Investors looking south for silver are eyeing GR Silver Mining - InvestorIntel
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Investors looking south for silver are eyeing GR Silver Mining Sinaloa – we’re all familiar with that name as this west coast Mexican state has the two favorite snowbird sun destinations of Puerto Vallarta and Mazatlán. But did you know it is also a mining center? It was actually the mineral potential that drew the Spanish to this area over 250 years ago. Annual revenue from this area is now said to exceed US$120M, as over 70 Mexican and international mining companies operate mines or are conducting mineral exploration in the region which has tremendous resources in silver, gold, copper, iron, lead and zinc, to name just a few One of these companies is GR Silver Mining Ltd. (TSXV: GRSL | OTCQB: GRSLF) which is located in the heart of the Rosario Mining District, a short drive from the resort area of Mazatlán.
Source: GR Silver The company’s two main assets are the Plomosas and San Marcial projects, which management considers to be the most important projects in the district. Together, the Plomosas project and the San Marcial project provide GR Silver ownership of over 9,764 hectares in the area. The company possesses all exploration licenses and permits required for exploration on both projects and, in the case of Plomosas, it also has necessary permits for exploitation. Without getting too technical, the mineral potential of these project areas is significant. The Plomosas mine area has impressive recent exploration results in addition to data already in-hand. Thickness ranging from 15.7 meters to 51.4 meters of mineralization for gold, silver, lead, zinc and copper, it is clear why this is an area of focus for the
company. The Plomosas project includes a past-producing silver–gold–lead–zinc underground mine in an area that has numerous old workings. The project was acquired in March 2020, and the company owns 100% of the asset. Importantly, the project area has access to an extensive un-released recent and historical drilling database completed by previous operators which will greatly assist the company in potential resource development. San Marcial is a near-surface, high-grade silver, lead, and zinc open-pit amenable project, acquired in 2018. GR Silver is currently expanding its NI 43-101 resource estimate at the San Marcial project, which contains 36 million ounce silver- equivalent (Indicated) and 11 million ounce silver-equivalent (Inferred) resources, by defining new high-grade gold and silver targets along the project’s 6 km mineralized trend. GR Silver is currently carrying out underground development and additional drilling at San Marcial project. The combined infrastructure and data between the two projects offer the opportunity for integration of exploration and future resource definition in a series of drilled targets. The two projects have similar mineralization, potentially allowing a single processing facility, have exploration upside and an extensive database of drillhole data plus numerous exploration targets identified. The company is planning an integrated Preliminary Economic Assessment (PEA) for the two project areas combined and anticipates an updated NI 43-101 for San Marcial as well as a new evaluation for two key areas (the old Plomosas mine and a second project area nearby at San Juan) to be completed sometime in 2021. While the Plomosas and San Marcial projects represent a near- term focus for the company, there are a number of other exploration project areas in the Rosario Mining District that round out a portfolio of assets consisting of a total of over
29,000 hectares, controlling most of the silver-gold-lead-zinc mineralized zones identified in the eastern Rosario Mining District. This also includes three tracts of land adjacent to Rosario City where the multi-million ounce Rosario gold-silver mine was reported to have been closed in 1941 after more than 250 years of operation. Why should you care? The company’s near-term assets are well underway towards near-term development. The technical team has over 10 years of experience in the Rosario District with a record of successful discoveries and the 250+ square kilometer exploration portfolio covers some of the most prospective areas in the Rosario Mining District. The management team, Board of Directors and Technical Advisors have extensive Mexican experience and a strong record of global mining related merger and acquisition transactions. Lastly, the company has a solid shareholder base including insiders, resource fund managers and industry partners. The company is well-funded for future exploration, having successfully closed a bought-deal equity financing in August 2020 for a total of $9.1M. While not enough to achieve full production status, the company is well-funded for an important exploration program in the Rosarios Mining District. With a current market capitalization of approximately CAD$85M and assets proceeding to almost certain development, this is definitely a stock that has market attention and is important to watch. Golden Arrow hits the gold
and copper mark in Argentina Founded in 1993 and recognized as a leading pioneer of mineral exploration in South America, The Grosso Group operates with the objective of creating investor value through the growth of their publicly listed member companies including, Argentina Lithium and Energy Corp. (TSXV: LIT | OTCQB: PNXLF), Blue Sky Uranium Corp. (TSXV: BSK | OTCQB: BKUCF) and Golden Arrow Resources Corporation (TSXV: GRG | OTCQB: GARWF). Golden Arrow Resources Corporation The Grosso Group President and Golden Arrow Resources Corporation CEO Joseph Grosso was named Argentina’s mining man of the year for 2005. Golden Arrow’s strategy is to capitalize on both the corporate expertise and experience, and the exploration talent that exists within the Grosso Group. Golden Arrow summary Puna Operations Inc. (25% owned by Golden Arrow Resources Corp.)
Puna Operations owns the Chinchillas Silver Mine Operation in
Argentina, that has more than 8 years of forecast production
and upside potential. In 2018, Puna Operations produced a
total of 3.7 million ounces of silver, 8.8 million pounds of
zinc and 3.1 million pounds of lead. Silver sold for the year
totaled 3.8 million ounces. In December ore was sourced
exclusively from Chinchillas and achieved a 3,605 tonnes per
day milling rate. Puna is expected to produce between 6 and 7
million ounces of silver at cash costs of between $8 and $10
per payable silver ounce sold. Also within the Puna Operations
is the Pirquitas Mill, processing and tailings storage
facility.
Joseph Grosso, Golden Arrow Chairman and CEO commented: “Puna
had a pivotal year in 2018, with the first commercial
production from Chinchillas coming on stream. We applaud our
operating partner for its steady achievements at the project
and look forward to Puna reaching the 2019 guidance of six to
seven million ounces of silver produced.”
New Golden Exploration Inc. (100% owned by Golden Arrow
Resources Corp.)
New Golden is an advanced Cu-Au exploration project in Chile
that also holds prospective exploration properties in major
geological belts in Argentina. Structured to allow for public
spin-out, New Golden are currently seeking JV Partners for the
rapid advancement of prospective portfolios and to grow
advanced projects with potential for short path to resources
and production.
New Golden Exploration projects include:
The Indiana Au-Cu Project that covers 2,300 hectares
with a historic (2013) inferred resource estimate of
607,000 oz AuEq., in near-surface, high-grade veins that
is permitted for production.
The Atlantida Cu-Au Project which has significantpotential for expansion of mineralization on a new
consolidated property, both adjacent to a historic
resource, along trend and throughout the property.
Thirty-one rock samples on the property adjacent to a
historical resource area returned up to 3.7 g/t gold and
1.98% copper, with the average result of 0.51 g/t gold
and 0.49% copper.
The Antofalla Project in Argentina that covers 8,760
hectares. The project has strong similarities to
Chinchillas with results including 18 m @ 128 g/t Ag,
0.23 g/t Au, 0.88% Pb in historic drilling, 14.9 m @ 271
g/t Ag, 1% Pb in GRG due diligence channel sampling, 2 m
@ 9.2 Au g/t, 52 Ag g/t, 5 % Pb in historic trenches.
Antofalla offers a 100% earn-in opportunity with low
initial commitments.
Joseph Grosso and The Grosso Group continue to create investor
value in South America with several listed member companies
that includes Golden Arrow and its subsidiaries. Now that they
are earning an income from their 25% JV Puna operations they
will continue to invest in potential projects that create
value for all its investors.
Golden Arrow is a Vancouver-based explorer with a history of
success in identifying, acquiring, and advancing precious and
base metal discoveries.
It’s a good time to be
looking at gold and silver
Given the recent volatility in equity markets and concern over
the US-China trade war it is a good time to relook at some
gold and silver stocks, especially as successful preciousmetal miners can outperform in tough times. Goldplay Exploration Ltd. (TSXV: GPLY | OTCQB: GLYXF) is not purely just a gold player, they have silver too, as well as lead and zinc. The Canadian based company is focused on the discovery of gold-silver deposits in the historically prolific Rosario Mining District in Sinaloa, Mexico. The district has been, and currently is, host to many world class precious metal mines and projects, notably the historical multi-million ounce Rosario Gold-Silver Mine, whose operation life spanned over 250 years. The Company has been busy in its 100% owned land package covering more than 250 sq km in the heart of Mexican world class gold-silver deposits. Goldplay has what they consider two perfect projects, San Marcial Silver and El Habal Gold. Goldplay’s projects in Mexico – Location map San Marcial Silver-Lead-Zinc project The project is a near surface, high grade, silver-lead-zinc project targeting open pit development. The project has a 2008
historical resource NI 43-101 estimate of 30 Moz AgEq. Announced on November 1, 2018 were high-grade results from a historical underground tunnel that the Company has re-opened. The tunnel cuts the San Marcial main fault and associated silver-bearing wide breccia approximately 80 meters below the surface near the center of the 500-meter-long historical NI 43-101 resource area. A sample high grade result for silver was 13.0m @ 1,048 gpt AgEq (550 gpt Ag), including 3.0m @1,934 gpt AgEq (1,127 gpt Ag). Goldplay President and CEO Marcio Fonseca commented: “We recently re-opened a historical underground tunnel that cuts through the foot wall sequence of the San Marcial deposit and through the silver-lead-zinc-gold bearing hydro-thermal breccia. The tunnel results support continuity of the poly- metallic mineralization from surface and provide positive correlation with our current 3D modelling, which will lead into a new NI 43-101 resource estimate, expected in January 2019.” The Company noted these findings demonstrate a doubling of the footprint of the modeled historical resource, with much wider and continuous mineralization along strike. This shows potential for expansion and further exploration upside reinforcing open-pit mining potential for the historical resource area.
San Marcial project El Habal Gold-Silver project A gold-silver exploration project located within a multi- million ounce historical district. Comprising 3,700 hectares El Habal’s mining concessions cover a 6 km long by 1 km wide trend, containing a series of historical shallow and small- scale underground artisanal mining sites. On 1 August 2018, the Company announced initial results of four drill holes in the first phase of its core drilling program. The program has successfully identified near surface continuity of gold mineralization. Below shows a sample result. Goldplay is well funded for fast tracking the expansion of potential multi-million ounce silver and hopefully gold projects in Mexico. They have an experienced board and management team with proven track records in exploration,
discovery and successful exit strategies for shareholders. Goldplay also have a solid shareholder base and a tight capital structure. Shareholders include Sandstorm Gold (TSX: SSL) and SSR Mining (NASDAQ: SSRM, TSX: SSRM). These two companies have market caps of over $1 billion. And JDS Mining, a well-known engineering company that recently sold its Silvertip mine for $250 million dollars. A near term catalyst is a resource upgrade due in January 2019, with a target of 45-60 Moz AgEq. Gold with its shine that never tarnishes has created gold fever and a gold bug among the fans that love the precious metal. Even InvestorIntel Corp. CEO Tracy Weslosky admits to having such a bug and recently stated: “I love gold and I think more people should be looking at this market right now.” With a market cap of C$ 7.5 m Goldplay Exploration is continuing to explore their sites in Mexico which have huge exploration potential in the historically prolific Rosario Gold Mining District. Indeed it is a good time to be looking for gold and silver. Klondike brings the promise of the best underexplored zinc-silver-lead camp in Canada to shareholders Silver has been regarded as a form of money and a store of value for more than 4,000 years. In Great Britain sterling silver (an alloy containing 92.5% silver) is still used as a currency in banknotes, although don’t expect to redeem your
one pound bank note and expect to get a pound of silver back. Silver is used in jewelry, electronics, solar panels, water filtration, and many other industries. Most silver is produced as a byproduct of copper, gold, lead, and zinc refining. Klondike Silver Corp. (TSXV: KS | FSE: K1SN) have a 100 km2 royalty free land package located in the Slocan Mining camp, in SE British Columbia. Sixty eight of the 173 past producing silver/lead/zinc mines in the camp are located within the Klondike Silver land package. Klondike Silver owns the past- producing Silvana, Wonderful and Hinckley Mines, along with a 100-tonne-per-day permitted flotation mill, as well as other past producing mines and exploration properties. The Slocan Mining District has produced more than 24m ounces of silver since the first discoveries in the late 1800s, transforming the scenic wilderness into the silver-mining center of Western Canada. The Slocan Silver Camp is located in mining-friendly British Columbia, Canada near main population centers. British Columbia is an important mining province and is Canada’s largest producer of coal, copper and molybdenum. Other important metals and minerals include gold, silver, zinc, and lead.
Klondike Silver’s claims The Silvana Mine was the largest producer of the 68 historical producers in the Klondike Silver land package: Over 500,000 tons of rock was processed yielding 7,812,077 oz silver, 63,253,498 pounds lead and 57,981,253 pounds zinc. The average Silvana production grade was 13.87 oz/ton silver, 5.62% lead and 5.15% zinc. At approximately 9 km long, the main lode is the largest and most prolific vein. Klondike Silver’s land package includes over half of the main lode structure and, of that 1.5 km is virtually unexplored (“The Silver Mile”). Klondike Silver Corp. continues to be actively advancing the Silvana project so that the mine can be quickly put back into production. Several milestones have been achieved by the Company so that the 2018 exploration drifting and drilling program can commence along the silver mile section of the Main Lode.
Klondike Silver’s Mill The Sandon Mill Klondike Silver has a huge advantage having its own mill onsite. The Sandon Mill is a nominal 100 ton (90.7 metric tonne) facility. It is a standard crushing, grinding flotation system that produces a lead and zinc concentrate. The mill has been in operation for numerous decades and has treated all the Silvana ore-body since 1971. Initially the mill ran on diesel power but is now hooked into the BC hydro power grid. The mill is currently on care and maintenance until enough economic mineralisation can be identified in and around the Silvana Mine. Klondike Silver has created the first real opportunity to invest in and properly explore a sizable portion of one of the most historic mining camps in British Columbia. Klondike likes to think of the Slocan as the last best underexplored zinc- silver-lead camp in Canada.
Goldplay focused on unlocking a proven historical gold mining district in Mexico Goldplay Exploration Ltd. (TSXV: GPLY | OTCQB: GLYXF) is a Canadian company focused on the discovery of gold-silver deposits in the prolific Rosario mining district in Sinaloa, Mexico. Goldplay’s exploration team has over 10 years experience in the historical Rosario district. Successful discoveries in the district by other companies include the extension of Marlin Gold Mining’s La Trinidad mine, one of Mexico’s highest grade, open pit gold mines. Goldplay’s 250+ sq. km 100% owned exploration portfolio has no earn-in requirements, and covers one of the most prospective areas in the Rosario district. Historical miners at Rosario
The Rosario mining district has been and currently is host to many world-class precious metal mines and projects, notably the historical multi-million ounce Rosario gold-silver mine, whose operation life spanned over 250 years. El Habal precious metals project Goldplay’s El Habal precious metals project is a low sulphidation epithermal exploration-stage project that borders the Rosario Mine concessions. Comprising 3,700 hectares it is located 75 km east of the modern coastal port of Mazatlán, and is only 10km from the historical mining town of Rosario using a paved road. Power ready, El Habal hosts excellent infrastructure for future mine development. The El Habal mining concessions cover a 6 km long by 1 km wide trend containing a series of historical shallow and small-scale underground artisanal mining sites that all resemble the geology of the Rosario Mine. In late 2017, Goldplay completed a successful surface channel sampling and trenching program. The study revealed wide oxidized mineralised zones over a 2 km strike length, not only on historical mine sites, but also on the host rocks, including 4 new prospects: “La Reina”, “El Arenal”, “Santos” and “Octavio”. Recent mapping along a 6km long by 1km wide geological trend, together with in progress ground geophysical program has generated targets for upcoming additional drilling programs. The integration of historical (non 43-101 compliant) drill data, combined with the recent exploration results is supporting an upcoming drilling program, aiming to define resources not only for potential open pit amenable project but also underground potential.
San Marcial and El Habal projects The San Marcial near surface high-grade silver-zinc-lead project The San Marcial project consists of 1,250 hectares, and is located 30 km from the companies El Habal project. San Marcial exhibits significant exploration upside supported by historical regional exploration programs completed by previous operators with the identification of 14 exploration targets inside the concessions. Some of these exploration targets consist of old shallow pits, and historical underground workings. San Marcial should be regarded as an advanced project with bulk tonnage and open pit potential, which may has a significant economic significance should the mineralisation prove to be more extensive than is presently indicated by the current resource estimate. Historical drill results include (SM-4), 53.95 meters @ 223 g/t Ag, 0.29% Zn, 0.45% Pb (including 15.0, meters @ 637 g/t Ag, 0.4% Zn, 0.37% Pb). Goldplay has a market cap of C$ 7.2m Goldplay (Live) is also the name of a tribute band for the British rock group called Coldplay, who in the year 2000 had a
world-wide hit called “Yellow”. If only I had seen the signs earlier. Coldplay have earned several Gold records for sales on their music. Goldplay Exploration doesn’t play music but have good exploration potential in the prolific Rosario gold mining district in Sinaloa, Mexico. I’m not even sure if any of them can sing. Bunker Hill Mining focused on re-opening the Bunker Hill zinc, lead, silver mine March 21, 2018 – “The Bunker Hill Mine was really the crown jewel of the Coeur d’Alene Mining District, historically produced continuously for over 90 years from 1885 to 1981. During that period of time the mine produced 36 million tons of ore from 26 different ore bodies…” states Howard Crosby, Vice President of Bunker Hill Mining Corp. (CSE: BNKR), in an interview with InvestorIntel’s Peter Clausi. Peter Clausi: If you are looking for gold you go look for it where you found gold. If you are looking for zinc, apparently you go look for it in Idaho. Howard Crosby: That is a good place to start, at least in the Idaho Silver Valley, the Silver Valley Belt in north Idaho and Shoshone County. Peter Clausi: We are here with Bunker Hill, listed on the CSE. You are taking over an advanced deposit that was in production and bringing it back into production.
Howard Crosby: Right. The Bunker Hill Mine was really the crown jewel of the Coeur d’Alene Mining District, historically produced continuously for over 90 years from 1885 to 1981. During that period of time the mine produced 36 million tons of ore from 26 different ore bodies, 3½ million tons of lead. Peter Clausi: Was that one big system or is it different systems? Howard Crosby: It is a gigantic system. There is actually four different types of ore bodies that were mined in there, but we are going to be focused now in redeveloping the mine on some very high-grade wide mechanized mining zones that are high in zinc that also contain by product lead and silver. Peter Clausi: What kind of infrastructure is available? Howard Crosby: It is the most interesting infrastructure really of any mining project I have ever seen because it is located in the town of Kellogg, Idaho. You can drive to the portal of the mine in a Cadillac and never leave paved road. All the buildings, the mine offices and the workshop for machinery and everything is all intact. There is powerlines right to the mine. There is a workforce in town, a train, mining workforce and you are 500 meters off of Interstate 90. Peter Clausi: How did you end up with the project? Howard Crosby: We have signed a lease-purchase option from the underlying owner that acquired the property when the Bunker Hill Company went through a bankruptcy related to the catastrophe at the lead smelter back in the eighties. We have an iron clad lease-purchase option project at this point. Peter Clausi: Okay. I do not understand lease-purchase option. What does that mean? Howard Crosby: We are currently leasing the mine. We are making lease payments to the underlying owner and we have an
ironclad option to acquire the mine for a purchase price of $25 million dollars that would be paid out over 10 years. Peter Clausi: That is not bad. Howard Crosby: The majority of the purchase price we expect would be paid out of cash flow Peter Clausi: Out of production at the mine. Howard Crosby: Through production, yeah. Peter Clausi: What is your timetable? Howard Crosby: That is an interesting question Peter. There is a couple of answers to that. Peter Clausi: There always are. Howard Crosby: The short answer would be we are negotiating with some other mills in the area because the project currently does not have a mill on site. There are mills with excess capacity within 5 miles of the mine…to access the complete interview, click here Disclaimer: Bunker Hill Mining Corp. is an advertorial member of InvestorIntel Corp. Bruce Reid on Bunker Hill, one of the most “historical mines in American history” Bruce Reid, President, CEO and Director of Bunker Hill Mining Inc. (operating as Liberty Silver) (CSE: LSL) in an interview
with InvestorIntel CEO Tracy Weslosky discuss the Bunker Hill Mine in Idaho, U.S.A. Going over the history of the mine, Bruce describes Bunker Hill as, “the largest lead-zinc-silver deposit producing or not producing in the Americas.” Bruce goes on to discuss how Bunker Hill aims to address market interest in zinc amidst the decreasing production seen over the last decade. Tracy Weslosky: Bruce you’re now with Bunker Hill Mining and this is a brand new project. Why don’t you start by explaining to us what Bunker Hill Mining is. Bruce Reid: Bunker Hill is one of the most storied and historical mines in American history. It was discovered in the 1880s, went into production in 1885. Produced for nearly 100 years, went out of production because of its lead smelters – was shut down by the EPA. Nothing to do with the mine, but it just had to do with their smelters. It’s been shut down since 1981. I’ve been trying to buy it for 20 years and it finally came my way. Tracy Weslosky: In a presentation you said that you were speaking to another associate when you said, “go get the Bunker.” That resonated with me. Tell me a little bit more about that. Bruce Reid: A gentleman approached me with a shell company and he’d been talking to me for about 2-2.5 years. He kept suggesting that I should join his company and I kept rebuffing him. Finally last year when I was free of all my other companies he said, what’s it going to take to get your attention? I said, “go get the Bunker.” Well, he got the Bunker so I joined him. Tracy Weslosky: InvestorIntel members this is right out of the gate. This is a brand new story. If you’ve ever heard, “right time, right place,” that’s how I heard Christopher Ecclestone when he gave you a buy recommendation. Can you tell us what he
means by this? Bruce Reid: What he means is this is the largest lead-zinc- silver deposit producing or not producing in the Americas. It produced nearly 36 million tons of high-grade lead and zinc and silver through 96 years. It had 60 million tons, nearly double what they had produced for 100 years, still sitting inside the mountain. Tracy Weslosky: He put a $3.10 long buy recommendation on you. When I called and told you that you said, “that’s cheap.” Bruce Reid: It is. If I’m sitting around and looking at companies of our type… to access the complete interview, click here Disclaimer: Bunker Hill Mining Inc. is an advertorial member of InvestorIntel Corp.
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