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

Magnetite-rich Fe skarn manto

By Miguel A Heredia

During the 14th week of the year (April 05th to April 11th, 2021), at least 35 press releases were announced by companies working in Mexico and 4 news published by the media, with nine informing on exploration results, eight disclosing deals and corporate issues, seven announcing financial issues, six reporting on resources and development, six communicating production and financial results, two discussing social issues, and one commenting on Mexican issues.  ON MEXICO ISSUES, Compañía Minera Cuzcatlán (Fortuna Silver) declared that it pays taxes and reiterated its attachment to the government mechanisms that drive Mexico’s socio-economic development (San Jose mine, Oaxaca). ON EXPLORATION, In Baja California, One World Lithium announced that a drill crew will be mobilizing to its Salar del Diablo project in Baja California, to drill a third diamond drill hole. In Sonora, Colibri informed that it will commence a 3D IP survey at its Evelyn project, Heliostar released first pass sampling and mapping results from its Cumaro project, Ridgestone announced encouraging results from geophysical surveys and follow-up work on its Rebeico project, and Silver Tiger reported drill results in the Benjamin vein zone at its El Tigre project. In Sinaloa, Vizsla provided results from eighteen holes collared along the Napoleon Vein corridor at its Panuco project. In Zacatecas, Alien reported sampling results from dumps/floats at its San Celso property, and Zacatecas Silver completed geological and structural mapping at its El Cristo project.  In San Luis Potosi, Advance Gold started a drilling program at its Saldivar lithium salar project. ON MINING, Endeavor reported Q1, 2021 production results from its Mexican mine operations. GoGold presented Q1, 2021 production and financial results from its Parral Tailings project in Chihuahua. Magna Gold reported year end 2020 financial results from its San Francisco mine in Sonora, and provided production guidance for 2021. Mexus Gold announced its plans to blast at its Santa Elena mine in Sonora. Telson reported Q1, 2021 production results from its Campo Morado mine in Guerrero. Torex presented Q1, 2021 production and financial results from its El Limon-Guajes Mine Complex in Guerrero.  ON  FINANCING, Aura Minerals announced a clarification of its payments of dividends (Aranzazu mine, Zacatecas). Canuc granted 6M incentive stock options to officers, directors, employees, and consultants (San Javier project, Sonora). Capitan Mining announced a non-brokered private placement for gross proceeds of CAD $3.2M (Peñoles property, Durango). GR Silver entered into a bought deal private placement financing agreement for gross proceeds of $ 8M (Plomosas project, Sinaloa). Santacruz announced a private placement for gross proceeds of up to CAD $14.1M (Zimapan mine, Hidalgo). Silver Spruce granted 759K stock options to its CEO (El Mezquite project, Sonora).  Tarachi Gold commenced to trade on the OTCQB Venture Market under the ticker symbol “TRGGF” (Magistral Mill and Tailings project, Durango).  ON RESOURCES AND DEVELOPMENT, Almadex announced its intention to drill at least three of its Mexican mining properties in 2021, and discussed plans for El Cobre and Ixtaca properties located in Veracruz and Puebla respectively. Consolidated Zinc reported that mill and flotation circuits commissioning commenced over Easter at its Plomosas mine in Chihuahua. Prime released drill results from el Zapote South, Noche Buena, and San Miguel East deposits at its Los Reyes project in Sinaloa. Sonoro reported results from 12 RC holes drilled at its flagship property Cerro Caliche in Sonora. VanGold filed a PEA for combined El Pinguico-El Cubo projects in Guanajuato. ON DEALS AND CORPORATE ISSUES, Discovery Metals announced name change to Discovery Silver (Cordero project, Chihuahua).  Equinox completed the acquisition of Premier Gold and the spin out of i-80 Gold Corp. (Los Filos mine, Guerrero and Mercedes mine, Sonora). Gatos Silver appointed Rodrigo Monroy as General Counsel effective April 1st, 2021 (Los Gatos mine, Chihuahua). Minaurum engaged Digital Marketing Firm and granted 3,825,000 common share stock options to Directors, Officers and Consultants (Alamo Silver project, Sonora). Minera Autlán announced the appointment of Pedro Rivero González as its General Management of the company as of April 5, 2021 (Molango mine, Hidalgo). Santacruz announced that the acquisition of the Zimapan assets is now expected to close on or before April 16, 2021. Tarachi Gold appointed a new member to its Board of Directors and announced the change of Auditor (Magistral Mill and tailings project, Durango). Torex announced that it received a key environmental permit for its Media Luna project in Guerrero.  ON SOCIAL RESPONSIBILITY, Arcelor Mittal delivered a donation of MXP $140K to the Red Cross Delegation of Lázaro Cárdenas in Michoacan. Fresnillo plc., supported workshop members of the El Obligado Community in Fresnillo, Zacatecas who make face masks for the population of nearby communities.

ON MEXICO ISSUES

  • Compañía Minera Cuzcatlán (Fortuna Silver Mines Inc.) declared that it has complied in due time and form with more than MXP $600M for the total federal taxes caused, corresponding to the 2020 annual fiscal year. The payment from an effective tax rate to the mining sector of 45%is one more sample strict adherence to legality and government mechanisms that promote the socio-economic development of the country (San Jose mine, Oaxaca).

ON EXPLORATION

  • One World Lithium Inc., announced that a drill crew will be mobilizing to its Salar del Diablo project in Baja California, to drill a third diamond drill hole. DDH-3 will be located approximately 50Km to the south of DDH-2.
  • Colibri Resource Corporation, informed that it will commence a 3D IP survey at its Evelyn project in Sonora. The 3D IP survey will be focused on the Sahuaro and Cerro Rojo targets and will cover an area of approximately 6 square km. The Company is planning a drill program to test currently defined mineralized trends and structures, to evaluate the emerging geological and structural model for the property, and to test results of the IP survey.
  • Heliostar Metals Limited released first pass sampling and mapping results from its Cumaro project in northern Sonora. Heliostar identified a silicified structure with pyrite and returned 1m channel sample grading 390 g/t Ag, and remains open to expand. Additionally, eleven channel and rock samples returned values >1 g/t Ag in a coherent anomaly that cover an area of 500m by 600m, being this area the extension of the Dos Amigos vein into the eastern block. This mineralization indicates a robust silver endowment and shows the potential for high grades in the eastern block of the El Picacho district.
  • Ridgestone Mining Inc., announced encouraging results from geophysical surveys and follow-up work on its Rebeico project. The IP survey outlined a strong IP high chargeability anomaly of 1,400m north-south and 800m east-west at the south portion of the Alaska vein, at depths of 250 to 300 metres below surface, progressively increasing in width and intensity toward the south.
  • Silver Tiger Metals Inc., reported drill results in the Benjamin vein zone at its El Tigre project in Sonora. Significant drill intersects were encountered in hole ET-21-204 with 140 g/t Ag, 0.12 g/t Au, 0.08% Cu, 3% Pb, and 8.5% Zn (519 g/t AgEq) over 14.2m, including 273 g/t Ag, 0.14 g/t Au. 0.18% Cu, 5.5% Pb, and 17 % Zn (1,013 g/t AgEq) over 5.6m; hole ET-21-206 with 181 g/t Ag, 0.07 g/t Au, 0.05% Cu, 0.6% Pb, and 1.8% Zn (267 g/t AgEq) over 12.3m, including 1,034 g/t Ag, 0.18 g/t Au, 0.29% Cu, 2.7% Pb, and 8.8% Zn (1,443 g/t AgEq) over 2m; and hole ET-20-199 with 222 g/t Ag, 0.05 g/t Au, 0.09% Cu, 0.5% Pb, and 1.7% Zn (305 g/t AgEq) over 7.7m, including 699 g/t Ag, 0.11 g/t Au, 0.2% Cu, 2% Pb, and 7% Zn (1,016 g/t AgEq) over 1.1m.
  • Vizsla Silver Corp., provided results from eighteen holed collared along the Napoleon Vein corridor at its Panuco project in Sinaloa. The company estimated from 54 drill holes, an average vein true width of 4m, a weighted average grade of 155 g/t Ag, 2.74 g/t Au, 0.5% Pb, and 1.3% Zn (441 g/t AgEq), and mineralization extends over 300m in length, 300m  deep, and remains open north, south, and at depth. The best drill intercept was encountered in hole NP-21-80 with 469 g/t Ag, 5.84 g7t Au, 0.5% Pb, and 1.2% Zn (1, 027 g/t AgEq) over a true width (TW) of 4.61m, including 1, 321 g/t Ag, 15.1 g/t Au, 1.3% Pb, and 2.6% Zn (2, 740 g/t AgEq) over a TW of 1.51m.
  • Alien Metals ltd., reported encouraging dump/floats sampling results from its New Andromeda concession adjacent to its San Celso property in Zacatecas. Highlights include 734 g/t Ag, 0.44 g/t Au and 0.6% Zn; 163 g/t Ag, 0.42 g/t Au and 1.9% Zn; 488 g/t Ag; 270 g/t Ag; and 180 g/t Ag and 0.13% Zn. “The samples are all composed of quartz and carbonate dominant vein material with varying amounts of sulphides, hence they are very similar to the mineralization seen in the San Celso vein systems to the north”.  
  • Zacatecas Silver Corp., completed geological and structural mapping at its El Cristo project located immediately to the northwest of the Veta Grande deposit. The Veta Grande vein has reported historical production of over 200 M Oz Ag in the region. The geological and structural mapping identified at least eight veins to date which are associated with a sigmoidal zone of extension that is at least 800 m wide, over a strike length of at least 4 km extending the previous reported strike length of 2.5 to 3.0km. Zacatecas Silver has commenced an extensive soil sampling program to assist with location of veins beneath cover of thin soils. “The cumulative strike length of all veins at El Cristo is at least 12 km long. El Cristo an extremely prospective system with numerous high value targets at vein intersections, splays and flexures. Veins display multiphase and brecciated textures, indicative of multiple mineralizing events. Zacatecas Silver is planning an aggressive rock-chip and channel sampling program to better define the silver-base metal grade distribution of the outcropping veins, to ensure that the highest value targets are drill tested”.
  • Advance Gold Corp., started a drilling program at its Saldivar lithium salar project in San Luis Potosi to test near surface lithium grade distribution of the salar for bulk sampling preparation. The drilling program will be carried out on a grid basis using 100m spacing with holes drilled down to 50m. The company also plans to drill deeper in one of the holes to test the depth to bedrock.

ON MINING

  • Endeavor Silver Corp., reported production results from its Mexican mine operations. The table below shows figures for Q1, 2021 by mine:
  • GoGold Resources Inc., presented Q1, 2021 production and financial results from its Parral Tailings project in Chihuahua. GoGold produced 302.9K Oz Ag, 3,208 Oz Au, and 192.6K Lb Cu (551.2K Oz AgEq), generating free cash flows exceeding USD $5.5Mthis quarter.
  • Magna Gold Corp., reported year end 2020 financial results from its San Francisco mine in Sonora. The company sold 20,235 Oz Au and 9,188 Oz Ag. Magna reported metal revenues of USD $37M, net cash flow provided by operating activities of USD $9.4M, net cash provided by financial activities of USD $9.4M, and income from mining operations of USD $1.9M. “The Company is setting guidance expectations for gold production during 2021 of between 55K to 65K Oz Au. The Company expects to have the San Francisco Mine fully commissioned before the end of Q2 2021”.
  • Mexus Gold US announced its plans to blast at its Santa Elena mine in Sonora. The blasts will produce 10K tonnes of 2.2 g/t Au, and Mexus expects to be producing gold from this material within 30 days of the blast.
  • Telson Mining Corporation reported Q1, 2021 production and financial results from its Campo Morado mine in Guerrero. Telson milled 174.4 K tonnes of 1.1 g/t Au, 116 g/t Ag, 1% Pb, and 3.9% Zn with metallurgical recoveries of 21%, 41%, 27%, and 74% respectively. To produce 11 tons of Zn concentrate and 1.9 tonnes of Pb concentrate. The company reported revenues of $10.04M from Zn concentrates and $1.9M from Pb concentrate for total revenues of $11.9M.
  • Torex Gold Resources Inc., presented Q1, 2021 production results from its El Limon-Guajes Mine Complex in Guerrero.  The company produced 129K Oz Au from an average underground ore mined of 1, 360 tonnes per day and an average open pit ore mined of 15,090 tonnes per day, and an average plant throughput of 12,340 tonnes per day. Torex provided full year production guidance for 2021 of 430K to 470K Oz Au.

ON FINANCING

  • Aura Minerals Inc., announced a clarification with respect to its payments of a dividend of USD $0.38 per common share, as previously announced by the company on March 15, 2021 (Aranzazu mine, Zacatecas).
  • Canuc Resource Corporation, granted 6M incentive stock options to officers, directors, employees, and consultants. 3.5 M of these options will vest immediately. The remaining 2.5 M options will vest 12 months from April 2nd, 2022. The stock options have an exercise price of $0.35 and a three-year term, expiring on April 2nd, 2024 (San Javier project, Sonora).
  • Capitan Mining Inc., announced a non-brokered private placement for net proceeds of CAD $3.2M from 16M common shares at a price of CAD $0.20 per share. Capitan Mining plans to use the net proceeds to advance drilling and work programs at Peñoles property in Durango, as well as for working capital and general corporate expenses.
  • GR Silver Mining Ltd., entered into a bought deal private placement financing agreement for gross proceeds of $ 8M at a price of $0.59 per unit. Net proceeds will be used for working capital and general corporate purposes (Plomosas project, Sinaloa). 
  • Santacruz Silver Mining Ltd., announced a private placement for gross proceeds of up to CAD $14.1M (Zimapan mine, Hidalgo).
  • Silver Spruce Resources Inc., granted 750K stock options to its CEO at an exercise price of $0.05 per share and an expiry date of April1, 2026. The stock options will vest 1/3 on the date of the grant, 1/3 on the first anniversary of the grant and the final 1/3 on the second anniversary of the grant (El Mezquite project, Sonora).   
  • Tarachi Gold Corp., commenced to trade on the OTCQB Venture Market under the ticker symbol “TRGGF” (Magistral Mill and Tailings project, Durango). 

ON RESOURCES AND DEVELOPMENT

  • Almadex Minerals Ltd., announced its intention to drill at least three of its Mexican mining properties in 2021, and discussed plans for El Cobre and Ixtaca properties located in Veracruz and Puebla respectively. At El Cobre, Veracruz, Almadex previously reported  an indicated resource containing 748K Oz Au and 221M Lb Cu (47.2 M tonnes grading 0.49 g/t Au, 0.21% Cu and 1.4  g/t Ag) and an inferred resource containing 860K Oz Au and 254 M Lb Cu (64.2M tonnes grading 0.42 g/t Au, 0.18% Cu and 1.3 g/t Ag).  Almadex looks forward to further developments at this high potential project. At Ixtaca, Puebla, a FS reported a proven and probable reserve containing 1.38M Oz Au and 85.1M Oz Ag (73.1M tonnes grading 0.59 g/t Au and 36.3 g/t Ag). The Ixtaca project is currently in the mine permitting phase, which has taken longer than expected. Almaden has recently noted the exploration potential remaining at the Ixtaca project and the Company looks forward to the results of the Ixtaca exploration programs over the course of 2021.
  • Consolidated Zinc Limited, reported that mill and flotation circuits commissioning commenced over Easter at its Plomosas mine in Chihuahua. It also announced that the tailings dam earthworks is completed, laying of the impervious liner is 70% complete, and the power supply installed, commissioned, and operated.  
  • Prime Mining Corp., released drill results from el Zapote South, Noche Buena, and San Miguel East deposits from its ongoing 15,000m phase 1 drill program at its Los Reyes project in Sinaloa. At El Zapote South deposit, significant mineralized drill intercepts have been encountered at hole 21ZAP-04 with 8.95 g/t Au and 74 g/t Ag over 4.5m; hole 21ZAP-03 with 0.76 g/t Au and 33 g/t Ag over 13m, including 1.66 g/t Au and 41 g/t Ag over 4.6m; and hole 21ZAP-08 with 1.96 g/t Au and 63 g/t Ag over 18.7m, including 2.44 g/t Au and 85 g/t Ag over 7.2m. At Noche Buena deposit, hole 21NB-02 encountered 3.17 g/t Au and 141 g/t Ag over 2.9m within a broader zone of 39m with 0.7 g/t Au and 29 g/t Ag; and hole 21NB-03 with 1.12 g/t Au and 30 g/t Ag over 6m. At San Miguel deposit, hole 2SME-01 intersected 1 g/t Au and 131 g/t Ag over 4.5m. Zapote-South, Noche Buena and San Miguel East deposits are three of eight known deposits that comprise the current mineral resource at Los Reyes property.
  • Sonoro Gold Corp., reported results from 12 RC holes drilled at its flagship property Cerro Caliche in Sonora. Highlights include hole SCR-223 in the north western extension of Buena Suerte zone with 0.6 g/t Au over 74.67m, including three intervals of 1.52m with 3.67 g/t Au; hole SCR-222 in the Buena Vista northwest extension of Japoneses zone with 2.04 g/t Au over 15.24m, including 3.15 g/t Au over 6.1m; hole SCR-227 in the northern extension of Japoneses zone with 1.74 g/t Au over 3.05m, including 2.54 g/t Au over 1.53m; and hole SCR-225 at El Colorado zone with 1.16 g/t Au over 7.62m, including 2.31 g/t Au over 3.05m.
  • VanGold Mining Corp., filed a PEA for combined El Pinguico-El Cubo projects in Guanajuato. Results of the PEA analysis were previously announced in the Company’s news release dated February 16, 2021. The company also announced that it obtained permits for El Pinguico road expansion. New route will lessen impact on the Calderones Community. “This road will become El Pinguico’s major thoroughfare for production, exploration, administration, and for safely purposes. The Company anticipates it will reduce driving time between the destinations from 40 minutes to 10 minutes, significantly reducing costs and wear on vehicles”. 

ON DEALS AND CORPORATE ISSUES

  • Discovery Metals Corp., announced name change to Discovery Silver Corp. The company´s common shares will commence trading under the TSX Venture Exchange under its current ticker symbol “DSV” and on the OTCQX where its ticker symbol will change from “DSVMF” to “DSVSF” from April 14, 2021, pending final regulatory approvals from the TSXV and FINRA (Cordero project, Chihuahua).
  • Equinox Gold Corp., completed the acquisition of Premier Gold Mines Limited and the spin out of i-80 Gold Corp. (Los Filos mine, Guerrero and Mercedes mine, Sonora).
  • Gatos Silver Inc., appointed Rodrigo Monroy as General Counsel effective April 1st, 2021, and strengthens its executive management team (Los Gatos mine, Chihuahua).
  • Minaurum Gold Inc., engaged Digital Marketing Firm to assist with online communication to the company, with the goal of increasing market awareness. Minaurum will pay to the Digital Marketing Firm a fee of CAD $64K for six months. The company also granted 3,825,000 common share stock options to Directors, Officers and Consultants. The options are exercisable at a price of $0.52 from a period of ten years from issue date (Alamo Silver project, Sonora).
  • Compañía Minera Autlán, S.A.B. de C.V., reported that, with the prior favorable opinion of the Corporate Practices Committee and approval of its Board of Directors, in a session of February 24, 2021, it was resolved that Pedro Rivero González will assume the General Management of the company as of April 5, 2021 (Molango mine, Hidalgo).
  • Santacruz Silver Mining Ltd., announced that the acquisition of the Zimapan assets, together with the USD $17.6 M loan facility from Trafigura Mexico, S.A. de C.V., are now expected to close on or before April 16, 2021.
  • Tarachi Gold Corp., appointed a new member to its Board of Directors and announced the change of Auditor (Magistral Mill and tailings project, Durango).
  • Torex Gold Resources Inc., announced that it received from Mexico’s Secretariat of Environment and Natural Resources (“SEMARNAT”) the MIA, a key environmental permit for its Media Luna project in Guerrero. The MIA allows Torex to execute construction activities to access its Media Luna deposit in Guerrero.

ON SOCIAL RESPONSIBILITY

  • Arcelor Mittal México SA de CV, delivered a donation of MXP $140K in the framework of its 2021 annual collection to the Red Cross Delegation of Lázaro Cárdenas in Michoacán. ”Arcelor Mittal has made annual donations without interruption. since 2008 to the delegational Red Cross, in addition to collaborating with the worthy institution in different ways: through donations in its annual collections, in kind when necessary, such as the provision of equipment and various supplies, the delivery of an ambulance in 2016 and the repair of three ambulances last year, in addition to the support with facilities for their training”.
  • Fresnillo plc., supported workshop members of the El Obligado Community in Fresnillo, Zacatecas who make face masks for the population of nearby communities. The workshop workers are also suppliers of face masks for the Directorate of Engineering and Construction Department of Industrias Peñoles (DIC). To date, they have sold around 3,000 masks, the same that meet the specifications dictated by the World Health Organization.

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

On the picture above, a magnetite-rich Fe skarn manto in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

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

Orogenic Gold Vein

By Miguel A Heredia

During the twelfth week of the year (March 22th to March 28th, 2021), at least 26 press releases were announced by companies working in Mexico and 4 news published by the media, with seven disclosing deals and corporate issues, seven reporting on resources and development, five announcing financial rounds, five informing on exploration resources, three commenting on Mexican issues, two discussing social issues, and one communicating production and financial results.  ON MEXICO ISSUES, Americas Gold and Silver announced that its Cosala mine in Sinaloa continue on care and maintenance after a group of individuals blocked illegally their operation since last February 2020. The head of the Tax Administration Service (SAT), Raquel Buenrostro, declared that Mining companies pay only 0.0002% of their income in taxes, however, Fernando Alanís, president of the Mexican Mining Chamber (Camimex), stated that mining in Mexico has higher taxes than those of its direct competitors. Mexico’s rich mining industry has been the basis for the success of the automotive industry for more than 500 years. ON EXPLORATION, In Sonora, Silver Tiger reported results from two holes collared at its El Tigre project. In Chihuahua, Radius completed the phase four drilling at its Amalia project.  In Sinaloa, Kootenay commenced a 3,500m core drilling program at its Copalito project, and Brigadier reported that it has rehabilitated, mapped and sampled over 29 newly discovered historic mine workings in the central part of its Picachos project. In Durango, Mithril provided an update on the exploration activities carried out at its Copalquin property. ON MINING, Impact Silver reported the 2020 full year production and financial results from its Zacualpan mine in the State of Mexico. ON  FINANCING, Empress closed its previously announced bought deal offering for gross proceeds of CAD $15.75M, and also closed a non-brokered private placement for gross proceeds of CAD $650K (Pinos project, Zacatecas). Fabled commenced to trade on the OTCQB Venture Marketplace under the symbol “FBSGF” (Santa Maria property, Chihuahua). Gold Resource declared March 2021 monthly dividend (Arista mine, Oaxaca). Silver Spruce granted 250K stock options to a consultant of the company with an exercise price of $0.06 per share (El Mezquite project, Sonora). VanGold granted stock options to officers and directors of the company (El Pinguico property, Guanajuato).  ON RESOURCES AND DEVELOPMENT, Fabled release assay results of hole SM 20-06 from its ongoing 8,000m drilling program on its Santa Maria project at Chihuahua. Golden Minerals announced expansion drilling at its Rodeo project in Durango. GR Silver released assay results from the current core drilling program from its Plomosas property in Sinaloa. Orla provided an update on the construction of its Camino Rojo mine operation in Zacatecas. Sonoro reported results from 20 RC holes drilled at its flagship property Cerro Caliche in Sonora. Torex announced results from the 2020 infill drilling program at its Media Luna property in Guerrero. Zacatecas Silver reported results from the re-sampling of drill core from its Panuco property in Zacatecas.   ON DEALS AND CORPORATE ISSUES, Agnico announced the appointment of a new member to its Board of Directors (Pinos Alton mine, Chihuahua). Chesapeake announced the resignation of its Director (Metates property, Durango). GoGold presented results from its annual general meeting of shareholders (Los Ricos project, Jalisco). Inomin completed the 100% acquisition of the La Gitana and the Peña Blanca properties in Oaxaca from Gunpoint. Orogen appointed a new member to its Board of Directors (El Ermitaño, Sonora). Telson engaged RB Milestone Group LLC to provide corporate communications advisory, non-deal roadshow advisory, market intelligence advisory, and business referrals to the management team of the company (Tahuehueto project, Durango). ON SOCIAL RESPONSIBILITY, AIMMGM Sonora District Ladies Committee recycles to help children with cancer. Peñasquito mine (Newmont) awarded scholarships to students of the Ignacio López Rayón elementary school.

ON MEXICO ISSUES

  • Americas Gold and Silver Corporation announced that its Cosala mine in Sinaloa continue on care and maintenance after a group of individuals including a small minority of the company´s hourly workforce blocked illegally the operation since last February 2020. Americas has participated in a number of meetings and discussions with senior members of the Mexican federal government to regain access to the operations but the last comments made by the Mexican President on March 17, 2020 related to a possible cancelation of the mining concessions are concerning. The company is confident that there is no basis in the fact or in the law that would diminish the company´s property rights.”The company looks forward to continuing to work with the Canadian government, the Mexican Minister of Economy and the Minister of Foreign Affairs in providing the facts, providing solutions and resolving the issues to avoid an arbitration issue between Canada and Mexico. The company looks with optimism to getting our employees back on the job as soon as possible”.
  • The head of the Tax Administration Service (SAT), Raquel Buenrostro, declared that Mining companies pay only 0.0002% of their income in taxes, however, Fernando Alanís, president of the Mexican Mining Chamber (Camimex), stated that mining in Mexico has higher taxes than those of its direct competitors. “Surely the SAT will have its figures, but what the figures tell us is that mining pays taxes and that it has a higher tax rate than any other economic activity in the country and that if a higher tax burden continues to be imposed, mining it will not be attractive in Mexico”. Raquel Buenrostro assured that in order not to raise taxes, the institution that she heads would review the form of payment in the mining sector. In this same theme, figures contained in a study by Price Waterhouse Coopers assure that in Mexico the tax burden for the mining sector is 51.3% of fiscal profit, which places it well above countries such as Canada, Chile, Peru and the United States, which have tax rates of 30 to 39%. In addition, as of this year, the possibility of deducting 50% of the payment of rights on concessions was removed, so the tax rate rose to 52.6%.
  • Mexico’s rich mining industry has been the basis for the success of the automotive industry for more than 500 years. It was stated by Sergio Almazán, president of the Association of Engineers of Mines, Metallurgists and Geologists of Mexico (AIMMGM). For Francisco Quiroga, former Undersecretary of Mining of the Ministry of Economy, mining has allowed Mexico to extract iron to produce, along with carbon, steel, a key product for automotive manufacturing. Karen Flores, general director of the Mexican Mining Chamber (Camimex), agreed, highlighting that the mining sector contributes 8.3% to the industrial GDP and 2.5% to the national GDP. Mexican auto exports totaled USD $40,495M in 2020.

ON EXPLORATION

  • Silver Tiger Metals Inc., reported results from two holes collared at its El Tigre project in Sonora. Hole ET-21-211 collared in the Sooy Vein encountered 0.11 g/t Au, 131 g/t Ag, 0.06% Cu, and 0.44% Pb (156 g/t AgEq) over 14m, including 0.24 g/t Au, 325 g/t Ag, 0.14% Cu, and 1.21% Pb (385 g/t AgEq) over 4.9m, including 0.67 g/t Au,  1,149 g/t Ag, 0.47% Cu, and 4.3% Pb (1,347 g/t AgEq) over 1.4m, while hole ET-21-213 intercepted 0.02 g/t Au, 246 g/t Ag, 0.29% Cu, 0.05% Pb, and 0.05% Zn (279 g/t AgEq) over 8.4m in the Sooy Vein, including 0.05 g/t Au, 1,260 g/t Ag, 1.41% Cu, 0.04% Pb, and 0.25% Zn (1,355 g/t AgEq), and encountered 0.22 g/t Au, 266 g/t Ag, 0.13% Cu, 0.21% Pb, and 0.14% Zn (304 g/t AgEq) over 7.6m in the Sooy Footwall Zone, including  0.12 g/t Au, 808 g/t Ag, 0.35% Cu, 0.45% Pb, and 0.26 % Zn (871 g/t AgEq) over 2.3m, including 0.17 g/t Au, 3,046 g/t Ag, 1.35 % Cu, 1.54% Pb, and 0.86% Zn (3,254 g/t AgEq) over 0.6m.
  • Radius Gold Inc., drilled 4,386m in ten holes to complete the phase four drilling at its Amalia project in Chihuahua, through its JV partner Pan American Silver Corp. Results for holes AMDD20-22 to AMDD21-25 have been previously reported, with results for holes AMDD21-26 to 31 pending. “Geological teams are now conducting detailed mapping and sampling of the El Cuervo extensions and California vein system. New environmental permits have been submitted for drilling of these targets later this year”.
  • Kootenay Silver Inc., commenced a 3,500m core drilling program at its Copalito project in Sinaloa, to test continuity and size in zones already identified in a previous drilling campaign, as well as to test other undrilled target areas in the property.
  • Brigadier Gold Limited reported that it has rehabilitated, mapped and sampled over 29 newly discovered historic mine workings in the central part of its Picachos project in Sinaloa, near the intersection of the ENE trending Cocolmeca Vein system and northwesterly trending El Placer system. The underground workings are concentrated in two areas named El Cobre and El Placer Norte. Sampling results are pending.
  • Mithril Resources Ltd., provided an update on the exploration activities carried out at its Copalquin property, Durango. Hole CDH-054, collared at La Soledad target returned 10.36 g/t Au and 81 g/t Ag over 4.88m, extending the high-grade mineralization further to the west and down dip. The company also reported that a total of 697 soil samples collected at Los Pinos/El Indio, Los Reyes, Refugio and Zaragoza target areas were analyzed with the XRF analyzer identified strong silver anomalies in the district, with values ranging from less than detection (approximately 2 ppm) to 154 ppm Ag. Samples were considered anomalous at or above 5 ppm Ag. Anomalous silver was identified in all targets. Silver is considered to be a good indicator for hidden veins or portions of known veins that are better mineralized. The soil samples were shipped to the lab for Au assays. Results are pending.

ON MINING

  • Impact Silver Corp., reported the 2020 full year production and financial results from its Zacualpan mine in the State of Mexico. The company milled 140,069 tonnes of 172 g/t Ag to produced 646.5K Oz Ag, at a production cost of $80.82 per tonne produced. Impact reported a net income of $2.3M on $15.6 M in revenue and EBITDA of $2.5 M, and mine operating earnings before amortization and depletion of $3.3M. Cash position at December 31, 2020 was $20.4M and working capital of $20.3M.

ON FINANCING

  • Empress Royalty Corp., closed its previously announced bought deal offering for gross proceeds of CAD $15.75M. In addition to the offering, the company closed a non-brokered private placement by the issue of an additional 1.3M units of the company for gross proceeds of CAD $650K (Pinos project, Zacatecas).
  • Fabled Silver Gold Corp., commenced to trade on the OTCQB Venture Marketplace under the symbol “FBSGF” (Santa Maria property, Chihuahua).
  • Gold Resource Corporation declared March 2021 monthly dividend. The company will paid on April 23, 2021, one-third of a cent for common share to shareholders (Arista mine, Oaxaca).     
  • Silver Spruce Resources Inc., granted 250K stock options to a consultant of the company with an exercise price of $0.06 per share and an expiry date of March 23, 2026. The stock options will vest 1/3 on the date of the grant, 1/3 on the first anniversary of the grant and the final 1/3 on the second anniversary of the grant (El Mezquite project, Sonora).
  • VanGold Mining Corp., granted 6.45M stock options, including 3.45M options to officers and directors of the company. The options, which shall vest over a two-year period, are exercisable up to five years from the grant date and have a strike price of $0.51 (El Pinguico property, Guanajuato). 

ON RESOURCES AND DEVELOPMENT

  • Fabled Silver Gold Corp., release assay results of hole SM 20-06 from its ongoing 8,000m drilling program on its Santa Maria project at Chihuahua. Hole 6 intersected six silver bearing structures including five new mineralized north-south trending structures. It encountered 0.06 g/t Au and 49 g/t Ag (53 g/t AgEq) over 0.4m; 0.15 g/t Au and 45 g/t Ag (53 g/t AgEq) over 5.4m; 0.15 g/t Au and 43 g/t Ag (48 g/t AgEq) over 5.3m; and 0.15 g/t Au and 37 g/t Ag (45 g/t AgEq) over 14.7m, including 0.19 g/t Au and 55 g/t Ag (65 g/t AgEq) over 3m, including 0.2 g/t Au and 79 g/t Ag (89 g/t AgEq) over 0.9m. Fabled has completed drill holes SM 20-07 – 09 for a total of 2,134 meters of the ongoing 8,000 meter drilled program completed to date. Holes SM20-07 – 09 have been sampled and submitted to lab for analysis.  Hole SM 20-10 is in progress. 
  • Golden Minerals Company announced expansion drilling at its Rodeo project in Durango. The drill program will consist of 2,000m to test targets adjacent to the current pit with the aim to extend the life of the Rodeo mine well beyond the currently estimated life around 2.5 years.
  • GR Silver Mining Ltd., released assay results from the current core drilling program from its Plomosas property in Sinaloa.  The most significant drill interception was encountered in hole PL121-107 with a shallower intercept of 63 g/t Ag, 0.03 g/t Au, 0.1% Pb, and 0.1% Zn (73 g/t AgEq) over a true width (TW) of 12.9m, including 126 g/t Ag, 0.03 g/t Au, and 0.1% Zn (132 g/t AgEq) over a TW of 4.8m, and a deeper intercept of 377 g/t Ag, 0.23 g/t Au, 0.7% Pb, and 1.5% Zn (466 g/t AgEq) over a TW of 13.5m, including 633 g/t Ag, 0.2 g/t Au, 0.9% Pb, and 1.5% Zn (726 g7t AgEq) over a TW of 4.5m, including 1,987 g/t Ag, 0.58 g/t Au, 1.9% Pb, and 4% Zn (2,218 g/t AgEq) over a TW of 1m.
  • Orla Mining Ltd., provided an update on the construction of its Camino Rojo mine operation in Zacatecas. Orla reported that 94% of the detailed engineering is competed and 93% of the project purchase orders have been made. “Current construction activities include earthworks, installation of the camp and offices, drilling of back-up water wells and site fence erection. Process pond and reclaim tunnel areas are being excavated and foundations are being prepared for the Merrill Crowe plant, crusher, camp, as well as ancillary buildings. The 33-kV power line to site was approved by the Mexican federal electricity commission in 2020 and construction is currently 73% complete. Fabrication of crushing, conveying, and stacking equipment and the Merrill Crowe plant remain on schedule. Process plant equipment began arriving on site in the fourth quarter of 2020. Deliveries thus far include crushing, stacking, conveying equipment and the Merrill Crowe plant as well as heap leach and solution ponds piping and liners”.
  • Sonoro Gold Corp., reported results from 20 RC holes totalling 1,792m drilled at Buena Suerte and Japoneses zones within its flagship property Cerro Caliche in Sonora. Highlights from Buena Suerte area include hole SCR-201 with 0.74 g/t Au over 14m, including 2.09 g/t Au over 1.52m; hole SCR-203 with 0.71 g/t Au over 9m, including 2.04 g/t Au over 1.53m; hole SCR-205 with 0.59 g/t Au over 14m, including 1.53 g/t Au over 1.53m: hole SCR-207 with 0.62 g/t Au over 5m, including 1.3 g/t Au over 1.52m; hole SCR-209 with 0.77 g/t Au over 57m, including 1.79 g/t Au over 1.53m; hole SCR-211 with 4.77 g/t Au over 5m; and hole SCR-219 with 1.43 g/t Au over 16.76m, including 6.47 g/t Au over 1.52m. Highlights from Japoneses area include hole SCR-204 with 1.35 g/t Au over 10.67m, including 6.33 g/t Au over 1.53m; hole SCR-214 with 0.58 g/t Au over 18.29m, including 1.97 g/t Au over 1.52m;  hole SCR-215 with 0.52 g/t Au over 12.2m, hole SCR-218 with 0.5 g/t Au over 22.86m, including 1.95 g/t Au over 1.52m; and hole SCR-220 with 0.53 g/t Au over 22.86m, including 1.84 g/t Au over 1.53m. “Spacing between the Buena Suerte and Japoneses zones has been reduced to approximately 100 meters in the northern extensions indicating the zones may merge with further infill drilling”.
  • Torex Gold Resources Inc., announced results from the 2020 infill drilling program at its Media Luna property in Guerrero. Aim of the infill drilling program is to upgrade the inferred mineral resources to the indicated category. Highlights include hole ML20-407D with 6.16 g/t Au, 79 g/t Ag, and 3.58% Cu (12.73 g/t AuEq) over a true width (TW) of 13.66m; hole ML20-417D with 11.25 g/t Au, 12 g/t Ag, and 0.64% Cu (12.4 g/t AuEq) over a TW of 11.92M; hole ML20-418D with 5.45 g/t Au, 43 g/t Ag, and 2.48% Cu (9.84 g/t AuEq) over a TW of 22.47m; hole ML20-433D with 9.37 g/t Au, 190 g/t Ag, and 6.6% Cu (22.05 g/t AuEq) over a TW of 14.59m; hole ML20-443D with 9.88 g/t Au, 44 g/t Ag, and 1.72% Cu (13.11 g/t AuEq) over a TW of 13.68m; hole ML20-454D with 9.16 g/t Au, 9 g/t Ag, and 0.85% Cu (10.6 g/t AuEq) over a TW of 16.57m; hole ML20-458D with 5.9 g/t Au, 8.7 g/t Ag, and 0.7% Cu (7.11 g/t AuEq) over a TW of 25.47m; and hole ML20-492DA with 25.46 g/t Au, 36 g/t Ag, and 0.83% Cu (27.21 g/t AuEq) over a TW of 22.95m. The infill drilling conducted to date has increased drill density in specific areas of the resource model to an approximate 30-metre spacing (from an approximate 100-metre spacing). The final, upgraded Mineral resource estimate for Media Luna, due for completion in Q1 2022, is expected to provide for a more robust mine plan in the upcoming Feasibility Study.
  • Zacatecas Silver Corp., reported results from the re-sampling of drill core from its Panuco property in Zacatecas being undertake with regards to the resource confirmation process.  A 57 kg sample composite of historic Panuco drill core from one of the higher grade shoots has assayed higher than the grade described in the historic resource, with the sample returning assays of 198 g/t AgEq. (146 g/t Ag, 0.30 g/t Au, 0.13% Zn, and 0.42 % Pb). In addition, a 100Kg composite sample of drill core used in the Panuco resource estimation was sent to the lab for benchmark metallurgical work. Panuco has an historic inferred mineral resource of 19,472,901 Oz AgEq (cut-off 100 g/t AgEq.) from 3,954,729 tonnes at 153 g/t AgEq (136 g/t Ag, 0.14 g/t Au, 0.012% Pb, 0.11% Zn).

ON DEALS AND CORPORATE ISSUES

  • Agnico Eagle Mines Limited announced the appointment of a new member to its Board of Directors (Pinos Altos mine, Chihuahua).
  • Chesapeake Gold Corp., announced the resignation of its Director (Metates property, Durango).
  • GoGold Resources Inc., presented results from its annual general meeting of shareholders (Los Ricos project, Jalisco).
  • Inomin Mines Inc., completed the 100% acquisition of the La Gitana and the Peña Blanca properties in Oaxaca from Gunpoint Exploration Ltd, by exchanging 1M common shares of the Company, $25K cash, and the grant of a 1.5% NSR payable to Gunpoint on the Pena Blanca property (with an option for Inomin to purchase 0.5% of the NSR at any time for $1M). La Gitana is subject to an existing 3% NSR to a third-party which will be assumed by Inomin.
  • Orogen Royalties Inc., appointed a new member to its Board of Directors (El Ermitaño, Sonora).
  • Telson Mining Corporation engaged RB Milestone Group LLC for twelve months to provide corporate communications advisory, non-deal roadshow advisory, market intelligence advisory, and business referrals to the management team of the company (Tahuehueto project, Durango).

ON SOCIAL RESPONSIBILITY

  • AIMMGM Sonora District Ladies Committee sent 790 kilos of plastic caps to the association “Banco de Tapitas”, so that the material is recycled and the proceeds are donated to minors suffering from cancer. Banco de Tapitas A.C. operates throughout Mexico on a non-profit basis, collecting plastic caps to recycle them and generate resources to fund treatments, transfers, medicine and comprehensive support mainly for children with cancer, although it extends its help to people up to 21 years of age.
  • Peñasquito mine (Newmont) awarded scholarships to students of the Ignacio López Rayón elementary school. One of the most important achievements for this school, which has 23 students in the Regular Education Support Unit (three of them with a motor disability), is the construction of two functional ramps for those with this type of disability. One was installed at the entrance of the school and one more within the facilities, so that these students can move freely in their place of study and have autonomy in this space.

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

On the picture above, an outcropping Orogenic Au vein in a project in Sonora, Mexico.  Photo by Miguel A Heredia.

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

Rich-hematite quartz hydrothermal breccia

By Miguel A Heredia

During the tenth week of the year (March 8th to March 148th, 2021), at least 26 press releases were announced by companies working in Mexico and 1 news published by the media, with ten informing on exploration results, six disclosing deals and corporate issues, five reporting on resources and development of their mine operations, two announcing financial rounds, two communicating production and financial results, one discussing social issues and one commenting on Mexican issues.  ON MEXICO ISSUES, First Majestic responded to the several inaccurate and misleading Mexican media articles that have been recently published regarding the ongoing tax dispute with the Government of Mexico (San Dimas mine, Durango).  ON EXPLORATION, In Sonora, Canuc released results of 168 channel chips samples collected at its San Javier project, Silver Spruce and its JV Partner Colibri filed an environmental report for a drilling permit at its Mezquite project, Silver Tiger presented drill results from its El Tigre project, Silver Viper announced drilling results from the last two holes collared at its La Virginia project, and Sonoro reported the latest assay results from its ongoing drill program at its Cerro Caliche project.  In Chihuahua, Gatos Silver commenced a 5,400m drilling program in eighteen holes to test initial targets at its Santa Valeria project located 5km east of its Los Gatos mine.  In Durango, Mithril provided an update on exploration activities carried out at its Copalquin project. In Jalisco, GoGold released results from five holes collared at El Orito Zone within its Los Ricos South project. ON MINING, Fortuna Silver reported Q4 and full year 2020 production and financial results from its San Jose mine in Oaxaca. McEwen announced Q4 and full year 2020 production and financial results from its Los Gallos mine in Sinaloa. ON FINANCING, Gatos Silver reached a definitive agreement with Dowa to increase Los Gatos JV ownership to 70% (Los Gatos mine, Chihuahua). VanGold closed a non-brokered private placement for gross proceeds of $16.95M (El Pinguico and El Cubo properties, Guanajuato).  ON RESOURCES AND DEVELOPMENT, Avino increased its exploration program for 2021 and now will drill 36,000m instead of the previously planned 12,000 at its Avino mine in Durango. Capitan Mining presented drilling results from its Peñoles project in Durango. Consolidated Zinc announced that the crushing commissioning system has commenced at its wholly owned Plomosas plant in Chihuahua.  Fabled released drill results from two holes collared at its Santa Maria project in Chihuahua. Prime filed an application for 7,500 hectares of mineral rights at its Los Reyes property in Sinaloa and commenced a property-wide 1,000 line-kilometer helicopter-borne high resolution aeromagnetic survey over the Los Reyes property. ON DEALS AND CORPORATE ISSUES, Advance Gold signed a purchase agreement to acquire lithium prospective salars in central Mexico as well as the acquisition of a pilot plant. Discovery Metals appointed a new member to its Board of Directors (Cordero project, Chihuahua). Empress Royalty announced that its common shares are eligible for delivery and depository services with the Depository Trust Company to facilitate electronic settlement of transfers of its common shares in the United States (Pinos project, Zacatecas). Gainey announced name change to Masivo Silver Corp (El Colomo, Nayarit). Minaurum entered into an option agreement with ASR Resources to sell 80% of its Adelita project in Sonora. Red Oak announced it was reactivated on the TSX Venture Exchange under the new name Pantera Silver Corp (Nuevo Taxco property, Guerrero). ON SOCIAL RESPONSIBILITY, Fresnillo plc and Larousse have delivered more than seven thousand books in Fresnillo, Zacatecas to youngest members of the household to become interested in reading.

ON MEXICO ISSUES

  • First Majestic Silver Corp., responded to the several inaccurate and misleading Mexican media articles that have been recently published regarding the ongoing tax dispute with the Government of Mexico (San Dimas mine, Durango).

ON EXPLORATION

  • Canuc Resources Corporation, released results of 168 channel chips samples collected from outcrop and small underground workings at its San Javier project. The samples were channel chips ranging from 0.5 to 3.0 meters in length. Over the Northwest Anomaly Area,   a total of 52 samples were collected with an average of  70 g/t Ag, including a value of 718 g/t Ag, 0.81 g/t Au and 1.03% Cu from a sample collected from an old pit overlying the magnetic anomaly. At the Mill-Rock Anomaly Area, characterized by a stockwork and breccia zone covering a strong magnetic high, a total of 75 samples were collected. The average grade was 0.7 g/t Ag, with a highest value of 4.5 g/t Ag, 1.18 g/t Au and 0.45% Cu. At the Southwest Anomaly Area , 19 samples were collected  and averaged 23 g/t Ag and 0.56 g/t Au, with a highest value of 62 g/t Ag, 3.06 g/t Au and 439 ppm Cu. “A diamond drill has been mobilized to the project and has recently commenced drilling on a breccia zone magnetic anomaly which accompanies high-grade silver values, as reported on previously”. 
  • Silver Spruce Resources Inc., filed an environmental report (Informe Preventivo) for drilling permit at its Mezquite project. “The Company intends to conduct an initial 1,500- 2,000 metre diamond drill program to test targets where high grades of mineralization are sampled at surface, with a follow-up Phase 2 drilling program where results warrant. The Company will move forward with logistics planning and drill contractor selection while looking forward to the receipt of geochemistry results and the Informe Preventivo for the project.”
  • Silver Tiger Metals Inc., presented drill results from its El Tigre project in Sonora. Significant drill intercepts were encountered in hole ET-21-203 with 0.07 g/t Au, 154 g/t Ag, 0.21% Cu, 0.1% Pb, and 0.01% Zn (183 g/t AgEq) over 1.2m, and 0.06 g/t Au, 149 g/t Ag, 0.06% Cu, 0.11% Pb, and 0.08% Zn (164 g/t AgEq) over 1.4m on Sooy Vein, as well as  0.22 g/t Au, 556 g/t Ag, 0.51% Cu, 0.45% Pb, 0.20% Zn (638 g/t AgEq) over 9.3m, including 0.56 g/t Au, 1,709 g/t Ag, 1.53% Cu, 1.18% Pb, and 0.44% Zn (1,941 g/t AgEq) over 2.9m on the Footwall Zone; and hole ET-21-07 with 0.18 g/t Au, 670 g/t Ag, 1.04% Cu, 0.68% Pb, and 0.3% Zn over 4.6m, including 0.60 g/t Au, 2,211 g/t Ag, 3.4% Cu, 2.18% Pb, and 0.69% Zn (2,658 g/t AgEq) over 1.3m and 0.08 g/t Au, 291 g/t Ag, 0.67% Cu, 0.06% Pb, and 0.18% Zn (369 g/t AgEq) over 1.8m. The significance of these 2 new holes is that Silver Tiger has followed and confirmed the new “Footwall Discovery Zone” for an initial strike length of 75m to the south of hole ET-21-202, showing a similar strike to the Sooy vein and has some dimension and scale with potentially mineable widths and grades.
  • Silver Viper Minerals Corp., announced drilling results from the last two holes collared at its La Virginia project. Hole LV21-290 intersected several mineralized intervals commencing with 2.6 g/t Au and 54 g/t Ag (3.13 g/t AuEq or 219 g/t AgEq) over a true width (TW) of 4.3m, including 9.2 g(t Au and 242 g/t Ag (12.7 g/t AuEq or 886 g/t AgEq) over a TW of 0.72m, another sub-interval of 2.43 g/t Au and 88 g/t Ag (3.68 g/t AuEq or 258 g/t AgEq) over a TW of 20.1m, including 3.36 g/t Au and 134 g/t Ag (5.27 g/t AuEq or 369 g/t AgEq) over a TW of 7.3m, including 6.11 g/t Au and 239 g/t Ag (9.52 g/t AuEq or 667 g/t AgEq) over a TW of 2.15m, including 10.3 g/t Au and 491 g/t Ag (17.3 g/t AuEq or 1,212 g/t AgEq) over a TW of 0.72m. This hole also encountered 2.34 g/t Au and 77 g/t Ag (3.45 g/t AuEq or 241 g/t AgEq) over a TW of 10.32m, including 11.1 g/t Au and 351 g/t Ag (16.1 g/t AuEq or 1,128 g/t AgEq) over a TW of 0.72m. Hole LV21-291 intersected 8.1 g/t Au and 225 g/t Ag (11.3 g/t AuEq or 792 g/t AgEq) over a TW of 1.5m and a deeper intercept of 0.51 g/t Au and 25 g/t Ag (0.88 g/t AuEq or 61 g/t AgEq) over a TW of 4.5m.
  • Sonoro Gold Corp., reported the latest assay results from its ongoing drill program at its Cerro Caliche project. These results are from 32 holes totalling 2,830m. Highlights include confirmation of a 200mlong, high-grade zone in the northwest extension of Buena Suerte, confirmation of continuous mineralization at the 2km long El Rincon-Veta de Oro-Abejas vein and stockwork gold mineralized zone, and further extension to the new Bellotoso gold mineralized zone through  step-out drilling. Assay highlights include hole SCR-186 collared at Buena Suerte with 1.21 g/t Au over 24.39m, including   1.85 g/t Au over 13.72m;  and hole SCR-198 collared at Los Japoneses Zone with 0.46 g/t Au over 19.81m.
  • Gatos Silver Inc., commenced a 5,400m drilling program in eighteen holes to test initial targets at its Santa Valeria project located 5km east of its Los Gatos mine in Chihuahua. Santa Valeria appears to have similar geologic setting to the Cerro Los Gatos deposit on the eastern flank of the same sedimentary basin.
  • Mithril Resources Ltd., provided an update on exploration activities carried out at its Copalquin project. The company completed twelve diamond drill holes at El Refugio, La Soledad and Los Reyes targets, with several holes intercepting the targeted geological structures. It also completed an extensive soil sampling program at the Cometa and Los Reyes targets. Assay results are pending.
  • GoGold Resources Inc., released results from five holes collared at El Orito Zone within its Los Ricos South project. Hole LRGO-21-007 intersected 0.28 g/t Au, 61 g/t Ag, 0.07% Cu, 0.56% Pb, and 0.58% Zn (121 g/t AgEq) over 12.5m, including 1.29 g/t Au, 172 g/t Ag, 0.20% Cu, 1.3% Pb, and 1.4% Zn (366 g/t AgEq) over 1.6m; hole LRGO-010 with 0.39 g/t Au, 117 g/t Ag, 0.42% Cu, 5.9% Pb, and 0.6% Zn (348 g/t AgEq) over 6.6m, including 0.18 g/t Au, 150 g/t Ag, 0.63% Cu, 11.6% Pb, and 0.8% Zn (523 g/t AgEq) over 3m; and hole LRGO-21-014 with 0.31 g/t Au, 236 g/t Ag, 0.23% Cu, 2.5% Pb, and 3.6% Zn (460 g/t AgEq) over 9.8m, including 0.66 g/t Au, 577 g/t Ag, 0.24% Cu, 2.2% Pb, and 4.3% Zn (845 g/t AgEq) over 3.5m. Holes drilled at El Orito have shown mineralization averaging 50m in width over 600m in strike length and 200m in vertical depth from surface, and is open in all directions.

ON MINING

  • Fortuna Silver Mines Inc., reported Q4 and full year 2020 production and financial results from its San Jose mine in Oaxaca. In Q4, 2020 Fortuna milled 272,179 tonnes of 206 g/t and 1.26 g/t Au to produce 1.65M Oz Ag and 10K Oz Au with metallurgical recoveries of 91% in both metals. The company sold 1.7M Oz Ag and 10.6K Oz Au. Production and AISC were USD $8.91 and USD $14.52 per Oz AgEq. During the full year 2020, Fortuna milled 934,381 tonnes of 224 g/t Ag and 1.38 g/t Au to produce 6.16M Oz Ag and 37.8K Oz Au with metallurgical recoveries of 92% and 91% respectively. The company sold 6.22M Oz Ag and 38.4K Oz Au. Production and AISC were USD $6.74 and USD $9.83 per Oz AgEq respectively.
  • McEwen Mining Inc., announced Q4 and full year 2020 production and financial results from its Los Gallos mine in Sinaloa. The company produced 1,500 GEOs (Oz AuEq) during Q4, 2020 and produced 8,000 GEOs in the full year 2020 from residual leaching. Guidance for the year 2020 is to produce between 4,500-5,900 GEOs.

ON FINANCING

  • Gatos Silver Inc., reached a definitive agreement with Dowa Metals & Mining Co., Ltd to increase Los Gatos JV ownership to 70% (Los Gatos mine, Chihuahua). Gatos Silver repurchased 18.5% of the Los Gatos JV to increase its interest from 51.5 to 70% and extinguish the Los Gatos JV´s USD $60M working capital facility. Now, Gatos Silver´s attributable portion of the working capital facility is USD $42M. Gatos Silver and Dowa expect the repurchase and working capital facility extinguishment to be completed by the end of March 2021.
  • VanGold Mining Corp., closed a non-brokered private placement for gross proceeds of $16.95M. The net proceeds of the private placement will be used to, among other things, complete the acquisition and refurbishment of the El Cubo mine and mill near Guanajuato, Mexico, carry out additional exploration and definition drilling at El Cubo and El Pinguico and fund general corporate and working capital expenditures.   

ON RESOURCES AND DEVELOPMENT

  • Avino Silver & Gold Mines Ltd., increased its exploration program for 2021 and now will drill 36,000m instead of the previously planned 12,000 at its Avino mine in Durango. It will consist of 18,600m to explore high-grade narrow-vein mineralized systems similar to the previous mined San Gonzalo system, and 12,000m at the Oxide Tailings resource. Budgeted capital expenditures for 2021 are now expected to be between USD $9M and USD $11M, up from the original budget of between USD $6M and USD $8M.
  • Capitan Mining Inc., presented ongoing results from its previously announced 6,000m drilling program at its Peñoles project in Durango.  RC Hole 21-CARC-19 intersected 0.32 g/t Au and 6 g/t Ag (0.40 g/t AuEq) over 33.5m, and RC Hole 21-CARC-20 intersected 0.14 g/t Au over 18.3m, including 0.26 g(t Au over 16.8m. “RC Holes 21-CARC-19 and 20 extended mineralized zones along strike (to the west) as well as down-dip, and showed improving grades and widths. Expansion drilling program continues, with new drilling focused on expanding the Capitan Zone along strike to the east. Mineralization remains open along strike and at depth”.
  • Consolidated Zinc Limited announced that the crushing commissioning system has commenced at its wholly owned Plomosas plant in Chihuahua. “The mill and wet end of the plant will be commissioned from 13 March 2021 and, as CZL has over two years’ experience in optimizing processing of Plomosas plant feeds, a short commissioning period is expected”. Processing at Aldama will continue at similar rates to the Q4, 2020, in conjunction with Plomosas plant, to increase revenues and reduce stockpiles. A new specialized haul truck has been purchased for Plomosas to increase ore haulage rates.
  • Fabled Silver Gold Corp., released drill results from two holes collared at its Santa Maria project in Chihuahua. Hole SM20-05 encountered 0.57 g/t Au and 203 g/t Ag (232 g/t AgEq) over 2.20m, including 0.76 g/t Au and 245 g/t Ag (284 g/t AgEq) over 1.60m. This hole also intercepted deeper mineralized intervals such as 0.3 g/t Au and 147 g/t Ag (163 g/t AgEq) over 0.55m, and 0.25 g/t Au and 79 g/t Ag (92 g/t AgEq) over 1.40m. Fabled has completed drill holes SM20-06 – 09 for a total of 2,134 meters of the ongoing 8,000 meter drilled program completed to date. Holes SM20-06 – 09 have been sampled and submitted to lab for analysis. Hole SM 20-10 is in progress.
  • Prime Mining Corp., filed an application for 7,500 hectares of mineral rights at its Los Reyes property in Sinaloa to increase its land position to 13,800 hectares. This concession called El Rey is adjacent to the eastern and northeastern Los Reyes boundary. The company also commenced a property-wide 1,000 line-kilometer helicopter-borne high resolution aeromagnetic survey over the Los Reyes property. Once the airborne geophysical survey is completed, Prime will conduct a LIDAR and Ortophoto survey aid in the ongoing geological mapping of the Los Reyes property and provide critical information on the numerous partially tested and untested structures that host Au-Ag epithermal veins.

ON DEALS AND CORPORATE ISSUES

  • Advance Gold Corp., signed a purchase agreement with Hot Spring Mining to acquire 90% of 13 lithium-potassium-boron prospective salars in central Mexico (Zacatecas and San Luis Potosi States) as well as the acquisition of a pilot plant and a patented extraction method. Hot Spring will retain 10% carried interest to production that will convert to a participating interest upon commercial production. Advance will pay 5M shares upon regular approval of the deal. Advance will purchase the test plant built by Hot Spring for USD $150Kwithin 2 years and will have exclusive rights to proprietary lithium extraction method that has been patented. In the event of a sale of either the mining rights or Advance’s subsidiary, Advance Mexico, 75% of the proceeds will go to Advance Gold and 25% to Hot Spring Mining.
  • Discovery Metals Corp., appointed a new member to its Board of Directors (Cordero project, Chihuahua).
  • Empress Royalty Corp., announced that its common shares are eligible for delivery and depository services with the Depository Trust Company to facilitate electronic settlement of transfers of its common shares in the United States (Pinos project, Zacatecas).
  • Gainey Capital Corp., announced name change effective on March 1, 2021 to Masivo Silver Corp., with a new trading symbol of “MASS” on the TSX Venture Exchange (El Colomo, Nayarit).  
  • Minaurum Gold Inc., entered into an option agreement with ASR Resources Corp.  to sell 80% of its Adelita project in Sonora. ASR can acquire 80% interest in Adelita by issuing shares totalling 16% of its post-IPO shares outstanding, making cash payments totaling  $75K, and incurring $3M in work expenditures over 5 years. Minaurum’s 20% retained interest will be carried until ASR carries out a total of  $4.75M in work expenditures along with completing both a mineral resource calculation in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects and a Preliminary Economic Assessment.
  • Red Oak Mining Corp., announced it was reactivated on the TSX Venture Exchange under the new name Pantera Silver Corp with the ticker symbol “PNTR”. The reactivation on the TSX Venture Exchange was approved as a result of the Company filing a National Instrument43-101 Technical Report entitled the “NI 43-101 Technical Report for Nuevo Taxco Project; Tetipac Municipality, Guerrero State, Mexico” with an effective date of December 7th, 2020.  

ON SOCIAL RESPONSIBILITY

  • Fresnillo plc and Larousse have delivered more than seven thousand books in Fresnillo, Zacatecas to youngest members of the household to become interested in reading. The mining company has given exemplary gifts in the communities in which it operates on different disciplines such as mathematics, Spanish, as well as Spanish and bilingual dictionaries.

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

On the picture above, a rich-hematite quartz hydrothermal breccia in a low sulphidation epithermal system in a prospect in Zacatecas, Mexico.  Photo by Miguel A Heredia.

Advance Gold Adds Lithium Salars To Its Mexican Portfolio

Advance Gold Corp. (TSXV: AAX) (“Advance Gold” or “the Company”) is pleased to announce that, its wholly owned Mexican subsidiary, Advance Gold S.A. de C.V., (“Advance Mexico”), has signed a purchase agreement to acquire a series of 13 lithium-potassium-boron prospective salars in central Mexico. Additionally, it will acquire a pilot plant….

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

By Miguel A Heredia

During the fourth week of the year (February 22th to February 28th, 2021), at least 39 press releases were announced by companies working in Mexico and 7 news published by the media, with eleven announcing financial rounds, nine reporting  on resources and development of their mine operations, seven disclosing deals and corporate issues, six commenting on Mexican issues, five informing on exploration results, five discussing social issues, and three communicating production and financial results.  ON MEXICO ISSUES, Mining and Steel companies resumed activities after power outage. Mining is on alert for the possibility that the Mexican Congress approves the initiative of President Andrés Manuel López Obrador to modify the Electricity Industry Law and favor Federal Electricity Commission (CFE). Los Gatos Silver announced restoration of full grid power at its Cerro Los Gatos mine in Chihuahua. According to the Fraser Institute, Chile, Peru, and Mexico have lost global appeal for mining investment. According to Fresnillo plc, half of the electricity used by the La Herradura mine in Sonora comes from clean energy. The president of Mexico, Andrés Manuel López Obrador, has remained firm in his decision not to grant new mining concessions, a measure that has been described as one of the main challenges for the sector.  ON EXPLORATION, In Sonora, Aztec Minerals and its JV partner Kootenay commenced 2021 exploration program at its Cervantes project, and SilverCrest released drill results from its Picacho project. In Nayarit, Xali delineated new drill targets at its El Dorado project. In Jalisco, GoGold released drill results from 12 holes collared at its Los Ricos North project.  ON MINING, Capstone informed that it is on track for ramp-up to 3,780 tonnes per day at its Cozamine mine in Zacatecas by end of Q1, 2021, and reported Q4 and full-year 2020 production and financial results. Gold Resource reported full year 2020 production and financial results from its Don David mine in Oaxaca. Torex announced Q4, 2020 and full year 2020 production and financial results from its Limon-Los Guajes mine complex in Guerrero.  ON FINANCING, Carlyle granted stock options to directors and consultants (Cecilia project, Sonora). Coeur announced its intention to offer USD $350M of senior notes due 2029 (Palmarejo mine, Chihuahua). Capstone closed a USD $150M silver stream agreement with Wheaton Precious Metals (Cozamine mine, Zacatecas). Discovery Metals announced that an aggregate of 31,140,000 common share purchase warrants were exercised (Cordero project, Chihuahua). Fabled announced an exercise of warrants for gross proceeds of $4,150,000 (Santa Maria property, Chihuahua). Orla completed layback agreement with Fresnillo on its Camino Rojo project in Zacatecas. Santacruz, through its subsidiary Carrizal Mining, entered into a definitive agreement with Minera Cedros, a subsidiary of Industrias Peñoles, to acquire the Zimapan mine in Hidalgo. SilverCrest completed its previously announced bought deal offering for gross proceeds of USD $138,069,000 (Las Chispas project, Sonora). Telson executed a LOI with Accendo Banco to provide financing up to USD $25M to complete the construction of its Tahuehueto mine in Durango, and also granted stock options to certain directors, officers, and insiders.  ON RESOURCES AND DEVELOPMENT, Alamos Gold reported minerals reserves and resources for the year-ended 2020 (Mulatos mine, Sonora). Aloro informed that Alamos Gold has initiated its field exploration program on its Los Venados project in Sonora. Chesapeake presented its 2021 work program at its Metates project in Durango. Excellon released results from underground expansion and exploration drilling from its Platosa property in Durango. Fabled released results from the third drill hole collared at its Santa Maria property in Chihuahua. GR Silver announced that it is conducting a ground geophysics program at its San Marcial project in Sinaloa, incorporating magnetometry and 3D IP. Orogen provided an update on its Ermitaño property in Sonora. Prime announced that a fifth core drill rig has been added at Los Reyes project, Sinaloa. Xtierra released drill results from two holes collared at the Victor Vein at its Bilbao deposit in Zacatecas.  ON DEALS AND CORPORATE ISSUES, Barksdale announced the appointment of its Corporate Secretary as well as the grant of stock options to directors, employees and consultants. Colibri signed an option agreement with Bimsa to acquire 100% interest in the Diamante gold project in Sonora. Equinox announced that shareholders and optionholders of Premier approved the acquisition (Mercedes mine, Sonora). GR Silver announced the appointment of its VP Corporate Comminications (Plomosas property, Sinaloa). Autlan announced the appointment of its CEO (Molango mine, Hidalgo). US Antimony announced that trading of its common shares at the New York Stock Exchange (NYSE) has been halted. VanGold announced the appointment of Ramón Dávila to join to its Advisory Board (Pinguico property, Guanajuato).   ON SOCIAL RESPONSIBILITY, Fresnillo plc through its San Julian mine reinforced sanitary measures with campaign in Guadalupe and Calvo, Chihuahua. Minera Media Luna (Torex Gold) and the Universidad de Guerrero signed an environmental monitoring agreement (Limon-Guajes mine complex, Guerrero). Minera Peñasquito (Newmont) donated ventilators to the Medical Specialties Unit (UNEME) in Zacatecas. Mina Santa Elena (First Majestic) donated rapid COVID 19 antigen tests and face masks to municipalities of Baviácora, Aconchi, San Felipe de Jesús, Huépac, Banámichi, and Arizpe in Sonora.

ON MEXICO ISSUES

  • Mining and Steel companies operating in Mexico resumed activities after power outage. The companies normalized their operations after the energy deficit caused by the polar wave in Texas affected their operations. Local operations in the silver, gold, coal and iron mines were suspended or restricted after the US state halting natural gas exports amid a historic winter storm. The interruption of natural gas shipments has generated calls for Mexico to invest in gas storage and diversify its energy matrix.
  • Mining is on alert for the possibility that the Mexican Congress approves the initiative of President Andrés Manuel López Obrador (AMLO) to modify the Electricity Industry Law and favor Federal Electricity Commission (CFE). AMLO said that he will seek to get his proposal approved without changing a single comma. The government last week began a campaign to emphasize the alleged damage that the actions of the IP have brought to the company headed by Manuel Bartlett. Mining is one of the industries that will be affected. Simply the companies that invested in self-supply projects managed to lower the cost of the fluid from 12 or 13 cents of a kilowatt (kw) / hour to 6.5 cents. Those that depend on CFE pay between 8 and 9 cents per kw / hour, far from the level of their competitors in Peru or Chile, which are at 6 cents, let alone those in the US at 4 cents and Canada 2 cents.
  • Los Gatos Silver Inc., announced restoration of full grid power at its Cerro Los Gatos mine in Chihuahua. Given the expedited restoration of full grid power, the outage has had minimal impact on the Company’s mining and processing activities.
  • According to the Fraser Institute, Chile, Peru, and Mexico have lost global appeal for mining investment. In Mexico, concerns about the policies of President Andrés Manuel López Obrador explain the reason for his fall from 4 positions in attractiveness to invest, to place 42. In perception of its policies, it was located in a weak 61st place after descending 10 notches. “The Federal Government is hostile towards the mining industry and is not issuing new permits,” said a company president, echoing concerns the industry has recently expressed.
  • According to Fresnillo plc, half of the electricity used by the La Herradura mine in Sonora comes from clean energy such as wind and solar, with which, through its strategy of sustainability reiterates its commitment to caring for the environment. It has allowed the saving of 4,051 Mhw, which represents an estimated reduction of 2 thousand 358 tons of CO2e. The company reports that for a decade it has invested in the use of renewable energy sources in order to make its processes cleaner and, with it, to be able, in the medium term, to achieve that 75% of its electricity consumption comes from of wind energy.
  • The president of Mexico, Andrés Manuel López Obrador (AMLO), has remained firm in his decision not to grant new mining concessions, a measure that has been described as one of the main challenges for the sector.  AMLO has repeatedly said that his administration will not award new concessions, as his predecessors would have given parts of the country to mining companies too easily. While it may be difficult to obtain new concessions, mining companies can still acquire properties in the secondary market, since there are concession holders who are willing to sell if necessary.

ON EXPLORATION

  • Aztec Minerals Corp.,  and its JV partner Kootenay Silver Inc., commenced their 2021 exploration program at its Cervantes project in Sonora. The plan is to conduct a +500 soil samples to cover 518 hectares with 100m by 100m spaced samples aimed at extending previous soils grid and covering the Estrella and California North targets to the western, northern, and eastern limits of the property. Detailed lithologic, alteration, structural mapping and rock chip sampling will proceed along with the soil sampling program.
  • SilverCrest Metals Inc., released drill results from its Picacho project in Sonora. The best intercepts from initial drilling include hole PI-20-006 with 40.49 g/t Au, and 260 g/t Ag (3,297 g/t AgEq) over a true width (TW) of 7.25m; and hole PI-20-001 with 8.5 g/t Au and 51 g/t Ag (689 g/t AgEq) over a TW of 16.4m. To date, 42 drill holes have been collared at the Picachos property, with 21 intercepting an average of 4.1m with grades of 8.14 g/t Au and 50 g/t Ag (660 g/t AgEq).
  • Xali Gold Corp., delineated new drill targets at its El Dorado project in Nayarit, through the development of a new 3D geological model. The 3D model visualized high grade mineralization occurring in multiple parallel veins. Drill permits are in progress and are expected to take 3-4 months to get them approved.  Drilling is planned to test potential lateral extensions to the high grade zone.
  • GoGold Resources Inc., released drill results from 12 holes collared at its Los Ricos North project. Significant drill intercepts were encountered in hole LRGF-20-025 (Salomon area) with 0.26 g/t Au, 95 g/t Ag, (1.53 g/t AuEq or 115 g/t AgEq) over 70.5m, including 0.59 g/t Au and 251 g/t Ag (3.94 g/t AuEq or 295 g/t AgEq) over 20.1m, including 0.99 g/t Au and 404 g/t Ag (6.37 g/t AuEq or 478 g/t AgEq) over 10.1m, hole  LRGF-20-025 (Guitarrillas area) with 0.35 g/t Au and 107 g/t Ag (1.77 g/t AuEq or 133 g/t AgEq) over 18.3m, including 2.17 g/t Au and 566 g/t Ag (9.71 g/t AuEq or 728 g/t AgEq) over 2m; hole LRGF-21-033 (Salomon area) with 0.59 g/t Au and 116 g/t Ag (2.14 g/t AuEq or 160 g/t AgEq) over 33.9m, including 1.25 g/t Au and 433 g/t Ag (7.02 g/t AuEq or 527 g/t AgEq) over 3m; hole LRGF-21-033 (Guitarrillas area) with 1.94 g/t Au and 275 g/t Ag (5.6 g/t AuEq or 420 g/t AgEq) over 5.8m, including 4.14 g/t Au and 544 g/t Ag (11.39 g/t AuEq or 854 g/t AgEq) over 2.1m; and hole LRGF-21-033 (Los Chivos area) with 2 g/t Au and 486 g/t Ag (8.48 g/t AuEq or 636 g/t AgEq) over 8.8m, including 7.36 g/t Au and 1,693 g/t Ag (29.94 g/t AuEq or 2,245 g/t AgEq) over 2.3m.

ON MINING

  • Capstone Mining Corp., informed that it is on track for ramp-up to 3,780 tonnes per day at its Cozamine mine in Zacatecas by end of Q1, 2021.  During the period Q4, 2020, Capstone produced 10.3M Lb Cu at a cash cost of USD $0.63 per Lb Cu produced, and a total of 37.9M Lb in 2020 at a cash cost of USD $0.69 per Lb Cu produced.
  • Gold Resource Corporation reported full year 2020 production and financial results from its Don David mine in Oaxaca.  The company produced 20,473 Oz Au, 1.19M Oz Ag, 3.57M Lb Cu, 17.3M Lb Pb, and 44.12M Lb Zn in 2020, at a cash and AISC of USD $784 and USD $1,365 respectively per Oz AuEq, for a net income of USD $4.4M with revenue of USD $90.7M and mine gross profit of USD $12.5M.
  • Torex Gold Resources Inc., announced Q4, 2020 and full year 2020 production and financial results from its Limon-Los Guajes mine complex in Guerrero.  Torex produced in Q4, 2020, a total of 130,649 Oz Au at a cash and AISC of USD$579 and USD $886 per Oz Au produced, and sold 133,063 Oz Au for a net income USD $91.9M an adjusted EBITDA of USD $158.5M, cash flow from operations of USD $137.1M, and a free cash flow of USD $70.3M.  For the full year 2020, Torex reported a production of 430,484 Oz Au, at a cash an AISC of USD $672 and USD $924 per OZ Au produced respectively, with a sale of 437,310 Oz Au at a realized Au price of USD $1,771 per Oz, for revenue of USD $789M, a net income of USD $109M, an adjusted EBITDA of USD $431M, and an operating cash flow of USD $342M. Net cash for the year 2020 was USD $161.6M.

ON FINANCING

  • Carlyle Commodities Corp., granted stock options to directors and consultants for the purchase of 2.79M shares. The options are exercisable for a period of 5 years at an exercise price of $0.14 per share (Cecilia project, Sonora).
  • Coeur Mining Inc., announced its intention to offer USD $350M of senior notes due 2029. Net proceeds from the Offering will be used to pay the purchase price and tender premium for up to all USD $230M aggregate principal amount of its 5.875% senior notes due 2024, to pay the redemption price to redeem any of the 2024 notes that are not so tendered in the concurrent tender offer and to pay the fees and expenses in connection with the offering, the concurrent tender offer and any redemption of the 2024 notes. To the extent that the company has excess proceeds from the offering, the company intends to use such excess amounts for general corporate purposes (Palmarejo mine, Chihuahua). 
  • Capstone Mining Corp., closed a USD $150M silver stream agreement with Wheaton Precious Metals.  “All conditions to complete the Stream Agreement have been fulfilled and Capstone has received USD $150M from Wheaton for 50% of the silver productions until 10M Oz Ag have been delivered, thereafter dropping to 33% of silver production, for the life of mine from the Company’s Cozamin Mine in Zacatecas, Mexico. Wheaton will make ongoing payments equal to 10% of the spot silver price at the time of delivery for each ounce delivered to them”. 
  • Discovery Metals Corp., announced that an aggregate of 31,140,000 common share purchase warrants were exercised at a price of CAD $1.0 for gross proceeds of approximately CAD $31M. The company´s current cash balance has increased to approximately CAD $98M (Cordero project, Chihuahua)
  • Fabled Silver Gold Corp., announced an exercise of warrants for gross proceeds of $4,150,000. Following the exercise of the warrants, Fabled continues to have a total of 50,500,000 share purchase warrants outstanding that were previously issued under the financing. The Company has 185,251,903 total shares issued and outstanding as at February 19, 2021 (Santa Maria property, Chihuahua).   
  • Orla Mining Ltd., completed layback agreement with Fresnillo on its Camino Rojo project in Zacatecas. Orla will pay Fresnillo a total cash consideration of USD $62.8M through staged payments. The first payment of USD $25M was due to Fresnillo on closing of the transaction.
  • Santacruz Silver Mining Ltd., through its subsidiary Carrizal Mining SA de CV,   entered into a definitive agreement with Minera Cedros, a subsidiary of Industrias Peñoles SAB de CV, to acquire the Zimapan mine in Hidalgo and related assets, for a total consideration of USD $20M plus a VAT of USD $3.2M.  Assets to be acquired include a processing facility with a capacity of 75K dry tonnes per month, and Zn, Pb, Cu circuits; surface and underground infrastructure required for day to date operations; and 34 mining concessions totalling 5,139 hectares. Santacruz also entered into a loan facility with Trafigura México SA de CV in the amount of USD $17.6M from which USD $15M will be advanced to Peñoles on behalf of Carrizal on closing of the acquisition. The remains balance, USD $8.2M, is being financed by Minera Cedros. The USD $2.6M balance of the Trafigura loan represents the refinancing of existing debt owing to Trafigura by Carrizal and an affiliate.
  • SilverCrest Metals Inc., completed its previously announced bought deal offering for gross proceeds of USD $138,069,000. Gross proceeds will be used to expand the Las Chispas resources and reserves, through further drilling, to optimize the mine and processing plant design, to explore regional targets, and for general working capital purposes.  
  • Telson Mining Corporation executed a LOI with Accendo Banco SA de CV to provide financing up to USD $25M to complete the construction of its Tahuehueto mine in Durango. Telson also granted stock options to certain directors, officers and insiders of up to an aggregate 4.7M shares in the capital stock of the Company.  The options are exercisable on or before February 25, 2026 at a price of $0.30 per share, and the Company has also re-priced 1,873,333 stock options originally granted as to; 1,423,333 exercisable at $0.71 till November 10, 2022, 400,000 exercisable at $0.72 till April 16, 2023 and 50,000 exercisable at $0.71 till April 23, 2023.

ON RESOURCES AND DEVELOPMENT

  • Alamos Gold Inc., reported minerals reserves and resources for the year-ended 2020. Proven and probable reserves at Mulatos mine in Sonora are 33,935,000 tons of 1.24 g/t Au for a total of 1.35M Oz Au. Measured + indicated resources are 74,193.000 tonnes of 1.09 g/t Au for a total of 2.6M Oz Au, and Inferred resources are 9,291,000 tonnes of 0.91 g/t Au for a total of 271K Oz Au. Mineral reserves are exclusive of mineral resources.
  • Aloro Mining Corp., informed that Alamos Gold has initiated its field exploration program on its Los Venados project in Sonora. Focus of the program is the south portion of the property, adjacent to the Mulatos open pit.
  • Chesapeake Gold Corp., informed over its 2021 work program at its Metates project in Durango. This program will consists of approximately 2,500m drilling to recover 10 tonnes of PQ size material to conduct on 40 test columns metallurgical testwork focused on a new heap leach option, to determine the impacts of size, regent strengths, and ore types to determine the optimum oxidation and precious metal leaching parameters. In parallel, Chesapeake will update the previous PSF and add a scoping study for the sulphide heap leach to demonstrate the potential upside of this option.
  • Excellon Resources Inc., released results from underground expansion and exploration drilling from its Platosa property in Durango. Significant drill intercepts were encountered at the Rodilla, NE-1S, and Pierna Mantos with diamond drilling from underground in hole EX20UG491 at the Rodilla Area with 1,023 g/t Ag, 9.3% Pb, 4.5% Zn, and 0.1 g/t Au (1,422 g/t AgEq) over 8.9m, including 3,499 g/t Ag, 29.7% Pb, 10.3% Zn, and 0.1 g/t Au (4,623 g/t AgEq) over 2.2m; hole EX20UG493 at NE-1S Area with 673 g/t Ag, 6.7% Pb, and 7.1% Zn (1,092 g/t AgEq) over 2.4m;  hole EX20UG506 at 623 Area with 1,258 g/t Ag, 7.5% Pb, 2.4% Zn, and 0.1 g/t Au (1,258 g/t AgEq) over 1.6m; and hole EX21UG515 at Gap Area with 721 g/t Ag, 4.1% Pb, and 4.5% Zn (984 g/t AgEq) over 4m. Drilling continues to define and discover new mineralization in the gap Area with 300m of potential mineralized strike to be explored.
  • Fabled Silver Gold Corp., released results from the third drill hole collared at its Santa Maria property in Chihuahua. This third hole is part of an ongoing 8,000m drill program and intersected 85 g/t Ag and 0.49 g/t Au over 12.5m, including 214 g/t Ag and 1.08 g/t Au over 1.8m. “The 12.50 meter intersection has clearly defined a footwall and hanging wall structure with corresponding elevated silver values up to over 7 ounces of silver and remains open at depth. More importantly, the structure is very conformable and intersected exactly where predicted, which bodes very well for the expansion of Santa Maria and increasing the present NI 43-101 resources on the property with only 3 drill holes drilled to date.”
  • GR Silver Mining Ltd., announced that it is conducting a ground geophysics program at its San Marcial project in Sinaloa, incorporating magnetometry and 3D IP. The survey will initially focus on the resource area to characterize the known Ag-Pb-Zn mineralization therein, which hosts the NI 43-101 resource.
  • Orogen Royalties Inc., provided an update on its Ermitaño property in Sonora, currently under control of First Majestic Silver Corp., where Orogen holds a 2% NSR. Last January, First majestic announced a USD $42.1M investment for the development of Ermitaño project to support the construction of an underground mine infrastructure that began last year. First majestic plans to release a PEA by the end of March, and is currently conducting hydrological studies and geotechnical drilling for an upcoming PFS that is expected to be released in H2, 2021.  In addition, the company also plans to extract 30K to 60K tonnes of material for metallurgical testwork.
  • Prime Mining Corp., announced that a fifth core drill rig has been added at its Los Reyes project, Sinaloa. Prime commenced a 15,000m drill program in December 2020 and only ten has been completed to date. The plan is to complete the phase 1 drilling before onset of the rainy season in mid-August, complete a new geological resource model during the rainy season hiatus and then initiate an aggressive Phase 2 drilling program in Q4 2021.
  • Xtierra Inc., released results from two holes collared at the Victor Vein, located adjacent to and west of its Bilbao deposit in Zacatecas. Hole X6B intersected 108 g/t Ag, 0.31% Pb, 0.08% Zn, and 0.03% Cu (120 g/t AgEq) over a true width (TW) of 1.148m, and hole X7B intersected 61 g/t Ag, 5.5% Pb, 4.41% Zn, and 0.08% Cu (336 g/t AgEq) over a TW of 9.37m, including 82 g/t Ag, 6.8% Pb, 6.9% Zn, and 0.29% Cu over a TW of 0.61m, including 63 g/t Ag, 6% Pb, 6.4% Zn, and 0.08% Cu (412 g/t AgEq) over a TW of 0.36m, including 119 g/t Ag, 13.6% Pb, 11.4% Zn, and 0.01% Cu (795 g/t AgEq) over a TW of 0.70m, and including 107 g/t Ag, 8.2% Pb, 6.9% Zn, and 0.54% Cu (566 g/t AgEq) over a TW of 0.50m.

ON DEALS AND CORPORATE ISSUES

  • Barksdale Resources Corp., announced the appointment of its Corporate Secretary as well as the grant of stock options to directors, employees and consultants (San Javier project, Sonora).
  • Colibri Resources Corporation signed an option agreement with Bimsa Minera SA de CV to acquire 100% interest in the Diamante gold project in Sonora.   The Diamante property comprises two 1,057 hectares in two properties that borders El Mezquite project immediately to the west, and about 1.6km northwest of Colibri’s 1,130-ha Jackie project. To earn an initial 50%, Colibri has to pay USD $100K and incur the expense of completing 2,000m of drilling over the course up to two years, and also will be responsible for all exploration cost while preparing for such drilling program. In addition, Colibri will pay ½ of the property tax and security costs during this period.  Upon completion of its 50% earn-in, Colibri will become equal joint venture partners with Bimsa Minera and then Colibri will have an exclusive period of six months to purchase the remaining 50% of the joint venture by paying Bimsa Minera either of: i) USD $2.1M or ii) USD $1.4M and the grant of a 2% net smelter royalty (NSR) on the project.
  • Equinox Gold Corp., announced that shareholders and optionholders of Premier Gold Mines Limited approved the acquisition by Equinox Gold. “On closing of the Transaction, Premier shareholders will receive 0.1967 of an Equinox Gold share for each Premier share held, such that existing Equinox Gold and Premier shareholders will own approximately 84% and 16% of Equinox Gold, respectively, on an issued share basis. The Transaction is expected to close in March subject to certain regulatory approvals and other customary closing conditions”.  By approving the Transaction, Premier securityholders also approved the spin-out to Equinox Gold and Premier shareholders shares of a newly created US-focused gold production and development company to be called i-80 Gold Corp. (Mercedes mine, Sonora).
  • GR Silver Mining Ltd., announced the appointment of its VP Corporate Comminications (Plomosas property, Sinaloa).   
  • Compañía Minera Autlan SAB de CV announced the appointment of its CEO (Molango mine, Hidalgo).   
  • US Antimony Corporation announced that trading of its common shares at the New York Stock Exchange (NYSE) has been halted since before the opening of trading on Wednesday, February 17, 2021 as a consequence of selling common shares in a manner that violated Sections 301 and 713 of the Company Guide. “The violations relate to two non-underwritten transactions involving the sale of an aggregate of26,290,000 shares of common stock at a discount to the market price at the time of each transaction, with the first transaction, which closed on February 3, 2021, involving the sale of 15,300,000 shares of common stock at a purchase price of $0.70 per share, and with the second transaction, which closed on February 16, 2021, involving the sale of 10,990,000 shares of common stock at a purchase price of $1.30 per share”. The Company has been advised by NYSE Regulation that the Company’s common stock will resume trading on the NYSE American following the issuance of this press release and the filing of a Current Report on Form 8-K disclosing the receipt of the Letter, which the Company anticipates will be prior to the open of trading on Friday, February 19, 2021.
  • VanGold Mining Corp., announced the appointment of Ramón Dávila to join to its Advisory Board (Pinguico property, Guanajuato).  

ON SOCIAL RESPONSIBILITY

  • Fresnillo plc reinforced sanitary measures with campaign in Guadalupe and Calvo, Chihuahua.  Personnel from the San Julian mine delivered five thousand washable face masks through a caravan of more than 25 volunteers. The municipality of Guadalupe y Calvo has received different donations of face masks from the mining company that operates San Julian mine, adding more than 30 thousand items delivered. These surgical cloth mouth covers were manufactured by the “Yerbitas” community sewing workshop.
  • Minera Media Luna (Torex Gold) and the Universidad de Guerrero signed an environmental monitoring agreement  to encourages the inhabitants of Nuevo Balsas, Atzcala and Mezcala, communities located around the El Caracol dam and the Balsas rivers and San Juan de Cocula, to get involved in the Participatory Environmental Audit. “During the protocol ceremony, it was reported that 42 residents of Nuevo Balsas have participated in the taking of water and sediment samples, another 260 fishermen from the same town, Atzcala and Mezcala were surveyed for the evaluation of the fishing effort”. (Limon-Guajes mine complex. Guerrero).
  • Minera Peñasquito (Newmont) donated ventilators to the Medical Specialties Unit (UNEME) in Zacatecas. This UNEME has been converted into a COVID-19 Hospital for services of health, which receives people affected by SARS -Cov 2 from the State of Zacatecas, who require hospitalization and who are not beneficiaries of other social security systems. With this donation, Newmont reaffirms its commitment to Zacatecas in support of the most vulnerable population in the state and joins the efforts of health authorities in their fight against this pandemic. Newmont has delivered in Zacatecas more than MXP $28M, in hospital supplies and food packages.
  • Mina Santa Elena (First Majestic) donated rapid COVID 19 antigen tests and face masks to municipalities of Baviácora, Aconchi, San Felipe de Jesús, Huépac, Banámichi, and Arizpe in Sonora, with the aim of detecting suspicious cases and mitigating risks of contagion.

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

On the picture above, a quartz hydrothermal breccia displaying cockade texture and a quartz vein displaying boiling texture in an intermediate sulphidation epithermal system in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia., Mexico.

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

Quartz blade (boiling texture)

By Miguel A Heredia

During the fifty eight week of the year (November 30th to December 06th, 2020), at least 25 press releases were announced by companies working in Mexico and 7 news published by the media, with fourteen disclosing deals and corporate issues, six informing on exploration results, four discussing social issues, three reporting on resources and development of their mine operations, three commenting on Mexican issues, and two communicating production and financial results.  ON MEXICO ISSUES, Fernando Alanis, President of The Mexican Mining Chamber (CAMIMEX) declared that mining is one of the most regulated sectors that care for the environment.  There is a great hope to reactivate the economy of Naica, Chihuahua.  Newmont Corporation, operator of the Peñasquito mine in Zacatecas, reported to the Ministry of the Interior the progress of the definitive agreement to end the conflict with ejidatarios.   ON EXPLORATION, In Sonora, Tocvan and its JV partner Colibri announced the commencement of a 1,500m RC drilling program at its El Pilar project and Tarachi released drill results from its la Dura mine. In Chihuahua, Golden Minerals reported that it has completed a 3,400m drilling program in 15 drill holes at its Yoquivo project. In Sinaloa, Prismo has commenced a 500m drilling program at its Palos Verdes project. In Durango, Mithril provided an update on the drilling activities carried out at its Copalquin project.  ON MINING, Mexus announced that leaching commenced at its 250,000 tonnes leach pad at its Santa Elena mine in Sonora. Santacruz announced Q3, 2020 financial results from its Mexican operations.  ON FINANCING, no relevant information.  ON RESOURCES AND DEVELOPMENT, Capitan Mining released RC drill results from the first seven holes collared at its Peñoles project in Durango, expanding the known gold mineralization. Endeavour intersected high grade mineralization at its Bolañitos mine in Guanajuato. VanGold reported underground channel sampling results from its Pinguico mine in Guanajuato, with assays up to 1,136 g/t AgEq.  ON DEALS AND CORPORATE ISSUES, Almaden announced that the court decision upholded the original, 14,000 Ha larger concessions, which the Company originally held at its Ixtaca project in Puebla. Auxico announced the resignation of one of its directors and the appointment of a new member to its board of directors (Zamora property, Sinaloa). Barksdale announced that its common shares commenced to trade on the OTCQX best market in the USA under the symbols “BRKCF” (San Javier project, Sonora). Defiance announced that it has entered into an option agreement with Pan American Silver to acquire 100% interest in the Lucita property in Zacatecas. Fabled closed its previously announced acquisition of the Santa Maria mine in Chihuahua. Fortuna Silver provided and update on the status on a dispute royalty on one of its extracting mining concessions at its San Jose mine in Oaxaca. Magna Gold announced the change of its fiscal year-end from March 31 to December 31 (San Francisco mine, Sonora).  Orex announced management changes (Sandra-Escobar project, Durango).  Orla Mining appointed a new member to its board of directors (Camino Rojo project, Zacatecas). Prismo announced that it has entered into an option agreement to acquire the remaining 25% interest in the Palos Verdes property in Sinaloa. Silver Spruce signed a definitive agreement to acquire 50% interest in the Jackie property in Sonora. Tarachi announced the appointment of its new CFO and its Corporate Secretary (La Dura mine, Sonora). Vizsla appointed its new CFO (Panuco project, Sinaloa). ON SOCIAL RESPONSIBILITY, The Sonora Mining Cluster recognized 40 partners for their commitment to Corporate Social Responsibility (CSR), during the closing of the MINNOVACIÓN 2020 Forum. Fresnillo plc donated 30,000 face masks to the Zacatecas State Government.  Newmont Peñasquito delivered pantries and cleaning kits in localities of Mazapil. The mining sector in Mexico has supported efforts to alleviate the effects of the COVID-19 pandemic.

ON MEXICO ISSUES

  • Fernando Alanis, President of The Mexican Mining Chamber (CAMIMEX) declared that mining is one of the most regulated sectors that cares for the environment. The mining sector makes strong investments to promote social development at its communities, invests in environmental issues and is one of the main producers of trees and reforestation. Mining complies with 1,077 federal, state and municipal requirements in compliance with standards, laws and regulations.
  • Economy in Naica, Chihuahua could be reactivated since there has already been a proposal acceptable by members of the Naica Ejido and the Peñoles Mining Company for the extraction of water for agricultural use, and in turn the company will start with the exploration works contemplating a possible opening of the mine. For now, the hiring of 40 people is contemplated to work in the mine, and the ejidatarios will start fallow work.
  • Newmont Corporation, operator of the Peñasquito mine in Zacatecas, reported to the Ministry of the Interior the progress of the definitive agreement to end the conflict with ejidatarios.  The company reported that 95% of the ejidatarios have received a payment for the rental of lands for exploration. It also confirmed that a permit was obtained from the National Water Commission (CONAGUA) for the drilling of a domestic water well, which will benefit Ejido Cedros.

ON EXPLORATION

  • Tocvan Ventures Corp., and its JV partner Colibri Resource Corp., announced the commencement of a 1,500m RC drilling program at its El Pilar project.  This RC drilling has been designed to confirm selected historical drilling and extend mineralization in the Main Zone along strike. It also will provide information to better define drill targets to test deeper mineralization based on geophysical results and structural interpretations.
  • Tarachi Gold Corp., released drill results from its la Dura mine in Sonora. Significant results were encountered in hole JAB-20-06 with 3.95g/t Au over 8m (from 2.25m to 10.25m),  5.05 g/t Au over 200.75m (from 22.25m to 43m), including 14.5g/t Au over 6.10m (from 27.65m to 33.75m).
  • Golden Minerals Company, reported that it has completed a 3,400m drilling program in 15 drill holes at its Yoquivo project to test the Pertenencia, San Francisco and Esperanza vein systems. Drilling results will be announced within the next few months.
  • Prismo Metals Inc., announced the commencement of a 500m drill program at its Palos Verdes property in Sinaloa. The program will consists of four to five holes, with the longest planned at 150-175m to test the vein lateral to, and below, high-grade intercepts drilled in the past. The best intercept from that program was 8.4 g/t Au and 2,336 g/t Ag, over 0.8m true width.
  • Mithril Resources Ltd., provided an update on the drilling activities carried out at its Copalquin project. Recent drill results from El Refugio target with 15-30m quartz breccia zones indicate the top of a large hydrothermal system at El Cometa project, characterized by extensive surface alteration and rhyolite dome intrusions. This alteration is observed to extend at least 1.5km west of El Refugio in addition to the widespread alteration and rhyolitic dome intrusives in the Copalquin district. The drilling at the El Refugio target now extends for over 300m with highlights including  hole CDH-022 with 1.93 g/t Au and 124 g/t Ag (3.48 g/t AuEq) over 5.05m, including 3.28 g/t Au and 140 g/t Ag (5.03 g/t AuEq) over 2.15m; hole CDH-024 with 1.59 g/t Au and 37 g/t Ag (2.05 g/t AuEq) over 15.75m, including 3.27 g/t Au and 53 g/t Ag (3.93 g/t AuEq) over 5.93m, and  14.75 g/t Au and 150 g/t Ag (16.63 g/t AuEq) over 1m; and hole CDH-025 with 0.8 g/t Au and 34 g/t Ag (1.22 g/t AuEq) over 7m, including 1.81 g/t Au and 70 g/t Ag (2.68 g/t AuEq) over 2m (within 27.55m of 0.41 g/t Au and 20 g/t Ag, or 0.66 g/t AuEq).

ON MINING

  • Mexus Gold US, announced that leaching commenced at its 250,000 tonnes leach pad at its Santa Elena mine in Sonora. Mineralized material is under way and returning values of 0.32 to 0.42 g/t Au in solution. Flows are expected to reach 0.6 g/t Au in solution by December 16th. Mexus CEO added that gold production by year end should reach 225 Oz.
  • Santacruz Silver Mining Ltd., announced Q3, 2020 production and financial results from its Mexican operations. At Zimapan mine, Hidalgo, the company processed 164,846 tonnes to produce 920,985 Oz AgEq at a cash and AISC of USD $17.45 and USD $18.54 per Oz AgEq respectively. At the Rosario project, San Luis Potosi, it processed 11,794 tonnes to produce 56,693 Oz AgEq at cash and AISC of USD $34.13 and USD $42.07 per Oz AgEq respectively. Santacruz reported revenue of USD $9.44M, gross profit of USD $1.26M, a net loss of USD $163K, and an EBITDA of USD $12K.

ON FINANCING

  • No relevant information.

ON RESOURCES AND DEVELOPMENT

  • Capitan Mining Inc., released drill results from the first seven holes collared at its Peñoles project in Durango. Significant drill intercepts were encountered in holes 20-CARC-06 with 0.34 g/t Au over 111.30m, including 0.63 g/t Au over 45.7m; hole 20-CARC-05 with 0.41 g/t Au and 21 g/t Ag over 76.2m, including 0.68 g/t Au and 28 g/t Ag over 16.8m; hole 20-CARC-03 with 0.4 g/t Au and 11 g/t Ag over 68.6m, including 0.74 g/t Au and 16 g/t Ag over 16.8m;  and hole 20-CARC-02 with 0.4 g/t Au and 26 g/t Ag over 56m, including 0.53 g/t Au over 25.9m. The drill results expand the known gold mineralization reported in the mineral resource estimate released in March, 2015 within the conceptual, open pit shell, and confirm that there is significant room to expand the existing oxide resource.
  • Endeavour Silver Corp., intersected high grade gold-silver mineralization at its Bolañitos mine in Guanajuato. Highlights include the following intersections along the Melladito vein: 12.76 g/t Au and 55 g/t Ag (1,176 g/t AgEq) over a true width (TW) of 4.5m, including  43.5 g/t Au and 171 g/t Ag (3,651 g/t AgEq) over a TW of 0.4m in hole BN-58, and 0.51 g/t Au and 491 g/t Ag (531 g/t AgEq) over a TW of 2.7m, including 1.74 g/t Au and 2,220 g/t Ag (2,359 g/t AgEq) over a TW of 0.4m in hole BN-52. At San Bernabe Vein, hole BN-59 intersected 7.91 g/t Au and 12 g/t Ag (645 g/t AgEq) over a TW of 2.7m.
  • VanGold Mining Corp. reported results from 267 underground channel samples from its Pinguico mine in Guanajuato, with assays up to 1,136 g/t Ag.  Highlights include Pinguico Shaft with 15m  strike length of grade weighted average of 733 g/t Ag and 5 g/t Au (1,136 g/t AgEq); Pinguico Norte with 47m strike length of of 256 g/t Ag and 1.7 g/t Au (394 g/t AgEq); and San Jose NW Pillar  with 25m strike length of 154 g/t Ag and 1.9 g/t Au (303 g/t AgEq).

ON DEALS AND CORPORATE ISSUES

  • Almaden Minerals Ltd.,  announced that all the mining concessions which cover its Ixtaca project in Puebla are not affected by the denial of Almaden´s appeal noted in December 01, 2020 news release. A court decision upholded the original, 14,000 Ha larger concessions, which the Company originally held, confirming that Almaden owns 100% of the property.
  • Auxico Resources Canada Inc., announced the resignation of one of its directors and the appointment of a new member to its board of directors (Zamora property, Sinaloa).
  • Barksdale Resources Corp., announced that its common shares commenced to trade on the OTCQX best market in the USA under the symbols “BRKCF” (San Javier project, Sonora).
  • Defiance Silver Corp., announced that it has entered into an option agreement with Pan American Silver Corp., to acquire 100% interest in the Lucita property in Zacatecas. With this option agreement, Defiance expands its land package on the mining district from 1,600 Ha to 4,300 Ha. The option terms include an initial payment of USD $100K upon signing; USD $100K on or before the first year anniversary; USD $500K on or before the second year anniversary; and a final payment of USD $800K on or before the third year anniversary.
  • Fabled Silver Gold Corp., closed its previously announced acquisition of the Santa Maria mine in Chihuahua. In order to acquire 100% interest in the property, Fabled has to make an initial cash payment of USD $500K in cash and 1M common share on the closing date of the transaction, USD $1.5M in cash 12 month after the acquisition closing, USD $2M in cash 24 months after the closing date, and a total of USD $480K in payments due by the vendor to the optionors under the vendor´s agreement with those optionors as follow: USD $100K on the acquisition closing, USD $120K on 2/4/2021, USD $120K on 8/4/2021, and USD $140K on 2/4/2022. Fabled will also grant the Vendor a 1% NSR with respect to the property upon exercise of the option under the option agreement and will assume from the vendor the obligations in respect of an existing 2% NSR that exists over 3 of the 5 mineral claims that comprise the property.
  • Fortuna Silver Mines Inc., provided and update on the status on a dispute royalty on one of its extracting mining concessions at its San Jose mine in Oaxaca. “In January 2020, the company received notice from the Dirección General de Minas (DGM) seeking to cancel the mining concession if the royalty (MXP $30M + VAT from the period 2011-2019) was no paid before March 15, 2020. Fortuna began legal proceedings against the DGM on February 2020. The District Court in Mexico City admitted the company’s legal proceedings on March 2, 2020 and granted a permanent stay of execution, which protects the company from the cancellation of the concession until a final non-appealable resolution is reached on the legality of DGM’s cancellation procedure. On November 27, 2020 the District Court found that the Company suffered no harm from the notice of cancellation procedure and dismissed the proceedings without deciding on the merit of the Amparo Proceedings and on the validity of the royalty. The company’s legal position with respect to the disputed royalty remains unchanged. The company intends to vigorously defend its position and appeal the Procedural Finding and file an appeal with the Collegiate Court in Mexico by the deadline of December 14, 2020.  A decision of the Collegiate Court is expected during mid-2021”.
  • Magna Gold Corp., announced the change of its fiscal year-end from March 31 to December 31 to align the fiscal year-end of the company with that of its subsidiaries, Molimentales del Noroeste, S.A. de C.V., LM Mining, S.A. de C.V. and Minera Magna, S.A. de C.V., which are required to have fiscal periods for Mexican tax purposes ending on December 31. (San Francisco mine, Sonora). 
  • Orex Minerals Inc., announced management changes. The former CEO has resigned and Ben Whiting has been appointed as President and CEO and as Director of Orex immediately (Sandra-Escobar project, Durango).
  • Orla Mining Ltd., appointed a new member to its board of directors (Camino Rojo project, Zacatecas).
  • Prismo Metals Inc., announced that it has entered into an option agreement to acquire the remaining 25% interest in the Palos Verdes property in Sinaloa. The option gives Prismo control of 100% of the concessions that makes up the property. Under the terms of the option agreement, Prismo will make a cash payment of USD $250K to the optionor an aggregate of US$250K in cash over a four-year period, with the initial payment of USD $30K made on signing. Additionally, 100K warrants will be awarded, with each warrant entitling its owner to purchase one common share of the company at an exercise price of CAD $0.35 per share for two years from the date of execution of the option agreement.
  • Silver Spruce Resources Inc., signed a definitive agreement to acquire 50% interest in the Jackie property in Sonora by making a payment to Colibri for USD $250K and CAD $25K in common shares as the first property payment within 7 days of the TSX approval. Spruce also agrees to spend USD $100K in exploration and drilling expenses with a minimum of USD $50K within 12 months of TSX approval and to pay to Colibri a second payment of USD $25k and CAD $25K in common shares also within 12 months of TSX approval. Upon completion of this terms, Spruce will hold 50% interest in the property and a JV will be formed to direct all exploration and drilling expenses. There are no underlying royalties on the property.
  • Tarachi Gold Corp., announced the appointment of its new CFO and its Corporate Secretary (La Dura mine, Sonora).
  • Vizsla Resources Corp, appointed its new CFO (Panuco project, Sinaloa).

ON SOCIAL RESPONSIBILITY

  • The Sonora Mining Cluster recognized 40 partners for their commitment to Corporate Social Responsibility (CSR), during the closing of the MINNOVACIÓN 2020 Forum.
  • Fresnillo plc., donated 30,000 face mask to the Zacatecas State government to contribute to the authorities to mitigate the COVID-19 pandemic in the entity. The face mask delivered to the authorities are model L03, which have five layers of protection and comply with all security protocols. This action adds to the effort and commitment that the Mexican mining company has made since the beginning of the pandemic to work hand in hand with the community.
  • Newmont Corporation (Minera Peñasquito) delivered pantries and cleaning kits in localities of Mazapil as a service to the community.
  • The mining sector in Mexico has supported efforts to alleviate the effects of the COVID-19 pandemic. The mining industry in the state of Zacatecas has joined the efforts in the fight against the COVID-19 pandemic, and through different companies, such as Newmont, Fresnillo plc, Grupo Mexico, and Orla Mining, has supported many communities with the donation of medical equipment and ventilators. In total, 90,692 N95 masks have been delivered , 164 thousand 452 googles, more than one million 221 thousand masks, as well as 513 thousand 378 isolation gowns and 12 thousand 522 masks, according to the Mexican Chamber of Mexico (CAMIMEX).

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

On the picture above, quartz blade (boiling texture) in a low sulphidation epithermal vein system in a prospect in Durango, Mexico.  Photo by Miguel A Heredia.

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

Barite crystals

By Miguel A Heredia

During the forty eight week of the year (November 16th to November 22th, 2020), at least 29 press releases were announced by companies working in Mexico and 1 news published by the media, with eight reporting on resources and development of their mine operations, six disclosing deals and corporate issues, six informing on exploration results, four commenting on Mexican issues, three  communicating production and financial results, two announcing financial rounds, and one discussing social issues.  ON MEXICO ISSUES, Equinox announced that the community blockade at its Los Filos mine in Guerrero has been lifted and access to the mine has been restored. First Majestic announced its intention to appeal the Circuit Court decision to nullify the Advance Pricing Agreement concluded in 2012 between Primero Empresa Minera and the Mexican tax authority, Servicio de Administracion Tributaria (SAT). Deputies of the mining commission of the State Congress and the State Secretariat of Economy of Sonora will join forces to request to the Federal Government that the Mining Fund returns to the Municipalities of the State.   Great Panther has temporarily suspended the operations at its Topia mine in Durango due to the detection of COVID-19 among the workforce.  ON EXPLORATION, In Sonora, Canuc started a drone supported, high frequency, magnetic survey over its newly acquired claims at its San Javier project, Silver Tiger reported drill results from its El Tigre project, Colibri released results from the trenching sampling carried out at its Evelyn project, and Riverside and its JV partner Carlyle reported channel sampling results from its Cecilia project. In Jalisco, GoGold released drilling results from El favor target at its los Ricos North project. In the State of Mexico, Impact has commenced a trenching sampling at its Manto America gold target.  ON MINING, Excellon reported Q3, 2020 production and financial results from its Platosa mine in Durango.  Santacruz reported October 2020 production results from its Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. Starcore reported Q2, 2020/2021 production results from its San Martin mine in Queretaro.  ON FINANCING, Magna Gold closed the acquisition of the Margarita Silver project in Chihuahua. Telson executed a Trust Agreement with Trafigura Mexico (Tahuehueto project, Durango).  ON RESOURCES AND DEVELOPMENT, Azucar resumed drilling at its El Cobre property in Veracruz.  Endeavour expanded its land position at its Terronera property in Jalisco. Elemental Royalties presented Q3, 2020 results from its Mercedes mine in Sonora. Mexus provided an update on its new heap leach pad at its Santa Elena mine in Sonora. Golden Minerals received the final environmental permit for its Rodeo property in Durango. Minera Alamos announced an independent NI 43-101 compliant mineral resource estimate of 630K Oz Au at its Cerro de Oro project in Zacatecas. Sierra Metals announced a significant increase of its mineral resource estimate at its Cusi mine in Chihuahua. SilverCrest announced new high-grade discovery at the Babi Vista Splay Vein within its Las Chispas project in Sonora. ON DEALS AND CORPORATE ISSUES, Aura announced a new and improved offtake agreement with Trafigura starting in 2022 (Aranzazu property, Zacatecas). Barksdale appointed its company Senior VP Project Development (San Javier project, Sonora).  Comet changed its provider for shareholder registry services from Advanced Share Registry Services to Automic Pty Ltd (Santa Teresa property, Baja California).  SilverCrest announced the appointment of a new member for its Board of Directors (Las Chispas project, Sonora). Starcore presented results from its annual general meeting of shareholders (San Martin mine, Queretaro).  Silver Dollar announced it has hired a Country Manager for its la Joya Silver project in Durango.   ON SOCIAL RESPONSIBILITY, Torex achieved 10M hours work without a lost time injury (El Limon-Guajes mine complex, Guerrero).

ON MEXICO ISSUES

  • Equinox Gold Corp., announced that the community blockade at its Los Filos mine in Guerrero has been lifted and access to the mine has been restored. Los Filos has commenced a staged restart and workers will resume their duties only after testing negative for COVID-19.
  • First Majestic Silver Corp., announced its intention to appeal the Circuit Court decision to nullify the Advance Pricing Agreement concluded in 2012 between Primero Empresa Minera SA de CV (PEM) and the Mexican tax authority, Servicio de Administracion Tributaria (SAT).   “The Federal Court’s decision directs SAT to re-examine the evidence and basis for the issuance of the APA with retroactive effect, for the following key reasons: (i) SAT’s errors in analyzing PEM’s request for the APA and the evidence provided in support of the request; and (ii) SAT’s failure to request from PEM certain additional information before issuing the APA. The Company’s legal advisors having now reviewed the written reasons continue to be of the view that the Federal Court’s decision is flawed both due to procedural irregularities and failure to address the relevant evidence and legal authorities. The Company intends to appeal the decision to the Circuit Courts by the December 1, 2020 deadline”.
  • Deputies of the mining commission of the State Congress and the State Secretariat of Economy will join forces to request to the Federal Government that the Mining Fund returns to the Municipalities of the Sonora State. The commission reported that the Federal Government has pending the contribution of MXP $1,500M corresponding to fiscal year 2019 to be exercised in fiscal year 2020 in works of high social impact in municipalities with mining activities. One of the deputies stated that the resources of the Mining Fund originated in the State of Sonora, must remain here, because it is a resource of Sonora and must be applied, definitely, to the needs of the State. Sonora ranks first in the country in the extraction of copper, gold, molybdenum, wollastonite, and graphite and second in silver, substances that are exploited by national and foreign companies with investments around the world.
  • Great Panther Mining Limited has temporarily suspended the operations at its Topia mine in Durango due to the detection of COVID-19 among the workforce.   A reduced workforce will remain on site to maintain essential activities for the duration of the voluntary suspension. The health and safety of employees, contractors, and host communities remains a priority.  The company will continue working closely with the local government and regional health authorities to ensure a safe restart of normal operations.

ON EXPLORATION

  • Canuc Resources Corporation, started a drone supported, high frequency, magnetic survey over the 800m in length and 80 m in width silver-bearing magnetite swarms that have been identified within, and proximal to the large silver-bearing breccia structures uncovered in July and August of this year and first reported in a press release dated September 22nd.   
  • Silver Tiger Metals Inc., reported drill results from its El Tigre project in Sonora, where the company is currently exploring with core drilling the Caleigh and Protectora Veins. The company has drilled ten holes and highlights include hole 163 on Protectora Vein with 1,782 g/t Ag and 3.56 g/t Au (2,049 g/t AgEq) over 0.5m, and a second intercept of 1,374 g/t Ag and 0.89 g/t Au (1,441 g/t AgEq) over 0.5m; hole 164 on Protectora Vein with 805 g/t Ag and 10.5 g/t Au (1,593 g/t AgEq) over 0.5m; hole 158 on Caleigh Vein with 815 g/t Ag and 4.09 g/t Au (1,122 g/t AgEq) over 0.7m; and hole 156 on Caleigh Vein with 752 g/t Ag and 7.09 g/t Au (1,284 g/t AgEq) over 0.3m.
  • Colibri Resource Corporation, released results from the trenching sampling carried out at its Evelyn project in Sonora.  Fifty six chip samples from 0.30 to 2.00m in length were taken from trenches at The Cerro Rojo, El Sahuaro, and the West Evelyn targets. Nine samples returned values greater than 1 g/t Au and a total of 16 samples returned values greater than 0.1 g/t Au, with a peak of 23.2 g/t Au at the Cerro Rojo target area. The trenching has defined a northwest-southeast mineralized trend over an approximate strike length of 35 metres with samples ranging from 0.304 g/t Au to 27.5 g/t Au.
  • Riverside Resources Inc and its JV partner Carlyle Commodities Corp., reported channel sampling results from its Cecilia project. Thirty six channel samples were collected from underground working as well as at surface over the San Jose target from brecciated and silicified rhyolite. Over 43% of the samples returned more than 0.2 g/t Au with a peak of 48.3 g/t Au over a width of 0.75m. Other significant results were 0.86 g/t Au over 1.7m; 0.78 g/t Au over  0.85m; 0.66 g/t Au over 1.6m; 0.66 g/t Au over 0.8m; and 0.56 g/t Au over 1.25m.
  • GoGold Resources Inc., released drilling results from El Favor target at its los Ricos North project in Jalisco. Significant drill intercepts were encountered in hole LRGF-20-005 with 0.11 g/t Au and 74 g/t Ag (1.10 g/t AuEq or 83 g/t AgEq) over 21m, including 0.23 g/t Au and 150 g/t Ag (2.23 g/t AuEq or 167 g/t AgEq) over 9.0m; hole LRGF-20-006 with 2 intercepts, one of 0.2 g/t Au and 96 g/t Ag (1.48 g/t AuEq or 111 g/t AgEq) over 12m, including 0.53 g/t Au and 271 g/t Ag (4.15 g/t AuEq or 311 g/t AgEq) over  3.4m, and 0.97 g/t Au and 113 g/t Ag (2.47 g/t AuEq or 186 g/t AgEq) over 27m, including 3.35 g/t Au and 350 g/t Ag (8.01 g/t AuEq or 601 g/t AgEq); hole LRGF-20-007 with 0.28 g/t Au and 160 g/t Ag (2.4 g/t AuEq or 180 g/t AgEq) over 11m, including 0.53 g/t Au and 291 g/t Ag (4.41 g/t AuEq or 331 g/t AgEq) over 3.5m; hole LRGF-20-008 with 0.69 g/t Au and 255 g/t Ag (4.08 g/t AuEq or 306 g/t AgEq) over 52.1m, including 0.93 g/t Au and 343 g/t Ag (5.51 g/t AuEq or 413 g/t AgEq) over 37.1m, including 5.62 g/t Au and 2,052 g/t Ag (32.98 g/t AuEq or 2,473 g/t AgEq) over 5m, including 8.47 g/t Au and 3,039 g/t Ag (49 g/t AuEq or 3,675 g/t AgEq) over 3.3m; and hole LRGF-20-009 with 2 intercepts, one of 0.43 g/t Au and 148 g/t Ag (2.41 g/t AuEq or 180 g/t AgEq) over 11.6m, including 1.22 g/t Au and 324 g/t Ag (5.55 g/t AuEq or 416 g/t AgEq) over 2.5m, and 0.32 g/t Au and 63 g/t Ag (1.15 g/t AuEq and 87 g/t AgEq) over 32.5m, including 0.64 g/t Au and 171 g/t Ag (2.93 g/t AuEq or 220 g/t AgEq) over 7m. The drilling program at El Favor target has tested 1,000m along strike of the historic El Favor vein and workings. These first nine drill holes have confirmed the wide zones of mineralization mapped and sampled on surface continue down dip for close to 600m. The company stated that the mineralization is open along strike in both directions and down dip and will aggressively advance this zone towards a mineral resource estimate.
  • Impact Silver Corp., has commenced a trenching sampling at its Manto America gold target in the State of Mexico. Thirty three rock chip samples returning more than 2 g/t Au have been collected on this target, with a peak of 19.5 g/t Au over a true width of 1.2m. Additionally, 67 soil samples taken on a 50m by 25m grid have returned an average of 250 ppb Au. The 900m trenching sampling plans to test an area of 450m by 300m over the strongest Au-in soil anomalies. Previous operators of this target excavated two trenches, the same that were sampled by Impact, returning 0.51 g/t Au over 5.6m in width  and  a length of 23.5m, and 0.3 g/t Au over 5.5m in width and a length of 17.2m.

ON MINING

  • Excellon Resources Inc., reported Q3 2020 production and financial results from its Platosa mine in Durango. The company mined 21,877 tonnes and processed 22,612 tonnes of 483 g/t Ag, 5.3% Pb, and 6.8% Zn, with metallurgical recoveries of 93%, 85% and 80.9% respectively. Excellon produced 326.9K Oz Ag, 2.23M Lb Pb, and 2.75M Lb Zn (or 524.3K Oz AgEq), and sold 310.3K Oz Ag, 2.18M Lb Pb, and 2.28M Lb Zn (or 485.8K Oz AgEq) at  a cash and AISC of USD $12.60 and USD $18.92 respectively per Oz Ag sold. The company reported revenues of USD $9.7M, gross profit of USD $2.5M, net working capital of USD $10.5M, and cash and marketable securities of USD $10.1M as at September 30, 2020.
  •  Santacruz Silver Mining Ltd., reported October 2020 production results from its Zimapan and Rosario mines in Hidalgo and San Luis Potosi respectively. At Zimapan mine in  Hidalgo, the company milled 62,543 tonnes of 81 g/t Ag, 0.8% Pb, 2.6% Zn, and 0.32% Cu to produce 114K Oz Ag, 983.3K Lb Pb, 2.45M Lb Zn, and 315.3K Lb Cu (or 363.7K Oz AgEq). At Rosario mine in San Luis Potosi, Santacruz milled 6,319 tonnes of 85 g/t Ag, 0.2 g/t Au, 0.4% Pb, and 1.5% Zn to produce 15.1K Oz Ag, 26 Oz Au, 52.9K Lb Pb, and 169.7K Lb Zn. 
  • Starcore International Mines Ltd., reported Q2, 2020/2021 production results from its San Martin mine in Queretaro. Starcore milled 56,731 tonnes of 1.6 g/t Au and 22 g/t Ag with metallurgical recoveries of 88.5% and 56.99% respectively to produce 2,867 Oz AuEq.

ON FINANCING

  • Magna Gold Corp., closed the acquisition of the Margarita Silver project in Chihuahua from Sable Resources Ltd and Exploraciones Sable S de RL de CV. Magna acquired the property by paying CAD $1.5M in cash plus an additional CAD $800K in cash representing Mexican VAT, and CAD $3.5M in common shares in the capital of Magna, being 3,219,278 Magna shares at a deemed price of CAD $1.0872 per Magna Share. Immediately following the acquisition, the Purchaser exercised the option to acquire the property by payment to the titleholders of the property of CAD $500K in cash, plus an additional $368K in cash representing Mexican VAT; and CAD $1.8M in Magna Shares, being 1,655,629 Magna Shares at the Issue Price. In addition, Magna will pay Osisko Gold Royalties Ltd  a 2% NSR on all products mined and produced from the Property.
  • Telson Mining Corporation executed a Trust Agreement with Trafigura Mexico. Under the terms, Trafigura waived all defaults plus deferred all principal and interest payments until June30, 2021, under certain terms and conditions, related to certain loan agreements entered into between the parties in late 2017.  Additionally, Telson agreed to place its assets into the Trust to guarantee full repayment of all outstanding financial obligations under the loan agreements with Trafigura. Telson has advanced its Tahuehueto construction plans and currently calculates a construction budget at approximately USD $13M, including a 15% contingency. Telson is contemplating to enter into a USD $12M medium term loan facility with Accendo Banco S.A. Institucion de Banca Multiple,  the possibility of a small silver stream metal purchase funding or conducting a private placement financing to supplement the Accendo loan for Tahuehueto construction, and to provide working capital.

ON RESOURCES AND DEVELOPMENT

  • Azucar Minerals Ltd., resumed drilling at its El Cobre property in Veracruz. The company is  first deepening hole EC-20-108, which is located at the Primo Zone, in an effort to further delineate resource potential at the project beyond that contained in the initial Norte Zone mineral resource estimate. The Primo Target was discovered in 2019 based on the hole EC-19-086 which intersected 0.4 g/t Au and 0.24% Cu over 200m, including 0.94 g/t Au and 0.56% Cu over 55.6m.
  • Endeavour Silver Corp., expanded its land position at its Terronera property in Jalisco to 20,128 hectares by acquiring two adjacent groups of mineral concessions called La Sanguijuela and Cerro Gordo. La Sanguijuela, which covers the possible NW extension of the Terronera Vein and the possible west extension of the Los Reyes Vein, comprises 2,759 hectares and Endeavour has an option to purchase it by USD $550K in a four years staged payments. The Los Cuates Vein is the main structure at la Sanguijuela and has been traced for over a length of 1.5km with thickness of 2 to 6m with values of 0.5 – 5 g/t Au and 50-300 g/t Ag. Cerro Gordo, which covers the possible southeast extension of four Terronera footwall veins (Pena Gorda-Canoas, Los Venados-La Carbonera, Pena Blanca-El Alacran and El Mirador-Los Tablones) as well as three other veins (El Maguey-El Madrono, Monte Obscuro-Musgos and La Muda-Monte Grande), was acquired by staking 2,200 hectares. The El Maguey-El Madrono vein has been observed over a length of 1.6 km with a thickness of 2 to 4 m, carrying values of 0.6 to 2 g/t Au and 10-30 g/t Ag.  The Pena Gorda-Canoas vein outcrops over a length of 1.7 km with a thickness of 2 to 5 m, returning values up to 0.5 g/t Au and 40 g/t Ag. Vein systems in these two properties have never been drilled and Endeavour plans to test some portion during Q4, 2020.
  • Elemental Royalties Corp., presented Q3, 2020 results from its Mercedes mine in Sonora. The company announced that Mercedes mine was placed on care and maintenance following a decree from the Mexican Federal Government on March 30. 2020 in which listed mining operations as non-essential industry, and restarted activities on July, 2020 following a two-month suspension. Mining activities were focused with a reduce staff on higher grades and are concentrated on the Diluvio-Lupita-San Martin system while also implementing continued exploration, underground development and mill maintenance programs with the intention of returning to full production in due course.
  • Mexus Gold US provided an update on its new heap leach pad at its Santa Elena mine in Sonora. It has completed phase 1 of its new 250K tonnes pad which is expandable to 1M tonnes, and will have crush mineralized material averaging 2.7 g/t Au. Mexus is looking for a return of 0.6 g/t Au in solution. In addition, Mexus is scheduled to begin blasthole drilling to expand its open pit 2 by approximately 1,741 Oz Au at a grade of 2.7 g/t Au.
  • Golden Minerals Company received the final environmental permit for its Rodeo gold-silver property in Durango, which is scheduled to begin gold production in January 2021, delivering mineralized material at its Velardeña mill to process it immediately.   “The Velardeña plant is a typical agitated leach plant rated to handle up to 450 tonnes per day of throughput from Rodeo. It is equipped with a Merrill Crowe circuit and a modern doré refinery, and the attached tailings facility was recently expanded and is expected to be sufficient for the tailings produced from Rodeo’s operations”.
  • Minera Alamos Inc., announced an independent NI43-101 compliant inferred mineral resource estimate of 630K Oz Au at its Cerro de Oro project in Zacatecas. The inferred mineral resource was prepared using an economic pit shell at a gold price of USD $1,450 per Oz and contains 630K Oz of oxide gold mineralization from 48M tonnes of 0.41 g/t Au.  Minera Alamos has also identified a number of high priority targets with potential to expand resources at Cerro de Oro, as well as a limited number of diamond drill holes which have demonstrated the potential for sulphide mineralization to extend to depth below the current estimate area.
  • Sierra Metals Inc., announced a significant increase of its mineral resource estimate at its Cusi mine in Chihuahua. The company increased 18% the measured and indicated resources from 4,557,000 tonnes to 5,356,000 tonnes, and 200% the inferred resources from 1,633,000 tonnes to 4,893,000 tonnes. The updated mineral resource estimate include measured + indicated resources of  5,356,000 tonnes of 182 g/t Ag, 0.12 g/t Au, 0.5% Pb, and 0.6% Zn (215 g/t AgEq) for a total of 31.26M Oz Ag, 20.22K Oz Au, 58.26M Lb Pb, and 67.99M Lb Zn (37M Oz AgEq), and Inferred resources of 4,893,000 tonnes of 146 g/t Ag, 0.18 g/t Au, 0.43% Pb, and 0.69% Zn (183 g/t AgEq) for a total of 23M Oz Ag, 27.7K Oz Au, 46M Lb Pb, and 74.81M Lb Zn (28.82M Oz AgEq).
  • SilverCrest Metals Inc., announced new high-grade discovery at the Babi Vista Splay Vein within its Las Chispas project in Sonora as a result of an in-fill drilling program at the northwestern extension of the Babi Vista Vein. Twenty four holes have been collared at this target with a high grade footprint of approximately 300m along strike and average height of 175m. Weighted average results are 74.27 g/t Au and 3,437 g/t Ag (9,071 g/t AgEq) over a true width of 1.6m. The most significant drill intercept was encountered in hole BV20-201 with 555.36 g/t Au and 19,453 g/t Ag (61,105 g/t AgEq) over a true width of 2.4m. This discovery at Babi Vista Splay Vein will be included as inferred resources for the upcoming resource estimation in the ongoing PFS study.

ON DEALS AND CORPORATE ISSUES

  • Aura Minerals Inc., announced a new and improved offtake agreement with Trafigura Mexico S.A. de C.V., starting in 2022. The new agreement, in which Trafigura has agreed to purchase 100% of the copper and gold concentrate produced at Aranzazu mine in Zacatecas,  is effective as of the beginning of 2022 and continues until the end of 2024.
  • Barksdale Resources Corp., appointed its company Senior VP of project Development. Its role will be overseeing the advancement of the Company’s project portfolio, including the San Javier copper-gold project in Sonora, Mexico. In connection with this appointment, Barksdale has granted a stock option to purchase 250K common shares, exercisable at $0.68 per share over a three-year period. 
  • Comet Resources Limited, changed its provider for shareholder registry services from Advanced Share Registry Services to Automic Pty Ltd (Santa Teresa property, Baja California).
  • SilverCrest Metals Inc., announced the appointment of a new member for its board of directors (Las Chispas project, Sonora).
  • Starcore International Mines Ltd., presented results from its annual general meeting of shareholders (San Martin mine, Queretaro).  
  • Silver Dollar Resources Inc., announced it has hired a Country Manager to work alongside the company at its la Joya Silver project in Durango.

ON SOCIAL RESPONSIBILITY

  • Torex Gold Resources Inc., achieved 10M hours work without a lost time injury (El Limon-Guajes mine complex, Guerrero).

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

On the picture above, barite crystals from a low-intermediate sulphidation epithermal system in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.

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

 

Rich-hematite quartz vein

 

By Miguel A Heredia

During the thirty nine week of the year (September 21th to September 27th, 2020), at least 24 press releases were announced by companies working in Mexico and 11 news published by the media, with eight discussing social issues,  seven disclosing deals and corporate issues, seven informing on exploration results, six announcing financial rounds, four commenting on Mexican issues, two reporting on resources and development of their mine operations, and one communicating production and financial results.  ON MEXICO ISSUES, According to a report by the Bank of Mexico (Banxico), mining in Mexico suffered strong impacts from the COVID-19 pandemic in the first half of 2020. First Majestic provided an update related to its ongoing TAX dispute with the Mexican TAX authority. Resources from the Mining Fund are being used to build an outdoor fitness park at Guadalupe y Calvo, Chihuahua. Alejandro Armenta, senator for MORENA, presented an initiative to nationalize lithium, arguing that it is a strategic mineral for the country’s energy future. It is worrying for the mining sector that voices like this are heard and have weight in making decisions about something extremely delicate without considering the participation of technicians, operators, scientists, businessmen, academics dedicated to mining in Mexico. ON EXPLORATION, In Sonora, Canuc released preliminary exploration results from its San Javier project, Carlyle and its JV partner Riverside reported high grade results from the Cecilia project, Minaurum presented results from the first 4 holes collared in the Europa-Guadalupe vein zone at its Alamos Silver project, and Ridgestone announced drill results from 8 holes collared at its Rebeico project. In Chihuahua, Mammoth provided an update on exploration activities at its Tenoriba project.  In Jalisco, GoGold released the first drilling results from the Salomon-Favor target on its Los Ricos North project.  ON MINING, Hecla reported estimated production results from its San Sebastian mine in Durango for the period January-September, 2020.  ON FINANCING, Advance Gold granted stock options to its directors, key employees, and consultants (Tabasquena project, Zacatecas). Aloro cancelled its previously announced non-brokered private placement (Los Venados project, Sonora).  Comet gave a cleansing notice under section 708A of the corporations acts 2001 (Santa Teresa project, Baja California). Defiance repaid in full the company´s outstanding loan with Windermere Capital Fund SPC (San Acacio project, Zacatecas). Newmont entered into a definitive agreement with Maverix Metals to sell eleven royalties for a total consideration of $90M. Santacruz announced a CAD $6M non-brokered private placement with a lead order from Palisades Goldcorp Ltd., for CADS $3M (Zimapan mine, Hidalgo).   ON RESOURCES AND DEVELOPMENT, Southern Silver will commence a 10,000m drilling program in 20-25 holes which will focus on the development of mineral resources on the east side of its Cerro Las Minitas project, Durango. Xtierra announced its intention to conduct a small drill campaign of five holes for a total of 1,500m at its Bilbao project in Zacatecas.    ON DEALS AND CORPORATE ISSUES, Barksdale signed a definitive agreement to acquire San Javier project in Sonora. Excellon announced that its common shares will commence trading on the NYSE American LCC (La Platosa mine, Durango).  First Majestic announced that it has filed an early warning report for the acquisition of common shares of Silver Dollar (La Joya project, Durango). Global Li-Ion entered into a letter agreement with Grupo Minera Diflor to acquire a 100% interest in the MVZ Au-Ag property in Chihuahua. Reyna Silver appointed new chairman and announced additional changes to the board of directors (Guigui and Batopilas projects, Chihuahua). Silver Tiger announced that it will commence to trade on the OTCQX Best Market under the ticker symbol “SLVTF” (El Tigre project, Sonora).  ON SOCIAL RESPONSIBILITY, Autlan supported communities affected by heavy rains in Hidalgo. La Cantera Desarrollos Mineros, a subsidiary of Peñoles, signed a constitutive act for healthy work returned to its Capela mine located in Guerrero. Fresnillo plc launched its “take care of yourself” campaign that fights against COVID-19 pandemic. Minera Penmont, a subsidiary of Fresnillo plc celebrated 23 years of making history in Caborca, Sonora (La Herradura and Noche Buena mines), ​​with a team of more than 4 thousand people committed to cutting-edge and responsible mining. Dr. Vagón, the ambulating clinic of Grupo Mexico Foundation celebrates six years of operation providing totally free medical services throughout the Mexican Republic. Mina La Colorada, a subsidiary of Pan American Silver, received for the first time the Inclusive Company Distinction (DEI), which accredits it as a company of good labor practices. Fresnillo plc, through Minera San Julian, donated 10 thousand masks to the inhabitants of Parral, Chihuahua. Pan American Silver Mexico carried out a campaign for the use of face masks and delivery of antibacterial kit.

ON MEXICO ISSUES

  • According to a report by the Bank of Mexico (Banxico), mining in Mexico suffered strong impacts from the COVID-19 pandemic in the first half of 2020. All regions had to suspend activities during April and May, since at the beginning practically the entire sector was declared a non-essential activity during the health emergency.
  • First Majestic Silver Corp., provided an update related to its ongoing TAX dispute with the Mexican TAX authority (SAT). The company was informed by its Mexican legal advisors that the Primero Empresa Minera (PEM) transaction will be served with a decision made on September 23, 2020 by the Federal Court on Administrative Matters, nullifying the advance pricing agreement (APA) granted to PEM and directing the TAX authority to re-examine the evidence and basis for the issuance of the APA. The Federal Court decision is appealable to the Circuit Courts. The company´s legal advisers are of the view that the Federal Court´s decision was not arrived following regular procedures, was undertaken hastily, and did not provide opportunity for the presentation of evidence from PEM. The Company continues to assess all of its legal options, both domestic and international.
  • Resources from the Mining Fund are being used to built an outdoor fitness park at Guadalupe y Calvo, Chihuahua, with the goal of generating spaces for healthy recreation to help to maintain a good physical condition of the community population.
  • Alejandro Armenta, senator for MORENA, presented an initiative to nationalize lithium, arguing that it is a strategic mineral for the country’s energy future. Alberto López Santoyo, Director of Mundo Minero stated that it is worrying for the mining sector that voices like this are heard and have weight in making decisions about something extremely delicate without considering the participation of technicians, operators, scientists, businessmen, academics dedicated to mining in Mexico. “The great technical-political errors in the history of Mexico have definitely been those that make an economic activity less competitive. If the government has the intention of producing lithium is fine, but that it participates in the battle field as one more company, like any other protagonist of this new productive context. Let’s not take away competitiveness from mining companies and thousands of capable Mexicans with legitimate intentions to participate in this challenge in a responsible and technically viable manner. Freedom to produce, freedom to compete”.

ON EXPLORATION

  • Canuc Resources Corporation presented preliminary exploration results from its San Javier project in Sonora. The company has conducted reconnaissance geological mapping and rock sampling on the eastern and northeast part of the property and has identified swarms of Fe-matrix hydrothermal breccias over a large area of 900m by 1,200m. One of these individual breccias measures from 30m to 70m in width and has been traced for over at least 800m along strike. This breccia is controlled by two fault structures. To date, 267 rock samples have been collected but assay results are only available for the first 157 samples. Values range from trace to 2,859 g/t Ag and from 74 ppm to 0.59% Cu, with 35 samples exceeding > 100 g/t Ag. Additional work is planned to continue the mapping and sampling on unmapped ground along these breccia zones.
  • Carlyle Commodities Corp., and its JV partner Riverside Resources Inc., announced high grade results from the Cecilia project in Sonora. Riverside is acting as the JV operator and has focused on channel sampling at the San Jose and North Breccia targets. First results from 21 rock samples returned high grades including 43.2 g/t Au over 0.4m wide, 5.6 g/t Au over 0.6m wide, and 2.5 g/t Au over 0.1m wide. In addition, Riverside is also working on drilling preparation, including construction of drill pads and improvement of foot/trail roads, conducting a drone aeromagnetic survey, carrying out a detailed mapping and sampling of the main dome target at Cerro Magallanes, and conducting an IP survey to define the depth of potential conductors interpreted to be sulphide zones.
  • Minaurum Gold Inc., presented drill results from the first 4 holes collared in the Europa-Guadalupe vein zone at its Alamos Silver project. Significant drill intercepts were encountered in hole AL20-042 with 404 g/t Ag, 0.54% Cu, 1.3% Pb, 1.8% Zn over 3.50m, including 999 g/t Ag, 1.29% Cu, 3% Pb, 3% Zn over 1.55m, and hole AL20-047 with 356 g/t Ag, 0.39% Cu, 0.4% Pb, 0.6% Zn over 6.35m, including 2,090 g/t Ag, 1.98% Cu, 2.5% Pb, 2.4% Zn over 0.7m. Drilling will continue to test down-dip as well as along strike of vein intersections at Europa- Guadalupe at 75-150 m increments.
  • Ridgestone Mining Inc., announced results from 8 holes totalling 1,238m collared at its Rebeico project in Sonora. Significant drill intersects were encountered in hole 20REB018D with 0.54% Cu over 29.15m, including 1.95% Cu over 2.25m; hole 20REB022D with 2.62 g/t Au and 0.54% Cu over 0.65m; and hole 20REB023D with 3.82 g/t Au and 0.75% Cu over 4.35m, including 8.61 g/t Au and 0.5% Cu over 1.55m. “Drilling results continues to extend the lateral footprint of mineralization. These latest results definitely warrant follow up and we will commence a strategic targeting exercise for follow-up drilling”.
  • Mammoth Resources Corp., provided an update on exploration activities at its Tenoriba project in Chihuahua. It also received a notification from Minera Centerra, its JV partner on Tenoriba project, about its decision to cease exploration activities in Mexico, including at Tenoriba, however Centerra expressed their enthusiasm for drilling the Tenoriba project. Over the last 6 months, Mammoth-Centerra geologists have been reinterpreting the geophysical surveys, carrying out extensive surface lithological and structural mapping and sampling, and conducting drill core mapping and sampling, including Terraspec alteration clay analysis. In mid-August Centerra filed an application for permission to drill up to 139 drill locations at Tenoriba and a response/approval of this permit application is expected within weeks. Two drill contractors were preparing bids on the Centerra drill program.
  • Xtierra Inc., announced its intention to conduct a small drill campaign of five holes for a total of 1,500m at its Bilbao project. The first target area is located adjacent to and west of the main Bilbao Silver-Lead-Zinc deposit, while the second target is called El Cabezon, a former Ag mine operated by the Frisco Industrial Group.
  • GoGold Resources Inc., released the first drilling results from the Salomon-Favor target on its Los Ricos North project. Highlights include hole LRGS-20-001 with 0.24 g/t Au and 280 g/t Ag (3.98 g/t AuEq or 298 g/t AgEq) over 14m, including 0.51 g/t Au and 699 g/t Ag (9.82 g/t Au and 737 g/t AgEq) over 5m; hole LRGF-20-001 with 0.36 g/t Au and 142 g/t Ag (2.25 g/t AuEq and 168 g/t AgEq) over 41.7m, including 1.12 g/t Au and 444 g/t Ag (7.05 g/t AuEq or 529 g/t AgEq) over 11m; and LRGF-20-004 with 0.24 g/t Au and 74 g/t Ag (1.24 g/t AuEq or 93 g/t AgEq) over 41.1m, including 1.45 g/t Au and 419 g/t Ag (7.04 g/t AuEq or 528 g/t AgEq) over 4.1m. The drilling program will continue to test the known zones of mineralization along strike and down dip from the historical underground workings of the La Trini deposits located 5km northwest.

ON MINING

  • Hecla Mining Company reported preliminary production results for the period January-September, 2020 from its San Sebastian mine in Durango. Hecla produced 6K Oz Au and 0.8M Oz Ag

ON FINANCING

  • Advance Gold Corp., granted stock options to its directors, key employees, and consultants to purchase up to 2Mshares over a five year term (Tabasquena project, Zacatecas).
  • Aloro Mining Corp., reported that due the COVID-19 pandemic, it cancelled its previously announced non-brokered private placement (Los Venados project, Sonora).
  • Comet Resources Ltd., gave a cleansing notice under section 708A of the corporations acts 2001. The company issued a total of 11.5M fully paid ordinary shares and 65M options, as per the proposed 3B forms lodged on 25 August 2020 and 21 April 2020. (Santa Teresa project, Baja California).
  • Defiance Silver Corp., repaid the total outstanding balance of $1,312,018 to Windermere Capital Fund SPC including accrued interest. (San Acacio project, Zacatecas).
  • Newmont Corporation entered into a definitive agreement with Maverix Metals Inc., to sell eleven royalties for a total consideration of $90M, consisting of $15M in cash, 12M Maverix common shares, and up to $15M in contingent cash payments payable upon completion of certain milestones. The royalties provide exposure to five flagship gold assets owned and operated by growth-oriented mining companies. The portfolio includes royalties on Camino Rojo and Ana Paula in Mexico, Cerro Blanco in Guatemala, and Mother Lode and Imperial in the United States.
  • Santacruz Silver Mining ltd., announced a CAD $6M non-brokered private placement with a lead order from Palisades Goldcorp Ltd., for CADS $3M. The proceeds from the private placement are expected to be used by the company to purchase underground equipment for its Zimapan property in Hidalgo and for general working capital and corporate purposes.

ON RESOURCES AND DEVELOPMENT

  • Southern Silver Exploration Corp., will commence a 10,000m drilling program in 20-25 holes which will focus on the development of mineral resources on the east side of its Cerro Las Minitas project, Durango through step-out drilling from previously identified high-grade, strongly silver-enriched mineralization in the Mina La Bocona and South Skarn target areas. Some meterage will also be used to further extend mineralization at the Las Victorias target.
  • Xtierra Inc., announced its intention to conduct a small drill campaign of five holes for a total of 1,500m at its Bilbao project. The first target area is located adjacent to and west of the main Bilbao Silver-Lead-Zinc deposit, while the second target is called El Cabezon, a former Ag mine operated by the Frisco Industrial Group.

ON DEALS AND CORPORATE ISSUES

  • Barksdale Resources Corp., signed a definitive option agreement with Tusk Exploration Ltd., to acquire the San Javier del Cobre project in Sonora.
  • Excellon Resources Inc., announced that its common shares will commence trading on the NYSE American LCC under the ticker symbol “EXN” (La Platosa mine, Durango).
  • First Majestic Silver Corp., announced that it has filed an early warning report for the acquisition of common shares of Silver Dollar. First Majestic has acquired ownership and control of 5,146,401 shares, representing approximately 14.9% of the outstanding shares (La Joya project, Durango).
  • Global Li-Ion Graphite Corp., entered into a letter agreement with Grupo Minera Diflor S.A.de C.V., to acquire a 100% interest in the MVZ Ag-Au property in Chihuahua. The 1,200 hectare property hosts 3 past producing Ag-Au deposits: El Moro, La Virginia and La Zorra (MVZ Property). The Property is situated within Grupo Minero Diflor’s Pajarito project which covers an area of 10 X 25 km.
  • Reyna Silver Corp., appointed new chairman and announced additional changes to the board of directors (Guigui and Batopilas projects, Chihuahua).
  • Silver Tiger Metals Inc., announced that it will commence to trade on the OTCQX Best Market under the ticker symbol “SLVTF” (El Tigre project, Sonora).

ON SOCIAL RESPONSIBILITY

  • Compañía Minera Autlan S.A. B de C.V., supported more than 6,100 people from Tepehuacan de Guerrero and 705 people from Molango affected by the heavy rains in Hidalgo which caused landslides and floods in these entities. To date, communication between the communities has been completely reestablished and significant progress has been made in cleaning up the material that was carried by the rain (Molango mine, Hidalgo).
  • La Cantera Desarrollos Mineros, a subsidiary of Peñoles, signed a constitutive act for healthy work returned to its Capela mine located in Guerrero. The new work normality is accompanied by activities and sanitary measures in order to reduce the risks of COVID-19.
  • Fresnillo plc launched in Fresnillo, Zacatecas, its “take care of yourself” campaign that fights against COVID-19 pandemic. The company delivered 150,000 face masks on the streets of the downtown area.
  • Minera Penmont, a subsidiary of Fresnillo plc, celebrated 23 years of making history in Caborca, Sonora (La Herradura and Noche Buena mines) ​​with a team of more than 4 thousand people committed to cutting-edge and responsible mining. Since its arrival in 1997, it has meant an economic, social and environmental watershed for the state and, particularly for the region and its surroundings.
  • Vagón, the ambulating clinic of Grupo Mexico Foundation celebrates six years of operation providing totally free medical services throughout the Mexican Republic. It offers from general consultations to specialized ones; currently, it has five specialties: Ophthalmology, Dermatology, Pediatrics, Gynecology and Geriatrics. Dr. Vagón, with 17 wagons and 65 people as part of the crew, including administrative and medical personnel, has the capacity to serve 500 people a day.
  • Mina La Colorada, a subsidiary of Pan American Silver Corp., received for the first time the Inclusive Company Distinction (DEI), which accredits it as a company of good labor practices. This award is a recognition given by the Federal Government through the Ministry of Labor and Social Welfare to companies, academic institutions, organizations, federal, state and municipal public agencies that implement and operate inclusive, egalitarian and equitable labor policies for the benefit of workers, without discrimination towards people in vulnerable situations.
  • Fresnillo plc, through Minera San Julian, donated 10 thousand masks to the inhabitants of Parral, Chihuahua. The company considers that these measures are part of the strategy for the health care of the inhabitants, since, together with an information campaign, remind the population of the importance of maintaining sanitary measures in the current situation.
  • Pan American Silver Corp., through Minera Dolores, Chihuahua and Mina La Colorada, Zacatecas carries out a campaign for the use of face masks and delivery of antibacterial kit to reduce the risk of contracting COVO¡ID-19. More than 2,500 kits (antibacterial spray, wet towels, antibacterial gel, face masks) as well as triptychs, were delivered to the elderly, single mothers, vulnerable people, the general population, as well as personnel who work in government offices of the H. Town Hall of the municipalities of Sombrerete and Chalchihuites, Zacatecas; Municipality of Madera, Chihuahua and all the workers of Mina La Colorada and Minera Dolores.

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

On the picture above, a rich-hematite quartz vein displaying boiling texture from a low-sulphidation epithermal vein system in a prospect in Sinaloa, Mexico.  Photo by Miguel A Heredia

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

Stibnite in a fine grained quartz vein.

By Miguel A Heredia

During the thirty seven week of the year (September 7th to September 13th, 2020), at least 24 press releases were announced by companies working in Mexico and 13 news published by the media, with ten disclosing deals and corporate issues, seven discussing social issues, six commenting on Mexican issues, five informing on exploration results, five announcing financial rounds, two reporting on resources and developments of their mine operations, and two communicating production and financial results.  ON MEXICO ISSUES, Deputy Mario Delgado from MORENA party presented a reform to eliminate trust funds, including the Mining Fund. Mexico intends to lead lithium production. Federal Deputy Monica Almeida of the PRD party stated that the disappearance of the undersecretary of Mining must be re-considered. Mining companies operating in Mexico have cut their capital investment budgets by 20% on average in 2020 due to disruptions caused by COVID-19. The company Roca Fosforica Mexicana (Rofomex) seeks to expand its mining area in Baja California Sur.  ON EXPLORATION, In Sonora, Colibri received an exploration permit to begin a trench program at its Evelyn project, and Silver Tiger provided an exploration update for its El Tigre project. In Sinaloa, Brigadier provided an exploration update on its Picachos project, and Oroco initiated a 3D IP survey at its Santo Tomas project. In Durango, Canasil released results from 2 drill holes collared recently at its Nora project. ON MINING, Excellon provided an operation update on its La Platosa mine in Durango. Consolidated Zinc reported H1, 2020 production and financial results from its Plomosas mine in Chihuahua.  ON FINANCING, Mag Silver completed its previously announced at the market equity program for gross proceeds of USD $50M (Juanicipio property, Zacatecas). Comet Resources announced that it will be conducting a placement to raise gross proceeds of $2M (Santa Teresa project, Baja California). Excellon completed its share consolidation (La Platosa mine, Durango). Monarca completed its previously announced shares for debt transaction to settle an aggregate of $301,324 owing to certain officers, directors and services providers of the company. Sable closed its previously announced private placement for total gross proceeds of approximately $9.9M (Margarita and Vinata project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Bacanora provided an operational update of its Sonora Lithium project in Sonora. Capstone provided updated proven and probable mineral reserves and positive results of an updated technical report for its Cozamin mine in Zacatecas.    ON DEALS AND CORPORATE ISSUES, Excellon announced that it has applied to list on the New York Stock Exchange (NYSE) American (La Platosa mine, Durango).  Mithril announced that its CEO was appointed as Managing Director (Copalquin project, Durango). Sonoro announced results of its annual general meeting of shareholders and changed its name from Sonoro Metals Corp. to Sonoro Gold Corp (Cerro Caliche project, Sonora). Alien entered into an exclusivity agreement with Capstone in respect of the potential farm out of an interest in its Donovan 2 Copper-Gold project in Zacatecas. Almaden announced the decision of the Second District Court in Puebla in respect of its environmental permit application for its Ixtaca project in Puebla.  Argonaut entered into a definitive agreement for the sale of its Ana Paula property in Guerrero.  Consolidated Zinc secured an agreement with Industrias Peñoles to sale the 100% of the Zn concentrate produced by the company in 2021. Newmont appointed Susan N Story to its board of directors and achieves gender parity for non-executive directors (Peñasquito mine, Zacatecas).  Southern Silver presented results from its annual general meeting of shareholders (Cerro Las Minitas project, Durango). ON SOCIAL RESPONSIBILITY, First Majestic invested USD $3.8M in local communities where it operates.  Fresnillo plc, continued donating personal equipment to prevent infections by COVID-19 in Caborca, Sonora. The Municipal President of Fresnillo, Zacatecas delivered the first stage of the rainwater collector with an investment of MXP $6M from the Mining Fund. The Municipal President of Cuencame, Durango announced that MXP $16.6M from the Mining Fund were invested in the construction of domes and paved streets, installation of electrical network, potable water and drainage in several communities in Cuencame, Durango. Grupo Mexico offered more than 130 weekly workshops via social networks generating content for the community. Minera Media Luna (Torex) improved public spaces in the Atzcala community in Guerrero. The Peñoles nursery garden continues donating trees to people seeking to expand the green folder in their home, plaza or a larger space for the population, and continue supporting the community with other social activities.

ON MEXICO ISSUES

  • Deputy Mario Delgado from MORENA party presented a reform to eliminate trust funds, including the Mining Fund. A period is proposed for the Ministry of Finance and Public Credit and the Welfare Bank (Banco del Bienestar, created by MORENA) to proceed to the extinction of the Public Administration and Payment Trust called “Fund for the Development of Mining Production Zones” (Mining Fund), in accordance with provided for in the Federal Budget and Fiscal Responsibility Law. Obviously, this is not the reason and the goal the Mining Fund was created for.
  • Mexico intends to lead lithium production since lithium is required to make rechargeable batteries, and the demand for this mineral has multiplied in the last decade, with the rise of laptops and smartphones. Annual sales of batteries made from lithium-ion batteries are projected to reach a value of $100B in 2029 and about $116B in 2030, according to Bloomberg New Energy Finance. While Mexico’s reserves are not yet certified, the size of the deposit found in Sonora (Sonora Lithium project owned by Bacanora)- which, according to Mining Technology, is the largest deposit under development in the world – placed the country on the radar of global lithium investors. The project will be the first to produce significant volumes of lithium in Mexico. Initially, production is estimated to approach 17,500 tonnes per year of lithium carbonate, which will double to 35,000 tonnes starting in 2026, after a projected expansion in its investment of USD $380M.
  • Monica Almeida, Federal Deputy of the PRD party, stated that the disappearance of the undersecretary of Mining must be re-considered and warned that neither the economic adjustments nor the so-called “republican austerity” should be a pretext for the disappearance of an undersecretary that served a sector of utmost importance for Mexico, since at the world is within the top 10 in the production of 19 minerals. This measure was not shared by the members of the country’s mining sector, among which are the Mexican Mining Chamber (CAMIMEX), the Association of Mining Engineers, Metallurgists and Geologists of Mexico (AIMMGM), the Mining Task Force of the Canadian Chamber of Commerce in Mexico (CANCHAM), the Mining Clusters of Chihuahua, Guerrero, Sinaloa, Sonora and Zacatecas, the College of Mining Engineers, Metallurgists and Geologists of Mexico (CIMMGM) and the organization Mujeres en la Mineria – WIM Mexico; who have openly expressed their disagreement with the measure. It should be remembered that the mining-metallurgical sector in Mexico contributes 2.4% of GDP. Also this year, our country ranks first in silver production worldwide, generating 379 thousand direct jobs and 2.4 million indirect ones.
  • Mining companies operating in Mexico have cut their capital investment budgets by 20% on average in 2020 due to disruptions caused by COVID-19. Updated estimates from nine of the country’s largest gold, silver and copper producers show total spending of USD $1.95B, down USD $488M from the projected amount of USD $2.44B before the pandemic.
  • The company Roca Fosforica Mexicana (Rofomex) seeks to expand its mining area in San Juan de la Costa north of La Paz Baja California Sur. Rofomex filed an environmental permit to explore outside the boundaries of the mining project. The exploration plan established an area where the project will be carried out. It is more than 1,203 ha and contemplates the completion of works for the drilling of 7 holes.

ON EXPLORATION

  • Colibri Resource Corporation received an exploration permit to begin a trench program at its Evelyn project. The company plans to dig up to 2.2km of trenches in up to 13 separate areas on Evelyn project in order to extend mineralization at selected occurrences and to provide exposure for geological and structural mapping of veins and structures.
  • Silver Tiger Metals Inc., provided an update on ongoing exploration at its wholly-owned El Tigre Silver project in Sonora. The company is currently conducting a drill program with two rigs focused on the Caleigh, the Protectora and the Fundadora veins, all of which outcrop on surface and are exposed in exploration drifts in the 3km north of the historic El Tigre mine.
  • Brigadier Gold Limited provided an exploration update on its Picachos project in Sinaloa. The company is preparing a fully financed 5,000m drilling program in approximately 40 holes targeting four high grade Au-Ag veins found within the Colomeca vein system, comprised of several sub-parallel veins over a 1.5km wide zone. In addition, Brigadier is also planning approximately 3 line-km of trenching across several historic sample sites to follow-up anomalies identified by the historic work to define drill targets. “Brigadier intends to have drills turning by the third week of September and look forward to providing updates as results become available.”
  • Oroco Resource Corp., initiated a 3D resistivity and IP survey at its Santo Tomas project in Sinaloa. The survey is targeted to cover an area of approximately 10 km of the property which will encompass the mineralized South Zone, North Zone and the Brasiles Zone at Santo Tomas. The survey comprises a dipole – pole – dipole arrangement and targets the layout of some 26 Rx (receiver) lines spaced at 200m.
  • Canasil Resources Inc., released results from 2 initial drill holes collared at its Nora project in Durango. Hole NCR-20-01tested the Candy vein and intersected 1.6 g/t Au, 440 g/t Ag, 2.51% Cu, 2.1% Pb, and 0.61% Zn over 0.29m, while hole NCR-20-02 encountered 0.72 g/t Au, 21 g/t Ag, 0.1% Cu, 0.2% Pb, and 0.5% Zn over 4.8m, including 1.81 g/t Au, 62 g/t Ag, 0.08% Cu, 0.1% Pb, and 0.61% Zn over 0.38m. Drill hole NRC-20-03, targeted below NRC-20-02 has been completed to a depth of 302 metres, and NRC-20-04 is in progress, targeted below NRC-20-01 as planned.

ON MINING

  • Excellon Resources Inc., provided an operation update on its La Platosa mine in Durango. The company achieved a strong production after resuming mining and milling activities in mid-June, 2020. In July, 2020 the company mined and processed 7,044 and 7,408 tonnes respectively with grades of 528 g/t Ag, 5.8% Pb, and 7.7% Zn at metallurgical recoveries of 92.4%, 85.7%, and 77.6% respectively, to produce 116.3K Oz Ag, 972K Lb Pb, and 7K Lb Zn (198.5K Oz AgEq).
  • Consolidated Zinc Ltd., reported H1, 2020 production and financial results from its Plomosas mine in Chihuahua. The company mined in H1, 2020, over 12,332 tonnes of 16.4% Zn and 8.6% Pb to produce 2.25M Lb of payable Zn, 546.7K Lb of payable Pb, and 455 Oz of payable Ag sold in Zn and Pb concentrates. Consolidated Zinc reported a net loss after income tax of USD $2.19M, a profit of USD $0.56M, total assets of USD $4.14M, and total liabilities of USD $3.79M. Total cash reported was USD $0.77M and borrowings were USD $0.98M.

ON FINANCING

  • Mag Silver Corp., completed its previously announced at the market equity program for gross and net proceeds of USD $50M and USD $48.62M respectively. Net proceeds will be used to fund the completion of construction of the Juanicipio project, with any reminder to fund further exploration of Juanicipio and other projects, and for working capital and general corporate purposes.
  • Comet Resources Limited announced that it will be conducting a placement for gross proceeds of $2M. The offer under the plan will raise a maximum of $500K on the terms and conditions contained in this letter. In conjunction with the placement, this will provide the company with additional funds of up to $2.5M. Part of the funds raised will be used for ongoing exploration at Santa Teresa project in Baja California as well as for the payment of costs associated with the plan and placement and general working capital.
  • Excellon Resources Inc., completed its share consolidation in connection with its plan to trade on the NYSE American LLC, which is now effective. Excellon’s shares are expected to commence trading on the NYSE American by the end of September under the ticker symbol “EXN” (La Platosa mine, Durango).
  • Monarca Minerals Inc., completed its previously announced shares for debt transaction to settle an aggregate of $301,324 owing to certain officers, directors and services providers of the company. The amount settled includes $194K out of $342K of accrued directors, management, and consulting fees (Tejamen property, Durango).
  • Sable Resources Ltd., closed its previously announced private placement for total gross proceeds of approximately $9.9M. Net proceeds will be used for exploration and general corporate and working capital purposes (Margarita and Vinata project, Chihuahua).

ON RESOURCES AND DEVELOPMENT

  • Bacanora Lithium plc., provided an operational update of its Sonora Lithium project in Sonora. The pilot plant has completed the bulk sampling required for the Sonora plant, the same that were submitted to relevant partners in China and USA for optimization of the final design. GR Engineer completed its concentrator design work and will integrate this into the overall project scope, and its JV partner Ganfeng Lithium completed its flow sheet design testwork for the production of battery grade lithium from the samples provided by the pilot plant.  Bacanora therefore remains on schedule to commence initial site works at Sonora in H1 2021, subject to completion of financing, which would enable commencement of production at the plant in 2023.
  • Capstone Mining Corp., provided updated proven and probable mineral reserves and positive results of an updated technical report for its Cozamin mine in Zacatecas. Proven and probable reserves as of April 30, 2020 are 10,178,000 tones of 1.79% Cu, 41 g/t Ag , o.36% Zn and 0.05% Pb for a total of 2M Lb Cu, 13.5M Oz Ag, 79.4M Lb Zn, and 11M Lb Pb. Capstone updated life of mine plan with annual average Cu and Ag production increased by 70% to 61.4M Lb Cu and 43% to 1.75M Oz Ag respectively. Average annual C1 costs (net of by-products) are expected to move 23% lower to $0.67 per payable Lb Cu. It also announced that ramp-up to 1.35 million tonnes milled per annum (“tpa”) by Q2 2021 is on time and budget, that tailings management transformation activities are progressing on schedule, and that a PFS of an underground paste backfill system is underway. Finally, it also reported that a new step-out hole drill program totalling 80 holes targeting the down dip extension to the southeast of both Vein 10 and Vein 20 is underway. Hole S499 and S503 intersected high grade polymetallic copper, zinc, lead and silver in a 650-meter step-out from the current mineral resource. A 1 km exploration drift is being considered to provide a drilling platform to target this new area.

ON DEALS AND CORPORATE ISSUES

  • Excellon Resources Inc., announced that it has applied to list its issued and outstanding common shares on the New York Stock Exchange (NYSE) American, LLC., under the ticker symbol “EXN” (La Platosa mine, Durango).
  • Mithril Resources Limited announced that its CEO was appointed as Managing Director (Copalquin project, Durango).
  • Sonoro Metals Corp., presented results from its annual general meeting of shareholders and announced it has changed its name from Sonoro Metals Corp., to Sonoro Gold Corp., and will commence to trade with the new ticker symbol “SGO” (Cerro Caliche project, Sonora).
  • Alien Metals Ltd., entered into an exclusivity agreement with Capstone Mining Corp., in respect of the potential farm out of an interest in its Donovan 2 Copper-Gold project in Zacatecas. The agreement provides for a 45-day period for Capstone to undertake due diligence to their satisfaction. If the parties decide to move into a definitive agreement, then Capstone could earn-in to the Donovan 2 property through a combination of carried expenditures and cash payments.
  • Almaden Minerals Ltd., announced the decision of the Second District Court in Puebla in respect of its environmental permit application for its Ixtaca project in Puebla. “The company challenged an October, 2019 decision by Mexico’s environmental authority (“SEMARNAT”) to suspend its review of the Ixtaca project’s environmental permit application (“MIA”) until resolution of legal proceedings (the “Amparo”) regarding certain of the Company’s mineral concessions which encompass the area of the Ixtaca project. In its recent decision, the Court dismissed the “incident” principally on the basis that SEMARNAT is not a party to the Amparo. Furthermore, in a related communication with SEMARNAT, the Court also confirmed that the existence of the Amparo does not prevent SEMARNAT from resolving the MIA permit application and that SEMARNAT is free to act within its jurisdiction and authority in respect of the MIA review. The Ministry of the Economy, the Mining Authorities, the Congress, Senate, and the Office of the Presidency all made submissions to the Court as part of this decision. The Company awaits a response from SEMARNAT to the Court decision”.
  • Argonaut Gold Inc., entered into a definitive agreement for the sale of its Ana Paula property in Guerrero. Total consideration to Argonaut includes USD $30M on closing, CAD $10M upon the announcement of commencement of construction, a 1% NSR, and 9.9% of the outstanding common shares of the acquiring company, which will be formed by a business combination of 1252201 BC Ltd (“AP Mining”) and Pinehurst Capital II Inc. (“Pinehurst”), creating a new publicly traded gold development company (the “Resulting Issuer”).
  • Consolidated Zinc Limited secured an agreement with Industrias Peñoles to sale under favorable terms the 100% of the Zn concentrate produced by the company in 2021 at its Plomosas mine in Chihuahua.
  • Newmont Corporation appointed Susan N Story to its board of directors and achieves gender parity for non-executive directors (Peñasquito mine, Zacatecas).
  • Southern Silver Exploration Corp., presented results from its annual general meeting of shareholders. In this meeting shareholders re-elected directors and approved the purchase of Electrum Global Holdings L.P.’s 60% ownership interest in Southern Silver Holdings Limited and indirect 60% interest in the Cerro Las Minitas property in Durango.

ON SOCIAL RESPONSIBILITY

  • First Majestic Silver Corp., invested during 2019, USD $3.8M in local communities where it operates, destined to health programs, infrastructure, access to water, and youth projects. In 2019, First Majestic planted 105,730 native plants through reforestation initiatives, and also recycled more than 80% of the water used in its operations. At the end of 2019, First Majestic employed a total of 4,681 people: 3,305 employees and 1,376 contractors, distributed in the six operating mines of the company: San Dimas, and La Parrilla, in Durango; La Encantada, in Coahuila; Santa Elena, in Sonora; Del Toro, in Zacatecas, and San Martín, in Jalisco.
  • Fresnillo plc, continued donating personal equipment to prevent infections by COVID-19 in Caborca, Sonora. The company delivered 8,000 face masks as part of a social program to raise awareness among the population about the importance of health care to avoid the spread of the virus.
  • The Municipal President of Fresnillo, Zacatecas delivered the first stage of the rainwater collector with an investment of MXP $6M from the Mining Fund. This work has 180 linear meters and has favored the inhabitants of the El Vergel subdivision and neighboring colonies since it is channeled to rainwater and prevents floods.
  • The Municipal President of Cuencame, Durango announced that MXP $16.6M were invested in the construction of domes and paved street, installation of electrical networks, potable water and drainage in several communities in Cuencame, Durango. In addition, she also reported that more than two thousand direct and indirect jobs were generated.
  • Grupo Mexico S.A.B de C.V., offered more than 130 weekly workshops via social networks generating content for the community with a focus on prevention, healthy distance and stay at home, as well as implementation of workshops in the areas of education and culture, health and safety, environment and sports.
  • The Peñoles nursery garden continues donating trees to people seeking to expand the green folder in their home, plaza or a larger space for the community. Goal of the program is to reforest public spaces in order to maintain an ecological balance. The company also is carrying out cleaning and disinfection of classrooms, furniture and teaching materials at a Federal Middle School #2.
  • Minera Media Luna (Torex Gold Resource) improved public spaces in the Atzcala community in Guerrero. Among the activities carried out were the pruning of trees, painting of sidewalks and fences, construction of concrete tops, cleaning of planters, reforestation, cleaning in the elementary school and kindergarten, placement of fencing in the field, replacement of lights and other activities.

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

On the picture above, stibnite in a fine grained quartz vein from an epithermal vein system in a prospect in San Luis Potosi, Mexico.  Photo by Miguel A Heredia

 

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

Hydrothermal breccia

By Miguel A Heredia

During the thirty three week of the year (August 24th to August 30th, 2020), at least 39 press releases were announced by companies working in Mexico, with eleven commenting on Mexican issues, ten disclosing deals and corporate issues, six informing on exploration results, five announcing financial rounds, four reporting on resources and developments of their mine operations, two communicating production and financial results, and one discussing social issues. ON MEXICO ISSUES, AMLO stated in one of its morning press conferences that the Mining Fund will be re-activated and re-organized. The Undersecretary of Mining, The Mexican Mining Chamber (CAMIMEX) demanded that the Mining Fund go back to communities. Francisco Quiroga spoke about the role that the mining industry plays in Mexico. Mexico Mining sector captures USD $873M of Foreign Direct Investment (FDI). Fernando Alanis, President of the Mexican Mining Chamber (CAMIMEX), declared that the investment in mining exploration in Mexico could fall to its lowest level in 14 years. The Undersecretary of Mining, Francisco Quiroga, informed that in Mexico, mining is promoted without environmental disasters or social conflicts. Coeur Mining Inc, a US mining company, claimed MXP $1,000M (over USD $46M) to the government of Mexico.  Jorge Mátar Vargas, a businessman from Morelos, said that the investment of the Esperanza Silver mining project would reactivate the economy of Morelos, given the crisis it faces due to the COVID-19 pandemic. Napoleón Gómez Urrutia, senator and leader of one of the Mexican mining union tweeted that he won a labor lawsuit against Grupo Peñoles. Sergio Almazán is the new President of the Association of Metallurgical, Mining and Geologist Engineers of Mexico A.C (AIMMGM). Francisco Quiroga, Undersecretary of Mining of Mexico, declared that the recovery of the prices of the main minerals produced in Mexico will reinforce mining investment projects in the country. ON EXPLORATION, In Sonora, Tocvan released results from the structural analysis carried out at its El Pilar project, Silver Viper reported results from ten drill holes collared at its El Rubi project, and Tarachi announced the beginning of a 5,000m drilling program at its Tarachi Gold project. In Sinaloa, Vizsla released drill results from its Panuco project. In Durango, Mithril released drilling results from its Copalquin project. ON MINING, Impact reported Q2, 2020 production and financial results from its Zacualpan mining district in the State of Mexico. Santacruz reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo.  ON FINANCING, Redstar completed a non-brokered private placement for gross proceeds of CAD $7M (Heliodor properties, Mexico). Kootenay closed its previously announced private placement for gross proceeds of $7M (Columba project, Chihuahua). Capitan Mining closed a private placement for gross proceeds of $3,840,855 (Peñoles project, Durango). VVC announced a non-brokered private placement to raise gross proceeds of up to CAD $3.3M (Kaity Copper project, Chihuahua).  Gold Resource declared its August monthly dividend to shareholders (Arista mine, Oaxaca). ON RESOURCES AND DEVELOPMENT, Mexus provided an update on progress at its Santa Elena mine in Sonora.  Silver Dollar reported phase 3 drilling results not previously reported by SilverCrest from its la Joya project in Durango. GoGold announced the filing of a NI43-101 technical report on the initial mineral resource estimate for their Los Ricos South project in Jalisco. Santacruz reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Golden Minerals released results from its resource definition drill program at its Rodeo project in Durango.  ON DEALS AND CORPORATE ISSUES, Redstar announced the acquisition of Heliodor Metals Limited and appointed its new CEO. Orla appointed its Senior VP Exploration (Camino Rojo project, Zacatecas). Sonoro announced that its board of directors approved the change of the company´s name to Sonoro Gold Corp (Cerro Caliche project, Sonora). Azure presented results from its annual general meeting of shareholders (Mesa de Plata project, Sonora).   Newmont announced the replacement of the General Manager of the Peñasquito mine, Zacatecas.  Silver Spruce granted stock options to its CFO (El Mezquite project, Sonora). SilverCrest acquired El Picacho property near its Chispas project in Sonora. Orogen (former Evrim) optioned the Sarape Au property in Sonora to Minera Hochschild SA de CV, a subsidiary of Hochschild Mining PLC. Comet executed a share purchase a JV agreement with El Alamo Resource to acquire 100% interest in the Santa Teresa project in Baja California. ON SOCIAL RESPONSIBILITY, Fresnillo plc trains its staff on COVID-19.

ON MEXICO ISSUES

  • Andrés Manuel López Obrador (AMLO), President of Mexico, stated in one of its morning press conferences held in Zacatecas that the Mining Fund will be re-activated and re-organized. He cited that, in the case of the Mining Fund, the resources reached the governments municipalities, but not to the communities.
  • The Mexican Mining Chamber (CAMIMEX), demanded that the Mining Fund go back to communities. Mexico imposed a 7.5% royalty in 2014, plus a special mining tax of 0.5% on gold and silver operations. Most of the proceeds go to social infrastructure projects in mining communities, distributed through the Mining Fund. However, under a reorganization announced by President Andrés Manuel López Obrador, the funds were redirected to a federal budget for schools. Although AMLO has said that the previous system recorded corruption cases and sometimes the cash for projects did not arrive, some industry experts consider that the Mining Fund is a critical tool for mines and projects to win and maintain support of the communities.
  • The Undersecretary of Mining, Francisco Quiroga, spoke about the role that the mining industry plays in Mexico. He said that mining, which is carried out generally in remote locations with difficult access, is a great generator of foreign exchange, as it is mainly an exporter in the case of Mexico, where it contributes more than 4% of GDP. He also emphasized that only small and medium-sized mines require investments of between USD $350-500M, and that medium-scale mines generate 1,000 to 2,000 direct jobs and around 5,000 – 10,000 indirect jobs.
  • Mexico Mining sector, captures USD $873M of Foreign Direct Investment (FDI) in the first half of 2020, a year-on-year decline of 18.6%, according to statistics from the Ministry of the Economy. About 25% of the Mexican territory has been explored in detail, so there is a great opportunity for the development of new projects. Mexico places 12 to 19 minerals year after year within the top 10 production places globally. Development risk in mining is concentrated in the exploration stages and decreases as the operation stage progresses.
  • Fernando Alanis, President of the Mexican Mining Chamber (CAMIMEX), declared that the investment in mining exploration in Mexico could fall to its lowest level in 14 years, although the drop would be even greater given that it does not consider the impact of the COVID-19 pandemic. He said that in recent years exploration activities in the country have suffered a strong fall due to the uncertainty of investors. “Mexico has lost attractiveness as a mining investment destination… that is a fact”. “We have seen a very important reduction of more than 150 exploration companies that are no longer in Mexico and that is worrying.”
  • The Undersecretary of Mining, Francisco Quiroga, informed that in Mexico, the mining sector has to do it environmentally sustainable and socially inclusive, with zero fatalities, no environmental disasters or generating social conflicts. He also informed that active mining concessions represent only four million hectares, that is, a little more than 2% of the national territory and after conducting a review, total concessions decreased from 25 thousand to 21 thousand, which represented a reduction from 21 million to 16 million hectares.
  • Coeur Mining Inc , a US mining company, claimed MXP $1,000M (over USD $46M) to the government of Mexico. Coeur, the fifth silver producer in Mexico, seeks to obtain this compensation from the federal government because the Mexican Tax Administration (SAT) did not refund the VAT. This is the second case that is presented so far in 2020. The first was the notice of the Canadian company First Majestic Silver Corp to the Mexican government, also due to an action by the SAT. On May 13, in its notification, it communicated that the claim amounts to USD $500M, in addition to the interest generated, expenses and costs applicable in the arbitration procedure.
  • Jorge Mátar Vargas, a businessman from Morelos, said that the investment of the Esperanza Silver mining project would reactivate the economy of Morelos, given the crisis it faces due to the COVID-19 pandemic. He also argued that with the Esperanza Silver mining project, state economic activity would be detonated. It would help reduce the deficit of jobs in the state and rescue small entrepreneurs. This project represents a millionaire private investment for the entity, with the capacity to generate hundreds of direct and indirect jobs and is a potential to strengthen the local economy.
  • Napoleón Gómez Urrutia, senator and leader of one of the Mexican mining union tweeted (by the way, a very strange tweet), that he won a labor lawsuit against Grupo Peñoles for unjustified dismissal, for which the company must pay him MXP $1M of lost wages and benefits for 12 years and 8 months that he worked for Minera Mexicana La Ciénega.
  • Sergio Almazán is the new President of the Association of Metallurgical, Mining and Geologist Engineers of Mexico A.C (AIMMGM) for the biennium 2020-2022.
  • Francisco Quiroga, Undersecretary of Mining of Mexico, declared that the recovery of the prices of the main minerals produced in Mexico will reinforce mining investment projects in the country and will allow mining to be part of the competitive advantage for other industries in the country such as manufacturing.

ON EXPLORATION

  • Tocvan Ventures Corp., JV partner of Colibri Resource Corporation, released results from the structural analysis carried out at its El Pilar project in Sonora. “The initial overview of the 3D inversion of magnetic susceptibility data has revealed stand-out significant major structures that are universally associated with “plumbing” systems for gold-silver fluid flow and deposition. Structures appear as shear zones, faults, brecciated rock, rotational gashes within shear zones and other such dilation structures”. The main identified structure is a 1,000m by 250m large NW-SE trending structure bounded by additional N-S trending structures with approximate lengths of 300m. The NW-SE structure as been interpreted as a structural corridor holding a shear zone with rotational features that suggest excellent means of plumbing for metal-mineral-rich fluids to flow through and deposit.
  • Silver Viper Minerals Corp., reported results from ten drill holes collared its La Virginia project in Sonora. Of the ten holes, six were drilled at El Rubi and four at Macho Libre. At El Rubi area, a broad zone of mineralization was encountered in hole LV20-245#1 with 0.76 g/t Au and 38 g/t Ag over a true width (TW) of 55.2m, including 1.79 g/t Au and 92 g/t Ag over a TW of 3m; and 2.49 g/t Au and 152 g/t Ag over a TW of 1m; and 7.98 g/t Au and 353 g/t Ag over a TW of 2.5m, including 20.7 g/t Au and 854 g/t Ag over a TW of 0.5m; hole LV20-245#2 with 0.6 g/t Au and 14 g/t Ag over a TW of 11.2m, including 1.43 g/t Au and 4 g/t Ag over a TW of 1.5m; and hole LV20-245#3 with 0.56 g/t Au and 22 g/t Ag over a TW of 7.5m, including 3.26 g/t Au and 19 g/t Ag over a TW of 0.5m, and an interval of 0.93 g/t Au and 124 g/t Ag over a TW of 0.2m. At Macho Libre, the most significant drill intercept was encountered at hole LV20-240M with 0.5 g(t Au and 7 g(t Ag over a TW of 0.6m.
  • Tarachi Gold Corp., announced the beginning of a 5,000m drilling program at its Tarachi Gold project in Sonora. The company plans to start the drill program at La Dura mine where channel sampling returned 6.34 g/t Au over 62.55m.
  • Vizsla Resources Corp., released the first step-out drill results along the Napoleon Vein corridor at its Panuco project in Sinaloa. Hole NP-20-18, located 1km north from the original discovery at Napoleon encountered 3.76 g/t Au, 689 g/t Ag, 0.2% Pb, 0.6% Zn (1,019 g/t AgEq) over a width of 2.5m, including 7.96 g/t Au, 1,515 g/t Ag, 0.5% Pb, and 1.2% Zn (2,206 g/t AgEq) over a width of 1m. Assays are pending for holes NP-20-19 and NP-20-21 separated each other for a distance of 90m.
  • Mithril Resources Ltd, announced results from the two first drill holes collared at its Copalquin project in Durango. Hole CDH-001 encountered 34.72 g/t Au and 3,129 g/t Ag over 3m, including 88.4 g/t Au and 6,750 g/t Ag over 1m; and hole CDH-002 with 5.64 g/t Au and 325 g/t Ag over 4.55m, including 9.82 g/t Au and 574 g/t Ag over 1.5m, plus 9.27 g/t Au and 825 g/t Ag over 0.5m. The two first holes are part of a 5,000m (35 holes) drilling program and intercepted the Soledad vein, confirming historically bonanza grades.

ON MINING

  • Impact Silver Corp., reported Q2, 2020 production and financial results from its Zacualpan mining district, State of Mexico. Despite losing nearly half the quarter (April to June) due to mandatory shutdown, Impact milled 25,602 tonnes with an average mill feed grade of Ag of 187 g/t to produced 129,570 Oz Ag. Q2, 2020 production at the Guadalupe mill came from the Guadalupe mine (37%), the San Ramon mine (23%), the Cuchara mine (23%), and the Veta Negra mine (17%). Impact reported revenues for $2.84M and an adjusted EBIDTA of $0.48M. At June 30, 2020, cash position was at $6.3M with working capital at $5.3M.
  • Santacruz Silver Mining Ltd., reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Zimapan consists of 34 mining concessions totalling 5,138.76 ha and has had an extensive mining history dating back to the 1660´s. There are fourteen known mineral zones that are hosted in Lower Cretaceous limestone and calcareous shales. The zones contain targets that range from 3-10 m in width that have been traced 40-1000 m along strike and 40-590 m down dip. The property has been in production since January 1, 2010 and as of December 31, 2019 Carrizal Mining mined approximately 5.88M tonnes of mineralized material, including 3.43M tonnes at head grades ranging from 73-101 g/t Ag, 0.4-0.5% Pb, 1.8-2.8% Zn, and 0.49-0.67 % Cu from the Monte mine, and  45 MT at head grades ranging from 82-124 g/t Ag, 0.6-1.2 % Pb, 2.-4.4 % Zn, and 0.28-0.48 % Cu from the Carrizal mine.

ON FINANCING

  • Redstar Gold Corp., completed a non-brokered private placement for gross proceeds of CAD $7M. The company plans to use the net proceeds for exploration drilling and resource delineation, updating the resource and general working capital (Heliodor properties, Mexico).
  • Kootenay Silver Inc., closed its previously announced private placement for gross proceeds of $7M. The Company intends to use the net proceeds from the offering for exploration and development activities, working capital requirements and other general corporate purposes (Columba project, Chihuahua).
  • Capitan Mining Inc., closed its private placement for gross proceeds of $3,840,885.00 instead of the 10,000,000 shares ($2,000,000) originally contemplated. Net proceeds will be used to fund a focused drill program at the Peñoles project in Durango, additional project acquisitions and general corporate purposes.
  • VVC Exploration Corporation, announced a non-brokered private placement to raise gross proceeds of up to CAD $3.3M. Gross proceeds will be used for development of its Kaity project, Chihuahua, including costs associated with various permits, metallurgical bench testing, and investigation, evaluation and implementation of the Gloria pilot mining; option payments in Mexico; current accounts payable; general administrative expenses; and working capital.
  • Gold Resource Corporation, declared its August monthly dividend to shareholders. It will consists of one-third of a cent per common share for August 2020 payable on September 23, 2020 to shareholders of record as of September 11, 2020. (Arista mine, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Mexus Gold US, provided an update on progress at its Santa Elena mine in Sonora. The company improved the crushing circuit to maximize efficiencies, hired two new equipment operators and a lab technician, and acquired a 330 excavator a 40 ton haul truck and repaired existing equipment. The company expects to show an increase in production during the Q2 of its fiscal year (July through September).
  • Silver Dollar Resources Inc., reported phase 3 drilling results not previously reported by SilverCrest from its la Joya project in Durango. This in-fill drilling program consisted of 17 drill holes targeted to advance towards an updated resource model in H1, 2015. Significant drill intercepts were encountered in hole LJDD14-109 with 0.73 g/t Au, 33 g/t Ag and 0.36% Cu (119 g/t AgEq) over a width of 21.92m, including 3.45 g/t Au, 12 g/t Ag and 0.1% Cu (231 g/t AgEq) over a width of 4.4m; LJDD14-114 with 0.09 g/t Au, 193 g/t Ag and 2.58% Cu (501 g/t AgEq) over a width of 1.2m and 0.38 g/t Au, 43 g/t Ag, and 0.27% Cu (98 g/t AgEq) over a width of 66.4m. including 1.26 g/t Au, 219 g/t Ag, and 1.48% Cu (468 g/t AgEq) over a width of 3.15m; hole LJDD20-115 with 0.06 g/t Au, 234 g/t Ag, and 1.24% Cu (382 g/t AgEq) over a width of 6.1m, including 0.17 g/t Au, 734 g/t Ag, and 3.75% Cu (1,182 g/t AgEq) over a width of 1m; hole LJDD20-116 with 0.06 g/t Au, 76 g/t Ag, and 0.55% Cu (144 g/t AgEq) over a width of 25.1m, including 0.04 g/t Au, 185 g/t Ag, and 1.37% Cu (348 g/t AgEq) over a width of 9.1m, and 0.11 g/t Au, 602 g/t Ag, and 4.64% Cu (1,151 g/t AgEq) over a width of 1.8m, and 0.29 g/t Au, 106 g/t Ag, and 1.2% Cu (234 g/t AgEq) over a width of 23.1m, including 0.09 g/t Au, 723 g/t Ag, and 8.97% Cu (1,778 g/t AgEq) over a width of 2m.
  • GoGold Resources Inc., announced the filing of a NI43-101 technical report on the initial mineral resource estimate for their Los Ricos South project in Jalisco. Measured and indicated mineral resource are 10M tonnes of 199 g/t AgEq to contain 63.7M Oz AgEq, and Inferred resources are 3.3M tonnes of 190 g/t AgEq to contain 19.9M Oz AgEq. Los Ricos South mineral resource is potentially amenable to both open pit and bulk underground mining methods. The company also expanded the surface rights agreement. On August 9,2020 the Ejido Cinco Minas, which owns the surface rights over the majority of the Los Ricos South concessions including all of those within the mineral resource estimate, signed an agreement with the company for a period of 12 years with an additional 12 year renewal period.
  • Santacruz Silver Mining Ltd., reported the filing of a NI43-101 technical report for its Zimapan mine in Hidalgo. Zimapan consists of 34 mining concessions totalling 5,138.76 ha and has had an extensive mining history dating back to the 1660´s. There are fourteen known mineral zones that are hosted in Lower Cretaceous limestone and calcareous shales. The zones contain targets that range from 3-10 m in width that have been traced 40-1000 m along strike and 40-590 m down dip. The property has been in production since January 1, 2010 and as of December 31, 2019 Carrizal Mining mined approximately 5.88M tonnes of mineralized material, including 3.43M tonnes at head grades ranging from 73-101 g/t Ag, 0.4-0.5% Pb, 1.8-2.8% Zn, and 0.49-0.67 % Cu from the Monte mine, and  45 MT at head grades ranging from 82-124 g/t Ag, 0.6-1.2 % Pb, 2.-4.4 % Zn, and 0.28-0.48 % Cu from the Carrizal mine.
  • Golden Minerals Company, released results from its resource definition drill program at its Rodeo project in Durango. Golden reported results from 11 drill holes with significant intercepts showing wide zones of high-grade near-surface Au mineralization. Highlights include hole RDO_20_012 with 6.66 g/t Au and 14 g/t Ag over 24.5m, including 9.3 g/t Au and 15 g/t Ag over 8.6m; hole RDO_20_014 with 5.87 g/t Au and 27 g/t Ag over 23.5m, including 8.83 g/t Au and 38 g/t Ag over 12.9m; and hole RDO_20_017 with 2.85 g/t Au and 11 g/t Ag over 21.4m, including 5.1 g/t Au and 15 g/t Ag over 6m.

ON DEALS AND CORPORATE ISSUES

  • Redstar Gold Corp., announced the acquisition of Heliodor Metals Limited., and appointed its new CEO and board of directors. To acquire Heliodor, Redstar issued an aggregate of 86,621,003 shares to the former Heliodor shareholders in exchange for all the issued and outstanding Heliodor securities.
  • Orla Mining Ltd., announced the appointment of its Senior VP Exploration (Camino Rojo project, Zacatecas).
  • Sonoro Metals Corp., announced that its board of directors approved the change of the company´s name to Sonoro Gold Corp (Cerro Caliche project, Sonora).
  • Azure Minerals Limited, presented results from its annual general meeting of shareholders (Mesa de Plata project, Sonora).
  • Newmont Corporation, announced the replacement of the General Manager of the Peñasquito mine, Zacatecas. The former General Manager was ceased for violations of Newmont´s Code of Conduct.
  • Silver Spruce Resources Inc., granted 300K stock options to its CFO (El Mezquite project, Sonora).
  • SilverCrest Metals Inc., announced the acquisition of El Picacho property, near its Las Chispas project in Sonora, from American Metal Mining. The purchase price paid by SilverCrest was for the amount of USD $1.6M and is for a 100% ownership in 11 mining concessions totalling approximately 7,060 hectares. The company also paid all the mining taxes to bring these concessions to good standing. The Property was a historic gold and silver producer, with the first noted production in late 1800s with grades greater than 15 g/t Au. “There are seven (7) low-sulphidation epithermal main veins on the concessions, with numerous near parallel hanging and footwall veins. The main veins have a known cumulative strike length of over 10km with widths ranging from 0.5 to 15m”.
  • Orogen Royalties Inc., (former Evrim) optioned the Sarape Au property in Sonora to Minera Hochschild SA de CV, a subsidiary of Hochschild Mining PLCHochschild can earn a 100% interest in the Sarape project by making cash payments of USD $5.35M and completing expenditures of USD$5M over a five-year period. Upon exercise of the option, Hochschild will grant to Orogen a 3% NSR of which 1% can be purchased for USD $2M.
  • Comet Resources Ltd., executed a share purchase and JV agreement with El Alamo Resources Limited to acquire 100% interest in the Santa Teresa project in Baja California. The acquisition will be completed on a staged basis, with Comet acquiring an initial 50% interest by making a refundable $100K cash payment. The remaining 50% interest will be acquired upon a decision to mine being made in respect of the Project within a two year period. Comet is now 50% owner of the Santa Teresa property and has the option to increase its ownership to 100% within two years. Historical production in the surrounding El Alamo district has been estimated in between 100K-200K Oz Au. The Santa Teresa project is comprised of two mineral claims totalling 202 hectares. Previous operator drilled 32 holes with significant results such as 32.4 g/t Au over 2m ; 958.4 g/t Au over 1m; 38 g/t Au over 2.5m; 39 g/t Au over 3.9m; 19.9 g/t Au over 3m; 125.9 g/t Au over 1m; 14.4 g/t Au over 3.1m; and 16 g/t Au over 3.1m. The company plans are to re-assay historic drill core to prepare a JORC compliant mineral resource estimate and then to test the upside potential at under explored areas.

ON SOCIAL RESPONSIBILITY

  • Fresnillo plc, seeks to promote knowledge about COVID-19 among its employees and train them to carry out all the actions and measures necessary to prevent the spread of the virus in their homes, community and in the company.

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

On the picture above, a hydrothermal breccia related to an epithermal system in a prospect in Chihuahua, Mexico.  Photo by Miguel A Heredia.