Potrero target consists of a dominant felsic intrusive that appears to be responsible of the brecciation and alteration of the host rock. Mapping and sampling of these target areas is ongoing in order to define drill targets.

ON MINING

  • Excellon Resources Inc., announced Q4 and annual 2019 production results from its Platosa mine in Durango. The company mined 19,622 tonnes and processed 19,828 tonnes of 435 g/t Ag, 4.8% Pb, and 6.4% Zn, recovering 91.7%, 80.2%, and 76.5% respectively to produce 259.3K Oz Ag, 1.7M Lb Pb, and 2M Lb Zn. During the full year, the company mined 74,876 tonnes and processed 75,247 tonnes of 497 g/t Ag, 4.8% Pb, and 6.9% Zn, recovering 89.9%, 79.4%, and 80.8% respectively, to produce 1.05M Oz Ag, 6.1M Lb Pb, and 8.4M Lb Zn.
  • Santacruz Silver Mining Ltd., reported Q4 and full year 2019 production and financial results from their Zimapan, Veta Grande and Rosario mining operations. During Q4, 2019, the company processed from its Zimapan mine in Hidalgo State, 161,071 tonnes of 72 g/t Ag, recovering 66.4%, to produce 248.6K Oz Ag, 1.56M Lb Pb, 5.8M Lb Zn, and 1.1M Lb Cu (996K Oz AgEq at a grade of 282 g/t AgEq). During the full year 2019, the company processed 243, 313 tonnes of 73 g/t Ag, recovering 69.9%, to produce 400K Oz Ag, 2.6M Lb Pb, 9.1M Lb Zn, and 1.8M Lb Cu (1.6M Oz AgEq at a grade of 284 g/t AgEq). From its Veta Grande mine in Zacatecas, it processed 36,111 tonnes of 102 g/t Ag, recovering 45%, to produce 53.6K Oz Ag, 116 Oz Au, 620K Lb Pb, and 1.2M Lb Zn (193.7K Oz AgEq at a grade of 297 g/t AgEq). During the full year 2019, it processed 149.9K tonnes of 105 g/t Ag, recovering 47.1%, to produce 237.7K Oz Ag, 457 Oz Au, 2.4M Lb Pb, and 4.4M Lb Zn (761K Oz AgEq at a grade of 286 g/t AgEq). During Q4,2019 Santacruz processed from its Rosario mine in San Luis Potosi, 22,972 tonnes of 64 g/t Ag, recovering 90.6%, to produce 43.1K Oz Ag, 163 Oz Au, 195K Lb Pb, and 849K Lb Zn (134.5K Oz AgEq at a grade of 214 g/t AgEq). During the full year 2019, it processed 76,088 tonnes of 65 g/t Ag, recovering 93.4%, to produce 149.7K Oz Ag, 642.9K Lb Pb, and 3M Lb Zn (465.6K Oz AgEq at a grade of 218 g/t AgEq).
  • Telson Mining Corporation, resumed full scale mining and milling operation at its Campo Morado mine in Guerrero. The initial production after resuming operations is for 1,750 tonnes per day but intending to increase it to 2,000 tonnes per day or more in the coming weeks.
  • Mexus Gold US, crushed and placed additional material from Don Julio vein on the heap leaching pad of its Santa Elena mine in Sonora. The Julio and Lucky Strike open pit keep expanding with 1.2-9 g/t Au and an overall average of 4 g/t Au.
  • Endeavour Silver Corp., provided 2020 production and cost guidance for its Mexican mining operations. The table below shows figures for each of its three Au-Ag mines in Mexico:

Endeavour also announced that it plans to spend $5.4M drilling 18,500m of core on brownfield projects, greenfield exploration and development of its mines and projects.

ON FINANCING

  • Azure Minerals Limited, completed a $4M placement to conduct an aggressive exploration program on its Alacrán project in Sonora. Gross proceeds will be used to perform drilling to increase mineral resources at its Bonita deposit, conduct greenfield exploration and target definition at its Alacrán project, and to restart metallurgical testwork on its Mesa de Plata and Loma Bonita deposits. The company also mentioned that it received payments for MXP $ 16.5M from the Mexican Tax Office for the recovery of IVA (GST).
  • Millrock Resources Inc., announced its plan to raise gross proceeds from a non-brokered private placement for up to $1M (Batamote project, Sonora). Gross proceeds will be used to advance exploration on their current projects as well as to generate new ones.
  • Gold Resource Corporation, declared January 2020 monthly dividend of one-third of a cent per common share for its shareholders (Arista mine, Oaxaca).
  • Telson Mining Corporation, has been marketing a non-brokered private placement for gross proceeds for up to CAD $3M. It has completed subscription agreements for total proceeds of approximately CAD $1.89M and is planning to conduct a first tranche initial closing on proceeds ones the TSX approve it (Campo Morado mine, Guerrero).

ON RESOURCES AND DEVELOPMENT

  •  Azure Minerals Limited, announced results from the activities performed at its Alacran and Oposura project in Sonora in the period Q4, 2019. At Alacrán, the company commenced an RC infill and expansion drilling program at its Loma Bonita deposit which is open for expansion in several directions. The goal is to increase the current Au and Ag resources which count for 32.2M Oz Ag and 150K Oz Au. To date, 10 RC holes have been collared and the most significant drill intersects are in hole MDPD-025 with 0.56 g/t Au and 27 g/t Ag over 29.6m: hole MDPD-035 with 0.37 g/t Au and 8 g/t Ag over 12.6m; and hole ALA-17-004 with 0.47 g/t Au and 27 g/t Ag over 63.0m. The company also reported channel sampling results of a road cutting in Loma Bonita which returned 3.6 g/t Au over continuous 35.5m wide, and several high grades results from the sampling of historical mine dumps located 11.5-2km S and SE of the Cerro El Alacrán porphyry hosted Cu-Au-Mo ore body. 21 samples were collected with 10 samples returning > 1 Kg Ag (average of 1.07Kg Ag/t), 17 samples with >1 g/t Au (average of 4.43 g/t Au), 10 samples returning over 1% Cu (average of 0.95% Cu), 12 samples returning > 10% Pb (average of 14.9% Pb), and 10 samples returning  over 10% Zn(average of 9.3% Zn). At Oposura, Azure continued to trial, asses and advance several processing for producing saleable bulk concentrate of 35% Zn, 20% Pb, and 140 g/t Ag, as well as to produce separate high grade Zn and Pb concentrates. It also is considering off-take options for direct shipping ore and bulk concentrates.
  • Great Panther Mining Limited, announced 2019 exploration results and provided 2020 plans for its Mexican mining operations. At San Ignacio mine, Guanajuato, the company drilled 7,535 m in 30 in-fill holes. Most significant drill intersections were encountered in hole ESI19-253 with 2.84 g/t Au and 125 g/t Ag (352 g/t AgEq) over a true width of 1.15m; hole ESI19-254 with 5.78 g/t Au and 6 g/t Ag (469 g/t AgEq) over a true width of 1.20m; hole ESI19-267 with 3.69 g/t Au and 191 g/t Ag (486 g/t AgEq) over a true width of 1.09m; hole ESI19-276 with 1.63 g/t Au and 292 g/t Ag (422 g/t AgEq) over a true width of 1.38m; and hole ESI19-277 with 20.53 g/t Au and 816 g/t Ag (2,458 g/t AgEq) over a true width of 0.59m. 2020 plans for San Ignacio will comprise up to 8,500m of in-fill drilling as well as to test additional exploration targets. An update of the mineral resource estimate will be presented in Q1, 2020. At its Guanajuato mine, the company took the decision to put on hold the production in 2019 in order to focus on finding higher grade resources. Great Panther drilled 126 in-fill holes for a total of 8,832 m., mainly underground. Additionally, the company geologists have re-mapped and sampled most accessible areas to develop multiple targets. Significant drill intersection were encountered in hole UGPM19-017 with 1.3 g/t Au and 364 g/t Ag (468 g/t AgEq) over a true width of 3.52m; hole UGPM19-020 with 3.93 g/t Au and 77 g/t Ag (398 g/t AgEq) over a true width of 5.63m: hole UGP-028 with 2.58 g/t Au and 1,042 g/t Ag (1,249 g/t AgEq) over a true width of 2.51m; hole UGDP19-002 with 3.16 g/t Au and 457 g/t Ag (710 g/t AgEq) over a true width of 5.89m; hole UGDP19-013 with 4.32 g/t Au and 863 g/t Ag (1,209 g/t AgEq) over a true width of 4.96m; hole SP19-003 with 3.97 g/t Au and 1,436 g/t Ag (1,754 g/t AgEq) over a true width of 3.53m; and hole UGV19-010 with 2.45 g/t Au and 472 g/t Ag (668 g/t AgEq) over a true width of 2.30m. The 2020 in-fill drilling program will consists of 14,400m focused on building mineral resources along the Veta Madre structure. An update of the Guanajuato mineral resource estimate will be released in Q1, 2020. At its Topia mine in Durango, the company drilled 25 in-fill holes for a total of 5,344 m to build mineral resources. Significant drill intersections were encountered in hole ST19-238 with 0.28 g/t Au, 5,507 g/t Ag, 25.2% Pb, and 6% Zn (6,966 g/t AgEq) over a true width of 0.31m; hole ST19-246 with 0.31 g/t Au, 2,768 g/t Ag, 5.2% Pb, and 1.6% Zn (3,112 g/t AgEq) over a true width of 0.33m; hole ST19-249 with 0.2 g/t Au, 4,840 g/t Ag, 26.8% Pb, and 9.9% Zn (6,582 g/t AgEq) over a true width of 0.1m; and hole ST19-251 with 0.25 g/t Au, 2,099 g/t Ag, 14.2% Pb, and 12% Zn (3,411 g/t AgEq) over a true width 0.17m. The 2020 drilling program will consists of 2,500m focus on building mineral resources. Great Panther plans to release an updated mineral resource estimate in July, 2020.
  • Minera Alamos Inc., entered into a purchase agreement with Mako Mining Corp, Marlin Gold Mining Ltd., and Oro Gold de México S.A. de C.V., to acquire a complete crushing, screening, and agglomeration system to facilitate future production growth at its Santana mine in Sonora.
  • Endeavour Silver Corp., updated 2019 mineral reserve and resource estimate for its three Au-Ag Mexican mines. Mineral reserves at December 31, 2019 are shown in the below table:

Mineral resources at December 31, 2019 are shown in the below tables:

Mineral resources are exclusive of and in addition to mineral reserves.

 ON DEALS AND CORPORATE ISSUES

  • Bacanora Lithium plc, announced results from its annual general meeting of shareholders (Bacanora project, Sonora).
  • Plata Latina Minerals Corporation, entered into an agreement of assignment of mining concessions of its three Mexican properties with The Electrum Group. The three mining properties are Vaquerias, in Jalisco State which consists of two mining concessions totaling 4,411 Ha; Palo Alto, in Aguascalientes State, which comprises three mining concessions totaling 4,722 Ha; and La Joya, in Hidalgo State, which consists of one mining concession of 924 Ha. Electrum will pay USD $100K for each property, and will have exclusive rights for a period of four months to evaluate the three properties, commencing on January 20, 2020 and ending on May 20, 2020. Electrum has agreed to reimburse Plata Latina the remaining 2019 semi-semester mining duties on the three properties up to a maximum amount of USD $50K. It also will pay mining duties to cover the mining duties of the first semester 2020. Electrum has already commenced their due diligence on the properties, and will have the right to exercise its option to acquire any or all of the three properties.
  • Minaurum Gold Inc., signed a five-years option agreement to acquire 100% of the Aurifero Gold project in Sonora and expanding its land control in the Alamos mining district where its Alamos Silver project is located. “Aurifero contains a swarm of Au &-Ag-bearing epithermal veins within a NW/SE-trending zone measuring 3 km long and more than 400 m wide. Satellite imagery and ground reconnaissance geology indicate that the alteration signature is similarly widespread”. Several campaigns of shallow RC and core drilling have been conducted since the 1980s totaling over 8,000 metres, all of them averaging less than 100 m deep; the deepest reaching a vertical depth of 135 m from surface.  “There are currently a number of operators conducting small-scale mining on the project.  Under the option agreement, the miners are restricted to a maximum mining depth of 100 m”. Significant drill intercepts from historic drilling were encountered in hole DMDDH-01 with 18.37 g/t Au over 3.1m; hole 07-MN-10, with 3.12 g/t Au over 24.5m; hole CI-35 with 1.47 g/t Au over 48m; hole CI-09 with 3.65 g/t Au over 58m; and hole CI-34 with 2.42 g/t Au over 24m. The option agreement signed by Minaurum is in exchange for USD $2.7M for the 100% of a block of mining concessions which cover 1,198 Ha. The option does not include royalty.
  • Mexican Gold Corp., entered into a binding letter agreement to complete business combination with New Found Gold Corp. The resulting company will be very well capitalized and be focused on exploring and conduct multiple drilling campaigns on their properties and advance Las Minas project in Veracruz. Under the terms of the agreement, New Found is required to complete a minimum of CAD $10Mfinancing, and post-transaction, the company will have approximately CAD $19M in working capital.
  • Equinox Gold Corp., and Leagold Mining Corporation, shareholders approved merger to create a premier Americas Au producer. On closing of the transaction, Leagold will receive 0.331 of an Equinox Gold share for each Leagold share held. Current Equinox Gold and Leagold shareholders will own approximately 55% and 45% respectively of the merged company. Transaction is expected to close in February 2020, subject to approval of TSX and NYSE (Los Filos mine, Guerrero).
  • Minera Alamos Inc., entered into a purchase agreement with Mako Mining Corp, Marlin Gold Mining Ltd., and Oro Gold de México S.A. de C.V., to acquire a complete crushing, screening, and agglomeration system to facilitate future production growth at its Santana mine in Sonora. The purchase price of this agreement is for CAD $1.2M in staged payments. CAD $300K upon execution of the agreement, CAD $700K on the closing date (April 30, 2020 or such other date on or before September 30, 2020), and CAD $200K on the earlier date of the shipment of the equipment.
  • Mithril Resources Ltd., announced results from its 2019 activities, which consisted mostly on the Sun Minerals Pty Ltd acquisition and the exclusive option to acquire 100% interest in the Copalquin project in Durango. Due diligence has been completed and Mithril expects to complete the acquisition of Sun Minerals for the March 2020 quarter.
  • Fortuna Silver Mines Inc., provided an update on the status of a dispute royalty of 3% that a former owner of one of its extracting concessions in its San Jose mine in Oaxaca granted to the Mexican Geological Service (SGM). In 2018, the company, supported by legal opinions of three independent law firms, concluded that none royalty should be paid and commenced administrative and legal proceedings against the General Direction of Mines (GDM) in order to remove reference to the royalty on the title register. “Fortuna Silver has recently received notice from the GDM seeking to cancel the mining concession if the royalty, in the Mexican pesos equivalent of US$30 million plus VAT (being the amount of the claimed royalty from 2011 to 2019), is not paid before March 15, 2020. The company will be initiating legal proceedings to contest the cancellation procedure and also to stay the cancellation process. In the event that the company is unsuccessful in cancelling the action taken by the GDM or in obtaining a stay of execution, it may be required to pay, or post a bond or other security, up to the amount claimed, in order to preserve the mining concession. In that case the company would immediately thereafter proceed with dispute proceedings. If the company is required to pay the royalty or post security it will do so from available working capital”.

 ON SOCIAL RESPONSIBILITY

  • The Mexican President, Luis Manuel López Obrador (AMLO) thanked Peñoles, for joining the program “Youth Building the Future”, which guarantee the right to young people to study , work and be trained as good citizens. AMLO, along with the General Director of Peñoles, the Governor of Coahuila, and the Secretary of Labor gathered in Laguna Del Rey, Coahuila with 61 scholars in the frame of the celebration of the first anniversary of this program. Scholars thanked the support and the opportunity to receive training and after which they hope to get a job in Peñoles. Fernando Alaniz, General Director of Peñoles commented that this program is not only seen in the financial result sheet but also in the responsibility and commitment towards the community.
  • Governor of Sonora, Claudia Pavlovich Arellano, opened the Community House of Argonaut Gold Inc in la Colorada, where it will offer arts, music, drawing, painting, handicraft and confectionery workshops, as well as workshops of values, school for parents, addiction prevention and emotion management, all totally free for the population.
  • The municipality of Guadalupe y Calvo Chihuahua, Chihuahua and Fresnillo plc (San Julian mining company), signed a labour agreement to hire local personnel to work at the mine, based on their knowledge and qualifications. Local authorities commented that this is already a second stage of hiring, being 45 people placed in the previous one, so it is expected to place a good number of elements in this new stage.
  • Fresnillo plc, demonstrates Social Responsibility since it works on four strategic axes including education, health, capacity development, and environmental care. It has sustainability as its policy, as it is a company dedicated to the exploration, exploitation and benefit of minerals, and is committed to guaranteeing a safe and healthy place for its staff and its environment, establishing good relations with neighboring communities. In Education, 36 young people who study robotics have received support and advice, and approximately 2,600 children are being beneficiated with a program that foster the reading culture. In Health, more than 3,000 people from several communities were attended in 2019 without any cost. This social program will continue in 2020. In Capacity Development, in sports, Fresnillo has organized since 9 years ago, the 5Km race which started with 200 runners and now participate more than 2,000; it has a soccer academy, and a year ago, an agreement was signed with a professional soccer team (Santos Laguna) to grant 300 children and young people to be in the academy. The company also support in other sports such as baseball, basketball, etc.  In addition, more than 200 women from different communities are trained, who are taught courses in crafts, pastry, beauty culture, and sewing and are given the material. In addition, more than 40 people who have small businesses are trained. In Environment, Fresnillo plc takes care of the water and operates two waste water treatment plants. It also has two tree nurseries that give the year more than 70,000 trees of which a large part of them are planted in all the mines and others are donated to the community.
  • Grupo Mexico, delivered Seed Capital to inhabitants of Nueva Rosita, Coahuila, to learn a trade and improve the quality of life of people. Seed Capital is an initial financing method that aims to develop a business idea with growth possibilities and is delivered in kind. The company is providing seeds in projects that seek the growth of the communities where it has mining operations. Grupo Mexico also presented a large urban development project for San Luis Potosi. This project will generate 20,000 jobs and build 7,500 houses in an area of 470 Ha. It was also announced that the urbanization of the site where Industrial Minera Mexico operated will be a new development hub for 30,000 people and will have wind power road electricity supply and also includes the reforestation of 20,000 trees in the area. It will have shopping centers, universities, research centers and hospitals. This is the most ambitious urban project for San Luis Potosi in recent years and will start in this same 2020.
  • Minera Media Luna (Torex Gold), supported Nuevo Balsas and surrounding communities nearby its Mexican mining operations in Guerrero with high-tech medical equipment delivered to the NGO “Curando Mexico”.   This social program “Curando México” aims to offer the most vulnerable population an accessible high quality health service.
  • Minera Peñasquito (Newmont Goldcorp), invested MXP $9M and delivered tractors and agricultural equipment to the inhabitants of the El Vergel Ejido, located in the municipality of Mazapil, Zacatecas. This project began three years ago, however, with the delivery of seven tractors and agricultural equipment, such as threshing machines and harvesters, among others, a new stage will begin in the cultivation fields of the region. Other actions that were carried out were preparing farmland, operating wells, technifying the irrigation system, as well as providing the inhabitants of El Vergel with seeds to cultivate.
  • Newmont Goldcorp, was recognized for its high social, environmental and corporate governance performance, which places it as a leader in the mining sector worldwide. Newmont was recognized by 3 independent entities for their high managerial performance, social responsibility, and coordinated actions to combat climate change and the promotion of women in the workplace. Newmont scored high in a variety of dimensions, including quality management, social responsibility, long-term investment, personnel management and innovation.

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, sulphur crystals in an epithermal hot spring prospect in Guanajuato, Mexico.  Photo by Miguel A Heredia.

 

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of December, 2019

IMG_3901 - copiaBy Jorge Cirett

During the 52nd week of the year (December 23rd to December 29th, 2019), at least 11 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, Alamos Gold announced the Esperanza mine in Morelos is to be converted into a touristic attraction once decommissioned. In response to federal government criticism on the daily presidential conference, Grupo Mexico stated it dealt in due time and form with the 2014 leak on the Sonora river. The San Pedro mine decommissioning in San Luis Potosi has erected into a benchmark for the industry. Camimex corrected the federal government statement on how much terrain is concessioned for mining, from 113.8 million hectares (government) to 20.97 million hectares (corrected figure). ON EXPLORATION, Advance Gold informed on the mineralization intersected by the first hole into a chargeability anomaly at the Tabasqueña project in Zacatecas. ON MINING, No relevant news. ON FINANCING, Goldplay issued shares for $48 K to a drilling contractor for services provided.   ON RESOURCES AND DEVELOPMENT, Consolidated Zinc recommenced definition drilling at its Plomosas mine in Chihuahua. ON DEALS AND CORPORATE ISSUES, Dyna Resources announced a favorable final ruling on its legal battle with Goldgroup, which establishes its ownership of the San Jose de Gracia project in Sinaloa. ON SOCIAL RESPONSIBILITY. Minera Media Luna formalized the delivery of infrastructure works for US$100 K in Cocula, Guerrero. Minera Peñasquito realized a Christmas party on a primary school in Mazapil, Zacatecas.

ON MEXICO ISSUES

  • Esperanza Silver de México (Alamos Gold), which is developing the Esperanza project in Morelos, announced that once the project accomplishes its mine life it is going to be turned into a thematic park touristic attraction run by local inhabitants. Other touristic sites on former mines highlighted in the news release include the Mineral de Rayas, Mina el Nopal and Mina La Valenciana in Guanajuato.
  • Grupo México announced that it dealt in due time with the 2014 leak on the Rio Sonora. The announcement was made as response to the remarks made by the head of the Health Secretariat in the morning presidential conference on Monday 23 of December, conference in which he said that Grupo Mexico did not comply with its responsibility towards the region inhabitants. The company stated that the leak of an acidified solution from the Buenavista del Cobre tailings dam was treated strictly under all applicable law, and the operation of the Fideicomiso Río Sonora, under the instructions and supervision of Semarant, Profepa and Cofepris. It was added that there is no scientific proof tying health or environmental damages in the region, with water quality measurements even lower than those made ten or more years before the incident.
  • The decommissioning of the San Pedro mine in San Luis Potosí by Minera San Xavier has constituted itself into a national and international benchmark on its merits. The Plan Integral, Participativo e Incluyente de Cierre de Mina (Mine Closure Integral Plan) sticks to all regulations by PROFEPA and SEMARNAT. The Mine closure plan is compliant with the instructions of other international regulators, like the EPA in Nevada and California, and as well as the NOM-155-SEMARNAT-2007 that established the environmental protection norms for gold and silver leaching systems.
  • Camimex informed on a document called “Mitos y Realidades de la Minería” (Myths and Realities of Mining) that 25,221 current mining concessions cover 20 million 970 thousand hectares, or 11% of the Mexican territory. This is contrasted against the Economy Secretariat information presented on one of the Mexican president daily morning conferences, where it was stated that the ground under mining concessions reached 113.8 million hectares between 1998 and 2018. The president said that the granting of concessions is to be halted because the terrain already granted would suffice for thousands of years of work, also assuring that no mining concessions are to be cancelled and that all mining has to be done respecting the environment. According to Camimex there are 596 exploration projects with foreign capital, 99 in production, 50 in development, 439 under review and five in closure. It was also highlighted that 182 protected areas that represent 90.8 million hectares where no mining projects can be developed.

ON EXPLORATION

  • Advance Gold Corp. informed on the first hole drilled at a big chargeability anomaly at its Tabasqueña project in Zacatecas. An interval of 78 m of disseminated to massive sulfides associated with quartz was intercepted starting at 226 m of depth, and a second interval of 10 m of quartz veins with disseminated sulfides on the hosting andesites at 405 m of depth. .

ON MINING

  • No Relevant News.

ON FINANCING

  • Goldplay Exploration Ltd. made a final issuance of shares to a drilling contractor engaged under the shares for services previously announced on May 2019, for services valued at $48 K (San Marcial, Sinaloa).

ON RESOURCES AND DEVELOPMENT

  • Consolidated Zinc Ltd. announced that exploration and delineation drilling has recommenced at its Plomosas project in Chihuahua. Six holes are planned to extend the resource down dip and to the south, and seven holes for the Tres Amigos resource extension.

ON DEALS AND CORPORATE ISSUES

  • Dyna Resources Inc. informed that the 11th Federal Circuit Collegiate Court in Mexico issued a favorable final ruling that denies the Amparo challenge of Goldgroup Resources Inc., the subsidiary of Goldgroup Mining Inc., ruling that is not subject to further appeals. Dyna states the following four points are a consequence of the ruling: 1) The 2015 USD$48.28 M damages award against Goldgroup Resources Inc. is now final; 2) The lien against the shares of Dyna Mexico owned by Goldgroup Resources Inc. is now fully confirmed, final and enforceable; 3) Ownership of the shares of DynaMéxico currently held by Goldgroup Resources (~20%) are subject to the Lien against Goldroup shares; 4) DynaMexico owns 100% of the San José de Gracia project in Sinaloa.  

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna formalized the delivery of infrastructure works valued at $1.93 M pesos (US$100 K) in Cocula, Guerrero. These investments included the rehabilitation of the Nuevo Balsas water deposit, the construction of a wall in Real de Limón and the rehabilitation of the road between Cocula and Nuevo Balsas.
  • Minera Peñasquito realized a Christmas party on the Ignacio López Rayón primary school in Mazapil, Zacatecas. The “Christmas road” will continue for two more weeks in which toys are to be delivered to children in the communities neighbouring the mine.

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

On the image below: San Felipe mine in Baja California. Picture by Jorge Cirett.

IMG_3901 - copia

The Mining and Exploration News in Mexico: Highlights on the Second Week of December, 2019

IMG_0833

By Jorge Cirett

During the 50th week of the year (December 9th to December 15th, 2019), at least 18 press releases were announced by companies working in Mexico. ON MEXICO ISSUES, Bacanora Minerals lithium deposit in Sonora is considered the biggest resource of the metal in the world, according to Francisco Quiroga, Mining sub-secretary. Camimex calls to maintain the competitivity of the mining sector, as it is being threatened by a environmental tax proposal. Newmonts Goldcorp´s Peñasquito mine in Zacatecas is to lift Mexican gold production in 2020, according to BNamericas. Camimex invited the secretary of the environmental agency (SEMARNAT), Victor Manuel Toledo to visit one of the mining units, for him to review what sustainable mining is. He will also be visiting Hermosillo and Ures, meeting with authorities of the municipalities affected by a toxic leak on 2014. ON EXPLORATION, in Chihuahua, Mammoth Resources updated on exploration efforts by partner Centerra at its Tenoriba project; Kootenay Silver released good drilling results on its Columba property. ON MINING, Alamos Gold and Golden Minerals released results for the third quarter 2019. GoGold released results on the year ending in September 2019. ON FINANCING, Advance Gold closed the second tranche of its private placement for gross proceeds of $42 K. Azure Minerals announced the receipt of A$467 K of VAT back taxes (dating to 2016) from the government. Tamino Minerals is planning to become “Pink Current” very soon on the OTC. Odyssey Marine Exploration obtained commitments for up to $4.2 M.   ON RESOURCES AND DEVELOPMENT, Candelaria Mining released results on 15 new holes from the Mirador mine at the Altagracia project in Oaxaca. Pan American Silver announced an initial resource estimate, on the polymetallic  skarn deposit at La Colorada, of 72.5 M tonnes @ 44 gpt Ag, 0.17% Cu, 2.02% Pb, 4.40% Zn, remaining open in most directions, and containing over 100 M Oz Ag. Defiance Silver updated on exploration efforts at its San Acacio project in Zacatecas and at its Tepal project in Michoacán. Prime Mining released surface road cut and trench assays from its Guadalupe de los Reyes project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Tamino Minerals has signed a LOI on the Ofelia property, in Sonora. Discovery Metals informed Eric Sprott now owns 21% interest in the company. Newmont Goldcorp announced a deal with the Cedros community on water resources. ON SOCIAL RESPONSIBILITY. A mining gathering was held in Banamichi, Sonora. The Asociación de Mineros de Sonora celebrated its 40th anniversary. The first “Comité de Desarrollo Regional para las Zonas Mineras” was created in Sonora, to recommend the use of the Mining Fund in certain infrastructure projects in mining areas. Dr. Vagón, Grupo Mexico’s health itinerant clinic was at La Junta, and soon to be moved to the nearby Ciudad Cuauhtémoc, both in Chihuahua. The Consorcio Minero Benito Juárez and the Fundación Bécalos Televisa delivered 120 scholarships to excellency students. A fair was held in Tayoltita, Durango, to bring awareness of the mining work and environment to inhabitants and family members of mine workers. Minera Media Luna is showing a strong support for education in Guerrero, with shcolarships, internships and support to local schools. The Sonora miners association (AMSAC) signed an agreement with the Consejo Regulador del Bacanora, to source agave saplings on its greenhouses to the agave growers. The Mexican gray wolf has left the list of extinct species in the wild, moving to the category of species on extinction risk.

ON MEXICO ISSUES

  • The lithium deposit in Sonora is the major project of its type in the World, according to Francisco Quiroga, Sub-Secretary of Mining, on an interview by a journalist known country wide. He cautioned on not hurrying up to celebrate, as the lithium still has to be extracted, and be metallurgically separated of the other minerals present in the ore (In this project, unlike other, lithium is contained in a clay). This project is assumed to have 243 M tonnes of lithium, surpassing the Thacker Pass deposit in Nevada, the second lithium deposit, with reserves of 179 M tonnes of lithium. The deposit is co-owned by the English company (not Canadian, as stated in the note) Bacanora Lithium and the Chinese Ganfeng Lithium, and located in the Bacadehuachi municipality (tens of kilometers from the Campo Verde Protected Natural Area and the Chihuahua border).
  • Camimex calls for maintaining the competitivity of the Mining Sector in Sonora. The call was made by Karen Flores, Camimex head, on the first Universitary Mining Gathering held in Banamichi, Sonora. She called for a proposal to tax mining operations on environmental grounds to be repelled. Such tax would transform Sonora in one of the more expensive places to mine, in an industry that is already heavily regulated and taxed. According to the authorities, mining in 2018 provided more than 46 billion pesos (US$2.36 billion) in taxes, 9,000 billion pesos (US$461 M) in rights and more than 4,500 billion pesos (US$230 M) in resources for the Mining Fund.
  • Newmont Goldcorp’s Peñasquito mine in Zacatecas is to lift Mexican gold production in 2020, when production by other big players is to decline. The combined production by the three biggest producers in Mexico, Fresnillo, Newmont Goldcorp, and Alamos Gold should reach 1.59 M Oz Au, above the 1.22 M Oz Au mines in 2019. This is a 30% increment year on year, achievable if the companies reach their mid-point guidelines. According to BNamericas this figure is more than half the 3.15 M Oz Au to be produced by more than 20 companies in Mexico. Fresnillo’s production reached 923 K Oz Au in 2018, expects to produce 885 K Oz in 2019, 785 K Oz in 2021 and 665 K Oz in 2022; the decline motivated by the end of production at the Noche Buena mine and less production at Herradura. Meanwhile, Peñasquito expects to produce 575 K Oz Au in 2020 , and a little bit more in 2021, before production starts to decline due to lower grades. Alamos Gold expects to produce 150 – 160 K Oz Au during 2019 in Mulatos, while the Chanate mine is to produce only 5 K Oz. Minera Frisco and Agnico Eagle have seen their gold production dwindle in 2019, while Torex Gold reached 138 K Oz Au produced during the third quarter, and the company expects to sell 430 K Oz Au this year. Leagold also is to increase production at Los Filos, expecting to double on the 200 K Oz Au forecasted for this year.
  • Camimex invited Victor Manuel Toledo, secretary of the environment and natural resources (SEMARNAT) to visit one of the mining units, for him to review what sustainable mining is. Earlier in the day, in the morning presidential conference, Toledo stated that Semarnat is not against mining: “For Semarnat there is not good or bad mining, revisions have to be on a case by case basis, and confirm through inspection its adherence to norms”.
  • Victor Manuel Toledo, secretary of the environment and natural resources (SEMARNAT) is to be in Hermosillo in December 18th for the presentation of a book on the toxic leakage of 2014, and in Ures to meet with affected parties and authorities of municipalities within the Rio Sonora basin.
  • Alberto Orozco, president of the Sonora Mining Cluster, praised the visit that Victor Manuel Toledo (Environmental Secretary) is to make next week to a mining unit in Sonora. Orozco stressed the presence in Sonora of companies highly involved in the social and economic development of the producing regions in a sustainable manner. He also pointed that the Sonoran mining production is 36% of the national production, contributing with 18% of the State gross domestic product.

ON EXPLORATION

  • Mammoth Resources Corp. updated on exploration efforts at its Tenoriba project, funded by partner Centerrea Gold Inc.. Field logistics have been set, all historical geologic data compiled for Centerra’s review and interpretation and a 3D model is under preparation; all un-assayed core was sent for analysis, and the previous drill program permit is being closed, and a new one is to be prepared. Strong argillic, argillic and minor vuggy silica is present on volcanic rocks on a 4 to 6 Km long belt, with geophysics re-processing pointing to a larger target than previously envisaged, and a new 30 line-Km survey is being planned. A large soil anomaly highlights the eastern part of the corridor. Mammoth is working on community consultation processes with the two ejidos (communal lands) involved.
  • Kootenay Silver Inc. released results from six holes drilled at its Columba project in Chihuahua. Highlighted intervals comprise: 25.85 m @ 200 gpt Ag (including 11.5 m @ 415 gpt Ag, which includes 4.0 m @ 721 gpt Ag, which includes 1.9 m @ 982 gpt Ag) in silicified breccias in proximity to a lithological contact; 6.25 m @ 67 gpt Ag (including 2.09 m @ 172 gpt Ag); 3.0 m @ 314 gpt Ag (including 0.63 m @ 776 gpt Ag); 59.8 m @ 48 gpt Ag (including 9.57 m @ 146 gpt Ag); 6.63 m @ 103 gpt Ag and 1.0 m @ 124 gpt Ag. Several of the intercepts are in quartz veins in rhyolite, as quartz stockworks and as quartz-barite veins.

ON MINING

  • Alamos Gold Inc. released some production figures for 2019, including data on its Mexican production. At Mulatos, in Sonora, during the first nine months of this year 20 K tonnes per day were stacked @ 0.92 gpt Au, with a recovery of 67%, to produce 108 K Oz Au at cash cost $772 and a mine-site AISC of $861. Production from the Mulatos district is expected to total 150-160 K Oz Au in 2020, with ore mined from the Mulatos, El Victor and San Carlos open pits, as well as new production from Cerro Pelon. “A total of $7 million has been budgeted at Mulatos for exploration in 2020 which includes 14,000 m of drilling focused in the Mulatos near-mine, Carricito and La Yaqui Grande areas. A number of regional exploration targets have been identified in 2019 from the property-wide VTEM geophysical survey that was completed in late-2018. A focus of the 2020 regional exploration program will be to further evaluate these targets through systematic mapping, sampling, and ground geophysics”.
  • Golden Minerals Co. released results for the third quarter 2019. During the period Golden reported revenue of $1.9 M related to the lease of Velardeña’s oxide mill and costs of $0.6 M related to the services provided under the terms of the lease, for a net operating margin of $1.3 M. Exploration expenses were $0.9 M, Velardeña care and maintenance $0.4 M, administrative expenses $0.7 M for a total loss of $1.8 M for the quarter. Last October Golden entered into an agreement with Magellan Gold Corp. to sell the company’s option to earn a 100% interest in the Santa Maria and Las Marias exploration properties in Chihuahua. Cash and cash equivalents of $2.9 M by the end of the period.
  • GoGold Resources Inc. announced financial results for the year ending 2019. During the last quarter period the company acquired the Los Ricos project in Jalisco, for share consideration of $5.4 M and cash $4.5 M, of which $3.9 M is payable over three years. During the period the company sold 1 M Oz Ag and 8,752 Oz Ag, produced 1.78 M Oz AgEq, had income of $8.1 M at an AISC of $14.82 per Oz AgEq and cash cost $11.80 per OZ AgEq, a gain of $11.8 M on the sale of the Santa Gertrudis project royalty and has a net working capital of $13.1 M.

ON FINANCING

  • Advance Gold Corp. closed the second and final tranche of the private placement previously announced, for gross proceeds of $42 K (Tabasqueña, Zacatecas).
  • Azure Minerals Ltd. announced that the Mexican tax office has paid this week the amount of MX$6.19 M, approximately A$467 K. This is the interest component from a previous payment, bringing the total received by Azure to A$1.23 M. The payments are the result of the successful resolution of the company’s legal action for the recovery of IVA (the equivalent to GST, or VAT) dating to the 2016 financial year. A fee of 15% is payable to the legal and tax advisors involved (Alacrán, Sonora).
  • Tamino Minerals Inc. is planning to become Pink Current very soon on OTC markets, abiding to OTC disclosure lines. As of the end of September 2019, the company has 370.6 M shares, of which Pedro Villagran holds 138.8 M and Joseph Berry 33 M.
  • Odyssey Marine Exploration, Inc. obtained commitments for up to $4.2 M in funding in two separate arrangements. A group of existing shareholders is to provide up to $2 M in funding ($539 K already submitted) as advance against a portion of multi-million dollar payment Odyssey expects to receive within the next six months, related to a previously completed ship-wreck project. In addition, “a term sheet has been executed and definitive agreements are being drafted with the group that has already committed up to $6.5 million in non-recourse legal funding for the NAFTA action for up to an additional $2.2 million” (Bay of Ulloa, Baja California Sur).

ON RESOURCES AND DEVELOPMENT

  • Gold Resource Corp. released drill results from 15 holes from the Mirador mine area in the Altagracia project in Oaxaca. The Mirador mine is 16 Km NW from the Company’s Aguila project and processing facilities. Highlighted results comprise: 9.21 m @ 0.24 gpt Au, 260 gpt Ag (including 0.73 m @ 0.58 gpt Au, 1,085 gpt Au); 1.38 m @ 4.39 gpt Au, 1,455 gpt Ag; 1.08 m @ 1.81 gpt Au, 2,190 gpt Ag; 5.99 m @ 1.04 gpt Au, 206 gpt Ag (including 1.54 m @ 2.02 gpt Au, 590 gpt Ag); 3.72 m @ 1.44 gpt Au, 910 gpt Ag (including 1.0 m @ 2.84 gpt Au, 2,610 gpt Ag); 2.67 m @ 1.10 gpt Au, 354 gpt Ag.
  • Pan American Silver Corp. announced an initial mineral resource estimate for the large polymetallic deposit discovered in 2018 at La Colorada mine in Zacatecas. The inferred mineral resource is 72.5 M tonnes @ 44 gpt Ag, 0.17% Cu, 2.02% Pb, 4.40% Zn, remaining open in most directions and containing 102 M Oz Ag, 3.2 M tonnes of Zn, 1.5 M tonnes of Pb, and 121 K tonnes of Cu. Most of this mineralization is contained within a larger mineralized skarn 500 m x 600 m, between 600 and 1,700 m of depth. To make the geologic interpretation and resource estimation, 65 drill holes totalling 54,000 m of drilling were utilized.
  • Defiance Silver Corp. updated on exploration efforts to be made at its San Acacio project in Zacatecas. Targeted core re-logging and selective re-assay is on-going and will continue through 2020, while field exploration involves surface geochemistry outside the resource area, systematic underground mapping and sampling and regional targeting are carried out.
  • Defiance Silver Corp. announced OreQuest has been planning an exploration program at Tepal, in Michoacan. The aim is to follow up on high-grade drill results as the 1.42 m @ 25 gpt Au, 565 gpt Ag of last year campaign, which is coincidental with highly anomalous surface geochemistry and an untested chargeability anomaly.
  • Prime Mining Corp. released results from surface exploration at it Los Reyes property in Sinaloa. The trenching program has an advance of 25% with highlighted results of 5 m @ 1.0 gpt Au, 11 gpt Ag; 10.5 m @ 2.0 gpt Au, 18 gpt Ag; 16.5 m @ 2.5 gpt Au, 40 gpt Ag; 36.0 m @ 1.84 gpt Au, 13 gpt Ag; 34.5 m @ 4.2 gpt Au, 21 gpt Ag; 13.5 m @ 1.54 gpt Au, 37 gpt Ag in rod cuts, and 9 m @ 0.92 gpt Au, 22 gpt Ag; 4.5 m @ 2.66 gpt Au, 30 gpt Ag; 13.5 m @ 1.42 gpt Au, 49 gpt Ag; 13.5 m @ 1.59 gpt Au, 28 gpt Ag; 7.5 m @ 1.84 gpt Au, 37 gpt Ag; 16.5 m @ 1.04 gpt Au, 23 gpt Ag; 15.0 m @ 5.58 gpt Au, 23 gpt Ag in trenches. The company is working with the database of 493 historic drill holes to establish a new 43-101 compliant resource (currently holding 380 K and 155 K Oz Au in the indicated and inferred categories respectively).

ON DEALS AND CORPORATE ISSUES

  • Tamino Minerals Inc. informed it has singed a letter of intent (LOI) on the Ofelia property in Sonora. The LOI terms state four years of staged payments totalling US$1 M plus a 2% NSR, and provides a 90-day term for due-diligence work.
  • Discovery Metals Corp. announced that with the conversion of 3.3 M subscription receipts to shares, Mr. Eric Sprott owns now approximately 21% interest in the company (Cordero, Chihuahua).
  • Newmont Goldcorp. announced that the Peñasquito mine and the nearby San Juan Cedros community (one of 25 neighbouring communities) in Zacatecas, agreed to an infrastructure solution for sustainable water availability for the community. The 30-year water agreement includes additional water wells to supplement the 600 K liters per-day reverse osmosis drinking water plant the company built in 2018.

ON SOCIAL RESPONSIBILITY

  • A Mining Gathering was held in Banamichi, Sonora, with more than 600 attendees, mostly students, with the purpose of letting them know the opportunities for internships and employment in mining units. Among the attendees were also governors of mining states, the ambassadors of mining countries, Congress representatives, Union leaders, 14 majors and representatives for mining companies, mining associations and mining communities.
  • The Asociación de Mineros de Sonora (Sonora’s Miners Association, or AMSAC) celebrated its 40th The celebration included a series of presentations and a formal dinner. Among the speakers were Francisco Quiroga (Mining Sub-secretary), Karen Flores (Camimex), Ernesto [Ríos (Americas Mining) and Lourdes McPherson (Argonaut Gold).
  • The first “Comité de Desarrollo Regional para las Zona Mineras (Mining Zones Development  Committee) was created in Hermosillo, Sonora. The finality of such committees is to assess and approve investment projects derived from the Mining Fund, incorporating all interest groups. The committee is integrated by:Comite Fondo Minero11The fist session is to be held in February 28, 2020, and the second on August 28, 2020.
  • Dr. Vagón is to be at La Junta, Chihuahua. From the 12 to the 16 of December, 2019. Among the services to be provided are: general consult, dermatology, pediatric care, geriatric care, odontology, chiropractic, physic rehabilitation, optometry, audiometry, mastography, colposcopy, family planning, lab test, diabetics clinic, psychology and nutrition. This itinerant train-mounted clinic has the capacity to Attend 550 persons daily.
  • The Safety, Environment and Social Responsibility Fair San Dimas 2019, was held on December 6 in Tayoltita, Durango. The different departments of the First Majestic mine displayed details on their work on the mining process, in a didactic and entertaining way, to workers, suppliers, municipality and State authorities, as well as their families and local inhabitants. Radio Plata (Silver Radio) was commissioned, the first radio station to be located in the vicinity, is part of the company’s Centro Cultural, where educative, social and cultural activities are to take place.
  • Minera Media Luna is showing a strong support for education in Guerrero. With support from local authorities in Cocula, the Instituto Tecnológico de Iguala, the Universidad Tecnológica Autónoma del Norte de Iguala, the State government, the Instituto Estatal para la Educación de Jóvenes y Adultos de Guerrero and the general population in Cocula, the company has: installed programs for diminishing the educative lag in primary and secondary education; taken 36 students in internships from local universities; supported 86 students through scholarships; invested $500 K pesos along with the Cocula municipality for the hiring of primary education personnel; participated in the Fourth Week of Mining on the Universidad Autónoma de Guerrero…. And several other programs in education not posted here for lack of space.
  • AMSAC, the Sonora Miners Association, signed an agreement with the Consejo Regulador del Bacanora (Regulatory Council for Bacanora, a spirits drink). Under this agreement , several mining companies are to grow the needed agave saplings for the production of Bacanora in their green houses, to be transplanted in the field by the agave growers.
  • Minera Peña Colorada presented the “Ilustred Guide to Wildlife in the Minatitlan Microbasin”, at the Feria Internacional del Libro 2019, in Guadalajara, Jalisco. This work was accomplished with the support of the Universidad Nacional Autónoma de México, and the Benemérita Universidad de Puebla.
  • The Mexican gray wolf has left the list of extinct species on the wild, moving to the category of species on extinction risk. This is the result of an international effort among the USA and Mexican governments, with the participation of Grupo Mexico. The declaration comes after 12 liberations and the documentation of 9 successful litters with some 30 puppies on the wild. Grupo Mexico, as well as other mining companies, has an UMA (Environmental Management Unit) that take care and reproduce threatened species.
  • Dr Vagón, Grupo Mexico’s health train, is to be on Ciudad Cuahutémoc, Chihuahua, from December 18 to December 22. The 17 train carriages itinerant clinic has the capacity to attend 600 persons per day, providing for a wide array of services, like diagnostics, ailment prevention, dermatology, odontology, physical rehabilitation, optometry, audiometry, psychology, nutrition, diabetes and chiropractic treatments.

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

On the image below: Sheeted quartz veinlets from an orogenic gold project in Oaxaca. Picture by Jorge Cirett

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The Mining and Exploration News in Mexico: Highlights on the First Week of December, 2019.

chalcedonic quartz vein

By Miguel A Heredia

During the forty-nine week of the year (December 2nd to December 8th, 2019), at least 31 press releases were announced by companies working in Mexico, with nine commenting on Mexican issues, six informing on exploration results, four announcing financial rounds, four reporting on resources and developments of their properties, three communicating production and financial results, three disclosing deals and corporate issues and two discussing issues on social responsibility.  ON MEXICO ISSUES, Alejandro Tello, governor of Zacatecas State, obtained MXP $430M from the 2016-2017 Mining Fund for infrastructure work. Mexico´s mining production suffered a sharp decline in September. Fernando Alaniz, president of the Mining Chamber of Mexico (CAMIMEX), demanded for long-term certainty in Mexico for mining investment purposes. Fresnillo plc announced that it will allocate approximately USD $670M in new and sustainable projects.  Grupo Mexico announced an investment of USD $250M in the construction of a wind farm in Nuevo León. A Minister of the Supreme Court of Justice proposed to invalidate the changes applied in 2019 to the Mining Fund. CAMIMEX announced that mining companies claime tax return to have funds to invest. The Under Secretariat of Mining, Francisco Quiroga Fernández, confirmed there is a lithium deposit in Bacadéhuachi, Sonora.  ON EXPLORATION, In Baja California Norte, One World Lithium provided an update on its 4 holes drilling program being conducted at its Salar del Diablo project.  In Sonora, Colibri announced results from 100 samples collected at its Evelyn project. In Chihuahua, Radius and its JV partner Pan American Silver released results from the phase 3 drilling program at its Amalia project, and Valterra refined drill targeting on its Los Reyes project. In Jalisco, GoGold released drill results from eight holes collared at its Los Ricos project. In Oaxaca, Megastar identified multiple high potential epithermal targets at its Magdalena project. ON MINING, Santacruz reported Q3, 2019 production and financial results (Veta Grande, Zacatecas).  Alio Gold announced production and cost guidance for 2020. (San Francisco mine, Sonora). Consolidated Zinc advised that mining of its Plomosas mine in Chihuahua will be managed and operated by the company. ON FINANCING, San Marco revised its non-brokered flow through private placement on October9, 2019 (Chunibas project, Sonora). Tocvan Ventures announced that its shares are now listed on the Frankfurt Stock Exchange with the symbol TV3 (El Pilar project, Sonora). First Mining announced a flow through equity financing for gross proceeds of approximately to $2M (San Ricardo project, Sonora). ON RESOURCES AND DEVELOPMENT, Capstone reported that drilling results from its Cozamine mine in Zacatecas returned higher grades and wider intercepts than in current reserves. Starcore presented its updated NI 43-101 mineral reserves and resources at its San Martin mine in Queretaro. US Antimony provided an update on its Puerto Blanco mill in Guanajuato for its Los Juarez Au-Ag and Sb deposit in Querétaro. Mexus Gold announced that its new 500GPM Merrill Crowe Au recovery plant is complete and operational (Santa Elena mine, Sonora). ON DEALS AND CORPORATE ISSUES, San Marco retained Momentum Public Relations Inc., to assists with strategic business development activities (Chunibas project, Sonora). Argonaut provided an update on its San Antonio project permitting in Baja California Sur.  ON SOCIAL RESPONSIBILITY, Grupo Mexico, through its health and social care program called Dr Vagón, attended nearly 3,000 consultations in Delicias, Chihuahua. Peñoles, through its Community Center, informed about the planned activities to be performed in the coming Christmas season.

ON MEXICO ISSUES

  • Alejandro Tello, governor of Zacatecas State, obtained $430M from the 2016-2017 Mining Fund to be invested in 2010, in 41 infrastructure works in Zacatecas, such as construction and rehabilitation of roads, and sports infrastructure projects, among others.
  • Mexico’s mining production, suffered a sharp decline in September while the industry continue dealing with community relations, security and political challenges. Overall production fell 4.7% compared to the same month last year, with Au and Pb among minerals registering double-digit falls. Ag and Cu production fell 2.2% and 1.3%, respectively, with coke, sulfur and fluorite seeing the greatest decreases, 22.3%, 13.2% and 12.7%. Only the production of coal, Zn and non-coking plaster increased, by 7.2%, 2.0% and 1.3%. Part of the fall can be attributed to a blockade at the Peñasquito mine in Newmont Goldcorp, one of Mexico’s largest producers of Au, Ag, Pb, and Zn.
  • Fernando Alanis, president of the Mining Chamber of Mexico (CAMIMEX), demanded for long-term certainty conditions in Mexico for mining investment purposes. The mining sector has invested significant amounts in recent years, with 2012 being the year of greatest investment, which was approximately USD $8,043M. Mining investment has been falling and in 2016 it reached USD $3,752M, and the current year it is believed to have exceeded USD $2,600 M. “Mining is a sector that can generate a lot of investment in places that require many services and support from our entire sector and the only thing we ask is that there be certainty conditions in order to continue generating investment attraction”.
  • Fresnillo plc, announced that it will allocate USD $670 M in new and sustainable project, increasing its investment by 14.5% in 2020. “The capital investment forecast for new 2021 projects is expected to be around USD $475M, while by 2022, USD $415M, ”said Octavio Alvidrez, General Director of the company. By 2020, Fresnillo plans to extract 54M Oz Ag, 8% lower than expected by the end of 2019; while Au would be 857 K Oz. By 2021 the company expects to increase the extraction of Ag by 22%, as they expect to obtain 66 M Oz.
  • Grupo Mexico, reported an investment of USD $250M in the construction of a wind farm in the state of Nuevo León, México. The Fenicias project will have a production capacity of 168 megawatts and will be interconnected with the National Electric System through the construction of a transmission line of more than 60 km in the area of ​​Reynosa, in the state of Tamaulipas. “Grupo México will increase its power generation capacity to almost 800 megawatts, becoming one of the main power generators in the country,” said the company, in the release. The commercial operation of this wind farm is planned to begin in early 2021.
  • Industrias Peñoles S.A.B. de C.V., announced that it continues growing and now there are already 31,500 workers. The General Director of Peñoles, Fernando Alanís Ortega, also confirmed that all of its 2019 production is sold.
  • A Minister of the Supreme Court of Justice, proposed to invalidate the changes applied to the Mining Fund in 2019. The Mining Fund was reformed in the Revenue Law of the Federation of 2019, removing from the states and municipalities the resources raised by the extraordinary right to mining created in 2014. This reform caused 33 controversies, one of the Chihuahua Executive, which is the first on the list, and 32 of municipalities of five states. Until 2018, the collection of mining rights was divided into two exchanges: 22.5% was distributed to all states and Mexico City as a federal share -which in 2018 was MXP $2,605M, and the remaining 77.5 percent was sent to the Mining Fund, which accumulated MXP $11,325M from 2014 to 2017. Municipalities received 62.5% of the Mining Fund for public works premises, which in the case of Chihuahua alone included 330 projects in four years. After the 2019 reform, the money went to the Ministry of Economy (SE) with the idea of ​​applying them for the Welfare Tandas, a program of the current government that gives credits to micro entrepreneurs for up to MXP $15K. In 2020, the changes to the Mining Fund will be applied in the Federal Law of Rights, which is where it has existed since its creation. Now, the majority of Morena in Congress determined that 85 % of the money will go to the SEP for the construction of schools, 10% to the federal government for other works, and 5% to the SE to supervise the mining activity, without funds being provided for local governments of mining areas, nor to distribute funds to its entities.
  • The Mining Chamber of Mexico (CAMIMEX), said that companies in the mining sector are claiming the return of taxes to maintain their cash flow and have funds to carry out new investment projects. In a statement, CAMIMEX said that, being highly exporting companies, they always get a balance in favor when they file their returns with the Tax Administration Service (SAT).
  • The Under Secretariat of Mining, Francisco Quiroga Fernández, confirmed the existence of a lithium deposit in Bacadéhuachi, Sonora, which will begin production in 2022. Sonora is the main mining state in the country and with the discovery of this site reinvents itself, since in the world there is a race to develop lithium and now the state is within that future.

ON EXPLORATION

  • One World Lithium Inc., provided an update on its 4 holes drilling program being conducted at its Salar del Diablo project in Baja California Norte. To date, hole DDH-1 has been collared to a depth of 650m, and hole DDH-2 has reached 590m with a planned depth of 650m. Hole 3 will commence soon at a location where there is evidence of historic and currently hydrothermal activity, which can be a source of lithium. Depending on the hole DDH-3 results, a fourth hole will be drilled to complete the planned drilling program.
  • Colibri Resource Corporation, announced results from 100 samples collected at its Evelyn project in Sonora. Of the samples taken, 30 returned >0.1 g/t Au, 24 returned > 0.2 g/t Au and 12 returned > 0.75 g/t Au. With the recent mapping and sampling program conducted at the Evelyn project, the compnay has identified two separate NW corridors with favourable structures containing Au: Cerro Rojo and El Sahuaro areas. Rock-chip sampling from these areas have returned encouraging values ranging from 0.5 up to 73.4 g/t Au and correspond with anomalous Au soil samples taken previously. Colibri is planning to conduct a 1,000m drilling program to test these target areas.
  • Radius Gold Inc., and its JV partner Pan American Silver Corp., released results from the first 2 diamond drillholes of the phase 3 drilling program at its Amalia project. Hole AMDD19-016 encountered 1.53 g/t Au and 41 g/t Ag over 120m (75m of true width), related to disseminated fine black sulphides and sulphide veining in ignimbrite rhyolites and transitioning to intense silicification, stockwork veining, and breccias. Hole AMDD19-17, was collared 100m north of hole AMDD19-016 and intersected with anomalous values up to 2.26 g/t Au and 23 g/t Ag over a section of 30m wide silicified fault breccia, but no potentially economic mineralization was encountered. Drilling is ongoing at Amalia project, and results will be released upon they become available.
  • Valterra Resource Corporation, refined drill targeting on its Los Reyes Cu-Au project in Chihuahua, using the recently completed surface sampling along an 800m strike length of a Cu-Au skarn and a 4.8 line km 2D/3D DCIP geophysical program. 22 out of 28 samples returned Cu values > 1% at an average grade of 3.1% Cu and up to 5.9% Cu. The anomalous samples returned up to 0.57 g/t Au, 25 g/t Ag, 0.47% Mo, and 1.7% Zn. The geophysical survey identified a strong conductivity anomaly along the intrusive contact which projects more than 400m through four of the five main areas of historic old workings and defines the main target for test drilling. Conductivity and chargeability anomalies were also identified in all the survey lines and are spatially associated or adjacent to areas of known historical surface mineralization. “The Company is initially targeting a 5-10M tonnes, shallow high grade Cu-Au resource localized along the strike length of the exposed skarn zone. Further work will examine the deeper potential of the mineralizing system including a potential Porphyry Cu-Au source for the shallow high-grade mineralization.
  • GoGold Resources Inc., released drill results from the last eight holes collared at its Los Ricos project in Jalisco, of which four were drilled in San Juan Area, two in the Main Area, and two along the south edge of the Main Area. Highlights of the holes collared in the San Juan Area include hole LRGG-19-073 with 1.12 g/t Au and 117 g/t Ag (2.67 g/t AuEq or 200 g/t AgEq) over 33.5m, including 3.01 g/t Au and 184 g/t Ag (5.47 g/t AuEq or 410 g/t AgEq) over 9.5m, and including 1.81 g/t Au and 291 g/t Ag (5.70 g/t AuEq or 427 g/t AgEq) over 3.0m; hole LRGG-19-76 with 0.73 g/t Au and 123 g/t Ag (2.38 g/t AuEq or 178 g/t AgEq) over 38.5m, including 1.70 g/t Au and 260 g/t Ag (5.17 g/t AuEq or 387 g/t AgEq) over 5.8m, and including 1.58 g/t Au and 220 g/t Ag (4.51 g/t AuEq or 338 g/t AgEq) over 6.0m; and hole LRGG-19-77 with 1.03 g/t Au and 94 g/t Ag (2.29 g/t AuEq and 172 g/t AgEq) over 26.0m, including 4.28 g/t Au and 241 g/t Ag (7.49 g/t AuEq or 562 g/t AgEq) over 4.3m. In the Main Area, hole LRGG-19-065 encountered 0.23 g/t Au and 84 g/t Ag (1.35 g/t AuEq or 101 g/t AgEq) over 13.1m, including 0.50 g/t Au and 155 g/t Ag (2.57 g/t AuEq or 192 g/t AgEq) over 5.4m. To date, GoGold has completed 90 diamond drill holes totaling 15,140m.
  • Megastar Development Corp., identified multiple potential epithermal targets at its Magdalena project in Oaxaca. During the first mapping and sampling exploration campaign conducted at the property, 277 rock chip samples were taken and the geologist found characteristics of a significant epithermal system with 59 rock samples returning above 0.2 g/t Au, 24 samples returning above 0.5 g/t Au, 12 samples returning above 1 g/t Au, and 2 samples returning above 3 g/t Au. “Strong epithermal alteration is found along a minimum 1.7 km long E-W structural trend that shows sheeted quartz vein sets and silicification in conjugate NNW to NNE-NE structural sets. The setting is the eastern structural margin of a caldera where it intersects a prominent regional E-W structural trend. Approximately 4,100 square meters of silicified bladed calcite textures have been mapped within a larger area of strong and sheeted quartz veining. This main zone, along with other prominent outliers, constitutes easy-to-access and drill-ready targets”.

ON MINING

  • Santacruz Silver Mining Ltd., reported Q3, 2019 production and financial results from its operations. At Zimapan mine, Hidalgo, the company milled 82,242 tonnes to produce 606.6K Oz AgEq at cash cost of $41.89 per ton, or $16.32 per Oz AgEq produced, and an AISC of $18.56 per Oz AgEq produced. At Veta Grande mine, Zacatecas, it milled 43,999 tonnes to produce 214.3K Oz AgEq at a cash cost of $47.67 per tonne or $19.79 per Oz AgEq produced, an AISC of $26.77 per Oz AgEq produced. At El Rosario mine, San Luis Potosi, Santa Cruz milled 22,048 tonnes to produce 132K Oz AgEq, at cash cost of $82.10 per tonne or $27.96 per Oz AgEq produced, and an AISC of $38.63 per Oz AgEq produced. Consolidated numbers for its mining operations were 148,289 tonnes milled to produce 952.8K Oz AgEq, at cash cost of $49.58 per tonne or $18.52 per Oz AgEq produced, and an AISC of $22.83 per Oz AgEq produced. Consolidated mining operations generated a gross profit of $102 including gross profit from Zimapan of $992, and gross losses from Rosario and Veta Grande of $672 and $511 respectively plus mine services gross profit of $293.
  • Alio Gold Inc., announced production and cost guidance for 2020. It expects to produce between 12K-15K Oz Au at cash cost of USD $1,700-$1,800 per Oz.
  • Consolidated Zinc Limited, terminated its mining contractor and advised that mining of its Plomosas mine in Chihuahua will be managed and operated by the company in order to significantly reduce its mining cost. “The Company is confident it can deliver improved performance from the mine before the end of December. During this short transition period processing ore and concentrate from existing stockpiles will continue to provide revenue”.

ON FINANCING

  • San Marco Resources Inc., revised it non-brokered flow through private placement announced on October 9, 2019 It now consists of 266,667 shares at a price of $0.15 each (Chunibas project, Sonora).
  • SilverCrest Metals Inc., announced a bought deal financing for aggregate gross proceeds of CAD $80M. Net proceeds will be used to continue the exploration and development of its Las Chispas project in Sonora.
  • Tocvan Ventures Corp., announced that its shares are now listed on the Frankfurt Stock Exchange (FSE) with the symbol TV3. The Company expects that the FSE listing will help increase trading liquidity and facilitate investment in the Company by institutional and retail investors across Europe (El Pilar project, Sonora).
  • First Mining Gold Corp., announced a flow through equity financing for gross proceeds of approximately $2M (San Ricardo project, Sonora).

ON RESOURCES AND DEVELOPMENT

  •  Capstone Mining Corp., reported that the infill drilling program at its Cozamin mine in Zacatecas returned higher grades and wider intercepts than in current reserves. 20 infill drill holes were collared, bringing the total drilled to date to 138 holes of a 200 holes program. Significant drill interceptions were encountered in hole CG-19-S434 with 2.2% Cu and 44 g/t Ag over a true width (TW) of 20.3m, including 5.28% Cu and 97 g/t Ag over a TW of 5m; hole CG-19-S427 with 4.01% Cu and 67 g/t Ag over a TW of 6.1m; hole CG-19-S429 with 1.49% Cu and 51 g/t Ag over a TW of 18.5m, including 1.92% Cu and 70 g/t Ag over a TW of 5.5m; hole CG-19-S433 with 1.27% Cu and 31 g/t Ag over a TW of 24.6m, including 2.99% Cu and 62 g/t Ag over a TW of 7.1m; hole CG-19-S426 with 3.15% Cu and 58 g/t Ag over a TW of 12.2m, including 6.97% Cu and 121 g/t Ag over a TW of 4.1m; and hole CG-19-S418 with 3.98% Cu and 84 g/t Ag over a TW of 8.4m.
  • Starcore International Mines Ltd., released its updated Ni 43-101 mineral reserves and resources at its San Martin Mine in Queretaro. Total proven and probable mineral reserves and resources as September 30, 2019 are 1,434,308 tons of 2.04 g/t Au and 27 g/t Ag for a total of 109.1K Oz AuEq contained. Total inferred and indicated mineral reserves and resources are 1,713,120 tons of 1.91 g/t Au and 19 g/t Ag for a total of 118.4K Oz AuEq contained. The total of Oz AuEq contained in both categories is 227.5K.
  • US Antimony Corporation, provided an update on its Puerto Blanco mill in Guanajuato for its Los Juarez Au-Ag and Sb deposit in Querétaro. It could be ready for cyanide leach testing by the end of December.
  • Mexus Gold US, announced that its new 500GPM Merrill Crowe Au recovery plant is complete and operational. It is capable of handling 3K tonnes a week mining operation and will allow for future expansion as well.

 ON DEALS AND CORPORATE ISSUES

  • San Marco Resources Inc., retained Momentum Public Relations Inc., to assists with strategic business development activities. The agreement with Momentum has a term of 12 months at $8,500 per month (Chunibas project, Sonora).
  • Argonaut Gold Inc., provided an update on its San Antonio project permitting in Baja California Sur. It announced that SEMARNAT issued a ruling to not approve the updated Environmental Impact Assessment (MIA in Spanish), citing that the MIA is non-compatible zoning based on a revised, 2018 zoning plan filed by the Municipality of La Paz. The Company is reviewing all of its options from seeking an amendment to the La Paz 2018 zoning plan based upon the July 2016 supreme court ruling, submitting a revised MIA and legal options.
  • Excellon Resources Inc., provided an update on the ongoing legal action with respect of the La Antigua mining concession included in Excellon´s acquisition of Silver Eagle Mine Inc. in 2009, which includes a portion of the historic mineral resource at Miguel Auza in Zacatecas. Silver Eagle, the Plaintiff, sued Excellon for non-compliance with the agreement and specifically for not operating the Miguel Auza Mine and the Court granted the Plaintiff an award of approximately $23M predominantly in damages for the Miguel Auza mine not being in operation. “Excellon expects this decision to be reversed and rationalized in the federal court system. In the interim, it does not expect any impact on its ongoing business activities”.

ON SOCIAL RESPONSIBILITY

  • Grupo Mexico, through its health and social program called Dr Vagón (the health train), attended nearly 3,000 consultations last week in Delicias, Chihuahua. Specialist of the health train performed 256 mammograms or tests for the detection of breast cancer, Pap smears, and placed the Intra Uterine Device (IUD) in women. Apart from the mastographs and Pap smears, audiometries and vasectomies were performed on men.
  • Industrias Peñoles S.A.B. de C.V., through its Community Center, informed about the planned activities to carry out in the coming Christmas season. Dolores Herrera, coordinator of the center, also announced a proposal for the realization of the Human Development workshop, promoted by the National Association for Personal Improvement AC (ANSPAC), with duration of a year and a half.

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, chalcedonic quartz vein in a low sulphidation epithermal system from a prospect in Durango, Mexico. Photo by Miguel A Heredia.