During the 6th week of the year (February 6th to February 12th, 2023), at least 14 press releases were announced by companies working in Mexico, with five disclosing deals and corporate issues, three reporting resources and developments of their properties, three announcing financing issues, two informing on exploration results, and one commenting on Mexican issues. ON MEXICO ISSUES, Golden Minerals Corporation was the only mining company reporting drilling results on the second week of February, 2023. ON EXPLORATION, In Sonora, Prismo filed a drilling permit application for its Pavito project. In Chihuahua, Golden Minerals reported results from the final 10 holes of the third drill program conducted at its Yoquivo project. ON MINING, no relevant news. ON FINANCING, Barksdale announced that 8,050,287 common share purchase warrants were exercised prior to their expiration (San Javier project, Sonora). GoGold closed its previously announced bought deal offering for gross proceed of CAD $65M (Los Ricos North and South projects, Jalisco). MAG Silver completed its previously announced bought deal public offering for gross proceeds of USD $42,558,250 (Juanicipio project, Zacatecas). ON RESOURCES AND DEVELOPMENT, Sonoro Gold announced an updated Mineral Resource Estimate for its Cerro Caliche project in Sonora. Prime Mining announced the details of its 2023 work program objectives and strategy at its Los Reyes project in Sinaloa and will provide a 2022 progress report in February, 2023. Torex provided an inaugural quarterly update on its Media Luna project in Guerrero. ON DEALS AND CORPORATE ISSUES, Colibri and its partner Silver Spruce declared that have earned 50% ownership interest in the Diamante property in Sonora. Discovery Silver announced that its shares will be listed and commence trading on the Toronto Stock Exchange (Cordero project, Chihuahua). Consolidated Zinc entered into a binding conditional share sale agreement with Impact to sell its Plomosas project in Chihuahua. Vizsla, as part of its incentive compensation plan, granted stock options to directors, officers, employees and consultants of the company (Panuco project, Sinaloa). Heliostar announced that their shares remain in a trading halt due to the acquisition of the Ana Paula project in Guerrero from Argonaut Gold. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
Golden Minerals was the only mining company reporting drilling results on the second week of February, 2023. Details are shown in the table below:
ON EXPLORATION
Prismo Metals Inc., filed a drilling permit application for its Pavito project in Sonora. The company anticipates the drilling permit will be approved in early March, 2023. Prismo plans to conduct an initial 2,500m drill program in the first half of 2023.
Golden Minerals Company reported results from the final 10 holes of the third drill program conducted at its Yoquivo project. Drilling highlights (widths reported are true widths) include hole YQ-22-028 with 3.81 g/t Au and 1,585 g/t Ag over 0.76m on the New Vein, plus 1.16 g/t Au and 105 g/t Ag over 0.80m on the Pertenencia Hangingwall Vein, plus 4.25 g/t Au and 449 g/t Ag over 1.16m on the Camila Hangingwall Vein, plus 1.45 g/t Au and 510 g/t Ag over 4.80m on the Camila Vein; hole YQ-22-031 with 3.86 g/t Au and 668 g/t Ag over 2.29m on the Pertenencia Vein; and hole YQ-22-034 with 1.3 g/t Au and 545 g/t Ag on the San Francisco Hangingwall Vein.
ON MINING
No relevant news.
ON FINANCING
Barksdale Resources Corp., announced that 8,050,287 common share purchase warrants, with an exercise price of $0.55 were exercised prior to their January 31, 2023 expiry. “The warrant exercises generated gross proceeds of approximately $4.4M, with approximately $3.8M coming from warrant exercises in January 2023. As of February 3, the Company’s unaudited cash position is approximately $6.6M with issued capital of 80,239,886 common shares. (San Javier project, Sonora).
GoGold Resources Inc., closed its previously announced bought deal offering of 28.9M common shares at a price of CAD $2.25 for gross proceed of approximately CAD $65M. Net proceeds will be used to advance the Los Ricos North and South projects in Jalisco. A syndicate of underwriters hold an option to purchase up to an additional 4,335,000 common shares at a price of CAD $2.25 per common share, exercisable in whole or in part, on or before March 10, 2023.
MAG Silver Corp., completed its previously announced bought deal public offering of 2,905,000 common shares, including 170,000 common shares issued upon the partial exercise of the over-allotment option, at a price of USD $14.65 per common share for gross proceeds of USD $42,558,250. Net proceeds will be used to fund exploration on the Juanicipio and MAG´s other projects, certain sustaining capital requirements at the Juanicipio project, and for working capital and general corporate purposes.
ON RESOURCES AND DEVELOPMENT
Sonoro Gold Corp., announced an updated Mineral Resource Estimate (MRE) for its Cerro Caliche project in Sonora, in accordance with the requirements of NI 43-101. The MRE, with an effective date of January 26, 2023 is based on 59,500m of drilled data including 544 drill holes, 17 trenches and assays for 57,500m of the drilled data. The pit constrained MRE include an indicated resource of 19.9M tonnes with grades of 0.44 g/t Au and 3 g/t Ag (0.46 g/t AuEq) for a total of 280K Oz Au and 2.23M Oz Ag (290K Oz AuEq) contained, and inferred resources of 10.55M tonnes with grades of 0.42 g/t Au and 4 g/t Ag (0.44 g/t AuEq) for a total of 140K Oz Au and 1.34M Oz Ag (150K Oz AuEq).
Prime Mining Corp., announced the details of its 2023 work program objectives and strategy at its Los Reyes project in Sinaloa and will provide a 2022 progress report in February, 2023. The company has completed 110,000m of drilling in 2021 – 2022 to contribute to an updated NI 43-101 Mineral Resource Estimate (MRE) which is expected to be released in Q2, 2023. For 2023, Prime has budgeted initial 35,000m in step-out drilling along the three known deposits (Guadalupe, Z-T, and Central), as well as in generative exploration drilling at key targets in the Los Reyes mining district. Additionally, Prime plans to continue metallurgical test work and metallurgical domain classification of the deposits; to complete preliminary geotechnical analysis of the resource areas; and further mining assessment to advance the property to a potential future development. The company also will continue with the environmental base line work as well as the work dialogue with the community with strong emphasis on water programs and education. All these programs are fully funded for 2023 with the completion of an over-subscribed $21M private placement on December 22, 2023.
Torex Gold Resources Inc., provided an inaugural quarterly update on its Media Luna project in Guerrero. Development of Media Luna is well underway with the project tracking to schedule and to budget. Capital expenditures related to the development of Media Luna are unchanged at USD $874.5M. As at year-end, Torex had commitments in place for USD $229.7M of project expenditures, including USD $124.7M of expenditures incurred. Torex expects to incur USD $390M to USD $440M of capital expenditures at Media Luna in 2023, which is forecasted to be the peak year of investment. All critical path engineering is on track, focused on finalization of key process equipment sizing and specifications as well as continued detailing of the new flotation plant. The Guajes Tunnel and South Portals advanced steady. Breakthrough of the Guajes Tunnel on the south side of the Balsas River remains on track for Q1 2024. The tunnel has successfully crossed under the Balsas River with no issues related to ground conditions or water. Additionally, multiple surface constructions have advanced steady. The company anticipates first production in late 2024.
ON DEALS AND CORPORATE ISSUES
Colibri Resource Corporation and its partner Silver Spruce Resources declared that have earned 50% ownership interest in the Diamante property in Sonora. The vendor, Bimsa Minera S.A. de C.V. , retains the remainder 50% ownership interest in the property.
Discovery Silver Corp., announced that its shares will be listed and commence trading on the Toronto Stock Exchange (TSX) under the symbol “DSV”, effective as February 3, 2023 (Cordero project, Chihuahua).
Consolidated Zinc Limited entered into a binding conditional share sale agreement with Impact Silver Corp., to sell its 100% legal and beneficial interest in Minera Latin American Zinc S.A.P.I. de C.V., a subsidiary of the company that owns the Plomosas project in Chihuahua for USD $6M. The sale agreement for the proposed transaction consist of USD $3M in cash and USD $3M in Impact Silver shares, and the payment of a 12% net profit interest royalty.
Vizsla Silver Corp., as part of its incentive compensation plan, granted 2,130,000 stock options at an exercise price of $1.60 and 1,133,572 restricted share units to directors, officers, employees and consultants of the company (Panuco project, Sinaloa).
Heliostar Metals Inc., announced that their shares remain in a trading halt due to the acquisition of the Ana Paula project in Guerrero from Argonaut Gold, since this kind of transactions require a number of key documents for the security exchange.
ON SOCIAL RESPONSIBILITY
No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, an old adit driven along low-angle sheeted quartz veins in an orogenic gold prospect in Sonora Mexico. Photo by Miguel A Heredia.
During the 41st week of the year (October 10th to October 16th, 2022), 15 companies working in Mexico released news on their properties. Three companies posted exploration advances on their properties, six companies released Q3 2022 results, one company is to undertake a private placement and one more expanded on the maturity extension of convertible debentures and three companies released drilling results from their advanced properties. ON MEXICO ISSUES, no relevant news. ON EXPLORATION, in Sonora, Regency Silver released drilling results from the Dios Padre property, including great results from a hole testing a geophysical anomaly 500 m from the historic resource. Prismo Metals updated on the drilling program and sampling protocol at Palos Verdes. In Durango, Silver Wolf updated on exploration at its Ana Maria project. ON MINING, Endeavour Silver, Torex Gold, GoGold Resources, Orla Mining, Gatos Silver and Gold Resource released Q3 2022 production results. ON FINANCING, Sonoro Resource is to undertake a financing round for C$525 K. Barksdale Resources extended the maturity date of convertible debentures with a remaining principal amount of $1.5 M. ON RESOURCES AND DEVELOPMENT, Avino Silver and Gold Mines released drilling results from its Avino mine in Durango. Prime Mining provided drilling results from Los Reyes property, in Sinaloa. Vizsla Silver reported drilling results from the southern part of the Napoleon vein at its Panuco project in Sinaloa. ON DEALS AND CORPORATE ISSUES, no relevant news. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUES
No Relevant News.
ON EXPLORATION
Prismo Metals Inc. updated on the drill program at its Palos Verdes project in Sinaloa. A total of 1,062 m have been drilled of the planned minimum 2,000 m. Three holes have been completed and one is in progress testing the Palos Verdes vein and a structural intersection. By analyzing Vizsla’s Silver recent drill data on the adjacent Panuco project, a new sampling protocol has been implemented, including wallrocks with quartz veining. Several long intervals of the past drilling campaign will be also sent to the lab.
Regency Silver Corp. released results from the first 12 holes at its Dios Padre property in Sonora. The highlighted core length interval of the first hole on a geophysical anomaly 500 m north of the historic resource comprise 53.8 m @ 4.7 gpt Au (including 35.8 m @ 6.84 gpt Au, 22 gpt Ag, 0.88% Cu and 9.8 m @ 13.97 gpt Au, 50 gpt Ag, 1.11% Cu) starting at 420 m depth. Au-Cu-Ag mineralization in this hole is largely breccia hosted, with pyrite and chalcopyrite forming the breccia matrix. “The core of the mineralized zone sits within and adjacent to a felsic intrusive body, though mineralization is present both within the felsic unit as well as the host andesites. Both rock units are strongly altered to white mica with some silica”. The hole was stopped due to the 500 m maximum capacity of the rig being used. Highlighted intervals were released by element, comprising 60 m @ 0.33% Cu; 52 m @ 0.69% Cu (including 33 m @ 0.94% Cu) and 29.3 m @ 0.36 gpt Au; 6 m @ 0.68 gpt Au; 53.8 m @ 4.7 gpt Au; 21.5 m @ 0.53 gpt Au; 4.2 m @ 2.1 gpt Au; 49.65 m @ 0.58 gpt Au; 10 m @ 0.57 gpt Au; 17.9 m @ 1.34 gpt Au; 23.65 m @ 0.36 gpt Au and 26.3 m @ 63 gpt Ag; (including 4.3 m @ 317 gpt Ag); 60 m @ 19 gpt Ag; 8 m @ 60 gpt Ag; 18 m @ 14 gpt Ag; 8 m @ 67 gpt Ag; 12 m @ 45 gpt Ag; 17.5 m @ 135 gpt Ag (including 3.9 m @ 582 gpt Ag); 2.2 m @ 220 gpt Ag; 10.95 m @ 302 gpt Ag; 6.95 m @ 336 gpt Ag; 18.55 m @ 50 gpt Ag; 7.5 m @ 113 gpt Ag; 3.1 m @ 420 gpt Ag; 21.5 m @ 137 gpt Ag; 9.6 m @ 56 gpt Ag; 1 m @ 603 gpt Ag; 37.4 m @ 110 gpt Ag (including 19.65 m @ 203 gpt Ag).
Silver Wolf Exploration Ltd. reported on exploration at its 2,500 hectares Ana Maria property in Durango. Two main targets are being defined using a carbonate replacement deposit (CRD) model. The central claim block hosts a gold skarn type showing, while the southern claim block is distal to the intrusive, hosting CRD Ag-Zn-Pb prospects and historical small mines. “Continued work on the central claims include a reinterpretation of geophysical results to fine tune the magnetics data and further identify the intrusive contacts with the surrounding limestone at depth”.
ON MINING
Endeavour Silver Corp. reported third quarter 2022 production results, with 202.7 K tonnes processed at a daily rate (tpd) of 2,204 tonnes grading 248 gpt Ag, 1.60 gpt Au to produce 1.46 M Oz Ag, 9,194 Oz Au. At Guanaceví, in Durango, 97.7 K tonnes were processes at 1,062 tpd, grading 468 gpt Ag, 1.29 gpt Au with a recovery of 90.6% Ag, 89.9% Au to produce 1.33 M Oz Ag, 3,642 Oz Au. At Bolañitos, in Guanajuato, 105 K tonnes were processed at 1,141 tpd, grading 43 gpt Ag, 1.88 gpt Au with a recovery rate of 87.0% Ag, 87.5% Au, to produce 126.3 K Oz Ag, 5,552 Oz Au. Positive drilling results have been received from Guanaceví and Parral, extensive due diligence work continues at Terronera (Jalisco) and the El Compas property and plant were sold for $5 M over five years.
Torex Gold Resources Inc. reported Q3 2022 gold production from its El Limón Guajes mining complex in Guerrero. During the period 9,600 tonnes per day (tpd) were mined by open pit and 1,550 tpd from underground, processing an average of 13 K tonnes to produce 122,200 Oz Au.
GoGold Resources Inc. reported production for the quarter ending on September 30, 2022. At the Parral tailings project in Chihuahua, 145.9 K Oz Ag, 2,278 Oz Au, 124 tonnes Cu were produced during the period. “The Company had $20M USD in input tax recoverable which related to VAT receivable from the Mexican Federal Government for the years of 2017 to 2022. The Company received $11M which related to 2017 and 2018 which included interest of $5M. Management continues to work with the tax authority on the remaining claims and expects to receive these amounts in due course”.
Orla Mining Ltd. provided an interim operational update for the third quarter of 2022. At Camino Rojo in Zacatecas, 4.13 M tonnes were mined, of which 1.74 M tonnes @ 0.88 gpt Au were processed, 0.43 M tonnes @ 0.32 gpt Au were stockpiled (19,200 tonnes per day), and 1.96 M tonnes of waste moved (Strip ratio 0.91), to produce 28,876 Oz Au.
Gatos Silver Inc. announced production results for the third quarter 2022 from its 70% owned Cerro Los Gatos property in Chihuahua. During the period 263.3 K tonnes were milled at a rate of 2,862 tpd averaging 356 gpt Ag, 0.34 gpt Au, 2.38% Pb, 4.70% Zn. Recovering 89.6% Ag, 48.9% Au, 88.5% Pb, 65.4% Zn to produce 2.70 M Oz Ag, 1,400 Oz Au, 12.2 M Lb Pb, 17.8 M Lb Zn. “The Company had a cash balance of $15 million and debt outstanding of $13 million related to our credit facility as of September 30, 2022”, and “anticipates completing an impairment assessment based on the 2022 Mineral Reserve in the fourth quarter of 2022 and is working towards completing all outstanding SEC and OSC filings as soon as practicable”.
Gold Resource Corp. announced preliminary results in Q3 2022. At the Don David mine in Oaxaca, 110.7 K tonnes were milled (1,361 tpd), averaging 1.98 gpt Au, 80 gpt Ag, 0.37% Cu, 1.59% Pb, 4.21% Zn, to produce 5,851 Oz Au, 261.2 K Oz Ag, 296 tonnes Cu, 1,249 tonnes Pb, 3,901 tonnes Zn.
ON FINANCING
Sonoro Gold Corp. is to undertake a non-brokered private placement offering for gross proceeds of up to C$525 K (Cerro Caliche, Sonora).
Barksdale Resources Corp. has finalized the extension of the maturity date of the secured convertible debentures administered by Delbrook Capital Advisors Inc. by one year until December 31, 2023. “The Debentures have a remaining principal amount of $1,500,000 and all other terms of the Debentures remain unchanged except for the conversion price, which has increased to $0.55 per share from $0.45 per share”. Approximately $99 K of accrued interest will be exchanged for 206.6 K shares units consisting of one share and one-half of common share purchase warrant. An extension fee of 2.78 M common share purchase warrants at a price of $0.72 exercisable up to December 2023 was agreed (San Javier, Sonora).
ON RESOURCES AND DEVELOPMENT
Avino Silver & Gold Mines Ltd. released drilling results from six holes completed below the current Level 17 mining area at the Elena Tolosa area of the Avino mine in Durango. Highlighted true width (TW) intercepts comprise 26.77 m @ 0.15 gpt Au, 50 gpt Ag, 0.71% Cu; 43.80 m @ 0.15 gpt Au, 15 gpt Ag, 0.49% Cu; 10.90 m @ 0.06 gpt Au, 25 gpt Ag, 1.05% Cu; 9.95 m @ 0.25 gpt Au, 17 gpt Ag, 0.40% Cu; 14.40 m @ 0.17 gpt Au, 30 gpt Ag, 0.19% Cu. These drilling results demonstrate the continuity of grade and thickness of the mineralization currently being mined at the lowest level of the mine. The company is developing a geological model based on a near porphyry environment, supported by the grade continuity over 600 m vertically and base metal zonation.
Prime Mining Corp. announced results from five holes in the Z-T area of the Los Reyes property in Sinaloa. Highlighted true width intercepts comprise 13.2 m @ 2.36 gpt Au, 178 gpt Ag; 7.40 m @ 0.91 gpt Au, 139 gpt Ag; 5.60 m @ 3.86 gpt Au, 89 gpt Ag; 5.30 m @ 1.17 gpt Au, 207 gpt Ag. Five rigs have completed 70,590 m of drilling in this phase 2 campaign that is planned to continue to the end of October, while results for 93 holes remain pending.
Vizsla Silver Corp. reported results from 12 holes targeting the southern extension of the Napoleon vein at its Panuco project in Sinaloa. Highlighted true width (tw) intervals comprise 1.0 m @ 1.60 gpt Au, 2,642 gpt Ag, 1.9% Pb, 4.1% Zn; 1.0 m @ 3.63 gpt Au, 740 gpt Ag; 0.2% Pb, 1.2% Zn; 1.86 m @ 0.6 gpt Au, 354 gpt Ag, 0.2% Pb, 0.5% Zn; 1.81 m @ 3.12 gpt Au, 1,268 gpt Ag, 0.2% Zn; 0.91 m @ 5.77 gpt Au, 320 gpt Ag, 0.5% Pb, 1.3% Zn. “The new drill holes report high grade silver and gold intercepts from the footwall vein splays and further support grade continuity to the south along the main Napoleon Vein”.
ON DEALS AND CORPORATE ISSUES
No Relevant News.
ON SOCIAL RESPONSIBILITY
No Relevant News.
On the image below Banded quartz-calcite veinlet in the Sonoran Desert. Picture by Jorge Cirett.
During the 38th week of the year (September 19th to September 25th, 2022), at least 12 press releases were announced by companies working in Mexico, and 3 news published by the media with four informing on exploration results, four reporting resources and developments of their properties, four commenting on Mexican issues, two announcing financing issues, and one discussing social issues. ON MEXICO ISSUES, Enrique Zorrilla, president of the Canadian Chamber of Commerce in Mexico stated that Canada has its eyes fixed on Mexico as an investment destination for its mining companies, mainly in exploration expenses to find new gold deposits. According to a recent report by the Ministry of Finance, Mexico values its lithium deposits in Sonora at USD $602,000M. In Mexico, only 33% of mines have access to a computer with an Internet connection to reduce accidents. On a striking difference with last week news releases, only Vizsla Silver Corp., posted drilling results in Mexico on the fourth week of September, 2022. ON EXPLORATION, In Sonora, Tocvan and its JV partner Colibri announced the next steps to be conducted at both the Pilar and the El Picacho projects. In Sinaloa, Prismo provided an update of its ongoing drilling program being conducted at its Palos Verdes project. In Durango, Regency entered into an option agreement to acquire a 100% undivided interest in the El Tablon claims. ON MINING, no relevant news. ON FINANCING, Tocvan announced that it has filed to extend the expiration date of 1,244,668 common share purchase warrants by six months (The Pilar project, Sonora). Barksdale closed a non-brokered private placement for gross proceeds of $2M and issued a total of 4,622,917 units at a price of $0.48 per Unit for gross proceeds of $2.22 (San Javier project, Sonora). ON RESOURCES AND DEVELOPMENT, Oroco announced the commencement of a Preliminary Economic Assessment (PEA) for its Santo Tomas project in Sinaloa. Galore provided an update on the exploitation activities carried out at its Duraznillo mine in Zacatecas. Golden Tag reported positive metallurgical results from the Fernandez Zone at its San Diego project, Durango. Vizsla reported results from 13 new drill holes targeting the Cruz Negra Vein located in the western portion of its Panuco project in Sinaloa. ON DEALS AND CORPORATE ISSUES, no relevant news. ON SOCIAL RESPONSIBILITY, Almaden signed new and expanded cooperation agreements with the two communities closest to its Ixtaca project, Puebla.
ON MEXICO ISSUE
Enrique Zorrilla, president of the Canadian Chamber of Commerce in Mexico stated that Canada has its eyes fixed on Mexico as an investment destination for its mining companies, mainly in exploration expenses to find new gold deposits. He declared that 35% of the capital invested by that country goes to the mining sector.
According to a recent report by the Ministry of Finance, Mexico values its lithium deposits in Sonora at USD $602,000M. Although Mexico does not currently produce the metal, the finance ministry estimated that Sonora’s reserves could add about 0.3% to potential GDP in the medium term. While the ultra light white metal is usually extracted from rock or brine deposits, lithium in Sonora is mostly trapped in clays, from which it has not yet been extracted on a commercial scale.
In Mexico, only 33% of mines have access to a computer with an Internet connection to reduce accidents. Ericsson revealed that the use of tools such as telemetry, satellite geolocation, wireless sensors and remote operation help improve mining operations, because with them and with the speed of the 5G network, information can be obtained practically in real time.
On a striking difference with last week news releases, only Vizsla Silver Corp., posted drilling results in Mexico on the fourth week of September, 2022. Details are shown in the table below:
ON EXPLORATION
Tocvan Ventures Corp., and its JV partner Colibri Resources Corporation announced the next step to be conducted at both the Pilar and the El Picacho projects in Sonora. At the El Picacho, Tocvan plans to initiate a maiden drill program targeting the San Ramon prospect. The plan for the Pilar is to commence bulk sampling of trench material to be processed in a local heap leach facility; to complete 2,000m of infill drilling and 3,000m of step-out and exploration drilling; to proceed with the permitting and development requirements for establishing a bulk test mine on-site; and to update the technical report.
Prismo Metals Inc., provided an update of its ongoing drilling program being conducted at its Palos Verdes project, Sinaloa. The Company has drilled approximately 560m in two core holes of a planned minimum of 2,000m drill program, with the second hole currently in progress. Both holes have intersected several vein structures. Palos Verdes project is contiguous to the Panuco silver-gold project of Vizsla Silver Corp.
Regency Silver Corp., entered into an option agreement to acquire a 100% undivided interest in the El Tablon claims located only 26km from the historical Tayoltita mining district in the state of Durango. The property covers a total of 7,200 hectares and contains numerous artisanal workings and tunnels, which explored many of the veins and veinlets that exist within the concession area. In order to exercise the option, Regency Silver must pay USD $50K on receipt of exchange acceptance, issue a total of 1M common shares and pay back taxes and mining filings on or before March 31, 2024. Regency Silver must also pay a USD $1M bonus upon a NI 43-101 resource being published, which estimates the El Tablon Claims contain a minimum of 70M Oz AgEq or M Oz Au in the measured or indicated categories.
ON MINING
No relevant news.
ON FINANCING
Tocvan Ventures Corp., announced that it has filed to extend the expiration date of 1,244,668 common share purchase warrants by six months. The Warrants are exercisable into common shares of the Company at a price of $0.75 per common share. The Warrants were issued pursuant to a non-brokered private placement of 1,244,668 units at a price of $0.60 on March 30, 2021. The Warrants were set to expire September 30, 2022 and will have an amended expiry date of March 31, 2023. All other terms and conditions of the Warrants, including the exercise price, remain the same (The Pilar project, Sonora).
Barksdale Resources Corp., closed a non-brokered private placement for gross proceeds of $2M and issued a total of 4,622,917 units at a price of $0.48 per Unit for gross proceeds of $2,219,000. The net proceeds from the offering will be used to advance the company’s mineral projects and for general corporate and working capital purposes (San Javier project, Sonora).
ON RESOURCES AND DEVELOPMENT
Oroco Resource Corp., announced the commencement of a Preliminary Economic Assessment (PEA) for the North and South Zones of its Santo Tomas project in Sinaloa. Additionally, the company mobilized two rigs more to the project, bringing to six the total number of drills conducting infill and step-out drilling in the North Zone and South Zone.
Galore Resources Inc., provided an update on the exploitation activities carried out at its Duraznillo mine in Zacatecas. “Immediately following the execution of the Exploitation Agreement with Oztoc Metals Corporation and the successful removal of the former tenant, Oztoc’s team has been evaluating and remediating the Duraznillo mine site. After conducting several processing trials, Oztoc determined that in order to achieve better production levels, a new and much improved processing system needed to be installed. Oztoc has purchased this equipment and is awaiting its arrival to begin operations, which should take place within the next two to three months”.
Golden Tag Resources Ltd., reported positive metallurgical results from the Fernandez Zone at its San Diego project, Durango. According to the metallurgical results, the endoskarn mineralization found at the Fernandez Zone is amenable to conventional flotation techniques; 76% of the Ag and 84% of the Pb were recovered to a bulk concentrate containing 51% Pb, 4700 g/t Ag, 3.11% Zn, 5.27% Cu, and 2.23 g/t Au; Cu and Au recoveries within the bulk concentrate had significant improvements over previous test work; and 84% of the zinc was recovered to a concentrate grading 47% zinc.
Vizsla Silver Corp., reported results from 13 new drill holes targeting the Cruz Negra Vein located in the western portion of its Panuco project in Sinaloa. Drilling highlights include hole NP-22-274 with 413 g/t Ag, 1.99 g/t Au, 0.2% Pb, and 0.3% Zn (541 g/t AgEq) over a true width (TW) of 2.09m, including 2,490 g/t Ag, 2.85 g/t Au, 0.6% Pb, and 0.9% Zn (3,287 g/t AgEq) over a TW of 0.26m, plus 258 g/t Ag, 1.54 g/t Au, 0.01% Pb, and 0.2% Zn (357 g/t AgEq) over a TW of 0.88m; hole NP-22-262 with 289 g/t Ag, 2.38 g/t Au, 0.8% Pb, and 0.7% Zn (486 g/t AgEq) over a TW of 0.65m, including 741 g/t Ag, 5.88 g/t Au, 0.3% Pb, and 1.3% Zn (1,165 g/t AgEq) over a TW of 0.20m, plus 168 g/t Ag, 16.42 g/t Au, 0.9% Pb, and 3.3% Zn (1,476 g/t AgEq) over a TW of 0.65m, including 181 g/t Ag, 19.70 g/t Au, 1.1% Pb, and 3.8% Zn (1,748 g/t AgEq) over a TW of 0.46m; hole NP-22-290 with 76 g/t Ag, 2.6 g/t Au, 0.6% Pb, and 6.2% Zn (491 g/t AgEq) over a TW of 2.85m; hole NP-22-293 with 481 g/t Ag, 1.2 g/t Au, 0.02% Pb, and 0.02% Zn (535 g/t AgEq) over a TW of 0.76m; and hole NP-22-298 with 297 g/t Ag, 1.78 g/t Au, 0.3% Pb, and 1.2% Zn (456 g/t AgEq) over a TW of 1.60m. Vizsla also reported that it acquired a new claim that connect the northwest and southeast extents of Cruz Negra which are situated on pre-existing Vizsla claims and represent approximately 400m of new potentially mineralized vein strike to explore.
ON DEALS AND CORPORATE ISSUES
No relevant news.
ON SOCIAL RESPONSIBILITY
Almaden Minerals Ltd., signed new and expanded cooperation agreements with the communities of Zacatepec and Santa Maria Zotoltepec, the two communities closest to its Ixtaca project, Puebla. “These agreements set out the terms of the Company’s continued support of local communities’ human right to water through the immediate improvement of local water infrastructure, and establish a basis for longer term cooperation, once the Ixtaca project is permitted. In Zacatepec, the Company has reaffirmed its agreement with the “Irrigation Group of Small Producers from Zacatepec A.C.” to construct an agricultural water reservoir and related pumping and drip irrigation system to support local farming. In Santa María Zotoltepec, the Company has signed an agreement with the “United Ejidatarios for the Sustainable Development of Santa María Zotoltepec, A.C.” in which the Company will make an immediate contribution in order to support the construction of a similar agricultural reservoir and pumping and drip irrigation system with similar characteristics to the one built at Zacatepec, and ongoing contributions to support an agro-technological package aimed at sustainable plant nutrition and soil enrichment”.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, a grossular garnet exo skarn in a prospect in Tamaulipas, Mexico. Photo by Miguel A Heredia.
During the 34th week of the year (August 22nd to August 28th, 2022), at least 16 press releases were announced by companies working in Mexico, and 7 news published by the media with seven commenting on Mexican issues, four communicating production and financial results, four disclosing deals and corporate issues, three reporting resources and developments of their properties, three announcing financial issues, and two informing on exploration results. ON MEXICO ISSUES, Colibri and Oroco reported the best drilling intercepts in Mexico on the fourth week of August, 2022. The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M. Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa. Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021. Mining in Mexico grew by 7.1% in 2021 despite friction with the government. The governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country. In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic. ON EXPLORATION, In Sonora, Colibri reported results from the second half of its Phase 1 drill program completed on its Evelyn project, and Tocvan announced latest drill results from its Pilar project. ON MINING, Guanajuato Silver, Discovery Silver, Minera Alamos, and Orogen reported Q2, 2022 production and financial results from their Mexican operations. ON FINANCING, Canasil announced a non-brokered private placement for gross proceeds of up to $550K (Nora project, Durango). Minera Alamos arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise (Cerro de Oro project, Zacatecas). Eric Sprott announced holdings in Orex Minerals Inc. ON RESOURCES AND DEVELOPMENT, Discovery Silver reported Q2, 2022 results from its flagship Cordero project, Chihuahua. Minera Alamos provided an update on its Cerro de Oro project, Zacatecas. Oroco successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Monumental announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila). Argonaut announced the appointment of its Vice President, Canadian Operations (La Colorada mine, Sonora). Aztec purchased 35% interest in the Cervantes property in Sonora from Kootenay. Colibri announced reinstatement of trading on the TSX Venture Exchange and the appointment of its CFO. ON SOCIAL RESPONSIBILITY, no relevant news.
ON MEXICO ISSUE
Colibri Resource Corporation and Oroco Resource Corp.,reported the best drilling intercepts in Mexico on the fourth week of August, 2022. Details are shown in the table below:
· The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). The Government of Mexico created LitioMx as a decentralized public organism of the Federal Public Administration and coordinated by the Ministry of Energy, with its own legal personality and assets and with technical, operational and management autonomy. The objective of LitioMx will be the exploration, exploitation, benefit and use of lithium, located in national territory, as well as the administration and control of the economic value chains of such mineral. · According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M, which are still waiting for better conditions to be able to reactivate. Jaime Núñez, president of CAMIMEX stated that is essential to encourage exploration since unfortunately in the last seven years we have seen a decrease in investments in exploration, leaving several projects on standby. · Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa, and that the Federal Electricity Commission (CFE) should certify where the mineral it buys comes from and its conditions. · Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021, but according to the Mexican Mining Chamber (CAMIMEX), it will remain below the record figure of USD $8.04B seen in 2012 amid difficult conditions. Growing security problems, a high tax burden and the government’s decision to stop granting concessions for projects have prevented investments in the sector from increasing faster, said CAMIMEX head Jaime Gutiérrez. · Mining in Mexico grew by 7.1% in 2021 despite friction with the government. According to CAMIMEX’s annual report, this increase positioned it as the only productive activity that recovered and even exceeded the fall of 2020, when the covid-19 pandemic initially stopped its operations because the government did not consider it “essential activity”. Even without tax incentives, the mining sector presented an increase in its contribution to the gross domestic product (GDP) going from 2.3% in 2020 to 2.5% in 2021, and an annual advance in the proportion of industrial GDP from 8.3% to 8.6% in the same period. · The Governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country, even though it is an enabler that prevents the migration of people in the communities where it develops its production processes, for job creation and social benefits. Mining Entrepreneurs stated that mining generates jobs and is one of the industries that pays the most taxes, since in 7 years it has contributed more than MXP $240,000M (approximately USD $12B) in taxes and other rights. · In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic, in which 406,179 jobs have been generated and a production value that already exceeds MXP $334,782M (approximately USD $16.7B). Among the main minerals extracted from these deposits are gold, copper, silver, zinc, iron, molybdenum, lead, fluorite, among others. For its exploration and exploitation, in 2021 alone, investments have been made for more than USD $4,810M and more than USD $5,538M are expected by the end of 2022. Of the 1,209 mining projects that exist in Mexico, 286 are in Sonora, Chihuahua has 160 and Durango has 128, which positions them as the entities with the greatest economic benefit thanks to mining concessions. Of the total number of projects, 749 correspond to precious metals; 180 to polymetallic minerals, 167 to copper, 71 to iron ore and the remaining 42 to other metals and minerals. According to the Mexican Mining Chamber (CAMIMEX), there are currently a total of 263 projects in the exploration stage, 76 in production, 39 in the development stage, while 822 projects are being postponed and 9 operations are reported as closed. However, the agency assures that, since the start of the current administration, the federal government has stopped granting permits or concessions for the exploration and development of new projects, since so far more than USD $959.7M dollars have not been invested. . ON EXPLORATION · Colibri Resource Corporation reported results from the second half of its Phase 1 drill program completed on its Evelyn project, Sonora, and included 3,101m of RC drilling completed in 22 holes. In total, Phase 1 consisted of 6,223m of RC drilling in 42 holes. Highlights include hole EVE22-042 with 0.17 g/t Au over 86m, including 0.32 g/t Au over 22m; hole EVE 22-043 with 0.92 g/t Au over 3m; hole EVE22-046 with 1.94 g/t Au over 2m, including 3.36 g/t Au over 1m; hole EVE22-044 with 0.63 g/t Au over 6m; hole EVE22-036 with 1.3 g/t Au over 1m; hole EVE22-033 with 1.92 g/t Au over 1m; hole EVE22-030 with 0.13 g/t Au over 87m, including 0.34 g/t Au over 8m; hole EVE22-029 with 1.39 g/t Au over 5m; and hole EVE22-028 with 0.13 g/t Au over 19m. In addition to drilling, Colibri is completing the geological mapping as well as conducting soil sampling to infill the historical property wide soil surveys. · Tocvan Ventures Corp., informed that seven holes were completed at its Pilar project in Sonora, totalling 1,382m and released results from the three first drill holes where the most significant drill intercepts was encountered in hole JES-22-67 with 0.4 g/t Au over 30.5m, including 7.6 g/t Au over 1.5m. Results are pending for the remaining four holes. ON MINING · Guanajuato Silver Company Ltd., reported Q2, 2022 production and financial results from their El Cubo and Pinguico mines in Guanajuato (all amounts in American dollars). The company milled 94,212 tonnes to produce 155, 912 Oz Ag and 2,161 Oz Au (or 337,760 Oz AgEq) wit metallurgical recoveries of 80.91% and 82.52% respectively, at cash and all included sustaining cost (AISC) of $16.98 and $24-06 per Oz AgEq respectively. Guanajuato Silver reported revenue of $6.13M; cost of sales of $7.8M; mine operating loss of ($1.66M); net loss of ($3.5M); EBIDTA of ($1.1M); and working capital of ($2.04M). The company sold 159,840 Oz Ag, and 2,195 Oz Au (or 342, 987 Oz AgEq) at realized prices of $22.56 and $1,873 per Oz respectively. · Discovery Silver Corp., reported Q2, 2022 financial results (all amounts in Canadian dollars). The company reported cash and cash equivalents of $63.6M; total assets of $101.8M; total current liabilities of $2.54M; working capital of $62.5M; and total shareholder´s equity of $99.2M. · Minera Alamos Inc., reported Q2, 2022 production and financial results from its Santana mine in Sonora (all amounts in Canadian dollars). The company reported that monthly mine production rates were approximately 300K tonnes, but with the opening of the Nicho Main Zone during Q2, the company is now in the position to ramp up production levels. Alamos sold 3,128 Oz Au and reported revenues of $7.3M; cost of goods sold of $3.26M; direct cost of production of $16 per Oz; income from operations of $2.6M; net income of $2.7M; cash and cash equivalents (including marketable securities) of $9M; and working capital of $17M. · Orogen Royalties Inc., announced Q2, 2022 financial results (all amounts in Canadian dollars). The company reported revenue of $959.8K comprised from the Ermitaño royalty and $17.5K generated from prospect generation activities; project generation cost of $433.5K and recovered $448.9K in expense reimbursement from partners on optioned projects; general and administrative expenses of $875.2K; loss of $754.8K; net loss from operations of $648.6K; cash and cash equivalents from operating activities of $131.3K; cash from operating activities excluding changes in cash-cash working capital of $257.9K ; and working capital of $10.5M including $3.05M in cash and cash equivalents and $5.13M in short term investments and no long-term debt. ON FINANCING · Canasil Resources Inc., announced a non-brokered private placement for gross proceeds of up to $550K. Gross proceeds will be used to fund the company´s exploration programs (Nora project, Durango). · Minera Alamos Inc., arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise of common shares at $0.55/share. The combination of both enhancing the company´s working capital position as development work extends to the advancement of the Cerro de Oro project in Zacatecas. · Eric Sprott announced that 18,333,333 common share purchase warrants of Orex Minerals Inc., expired unexercised representing a decrease in holdings of approximately 7.2% of the outstanding common shares on a partially diluted basis since the date of the last early warning report. As a result of the warrants expiry, Mr. Sprott now beneficially owns and controls 36,666,666 shares representing approximately 19.6% of the outstanding shares on a noun-diluted basis. ON RESOURCES AND DEVELOPMENT · Discovery Silver Corp., reported Q2, 2022 results from its flagship Cordero project, Chihuahua. The company reported that initial results from the Preliminary Feasibility Study (PFS) metallurgical work had recoveries of 90-95% for Ag, Pb, and Zn. It also reported that Phase 2 drilling program intercepted excellent grades below the Preliminary Economic Assessment (PEA) pit including hole C21-564 with 95 g/t Ag, 0.21 g/t Au, 1.9% Pb, and 4.5% Zn (337 g/t AgEq) over 33.9m, and hole C21-560 with 234 g/t Ag, 0.15 g/t Au, 3.8% Pb, and 6.5% Zn (606 g/t AgEq) over 18.1m, as well as hole C22-610 collared outside the current resource with 115 g/t Ag, 0.05 g/t Ag, 3.7% Pb, and 4.1% Zn (388 g/t AgEq) over 32.6m, including 187 g/t Ag, 0.05 g/t Au, 6.5% Pb, and 7.2% Zn (660 g/t AgEq) over 17.8m. · Minera Alamos Inc., provided an update on its Cerro de Oro project, Zacatecas. The company informed the sign off of the documentation for its Cerro de Oro project surface rights agreement in Zacatecas, allowing the company to move forward with the permitting process for the construction of its second gold operation in Mexico. Minera Alamos also informed that the NI 43-101 compliant Preliminary Economic Assessment (PEA) is nearly to be completed and is expected to get it done by next month. · Oroco Resource Corp., successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa by drilling 3,050m. Drilling has confirmed and expanded the 2009 Grade shell model of Cu > 0.30% derived from the historical drilling described in the Company’s 2019 Technical Report. A total of 26 holes (18,136 m of drilling) have now been completed in the North Zone, spanning 1,100m of strike length, with intersections of good grade mineralization returned in all holes for which the Company has received assays. Highlights of the last holes collared at the western side of the North Zone include hole N015 with 0.31% Cu, 0.009% Mo, 0.025 g/t Au, and 2 g/t Ag (0.36% CuEq) over 292m; hole N016 with 0.32 g/t Cu, 0.006% Mo, 0.032 g/t Au, and 2 g/t Ag (0.73% CuEq) over 95.4m, plus 0.39% Cu, 0.016%Mo, 0.022 g/t Au, and 4 g/t Ag (0.46% CuEq) over 44.7m, plus 0.26% Cu, 0.010% Mo, 0.014 g/t Au, and 2 g/t Ag (0.31% CuEq) over 88.7m; hole N017 with 0.31% Cu, 0.011% Mo, 0.02 g/t Au, and 2 g/t Ag (0.73% CuEq) over 63.8m, plus 0.22% Cu, 0.01% Mo, 0.02 g/t Au, and 1 g/t Ag (0.28% CuEq) over 159.2m; and hole N018 with 0.36% Cu, 0.011% Mo, 0.017 g/t Au, and 3 g/t Ag (0.42% CuEq) over 21m, plus 0.65% Cu, 0.012% Mo, 0.019 g/t Au, and 3 g/t Ag (0.68% CuEq) over 10m, plus 0.33% Cu, 0.012% Mo, 0.017 g/t Au, and 2 g/t Ag (0.38% CuEq) over 42.3m. The Company will commence a drill program targeted at testing the South Zone in 2022. ON DEALS AND CORPORATE ISSUES · Monumental Minerals Corp., announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila). · Argonaut Gold Inc., announced the appointment of its Vice President, Canadian Operations, effective August 29, 2022 (La Colorada mine, Sonora). · Aztec Minerals Corp., purchased indirectly from Kootenay Silver Inc., 35% interest in the Cervantes property in Sonora by issue 10M common shares at a price of CAD $0.25 per Aztec share for aggregate consideration of CAD $2.5M. Kootenay will retain a 0.5% Net Smelter Returned Royalty. Following the closing of the Transaction, Kootenay owns a total of 10.68M Aztec shares, which represents approximately 11.85% of the issued and outstanding Aztec shares on an undiluted basis. · Colibri Resource Corporation announced reinstatement of trading of its common shares on the TSX Venture Exchange. The shares will re-open for trading on the Exchange at the opening of trading on Monday, August 29. The company also announced the appointment of its new CFO (Evelyn project, Sonora). ON SOCIAL RESPONSIBILITY · No relevant news.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, boiling texture in a low-intermediate epithermal vein system in a project in Durango, Mexico. Photo by Miguel A Heredia.
During the 32nd week of the year (August 9th to August 15th, 2021), at least 22 press releases were announced by companies working in Mexico and 2 news published by the media, with eight reporting resources and developments of their properties, seven communicating production and financial results, four informing on exploration results, two announcing financial topics,, one disclosing deal and corporate issues, one commenting on Mexican issues and one discussing social issues. ON MEXICO ISSUES, According to World Bank Data, Mexico continued to dominate world silver production last year, despite a 9.5% drop on the previous year. ON EXPLORATION, In Durango, Canasil released results from the first drill hole of its 2020 follow up drill program collared at its Nora project, and Mithril presented drilling results, extending the El Refugio high-grade “clavo” zone 80m further east. In Zacatecas, Zacatecas Silver announced it has received drilling permits for their El Panuco and San Gil projects. In the State of Mexico, Xali has identified new drill targets at its El Oro-Tlalpujahua mining district. ON MINING, Gatos Silver reported Q2, 2021 production and financial results from its Los Gatos mine in Chihuahua. Argonaut announced Q2, 2021 production and financial results from their Mexican operations. Endeavour presented Q2, 2021 consolidated financial results from their Mexican operations. GoGold reported Q2, 2021 production and financial results from its Parral Tailings project in Chihuahua. Guanajuato Silver announced that it began stockpiling mineralized material from its El Cubo mine in Guanajuato. Pan American reported Q2, 2021 production and financial results from their La Colorada and Dolores mines in Zacatecas and Chihuahua respectively. Sierra Metals announced Q2, 2021 production and financial results from their Bolivar and Cusi mines in Chihuahua. ON FINANCING, Magna provided an update to its previously announced non-brokered private placement of CAD $10M convertible debentures (San Francisco mine, Sonora). Southern Silver provided exercise instructions for warrants dated September 11, 2020 (Cerro Las Minitas, Durango). ON RESOURCES AND DEVELOPMENT, Barksdale commenced a 5,000m Phase 1 drilling program at its San Javier project in Sonora. Azucar Minerals provided an update for its El Cobre project in Veracruz. Gatos Silver reported drilling results from its definitional drilling at its Cerro Los Gatos, Chihuahua. Gold Resource confirmed the up-dip extension of the Switchback Vein system and has also intersected additional mineralization outside of the current mining area (Don David Gold mine, Oaxaca). Osisko provided an update of the activities carried out in 2021 at its San Antonio project, Sonora. Pan American reported its estimated mineral reserves and resources as of June 30, 2021 at their La Colorada, Dolores, and La Bolsa deposits in Zacatecas, Chihuahua, and Sonora respectively. SilverCrest provided an update on its Las Chispas mine construction in Sonora. Southern Silver released assay results from its ongoing drilling program at its Cerro Las Minitas project, Durango. ON DEALS AND CORPORATE ISSUES, Excellon provided an update on litigation in respect of the La Antigua mineral concession (Evolution property, Zacatecas). ON SOCIAL RESPONSIBILITY, Alamos Gold has allocated MXP $400M in environmental investment at its la Yaqui Grande mining project in Sonora.
ON MEXICO ISSUES
According to World Bank Data, Mexico continued to dominate world silver production last year, despite a 9.5% drop on the previous year. Mexico produced 5,541 tonnes of silver, followed by China with 3,443 tonnes, and by Peru with 2,991 tonnes. Global production of silver totaled 25,516 tonnes last year, a 3.7% decrease compared to 2019, largely due to COVID-19 restrictions which required several major silver producers to temporarily halt production. “Mexico´s Fresnillo plc, the world´s largest silver producing company, said mine extraction of the metal has shown a steady decline since 2015”.
ON EXPLORATION
Canasil Resources Inc., released results from the first drill hole of its 2020 follow up drill program collared at its Nora project. Highlights of the hole NRC-21-09 drilled on the Candy Vein include 20.59 g/t Au and 1,290 g/t Ag (2,783 g/t AgEq) over a true width (TW) of 1.53m, including 43.7 g/t Au and 1,290 g/t Ag (4,458 g7t AgEq) over a TW of 0.63m; plus 6.44 g/t Au and 884 g/t Ag (1,355 g/t AgEq) over a TW of 3.29m on the Candy hanging wall structure, including 8.45 g/t Au and 1,021 g/t Ag (1,634 g/t AgEq) over a TW of 1.84m, including 15.6g/t Au and 561 g/t Ag (1,692 g/t AgEq) over a TW of 0.50m; plus 2.76 g/t Au and 250 g/t Ag (450 g/t AgEq) over a TW of 2.71m on the Candy foot wall structure, including 6.19 g/t Au and 319 g/t Ag (768 g/t AgEq) over a TW of 0.90m. The high gold and silver grades and relatively low base metal values suggest the upper levels of the system which is open to depth.
Mithril Resources Ltd., presented drilling results, extending the El Refugio high-grade “clavo” zone 80m further east. High-grade was intercepted in hole CDH-079 with 7.60 g/t Au and 332 g/t Ag over 12.4m, including 18.1 g/t Au and 810 g/t Ag over 4.19m; and hole CDH-80 with 5.08 g/t Au and 197 g/t Ag over 6.11m, including 9.47 g/t Au and 399 g/t Ag over 2.3m.
Zacatecas Silver Corp., announced it has received drilling permits from SEMARNAT for the execution of 10,000m of drilling at their El Panuco and San Gil projects in Zacatecas. The company also completed environmental studies at San Manuel and El Cristo projects and has submitted drill permit applications to SEMARNAT which expect to be received in approximately four weeks.
Xali Gold Corp., has identified in a 3D Leapfrog model, new drill targets at its El Oro-Tlalpujahua mining district in the State of Mexico. These targets are designed to test potential extensions to the mineralized veins where they are intersected by cross-cutting mineralized structures. These structures have been incorporated into the 3D model in order to optimize drill angles and azimuths.
ON MINING
Gatos Silver Inc., reported Q2, 2021 production and financial results from the Los Gatos mine in Chihuahua. The company mined 240,047 tonnes and milled 230,656 tonnes of 322 g/t Ag, 0.35 g/t Au, 2.5% Pb, and 4.4% Zn with metallurgical recoveries of 89%, 63%, 90%, and 75% respectively to produce 2.1M Oz Ag, 1.5K Oz Au, 11.2M Lb Pb, and 14.5M Lb Zn. Co-product cash cost and Co-product AISC were $11.5 and $17.65 per Oz AgEq respectively, while by-product cash cost and by-product AISC were $2.87 and $12.63 per Oz AgEq respectively. Gatos Silver reported operating expenses for $5.1M, a net income of $13.5M, and a cash and cash equivalents at June 30, 2021 for $29.6M.
Argonaut Gold Inc., announced Q2, 2021 production and financial results from their Mexican operations. At El Castillo mine in Durango, the company mined 2,496,000 tonnes and processed 2,468,000 tonnes on leach pads with a grade of 0.25 g/t Au to produce 12.7K Oz Au and 17.4K Oz Ag or 12,929 Gold Equivalent Ounces (GEOs) at a cash cost of USD $1,109 per Oz Au sold. At San Agustin mine in Durango, Argonaut mined 2,718,000 tonnes and processed 2,962,000 tonnes on leach pads with a grade of 0.32 g/t Au to produce 18.1K Oz Au and 138.5K Oz Ag or 19,734 GEOs, at a cash cost of USD $801 per Oz Au sold. Consolidated results for El Castillo Complex (El Castillo + San Agustin mines) were 5,214,000 tonnes mined and 5,450,000 tonnes processed with a grade of 0.29 g/t Au to produce 30.8K Oz Au and 155.9K Oz Ag or 31.4K GEOs at a cash cost of USD $924 per Oz Au sold. At La Colorada mine in Sonora, it mined 1,150,000 tonnes and processed 1,247,000 tonnes on leach pads with a grade of 0.76 g/t Au to produce 16.7K Oz Au and 48.1K Oz Ag or 17,288 GEOs, at a cash cost of USD $608 per Oz Au sold. Argonaut also reported the discovery of high-grade gold veins below the El Creston open pit, including 98.9 g/t Au and 30 g/t Ag over 12.2m, and 44.6 g/t Au and 275 g/t Ag over 21.3m.
Endeavour Silver Corp., presented Q2, 2021 consolidated financial results from their Mexican operations. The company produced 1.07M Oz Ag and 11.1K Oz Au (2MOz AgEq) at cash and AISC of USD $13.03 and USD $25.39 per Oz Ag payable respectively. It reported net revenue of USD $47.7M from the sale of 1.12M Oz Ag and 9.8K Oz Au; cash flow of USD $8.7M before working capital changes; earning of USD $6.7M; adjusted earning of USD $0.8M; cash position of USD $125.2M; and working capital of USD $146.8M. Endeavour also announced the suspension of operations at its El Compas mine in Zacatecas.
GoGold Resources Inc., reported Q2, 2021 production and financial results from its Parral Tailings project in Chihuahua. The company produced 315.6K Oz Ag, 3,170 Oz Au, and 268.8K Lb Cu (563.4K Oz AgEq) at cash and AISC of USD $13.31 and USD $16.98 per Oz AgEq. GoGold reported revenues for USD $15M on the sale of 563.4K Oz AgEq; free cash of USD $7.5M; cash flow from operations before working capital of USD $6M, and USD $2.7M after working capital; adjusted net income of USD $3.9M; and cash of USD 73.5M. The company plans to use the free cash flow generated from its Parral Tailings project to fund the current exploration program conducted at its Los Ricos project in Jalisco.
Guanajuato Silver Company Ltd., announced that mining, mucking, and stockpiling of mineralized material has begun at its El Cubo mine in Guanajuato in anticipation of the recommencement of operations at the El Cubo mill.
Pan American Silver Corp., reported Q2, 2021 production and financial results from their La Colorada and Dolores mines in Zacatecas and Chihuahua respectively. At La Colorada, Zacatecas, the company produced 1.01M Oz Ag and 700 Oz Au at cash and AISC of USD $4.52 and USD $12.42 per Oz Ag respectively. At Dolores, Chihuahua, Pan American produced 612K Oz Ag and 43.3K Oz Au at cash and AISC of USD $602 and USD $716 per Oz Au respectively.
Sierra Metals Inc., announced Q2, 2021 production and financial results from their Bolivar and Cusi mines in Chihuahua. At Bolivar mine, Chihuahua, the company processed 385,331 tonnes of 0.86% Cu, 19 g/t Ag, and 0.21 g/t Au to produce 5.8M Lb Cu, 202K Oz Ag, and 1,627 Oz Au (7.75M Lb CuEq) at cash and AISC of USD $1.17 and USD $3.27 per Lb CuEq respectively. At Cusi mine, Chihuahua, Sierra Metals processed 73,294 tonnes of 139 g/t Ag, 0.16 g/t Au and 0.1% Pb to produce 269K Oz Ag, 142 Oz Au and 129K Lb Pb (283K Oz AgEq) at cash and AISC of USD $21.67 and USD $35.73 per Oz AgEq.
ON FINANCING
Magna Gold Corp., provided an update to its previously announced non-brokered private placement of CAD $10M convertible debentures. The principal amount of the debentures is convertible, at the election of Delbrook Capital Advisors Inc., into common shares of the company at a conversion price of CAD $1.25 per common share. The Company will pay Delbrook a 1.25% arrangement fee on closing of the private placement (San Francisco mine, Sonora).
Southern Silver Exploration Corp., provided exercise instructions for warrants dated September 11, 2020 in connection with a CAD $10M brokered private placement of subscription receipts and a CAD $4M non-brokered private placement of subscription receipts which both closed on August 14, 2020 (Cerro Las Minitas, Durango).
ON RESOURCES AND DEVELOPMENT
Barksdale Resources Corp., commenced a 5,000m Phase 1 drilling program at its San Javier project in Sonora. Goals of this Phase 1 drilling program is to test the controls of the Cu mineralization at the Cerro Verde deposit in San Javier project, to step out of from known areas of previously drilled mineralization, and provide metallurgical samples for a column test work. Results from this drilling phase will be used to update a 3D model that will form the base for a new resource estimate.
Azucar Minerals Ltd., provided an update for its El Cobre project in Veracruz. It has drilled a couple of holes: one at El Pedregal target and a second one at the Raya Tembrillo target within the Villa Rica Zone at its El Cobre property. A hole planned for the large area of alteration and mineralization of the Encinal Zone will be deferred until more detailed geologic work and review is complete. Assays of the two holes already drilled will be released when they are received and processed. It is also reviewing past acquired data to plan additional drilling for future programs.
Gatos Silver Inc., reported drilling results from its 27,000m definitional drilling at its Cerro Los Gatos, Chihuahua. Highlights include hole GA404 collared at SE Zone of Esther deposit with 211 g/t Ag, 0.28 g/t Au, 5.5% Pb, and 8.3% Zn over 12.5m, and hole GA392 collared at NW Zone of Esther deposit with 27 g/t Ag, 0.9% Pb, and 4.5% Zn over 30m. “Drilling has identified three separate veins in SE Block #4: an upper vein, a middle vein with more characteristic thickness and grade of the main Cerro Los Gatos system, and a deeper footwall vein which was first identified in this campaign of drilling. The upper vein now has a demonstrated strike length of 400 meters which is open to the southeast and at depth. The middle vein has a demonstrated strike length of 520 meters which remains open to the northwest and at depth. The third vein has a demonstrated strike length of 800 meters and remains open to the southeast and at depth. These drill results extended 800m from the existing resource reserve blocks and remains open to the SE”.
Gold Resource Corporation confirmed the up-dip extension of the Switchback Vein system and has also intersected additional mineralization at Sandi Vein system outside of the current mining area with upside potential to develop a new mineralized zone. Drilling highlight on Switchback Vein include hole # 521013 with 1.51 g/t Au, 95 g/t Ag, 0.21% Cu, 1.2% Pb, and 1.8% Zn over 5.37m, including 2.61 g/t Au, 155 g/t Ag, 0.25% Cu, 2.1% Pb, and 3% Zn over 2.9m; hole # 521014 with 0.82 g/t Au, 640 g/t Ag, 0.24% Cu, 0.2% Pb, and 0.8% Zn over 0.78m, hole # 521015 with 0.01 g/t Au, 2,610 g/t Ag, and 0.31% Cu over 1.55m; and hole # 521018 with 4.45 g/t Au, 4,460 g/t Ag, 0.03% Cu, 1% Pb, and 2.4% Zn over 0.36m. Drilling highlights at Sandy Vein system include hole # 521021 with 1.61 g/t Au, 33 g/t Ag, 0.5% Cu, 2.4% Pb, and 2.1% Zn over 8.67m, including 4.88 g/t Au, 75 g/t Ag, 0.93% Cu, 6.4% Pb, and 4% Zn over 2.77m; and hole # 521022 with 2.32 g/t Au, 19 g/t Ag, 0.2% Cu, 1.4% Pb, and 6.8% Zn over 1.18m. “The Sandy 1 vein is open on dip and along strike to the northwest, whilst southeastern potential, including linkage to the Switchback system, is being evaluated”.
Osisko Development Corp., provided an update of the activities carried out in 2021 at its San Antonio project, Sonora. The company completed 9,900m of infill drilling of a planned two phase 45,000m drilling campaign. It also continues preparations to commence processing of the large stockpile on site, and announced that the heap leaching permitting is on schedule and anticipates granting of the permit by the end of the year.
Pan American Silver Corp., reported its estimated mineral reserves and resources as of June 30, 2021 at their La Colorada, Dolores, and La Bolsa deposits in Zacatecas, Chihuahua, and Sonora respectively. Mineral resources are exclusive of mineral reserves. At La Colorada mine, Zacatecas, the company reported proven reserves of 3.9M tonnes of 350 g/t Ag and 0.25 g/t Au for a total of 43.5M Oz Ag and 30.6K Oz Au contained and probable reserves of 6.2M tonnes of 289 g/t Ag and 0.19 g/t Au for a total of 57.3M Oz Ag and 38.2K Oz Au contained. It also reported measured resources of 1.3M tonnes of 185 g/t Ag and 0.15 g/t Au for a total of 7.6M Oz Ag and 6K Oz Au contained, indicated resources of 1.9M tonnes of 175 g/t Ag and 0.15 g/t Au, for a total of 10.6M Oz Ag and 9K Oz Au contained, and inferred resources of 8.4M tonnes of 190 g/t Ag and 0.15 g/t Au for a total of 51.1M Oz Ag and 40.9K Oz Au. In addition La Colorada Skarn has inferred resources of 100.4M tonnes of 44 g/t Ag to contain a total of 141M Oz Ag. At Dolores mine, Chihuahua, Pan American reported proven reserves of 20.8M tonnes of 22 g/t Ag and 0.74 g/t Au for a total of 14.9M Oz Ag and 495.3K Oz Au contained and probable reserves of 6.2M tonnes of 28 g/t Ag and 0.78 g/t Au for a total of 5.6M Oz Ag and 155.1K Oz Au contained. The company also reported measured resources of 2.82M tonnes of 16 g/t Ag and 0.3 g/t Au for a total of 1.5M Oz Ag and 27.2K Oz Au, indicated resources of 0.82M tonnes of 22 g/t Ag and 0.62 g/t Au for a total of 0.6M Oz Ag and 16.3K Oz Au contained, and 2.7M tonnes of 46 g/t Ag and 1.25 g/t Au for a total of 4M Oz Ag and 108.5K Oz Au contained. At La Bolsa deposit, Sonora, the company reported measured resources of 10.8M tonnes of 10 g/t Ag and 0.7 g/t Au for a total of 3.5M Oz Ag and 242.8K Oz Au contained, indicated resources of 10.6M Oz tonnes of 8 g/t Ag and 0.54 g/t Au for a total of 2.7M Oz Ag and 154.3K Oz Au contained, and inferred resources of 13.7M tonnes of 8 g/t Ag, and 0.51 g/t Au for a total of 3.3M Oz Ag and 224.6K Oz Au contained.
SilverCrest Metals Inc., provided an update on its Las Chispas mine construction in Sonora. The company reported that at the end of HI, 2021 Las Chispas progress was 33% completed; camp facility and earthworks completed; concrete foundation work 74% complete; plant tank, power line, road and bridge commenced; and 4.6Km of underground development completed. SilverCrest reported that as at July 31, 2021, the company remains well funded with cash and cash equivalents of USD $188M and USD $90M available under a USD $120M project financing facility. “Las Chispas could generate after-tax project free cash flow of approximately USD $160M in 2023 and an estimated average of USD $110M per year from 2023 to 2029”.
Southern Silver Exploration Corp., released assay results from its ongoing drilling program at its Cerro Las Minitas project, Durango. Drilling highlights from Mina La Bocona Area include hole 21CLM-164 with 102 g/t Ag, 1.8% Pb, and 1.7% Zn (234 g/t AgEq) over a true width (TW) of 16.3m, including 383 g/t Ag, 7.9% Pb, and 10.2% Zn (1,051 g/t AgEq) over a TW of 1.4m; 21CLM-167 with 263 g/t Ag, 0.2 g/t Au, 6% Pb, and 1.2% Zn (513 g/t AgEq) over a TW of 1.7m, including 543 g/t Ag, 0.4 g/t Au, 12.7% Pb, and 1% Zn (1,011 g/t AgEq) over a TW of 0.7m; and hole 21CLM-170 with 7 g/t Ag, 0.4% Cu, and 10.6% Zn (443 g/t AgEq) over a TW of 2.5m, including 14 g/t Ag, 0.4% Cu, and 21% Zn (844 g/t AgEq) over a TW of 0.7m. The current drill program has now completed 56 core holes totaling 22,360 metres since drilling recommenced in September 2020. Assay results from five drill holes are pending and are anticipated over the coming weeks. “Southern Silver has now tested over 850m of strike length along the east side of the Cerro to depths of up to 500m, primarily in the South Skarn and Mina La Bocona target areas. Three bonanza grade mineralized zones have been identified as well as shallow intercepts of high-grade mineralization to the northwest of the Bocona target, results of which will be incorporated into an upcoming mineral resource update on the project”.
ON DEALS AND CORPORATE ISSUES
Excellon Resources Inc., provided an update on litigation involving the Company’s subsidiary, San Pedro Resources SA de CV (San Pedro) in respect of the La Antigua mineral concession (Evolution property, Zacatecas). Excellon received an initial electronic notice last July that San Pedro’s appeal to the federal courts of Mexico in respect of the litigation was dismissed, despite the lack of evidence, facts or law to support this outcome. The Company has now received the formal written decision on the appeal which, based on initial legal review, appears to uphold the judgment granting the plaintiff an award of approximately USD $23M and is not subject to further legal appeal in Mexico. Brendan Cahill, President and CEO of Excellon, stated that “The value ascribed in the judgment is impossible based on evidence, facts or law. Simply put, the maximum value realizable by the plaintiff from the agreement on La Antigua was USD $500K in the best-case scenario, yet the Miguel Auza Mine was shut down in 2008 almost immediately after operations commenced.”
ON SOCIAL RESPONSIBILITY
Alamos Gold Inc., has allocated MXP $400M in environmental investment at its la Yaqui Grande mining project in Sonora. The foregoing consists of environmental remediation works that will be carried out as areas of the mine are vacated, a different model from the traditional work that waits until the end of the useful life of a mine to carry out reclamation and closure activities. In La Yaqui Grande, it is contemplated to have constant reclamation of areas, placing the vegetal roof covering in layers and stages, which implied a special design and engineering to make it possible throughout the seven years of operation. The company will also acquire a treatment plant that will allow the water used in the operation to be recirculated, reducing its consumption. The design of “tepetateras or dumps” is different from the traditional ones and there is already a nursery for the reproduction of native plants of the region, which will supply the demand for the development of this environmental project.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, a volcanic-hosted quartz vein with oxidized pyrite in a low sulphidation epithermal vein system from a prospect in Chihuahua, Mexico. Photo by Miguel A Heredia.
During the 25th week of the year (June 21st to June 28th, 2021), at least 34 press releases were announced by companies working in Mexico. To note, seven companies posted exploration advances on their properties, six posted on financing, warrants extension, options distribution or option payments received, eight more on project development or resource definition and four posted on deals or corporate issues. ON MEXICO ISSUES, there is a new illegal blockade at Los Filos in Guerrero. Canadian Mining companies are suffering the results of the asylum provided by Canada to Mexican union leader Napoleon Gómez Urrutia. ON EXPLORATION, in Sonora, Riverside is receiving funding for exploration of five properties; Ridgestone released surface sample results from Rebeico; Colibri completed an IP survey on Evelyn. In Chihuahua, Kootenay is to rehabilitate underground workings at Columba. In Sinaloa, GR Silver initiated a drilling campaign in the Rosario district. In Durango, Mithril intersected bonanza grade mineralization in drill holes at Copalquin. In Jalisco, Xali Gold identified targets at its Tepic project. ON MINING, Mexus Gold produced some gold at Santa Elena in Sonora. Fresnillo paid US$176.2 M in taxes to the Mexican government in 2020. Santacruz Silver reported a fatality at is Rosario mine in San Luis Potosi. ON FINANCING, Reyna Silver, Wealth Minerals and Southern Silver reported on financing rounds for C$6.06 M, $675 K and $3 M respectively. Vizsla Silver granted options, Radius Gold received $400 K as payment from Pan American Silver related to an earn-in agreement on the Amalia project. Advance Gold extended the expiry date of some warrants. ON RESOURCES AND DEVELOPMENT, Guanajuato Silver informed on advance at getting the El Cubo and Pinguico mines back to production. Minera Alamos informed construction has been completed at Santana, in Sonora. Fabled Silver Gold released drilling results from Santa Maria, in Chihuahua. Discovery Silver released results from drilling targeting bulk mining mineralization at Cordero, in Chihuahua. Vizsla Silver released interesting drilling results from Panuco, in Sinaloa. Silver Dollar signed a surface access agreement at La Joya, in Durango. Oroco Resources received the environmental permit to drill at Santo Tomas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, Vizsla Silver is to spin a Canadian copper asset, forming Vizsla Copper. Fortuna Silver and Roxgold received a recommendation for their business combination. David Jones is on Benjamin Hill as a technical advisor. Orogen Royalties is to trade on the OTCQX ON SOCIAL RESPONSIBILITY, Peñoles, Fresnillo PLC, the Chihuahua Mining cluster and Minera Peñasquito informed on actions the companies realize to help communities and the environment. Great Panther published its sustainability report. Newmont launched its Climate Strategy Report.
ON MEXICO ISSUES
Equinox Gold Corp. informed an illegal blockade has temporarily suspended mining activities at Los Filos, Guerrero. the illegal blockades are led by “a group of unionized employees and members of the Xochipala community, both of whom are demanding payments in excess of their contractual agreements.
Americas Gold & Silver continues its fight against Napoleón Gómez Urrutia union. The company has had its San Rafael mine in Cosalá, Sinaloa, under siege for 18 months by the section 333 of the Sindicato de Trabajadores Mineros, Metalurgicos, Siderurgicos y Similares de la República Mexicana (the union led by Napoleón Gómez Urrutia). The company asked the Canadian government for help on what they see as an illegal blockade disguised as a dispute for the Union to control the company’s personnel collective contract (speaking of retribution, Canadian Mining companies are paying for the asylum Canada provided to the Union leader, and are set to pay dearly if do not fight back).
ON EXPLORATION
Riverside Resources Inc. informed BHP is funding exploration in five projects in Sonora, acquired under the BHP-Riverside Exploration Funding Agreement. A total of US$1.3 M over two years was allocated for generative funding, with an additional US$1 M in specific work programs. Riverside anticipates two projects will see a maiden drill campaign on 2021, of five under evaluation. The Chuin and Palofierro projects are the most advanced, while Sinoquipe, Penitas and Montosa projects are to follow suite. Magneto-teluric (MT) and gravity geophysics, green-mineral, whole rock and prospecting are being used for vectoring and district evaluations.
GR Silver Mining Ltd. initiated a 14,000 m exploration drill program in the Rosario district in Sinaloa. Seven drill rigs are being mobilized to dill vein systems covering a combined 75 km strike length of the Plomosas, San Marcial and La Trinidad project areas. Some of the targets include the GAP area, Loma Dorada structure.
Xali Gold Corp. identified drill targets that can extend known mineralization at its Cocula project in Jalisco. These drill targets were identified on a 3D model, and are designed to test potential extensions to previously defined zones. The project displays two styles of mineralization, gold-silver as dissemination in oxidized breccias near surface and higher-grade gold silver and base metals in structures containing stockwork quartz veining.
Ridgestone Mining Inc. released assay results from sampling on recent mapping at its Rebeico project in Sonora. Sampling at El Cobre mine returned up to 1.0 m @ 3.5% Cu, 0.32 gpt Au, 32 gpt Ag, 0.136% Mo on the main structure. Regional mapping returned up to 1.2 m @ 1.06% Cu, 2.40 gpt Au, 6 gpt Ag in a quartz vein and 1.5 m @ 0.08% Cu, 3.45 gpt Au in a breccia. “The El Cobre mine was put into production by Asarco during the sixties and was developed on two levels, with the upper level having over 230 metres of drift development and the lower level having over 100 metres long of drift development at a depth of 180 metres below surface. The main structure, with widths varying from 1 to 5 metres, has been emplaced within a granodiorite intrusive and remains open along strike and at Depth”.
Kootenay Silver Inc. announced the signing of a contract with Tlasa Obras Mineras S. de R.L. de C.V. to rehabilitate the historic underground workings of the F vein at the Coulmba project in Chihuahua. Work is expected to take four months.
Colibri Resource Corp. reported the completion of the previously announced IP survey at Evelyn, in Sonora. The IP survey consisted of 38-line km of 3D-IP covering the eastern half of the Evelyn project. “…the highest chargeability response is spatially associated with the Main Zone within the Cerro Rojo target area…. the Company has decided to extend the IP survey to the western boundary thus completing 3D IP coverage over most of the property”.
Mithril Resources Ltd. released drill results from its Copalquin project in Durango. Highlighted core length results comprise: 6.8 m @ 74 gpt Au, 841 gpt Ag (including 2.1 m @ 235 gpt Au, 2,554 gpt Ag); 4.61 m @ 1.87 gpt Au, 89 gpt Ag; 7.60 m @ 2.34 gpt Au, 144 gpt Ag; 1.0 m @ 2.64 gpt Au, 167 gpt Ag; 6.0 m @ 1.41 gpt Au, 66 gpt Ag; 1.80 m @ 2.38 gpt Au, 53 gpt Ag; 1.05 m @ 2.36 gpt Au, 95 gpt Ag; 0.50 m @ 28.9 gpt Au, 471 gpt Ag; 1.66 m @ 2.41 gpt Au, 153 gpt Ag. Drilling continues along El Refugio structure, and soil sampling is in progress to define the structure a further 1.3 km to the west.
ON MINING
Mexus Gold US. informed its Santa Elena mine in Sonora produced 20 Oz Au last week and confirmed the presence of 30 ounces more on the activated carbon cells.
Fresnillo PLC. presented a report on the payments to the governments of Mexico, Chile and Peru. In Mexico, Fresnillo paid US$ 139.3 M in taxes, US$1.48 M in royalties and US$35.4 M in concession fees, for a total of US$176.2 M.
Santacruz Silver Mining Ltd. reported a fatality at its Rosario project in San Luis Potosi. ”The accident took place at the Membrillo mine as a result of a rock fall”.
ON FINANCING
Vizsla Silver Corp. granted 4.15 M options to directors, officers, employees and consultants (Panuco, Sinaloa).
Reyna Silver Corp. has over-sold the offering and completed a brokered private placement for gross proceeds of C$6.06 M (GuiGui, Chihuahua).
Radius Gold Inc. reported that Pan American Silver, its joint venture partner in at the Amalia project in Chihuahua, has paid a scheduled US$400 K property payment to Radius, and plans further drilling at the project. “Exploration completed at Amalia includes 31 holes for 10,588m of diamond core drilling, primarily at the San Pedro zone on the Amalia structure. The next targets to be drill tested are El Cuervo…. and at California”.
Wealth Minerals Ltd. closed the second tranche of the placement, for gross proceeds of $675 K (Coronado, Chihuahua).
Southern Silver Exploration Corp. closed the non-brokered private placement financing for gross proceeds of $3 M (Cerro Las Minitas, Durango).
Advance Gold Corp. applied to the TSX Venture Exchange to extend the expiry date on 3.08 M share purchase warrants issued pursuant to the private placement financing in July 2019, by one year, to July 9, 2022 (Tabasqueña, Zacatecas).
ON RESOURCES AND DEVELOPMENT
Guanajuato Silver Company Ltd. informed on staffing mill and mine refurbishment at El Cubo, Guanajuato. Also the company is doing metallurgical studies on El Cubo and Pinguico deposits.
Minera Alamos Inc. informed all construction has now been completed at Santana, in Sonora. “All construction has now been completed with the full leach pad now lined and available for stacking….. First loading of mined material from the Nicho Norte pit commenced earlier this month …in preparation for the commissioning of leach operations around the end of the June”.
Fabled Silver Gold Corp. released drilling results from its ongoing campaign at Santa Maria, Chihuahua. Highlighted core length results comprise 10.50 m @ 0.38 gpt Au, 31 gpt Ag, 0.2% Pb, 1.0% Zn Cu (including 1.20 m @ 1.37 gpt Au, 51 gpt Ag, 0.6% Pb, 4.2% Zn); 27.50 m @ 0.19 gpt Au, 20 gpt Ag (including 1.20 m @ 0.52 gpt Au, 163 gpt Ag, 0.3% Pb, 1.0% Zn); 19.65 m @ 0.44 gpt Au, 52 gpt Ag, 0.3% Pb, 0.6% Zn (including 7.90 m @ 0.74 gpt Au, 104 gpt Ag, 0.5% Pb, 1.2% Zn); 1.00 m @ 0.33 gpt Au, 322 gpt Ag, 0.3% Pb, 0.4% Zn.
Discovery Silver Corp. released results from 12 drill holes targeting bulk-mining mineralization at its Cordero project in Chihuahua. Highlighted results comprise 65.9 m @ 69 gpt Ag, 0.11 gpt Au, 0.7% Pb, 3.7% Zn; 143 m @ 39 gpt Ag, 0.13 gpt Au, 0.4% Pb, 1.3% Zn; 59.5 m @ 54 gpt Ag, 0.08 gpt Au, 0.9% Pb, 1.5% Zn; 86.0 m @ 33 gpt Ag, 0.17 gpt Au, 0.3% Pb, 1.2% Zn; 82.3 m @ 44 gpt Ag, 0.06 gpt Au, 0.7% Pb, 1.5% Zn; 59.4 m @ 48 gpt Ag, 0.06 gpt Au, 1.0% Pb, 2.0% Zn; 48.9 m @ 85 gpt Ag, 0.08 gpt Au, 0.6% Pb, 1.1% Zn.
Vizsla Silver Corp. provided results for fourteen holes from the Napoleon prospect at the Panuco project in Sinaloa. Highlighted true width results comprise 3.73 m @ 2.85 gpt Au, 105 gpt Ag, 0.7% Pb, 1.4% Zn; 2.62 m @ 5.51 gpt Au, 476 gpt Ag, 1.5% Pb, 1.1% Zn; 8.36 m @ 5.58 gpt Au, 372 gpt Ag, 0.2% Pb, 0.9% Zn (including 2.31 m @ 18.88 gpt Au, 1,306 gpt Ag, 0.7% Pb, 2.1% Zn; 3.21 m @ 0.94 gpt Au, 30 gpt Ag, 0.1% Pb, 0.9% Zn; 3.45 m @ 1.81 gpt Au, 43 gpt Ag, 0.3% Pb, 1.2% Zn; 11.34 m @ 3.11 gpt Au, 88 gpt Ag, 0.3% Pb, 2.1% Zn; 4.87 m @ 3.70 gpt Au, 112 gpt Ag, 0.3% Pb, 1.5% Zn.
GoGold Resources Inc. informed on results from seven drill holes from El Favor deposit at its Los Ricos North project in Jalisco. Highlighted core length results comprise: 15.0 m @ 0.41 gpt Au, 136 gpt Ag (including 6.4 m @ 0.80 gpt Au, 258 gpt Ag); 20.6 m @ 0.13 gpt Au, 44 gpt Ag; 10.6 m @ 0.09 gpt Au, 38 gpt Ag; 6.5 m @ 0.17 gpt Au, 81 gpt Ag; 63.7 m @ 0.11 gpt Au, 47 gpt Ag (including 9.1 m @ 0.54 gpt Au, 186 gpt Ag); 61.3 m @ 0.56 gpt Au, 243 gpt Ag (including 9.3 m @ 2.06 gpt Au, 973 gpt Ag); 9.4 m @ 0.10 gpt Au, 45 gpt Ag; 6.8 m @ 0.12 gpt Au, 136 gpt Ag; 4.8 m @ 0.25 gpt Au, 88 gpt Ag; 14.4 m @ 0.17 gpt Au, 49 gpt Ag; 35.2 m @ 0.17 gpt Au, 43 gpt Ag. “Three of the four major veins (Salomon, Guitarrillas and Los Chivos) appear to converge into a 100m wide zone at the western end of the El Favor deposit in the vicinity of the Hundido Pit….”.
Silver Dollar Resources Inc. entered into a formal surface access agreement with the ejido Noria de Pilares, at its La Joya project in Durango.
Oroco Resources Corp. received approval by SEMARNAT to conduct a drilling program at its Santo Tomas project in Sinaloa. The permit allows for 46 drill locations to test the Brasiles gossan zone and the Western blind target, both supported by a 3D IP survey, and nine drill locations on the North zone for confirmation and expansion drilling.
ON DEALS AND CORPORATE ISSUES
Vizsla Silver Corp. informed on the approval of the proposed plan of arrangement on which Vizsla Silver is to spin-out its British Columbia exploration assets to Vizsla Copper Corp. (Panuco, Sinaloa).
Fortuna Silver Mines Inc. and Roxgold Inc. informed two leading proxy advisory firms have recommended that both Fortuna and Roxgold shareholders vote for the proposed business combination (San Jose, Oaxaca).
Benjamin Hill Mining Corp. announced the appointment of David M. Jones, M.Sc., as technical advisor to the company (Sonora Gold, Sonora).
Orogen Royalties Inc. announced its shares have been qualified to trade on the OTCQX Best Market (Ermitaño, Sonora).
ON SOCIAL RESPONSIBILITY
Peñasquito informed its water purification plant in Cedros has increased its capacity to 400 cubic meters per day. The community, which doubled its population since the development of the mine, receives the water at no cost. There are two other water purification plants run by the company at the Mesas and Charcos communities.
Greath Panther Mining published its 2020 sustainability report, describing its safety performance, Covid prevention, zero sanctions, decrease in water consumption, community engagement, gender opportunities and diversity policy.
The Chihuahua Mining Cluster is aiding in the community effort to extinguish forest fires in the Sierra Madre.
Newmont Corp. launched its first Climate Strategy Report, which outlines the Company’s climate-related risks and opportunities, strategic planning, and pathways to achieving climate targets.
Industrias Peñoles informed on the reforestation effort with native species in La Laguna region (Coahuila-Durango).
Peñoles and Fresnillo PLC are to support micro business and auto-development economic proyects in Caborca, Sonora.
On the image below: Sheeted quartz veining in granodioritic intrusive rocks in Sinaloa. Picture by Jorge Cirett.
During the fourth week of the year (February 22th to February 28th, 2021), at least 39 press releases were announced by companies working in Mexico and 7 news published by the media, with eleven announcing financial rounds, nine reporting on resources and development of their mine operations, seven disclosing deals and corporate issues, six commenting on Mexican issues, five informing on exploration results, five discussing social issues, and three communicating production and financial results. ON MEXICO ISSUES, Mining and Steel companies resumed activities after power outage. Mining is on alert for the possibility that the Mexican Congress approves the initiative of President Andrés Manuel López Obrador to modify the Electricity Industry Law and favor Federal Electricity Commission (CFE). Los Gatos Silver announced restoration of full grid power at its Cerro Los Gatos mine in Chihuahua. According to the Fraser Institute, Chile, Peru, and Mexico have lost global appeal for mining investment. According to Fresnillo plc, half of the electricity used by the La Herradura mine in Sonora comes from clean energy. The president of Mexico, Andrés Manuel López Obrador, has remained firm in his decision not to grant new mining concessions, a measure that has been described as one of the main challenges for the sector. ON EXPLORATION, In Sonora, Aztec Minerals and its JV partner Kootenay commenced 2021 exploration program at its Cervantes project, and SilverCrest released drill results from its Picacho project. In Nayarit, Xali delineated new drill targets at its El Dorado project. In Jalisco, GoGold released drill results from 12 holes collared at its Los Ricos North project. ON MINING, Capstone informed that it is on track for ramp-up to 3,780 tonnes per day at its Cozamine mine in Zacatecas by end of Q1, 2021, and reported Q4 and full-year 2020 production and financial results. Gold Resource reported full year 2020 production and financial results from its Don David mine in Oaxaca. Torex announced Q4, 2020 and full year 2020 production and financial results from its Limon-Los Guajes mine complex in Guerrero. ON FINANCING, Carlyle granted stock options to directors and consultants (Cecilia project, Sonora). Coeur announced its intention to offer USD $350M of senior notes due 2029 (Palmarejo mine, Chihuahua). Capstone closed a USD $150M silver stream agreement with Wheaton Precious Metals (Cozamine mine, Zacatecas). Discovery Metals announced that an aggregate of 31,140,000 common share purchase warrants were exercised (Cordero project, Chihuahua). Fabled announced an exercise of warrants for gross proceeds of $4,150,000 (Santa Maria property, Chihuahua). Orla completed layback agreement with Fresnillo on its Camino Rojo project in Zacatecas. Santacruz, through its subsidiary Carrizal Mining, entered into a definitive agreement with Minera Cedros, a subsidiary of Industrias Peñoles, to acquire the Zimapan mine in Hidalgo. SilverCrest completed its previously announced bought deal offering for gross proceeds of USD $138,069,000 (Las Chispas project, Sonora). Telson executed a LOI with Accendo Banco to provide financing up to USD $25M to complete the construction of its Tahuehueto mine in Durango, and also granted stock options to certain directors, officers, and insiders. ON RESOURCES AND DEVELOPMENT, Alamos Gold reported minerals reserves and resources for the year-ended 2020 (Mulatos mine, Sonora). Aloro informed that Alamos Gold has initiated its field exploration program on its Los Venados project in Sonora. Chesapeake presented its 2021 work program at its Metates project in Durango. Excellon released results from underground expansion and exploration drilling from its Platosa property in Durango. Fabled released results from the third drill hole collared at its Santa Maria property in Chihuahua. GR Silver announced that it is conducting a ground geophysics program at its San Marcial project in Sinaloa, incorporating magnetometry and 3D IP. Orogen provided an update on its Ermitaño property in Sonora. Prime announced that a fifth core drill rig has been added at Los Reyes project, Sinaloa. Xtierra released drill results from two holes collared at the Victor Vein at its Bilbao deposit in Zacatecas. ON DEALS AND CORPORATE ISSUES, Barksdale announced the appointment of its Corporate Secretary as well as the grant of stock options to directors, employees and consultants. Colibri signed an option agreement with Bimsa to acquire 100% interest in the Diamante gold project in Sonora. Equinox announced that shareholders and optionholders of Premier approved the acquisition (Mercedes mine, Sonora). GR Silver announced the appointment of its VP Corporate Comminications (Plomosas property, Sinaloa). Autlan announced the appointment of its CEO (Molango mine, Hidalgo). US Antimony announced that trading of its common shares at the New York Stock Exchange (NYSE) has been halted. VanGold announced the appointment of Ramón Dávila to join to its Advisory Board (Pinguico property, Guanajuato). ON SOCIAL RESPONSIBILITY, Fresnillo plc through its San Julian mine reinforced sanitary measures with campaign in Guadalupe and Calvo, Chihuahua. Minera Media Luna (Torex Gold) and the Universidad de Guerrero signed an environmental monitoring agreement (Limon-Guajes mine complex, Guerrero). Minera Peñasquito (Newmont) donated ventilators to the Medical Specialties Unit (UNEME) in Zacatecas. Mina Santa Elena (First Majestic) donated rapid COVID 19 antigen tests and face masks to municipalities of Baviácora, Aconchi, San Felipe de Jesús, Huépac, Banámichi, and Arizpe in Sonora.
ON MEXICO ISSUES
Mining and Steel companies operating in Mexico resumed activities after power outage. The companies normalized their operations after the energy deficit caused by the polar wave in Texas affected their operations. Local operations in the silver, gold, coal and iron mines were suspended or restricted after the US state halting natural gas exports amid a historic winter storm. The interruption of natural gas shipments has generated calls for Mexico to invest in gas storage and diversify its energy matrix.
Mining is on alert for the possibility that the Mexican Congress approves the initiative of President Andrés Manuel López Obrador (AMLO) to modify the Electricity Industry Law and favor Federal Electricity Commission (CFE). AMLO said that he will seek to get his proposal approved without changing a single comma. The government last week began a campaign to emphasize the alleged damage that the actions of the IP have brought to the company headed by Manuel Bartlett. Mining is one of the industries that will be affected. Simply the companies that invested in self-supply projects managed to lower the cost of the fluid from 12 or 13 cents of a kilowatt (kw) / hour to 6.5 cents. Those that depend on CFE pay between 8 and 9 cents per kw / hour, far from the level of their competitors in Peru or Chile, which are at 6 cents, let alone those in the US at 4 cents and Canada 2 cents.
Los Gatos Silver Inc., announced restoration of full grid power at its Cerro Los Gatos mine in Chihuahua. Given the expedited restoration of full grid power, the outage has had minimal impact on the Company’s mining and processing activities.
According to the Fraser Institute, Chile, Peru, and Mexico have lost global appeal for mining investment. In Mexico, concerns about the policies of President Andrés Manuel López Obrador explain the reason for his fall from 4 positions in attractiveness to invest, to place 42. In perception of its policies, it was located in a weak 61st place after descending 10 notches. “The Federal Government is hostile towards the mining industry and is not issuing new permits,” said a company president, echoing concerns the industry has recently expressed.
According to Fresnillo plc, half of the electricity used by the La Herradura mine in Sonora comes from clean energy such as wind and solar, with which, through its strategy of sustainability reiterates its commitment to caring for the environment. It has allowed the saving of 4,051 Mhw, which represents an estimated reduction of 2 thousand 358 tons of CO2e. The company reports that for a decade it has invested in the use of renewable energy sources in order to make its processes cleaner and, with it, to be able, in the medium term, to achieve that 75% of its electricity consumption comes from of wind energy.
The president of Mexico, Andrés Manuel López Obrador (AMLO), has remained firm in his decision not to grant new mining concessions, a measure that has been described as one of the main challenges for the sector. AMLO has repeatedly said that his administration will not award new concessions, as his predecessors would have given parts of the country to mining companies too easily. While it may be difficult to obtain new concessions, mining companies can still acquire properties in the secondary market, since there are concession holders who are willing to sell if necessary.
ON EXPLORATION
Aztec Minerals Corp., and its JV partner Kootenay Silver Inc., commenced their 2021 exploration program at its Cervantes project in Sonora. The plan is to conduct a +500 soil samples to cover 518 hectares with 100m by 100m spaced samples aimed at extending previous soils grid and covering the Estrella and California North targets to the western, northern, and eastern limits of the property. Detailed lithologic, alteration, structural mapping and rock chip sampling will proceed along with the soil sampling program.
SilverCrest Metals Inc., released drill results from its Picacho project in Sonora. The best intercepts from initial drilling include hole PI-20-006 with 40.49 g/t Au, and 260 g/t Ag (3,297 g/t AgEq) over a true width (TW) of 7.25m; and hole PI-20-001 with 8.5 g/t Au and 51 g/t Ag (689 g/t AgEq) over a TW of 16.4m. To date, 42 drill holes have been collared at the Picachos property, with 21 intercepting an average of 4.1m with grades of 8.14 g/t Au and 50 g/t Ag (660 g/t AgEq).
Xali Gold Corp., delineated new drill targets at its El Dorado project in Nayarit, through the development of a new 3D geological model. The 3D model visualized high grade mineralization occurring in multiple parallel veins. Drill permits are in progress and are expected to take 3-4 months to get them approved. Drilling is planned to test potential lateral extensions to the high grade zone.
GoGold Resources Inc., released drill results from 12 holes collared at its Los Ricos North project. Significant drill intercepts were encountered in hole LRGF-20-025 (Salomon area) with 0.26 g/t Au, 95 g/t Ag, (1.53 g/t AuEq or 115 g/t AgEq) over 70.5m, including 0.59 g/t Au and 251 g/t Ag (3.94 g/t AuEq or 295 g/t AgEq) over 20.1m, including 0.99 g/t Au and 404 g/t Ag (6.37 g/t AuEq or 478 g/t AgEq) over 10.1m, hole LRGF-20-025 (Guitarrillas area) with 0.35 g/t Au and 107 g/t Ag (1.77 g/t AuEq or 133 g/t AgEq) over 18.3m, including 2.17 g/t Au and 566 g/t Ag (9.71 g/t AuEq or 728 g/t AgEq) over 2m; hole LRGF-21-033 (Salomon area) with 0.59 g/t Au and 116 g/t Ag (2.14 g/t AuEq or 160 g/t AgEq) over 33.9m, including 1.25 g/t Au and 433 g/t Ag (7.02 g/t AuEq or 527 g/t AgEq) over 3m; hole LRGF-21-033 (Guitarrillas area) with 1.94 g/t Au and 275 g/t Ag (5.6 g/t AuEq or 420 g/t AgEq) over 5.8m, including 4.14 g/t Au and 544 g/t Ag (11.39 g/t AuEq or 854 g/t AgEq) over 2.1m; and hole LRGF-21-033 (Los Chivos area) with 2 g/t Au and 486 g/t Ag (8.48 g/t AuEq or 636 g/t AgEq) over 8.8m, including 7.36 g/t Au and 1,693 g/t Ag (29.94 g/t AuEq or 2,245 g/t AgEq) over 2.3m.
ON MINING
Capstone Mining Corp., informed that it is on track for ramp-up to 3,780 tonnes per day at its Cozamine mine in Zacatecas by end of Q1, 2021. During the period Q4, 2020, Capstone produced 10.3M Lb Cu at a cash cost of USD $0.63 per Lb Cu produced, and a total of 37.9M Lb in 2020 at a cash cost of USD $0.69 per Lb Cu produced.
Gold Resource Corporation reported full year 2020 production and financial results from its Don David mine in Oaxaca. The company produced 20,473 Oz Au, 1.19M Oz Ag, 3.57M Lb Cu, 17.3M Lb Pb, and 44.12M Lb Zn in 2020, at a cash and AISC of USD $784 and USD $1,365 respectively per Oz AuEq, for a net income of USD $4.4M with revenue of USD $90.7M and mine gross profit of USD $12.5M.
Torex Gold Resources Inc., announced Q4, 2020 and full year 2020 production and financial results from its Limon-Los Guajes mine complex in Guerrero. Torex produced in Q4, 2020, a total of 130,649 Oz Au at a cash and AISC of USD$579 and USD $886 per Oz Au produced, and sold 133,063 Oz Au for a net income USD $91.9M an adjusted EBITDA of USD $158.5M, cash flow from operations of USD $137.1M, and a free cash flow of USD $70.3M. For the full year 2020, Torex reported a production of 430,484 Oz Au, at a cash an AISC of USD $672 and USD $924 per OZ Au produced respectively, with a sale of 437,310 Oz Au at a realized Au price of USD $1,771 per Oz, for revenue of USD $789M, a net income of USD $109M, an adjusted EBITDA of USD $431M, and an operating cash flow of USD $342M. Net cash for the year 2020 was USD $161.6M.
ON FINANCING
Carlyle Commodities Corp., granted stock options to directors and consultants for the purchase of 2.79M shares. The options are exercisable for a period of 5 years at an exercise price of $0.14 per share (Cecilia project, Sonora).
Coeur Mining Inc., announced its intention to offer USD $350M of senior notes due 2029. Net proceeds from the Offering will be used to pay the purchase price and tender premium for up to all USD $230M aggregate principal amount of its 5.875% senior notes due 2024, to pay the redemption price to redeem any of the 2024 notes that are not so tendered in the concurrent tender offer and to pay the fees and expenses in connection with the offering, the concurrent tender offer and any redemption of the 2024 notes. To the extent that the company has excess proceeds from the offering, the company intends to use such excess amounts for general corporate purposes (Palmarejo mine, Chihuahua).
Capstone Mining Corp., closed a USD $150M silver stream agreement with Wheaton Precious Metals. “All conditions to complete the Stream Agreement have been fulfilled and Capstone has received USD $150M from Wheaton for 50% of the silver productions until 10M Oz Ag have been delivered, thereafter dropping to 33% of silver production, for the life of mine from the Company’s Cozamin Mine in Zacatecas, Mexico. Wheaton will make ongoing payments equal to 10% of the spot silver price at the time of delivery for each ounce delivered to them”.
Discovery Metals Corp., announced that an aggregate of 31,140,000 common share purchase warrants were exercised at a price of CAD $1.0 for gross proceeds of approximately CAD $31M. The company´s current cash balance has increased to approximately CAD $98M (Cordero project, Chihuahua)
Fabled Silver Gold Corp., announced an exercise of warrants for gross proceeds of $4,150,000. Following the exercise of the warrants, Fabled continues to have a total of 50,500,000 share purchase warrants outstanding that were previously issued under the financing. The Company has 185,251,903 total shares issued and outstanding as at February 19, 2021 (Santa Maria property, Chihuahua).
Orla Mining Ltd., completed layback agreement with Fresnillo on its Camino Rojo project in Zacatecas. Orla will pay Fresnillo a total cash consideration of USD $62.8M through staged payments. The first payment of USD $25M was due to Fresnillo on closing of the transaction.
Santacruz Silver Mining Ltd., through its subsidiary Carrizal Mining SA de CV, entered into a definitive agreement with Minera Cedros, a subsidiary of Industrias Peñoles SAB de CV, to acquire the Zimapan mine in Hidalgo and related assets, for a total consideration of USD $20M plus a VAT of USD $3.2M. Assets to be acquired include a processing facility with a capacity of 75K dry tonnes per month, and Zn, Pb, Cu circuits; surface and underground infrastructure required for day to date operations; and 34 mining concessions totalling 5,139 hectares. Santacruz also entered into a loan facility with Trafigura México SA de CV in the amount of USD $17.6M from which USD $15M will be advanced to Peñoles on behalf of Carrizal on closing of the acquisition. The remains balance, USD $8.2M, is being financed by Minera Cedros. The USD $2.6M balance of the Trafigura loan represents the refinancing of existing debt owing to Trafigura by Carrizal and an affiliate.
SilverCrest Metals Inc., completed its previously announced bought deal offering for gross proceeds of USD $138,069,000. Gross proceeds will be used to expand the Las Chispas resources and reserves, through further drilling, to optimize the mine and processing plant design, to explore regional targets, and for general working capital purposes.
Telson Mining Corporation executed a LOI with Accendo Banco SA de CV to provide financing up to USD $25M to complete the construction of its Tahuehueto mine in Durango. Telson also granted stock options to certain directors, officers and insiders of up to an aggregate 4.7M shares in the capital stock of the Company. The options are exercisable on or before February 25, 2026 at a price of $0.30 per share, and the Company has also re-priced 1,873,333 stock options originally granted as to; 1,423,333 exercisable at $0.71 till November 10, 2022, 400,000 exercisable at $0.72 till April 16, 2023 and 50,000 exercisable at $0.71 till April 23, 2023.
ON RESOURCES AND DEVELOPMENT
Alamos Gold Inc., reported minerals reserves and resources for the year-ended 2020. Proven and probable reserves at Mulatos mine in Sonora are 33,935,000 tons of 1.24 g/t Au for a total of 1.35M Oz Au. Measured + indicated resources are 74,193.000 tonnes of 1.09 g/t Au for a total of 2.6M Oz Au, and Inferred resources are 9,291,000 tonnes of 0.91 g/t Au for a total of 271K Oz Au. Mineral reserves are exclusive of mineral resources.
Aloro Mining Corp., informed that Alamos Gold has initiated its field exploration program on its Los Venados project in Sonora. Focus of the program is the south portion of the property, adjacent to the Mulatos open pit.
Chesapeake Gold Corp., informed over its 2021 work program at its Metates project in Durango. This program will consists of approximately 2,500m drilling to recover 10 tonnes of PQ size material to conduct on 40 test columns metallurgical testwork focused on a new heap leach option, to determine the impacts of size, regent strengths, and ore types to determine the optimum oxidation and precious metal leaching parameters. In parallel, Chesapeake will update the previous PSF and add a scoping study for the sulphide heap leach to demonstrate the potential upside of this option.
Excellon Resources Inc., released results from underground expansion and exploration drilling from its Platosa property in Durango. Significant drill intercepts were encountered at the Rodilla, NE-1S, and Pierna Mantos with diamond drilling from underground in hole EX20UG491 at the Rodilla Area with 1,023 g/t Ag, 9.3% Pb, 4.5% Zn, and 0.1 g/t Au (1,422 g/t AgEq) over 8.9m, including 3,499 g/t Ag, 29.7% Pb, 10.3% Zn, and 0.1 g/t Au (4,623 g/t AgEq) over 2.2m; hole EX20UG493 at NE-1S Area with 673 g/t Ag, 6.7% Pb, and 7.1% Zn (1,092 g/t AgEq) over 2.4m; hole EX20UG506 at 623 Area with 1,258 g/t Ag, 7.5% Pb, 2.4% Zn, and 0.1 g/t Au (1,258 g/t AgEq) over 1.6m; and hole EX21UG515 at Gap Area with 721 g/t Ag, 4.1% Pb, and 4.5% Zn (984 g/t AgEq) over 4m. Drilling continues to define and discover new mineralization in the gap Area with 300m of potential mineralized strike to be explored.
Fabled Silver Gold Corp., released results from the third drill hole collared at its Santa Maria property in Chihuahua. This third hole is part of an ongoing 8,000m drill program and intersected 85 g/t Ag and 0.49 g/t Au over 12.5m, including 214 g/t Ag and 1.08 g/t Au over 1.8m. “The 12.50 meter intersection has clearly defined a footwall and hanging wall structure with corresponding elevated silver values up to over 7 ounces of silver and remains open at depth. More importantly, the structure is very conformable and intersected exactly where predicted, which bodes very well for the expansion of Santa Maria and increasing the present NI 43-101 resources on the property with only 3 drill holes drilled to date.”
GR Silver Mining Ltd., announced that it is conducting a ground geophysics program at its San Marcial project in Sinaloa, incorporating magnetometry and 3D IP. The survey will initially focus on the resource area to characterize the known Ag-Pb-Zn mineralization therein, which hosts the NI 43-101 resource.
Orogen Royalties Inc., provided an update on its Ermitaño property in Sonora, currently under control of First Majestic Silver Corp., where Orogen holds a 2% NSR. Last January, First majestic announced a USD $42.1M investment for the development of Ermitaño project to support the construction of an underground mine infrastructure that began last year. First majestic plans to release a PEA by the end of March, and is currently conducting hydrological studies and geotechnical drilling for an upcoming PFS that is expected to be released in H2, 2021. In addition, the company also plans to extract 30K to 60K tonnes of material for metallurgical testwork.
Prime Mining Corp., announced that a fifth core drill rig has been added at its Los Reyes project, Sinaloa. Prime commenced a 15,000m drill program in December 2020 and only ten has been completed to date. The plan is to complete the phase 1 drilling before onset of the rainy season in mid-August, complete a new geological resource model during the rainy season hiatus and then initiate an aggressive Phase 2 drilling program in Q4 2021.
Xtierra Inc., released results from two holes collared at the Victor Vein, located adjacent to and west of its Bilbao deposit in Zacatecas. Hole X6B intersected 108 g/t Ag, 0.31% Pb, 0.08% Zn, and 0.03% Cu (120 g/t AgEq) over a true width (TW) of 1.148m, and hole X7B intersected 61 g/t Ag, 5.5% Pb, 4.41% Zn, and 0.08% Cu (336 g/t AgEq) over a TW of 9.37m, including 82 g/t Ag, 6.8% Pb, 6.9% Zn, and 0.29% Cu over a TW of 0.61m, including 63 g/t Ag, 6% Pb, 6.4% Zn, and 0.08% Cu (412 g/t AgEq) over a TW of 0.36m, including 119 g/t Ag, 13.6% Pb, 11.4% Zn, and 0.01% Cu (795 g/t AgEq) over a TW of 0.70m, and including 107 g/t Ag, 8.2% Pb, 6.9% Zn, and 0.54% Cu (566 g/t AgEq) over a TW of 0.50m.
ON DEALS AND CORPORATE ISSUES
Barksdale Resources Corp., announced the appointment of its Corporate Secretary as well as the grant of stock options to directors, employees and consultants (San Javier project, Sonora).
Colibri Resources Corporation signed an option agreement with Bimsa Minera SA de CV to acquire 100% interest in the Diamante gold project in Sonora. The Diamante property comprises two 1,057 hectares in two properties that borders El Mezquite project immediately to the west, and about 1.6km northwest of Colibri’s 1,130-ha Jackie project. To earn an initial 50%, Colibri has to pay USD $100K and incur the expense of completing 2,000m of drilling over the course up to two years, and also will be responsible for all exploration cost while preparing for such drilling program. In addition, Colibri will pay ½ of the property tax and security costs during this period. Upon completion of its 50% earn-in, Colibri will become equal joint venture partners with Bimsa Minera and then Colibri will have an exclusive period of six months to purchase the remaining 50% of the joint venture by paying Bimsa Minera either of: i) USD $2.1M or ii) USD $1.4M and the grant of a 2% net smelter royalty (NSR) on the project.
Equinox Gold Corp., announced that shareholders and optionholders of Premier Gold Mines Limited approved the acquisition by Equinox Gold. “On closing of the Transaction, Premier shareholders will receive 0.1967 of an Equinox Gold share for each Premier share held, such that existing Equinox Gold and Premier shareholders will own approximately 84% and 16% of Equinox Gold, respectively, on an issued share basis. The Transaction is expected to close in March subject to certain regulatory approvals and other customary closing conditions”. By approving the Transaction, Premier securityholders also approved the spin-out to Equinox Gold and Premier shareholders shares of a newly created US-focused gold production and development company to be called i-80 Gold Corp. (Mercedes mine, Sonora).
GR Silver Mining Ltd., announced the appointment of its VP Corporate Comminications (Plomosas property, Sinaloa).
Compañía Minera Autlan SAB de CV announced the appointment of its CEO (Molango mine, Hidalgo).
US Antimony Corporation announced that trading of its common shares at the New York Stock Exchange (NYSE) has been halted since before the opening of trading on Wednesday, February 17, 2021 as a consequence of selling common shares in a manner that violated Sections 301 and 713 of the Company Guide. “The violations relate to two non-underwritten transactions involving the sale of an aggregate of26,290,000 shares of common stock at a discount to the market price at the time of each transaction, with the first transaction, which closed on February 3, 2021, involving the sale of 15,300,000 shares of common stock at a purchase price of $0.70 per share, and with the second transaction, which closed on February 16, 2021, involving the sale of 10,990,000 shares of common stock at a purchase price of $1.30 per share”. The Company has been advised by NYSE Regulation that the Company’s common stock will resume trading on the NYSE American following the issuance of this press release and the filing of a Current Report on Form 8-K disclosing the receipt of the Letter, which the Company anticipates will be prior to the open of trading on Friday, February 19, 2021.
VanGold Mining Corp., announced the appointment of Ramón Dávila to join to its Advisory Board (Pinguico property, Guanajuato).
ON SOCIAL RESPONSIBILITY
Fresnillo plc reinforced sanitary measures with campaign in Guadalupe and Calvo, Chihuahua. Personnel from the San Julian mine delivered five thousand washable face masks through a caravan of more than 25 volunteers. The municipality of Guadalupe y Calvo has received different donations of face masks from the mining company that operates San Julian mine, adding more than 30 thousand items delivered. These surgical cloth mouth covers were manufactured by the “Yerbitas” community sewing workshop.
Minera Media Luna (Torex Gold) and the Universidad de Guerrero signed an environmental monitoring agreement to encourages the inhabitants of Nuevo Balsas, Atzcala and Mezcala, communities located around the El Caracol dam and the Balsas rivers and San Juan de Cocula, to get involved in the Participatory Environmental Audit. “During the protocol ceremony, it was reported that 42 residents of Nuevo Balsas have participated in the taking of water and sediment samples, another 260 fishermen from the same town, Atzcala and Mezcala were surveyed for the evaluation of the fishing effort”. (Limon-Guajes mine complex. Guerrero).
Minera Peñasquito (Newmont) donated ventilators to the Medical Specialties Unit (UNEME) in Zacatecas. This UNEME has been converted into a COVID-19 Hospital for services of health, which receives people affected by SARS -Cov 2 from the State of Zacatecas, who require hospitalization and who are not beneficiaries of other social security systems. With this donation, Newmont reaffirms its commitment to Zacatecas in support of the most vulnerable population in the state and joins the efforts of health authorities in their fight against this pandemic. Newmont has delivered in Zacatecas more than MXP $28M, in hospital supplies and food packages.
Mina Santa Elena (First Majestic) donated rapid COVID 19 antigen tests and face masks to municipalities of Baviácora, Aconchi, San Felipe de Jesús, Huépac, Banámichi, and Arizpe in Sonora, with the aim of detecting suspicious cases and mitigating risks of contagion.
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, a quartz hydrothermal breccia displaying cockade texture and a quartz vein displaying boiling texture in an intermediate sulphidation epithermal system in a prospect in Chihuahua, Mexico. Photo by Miguel A Heredia., Mexico.
During the fifty eight week of the year (November 30th to December 06th, 2020), at least 25 press releases were announced by companies working in Mexico and 7 news published by the media, with fourteen disclosing deals and corporate issues, six informing on exploration results, four discussing social issues, three reporting on resources and development of their mine operations, three commenting on Mexican issues, and two communicating production and financial results. ON MEXICO ISSUES, Fernando Alanis, President of The Mexican Mining Chamber (CAMIMEX) declared that mining is one of the most regulated sectors that care for the environment. There is a great hope to reactivate the economy of Naica, Chihuahua. Newmont Corporation, operator of the Peñasquito mine in Zacatecas, reported to the Ministry of the Interior the progress of the definitive agreement to end the conflict with ejidatarios. ON EXPLORATION, In Sonora, Tocvan and its JV partner Colibri announced the commencement of a 1,500m RC drilling program at its El Pilar project and Tarachi released drill results from its la Dura mine. In Chihuahua, Golden Minerals reported that it has completed a 3,400m drilling program in 15 drill holes at its Yoquivo project. In Sinaloa, Prismo has commenced a 500m drilling program at its Palos Verdes project. In Durango, Mithril provided an update on the drilling activities carried out at its Copalquin project. ON MINING, Mexus announced that leaching commenced at its 250,000 tonnes leach pad at its Santa Elena mine in Sonora. Santacruz announced Q3, 2020 financial results from its Mexican operations. ON FINANCING, no relevant information. ON RESOURCES AND DEVELOPMENT, Capitan Mining released RC drill results from the first seven holes collared at its Peñoles project in Durango, expanding the known gold mineralization. Endeavour intersected high grade mineralization at its Bolañitos mine in Guanajuato. VanGold reported underground channel sampling results from its Pinguico mine in Guanajuato, with assays up to 1,136 g/t AgEq. ON DEALS AND CORPORATE ISSUES, Almaden announced that the court decision upholded the original, 14,000 Ha larger concessions, which the Company originally held at its Ixtaca project in Puebla. Auxico announced the resignation of one of its directors and the appointment of a new member to its board of directors (Zamora property, Sinaloa). Barksdale announced that its common shares commenced to trade on the OTCQX best market in the USA under the symbols “BRKCF” (San Javier project, Sonora). Defiance announced that it has entered into an option agreement with Pan American Silver to acquire 100% interest in the Lucita property in Zacatecas. Fabled closed its previously announced acquisition of the Santa Maria mine in Chihuahua. Fortuna Silver provided and update on the status on a dispute royalty on one of its extracting mining concessions at its San Jose mine in Oaxaca. Magna Gold announced the change of its fiscal year-end from March 31 to December 31 (San Francisco mine, Sonora). Orex announced management changes (Sandra-Escobar project, Durango). Orla Mining appointed a new member to its board of directors (Camino Rojo project, Zacatecas). Prismo announced that it has entered into an option agreement to acquire the remaining 25% interest in the Palos Verdes property in Sinaloa. Silver Spruce signed a definitive agreement to acquire 50% interest in the Jackie property in Sonora. Tarachi announced the appointment of its new CFO and its Corporate Secretary (La Dura mine, Sonora). Vizsla appointed its new CFO (Panuco project, Sinaloa). ON SOCIAL RESPONSIBILITY, The Sonora Mining Cluster recognized 40 partners for their commitment to Corporate Social Responsibility (CSR), during the closing of the MINNOVACIÓN 2020 Forum. Fresnillo plc donated 30,000 face masks to the Zacatecas State Government. Newmont Peñasquito delivered pantries and cleaning kits in localities of Mazapil. The mining sector in Mexico has supported efforts to alleviate the effects of the COVID-19 pandemic.
ON MEXICO ISSUES
Fernando Alanis, President of The Mexican Mining Chamber (CAMIMEX) declared that mining is one of the most regulated sectors that cares for the environment. The mining sector makes strong investments to promote social development at its communities, invests in environmental issues and is one of the main producers of trees and reforestation. Mining complies with 1,077 federal, state and municipal requirements in compliance with standards, laws and regulations.
Economy in Naica, Chihuahua could be reactivated since there has already been a proposal acceptable by members of the Naica Ejido and the Peñoles Mining Company for the extraction of water for agricultural use, and in turn the company will start with the exploration works contemplating a possible opening of the mine. For now, the hiring of 40 people is contemplated to work in the mine, and the ejidatarios will start fallow work.
Newmont Corporation, operator of the Peñasquito mine in Zacatecas, reported to the Ministry of the Interior the progress of the definitive agreement to end the conflict with ejidatarios. The company reported that 95% of the ejidatarios have received a payment for the rental of lands for exploration. It also confirmed that a permit was obtained from the National Water Commission (CONAGUA) for the drilling of a domestic water well, which will benefit Ejido Cedros.
ON EXPLORATION
Tocvan Ventures Corp., and its JV partner Colibri Resource Corp., announced the commencement of a 1,500m RC drilling program at its El Pilar project. This RC drilling has been designed to confirm selected historical drilling and extend mineralization in the Main Zone along strike. It also will provide information to better define drill targets to test deeper mineralization based on geophysical results and structural interpretations.
Tarachi Gold Corp., released drill results from its la Dura mine in Sonora. Significant results were encountered in hole JAB-20-06 with 3.95g/t Au over 8m (from 2.25m to 10.25m), 5.05 g/t Au over 200.75m (from 22.25m to 43m), including 14.5g/t Au over 6.10m (from 27.65m to 33.75m).
Golden Minerals Company, reported that it has completed a 3,400m drilling program in 15 drill holes at its Yoquivo project to test the Pertenencia, San Francisco and Esperanza vein systems. Drilling results will be announced within the next few months.
Prismo Metals Inc., announced the commencement of a 500m drill program at its Palos Verdes property in Sinaloa. The program will consists of four to five holes, with the longest planned at 150-175m to test the vein lateral to, and below, high-grade intercepts drilled in the past. The best intercept from that program was 8.4 g/t Au and 2,336 g/t Ag, over 0.8m true width.
Mithril Resources Ltd., provided an update on the drilling activities carried out at its Copalquin project. Recent drill results from El Refugio target with 15-30m quartz breccia zones indicate the top of a large hydrothermal system at El Cometa project, characterized by extensive surface alteration and rhyolite dome intrusions. This alteration is observed to extend at least 1.5km west of El Refugio in addition to the widespread alteration and rhyolitic dome intrusives in the Copalquin district. The drilling at the El Refugio target now extends for over 300m with highlights including hole CDH-022 with 1.93 g/t Au and 124 g/t Ag (3.48 g/t AuEq) over 5.05m, including 3.28 g/t Au and 140 g/t Ag (5.03 g/t AuEq) over 2.15m; hole CDH-024 with 1.59 g/t Au and 37 g/t Ag (2.05 g/t AuEq) over 15.75m, including 3.27 g/t Au and 53 g/t Ag (3.93 g/t AuEq) over 5.93m, and 14.75 g/t Au and 150 g/t Ag (16.63 g/t AuEq) over 1m; and hole CDH-025 with 0.8 g/t Au and 34 g/t Ag (1.22 g/t AuEq) over 7m, including 1.81 g/t Au and 70 g/t Ag (2.68 g/t AuEq) over 2m (within 27.55m of 0.41 g/t Au and 20 g/t Ag, or 0.66 g/t AuEq).
ON MINING
Mexus Gold US, announced that leaching commenced at its 250,000 tonnes leach pad at its Santa Elena mine in Sonora. Mineralized material is under way and returning values of 0.32 to 0.42 g/t Au in solution. Flows are expected to reach 0.6 g/t Au in solution by December 16th. Mexus CEO added that gold production by year end should reach 225 Oz.
Santacruz Silver Mining Ltd., announced Q3, 2020 production and financial results from its Mexican operations. At Zimapan mine, Hidalgo, the company processed 164,846 tonnes to produce 920,985 Oz AgEq at a cash and AISC of USD $17.45 and USD $18.54 per Oz AgEq respectively. At the Rosario project, San Luis Potosi, it processed 11,794 tonnes to produce 56,693 Oz AgEq at cash and AISC of USD $34.13 and USD $42.07 per Oz AgEq respectively. Santacruz reported revenue of USD $9.44M, gross profit of USD $1.26M, a net loss of USD $163K, and an EBITDA of USD $12K.
ON FINANCING
No relevant information.
ON RESOURCES AND DEVELOPMENT
Capitan Mining Inc., released drill results from the first seven holes collared at its Peñoles project in Durango. Significant drill intercepts were encountered in holes 20-CARC-06 with 0.34 g/t Au over 111.30m, including 0.63 g/t Au over 45.7m; hole 20-CARC-05 with 0.41 g/t Au and 21 g/t Ag over 76.2m, including 0.68 g/t Au and 28 g/t Ag over 16.8m; hole 20-CARC-03 with 0.4 g/t Au and 11 g/t Ag over 68.6m, including 0.74 g/t Au and 16 g/t Ag over 16.8m; and hole 20-CARC-02 with 0.4 g/t Au and 26 g/t Ag over 56m, including 0.53 g/t Au over 25.9m. The drill results expand the known gold mineralization reported in the mineral resource estimate released in March, 2015 within the conceptual, open pit shell, and confirm that there is significant room to expand the existing oxide resource.
Endeavour Silver Corp., intersected high grade gold-silver mineralization at its Bolañitos mine in Guanajuato. Highlights include the following intersections along the Melladito vein: 12.76 g/t Au and 55 g/t Ag (1,176 g/t AgEq) over a true width (TW) of 4.5m, including 43.5 g/t Au and 171 g/t Ag (3,651 g/t AgEq) over a TW of 0.4m in hole BN-58, and 0.51 g/t Au and 491 g/t Ag (531 g/t AgEq) over a TW of 2.7m, including 1.74 g/t Au and 2,220 g/t Ag (2,359 g/t AgEq) over a TW of 0.4m in hole BN-52. At San Bernabe Vein, hole BN-59 intersected 7.91 g/t Au and 12 g/t Ag (645 g/t AgEq) over a TW of 2.7m.
VanGold Mining Corp. reported results from 267 underground channel samples from its Pinguico mine in Guanajuato, with assays up to 1,136 g/t Ag. Highlights include Pinguico Shaft with 15m strike length of grade weighted average of 733 g/t Ag and 5 g/t Au (1,136 g/t AgEq); Pinguico Norte with 47m strike length of of 256 g/t Ag and 1.7 g/t Au (394 g/t AgEq); and San Jose NW Pillar with 25m strike length of 154 g/t Ag and 1.9 g/t Au (303 g/t AgEq).
ON DEALS AND CORPORATE ISSUES
Almaden Minerals Ltd., announced that all the mining concessions which cover its Ixtaca project in Puebla are not affected by the denial of Almaden´s appeal noted in December 01, 2020 news release. A court decision upholded the original, 14,000 Ha larger concessions, which the Company originally held, confirming that Almaden owns 100% of the property.
Auxico Resources Canada Inc., announced the resignation of one of its directors and the appointment of a new member to its board of directors (Zamora property, Sinaloa).
Barksdale Resources Corp., announced that its common shares commenced to trade on the OTCQX best market in the USA under the symbols “BRKCF” (San Javier project, Sonora).
Defiance Silver Corp., announced that it has entered into an option agreement with Pan American Silver Corp., to acquire 100% interest in the Lucita property in Zacatecas. With this option agreement, Defiance expands its land package on the mining district from 1,600 Ha to 4,300 Ha. The option terms include an initial payment of USD $100K upon signing; USD $100K on or before the first year anniversary; USD $500K on or before the second year anniversary; and a final payment of USD $800K on or before the third year anniversary.
Fabled Silver Gold Corp., closed its previously announced acquisition of the Santa Maria mine in Chihuahua. In order to acquire 100% interest in the property, Fabled has to make an initial cash payment of USD $500K in cash and 1M common share on the closing date of the transaction, USD $1.5M in cash 12 month after the acquisition closing, USD $2M in cash 24 months after the closing date, and a total of USD $480K in payments due by the vendor to the optionors under the vendor´s agreement with those optionors as follow: USD $100K on the acquisition closing, USD $120K on 2/4/2021, USD $120K on 8/4/2021, and USD $140K on 2/4/2022. Fabled will also grant the Vendor a 1% NSR with respect to the property upon exercise of the option under the option agreement and will assume from the vendor the obligations in respect of an existing 2% NSR that exists over 3 of the 5 mineral claims that comprise the property.
Fortuna Silver Mines Inc., provided and update on the status on a dispute royalty on one of its extracting mining concessions at its San Jose mine in Oaxaca. “In January 2020, the company received notice from the Dirección General de Minas (DGM) seeking to cancel the mining concession if the royalty (MXP $30M + VAT from the period 2011-2019) was no paid before March 15, 2020. Fortuna began legal proceedings against the DGM on February 2020. The District Court in Mexico City admitted the company’s legal proceedings on March 2, 2020 and granted a permanent stay of execution, which protects the company from the cancellation of the concession until a final non-appealable resolution is reached on the legality of DGM’s cancellation procedure. On November 27, 2020 the District Court found that the Company suffered no harm from the notice of cancellation procedure and dismissed the proceedings without deciding on the merit of the Amparo Proceedings and on the validity of the royalty. The company’s legal position with respect to the disputed royalty remains unchanged. The company intends to vigorously defend its position and appeal the Procedural Finding and file an appeal with the Collegiate Court in Mexico by the deadline of December 14, 2020. A decision of the Collegiate Court is expected during mid-2021”.
Magna Gold Corp., announced the change of its fiscal year-end from March 31 to December 31 to align the fiscal year-end of the company with that of its subsidiaries, Molimentales del Noroeste, S.A. de C.V., LM Mining, S.A. de C.V. and Minera Magna, S.A. de C.V., which are required to have fiscal periods for Mexican tax purposes ending on December 31. (San Francisco mine, Sonora).
Orex Minerals Inc., announced management changes. The former CEO has resigned and Ben Whiting has been appointed as President and CEO and as Director of Orex immediately (Sandra-Escobar project, Durango).
Orla Mining Ltd., appointed a new member to its board of directors (Camino Rojo project, Zacatecas).
Prismo Metals Inc., announced that it has entered into an option agreement to acquire the remaining 25% interest in the Palos Verdes property in Sinaloa. The option gives Prismo control of 100% of the concessions that makes up the property. Under the terms of the option agreement, Prismo will make a cash payment of USD $250K to the optionor an aggregate of US$250K in cash over a four-year period, with the initial payment of USD $30K made on signing. Additionally, 100K warrants will be awarded, with each warrant entitling its owner to purchase one common share of the company at an exercise price of CAD $0.35 per share for two years from the date of execution of the option agreement.
Silver Spruce Resources Inc., signed a definitive agreement to acquire 50% interest in the Jackie property in Sonora by making a payment to Colibri for USD $250K and CAD $25K in common shares as the first property payment within 7 days of the TSX approval. Spruce also agrees to spend USD $100K in exploration and drilling expenses with a minimum of USD $50K within 12 months of TSX approval and to pay to Colibri a second payment of USD $25k and CAD $25K in common shares also within 12 months of TSX approval. Upon completion of this terms, Spruce will hold 50% interest in the property and a JV will be formed to direct all exploration and drilling expenses. There are no underlying royalties on the property.
Tarachi Gold Corp., announced the appointment of its new CFO and its Corporate Secretary (La Dura mine, Sonora).
Vizsla Resources Corp, appointed its new CFO (Panuco project, Sinaloa).
ON SOCIAL RESPONSIBILITY
The Sonora Mining Cluster recognized 40 partners for their commitment to Corporate Social Responsibility (CSR), during the closing of the MINNOVACIÓN 2020 Forum.
Fresnillo plc., donated 30,000 face mask to the Zacatecas State government to contribute to the authorities to mitigate the COVID-19 pandemic in the entity. The face mask delivered to the authorities are model L03, which have five layers of protection and comply with all security protocols. This action adds to the effort and commitment that the Mexican mining company has made since the beginning of the pandemic to work hand in hand with the community.
Newmont Corporation (Minera Peñasquito) delivered pantries and cleaning kits in localities of Mazapil as a service to the community.
The mining sector in Mexico has supported efforts to alleviate the effects of the COVID-19 pandemic. The mining industry in the state of Zacatecas has joined the efforts in the fight against the COVID-19 pandemic, and through different companies, such as Newmont, Fresnillo plc, Grupo Mexico, and Orla Mining, has supported many communities with the donation of medical equipment and ventilators. In total, 90,692 N95 masks have been delivered , 164 thousand 452 googles, more than one million 221 thousand masks, as well as 513 thousand 378 isolation gowns and 12 thousand 522 masks, according to the Mexican Chamber of Mexico (CAMIMEX).
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.
On the picture above, quartz blade (boiling texture) in a low sulphidation epithermal vein system in a prospect in Durango, Mexico. Photo by Miguel A Heredia.
During the 46th week of the year (November 9th to November 15th, 2020), at least 23 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their projects and six more posted on project development. ON MEXICO ISSUES, Canadian mining investment increased during the COVID pandemic; a webinar about lithium in Mexico was held; the illegal blockade on Equinox’s Los Filos mine in Guerrero ended and the Discoveries Conference was held in Guadalajara, the first in-person gathering of the mining community since the pandemic began. ON EXPLORATION, in Sonora, Colibri released trench results from Evelyn; Tarachi Gold is mobilizing a portable diamond drill to the San Javier concession on its Tarachi property. In Sinaloa, Vizsla released assays from drilling at Panuco; Kootenay released drill results from Copalito. In Zacatecas, Advance Gold completed an IP survey. ON MINING, Sierra Metals, Equinox and Americas Gold and Silver released third quarter 2020 results. Americas Gold and Silver updated on the Cosalá Complex situation in Sinaloa. ON FINANCING, Silver Bull and Candente Gold raised US$150 K and $200 K respectively. Aura Minerals made some clarifications on its latest public offering. Reyna Silver is now trading in USA and Germany. ON RESOURCES AND DEVELOPMENT, Mexican Gold released high grade drill results from its resource expansion program at Las Minas, Veracruz. Endeavour Silver released high-grade intercepts on Guanaceví, Durango. Discovery Metals released interesting results from drilling at its Cordero project in Chihuahua. GoGold informed on additional drill results from Los Ricos North project in Jalisco. Southern Silver Exploration informed on drill results from its Cerro Las Minitas project in Durango, some of which are high-grade. SilverCrest Metals updated on development activities at its Las Chispas project in Sonora. ON DEALS AND CORPORATE ISSUES, Magna Gold optioned the Margarita project from Sable Resources (a property brought to Sable’s attention by Gambusino Prospector). VanGold Mining amended its option agreement to re-purchase three of four underlying royalties at its El Pinguico project in Guanajuato. ON SOCIAL RESPONSIBILITY. Fresnillo PLC promotes the creation of micro and small businesses in the Caborca region in Sonora.
ON MEXICO ISSUES
The COVID-19 pandemic saw investments by Canadian miners increase in Mexico, from US$30 M to US$160 – US$170 M a month during last September, according to Douglas Coleman, CEO of Mexico Mining Center. The increase in precious metal prices brought also an average increase of 30% on the valuation of companies in the Bolsa Mexicana de Valores (BMV) during the first 10 months of the current year.
The illegal blockade by the Carrizalillo community on Equinox’s Los Filos mine in Guerrero has been lifted, according to Jorge Zuriel de los Santos, head of the Fiscalía General del Estado de Guerrero (State Prosecutor).
The webinar “The truth about lithium in Mexico” was held on November 11, 2020, sponsored by Mundo Minero, the Colegio de Ingenieros de Minas, Metalurgistas y Geólogos de México (CIMMGM) and the Asociación de Ingenieros Mineros, Metalurgistas y Geólogos de México (AIMMGM).
ON EXPLORATION
Colibri Resource Corp. released assay results from the trenching program at its Evelyn project in Sonora. Highlighted results include 0.40 m @ 4.01 gpt Au on a quartz vein with oxidized pyrite, sericite and iron carbonate; 1.5 m @ 2.44 gpt Au in an andesite with quartz veining with oxidized pyrite and iron carbonate; Colibri has been granted a permit to complete up to 2.2 Km of trenching, and has collected 77 rock samples so far in these 1.5 m to 2.5 m deep trenches.
Vizsla Resources Corp. provided assay results from drilling on the Papayo and San Carlos prospects at its Panuco project in Sinaloa. “Drilling has continued to expand the known extents of mineralization at Papayo” with highlighted true width (TW) results comprising: 0.74 m @ 7.96 gpt Au, 1,515 gpt Ag, 0.50% Pb, 1.21% Zn; 1.29 m @ 0.61 gpt Au, 125 gpt Ag; 0.78 m @ 2.66 gpt Au, 474 gpt Ag, 1.04% Pb, 2.80% Zn; 0.95 m @ 21.60 gpt Au, 216 gpt Ag, 1.91% Pb, 6.02% Zn; 1.49 m @ 1.0 gpt Au, 207 gpt Ag, 0.56% Pb, 1.32% Zn; 1.37 m @ 1.31 gpt Au, 168 gpt Ag; 5.61 m @ 1.05 gpt Au, 89 gpt Ag, 0.74% Pb, 1.9% Zn. “The San Carlos structure is wide lower grade bulk tonnage target with an average width of 11.5m and a range from 3.35m to 22.8m” with highlighted TW intercepts comprising 15.62 m @ 0.91 gpt Au, 110 gpt Ag (including 4.78 m @ 2.19 gpt Au, 230 gpt Ag); 19.20 m @ 0.30 gpt Au, 53 gpt Ag; 17.18 m @ 0.45 gpt Au, 67 gpt Ag (including 4.59 m @ 0.97 gpt Au, 147 gpt Ag); 22.76 m @ 0.26 gpt Au, 43 gpt Ag.
Advance Gold Corp. completed an induced polarization (IP) survey on its Tabasqueña project in Zacatecas. The new IP survey highlights two wide and closely spaced high chargeability anomalies, with the strongest being on the western part of the new grid. “For both targets, the associated chargeability anomaly is deeply seated (> 250 to 300m) while their origin is linked to two distinct wide mineralized systems. The western anomaly appears to remain open laterally to the north and south within the property limits”.
Tarachi Gold Corp. is mobilizing a man portable diamond drill rig to commence drill testing the high-grade gold bearing structures on the San Javier concession, part of its Tarachi project in Sonora. The drill program will focus on a NW trending shear structure where previous drill holes intercepted 5.0 m @ 34.5 gpt Au and 3.0 m @ 24.3 gpt Au. Mineralization is hosted in andesitic volcanic rocks, flanked by an intrusive rock, and the shear zone at San Javier remains open along strike and to depth, with the possibility of an extension under cover.
Kootenay Silver Inc. released results from the last seven holes on its 4,153 m drilling program at Copalito, in Sinaloa. Highlighted intercepts comprise 9.05 m @ 2.09 gpt au, 124 gpt Ag, 0.8% Pb+Zn (including 2.25 m @ 6.65 gpt Au, 335 gpt Ag, 2.6% Pb+Zn, including 0.51 m @ 16.95 gpt Au, 369 gpt Ag, 3.74% Pb+Zn); 27.4 m @ 60 gpt Ag, 0.28 gpt Au, 0.4% Pb+Zn; 10 m @ 128 gpt Ag, 0.65 gpt Au, 1.13% Pb+Zn (including 2.25 m @ 484 gpt Ag, 2.18 gpt Au, 2.86% Pb+Zn).
ON MINING
Sierra Metals Inc. Released consolidated third quarter results for 2020, with some figures from its Mexican operations. The Bolivar Mine in Chihuahua processed 410.5 K tonnes in the quarter, a record representing a 24% increase over Q3 2019, at 4,691 tpd, and in track to reach the targeted 5,000 tpd during Q4 2020. The Cusi mine, also in Chihuahua, produced a record 304 K Oz Ag, with an ore throughput of 1,074 tpd.
Equinox gold Corp. reported its third quarter 2020 financial and operating results, without detailing figures from its Mexican operations. At Los Filos, the Guadalupe open pit and Bermejal underground proceeded for July and August, but were suspended by an illegal blockade by the community on September 3rd. “Optimization study for new carbon-in-leach plant, heap leach expansion, updated mine planning and a Mineral Reserve and Mineral Resource update targeted for completion in early 2021”.
Americas Gold and Silver Corp. reported financial and operational results for the third quarter 2020, including an update on its Mexican operations. At Cosalá, in Sinaloa “In August 2020, the Company announced that the illegal blockade had been resolved to permit some Company personnel the opportunity to re‐enter the mine operations. This access has not been maintained. With the re‐opening of Mexican government offices in August, the Company’s employees were expected to vote in September 2020 for new union representation and did so on September 17. In advance of the vote, a number of irregularities came to light, which indicated that there could not be a fully democratic vote with freedom of association. As a result, the Company does not believe there are conditions currently present to invest the required capital to re‐start the Cosalá Operations. The Company continues to work with all legitimate stakeholders and remains hopeful that a resolution, consistent with the rule of law and featuring an election free from threats and intimidation, can be achieved so that operations can re‐commence in the near term”. The company also finalized the option agreement with Hochschild to acquire 100% of the San Felipe project in Sonora.
ON FINANCING
Aura Minerals Corp. made some clarifications regarding the secondary public offering of Brazilian depositary receipts issued by Itaú Unibanco S.A. as depositary. “The total gross proceeds of the Secondary Offering to the Selling Shareholders are R$87,300,000.00, of which an aggregate of R$19,400,000 is in respect of the Shares offered, severally, by the ARC Funds and R$67,900,000 is in respect of the Shares offered by Ruffer. The Company will not receive any proceeds from the Secondary Offering” (Aranzazú, Zacatecas).
Silver Bull Resources Inc. completed the second and final tranche of the previously announced private placement, for gross proceeds of US$150 K, and aggregate gross proceeds of US$1.7 M (Sierra Mojada, Coahuila).
Reyna Silver Corp. announced its common shares have been approved for listing on the OTCQB Market Exchange in the United States and the Frankfurt Stock Exchange in Germany.
Candente Gold Corp. advised that the previously announced non-brokered private placement has been fully subscribed, for gross profits of $200K (El Oro, Estado de Mexico).
ON RESOURCES AND DEVELOPMENT
Mexican Gold Mining Corp. released further assay results from the 2020 drilling program at its Las Minas project in Veracruz. Most of the 52 holes drilled so far have been targeting potential extensions to the El dorado resource, which remains open in several directions. Highlighted true width (TW) intercepts comprise 4.6 m @ 1.41 gpt Au, 0.55% Cu; 15.3 m @ 1.21 gpt Au, 1.1% Cu; 3.2 m @ 3.74 gpt Au, 3.76% Cu; 8.5 m @ 4.86 gpt Au, 1.17% Cu; 17 m @ 1.2 gpt Au, 0.85% Cu; 11.6 m @ 1.56 gpt Au, 1.03% Cu; 11.6 m @ 4.38 gpt Au, 1.84% Cu; 28.5 m @ 2.8 gpt Au, 1.12% Cu; 8.0 m @ 1.9 gpt Au, 0.36% Cu; 7.4 m @ 3.46 gpt Au, 5.08% Cu; 5.3 m @ 0.4 gpt Au, 0.83% Cu.
Endeavour Silver Corp. continues to intersect high-grade mineralization in the Santa Cruz vein on the El Curso property of the Guanaceví mine in Durango. Highlighted TW intersections on eleven holes comprise 3.2 m @ 2,307 gpt Ag, 3.15 gpt Au (2,559 gpt AgEq); 3.1 m @ 1,409 gpt Ag, 3.13 gpt Au (1,659 gpt AgEq) and 11.5 m @ 381 gpt Ag, 0.5 gpt Au.
Discovery Metals Corp. released results from seven diamond drill holes targeting bulk-tonnage mineralization in the South Corridor at its Cordero project in Chihuahua. Some of the highlighted results comprise 71.2 m @ 18 gpt Ag, 0.06 gpt Au, 0.2% Pb, 0.7% Zn; 139.1 m @ 47 gpt Ag, 0.07 gpt Au, 0.6% Pb, 1.6% Zn (138 gpt AgEq); 26.6 m @ 56 gpt Ag, 0.09 gpt Au, 0.4% Pb, 0.7% Zn; 19.4 m @ 41 gpt Ag, 0.06 gpt Au, 0.5% Pb, 1.2% Zn; 29.6 m @ 52 gpt Ag, 0.07 gpt Au, 0.8% Pb, 0.8% Zn; 92.1 m @ 27 gpt Ag, 0.05 gpt Au, 0.2% Pb, 0.4% Zn; 32.4 m@ 72 gpt Ag, 0.07 gpt Au, 0.3% Pb, 0.1% Zn; 38.4 m @ 36 gpt Ag, 0.04 gpt Au, 0.6% Pb, 0.7% Zn; 33.9 m @ 30 gpt Ag, 0.07 gpt Au, 0.5% Pb, 0.7% Zn; 62.2 m @ 38 gpt Ag, 0.07 gpt Au, 0.4% Pb, 0.7% Zn; 57.1 m @ 18 gpt Ag, 0.01 gpt Au, 0.2% Pb, 1.0% Zn. Assays from 27 holes are pending and four rigs are operating at the site.
GoGold Resources Inc. released additional drill results from the La Trini deposit at its Los Ricos North project in Jalisco. Highlighted core length intercepts comprise 25.9 m @ 0.34 gpt Au, 52 gpt Ag (including 4.7 m @ 0.81 gpt Au, 124 gpt Ag); 2.4 m @ 0.05 gpt Au, 300 gpt Ag; 18.7 m @ 0.58 gpt Au 46 gpt Ag; 18.2 m @ 0.11 gpt Au, 48 gpt Ag; 15.2 m @ 0.71 gpt Au, 71 gpt Ag (including 2.0 m @ 3.55 gpt Au, 284 gpt Ag and 1.3 m @ 4.20 gpt Au, 733 gpt Ag).
Southern Silver Exploration Corp. reported initial assay results from the recently started 10,000 m core drilling program at Cerro Las Minitas, Durango. Highlighted true width results from holes in the South Skarn target comprise 4.0 m @ 109 gpt Ag, 0.14 gpt Au, 0.02% Cu, 1.8% Pb, 2.1% Zn (including 0.9 m @ 412 gpt Ag, 0.14 gpt Au, 0.06% Cu, 7.8% Pb, 9.2% Zn); 0.8 m @ 132 gpt Ag, 0.12 gpt Au, 0.02% Cu, 2.8% Pb, 2.0% Zn; 1.1 m @ 54 gpt Ag, 2.83 gpt Au, 0.01% Cu, 3.6% Pb, 0.4% Zn; 3.2 m @ 99 gpt Ag, 0.27 gpt Au, 0.01% Cu, 0.7% Pb, 0.6% Zn; 6.7 m @ 625 gpt Ag, 0.11 gpt Au, 0.03% Cu, 11.8% Pb, 7.5% Zn; 1.2 m @ 112 gpt Ag, 0.07 gpt Au, 2.2% Pb, 2.1% Zn.
SilverCrest Metals Inc. provided an update on activities for 2020. During the first nine months of the year the company has drilled 146,000 m of in-fill and expansion drilling at Las Chispas project in Sonora. Furthermore, 4.1 km of underground decline and lateral drifting, stockpiling an accumulated 47 K tonnes @ 1,130 gpt AgEq (7.21 gpt Au, 590 gpt Ag). “Las Chispas site activities continued with the building of the administration and warehouse facilities, phase 1 of the temporary quarantined COVID-19 camp, communication system, and water pumping stations”. Since inception of the project, 461,000 m have been drilled in 1,712 holes. As October 31, 2020, SilverCrest has cash and cash equivalents of $184 M (US$138.2 M).
ON DEALS AND CORPORATE ISSUES
Magna Gold Corp. entered into a definitive option acquisition agreement with Sable Resources Ltd. To acquire Sable’s option to acquire 100% interest in the 125.6 ha Margarita silver property in Chihuahua; the property lies 15 Km northwest on strike with the recently commissioned Sunshine Silver Corp’s Los Gatos mine. Magna is to acquire the option by paying CAD$1.5 M cash, plus additional CAD$800 K VAT and CAD$3.5 M in common shares of Magna. The purchaser will exercise the option to acquire the property by payment of CAD$500 K in cash, plus $368 K in VAT to the titleholders of the concessions and CAD$1.8 M in Magna shares. Sable drilled 35 holes for a total of 5,245 m, with intercepts like: 4.25 m @ 430 gpt Ag, 0.2% Pb, 0.7% Zn; 12.4 m @ 446 gpt Ag, 0.7% Pb, 1.0% Zn; 14.05 m @ 306 gpt Ag, 0.7% Pb, 1.9% Zn; 11.3 m @ 229 gpt Ag, 1.0% Pb, 0.3% Zn; 33.3 m @ 283 gpt Ag, 0.3% Pb, 0.8% Zn (including 9.9 m @ 579 gpt Ag, 0.8% Pb, 1.7% Zn); 20.6 m @ 83 gpt Ag, 0.1% Pb, 0.3% Zn (including 5.1 m @ 198 gpt Ag, 0.2% Pb, 0.3% Zn); 48.65 m @ 102 gpt Ag, 0.1% Pb, 0.4% Zn; 37.35 m @ 117 gpt Ag, 0.17 gpt Au, 0.2% Pb, 0.7% Zn (including 5.5 m @ 400 gpt Ag, 1.07 gpt Au, 1.1% Pb, 0.4% Zn).
VanGold Mining Corp. amended its option agreement to re-purchase three of the four underlying royalties on its Pinguico project, Guanajuato. Under the new terms the option is exercisable by making payments to EMBSA (Exploraciones Mineras del Bajío, S.A. de C.V.) of $200 K cash and 3.75 M shares before November 20, 2020; $325 K in cash before February 22, 2021; $525 K in cash before February 22, 2022 and $625 K in cash before February 22, 2023. After these payments are made, the only NSR on the property will cover the above ground and below ground stockpiles.
ON SOCIAL RESPONSIBILITY
Fresnillo PLC promotes the creation of micro and small businesses by means of its “Emprende en Línea” (Online Entrepreneurship) program, to develop administrative and managerial capabilities to consolidate businesses. For more than two decades Minera Penmont has contributed to the growth of the Caborca region through the implementation of social programs.
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: Base metal veinlet in core from Cerro San Pedro, San Luis Potosí. Picture by Jorge Cirett.
