Weekly Highlights

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 46th week of the year (November 11th to November 17th,2024), companies working in Mexico posted at least 24 press releases. Two companies informed on exploration advances at their properties, ten companies presented quarterly results and one other actualized its production forecast for the second half of 2024. Two companies released drilling results from their advanced properties, with one also providing channel sample results. One company announced a private placement probably to be used on properties in Mexico, two more companies with properties in Mexico announced financing rounds to be applied outside from Mexico and a royalties company signed a lending agreement. Two companies updated on exploration and drill results from their advanced properties, and one more company informed on its evaluation on the keeping or disinvestment on an advanced property. One company updated on legal proceedings on the cancellation of a key concession, one more held its AGM and other two informed on operating issues impacting a silverstream. ON MEXICO ISSUES most of the concentrate end-dump trailers hijacked from the Peñasquito mine were recovered empty. Two miners are dead, five unaccounted for in a mine cave-in in Sinaloa. ON EXPLORATION, In Sonora, Tocvan Ventures provided exploration results from Pilar (Gran Pilar?). In Chihuahua, Kingsmen Resources announced a drilling program at Las Coloradas. ON MINING, Gatos Silver, Mag Silver, Orla Mining, SilverCrest Metals, Discovery Silver, Avino Silver, Prime Mining, Sailfish Royalty, Dyna Resource and US Antimony, released Q3 production results and Heliostar Metals released its forecast on production for H2 2024. ON FINANCING, Apollo Silver and Osisko Development closed private placements for C$13.5 M and US$57.5 M respectively. Orex Minerals completed a warrants exercise program, Elemental Altus Royalties amended a credit facility. ON RESOURCES AND DEVELOPMENT, Osisko Development is awaiting on a permit to operate its San Antonio project in Sonora, and evaluating the sale of the asset. Endeavour Silver updated on exploration and development at Pitarrilla, in Durango. Torex Gold released results from resource upgrading drilling at EPO, in Guerrero. ON DEALS AND CORPORATE ISSUES, Chesapeake Gold updated on legal proceedings on the cancellation of a key mining concession at its Metates project in Durango. GR Silver held its AGM. Fresnillo plc and Industrias Peñoles are resolving issues arising from operational challenges that affect a silverstream.  ON SOCIAL RESPONSIBILITY, Discovery Silver released its 2023 ESG report.

ON MEXICO ISSUES

  • Nine of the eleven hijacked end-dump trailers carrying concentrate from the Peñasquito mine in Zacatecas were recovered empty on a dirt road in Durango. No detentions were made (How on this Earth can you disappear 240 tonnes of concentrate that can only be processed in a few sites in the country, and the export ports being controlled by the Navy? Yes, it is a rhetoric question).
  • Five miners were trapped by a cave-in at a mine in Badiraguato, Sinaloa.  Two persons are presumed dead and the fate of another three to five is unclear.

ON EXPLORATION

  • Kingsmen Resources Ltd. announced a diamond drill program for its 850 ha Las Coloradas project in Chihuahua. The company selected three principal target areas, the Mine, Aguilar and Leona on the Soledad structure. “The Mine target includes the old Las Coloradas mine on the SE end of the Soledad structure/vein system, and adjacent mineralized structures. The Leona target covers an area of old high grade workings approximately 530 meters long on the NW end of the Soledad II structure. The Aguilar target covers an area of old high grade workings approximately 250 meters long on the NW end of the Soledad structure/vein system”.
  • Tocvan Ventures Corp. provided exploration results from its Gran Pilar project in Sonora , adjacent to its Pilar project). A total of 541 soil samples have been collected in the project, returning up to 21.2 gpt Au, >2,000 gpt Ag, 0.62% Cu, 12.7% Pb, 2,3% Zn. “ …. zones of significant and consistently high values of gold have been identified showing several kilometers of prospective trend that remains open to the east for further expansion”.

ON MINING

  • Gatos Silver Inc. announced third quarter 2024 financial and operating results. At Cerro Los Gatos (70% Gatos Silver, 30% Dowa Metals and Mining Co.), in Chihuahua, 298.6 K tonnes were milled in the period at a rate of 3,246 tpd, averaging 285 gpt Ag, 4.0% Zn, 2.0% Pb, 0.30 gpt Au, to produce 2.42 M Oz Ag, 1,450 Oz Au, 11.4 M Lb Pb, 16.5 M Lb Zn (3.84 M Oz AgEq). By-product cash cost was $3.69 per Oz Ag and the by-product AISC $9.61 per Oz Ag. During the quarter Gatos Silver and First Majestic Silver Corp. entered into a definitive merger agreement.
  • Mag Silver Corp. announced unaudited consolidated financial results for Q3 2024. A total of 332.3 K tonnes of ore grading 481 gpt AgEq was processed at Juanicipio, in Zacatecas, producing 4.9 M Oz Ag, 7.1 M Oz AgEq, at negative cash cost of $0.12 per Oz Ag ($8.38 per Oz AgEq) and an AISC of $3.28 per Oz Ag ($10.83 per Oz AgEq), generating US$109.9 M in operating cash flow and US$96.9 M in free cash flow (Mag’s share on the Juanicipio JV is 44%). During the period Mag Silver entered into an earn-in and option exploration agreement in which Apollo Silver Corp. can acquire the Cinco de Mayo property in Chihuahua.
  • Orla Mining Ltd. announced results for the third quarter of 2024. Production at Camino Rojo in Zacatecas was 43,788 Oz Au during the period at cash cost $482 per Oz Au and an AISC of $720 per Oz Au. Average mining rate was 52 K tpd, with 18.4 K tonnes of ore stacked averaging 0.93 gpt Au. A 30,000 m drilling program is underway to test and expand mineralization beneath existing resources. “….. results confirm the presence of flat-lying (mantos) and steep sulphide replacement-style mineralization, along with skarn-type alteration, extending at least 500 meters down plunge from the existing resource”. Net income was US$21.1 M and cash flow from operating activities US$52.0 M. In October the outstanding balance of US$58.4 M was repaid on its revolving credit facility of US$283.4 M. The company elevated the 2024 production guidance to 130,000 to 140,000 Oz Au. At the end of the period net cash was US$122.5 M.
  • SilverCrest Metals Inc. released financial results for Q3 2024. At Las Chispas, in Sonora, 4.4 km of development were completed, 124.2 K tonnes were mined at a rate of 1,350 tpd, 121.8 K tonnes milled, averaging 3.87 gpt Au, 366 gpt Ag (or 674 gpt AgEq), recovering 98.5% Au, 98.3% Ag to produce 14,928 Oz Au, 1.41 M Oz Ag (or 2.66 M Oz AgEq) at cash cost $8.85 per Oz AgEq and an AISC of $13.72 per Oz AgEq. Revenue in the period was US$80.4 M, an operating cash flow of US$44.2 M and free cash flow of US$36.2 M. SilverCrest had US$158.2 M by the end of September. In October the acquisition of Silver Crest Metals by Coeur Mining Inc. was announced.
  • Discovery Silver Corp. announced financial results for Q3 2024. At the end of the period the company had a net loss of C$5.3 M, 397.7 M shares outstanding, cash and cash equivalents of C$33.4 M, total assets of C$125.1 M, liabilities for C$6.2 M and a working capital of C$30.9 M (Cordero, Chihuahua).
  • Avino Silver & Gold Mines Ltd. announced its consolidated financial results for the third quarter of 2024. During the period the company processed 156.5 K tonnes of ore to produce 281.8 K Oz Ag, 1,625 Oz Au, 1.77 M Lb Cu (or 670.9 K Oz AgEq) at its Avino mine in Durango. Revenues were US$14.6 M, mining operating income of US$5.7 M, net income of US$1.2 M, EBITDA of US$3.8 M, cash flow from operations of US$4.1 M and a mine operating cash flow before taxes of US$6.7 M. At the end of the period the company had US$7.8 M in cash and working capital of US$15.9 M. Guidance remains on track to produce 2.5 M to 2.8 M Oz AgEq in 2024. Avino continued to process historical stockpiles from the nearby La Preciosa project: “as part of a sampling program to better prepare for fresh mill feed. Initial recoveries from the lower-grade material were better than expected and provide for potential upside as the project moves forward”. The operations team is in the final stages for approval to move forward with underground development at La Preciosa.
  • Prime Mining Corp. reported its operating and financial results for Q3 2024. During the period the company announced the update of an open pit constrained resource at Los Reyes, in Sinaloa, of 49 M tonnes @ 0.95 gpt Au, 34.2 gpt Ag, containing 1.49 M Oz Au, 54 M Oz Ag (or 2.19 M Oz AuEq) in indicated resources and 17.2 M tonnes @ 0.97 gpt Au, 39 gpt Ag, containing 0.54 M Oz Au, 21.6 M Oz Ag (or 0.82 M Oz AuEq) in inferred resources. Prime Mining reported Loss and comprehensive loss of C$16.2 M, total assets of C$35.2 M, liabilities of C$0.9 M and total liabilities of C$1.7 M, with cash at the end of the quarter of C$21.2 M. Four drilling rigs are currently active at Los Reyes.
  • Sailfish Royalty Corp. announced operating and financial results for the third quarter 2024. Sailfish has no operations in Mexico, but holds 100% in the Gavilanes project in Durango.
  • Dyna Resource Inc. reported results for its third quarter 2024. During the period 61 K tonnes were mined at a rate of 663 tpd at its San Jose de Gracia project in Sinaloa, milling 61.9 K tonnes at a rate of 663 tpd, grading 3.78 gpt Au, recovering 75.4% Au to produce 5,676 Oz Au. “The Company intends to prioritize drilling high grade underground targets that can readily be brought into the mine plan as well as the continued regional program to better understand the potential of the significant land package at SJG”. Revenue was US$ 11.2 M during the period. Management believes it will achieve its production rate target of 25.5 K tonnes per month in Q4 2024. The company is working to improve plant recoveries.
  • Heliostar Metals Ltd. provided gold production guidance for the recently acquired San Agustin mine, in Durango, and the La Colorada mine, in Sonora. For the July-December 2024 period production expected for La Colorada is 4,700-4,800 Oz Au, 13.3 K-14.4 K Oz Ag (or 4,800-4,900 Oz AuEq) at cash cost $1,350-$1,450 per Oz Au and an AISC of $1,500-$1,600 per Oz Au. At San Agustin 14,650-14,950 Oz Au, 25,400-25,500 Oz Ag (or 15,200-15,300 Oz AuEq), at cash cost $1,500-$1,600 per Oz Au and an AISC of $1,650-1,750 per Oz Au. La Colorada continues to produce Au from leach pads, but mining was paused by the previous operator on September 2023. Heliostar is to determine the economic viability of restarting operations and to complete a pre-feasibility study in early Q1 2025. At San Agustin mining operations ceased due to permitting constraints and is producing Au from existing leach pads. “The Company has submitted a permit application to expand the open pit that would allow mining at San Agustin to recommence in 2025. Without approval, the San Agustin Mine will transition to care and maintenance upon completion of leaching operations.”
  • United States Antimony Corp. reported third quarter 2024 financial and operational results. The company has no operations in Mexico, but holds the Los Juarez gold project in Queretaro.

ON FINANCING

  • Apollo Silver Corp. closed a fully subscribed non-brokered private placement for aggregate gross proceeds of C$13.5 M (Cinco de Mayo, Chihuahua).
  • Osisko Development Corp. closed its previously announced private placement for aggregate gross proceeds of US$57.5 M (San Antonio, Sonora).
  • Orex Minerals Inc. completed the company’s warrant exercise incentive program raising approximately $1.2 M (Coneto, Durango).
  • Elemental Altus Royalties Corp. signed an amendment to its credit facility, exercising the US$10 M accordion feature, with the borrowing limit increased to US$50 M and Royal Bank of Canada (RBC) as a new lender in the facility, joining National Bank of Canada (NBC) and Canadian Imperial Bank of Commerce (CIBC) (Mercedes, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Osisko Development Corp. reported financial and operating results for Q3, 2024, including some information on its Mexican operations. At San Antonio, in Sonora, the company has kept the project in care and maintenance since Q3 2023, awaiting the next steps from the government of Mexico with respect to the permitting process and the status of open pit mining in the country. The company is “exploring the potential for a financial or strategic partner in the asset or for a full or partial sale of the asset”.
  • Endeavour Silver Corp. reported an update on the exploration and evaluation of its Pitarrilla property in Durango. Endeavour has re-logged the historic drill core, focusing on defining high-grade feeder structures of the Ag-Pb-Zn sulfide mineralization. The company has refurbished the ramp and extended it over 1.3 km to provide access to underground drilling. This work has confirmed the presence of at least four structures that extend through the manto (Palmito, Danna, Victoria and Casas Blancas veins), additional mineralized structures include the Norma and Danna hanging wall veins and the Peña dike. It is estimated that the first four veins are typically 3 m in width and have a vertical extent of 600 to 800 m and strike lengths of 700 m; these veins appear open to depth. Highlighted true width intervals comprise 82.92 m @ 0.02 gpt Au, 87 gpt Ag, 0.08% Cu, 0.6% Pb, 2.4% Zn; 25.94 m @ 0.04 gpt Au, 241 gpt Ag, 0.18% Cu, 0.9% Pb, 1.9% Zn (including 0.90 m @ 0.04 gpt Au, 2,020 gpt Ag, 1.6% Cu, 5.7% Pb, 4.0% Zn); 13.62 m @ 0.06 gpt Au, 183 gpt Ag, 0.04% Cu, 0.5% Pb, 1.8% Zn; 22.23 m @ 0.02 gpt Au, 112 gpt Ag, 0.06% Cu, 0.5% Pb, 3.6% Zn (including 0.92 m @ 0.21 gpt Au, 1,145 gpt Ag, 0.14% Cu, 1.6% Pb, 4.5% Zn). Highlighted Peña dike channel samples on the ramp comprise 4.20 m @ 0.07 gpt Au, 562 gpt Ag, 0.78% Cu, 5.3% Pb, 2.5% Zn; 5.35 m @ 0.09 gpt Au, 424 gpt Ag, 0.24% Cu, 4.9% Pb, 2.2% Zn; 3.85 m @ 0.09 gpt Au, 511 gpt Ag, 1.71% Cu, 3.0% Pb, 4.5% Zn.
  • Torex Gold Resources Inc. released assay results from the ongoing drill program at EPO, on its Morelos Complex, in Guerrero. Drilling has shown the potential to upgrade inferred resources to indicated resources in the NE portion of the EPO deposit. Highlighted core length intercepts comprise 36.6 m @ 9.57 gpt Au, 20 gpt Ag, 0.51% Cu (including 7.55 m @ 43.33 gpt Au, 48 gpt Ag, 0.51% Cu); 19.16 m @ 4.01 gpt Au, 3 gpt Ag, 0.30% Cu; 18.75 m @ 2.83 gpt Au, 28 gpt Ag, 1.26% Cu; 18.91 m @ 1.56 gpt Au, 73 gpt Ag, 2.62% Cu on resource conversion and 5.10 m @ 3.70 gpt Au, 30 gpt Ag, 1.37% Cu; 3.00 m @ 4.90 gpt Au, 21 gpt Ag, 0.28% Cu; 3.18 m @ 3.56 gpt Ag; 39 gpt Ag, 0.95% Cu; 8.33 m @ 0.44 gpt Au, 45 gpt Ag, 1.44% Cu; 2.37 m @ 0.46 gpt Au, 149 gpt Ag, 3.24% Cu; 3.59 m @ 0.51 gpt Au, 69 gpt Ag, 2.23% Cu, in advanced exploration beyond the resource boundary to the north of EPO. The EPO geology described in the press release highlights its complexity, with skarn, CRD and intermediate sulfidation epithermal mineralization events.

ON DEALS AND CORPORATE ISSUES

  • Chesapeake Gold Corp. updated on legal proceedings related to its 700 ha San Vicente 3 mineral concession. The proceedings against the Dirección General de Minas (DGM) are the company’s response to the cancellation of one of 12 concessions within its 4,260 ha  Metates project in Durango (the largest undeveloped gold deposit in Mexico). “Chesapeake began nullity proceedings to have the cancellation of San Vicente 3 declared as null and void by the North Center III and Auxiliary Regional Chamber of the Federal Court of Administrative Justice (the “Chamber”) based on certain procedural arguments. The Chamber dismissed the Company’s lawsuit in a 2-1 split decision, with the dissenting judge finding the Company’s arguments to be well-founded. The Company plans to appeal before the Collegiate Court and to pursue all legal remedies available”. The concession covers part of the mineral resource, and its cancellation would hinder the ability to develop the Metates project as outlined on the PEA.
  • GR Silver Mining Ltd. held its annual general meeting (AGM) with all matters brought before the meeting approved (Plomosas, Sinaloa).
  • Fresnillo plc. has secured notice over operational issues at Industrias Peñoles Sabinas mine in Zacatecas, affecting silver output. There is a silverstream contract comprising a series of 12 agreements between Fresnillo and Peñoles, following which the London-listed miner has the right to receive all proceeds from the payable silver. “The operational challenges at the mine have prompted immediate discussions between the two companies to evaluate the situation and its implications for the agreement”.

ON SOCIAL RESPONSIBILITY

  • Discovery Silver Corp. released its 2023 ESG (environmental social and governance) report, highlighting the reception of the Quality Environmental Certification, the Socially Responsible Enterprise (ESR) Distinction and the Great Place to Work Certification (Cordero, Chihuahua).

On the image below: Clear vein scarps in a copper project in Sonora. Drone picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fifth Week of October 2024

/ Gambusino Prospector / Leave a comment

By Jorge Cirett
During the 44th week of the year (October 28th to November 3rd, 2024), companies working in Mexico posted at least 23 press releases. Not a single company informed on exploration advances on its properties, two companies presented quarterly results and one other actualized its production forecast for 2024. Two companies released drilling results from their advanced properties while one also provided channel sample results and one more informed on the advance of mine construction. Two companies disclosed the status of their merger process, one the acquisition of a company with a past producing mine, one the sale of a project and one other on the optioning of a property. Two companies presented the results of their AGMs, one the appointment of a well-known industry leader, one the optioning of several adjacent mining concessions to their property and one more on the final approval for transferring assets. ON MEXICO ISSUES, a Supreme Court minister commented on the Judiciary Reform. ON EXPLORATION, no relevant news. ON MINING, Agnico Eagle and Capstone Copper released Q3 production results. Torex Gold increased its forecast on production for 2024. ON FINANCING, Mithril Gold and Silver is to raise A$12.5 M. Pinnacle Silver and Gold intends to make a private placement for US$800 K. Americas Gold and Silver completed a bought deal private placement for C$50 M. Guanajuato Silver closed a private placement for C$8.7 M and settled a US$1.8 M debt with shares. Defiance Silver paid a minor debt with shares. ON RESOURCES AND DEVELOPMENT, Heliostar Metals reported drilling results from Ana Paula, in Guerrero. Mithril Gold and Silver presented drilling results and channel sample results from Copalquin, in Durango. Torex Gold informed on the construction status at Media Luna project, in Guerrero. ON DEALS AND CORPORATE ISSUES, Minera Alamos entered into an agreement to acquire Sabre Gold Mines, which owns the past producing Copperstone mine in Arizona. Reyna Silver completed the acquisition of Reyna Gold. Golden Minerals is selling its Yoquivo project in Chihuahua to Advance Metals. Pinnacle Silver and Gold signed a LOI to acquire a mining property in Durango. Florida Canyon Gold received final approval on the sale of its Mexican assets to Heliostar Metals. Defiance Silver acquired six mining concessions adjacent to its Tepal project in Michoacan. Silver Spruce Royalties and Orogen Royalties informed on their AGMs. Capitan Silver informed on the appointment of Fernando Alanís to its board. ON SOCIAL RESPONSIBILITY, Vizsla Silver received the Socially Responsible Company Distinction (ESR) for the third year since 2022.

ON MEXICO ISSUES

  • Juan Luis González Alcántar Carrancá, a Supreme Court minister, stated that México is to be left without a Supreme Court if the federal government (the Ejecutive branch) does not abide by the Supreme Court ruling on the invalidation of the recent Judiciary Power Reform, adding that the sudden changes on the appointment of judges and ministers can impact on economic matters.

ON EXPLORATION

  • No Relevant News.

ON MINING

  • Agnico Eagle Mines Ltd. reported third quarter 2024 results, including information on its Mexican operations. At San Nicolás (50% AEM, 50% Teck), in Zacatecas, “Progress continues on the feasibility study work and execution strategy development, with plans to begin detailed engineering in the first half of 2025. Project approval is expected to follow, subject to receipt of permits and the results of the feasibility study”. At Pinos altos, in Chihuahua, 446 K tonnes were milled at a 4,848 tpd rate, grading 1.58 gpt Au, to produce 21,371 Oz Au at $2,174 per Oz Au production cost and total cash cost of $1,532 per Oz Au. At La India, in Sonora, residual leaching produced 4,259 Oz Au with a production cost of $2,300 per Oz Au and a total cash cost of $2,872 per Oz Au.
  • Torex Gold Resources Inc. increased the forecast production for 2024 from 400 K – 450 K to 450 K – 470 K Oz Au at its Morelos Complex in Guerrero. The total cash cost estimate remains at $860 – $910 per Oz Au and the AISC at $1,100 to $1,160 per Oz Au (El Limón-Guajes, Guerrero).
  • Capstone Copper Corp. reported financial results for the quarter ended September 30, 2024. The company produced a total of 47,460 tonnes Cu at cash cost $2.83 per Lb Cu. At Cozamin, in Zacatecas, 6 K tonnes were produced, driven by a milling rate of 3,609 tpd and having a cash cost of $1.82 per Lb Cu. The company has a total debt of $750.7 M, presenting $138.6 M in cash and short-term investments by the end of the period, as well as $377 M of undrawn amounts on the corporate revolving credit facility.

ON FINANCING

  • Mithril Silver and Gold Ltd. informed firm commitments for an oversubscribed capital raising of A$12.5 M, with Jupiter Gold and Silver Fund confirming Mithril shareholding at 16% and 1832 Fund (Bank of Nova Scotia) maintaining 8% post placement. The proceeds are to be used to complete the current 9,000 m drill program to expand the JORC resource, the upgrade of the access road and prepare targets Las Brujas-El Peru and Constancia-Jabali for drilling in 2025 (Copalquin, Durango).
  • Pinnacle Silver and Gold Corp. will be arranging a private placement to raise up to US$800 K in gross proceeds (El Potrero, Durango).
  • Americas Gold and Silver Corp. completed its previously announced “bought deal” private placement raising C$50 M in gross proceeds, which included 12.5 M subscription receipts issued pursuant to the exercise, in full, of the underwriter’s option agreement granted to the underwriters in connection with the private placement (Cosala, Sinaloa).
  • Guanajuato Silver Company Ltd. closed the previously announced private placement for gross proceeds of C$8.72 M. “The Private Placement includes an anchor order of C$3,000,000 by a corporation beneficially owned and controlled by Mr. Eric Sprott”. Additionally, the company has settled a US$1 M contingent payment upon the production of 3 M Oz AgEq at El Cubo mine, entirely with shares. Also, Guanajuato Silver settled US$1.8 M in outstanding liabilities to Ocean Partners UK Ltd. by issuing shares, and C$77.5 K in outstanding liabilities to three arm’s length third party entities (El Cubo, Guanajuato).
  • Defiance Silver Corp. entered into an agreement with a non-arm’s length administrative services agreement for services provided by an officer of the company for $7,980 (Zacatecas Silver, Zacatecas; Tepal, Michoacan).

ON RESOURCES AND DEVELOPMENT

  • Heliostar Metals Ltd. reported results from the 2024 drill program at Ana Paula, in Guerrero. The focus of the program is to extend the High Grade and Parallel panels to the west, testing the down-dip extension of the High Grade Panel while infilling the Parallel Panel target. Highlighted core length intercepts comprise 6.05 m @ 8.24 gpt Au; 5.00 m @ 2.10 gpt Au; 16.0 m @ 1.74 gpt Au, 16.0 m @ 16.7 gpt Au; 2.5 m @ 3.57 gpt Au. “Drilling is ongoing, with five holes completed to date for a total of 1994.8 meters”.
  • Mithril Silver and Gold Ltd. on October 18, 2024, released further results from resource expansion drilling at El Refugio mine target at its Copalquin project in Durango. Highlighted core length intervals comprise 4.60 m @ 5.51 gpt Au, 182 gpt Ag (including 0.60 m @ 28.0 gpt Au, 997 gpt Ag); 9.00 m @ 2.06 gpt Au, 90 gpt Ag (including 1.00 m @ 2.14 gpt Au, 259 gpt Ag); 1.60 m @ 5.09 gpt Au, 299 gpt Ag (including 0.50 m @ 12.15 gpt Au, 758 gpt Ag). Drilling the second half of the 9,000 m program is to recommence late in October. The 2021 MRE stands at 691 K tonnes @ 5.43 gpt Au, 114 gpt Ag, containing 121 K Oz Au, 2.5 M Oz Ag as indicated resources and 1.7 M tonnes @ 4.55 gpt Au, 152 gpt Ag, containing 252 K Oz Au, 8.4 M Oz Ag.
  • Mithril Silver and Gold Ltd. provided results from channel sampling from remnant wall rock of historic workings on the El Refugio area of its Copalquin project in Durango. At La Soledad, reported results comprise 1.75 m @ 9.19 gpt Au, 653 gpt Ag; 1.50 m @ 13.6 gpt Au, 545 gpt Ag at Lumbrera vein, 2.00 m @ 8.99 gpt Au, 736 gpt Ag; 0.90 m @ 9.57 gpt Au, 361 gpt Ag; 0.80 m @ 6.87 gpt Au, 267 gpt Ag; 1.50 m @ 1.72 gpt Au, 22 gpt Ag at Soledad Level 1, 0.94 m @ 8.81 gpt Au, 51 gpt Ag; 0.80 m @ 5.36 gpt Au, 143 gpt Ag; 1.80 m @ 4.58 gpt Au, 193 gpt Ag; 3.40 m @ 1.56 gpt Au, 101 gpt Ag; 2.00 m @ 4.23 gpt Au, 481 gpt Ag; 2.80 m @ 1.62 gpt Au, 106 gpt Ag at Soledad Level 2, 1.90 m @ 0.38 gpt Au, 17 gpt Ag; 1.80 m @ 0.83 gpt Au, 42 gpt Ag; 2.70 m @ 1.21 gpt Au, 56 gpt Ag at Soledad Level 3, 0.70 m @ 6.00 gpt Au, 76 gpt Ag at Leon vein and 2.00 m @ 2.10 gpt Au, 94 gpt Ag; 3.50 m @ 2.89 gpt Au, 180 gpt Ag; 2.00 m @ 0.94 gpt Au, 42 gpt Ag; 4.00 m @ 2.28 gpt Au, 78 gpt Ag at El Cometa underground workings.
  • Torex Gold Resources Inc. informed development and construction at Media Luna in Guerrero now stands at 87%. Detailed engineering is now complete “and procurement is nearing completion at 97%. Underground development/construction and surface construction are advancing, with completion levels at 77% and 70%, respectively.” First copper concentrate it scheduled to be produced on Q1 2025.

ON DEALS AND CORPORATE ISSUES

  • Minera Alamos Inc. entered into a definitive agreement to acquire all of the issued and outstanding shares of Sabre Gold Mines Corp., which owns the past producing Copperstone gold mine in Arizona. (Santana, Sonora).
  • Reyna Gold Corp. and Reyna Silver Corp. announced the completion of the previously announced acquisition of all the issued and outstanding common shares of Reyna Gold by Reyna Silver (La Gloria, Sonora; Guigui, Chihuahua).
  • Golden Minerals Co. signed a binding agreement to sell to Advance Metals Ltd. its Yoquivo project in Chihuahua. The agreement involves the payment of US$20 K on October 24, 2024, US$275 K on November 1, 2024 and US$275 K on November 21, 2024, for a total consideration of US$570 K plus VAT.
  • Pinnacle Silver and Gold Corp. singed a letter of intent (LOI) on a staged option to acquire the 1,074 ha El Potrero project in Durango. The property lies within 35 km of four operating mines, including Fresnillo plc’s La Cienega, Luca Mining’s Tahuehueto and Guanajuato Silver’s Topia. The property is said to host a low sulfidation epithermal breccia system in andesitic rocks of the Lower Volcanic Group, with an historic resource of 45.6 K tonnes @ 8 gpt Au, 186 gpt Ag. The property has never been explored by modern methods and a 100 tpd plant on site can be rehabilitated. The deal comprises US$50 K on signature, 500 K shares and the payment of US$160 K back taxes on the property; US$200 K and 1 M shares at eight months from signature; US$750 K in cash and 1 M in shares on the first anniversary; US$ 1 M and 1 M shares at 2.5 years from signature, or when a 350 K Oz Au inferred resource is established; US$ 1 M in cash at the fourth anniversary, or when the plant is ready and permitted to start production, with Pinnacle obtaining 50% of the property; US$ 1.5 M in cash on the fifth anniversary, or one year after commencing production, receiving a further 20% of the property; US$3 M after the seventh anniversary or two years after starting production, with Pinncale receiving a further 20% interest, to a total of 90%; The vendor has the option to convert the remaining 10% interest to a 2% NSR royalty. The total is US$7.5 M, US$160 K in back taxes and 3.5 M shares for a 100% interest subject to a 2% NSR royalty.
  • Silver Spruce Resources Inc. informed that its annual general meeting has been adjourned to the new date of November 5, 2024, as the 10% requisite quorum was not achieved on the October 29 meeting (Pino de Plata, Chihuahua).
  • Orogen Royalties Inc. held its annual general meeting (AGM) on October 29, 2024, with all matters approved (Ermitaño, Sonora).
  • Capitan Silver Corp. announced the appointment of Fernando Alanís Ortega to its board of directors. Fernando Alanís is a past CEO of Industrias Peñoles, one of Mexico’s most emblematic mining companies, and is also past president of the Mexican Mining Chamber known as CAMIMEX (Cruz de Plata, Durango).
  • Defiance Silver Corp. extended the San Acacio project (in Zacatecas) option agreement and acquired six additional mining concessions at its Tepal project in Michoacan. At San Acacio, the scheduled payment to be made in September 24, 2024, has now been changed to December 31, 2024.
  • Florida Canyon Gold Inc. received the final order of the Ontario Superior Court of Justice with respect to the pending arrangement transaction with Integra Resources Corp., the final substantive approval required prior to closing the arrangement, anticipated to occur in November and which includes the sale of Florida Canyon Mexican assets to Heliostar Metals Ltd. (La Colorada, Sonora).

ON SOCIAL RESPONSIBILITY

  • Vizsla Silver Corp. received the Socially Responsible Company Distinction (ESR) for the third year since 2022. The distinction is awarded jointly by the Mexican Center for Philanthropy (CEMEFI) and the Foundation for Sustainability and Equity (ALIARSE).

On the image below: Drilling under the scarp in Sonora. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Third Week of October 2024

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 42nd week of the year (October 14th to October 20th, 2024), companies working in Mexico posted at least 17 press releases. One company informed on exploration advances on its property, six companies posted quarterly results, two companies closed private placements, one company bought back shares advanced on a failed option deal outside Mexico, one company fully paid debt, one company reported a new MRE, three companies announced appointments to the board, one company informed on AGM results and one more completed the acquisition of a mining district. ON MEXICO ISSUES, no relevant matters. ON EXPLORATION, in Sinaloa, Prismo Metals has an ongoing drill program at Palos Verdes. ON MINING, GoGold Resources, Endeavour Silver, First Majestic Silver, Avino Silver & Gold Mines, Sierra Metals and Bear Creek Mining released Q3 production results. ON FINANCING, Osisko Development and Heliostar Metals closed private placements, Starcore International Mines bought back shares issued as payment for an option agreement, Orla Mining paid US$58.5 M to become debt free. ON RESOURCES AND DEVELOPMENT, Prime Mining presented a new mineral resource estimate for its Los Reyes project in Sinaloa. ON DEALS AND CORPORATE ISSUES, Santacruz Mining, Heliostar Metals and Starcore International Mines informed on board appointments. Florida Canyon Gold shareholders were advised to vote in favor of the deal with Integra Resources. Vizsla Silver presented results of its AGM. Vizsla Silver completed the acquisition of La Garra-Metates District in Sinaloa. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • No Relevant News.

ON EXPLORATION

  • Prismo Metals Inc. has an ongoing drill program at Palos Verdes, in Sinaloa. “The first hole is designed to cut both the Palos Verdes vein as well as the high-grade gold-silver vein about 50 meters downdip from the previous intersections. Assays reported from last year’s drilling include hole PV-23-25 with 102 g/t gold, 3,100 g/t silver and 0.26% zinc over 0.5 meters…”

ON MINING

  • GoGold Resources Inc. reported production from its operation at the Parral tailings in Chihuahua, for the quarter ending on September 30, 2024. During the period 167 K Oz Ag, 2,232 Oz Au, 132 tonnes Cu, 100 tonnes Zn (or 406.2 K Oz AgEq) were produced.
  • Endeavour Silver Corp. reported third quarter 2024 production of 874.7 K Oz Ag, 9,290 Oz Au (or 1.6 M Oz AgEq). At Guanaceví, in Durango, 67.1 K tonnes were processed at a rate of 729 tpd, grading 402 gpt Ag, 1.46 gpt Au, recovering 88.7% Ag, 89.8% Au, to produce 768.9 K Oz Ag, 2,828 Oz Au. At Bolañitos, in Guanajuato, 108 K tonnes were processed at a rate of 1,174 tpd, grading 36 gpt Ag, 2.00 gpt Au, recovering 84.7% Ag, 93.1% Au, to produce 105.8 K Oz Ag, 6,462 Oz Au. Production at Guanaceví “decreased in August and September due to a trunnion failure of the primary ball mill ….. Estimated fabrication timing remains at 15 weeks with the mine being back to full operations in December 2024”.
  • First Majestic Silver Corp. announced the production of 5.5 M Oz AgEq during Q3, 2024. At Santa Elena, in Sonora, 259.9 K tonnes were processed at a rate of 2,856 tpd, grading 68 gpt Ag, 3.50 gpt Au, recovering 67% Ag, 94% Au, to produce 376.2 K Oz Ag, 27,435 Oz Au (or 2.68 M Oz AgEq). At San Dimas, in Durango, 195.3 K tonnes were processed, at a rate of 2,146 tpd, grading 188 gpt Ag, 2.12 gpt Au, recovering 89% Ag, 95% Au, to produce 1.05 M Oz Ag, 12,582 Oz Au (or 2.11 M Oz AgEq). At La Encantada, in Coahuila, 223.2 K tonnes were processed at a rate of 2,453 tpd, grading 110 gpt Ag, 0.01 gpt Au, recovering 69% Ag, 90% Au, to produce 545 K Oz Ag, 59 Oz Au (or 550 K Oz AgEq). The rest of the production came from the Jerrit Canyon mine in Nevada. Seven surface rigs and two underground rigs completed 14,796 m at Santa Elena.   Four surface rigs and 10 underground rigs completed 29,172 m of drilling at San Dimas. Two surface rigs completed 1,862 of drilling at La Encantada.
  • Avino Silver & Gold Mines, Ltd. reported production for third quarter 2024. During the period 156.5 K tonnes were processed, grading 63 gpt Ag, 0.46 gpt Au, 0.58% Cu, recovering 89% Ag, 69% Au, 88% Cu, to produce 281.8 K Oz Ag, 1,625 Oz Au, 1.77 M Lb Cu (or 670.9 K Oz AgEq) at the Avino mine in Durango. The operations team is in the final stages of approval to move forward with underground development at La Preciosa, also in Durango.
  • Sierra Metals Inc. reported third quarter 2024 production results, including figures from its Mexican operations. At Bolivar, in Chihuahua, 401.7 K tonnes were processed, grading 0.78% Cu, 201.4 gpt Ag, 0.38 gpt Au, recovering 91.5% Cu, 85.5% Ag, 69.4% Au, to produce 6.31 M Lb Cu, 222 K Oz Ag, 3,361 Oz Au.
  • Bear Creek Mining Corp. released production figures for the third quarter 2024. At the Mercedes mine, in Sonora, 103.9 K tonnes were mined, 102.5 K tonnes processed, grading 3.40 gpt Au, recovering 96% Au to produce 10.751 Oz Au, 76.9 K Oz Ag.

ON FINANCING

  • Osisko Development Corp. closed its previously announced non-brokered private placement for gross proceeds of US$34.5 M, to be invested in a project not in Mexico (San Antonio, Sonora).
  • Starcore International Mines Ltd. bought back 8.67 M common shares previously issued as partial consideration for an option agreement with K Mining SARL regarding several mineral properties in Cóte d’Ivoire. “Starcore negotiated to acquire the Shares from the sole shareholder of K Mining at $0.10 per share, payable in 12 equal tranches over 33 months” (San Martin, Querétaro).
  • Orla Mining Ltd. repaid the entirety of the outstanding balance on its revolving credit facility totaling US$58.4 M. “With this repayment, the Company is now debt free with cash on hand of approximately $120 million”. The US$150 M credit facility will remain in place and available until its expiry in August 2027 (Camino Rojo, Zacatecas).
  • Heliostar Metals Ltd. closed a non-brokered private placement for gross proceeds of C$6 M, with Eric Sprott being subscribed for the entire private placement. Following the placement, Mr. Sprott owns approximately 13% of the outstanding common shares on a non-diluted basis and 15.9% on a partially diluted basis, assuming the exercise of warrants. On a different press release Heliostar announced that almost 4 M warrants of the company have been exercised since September 16th, 2024, adding 1.19 M to the treasury.  (Ana Paula, Guerrero).

ON RESOURCES AND DEVELOPMENT

  • Prime Mining Corp. reported significant open pit expansion and new underground resources in its 2024 mineral resource estimate (MRE) at Los Reyes, in Sinaloa. The Los Reyes resource is on low sulfidation epithermal structures hosted in volcanic rocks, within the Z-T Trend, the Gudalupe Trend, the Central Trend and three Generative areas: Las Primas, Mariposa and Fresnillo. The resource is subdivided in open pit, underground and mill and heap leach operations, with 49.0 M tonnes @ 0.95 gpt Au, 34.2 gpt Ag in indicated resources containing 1.49 M Oz Au, 54 M Oz Ag (or 2.19 M Oz AuEq), and 17.2 M tonnes @ 0.97 gpt Au, 39 gpt Ag in inferred resources, containing 538 K Oz Au, 21.6 M Oz Ag (or 817 K Oz AuEq). “The updated Resource statement reflects a mixed approach that considers open pit versus underground mining on an area-by-area basis”. Highlighted results from 21 unpublished drill holes comprise 2.35 m @ 4.57 gpt Au, 62 gpt Ag; 1.35 m @ 7.87 gpt Au, 105 gpt Ag; 10.45 m @ 0.98 gpt Au, 29 gpt Ag (including 2.75 m @ 2.51 gpt Au, 57 gpt Ag); 5.54 m @ 1.12 gpt Au, 42 gpt Ag; 1.85 m @ 1.71 gpt Au, 121 gpt Ag.

ON DEALS AND CORPORATE ISSUES

  • Santacruz Mining Ltd. informed Mr. Gregg Orr, CFO, has resigned and Mr. Andres Badregal has been appointed as the interim CFO of the company (Zimapan, Hidalgo).
  • Florida Canyon Gold Inc. announced that proxy advisors, Institutional Shareholder Services Inc. and Glass, Lewis & Co. LLC. have both recommended that company shareholders vote in favor of the special resolution authorizing the resolution under the provisions of Section 192 of the Canada Business Corporations Act (CBCA) involving Florida Canyon Gold Inc. pursuant to the resolution between FCGI and Integra Resources Corp. (San Agustin and El Castillo, Durango; La Colorada, Sonora).
  • Heliostar Metals Ltd. announced the appointment of Mr. Hernan Dorado and Vice President Sustainability and Special Projects. (Ana Paula, Guerrero)
  • Vizsla Silver Corp. completed the acquisition of the La Garra – Metates District situated on the center of the Panuco – San Dimas corridor in Sinaloa. Vizsla is to pay US$3.075 M in cash and issue shares for US$7 M over a period of 24 months from the closing date of the acquisition, with partial restrictions on the subsequent sale of shares ranging from 1 to 3 years. A 1% NSR granted to the sellers can be repurchased at any time for US$750 K. The company paid US$1.6 M in back taxes owed on the mining concessions comprising the deal (Panuco, Sinaloa).
  • Starcore International Mines Ltd. announced the election of all directors nominated on its annual general meeting (San Martin, Querétaro).

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Drilling under the scarp in Sonora. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 40th week of the year (September 30th to October 6th,2024), companies working in Mexico posted at least 12 press releases. One company informed on exploration advances on its property, one other company updated on mining operations, one company notified on the extension of a financing round, two companies granted stock options/deferred-share-units, two companies announced share consolidation programs, two companies reported drilling results on its advanced property/mine, another reported AGM results, one informed on appointments to the board and two more on their merger. ON MEXICO ISSUES, an illegal mining operation was terminated in Sonora. Vulcan Materials warned on the intensification of its legal dispute with the Mexican government. ON EXPLORATION, in Nayarit, Angel Wings Metals provided an exploration update on La Reyna project. ON MINING, Luca Mining updated on planned activities at its Campo Morado and Tahuehueto mines, in Guerrero and Durango respectively. ON RESOURCES AND DEVELOPMENT, Vizsla Silver reported drilling results from Panuco, in Sinaloa. Gatos Silver released drilling results from two areas of the Cerro Los Gatos mine in Chihuahua. ON DEALS AND CORPORATE ISSUES, Vizsla Silver presented results of its AGM. Apollo Silver made directors appointments. Coeur Mining and SilverCrest Metals announced their merger. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • An illegal gold mining operation was closed down in Sonora. The mining operation was being conducted without permits on La Cienega area in the Sonoran Desert, which is an historically active dry placer mining area. Eight persons were detained and diverse equipment sequestered.
  • Vulcan Materials warned that it is to intensify its legal dispute with the government of Mexico, under which the company demands the payment of US$1.5 billion.

ON EXPLORATION

  • Angel Wing Metals Inc. provided an exploration update on La Reyna project, in Nayarit. The exploration focus is on the El Polo-Dolorosa target area, where historic trench results include 21 m grading 5.01 gpt Au, 12.7 m grading 1.21 gpt Au and 15.52 m grading 0.92 gpt Au. “Principal prospects include the former El Polo open pit mine, and the Dolorosa, San Ramon, La Feña, and El Zorillo shallow workings. The Company intends on commencing a diamond drill program in Q4 of this year”. Exploration is focused on bulk tonnage size potential in altered and brecciated volcanic rocks with stockwork quartz veining. The first 2,500 m drill phase is to test five widely spaced prospects from near surface depths to 175 m.

ON MINING

  • Luca Mining Corp. updated on planned activities at its two mines in Mexico. At Campo Morado, in Guerrero, a mining contractor was hired to increase performance and exceed 2,000 tpd rates, improvements to metallurgy processes have been made and the first drilling program in over a decade is commencing. At Tahuehueto, in Durango, construction has been completed and commercial production is expected to be declared during Q4. A significant drilling campaign is to commence during the quarter. “Luca will commence repayments of its debt owed to Trafigura, from cashflow, in October 2024 under the terms of the restructured debt agreement”.

ON FINANCING

  • Aztec Minerals Corp. granted 1.57 M stock options to directors, management, and consultants of the company (Cervantes, Sonora).
  • GRSilver Mining Ltd. granted 97.5 K deferred share units (DSU) to non-executive directors for director’s fees to Q3 2024. eligible persons in accordance with the Omnibus Long-Term Incentive Plan. “Once vested, each DSU entitles the holder thereof to receive either one common share of the Company, the cash equivalent of one common share or a combination of cash and common shares, as determined by the Company, net of applicable withholdings” (Plomosas, Sinaloa).
  • Silver Spruce Resources Inc. proposed to consolidate its common shares on a 1:15 basis on its annual and special meeting on October 29, 2024 (Pino de Plata, Chihuahua).
  • Apollo Silver Corp. announced a non-brokered private placement for aggregate gross proceeds of up to C$10 M. Following the closing of the offering, the company intends to consolidated its issued and outstanding shares on a five to one basis. (Cinco de Mayo, Chihuahua).
  • Colibri Resource Corp. announced the extension of its non-brokered private placement to raise up to C$450 K, to close on or before November 3, 2024 (EP project, Sonora)

ON RESOURCES AND DEVELOPMENT

  • Vizsla Silver Corp. reported results from 11 holes targeting the Copala resource area at its Panuco project in Sinaloa. Highlighted true width intercepts comprise 2.88 m @ 0.45 gpt Au, 92 gpt Ag; 1.46 m @ 15.47 gpt Au, 1,935 gpt Ag; 0.55 m @ 6.26 gpt Au, 437 gpt Ag; 2.30 m @ 37.30 gpt Au, 2,851 gpt Ag; (including 1.05 m @ 73.10 gpt Au, 5,410 gpt Ag); 1.70 m @ 1.35 gpt Au, 238 gpt Ag; 5.80 m @ 14.85 gpt Au, 2,551, gpt Ag (including 0.46 m @ 146.50 gpt Au, 21,953 gpt Ag); 2.30 m @ 0.98 gpt Au, 79 gpt Ag; 4.15 m @ 3.29 gpt Au, 732 gpt Ag (including 1.37 m @ 7.56 gpt Au, 1,634 gpt Ag); 5.65 m @ 26.06 gpt Au, 3,007 gpt Ag (including 1.48 m @ 96.11 gpt Au, 10,869 gpt Ag); 0.65 m @ 1.99 gpt Au, 384 gpt Ag; 7.50 m @ 1.23 gpt Au, 222 gpt Ag; 4.90 m @ 1.06 gpt Au, 145 gpt Ag; 1.00 m @ 5.39 gpt Au, 874 gpt Ag; 0.90 m @ 12.05 gpt Au, 1,830 gpt Ag; 4.35 m @ 3.00 gpt Au, 781 gpt Ag (including 0.73 m @ 12.45 gpt Au, 2,990 gpt Ag). “Exploration and resource focused drilling at Copala has traced mineralization along ~1,770 metres of strike length and ~400 metres down dip”.
  • Gatos Silver Inc. updated on the drilling exploration programs in the 70%-owned Los Gatos district in Chihuahua. Positive results have been obtained on the Central Deeps target and the South-East Deeps zone at the Cerro Los Gatos mine, as well as key developments on the regional exploration program. Highlighted true width intercepts comprise 7.5 m @ 0.20 gpt Au, 101 gpt Ag, 0.17% Cu, 5.5% Pb, 11.1% Zn; 3.3 m @ 0.28 gpt Au, 153 gpt Ag, 0.08% Cu, 6.6% Pb, 17.5% Zn; 2.8 m @ 0.03 gpt Au, 40 gpt Ag, 0.22% Cu, 0.7% Pb, 3.0% Zn; 1.3 m @ 0.57 gpt Au, 151 gpt Ag, 0.09% Cu, 3.0% Pb, 3.8% Zn; 6.5 m @ 0.04 gpt Au, 47 gpt Ag, 0.26% Cu, 1.1% Pb, 2.4% Zn; 4.5 m @ 0.09 gpt Au, 88 gpt Ag, 0.52% Cu,1.8% Pb, 3.2% Zn; 7.8 m @ 0.17 gpt Au, 90 gpt Ag, 0.14% Cu, 4.9% Pb, 5.8% Zn; 4.4 m @ 0.20 gpt Au, 55 gpt Ag, 0.37% Cu, 3.4% Pb, 1.6% Zn, 2.8 m @ 0.07 gpt Au,122 gpt Ag, 0.56% Cu, 3.4% Pb, 9.5% Zn; 5.0 m 0.14 gpt Au, @ 126 gpt Ag, 0.35% Cu, 5.5% Pb, 15.8% Zn; 1.1 m @ 2.03 gpt Au. Drilling below the Central Zone has intercepted a new zone of mineralization, and the “latest results in the South-East Deeps zone show further extension potential to the south-east of the current mineral reserves in this area. Moreover, we continue to pursue the longer term potential across the broader Los Gatos district”.

ON DEALS AND CORPORATE ISSUES

  • Vizsla Silver Corp. held its annual general meeting, fixing the number of directors at seven persons, elected the directors for the ensuing year, re-appointed the auditor of the company and approved the company’s omnibus equity incentive compensation plan. (Panuco, Sinaloa).
  • Apollo Silver Corp. announced the appointment of Alex Tsakumis to its board of directors and of Amandip Singh as vice president, corporate development (Cinco de Mayo, Chihuahua).
  • Coeur Mining Inc. and SilverCrest Metals Inc. entered into a definitive agreement in which Coeur is to acquire all issued and outstanding shares of SilverCrest. All SilverCrest shareholders will receive 1.6022 Coeur common shares. The exchange ratio implies $11.34 per SilverCrest shares, representing an 18% premium and a total equity value of $1.7 billion based on SilverCrest’s shares outstanding. “Upon completion of the Transaction, existing Coeur stockholders and SilverCrest shareholders will own approximately 63% and 37% of the outstanding common stock of the combined company, respectively” (Palmarjo, Chihuahua; Las Chispas, Sonora).

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Drilling under the scarp in Sonora. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Third Week of September 2024

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 38th week of the year (September 16th to September 22nd, 2024), companies working in Mexico posted at least 15 press releases. Three companies informed on exploration advances on its properties, one company reported quarterly results, three companies notified on financing rounds, two companies granted stock options, one paid a loan facility, one commenced a drilling program on an advanced property, another announced appointments to the board and one more notified of its AGM results. ON MEXICO ISSUES, the Supreme Court is to review the case on the US$55 M fund paid by Grupo Mexico to unionized miners on the sale of the Cananea mine. ON EXPLORATION, in Sonora, Minaurum Gold released drilling results from its Alamos project. In Chihuahua, Radius Gold reported drilling results from Plata Verde. In Durango, Mithril Silver and Gold published results from drilling at Coplaquin. ON MINING, Starcore International Mines reported quarterly results. ON FINANCING, Vizsla Silver completed a bought deal public offering for C$65 M. Heliostar Metals granted stock options. GR Silver is increasing it private placement offering to $2.4 M. Orex Minerals granted incentive options. Sierra Madre Gold and Silver closed a private placement for US$500 K. Guanajuato Silver repaid a US$7.5 M loan facility to OCIM Metals & Minerals. ON RESOURCES AND DEVELOPMENT, Heliostar Metals commenced a 5,000 m drilling program at Ana Paula. ON DEALS AND CORPORATE ISSUES, Orex Minerals announced board changes. Santacruz Mining reported on its AGM. ON SOCIAL RESPONSIBILITY, Alamos Gold contributed to a health program and Mithril Gold and Silver on community support work.

ON MEXICO ISSUES

  • The Supreme Court is to review on October 9th, 2024 the demand by workers of the Sindicato Nacional de Trabajadores Mineros, Metalúrgicos, Siderúrgicos y Similares de la República Méxicana (a miners Union) on the return of a US$55 M fund created in 2005 on the sale of the Cananea mine to Grupo Mexico. If successful, the Union and its leader Napoleón Gómez Urrutia would have to source the amount to the workers. At the time, the Union leader informed that the money was owned by the Union, and was not to be distributed among the workers.

ON EXPLORATION

  • Minaurum Gold Inc. released the results of the first five holes of the 2024 program intended to establish an initial mineral resource at its Alamos silver project in Sonora. These holes totaled 1,286 m on two fences across the Promontorio vein zone, which includes the Veta Grande, Veta del 100 and Veta Las Guijas veins. “The West Promontorio vein zone is an underexplored vein zone located 100 m west of the Veta del 100 that was intersected in the 2024 drill program. The Promontorio Sur is the faulted-off, down-dropped, and underexplored southern extension of the Las Guijas vein”. Highlighted core length intervals comprise 1.25 m @ 151 gpt Ag, 0.03 gpt Au, 0.91% Cu, 1.6% Pb, 0.6% Zn (or 309 gpt AgEq); 0.70 m @ 2,431 gpt Ag, 0.26 gpt Au, 1.29% Cu, 7.4% Pb, 6.1% Zn (or 2,976 gpt AgEq); 1.05 m @ 196 gpt Ag, 0.37 gpt Au, 0.47% Cu, 0.2% Pb, 1.9% Zn (or 342 gpt AgEq); 5.60 m @ 200 gpt Ag, 0.48 gpt Au, 0.35% Cu, 1.5% Pb, 1.6% Zn (or 368 gpt AgEq); 2.55 m @ 350 gpt Ag, 0.78 gpt Au, 0.52% Cu, 3.1% Pb, 2.2% Zn (or 621 gpt AgEq); 8.45 m @ 78 gpt Ag, 0.37 gpt Au, 0.24% Cu, 2.6% Pb, 4.1% Zn (including 1.75 m @ 211 gpt Ag, 0.61 gpt Au, 0.53% Cu, 7.4% Pb, 10.9% Zn).
  • Radius Gold Inc. reported final drill results by its partner Fresnillo plc for the Plata Verde silver project in Chihuahua. The drill program comprised 13 holes for a total of 2,400 m, intersecting several zones of low-grade Ag mineralization, but no zones of significant mineralization.
  • Mithril Silver and Gold Ltd. announced results from drilling at its Copalquin District project in Durango. Highlighted core length intervals comprise 33.00 m @ 31.8 gtp Au, 274 gpt Ag (including 7.00 m @ 144 gpt Au, 1,162 gpt Ag, which includes 2.00 m @ 495 gpt Au, 3,765 gpt Ag); 1.00 m @ 12.65 gpt Au, 13 gpt Ag; 2.45 m @ 0.87 gpt Au, 53 gpt Ag; 9.60 m @ 0.23 gpt Au, 7 gpt Ag. The company also completed a 70 square Km LIDAR survey covering the project area, identifying a number of previously unknown mine workings.

ON MINING

  • Starcore International Mines Ltd. reported results for Q1, ended July 31, 2024. At San Martin, in Queretaro, Starcore milled 49.5 K tonnes grading 1.92 gpt Au, 20 gpt Ag, recovering 85.2% Au, 56.9% Ag, to produce 2,600 Oz Au, 18.3 K Oz Ag (or 2.8 K Oz AuEq) at cash cost US$1,608 per Oz AuEq.

ON FINANCING

  • Vizsla Silver Corp. completed the previously announced bought deal public offering for aggregate gross proceeds of C$65 M. The offering was led by Canaccord Genuity as sole bookrunner on behalf of itself and a syndicate of underwriters, including CIBC Capital Markets, Ventum Financial Corp., Raymond James Ltd., Stifel Nicolaus Canada Inc., National Bank Financial Inc., and BMO Capital Market (Panuco, Sinaloa).
  • Heliostar Metals Ltd. granted 4.67 M stock options and 1.18 M restricted share units to directors, officers, employees and consultants. Heliostar also entered into two advisory agreements with TSCG Capital Group and 3L Capital Inc. for financial advisory services (Ana Paula, Guerrero).
  • GRSilver Mining Ltd. is increasing its private placement offering to $2.4 M in gross proceeds (Plomosas, Sinaloa).
  • Orex Minerals Inc.  granted 909 K incentive stock options to directors and officers. (Coneto, Durango).
  • Sierra Madre Gold and Silver Ltd. closed its previously announced non-brokered private placement for aggregate gross proceeds of US$500 K (La Guitarra, Estado de Mexico).
  • Guanajuato Silver Corp. announced the complete repayment of its US$7.5 M Ag and Au pre-payment facility to Swiss-based OCIM Metals & Mining S.A., leaving the gold loan credit facility with Ocean Partners UK Ltd. as the only loan outstanding. This “facility is repayable in equal fixed monthly installments of gold totalling approximately 338 troy ounces per month for a period of 30 months which commenced in June 2024. Notably, Guanajuato Silver averaged monthly production of over 1600 ounces of gold and over 137,000 ounces of silver during the first half of 2024” (El Cubo, Guanajuato).   

ON RESOURCES AND DEVELOPMENT

  • Heliostar Metals Ltd. commenced a 5,000 m diamond drill program at Ana Paula, in Guerrero. The 2,600 m seven holes Phase 1 program focus on extending the High Grade Panel and Parallel Panel to the west, testing also the downdip extension of the High Grade Panel. Phase 2 consists of eight holes totaling 2,400 m, targeting the eastern and western extensions of the High Grade Panel.

ON DEALS AND CORPORATE ISSUES

  • Orex Minerals Inc. announced the resignation of Ben Whiting as President, CEO and Director of the company, and of Art Freeze as director. Later during the week Orex announced the appointment of John Eren as CEO and member of the board, and the appointment of Chris Beltgens as a member of the board (Coneto, Durango).
  • Santacruz Silver Mining Ltd. reported that all matters were approved at the company’s AGM held on September 16, 2024 (Zimapan, Hidalgo).

ON SOCIAL RESPONSIBILITY

  • Alamos Gold Inc. announced a significant contribution to The Princess Margaret Cancer Foundation to create the new Alamos Gold Chair in Gastrointestinal Surgical Oncology.
  • Mithril Gold and Silver Ltd. stated that part of its ESG commitment includes “the municipal access road, connecting to the township of El Durazno 12 km east of the Copalquin District, with support for the municipal upgrade works scheduled for commencement in Q3 2024.

On the image below: Chloritized porphyritic diorite, HQ core. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 36th week of the year (September 2nd to September 8th, 2024), companies working in Mexico posted at least 17 press releases. One company informed on exploration advances on its property, one company closed a financing tranche and one other its intentions to make a private placement. A company granted stock options, one other informed on the purchase of debentures and one more on the inclusion of its stock in another index. Two companies released drilling results from its advanced properties, one more of the inclusion of a satellite deposit on its mining plans and one other on the test mining and processing of an historical operation. A company informed on the agreement to acquire another enterprise with a mining operation and a good land package. One company appointed a director, one other informed on the sale of its Mexican assets, and one other on the optioning of an interesting property. ON MEXICO ISSUES, the USA’s House of Representatives sent a letter to its Commercial Representative urging to seek assurance from the Mexican outgoing and incoming government to not pass rules on the proposed constitutional reforms that infringe T-MEC’s rules. ON EXPLORATION, In Durango, Silver Wolf commenced drilling at Ana Maria. ON MINING, no relevant news. ON FINANCING, Guanajuato Silver granted 330 K options. Argonaut Gold announced the total value of debentures to be purchased is US$58.2 M. Capstone announced its addition to another Stock Index. Colibri Resource closed a first tranche of private placement for $305 K. Luca Mining is seeking a “best efforts” private placement for C$8.5 M. ON RESOURCES AND DEVELOPMENT, Prime Mining reported expansion drilling results at Panuco, in Sinaloa. Alamos Gold reported surface drilling results for Cerro Pelon and Puerto del Aire, at the Mulatos district in Sonora, seeking to augment resources for underground mining. Torex Gold reported an updated mining plan to include the EPO deposit at the Morelos Complex in Guerrero, which is to allow mining at a 450 K Oz Au yearly rate up to at least 2030. Sierra Madre Gold and Silver updated on test mining and processing at its La Guitarra mine in Estado de Mexico. ON DEALS AND CORPORATE ISSUES, Chesapeake Gold engaged automated market making services. Guanajuato Silver Company appointed a director. The note of the week was the announcement of the merger of Gatos Silver and/by First Majestic Silver. Riverside Resources optioned the Union property to Questcorp. Golden Minerals informed on the state of affairs of its Mexican assets. ON SOCIAL RESPONSIBILITY, Discovery Silver released its 2023 ESG report.

ON MEXICO ISSUES

  • An influential group in the USA’s House of Representatives sent a letter to Katherine Thai, Commercial Representative of USA urging her involvement with the actual president of Mexico, the elected president Claudia Sheinbaum and the recently installed Congress, to assure the proposed reforms by the actual president do no go against obligations under the T-Mex (formerly NAFTA). “We recognize the sovereign right of each government to update its constitution and deeply value the strong partnership between the United States and Mexico. However, many of the proposed reforms appear to compromise US investors’ access to a stable, predictable and impartial regulatory framework”. Of the ten signatories, nine are members of the Ways & Means Committee, which plays a crucial role in overseeing the implementation of the USMCA in the House of Representatives.

ON EXPLORATION

  • Silver Wolf Exploration Ltd. announced the commencement of drilling on the El Soldado claim at the Ana Maria project in Durango. The 2,500 m program envisages the drilling of 15 holes, targeting classic carbonate replacement deposits.

ON MINING

  • No Relevant News.

ON FINANCING

  • Guanajuato Silver Company Ltd. granted stock options to purchase 300 K shares at $0.25 (El Cubo, Guanajuato).
  • Argonaut Gold Inc. announced that more than 90% of its outstanding 4.625% senior unsecured convertible debentures were tendered to the offer to purchase de debentures launched by the company on July 24, 2024, in connection with the acquisition of all of the issued and outstanding common shares of Argonaut by Alamos Gold Inc. The total value of the debentures to be purchased or redeemed is expected to be US$58.2 M (La Colorada, Sonora).
  • Capstone Copper Corp. announced that the CHESS Depositary Interests (CDI) of the company will be added to the Standard & Poors/ASX 300 Index by the S&P Dow Jones (Cozamin, Zacatecas).
  • Colibri Resource Corp. closed the first tranche of its previously announced non-brokered private placement for aggregate proceeds of C$305 K. Certain insiders of the company acquired an aggregate of 550 K units of the offering for gross proceeds of C$27.5 K. Colibri also sold its RC drill rig to a private company in Hermosillo for a total consideration of C$395 K consisting in cash and drill credits. “A portion of the proceeds is expected to be applied to an upcoming drilling program at the EP Gold Project where the Company intends to complete its first drilling program at the high priority San Perfecto target”.
  • Luca Mining Corp. entered into an agreement with Stifel in connection with a “best efforts” private placement for aggregate proceeds of C$8.5 M, with the LIFE Units to be issued pursuant to the listed issuer financing exemption (LIFE). “The net proceeds from the Offering are expected be used for ongoing work on the Campo Morado Improvement Program, exploration drilling at both Campo Morado and Tahuehueto, commissioning of the Tahuehueto mill and for general corporate purposes”.

ON RESOURCES AND DEVELOPMENT

  • Prime Mining Corp. reported expansion drilling results from the Z-T Trend at its Los Reyes project in Sinaloa. Highlighted true width intercepts comprise 10.5 m @ 2.63 gpt Au, 522 gpt Ag (including 8.0 m @ 2.89 gpt Au, 572 gpt Ag); 4.1 m @ 2.87 gpt Au, 130 gpt Ag (including 2.1 m @ 5.23 gpt Au, 218 gpt Ag); 4.6 m @ 2.92 gpt Au, 49 gpt Ag (including 2.7 m @ 4.84 gpt Au, 57 gpt Ag); 4.1 m @ 2.88 gpt Au, 6 gpt Ag (including 0.7 m @ 12.95 gpt Au, 20 gpt Ag); 2.3 m @ 4.08 gpt Au, 12 gpt Ag (including 0.6 m @ 13.40 gpt Au, 40 gpt Ag). These intercepts highlight the potential to discover more high-grade shoots for underground development below and away from the planned pit.
  • Alamos Gold Inc. reported results from ongoing surface exploration drilling on Puerto del Aire (PDA) and Cerro Pelon, within the Mulatos District in Sonora. Drilling at Cerro Pelon is following up on wide high-grade underground oxide and sulphide intersections below the open pit. Also, surface drilling has extended high-grade mineralization across multiple zones within the PDA area. Highlighted true width intercepts comprise 27.90 m @ 5.45 gpt Au; 6.46 m @ 12.47 gpt Au (including 1.09 m @ 58.10 gpt Au); 15.82 m @ 4.79 gpt Au; 15.40 m @ 4.46 gpt Au; 12.16 m @ 5.64 gpt Au; 9.81 m @ 5.77 gpt Au; 13.85 m @ 4.01 gpt Au at Cerro Pelon, 18.05 m @ 5.77 gpt Au at the GAP-Victor Zone, 28.40 m @ 3.03 gpt Au; 5.50 m @ 6.63 m at the PDA3 Zone and 0.90 m @ 36.20 gpt Au; 5.05 m @ 3.51 gpt Au; 4.20 m @ 4.16 gpt Au at the PDA Extension Zone. At Cerro Pelon high-grade Au-Ag mineralization is in pipe-like geometries at the intersection of hundred of meters long structures, 50 to 200 m below the pit bottom. “PDA is a higher-grade underground deposit located adjacent to the main Mulatos pit and is comprised of multiple mineralized zones including PDA, Gap, Victor, and Estrella … A development plan for PDA will be released … based on Mineral Reserves as of the end of 2023.”
  • Torex Gold Resources Inc. reported “an updated life-of-mine plan for the Morelos Complex which incorporates the EPO underground deposit following completion of an internal pre-feasibility study on the deposit”. The production profile is now established at a minimum of 450 K Oz AuEq per year through 2030 on the mineral reserve case alone. EPO’s upfront capital expenditures are estimated at $81.5 M, by leveraging the investment made in infrastructure part of the Media Luna project. The EPO project hosts probable reserves of 5 M tonnes @ 2.27 gpt Au, 29.8 gpt Ag, 1.29% Cu (or 4.83 gpt AuEq), containing 367 K Oz Au, 4.8 M Oz Ag, 143 M Lb Cu (or 781 K Oz AuEq), indicated resources (inclusive of mineral reserves) of 7 M tonnes @ 2.66 gpt Au, 30 gpt Ag, 1.27% Cu (or 5.14 gpt Au), containing 597 K Oz Au, 6.7 M Oz Ag, 195 M Lb Cu (or 1.15 M Oz AuEq) and inferred resources of 5 M tonnes @ 2.00 gpt Au, 37 gpt Ag, 1.24 % Cu (or 4.52 gpt Au), containing 318 K Oz Au, 5.9 M Oz Ag, 136 M Lb Cu (or 721 K Oz Au). “Development of EPO is anticipated to commence in mid-2025 with first ore production expected in late 2026. EPO will be accessed via a 650 m ramp off the Guajes Tunnel with ore transported back to the ore handling system at Media Luna via a 1,000 m truck haulage tunnel”. For an interesting review on the geology of the EPO deposit, please take a look to the press release.
  • Sierra Madre Gold and Silver Ltd.  updated on the progress of test mining and processing at the Guitarra mine complex in Estado de Mexico. A total of 20.4 K tonnes have been processed on the flotation plant since late June at a rate of 300 tpd, and 335 tonnes of dry concentrate have been shipped. Test mining began with development from the La Guitarra mine, transitioning to in situ material. Production of back fill material from stopes mined in the 1990’2 and 2000’s was increased as planned. Once emptied, these stopes will receive the tailings paste fill.     

ON DEALS AND CORPORATE ISSUES

  • Chesapeake Gold Corp. engaged the services of ICP Securities Inc. to provide automated market making services (Metates, Durango).
  • Guanajuato Silver Company Ltd. welcomed Juan Martin Peña to the role of VP operations in Mexico. The company also announced the retirement of the father and son team of Gerardo and Hernan Dorado to pursue new business interests (El Cubo, Guanajuato).
  • Golden Minerals Co. “the Company sold its wholly-owned Mexican subsidiary, Minera Labri S.A. de C.V. (“Minera Labri”), to a private Mexican company for approximately US$445,500. Minera Labri previously owned the Velardeña Properties’ Plant 1, which together with the Velardeña mines, was sold to another privately-held Mexican group earlier in 2024. Upon consummation of that transaction, Minera Labri held no assets but held net operating losses and inflation-adjusted capital contributions. Under Mexican law, the balance of Minera Labri’s capital contribution accounts (“CUCAs”) may be bought and sold. All funds related to the sale of the CUCAs have now been received and are expected to be deployed to reduce existing liabilities of the Company and its subsidiaries.
  • First Majestic Silver Corp. and Gatos Silver Corp. entered into a definitive merger agreement pursuant to which First Majestic will acquire all of the issued and outstanding common shares of Gatos Silver. “The proposed Transaction implies a total equity value for Gatos of approximately US$970 million. Following completion of the Transaction, existing Gatos shareholders will own approximately 38% of First Majestic shares on a fully-diluted basis.” Consolidates the Santa Elena, San Dimas and Cerro Los Gatos districts under one banner, with a combined annual production of 30-32 M Oz AgEq including 15-16 M Oz Ag at an AISC of US$18.00-US$20.00 per Oz AgEq. The deal adds 103 K hectares of really prospective ground to the 245 K hectares First Majestic already holds in Mexico.
  • Riverside Resources Inc. and Questcorp Mining Inc. entered into a letter of intent (LOI) granting an option to Questcorp for the acquisition of 100% interest in the La Union project in Sonora. Riverside will receive C$100 K and 19.9% interest in the ownership of Questcorp upon investing C$5.5 M in the project. The envisaged deal includes payment of C$100 K in four years, 19.9% in shares and C$5.5 M on exploration expenditures. Riverside will retain a 2.5% NSR royalty on commercial production of the property. Union is a carbonate-hosted gold district with high grade gold-zinc in a 22 square km land package.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Chloritized porphyritic diorite with variable grain size and oriented crystals, HQ core. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

By Jorge Cirett                                              During the 34th week of the year (August 19th to August 25th,2024), companies working in Mexico posted at least 20 press releases. Three companies informed on exploration advances on their properties, three companies provided operational/financial results for the quarter, one informed on a major mill repair and one more on a mandated suspension of activities. One company granted stock options, one drew a final loan, one informed on its TSX listing and one more on a short base prospectus. One company released a revised PEA on its property and one more informed on district wide exploration and regional exploration plays. ON MEXICO ISSUES, the ambassadors of USA and Canada made clear their opposition to the judicial reform proposed by the sitting Mexican president. ON EXPLORATION, In Sonora, Colibri Resource reported on exploration at its El Plomo property in Sonora. In Chihuahua, Radius Gold informed on drilling results at Plata Verde. In Guerrero, Pantera Silver is evaluating options to restart exploration at its Nuevo Taxco project. ON MINING, Endeavour Silver informed on the repair of a mill and temporary measures to keep production ongoing at Guanaceví, in Durango. Starcore International, Sailfish Royalty and Impact Silver informed on quarterly production/financial details. Starcore International suspend mining operations at San Martin in Queretaro on safety grounds after a government inspection. ON FINANCING, Barksdale Resources granted stock options. Bear Creek Mining drew a final US$750 K from a promissory note. Vizsla Royalties is now listing in the TSX. Guanajuato Silver Company filed a final short base prospectus to offer up to US$65 M. ON RESOURCES AND DEVELOPMENT, Oroco Resources released a revised PEA on Santo Tomás, in Sinaloa. Vizsla Silver provided an update on its exploration plans at its Panuco project and two more regional plays in Sinaloa. ON DEALS AND CORPORATE ISSUES, Barksdale Resources appointed Dr. Quinton Hennigh to its board. Ranchero Gold signed a LOI on the sale of the Santa Daniela project in Sonora. Atacama Copper is changing its name to Fuerte Metals. ON SOCIAL RESPONSIBILITY, Discovery Silver released its 2023 ESG report.

ON MEXICO ISSUES

  • Ken Salazar, USA ambassador in Mexico released a letter on which criticizes the Mexican president’s proposal for reform of the Judicial system. The ambassador pointed out the problems that will arise if the proposal is passed as is, bringing a major risk to democracy in Mexico and threaten the historic trade relationships with USA. (Note by editor. – The proposal envisages the selection system for federal judges and magistrates changing from one based on professional examinations to one based on the popular vote, among other bizarre directives aimed to control the judiciary system by the executive branch).
  • Graeme Clark, Canada ambassador in Mexico stated that Canadian investors are at crossroads before the probable passing in Congress of the Judicial Reform proposed by the sitting president AMLO. According to CanCham (Cámara de Comercio de Canadá en México) 40% of Canada’s investments in Mexico are on the mining sector.  

ON EXPLORATION

  • Pantera Silver Corp. is currently evaluating options to restart exploration at the Nuevo Taxco project in Guerrero. “…work will likely focus on initial sampling and mapping in the “Southwest Zone” of the Nuevo Taxco concession”. Pantera Silver is pursuing potential acquisitions, aiming to build a portfolio of 2-3 high-quality projects, focused on silver.
  • Colibri Resource Corp. reported results of geological mapping and outcrop sampling on 4,766 ha El Plomo property at the EP project, located 25 km east of Fresnillo plc´s La Herradura mine. At the San Perfecto target mineralization is hosted by a silicified and sericitized moderately to strongly foliated diorite with quartz micro-veinlets in higher-grade samples. Of 29 rock samples recently collected, 14 returned more than 0.1 gpt Au, 9 greater than 0.5 gpt Au and 6 with more than 1.0 gpt Au. More than 616 historical samples yielded results with over 50% above 0.1 gpt Au and 15% with more than 1 gpt Au, peaking at 58.9 gpt Au. “The footprint of mineralization at San Perfecto is now approximately 1,250 m by 700m”. At La Culebra target 34 grab samples were collected, with 14 returning more than 0.1 gpt Au and five more than 1.0 gpt Au peaking at 4.64 gpt Au. “Mineralization is hosted by rusty zones which were mapped over a 650 m strike length in a northeast direction and coincident with an andesite-rhyolite contact”.
  • Radius Gold Inc. announced initial results on the exploration program at Plata Verde, in Chihuahua. The first four holes cut several zones of low-grade Ag mineralization “and indicate limited potential for an economic discovery in the eastern extension of silver mantos”. Assays are pending on four holes in the western side of the valley, with thicker favorable basaltic rock and improved visual mineralization. The most recent hole located further northwest “intersected visually improved results, cutting through greater width of basaltic host and encountering visibly the most attractive mineralization seen so far in this drilling program”. The JV partnership is extending the planned program, adding three additional drill holes.  

ON MINING

  • Endeavour Silver Corp. informed processing resumed at the Guanacevi mine in Durango, after the primary ball mill trunnion failure. Temporary modifications re-purposed one of the re-grind mills as the primary ball mill, which is running at 400 tpd (name plate capacity 1,200 tpd) during this temporary phase. “Contract mining activities and local third-party material purchases will cease until the process plant operations have returned to full capacity”. Initial quotes obtained point to a 16-weeks fabrication and installation period. During this period Guanacevi production is estimated to decrease by 0.9 M to 1.1 M Oz Ag and by 2,000 to 3,000 Oz Au.
  • Starcore International Mines Ltd. announced production results for the first fiscal quarter ended July 2024. At San Martin, in Zacatecas, 49.5 K tonnes were milled, averaging 1.92 gpt Au, 20 gpt Ag, recovering 85.2% Au, 56.9% Ag, to produce 2,841 Oz AuEq. Starcore expects to start industrial testing of carbonaceous ore in September.
  • Impact Silver Corp. announced financial and operating results for the second quarter of 2024. The company’s revenue in the quarter was C$7.7 M, also during the period a non-brokered “LIFE” and a private placement of C$8.6 M were completed, holding C$9.9 M in cash by the end of the quarter. At Zacualpan, in Estado de Mexico, 35.1 K tonnes averaging 161 gpt Ag were processed to produce 152.2 K Oz Ag. Over the last six months 5,243 m of drilling have been completed at Zacualpan. At Plomosas, in Chihuahua, 9.26 K tonnes were milled during the period, and the company expects to end the third quarter with a production rate in the 150-170 tpd range. Over the first half of the year the average grade has been 14% Zn, 8.7% Pb, 43.7 gpt Ag; during the same period 14,377 m of drilling have been completed.
  • Sailfish Royalty Corp. announced its operating and financial results for the second quarter 2024, from its operations outside Mexico (Gavilanes, Durango).
  • Starcore International Mines Ltd. suspended temporarily mining operations at its San Martin mine in Queretaro. “An unscheduled inspection at the mine conducted by the Mexican Labor Department identified safety standards that need to be met before resuming operations. The inspection followed a recent singular fatality at the mine, the first one in 18-1/2 years of Starcore’s record of zero fatalities in its mining operations at San Martin”.

ON FINANCING

  • Barksdale Resources Corp. granted stock options to certain directors, officers, employees and consultants of the company to acquire 5 M common shares (San Javier, Sonora).
  • Bear Creek Mining Corp. announced the drawn down of US$750 K in funds related to the promissory note issued to the company to Sandstorm Gold Ltd., and under which Sandstorm can elect convert the amounts drawn into common shares of Bear Creek. An aggregate of US$2.62 M has been drawn down under the additional credit for a total principal amount of US$21.64 M (Mercedes, Sonora).
  • Vizsla Royalties Corp. is now listing on the TSX Venture Exchange as a Tier 2 issuer and its shares are expected to commence trading on August 26, 2024 (Panuco, Sinaloa).
  • Guanajuato Silver Company Ltd. filed and received a receipt for a final short base prospectus that allows the company to offer up to US$65 M of common shares, debt securities, warrants, subscription receipts, share purchase contracts and units during the 25-months period that the prospectus is effective (El Cubo, Guananjuato).

ON RESOURCES AND DEVELOPMENT

  • Oroco Resources Corp. announced a revised preliminary economic assessment (PEA) and updated mineral resource estimate for the North and South zones of its Santo Tomas project in Sinaloa. The study envisages a NPV (8%) of US$2.64 B pre-tax and US$1.48 B post-tax, an internal rate of return of 30.3% pre-tax, and 22.2% post-tax, total LOM (life on mine) production of 4.8 B Lb Cu, a pre-tax payback of 2.9 years, post-tax payback of 3.8 years from first concentrate production. Estimated initial capital costs of US$1.1 B and sustaining and expansion capital costs at US$1.73 B. producing at cash cost US$1.54 per Lb Cu on by-product basis, with average CuEq grade of 0.51% on the first 7 years of production. The Santo Tomas deposit has 540.6 M tonnes @ 0.33% Cu, 0.008% Mo, 0.028 gpt Au, 2.1 gpt Ag as indicated resources containing 3.98 B Lb Cu, 95.4 M Lb Mo, 483.4 K Oz Au, 36.5 M Oz Ag and 530.8 M tonnes @ 0.31% Cu, 0.007% Mo, 0.023 gpt Au, 1.9 gpt Ag as inferred resources, containing 3.67 B Lb Cu, 84.4 M Lb Mo, 387.1 K Oz au, 33.2 M Oz Ag.
  • Vyzsla Silver Corp. provided an update on resource potential expansion potential and outline its exploration plans at its Panuco project in Sinaloa. The key exploration objectives for 2024 include 10,000 m of exploration drilling in the central-east area of the district, completing +5,000 m of resource expansion drilling in Copala Central, complete VTEM, airborne mag and radiometric surveys on 950 line-km, advance mapping coverage to 70% of the district and finish an updated resource estimate in Q4 2024. Exploration in the district central and east areas already has a handful of targets with outcropping silver mineralized veins. Two greenfields projects to explored include La Garra-Metates district, covering 16,962 ha, located 32 km NW from Panuco and San Enrique, adjacent to the south of Panuco and covering 10,667 ha. 

ON DEALS AND CORPORATE ISSUES

  • Barksdale Resources Corp. appointed Dr. Quinton Hennigh to its board of directors (San Javier, Sonora).
  • Ranchero Gold Corp. entered into a letter of intent (LOI) to sell its Mexican subsidiary Minera y Metalurgica Paika, S.A. de C.V. to an arm’s length party purchaser for nil consideration. The sale includes water rights and four mining concessions covering 16,876 ha on the Santa Daniela project, in Sonora, and a conditional payment of US$2.5 M that will offset liabilities in Paika of $3.55 M of land fee payments and accrued interest due, along with a potential finder’s fee related to the conditional payment.
  • Atacama Copper Corp. has changed its name to Fuerte Metals Corp., with its shares expected to commence trading under the new name on August 26, 2024 (Cristina, Chihuahua).

ON SOCIAL RESPONSIBILITY

  • Discovery Silver Corp. released its 2023 environmental, social and governance (ESG) report, highlighting purchases for $19.2 M in goods and services from Mexican businesses, $5.0 M paid in salaries and benefits to 69 local employees, of which 85% are local; $195 K of direct community investments and 21.1 GJ of renewable solar energy (Cordero, Chihuahua).

On the image below: Strong chlorite-epidote alteration in intrusive rock with two parallel quartz veinlets, one bearing molybdenite, HQ core. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 32nd week of the year (August 5th to August 11th, 2024), companies working in Mexico posted at least 25 press releases. One company informed on exploration advances on a mining property, eleven companies provided operational/financial results for Q2 2024 and one hired a contractor for mining activities. One company closed the final tranche of its private placement. Four companies announced board appointments, one signed a LOI to acquire an AI company, another company received a cease trade order, two companies announced their merger and one more the amendment of an option on a property.  ON MEXICO ISSUES, no relevant news. ON EXPLORATION, In Sonora, Riverside Resources completed an aeromagnetic drone survey on Cecilia. ON MINING, Aura Minerals, Gold Resource, Fortuna Mining, Torex Gold, Pan American Silver, SilverCrest Metals, Coeur Mining, GoGold Resources, Equinox Gold, US Antimony and Sierra Metals presented second quarter 2024 reports. Luca Mining engaged a contractor to carry out core mining operations at Campo Morado. ON FINANCING, Heliostar Metals closed the final tranche of its non-brokered private placement. ON RESOURCES AND DEVELOPMENT, no relevant news. ON DEALS AND CORPORATE ISSUES, Golden Minerals, Aura Minerals, GR Silver and US Antimony announced board appointments. Tarachi Gold signed a LOI on the acquisition of AI company Prospector Portal Inc. Xali Gold received a cease trade order. Reyna Silver is to acquire all shares of Reyna Gold. Sonoran Desert Copper amended the option on Cuatro Hermanos project. Galore Resources announced a status report on its cease trade order. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • No Relevant News.

ON EXPLORATION

  • Riverside Resources Inc. completed with Fortuna Mining Inc. the acquisition and interpretation of an aeromagnetic drone survey at its Cecilia project in Sonora. The UAV magnetic data covers the entire 60 Km2 property, aiding to interpret and refine previous targets identified by Riverside.

ON MINING

  • Aura Minerals Inc. filed financial statements for Q2 2024, including guidance figures for its Mexican operations. At Aranzazu, in Zacatecas, 24,692 Oz Au Eq were produced during the period. Guidance at Aranzazu for the full year is 94 K to 108 K Oz AuEq at a cash cost between $826 and $1,009 per Oz AuEq and an AISC of 1,089 to $1,331 per Oz AuEq.
  • Luca Mining Corp. engaged Cominvi S.A. de C.V. to carry out core mining operations at its Campo Morado mine in Guerrero. Luca Mining intends to increase mill throughput from the current 1,400-1,600 tpd to 2,000 tpd by year end, ultimately aiming to reach 2,400 tpd mill rate in 2025.
  • Gold Resource Corp. announced second quarter operational results from its Don David Gold mine in Oaxaca. During the period 93,687 K tonnes were milled, averaging 1.27 gpt Au, 102 gpt Ag, 0.26% Cu, 1.0 % Pb, 2.59% Zn, to produce 2,947 Oz Au, 263 K Oz Ag, 181 tonnes Cu, 616 tonnes Pb, 2,020 tonnes Zn (or 5,625 Oz AuEq).
  • Fortuna Mining Corp. reported its financial and operating results for the second quarter of 2024, including figures from its operations in Mexico. The company’s consolidated production was 92,716 Oz Au, 990.6 K Oz Ag in the period. At San José, in Oaxaca, 176.2 K tonnes were milled at a rate of 1,980 tpd, averaging 140 gpt Ag, 1.09 gpt Au, recovering 87% Ag, 85% Au, to produce 684.2 K Oz Ag, 5,269 Oz Au, at a cash cost of $24.91 and an AISC of $27.55 per Oz Ag. “The San Jose Mine has less operational flexibility in 2024 compared to 2023, due to the reduced and more dispersed Mineral Reserves associated with the Trinidad deposit, which also increased mine costs. Ore processed decreased by 10% due to lower tonnes mined”.
  • Torex Gold Resources Inc. reported its financial and operational results for Q2 2024. At its Morelos mine complex in Guerrero, the company produced 113,822 Oz Au (recovering 90.5% Au) at cash cost $1,014 per Oz Au and an AISC of $1,239 per Oz Au. The company ended the quarter with $108.7 M in cash and $237.1 M available on credit facilities. The Media Luna project is 78% complete, with commissioning expected late in 2024.
  • Pan American Silver Corp. announced results for Q2 2024, including figures from its Mexican operations. At La Colorada, in Zacatecas, 835 K Oz Ag, 500 Oz Au were produced at cash cost $15.30 and an AISC of $17.09. At Dolores, in Chihuahua, 440 Oz Au, 18,100 Oz Ag were produced at cash cost $1,113 per Oz Au and an AISC of $2,496 per Oz Au. “At La Colorada, Pan American invested $9.8 million on project capital in Q2 2024, largely for exploration and engineering on the Skarn project, and to complete the new ventilation infrastructure for the operating mine”. The company expects to end the year with a 2,000 tpd production rate at La Colorada.
  • SilverCrest Metals Inc. released its financial results for Q2 2024. At Las Chispas, in Sonora, 100 K tonnes were mined, 110.6 K tonnes milled at an average rate of 1,216 tpd, averaging 4.36 gpt Au, 418 gpt Ag, recovering 98.6% Au, 98.3% Ag, to produce 15,303 K Oz Au, 1.46 M Oz Ag at cash cost $8.87 per Oz Ag and an AISC of $16.88. At the end of the period the company had $98.3 M in cash and $24 M in bullion.
  • Coeur Mining Inc. reported second quarter results for the second quarter 2024, including figures from its Mexican operations. At Palmarejo, in Chihuahua, 429.6 K tonnes were milled during the period, averaging 2.05 gpt Au, 139.7 gpt Ag, recovering 89.9% Au, 82.8% Ag, to produce 25,467 Oz Au, 1.6 M Oz Ag, at CAS $1,006 per Oz Au and CAS $15.24 per Oz Ag. During the quarter Coeur bought adjacent Fresnillo plc mining concessions, increasing the area of the project to over 16,100 hectares. Full-year 2024 production is expected to be 95,000 – 103,000 Oz Au, 5.9 – 6.7 M Oz Ag.
  • GoGold Resources Inc. announced financial results for the quarter ending on June 30, 2024. During the period GoGold produced 138.7 K Oz Ag, 2,436 Oa Au, 148 tonnes Cu, 125 tonnes Zn (or 400.2 K Oz AgEq) at cash cost $18.54 per Oz AgEq and AISC of $24.59 per Oz AgEq. The company had US$76.4 M in cash by the end of the quarter.
  • Equinox Gold Corp. announced its second quarter 2024 summary financial and operating results, without specifying figures by operation. The company produced 122,221 Oz Au during the period. For 2024 guidance calls for 665 – 750 K Oz Au, at cash cost $1,305 – $1,405 per Oz Au, and an AISC of $1,635 to $1,735 per Oz Au. At Los Filos in Guerrero, 2024 guidance is 155 -175 K Oz Au, at cash cost $1,785 – $1,855 per Oz Au and AISC of $2,090 – $2,190 per OZ Au. “The Los Filos team is in a dialogue process with the three communities where the mine is located, with the goal of reaching new land access agreements with each of them in a collaborative and transparent way. These new agreements are necessary to help ensure the long-term economic and investment viability of the mine, including the addition of a new CIL processing plant. If the Company is unable to satisfactorily complete these agreements, the Company will re-evaluate the current operation and may elect to cease operations”.
  • United States Antimony Corp. reported its second quarter 2024 financial and operational results. During the quarter the company completely shut down its operational activities in Mexico. “The historical cash drain of these operations on the Company ceased with this decision”. At the end of the period US Antimony had $12.4 M in cash (Los Juarez, Queretaro).
  • Sierra Metals Inc. reported consolidated financial results to the end of June 2024. During the quarter the sale of the Cusi mine in Chihuahua was completed, for $2.5 M in cash and a 2% NSR. On the period cash cost at Bolivar, in Chihuahua, was $2.76 per Lb CuEq, and AISC $3.53 per Lb CuEq. The company will continue the construction of the new tailings dam at Bolivar, which will allow the increase of production to 7,500 tpd. Guidance at Bolivar in 2024 is 23.9 M to 27.6 M Lb Cu, 650 K to 750 K Oz Ag, 8,000 to 9,200 Oz Au. Sierra Metals had cash and cash equivalents of $22.5 M at the end of June.

ON FINANCING

  • Heliostar Metals Ltd. closed the final tranche of its non-brokered private placement for gross proceeds of $500 K and a total aggregate of gross proceeds of $4.98 M (Ana Paula, Guerrero).

ON RESOURCES AND DEVELOPMENT

  • No Relevant News.

ON DEALS AND CORPORATE ISSUES

  • Golden Minerals Co. announced the retirement of Julie Wiedman, senior vice president and chief financial officer, and the appointment of Joe Dwyer as chief financial officer (CFO) (Yoquivo, Chihuahua).
  • Aura Minerals Inc. announced organizational changes, including some that affect its operations in Mexico. Enrique Rangel, current director of operations at the Aranzazu mine in Zacatecas, takes on the role of director of technical services in corporate, serving all units. Wilton Muricy, current director of operations at Minosa, takes on the role of director of operations at Aranzazu. Francisco do Carmo, current technical services manager at Aranzazu, assumes the role of director of operations at Minosa.
  • GR Silver Mining Ltd. announced the appointment to its board of directors of Mr. Brent McFarlane and Ms. Jessica van den Akker (Plomosas, Sinaloa).
  • Tarachi Gold Corp. signed a non-binding agreement letter of intent (LOI) to acquire all of the outstanding shares of Prospector Portal Inc. in a transaction that would transform Tarachi into an artificial intelligence-focused mining services company. “The LOI contemplates a post-Transaction ownership of Tarachi (“New Tarachi”) that would be approximately 85% held by current Prospector shareholders and 15% held by current Tarachi shareholder” (Tarachi, Sonora).
  • Xali Gold Corp. was advised by the British Columbia Securities Commission of a cease trade order as a result of Xali Gold’s delay in “filing its audited annual financial statements, accompanying management discussion and analysis, and CEO and CFO certifications for the financial year ended March 31, 2024” (El Oro, Estado de Mexico).
  • United States Antimony Corp. announced the appointment of Fred L. “Pete” Bunger as technical advisory director to the board (Juarez, Queretaro).
  • Reyna Silver Corp. entered into an agreement with Reyna Gold Corp. on which Reyna Silver is to acquire all of the issued and outstanding common shares of Reyna Gold (Guigui, Chihuahua; La Gloria, Sonora).
  • Sonoran Desert Copper Corp. amended the option to purchase the Cuatro-Hermanos project in Sonora. Under the revised option a large claim was terminated, with option payments reduced by $200 K and mining concession taxes by $238.6 K in 2024 and $603.6 K in 2025. The property holds NI-43-101 indicated and inferred resources for 643 M tonnes @ 0.19% Cu, 0.02% Mo (Cuatro Hermanos, Sonora).
  • Galore Resources Inc. “announces a status report with regards to the Company’s news release dated July 31, 2024 disclosing the Company’s application for a Management Cease Trade Order (“MCTO”), which was issued by the BC Securities Commission on July 30, 2023” No material change has occurred in the information contained in the default of a financial statement filing requirement. Galore expects to file its yearly financial statements, management discussion and analysis on September 27, 2024 (Dos Santos, Zacatecas).

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Strong chlorite-epidote alteration in intrusive rock in a Sonoran Desert project, HQ core. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 28th week of the year (July 8th to July 14th, 2024), companies working in Mexico posted at least 25 press releases. One company informed on exploration advances on its property and nine companies provided operational results for Q2 2024. One company increased the size of a previous offering, one more was notified of its lack of compliance by the NYSE and one more established an at the market equity distribution program. Four companies released drilling results from their advanced properties, and one more completed a drilling program. Three companies announced management appointments, two the authorization for their merger and one provided information on payments to governments. ON MEXICO ISSUES, Mexico fell spectacularly on the Fraser’s ranking of mining competitiveness. Camimex pointed that exploration by the SGM just won’t work. Arcelor Mittal’s workers continue their illegal strike. ON EXPLORATION, In Sinaloa, Chesapeake Gold released drilling results on Lucy. ON MINING, Fortuna Mining, Endeavour Silver, Aura Minerals, Torex Gold, Gatos Silver, SilverCrest Metals, Orla Mining, GoGold Resources and Sierra Metals reported production results for Q2 2024. ON FINANCING, Golden Minerals announced it’s been notified by the NYSE American of its lack of compliance on three listing standards. Southern Silver Exploration increased its private placement to C$4.5 M. Kootenay Silver established an equity distribution program. ON RESOURCES AND DEVELOPMENT, Atacama Copper reported drilling results from Cristina. Silver Tiger Metals released results from PFS drilling at El Tigre. Vizsla Silver reported results from holes on the Copala resource area at its Panuco project. GoGold Resources updated on the FS for Los Ricos South. Xali Gold announced the completion of a drill program at El Oro Tailings. ON DEALS AND CORPORATE ISSUES, Bear Creek Mining, Luca Mining and Barksdale Resources announced appointments to the board. Argonaut Gold and Alamos Gold received clearance from authorities to complete their proposed arrangement. Fresnillo plc paid US$297.5 M dollars to Mexico during 2023 in taxes, royalties and concessions fees. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Mexico fell 37 positions on the Fraser Institute index of mining competitiveness from 2022 to 2023, reflecting the difficulty to do business imposed in the new Mining Law.
  • Camimex (Cámara Minera de México) indicated that mining exploration by the government as stated by the new mining law is just not viable. According to the new mining law, the only player able to do exploration before an auction of mining concessions is the SGM (Servicio Geológico Mexicano), and that in 2022 the SGM had a budget of just US$2.4 million dollars, compared with the annual average in the last 12 years of US$633 million dollars invested by private mining companies.
  • Workers of Arcelor Mittal rejected a proposal by the company to end the more than a month and a half old illegal strike. The proposed agreement included more than US2,000 dollars per worker and 75% of the salaries not received during the strike, as well as an audit on the profits of the company for 2022 and 2023, to assess the correct application of the profit-sharing scheme in the law.  

ON EXPLORATION

  • Chesapeake Gold Corp. released results from the phase 2 drill program at Lucy, in Sinaloa. In total 939 m were drilled in 12 holes along the known mineralized corridor, 101 additional surface soil and rock samples were collected along the projection of the trend and 63 line-km of ground magnetics covering the entire property completed. Highlighted core length intervals comprise 24 m @ 1.43 gpt Au (including 9 m @ 2.29 gpt Au); 6 m @ 1.95 gpt Au; 6 m @ 5.21 gpt Au; 6 m @ 1.90 gpt Au; 20.5 m @ 1.75 gpt Au (including 12 m @ 2.82 gpt Au. The gold mineralized zone has been extended from 500 to 700 m of length, and the corridor remains open on strike and at depth. “… this expanded corridor continues to display retrograde quartz-calcite, iron oxides, sulphide veinlets and stockwork hosted within garnet and pyroxene skarn and hornfels with zones altered to actinolite and other silicates.”

ON MINING

  • Fortuna Mining Corp. reported production results for the second quarter of 2024, including figures from its Mexican operations. At San Jose, in Oaxaca, 176.2 K tonnes were milled at a rate of 1,980 tpd, grading 140 gpt Ag, 1.09 gpt Au, recovering 85.6% Ag, 85.5% Au, to produce 684.2 K Oz Ag, 5,269 Oz Au. “Management is currently evaluating its options of maintaining operations at the mine or putting the mine on care and maintenance, as Mineral Reserves are scheduled to be exhausted by year end.”
  • Endeavour Silver Corp. reported second quarter 2024 production of 1.31 M Oz Ag, 10,549 Oz Au (or 2.2 M Oz AgEq).  At Guanaceví in Durango, 112.9 K tonnes were processed at a rate of 1,241 tpd, grading 364 gpt Ag, 1.29 gpt Au, recovering 90.4% Ag, 90.4% Au, to produce 1.19 M Oz Ag, 4,243 Oz Au. At Bolañitos in Guanajuato, 106.1 K tonnes were processed at a rate of 1,166 tpd, grading 41 gpt Ag, 2.06 gpt Au, recovering 83.4% Ag, 89.6% Au, to recover 116.9 K Oz Ag, 6,306 Oz Au. “Local third-party feed continued to supplement Guanaceví mine production, totaling 15% of quarterly throughput. With current prices, management expects local third-party feed to remain above 10% of throughput going forward.”
  • Aura Minerals Inc. announced preliminary production results for Q2 2024, including figures from its Mexican operations. At Aranzazu, in Zacatecas, production was 6,175 Oz Au, 120.4 K Oz Ag, 8.93 M Lb Cu (or 24,692 Oz AuEq).
  • Torex Gold Resources Inc. reported Q2 2024 production at its Limón-Guajes mine in Guerrero. A total of 17.8 K tpd of ore were mined from open pits, 77.4 K tpd of waste were moved at a strip ratio of 4.3 and 2,145 tpd were mined from underground. Total plant throughput was 13,214 tpd, averaging 3.34 gpt Au, with a recovery of 90.5% Au, to produce 113,822 Oz Au in the period. “… the level of waste mined is expected to decline further through the balance of the year as the pits reach the end of their mine life mid-2025….”
  • Gatos Silver Inc. announced production results for the second quarter 2024. During the period 294.9 K tonnes were milled at a rate of 3,240 tpd, grading 0.29 gpt Au, 273 gpt Ag, 2.06% Pb, 4.55% Zn, recovering 48.8% Au, 88.9% Ag, 89.5% Pb, 64.6% Zn to produce 1,360 Oz Au, 2.30 M Oz Ag, 12.0 M Lb Pb, 19.1 M Lb Zn.
  • SilverCrest Metals Inc. provided interim operational results for the second quarter of 2024. During the period 100 K tonnes were mined, 110.6 K tonnes were milled at a rate of 1,216 tpd, averaging 4.36 gpt Au, 418 gpt Ag (or 765 gpt AgEq), recovering 98.6% Au, 98.3% Ag, to produce 15,303 Oz Au, 1.46 M Oz Ag (or 2.68 M Oz AgEq).
  • Orla Mining Ltd. released an interim operational update for the second quarter 2024. At the Camino Rojo Oxide mine 1.9 M tonnes were mined, 2.05 M tonnes of waste moved with a strip ratio of 1.08 and 1.93 M tonnes were stacked averaging 0.87 gpt Au to produce 33,206 Oz Au. At the end of the period Orla had cash of US$154.3 M and total debt of US$78.4 M, resulting in a net cash position of US$75.9 M.
  • GoGold Resources Inc. reported production for the quarter. At the Parral Tailing project, 2,436 Oz Au, 138.7 K Oz Ag, 148 tonnes Cu, 125 tonnes Zn were produced during the period ending June 30, 2024.
  • Sierra Metals Inc. reported second quarter 2024 production results. At Bolivar, in Chihuahua, 378.9 K tonnes were processed at a rate of 4,273 tpd, grading 0.38 gpt Au, 19.5 gpt Ag, 0.83% Cu, recovering 65.4% Au, 80.6% Ag, 89.8% Cu, to produce 3,005 Oz Au, 190 K Oz Ag, 6.15 M Lb Cu.

ON FINANCING

  • Golden Minerals Co. announced that the company has been notified by the NYSE American LLC that it was not in compliance with three of the continued listing standards. “The notification from the NYSE American has no immediate effect on the Company’s common stock or its business operations. The Company’s common stock will continue to be listed on the NYSE American under the symbol “AUMN” while it regains compliance with Sections 1003(a)(i), 1003(a)(ii) and 1003(a)(iii) of the Company Guide, subject to the Company’s compliance with other continued listing requirements” (Yoquivo, Chihuahua).
  • Southern Silver Exploration Corp. announced the increase of the previously announced $3.3 M private placement to $4.5 M (Cerro Las Minitas, Durango).
  • Kootenay Silver Inc. established an “at the market” equity distribution program, which will allow Kootenay to issue and sell to the public from time to time, at its discretion, common shares in the capital of Kootenay on the amount of up to C$5 M (Columba, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Atacama Copper Corp. reported results from five holes of a 10,000 m drilling program at Cristina, in Chihuahua. Fifteen holes totalling 4,467 m of drilling of a 40-to-50-hole program have been reported. Highlighted true width intercepts comprise 20.50 m @ 1.56 gpt Au, 25 gpt Ag, 0.17% Cu, 0.3% Pb, 0.3% Zn (including 1.20 m @ 22.30 gpt Au, 184 gpt Ag, 1.42% Cu, 0.8% Pb, 0.9% Zn); 14.00 m @ 0.96 gpt Au, 39 gpt Ag, 0.13% Cu, 0.4% Pb, 0.7% Zn (including 2.90 m @ 2.78 gpt Au, 75 gpt Ag, 0.98% Cu, 0.7% Pb, 0.3% Zn); 20.00 m @ 0.43 gpt Au, 20 gpt Ag, 0.2% Pb; 0.6% Zn; 9.00 m @ 0.70 gpt Au, 33 gpt Ag, 0.15% Cu, 0.7% Pb, 2.1% Zn; 5.80 m @ 0.43 gpt Au, 12 gpt Ag, 0.1% Pb, 0.3% Zn. The goal of the program is to increase the size and the grade of the resource and demonstrate the underground potential at Cristina.
  • Silver Tiger Metals Inc. released results from the pre-feasibility study drilling program on El Tigre project in Sonora. Highlighted core length intervals comprise 18.20 m @ 0.53 gpt Au, 7 gpt Ag; 5.80 m @ 0.43 gpt Au, 328 gpt Ag (including 1.80 m @ 1.10 gpt Au, 1,041 gpt Ag); 56.80 m @ 0.62 gpt Au, 55 gpt Ag; 11.00 m @ 0.16 gpt Au, 128 gpt Ag; 72.00 m @ 0.62 gpt Au, 15 gpt Ag; 59.00 m @ 0.62 gpt Au, 20 gpt Ag; 11.00 m @ 1.18 gpt Au, 87 gpt Ag; 45.00 m @ 0.43 gpt Au, 11 gpt Ag. Silver Tiger aims to release a new mineral resource estimate by September 2024. This drilling program has extended mineralization “by 10 to 15%, to the footwall and hanging wall zones, as well as the higher-grade ‘Keel’ at PEA pit bottom associated with the El Tigre and SK Veins”, and converted a significant portion of inferred resources to the indicated category.
  • Vizsla Silver Corp. reported results from six holes targeting the Copala resource area at its Panuco project in Sinaloa. “The reported drilling, designed to infill near-surface Indicated Mineral Resources, continues to confirm high-grade continuity throughout Copala including new high-grade intercepts on the Copala 3 hanging-wall vein splay.” Highlighted true width intervals comprise 7.80 m @ 4.40 gpt Au, 788 gpt Ag (including 0.86 m @ 25.30 gpt Au, 5,010 gpt Ag); 5.25 m @ 6.58 gpt Au, 547 gpt Ag; 3.50 m @ 7.83 gpt Au, 1,617 gpt Ag; 2.68 m @ 7.47 gpt Au, 1,831 gpt Ag; 7.00 m @ 9.51 gpt Au, 1,898 gpt Ag (including 1.29 m @ 18.95 gpt Au, 3,430 gpt Ag).
  • GoGold Resources Inc. is advancing the definitive feasibility study at Los Ricos South project in Jalisco. The study to be released in September focus “… towards a larger underground mine with a much smaller open pit. We have applied for an underground permit as in our view this will be more likely to be obtained on a timely basis. We see the project having more than 10 years of underground mine life, followed by a smaller open pit than originally planned in our preliminary economic assessment. The need for an open pit permit at Los Ricos South has been effectively pushed into the future more than a decade from now.”
  • Xali Gold Corp. announced that the drilling program for metallurgical test work on the T Tailings project at El Oro, in Estado de Mexico, has been completed. The program was expanded from the 20 holes planned to 34 holes, averaging 20 m in depth. In a technical report from 2014, the tailings have an inferred resource of 1.27 M tonnes averaging 2.94 gpt Au, 75 gpt Ag, containing 119,900 Oz Au, 3.06 M Oz Ag.

ON DEALS AND CORPORATE ISSUES

  • Bear Creek Mining Corp. announced the appointment of Mr. Donald Mc Iver as Vice President Exploration and Geology. The company drew US$1.12 M from the Sandstorm Gold Ltd. Promissory Note. “As of the date of this news release, an aggregate of US$1,875,000 has been drawn down under the Additional Credit for a total principal amount of US$20,892,612.35 outstanding under the Sandstorm Promissory Note. A remaining amount of US$750,000 may be drawn down under the Additional Credit in monthly installments of up to US$375,000 until August 2024” (Mercedes, Sonora).
  • Luca Mining Corp. announced the appointment of Mr. Dan Barnholden as Chief Executive Officer, effective July 15, 2024. “Ramon Perez, who has served as interim CEO for the past 4 months, will return to his role as President and will work closely with Dan to optimize operations at Campo Morado and achieve commercial production at Tahuehueto.” (Campo Morado, Guerrero).
  • Argonaut Gold Inc. received the clearance decision from COFECE (Comisión Federal de Competencia Económica) and the final order of the Ontario Superior Court of Justice on the pending arrangement transaction between Argonaut and Alamos Gold Inc.  Under the arrangement Alamos will acquire all of the issued and outstanding shares of Argonaut (La Colorada, Sonora).
  • Barksdale Resources Corp. announced the appointment of Mr. Alan Roberts as VicePresident Exploration (San Javier, Sonora).
  • Fresnillo plc. provided an overview of the payments to governments made by Fresnillo plc in 2023. In Mexico the company paid US$255.6 M in taxes, US$0.62 M in royalties and US$41.3 M in licenses and concessions fees (Fresnillo, Saucito and Juanicipio, Zacatecas).

ON SOCIAL RESPONSIBILITY

  • Aura Minerals Inc. announced the 4th annual sustainability report with its achievements in advancing safety, responsibility, sustainability and innovation.

On the image below: Oxidized shear zone on intrusive rocks in a Sonoran Desert project, HQ core. Picture by Jorge Cirett.

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 26th week of the year (June24th to June 30th, 2024), companies working in Mexico posted at least 30 press releases. Three companies informed on exploration advances on their properties, while one other informed a second rig has been added to its drilling program. A company announced a new non-brokered private placement, one other cancelled the previously announced non-brokered private placement, one more granted stock options, an additional one began trading on the Lima stock Exchange and one other settled on shares for debt. Five companies released drilling results from their advanced properties, and one more on an underground bulk sampling program. One company announced the termination of the share purchase agreement to acquire another company. One other company is to resume trading, five more held their AGMs, three companies (yes, three) informed on arbitration processes against Mexico, one company announced an appointment, and one more announced the authorization by shareholders to proceed on the acquisition of the company by another enterprise. ON MEXICO ISSUES, three companies informed on arbitration processes against Mexico: Almadex Minerals, Almaden Minerals and Ganfeng Lithium. They are engrossing the ranks of mining/exploration companies seeking compensation for their failing investments in Mexico due to government action/inaction. Other companies in this position include Odyssey Marine Exploration, Vulcan Materials and Silver Bull Resources. ON EXPLORATION, In Sonora, Minaurum Gold is to complete a technical report on its Alamos project. In Chihuahua, Radius Gold announced the commencement of drilling at Plata Verde, Chihuahua, by its partner Fresnillo plc; Quetzal Copper mobilized field and drill crews to Cristina, in Chihuahua. Prismo Metals is to mobilize its drilling crew to Palos Verdes, in Sinaloa. ON MINING, Kootenay Silver added a second rig to the drill program at Columba, in Chihuahua. ON FINANCING, Quetzal Copper cancelled a $2 M financing. Vizsla Royalties announced a financing round of up to C$3.7 M. Bear Creek Mining granted stock options. Sierra Metals began trading on the Lima stock exchange. Silver Wolf completed a shares for debt transaction for 3.36 M shares. ON RESOURCES AND DEVELOPMENT, Silver Storm Mining (La Parrilla, Durango), Prime Mining (Los Reyes, Sinaloa), Orla Mining (Camino Rojo Sulphide Extension, Zacatecas), Vizsla Silver (Panuco, Sinaloa) and Torex Gold (El Limón, Guerrero) presented drilling results from their advanced/brownfield projects. GRSilver Mining presented bulk sampling test mining results from its Plomosas project in Sinaloa. ON DEALS AND CORPORATE ISSUES, GRSilver Mining announced the termination of the agreement to acquire Marlin Gold Mining, later on the week GRSilver and another Canadian company signed an agreement on the acquisition of all the shares of Marlin Gold held by GRSilver. Quetzal Copper has resumed trading on the TSX. Ganfeng Lithium, Almaden Minerals and Almadex Minerals presented arbitration claims against Mexico. Americas Gold and Silver, Almaden Minerals, Torex Gold, Sierra Metals and Aztec Minerals held their respective AGM’s. Vortex Metals announced the appointment of Paul Fürst to its board of directors. Argonaut Gold’s shareholders approved the acquisition of the company by Alamos Gold. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Three companies presented arbitration claims against Mexico during the week, with Ganfeng Lithium, Almaden Minerals, Almadex Minerals adding to the list of companies seeking compensation for their failing businesses in Mexico due to government action/inaction. This is the result of policies directed by the incumbent of the current federal government, with or without legal support. The mining industry is waiting to see the true colors of the elected president Claudia Sheinbaum once she assumes the presidency.

ON EXPLORATION

  • Minaurum Gold Inc. engaged Independent Mining Consultants Inc. to complete an initial mineral resource estimate at its Alamos silver project in Sonora. “The NI 43-101 compliant Mineral Resource Estimate will initially focus on the Europa and Promontorio silver veins. An IMC qualified person (QP) will be on site and commence work in July 2024.”
  • Radius Gold Inc. announced the commencement of drilling at its Plata Verde project in Chihuahua, in partnership with Fresnillo plc. The planned program comprises 2,000 m of drilling targeting bulk minable, underground silver resources at the historic Plata Verde mines. “Silver mineralization occurs as massive to crustiform banded barite calcite and quartz with silver chlorides, sulphosalt minerals and native silver infilling and cementing fractures and breccia within a basaltic/andesite extrusive volcanic. The basaltic/andesite host occurs at the base of the Upper Rhyolitic Volcanics of the Northern Sierra Madre”.
  • Quetzal Copper Corp. mobilized field and drill crews to site at the Cristinas project in Chihuahua. The 1,500 to 3,000 m program focus is to step down-dip from high-grade copper intercepts on the 2014 drill program. Also, two conductors identified in the 2022 electro-magnetic geophysical survey (EM) will be targeted. The company plans to do a follow up downhole EM survey after drilling, to obtain more detailed data on the extent and geometry of the Coatl vein and a hanging wall conductor.

ON MINING

  • Kootenay Silver Inc. announced a second rig has been added to the drill program underway at its Columba project in Chihuahua. Current drilling is focused on extending the limits of the “D-Vein” and the second rig is to test the southeast extensions of the “B-Vein” and the “B2-Vein”, prioritizing where these trends intersect. “Prospective veins on the project are hosted within a volcanic caldera setting, the surface extent of mapped veins measuring roughly 4 kilometres by 3 kilometres. Management believes that Columba may be a newly recognized vein district that is nearly entirely preserved from erosion.”

ON FINANCING

  • Quetzal Copper Corp. cancelled the previously announced $2 M non-brokered private placement (Cuatro Hermanos, Sonora).
  • Bear Creek Mining Corp. granted to certain directors, officers and employees of Bear Creek a cumulative total of 1.36 M stock options and a cumulative of 1.62 M restricted share units (Mercedes, Sonora).
  • Vizsla Royalties Corp. announced a non-brokered private placement for gross proceeds of up to C$3.7 M (NSR on Panuco, Sinaloa).
  • Sierra Metals Inc. informed its shares began trading on June 28, 2024, on the Bolsa de Valores de Lima (Bolivar, Chihuahua).
  • Silver Wolf Exploration Ltd. announced the completion of the shares for debt transaction with two of its principal creditors, Oniva International Services Corp., a private company controlled by the company’s CEO, which provides administrative services, and Avino Silver & Gold Mines Ltd. Silver Wolf has issued 1.07 M common shares to Oniva and 2.29 M common shares to Avino. As result, Oniva and CEO David Wolfin now hold approximately 24.70% of the total issued and outstanding shares of Silver Wolf (Ana María, Durango).

ON RESOURCES AND DEVELOPMENT

  • Silver Storm Mining Ltd. announced further diamond drill results from the San Marcos area at the La Parrilla mine complex in Durango. Highlighted core length results comprise 3.50 m @ 147 gpt Ag, 0.07 gpt Au, 0.4% Pb, 0.3% Zn; 1.00 m @ 369 gpt Ag, 0.02 gpt Au, 0.1% Pb, 0.4% Zn; 19.03 m @ 183 gpt Ag, 0.60 gpt Au, 0.4% Pb, 0.2% Zn (including 2.63 m @ 142 gpt Ag, 2.45 gpt Au, 0.5% Pb, 0.5% Zn and 5.14 m @ 449 gpt Ag, 0.37 gpt Au, 0.7% Pb, 0.2% Zn); 2.13 m @ 370 gpt Ag, 0.24 gpt Au, 1.1% Pb, 0.2% Zn; 11.75 m @ 210 gpt Ag, 0.65 gpt Au, 1.7% Pb, 0.4% Zn (including 2.00 m @ 374 gpt Ag, 0.83 gpt Au, 4.3% Pb, 0.5% Zn); 0.49 m @ 489 gpt Ag, 0.16 gpt Au, 1.4% Pb, 3.8% Zn; 1.00 m @ 204 gpt Ag; 3.25 m @ 125 gpt Ag, 0.38 gpt Au, 0.9% Pb, 0.4% Zn; 1.00 m @ 392 gpt Ag, 0.14 gpt Au, 1.1% Pb, 0.2% Zn. “The San Marcos Zone is comprised of quartz-carbonate vein mineralization ….. hosted within a fault zone marking the eastern contact of the granodiorite stock. It has a known strike length of 650 m with mineralization extending vertically for 450, and a thickness of up to 17 m”. Current results extend mineralization 100 m below the deepest workings on the San Marcos area.
  • Prime Mining Corp. reported expansion drilling results from 15 holes on the Z-T area of its Los Reyes project in Sinaloa. Highlighted true width results comprise 2.9 m @ 6.64 gpt Au, 22 gpt Ag (including 1.0 m @ 18.90 gpt Au, 20 gpt Ag); 1.0 m @ 1.33 gpt Au, 5 gpt Ag; 14.2 m @ 1.00 gpt Au, 40 gpt Ag (including 2.4 m @ 2.60 gpt Au, 134 gpt Ag); 4.0 m @ 1.11 gpt Au, 16 gpt Ag; 7.9 m @ 0.46 gpt Au, 27 gpt Ag; 10.7 m @ 1.21 gpt Au, 20 gpt Ag (including 0.8 m @ 6.80 gpt Au, 37 gpt Ag). These results confirm mineralization continues 425 m downdip from the current programmed pit bottom and 275 m along strike.
  • Orla Mining Ltd. updated on exploration activities from the first half of 2024 at the Camino Rojo Sulphide Extension project in Zacatecas. Included are the results of 13,500 m of drilling in 19 holes, as part of the 30,000 m drill program for 2024. Metallurgical testing on core from the drill program showed 86% Au recovery on bottle roll test, 84% Au on rougher flotation, while open-circuit Zn cleaner tests returned 94% Zn recoveries. Highlighted core length intervals comprise 15.0 m @ 2.40 gpt Au, 9 gpt Ag, 0.4% Zn; 9.75 m @ 3.49 gpt Au, 8 gpt Ag, 1.1% Zn (including 1.50 m @ 16.6 gpt Au, 31 gpt Ag, 5.6% Zn); 13.5 m @ 2.38 gpt Au, 12 gpt Ag, 0.8% Zn (including 1.00 m @ 13.1 gpt Au, 11 gpt Ag, 0.2% Zn, 0.11% Cu); 23.4 m @ 1.86 gpt Au, 15 gpt Ag, 0.28% Cu; 7.25 m @ 3.67 gpt Au, 4 gpt Ag, 6.9% Zn; 0.85 m @ 45.4 gpt Au, 55 gpt Ag, 0.9% Zn, 0.9% Pb; 17.2 m @ 3.25 gpt Au, 9 gpt Ag, 0.1% Zn, 0.16% Cu; 15.0 m @ 4.57 gpt Au, 19 gpt Ag, 2.6% Zn (including 0.75 m @ 51.1 gpt Au, 44 gpt Ag, 8.1% Zn, 0.16% Cu); 12.4 m @ 3.15 gpt Au, 5 gpt Ag, 0.2% Zn (including 0.60 m @ 50.0 gpt Au, 3 gpt Ag); 6.60 m @ 6.72 gpt Au, 8 gpt Ag, 0.8% Zn (including 0.45 m @ 78.6 gpt Au, 51 gpt Ag, 8.2% Zn, 0.10% Cu. “The drill results indicate potential expansion of the Camino Rojo Sulphide resource at depth, extending beyond the current mineral resource down plunge by 500 metres and down dip by 300 metres. This high-grade polymetallic (Au-Ag-Zn) semi-massive to massive replacement style mineralization remains open at depth.”
  • Vizsla Silver Corp. reported infill drilling results from five core holes on the Copala resource area at its Panuco project in Sinaloa. Mineralization has been traced for 1,770 m along strike and 400 m down dip on the Copala structure, which holds 83.3 M Oz AgEq in indicated resources at 573 gpt AgEq and inferred resources of 48.3 M Oz AgEq at 476 gpt AgEq. “The infill holes reported herein are part of an ongoing ~10,000 program (~35 holes), planned to convert near surface Indicated Mineral Resources in the central portion of main Copala into the Measured Resource category.” Highlighted true width intercepts comprise 4.20 m @ 103.20 gpt Au, 1,694 gpt Ag (including 0.64 m @ 663.00 gpt Au, 9,920 gpt Ag); 3.10 m @ 3.33 gpt Au, 682 gpt Ag; 10.90 m @ 2.80 gpt Au, 762 gpt Ag (including 1.47 m @ 13.58 gpt Au, 3,805 gpt Ag); 10.50 m @ 5.27 gpt Au, 804 gpt Ag (including 1,47 m @ 24.87 gpt Au, 3,437 gpt Ag).
  • GRSilver Mining Ltd. announced that it has advanced underground development and bulk sampling test mining at the San Juan area of its Plomosas project in Sinaloa. To date 280 m of underground development have been completed, 15,170 tonnes of test material processed, resulting on 235 tonnes of Ag-Au-Pb concentrate produced with 60-75% Au, 84-92% Ag recoveries. Channel sample results from the San Juan bulk sampling area returned 1.3 m @ 0.29 gpt Au, 160 gpt Ag, 0.4% Pb, 0.4% Zn; 0.7 m @ 0.50 gpt Au, 499 gpt Ag, 1.1% Pb, 1.4% Zn; 0.5 m @ 0.29 gpt Au, 338 gpt Ag, 0.7% Pb, 0.7% Zn; 1.0 m @ 0.33 gpt Au, 1,095 gpt Ag, 1.12% Pb, 3.2% Zn; 2.0 m @ 0.33 gpt Au, 133 gpt Ag, 0.1% Pb, 0.2% Zn; 1.0 m @ 0.10 gpt Au, 372 gpt Ag, 0.5% Pb, 2.3% Zn; 1.0 m @ 1.69 gpt Au, 927 gpt Ag, 6.3% Pb, 5.6% Zn; 1.0 m @ 0.74 gpt Au, 768 gpt Ag, 2.3% Pb, 2.2% Zn; 1.2 m @ 0.98 gpt Au, 465 gpt Ag, 8.1% Pb, 10.4% Zn; 1.5 m @ 0.96 gpt Au, 160 gpt Ag, 1.2% Pb, 5.5% Zn; 2.5 m @ 14.13 gpt Au, 1,624 gpt Ag, 0.2% Zn.
  • Torex Gold Resources Inc. released assay results from the ongoing drill program at El Limón Guajes Underground project at its Morelos Complex in Guerrero. The results are part of the expansion drilling at the El Limón Sur, El Limón Deep and Subsill trends “demonstrating the potential to grow mineral resources, extend high-grade mineralization, and support extending the reserve life of ELG Underground beyond 2028.” Highlighted core length results comprise 7.68 m @ 9.61 gpt Au, 12 gpt Ag, 0.31% Cu; 3.12 m @ 5.89 gpt Au, 51 gpt Ag, 2.58% Cu; 15.71 m @ 2.30 gpt Au, 61 gpt Ag, 2.16% Cu; 12.15 m @ 2.81 gpt Au, 56 gpt Ag, 2.28% Cu; 17.95 m @ 7.42 gpt Au, 2 gpt Ag at El Limón Sur Trend, 5.43 m @ 12.02 gpt Au, 24 gpt Ag, 1.22% Cu; 15.25 m @ 6.74 gpt Au, 34 gpt Ag, 2.48% Cu; 4.19 m @ 3.01 gpt Au, 4 gpt Ag, 0.27% Cu; 3.80 m @ 4.76 gpt Au, 6 gpt Ag, 0.36% Cu; 2.89 m @ 4.48 gpt Au, 5 gpt Ag; 5.28 m @ 5.67 gpt Au, 9 gpt Ag 0.19% Cu at El Limón Deep Trend and 5.00 m @ 11.75 gpt Au, 3 gpt Ag; 8.52 m @ 19.79 gpt Au, 2 gpt Ag; 3.09 m @ 4.04 gpt Au, 6 gpt Ag, 0.22% Cu at the Subsill Trend.

ON DEALS AND CORPORATE ISSUES

  • GRSilver Mining Ltd. announced on June 24, 2024 the termination of the share purchase agreement to acquire Marlin Gold Mining Ltd., as the closing was not completed by the closing deadline. GR Silver is to focus on resource growth and potential development of the Plomosas project in Sinaloa, “including the San Marcial, Plomosas Mine, and San Juan Areas. The Company retains its interest in a total of 734 km2 of concessions in the prolific Rosario District in Sinaloa, Mexico, including the former La Trinidad oxide gold mine”. Later on the week, the company and a private, arm´s length Canadian company active in Mexico (“PrivateCo”) informed the signing of a definitive and binding share purchase agreement under which PrivateCo will acquire 100% of the issued and outstanding shares of Marlin Gold Mining Ltd. from GRSilver Mining. Accordingly, GRSilver Mining will transfer to PrivateCo all existing assets, rights, covenants, indemnities and obligations to PrivateCo, in consideration for which GRSilver Mining will receive 0.5% NSR royalty and a 10-year first right of refusal on any disposition of other concessions by PrivateCo.
  • Quetzal Copper Corp. will resume trading at the TSX on June 26, 2024 (Cuatro Hermanos, Sonora).
  • Ganfeng Lithium Group. presented an arbitration claim against the Mexican government on the cancellation of nine key mining concessions at its Sonora Lithium project in Sonora.
  • Americas Gold and Silver Corp. held its annual general meeting (AGM) on June 25, 2024 (Cosalá, Sinaloa).
  • Almaden Minerals Ltd. held its annual general meeting (AGM) on June 26, 2024 (Ixtaca, Puebla).
  • Torex Gold Resources Inc. held its annual general meeting (AGM) on June 26, 2024 (Morelos Complex, Guerrero).
  • Almadex Minerals Ltd. provided an update on the international arbitration proceedings against Mexico under the comprehensive and progressive Agreement for Trans-Pacific partnership (CPTPP). Almadex Minerals and Almaden Minerals (and subsidiaries) have entered into a litigation management agreement to streamline the management of the arbitration proceedings. “Almaden will bear the up-front costs of the arbitration and provide overall direction to the arbitration process for itself and its subsidiaries, as well as Almadex and its subsidiaries, with certain limitations. Almadex will remain a party to the arbitration and continue in its cooperation and support of the process …. Almadex also reports that it has agreed with Almaden to extend the maturity of the gold loan (see press release of May 14, 2019) from March 31, 2026 to the earlier of March 31, 2030 or the receipt by Almaden or its subsidiary of any amount relating to its legal claims against Mexico” (NSR on Ixtaca, Puebla).
  • Almaden Minerals Ltd. confirmed non-recourse litigation funding in the amount of up to US$9.5 M to pursue its international arbitration proceedings against Mexico under the comprehensive and progressive Agreement for Trans-Pacific partnership (CPTPP). Almaden signed a litigation funding agreement with a leading legal finance provider. “The facility is available for immediate draw down for Almaden to pursue damages against Mexico under the CPTPP resulting from Mexico’s actions which blocked the development of the Ixtaca project and ultimately retroactively terminated the Company’s mineral concessions, causing the loss of the Company’s investments in Mexico.” Almaden entered into litigation management agreement with Almadex Minerals Ltd. to streamline the management of the arbitration proceedings.
  • Vortex Metals Inc. announced the appointment of “Banco de Chile Director and distinguished businessman Mr. Paul Fürst to its Board of Directors. Mr. Fürst is also a principal in Windows Minerals, Vortex Metals Optionor on the Chilean Illapel Copper Project.” (Riqueza Marina, Oaxaca).
  • Sierra Metals Inc. held its annual general meeting (AGM) on June 25, 2024. Miguel Aramburu was appointed as chair of the board of directors of the company. On a further press release was announced the appointment of Jean Pierre Fort to the position of Chief Financial Officer and the retirement from the company of the previous CFO Jose Fernandez-Baca (Bolivar, Chihuahua).
  • Aztec Minerals Corp. announced that all matters submitted to shareholders were approved the majority of votes cast at the annual general and special meeting of shareholders held on June 26, 2024 (Cervantes, Sonora).
  • Argonaut Gold Inc. announced that shareholders approved a special resolution authorizing a plan of arrangement pursuant to which Alamos Gold Inc. will acquire all of the issued and outstanding common shares of Argonaut at the annual general meeting held on June 28, 2024 (La Colorada, Sonora).  

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Quartz veinlet with chloritization halo in mafic intrusive rock HQ core from a project in the Sonoran Desert. Picture by Jorge Cirett