The Mining and Exploration News in Mexico; Highlights on the First Week of September 2022

By Jorge Cirett

During the 35th week of the year (August 29th to September 4th, 2022), at least 21 press releases were announced by companies working in Mexico. Five companies posted exploration advances on their properties and three presented production results for the second quarter, while one more provided an operational update. One company sold a portfolio of royalties in Mexican properties, one declared a dividend and closed a $5 M concentrate pre-payment facility. On advanced properties, one company reported metallurgical results, one updated its resource base, one released PEA numbers and one more released drilling results. One company is looking for partners for its projects and one more informed on the completion of the bought of their flagship property.  ON MEXICO ISSUES, the lithium government company is to be run by the son of one federal government executive in Sonora. The rescue effort on ten coal miners in Coahuila is changing to a recovery mission. ON EXPLORATION, in Sonora, Tocvan Ventures released drilling results from Pilar; Prismo Metals received the Lidar survey processed data on Los Pavitos. In Chihuahua, Radius Gold presented drilling results from Amalia. Kootenay Silver released drilling results from Columba. In Zacatecas, Zacatecas Silver reported drill results from El Cristo vein. ON MINING, Impact Silver, Santacruz Silver and Magna Gold financial/operational results for the second quarter 2022. Guanajuato Silver Company provided and operational update on Topia, San Ignacio and El Cubo and Valenciana complexes. ON FINANCING, Millrock Resources sold a portfolio of royalties in Mexican properties to Osisko Gold Royalties. Alamos Gold declared a quarterly dividen, Guanajuato Silver Company closed on a $5 M concentrate pre-payment facility.  ON RESOURCES AND DEVELOPMENT, Discovery Silver reported metallurgical results from its Cordero project in Chihuahua. Starcore International Mines updated on NI 43-101 complaint resources at its San Martin mine in Queretaro. Southern Silver Exploration released numbers on the recently completed PEA at its Cerro Las Minitas project in Durango. Capitan Mining reported drilling results from the Jesus Maria target at its Cruz de Plata project in Durango. ON DEALS AND CORPORATE ISSUES, Mexus Gold US is seeking a partner for its Santa Elena property in Sonora. Minaurum Gold completed the acquisition of its Alamos Silver property in Sonora, with a final payment in cash and shares. ON SOCIAL RESPONSIBILITY, Vizsla Silver released its environmental social and governance (ESG) initiative.

ON MEXICO ISSUES

  • LitioMx. The federal government operation of its newly created Lithium Mining Company (LitioMx) is still hazy, but the possibility has been raised that private companies might participate, also that the current Sonora governor might be involved, and a director has been named, which happens to be a relative of the presidency representative in the State (Although eager to advertise its different way of doing things, this government is making a great effort to replicate the worst practices of past governments).
  • Trapped Coal Miners. Blame put aside, the fate of the 10 trapped miners in Coahuila after the flooding of the coal mine on August 3 is almost defined, and the effort is now changing from rescue to body recovery, which might take months.

ON EXPLORATION

  • Prismo Metals Inc. received results from the Lidar survey carried out at its 5,289 ha Los Pavitos project in Sonora. “Mineralization at Los Pavitos consists of quartz veins and stockworks hosted in metasediments, in shear zones and parallel to foliation and crossing foliation”.
  • Tocvan Ventures Corp. released results from the four final holes drilled at its Pilar project in Sonora. Highlighted drill length intervals comprise 16.78 m @ 0.11 gpt Au; 18.30 m @ 0.24 gpt Au; 50.33 m @ 0.14 gpt Au, 10 gpt Ag (including 10.68 m @ 0.59 gpt Au, 40 gpt Ag); 21.35 m @ 0.13 gpt Au. “All four drill holes were drilled in new areas and intersected alteration and structures known to host gold-silver mineralization at Pilar”.
  • Zacatecas Silver Corp. reported results from the completed phase one diamond drilling at El Cristo vein system in the Zacatecas Silver project in Zacatecas. Highlighted core length intervals comprise 2.1 m @ 204 gpt Ag; 9.0 m @ 149 gpt Ag; 0.53 m @ 200 gpt Ag, 0.34 gpt Au, 0.8% Pb, 0.8% Zn; 0.82 m @ 84 gpt Ag, 0.14 gpt Au, 11.8% Pb, 3.7% Zn; 0.85 m @ 45 gpt Ag, 0.82 gpt Au, 1.9% Pb, 2.4% Zn; 3.0 m @ 250 gpt Ag; 0.55 m @ 198 gpt Ag, 1.6 m @ 175 gpt Ag. “Drill holes targeted the near surface depth extension of the larger surface workings and/or the depth extension of veins around the deeper historical shaft. The 28 holes drilled to date by the Company have been scout holes also designed to test select veins over at least 2 km of strike extension”.
  • Radius Gold Inc. reported results from three drill holes on El Cuervo target at the Amalia project in Chihuahua (Radius 35%, Pan American Silver 65%). Highlighted core length drill results comprise 17.00 m @ 438 gpt Ag, 0.80 gpt Au (including 2.0 m @ 3,182 gpt Ag, 4.49 gpt Au); 13.55 m @ 841 gpt Ag, 10.25 gpt Au (including 5.65 m @ 1,560 gpt Ag, 19.6 gpt Au). “Drilling at El Cuervo has defined mineralization similar to the Amalia structure, consisting of epithermal quartz veins, breccias and veinlets stockworks hosted within rhyolite volcanics along a major fault system. El Cuervo remains open to expansion along strike and to depth”.
  • Kootenay Silver Inc. released another batch of results from its phase 4 drilling program at Columba, Chihuahua. Highlighted core length results comprise 3.90 m @ 574 gpt Ag, 0.2% Pb, 0.7% Zn (including 0.90 m @ 949 gpt Ag, 0.4% Pb, 1.1% Zn) in the D vein, and 17.00 m @ 95 gpt Ag, 0.1% Zn (including 2.05 m @ 221 gpt Ag, 0.2% Zn); 0.4 m @ 325 gpt Ag, 0.2% Pb, 0.6% Zn; 1.58 m @ 425 gpt Ag, 0.1% Pb, 0.3% Zn; 2.97 m @ 91 gpt Ag, 0.2% Zn; 1.63 m @ 2,330 gpt Ag, 0.8% Zn; 6.5 m @ 156 gpt Ag, 0.1% Pb, 0.1% Zn (including 1.05 m @ 769 gpt Ag, 0.5% Zn); 1.00 m @ 305 gpt Ag, 0.2% Pb, 0.2% Zn; 1.00 m @ 194 gpt Ag, 0.2% Pb, 0.2% Zn.

ON MINING

  • Impact Silver Corp. announced financial and operating results for the second quarter 2022. At its Real de Zacualpan project in Estado de Mexico, 37.2 K tonnes averaging 159 gpt Ag were milled during the period, to sell 151.3 K Oz Ag. Impact has no long term debt and cash on hand stands at $18.4 M. Two underground and two surface rigs continue with the 20,000 meters drilling program for the year.
  • Santacruz Silver Mining Ltd. reported its financial and operating results for the second quarter 2022. At Zimapan, in Hidalgo, 200 K tonnes were milled to produce 914.5 K Oz AgEq at $16.71 cash cost per Oz AgEq and an AISC of $20.64 per Oz AgEq.
  • Magna Gold Corp. announced operating and financial results for the second quarter of 2022. At the San Francisco mine in Sonora 5.9 M tonnes were mined, of which 1.4 M tonnes averaging 0.39 gpt Au were placed on the heaps to produce 10,795 Oz Au. Cash at the end of the period was $1.4 M, while working capital was negative $35.4 M. “management believes it is prudent to preserve capital by reducing mining rates and secondary activities across the Company’s portfolio of assets……… the Company’s board and management determined that previously stated guidance for FY 2022 will be retracted and revised at a later date when a more accurate estimate of production impacts is known”.
  • Guanajuato Silver Company Ltd. provided an operational update detailing the integration of El Cubo mine and milling complex with the recently acquired Topia (Durango) and San Ignacio (Guanajuato) mines from Great Panther Mining Ltd. and the San Ignacio mine and Valenciana mines complex (both in Guanajuato). At El Cubo, the development of a 150 m tunnel and ramp reduced the total haulage distance from 7.2 km to 2.5 km with a strong impact on the project economics. Mineral from the San Ignacio mine is being transported to El Cubo mill for processing, and is expected to provide 5 to 6 K tonnes of material per month to the end of the year. At the Valenciana Mines Complex opportunities are being reviewed to restart mining and to process the material at the Cata mill in 2023. At Topia, the sale of 99.2 dry tonnes of Pb-Zn-Au concentrate 97.7 dry tonnes of Zn-Ag concentrate has been reported since the completion of the acquisition.

ON FINANCING

  • Millrock Resources Inc. sold a portfolio of royalties to Osisko Gold Royalties Ltd. with gross proceeds of $1.2 M. The Mexican properties involved include Santa Rosalía (Sonora), El Valle, El Pima (Sonora), Violeta and Guadalcazar (San Luis Potosi).
  • Alamos Gold Inc. informed the company’s board of directors declared a quarterly dividend of US$0.025 per common share (Mulatos, Sonora).
  • Guanajuato Silver Company Ltd. reported that in conjunction with the acquisition of the Topia mine in Durango and the Mine Complex in Guanajuato from Great Panther Mining Ltd., has closed a US$5 M concentrate pre-payment facility with Ocean Partners UK Ltd. “Interest on the loan will be calculated at 12-month LIBOR + 7.5%” (Guanajuato Mine Complex, Guanajuato).

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp. reported results from the metallurgical test program on the pre-feasibility study (PFS) from its Cordero project in Chihuahua. Recoveries of 94-98% Ag, 89-97% Pb, 92-96% Zn were achieved on high grade samples of all major rock types, and recoveries of 83-92% Ag, 85-92% Pb, 81-89% Zn on medium grade samples of blended rock types. “Oxide-sulphide blend testwork establish oxide-specific recoveries of ~60% for silver, ~40% for lead and ~85% for zinc via flotation; co-processing oxide mineralized material via flotation eliminates the need for heap leach processing”.
  • Starcore International Mines Ltd. released its updated NI 43-101 reserve and resource estimates for its San Martin mine in Querétaro. Proven and probable reserves stand at 1.35 M tonnes @ 1.74 gpt Au, 13 gpt Ag containing 75,353 Oz Au, 573 K Oz Ag, and indicated and inferred resources of 1.48 M tonnes @ 1.78 gpt Au, 14 gpt Ag, containing 160,352 Oz Au, 1.22 M Oz Ag. The exploration program for 2022 envisages 10,000 meters of diamond drilling near the current operations.
  • Southern Silver Exploration Corp. reported results from its preliminary economic assessment (PEA) on its Cerro Las Minitas project in Durango. The study’s base case envisages an after-tax NPV5% of $349 M, an IRR of 17.9% with Ag at $21.95 per Oz, Cu at $3.78 per Lb, Pb at $0.94 per Lb, Zn at $1.33 per Lb. The indicated mineral resources included on the study comprise 12.3 M tonnes @ 106 gpt Ag, 0.16% Cu, 1.3% Pb, 3.3% Zn containing 42.1 M Oz Ag, 44 M Lb Cu, 358 M Lb Pb, 895 M Lb Zn, while inferred resources comprise 19.6 M tonnes @ 117 gpt Ag, 0.23% Cu, 1.2% Pb, 2,3% Zn, totaling 73.6 M Oz Ag, 98 M Lb Cu, 500 M Lb Pb, 1,009 M Lb Zn. Only sulfide mineralization was included in the study to produce Cu, Pb and zinc concentrates with the recoveries estimated at 91.6% Ag, 60% Cu, 88% Pb, 93% Zn.
  • Capitan Mining Inc. reported exploration results from five reverse circulation holes at its Cruz de Plata project in Durango. “All drillholes were successful in intersecting Jesus Maria style mineralization, expanding the zone between 43m and 114m down-dip along section”. Highlighted drill length intervals comprise 3.0 m @ 52 gpt Ag, 0.10 gpt Au, 1.3% Pb, 3.4% Zn; 19.8 m @ 29 gpt Ag, 0.08 gpt Au, 0.4% Pb, 0.6% Zn; 13.7 m @ 69 gpt Ag, 0.17 gpt Au, 0.5% Pb, 1.0% Zn; 21.3 m @ 84 gpt Ag, 0.05 gpt Au, 0.6% Pb, 0.7% Zn (including 1.5 m @ 189 gpt Ag, 0.02 gpt Au; 2.3% Pb, 2.3% Zn.

ON DEALS AND CORPORATE ISSUES

  • Mexus Gold US. continues to seek the right partner for production and/or exploration of its Santa Elena property in Sonora (not to mistake for First Majestic’s Santa Elena mine, also in Sonora).
  • Minaurum Gold Inc. announced the completion of the acquisition of 100% interest in the Alamos Silver project in Sonora. The 37,928-hectare property encompasses the historical 200 M Oz Ag Alamos district including 26 epithermal veins. Minaurum completed all work commitments and option payments and made a final compensation of C$300 K in cash and 443.6 K shares.

ON SOCIAL RESPONSIBILITY

  • Vizsla Silver Corp. announced the continued progression on its environmental, social and governance (ESG) initiatives through safety, sustainability and commitment to communities.

On the image below: Banded Specularite-quartz-calcite vein in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of August, 2022.

Quartz vein displaying boiling texture.

By Miguel A Heredia

During the 34th week of the year (August 22nd to August 28th, 2022), at least 16 press releases were announced by companies working in Mexico, and 7 news published by the media with seven commenting on Mexican issues, four communicating production and financial results, four disclosing deals and corporate issues, three reporting resources and developments of their properties, three announcing financial issues, and two informing on exploration results. ON MEXICO ISSUES, Colibri and Oroco reported the best drilling intercepts in Mexico on the fourth week of August, 2022. The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M.   Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa. Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021. Mining in Mexico grew by 7.1% in 2021 despite friction with the government. The governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country. In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic.  ON EXPLORATION, In Sonora, Colibri reported results from the second half of its Phase 1 drill program completed on its Evelyn project, and Tocvan announced latest drill results from its Pilar project.  ON MINING, Guanajuato Silver, Discovery Silver, Minera Alamos, and Orogen reported Q2, 2022 production and financial results from their Mexican operations. ON FINANCING, Canasil announced a non-brokered private placement for gross proceeds of up to $550K (Nora project, Durango). Minera Alamos arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise (Cerro de Oro project, Zacatecas). Eric Sprott announced holdings in Orex Minerals Inc. ON RESOURCES AND DEVELOPMENT, Discovery Silver reported Q2, 2022 results from its flagship Cordero project, Chihuahua.  Minera Alamos provided an update on its Cerro de Oro project, Zacatecas. Oroco successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Monumental announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila). Argonaut announced the appointment of its Vice President, Canadian Operations (La Colorada mine, Sonora).  Aztec purchased 35% interest in the Cervantes property in Sonora from Kootenay. Colibri announced reinstatement of trading on the TSX Venture Exchange and the appointment of its CFO.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • Colibri Resource Corporation and Oroco Resource Corp., reported the best drilling intercepts in Mexico on the fourth week of August, 2022. Details are shown in the table below:
·        The government of Mexico announced, through a decree in the Official Gazette of the Federation, the creation of the state company Litio para Mexico (LitioMx). The Government of Mexico created LitioMx as a decentralized public organism of the Federal Public Administration and coordinated by the Ministry of Energy, with its own legal personality and assets and with technical, operational and management autonomy. The objective of LitioMx will be the exploration, exploitation, benefit and use of lithium, located in national territory, as well as the administration and control of the economic value chains of such mineral.
·        According to the Mining Chamber of Mexico (CAMIMEX), a total of 822 mining projects remain on hold and represent an amount of USD $959M, which are still waiting for better conditions to be able to reactivate. Jaime Núñez, president of CAMIMEX stated that is essential to encourage exploration since unfortunately in the last seven years we have seen a decrease in investments in exploration, leaving several projects on standby.
·        Jaime Gutierrez Núñez, president of CAMIMEX stated that small-scale coal mining is like “the blood diamonds” of Africa, and that the Federal Electricity Commission (CFE) should certify where the mineral it buys comes from and its conditions.
·        Mexico’s mining industry plans to invest USD $5.5B in 2022, 15.2% more than in 2021, but according to the Mexican Mining Chamber (CAMIMEX), it will remain below the record figure of USD $8.04B seen in 2012 amid difficult conditions. Growing security problems, a high tax burden and the government’s decision to stop granting concessions for projects have prevented investments in the sector from increasing faster, said CAMIMEX head Jaime Gutiérrez.
·        Mining in Mexico grew by 7.1% in 2021 despite friction with the government. According to CAMIMEX’s annual report, this increase positioned it as the only productive activity that recovered and even exceeded the fall of 2020, when the covid-19 pandemic initially stopped its operations because the government did not consider it “essential activity”. Even without tax incentives, the mining sector presented an increase in its contribution to the gross domestic product (GDP) going from 2.3% in 2020 to 2.5% in 2021, and an annual advance in the proportion of industrial GDP from 8.3% to 8.6% in the same period.
·        The Governor of Durango, José Rosas Aispuro, considered unfair that the mining-metallurgical sector is one of the economic sectors with the highest tax burden in the country, even though it is an enabler that prevents the migration of people in the communities where it develops its production processes, for job creation and social benefits. Mining Entrepreneurs stated that mining generates jobs and is one of the industries that pays the most taxes, since in 7 years it has contributed more than MXP $240,000M (approximately USD $12B) in taxes and other rights.
·        In Mexico there are more than 1,209 mining projects that have been developed in 26 states of the Republic, in which 406,179 jobs have been generated and a production value that already exceeds MXP $334,782M (approximately USD $16.7B). Among the main minerals extracted from these deposits are gold, copper, silver, zinc, iron, molybdenum, lead, fluorite, among others. For its exploration and exploitation, in 2021 alone, investments have been made for more than USD $4,810M and more than USD $5,538M are expected by the end of 2022. Of the 1,209 mining projects that exist in Mexico, 286 are in Sonora, Chihuahua has 160 and Durango has 128, which positions them as the entities with the greatest economic benefit thanks to mining concessions. Of the total number of projects, 749 correspond to precious metals; 180 to polymetallic minerals, 167 to copper, 71 to iron ore and the remaining 42 to other metals and minerals. According to the Mexican Mining Chamber (CAMIMEX), there are currently a total of 263 projects in the exploration stage, 76 in production, 39 in the development stage, while 822 projects are being postponed and 9 operations are reported as closed. However, the agency assures that, since the start of the current administration, the federal government has stopped granting permits or concessions for the exploration and development of new projects, since so far more than USD $959.7M dollars have not been invested. .
ON EXPLORATION
·        Colibri Resource Corporation reported results from the second half of its Phase 1 drill program completed on its Evelyn project, Sonora, and included 3,101m of RC drilling completed in 22 holes. In total, Phase 1 consisted of 6,223m of RC drilling in 42 holes.  Highlights include hole EVE22-042 with 0.17 g/t Au over 86m, including 0.32 g/t Au over 22m; hole EVE 22-043 with 0.92 g/t Au over 3m; hole EVE22-046 with 1.94 g/t Au over 2m, including 3.36 g/t Au over 1m; hole EVE22-044 with 0.63 g/t Au over 6m; hole EVE22-036 with 1.3 g/t Au over 1m; hole EVE22-033 with 1.92 g/t Au over 1m; hole EVE22-030 with 0.13 g/t Au over 87m, including 0.34 g/t Au over 8m; hole EVE22-029 with 1.39 g/t Au over 5m; and hole EVE22-028 with 0.13 g/t Au over 19m. In addition to drilling, Colibri is completing the geological mapping as well as conducting soil sampling to infill the historical property wide soil surveys.
·        Tocvan Ventures Corp., informed that seven holes were completed at its Pilar project in Sonora, totalling 1,382m and released results from the three first drill holes where the most significant drill intercepts was encountered in hole JES-22-67 with 0.4 g/t Au over 30.5m, including 7.6 g/t Au over 1.5m. Results are pending for the remaining four holes.
ON MINING
·        Guanajuato Silver Company Ltd., reported Q2, 2022 production and financial results from their El Cubo and Pinguico mines in Guanajuato (all amounts in American dollars). The company milled 94,212 tonnes to produce 155, 912 Oz Ag and 2,161 Oz Au (or 337,760 Oz AgEq) wit metallurgical recoveries of 80.91% and 82.52% respectively, at cash and all included sustaining cost (AISC) of $16.98 and $24-06 per Oz AgEq respectively. Guanajuato Silver reported revenue of $6.13M; cost of sales of $7.8M; mine operating loss of ($1.66M); net loss of ($3.5M); EBIDTA of ($1.1M); and working capital of ($2.04M). The company sold 159,840 Oz Ag, and 2,195 Oz Au (or 342, 987 Oz AgEq) at realized prices of $22.56 and $1,873 per Oz respectively.
·        Discovery Silver Corp., reported Q2, 2022 financial results (all amounts in Canadian dollars). The company reported cash and cash equivalents of $63.6M; total assets of  $101.8M; total current liabilities of $2.54M; working capital of $62.5M; and total shareholder´s equity of $99.2M.
·        Minera Alamos Inc., reported Q2, 2022 production and financial results from its Santana mine in Sonora (all amounts in Canadian dollars). The company reported that monthly mine production rates were approximately 300K tonnes, but with the opening of the Nicho Main Zone during Q2, the company is now in the position to ramp up production levels. Alamos sold 3,128 Oz Au and reported revenues of $7.3M; cost of goods sold of  $3.26M; direct cost of production of $16 per Oz; income from operations of  $2.6M; net income of $2.7M; cash and cash equivalents (including marketable securities) of  $9M; and working capital of $17M.
·        Orogen Royalties Inc., announced Q2, 2022 financial results (all amounts in Canadian dollars). The company reported revenue of $959.8K comprised from the Ermitaño royalty and $17.5K generated from prospect generation activities; project generation cost of $433.5K and recovered $448.9K in expense reimbursement from partners on optioned projects; general and administrative expenses of $875.2K; loss of $754.8K; net loss from operations of $648.6K; cash and cash equivalents from operating activities of $131.3K; cash from operating activities excluding changes in cash-cash working capital of $257.9K ; and working capital of $10.5M including $3.05M in cash and cash equivalents and $5.13M in short term investments and no long-term debt.
ON FINANCING
·        Canasil Resources Inc., announced a non-brokered private placement for gross proceeds of up to $550K. Gross proceeds will be used to fund the company´s exploration programs (Nora project, Durango).
·        Minera Alamos Inc., arranged a USD $3M working capital facility and announced a closed a USD $4.35M equity raise of common shares at $0.55/share. The combination of both enhancing the company´s working capital position as development work extends to the advancement of the Cerro de Oro project in Zacatecas.
·        Eric Sprott announced that 18,333,333 common share purchase warrants of Orex Minerals Inc., expired unexercised representing a decrease in holdings of approximately 7.2% of the outstanding common shares on a partially diluted basis since the date of the last early warning report. As a result of the warrants expiry, Mr. Sprott now beneficially owns and controls 36,666,666 shares representing approximately 19.6% of the outstanding shares on a noun-diluted basis.
ON RESOURCES AND DEVELOPMENT
·        Discovery Silver Corp., reported Q2, 2022 results from its flagship Cordero project, Chihuahua. The company reported that initial results from the Preliminary Feasibility Study (PFS) metallurgical work had recoveries of 90-95% for Ag, Pb, and Zn. It also reported that Phase 2 drilling program intercepted excellent grades below the Preliminary Economic Assessment (PEA) pit including hole C21-564 with 95 g/t Ag, 0.21 g/t Au, 1.9% Pb, and 4.5% Zn (337 g/t AgEq) over 33.9m, and hole C21-560 with 234 g/t Ag, 0.15 g/t Au, 3.8% Pb, and 6.5% Zn (606 g/t AgEq) over 18.1m, as well as hole C22-610 collared outside the current resource with 115 g/t Ag, 0.05 g/t Ag, 3.7% Pb, and 4.1% Zn (388 g/t AgEq) over 32.6m, including 187 g/t Ag, 0.05 g/t Au, 6.5% Pb, and 7.2% Zn (660 g/t AgEq) over 17.8m.
·        Minera Alamos Inc., provided an update on its Cerro de Oro project, Zacatecas. The company informed the sign off of the documentation for its Cerro de Oro project surface rights agreement in Zacatecas, allowing the company to move forward with the permitting process for the construction of its second gold operation in Mexico. Minera Alamos also informed that the NI 43-101 compliant Preliminary Economic Assessment (PEA) is nearly to be completed and is expected to get it done by next month.
·        Oroco Resource Corp., successfully tested the western side of the North Zone at its Santo Tomas project in Sinaloa by drilling 3,050m. Drilling has confirmed and expanded the 2009 Grade shell model of Cu > 0.30% derived from the historical drilling described in the Company’s 2019 Technical Report. A total of 26 holes (18,136 m of drilling) have now been completed in the North Zone, spanning 1,100m of strike length, with intersections of good grade mineralization returned in all holes for which the Company has received assays. Highlights of the last holes collared at the western side of the North Zone include hole N015 with 0.31% Cu, 0.009% Mo, 0.025 g/t Au, and 2 g/t Ag (0.36% CuEq) over 292m; hole N016 with 0.32 g/t Cu, 0.006% Mo, 0.032 g/t Au, and 2 g/t Ag (0.73% CuEq) over 95.4m, plus 0.39% Cu, 0.016%Mo, 0.022 g/t Au, and 4 g/t Ag (0.46% CuEq) over 44.7m, plus 0.26% Cu, 0.010% Mo, 0.014 g/t Au, and 2 g/t Ag (0.31% CuEq) over 88.7m; hole N017 with 0.31% Cu, 0.011% Mo, 0.02 g/t Au, and 2 g/t Ag (0.73% CuEq) over 63.8m, plus 0.22% Cu, 0.01% Mo, 0.02 g/t Au, and 1 g/t Ag (0.28% CuEq) over 159.2m; and hole N018 with 0.36% Cu, 0.011% Mo, 0.017 g/t Au, and 3 g/t Ag (0.42% CuEq) over 21m, plus 0.65% Cu, 0.012% Mo, 0.019 g/t Au, and 3 g/t Ag (0.68% CuEq) over 10m, plus 0.33% Cu, 0.012% Mo, 0.017 g/t Au, and 2 g/t Ag (0.38% CuEq) over 42.3m. The Company will commence a drill program targeted at testing the South Zone in 2022.  
ON DEALS AND CORPORATE ISSUES
·        Monumental Minerals Corp., announced that its common shares are now trading on the OTCQB Venture Market under the symbol MNMRF (Jemi project, Coahuila).
·        Argonaut Gold Inc., announced the appointment of its Vice President, Canadian Operations, effective August 29, 2022 (La Colorada mine, Sonora).
·        Aztec Minerals Corp., purchased indirectly from Kootenay Silver Inc., 35% interest in the Cervantes property in Sonora by issue 10M common shares at a price of CAD $0.25 per Aztec share for aggregate consideration of CAD $2.5M. Kootenay will retain a 0.5% Net Smelter Returned Royalty. Following the closing of the Transaction, Kootenay owns a total of 10.68M Aztec shares, which represents approximately 11.85% of the issued and outstanding Aztec shares on an undiluted basis.
·        Colibri Resource Corporation announced reinstatement of trading of its common shares on the TSX Venture Exchange. The shares will re-open for trading on the Exchange at the opening of trading on Monday, August 29. The company also announced the appointment of its new CFO (Evelyn project, Sonora).
ON SOCIAL RESPONSIBILITY
·        No relevant news.
 
Content like what you have just read can be seen at https://gambusinoprospector.com/ and at LinkedIn’s Mexico Mineral Exploration Group.

On the picture above, boiling texture in a low-intermediate epithermal vein system in a project in Durango, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the First Week of June, 2022. 

Cu silicates (chrysocolla)

By Miguel A Heredia

During the 22ndweek of the year (May 30th to June 5th, 2022), at least 19 press releases were announced by companies working in Mexico, with seven reporting resources and developments of their properties, four disclosing deals and corporate issues, two communicating production and financial results, two announcing financing issues, two commenting on Mexican issues, and two informing on exploration results. ON MEXICO ISSUES, Advance Lithium provided an update on the recent mining law changes. Prime Mining, Vizsla Silver and Zacatecas Silver reported the best drilling intercepts in Mexico on the first week of June, 2022. ON EXPLORATION, In Sonora, Benjamin Hill reported drill results from the El Fierro Zone at its Sonora Gold project, Sonora. In Coahuila, Monumental announced plans for follow-up exploration work at its Jemi Heavy Rare Earth project.  ON MINING, Santacruz reported Q1, 2022 production results from its Zimapan mine in Hidalgo. Minera Alamos reported Q1, 2022 financial results from its Santana project, Sonora. ON FINANCING, Reyna Silver announced a brokered private placement for gross proceeds of up to CAD $3M (Guigui and Batopilas projects, Chihuahua). Alamos Gold declared a quarterly dividend of USD $0.025 per common share (Mulatos mine, Sonora). ON RESOURCES AND DEVELOPMENT, Zacatecas Silver commenced its work plans to prepare a current resource estimate at its Esperanza project, Morelos. Discovery Silver reported positive metallurgical results and provided an update on its flagship Cordero project, Chihuahua. Prime reported additional phase 2 drill results from 12 step out drill holes at the Guadalupe East deposit within its Los Reyes project in Sinaloa. Magna Gold filed an independent technical report for its Margarita project, Chihuahua. Minera Alamos provided an update on the continuing progress at its Santana project in Sonora. Vizsla reported results from eighteen new holes drilled at the southern extension of the Napoleon Vein at its flagship Panuco project, Sinaloa.  Zacatecas Silver released results from the Panuco Norte drilling program at its Zacatecas project, Zacatecas. ON DEALS AND CORPORATE ISSUES, Azure entered into a binding sale agreement to sell its subsidiary companies that own and operate its Mexican assets to Bendito Resources for a combination of cash and shares valued at A $20M. Silverton entered into a share purchase agreement with Zapata to acquire the Margaritas property in Durango. Pantera Silver announced the appointment of a new member to its Board of Directors (Nuevo Taxco project, Guerrero). ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

Advance Lithium Corp., provided an update on the recent mining law changes that states that all the activities related to the exploration, exploitation and profit of lithium shall be the responsibility of the yet to be formed national lithium company. Advance has identified large zones of lithium, potassium and boron mineralization at their claims which are in good standing, with work completed and all legal filings in order. It should be noted that the analysis of the company’s deposits show that the composition of the mineralization is approximately equal parts lithium and potassium. While lithium is covered by this new legislation in Mexico, potassium is not. The potential of near term production of both lithium and potassium products puts the Company in a unique position with its salars/salt lakes deposits and looks forward to discussing the lithium opportunities with the newly formed Mexican national lithium company.

  • Prime Mining, Vizsla Silver and Zacatecas Silver reported the best drilling intercepts in Mexico on the first week of June, 2022. Details are shown in the table below:

ON EXPLORATION
·         Benjamin Hill Mining Corp., reported drill results from the El Fierro Zone at its Sonora Gold project, Sonora. This drill program explored for the presence and continuity of metallic mineralization found in outcroppings at surface, in epithermal veins, skarn zones and hydrothermal breccias, as well as for possible magmatic source of mineralization as indicated by chargeability highs. Drilling highlights include hole SGB-22-23 with 0.25% Cu over 1.25m; hole SGB-22-24 with 0.67% Cu over 1.25m; hole SGB-22-26 with 0.39 g/t Au over 0.95m, plus 0.26% Cu over 1.45m; and hole SFB-22-21 with 3.54% Cu over 3m, including 10% Cu, 2.11 g/t Au and 52 g/t Ag over 0.6m.
·         Monumental Minerals Corp., announced plans for follow-up exploration work at its Jemi Heavy Rare Earth project. The follow-up work program will be divided in two phases. The first phase will consists of detailed geological mapping and collection of structural data, along with a ground radiometric survey to identify drill targets. The second phase will consists of a stream sediment geochemical survey to assess areas within and beyond the 8km2 area of highest priority.
ON MINING
·         Santacruz Silver Mining Ltd., reported Q1, 2022 production results from its Zimapan mine in Hidalgo. The company processed 191,413 tonnes to produce 901.2K Oz AgEq. It sold 872.7K Oz AgEq and reported cash and All Included Sustaining Costs (AISC) of USD $17.04 and USD $23.38 per Oz AgEq sold respectively.
·         Minera Alamos Inc., announced Q1, 2022 financial results from its Santana project, Sonora. The company reported revenues of CAD $5.16M from approximately 65% of its gold production (the remaining gold was sold post quarter end); income from operation of CAD $1.53M; a net income of CAD $1.06M; and cash and cash equivalents of CAD $8,17M.
ON FINANCING
·         Reyna Silver Corp., announced a brokered private placement with Red Cloud Securities Inc. (the “Agent”), for gross proceeds of up to CAD $3M. The Agent will have an option, exercisable in full or in part up to 48 hours prior to the closing of the Offering, to sell up to an additional 2,777,778 Units at the Offering Price for additional gross proceeds of up to CAD $M. The company plans to use part of the gross proceeds to explore their Guigui and Batopilas projects in Chihuahua.
·         Alamos Gold Inc., declared a quarterly dividend of USD $0.025 per common share. The Company has paid dividends for 13 consecutive years during which time USD $264M has been returned to shareholders through dividends and share buybacks, including USD $27M thus far in 2022. This includes 1M shares repurchased under the normal course issuer bid in May 2022 at a cost of USD $7.4M, or USD $7.42 per share. The dividend is payable on June 30, 2022 to shareholders of record as of the close of business on June 16, 2022 (Mulatos mine, Sonora).
ON RESOURCES AND DEVELOPMENT
·         Zacatecas Silver Corp., commenced its work plans to prepare a current resource estimate at its Esperanza project, Morelos. The Esperanza project has a historical resource estimate of a measured and indicated resource of 34,352,000 tonnes of 0.98 g/t Au and 8 g/t Ag for 1.08M Oz Au and 8.9M Oz Ag and an inferred resource of 718,000 tonnes of 0.80 g/t Au and 15 g/t Ag for 18.4K Oz Au and 347.2K Oz Ag. Measured and indicated resources are 1.22M Oz AuEq of 1.11 g/t AuEq. Immediate steps to confirm resource estimate include: Extensive verification through sampling at least 10% of the historical drill core and new metallurgical test work by SGS Minerals. Additionally, the company is to commence work to identify and prioritize expansion and exploration targets throughout the project.
·         Discovery Silver Corp., reported positive metallurgical results and provided an update on its flagship Cordero project, Chihuahua. Initial results from the metallurgical testwork showed recoveries typically ranging from 90-95% for Ag, Pb, and Zn from very coarse grind size and with lower reagent consumption than what was assumed earlier. The company also announced the project study team for the Pre-Feasibility Study on Cordero project, in which plans to release an updated resource estimate in Q4, 2022. The updated resource estimate will be based on a total of 283,000m in 683 drill holes.
·         Prime Mining Corp., reported additional phase 2 drill results from 12 step out drill holes at the Guadalupe East deposit within its Los Reyes project in Sinaloa. Highlights drill intercepts include hole 22GE-53 with 9.67 g/t Au and 314 g/t Ag over a true width (TW) of 0.80m, plus 3.01 g/t Au and 220 g/t Ag over a TW of 0.90m, plus 13.65 g/t Au and 311 g/t Ag over a TW of 1.50m, plus 61.99 g/t Au and 978 g/t Ag over a TW of 3.10m, including 200 g/t Au and 2,830 g/t Ag over a TW of 0.90m, plus 5.90 g/t Au and 341 g/t Ag over a TW of 0.60m; hole 22GE-48 with 2.93 g/t Au and 62 g/t Ag over a TW of 3.90m, including 4.41 g/t Au and 105 g/t Ag over a TW of 2m, plus 1.16 g/t Au and 79 g/t Ag over a TW of 2.40m, plus 1.78 g/t Au and 82 g/t Ag over a TW of 0.50m, plus 4.29 g/t Au and 125 g/t Ag over a TW of 1.40m, plus 1.62 g/t Au and 120 g/t Ag over a TW of 1.1m, plus 1.24 g/t Au and 88 g/t Ag over a TW of 1.10m, plus 3.19 g/t Au and 34 g/t Ag over a TW of 1.10m, plus  2.31 g/t Au and 98 g/t Ag over a TW of 1.40m, including 3.68 g/t Au and 161 g/t Ag over a TW of 0.80m; hole 22GE-45 with 12.79 g/t Au and 300 g/t Ag over a TW of 2.50m, including 16.96 g/t Au and 392 g/t Ag over a TW of 1.80m; hole 22GE-51 with 3.01 g/t Au and 161 g/t Ag over a TW of 0.60m; and hole 22GE-46 with 1.95 g/t Au and 155 g/t Ag over a TW of 2.30m, including 3.11 g/t Au and 249 g/t Ag over a TW of 1.30m.
·         Magna Gold Corp., filed an independent technical report for its Margarita project, Chihuahua, dated May 24, 2022, with an effective date of April 8, 2022. The technical report contains an initial mineral resource estimate.
·         Minera Alamos Inc., provided an update on the continuing progress at its Santana project in Sonora. The company announced that the development of the Nicho Main Zone is now underway with haulage and access road largely completed. First mineralized material should be stacked on the Santana leach pad as operation move into the second half of the year. At Nicho Norte, the gold mined and stacked on the leach pad to date total approximately 18K Oz with roughly 7K Oz recovered in concentrate.
·         Vizsla Silver Corp., reported results from eighteen new holes drilled at the southern extension of the Napoleon Vein at its flagship Panuco project, Sinaloa. Drilling highlights include hole NP-22-258 with 1,139 g/t Ag, 11.48 g/t Au, 0.3% Pb, and 0.8% Zn (2,098 g/t AgEq) over a true width (TW) of 4.30m; hole NP-22-271 with 223 g/t Ag, 2.76 g/t Au, 1.5% Pb, and 5% Zn (677 g/t AgEq) over a TW of 7m, including 789 g/t Ag, 18.5 g/t Au, 5.7% Pb, and 11.7% Zn (2,871 g/t AgEq) over a TW of 0.46m, including 343 g/t Ag, 5.11 g/t Au, 1.7% Pb, and 2.9% Zn (909 g/t AgEq) over a TW of 0.61m, including 403 g/t Ag, 5.04 g/t Au, 1% Pb, and 4% Zn (985 g/t AgEq) over a TW of 0.91m, including 191 g/t Ag, 1.12 g/t Au, 2.9% Pb, and 10.9% Zn (774 g/t AgEq) over a TW of 0.99m; hole NP-22-277 with 151 g/t Ag, 2.63 g/t Au, 0.2% Pb, and 0.5% Zn (389 g/t AgEq) over a TW of 7m, including 315 g/t Ag, 2.32 g/t Au, 0.3% Pb, and 0.4% Zn (524 g/t AgEq) over a TW of 0.5m. including 630 g/t Ag, 4.94 g/t Au, 0.4% Pb, and 0.5% Zn (1,055 g/t AgEq) over a TW of 0.75m, including 189 g/t Ag, 2.7 g/t Au, 0.8% Pb, and 1.8% Zn (495 g/t AgEq) over a TW of 0.79m; and hole NP-22-281 with 202 g/t Ag, 1.55 g/t Au, 0.7% Pb, and 1.1% Zn (387 g/t AgEq) over a TW of 5.4m, including 1,275 g/t Ag, 6.25 g/t Au, 3.5% Pb, and 4% Zn (2,2027 g/t AgEq) over a TW of 0.34m, including 398 g/t Ag, 3.75 g/t Au, 1.9% Pb, and 2.7% Zn (855 g/t AgEq) over a TW of 0.84m, including 386 g/t Ag, 3.09 g/t Au, 1.8% Pb, and 2.5% Zn (779 g/t AgEq) over a TW of 0.59m. These results are part of the ongoing 12,000m resource/discovery-based drill program.
·         Zacatecas Silver Corp., released results from the Panuco Norte drilling program at its Zacatecas project, Zacatecas. Drilling highlights include hole PAN2022-057 with 224 g/t Ag and 0.15 g/t Au (224 g/t AgEq) over 1.83m; hole PAN2022-56 with 151 g/t Ag and 0.16 g/t Au (163 g/t AgEq) over 3.71m; and hole PAN2022-61 with 231 g/t Ag and 0.22 g/t Au (248 g(/t AgEq) over 1.28m. The Company has now completed 63 drill holes at Panuco North for a total of 7,240 meters. “Drilling in the eastern and central part of the Panuco North Vein has now intercepted near-surface mineralization over a strike length of 700 m, with the vein remaining open along strike and open at depth. Assay results from 22 Panuco North holes are pending”.
ON DEALS AND CORPORATE ISSUES
·         Azure Minerals Limited entered into a binding sale agreement to sell its subsidiary companies that own and operate its Mexican assets to Bendito Resources for a combination of cash and shares valued at A $20M, consisting of A $10M cash and A $10M shares in Bendito. The portfolio consists of eight properties, but Alacrán, Oposura, and Promontorio projects will form the core assets of Bendito, all located within the Laramide Copper Province in N-NW Mexico. Alacrán, in Sonora State, hosts the high-grade Mesa de Plata silver deposit and adjacent Loma Bonita gold-silver deposit which together contain 32 M Oz Ag and 150K Oz Au in JORC Mineral Resources. A Scoping Study / Preliminary Economic Assessment on Oposura, in Sonora State,showed robust results for a high-quality, high-grade massive sulphide Zn-Pg-Ag development opportunity. The project holds significant exploration upside for resource expansion. At Promontorio, Chihuahua, Azure established a high-grade, near-surface Cu-Au-Ag resource and identified prospectivity for an underlying copper porphyry system.
·         Silverton Metals Corp., entered into a share purchase agreement with Zapata Exploration Ltd., to acquire the Margaritas property in Durango by acquiring all of the issued and outstanding shares of Zapata´s Mexican subsidiary, Impulsora de Proyectos Mineros S.A. de C.V. The Margaritas property comprises two mining concessions totalling 500 hectares, and consists of a 3.5km long and 240m of vertical extension of an under-explored, high-grade epithermal vein system hosted in productive volcanic rocks of the Sierra Madre Occidental. This vein system has returned grades up to 73.7 g/t Au in dump samples and 31.6 g/t Au in rock chip channel samples with grades between 1-38 g/t Ag. To acquire all of the issued and outstanding shares of Impulsora, Silverton has agreed to issue 750K common shares and grant a net smelter return royalty of 0.5%, which may be repurchased at a price of USD $250K.
·         Pantera Silver Corp., announced the appointment of a new member to its Board of Directors. In addition, the Board of Directors of the Company has authorized the granting of incentive stock options under its Stock Option Plan to purchase 300K common shares of the Company at an exercise price of CAD $0.20 per share for a five-year term expiring June 1, 2027. The stock options are being granted to certain directors and advisors of the Company (Nuevo Taxco project, Guerrero).
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, Cu silicates (chrysocolla) in a Carbonate Replacement Deposit in Durango, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Fourth Week of April, 2022

By Jorge Cirett

During the 17th week of the year (April 25th to May 1st, 2022), at least 24 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their properties, four released first quarter 2022 reports, one reported a temporary suspension of mining, one on a financing round, another one on an updated credit facility, eight reported either drill results or updated on work in their advanced properties. ON MEXICO ISSUES, according to Miner Deck, one company working in Mexico had the best gold intercept of the week, and five companies in Mexico participated in the best eight silver intercepts. The SGM stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization. Several institutions pointed out that Mexico can be involved in international litigations if proceeds to nullify mining concessions under the reform to the mining law recently approved. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Silver Spruce received results from Diamante. In Durango, Commander Resources informed on drilling by Southern Empire Resources at Pedro. In Chihuahua, Mammoth Resources provide drilling results from Tenoriba. ON MINING, Guanajuato Silver reported 2021 production, Mag Silver, Alamos Gold and Agnico Eagle reported Q1 2022 production results. Gatos Silver temporarily suspended mining operations at Cerro Los Gatos in Chihuahua. ON FINANCING, Sonoro Gold is to raise up to C$3 M. Orla Mining informed on a project finance facility for US$150 M.  ON RESOURCES AND DEVELOPMENT, Barksdale Resources released the last results from its drilling campaign at San Javier, in Sonora. Endeavour Silver reported drilling results from its Parral project in Chihuahua. Altaley Mining filed an updated technical report on Tahuehueto, Durango. Sierra Madre Gold and Silver announced results from drilling at the Tepic project, in Nayarit. Chesapeake Gold released results from metallurgical infill holes at Metates, in Durango. SilverCrest Metals updated on construction work at Las Chispas, in Sonora. Discovery Silver updated on work at Cordero, in Chihuahua, GR Silver Mining released high-grade results from drilling at Plomosas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, no relevant news.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • According to Miner Deck, one company working in Mexico, Chesapeake Gold, drilled the best gold drilling intercept of the week, with 405 m @ 0.90 gpt Au at Metates, in Durango.
  • According to Miner Deck, five of the top eight silver intervals were drilled by companies working in Mexico. Gr Silver Mining was first with 24.2 m @ 1,094 gpt Ag at Plomosas, in Sinaloa. Chesapeake Gold was third with 357 m @ 31.6 gpt Ag, at Metates, in Durango. Radius Gold was fifth, with 11.8 m @ 450 gpt Ag at Amalia, in Chihuahua. Endeavour Silver was sixth, with 5.7 m @ 392 gpt Ag at Guanaceví, in Durango. Sierra Madre was eighth, with 3.05 m 625 gpt Ag at Tepic, in Nayarit.
  • The Servicio Geológico Mexicano (SGM), stated that Ixtlilco el Grande in Tepalcingo, Morelos, is one of several sites favorable for lithium mineralization.
  • The Cámara de Comercio Internacional argued that if the Mexican government nullifies mining concessions as results of the recently approved reform to the mining law, will be obligated to indemnify investors. This as a result of modifying the regulatory framework, as also pointed the Comisión de Comercio y Políticas de Inversión y el Comité de Arbitraje de Inversión de la International Chamber of Commerce.

ON EXPLORATION

  • Radius Gold Inc. reported drilling results from El Cuervo target at its Amalia project in Chihuahua. Highlighted core length intercepts comprise 14.60 m @ 117 gpt Ag, 0.92 gpt Au (including 0.9 m @ 1,185 gpt Ag, 6.93 gpt Au); 17.35 m @ 253 gpt Ag, 1.11 gpt Au (Including 7.60 m @ 414 gpt Ag, 2.10 gpt Au); 11.80 m @ 450 gpt Ag, 1.31 gpt Au (including 2.10 m @ 1,577 gpt Ag, 2.27 gpt Au). These holes were drilled from two platforms testing 350 m of strike and 300 m of depth.
  • Tocvan Ventures Corp. announced results from one more drill hole at its Pilar project in Sonora. Highlighted core length intervals comprise 108.6 m @ 0.8 gpt Au, 3 gpt Ag (including 31.9 m @ 2.4 gpt Au, 2 gpt Ag, which includes 9.4 m @ 7.6 gpt Au, 5 gpt Ag). The drill hole intersected a silicified andesite, including the 9.4 m high-grade breccia zone.
  • Silver Spruce Resources Inc. received high-grade surface sample results from its Diamante project in Sonora. The results are part of the phase 1 geological mapping program on the main drill target areas. Intense silica, sericite, clay and propylitic alteration was confirmed peripheral to veins and breccias in andesitic tuff, rhyolite and granodiorite. Highlighted surface sample results comprise 51.5 gpt Au, 11 gpt Ag; 7.57 gpt Au, 186 gpt Ag, 114 ppm Bi, 6.3% Pb; 3.31 gpt Au, 191 gpt Ag, 0.5% Pb; 2.99 gpt Au, 2,270 gpt Ag, 422 gpt Bi, 0.29% Cu, 4.4% Pb; 2.08 gpt Au, 533 gpt Ag, 0.19% Cu, 3.8% Pb, 7.5% Zn; 1.80 gpt Au, 199 gpt Ag, 2.8% Pb, 0.2% Zn; 1.141 gpt Au, 140 gpt Ag, 0.17% Cu, 2.6 % Pb, 3.6% Zn; 1.38 gpt Au, 1,980 gpt Ag, 3,290 ppm Bi, 11.1% Pb; 1.34 gpt Au, 100 gpt Ag, 100 ppm Bi, >1000 ppm Cd, 3.2% Cu, 5.7% Pb, 16.7% Zn; 0.94 gpt Au, 223 gpt Ag, 0.27% Cu, 4.0% Pb, 6.5% Zn; 0.72 gpt Au, 226 gpt Ag, 375 ppm Bi, 2.4% Pb; 0.27 gpt Au, 82 gpt Ag, 44 ppm Bi, >1,000 ppm Cd, 3.6% Pb, 22.9% Zn; 0.20 gpt Au, 1,310 gpt Ag, 0.37% Cu, 42.3% Pb, 8.2% Zn.
  • Commander Resources Ltd. informed on work by partner Southern Empire Resources at the Pedro project in Durango. Southern Empire completed six core holes for a total of 856 m. Highlighted core length results comprise 9.26 m @ 0.087 gpt Au; 5.28 m @ 0.151 gpt Au; 19.82 m @ 0.311 gpt Au; 5.26 m @ 0.115 gpt Au; 15.23 m @ 0.577 gpt Au; 5.88 m @ 0.098 gpt Au; 14.75 m @ 0.230 gpt Au. “The Au-As-Sb-Hg-Tl-Te geochemical suite associated with strong orpiment (As S ) and realgar (AsS) mineralization observed in the Pedro drill core is, in part, indicative of Carlin-style gold deposits”.
  • Mammoth Resources Corp. provided results from three additional diamond drill holes at Tenoriba, in Chihuahua. Highlighted core length intervals comprise 6.0 m @ 0.20 gpt Au, 3 gpt Ag; 15.0 m @ 0.34 gpt Au, 2 gpt Ag; 6.0 m @ 0.59 gpt Au, 3 gpt Ag in one hole on the Moreno zone; 46.5 m @ 0.45 gpt Au, 5 gpt Ag in another hole on the Carneritos zone and 37.5 m @ 0.98 gpt Au, 15 gpt Ag (including 18.0 m @ 1.13 gpt Au, 21 gpt Ag, 0.55% Cu) and 12.0 m @ 0.08 gpt Au, 0.45% Cu in one other hole on the Moreno zone. To date, results for 1,914 m have been released from 13 holes on the current drilling program of 27 holes with 3,240 m drilled. The program has been halted for lack of water for drilling.

ON MINING

  • Guanajuato Silver Company Ltd. reported selected financial and production results for 2021. Production at El Cubo mine in Guanajuato commenced in October 2021. A total of 89.1 K tonnes were mined from El Cubo and existing stockpiles from El Pinguico, with 77.5 K tonnes milled, recovering 82.6% Ag, 78.8% Au to produce 124,7 K Oz Ag, 1,440 Oz Au at cash cost $20.36 per Oz AgEq mined. By the end of the period the company had $8.23 M in cash and an additional $1.6 M in bullion.
  • MAG Silver Corp. reported first quarter 2022 production of underground development and stope material at Juanicipio (56% Fresnillo/44% Mag Silver), in Zacatecas. On a 100% basis, 145.5 K tonnes were processed @ 597 gpt Ag, producing 2.4 M Oz Ag, 5,837 Oz Au. MAG Silver attributable production is 1.06 M Oz Ag, 2,568 Oz Au; the associated Pb and Zn production is to be reported with MAG’s first quarter filings.
  • Gatos Silver Inc. suspended temporarily mine operations at Cerro Los Gatos in Chihuahua. “The Mexican Ministry of Defense (“SEDENA”), who regulates all explosives permits in Mexico, temporarily suspended CLG’s explosive and blasting permit on April 21, 2022, following a blasting incident during underground development activities where two blasts were detonated prematurely”. No personnel were injured and no significant damage to equipment occurred. The company expects the resumption of mining activities next week.  
  • Alamos Gold Inc. reported Q1 2022 financial results, including figures from its Mexican operations. At Mulatos in Sonora, 613.8 K tonnes of ore were mined, 1.97 M tonnes of waste moved, stacking 1.74 M tonnes @ 0.73 gpt Au, for 40,852 Oz Au stacked. During the period 22,500 Oz Au were produced at cash cost $1,570 per Oz Au, and an AISC of $1,782 per Oz Au. “Mulatos produced 22,500 ounces in the first quarter, lower than the prior year period though consistent with first half 2022 guidance of between 45,000 and 50,000 ounces. Initial production from La Yaqui Grande in the third quarter and higher grades from El Salto are expected drive production substantially higher in the second half of the year to between 85,000 and 95,000 ounces”.
  • Agnico Eagle Mines Ltd. released first quarter 2022 results, including figures from its Mexican operations. At Pinos Altos, in Chihuahua, 384 K tonnes were processed at a rate of 4,267 tonnes per day (tpd), averaging 2.14 gpt Au, to produce 25,170 Oz Au at cash cost $1,078 per Oz Au. At Creston Mascota, residual recovery from the heap leach pad continued, producing 1,006 Oz Au at cash cost $407 per Oz Au with residual leaching to continue throughout the second quarter of 2022. At La India, in Sonora, 1.56 M tonnes were processed at a rate of 17.4 K tpd, averaging 0.57 gpt Au, to produce 21,702 Oz Au at cash cost $820 per Oz Au.

ON FINANCING

  • Sonoro Gold Corp. is to undertake a non-brokered private placement offering to raise up to C$3 M (Cerro Caliche, Sonora).
  • Orla Mining Ltd. announced the refinancing of its US$125 M project finance facility with a new US$150 M secured credit facility which includes a US$100 M term facility and a US$50 M revolving facility through the Bank of Nova Scotia, Bank of Montreal, and Canadian Imperial Bank of Commerce (Camino Rojo, Zacatecas).

ON RESOURCES AND DEVELOPMENT

  • Barksdale Resources Corp. announced additional drill results from its 5,000 m phase I drilling program at the Cerro Verde zone of the San Javier project in Sonora. Highlighted core length intervals in three holes comprise 21 m @ 0.14% Cu, 0.47 gpt Au; 21 m @ 0.61% Cu, 0.28 gpt Au; 6 m @ 0.04% Cu, 1.90 gpt Au; 6 m @ 0.19% Cu, 0.49 gpt Au; 15 m @ 1.48% Cu (including 9 m @ 2.22% Cu); 6 m @ 0.10% Cu, 0.49 gpt Au in one hole; 27 m @ 0.31% Cu; 18 m @ 0.36% Cu; 6 m @ 0.25% Cu; 12 m @ 0.80% Cu; 6 m @ 1.19% Cu; 66 m @ 0.33% Cu in a second hole, 33 m @ 0.29% Cu; 6 m @ 0.25% Cu in the third hole and 15 m @ 0.23% Cu; 3 m @ 0.10% Cu, 0.45 gpt Au; 3 m @ 0.17% Cu, 0.37 gpt Au; 6 m @ 0.29% Cu. “Two additional holes on the western flank of Cerro Verde have intercepted broad zones of mineralization further to the west, while hole SJ21-32 has confirmed copper mineralization in addition to further extending oxide gold”. Next in line is the completion of an initial resource estimate at Cerro Verde and planning of the next exploration phase, which is likely to include targets at La Trinidad and Mesa Grande prospects.
  • Endeavour Silver Corp. reported results from drilling at its Parral project in Chihuahua. Highlighted true width intercepts comprise 0.98 m @ 169 gpt Ag, 3.9% Pb, 2.3% Zn; 3.24 m @ 194 gpt Ag, 0.1% Pb, 0.2% Zn; 5.91 m @ 218 gpt Ag, 0.6% Pb, 1.1% Zn; 2.31 m @ 314 gpt Ag, 0.7% Pb, 0.3% Zn; 1.92 m @ 203 gpt Ag, 0.2% Pb; 1.13 m @ 439 gpt Ag, 0.23% Cu, 0.6% Pb, 0.1% Zn; 3.27 m @ 392 gpt Ag, 0.6% Pb, 2.1% Zn at Veta Colorada Sierra Plata Deep vein; 1.96 m @ 513 gpt Ag, 0.11% Cu, 2.0% Pb, 1.7% Zn; 4.23 m @ 0.14 gpt Au, 331 gpt Ag, 2.8% Pb, 2.2% Zn; 1.84 m @ 178 gpt Ag, 0.9% Pb, 1.0% Zn; 1.25 m @ 0.14 gpt Au, 310 gpt Ag, 1.8% Pb, 2.0% Zn; 3.49 m @ 395 gpt Ag, 0.14% Cu, 2.8% Pb, 2.7% Zn; 1.17 m @ 289 gpt Ag, 0.12% Cu, 3.0% Pb, 2.6% Zn; 1.18 m @ 191 gpt Ag, 0.8% Pb, 1.6% Zn; 2.48 m @ 0.12 gpt Au, 532 gpt Ag, 0.28% Cu, 3.1% Pb, 3.1% Zn at the Veta Colorada El Verde vein zone, and 2.09 m @ 0.61 gpt Au, 55 gpt Ag, 0.13% Cu, 3.0% Pb, 3.5% Zn; 0.48 m @ 0.49 gpt Au, 75 gpt Ag, 5.8% Pb, 4.7% Zn, at the Veta Colorada-San Joaquín vein. “Veta Colorada (including the Sierra Plata and El Verde mines) was a past producing mining operation owned by Grupo Mexico that closed in 1991 due to low silver prices. Mineralization, which occurs in a major silver vein structure that ranges from 1 to 30 metres thick, was mined seven levels down to 300-metre depths below surface in places and was traced for seven kilometres”.
  • Altaley Mining Corp. filed an updated technical report, including a preliminary feasibility study (PFS) for its Tahuehueto project in Durango. The previous report released in March 2021 “contained errors related to net smelter return calculations that under-estimated the PFS economics”, the updated disclosure increases “approximately 30% to the overall economics of the project”. The project envisages 1 K tpd operation with a mine life (LOM) of 10.9 years, to process a total of 3.55 M tonnes of ore @ 2.58 gpt Au, 50.5 gpt Ag, 0.3% Cu, 1.1% Pb, 1.9% Zn, with planned recovery of 87% Au, 85% Ag, 85% Cu, 85% Pb, 68% Zn to have a total net smelter return (NSR) of $645.4 M, LOM total capital cost of $56.9 M, an AISC of $855 per Oz AuEq, an EBITDA LOM of 357.7 M and an IRR of 65.5 with a payback period of 2 years. The project estimate of resources stands at 6.26 M tonnes @ 47 gpt Ag, 2.11 gpt Au, 0.27% Cu, 0.9% Pb, 1.98% Zn containing 9.45 M Oz Ag, 425 K Oz Au, 36.6 M Lb Cu, 123.9 M Lb Pb, 273.3 M Lb Zn in measures and indicated resources and 0.92 M tonnes @ 28.5 gpt Ag, 1.02 gpt Au, 0.15% Cu, 1.16% Pb, 1.96% Zn, containing 0.84 M Oz Ag, 30 K Oz Au, 3.K M Lb Cu, 23.6 M Lb Pb, 39.7 M Lb Zn.
  • Sierra Madre Gold and Silver Ltd. announced results from additional drill holes from the phase 2 program at its Tepic project in Nayarit. Highlighted core length intervals comprise 6.65 m @ 210 gpt Ag, 1.06 gpt Au (including 1.5 m @ 524 gpt Ag, 2.47 gpt Au); 4.5 m @ 264 gpt Ag, 1.85 gpt Au (including 1.5 m @ 740 gpt Ag, 2.37 gpt Au); 3.05 m @ 625 gpt Ag, 1.60 gpt Au; 1.5 m @ 185 gpt Ag, 0.26 gpt Au; 1.5 m @ 110 gpt Ag, 0.23 gpt Au. “Ten of the twelve holes were designed to test up dip or strike extensions of known structures outside of the volumes used in the historical resource estimations”.
  • Chesapeake Gold Corp. released results for the last 13 PQ size infill core drill holes at its Metates project in Durango. The 2021-2022 infill drill campaign totaled 7,485 m, returning 22% higher grades within intrusive hosted mineralization. Highlighted core-length intervals comprise 357 m @ 0.63 gpt Au, 20.5 gpt Ag; 357 m @ 1.00 gpt Au, 31.6 gpt Ag; 39 m @ 0.28 gpt Au, 30.9 gpt Ag; 118 m @ 1.24 gpt Au, 14.4 gpt Ag; 350 m @ 0.74 gpt Au, 23.2 gpt Ag (including 43 m @ 1.17 gpt Au, 8.6 gpt Ag); 69 m @ 0.50 gpt Au, 16.3 gpt Ag; 45 m @ 1.01 gpt Au, 11.5 gpt Ag; 226 m @ 0.95 gpt Au, 16.2 gpt Ag; 9 m @ 2.20 gpt Au, 6.8 gpt Ag; 405 m @ 0.90 gpt Au, 27.6 gpt Ag; 172 m @ 0.41 gpt Au, 25.4 gpt Ag; 45 m @ 0.82 gpt Au, 56.8 gpt Ag; 63 m @ 0.59 gpt Au, 10.6 gpt Ag; 138 m @ 1.38 gpt Au, 11.1 gpt Ag. “The infill drill holes targeted the intrusive-hosted mineralization and are spaced at approximately 50 metre intervals”.
  • SilverCrest Metals Inc. updated on construction at Las Chispas project in Sonora. At the end of Q1 construction at Las Chispas was 95.7%, with plant start-up on track for Q2 2022. Capital costs remain on budget, the power line is to be completed in Q2 and energized in Q3 while rental power generators were commissioned and are operational. A total of 19 .5 Km of underground development have been completed, 2.0 km in the last quarter. “The H1, 2022 exploration focus at Las Chispas is to map and sample unexplored areas and generate new drill targets”. At the end of Q1 2022 SilverCrest had cash and cash equivalents of $152 M, and $30 M available on a $120 M financing facility.
  • Discovery Silver Corp. updated on work at Cordero, in Chihuahua, to the Q4 2021. During the period a PEA on Cordero was completed, outlining a 16-year mine life producing 26 M Oz AgEq per year at an AISC of $12.35 per Oz AgEq. Work for this 2022 includes the pre-feasibility study (PFS), resource expansion and initial drill testing of five targets within the extensive land package owned by Discovery.
  • GR Silver Mining Ltd. announced results from its surface infill drill program at Plomosas, in Sinaloa. The results are part of the phase 1 program in the Plomosas mine area. Some of the highlighted true width results comprise 0.9 m @ 435 gpt Ag, 1.1% Pb, 5.1% Zn; 0.9 m @ 805 gpt Ag, 4.2% Pb, 5.6% Zn; 4.5 m @ 257 gpt Ag, 0.3% Pb, 0.4% Zn; 9.0 m @ 96 gpt Ag, 0.11 gpt Au, 0.2% Pb, 0.4% Zn; 2.8 m @ 176 gpt Ag, 0.3% Pb, 0.4% Zn; 8.5 m @ 410 gpt Ag, 0.30 gpt Au, 1.0% Pb, 1.0% Zn; 6.9 m @ 1,521 gpt Ag, 1.2% Pb, 1.6% Zn; 30.5 m @ 12 gpt Ag, 0.28 gpt Au, 1.0% Pb, 0.8% Zn; 16.0 m @ 289 gpt Ag, 0.1% Pb, 0.1% Zn; 15.7 m @ 238 gpt Ag, 0.1% Pb, 0.1% Zn; 9.5 m @ 372 gpt Ag, 0.1% Pb, 0.1% Zn.  

ON DEALS AND CORPORATE ISSUES

  • No Relevant News.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Quartz-barite-FeOx vein in the Sonoran Desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Third Week of April, 2022. 

Quartz-pyrite-FeOx stockwork veining

By Miguel A Heredia

During the 16th week of the year (April 18th to April 24th, 2022), at least 13 press releases were announced by companies working in Mexico, and three news published by the media, with four reporting resources and developments of their properties, three communicating production and financial results, three disclosing deals and corporate issues, three commenting on Mexican issues, two announcing financial issues, and one informing on exploration results. ON MEXICO ISSUES, Mexico Chamber of Deputies approved the initiative proposed by Andres Manuel López Obrador to reform the mining law on the nationalization of lithium. Fernando Alanís, Pro Secretary of the Confederation of the Industrial Chamber (CONCAMIN), declared that the project to reform the Mining Law to reserve the new concessions for the exploitation of lithium to the State is ambiguous and will add even more uncertainty and concern to investors. Armando Ortega, president of the Mining Task Force, of the Canadian Chamber of Commerce (CanCham) in Mexico, stated that the proposed reform of the Mining Law on lithium would violate Mexico’s commitments in international treaties.  ON EXPLORATION, In Sonora, Reyna Gold announced results from eight holes drilled at its flagship La Gloria project. ON MINING, Americas Gold and Silver reported Q1, 2022 production results from its Cosala mine in Sinaloa. First Majestic announced Q1, 2022 production results from their Mexican mine operations. Sierra Metals reported Q1, 2022 production results from their Bolivar and Cusi mines located in Chihuahua. ON FINANCING, Magna Gold announced completion of its debt settlement with PEAL de Mexico SA de CV (San Francisco mine, Sonora). Tarachi Gold amended the option agreement terms with Minerals de Tarachi (Magistral Mill and tailings project, Durango).  ON RESOURCES AND DEVELOPMENT, Magna Gold announced Maiden Resource Estimate for its Margarita project in Chihuahua. Bear Creek filed a NI 43-101 technical report for its Mercedes mine in Sonora, which includes the Mineral Reserves and Resources as of December 31, 2021. Oroco released results from its ongoing drilling program at its Santo Tomas project in Sinaloa. Sonoro announced results from 15 holes drilled at the Colorado and Guadalupe zones within its Cerro Caliche project in Sonora.  ON DEALS AND CORPORATE ISSUES, Benjamin Hill signed and investor relation agreement and granted incentive stock options to other contractors (Sonora Gold project, Sonora). Gatos Silver received a notice from the New York Stock Exchange as a result of its failure to timely file its annual report (Cerro Los Gatos mine, Chihuahua). Silver Wolf announced the appointment of a new member to its Technical Advisory Board (Ana Maria project, Durango).  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUE

  • Mexico Chamber of Deputies approved the initiative proposed by Andres Manuel López Obrador to reform the mining law on the nationalization of lithium, with 275 votes in favor, 24 against and 187 abstentions. The reform contemplates the authorization of mining concessions with the exception of lithium, which will be administered directly by the Mexican State. López Obrador reiterated that his government will not allow foreigners to exploit lithium even if they have previous concessions. Instead, there will be a State company “to exploit, explore, extract, process, industrialize and sell it”.
  • Fernando Alanís, Pro Secretary of the Confederation of the Industrial Chamber (CONCAMIN), declared that the project to reform the Mining Law to reserve the new concessions for the exploitation of lithium to the State is ambiguous and will add even more uncertainty and concern to investors. Despite the fact that Mexico is among the 10 largest producers worldwide of 17 minerals, being the first in silver and the eighth in gold, the mining industry has lost attractiveness for investment in recent years after the government suspension of mineral concessions, in addition to the high taxes paid by the sector in our country.
  • Armando Ortega, president of the Mining Task Force, of the Canadian Chamber of Commerce (CanCham) in Mexico, stated that the proposed reform of the Mining Law on lithium would violate Mexico’s commitments in international treaties. He argued that minerals cannot be reserved, in this case, for the exclusive exploration and exploitation by the State, without having made the aforementioned reservation in the Treaty between Mexico, the United States and Canada (T-MEC). From his point of view, reservations are areas of exclusion of obligations and commitments, and to do so without prior negotiation is arbitrary and prohibited. The CanCham argued that reserving lithium only for the exploration and exploitation of the Mexican State ex-post is in violation of both the provisions of the World Trade Organization (WTO), as well as those corresponding to all Free Trade Agreements (FTA). ) signed by Mexico.

ON EXPLORATION

  • Reyna Gold Corp., announced results from eight holes totalling 710m of its ongoing 10,000m drilling program conducted at its flagship La Gloria project, Sonora. Drilling highlights include hole LG-22-005 with 3.95 g/t Au over 7.85m, including 19.65 g/t Au over 1.3m; hole LG-22-001 with 0.51 g/t Au over 30.6m; hole LG-22-007 with 8.61g/t Au over 0.6m; and hole LG-22-008 with 4.13 g/t Au over 0.5m.

ON MINING

  • Americas Gold and Silver Corporation reported Q1, 2022 production results from its Cosala mine in Sinaloa. The company produced 127K Oz Ag, 3.9M Lb Pb, and 9.6M Lb Zn. Americas expects to produce 0.7-0.9M Oz Ag, 36-40M Lb Pb, and 13-15M Lb Zn in the full year 2022.
  • First Majestic Silver Corporation announced Q1, 2022 production results from their Mexican mine operations. Figures by  mine are shown in the table below:
  • Sierra Metals Inc., reported Q1, 2022 production results from their Bolivar and Cusi mines located in Chihuahua. At Bolivar mine, the company processed 187,556 tonnes of 0.58% Cu, 11 g/t Ag, and 0.16 g/t Au with metallurgical recoveries of 85.12%,  88.44%, and 63.53% respectively, to produce 2M Lb Cu, 58K Oz Ag, and 592 Oz Au (2,6M Lb CuEq). At Cusi mine, Sierra metals processed 87,924 tonnes of 174 g/t Ag, 0.19 g/t Au, and 0.3% Pb with metallurgical recoveries of 85.37%, 49.94%, and 76.96% respectively, to produce 420K Oz Ag, 274 Oz Au, and 388K Lb Pb (458K Oz AgEq).
  • Sonoro Gold Corp., announced results from 15 holes drilled at the Colorado and Guadalupe zones within its Cerro Caliche project in Sonora. Goal of this drill program is to increase the size and grade of the project´s oxide gold mineralization. Drilling highlights include hole SCR-289 with 0.56 g/t Au over 7.62m, including 1.38 g/t Au over 1.52m; hole SCR-293 with 0.87 g/t Au over 12.19m, including 3.62 g/t Au over 1.52m, plus 0.92 g/t Au over 6.10m, including 2.22 g/t Au over 1.53m, plus 2.26 g/t Au over 7.62m, including 10.25 g/t Au over 1.53m; hole SCR-296 with 0.67 g/t Au over 7.62m, including 1.83 g/t Au over 1.53m, plus 0.42 g/t Au over 6.1m, including 1 g/t Au over 1.52m; hole SCR-299 with 9.02 g/t Au over 10.67m, including 15.56 g/t Au over 6.10m; and hole SCR-301 with 0.49 g/t Au over 10.67m, including 1.79 g/t Au over 1.53m.

ON FINANCING

  • Magna Gold Corp., announced completion of its debt settlement with PEAL de Mexico SA de CV. the company has issued an aggregate of 1,660,132 common shares in the capital of the company at a deemed price of $0.76 per Common Share to PEAL de Mexico S.A. de C.V., in settlement of outstanding debt in the aggregate amount of USD 1M (San Francisco mine, Sonora).
  • Tarachi Gold Corp., amended the option agreement terms with Minerales de Tarachi , resulting in a significant reduction in future cash obligations. A comparison of the original and amended option terms can be found in the table below:

ON RESOURCES AND DEVELOPMENT

  • Magna Gold Corp., announced Maiden Resource Estimate for its Margarita project in Chihuahua. Indicated resources using a cut-off of 75 g/t Ag are 1.854M tonnes of 205 g/t Ag to contain 12.22M Oz Ag and inferred resources are 0.45M tonnes of 153 g/t Ag to contain 2.24M Oz Ag. The deposit includes a well defined high grade core of 0.78M tonnes of 332 g/t Ag for a total of 8.32M Oz Ag contained. Magna reported that mineralization at Margarita is open in all directions and at depth. It also informed that the drill program discovered and confirmed multiple parallel vein systems most notable of which were the Juliana and Caido veins. The company plans to conduct follow-up drilling to define additional resources in these parallel vein systems. The current resource estimate only includes mineralization in the main Margarita vein.
  • Bear Creek Mining Corporation filed a NI 43-101 technical report for its Mercedes mine in Sonora, which includes an independent audit of the Mineral Reserves and Mineral Resources as of December 31, 2021. Measured + Indicated Mineral Resources (exclusive of Mineral Reserves) are 2.98M tonnes of 4 g/t Au and 36 g/t Ag to contain 384K Oz Au and 3.5M Oz Ag; and Inferred Resources of 884K tonnes of 4.5 g/t Au and 41 g/t Ag to contain 128K Oz Au and 1.17M Oz Ag. Proven + Probable Mineral Reserves are 2.2M tonnes of 3.75 g/t Au and 29 g/t Ag to contain 267K Oz Au and 2.1M Oz Ag.
  • Oroco Resource Corp., released results from its ongoing drilling program conducted on the North Zone within its Santo Tomas project in Sinaloa. Drilling highlights include hole N010 with 0.36% Cu, 0.011% Mo, 0.03 g/t Au, and 2 g/t Ag (0.42% CuEq) over 311m; hole N011 with 0.39% Cu, 0.007% Mo, 0.04 g/t Au, and 3 g/t Ag (0.45% CuEq); and hole N012 with 0.35% Cu, 0.015% Mo, 0.02 g/t Au, and 3 g/t Ag (0.41% CuEq) over 296.9m. “The 2021-2022 drill program in the North Zone has now spanned 900 m of strike length along the core of the mineral deposit”. Holes N013 to N016 in the North Zone and B001 to B004 in the Brasiles Zone are completed and constitute an additional 6,205 m of drilling from which assays have yet to be generated.  To date, the 20 drill holes that have been completed at Santo Tomas (16 in the North Zone) total 14,838 m of diamond drilling, mainly in HQ core size.

ON DEALS AND CORPORATE ISSUES

  • Benjamin Hill Mining Corp., signed and investor relation agreement with Pacificquest Communications Corp., for a term of one year. In connection with the agreement, the company granted 200K options exercisable at $0.50 per common share having a term of 3 years and subject to vesting of 25% of the options each calendar quarter over a one-year period.   The company also granted 100K incentive stock options to other contractors exercisable at $0.50 per common share having a term of 3 years and subject to vesting of 25% of the options each calendar quarter over a one-year period.   (Sonora Gold project, Sonora).
  • Gatos Silver Inc., received a notice from the New York Stock Exchange (NYSE) as a result of its failure to timely file its annual report. “In accordance with Section 802.01E of the NYSE Listed Company Manual, the NYSE will closely monitor the status of the Company’s late filing and related public disclosures for up to six months from the date of the filing delinquency”  (Cerro Los Gatos mine, Chihuahua).
  • Silver Wolf Exploration Ltd., announced the appointment of a new member to its Technical Advisory Board (Ana Maria project, Durango).

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, quartz-py-FeOx stockwork veining in an intrusive in Guanajuato, Mexico.  Photo by Miguel A Heredia.

The Mining and Exploration News in Mexico: Highlights on the Second Week of April, 2022

By Jorge Cirett

During the 15th week of the year (April 11th to April 17th, 2022), at least 30 press releases were announced by companies working in Mexico. To note, nine companies posted exploration advances on their properties, six released first quarter 2022 reports, one updated on project work, six reported drill results on their advanced properties and one signed an exploitation agreement on a small scale mine. ON MEXICO ISSUES, Mexico’s president Andrés M. López Obrador warned he will change the mining law to make a government’s monopoly on lithium, if his Energy bill is not approved. According to Miner Deck, three of the top ten gold intercepts on the second week of April were drilled by companies working in Mexico. Six of the top ten silver intercepts were by companies in Mexico. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Infinitum Copper released trench results at La Adelita; Silver Spruce had the preventive report approved for drilling at Diamante; Reyna Gold started drilling at La Gloria; Aztec Minerals finished the phase 2 RC drill campaign at Cervantes. In Chihuahua, Reyna Silver released drill results from Batopilas. In Nayarit, Sierra Madre Gold and Silver released drilling results from Tepic. In Guerrero, Pantera Silver reported drill results from Nuevo Taxco. In Zacatecas, Defiance Silver completed drilling at the Lucita prospect in its Zacatecas Silver project. ON MINING, Endeavour Silver, Fortuna Silver, Avino Silver, Golden Minerals, Great Panther and Torex Gold released first quarter 2022 reports. ON FINANCING, No Relevant News.  ON RESOURCES AND DEVELOPMENT, Prime Mining released drill results from Los Reyes, in Sinaloa. Silver Tiger Metals provided drilling results for El Tigre, in Sonora. Silverton Metals released RC drilling results from Peñasco Quemado, in Sonora. Vizsla Silver reported drilling results from the Animas vein corridor at Panuco, in Sinaloa. Endeavour Silver informed on drill results from the El Curso property at its Guanaceví mine in Durango. Fabled Silver Gold is planning phase 2 drilling at Santa Maria, in Chihuahua. SilverCrest Metals announced drill results from Picacho, in Sonora. ON DEALS AND CORPORATE ISSUES, Galore Resources entered into an exploitation agreement with Oztoc Metal Corp for mining at the Duraznillo mine in Zacatecas.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Mexico’s president Andrés M. López Obrador, warned that, “if Congress does not approve a constitutional reform on electrical matters next week….. he will push for a rewrite of the country’s Mining Law”. He stated that modifying the Mining Law requires simple majority (which he has), “to make lithium a mineral that belongs to the nation, to the Mexicans”.
  • According to Miner Deck, three of the top ten gold intercepts on the second week of April were from companies working in Mexico: Prime Mining (fifth) with 4.23 m @ 52.08 gpt Au at Los Reyes, in Sinaloa; Tocvan Ventures (eighth) with 116.9 m @ 1.2 gpt Au at Pilar, in Sonora, and Silver Crest Metals (tenth) with 4.7 m @ 20.86 gpt Au at Picacho, in Sonora.
  • According to Miner Deck, six of the top ten silver intercepts on the second week of April were by companies in Mexico: Endeavour Silver (third) with 7.46 m @ 2,067 gpt Ag at Guanaceví, in Durango; Prime Mining (fourth) with 4.3 m @ 1,008 gpt Ag at Los Reyes in Sinaloa; Defiance Silver (sixth) with 3.33 m @ 709 gpt Ag, Vizsla Silver (seventh) with 2.4 m @ 959 gpt Ag at Panuco, in Sinaloa; Silver Tiger Metals (nineth) with 23.8 m @ 95 gpt Ag at El Tigre in Sonora; Sierra Madre Gold and Silver (tenth) with 2.55 m @ 878 gpt Ag at Tepic.

ON EXPLORATION

  • Silver Spruce Resources Inc. announced the approval by SEMARNAT (Environmental authority) of the preventive report for drilling at the 1,057 ha Diamante property in Sonora. The program envisages 2,000 m of reverse circulation drilling starting in May, on the La Prieta, Aguaje, El Chon, El Chon Oeste, La Olla, Calton, El Cumbro, and Mezquite-Raizudo targets.
  • Sierra Madre Gold and Silver Ltd. released results from seven drill holes of the phase II drilling program at the Tepic project in Nayarit. “Four of the holes are up-dip extensions from the previously defined historic resource area while three are strike extensions”. Highlighted core-length intercepts comprise 7.05 m @ 125 gpt Ag, 0.90 gpt Au; 3.2 m @ 194 gpt Ag, 1.36 gpt Au; 12.1 m @ 146 gpt Ag, 0.64 gpt Au (including 1.5 m @ 489 gpt Ag, 0.77 gpt Au); 2.25 m @ 48 gpt Ag, 0.90 gpt Au; 1.5 m @ 7 gpt Ag, 1.89 gpt Au; 4.6 m @ 156 gpt Ag, 1.20 gpt Au; 4.8 m @ 106 gpt Ag, 1.48 gpt Au; 2.55 m @ 878 gpt Ag, 3.04 gpt Au; 1.05 m @ 11 gpt Ag, 2.66 gpt Au. True widths estimated at 90% of core-length intervals.
  • Reyna Gold Corp. reported channel and dump sample results from the Sombrero target at its La Gloria property in Sonora. Highlighted results comprise 8.68 gpt Au, 0.56% Cu, 64 gpt Ag, 0.4% Pb, 0.1% Zn; 8.17 gpt Au, 0.34% Cu, 49 gpt Ag, 0.1% Pb; 2.84 gpt Au, 0.17% Cu, 36 gpt Ag, 0.3% Pb, 0.2% Zn. “Reyna has started drilling at El Sombrero and expanded the number of planned holes from an initial 10 to now 22 holes in the El Sombrero target as part of its ongoing 10,000-meter drill program, which now comprises of a total of 36 holes”.
  • Pantera Silver Corp. reported initial drill results from the Nuevo Taxco project in Guerrero. Highlighted true width (tw) results comprise 0.55 m @ 98 gpt Ag; 1.15 m @ 0.10 gpt Au, 48 gpt Ag; 1.6 m @ 98 gpt Ag; 1.3 m @ 96 gpt Ag; 0.8 m @ 82 gpt Ag; 1.85 m @ 0.09 gpt Au, 225 gpt Ag on the Negrilla vein and 5.05 m @ 0.30 gpt Au, 108 gpt Ag; 1.75 m @ 0.42 gpt Au, 7 gpt Ag; 1.00 m @ 0.41 gpt Au, 14 gpt Ag; 0.86 m @ 1.86 gpt Au, 35 gpt Ag; 1.25 m @ 0.51 gpt Au, 9 gpt Ag; 4.29 m @ 0.78 gpt Au, 9 gpt Ag on the Creston de Maria vein. This drilling campaign tested 630 m along strike on two veins of 21 in the property, with a combined longitude of more than 11 km.
  • Tocvan Ventures Corp. announced results from one core hole at its Pilar property in Sonora. Highlighted core length intervals comprise 116.85 m @ 1.19 gpt Au, 7 gpt Ag (including 48.05 m @ 2.81 gpt Au, 9 gpt Ag, which includes 10.20 m @ 12.04 gpt Au, 23 gpt Ag). This core hole is a twin form a reverse circulation hole that returned 94.6 m @ 1.6 gpt Au. Nine holes totalling 1,562 m have been completed of phase III drilling.
  • Reyna Silver Corp. released results from 19 holes totalling 7,964 m of its 10,000 m stage 1 drill program at Batopilas, in Chihuahua. Highlighted core length intervals comprise 9.35 m @ 3.38 gpt Au (including 3.65 m @ 8.18 gpt Au, which includes 1.65 m @ 12.75 gpt Au); 1.45 m @ 6.87 gpt Au (including 0.35 m @ 18.95 gpt Au); 5.40 m @ 5.68 gpt Au (including 3.65 m @ 8.18 gpt Au); 0.75 m @ 9.55 gpt Au; 1.8 m @ 4.06 gpt Au. Reyna Silver is doing more exploration work to define the extent of gold rich versus silver rich mineralization, and their relationship.
  • Aztec Minerals Corp. and JV partner Kootenay finished the phase 2 reverse circulation program with 26 holes totaling 4,649 m at Cervantes, in Sonora. Highlighted hole length intervals comprise 88.41 m @ 1.10 gpt Au (including 15.24 m @ 3.96 gpt Au); 108.2 m @ 0.37 gpt Au; 45.7 m @ 0.45 gpt Au, 167.20 m @ 1.00 gpt Au, (including 24.4 m @ 4.25 gpt Au); 136.8 m @ 1.49 gpt Au (including 51.68 m @ 3.42 gpt Au); 100.32 m @ 0.75 gpt Au; 12.2 m @ 0.92 gpt Au; 7.6 m @ 0.68 gpt Au; 54.72 m @ 0.88 gpt Au; 7.6 m @ 0.74 gpt Au; 86.64 m @ 0.50 gpt Au; 138.32 m @ 0.53 gpt Au; 132.2 m @ 0.43 gpt Au; 9.1 m @ 0.46 gpt Au; 152.4 m @ 0.97 gpt Au (including 33.5 m @ 2.05 gpt Au); 54.9 m @ 0.48 gpt Au.  The focus of the program was to “better define the open pit, heap leach gold potential of the porphyry oxide cap at California, evaluate the potential for deeper copper-gold porphyry sulfide mineralization underlying the oxide cap, test for north and west extensions of the California mineralization at California North and Jasper, and assess the breccia potential of Purisima East”.
  • Infinitum Copper Corp. released trenching results from La Adelita project in Sonora-Sinaloa. Trench 2 returned a true thickness of 9.15 m @ 16.45 gpt Au, 1.90% Cu, 3 gpt Ag. Three magneto-telluric lines have been completed at Las Trancas, with interpreted results pending. Surface samples from Andalucia and Cerro Potreritos have returned up to 5.49 gpt Au, 1.34% Cu, 139 gpt Ag. “Additional surface sampling at Pericos confirmed the presence of skarn mineralization on the west limb of the Cerro Grande anticline, 800 m to the west of the Cerro Grande zone” with samples up to 1.38% Cu, 77 gpt Ag, 1.31 gpt Au.
  • Defiance Silver Corp. informed in the completed 4,750 m drill program at the 2,674 ha Lucita property, on Defiance’s Zacatecas project in Zacatecas. This is the first drilling in the central Lucita asset currently under option from Pan American Silver Corp.. Highlighted core length intervals comprise 3.33 m @ 0.06 gpt Au, 709 gpt Ag (including 1.15 m @ 0.11 gpt Au, 1,604 gpt Ag); 0.94 m @ 0.11 gpt Au, 107 gpt Ag; 2.73 m @ 0.16 gpt Au, 102 gpt Ag; 3.48 m @ 514 gpt Ag (including 1.9 m @ 940 gpt Ag); 1.05 m @ 0.19 gpt Au, 317 gpt Ag; 4.09 m @ 0.10 gpt Au, 137 gpt Ag (including 0.6 m @ 0.28 gpt Au, 618 gpt Ag); 1.51 m @ 0.76 gpt Au, 192 gpt Ag. “The dominant silver mineralization consists of pyrargyrite-proustite, acanthite, and argentite hosted in polyphase quartz and calcite veins, breccias, and stockwork veinlet zones”.

ON MINING

  • Endeavour Silver Corp. reported first quarter 2022 production. At Guanceví, in Durango, 101.2 K tonnes were produced at 1,125 tonnes per day (tpd) grading 407 gpt Ag, 1.19 gpt Au, recovering 85.6% Ag, 89.8% Au to produce 1.13 M Oz Ag, 3,477 Oz Au. At Bolañitos, in Guanajuato, 104.9 K tonnes were produced @ 61 gpt Ag, 1.73 gpt Au, recovering 85.9% Ag, 89.6% Au to produce 181.1 K Oz Ag, 5,218 Oz Au.
  • Fortuna Silver Mines Inc. released production results for the first quarter 2022, including figures from its operations in Mexico. In San Jose, in Oaxaca, 250.9 K tonnes were milled at a rate of 2,918 tpd, grading 185 gpt Ag, 1.13 gpt Au, recovering 91% Ag, 90% Au to recover 1.36 M Oz Ag, 8,239 Oz Au.
  • Avino Silver & Gold Mines Ltd. reported first quarter 2022 production results. At Avino, in Durango, 111.1 K tonnes were milled, averaging 50 gpt Ag, 0.29 gpt Au, 0.56% Cu, recovering 92% Ag, 77% Au, 89% Cu, to produce 164.4 K Oz Ag, 801 Oz Au, 1.22 M Lb Cu (457.8 K Oz AgEq). During the quarter the acquisition of La Preciosa project was completed, and drill results from La Potosina of up to 2.95 m @ 668 gpt AgEq were released. “Avino is completing its conversion to dry stack tailings”.
  • Golden Minerals Co. reported production for the first quarter 2022. At Rodeo, in Durango, 203.6 K tonnes were mined, 10.9 K tonnes stockpiled awaiting process, 88.6 K tonnes in low grade stockpiles 47.4 K tonnes processed at a rate of 527 tpd, grading 3.1 gpt Au, 11.6 gpt Ag, recovering 75.4% Au, 82.8% Ag, to produce 3,608 Oz Au, 13.9 K Oz Ag (3,787 Oz AuEq).
  • Great Panther Mining Ltd. reported production first quarter 2022 results, including figures from its Mexican operations. At Topia, in Durango, 16.3 K tonnes were mined, 16.2 K tonnes milled, averaging 362 gpt Ag, 0.84 gpt Au, recovering 92% Ag, 64% Au, to produce 173.7 K Oz Ag, 282 Oz Au, 365 tonnes Pb, 525 tonnes Zn (3,876 Oz Au Eq). The Guanajuato Mine Complex is currently in care and maintenance, while waiting for the CONAGUA (water use authority) tailings dam permit.
  • Torex Gold Resources Inc. released production results for Q1 2022. At its Limon-Guajes mine in Guerrero, 12,600 tpd were processed, 1,260 tpd mined from underground, 11,780 tpd mined by open pit, to produce 112,440 Oz Au during the period.  

ON FINANCING

  • No Relevant News.

ON RESOURCES AND DEVELOPMENT

  • Prime Mining Corp. released drill results for 26 holes at its Los Reyes project in Sinaloa. A second high-grade ore shoot and the deepest mineralization to date was identified in Guadalupe East, with bonanza-grades found in 550 m step out from the inferred open pit boundary. True width highlighted results comprise 4.0 m @ 52.0 gpt Au, 1,008 gpt Ag; 0.6 m @ 7.62 gpt Au, 1,970 gpt Ag; 18.3 m @ 1.38 gpt Au, 39 gpt Ag; 14.1 m @ 1.12 gpt Au, 38 gpt Ag; 2.5 m @ 4.09 gpt Au, 103 gpt Ag; 7.5 m @ 1.47 gpt Au, 40 gpt Ag; 1.9 m @ 3.72 gpt Au, 370 gpt Ag; 1.0 m @ 1.57 gpt Au; 0.6 m @ 1.19 gpt Au, 9 gpt Ag; 2.8 m @ 1.38 gpt Au, 63 gpt Ag.
  • Silver Tiger Metals Inc. provided drilling results from its El Tigre project in Sonora. The seven drill holes targeted down dip under El Tigre historic workings at the North end, highlighted core-length intervals comprise 27.8 m @ 0.08 gpt Au, 18 gpt Ag; 1.0 m @ 0.09 gpt Au, 158 gpt Ag; 26 m @ 0.06 gpt Au, 25 gpt Ag; 2.1 m @ 0.23 gpt Au, 250 gpt Ag; 10.2 m @ 1.63 gpt Au, 6 gpt Ag (including 1.5 m @ 10.7 gpt Au, 23 gpt Ag); 1.2 m @ 0.04 gpt Au, 104 gpt Ag; 0.5 m @ 1.69 gpt Au, 101 gpt Ag; 23.8 m @ 0.19 gpt Au, 95 gpt Ag (including 2.3 m @ 0.94 gpt Au, 542 gpt Ag); 0.5 m @ 2.21 gpt Au, 1,200 gpt Ag. Underground rehabilitation is progressing at the historic El Tigre mine, with 215 m completed to date.
  • Silverton Metals Corp. released results from its step-out reverse circulation drilling at Peñasco Quemado, in Sonora. Highlighted hole-length intervals comprise 6.75 m @ 0.10 gpt Au, 46 gpt Ag; 1.00 m @ 75 gpt Ag, 0.37% Cu; 0.97 m @ 69 gpt Ag, 0.42% Cu; 5.10 m @ 27 gpt Ag; 11.30 m @ 54 gpt Ag (including 0.95 m @ 438 gpt Ag, 0.62% Cu); 3.74 m @ 47 gpt Ag; 11.85 m @ 17 gpt Ag; 19.70 m @ 27 gpt Ag; 5.30 m @ 46 gpt Ag; 54.10 m @ 23 gpt Ag; 6.45 m @ 73 gpt Ag; 7.45 m @ 26 gpt Ag; 10.30 m @ 31 gpt Ag; 5.60 m @ 42 gpt Ag. A total of 2,105 meters were drilled in nine holes.
  • Vizsla Silver Corp. reported results for 19 holes targeting the Animas vein corridor at its Panuco project in Sinaloa. Highlighted true width intercepts comprise 5.84 m @ 39 gpt Ag, 0.48 gpt Au, 0.2% Pb, 1.9% Zn; 3.09 m @ 84 gpt Ag, 1.30 gpt Au, 0.2% Pb, 0.3% Zn; 5.25 m @ 85 gpt Ag, 0.50 gpt Au; 1.14 m @ 121 gpt Ag, 2.21 gpt Au, 1.9% Pb, 3.2% Zn; 4.71 m @ 391 gpt Ag, 2.23 gpt Au, 1.5% Pb, 1.1% Zn; 7.13 m @ 39 gpt Ag, 1.16 gpt Au, 0.1% Pb, 0.8% Zn; 4.62 m @ 29 gpt Ag, 1.24 gpt Au, 0.2% Zn; 1.10 m @ 195 gpt Ag, 1.17 gpt Au; 5.66 m @ 124 gpt Ag, 0.98 gpt Au, 0.4% Pb, 1.3% Zn; 1.14 m @ 312 gpt Ag, 1.23 gpt Au, 0.1% Pb, 0.2% Zn; 1.00 m @ 622 gpt Ag, 2.75 gpt Au; 1.26 m @ 787 gpt Ag, 3.65 gpt Au, 0.2% Zn. Highlighted core length intervals comprise 2.40 m @ 959 gpt Ag, 5.97 gpt Au; 2.10 m @ 486 gpt Ag, 2.68 gpt Au; 0.95 m @ 113 gpt Ag, 4.85 gpt Au, 0.1% Pb, 0.3% Zn.
  • Endeavour Silver Corp. informed on high-grade underground drill results from El Curso property at its Guanceví mine in Durango. Highlighted true width results from the underground program comprise 2.09 m @ 0.92 gpt Au, 296 gpt Ag; 4.22 m @ 0.93 gpt Au, 428 gpt Ag; 7.26 m @ 0.84 gpt Au, 324 gpt Ag; 7.23 m @ 0.63 gpt Au, 323 gpt Ag; 1.34 m @ 1.30 gpt Au, 498 gpt Ag; 4.18 m @ 2.63 gpt Au, 857 gpt Ag; 7.46 m @ 5.83 gpt Au, 2,067 gpt Ag (including 0.47 m @ 56.50 gpt Au, 22,562 gpt Ag); 7.57 m @ 1.89 gpt Au, 975 gpt Ag; 6.26 m @ 0.60 gpt Au, 354 gpt Ag; 1.80 m @ 1.33 gpt Au, 814 gpt Ag; 13.12 m @ 0.74 gpt Au, 214 gpt Ag; 7.99 m @ 1.52 gpt Au, 262 gpt Ag; 1.87 m @ 2.36 gpt Au, 807 gpt Ag. El Curso property, covers the Santa Cruz vein “between Endeavour’s previously mined Porvenir Cuatro orebody and the Milache orebody currently being mined”.
  • Fabled Silver Gold Corp. is currently planning the phase 2 diamond drill program at Santa Maria, in Chihuahua. The Santa Maria veins were found in phase 1 drilling to be “mineralized breccias at the contacts or within diorite dikes”, which has led to the definition of five mineral/structural trends to pursue.
  • SilverCrest Metals Inc. announced results from drilling at El Picacho property in Sonora. This release covers 56,780 m in 247 holes (of a total to date of 68,200 m in 289 holes by SilverCrest). The focus of this campaign was to redefine and expand the Picacho Main vein historical resource of 364.4 K tonnes @ 8.54 gpt Au, 40 gpt Ag, containing 100 K Oz Au, 473 K Oz Ag defined in 2010 with only 14 holes and underground workings. The Picacho Main vein is 550 m long, 300 min depth, with an estimated true width of 2.4 m @ 5.42 gpt Au, 24 gpt Ag (Best tw intercept: 3.7 m @ 20.86 gpt Au, 73 gpt Ag); The Picacho Hanging Wall vein is 500 m long, 200 m in depth, 1.5 m in width @ 4.38 gpt Au, 38 gpt Ag (Best tw intercept: 1.3 m @ 42.3 gpt Au, 542 gpt Ag); The Picacho Hanging Wall 2 vein is 200 m long, 135 m in depth, 0.8 m in width @ 6.32 gpt Au, 46 gpt Ag (Best tw intercept: 2.8 m @ 11.9 gpt Au, 21 gpt Ag); The Picacho Hanging Wall 3 vein is 80 m long, 100 m in depth, 0.5 m in width @ 8.7 gpt Au, 450 gpt Ag (Best tw intercept: 0.8 m @ 10.71 gpt Au, 7 gpt Ag); The Picacho Footwall vein is 100 m long, 175 m in depth, 1.3 m in width @ 9.45 gpt Au, 16.1 gpt Ag (Best tw intercept: 1.7 m @ 37.09 gpt Au, 32 gpt Ag).  

ON DEALS AND CORPORATE ISSUES

  • Galore Resources Inc. entered into an exploitation agreement between Oztoc Metal Corp. S. de R.L. de C.V. to reengage the mining activities that the previous tenant, URBYASA was conducting at the Duraznillo ranch in Zacatecas. The five-year contract includes the Los Gemelos I and Duende 7 mining concessions. Galore will receive 30% of gross revenues and OZTOC is to keep 70% for development, production and profit from the Duraznillo mine.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Banded quartz-barite vein in the Sonoran desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Fifth Week of March, 2022

By Jorge Cirett

During the 13th week of the year (March 28th to April 3rd, 2022), at least 32 press releases were announced by companies working in Mexico. To note, five companies posted exploration advances on their properties, three released quarterly and full year 2021 reports, one informed on the end of a strike and one declared commercial production. One announced the granting of stock options, three updated on project work, three reported drill results on their advanced properties, two released new resource estimates. ON MEXICO ISSUES, three of the top eight silver intercepts on the fifth week of March were obtained by companies working in Mexico. For the quarter, four of the top ten silver intercepts were from projects in Mexico. ON EXPLORATION, in Sonora, Tocvan Ventures provided drill results on the Pilar project; Infinitum Copper commenced drilling at Adelita; Silver Spruce had the preventive report approved for drilling at Jackie. In Zacatecas, Galore Resources informed on drilling at Dos Santos project. In Nayarit, Sierra Madre Gold and Silver released additional trenching results at La Tigra. ON MINING, SilverCrest Metals, Excellon Resources and Mag Silver released quarterly and full year 2021 reports. Excellon Resources informed the strike on its Platosa mine in Durango was terminated. Orla Mining initiated commercial production at Camino Rojo, in Zacatecas. ON FINANCING, Inomin Mines granted stock options to director and a contractor.  ON RESOURCES AND DEVELOPMENT, Mexus Gold informed partner company Irmex is modelling the Mabel deposit in Sonora. Solaris Resources is preparing exploration work at La Verde, in Michoacan. Vizsla Silver reported drill results at Panuco, in Sinaloa. Prime Mining delivered drill results from Los Reyes, in Sinaloa. Discovery Silver released results from 17 holes at Cordero, Chihuahua. Torex Gold presented results of the updated technical report on the Morelos Complex in Guerrero. First Majestic Silver presented 2021 resource estimates for its properties. Silver Valley Metals updated on its potassium-lithium salars in Zacatecas and San Luis Potosi. ON DEALS AND CORPORATE ISSUES, Tamino Minerals is triggering a securities fraud probe. Huntington Exploration acquired the El Grande project in Nayarit. Xali Gold ratified the agreement on the tailings with El Oro Municipality in Estado de Mexico. Prime Meridian Resource updated on the purchase of La Verde project in Sonora.  ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Of the top eight silver intersects released on the fifth week of March, three were by companies working in Mexico, according to Miner Deck. Discovery Silver was first with 45.6 m @ 125 gpt Ag at Cordero in Chihuahua, Vizsla Silver was sixth 2.75 m @ 322 gpt Ag at Panuco, in Sinaloa, and Prime Mining was eighth with 42.7 m @ 43 gpt Ag at Los Reyes, in Sinaloa.
  • According to Miner Deck, of the top ten silver intersects released on Q1 2022, four were by companies working in Mexico. Pan American Silver was fourth with 322.9 m @ 64 gpt Ag at La Colorada Skarn in Zacatecas, GoGold Resources was fifth with 25.7 m @ 776 gpt Ag at Los Ricos, in Jalisco; Silver Tiger was eight with 25.9 m @ 687 gpt Ag at El Tigre, in Sonora and Radius Gold was tenth with 96 m @ 167 gpt Ag at Amalia, in Chihuahua.

ON EXPLORATION

  • Sierra Madre Gold and Silver Ltd. announced additional results from the ongoing trenching program at La Tigra, in Nayarit. Highlighted intervals comprise 6.1 m @ 0.98 gpt Au; 24.2 m @ 1.59 gpt Au (including 4.7 m @ 5.58 gpt Au); 22.9 m @ 1.78 gpt Au, 6 gpt Ag; 6.6 m @ 3.42 gpt Au.
  • Galore Resources Inc. provided a drilling update of Los Gemelos, at its Dos Santos project in Zacatecas. Three holes have been finished on the San José area, showing recrystallized limestone, dikes and sills of intermediate composition with phyllic and argillic alteration, multiple bodies with hydroxides, hematite, calcite, and local sulfides and quartz, and hydrothermal breccia cemented by calcite and iron oxides. ”The mineralization is repetitive that is concentrated as veins, veins and stratabound bodies, hosted between the carbonate marine sedimentary sequence and the cupula of an unexhumed pluton….”.
  • Tocvan Ventures Corp. provided results for the three first holes of the phase III drilling campaign at Pilar, in Sonora. Highlighted drill-length intervals comprise 33.3 m @ 0.63 gpt Au (including 21.7 m @ 0.94 gpt Au) and 5.5 m @ 0.64 gpt Au, 10 gpt Ag in core holes and 6.1 m @ 0.51 gpt Au, 8 gpt Ag in a reverse circulation hole.
  • Infinitum Copper Corp. commenced diamond drilling at La Adelita project in Sonora and Sinaloa. The program envisages a total of 9,000 m of drilling in two phases, with phase I consisting of 3,000 m targeting areas within and adjacent to the existing mineralized zones, and some drilling on new zones like Cerro Grande footwall, Pericos and Las Trancas Sur. A magneto-telluric geophysical is underway, and is expected to aid in targeting.
  • Silver Spruce Resources Inc. informed the approval by SEMARNAT (environmental agency) of the preventive report for the 1,130 hectares Jackie project in Sonora. “Exploration plans were submitted for a 500-1,000-metre trenching program followed by an initial 1,000-2,000-metre reverse circulation drill program”.

ON MINING

  • SilverCrest Metals Inc. reported the financial results for the year 2021. At the end of the year construction progress at Las Chispas in Sonora was 86.2%, slightly ahead of schedule. Since 2019 over 17.5 km of underground development has been completed at Las Chispas, and during last year 114,143 m of drilling were completed, mostly as infill holes. At El Picacho, 40 km north of Las Chispas, 80,700 m of drilling were completed in 2021. At the end of the period the SilverCrest held cash and cash equivalents of $176.5 M, and $30 M remaining under a $120 M financing facility.
  • Excellon Resources Inc. posted financial results for Q4 and full year 2021. During the year, 85.5 K tonnes were mined, 86.0 K tonnes milled @ 494 gpt Ag, 5.01% Pb, 6.03% Zn, recovering 90.5% Ag, 78.5% Pb, 83.7% Zn, to produce 1.22 M Oz Ag, 7.61 M Lb Pb, 9.01 M Lb Zn (2.02 M Oz AgEq). Cash cost was $13.01 per Oz Ag and AISC $26.78 per Ag Oz. “current mining is entering an area of the deposit that steepens significantly, with fewer vertical-tonnes-per-metre than historically encountered…. the Company currently expects to wind down operations at Platosa during Q3 2022, subject to results from ongoing exploration programs” (Note by editor.- Although high-grade, Platosa seems to be at the end of its mine life due to a combination of deeper ores and high de-watering costs).
  • Excellon Resources Inc. announced on April 1, 2022 the resolution of the labor action initiated on March 7 by the Sindicato Nacional Minero Metalúrgico (Miner’s Union) at its Platosa mine in Durango.
  • Mag Silver Corp. presented its financial results for year 2021. The 4,000 tpd Juanicipio (56% Fresnillo PLC, 44% Mag Silver) plant was delivered to plant commissioning late in Q4, but due to regulatory approval commissioning was extended to Q2 2022. It is expected the plant to be working 85% to 90% of capacity by late 2022. Processing of mineralized headings from Juanicipio continues at the nearby Fresnillo plant and has begun to be processed at the Saucito facilities; Processing rates have increased from 38 K tonnes per month in Q4 to 45 K tonnes on the first two months of 2022. During 2021, 251.9 K tonnes from Juanicipio were processed, averaging 470 gpt Ag, to produce 2.97 M Oz Ag, 5,975 Oz Au, 1,065 tonnes Pb, 1,519 tonnes Zn. According to Juanicipio operator, Fresnillo PLC, the project construction is expected to be delivered on budget at $440 M. As of end of 2021 Mag held cash of $56.7 M.
  • Orla Mining Ltd. declared commercial production at the Camino Rojo Oxide mine in Zacatecas. “The declaration of commercial production at Camino Rojo comes after a successful commissioning period which included the ramp up of mining and processing to sustained throughput levels in excess of 75% of designed nameplate capacity of 18,000 tonnes per day”.

ON FINANCING

  • Inomin Mines Inc. informed 350 K stock options were granted to director and a contractor of the company (La Gitana, Oaxaca).

ON RESOURCES AND DEVELOPMENT

  • Mexus Gold US. informed that its partner at the Mabel project in Sonora, Irmex, “has been working on modelizing the Mexus data including the 611 core and RC holes previously carried out by Pacific Comox before acquisition by Mexus Gold”. To date Irmex has calculated a volume of 184.4 K tonnes @ 1.15 gpt Au, 76 gpt Ag, but work continues to increase the resource. Signature of the definitive agreement is planned for late April 2022.
  • Solaris Resources Inc. is planning more exploration work to advance its La Verde project (60% Solaris, 40% Teck) in Michoacan. The work envisaged includes the possible extensions of higher-grade ore. A spin-off company, Solaris Exploration, probably will continue with the work on La Verde, while Solaris Resources focus in Ecuador.
  • Vizsla Silver Corp. reported results from 53 holes on the Napoleon vein corridor at Panuco, in Sinaloa. The mineralized zone has been extended 350 m, which takes the total length of the corridor to 2,500 m. Highlighted true-width intervals comprise 4.00 m @ 55 gpt Ag, 20.38 gpt Au, 0.2% Pb, 3.0% Zn and 9.42 m @ 85 gpt Ag, 2.73 gpt Au, 0.9% Pb, 4.1% Zn (including 2.17 m @ 85 gpt Ag, 7.91 gpt Au, 1.2% Pb, 7.4% Zn) on the Napoleon vein, 2.7 m @ 746 gpt Ag, 6.27 gpt Au, 0.7% Pb, 2.9% Zn on the Napoleon hanging wall vein and 0.47 m @ 17 gpt Ag, 60.5 gpt Au, 0.4% Pb, 1.4% Zn at the Josephine vein.
  • Prime Mining Corp. released results from the phase II drill program on El Zapote Sur, one of eight ore deposits, at its Los Reyes project in Sinaloa. Highlighted true-width intervals comprise 27.4 m @ 2.38 gpt Au, 43 gpt Ag; 5.8 m @ 7.75 gpt Au, 57 gpt Ag; 3.9 m @ 2.68 gpt Au, 15 gpt Ag; 5.6 m @ 2.91 gpt Au, 41 gpt Ag; 4.3 m @ 2.73 gpt Au, 23 gpt Ag; 8.8 m @ 1.49 gpt Au, 20 gpt Ag; 2.3 m @ 7.10 gpt Au, 20 gpt Ag; 5.3 m @ 1.92 gpt Au, 42 gpt Ag; 18.2 m @ 1.09 gpt Au, 32 gpt Ag. Currently nine rigs are operating at Los Reyes, having completed 30,000 m (in 106 holes) of the planned 50,000 m program. “Mineralization at Zapote South consists primarily of white to grey crystalline to chalcedonic quartz, quartz breccia and stockwork ….. fault structures within or along the margins of rhyolite dykes …… Quartz is massive to crustiform, locally displaying colliform to bladed replacement textures. Higher-grade intervals are marked by finely banded green adularia”.
  • Discovery Silver Corp. informed on results from 17 holes from the phase 2 drilling program at Cordero, in Chihuahua. Highlighted core-length intervals comprise 45.6 m @ 125 gpt Ag, 0.54 gpt Au, 2.0% Pb, 2.7% Zn (328 gpt AgEq); 177.4 m @ 27 gpt Ag, 0.03 gpt Au, 0.1% Pb, 1.1% Zn (74 gpt AgEq); 44.5 m @ 20 gpt Ag, 0.03 gpt Au, 0.1% Pb, 2.2% Zn (106 gpt AgEq) outside the current resource, 38.6 m @ 91 gpt Ag, 0.11 gpt Au, 1.3% Pb, 1.3% Zn (189 gpt AgEq) beneath the PEA pit and 32.3 m @ 70 gpt Ag, 0.12 gpt Au, 0.8% Pb, 1.0% Zn (142 gpt AgEq); 17.7 m @ 68 gpt Au, 0.03 gpt Au, 0.3% Pb, 0.4% Zn on the margins of the PEA pit. “This current set of results was predominantly targeting the expansion of the open pit and the resource in the northeast of the deposit”.
  • Torex Gold Resources Inc. presented the results of the updated technical report on its Morelos Complex in Guerrero. The Morelos Complex has a baseline cumulative cash flow of $1,418 M and after-tax (NPV 5%) of $1,040 M, while the Media Luna (ML) projects presents an after-tax NPV(5%) of $458 M. Life of mine (LOM) estimated at 11.5 years, commencing in April 2022, with an annualized production of 374 K Oz AuEq at total cash cost $809 per Oz AuEq and AISC of $954 per Oz AuEq. Total mineral reserves of 5.123 M Oz AuEq @ 3.90 gpt AuEq.
  • First Majestic Silver Corp. announced its 2021 mineral reserve and mineral resource estimates for the company’s properties, including figures from its operations in Mexico. In its three Mexican mines (San Dimas in Durango, Santa Elena/Ermitaño in Sonora and La Encantada in Coahuila), the company holds 63 M Oz Ag, 879 K Oz Au in the proven and probable categories (included in resources), as well as 111 M Oz Ag, 1.28 M Oz Au in the measured and indicated resource categories and 75 M Oz Ag, 829 K Oz Au in the inferred resource category.
  • Silver Valley Metals Corp. updated on its potassium-lithium salars in Zacatecas and San Luis Potosi. “it is in advanced discussions and under NDA’s with several well financed and highly technical groups ……… All options remain open for the Company, including a direct investment into the Company itself and the Company moving the project forward, to a joint venture, to a spin out of the asset, to a buy-out of the entire asset”. The inferred resource on the properties comprise 243 K tonnes of lithium carbonate equivalent and 12.3 M tonnes of sulphate potash in 120 M tonnes @ 4.6% K, 380 ppm Li.

ON DEALS AND CORPORATE ISSUES

  • Tamino Minerals Inc. informed it is planning to trigger a Securities Fraud Probe against whomever results responsible of highly unusual “market activity witnessed during the last several months” (El Volcan, Sonora).
  • Huntington Exploration Inc. completed the acquisition of Lago de Oro S.A. de C.V. and its 550 square km El Grande gold project in Nayarit. A definitive agreement was reached to purchase all shares of the holding company for a cash payment of US$500 K, issuing 4 M shares of the company, a 2% NSR to the vendor and milestone payments on resources above 500 K Oz Au backed by NI-43-101 technical reports, capped at 20 M shares.
  • Xali Gold Corp. announced the ratification of the tailings and tourism agreements with the El Oro Municipality on El Oro tailings project in Estado de Mexico. “Renewing the Tailings Agreement is the final item required for Sun River Gold Corp (“Sun River”), who have the option to acquire 100% of the Tailings Project from Xali’s subsidiary…. The Tailings Agreement provides Xali Gold with the right to recover all available gold and silver from the tailings deposit and pay to the Municipality of El Oro an 8% Net Profits Interest”.
  • Prime Meridian Resources Corp. updated on the option to purchase La Verde project in Sonora. Prime Meridian (PMR) formed the Mexican subsidiary Sonoran Copper, S.A. de C.V. and reserved the new company’s new name Sonoran Desert Corporation. PMR has to make a US$200 K payment on Exchange approval, and a further US$200 K payment on late February 2023. Also, Cdn$3.75 M in shares of PMR prior to the first anniversary, and Cdn$2.5 M of PMR shares on the second anniversary. A 2% NSR on production from skarn mineralization will be retained by the vendor, and a 2% NSR on production from porphyry mineralization, with PMR having the right to buy 1% for US$1 M.

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Epidote bearing porphyritic rock from a project in the Sonoran desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the Third Week of March, 2022

By Jorge Cirett

During the 11th week of the year (March 14th to March 20th, 2022), at least 21 press releases were announced by companies working in Mexico. To note, only three companies posted exploration advances on their properties, four released quarterly and full year 2021 reports, four informed on financing rounds, three on share granting, repurchase or new market trading, two released new resource estimates, three posted drill results on properties with resources and one informed on the repossession of a property and mining concessions. ON MEXICO ISSUES, five of the top ten silver intercepts on the second week of March were obtained by companies working in Mexico. ON EXPLORATION, in Sonora, Rockland Resources recommenced exploration at its Elektra lithium project; Infinitum Copper discovered three new mineralization zones at Adelita. In Zacatecas, Orla Mining is to begin brownfield exploration around Camino Rojo. ON MINING, Avino Silver, Sierra Metals, American Gold and Silver, Orla Mining and Starcore International released quarterly and full year 2021 reports. ON FINANCING, Golden Tag granted stock options to directors, officers employees and consultants. Reyna Gold started trading at the OTCQB Market Exchange in USA. Oroco Resource announced the oversubscription of its previously announced private placement. Silver Tiger closed its financing for gross proceeds of C$23 M. Altaley Mining is to conduct a financing round for up to C$5 M. Minaurum Gold informed on the acquisition of 16% of Infinitum copper shares. First Majestic Silver was approved to extend its share repurchase program to up to 10 M shares.  ON RESOURCES AND DEVELOPMENT, GoGold Resources released drilling results from El Favor East, at Los Ricos North in Jalisco. Torex Gold Resources released the 2021 resource estimate (4.47 M Oz Au) for El Limon Guajes Complex in Guerrero. Fortuna Silver Mines updated the resource estimate (46.6 M Oz Ag, 296 K Oz Au) to the end of 2021 on its San José mine in Oaxaca. Vizsla Silver reported results from drilling the Cruz Negra vein at Panuco, in Sinaloa. Mithril Resources provided drilling results from Copalquin, in Durango. ON DEALS AND CORPORATE ISSUES, Galore Resources regained control of the Duraznillo ranch and the mining concessions on its Dos Santos project in Zacatecas. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • Of the top ten silver intersects released on the second week of March, five were from companies working in Mexico, according to Miner Deck. Vizsla Silver was first with 9.45 m @ 1,559 gpt Ag at Panuco, in Sinaloa, whilst Magna Gold was second with 55.95 m @ 156 gpt Ag at Margarita, in Chihuahua. Prime Mining, Capitan Mining and Avino Silver were also in the list, with their project in Sinaloa and Durango.

ON EXPLORATION

  • Rockland Resources Ltd. announced exploration is to initiate at its Elektra project in Sonora. The company is to review the surface and drill information generated in 2017, when 1,762 m were drilled in 16 holes. Best intercepts of that campaign include 33 m @ 1,058 ppm Li and 24 m @ 1,050 ppm Li. The target is a lithium in clays deposit akin to the nearby “Sonora Lithium” property owned by Bacanora Lithium PLC.
  • Orla Mining Ltd. is to begin exploration in and around its Camino Rojo mine in Zacatecas. The company is planning to invest $10 M in exploration in Mexico during 2022. The current year drilling program is to infill drill the deposit and reduce the spacing to 50-125m  in the sulfide zone. Last year program returned up to 108 m @ 2.38 gpt Au; 111 m @ 2.63 gpt Au; 58.5 m @ 2.51 gpt Au; 115.5 m @ 2.11 gpt Au; 64.6 m @ 3.04 gpt Au; 55.5 m @ 4.47 gpt Au; 55.5 m @ 4.95 gpt Au. The 2021 regional exploration program included an airborne magnetic survey, an IP survey, soil sampling and direct exploration under cover with 9,146 m of RAB drilling on 284 holes (holes 500 m apart, with 1,000 m line spacing) to sample the bedrock under shallow cover (up to 3 m @ 1.94 gpt Au, 7 km from Camino Rojo). That effort produced several targets that are to be followed-up this year, while target generation still continues.
  • Infinitum Copper Corp. announced the discovery of new zones of high-grade copper mineralization on the surface at its Adelita project in Sonora-Sinaloa. Mapping, prospecting and sampling (1,024 channel samples) program identified the Cerro Grande Footwall, Las Trancas and Pericos zones. At Cerro Grande, sampling on a garnet skarn alteration zone returned 7.50 m @ 1.88% Cu, 0.89 gpt Au, 127 gpt Ag, 0.9% Zn. Skarn hosted mineralization is also present at Pericos, estimated at 12 m in width, with results pending. At Las Trancas an oxidized breccia returned 0.5 m @ 3.67% Cu, 1.14 gpt Au, 4.2% Zn, with the structure having been traced for 780 m, and pending results in trench samples. A 14.8 line-km magneto-telluric geophysical survey is to be conducted over the Cerro Grande, Cerro Grande Footwall, Pericos and Las Trancas zones. Drilling is to start in late March.

ON MINING

  • Avino Silver & Gold Mines Ltd. released financial results for Q4 and year 2021. At Avino, in Durango, in 2021 the company milled 165.3 K tonnes (103.5 K tonnes on Q4, after normalization of operations) to produce 245.4 K Oz Ag, 3,386 Oz Au, 1.87 M Lb Cu (842.4 K Oz AgEq). Over 15,500 m of drilling were completed in 124 holes during the year. In October of 2021 Avino entered into a definitive agreement with Coeur Mining Inc. to acquire the La Preciosa project, close to the Avino mine “for upfront consideration of $29.7 million on closing and $5 million due within 12 months of closing. Further contingent consideration including cash, royalties and a mineral reserve discovery payment. The transaction is expected to close during Q1 2022”. At the year’s end the company held US$22.3 M in cash.
  • Sierra Metals Inc. reported 2021 financial results and 2022 guidance, without specifying figures of production by mine. At Bolivar, in Chihuahua, cash cost was $2.18 per Lb CuEq and the AISC was $4.22 per Lb CuEq. At Cusi, in Chihuahua, cash cost was $16.71 per Oz  AgEq, and the AISC was $28.59. At Bolivar, 13,072 m of drilling were completed, as well as 21,059 m of infill drilling and 4,703 m of brownfield drilling at Cusi. The company held cash and cash equivalents of $34.9 M by the end of the year. “In Q4 2021, the Company announced its increased focus on copper and other steel-making products, including the strategic review process for the silver-producing Cusi Mine in Mexico. As part of this process, the carrying value of Cusi was reviewed. As a result, a non-cash impairment charge of $35 million was recognized for the year”.
  • Americas Gold and Silver Corp. reported consolidated financial and operational results for the year 2021. At Cosalá, in Sinaloa, re-started operations in September after a long struggle with an illegal blockade “after reaching an agreement with union representatives and certain Mexican government ministries in July 2021…. Production from the San Rafael mine increased during Q4‐2021 as the normal mining cycle was re‐established.  The Los Braceros processing plant was fed with a combination of over 20,000 tonnes of existing stockpiled ore and new production from the mine.  The milling rate ramped up in tandem with mine production, averaging approximately 1,700 tonnes per day during December 2021 and continuing into 2022”. During the Q4 61 K Oz Ag, 4.2 M Lb Zn, 1.7 M Lb Pb were produced.
  • Orla Mining Ltd. announced results for the Q4 and year 2021. During its commissioning year, at Camino Rojo in Zacatecas, 2.06 M tonnes were mined, of which 1.71 M tonnes were processed, 349.4 K placed on the low grade stockpile and further 2.05 M tonnes of waste were moved. The stacked ore grade was 0.74 gpt Au, and the gold produced was 2,422 Oz. “Orla continues to evaluate multiple development scenarios on the Camino Rojo Sulphide Project. The development scenarios being considered to potentially form the basis of a Preliminary Economic Assessment (“PEA”) currently include: (1) an underground mining option, (2) an open pit mining option with processing at a to-be-constructed sulphide facility at Camino Rojo, and (3) an open pit mining option with processing at Newmont’s Peñasquito plant. Based on the additional drilling and testwork to date, all development options remain possible”.
  • Starcore International Mines Ltd. filed the results for the third quarter ended January 2022. At San Martin, in Queretaro, 56.7 K tonnes were milled @ 1.46 gpt Au, 21.2 gpt Ag, recovering 88.1% Au, 45.8% Ag, to produce 2.4 K Oz Au, 17.8 K Oz Ag (2,588 Oz AuEq), at an AISC of $1,623 per Oz AuEq.

ON FINANCING

  • Silver Bull Resources Inc. granted 3.3 M stock options to various directors, officers, employees and consultants (Sierra Mojada, Coahuila).
  • Reyna Gold Corp. announced its common shares started trading on the OTCQB Market Exchange in USA (La Gloria, Sonora).
  • Oroco Resource Corp. announced the over subscription of the previously announced private placement (Santo Tomás, Sinaloa).
  • Silver Tiger Metals Inc. closed the previously announced bought deal offering of common shares of the company, for gross proceeds of C$23 M (El Tigre, Sonora).
  • Altaley Mining Corp. intends to conduct a non-brokered private placement financing, to raise gross proceeds of up to C$5 M. The net proceeds will be used for working capital expenses related to the beginning of mining and milling operations at Tahuehueto, in Durango.
  • Minaurum Gold Inc. informed on the acquisition of 6.1 M shares of Infinitum Copper Corp., which represents 16% of Infinitum (Alamos Silver, Sonora; Adelita, Sonora).
  • First Majestic Silver Corp. received regulatory consent to extend its share repurchase program, with the ability now to repurchase up to 10 M shares, or 3.8% of the issued and outstanding shares (San Dimas, Sinaloa).

ON RESOURCES AND DEVELOPMENT

  • GoGold Resources Inc. released results from five drill holes at El Favor East, within Los Ricos North project in Jalisco. Highlighted core length intervals comprise 1.0 m @ 0.15 gpt Au, 73 gpt Ag; 1.2 m @ 0.24 gpt Au, 82 gpt Au; 6.0 m @ 0.18 gpt Au, 100 gpt Ag (including 1.1 m @ 0.09 gpt Au, 210 gpt Ag); 1.2 m @ 0.50 gpt Au, 152 gpt Ag; 1.7 m @ 0.90 gpt Au, 257 gpt Ag; 45.5 m @ 0.52 gpt Au, 97 gpt Ag (including 0.9 m @ 13.05 gpt Au, 716 gpt Ag); 5.0 m @ 0.42 gpt Au, 93 gpt Ag; 7.4 m @ 0.36 gpt Au, 107 gpt Ag.
  • Torex Gold Resources Inc. reported mineral reserves and resources for the El Limón Guajes Complex in Guerrero, to the end of 2021. Proven and probable reserves of 17.5 M tonnes @ 3.03 gpt Au, containing 1.74 M Oz Au; measured and indicated resources of 21.31 M tonnes @ 3.61 gpt Au containing 2.47 M Oz Au; inferred resources of 2.19 M tonnes @ 3.74 gpt Au containing 264 K Oz Au. During 2021, 529 K Oz Au were processed.
  • Fortuna Silver Mines Inc. updated mineral reserve and resource estimates for its San José mine in Oaxaca. Proven and probable reserves stand at 6.16 M tonnes @ 131 gpt Ag, 0.67 gpt Au, containing 17.3 M Oz Ag, 113 K Oz Au; measured and indicated resources stand at 940 K tonnes @ 99 gpt Ag, 0.66 gpt Au, containing 3.0 M Oz Ag, 20 K Oz Ag; inferred resources stand at 6.82 M tonnes @ 120 gpt Ag, 0.74 gpt Au, containing 26.3 M Oz Ag, 163 K Oz Au.  
  • Vizsla Silver Corp. reported results from five holes targeting the Cruz Negra vein, at its Panuco project in Sinaloa. Highlighted core-length intervals comprise 0.70 m @ 1,795 gpt Ag, 21.00 gpt Au, 0.2% Pb, 0.5% Zn; 4.45 m @ 34 gpt Ag, 3.26 gpt Au, 0.1% Pb, 1.0% Zn; 1.65 m @ 1,066 gpt Au, 9.85 gpt Au, 0.4% Pb, 0.7% Zn; 3.70 m @ 440 gpt Ag, 3.74 gpt Au, 0.5% Pb, 2.2% Zn; 3.20 m @ 160 gpt Ag, 10.40 gpt Au, 0.5% Pb, 4.3% Zn.
  • Mithril Resources Ltd. provided drilling results from its Copalquin project in Durango. Highlighted core-length intervals comprise 6.00 m @ 1.84 gpt Au, 23 gpt Ag; 1.00 m @ 1.79 gpt Au, 25 gpt Ag; 1.70 m @ 1.77 gpt Au, 117 gpt Ag; 2.14 m @ 0.89 gpt Au, 64 gpt Ag in one hole, 4.80 m @ 0.91 gpt Au, 57 gpt Ag; 2.30 m @ 1.75 gpt Au, 135 gpt Ag; 0.55 m @ 5.89 gpt Au, 474 gpt Ag in a second hole, 8.10 m @ 1.64 gpt Au, 106 gpt Ag in a third hole. Exploration work has defined over 7 km of veins in the project, with a major target area identified at La Montura, on strike with El Refugio, whereas Los Pinos area displays strong alteration, gold in soils and early stage drilling results of 0.60 m @ 9.91 gpt Au, 161 gpt Ag.

ON DEALS AND CORPORATE ISSUES

  • Galore Resources Inc. announced that “has legally and safely regained possession and control of the Duraznillo Ranch mining operation” at its Dos Santos project in Zacatecas. In January 2018 Galore entered into a mining exploitation agreement with Urbanizaciones y Acabados, S.A. de C.V., but due to a breach in the agreement Galore asked and had to file a demand to recover the Duraznillo ranch and the mining properties. On March 8, 2022, the ranch and the mining properties were peaceful and smoothly repossessed by Galore

ON SOCIAL RESPONSIBILITY

  • No Relevant News.

On the image below: Barite-quartz-hematite vein from a project in the Sonoran desert. Picture by Jorge Cirett.

The Mining and Exploration News in Mexico: Highlights on the First Week of January, 2022

By Jorge Cirett

During the 1st week of the year (January 3rd to January 9th, 2022), at least 17 press releases were announced by companies working in Mexico. To note, four companies posted exploration advances on their properties, one released its quarterly production figures, one is considering the end of mining operations, one is to mill third party ore, three posted on development and two on property deals. ON MEXICO ISSUES, three mining properties are to be commissioned during 2022 in Durango. According to Camimex, 60 thousand women work in the Mexican Mining industry. ON EXPLORATION, In Baja California, One World Lithium presented water sample results from drilling at Salar del Diablo. In Sonora, Riverside Resources reported high-grade results from surface sampling; Aztec Minerals informed on its ongoing RC drilling program at Cervantes. In Coahuila, Monumental Minerals is to carry on an airborne geophysical survey at its rare-earth Jemi project. ON MINING, Excellon Resources provided an update on its Platosa mine in Durango and on the exploration efforts in several projects. GoGold Resources presented Q4 2021 production results. Endeavour Silver announced its new Sustainable Strategy. Guanajuato Silver is to begin processing third party ores at its El Cubo mill.  ON FINANCING, no relevant news. ON RESOURCES AND DEVELOPMENT, Fabled Silver released results from drilling at Santa Maria, in Chihuahua. GoGold Resources announced the acceleration of its drill program at Los Ricos North and South projects in Jalisco. Golden Tag Resources is to recommence drilling at its San Diego project in Durango. ON DEALS AND CORPORATE ISSUES, Mexus Gold US optioned its Mabel property in Sonora to Irmex Mining. Xali Gold extended the earn-in agreement of Sun River Gold into the El Oro tailings project in Estado de Mexico. ON SOCIAL RESPONSIBILITY, Minera Media Luna (Torex Gold), Minera Pangea (McEwen Mining) and Equinox Gold  informed on social measures for the betterment of communities near its operations.

ON MEXICO ISSUES

  • Three new mining facilities to be inaugurated in Durango in Q1 2022, according to Gustavo Kienttzle Baille (Secretaría de Desarrollo Económico del Estado). The construction of two mines in Pueblo Nuevo and one in Tepehuanes started in 2021 with a total investment of US$46 M.
  • According to Camimex (Cámara Minera de México) 60 thousand women work in the Mexican mining industry. This is a great advance, as only a few decades ago women were prohibited by law to work in mining.

ON EXPLORATION

  • One World Lithium Inc. presented assay results from water samples from the Salar del Diablo project in Baja California. Multiple water samples were collected at different depths from four holes, two drilled in 2019 and two more in 2021, with depths ranging from 191 to 647 m. All samples returned less than 0.5 mg/L Lithium, less than 100 mg/L Potassium and less than 5 mg/L Boron, the detection limit for each element. “Drilling conditions were challenging as the fine grained and poorly consolidated nature of sediments that were only poorly to moderately cemented resulted in abundant borehole unravelling and “caving” during drilling”.
  • Riverside Resources Inc. reported high-grade sample assay results from its La Union project in Sonora. Highlighted results comprise 83.2 gpt Au; 0.3 gpt Au, 4,816 gpt Ag, 10.3% Pb, 3.5% Zn; nil-Au, 8 gpt Ag, 2% Pb, 21.4% Zn;  0.1 gpt Au, 176 gpt Ag, 3.8% Pb, 19.8% Zn; 6.1 gpt Au, 23 gpt Ag, 8.2% Pb; 8.8 gpt Au, 183 gpt Ag, 3.9% Pb, 3.4% Zn from chips, 22.6 gpt Au, 20 gpt Ag; 4.2 gpt Au, 42 gpt Ag, 2.3% Pb, 3.5% Zn from dumps and 0.8 m @ 9.4 gpt Au, 108 gpt Ag, 1.6% Zn; 1.6 m @ 9.9 gpt Au, 54 gpt Ag, 2.5% Zn; 0.6 m @ 3.6 gpt Au, 373 gpt Ag, 7.3% Pb, 7.3% Zn; 1.5 m @ 2.6 gpt Au, 170 gpt Ag, 0.7% Pb, 6.6% Zn in chip channels. “Mineralization is found on surface associated with low angle faults, folds, with the thicker mineralized intervals being where high angle fault intersect with other structures creating ‘traps’”.
  • Aztec Minerals Corp. informed on work carried out in 2021 at the Cervantes project in Sonora. The ongoing 5,000 m reverse circulation drill program commenced on Q4 2021, with 14 holes on the California target, one at the California North prospect, one at the Jasper prospect and four to six holes on the Purisima target.
  • Monumental Minerals Corp. is to carry an airborne magnetic and radiometric survey over its Jemi project in Coahuila. The property is host to several rare earth element occurrences, like Neodymium (Nd), Praseodymium (Pr), dysprosium (Dy) and Terbium (Tb), with associated Tantalum (Ta), niobium (Nb) and zirconium (Zr). “The high-resolution helicopter-borne magnetic and radiometric survey will be flown at 100 m line spacing over an area of approximately 100 km2 for a total of 1,120 line-km. It will be centred on the 8 km diameter Sierra La Vasca intrusion complex that hosts the Jemi HREE mineral occurrences”.

ON MINING

  • Excellon Resources Inc. provided an update on its Platosa operations in Durango and company-wide exploration plans. The company is evaluating the continuation of mining activities at Platosa (commissioned in mid-2005) beyond mid-2021 as a result of increased labour and energy costs at the time that mining is entering an area of the deposit where mineralization steepens, with fewer vertical-tonnes-per-meter than historically encountered. The company keeps exploring the Platosa property, with a 2,700 m drill program planned in 2022 on the PND skarn target and is conducting an O18 isotope study on the CRD–style Jaboncillo target, 11 Km northwest of the Platosa mine. At the nearby Evolución project, a 4,600 m drilling program is planned.
  • GoGold Resources Corp. informed on the production during the Q4 2021 of 2,558 Oz Au, 195.7 K Oz Ag, 123 tonnes Cu (444.1 K Oz AgEq) at its Parral tailings operation in Chihuahua.
  • Endeavour Silver Corp. introduced its new Sustainable Strategy, with three-year targets. The strategic plan involves increasing the positive social impact for people, elevate the environmental stewardship of the planet and lead a healthy, long term business (Terronera, Jalisco).
  • Guanajuato Silver Company Ltd. announced it will begin to process mineralized material from third parties at its El Cubo mill in Guanajuato. Approximately 4,000 tonnes form a mining operation in the Guanajuato area have been contracted “It is GSilver’s intention to use the approximately 20,000 tonne per month of excess capacity at the El Cubo mill to profitably process mineralized material from various potential sources in the Guanajuato area. Whether the business arrangement is designed as toll milling, raw material purchasing, or profit sharing, if it serves to contribute to our bottom line and helps to expand our presence in the 480-year-old mining camp of Guanajuato, then we will pursue it”.

ON FINANCING

  • No Relevant News.

ON RESOURCES AND DEVELOPMENT

  • Fabled Silver Gold Corp. released results from drilling at its Santa Maria project in Chihuahua. Highlighted core length intercepts comprise 0.95 m @ 0.16 gpt Au, 154 gpt Ag; 0.2% Zn; 13.10 m @ 0.23 gpt Au, 86 gpt Ag, 0.1% Pb, 0.4% Zn (including 6.10m @ 0.34 gpt Au, 159 gpt Ag, 0.3% Pb, 0.8% Zn, 0.3% Cu, which includes 1.50 m @ 0.32 gpt Au, 283 gpt Ag and 1.25 m @ 0.46 gpt Au, 315 gpt Ag, 1.0% Pb, 2.8% Zn, 0.08% Cu). Samples from three more holes have been sent for assaying.
  • GoGold Resources Inc.  announced the acceleration of its drill program at Los Ricos North and South projects in Jalisco.
  • Golden Tag Resources Ltd. is to recommence diamond drilling at its San Diego project in Durango. “The current expanded 4,500 metre (“m”) diamond drill exploration program is a follow up to the 4,716 m of diamond drilling that had previously been completed and reported in 1H, 2021. As of December 20, 2021 a total of 2,350 m has been drilled, leaving approximately 2,150 m of additional drilling to be completed”. A total of 1,675 samples were sent to the lab for assaying and results are pending.

ON DEALS AND CORPORATE ISSUES

  • Mexus Gold US. Signed a letter of intent (LOI) with Irmex Mining, a Mexican corporation for its Mabel property in Sonora. The agreement on the 1,459 ha project will include cash and a 10% net profit interest (NPI). Mexus Gold is to focus in finding a JV partner for its flagship project Santa Elena, also in Sonora.
  • Xali Gold Corp. extended the Earn-In Option Agreement with Sun River Gold Corp. on the tailings project in El Oro, Estado de Mexico, in advanced exchange for net profits interests (NPI). Xali Gold granted Sun River a 6-month extension from October 31, 2021 to April 31, 2022 (Note.- This non-existent date is in the press release) for advanced NPI payments of US$17.4 K and additional eight months for additional payments. If commercial production is not achieved by May 1, 2022, Xali Gold agreed to grant a second extension until December 31, 2002 under the following terms: 1) Advanced NPI payments of US$15 K, commencing in May; 2) Advanced NPI payments of US$50 K per month once commercial production is reached during the first year of operation, and normal 5% NPI payments afterwards; paying the first US$1.5 M of the Municipality NPI owing to Xali Gold during the first three years of operation.

ON SOCIAL RESPONSIBILITY

  • Minera Media Luna (Torex Gold) informed on social support towards the Cocula Municipality in Guerrero.
  • Minera Pangea informed on actions taken promoting the health of inhabitants near its operations in Northern Sinaloa.
  • Equinox Gold informed on social support to communities near Los Filos mine in Guerrero.

On the image below: Copper stained silicified ridge on a project in the Sonoran Desert. Picture by Jorge Cirett.

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

By Jorge Cirett

During the 49th week of the year (December 6th to December 12th, 2021), at least 20 press releases were announced by companies working in Mexico. To note, four companies posted exploration advances on their properties, there were no mining related news, two released financing news, one more settled a debt with shares and one more qualified to trade on the OTCQB; two companies released resource estimates, one posted on drilling results from an advanced property and one more provided an update on ramping up mining activities. One company changed its name and one more is to create a spin-off company for its remaining exploration projects. ON MEXICO ISSUES, Sonora, Guerrero and Oaxaca can become poles of mining activity. Camimex asked the president to ease the grip on the issuance of mining concessions, as it is to strangle the industry. The Zacatecas Mining Cluster inaugurated Quantum City. The national employment service increased the jobs offered in the mining industry. ON EXPLORATION, In Sonora, Heliostar Metals commenced drilling at Cumaro; Tocvan Ventures is trenching at Pilar. In Sinaloa, Vizsla Silver released drilling results from the Napoleon deposit at Panuco. In Guerrero, Pantera Silver received a drill permit for Nuevo Taxco. ON MINING, no relevant news. ON FINANCING, Guanajuato Silver and Prismo Metals announced or closed financing rounds for C$9.52 M and $2 M respectively. Aloro Mining is to settle a $211 K debt with shares. Sierra Madre Gold and Silver qualified for trading at the OTCQB in the USA. ON RESOURCES AND DEVELOPMENT, Discovery Silver filed the technical report with updated mineral resources at Cordero. Fabled Silver released drill results at Santa Maria. GoGold presented the initial mineral resource estimate on four deposits at Los Ricos North project, and current resources at Los Ricos Sur and the Parral tailings projects. Minera Alamos updated on ramping up of mining at Santana. Oroco Resources released its first drilling results from drilling the Santo Tomás deposit in Sinaloa.  ON DEALS AND CORPORATE ISSUES, Advance Gold changed its name to Advance Lithium Corp., and Solaris Resources intends to transfer its non-core assets to a subsidiary company. Prime Meridian Resources optioned the La Verde Grande project in Sonora, for which is to forward US400 K in cash and US$8 M in shares in staged payments. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

  • According to a note by Mexico Business News, Sonora, Guerrero and Oaxaca are to be poles of mining exploration in the coming years.
  • Camimex (Cámara Minera de México) asked the AMLO presidency to grant new mining concessions, as the lack of issuance of titles is to result in a shortage of mines in the future due to the lack of exploration. Mexico has seen its standing on the Fraser Institute report to fall from the 29 to the 42 position from 2018 to 2020.
  • The Zacatecas Mining Cluster inaugurated its Mining Center in Quantum City, to forward research, innovation and technological development in the State’s mining industry.
  • The Servicio Nacional de Empleo (National Employment Service) increased its jobs offer in the mining industry.

ON EXPLORATION

  • Vizsla Silver Corp. released results from twenty one drill holes targeting the Napoleon vein resource area, at Panuco, Sinaloa. The Napoleon vein measures approximately 1,000 m by 3.86 m in width, to a depth of 400 m, averaging 148 gpt Ag, 2.90 gpt Au, 0.46% Pb, 1.44% Zn (453 gpt AgEq), while the greater Napoleon vein resource area (including the previous one) measures 1,820 m by an average of 3.36 m in width to a depth of 300 m, averaging 142 gpt Ag, 2.62 gpt Au, 0.46% Pb, 1.39% Zn (421 gpt AgEq). Highlighted true width intercepts comprise 5.76 m @ 0.81 gpt Au, 56 gpt Ag, 0.8% Pb, 2.5% Zn; 1.21 m @ 2.25 gpt Au, 26 gpt Ag; 10.69 m @ 1.21 gpt Au, 220 gpt Ag, 0.4% Pb, 0.8% Zn; 1.74 m @ 0.29 gpt Au, 206 gpt Ag; 1.63 m @ 2.69 gpt Au, 34 gpt Ag, 0.2% Pb, 2.2% Zn; 2.52 m @ 0.54 gpt Au, 156 gpt Ag; 1.14 m @ 4.75 gpt Au, 128 gpt Ag, 1.2% Pb, 2.5% Zn; 2.90 m @ 0.76 gpt Au, 210 gpt Ag, 2.2% Pb, 1.8% Zn.
  • Heliostar Metals Ltd. commenced a drill program at its Cumaro project in Sonora. The drill program will focus on the Verde, Basaitegui and Palmita vein corridors. The Verde target comprises three veins with 530 m strike length 0.5 to 5.0 m in width, where previous surface sampling has returned 5.0 m @ 10.3 gpt Au, 168 gpt Ag; 5.9 m @ 2.65 gpt Au, 105 gpt Ag; 3.0 m @ 4.68 gpt Au, 61 gpt Ag; 1.75 m @ 11.5 gpt Au, 125 gpt Ag. At the Basaitegui target vein textures indicate a shallower part of the system is exposed and the vein at depth is to be tested. At the 1.7 km long Palmita target the mineralization system is also interpreted as shallow and the aim is to intercept the vein at depth.
  • Pantera Silver Corp. received a drill permit from the government for its Nuevo Taxco project in Guerrero. The maiden drill program is focused on priority targets within 135 ha area historically prepared for drilling by Impact Silver. This area hosts over 21 veins with “substantial width” and mapped lengths of 150 to 350 m, remaining open along strike and depth.
  • Tocvan Ventures Corp. updated on the trenching program at the Pilar project in Sonora. “Trenching is currently underway with four trenches completed to date at 4-Trench, North Hill and Main Zone targets”. At the Main zone the plan is to test an area where surface sampling has returned 10 m @ 2.5 gpt Au, 27 gpt Ag.

ON MINING

  • No relevant news.

ON FINANCING

  • Guanajuato Silver Company Ltd. closed the second and final tranche of its non-brokered private placement offering, for gross proceeds of C$9.52 M (El Cubo, Guanajuato).
  • Prismo Metals Inc. announced a non-brokered private placement intended to raise gross proceeds of up to $2 M (Los Pavitos, Sonora).
  • Aloro Mining Corp. intends to settle a debt for $211.2 K to various insiders of the company with 3.84 M shares (Los Venados, Sonora).
  • Sierra Madre Gold and Silver Ltd. announced it has qualified for trading on the OTCQB Venture Market in the United States operated by the OTC Markets Group Inc. (Tepic and La Tigra projects, Nayarit).

ON RESOURCES AND DEVELOPMENT

  • Discovery Silver Corp. filed the technical report with the update of mineral resources for the Cordero project in Chihuahua. The NI-43-101 report for the preliminary economic assessment (PEA) for Cordero will be filed within 45 days of November 30, 2021.
  • Fabled Silver Gold Corp. released results from one more hole at Santa Maria in Chihuahua. Nine core length intervals 1.5 to 3.0 m in width returned up to 0.16 gpt Au, 66 gpt Ag.
  • GoGold Resources Inc. released its initial mineral resource estimate for the Los Ricos North project in Jalisco, and updated the mineral reserve at the Parral tailings operation. Oxide indicated mineral from the El Favor, Casados, La Trini and Mololoa deposits adds up to 14.5 M tonnes @ 0.37 gpt Au, 100 gpt Ag, and inferred mineral resources of 15.0 m tonnes @ 0.28 gpt Au, 95 gpt Ag, containing 171 K Oz Au, 46.5 M Oz Ag and 136 K Oz Au, 44.1 M Oz Ag respectively. At El Orito sulfide zone there are 7.8 M tonnes @ 0.06 gpt Au, 28 gpt Ag, 0.11% Cu, 0.88% Pb, 1.33% Zn as indicated resources, and 5.5 M tonnes @ 0.06 gpt Au, 28 gpt Ag, 0.12% Cu, 0.74% Pb, 1.20% Zn as inferred resources, containing 15 K Oz Au, 7 M Oz Ag, 19 M Lb Cu, 151 M Lb, Pb, 229 M Lb Zn and 11 K Oz Au, 4.9 M Oz Ag, 15 M Lb Cu, 90 M Lb Pb, 146 M Lb Zn respectively, for a grand total of 334 K Oz Au, 93.5 M Oz Ag, 34 M Lb Cu, 241 M Lb Pb, 375 M Lb Zn. At the neighboring Los Ricos Sur project, the company holds 385 K Oz Au, 49.9 M Oz Ag in measured, indicated and inferred resources. At the Parral tailing project proven and probable mineral reserves are 12.8 M tonnes @ 0.35 gpt Au, 32.6 gpt Ag, containing 144 K Oz Au, 13.4 M Oz Ag.
  • Minera Alamos Inc. provided an update on the ramping-up of mining at Santana, in Sonora. Over 7,300 Oz Au have been placed on the leach pad, while cumulative gold recovery from ore under leach for more than 30 days his approaching 70%. “Mining and crushing activities at the project site continue to progress as operating experience is gained and the available Nicho Norte starter pit operating areas increase”.
  • Oroco Resources Corp. released results from drilling at its Santo Tomas project in Sinaloa. The eight holes completed so far in the North zone and drilling continues, whilst results for the first three holes have been received. Copper grades are comparable to historical grades and confirm the 2009 gradeshell model of Cu > 0.3%, with chalcopyrite and bornite disseminations and veinlets with sparse pyrite. “Sulphide mineralization in the main intersections on the North Zone are hosted in strongly potassic-altered volcanic and intrusive rocks with an overprint of phyllic alteration”. Highlighted core-length intervals comprise 255.0 m @ 0.39% Cu, 100 ppm Mo, 45 ppb Au; 280.1 m @ 0.38% Cu, 120 ppm Mo, 25 ppb Au; 25.5 m @ 0.29% Cu, 150 ppm Mo, 20 ppb Au; 14.3 m @ 0.50 % Cu, 80 ppm Mo, 26 ppb Au; 207.7 m @ 0.39% Cu, 140 ppm Mo, 19 ppb Au; 76.2 m @ 0.18% Cu, 20 ppm Mo, 7 ppb Au.
  • Prime Mining Corp. updated on exploration at its Los Reyes project in Sinaloa. Exploration results during the Q3 2021 include the discovery of Au-Ag mineralization in San Miguel East pit-constrained resource, in addition to near surface mineralization at Las Primas, additional high-grade results at Guadalupe East and strike and depth potential of the Zapote-Tahonitas mineralized structure. The planned phase two drilling program is to comprise 250 new holes and a minimum of 50,000 m.

ON DEALS AND CORPORATE ISSUES

  • Advance Gold Corp. changed its name to Advance Lithium Corp. (Tabasqueña, Zacatecas).
  • Solaris Resources Inc. intends to transfer its non-core assets in Ecuador, Peru, Chile and Mexico, into a newly incorporated subsidiary named Solaris Exploration Inc., while Solaris Resources focuses on the Warintza project in Ecuador (La Verde (60%), Michoacan).
  • Prime Meridian Resources Corp. executed a letter of intent (LOI) to purchase up to 100% interest in La Verde Grande 2,493 ha project in Sonora. “The Company’s plan is to fast-track the exploration and development of the seven currently known Cu-Zn-Ag-Au skarn zones, while evaluating in parallel, the significant opportunity for the discovery of copper porphyry mineralization proximal to those skarn zones”. PMR will make cash payments of US$400 K and payments in shares of US$8 M to acquire up to 100% indirect ownership of the La Verde project, subject to a 2% royalty. Upon completing the US$400 K payment, PMR will have earned 5% indirect ownership of the La Verde project, and further 45% indirect ownership upon issuance of 25 M shares @ CA$0.15 per share. PMR will acquire further 25% indirect interest by issuing an additional US$3 M in shares before the first anniversary. A final 25% indirect interest will be earned by issuing US$2 M in shares before the second anniversary. Of the 2% royalty, 1% can be bought by US$1.0 M.

ON SOCIAL RESPONSIBILITY

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On the image below: X marks the spot. Mafic dike on granitic intrusive rock in Sonora. Picture by Jorge Cirett.