Corporate Issues

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

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By Jorge Cirett                                             

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

ON MEXICO ISSUES

  • No Relevant News.

ON EXPLORATION

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

ON MINING

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

ON FINANCING

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

ON RESOURCES AND DEVELOPMENT

  • No Relevant News.

ON DEALS AND CORPORATE ISSUES

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

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

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

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

/ Gambusino Prospector / Leave a comment

By Jorge Cirett                                             

During the 30th week of the year (July 22nd to July 28th, 2024), companies working in Mexico posted at least 24 press releases. Two companies informed on exploration advances on their properties and four companies provided operational/financial results for Q2 2024. Three companies closed financing tranches and one filed a preliminary base shelf prospectus. A company commenced test mining and processing, another completed construction of a mine while one more updated on the construction advances at its property. Two companies presented PEA’s on their advanced properties and one more provided a drilling results update. One company completed the acquisition of key claims, and another one entered into a small-scale mining agreement on its property. ON MEXICO ISSUES, ArcelorMittal steelworks strike in Michoacan ended after 55 days. Tax on revenue from mining companies fell in the country by 24.5% on Q1 2024. ON EXPLORATION, In Sonora, Minaurum Gold commenced a drilling program; Tocvan Ventures released results from drilling at Pilar. ON MINING, Gold Royalty, Mag Silver, Santacruz Mining and Grupo Mexico presented Q2 2024results. ON FINANCING, Southern Silver Exploration closed the first tranche of financing (C$2.09), Guanajuato Silver company filed a short base shelf prospectus to offer up to US$65 M, Aztec Silver closed its non-brokered private placement (C$2.57 M), Barksdale Resources closed the final tranche of its non-brokered private placement for a total of C$6.3 M. ON RESOURCES AND DEVELOPMENT, Sierra Madre Gold and Silver commenced test mining and processing at the Guitarra mine in Estado de Mexico. Gatos Silver provided drilling results from the Cerro Los Gatos mine and brownfields exploration in Chihuahua. Vizsla Silver presented a PEA on Panuco, in Sinaloa. Southern Silver Exploration released a PEA study on Cerro Las Minitas, Durango. Endeavour Silver provided a Q2 2024 construction update for Terronera, in Jalisco. Luca Mining announced the completion of the Tahuehueto mine in Durango.  ON DEALS AND CORPORATE ISSUES, Silver Viper Minerals announced the completion of the purchase of three mining concessions at its Virgina project in Sonora. Xali Gold signed a LOI granting rights for small scale mining on five of its claims at El Oro, Estado de Mexico. US Antimony, Solaris Resources and DYNR-Dyna Resources made board appointments. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • ArcelorMittal steelworks strike in Michoacán ends after 55 days. Nearly 3,000 workers resumed work at the company’s steel plant in Lázaro Cárdenas, Michoacán. The agreement reached mandates an 8% wage increase, grocery vouchers worth 17,000 pesos (US$949 dollars) and full compensation for lost wages. Additionally, an external audit of the 2022 and 2023 fiscal years will be conducted to ensure the accuracy of PTU payments.
  • Tax on revenue from mining companies fell in Mexico 24.54% on Q1 2024 year on year, more than five times the national average of 4.83%. During the period mining companies paid $13,416 M pesos or 1.87% of the total income tax received by the government.

ON EXPLORATION

  • Minaurum Gold Inc. commenced an 8,000 m drill program designed to establish an inferred mineral resource at its Alamos silver project in Sonora. Drilling will focus initially on three of the 19 vein zones that have already returned high-grade silver results: The Europa vein, the historic Promontorio vein zone, and the Promontorio Sur vein zone. “Minaurum has drilled 42,317 m in 106 core holes on 19 of the 26 vein zones discovered at the Alamos silver project from 2017 – 2023”. Highlighted previously released core length intercepts comprise 8.25 m @ 1,760 gpt Ag, 1.6% Cu, 1.5% Pb, 2.6% Zn; 3.50 m @ 404 gpt Ag, 0.54% Cu,  1.3% Pb, 1.8% Zn; 3.85 m @ 342 gpt Ag, 0.76% Cu, 1.0% Zn at the Europa vein zone, and 20.2 m @ 154 gpt Ag, 0.5% Cu, 2.3% Pb, 6.8% Zn; 3.8 m @ 415 gpt Ag, 2.68 gpt Au, 1.37% Cu, 6.2% Pb, 9.2% Zn; 7.6 m @ 266 gpt Ag, 0.27 gpt Au, 0.57% Cu, 1.6% Pb, 3.2% Zn at the Promontorio and Promontorio Sur vein zones.
  • Tocvan Ventures Corp. announced results from the 2024 reverse circulation (RC) 3,700 m drill program at its Pilar property in Sonora. To date, 3,268 m across 26 holes have been drilled from such program. Highlighted drill length intercepts from three holes comprise 15.25 m @ 0.26 gpt Au, 14 gpt Ag (including 7.63 m @ 0.45 gpt Au, 22 gpt Ag, 0.1% Zn); 1.53 m @ 0.63 gpt Au, 46 gpt Ag, 0.2% Pb, 0.2% Zn; 3.05 m @ 0.33 gpt Au, 5 gpt Ag; 3.05 m @ 0.18 gpt Au, 45 gpt Ag; 22.88 m @ 0.19 gpt Au, 1 gpt Ag, 0.2% Zn (including 1.53 m @ 0.49 gpt Au, 7 gpt Ag, 1.9% Zn and 1.53 m @ 0.62 gpt Au and 1.53 m @ 0.68 gpt Au, 2 gpt Ag). “The North Hill and Main Zone Trends now extend over 900-meters defined by drilling, while the 4-T Trend extends over 700- meters….”  

ON MINING

  • Gold Royalty Corp. announced second quarter 2024 revenue and total revenue, land agreement proceeds and interests of $2.2 M, of which a minor part comes from its Mexican operations (Coazamin, Zacatecas).
  • Mag Silver Corp. reported production from Juanicipio (56%/44% Fresnillo plc, Mag Silver) in Zacatecas. During the quarter 336.6 K tonnes were processed at the Juanicipio plant, averaging 1.2 gpt Au, 498 gpt Ag, 1.56% Pb, 2.99% Zn, to produce 9,259 Oz Au, 5.0 M Oz Ag, 9.9 M Lb Pb, 18.9 M Lb Zn. Also in the period commenced commercial production of pyrite concentrate, delivering incremental Ag and Au recovery.
  • Santacruz Silver Mining Ltd. reported Q2 production results, including figures from its operations in Mexico. At Zimapan, in Hidalgo, the company processed 209.7 K tonnes averaging 80 gpt Ag, 0.30% Cu, 0.73% Pb, 2.46% Zn, recovering 76% Ag, 45% Cu, 86% Pb, 80% Zn, to produce 409.3 K Oz Ag, 284 tonnes Cu, 1,312 tonnes Pb, 4,127 tonnes Zn (or 1.09 M Oz AgEq).
  • Grupo México SAB de CV. presented its Q2 2024 results. The company has operations in several countries and did not specify production by mining unit. During the period Grupo México produced 270,747 tonnes Cu, 8,201 Oz Au, 2.95 M Oz Ag, 7,655 tonnes Mo, 29,419 tonnes Zn, 615.8 K tonnes H2SO4, with a cash cost of US$1.03 per Lb Cu after by products.

ON FINANCING

  • Southern Silver Exploration Corp. closed the first tranche of its previously announced non-brokered private placement for gross proceeds of $2.09 M. “In connection with the Offering, the Company paid finders’ fees totalling $101,745.31 and issued an aggregate 457,029 non-transferable finder warrants, with each finder warrant exercisable to purchase one common share for a period of 3 years.”  (Cerro Las Minitas, Durango).
  • Guanajuato Silver Company Ltd. filed a preliminary short base shelf form prospectus in each of the provinces and territories of Canada. Upon issuance of a receipt for the final short form base shelf prospectus the company will be permitted to offer up US$65 M of common shares, debt securities, warrants, subscriptions receipts, share purchase warrants and units during the 25-month that the prospectus is effective (El Cubo, Valenciana, Guanajuato).
  • Aztec Minerals Corp. closed the previously announced non-brokered private placement for gross proceeds of C$2.57 M (Cervantes, Sonora).
  • Barksdale Resources Corp. closed the second and final tranche of its previously announced non-brokered private placement offering for gross proceeds of $4.1 M, which together with the proceeds from the first tranche add up to $6.3 M (San Javier, Sonora).

ON RESOURCES AND DEVELOPMENT

  • Sierra Madre Gold and Silver Ltd. commenced test mining and processing at the Guitarra mine complex in Estado de Mexico. The flotation plant has processed 5.7 K tonnes of mineralized material from the Guitarra mine and is currently processing 259 tpd in the path to full commercial production of 500 tpd.
  • Gatos Silver Inc. provided an update on drilling at the South-East Deeps zone and the recently initiated regional exploration program at its Los Gatos property (70% owned) in Chihuahua. “Resource definition drilling in the SE Deeps zone of CLG intercepted additional mineralization along strike and down-plunge, continuing to extend the known mineralized zone.” Highlighted core length intercepts comprise 2.9 m @ 0.18 gpt Au, 214 gpt Ag, 0.25% Cu, 12.2% Pb, 19.0% Zn; 2.7 m @ 0.81 gpt Au, 81 gpt Ag, 0.15% Cu, 3.9% Pb, 9.9% Zn; 1.6 m @ 0.02 gpt Au, 181 gpt Ag, 0.42% Cu, 0.9% Pb, 2.0% Zn; 1.6 m @ 0.79 gpt Au, 108 gpt Ag, 0.44% Cu, 3.2% Pb, 5.6% Zn; 6.5 m @ 0.14 gpt Au, 43 gpt Ag, 0.28% Cu, 1.8% Pb, 4.5% Zn at SE Deeps and 0.6 m @ 3.11 gpt Au; 1.2 m @ 0.09 gpt Au, 0.02% Cu, 0.23% Mo, 0.3% Pb, 1.7% Zn; 1.9 m @ 2.59 gpt Au, 15 gpt Ag, 0.02% Cu, 0.8% Pb, 1.6% Zn at Portigueño and 8.9 m @ 0.17 gpt Au, 66 gpt Ag; 4.2 m @ 0.07 gpt Au, 51 gpt Ag, 0.14% Cu, 0.9% Pb, 5.6% Zn at San Luis.
  • Vizsla Silver Corp. released the results of the preliminary economic assessment (PEA) on its Panuco project in Sinaloa. The study envisions a 3,300 tpd production rate expanding to 4,000 tpd in year 4, with an initial mine life (LOM) of 10.6  years. The 5.3 M tonnes deposit averaging 316 gpt Ag, 1.97 gpt Au would produce 15.2 M Oz AgEq (9.3 M Oz Ag, 78 K Oz Au) per year at cash cost US$7.98 per Oz AgEq and a LOM AISC of US$9.40 per Oz AgEq. The initial cash expenditures are estimated at US$224 M with an After-tax NPV (5%) of US$1,137 M and 85.7% IRR at US$26 per Oz Ag and US$1,975 per Oz Au, and an After-tax payback period of 9 months. Two adjacent underground mines, Copala and Napoleon, with on-site treatment with a three-stage grinding circuit, a leach and Merril Crowe circuit to produce doré bars. “The mines will be contractor operated utilizing ramp-access and a combination of long-hole stoping and drift-and-fill mining methods.”
  • Endeavour Silver Corp. provided Q2 2024 construction progress update for its Terronera project in Jalisco. Concrete and structural steel work are nearing completion on the upper plant platform for areas including crushing, coarse-ore storage, grinding, flotation, and thickening, with overall mine development and surface construction reaching 64.5% advance. More than US$204 M have been spent to date of the total project commitment of US$260 M, with mine development totaling nearly 4,500 m. The project remains on track for commissioning in Q4 2024.
  • Luca Mining Corp. completed construction of its Tahuehueto mine in Durango. The mine was constructed within budget, has a nameplate 1,000 tpd processing capacity and has been on pre-production for several months. Commercial levels of 800 tpd or 25 K tonnes per month are expected to be achieved by the end of September. “Tahuehueto is a large property (121 square kilometres) that hosts an extensive epithermal gold vein system with less than 10% of the prospective ground explored so far….. Resource drilling from underground is expected to commence in the coming weeks.”
  • Southern Silver Exploration Corp. filed on SEDAR a preliminary economic assessment (PEA) 43-101 technical report on its Cerro Las Minitas project in Durango. Highlights from the study include after-tax NPV5% of US$501 M, an IRR of 21.2% with a 48-month payback on a large-scale underground mining operation with a 17-year mine life (LOM) with an anual average plant feed of 14.3 M Oz AgEq (inc. 5.8 M Oz Ag) and total sales of 194.3 M Oz AgEq at an AISC of $13.23 per Oz AgEq. The project envisages gross revenues totalling US$4.47 B, with Au and Ag representing 45% of revenue and zinc 35%. Updated PEA increases production by 5 M tonnes, production rate to 5,300 tpd, extends the LOM by 2.6 years and the total revenue by US$765 M. “The company plans to initiate a core drilling program of up to 6000m in 11 holes to test shallow targets along the north side of the Cerro between the North Felsite and Skarn Front deposits. Drilling will start in early September. The work is the first stage of a larger 25,000 metre exploration program on the property with the goal of adding an additional 4 million to 8 million tonnes of mineralization to the resource base.” 

ON DEALS AND CORPORATE ISSUES

  • Silver Viper Minerals Corp. announced the completion of the purchase of the three mineral claims covering 2,102 hectares at the La Virgina project in Sonora. The company made the last cash payment of US$200 K. “Silver Viper has completed a total of 141 drill holes at La Virginia for a combined 44,687 metres. Exploration drilling has paused awaiting the processing of the geophysical survey data along with the interpretation of mapping and sampling data.”
  • Xali Gold Corp. signed a legally binding letter of intent (LOI) with Rio Verde Resources on portions of five mining concessions at El Oro project in Estado de Mexico. Rio Verde has been granted the exclusive right to explore and extract minerals above the 2,400 m level in the historic workings, in exchange for a 3% net smelter return (NSR) royalty. Rio Verde has advised that their production will initially focus on the target identified by LuisMin-Hillsborough, in which they estimated a potential of 762 K Oz Au and 9.8 M Oz Ag (6.89 M tonnes @ 3.44 gpt Au, 44 gpt Ag, Not NI-43-101 compliant) after studying mine level plans with grades, sections and eight new drill holes.
  • United States Antimony Corp. announced the appointment of Jonathan Miller as vice president of investor relations and global sales director (Juarez, Queretaro).
  • Solaris Resources Inc. appointed Mr. Arun Lamba as vice president, corporate development (La Verde, Michoacán).
  • DYNR-Dyna Resource Inc. appointed Mr. Alonso Sotomayor as chief financial officer (San José de Gracia, Sinaloa).

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Chloritized biotite (?) lining a quartz veinlet in a Sonoran Desert project, HQ core. Picture by Jorge Cirett.

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

/ gambusinoprospectormexico / Leave a comment

Silica Ridge

By Miguel A Heredia

During the 4th week of the year (January 22nd to January 28th, 2024), at least 26 press releases were announced by companies working in Mexico, with seven reporting resources and developments of their projects, six communicating production results, six disclosing deals and corporate issues, five informing on exploration results, one announcing financing issues, and one commenting on Mexican issues.  ON MEXICO ISSUES, Orla Mining, Gatos Silver, and Minaurum reported the best drilling intercepts in Mexico on the fourth week of January, 2024. ON EXPLORATION, In Sonora, Infinitum commenced a 2,500m drilling program in its flagship La Adelita project, Sonora, Minaurum  released final 2023 drilling results at La Adelita project, and Tocvan reported rock chip samples results from its Picachos project. In Chihuahua, Reyna Silver shared results from Artificial Intelligence optimization of existing geophysical data from the Guigui project.  In Nayarit, Angel Wings provided an exploration update and filed a NI 43-101 technical report on its La Reyna project.   ON MINING, Golden Minerals commenced mining operations at its Velardeña mine in Durango. Americas Gold and Silver reported Q4 and full- year 2023 production results from its Cosalá mine operation in Sinaloa. Capstone announced Q4 and full-year 2023 production results and provided production and cost guidance for 2024 for its Cozamin mine in Zacatecas. Mag Silver reported Q4 and full-year 2023 production results from its Juanicipio project in Zacatecas. Sierra Metals provided a summary of the work conducted in the year 2023 (Bolivar mine, Chihuahua).  SilverCrest reported Q4 and full-year 2023 production and financial results from its Las Chispas mine in Sonora. ON FINANCING, Bear Creek closed its previously announced restructuring transaction with Sandstorm Gold Ltd (Mercedes Mine, Sonora). ON RESOURCES AND DEVELOPMENT, Discovery Silver outlined its 2024 work program for its Cordero project in Chihuahua. Endeavour provides a development update for its Terronera project in Jalisco. Kootenay announced updated mineral resource estimate for its La Cigarra project, Chihuahua.  Gatos Silver reported results from its resource definition drilling program and exploration work being conducted at its Cerro Los Gatos project, Chihuahua. Orla provided an update of the infill drilling program at its Camino Rojo sulphide deposit in Zacatecas.  Prime Mining revealed the 2024 outlook for its high-grade Los Reyes project in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Angel Wing announced that it has changed its auditors (La Reyna project, Nayarit).  Goldgroup announced that the TSX determined to delist the company common shares (Cerro Prieto property, Sonora). Guanajuato Silver announced that it will be updating the technical reports of their Mexican mining operations. Infinitum Copper informed that it has already completes the necessary expenditure commitment to earn an initial 80% of La Adelita property, Sonora from Minaurum Gold Inc. Mexus announced management changes (Santa Elena property, Caborca, Sonora). Prime granted incentive stock options to management of the company (Los Reyes, Sinaloa). ON SOCIAL RESPONSIBILITY, No relevant news.

ON MEXICO ISSUE

  • Orla Mining Ltd., Gatos Silver Inc., and Minaurum Gold Inc., reported the best drilling intercepts in Mexico on the fourth week of January, 2024. Details are shown in the table below:

ON EXPLORATION

  • Infinitum Copper Corp., commenced a drilling program at its flagship La Adelita project, Sonora. The program will consists of 15 diamond holes for a total of 2,500m. Objective of the drilling program is to expand the size of the high-grade mineralized area at Cerro Grande zone as well as test for mineralization at depth in the Las Trancas zone.
  • Minaurum  Gold Inc., released 2023 drilling results from the last six holes drilled at La Adelita project in Sonora. Hole AD-23-0034 encountered sporadic mineralization across multiple horizons: 0.08% Cu, 0.2 g/t Au, 16 g/t Ag, and 0.7% Zn over 3m, plus 0.40% Cu, 0.46 g/t Au, 86 g/t Ag, and 0.26% Zn over 0.95m, plus 0.117% Cu, 1.03 g/t Au, 30 g/t Ag, and 0.18% Zn over 2.80m, and plus 0.90% Cu, 0.18 g/t Au, 43 g/t Ag, and 0.33% Zn over 4.05m.
  • Tocvan Ventures Corp., reported results of 75 rock chip samples from its Picachos project in Sonora. The 75 samples average 0.6 g/t Au and 2 g/t Ag with the values up to 15.9 g/t Au and 32 g/t Ag. “A new mineralized trend extending over 1.6 km in length has been discovered marked by old historic workings and exposure of mineralized veins and shear zones”.
  • Reyna Silver Corp., shared results from Artificial Intelligence (AI) optimization of existing geophysical data from the Guigui project in Chihuahua. Explore Tech´s proprietary AI algorithm highlight a strong, multi-layered magnetic anomaly southeast of the 0.5 sq.km sulphide- mineralized skarn footprint identified in 2022 drilling. Explore Tech’s platform first uses AI to identify and locate where a geophysical anomaly actually is and then design the optimum hole geometry to hit it. “The results reinforce existing geological thinking that the intrusive source for the district lies in that area and greatly enhance the area’s potential. Pads to drill the target are already permitted and accessible”.
  • Angel Wings Metals Inc., provided an exploration update and filed a NI 43-101 technical report on its La Reyna project, Nayarit. La Reyna is a contiguous block of fully titled mineral claims hat consolidates most of the historical Aguila de Oro mining district, with rock chip samples returning from nil to 27.12 g/t Au and nil to 2,938 g/t Ag., as well as anomalous values of Pb, Zn, Cu, Co, Bi, and Mo. “Mineralization is hosted in an extensive area of alteration that has been mapped over 70 square kilometers and is host to numerous past producing shallow mine and gambusino workings. To date, over 20 prospects with highly anomalous gold and silver have been identified on the project. A ground geophysics program including 11.2 line kilometers of Induced Polarization and 2 line kilometers of HSMAT is underway over El Polo-Dolorosa. Data is being processed with a report including the sections and maps due in early February”.

ON MINING

  • Golden Minerals Company commenced mining operations at its Velardeña mine in Durango. It begin mining in six stopes and is steadily ramping up daily production to reach a rate of approximately 150 tonnes per day  in March, and ultimately a full production rate of approximately 325 tpd in the second quarter.
  • Americas Gold and Silver Corporation reported Q4 and full-year 2023 production results from its Cosalá mine operation in Sinaloa. The company produced 321K Oz Ag, 2.7M Lb Pb, and 8.3M Lb Zn (3.8M Oz AgEq) in Q4, 2023 to complete a total production of 1.1M Oz Ag, 11.5M Lb Pb, and 34.1M Lb Zn in the full-year 2023.
  • Capstone Copper Corp., announced Q4 and full-year 2023 production results and provided production and cost guidance for 2024 for its Cozamin mine in Zacatecas. During Q4, 2023 the company produced 14.7M Lb Cu for a total production of 54.5M Lb Cu in the full year 2023. Capstone also provided production and cost guidance for 2024 and expects to produce between 49.3M Lb Cu and 53.8M Lb Cu at a cash costs of USD $1.85-USD $2.05 per Lb Cu produced. 
  • Mag Silver Corp., reported Q4 and full-year 2023 production results from its Juanicipio project in Zacatecas (56% / 44% Fresnillo plc and Mag Silver, respectively). In Q4, 2023, Juanicipio processed on 100% basis, 346,766 tonnes of 467 g/t Ag, 1.37 g/t Au, 1.3% Pb, and 2.4% Zn to produce 4.5M Oz Ag, 10.59K Oz Au, 9.19M Lb Pb, and 15.08M Lb Zn. For the full-year 2023, the tonnage processed on 100% basis was 1,268,756 tonnes of 520 g/t Ag, 1.39 g/t Au, 0.9% Pb, and 1.7% Zn to produce 16.8M Oz Ag, 36.7K Oz Au, 28.35M Lb Pb, and 44.75M Lb Zn.
  • Sierra Metals Inc., provided a summary of the work conducted in the year 2023 at its Bolivar mine in Chihuahua. The company announced that Bolivar mine achieved record production levels and that it also replaced 104% of the ore mined. On the other hand, Cusi mine in Chihuahua was placed on care and maintenance allowing management to direct full effort and resources to optimize the company’s two core assets at Yauricocha (Peru) and Bolivar (Mexico).  The company also announced that it raised CAD $16M and that its share price increased by more than 210%, moving from CAD $0.24 to CAD $0.75.
  • SilverCrest Metals Inc., reported Q4 and full-year 2023 production and financial results from its Las Chispas mine in Sonora. In Q4, 2023 the company milled 78,600 tonnes of 4.28 g/t Au and 410 g/t Ag, with metallurgical recoveries of 98.3% and 97.7% respectively to recover 14,100 Oz Au and 1.34M Oz Ag (2.47 M Oz AgEq), of which it sold 16,100 Oz Au and 1.27M Oz Ag (2.56M Oz AgEq) at average realized prices of USD $1,977 per Oz Au and USD $23.09 per Oz Ag, generating USD $61.3M of revenue. In the full-year 2023 the company milled 300,900 tonnes of 4.39 g/t Au and 423 g/t Ag, with metallurgical recoveries of 98.1% and 96.5% respectively to recover 59,700 Oz Au and 5.65M Oz Ag (10.4M Oz AgEq), of which it sold 58,200 Oz Au and 5,62M Oz Ag (10.25 M Oz AgEq), at average realized prices of USD $1,945 per Oz Au and USD $245.1M of revenue.

ON FINANCING

  • Bear Creek Mining Corporation closed its previously announced restructuring transaction with Sandstorm Gold Ltd. The Transaction is expected to improve the Company’s ability to produce free cash flow in the near term from the Mercedes mine in Sonora.

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp., outlined its 2024 work program for its Cordero project in Chihuahua. The Feasibility Study (FS) is nearing completion and is expected to be delivered later this quarter. The FS will include an additional 35,000m of reserve definition and expansion drilling, the results from the FS metallurgical testwork program as well as additional geotechnical and hydrogeology data collected in 2023. The Company will also provide an updated resource estimate concurrent with the results of the Study. In Permitting, the Environmental Impact Assessment is under review and approval by the Secretariat of the Environment and Natural Resource (SEMARNAT), while the Change of Land Use (CUS) known as Estudio Tecnico Justificativo (ETJ) will be finalized in the coming months with formal submission of the CUS expected to be made by 3Q 2024. Impact assessment and power installation studies were completed in 2023 confirming that there is sufficient capacity in the existing power grid to supply the project with power for operations at peak throughput levels. In 2023 the Company secured the surface rights that correspond with the planned open pit and key infrastructure locations at Cordero. The two potential sources of water for the project are local groundwater and water from local water treatment plants in the region. The Company has completed a hydro geological assessment through its Mexican specialist consultant utilizing data from hydrogeology drilling and pump test wells. Initial results indicate the potential for sufficient local groundwater for Phase 1 of the project (mill throughput of ~25,000 tonnes per day). In 2024, the company plans to complete mapping and sampling of new target areas along with 2,500 m of drilling.
  • Endeavour Silver Corp., provides a development update for its Terronera project in Jalisco. The company has made significant construction progress and has updated its initial capital cost, schedule, and execution plan. The table below summarizes the main items:

In terms of project funding, the company expects to make the first draw under the $120 million project loan debt facility in the first quarter of 2024. Construction of the project remains on track and the funds available under the project loan debt facility will be allocated to fund construction.

  • Kootenay Silver Inc., announced updated mineral resource estimate for its La Cigarra project, Chihuahua. The 2024 Mineral Resource Estimate (MRE) incorporates a significantly revised geological model compared to the previous resource and features a database of 201surface diamond and RC drillholes totaling 36,988 meters and 26,419 assay intervals. The below table shows the 2024 MRE for la Cigarra project:
  • Gatos Silver Inc., reported results from its resource definition drilling program being conducted at the South-East Deeps Zone, as well as an update of the exploration work carried out a its Cerro Los Gatos project in Chihuahua. Resource definition drilling highlights (true widths reported) include holes SE-557 with 245 g/t Ag, 2.0% Zn, 1.9% Pb, 0.3 g/t Au, and 0.67% Cu over 5.5m, including 528 g/t Ag, 0.3% Zn, 1.3% Pb, 0.06 g/t Au, and 1.41% Cu over 2.8M; hole SE-558 with 88 g/t Ag, 11.7% Zn, 3.7% Pb, 0.15 g/t Au, and 0.23% Cu over 3.1m, plus 70 g/t Ag, 2.7% Zn, 1.7% Pb, 0.03 g/t Au, and 0.3% Cu over 1.2m, plus 151 g/t Ag, 2.8% Zn, 6.1% Pb, 0.18 g/t Au, and 0.43% Cu over 4m, including 291 g/t Ag, 4.3% Zn, 12.2% Pb, 0.4 g/t Au, and 0.55% Cu over 1.6m: hole SE-559 with 103 g/t Ag, 16.5% Zn, 7.0% Pb, 0.14 g/t Au, and 0.21% Cu, plus 52 g/t Ag, 9.8% Zn, 3.2% Pb, 0.22 g/t Au, and 0.13% Cu over 2.4m; hole SE-560 with 58 g/t Ag, 3.2% Zn, 2.2% Pb, 0.05 g/t Au, and 0.09% Cu over 1.3m, plus 243 g/t Ag, 9.7% Zn, 6% Pb, 0.39 g/t Au, and 0.28% Cu in 3.3m; hole SE-562 with 31 g/t Ag, 3.1% Zn, 0.9% Pb, 0.16 g/t Au, and 0.08% Cu over 2.5m, plus 179 g/t Ag, 5.8% Zn, 4.5% Pb, 1.1 g/t Au, and 0.65% Cu over 2.5m, plus 20 g/t Ag, 5.8% Zn, 2.2% Pb, 0.4 g/t Au, and 0.02% Cu over 1.7m; hole SE-563 with 133 g/t Ag, 8.3% Zn, 3.2% Pb, 0.11 g/t Au, and 0.16% Cu over 8.9m, plus 54 g/t Ag, 2.8% Zn, 4.1% Pb, 0.07 g/t Au, and 0.11% Cu over 1.2m; and hole SE-272 with 97 g/t Ag, 7.8% Zn, 2.4% Pb, 0.24 g/t Au, and 0.35% Cu over 4.8m, including 201 g/t Ag, 15.4% Zn, 4.3% Pb, 0.25 g/t Au, and 0.73% Cu over 1.3m. Greenfields exploration work in Los Gatos District continues to advance in preparation for increased drilling expected to start in Q2 2024. One hole has been completed at Portigueño and one hole at Cascabel with positive indicator minerals and favourable structures present. The company also completed detailed mapping and rock geochemistry at the Esperanza, San Agustin, Portigueño, Cieneguita and San Luis areas to support drill target generation.
  • Orla Mining Ltd., provided an update of the 37, 677m infill drilling program at its Camino Rojo sulphide deposit in Zacatecas. Drilling highlights of 23 out of 56 holes include holes CRSX23-17 with 2.54 g/t Au over 68.5m, including 13.1 g/t Au over 1.5m; hole CRSX23-19C with 2.08 g/t Au over 124.5m, including 2.46 g/t Au over 60m, and including 11.7 g/t Au over 1.5m, and including 11.7 g/t Au over 3m, and including 3.11 g/t Au over 20.5m; hole CRSX23-20B with 2.22 g/t Au over 96.5m, including 3.24 g/t Au over 33.9m, including 12.8 g/t Au over 1.2m, and including 17.5 g/t Au over 1.6m; hole CRSX23-20F with 2.36 g/t Au over 65.4m, including 2.77 g/t Au over 13.5m, and including 2.86 g/t Au over 36.5m, and including 14.8 g/t Au over 1.5m; hole CRSX23-21A with 2.44 g/t Au over 49.5m, including 4.59 g/t Au over 21m, including 17.21 g/t Au over 1.5m, and including 18.8 g/t Au over 1.5m; hole CRSX23-23A with 3.41 g/t Au over 36m, including 5.94 g/t Au over 18m, and including 29.2 g/t Au over 3m; and hole CRSX23-24A with 2.94 g/t Au over 66.5m, including 4.98 g/t Au over 16.5m, including 21.7 g/t Au over 1.5m, and including 13.9 g/t Au over 1.5m.
  • Prime Mining Corp., revealed the 2024 outlook for its high-grade Los Reyes project in Sinaloa. The 2024 plans include the targeting completion of 40,000m of drilling and continue the geological mapping and geochemical sampling; continue preliminary investigations of metallurgical, geotechnical  and mine planning parameters, including process optimization, assessment of open pit VS underground opportunities and evaluation of permitting requirements; continue to engage with local ejidos through educational and community programming access improvements, and water access; and target a late-2024 resource increase. The exploration drilling will focus on extending the high-grade at Z-T areas; expanding the high-grade mineralization at Guadalupe East; increasing the Central Area resource; and generative target drilling of high-grade intercepts at Las Primas, Mariposa, Fresnillo, Mina, and others to further develop the resource potential at Los Reyes.

ON DEALS AND CORPORATE ISSUES

  • Angel Wing Metals Inc., announced that it has changed its auditors from Kenway Mack SlusarchukStewart LLP to Davidson & Company LLP (La Reyna project, Nayarit).
  • Goldgroup Mining Inc., announced that the TSX determined to delist the company common shares effective at the close of market on February 16, 2024 for failing to meet the continued listing requirements of the TSX (Cerro Prieto property, Sonora).
  • Guanajuato Silver Company Ltd., announced that, because of a disclosure review of the British Columbia Securities Commission, it will be providing updates to its NI 43-101 technical reports (El Cubo mine, Guanajuato).
  • Infinitum Copper Corp., informed that it has already completes the necessary expenditure commitment to earn an initial 80% of La Adelita property, Sonora from Minaurum Gold Inc., by making a total expenditure on the project of CAD $3,042,090.
  • Mexus Gold US announced management changes. The company and Mr. Mark Ashley have mutually agreed to terminate the August 2, 2023 contract between both parties. The termination of this agreement was completed on December 26, 2023 (Santa Elena property, in Caborca, Sonora).
  • Prime Mining Corp., granted incentive stock options to management of the company for a total of 991,626 options, 455,846 restricted share units, and 661,202 deferred share units. The Options were granted to management of the company and are exercisable at the price of $1.83 per share. The Options will vest and become exercisable over a three year period, with one-third vesting on the first year anniversary of the grant, one-third on the second year anniversary, and one-third on the third year anniversary (Los Reyes, Sinaloa).

ON SOCIAL RESPONSIBILITY

  • No relevant news.

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

On the picture above, silica ridge in a low-sulphidation epithermal vein system in a project in Zacatecas. Photo by Miguel A Heredia

The Mining and Exploration News in Mexico; Highlights on the Third Week of March, 2021

/ Gambusino Prospector / Leave a comment

By Jorge Cirett

During the 11h week of the year (March 15th to March 21st, 2021), at least 34 press releases were announced by companies working in Mexico. To note, eight companies posted exploration advances on their properties, four presented quarterly results, five posted on financing or share options (including C$12 M, $10.3 M, C$14.1 M and C$80.4M), eight more on project development and five on corporate issues. ON MEXICO ISSUES, 25 Mining projects in Mexico are in line for 2028. At PDAC, a minister from Canada asked for a stable and predictable business environment in Mexico. The president of Mexico, Andres Manuel Lopez Obrador, threatened mining companies with voiding their concessions if they break the law. ON EXPLORATION, in Baja California, One World Lithium announced the incoming drilling at its Salar del Diablo project. In Sonora, Kootenay Silver informed of excellent grades in trenching at its Maria Elena project; Tocvan Ventures updated on exploration at Pilar; Prismo Metals filed a technical report for Los Pavitos project. In Durango, Mithril Resources informed on a high-grade gold intercept at Copalquin. In Guerrero, Pantera Silver commenced exploration in Nuevo Taxco. In Zacatecas, Zacatecas Silver is preparing a resource estimate on the Panuco deposit.  ON MINING, Comet Resources Excellon Resources, Starcore International and Sierra Metals released quarterly and/or full year 2020 reports. Activities at McEwen’s El Gallo mine in Sinaloa, which is in residual leaching, were suspended by an illegal blockade. ON FINANCING, Empress Royalty, Southern Silver, Almaden Minerals, Santacruz Silver Mining and Premier Gold released news on financing. ON RESOURCES AND DEVELOPMENT, Almaden Minerals is resuming exploration at the Ixtaca property in Puebla. Discovery Metals released drilling results from Cordero in Chihuahua. Chesapeake Gold received approval for a bulk drilling program at Metates, Durango. GoGold Resources released drilling results from Los Ricos North in Jalisco. Southern Silver is doubling the size of its drilling program at Cerro Las Minitas in Durango. Consolidated Zinc released the updated mineral resource for the Plomosas mine in Chihuahua. Prime Mining released drilling results for Los Reyes in Sinaloa. Azucar Minerals released results from drilling at El Cobre, Veracruz. ON DEALS AND CORPORATE ISSUES, Radius Gold optioned the Maricela property in Sonora. Sailfish is to prepare an updated mineral resource for Gavilanes in Durango. VanGold Mining signed the definitive agreement with Endeavour Silver for the acquiring the El Cubo mine in Guanajuato. Tarachi Gold completed the acquisition of El Magistral tailings project. Prospero Silver is changing name to Keon Capital. ON SOCIAL RESPONSIBILITY, Grupo Mexico and Fresnillo PLC informed on actions related to social betterment of communities near its operations.

ON MEXICO ISSUES

  • 25 Mining projects in Mexico are in line for 2028 with a total of US$7.8 B (US$7,800 M in Mexican notation). El Arco in Baja California (US$2,900 M), Media Luna in Guerrero (US$496 M), Expansion Herradura (US$490 M), Orysivo in Chihuahua (US$465 M), Juanicipio in Zacatecas (US$440 M) and Sonora Lithium (US$420 M) are among the largest of these.   
  • At the virtual PDAC (Prospectors and Developers Association of Canada) 2021 conference Mary Ng, Minister of Small Business, Export Promotion and International Trade for Canada and Tatiana Clouthier, head of the Economy Secretariat in Mexico met and spoke about the strengthening of commercial ties between the two countries, particularly in the energy and mining sectors. Minister Ng stressed the need to keep a stable and predictable business environment for Canadian companies working in Mexico, especially in mining, and expressed its worries for the recently approved energy law and its possible negative impact.
  • In his press conference the president highlighted the cases of Americas Gold and Silver, with his view that it is trying to evade the law on unionized work, and that of First Majestic which he accused of trying to evade taxes (as in other industries, the president disregards any effect on investment and employment by his rigid stance). He suggested the Canadian government should help make the companies comply as in Canada.

ON EXPLORATION

  • Pantera Silver Corp. has mobilized its field personnel to the Nuevo Taxco Silver project in Guerrero. The 1,100 hectares project displays 21 veins 150-350 meters in length within a 135 hectares portion of the property. Of 395 historical samples, 119 grade over 100 gpt Ag, including 18 between 500-900 gpt Ag and three samples over 1,000 gpt Ag. An initial 1,600 meter program is to test the 21 veins area.
  • One World Lithium Inc. is to start phase three drilling on April 15, 2021 at is Salar del Diablo project in Baja California. “If the results of DDH-3 warrant, the DDH-4 will be drilled in the same area…. DDH-3 (diamond drill hole) is located approximately 50 kilometers to the south of DDH-2” completed on the previous campaign.
  • Zacatecas Silver Corp. is to prepare a current resource estimate for the Panuco silver deposit at the Zacatecas Silver project in Zacatecas. The historic inferred mineral resource hosts 3.95 M tonnes @ 136 gpt Ag, 0.14 gpt Au, 0.12% Pb, 0.11% Zn (153.2 gpt AgEq), containing 19.5 M Oz Ag. Re-assaying of 15% of the core intervals used in the historic resource calculation is being performed to assist in the new resource estimation, as well as bench scale metallurgical test of mineralized core material.    
  • Kootenay Silver Inc. informed on the discovery of significant gold at its Maria Elena project in Sonora. Highlighted results from sampling in 8 trenches comprise 33 m @ 2.67 gpt Au (including  9 m @ 5.29 gpt Au, 1 m @ 23.7 gpt Au) in trench 6; 24 m @ 1.81 gpt Au (including 8 m @ 3.98 gpt Au, 1 m @ 17.25 gpt Au) in trench 4; 9 m @ 2.01 gpt Au (including 1 m @ 15.45 gpt Au) in trench 2. “Gold mineralization is hosted by stock works of quartz and quartz carbonate veins formed by conjugate sets of veins …. Numerous conjugate vein sets and associated stock work zones occur within a 1.5 by 1.5-kilometer area hosted within a diorite intrusion and are the source of the placer gold historically mined on the property”.
  • Canasil Resources Inc. informed on drilling at La Esperanza project in Zacatecas. Three holes in the La Esperanza  vein have already intersected the vein as projected, while a fourth is in progress. While the vein outcrops for 150 m, it has now been intersected for 525 m along strike and 350 m to depth.
  • Tocvan Ventures Corp. updated on exploration at its Pilar project in Sonora. On the Main Zone Extension, a 350 m section presents “altered vein zones” 5 to 20 m in width, strong oxidation and 800 m of anomalous soil samples with up to 106 and 911 ppb Au, and rock grab samples with 9.3 gpt Au. At the 4-Trench there is a 600 m trend that presents veins for 400 m of strike untested by drilling, rock grab samples with up to 24 gpt Au and historical artisanal workings for 350 m of strike.
  • Mithril Resources Ltd. informed on the drilling at El Refugio target in the Copalquin project in Durango. An exceptional core length interval of 4.17 m @ 62.0 gpt Au, 445 gpt Ag was drilled, and is characterized by abundant black sulfide and kaolinite, as well as by the presence of visible gold.
  • Prismo Metals Inc. filed a NI 43-101 technical report for its Los Pavitos project in Sonora. The 5,289-hectare concession is west of the Alamos district, displaying epithermal low sulfidation veins and orogenic gold shears. Highlighted rock sample results include 0.30 m @ 40.8 gpt Au, 0.65 m @ 4.86 gpt Au, 0.20 m @ 1.57 gpt Au, 2.5 m @ 1.5 gpt Au, 2.5 m @ 2.41 gpt Au, grab samples of up to greater than 10.0 gpt Au and dump samples with up to 5.26 gpt Au.

ON MINING

  • Comet Resources Ltd. presented its second half 2020 financial report. In the period the company spent US$2.35 M in mineral exploration and administration, raised US$3 M, acquired the Santa Teresa project in Baja California with 88.6 K Oz Au JORC compliant inferred resources.
  • McEwen Mining Inc. informed that activities at the El Gallo project in Sinaloa (currently on residual leaching) have been suspended as results of an illegal blockade of the main access to the property by members of nearby communities. “El Gallo has operated harmoniously with the local communities since mining started in 2012, having demonstrated a long-standing track record of supporting local communities. In this context, the current situation is surprising. The site remains minimally staffed to maintain appropriate safety and security, and the environmental systems. McEwen Mining is negotiating for a peaceful resolution to the issues”.
  • Excellon Resources Inc. reported financial results for the Q4 and full year 2020. During the quarter silver production at the Platosa mine in Durango increased to 355.6 K Oz, the strongest production since 2014, at an all-sustaining cost of $21.19 per Oz Ag. For the year, the revenue of $26.2 M was impacted by the temporary suspension related to the Covid pandemic. On the second half of the year 43.3 K tonnes were mined, producing 1.08 M Oz Ag.
  • Starcore International Mines Ltd. reported results for the quarter ended in January 2021. At the San Martin mine in Queretaro, 57.3 K tonnes were milled @ 1.66 gpt Au, 23 gpt Ag, recovering 88.8% Au, 57.1% Ag, to produce 2.7 K Oz Au, 23.8 K Oz Ag or 3,063 Oz AuEq at cash cost US$1,042 per Oz AuEq and an AISC of US$1,361 per Oz AuEq.
  • Mexus Gold US. Informed it has received the necessary explosives permit to mine the high grade Mexus II and Julio vein structures at its Santa Elena mine in Sonora.
  • Sierra Metals Inc. reported financial results for 2020. At Bolivar in Chihuahua, cash cost per CuEq Lb was $1.35 and AISC per CuEqLb was $1.88. At Cusi in Chihuahua, cash cost per AgEqOz was $15.70 and AISC per AgEqOz was $28.18. The company hold cash and cash equivalents of $71.5 M at the end of the period.

ON FINANCING

  • Empress Royalty Corp. entered into an agreement with Red Cloud Securities Inc. and Canaccord Genuity Corp. and a syndicate of underwriters that shall purchase shares of the company for gross proceeds of C$12 M. (Pinos, Zacatecas).
  • Endeavour Silver Corp. announced its common shares will be added to the S&P/TSX Composite and the NYSE Arca Gold Miners Index (Terronera, Jalisco).
  • Southern Silver Exploration Corp. raised $14.2 million in Summer of 2020. “Since the closing of the equity raise and the working interest purchase in September 2020, the Company has received a total of $2,428,228 from shareholder exercises of share purchase warrants, inclusive of the recent 6,000,000 share purchase warrant exercise by Electrum Global Holdings LP for proceeds of $480,000. Additionally, the Company has received $477,470 from the exercise of incentive stock options and finders’ warrants”.
  • Almaden Minerals Ltd. announced a US$10.3 M registered direct offering (Ixtaca, Puebla).
  • Santacruz Silver Mining Ltd. has increased the size of its previously announced non-brokered private placement offering, intending to raise now up to CDN$14.1 M (Zimapan, Hidalgo).
  • Premier Gold Mines Ltd. announced its wholly-owned subsidiary i-80 Gold Corp. closed its previously publicized private placement for aggregate gross proceeds of C80.4 M. “Premier remains focused on creating i-80 as a Nevada-focused mining company…” (Mercedes, Sonora).
  • Minera Alamos Inc. informed the board of directors approved the issuance of 7.25 M options to management, directors, employees and consultants, tied to production milestones (Santana, Sonora).
  • First Majestic Silver Corp. received regulatory consent to extend its share repurchase program to up to 10 M shares or 4.5% of the outstanding shares of the company (San Dimas, Durango).

ON RESOURCES AND DEVELOPMENT

  • Almaden Minerals Ltd. has resumed exploration in the area of the Ixtaca project in Puebla. Initial work is to focus in identifying drill targets in the SE Alteration Zone, 1 km SE from the Ixtaca deposit. Argillic alteration with hyperspectral signatures for kaolinite, alunite and buddingtonite is present, along with several areas of veining with anomalous pathfinder elements.
  • Discovery Metals Corp. announced results from 14 diamond drill holes targeting high-grade veins at its Cordero project in Chihuahua. Highlighted intercepts comprise 1.3 m @ 1,581 gpt Ag, 0.15 gpt Au, 9.9% Pb, 5.4% Zn; 8.9 m @ 267 gpt Ag, 0.91 gpt Au, 0.9% Pb, 0.8% Zn (including 1.0 m @ 1,280 gpt Ag, 4.24 gpt Au, 1.6% Pb, 3.4% Zn); 1.3 m @ 1,607 gpt Ag, 2.06 gpt Au, 5.2% Pb, 8.0% Zn; 10.0 m @ 92 gpt Ag, 0.09 gpt Au, 2.4% Pb, 3.4% Zn in the Josefina vein; 2.9 m @ 992 gpt Ag, 0.73 gpt Au, 12.9% Pb, 2.4% Zn in the South corridor and 4.0m @ 377 gpt Ag, 0.28 gpt Au, 7.1% Pb, 2.7% Zn (including 1.4 m @ 552 gpt Ag, 0.33 gpt Au, 11.0% Pb, 3.4% Zn); 1.2 m @ 241 gpt Ag, 0.52 gpt Au, 4.6% Pb, 10.4% Zn; 2.8 m @ 207 gpt Ag, 0.15 gpt Au, 3.7% Pb, 7.7% Zn on the Todos Santos vein. “The Company has completed 58,600 m (148 holes) as part of its expanded 65,000 m Phase 1 drill program. Assays from 24 holes are pending”.
  • Chesapeake Gold Corp. has received the final permits to commence a bulk drilling program at the Metates project in Durango. The company plans to drill 2,500 meters to recover 10 tonnes of large diameter (PQ) core for metallurgical testing to support a potential sulfide heap leach mine operation.
  • GoGold Resources Inc. released results from four more drill holes on the Casados area of the Los Ricos North project in Jalisco. Highlighted core length results comprise 10.3 m @ 0.43 gpt Au, 116 gpt Ag; 21.4 m @ 0.44 gpt Au, 98 gpt Ag; 49.1 m @ 0.54 gpt Au, 250 gpt Ag; 13.3 m @ 0.67 gpt Au, 204 gpt Ag; 5.1 m @ 1.94 gpt Au, 1,270 gpt Ag (including 0.8 m @ 10.31 gpt Au, 6,842 gpt Ag; 52.0 m @ 0.47 gpt Au, 127 gpt Ag; 8.3 m @ 0.94 gpt Au, 279 gpt Ag; 23.6 m @ 0.58 gpt Au, 156 gpt Ag (including 10.9 m @ 1.05 gpt Au, 307 gpt Ag); 33.6 m @ 0.23 gpt Au, 95 gpt Ag. The Casados vein dips 45 degrees, is hosted in andesitic tuffs and is exposed for 400 m in the surface.
  • Southern Silver Exploration Corp. is doubling the size of the current drilling program from 10,000 m to 20,000 m on the Cerro Las Minitas project in Durango. The current program has completed 28 core holes totaling 12,040 m since September 2020. “Drilling will continue with two drills targeting the east side of the Cerro where to date three near-surface sulphide lenses with Bonanza-grades of silver have been identified”. Assays from 11 drill holes are pending.
  • Consolidated Zinc Ltd. announced its updated mineral resource for the Plomosas project in Chihuahua. The resource estimate is JORC compliant and contains indicated mineral resources of 152 K tonnes @ 13.3% Zn, 6.0% Pb, 33.6 gpt Ag containing 20.2 K tonnes Zn, 9.1 K tonnes Pb, 164.6 K Oz Ag and inferred resources of 788 K tonnes @ 13.0% Zn, 2.9% Pb, 17.2 gpt Ag containing 102.1 K tonnes Zn, 22.7 K tonnes Pb, 435.5 K Oz Ag.
  • Prime Mining Corp. reported initial results from its 15,000 m drilling program at Los Reyes, in Sinaloa. The first hole at Guadalupe East intersected 20.1 m @ 3.25 gpt Au, 380 gpt Ag (including 6.5 m @ 6.51 gpt Au, 587 gpt Ag), this intercept is 150 m below any previous drilling; 3.8 m @ 3.69 gpt Au, 305 gpt Ag (including 2.1 m @ 6.18 gpt Au, 507 gpt Ag). Chip sampling of adularia bearing banded quartz veins in a new area returned several mineralized intervals, including 3 m @ 29.8 gpt Au, 1,132 gpt Ag.
  • Azucar Minerals Ltd. released results from drilling at the Porvenir zone at the El Cobre project in Veracruz. Some of the highlighted results comprise 77.65 m @ 0.26 gpt Au, 0.16% Cu (including 43.55 m @ 0.37 gpt Au, 0.21% Cu and 25.55 m @ 0.45 gpt Au, 0.23% Cu) in one hole and 16.70 m @ 0.10 gpt Au, 0.09% Cu; 37.00 m @ 0.12 gpt Au, 0.08% Cu.

ON DEALS AND CORPORATE ISSUES

  • Radius Gold Inc. has optioned the Maricela group of properties (155 ha) in Sonora. Radius can earn 100% interest in the property by paying US$1.25 M over three years. A total of US$30 K has been paid to date. The owner retains a 1% NSR which can be bought back for US$1 M. Mineralization is of low sulfidation epithermal style with 1-3 m massive quartz veins and stockworks over 10 meters in width hosted in andesitic volcanic rocks and felsic dykes emplaced sub-parallel to mineralized structures.
  • Sailfish Royalty Corp. announced on early February “that Mine Development Associates (“MDA”), a division of RESPEC, out of Reno, Nevada, was hired to prepare an updated mineral resource estimate on Gavilanes. The updated mineral resource estimate is a key milestone for the planned spinout of Gavilanes and the Company is pleased to report that MDA is expecting to complete their work in early Q2 2021”.
  • VanGold Mining Corp. signed a definitive purchase agreement with Endeavour Silver Corp. to acquire El Cubo mine and mill complex located 8 km from its El Pinguico project in Guanajuato. “According to the Company’s recently announced PEA from Behre Dolbear and Company (USA) Inc., (“Behre”) the Combined Project contains total indicated resources of 718,655 tonnes grading 160 gpt Ag and 1.90 gpt Au, or 306 gpt AgEq, which equates to 7.2 M oz AgEq; and total inferred resources of 1,453,000 tonnes grading 214 gpt Ag and 2.78 gpt Au, or 435 gpt AgEq, which equates to 20.4 M oz AgEq”. VanGold will pay $15 M as follows: $500 K (paid), $7 M on closing, anticipated to by the end of March 2021, $5 M on VanGold shares on closing and $2.5 M in promissory notes due 12 months from closing.
  • Tarachi Gold Corp. completed the acquisition from Manto Resources S.A. de C.V. of the Magistral mill and tailings project in Durango. A PEA is to be conducted to determine if modifications are needed on the mill’s flowsheet prior to commissioning. The tailings basin is to be tested with an auger drill rig, with six confirmation holes and eleven in-fill holes. Underground diamond core drilling has been progressing on the Jabali concession at its Tarachi project in Sonora.
  • Prospero Silver Corp. board of directors has approved the name change of the company to Keon Capital Inc., subject to the acceptance of the TSX Venture Exchange (Bermudez, Chihuahua).

ON SOCIAL RESPONSIBILITY

  • Fundación Grupo México and Granjas Carroll delivered fruit bearing trees to producers in Puebla.
  • Minera San Julian donated medical equipment in Chihuahua.

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

On the image below:  Core from Azure Mineral’s Oposura project in Sonora. Picture by Jorge Cirett.