Cerro de Pasco to extend mine acquisition closing date
CDPR has agreed to extend the acquisition agreement of the Cerro de Pasco Mine, described below, with Volcan Compania Minera S.A.A. (BVL: VOLCABC1) and its subsidiaries (collectively, “Volcan”) until October 30, 2020. The Company’s management continues to advance towards a successful closing and has extended the agreement date to enable the amendment of certain key terms to the benefit of both parties in the Transaction. The closing of the Transaction is expected to occur on or before October 30, 2020 subject to standard closing conditions and procedures being met.Read More
About the Transaction
On November 28, 2019, the Company announced the execution of a definitive share purchase agreement dated November 27, 2019 (the “Agreement”) with Volcan, whereby CDPR will acquire all of the issued shares of Oxidos de Pasco S.A.C., Empresa Administradora de Cerro S.A.C and Remediadora Ambiental S.A.C.. The arm’s length transaction (the “Transaction”) will provide CDPR ownership and operation of all mining and processing assets in Cerro de Pasco, Central Peru, including a precious metal leach plant and a base and precious metals concentrator, together having a permitted capacity of almost twenty thousand tonnes per day.
For further details about the Transaction please referred to the press release issued on November 28, 2019.
Sprott Capital Partners LP
Cerro de Pasco has retained Sprott Capital Partners (“Sprott Capital”) as its financial advisor in relation to the funding of the Transaction. Sprott Capital is uniquely positioned to advise and support CDPR in this landmark and transformational transaction, having recently completed numerous transactions in the natural resources sector. Sprott Capital is a division of Sprott Inc., an alternative asset manager.
Further to the news release of August 21, 2020, CDPR completed a non-brokered private placement offering (the “Offering”) for gross proceeds of $1,000,000 and issued 3,333,334 units of the Company (“Units”) at a price of at a price of $0.30 per Unit.
Under the different tranches of the Offering, the Company raised aggregate gross proceeds of $ 3,000,000 (please refer to the press releases issued on August 21, July 2, June 16 and June 11, 2020).
Each Unit consists of one common share of the Company (“Share”) and one common share purchase warrant (“Warrant”). Each Warrant entitles the holder to purchase one Share at a price of $0.50 per Share for a period of 24 months from the date of issuance provided however that the Company shall be entitled to accelerate the expiry of the Warrants to the date that is 30 days following the date a notice is provided to the holder in the event that the volume weighted average price of the Shares on the Canadian Securities Exchange exceeds $1.00 per Share for any twenty (20) consecutive trading days at any time prior to the expiry of the Warrants.
In connection with the current tranche of the Offering, the Company issued 250,000 finder warrants to arm’s length third parties, each entitling its holder to purchase one Share at a price of $0.365 per Share until August 28, 2022.
The Company will use the net proceeds of the Offering for working capital purposes and towards advancing exploration drilling at its historical Quiulacocha polymetallic tailings storage facility which is an immediately adjacent property to the Cerro de Pasco Mine.
Any securities issued pursuant to the Offering will be subject to a hold period under applicable securities laws which will expire four months and one day from the date of their issuance.
Grant of Stock Options
Cerro de Pasco also announces that it has granted incentive stock options to directors, officers, employees, and consultants of Cerro de Pasco to acquire an aggregate of 4.5 million common shares at $0.40 per share, for a period of 3 to 5 years. These incentive stock options have been granted in accordance with CDPR’s Stock Option Plan.
HPQ-Silicon closes $2.7-million private placement
HPQ-Silicon Resources Inc. is closing a non-brokered private placement of 4.5 million units at 60 cents per unit for gross proceeds of $2.7-million with the two following placees:Read More
- PyroGenesis Canada Inc. has subscribed for four million units in the placement for a gross proceeds of $2.4-million;
- ThreeD Capital Inc. has subscribed for 500,000 units in the placement for a gross proceeds of $300,000.
“This transaction is a further demonstration of the strength of the HPQ – PyroGenesis cooperation as we develop both the PUREVAP Quartz Reduction Reactor (QRR) and the PUREVAP Nano Silicon Reactor (NSiR) processes. Furthermore, the participation of legendary Venture Capital Financier Sheldon Inwentash in a Private Placement that values HPQ market capitalization over the $150 Million threshold is strong vote of confidence in what we are doing,” said Bernard Tourillon, President & CEO of HPQ Silicon. “Our PUREVAP processes open up unique business opportunities with multibillion-dollar addressable markets for HPQ, PyroGenesis and our shareholders, as we strive to deliver the critical Silicon nano-materials required by the surging Li-ion battery market and other renewable energy sectors.”
“It is indeed a pleasure to participate in this private placement and increase our position in HPQ,” said P. Peter Pascali CEO and Chairman of PyroGenesis Canada Inc. “Not only do we find this to be a unique opportunity to invest in a business that has enormous potential for growth, but one that is supported by a visionary management and Board. We are confident that this investment will play out very well for us and our investors, and we look forward to consider adding to our position should the opportunity arise in the future.”
In addition to participating in the Placement, HPQ is pleased to announce that THREED Capital Inc CEO Sheldon Inwentash has agreed to act as a strategic advisor to HPQ management as we embark in the start of this new and exciting phase of our development.
Placement Terms: Each Unit will be comprised of one (1) common share and one (1) common share purchase warrant (“Warrant”) of the Company. Each Warrant will entitle the Subscribers to purchase one common share of the capital stock of the Company at an exercise price of $ 0.61 for a period of 36 months from the date of closing of the placement. Each share issued pursuant to the placement will have a mandatory four (4) month and one (1) day hold period from the date of closing of the placement. The Placement is subject to standard regulatory approvals.
Gold Terra starts trading on OTCQX
Gold Terra Resource Corp. has qualified to trade on the OTCQX Best Market. Gold Terra upgraded to OTCQX from the OTCQB Venture Market.Read More
Gold Terra begins trading today on OTCQX under the same symbol TRXXF. U.S. investors can find current financial disclosure and real-time Level 2 quotes for the company on the OTC website.
“With the resurgence of the gold market and the company’s recent exploration success on its YCG project, we are delighted to be trading on the OTCQX,” said David Suda, president and chief executive officer of the company. “Trading on OTCQX is a reflection of our increased focus on growing our investor base in the U.S. as we continue to build awareness and unlock the potential of our gold project in Yellowknife.”
Omineca receives Wingdam drill permits from B.C. gov’t
Omineca Mining and Metals Ltd. has received permits from the government of British Columbia for the first 27 diamond drill holes, totalling approximately 8,000 metres, at its Wingdam gold exploration project in the Cariboo mining district of south-central British Columbia. A drill is on site and final preparations are under way to commence the maiden drill program.Read More
The central focus of Omineca’s 2020 gold exploration program is to locate the presumed multiple bedrock sources of placer gold recovered by Omineca in the 2012 underground bulk sampling program.
Omineca Mining and Metals Ltd.’s management would like to recognize the Ministry and its various agencies and contractors for their efforts in keeping this project moving amidst the challenges that COVID-19 has presented. Omineca would also like to extend its thanks to the Lhtako Dene Nation, Red Bluff Indian Band for their open communication and input. Omineca looks forward to a mutually successful project in the Cariboo Mining District.
The Company will provide regular updates as the drill program progresses.
Santacruz Silver loses $636,000 (U.S.) in Q2
Santacruz Silver Mining Ltd. has released the operating and financial results for the Zimapan mine in Zimapan Hidalgo, Mexico, and the Rosario project in San Luis Potosi, Mexico, for the second quarter of 2020. The full version of the financial statements and accompanying management’s discussion and analysis can be viewed on the Company’s website at http://www.santacruzsilver.com or on SEDAR at http://www.sedar.com. All amounts are in thousands of US dollars unless otherwise indicated.Read More
Q2 2020 HighlightsCash Cost per tonne decreased 34% from $62.80/t to $41.44/t as compared to Q2 2019;Gross Profit from mining operations of $796, notwithstanding the mine suspension period for 42 days at the Zimapan Mine and a 40% personnel reduction at the Rosario Project; and,Consolidated cash cost per silver equivalent ounce sold $15.25/oz and AISC of $16.90/oz.
Carlos Silva, CEO of Santacruz stated, “The global outbreak of COVID-19 and the steps necessary to mitigate the impact of this disease on our operations has created a more agile decision making process at all levels and strong leadership to guide these efforts as we strive to be more efficient and productive in these trying times. Some of the operational and administrative adjustments undertaken in Q2 are here to stay, specifically those aimed at the safety of our employees and our performance target metrics.” Mr. Silva continued, “We are enjoying a solid third quarter, leaving behind the COVID-19 mandatory suspension and aiming to re-establish our mines’ production targets and improved profitability with stronger metal prices.”
The Company also announces the resignation of Mr. Rob McMorran from the office of Chief Financial Officer of the Company which he has held since the Company’s formation in April 2012. Mr. McMorran will remain as an advisor to the Company’s Board of Directors. Arturo Prestamo, Executive Chairman, has been appointed Interim CFO while the Company finds an appropriate candidate for this position. The Company would like to thank Mr. McMorran for his valuable service these past eight years. Mr. Arturo Prestamo, Executive Chairman stated, “I would like to personally thank Rob for his significant contribution to the Company over the past years and wish him well in his retirement.”
Selected financial information for the three-month periods ended June 30, 2020, March 31, 2020 and June 30, 2019 is presented below:2020 Q22020 Q12019 Q2
Revenue - Mining Operations 5,939 7,816 3,247 Revenue - Mining Services - - 888 Gross Profit (Loss) (1) 796 (1,874) 251 Debt forgiveness 412 - - Net Loss (636) (87) (1,137) Net Loss Per Share - Basic ($/share)(0.00) (0.00) (0.01) Adjusted EBITDA (1) 12 (2,909) (113)
(1) The Company reports additional non-IFRS measures which include Gross Profit (Loss) and Adjusted EBITDA. These additional financial disclosure measures are intended to provide additional information. See the Company’s MD&A filed on SEDAR or its website for a reconciliation of these amounts to the unaudited interim financial statements for the respective periods.(2) Financial results from the Zimapan Mine have been recorded on a 100% basis in the Q2 and Q1 2020 figures but not in the Q2 2019 as the Company did not acquire the lease rights to the Zimapan Mine until July 2019.
The Company realized an average silver price of $16.49 per ounce during Q2 2020, which represents an 12% increase from Q2 2019 and a 1% decrease from Q1 2020.The Company recorded a net loss of $636 ($0.00 per share) for the three-month period ended June 30, 2020 compared to a net loss of $1,137 ($0.01 loss per share) for the same period in 2019.
Revenues in 2020 of $5,939 arose entirely from mining operations whereas in 2019 $3,247 was generated by mining operations and $888 by mining services. The significant increase in mining operations revenue is a result of the acquisition of Carrizal Mining during 2019.
Silver equivalent production for Q2 2020 increased by 105% to 709,765 ounces as compared to 346,021 ounces in Q2 2019. This increase is largely due to the inclusion of production from the Zimapan Mine during Q2 2020 (2019 – nil) offset by a 50% decrease in production at the Rosario Project and suspension of operations at the Veta Grande Project.
Selected operating information for the three-month periods ended June 30, 2020, March 31, 2020 and June 30, 2019 is presented below:
Operational Results and Costs2020 2019 Q2 Q1 Q2 Material Processed (tonnes milled) Zimapan Mine (5) 106,725139,903 - Veta Grande Project - 11,095 37,156 Rosario Project 10,074 17,497 20,789 Consolidated 116,799168,495 57,945 Silver Equivalent Produced (ounces) (1) (4) Zimapan Mine (5) 639,021829,514 - Veta Grande Project - 64,870204,612 Rosario Project 70,744 73,251141,409 Consolidated 709,765967,635346,021 Silver Equivalent Sold (payable ounces) (2) Zimapan Mine (5) 461,324626,984 - Veta Grande Project - 47,854149,898 Rosario Project 30,018 61,111127,850 Consolidated 491,341735,949277,748 Cash Cost of Production per Tonne (3) Zimapan Mine 40.67 48.15 - Veta Grande Project - 148.36 59.59 Rosario Project 49.53 62.12 68.55 Consolidated 41.44 56.20 62.80 Cash Cost per Silver Equivalent Ounce (3) Zimapan Mine 14.88 16.53 - Veta Grande Project - 39.52 17.68 Rosario Project 21.45 23.47 14.23 Consolidated 15.25 18.60 16.09 All-in Sustaining Cash Cost per Silver Equivalent Oz (3) Zimapan Mine 16.00 17.57 - Veta Grande Project - 46.34 19.70 Rosario Project 31.91 29.01 16.59 Consolidated 16.90 20.39 18.27 Average Realized Silver Price per Ounce (3) Zimapan Mine 16.47 16.38 - Veta Grande Project 17.01 14.67 Rosario Project 16.89 16.38 14.65 Consolidated 16.49 16.66 14.66
(1) Silver equivalent ounces produced in 2020 have been calculated using prices of $17.85/oz., $1,480/oz., $0.92/lb, $1.09/lb and $2.80/lb. for silver, gold, lead, zinc and copper respectively applied to the metal content of the concentrates produced by the Veta Grande Project, Rosario Project and the Zimapan Mine. Silver equivalent ounces produced in 2019 have been calculated using prices of $15.25/oz., $1,281/oz., $0.94/lb, and $1.20/lb for silver, gold, lead and zinc respectively applied to the metal content of the concentrates produced by the Veta Grande Project and the Rosario Project.(2) The comparative figures for Q2 2019 have been restated from the originally disclosed amounts based on an internal review of past metallurgical reporting practice and the adoption by management of new procedures designed to more accurately calculate the relevant data.(3) Silver equivalent sold ounces have been calculated using the realized silver prices stated in the table above, applied to the payable metal content of the concentrates sold from the Veta Grande Project, Rosario Project and Zimapan Mine respectively.(4) The Company reports non-IFRS measures which include Cash Cost per Silver Equivalent, All-in Sustaining Cash Cost per Silver Equivalent, Cash Cost of Production per Tonne, and Average Realized Silver Price per Ounce. These measures are widely used in the mining industry as a benchmark for performance, but do not have a standardized meaning and may differ from methods used by other companies with similar descriptions.(5) Amounts reported for the Zimapan Mine reflect the Company’s 100% interest in the mine operations during Q1 and Q2 2020 but was nil% during Q2 2019 as the Company did not acquire the lease rights to the Zimapan Mine until July 2019.
Cash cost of production per silver equivalent ounce sold decreased by 5% in Q2 2020 to $15.25/oz as compared to $16.09/oz in Q2 2019. This change in unit costs reflects the positive impact of the inclusion of the operating costs from the Zimapan Mine offset by a 51% increase in unit costs due to a 50% decrease in the silver equivalent ounce produced at the Rosario Project. The increase in unit costs at the Rosario Project is entirely due to the decreased production in Q2 2020 that occurred as a result of reduced staffing levels in connection with Covid-19 pandemic safety measures.
As compared to Q1 2020 the Q2 2020 unit costs decreased 18%. This change reflects a 10% decrease in unit costs at the Zimapan Mine together with a 9% decrease at the Rosario Project. The consolidated cash cost of sales for mining operations decreased by 41% while the amount of silver equivalent payable ounces sold decreased by 28% due to the mine suspension period for 42 days at Zimapan and a 40% personnel reduction at Rosario mine.
All-in sustaining cash cost of production per silver equivalent ounce sold decreased by 7% in Q2 2020 to $16.90/oz as compared to $18.27/oz in Q2 2019. As referenced above, this change in unit costs reflects the impact of the inclusion of the operating costs from the Zimapan Mine offset by the suspension of mining activities at the Veta Grande Project, and a 92% increase in unit costs at the Rosario Project due to a 50% decrease in the silver equivalent ounces produced. The consolidated all-in sustaining cost for mining operations increased by 77% and there was a 91% increase in silver equivalent payable ounces sold.
As compared to Q1 2020 the Q2 2020-unit costs decreased 10%. This change reflects a 9% decrease in unit costs at the Zimapan Mine and suspension of the Veta Grande Project, offset by a 10% increase at the Rosario Project. The consolidated all-in sustaining cost for mining operations decreased by 40% with a 33% decrease in silver equivalent payable ounces.
Eclipse Gold begins phase II drilling at Hercules
Eclipse Gold Mining Corp. has commenced phase II drilling at its Hercules gold project in Nevada’s Walker Lane trend.Read More
A reverse circulation drill rig is now turning at the first target site of the company’s phase II program, which is planned to comprise 18 holes totalling approximately 6,750 metres. For further details of the phase II drill program, please see the company’s Aug. 18, 2020, news release.
“Targeted drilling, guided by our recent phase I drilling and ground IP geophysical survey results, should give us a greater understanding of the nature and scale of Hercules’s epithermal gold system,” noted Dr. Warwick Board, vice-president of exploration for Eclipse. “We are excited to be testing the Hercules structural zone as a potential feeder to the system, the possible link between the Cliffs and Hercules targets at depth, and the apparent thickening of the system to the south of these target areas.”
Further details on the phase I drill program and ground induced polarization geophysical survey are provided in the company’s June 10 and July 21, 2020, press releases.
The phase II drill program may be further refined based on the results of the electromagnetic survey currently being completed (see Aug. 4, 2020, press release). Envirotech Drilling LLC of Winnemucca, Nev., is operating the current drill rig. COVID-19 procedures and precautions remain in place to ensure the safety of all site staff and contractors.
Airborne geophysical survey update
The company reports that almost 1,000 line kilometres have been completed of the 2,200 line km planned for its airborne geophysical survey. Final results are expected in September.
Dr. Board, PGeo, vice-president of exploration for Eclipse, and a qualified person as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this release.
Enviroleach to acquire 40% stake in Group 11
Enviroleach Technologies Inc. has signed a licence agreement and partnership with Group 11 Technologies Inc. for the refinement and application of in situ gold mining technologies incorporating Enviroleach’s water-based solution.Read More
In exchange for an initial 40% ownership position in Group 11, EnviroLeach has granted Group 11 a license to use EnviroLeach’s metal extraction technology. EnviroLeach will also receive royalty payments on any metal produced in accordance with the license agreement. Further, Group 11 will pay EnviroLeach for technical and other support services relating to the use of the Company’s metal recovery technology.
About Group 11 Technologies Inc.
Effective August 28, 2020, Group 11 finalized all necessary Organizational, Shareholder, and Licensing documentation with its founding partners to commence formal operations. Group 11’s initial steps will include the acquisition and subsequent testing of already identified gold projects that demonstrate specific qualities lending themselves to Group 11’s environmentally superior processes. Group 11 is committed to providing commercially viable, sustainable alternatives to conventional mining for the extraction and processing of precious metals.
Group 11 was founded and is owned by enCore Energy Corp. (“enCore”) (TSXV:EU; OTCQB:ENCUF) with 40% of the common stock, EnviroLeach with 40% of the common stock and Golden Predator Mining Corp. (“Golden Predator”) (TSXV: GPY; OTCQB: NTGSF) with 20% of the common stock. enCore has contributed $750,000 in initial funding and will provide in-situ extraction expertise; EnviroLeach has contributed a license for Group 11 to use its environmentally friendly metal recovery process and will provide chemical and metallurgical expertise; and Golden Predator will contribute mobile processing equipment and expertise in utilizing EnviroLeach’s environmentally friendly solution for recovery of gold from sulphide concentrates. Group 11, a private company, will finance all ongoing research and development expenditures for in-situ and secondary recovery applications.
Duane Nelson, President, and CEO of EnviroLeach commented: “We are very excited to be a part of this important and disruptive new mining initiative. The in-situ recovery of gold using the EnviroLeach/Group 11 combined processes, has the potential to change how the world mines gold. This technology provides a relatively non-invasive, low CAPEX/OPEX alternative to conventional gold mining. This has the potential to unlock the value of thousands of smaller gold deposits, and those in sensitive environments. The combined talented teams of scientists, metallurgists, and executives all have the necessary experience, expertise, and resources to drive this forward. We anticipate the significant ownership of Group 11 and the resulting royalties will help drive value to our company.”
Fenixoro Gold appoints Peng as CFO
Fenixoro Gold Corp. has appointed Jing Peng, CPA, to the position of chief financial officer of the company.Read More
Mr. Peng is a Canadian Chartered Professional Accountant. He has worked in public accounting for the past 10 years providing financial services primarily to junior exploration companies. Mr. Peng has been the CFO of Austin Resources Ltd., a TSXV-listed company, since September 2015 and the CFO of Captor Capital Inc., a CSE-listed company, since March 2014. In addition, since December 2010, Mr. Peng has been the senior financial analyst at Marrelli Support Services, a well-respected supplier of accounting and reporting services. Mr. Peng was a senior accountant at MSCM LLP and KPMG LLP. Mr. Peng hold a Master’s degree in Management and Professional Accounting from the Rotman School of Management, University of Toronto.
This represents the Company’s planned transition of administrative operations to its Toronto office. The Company thanks outgoing CFO Mr. Xavier Wenzel for his dedication and service.
Canada Silver closes $6.69M private placement
Further to its press release dated Aug. 19, 2020, Canada Silver Cobalt Works Inc. has closed its second final tranche of its non-brokered private placement financing, raising gross proceeds of $3,547,000. The Company closed the 1st tranche on August 14, 2020 raising $3,146,730. The Company is pleased to report it has raised a total of $6,693,730 in both tranches.Read More
The Company has issued an additional 6,449,091 units (“Units”) in the final closing. Each Unit is comprised of one common share of the Company and one share purchase warrant. Each whole warrant will entitle the holder thereof to purchase one additional common share of the Company at an exercise price of $0.65 per share, for a period of three years from closing, subject to TSX Venture Exchange (“Exchange”) final approval.
The proceeds of the private placement will be used for ongoing drilling of the Castle East Robinson Zone discovery, near the town of Gowganda, Ontario and for general working capital.
Finder’ fees in the amount of $32,900 and the issuance of 59,818 finder warrants were paid in connection with the private placement. The finder’s warrants are on the same terms as the financing warrants. The finder fees are subject to Exchange approval.
All securities issued in connection with the private placement are subject to a four-month and a day hold period in accordance with applicable Canadian Securities Laws.
Bonterra Resources hires Adelaide for IR services
Bonterra Resources Inc. has retained Adelaide Capital to provide investor relations consulting services to the company in compliance with the policies and guidelines of the TSX Venture Exchange.Read More
Under the terms of the agreement, Adelaide will receive $8,000 per month. The agreement is effective September 1, 2020 and will continue for a period of at least 4 months. There are no performance factors contained in the agreement. In addition, under the agreement, the company today granted 35,000 inventive stock options (the “Options”) to Adelaide under the company’s stock option plan (the “Stock Option Plan”). Subject to the policies of the TSXV and the terms and conditions of the Stock Option Plan, the Options have an exercise price of $1.54 and expire two years from the date of issuance and vest 8,750 on September 1, 2020, 8,750 on December 1, 2020, 8,750 on March 1, 2021 and 8,750 on September 1, 2021. All options when exercised will be subject to a statutory hold period of four months and one day from the date of issuance of the options. The entering into of the agreement and the grant of the Options thereunder are still subject to the approval of the TSXV.
Adelaide is a full-service investor relations firm that brings a unique perspective and a re-engineered investor relations business model. Adelaide will work with Bonterra’s management team to develop and deploy a comprehensive capital markets program, which includes assisting with non-deal roadshows, virtual campaigns, conferences and assisting with investor communication. Adelaide and the company are unrelated and unaffiliated entities. Adelaide is principally owned by Deborah Honig.
Abraplata Resource closes $18-million private placement
Abraplata Resource Corp. has closed its previously announced non-brokered private placement. In connection with the closing of the Placement, the Company issued 66,666,666 units (each, a “Unit”) at a price of $0.27 per Unit for gross proceeds of $18.0 million. Each Unit consisted of one common share in the equity of the Company (each, a “Common Share”) and one-half of one share purchase warrant (each whole warrant, a “Warrant”).Read More
Each Warrant entitles the subscriber to purchase one additional Common Share at a price of $0.40 until the second (2nd) anniversary of the closing date of the Placement. Notwithstanding the foregoing, in the event that, following the January 2, 2021, the volume weighted average price on the TSX Venture Exchange has been at least $0.70 for 20 consecutive trading days, the Company may deliver a notice to the holders of Warrants accelerating the Expiry Date to the date that is 30 days following such notice, and any unexercised Warrants after such period shall automatically expire.
Mr. Eric Sprott through 2176423 Ontario Ltd. (“2176423”), a corporation which is beneficially owned by him, acquired 36,481,500 Units pursuant to the Private Placement. After closing of the Placement, Mr. Sprott now beneficially owns or controls 62,481,500 Common Shares and 44,240,750 Common Share purchase warrants, representing approximately 15.8% of the Company’s issued and outstanding Common Shares on a non-diluted basis and 24.3% on a partially diluted basis assuming exercise of all warrants held by Mr. Sprott. Prior to the closing of the Placement, Mr. Sprott owned 26,000,000 Common Shares and 26,000,000 Common Share purchase warrants. Mr. Sprott has signed an undertaking not to exercise his warrants until such time as the Company can obtain disinterested shareholder approval of the creation of a new control person, which is required once Mr. Sprott passes the 20% ownership threshold. The Company has agreed to call a shareholders’ special meeting within 4 months of the closing of the Placement, at which time such approval will be sought.
The Units were acquired by Mr. Sprott, through 2176423, for investment purposes. Mr. Sprott has a long-term view of the investment and may acquire additional securities of the Company including on the open market or through private acquisitions or sell securities of the Company including on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.
A copy of 2176423’s early warning report will appear on the Company’s profile on SEDAR and may also be obtained by calling 416-945-3294 (200 Bay Street, Suite 2600, Royal Bank Plaza, South Tower, Toronto, Ontario M5J 2J1).
Mr. John Miniotis, President and CEO of AbraPlata commented, “With a strong balance sheet consisting of over $25 million in cash, AbraPlata is now very well positioned to aggressively advance Diablillos and continue to unlock value for shareholders. We are very pleased that Mr. Sprott is now the largest shareholder of AbraPlata and combined with Altius Minerals Corp. and SSR Mining Inc., the three parties collectively own over 36% of the Company.”
The proceeds of the Placement will be used to advance exploration activities at the Diablillos Silver-Gold project and for general working capital purposes. In connection with the completion of the Placement, the Company will pay aggregate finders’ fees of $1,035,217 to Clarus Securities Inc., Haywood Securities Inc. and Canaccord Genuity Corp. and issue 4,000,000 broker warrants exercisable for Common Shares at a price of $0.27 until the Expiry Date.
All securities issued in connection with the closing of the Placement are subject to a four-month-and one-day statutory hold period in accordance with applicable securities laws.
Mr. Sprott is an insider of the Company. In addition, officers and directors of AbraPlata subscribed in the Placement for an aggregate of 199,966 Units and the participation of such officers and directors of AbraPlata and Mr. Sprott in the Placement constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Placement is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to section 5.5(a) and section 5.7(1)(a) as the fair market value of the participation of Mr. Sprott and the directors and officers is not more than 25% of the Company’s market capitalization. The Company did not file a material change report in respect of the related-party transaction at least 21 days prior to the closing of the Placement, which the Company deems reasonable in the circumstances so as to be able to avail itself of the proceeds of the Placement in an expeditious manner
Radisson drills 2.1 metres of 45.86 g/t Au at O’Brien
Radisson Mining Resources Inc. has released significant high-grade gold intercepts from the continuing 60,000-metre exploration drill program at its O’Brien gold project located along the Larder-Lake-Cadillac break, halfway between Rouyn-Noranda and Val d’Or in Quebec, Canada.Read More
“Drill results from the O’Brien project continue to validate our litho-structural model and demonstrate the potential for resource growth at depth and laterally along strike. Prior drilling demonstrated the potential for two high-grade mineralized trends, located approximately 300 m and 600 m, respectively, to the east of and bearing similarities to structures historically mined at the O’Brien mine. Our efforts to step out further to the east have been rewarded with multiple high-grade intercepts including 45.86 grams per tonne over 2.10 metres, 21.29 g/t over 2.00 m and 17.90 g/t over 2.15 m that appear to highlight a third high-grade mineralized trend in a relatively untested area approximately 900 m to the east of the old mine. Drilling so far has traced mineralization down to 500 m vertical depth, with the zone remaining open at depth and laterally.
“Our exploration efforts to date have been limited to a strike length of approximately one km, a relatively small part of the six km prospective strike length along the prolific Cadillac break. While we are impressed by results so far, we are even more excited at the prospect of leveraging our litho-structural model to target a repeat of our success over a much larger area that extends approximately 3.0 km to the east and now, post the New Alger acquisition, three km to the west of the old O’Brien mine, historically the highest-grade gold mine in Quebec.
“Results released so far represent approximately half of our planned 60,000 m program. We are well funded to expand our program to up to 75,000 m, permitting additional drilling into 2021. With three rigs in operation, we eagerly look forward to additional results as we systematically step out to grow resources laterally and at depth,” commented Mario Bouchard, chief executive officer.
Press release highlights:
- Potential for a third high-grade mineralized trend, approximately 900 m east of the old O’Brien mine, with multiple high-grade intercepts outside the boundary of defined resources;
- Hole OB-20-149 returned 45.86 g/t over 2.10 m (500 m vertical depth) including 92.90 g/t over 1.00 m with visible gold showings obtained 260 m below defined resources;
- Hole OB-20-146 returned 17.90 g/t over 2.15 m (105 m vertical depth) and 21.29 g/t over 2.00 m (260 m vertical depth);
- Hole OB-20-144 returned 5.79 g/t over 2.00 m (135 m vertical depth);
- Highlights opportunity for significant resource growth in a largely undrilled area;
- Mineralization has been traced down to 500 m vertical depth, with the zone open for expansion laterally and at depth.
Opportunity for additional resource growth within a second mineralized trend located approximately 600 m east of the old O’Brien mine:
- Hole OB-20-142 returned multiple high-grade intercepts east of defined resources in the area including 5.58 g/t over 2.00 m, 11.02 g/t over 2.00 m and 5.81 g/t over 2.00 m.
- Current resources in the area are largely above 360 m vertical depth and mineralization remains open for expansion laterally and at depth.
Drilling continues to expand the first mineralized trend (36E zone) approximately 300 m to the east of the old O’Brien Mine and below the resource boundary:
- Hole OB-20-145 returned 12.48 g/t Au over 2.00 m core length (vertical depth of 725 m).
- The majority of defined resources in the area is within 600 m vertical depth.
- Drilling to date demonstrates continuity down to approximately 950 m, within an area extending approximately 300 m laterally and 350 m vertically below the resource boundary.
- Mineralization is open for expansion laterally and at depth below 950 m.
With the close of the New Alger acquisition, Radisson’s claims cover a prospective strike length of 5.9 km along the prolific Cadillac break:
- Prospective strike now includes approximately three km east and three km west of the old O’Brien mine, historically the highest-grade gold mine in Quebec (production of 587,000 ounces at 15.25 g/t average grade from 1926 to 1957).
- Drilling thus far has mostly been limited to one kilometre to the east of the old mine.
- The company plans to systematically step out farther to the east as well as initiate drilling on high-potential targets to the west of the O’Brien mine.
The company has completed 45,771 m of drilling to date with assays pending for approximately 12,771 m:
- Released results represent 55 per cent of a planned 60,000 m program.
- The company is financed to expand the program to over 75,000 m.
NOTABLE DRILL RESULTS Hole From To Core length Au uncut (m) (m) (m) (g/t) OB-20-138 380.00 382.00 2.00 6.29 381.00 382.00 1.00 9.53 OB-20-142 42.00 44.00 2.00 5.58 42.00 43.00 1.00 10.65 250.60 252.60 2.00 11.02 282.30 284.30 2.00 5.81 283.30 284.30 1.00 9.56 OB-20-144 167.00 169.00 2.00 5.79 168.00 169.00 1.00 8.93 OB-20-145 833.00 835.00 2.00 12.48 OB-20-146 72.00 74.15 2.15 17.90 72.80 74.15 1.35 28.50 294.00 296.00 2.00 21.29 295.00 296.00 1.00 42.40 OB-20-149 549.00 551.10 2.10 45.86 549.00 550.00 1.00 92.90 Core length or downhole width. True widths are estimated at 70 per cent to 80 per cent of downhole width. To the extent possible, primary intercepts reflect minimum mining width (1.5 m true width) consistent with assumptions used in the 2019 resource estimate. Assay grades shown uncapped. A capping factor of 60 g/t Au was used in the 2019 resource estimate Table includes only intercepts that meet five g/t Au cut-off and minimum mining width constraints used in the 2019 MRE.
Potential third high-grade mineralized trend (Kewagama area), 900 m east of the O’Brien mine:
- Hole OB-20-149 returned 45.86 g/t Au over 2.10 m core length (vertical depth of 500 m) with visible gold showing in a smoky quartz vein:
- The intercept was obtained 260 m below defined resources in a sparsely drilled area 900 m east of the old O’Brien mine.
- Hole OB-20-146 returned multiple high-grade intercepts including:
- 17.90 g/t Au over 2.15 m core length (vertical depth of 105 m) including 28.50 g/t over 1.35 m;
- 21.29 g/t Au over 2.00 m core length (vertical depth of 260 m) including 42.40 g/t over 1.00 m;
- Hole OB-20-144 returned 5.79 g/t Au over 2.00 m core length (vertical depth of 135 m):
- The intercept was obtained 25 m above defined resources.
- Resources in the area are mostly above 250 m vertical depth. Mineralization is open for expansion laterally and at depth.
Results from holes OB-20-144, OB-20-146 and OB-20-149, in conjunction with historical results, appear to be highlighting a third high-grade steeply dipping mineralized trend located approximately 900 m to the east of the old O’Brien mine. Further drilling is planned to confirm continuity down to 500 m vertical depth (260 m below the limit of resources in the area) where hole OB-20-149 intersected 45.86 g/t over 2.10 m. Mineralization remains open for expansion laterally and at depth below 500 m.
Drilling highlights opportunity for resource growth within the second mineralized trend, 600 m east of the old O’Brien mine:
- Hole OB-20-142 returned multiple high-grade intercepts outside and to the east of modelled resources in the area, previously highlighted by hole OB-20-124 (see 8.35 g/t Au over 6.00 m) and OB-19-106, these results include:
- 5.58 g/t Au over 2.00 m from 42.00 m core length;
- 11.02 g/t Au over 2.00 m from 250.60 m core length;
- 5.81 g/t Au over 2.00 m from 282.30 m core length.
Results from holes OB-20-142, OB-20-124 and OB-19-106 in conjunction with other recent results, appear to be defining a second high-grade steeply dipping mineralized trend starting approximately 300 m east of the high-grade trend defined down to a vertical depth of 950 m on 36E and F zones. While resources in this area are largely limited to the upper 400 m, results from the continuing campaign indicate a trend that links above high-grade resources up to 175 m farther down plunge. There are indications that the trend could extend deeper to 1,100 m where a historical intercept returned 17.46 g/t Au over 1.00 m. Overall results to date suggest strong exploration potential below 400 m for this sector with assays pending for additional holes in this area.
Drilling continues to expand the first mineralized trend (36E zone) at depth below the resource boundary
- Hole OB-20-145 returned 12.48 g/t Au over 2.00 m core length (vertical depth of 725 m);
- The intercept was obtained below the eastern boundary of resources at the Lower 36E zone;
- 120 m above a previously released intercept of 66.71 g/t Au over 4.70 m (see OB-19-92W2b);
- 60 m east of a previously released intercept of 37.76 g/t Au over 2.00 m (see OB-19-98W2);
Current resources at the 36E zone are limited to 600 m vertical depth. Additional drilling is planned to establish the resource potential in the Lower 36E area, drilling thus far suggests strong continuity of mineralization down to 950 m, within an area extending approximately 300 m laterally and 350 m vertically below the resource boundary. This area remains a key focus for the current drilling program. All holes drilled on Lower 36E as part of this campaign have intersected mineralization within the targeted geological units, with most holes returning high-grade intercepts, often accompanied by visible gold showings. While the majority of drilling so far has been focused on testing the eastern extent of mineralization at depth, it remains open for expansion laterally (to the east and west) and at depth below 950 m. Drilling is currently under way to test the western extent of mineralization, with assays pending for hole OB-20-148W1, having intersected multiple grains of disseminated visible gold within a smoky quartz vein at the western boundary of the Lower 36E area.
To date 45,771 metres of drilling have been completed at the O’Brien gold project with assays pending for approximately 12,771 m. Results released so far represent 55 per cent of the continuing 60,000 m drill campaign started in August, 2019. The company is financed to expand the drill program above 75,000 m.
Quality assurance/quality control
All drill cores in this campaign are NQ in size. Assays were completed on sawn half cores, with the second half kept for future reference. The samples were analyzed using standard fire assay procedures with atomic absorption (AA) finish at ALS Laboratory Ltd. in Val d’Or, Que. Samples yielding a grade higher than five g/t Au were analyzed a second time by fire assay with gravimetric finish at the same laboratory. Samples containing visible gold were analyzed with metallic sieve procedure. Standard reference materials and blank samples were inserted prior to shipment for quality assurance and quality control (QA/QC) program.
Richard Nieminen, PGeo, exploration manager, acts as a qualified person as defined in National Instrument 43-101 and has reviewed and approved the technical information in this press release.
About Radisson Mining Resources Inc.
Radisson is a gold exploration company focused on its 100-per-cent-owned O’Brien project, located in the Bousquet-Cadillac mining camp along the world-renowned Larder-Lake-Cadillac break in Abitibi, Que. The Bousquet-Cadillac mining camp has produced over 21 million ounces of gold over the last 100 years.
Golden Predator Acquires 20% of Group 11 Technologies
VANCOUVER, British Columbia, Sept. 02, 2020 (GLOBE NEWSWIRE) — Golden Predator Mining Corp. (TSX-V: GPY) (OTCQB: NTGSF) (the “Company“) announced today that the Company has entered into final Agreements for a 20% ownership positions in Group 11 Technologies Inc., (“Group 11”) a United States-based private company committed to testing and implementing non-invasive in-situ recovery (ISR) of precious metals with the use of environmentally-friendly solutions.Read More
Effective August 28th, 2020 Group 11 has finalized all necessary Organizational, Shareholder, and Licensing documentation with its founding partners and will now commence formal operations. Group 11’s initials steps will include acquisition and subsequent testing of gold projects, already identified, that demonstrate specific qualities lending themselves to the Company’s environmentally and economically superior processes. Group 11 is committed to providing commercially viable, sustainable alternatives to conventional mining for the extraction and processing of precious metals.
Group 11 was founded and is owned by enCore Energy Corp. (“enCore”) (TSXV: EU; OTCQB: ENCUF) with 40% of the common stock, EnviroLeach Technologies Inc. (“EnviroLeach”) (CSE : ETI; OTCQB: EVLLF) with 40% of the common stock and Golden Predator Mining Corp. (“Golden Predator”) (TSXV: GPY; OTCQB: NTGSF) with 20% of the common stock. EnCore has contributed $750,000 in initial funding and will provide in-situ extraction expertise, EnviroLeach has entered into a license agreement with Group 11 for the use of its environmentally friendly metal recovery process and will provide chemical and metallurgical expertise, Golden Predator will contribute mobile processing equipment and expertise in utilizing EnviroLeach’s environmentally friendly solution for recovery of gold from sulphide concentrates. Group 11, a private company, will finance all ongoing research and development expenditures for in-situ and secondary recovery applications.
About Group 11 Technologies Inc.
Sustainable metals extraction is a serious challenge for the mining industry which faces mounting concerns over its environmental and carbon footprint, energy consumption, operational safety and especially its impact on water use and water quality while responding to an ever-increasing need for metals in our daily lives. Each Group 11 owner brings a vital skill set to address these challenges and create a unique business opportunity. Group 11 is backed by a first-class staff of scientists and engineers; an extraordinary data set; independent technical validations; strategic relationships; over $20 million in research and development; and commercially proven processes and technologies.
Janet Lee-Sheriff, Chief Executive Office said: “We are extremely proud of the contribution our processing plant’s batch processing unit (SRU™) has contributed to Group 11’s team. With the world’s first on-site test of the EnviroLeach cyanide-free metals recovery process we have demonstrated that their process and our mobile plant can economically recover gold from sulphide concentrates, which is a valuable business opportunity.”
Background on Non-Invasive Extraction Technology
Non-invasive extraction of minerals has been successfully implemented in the mining sector with many innovators and patent holders in the field on the team at enCore, one of the Group 11 partners. These innovators pioneered In-situ Recovery (“ISR”) which has been successfully utilized to recover metals including uranium and copper using liquid solutions other than cyanide. Group 11 is committed to the development and application of ISR extraction for gold and other metals using EnviroLeach’s patented environmentally friendly process along with enCore’s expertise in ISR extraction. This combination of expertise will advance a business model that has potential to disrupt the conventional mining industry.
In-Situ Recovery (meaning ‘in place’) is a non-invasive extraction method that has transformed the uranium industry. In ISR, diluted water-based solutions are circulated underground, dissolving the targeted metals, and returned to surface for further processing and recovery of the target metals. ISR means no open pits or underground tunnels, no tailings or large waste dumps and no discharge of noxious chemical at surface. It therefore has the potential to be a low-impact, low capital cost mining method. When many projects are burdened by remediation and rehabilitation requirements, ISR means substantially reduced mine-closure time and costs compared to conventional practices. In addition, energy requirements, water usage and the environmental footprint of mining projects can be significantly reduced using ISR technology.
About the Golden Predator Process
Golden Predator’s test processing plant, the first of its kind in Yukon, Canada, operated from 2016 to 2020 providing increased metallurgical and geological understanding of one of the Company’s projects. A closed-circuit water system with no added chemicals due to the free-milling nature of the gold, Golden Predator partnered with EnviroLeach to utilize its patent pending environmentally-friendly cyanide-free solution in its custom-built mobile extraction unit (“SRU”) to process its sulphide concentrates. The cumulative testing resulted in a total calculated recovery of 93.17% of the gold contained in the concentrate. This work lead to the eventual combination of Golden Predator’s SRU™, enCore Energy Corp.’s ISR expertise and EnviroLeach’s technology in partnerships within Group 11 to consider alternate extraction technologies for precious metals.
Group 11 Technologies Inc. (‘Group 11’) is a private US-based company committed to the development and application of environmentally and socially responsible mineral extraction. Its combination of non-invasive extraction technology and environmentally friendly processes to recover gold and other metals provides an alternate solution to conventional open pit and underground mineral extraction. The goal of advancing sustainable extraction considers growing concerns surrounding water use and discharge, carbon footprint, energy consumption and safety while addressing a growing global need for metals in our daily lives.
Golden Predator Mining Corp.
Golden Predator is advancing the past-producing Brewery Creek Mine towards a timely resumption of mining activities, under its Quartz Mining and Water Licenses, in Canada’s Yukon. With established resources grading over 1.0 g/t Gold and a Bankable Feasibility Study underway to evaluate a restart of heap leach operations at the Brewery Creek Mine, 2020 proves to be a pivotal year for the Company. Golden Predator Mining Corp. has spearheaded and successfully applied the EnviroLeach technology to the recovery of gold from sulphide concentrates where cyanide is not feasible or permitted, using its proprietary mobile recovery unit.
Erdene pegs Bayan Khundii at 521,000 oz Au M&I
Erdene Resource Development Corp. has filed on SEDAR the independent feasibility study technical report for its 100-per-cent-owned, high-grade, open-pit Bayan Khundii gold project in southwest Mongolia.Read More
The Report, entitled ‘Bayan Khundii Gold Project Feasibility Study, NI 43-101 Technical Report’, dated August 31, 2020, with an effective date of July 20, 2020, was prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) by a consortium of International and Mongolian firms, coordinated by Roma Oil and Mining Associates Limited (“Roma”). The Report is available under the Company’s profile at http://www.sedar.com and on the Company’s website at http://www.erdene.com .
Quotes from the Company:
“The Bayan Khundii feasibility study results confirm the robust returns of this project in its base case, and the significant upside from ongoing district-wide exploration and rising gold prices,” said Peter Akerley, Erdene’s President and CEO. “As a low-capex, low-opex project within an emerging gold district, Bayan Khundii offers investors and stakeholders strong leverage to gold as we seek to grow the resource base and move towards the goal of first production in early 2022.”
“An 18,000 metre exploration program is underway, currently focused on upside in the Bayan Khundii area and initial drilling of the recently discovered Dark Horse prospect,” continued Mr. Akerley. “This program has the potential to add to Bayan Khundii reserves and to expand resources across the broader district.”
“On the development side, we have commenced the construction readiness, detailed design work and permitting processes required to move rapidly to construction,” concluded Mr. Akerley. “With the proceeds of the recently closed C$20 million private placement, led by a strategic investment from Eric Sprott, and the engagement of HCF International Advisers Limited (“HCF”), with a mandate to secure project debt financing, we have visibility to the required funding.”
NI 43-101 Feasibility Study Highlights (US$1,400/oz Gold Price, unless noted)
Base Case after-tax Net Present Value of US$100 million (NPV5%) and 42% Internal Rate of Return (IRR), increasing to US$274 million and 93% IRR, respectively, at a gold price of US$2,000/oz
Life of Mine Earnings Before Interest, Taxes and Depreciation of US$257 million, increasing to US$472M at a US$2,000/oz gold price
Total recovered gold over the initial phase of the Khundii Gold District development of 381,700 ounces
All-in sustaining cost (“AISC”) of US$733/ounce of gold recovered and upfront capital costs of US$59 million
BK Measured and Indicated Resources of 521,000 ounces gold at an average grade of 3.16 g/t gold and 103,000 ounces of Inferred resources at 3.68 g/t gold
BK Proven and Probable Reserves of 409,000 ounces gold at an average grade of 3.71 g/t gold
Average annual gold production of 63,500 ounces, including 77,600 ounces in Year 2
Eight-year project, comprising one-year pre-production, six-year operating life and one-year mine closure
Payback period of less than 2 years
Adjacent high-grade resources and recent discoveries provide high probability growth options
Significant benefits to Mongolia, including Life of Mine royalties and taxes of US$103 million and approximately 400 new direct jobs in Bayankhongor Province
Further details on the Feasibility Study can be found in the Company’s press release, dated July 20, 2020 and the full Report is accessible on the Company’s website.
Omineca stakes additional 12,133 hectares at Wingdam
Omineca Mining and Metals Ltd., in addition to its placer bulk sample and lode gold exploration programs, is continuing to expand its presence in the Cariboo mining district by staking an additional 12,133 hectares of mineral tenures at its Wingdam project in south-central British Columbia and also by optioning the Mouse Mountain project immediately west of Wingdam.Read More
Omineca has acquired an additional 12,133 hectares of contiguous mineral claims to the south and southeast of the existing Wingdam claims. Omineca now holds 100-per-cent ownership of over 51,000 contiguous hectares (510 sq km) of mineral claims at its Wingdam project which underlie and surround the placer claims comprising the Wingdam underground placer gold bulk sampling program.
The newly acquired mineral claims are contiguous to and extend Omineca’s property an additional 20 km to the south-southeast. Omineca’s active 2020 gold exploration program continues with prospecting, sampling and mapping ahead of the upcoming diamond drill program. In exploring for the sources of the placer gold at Wingdam, Omineca’s geological team has been focused initially on an area within a 2.5-kilometer radius of the 2020 underground placer bulk sampling program. The main geological structure strikes northwest to southeast and the paleo placer channel cuts across the structure east to west. Omineca plans to continue exploring along this trend, incorporating the newly acquired ground while drilling its first set of targets.
Omineca also announces that it has signed an option agreement for the Mouse Mountain copper/gold project encompassing an additional 291 hectares approximately 15 kilometers due west of the Wingdam project.
The agreement allows Omineca the sole and exclusive right and option to acquire an initial 50% earned interest in CanAlaska Uranium’s Mouse Mountain project for the consideration of:
Within 5 business days of Exchange Approval Date issuing to the Vendor 300,000 common shares of Omineca
Incurring 2,000 meters of diamond drilling within 12 months of Exchange Approval Date
The option agreement is subject to regulatory and exchange approval.
The Mouse Mountain project is located in British Columbia’s Quesnel Trough, which is remarkably well endowed with Cu-Au deposits including the Mount Polley, New Afton and Copper Mountain mines. As an adjunct to the Wingdam gold exploration project, Mouse Mountain furthers Omineca’s commitment to gold exploration in the Cariboo Mining District. Previous drilling, trenching and sampling at Mouse Mountain has identified it as an alkalic porphyry Cu-Au project typical of this region.