Highlights on the Second Week of September, 2018. Mining and Exploration News in Mexico

Banded quartz epithermal vein

By Miguel A Heredia

During the 37th week of the year (September 10th to September 16th, 2018), at least 22 press releases were announced by companies working in Mexico, with ten informing on exploration results, six reporting on resources and developments, four communicating deals and corporate issues, and two announcing production results.  ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Riverside and Kootenay announced exploration results from its Cecilia and La Mina projects respectively. In Chihuahua, Harvest Gold began preparations to drill test its Cerro Cascaron project and Sable Resources released drilling results from its Margarita project.  In Sinaloa, Auxico reported sampling results from its Zamora project In Durango, Gainey announced a 1st phase of exploration at its Las Margaritas project, Orex commenced fieldwork exploration on its San Luis del Cordero project, and Prospero reported drilling results from its Buenavista project. In Zacatecas, Advance Gold started a phase 2 drilling program at its Tabasquena project. In Jalisco, Evrim announced trench and soil results from its Cuale project.  ON MINING, Starcore reported Q1 2018 results from its San Martin mine in Queretaro. US Antimony announced plans to increase its production of Sb, Au and Ag in Mexico. ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, In Sonora, SilverCrest and Premier Gold released drilling results from its Las Chispas and Mercedes projects respectively. Aura provided an update at its Aranzazu mine in Zacatecas. Candelaria announced a PEA for its Pinos Gold project in Zacatecas.   McEwen reported that hopes to add 12 years of mine life at its El Gallo Complex in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Evrim and First Majestic agreed to exercise the Ermitaño and Cumobabi option agreements in Sonora. New Gold announced the appointment of its new President and CEO (Cerro San Pedro mine, San Luis Potosi). Levon announced results from its annual general meeting (Cordero project, Chihuahua). Vangold withdrew its submission to acquire the San Carlos property in Guanajuato (El Pinguico mine, Guanajuato).

ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Riverside Resources Inc., completed 11 N-S lines for soil sampling which returned strong multi-elements anomalies with Au, Pb, Cu, and other key elements. These results along with previous exploration work have outlined four new target areas on its Cecilia project in Sonora. Target 1 is a 4km long by 300m wide target where previous rock sampling has found up to 2 g/t Au in silicified conglomerates , but the soil anomaly is open in both directions beyond the 4 Km and more than 800m wide. Target 2 is a NE trending Ag, Pb, Au, Zn, Sb, Hg and Cu soil anomaly over 2km long and 600m wide in rock cracks with faults and host veining displaying a series of NW striking feeder dikes. Target 3 is a 1km long by 500m wide Au-Zn with minor Ag, Cu, Pb and Bi soil anomaly associated to a N-S trending fault system intersecting Paleozoic limestones. This target is also along the border edge of a magnetic high reported in a regional government geophysics survey likely associated with Pre Cambrian granitic basement.  Target 4 contains “high-grade gold samples in soils and alteration with jasperoid, silicification, and carbonate veining of the Paleozoic limestone that gives a potential limestone hosted Au with anomalous soil assays of Zn, Pb, Ag and Mn”.
  • Kootenay Silver Inc., announced that its partner Capstone Mining Corp., has commenced an exploration program on its la Mina project in Sonora. The exploration program will consists of detailed mapping and rock chip / stream sediment sampling to generate potential drill targets.
  • Harvest Gold Corporation, reported that Evrim Resources, its JV partner and operator on its Cerro Cascaron project in Chihuahua, has mobilized an advance team to the site to start preparations to drill test the property. The drill program, expected to commence at the end of September, will consist of 3,000 m to test the Cascaron Gold targets and the Cascarita Silver targets.
  • Sable Resources, released drilling results from its Margarita project in Chihuahua. Significant intersections are from hole M-DDH-18-09 with 6.5m of 111 g/t Ag Eq, including 3.5m of 153 g/t Ag; hole M-DDH-18-11 with 11.3m of 252 g/t Ag Eq, including 1.3m of 889 g/t Ag Eq; hole M-DDH-18-12 with 12.7m of 98 g/t Ag Eq, including 1.8m of 244 g/t Ag Eq. Additionally, Sable identified a low-grade stockwork style of mineralization evident in numerous holes. The most significant results are hole M-DDH-18-03 with 44.13m of 50 g/t Ag Eq, including 6.95m of 142 g/t Ag Eq; hole M-DDH-18-07 with 7.6m of 54 g/t Ag Eq, and hole M-DDH-18-12 with 21.35m of 37 g/t Ag Eq. “With the first stage of drilling now complete we will evaluate our results and formulate a plan for stage 2 drilling targeting further extensions of Margarita and the other adjacent parallel veins”.
  • Auxico Resources Canada Inc., reported high-grade sampling results from its Zamora project in Sinaloa. Significant results are 0.80m of 4Kg Ag and 29.2 g/t Au at La Franca claim, 600m southwest of the Campanillas mine along a structure that can be followed by at least 600m along strike. Mineralization consists of breccia-stockwork veining containing galena, sphalerite and possible silver sulphosalts, malachite and chalcopyrite. Other significant results are from Aguamas area where some channel samples returned 0.65m of 6.38 g/t Au and 23 g/t Ag; 0.70m of 14.7 g/t Au and 34 g/t Ag; 0.50m of 3.55 g/t Au and 108.7 g/t Ag; and 1.60m of 6.64 g/t Au and 220 g/t Ag.
  • Gainey Capital Corp., announced a phase 1 exploration program on its Las Margaritas project in Durango. Las Margaritas is a mineralized vein system that extends at least 1.5Km along strike and averages 1-2m in width. The 1st phase exploration program will consists of detailed mapping and sampling with the objective to identify prospective areas to generate the best drill targets.
  • Orex Minerals Inc., commenced an exploration program on its San Luis del Cordero project in Durango, where the company has an option to acquire 100% interest in the property from Exploraciones del Altiplano S.A. de C.V. Mineralization at San Luis del Cordero is characterized by skarn and epithermal vein Ag-Cu-Zn as a result of Tertiary-quartz-feldspar-porphyry intrusions affecting Jurassic and Cretaceous limestones, calcareous sandstones and shales. The project has seen several phases of exploration from different mining companies, including 16,400m drilled in 62 holes in the period 2000-2016. The property contains indicated resources of 662.6K tonnes of 121 g/t Ag, 0.78 % Cu and 1.1 % Zn for a total of 5.1M Oz Ag Eq, and inferred resources of 2, 785,300 tonnes of 144 g/t Ag, 0.75 % Cu and 1.45 % Zn, for a total of 24.4 M Oz Ag Eq.
  • Prospero Silver Corp., reported core drilling results from eleven holes totaling 2, 811m drilled at its Buenavista project in Durango. Mineralization drilled-tested at Buenavista consists of structurally controlled epithermal veins centered on a rhyolite dome complex. “All holes cut anomalous silver mineralization, with a best interval of 1.6m @ 353g/t Ag from 185.6m downhole, within a broader interval of 49m @ 43g/t Ag in hole BVF-18-05”.
  • Advance Gold Corp., started a second phase drilling program at its Tabasquena project in Zacatecas to test the La Tabasquena epithermal vein at a depth of 1,800m. Phase 2 will test below the gold discovery hole of phase 1. It also will test some of the potential feeder type targets and all of the veins below the oxide zone which goes down to an estimated 175 metres below surface.
  • Evrim Resources Corp., announced new trench and soil results from its Cuale project in Jalisco. Highlight results include the trench 2 which was extended from 29.4m to 184.1m with an average grade of 0.85 g/t Au, including 59.1m of 1.79 g/t Au, and including 21.6m of 4.18 g/t Au; Trench 4 , extended from 106.2m to 156.2m with an average grade of 9.57 g/t Au, including 64.6m of 20.85 g/t Au, and including 7.5m of 163.31 g/t Au; and Trench 5 which contains 174m of 0.62 g/t Au, including 70m of 1.16 g/t Au, and including 40m of 1.45 g/t Au. A soil grid with 200 metre spacing outlined a Au anomaly over the entire La Gloria prospect with grades >0.01 g/t Au of 2,300m by 800m with a central corridor of 1,700m by 300m >0.1 g/t Au extending north of the trenched area.  “The soil anomaly at higher elevation correlates with elevated silver, antimony, molybdenum, arsenic and low contents of manganese and zinc.  At lower elevations gold correlates with elevated copper, tellurium, arsenic, bismuth and iron”. “The new trench results expand the La Gloria zone to the northwest and the east with consistent gold mineralization.  Soil sampling indicates the La Gloria system footprint is measurably larger with the potential to host a significant deposit and/or additional mineralized centers within the La Gloria prospect”.   “The soil survey has a distinctive high sulphidation signature centred on a large gold in soil anomaly that is approximately 2,300 metres by 800 metres.  The results indicate a potential major system with significant upside for additional mineralized centers within the La Gloria prospect.”

ON MINING

  • Starcore International Mines Ltd., reported Q21 2018 results from its San Martin mine in Queretaro. Starcore milled 77,400 tonnes of 1.53 g/t Au and 49 g/t Ag to produce 3.3K Oz Au and 72.7K Oz Ag, with an all-in sustaining cost of US$ 1,215 for Eq Oz. Metallurgical recoveries were 88.1% for Au and 59.6% for Ag.
  • US Antimony Corporation, produced 131,184 Lb Sb and 1,244 short tonnes of zeolites in August 2018 and announced plans to increase its production of Sb, Au and Ag in Mexico. At its Wadley mine in San Luis Potosi, the general level will be reactivated by cleaning up the waste to provide access and transportation of the lower grade for the mill. At Sierra Guadalupe in Zacatecas, the Santa Monica drift will be restarted. The ore is primarily sulphides and can be upgraded to 60-70% Sb flotation concentrate at its Puerto Blanco Mill to make antimony tri-sulphide. At the Soyatal district in Queretaro, a buying program will be started to purchase direct shipping ore for its Madero smelter. The construction of the cyanide leach plant for the Los Juarez Au-Ag-Sb should allow pilot testing to commence during Q4 2018. The company also closed an agreement purchase, dismantle and transport an antimony plant from Reynosa, Tamaulipas. When installed, the equipment from the Reynosa plant will increase the capacity of the Madero Smelter in Coahuila to approximately 30,000,000 Lb per year of antimony oxide.

ON FINANCING

  • No relevant news.

 

ON RESOURCES AND DEVELOPMENT

  • SilverCrest Metals Inc., released drilling results from its Las Chispas project in Sonora and expanded the high grade at Babicanora Norte vein. Drill holes have intersected additional high-grade Ag-Au mineralization at Babicanora Norte vein which is located about 300m NE of Babicanora vein and apparently is connected with the Granaditas area which contains multiple veins to the southeast. The most significant results are 1.8 m of 15.11 g/t Au and 1,718 g/t Ag or 2,851 g/t Ag Eq, 1.6 m of 8.96 g/t Au and 1,078 g/t Ag or 1,750 g/t Ag Eq and 1.5 m of 4.22 g/t Au and 687 g/t Ag or 1 Kg Ag Eq. The drilling results of Babicanora Norte vein will be part of the upcoming updated resource which will include 8 of the 30 identified veins in the district.
  • Premier Gold Mines Limited, reported drilling results from the Rey de Oro deposit at its Mercedes mine in Sonora. Highlights results include hole UG-R018-013 which returned 12.64 g/t Au and 240.1 g/t Ag across 29.65 m (TW of 13.5 m), hole UG-R018-015 with 0.41 g/t Au and 3120.0 g/t Ag (91.0 oz/ton) across 1.52 m (TW of 1.06 m), and hole UG-R018-012 with 17.00 g/t Au and 321.0 g/t Ag across 1.1 m (TW of 0.8 m) and 4.47 g/t Au and 138.5 g/t Ag across 8.25 m (TW of 6.1 m). “Underground drilling at Rey de Oro consists of step-out and delineation drilling of this recently developed horizon. This drilling continues to intersect some of the widest vein intercepts on the property and demonstrate the potential to continue to extend the mine life at Mercedes”.
  • Aura Minerals Inc., provided an update at its Aranzazu mine in Zacatecas. Aura has obtained all the necessary permits and initiated the construction of the new tailings disposal system. “The Company expects the Aranzazu mine to achieve commercial production later this year and to achieve the average processing of 2,600 tonnes per day shortly thereafter”.
  • Candelaria Mining Corp., announced a PEA for its Pinos Gold project in Zacatecas. Highlight results from the PEA indicate an after tax net present value (NPV) of US$ 12M using a 5% discount rate, an after tax internal rate return (IRR) of 25%, and a 7 years life of mine with projected gold equivalent ounce (“GEO”) production of 89,000. The PEA includes a mineral resource estimate as of September 13, 2018. Measured resources (Dump) are 85,847 tonnes of 1.6 g/t Au and 83 g/t Ag for a total of 4,444 Oz Au and 229K Oz Ag. Indicated resources are 175,697 tonnes of 3.6 g/t Au and 47 g/t Ag for a total of 20.6K Oz Au and 268K Oz Ag. Inferred resources are 529,267 tonnes of 3.6 g/t Au and 48 g/t Ag for a total of 60.7K Oz Au and 811K Oz Ag. Average recovery for Au and Ag are 90 and 80% respectively. The company plans to have an annual production of 12,700 GEO with an overall average direct cash cost of %US 666 per GEO.
  • McEwen Mining Inc., reported that hopes to add 12 years of mine life at its El Gallo Complex in Sinaloa, combining mineralized sources from five locations that will be developed in two distinct process plant construction phases. McEwen plans to produce 47K Oz Au Eq per year.
  • Bacanora Lithium plc., announced plans to start the mine construction on its Sonora Lithium project in Sonora. $US 420M will be invested in the first phase and is expected to begin to operate in 2020.

ON DEALS AND CORPORATE ISSUES

  • Evrim Resources Corp., and First Majestic Silver Corp., agreed to exercise the Ermitaño and Cumobabi option agreements in Sonora. First Majestic has completed its 100% earn-in for both projects. First Majestic has paid $1.5M in cash to Evrim and has granted a 2% NSR in the case of Ermitaño project and 1.5% NSR in the case of Cumobabi project.
  • New Gold Inc., announced the appointment of its new President and CEO (Cerro San Pedro mine, San Luis Potosi).
  • Levon Resources Ltd., released results from its annual general meeting (Cordero project, Chihuahua).
  • Vangold Mining Corp., withdrew its submission to the TSX Venture Exchange to acquire the San Carlos property in Guanajuato.

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 banded quartz vein in an intermediate sulphidation epithermal project in Zacatecas, Mexico.  Photo by Miguel A Heredia.

Alset Closes $992,420 Private Placement Financing

alset closes private placement financing

Vancouver, British Columbia–(Newsfile Corp. – April 13, 2018) – Alset Minerals Corp. (TSXV: ION) (“Alset” or “the Company”) announces that further to its March 19, 2018 release it has completed its private placement financing for gross proceeds of $992,420. The Company will issue a total of 8,270,167 units (“Units”), each Unit consisting of 1 common share and ½ of a share purchase warrant (“Warrant”), each full Warrant being exercisable at $0.15 for 36 months.

Finders’ fees or commissions have been paid to registered representatives in connection with the Financing, including the issuance of 366,880 finders’ units (the “Finders’ Units”), with each Finders’ Unit consisting of 1 common share and ½ of a Warrant, each full Warrant being exercisable at $0.15 for 36 months, and 516,880 Broker Warrants exercisable at $0.15 for 36 months.

All securities issued in the placement are subject to a four-month hold period.

Alset will use the net proceeds of this private placement for general working capital purposes and to advance its lithium projects in Mexico.

Starcore Announces 4th Quarter Production Results

https://www.starcore.com/news/news-releases/starcore-announces-4th-quarter-production-results

Vancouver, B.C. – Starcore International Mines Ltd. (the “Company”) announces production results for the fourth quarter of fiscal 2017, ended April 30, 2017, at its San Martin Mine (“San Martin”) in Queretaro, Mexico and the Altiplano Gold Silver Processing Facility (“Altiplano”) in Matehuala, Mexico.

During Q4 at San Martin, a total of 65,789 tonnes were milled at an average grade of 1.82 g/t gold and 13.5 g/t silver resulting in the production of 3,365 gold equivalent ounces. Mill recoveries averaged 81.9% for gold and 49.7% for silver. Equivalent gold ounce calculation is based on the average gold:silver ratio of 69.6:1 during the quarter.

The carbonaceous ore continues to experience mineralogical issues and, as a result, the Company has not started processing this ore utilizing the CIL/ADR circuit. Management is determining the best approach to treating the carbonaceous ore. The CIL/ADR circuit is working well and is continuing to process granulated carbon from third party producers as the Company has received its third shipment subsequent to the quarter end.

Zenith Minerals – High-Grade Surface Lithium Results at Zacatecas Brine Project

Click to access 170524%20ZNC_High%20Grade%20Lithium%20Results%20-%20Zacatecas.pdf

Zenith Minerals Limited (“Zenith” or “the Company”) is pleased to advise that results of the field programs in Mexico funded by Bradda Head have returned highly encouraging surface results up to 1046ppm lithium from new surface sediment samples taken on salt pans in the Zacatecas Lithium Project in central Mexico (Figure 1). The samples were collected as part of a systematic surface sampling program designed to assess lithium levels in sediments up to 1.0 metre below the surface of the salt pans. The program has outlined a large 4km by 2km strong lithium anomaly (values greater than 300ppm lithium) on the San Juan concession (Figure 2).

Initiation of coverage by Align Research

Click to access nr-2017-05-15-align-research-20170512143837.pdf

Arian Silver Corporation (“Arian Silver” or the “Company”), is pleased to announce that a commissioned research report has been published by Align Research. Certain highlights from the report are presented below and the full version of the report is available to download via the following link: http://www.alignresearch.co.uk/cpt-company/arian-silver/. Attractive silver and lithium projects at a compelling valuation Arian Silver listed on AIM in 2006 and brought the San José silver mine in Mexico back into production. However, low silver prices led to the mine being handed over to its creditors in 2016. Undaunted, the same team is now broadening the exploration focus for Arian to become a lithium play.

Highlights on the Fourth Week of November 2016, Mineral Exploration in Mexico

The fourth week of November marks the first anniversary of this post being published.

A year ago, the lack of a comprehensive and widely available abstract of Mexican mining and exploration news was noted. Giving that news releases from companies working in Mexico range from 10 to 40 in number on any given week, it is difficult for all industry professionals to keep track of all that is going on (imagine finding and reading 25 press releases every week for a year). We, at Gambusino Prospector de Mexico, decided to fill this gap, and this week marks the first anniversary. November of last year clearly was not the best of times in mining; if we speak in terms of cycles, 2015 was clearly in the low part of the graph, we just didn’t know if the bottom was nearby. The clear signs of a more optimistic market were seen in March and April of 2016, but we noted that in the third week of November, $35 M had been raised by six companies working in Mexico, that fact constituted a preliminary post, followed by the first “Highlights” on the fourth week of November, with $26.7 M in financing by three more companies. In hindsight, those were probably the signs of investors looking again into commodities for the first time in several years. A year later the outlook is now optimistic, even if not yet a boom, with metal prices recovering, and some mining companies having announced increases in their exploration budget in the mid part of the year. Two silver discoveries in Mexico reinforce the point; Mesa de Plata in Sonora (Azure Mining) and Sandra Escobar in Durango (Orex Gold-Canasil). We look forward to see this trend continuing to give shape to the next boom.

The fourth week of November marks the first anniversary of this post being published. During this week at least eleven press releases were announced by companies working in Mexico, including one third quarter report. ON MEXICO ISSUES, two large Mexican corporations protested against new proposed regulations in Zacatecas. ON EXPLORATION, drilling is focused on brown field high grade silver-gold targets in a property in Mexico State; results from drilling point to the discovery of a new orebody in a Chihuahua silver property, whereas in Sinaloa good results from RC drilling strengthen the case for a silver project. ON MINING, a company in Sonora decided to use a Merryl Crowe system in its project, one more reported third quarter results, and another one added new equipment to its plant in Zacatecas. ON FINANCING, one company completed a bought deal for US$10 M, while one more closed a convertible debenture financing of $1 M. ON DEALS AND CORPORATE ISSUES, A company entered into an agreement to extend an option on three mining concessions in Veracruz.

ON MEXICO ISSUES

  • Peñoles and Fresnillo, two of the biggest Mexican mining companies, expressed their disagreement on a proposed new tax to enterprises that produce contamination in Zacatecas.

ON EXPLORATION

  • Impact Silver Corp. is focusing underground drilling on larger and higher grade targets at Guadalupe South and San Ramon extensions, on its Zacualpan mine in Mexico State. From surface, drilling is to test extensions of the Mirasol silver mine and San Patricio. San Patricio was discovered and partially drilled in 2007-2008, with results including 4.6 m @ 242 g/t Ag and 1.9 m @ 346 g/t Ag.
  • Kootenay Silver Inc. provided results from the first 11 holes on the RAM structure, on its La Cigarra project in Chihuahua. The Ram structure is 700 m to the west and south of the La Cigarra silver deposit, the drill program tested a 400 m strike length of the 3,800 m long structure. Most of the drill intercepts are shallow, and include: 18 m @ 89.9 g/t Ag, 6 m @ 166.5 g/t Ag, 16.5 m @ 58.8 g/t Ag, 31.1 m @ 27.6 g/t Ag and 14.7 m @ 56.4 g/t Ag.
  • Santana Minerals Ltd. announced RC drill results from the Mojardina Loop area of the Cuitaboca project in Sinaloa. Results include 35 m @ 221 g/t Ag, from surface, including 14 m @ 453 g/t Ag; 10 m @ 56 g/t Ag, 31 m @ 32 g/t Ag; 16 m @ 58 g/t Ag; 17 m @ 50 g/t Ag; 11 m @ 45 g/t Ag, 45 m @ 45 g/t Ag; 24 m @ 47 g/t Ag. The drill program continues now at the Jesus Maria breccia, and then to Mojardina South.

ON MINING

  • Mexus Gold US. and JV partner Ma Mar announced its intention to use a Merryl Crowe system to recover gold at its Santa Elena mine in Sonora (not to mistake with First Majestic’s Santa Elena mine, also in Sonora).
  • Impact Silver Corp. announced its financial and production results for the third quarter, 2016. Production on its Zacualpan property in Mexico State was 229 K Oz Ag, primarily from the Oscar Cuchara (42%), San Ramon Deeps (40%) and the Mirasol mines (18%). Cash position was $8.2 M at the end of the period.
  • Santacruz Silver Mining LTD. installed a 4 K tonnes/day lead thickener and filter press to its Veta Grande Mill in Zacatecas. Metal recoveries are now 70% and 88% for silver and lead respectively.

ON FINANCING

  • Avino Silver & Gold Mines Ltd. entered into an underwriting bought deal agreement, for gross proceeds of approximately US$10 M.
  • VVC Exploration Corp. announced the closing of a convertible debenture financing of approximately CA$1.38 M or US$1.04 M.

ON DEALS AND CORPORATE ISSUES

  • Source Exploration Corp. has entered into a definitive agreement to extend the option contract on three concessions on its Las Minas project in Veracruz. The term of the option agreement has been extended for one year for consideration of $180 K.

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 below, chalcedonic quartz veinlet in argillitized felsic tuff, interpreted as part of the upper levels of an epithermal system in Zacatecas.

014-copia

Highlights on the Third Week of November 2016, Mineral Exploration in Mexico

During the third week of November, at least 14 press releases were published by companies working in Mexico, including several quarterly financial reports. ON EXPLORATION, high-grade drilling results were released for a low sulfidation epithermal property in Sonora, and coincident soil and geophysical anomalies for an orogenic gold style property on the same state. A new drilling campaign is to commence in a project in Coahuila, looking for the feeders of known mineralization. In Chihuahua, high grade drilling results were released on a Pb-Zn Ag property. ON MINING, three companies reported third quarter results, with operations in Sonora, Chihuahua and Sinaloa, and a company with a property in Chihuahua released its results for the last six months. Mexico now boasts the third largest copper producing mine in the world. ON FINANCING, one company raised C$10 M, and one other completed an ATM equity offering to gather $200 M. ON RESOURCES, a resource estimation was completed for a silver property in Zacatecas. ON DEALS AND CORPORATE ISSUES, A company received a favorable ruling from the local agrarian court, and one other sold a zinc-lead-germanium property in Chihuahua.

ON EXPLORATION

  • SilverCrest Metals Inc. released high grade results from two more veins at Las Chispas property in Sonora. The new assays come from the rehabilitation and exploration of underground workings in the Varela mine, approximately 300 m west from the William Tell vein. To date 7 km of workings have been rehabilitated, pending 4.5 km more to complete. Composite assays along vein include 0.53 m @ 3 g/t Au, 47 g/t Ag over 6.5 m strike length; 0.69 m @ 1.2 g/t Au, 114 g/t Ag over 10 m strike length; 0.88 m @ 4.8 g/t Au, 147 g/t Ag and 1.10 m @ 3.1 g/t Au; 223 g/t Ag. Individual sample assays are as high as 0.30 m @ 40.9 g/t Au, 610 g/t Ag; 1.60 m @ 8.6 g/t Au, 307 g/t Ag; 0.97 m @ 4.6 g/t Au; 1,074 g/t Ag and 1.31 m @ 8.6 g/t Au, 556 g/t Ag.
  • Silver Bull Resources Inc. commenced an initial 3,000 m drill program at its Sierra Mojada project in Coahuila. The program is targeting source structures for the main zone of mineralization already defined. Previous drillholes have intercepted up to 8.4 m @ 20% Pb+Zn on high angle structures. During August and September a 590 line Km airborne magnetic survey was completed over the main deposit, targeting structures at depth, and more than 20,000 m of core was re-logged.
  • Riverside Resources Inc. reported the definition of a gold soil anomaly and the mapping of a zone of hydrothermally altered rocks that is more than 2 km in length. An induced polarization (IP) survey produced a chargeability anomaly that closely matches the soil anomaly. The soil sampling survey, which contains 926 samples, and a 136 line Km ground magnetic survey have been completed. The coincident surveys covered an area of 14.2 km² with survey lines spaced 200 meters apart. The company doing the IP study to date has surveyed 31.7 line Km.
  • Consolidated Zinc Ltd. continues with underground drilling for resource definition, with high grade intercepts like: 2.94 true width (TW) @ 13.4% Zn, 7.2% Pb, 26 g/t Ag; 0.71 m @ 36.1% Zn, 11.7% Pb, 40 g/t Ag 0.89 m @ 45.8% Zn, 4% Pb, 38 g/t Ag; 0.72 m @ 33.3% Zn, 19.5 % Pb, 89 g/t Ag; 0.40 m @ 13.% Zn, 38% Pb, 820 g/t Ag.

ON MINING

  • Premier Gold Mines Ltd. presented its operating results for the third quarter 2016, period during which completed the acquisition of the Mercedes mine in Sonora. The Mercedes mine produced 7,548 Oz Au and 34,888 Oz Ag during the month of October, with all-in sustaining costs of US$725 Oz Au and US$10.56 Oz Ag. Cash and cash equivalents of $42.1 M at the end of the period.
  • Sierra Metals Inc. reported production results for the third quarter 2016, including numbers from its operations in Mexico. At Cusi in Chihuahua, 57.1 K tonnes of ore were mined @ 184 g/t Ag, 1.6% Pb, 1.6% Zn and 0.14 g/t Au. Cash cost was $9.67 per AgEq Oz and AISC per AgEq Oz was$19.22. At the Bolivar mine, also in Chihuahua, cash cost per CuEq pound was $0.94, and AISC was $1.90 per CuEq pound. Cash and cash equivalents stood at $27.1 M at the end of the period.
  • Americas Silver Corp. presented financial and operational results for the third quarter 2016, including numbers from its Cosalá operations in Sinaloa. The San Rafael project at Cosalá begun construction during Octber, aiming to start mining ore in Q2, 2017, and commercial production on Q3, 2017. It is expected to have an initial capital investment of $20 M, and deliver annual production of 1 M Oz Ag, 50 M Lb Zn, 20 M Lb Pb over an initial 6 year mine life at negative AISC based on current reserves. Cash balance at the end of the period of $26.6 M, and working capital of $28 M.
  • GoGold Resource Inc. produced 127.2 K Oz Ag at its Parral tailings operations during October. The heap height has been adjusted, the strength of the cyanide solution increased, air added to the irrigated solution and recycling of the cyanide commissioned to improve the speed of recovery.
  • Grupo Mexico. Announced that its Buenavista del Cobre mine will produce 460 K tonnes metallic copper in 2016, becoming the third largest copper producing mine in the world.
  • War Eagle Mining Co. released its financial results for the six months ended on September 30th, 2016. At the end of the period the working capital was $2 M (Terrazas project, Chihuahua).

ON FINANCING

  • SilverCrest Mining Inc. entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc. for a bought deal to gather C$10 M (Las Chispas, Sonora).
  • Coeur Mining Inc. completed its previously announced at the market (“ATM”) common equity offering program for gross proceeds of $200 M (Palmarejo, Chihuahua).

ON RESOURCES

  • Santacruz Silver Mining Ltd. released the resource estimation for the Panuco deposit, at its Veta Grande project in Zacatecas. 16.34 M Oz Ag were estimated in 2.26 M tonnes of ore @ 181 g/t Ag, 0.17 g/t Au, 0.02% Pb, 0.04% Zn. The sampling from 75 drillholes totaling 23,444 m was used in the estimation, as well as 1,869 chip samples from 183 trenches. Three veins over a strike length of 2.4 Km were included in the inferred resource estimate.

ON DEALS AND CORPORATE ISSUES

  • Excellon Resources Inc. announced that received a favorable ruling by the Tribunal Agrario del Distrito Sexto in Torreón, Coahuila, on a legal dispute regarding surface access to the surface area of La Platosa mine in Durango. “We continue to make meaningful cooperative investments in our local community of Bermejillo and look forward to re-engaging with the Ejido La Sierrita on fair and transparent terms in due course.”
  • War Eagle Mining Company Inc. sold the Tres Marias zinc-lead-germanium project in Chihuahua, to Contratista and Operaciones Mineras SA de CV for $1.7 M.

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 below, low temperature epithermal quartz vein float found while prospecting in the Trans Mexican Volcanic Belt in Zacatecas.

009-copia

Highlights on the Second Week of November 2016, Mineral Exploration in Mexico

During the second week of November, at least 27 press releases were published by companies working in Mexico, including several quarterly financial reports. ON EXPLORATION, a new round of drilling started in two Durango projects, while another company published high-grade drilling results and the exploration for extensions to defined orebodies, also in Durango.  In Sonora one company is exploring a new porphyry copper target and also a new high sulfidation epithermal target. Assay results were disclosed for a drill hole in Veracruz, with continuous low-grade Cu-Au mineralization for hundreds of meters. In Sonora, step-out drilling exploration is finding extensions and peripheral mineralization in two high sulfidation epithermal projects. Also in Sonora, the resource conversion in a lithium property has been completed, and work focus in the Feasibility Study. A drill program is to start on another lithium property in Sonora. ON MINING, ten companies reported third quarter results, with operations in Baja California, Sonora, Sinaloa, Coahuila, Durango, Jalisco, San Luis Potosi, Mexico State, Oaxaca and Zacatecas. Pilot scale mining continues on a Sinaloa project, and a mine commenced commercial production in Zacatecas. ON FINANCING, one company issued shares for $150 K to settle debt; another closed a non-brokered private placement for $400 K; and one other received $642 K from the exercise of warrants. One company entered into an agreement with a syndicate of underwriters for $20 M. ON DEALS AND CORPORATE ISSUES, two companies entered into an option agreement for 50% of a property in Durango, while two other companies agreed an option and JV agreement for 49% of a lithium property in Sonora.

ON EXPLORATION

  • Orex Minerals Inc. has started a new round of diamond drilling on the Sandra Escobar project in Durango; two rigs will drill 4,000 m in 10 to 15 holes. Results from the last holes of the past campaign were released, and include 10.89 m true width (TW) @ 55 g/t Ag, on the Puma ridge zone, 250 m southwest from the Main Zone.
  • HECLA Mining Corp. updated exploration work at its San Sebastian mine in Durango, where focus was in defining extensions to the current Middle and North veins pits. Drilling of the West Middle vein, 350 m form the Middle vein pit has defined a high grade zone of mineralization more than 375 m in length, between 100 and 240 m below the surface. Intercepts include 2.6 m @ 7.4 g/t Au, 1,558 g/t Ag and 0.8 m @ 18.6 g/t Au, 4,643 g/t Ag. Drilling continues at extensions of the East Francine vein over 240 m of length at 1.2 – 4.5 m widths and the West Francine vein over 480 m of length and 0.6 – 4.8 m widths.
  • Orex Minerals Inc. announced that its project partner Fresnillo PLC has commenced a 5,000 m Phase-V diamond drill program in 11 holes at its Coneto property in Durango. The new drilling will cover La Bufa, Santo Niño, Reliz, Loma Verde, Descubridora, Durazno, Impulsora and Promontorio veins.
  • Minaurum Gold Inc. identified a new bulk-tonnage target at La Quintera silver property in Sonora. “The Minas Nuevas bulk-tonnage target has a strike length of 700 meters and is 25 meters wide…….. Mineralized stockwork quartz veining surrounding the old workings exhibits the potential for bulk-tonnage silver mineralization”.
  • San Marco Resources Inc. has found typical porphyry copper zoned alteration of a quartz diorite porphyry with copper and molybdenite mineralization in Sonora. Another target hosts a high sulfidation epithermal system in volcanic and volcanoclastic rocks with advanced argillic alteration. Dacite breccias and pyroclastics show quartz/alunite alteration and vuggy silica areas.
  • Almadex Minerals Ltd. disclosed results from its last hole on the Norte Zone at its El Cobre project in Veracruz, with 414 m @ 0.11% Cu and 0.16 g/t Au, including 74.5 m @ 0.19% Cu and 0.38 g/t Au. The company will now test a new zone interpreted as the intrusive core of the porphyry system, supported by a chargeability anomaly. The four copper-gold porphyry targets currently known are: Encinal, El Porvenir, Norte and Villa Rica. The largest target area is the Villa Rica zone which has not been drill tested.
  • Alamos Gold Inc. released results from its exploration in Sonora. At La Yaqui 9,055 m of drilling have been completed since the October interim resource update and additional 5,000 to 6,000 m is planned for the current quarter. New infill drilling intercepts include 76 m @ 4.37 g/t Au, 76.8 m @ 3.17 g/t Au and 61.8 m @ 1.1 g/t Au. At Cerro Pelon exploration now includes a much larger area to be systematically explored. Twenty holes were completed for 5,692 m of drilling, with structures, vuggy silica and advanced argillic alteration intersected over a broad area.
  • Bacanora Minerals Ltd. is realizing multiple activities with the aim to complete the definitive Feasibility Study (“FS”) on its Sonora lithium project. The infill drilling program to upgrade the resource classification has been completed. The average thickness for the Upper Clay Unit is 30.7 m @ 1,791 ppm Li, and for the Lower Clay Unit 20.7 m @ 4,345 ppm Li.
  • Alix Resources Corp. is to initiate a drill program with JV partner Lithium Australia NL in the Agua Fria site, at its Elektra project in Sonora (adjacent to Bacanora’s property).

ON MINING

  • Unitated States Antimony Corp. produced 274.5 K pounds of antimony during October. “Testing of the Los Juarez caustic leach circuit in Coahuila that is designed to recover contaminants from the floatation concentrates has proven successful and is ready for Los Juarez concentrates when the cyanide leach circuit has been approved at Puerto Blanco, Guanajuato”.
  • Fortuna Silver Mines Ltd. reported financial results for the third quarter of 2016, during which 1.78 M Oz Ag and 13,951 Oz Au were produced at its San Jose mine in Oaxaca. During the period 268.2 K tonnes of ore were milled at a 3,056 tpd rate, and average grade of 224 g/t Ag and 1.76 g/t Au; obtaining recoveries of 92% for both. The all-in sustaining cost was $6.94 per silver ounce, net of by-product credits from gold, lead and zinc. Cash and cash equivalents stood at $103.2 M.
  • HECLA Mining Co. released third quarter 2016 results, which include 40 K tonnes of ore processed at a grade of 801 g/T Ag, 6.7 g/t Au, for a total production of 975.6 K Oz Ag and 8,189 Oz Au at its San Sebastian mine in Durango. Total cash cost, net of by-product credits was $(4.03) per silver ounce.
  • First Majestic Silver Corp. released third quarter 2016 results from its six mines in Mexico: Santa Elena in Sonora, La Encantada in Coahuila, La Parrilla in Durango, Del Toro in Zacatecas, San Martin in Jalisco and La Guitarra in Mexico State. Over 838 K tonnes of ore were processed to produce 3.1 M Oz Ag , or 4.5 M Oz AgEq at cash cost of $5.84 per ounce and all-in sustaining cost of $10.52 per ounce.
  • Primero Mining Corp. reported third quarter 2016 results, which include information on its Mexican operations. The San Dimas mine in Durango produced 28,454 Oz AuEq Oz (22,162 Oz Au, 1.37 M Oz Ag) during the period (almost half of Q3 2015) at a cash cost of $887 per AuEq Oz. Production was impacted by labor disruptions and lower than planned grades. Mine output was 2,012 tpd with grades averaging 3.69 g/t Au, 232 g/t Ag.
  • Avino Silver & Gold Mines Ltd. announced third quarter 2016 financial results, which includes production numbers from its Avino mine, cash and cash equivalents stood at $15 M.
  • Dyna Resource Inc. processed 4,550 tons at its San Jose de Gracia pilot mill in Sinaloa, at an average grade of 11.39 g/t Au, and a rate of 177 tonnes per day.
  • Alamos Gold Inc. reported its financial results for the third quarter 2016, including numbers from its Mexican operations. At Mulatos and El Chanate mines in Sonora, 38,500 Oz Au and 16,942 Oz Au were produced respectively, with cash cost of $888 per Oz and AISC of $965 per Au Oz in Mulatos; and cash cost of $1,045 per Oz and AISC of $1,062 per Au Oz at El Chante. At Mulatos 2.05 M tonnes of ore were mined, and 2.04 M tonnes of waste moved (strip ratio 0.99), and 1.57 M tonnes were placed on the heap @ 0.82 g/t Au; 28 K tonnes were mined from underground, and 38.3 K tonnes milled @ 9.8 g/t Au, operating at 17,500 tpd, and overall recovery rates of 72%. At El Chanate 1.75 M tonnes of ore were mined, 5.75 M tonnes of waste moved (strip ratio 3.27), 1.7 M tonnes of ore @ 0.61 g/t Au staked on the heap, operating at 18,400 tpd and recovery rates of 51%. Cash and cash equivalents totaled $287 M at the end of the period.
  • Sandstorm Gold Ltd. released results for the third quarter 2016. The streaming royalty company receives revenue from 21 producing assets, including from First Majestic’s Santa Elena mine in Sonora. Total revenue was $16.8 M, or 12,588 Oz AuEq.
  • Santacruz Silver Mining Ltd. reported operating results from its Rosario mine in San Luis Potosi, and commencement of operations at its Veta Grande mine in Zacatecas. At the Rosario mine, 24.7 K tonnes of ore from several veins averaged 252 g/t AgEq (0.16 g/t Au, 101 g/t Ag, 0.5% Pb, 3.5% Zn), with recovery rates of 66.4%, 94.2%, 88.5% and 72.9% respectively for gold, silver, lead and zinc, to produce 164.9 K Oz AgEq. At Veta Grande mine, commercial production was declared after achieving 395 tpd in the mill, which is 80% of capacity, with 80% recoveries.  
  • Mag Silver Corp. announced third quarter 2016 financial results. At the end of the period the company had working capital of $140.9 M.
  • Aura Minerals Inc. released financial and operational results (standstill Aranzazu mine in Zacatecas).
  • Oddisey Marine ExplorationInc. reported third quarter 2016 results. The company is waiting the environmental permit to be approved, performing offshore services in the meantime to obtain total revenue of $2.9 M for the period.

ON FINANCING

  • Alset Energy Corp. announced it will be settling up to $153.2 K of debt by issuing shares to a company’s creditor (various lithium properties, San Luis Potosi and Zacatecas).
  • Colibri Resource Corp. closed a private non-brokered private placement for gross proceeds of $400 K (Evelyn property, Sonora).
  • San Marco Resources Inc. received $642 K from the exercise of warrants.
  • Timmins Gold Corp. entered into an agreement with a syndicate of underwriters for gross proceeds of approximately C$20 M (Ana Paula project, Guerrero).

ON DEALS AND CORPORATE ISSUES

  • Firma Holdings Corp. announced that through its subsidiary GracePoint Mining Corp. it has entered into a binding option agreement with Hawkeye Gold and Diamond Inc. to acquire a 50% interest in its Cobriza Grouping project, in Durango. The terms include payments of US $4.5 M, with US$3.8 M going to the project and US $700 K going to GracePoint.
  • Alix Resources Corp. and Lithium Australia NL (LIT). Entered into an option and JV agreement under which LIT can earn 49% interest in the Elektra project by issuing 500 K shares to Alix, issuing 500 K partly paid shares and expending further A$250 K within 12 months of signing.

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 below, advanced argillic alteration on a high sulfidation prospect in the Trans-Mexican Volcanic Belt. Geologist Ruben Padilla checking the outcrop.

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Highlights on the First Week of November 2016, Mineral Exploration in Mexico

During the first week of November, at least 32 press releases were published by companies working in Mexico, including a fair amount of quarterly financial reports. ON MEXICO NUMBERS AND NEWS, a letter was delivered to the Mexican president by CANCHEM, suggesting points to be addressed by the government to make the country more competitive for attracting foreign investment. Canadian corporations and the Canadian ambassador ask for surface access conditions akin to those of the energy sector in Mexico. ON EXPLORATION, a technical report was filed from a property in Sonora. A project in Chihuahua is seeing drilling at several targets, while other in the same state reported mapping, prospecting and geophysical surveys. A property was drilled in Zacatecas, showing somewhat narrow but high grade gold intercepts. In Sonora, an agreement has been reached to allow access for drilling, while in a Durango property the drilling continues. A project in Puebla is to see a PFS by early 2017. ON MINING, nine companies reported third quarter production results for its operations in Sonora, Sinaloa, Chihuahua, Durango, Guanajuato, Guerrero and Oaxaca. A fatality was reported on a mine in Guerrero, and a pit in Sinaloa reached the high grade part of the orebody. In Durango, the construction of a new mine has been announced. ON FINANCING, one company filed documents for a private placement for $460 K, and one other sold shares in another junior company for $650 K. ON RESOURCES, a maiden silver resource was announced for a property in the foothills of the Sierra Madre in Durango. ON DEALS AND CORPORATE ISSUES, the closing of the acquisition of three properties in Chihuahua was announced, the lease of a mill was extended in Durango, and the farm-out agreement of another property in Guanajuato was completed.

ON MEXICO NUMBERS AND NEWS

  • Cámara de Comercio de Canadá en México (CANCHAM). In a letter to the president of Mexico, Enrique Peña Nieto, this organization established five points on which the effort to attract foreign investment on the Mexican mining industry is failing. 1) The weakness on the rule of law. The recent illegal blockade at the Peñasquito mine in Zacatecas is an example. 2) Judicial uncertainty. Surface access delays and conflicts are common, and radical rules change a hindrance. 3) Increasingly unfavorable fiscal rules that maim competition on a global market. 4) An aggressive SAT (Mexican IRS) tax collection policy, increasing audits and lengthy delays to recover VAT. 5) Security, evidence of which is found on the gold and silver robberies at mining sites. CANCHAM MÉXICO calls for effective action pairing the internal efforts with the international promotional messages to attract investment, so Mexico can recover the lost positions against other investment recipients in the hemisphere, and expecting an effective coordination among the different government levels in mining.
  • Canada has participated with 45.2% of the direct foreign investment in Mexico in the period 1999-2015, and 42% of that amount was on the mining industry, mostly on the extraction of precious metals. According to Canadian corporations, the Mexican government offered to equalize the scheme to facilitate the access to the surface from the Energy sector (approved on the energy reform two years ago) to the mining sector. As stated by the Canadian ambassador, the Canadian corporations are eager to establish forums with all the involved to promote a better understanding and improve communications.

ON EXPLORATION

  • Almaden Minerals Ltd. expects to complete ongoing studies in 2016, and complete a Pre-Feasibility Study early in 2017, for its Ixtaca property in Puebla. Continued metallurgical work backs the amended Preliminary Economic Assessment (PEA) recovery projections of 90% for gold and silver for the limestone domain, which in turn represents about 90% of the metal to be produced under the amended PEA. Gravity concentration and flotation are to be used to obtain those recovery levels.
  • Kootenay Silver Inc. reported that 11 core drill holes totaling 2,100 m have been completed and submitted for assaying on the Ram Zone as part of its initial 3,000 m drill program on its La Cigarra project in Chihuahua. The drill rig is to test now the La Soledad zone, 1 km south from the La Cigarra defined resource. An extended multi-phase drill program is expected to be executed on the next 12-18 months, focusing on several new prospective targets on the property.
  • Candelaria Mining Corp. announced the results of the completed diamond drill program at its Pinos project in Zacatecas. The program initiated last May and was carried out on the Cinco Estrellas vein, over a strike length of 2.2 km. Significant intercepts include 1.95 m @ 5.88 g/t Au, 28 g/t Ag (including 0.8 m @ 14.2 g/t Au, 40 g/t Ag); 0.9 m @ 4.84 g/t Au; 6.4 m @ 1.65 g/t Au, 18 g/t Ag (including 0.75 m @ 5 g/t Au, 17 g/t Ag); 1.8 m @ 2.87 g/t Au, 71 g/t Ag (including 0.32 m @ 11.05 g/t Au, 275 g/t Ag); 6.9 m @ 2.52 g/t Au; 4.25 m @ 4.32 g/t Au.
  • SilverCrest Metals Inc. has filed a technical report on its Las Chispas property in Sonora, which is available on SEDAR (sedar.com).
  • San Marco Resources Inc. has reached surface right access with the local ejido at its Chunibas project in Sonora. San Marco is now to advance the permitting process for trenching and drilling. Past drilling on the property include 42.6 m @ 1.04 g/t Au, 22.9 m @ 2.04 g/t Au and 15.2 m @ 2.8 g/t Au. “Mineralized shear/veins are generally 1 – 2 metres in width, but are surrounded by haloes of lower grade stockworks, breccias and fractures that constitute broader targets. This disseminated style of mineralization occurs in intrusive host rock without visible vein or shear development”.
  • Consolidated Zinc Ltd. has identified several new mineralization occurrences while realizing regional geological, geochemical and geophysical exploration work around its Plomosas project in Chihuahua. Geological mapping and prospecting was followed by gravity and helicopter-borne magnetic surveys. Prospecting identified two main gossanous occurrences: El Fenomino area is 2.5 km NW from the Plomosas mine, where a manto outcrops over a 100 m,  and 5 – 7 m in thickness, with anomalous Pb (up to 4.4%) and Zn (up to 1%). At Los Alfonsitos mine several gossanous outcrops were noted while mapping, with samples away from the workings returning 8 – 39 g/t Ag, 0.4% – 1.9% Pb and 0.6% – 1.1% Zn. The magnetic survey identified similar magnetic signatures to the mine sequence, and confirmed structures detected by the gravity survey.
  • Golden Minerals Co. announced that the Santa Maria underground drilling results will be used to update the resource estimate, and a 2,000 m drilling program in the Rodeo property in Durango is to be finished by the final quarter of 2016.

ON MINING

  • Torex Gold Resources Inc. announced a fatality at its Guajes mine in Guerrero, where a contractor employee suffered a rock fall fatal accident on the pit.
  • Excellon Resources Inc. reported third quarter 2016 financial results. The company sold 228,172 AgEq Oz, the production cost per mined tonne was $298, the cash cost $17.95 and the all-in sustaining cost per silver ounce was $40.85. The quarter numbers were negatively affected by the optimization effort that reduced output while increasing development costs. Production is to increase as the water table is lowered, and the bulk of the optimization has already being paid for. Net working capital totaled $14.7 M by the end of the period (Platosa, Durango).
  • Marlin Gold Mining Ltd. provided an update on its La Trinidad mine in Sinaloa. Reflecting the mining of the higher grade part of the deposit, 17 K, 25.7 K and 130.7 k tonnes were crushed in August, September and October respectively, with grades of 0.82, 1.8 and 4.3 g/t Au. 450 Oz Au were stacked in the heap in August, 1,484 in September and 18,052 in October. Daily recovered ounces went from 14 in August and September to 210 in October.
  • Argonaut Gold Inc. is to proceed with the construction of the San Agustin mine in Durango, with an estimated capital expenditure of $42.6 M and average annual production of 80 K Oz Au during 6.5 years of mining, for a total production of 488 K Oz Au and 3.8 M Oz Ag. Production is expected to start during the third quarter of 2017.
  • Gold Resource Corp. reported production results for the third quarter 2016, of 6,066 Oz Au, 431.3 K Oz Ag, 213 tonnes copper, 1 K tonnes lead and 3.2 K tonnes zinc. 113.9 k tonnes of ore were milled (1,278 tpd) @ 1.86 g/t Au, 128 g/t Ag, 0.24% Cu, 1.18% Pb, 3.45% Zn, with recovery rates of 89% and 92% for gold and silver, and 78%, 74% and 82% respectively for copper, lead and zinc. Cash cost stood at $623 and all-in sustaining cost at $1,021 per Au Oz on a by-product basis. Cash and cash equivalents stand at $17.1 M. (El Aguila mine, Oaxaca)
  • Torex Gold Resources Inc. announced its financial and operational results for the third quarter 2016. At its El Guaje mine in Guerrero 869 K tonnes were mined, 5.65 tonnes of waste moved with a waste/ore strip ratio of 6.5, and a 10.1 K tpd plant throughput. The average grade was 3.08 g/t Au, for a quarterly production of 77.9 K Oz Au at a total cash cost of $517 per Au Oz and all-in sustaining cost of $699 per gold ounce. Cash and cash equivalents stand at $93.6 M.
  • Timmins Gold Corp. reported its financial results for the third quarter 2016, period during which the company produced 24,052 Oz Au at a cash cost of $785 per Oz Au and all-in sustaining cost of $846 per gold ounce on a by-product basis. Cash and cash equivalents stand at $18.5 M. During the period a new 43-101 report was produced for the San Francisco mine in Sonora, The Caballo Blanco property in Veracruz was sold and the pre-construction phase of the Ana Paula project started.
  • McEwen Mining Inc. released its production figures for the third quarter 2016, which include numbers from its El Gallo mine in Sinaloa, where 11,754 Oz Au and 7,151 Oz Ag were produced at a $598 per AuEq Oz, and all-in sustaining cost of $680 per AuEq Oz on a co-product basis. The company ended the quarter with $62.5 M on liquid assets.
  • Greath Panther Silver Ltd. reported financial results for the third quarter 2016. 95.2 K tonnes were milled, producing 510.5 K Oz Ag and 5,432 Oz Au at a cash cost of $10.99 per AgEq Oz and all-in sustaining cost of $15.43 per AgEq Oz. Cash and cash equivalents stand at $52.9 M.
  • Golden Minerals Co. reported third quarter 2016 results. The Celaya property in Guanajuato was optioned (see below), excess mine equipment was sold for $0.7 M, and the 50% stake in the San Diego Property was sold, Cash and cash equivalents were $3.4 M, and debt balance of zero at the end of the period.
  • Endeavour Silver Corp. reported Q3 2016 financial results. The company produced 1.284 M Oz Ag and 14,364 Oz Au. At Guanaceví in Durango, plant throughput was 892 tpd, at Bolañitos and El Cubo, in Guanajuato, plant throughput was 1,442 and 1,531 tpd respectively. Capital investment for the fourth quarter is planned at $2.8 M in Guanaceví, $1.7 M at Bolañitos and $1.6 M at El Cubo. Cash costs were $5.27 per Ag Oz, and all-in sustaining costs were $11.47 per silver ounce, net of gold by-product credits. Cash increased to $83.2 M and working capital increased to $91.9 M, $13.9 M were raised during the quarter.

ON FINANCING

  • Riverside Resources Inc. sold 3 M common shares on privately held Croesus Gold Corp. for total proceeds of $650 K CAD. Riverside continues to hold 3 M common shares as part of the sale of the Sugarloaf Peak project.
  • Alset Energy Corp. filed with the TSX documents for its private placement financing, aiming to $460 K in gross proceeds.

ON RESOURCES

  • Orex Minerals Inc. and Canasil Resources Inc. announced a maiden resource estimate for its Boleras Silver deposit on the Sandra Escobar project in Durango, which is being advanced by Orex under an option agreement with Canasil.  At a “Base Case” of 45 g/t Ag cut-off, the Inferred Resource Estimate yields 9.8 M tonnes @ 106 g/t Ag, for a total of 33.3 M Oz Ag. “The resource is not pit constrained as this is an initial resource and the deposit limits are not fully constrained”.

ON DEALS AND CORPORATE ISSUES

  • Endeavour Silver Corp. closed the acquisition of a 100% interest on the Parral properties (in Chihuahua) from Silver Standard Resources Inc. The properties cover 3,432 hectares, and contain large veins traceable for eight km. Endeavour has issued 1,198,083 common shares to Silver Standard, and is to spend US$2 million on exploration on two years, after which will have a year to deliver a NI-43-101 report including a resource estimate, and issue US$200 k in common shares to Silver Standard for each million Oz Ag in M&I resources defined on the San Patricio and La Palmilla properties.
  • Oceanus Resources Corp. and Mackie Research Capital Corp. signed an agreement under which Mackie will provide market making services to Oceanus, providing market stabilization and liquidity services.
  • Golden Minerals Co. reported that the lease to HECLA of the Velardeña plant in Durango was extended to the end of the second quarter 2017, and can be extended to the end of 2018. The farm-out agreement of the Celaya property in Guanajuato to Electrum Global Holdings LTD. was completed. To earn a 60% interest Electrum paid $200 K, and has to invest $2.5 M on the property over three years. Electrum can gain another 20% interest by investing additional $2.5M. Golden sold its 50% interest on the San Diego property to Golden Tag Resources for $0.4 M, 2.5 M shares of Golden and 2% NSR.

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 below, epithermal quartz vein fragment with lattice calcite textures. El Geyser area, Queretaro.

225

Highlights on the Fourth Week of October 2016, Mineral Exploration in Mexico

During the fourth week of October, at least 25 press releases were published by companies working in Mexico, including eight third quarter production releases. ON MEXICO NUMBERS AND NEWS Mexico’s mining sector is to reach $17.8 billion by 2020, backed by Ag, Zn prices. Gold, copper and silver represent 31%, 19% and 17% respectively of the value (%) by commodity in 2016. ON EXPLORATION, nine companies reported exploration updates on their properties, which include drilling results from properties in Jalisco (2), Veracruz, Sonora, Chihuahua and Durango, as well as the announcement of incoming drilling programs in Sonora and Durango. A company released exploration updates for its projects in Hidalgo, Durango and Chihuahua. ON MINING, nine companies reported third quarter production results for its operations in Aguascalientes, Sonora, Sinaloa, Chihuahua, Durango, Zacatecas, San Luis Potosi, Guerrero and Oaxaca. ON FINANCING, one company opened a non-brokered private placement of up to $300 K, augmenting it later on the week to $400 k. ON DEALS AND CORPORATE ISSUES, two companies announced a binding agreement on a tailings project in Durango, two others a definitive agreement on an exploration property in Chihuahua.

ON MEXICO NUMBERS AND NEWS

  • According to Mining.com, and based on information from BMI, and sources from industry leaders, Mexico’s mining sector values is to reach $17.8 billion by 2020, backed by Ag, Zn prices. Gold, copper and silver represent 31%, 19% and 17% respectively of the value (%) by commodity in 2016, while zinc, Iron ore and lead represent 9%, 5% and 3% respectively, and 16% on other commodities. BMI forecasts a 3.3% increase of the mining industry value for 2016, with most of that expansion fueled by gold, silver and zinc production increases. Over the first seven months of 2016, the copper and zinc output increased by 22.3% and 4.5% with respect to a year ago. Mexico is seen as a solid market with low production costs.

ON EXPLORATION

  • Endeavour Silver Corp. released in-fill drilling results from its Terronera property in Jalisco, with high grade silver-gold mineralization. True width (TW) intervals include 6.56 m @ 717 g/t Ag, 2.94 g/t Au; 4.78 m @ 109 g/t Ag, 3.91 g/t Au; 2.1 m @ 737 g/t Ag, 1.22 g/t Au; 5.28 m @ 53 g/t Ag, 3.48 g/t Au; 13.22 m @ 145 g/t Ag, 1.55 g/t Au and 10.32 m @ 82 g/t Ag, 1.96 g/t.
  • Prospero Silver Corp. provided an update of exploration, which includes recent focus on evaluating properties for staking in Central Mexico. The company also released rock chip sampling results on its Baborigame property in Chihuahua and is preparing an environmental permit application to drill its Santa Maria del Oro property, in Durango. At El Petate, in Hidalgo, drill permits were obtained to cover 27 drill sites, while at the Pachuca Southeast property the company initiated the permit applications for four drill sites. At San Luis del Cordero, Durango, Prospero is to terminate an underlying option with Altiplano, as the property was returned by Golden Minerals after completing a 5,000 m drilling program.
  • Almadex Minerals Ltd. announced that it has completed the second diamond hole on the Norte Zone of its El Cobre property in Veracruz. This hole intersected 9.9 m @ 0.24 g/t Au, 0.16% Cu, 27.5 m @ 0.12 g/t Au, 0.19% Cu and 432.5 m @ 0.42 g/t Au, 0.19% Cu. This last interval includes 218 m @ 0.7 g/t Au, 0.28% Cu; which includes 156 m @ 0.9 g/t Au, 0.34% Cu; which includes 80.5 m @ 1.34 g/t Au, 0.46% Cu, which includes 35.5 m @ 1.82 g/t Au and 0.59% Cu. Results for a third hole are pending.
  • Premier Gold Mines Ltd. disclosed exploration work realized by the previous operator of its recently acquired Alto Guadalupe property in Chihuahua. Between 2013 and 2015, 60 holes were drilled, discovering 2 high grade polymetallic veins. Mineralized intercepts include 2.8 m @ 10.9 g/t Au, 155 g/t Ag, 0.7% Cu, 1.2% Pb, 6.5%Zn; 1.85 m @ 10 g/t Au, 192 g/t Ag, 1.9% Cu, 1.5% Pb, 15.2% Zn; 1.45 m @ 1.6 g/t Au, 353 g/t Ag, 2.1% Cu, 1.4% Pb, 1.3% Zn. Individual vein zones have been traced for up to 2 km.
  • Southern Silver Exploration Corp. announced an upcoming 16 hole drilling program to total approximately 10.000 m of core drilling. The program is to measure the Blind Shoulder target and to confirm the continuity of mineralization at La Bocona target, with the aim to increase the current resource estimate.
  • Kootenay Silver Inc. announced results for the first 11 holes of the 3,400 m drill program being conducted by Pan American Silver on La Negra property in Sonora. These deeper infill drill holes confirm the results from previous holes and the presence of a second breccia further to the south, which remains open at depth and to the east. Intercepts include 122.15 m @ 124 g/t Ag, 38 m @ 235 g/t Ag (including 6.15 m @ 1,246 g/t Ag), 44.5 m @ 363 g/t Ag, 54.4 m @ 137 g/t Ag, 60.7 m @ 76 g/t Ag, 28 m @ 97 g/t Ag and 27.1 m @ 74 g/t Ag. These intervals also carry gold values of 0.01 – 0.39 g/t Au and nil – 3.7% Pb (peak of 6.6% Pb). Three phases of hydrothermal breccias are overprinted by an epithermal Ag-Pb-Zn mineralization associated with illite and silicification. Acanthite-tetrahedryte, galena, sphalerite and pyrite occur as veinlets, matrix fill in breccia and dissemination.
  • Agnico Eagle Mines Ltd. released exploration results from its El Barqueño property in Jalisco. 64 holes were drilled (17,443 m) using six rigs to test the Olmeca, Peña Blanca, Peña de Oro, San Diego and Angostura areas. True width (TW) drilling results include 9.2 m @ 7.3 g/t Au, 13 g/t Ag; 37.9 m @ 51 g/t Ag; 4.1 m @ 4.1 g/t Au, 49 g/t Ag; 40 m @ 73 g/t Ag; 10 m @ 1.7 g/t Au; 3.6 m @ 5.3 g/t Au; 13.7 m @ 5.8 g/t Au. In the Olmeca area the 1,000 m long Socorro vein has received the most drilling with good gold grades, the 300 m long Mortero vein shows wide intercepts of low grade silver near-surface, and it is interpreted that higher gold grades might be found at depth. Drilling in the Peña Blanca area seems to link the different structures into one mineralized system. Another 10,000 m of drilling is expected to be completed by the end of 2016, when exploration expenditures in the project will approach $16 million for the year.
  • Excellon Resources Inc. commenced a 25,000 m diamond drill campaign during the third quarter 2016, focused in defining additional shallow mineralization. 13 holes have been completed, for 2,090 m drilled from surface and underground locations. Relevant intercepts include 13 m @ 0.57 g/t Au, 662 g/t Ag, 4.9% Pb, 25.5% Zn; 2.77 m @ 773 g/t Ag, 11.8% Pb, 6.3% Zn; 0.37 m @ 2,991 g/t Ag, 5% Pb, 4.8% Zn. The program will also evaluate other CRD style mineralization, like the Rincon del Caido zone, where in 2012-2013 drilling intersected 55.5 m @ 132 g/t Ag, 3.1% Zn, 1.7% Pb and 0.075 g/t Au; 43.4 m @ 146 g/t Ag, 2.8% Pb, 1.9% Zn and 0.22 g/t Au and 7.3 m @ 13.1 g/t Au, 21 g/t Ag, 0.7% Pb and 3.6% Zn.
  • Riverside Resources Inc. has initiated a drilling program at the Thor “designated project” in Sonora, as part of the company’s Alliance with Antofagasta PLC. A ground magnetic survey covering 18 square km was recently finished, and the data combined with previous geological and geochemical information. Several porphyry copper targets were defined.

ON MINING

  • Minera Frisco increased its sales 6% on the third quarter of 2016 to $3,551 M pesos (approximately US $188.4 M). Gold production declined 3% on the same period due to a decrease on processed tonnage and recoveries on the El Coronel mine in Aguascalientes, as the pit deepens.
  • Americas Silver Corp. released consolidated production and operating costs for the third quarter of 2016. Production at Cosalá was 245 K Oz Ag, while AgEq production increased to 450 K Oz, an 85% rise compared to a year earlier. Cash cost decreased 20% to $10.10 per Ag Oz and all-in sustaining cost decreased to $13.63 per Ag Oz. Construction work has commenced at the initial portal and ramp access at the new and nearby San Rafael mine.
  • Capstone Mining Corp. announced its financial results for the third quarter 2016, which includes information from its Cozamin mine in Zacatecas, where 3,359 tonnes of copper in concentrates were produced at a C1 (internal measurement) cash cost of $1.50 per copper pound. Daily development rates continue to improve.
  • Coeur Mining Inc. reported third quarter results, which include numbers on its Palmarejo mine in Chihuahua, where 253.7 K tons were mined @ 123 g/t Ag, 2.2 g/t Au. 274.6 K tons were milled, to produce 933 K Oz Ag and 16,608 Oz Au, with recovery rates of 85.5% and 77.7% for silver and gold respectively. The Guadalupe area was mined at 2,300 tpd rate, and development of the Independencia area is on track to reach 1,000 tpd by year’s end.
  • Goldcorp Inc. released third quarter 2016 results, which include numbers from its Mexico operations. At Peñasquito (in Zacatecas) gold production totaled 122 K Oz at an AISC of $777 per ounce. The mined gold grade will improve as the pit has reached the upper part of a higher grade zone. The Pyrite Leach project, with an expected capital investment of $420 M, is expected to increase Au and Ag recoveries by treating the zinc tailings before discharge. The pre-feasibility study on the nearby (50 km) Camino Rojo property continues to advance. At Los Filos in Guerrero, 2.27 M tonnes were mined, 2.98 M tonnes of waste moved, 2.219 M tonnes of ore processed @ 0.75 g/t Au, producing 47 K Oz Au at cash cost of $782 and AISC $938.
  • Agnico Eagle Mines Ltd. reported third quarter 2016 results, which includes record 30,779 Oz Au production at La India in Sonora, and record 825 K Oz Ag at its Mexican mines. At Pinos Altos in Chihuahua the mill processed 5,415 tpd, with 98 K tonnes staked, for a payable production of 48,512 Oz Au. At Crestón Mascota (satellite to Pinos Altos) 506 K tonnes of ore were staked on the leach pad for a payable production of 12,134 Oz Au at a total cash cost of $493 per gold ounce on a by-product basis. At La India in Sonora 1.366 M tonnes of ore was staked on the leach pad to produce the record 30.8 K Oz Au mentioned above, at a cash cost of $400 per gold ounce on a by-product basis.
  • GoGold Resources Inc. has started construction of the first phase of a vat leach plant at its Santa Gertrudis property in Sonora. This phase of the plant is designed to treat 2,000 tpd, and is expected to be completed by the end of March 2017.
  • Excellon Resources Inc. reported third quarter 2016 results, with 11.2 K tonnes mined, 12 K tonnes milled @ 427 g/t Ag, 4.14% Pb and 5.4% Zn, with recoveries of 90.4, 82.1 and 81.3% for silver, lead and zinc respectively, to produce 153,783 Oz Ag, 891 K Lb Pb and 1.17 M Lb Zn. An optimization water management plan is underway, to maintain a depression cone below the lower most orebodies while mining. Several pumping stations and over 14 wells with 250 hp pumps and several 600 hp booster pumps are being completed.
  • New Gold Inc. released third quarter 2016 results, including numbers from its San Pedro mine in San Luis Potosi, where it produced 14.9 K Oz Au and 200 K Oz Ag at cash cost $897 and all-in sustaining coast $912 per gold ounce. The mine terminated mining on the second quarter and is now on residual leaching.
  • Yamana Gold Inc. reported financial and operational results for the third quarter 2016. The report includes numbers from its recently sold mine, Mercedes in Sonora, where 23 K Oz Au and 99 K Oz Ag were produced.

ON FINANCING

  • Colibri Resource Corp. opened a non-brokered private placement of up to $300 K of gross proceeds (several projects in Sonora). The private placement was increased later on the week to raise total gross proceeds of $400 K.

ON DEALS AND CORPORATE ISSUES

  • Mx Gold Corp. announced a binding agreement with Gracepoint Mining Corp. a subsidiary of Firma Holdings Corp. to acquire a 50% interest in the Magistral del Oro tailings project in Durango. An historical estimate on the tailings defines a resource of 1.25 M tonnes @ 2.06 g/t Au, based on 58 auger samples from 24 drillholes. The project includes a fully permitted, 500 tpd dynamic cyanide counter current system plant. The agreement calls for an initial cash payment of US$250 k and an investment of $2.22 M over 90 days.
  • Premier Gold Mines Ltd. entered into a definitive agreement with Goldcorp Inc. to acquire the Alto-Cristina project in Chihuahua. Premier can acquire up to 100% interest by making payments each of US$1.5 M at execution, 12 month anniversary and on resource estimate, a US$2.5 M on production and a 2% NSR .

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 below, breccia development in fine grained marbleized limestone at La Morena project, Coahuila.

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