Welcome to the Forum

By Miguel A Heredia

During the fifth week of the year (January 28th to February 04th, 2019), at least 13 press releases were announced by companies working in Mexico, with four disclosing deals and corporate issues, three informing on exploration results, three announcing financing rounds, two reporting on resources and development of their properties, and one communicating production results. ON MEXICO ISSUES, no relevant news.  ON EXPLORATION, In Sonora, Millrock reported drilling results from its La Navidad project, and Silver One announced a drilling program to be conducted on its Peñasco Quemado project. In Chihuahua, VVC provided a summary of the 2017-2018 drilling program carried out at its Samalayuca project.  ON MINING, Consolidated Zinc reported Q4 2018 results from its Plomosas mine in Chihuahua.  ON FINANCING, Palamina announced a private placement for gross proceeds of up to $2M (Santuario project, Hidalgo). Premier Gold closed a previously announced US$50M secured revolving term credit facility and a previously announced financing arrangement for aggregate gross proceeds of US$18.3M (Mercedes mine, Sonora). Silver Spruce extended until February 22, 2019 its current non-brokered private placement for up to $1.5M (Pino de Plata project, Chihuahua). ON RESOURCES AND DEVELOPMENT, Consolidated Zinc made a new discovery above the Level 5 of its Plomosas mine in Chihuahua. Great Panther increased mineral resource at its Topia mine in Durango. Endeavour announced its 2019 Mexico exploration plans. ON DEALS AND CORPORATE ISSUES, Alien Metals announced an update regarding the status of its Nominated Adviser (San Celso, Zacatecas). Aura Resources entered into a definitive option agreement with Minaurum on its East Taviche project in Oaxaca. Candente Gold ratified an agreement with the El Oro Municipality for a re-processing of the historical tailings from the El Oro mine in the State of Mexico. Consolidated Zinc announced that it now owns 90% of the Plomosas mine in Chihuahua. Great Panther reported that Glass Lewis & CO., LLC recommended the acquisition of Beadell Resources (Topia mine, Durango).  

 

ON MEXICO ISSUES

  • No relevant news.

ON EXPLORATION

  • Millrock Resources Inc., and its JV partner Centerra Gold Inc., reported drilling results from its La Navidad project in Sonora. The drilling program funded by Centerra consisted of 1,844m in eight holes and was focused on the northwestern portion of the project. Four holes were collared at El Tigre prospect where Au had been detected by soil sampling near of some historic mine workings. These holes tested IP anomalies and NW trending high-angle structures that appear to control mineralization at surface. Four other holes were collared at El Chupadero to test decalcification and jasperoid alteration pointed to the possibility of an intrusion-related gold deposit. Drilling results were generally disappointing just returning weakly anomalous Au values. Millrock has received notification from Centerra that it is terminating the option to JV agreements on La Navidad and El Picacho projects in Sonora.
  • Silver One Resources Inc., announced that a 1,000m drilling program will initiate by mid-February 2019 on its Peñasco Quemado project in Sonora. The goal of the drilling program will be “to test selected targets within strong Zn-Pb and other metal geochemical and coincidental geophysical anomalies previously identified”.
  • VVC Exploration Corporation, provided a summary of the 2017-2018 drilling program conducted at its Samalayuca project in Chihuahua. 6,700m were drilled in 62 holes and tested 5km long mineralized zone covering approximately two thirds of the length of the property. A total of 2,990 core samples were taken during the drilling campaigns, and 57 out of 62 holes returned intervals with Cu values > 1% with some sections as high as 0.95% Cu and estimated true mineralization widths up to 36m.

ON MINING

  • Consolidated Zinc Limited, reported Q4 2018 results from its Plomosas mine in Chihuahua. The company mined 5,291 tonnes of 10% Zn and 2.1% Pb to produce 1.18M Lb Zn and 253K Lb Pb, with metallurgical recoveries of 89% and 86% respectively.

ON FINANCING

  • Palamina Corp., announced plans to conduct a non- brokered private placement for aggregate gross proceeds of up to $2M (Santuario project, Hidalgo).
  • Premier Gold Mines Limited, closed a previously announced US$50M secured revolving credit facility with Invested Bank plc, and a previously announced financing arrangement with OMF Fund II SO Ltd and Orion Mine Finance Fund II LP for aggregate gross proceeds of US$18.3M.
  • Silver Spruce Resources Inc., extended until February 22, 2019 its current non-brokered private placement for up to $1.5M. Net proceeds will be used to pay a drilling program at its Pino de Plata project in Chihuahua and general working capital.

 

ON RESOURCES AND DEVELOPMENT

  • Consolidated Zinc Limited, encountered economic mineralization above the level 5 initial access point to the Tres Amigos area in its Plomosas mine in Chihuahua. This new discovery was made while the company was progressing on the underground development to increase access to high grade stops and mining high grade ore from existing stopes.
  • Great Panther Silver Limited, announced a 28% increase in the mineral resources at its Topia mine in Durango. A summary of the updated 2018 mineral resource estimate is as follow:

  • Endeavour Silver Corp., announced its 2019 exploration plans to be conducted on its mines and advanced projects in Mexico. For its Guanacevi mine in Durango, Endeavour has an exploration budget of $1.2M for 6,000 m of underground crosscuts and core drilling to extend the El Porvenir Norte and Santa Cruz orebodies and infill and extend the Milache orebody. For its Bolañitos mine in Guanajuato, the company has an exploration budget of $0.8M for 5,000m of surface core drilling to extend the Plateros orebody and outline new resources in the San Miguel vein. For its El Cubo Mine in Guanajuato, Endeavour has an exploration budget of $0.3M for 2,000m of underground core drilling to extend the Villalpando-Asuncion vein. For its El Compas project in Zacatecas, the company has an exploration project of $0.8M for 5,500m of surface core drilling to extend the El Compas, Calicanto, and Santa Fe veins and infill drill the El Orito orebody. For its Terronera project in Jalisco, Endeavour has an exploration budget of $0.8M for conducting prospecting, mapping and sampling at La Unica area where multiple new veins have been identified and expects to delineate new targets for future drilling. Endeavour pegged five new claims covering 2,200 hectares along the southern property boundary to cover possible extensions of the Real Alto vein system. For its  Parral project in Chihuahua, the company has an exploration budget of $2.3M for 6,000m of surface core drilling and an underground crosscut to confirm old resources and outline new resources in the Veta Colorada vein, as well as a PEA and initial mine permitting.

ON DEALS AND CORPORATE ISSUES

  • Allien Metals Ltd, announced that Northland Capital Partners Limited, its current Nominated Adviser, has voluntary agreed to relinquish and will be removed from the register of Nominated Adviser with effect from 7 AM on 1 February, 2019, as a results of Northland´s proposed merger with SP Angel Corporate Finance LLP. If a replacement of its Nominated Adviser has not been appointed by 4 March 2019 the admission of its AIM Securities will be cancelled.
  • Aura Resources Inc., entered into a definitive option agreement with Minaurum Gold Inc, on its East Taviche project in Oaxaca. Minaurum can acquires an initial 80% interest in East Taviche by the issuance of 100K common shares in the capital of Minaurum, the re-imbursement of all Taviche concessions fees paid by Aura in 2018, and payment of the remaining concession fees to bring the property into good standing until January 31, 2019, to a maximum of US$80K, and the issuance of 100K common shares in the capital of Minaurum upon receiving all relevant approvals and consents required to be obtained for the commencement of exploration and drilling activities at the East Taviche  In addition, Aura will grant to Minaurum an exclusive option to acquire the remaining 20% of the project for a total purchase price of CDN$1M.  Upon acquiring the initial 80% interest, Minaurum will act as operator of the project.
  • Candente Gold Corp., ratified an agreement with the El Oro Municipality for the re-processing of the historical tailing from the El Oro mine in the State of Mexico. This ratified agreement provides Candente with the right to recover all available Au and Ag from the tailings deposit and pay an 8% net profits interest (NPI) to El Oro Municipality. The company also retains the first US$1.5M from the 8% NPI payable to the Municipality. Candente will allows the Municipality to conduct tourism activities in part of the San Juan tunnel and Providencia shaft which are historical workings controlled by Candente. The historical tailings are located far away from the old workings so the tourism activities would not impact the development of the tailings.
  • Consolidated Zinc Limited, announced that it now owns 90% of the Plomosas mine in Chihuahua though an increased shareholding in Minera Latin American Zinc SAPI CV by making a cash payment of A$75K and issuance of shares in Consolidated Zinc to the value of A$1.7M at a share price of 2.34 cents per share.
  • Great Panther Silver Limited, reported that Glass Lewis & CO, LLC recommended that shareholders vote in favour of the Great Panther scheme resolution to acquire Beadell Resources Limited and change its name to Great Panther Mining Limited (Topia mine, Durango).

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

 

On the picture above, a mesothermal quartz structure in an orogenic gold prospect in Sonora, Mexico.  Photo by Miguel A Heredia.

E-mail me when people leave their comments –

You need to be a member of Mining Industry Professionals to add comments!

Join Mining Industry Professionals