Sunday 4th December 2016

Resource Clips


Posts tagged ‘McEwen Mining Inc (MUX)’

NRG Metals completes due diligence on Argentinian lithium properties

November 21st, 2016

by Greg Klein | November 21, 2016

Among the companies active in South America’s Lithium Triangle, NRG Metals TSXV:NGZ has finished due diligence on two properties that would comprise the Carachi Pampa project in northwestern Argentina. Totalling 6,387 hectares, the contiguous properties sit in an area hosting geological features common to other lithium-rich salars in the region, the company stated on November 18. “The lithium target is a paleo salar (basin) at depth that has the potential to host lithium-enriched brines.”

NRG Metals completes due diligence on Argentinian lithium properties

NRG sees potential for lithium-enriched brines
in the Lithium Triangle’s Carachi Pampa project.

Located 40 kilometres from the town of Antofagasta de la Sierra at about 3,000 metres in elevation, the properties have winter access, a paved road 10 kilometres away and nearby services.

NRG has retained experienced lithium explorers Rojas and Associates and Sergio Lopez and Associates to review the project, with Rojas to complete a 43-101 technical report.

The properties are subject to different four-year purchase agreements, according to an LOI announced September 21. With all dollar figures in U.S. currency, one property calls for $120,000 on signing a definitive agreement, $200,000 in each of three annual payments and $600,000 at the end of the fourth year. A 1% NSR applies, which NRG may buy back for $1 million.

The other project would cost $160,000 on signing, $100,000 in two annual payments, $250,000 in year three and $625,000 in year four. Again, the company may buy back the 1% NSR for $1 million.

NRG offered a private placement up to C$1 million. Additionally, the company has negotiations underway on other properties.

In October NRG announced a management team for its Argentinian subsidiary, NRG Metals Argentina S.A. Executive director James Duff has written several 43-101 reports for Argentinian projects and served as COO of McEwen Mining TSX:MUX acquisition Minera Andes and president of South American operations for Coeur Mining NYSE:CDE.

Non-executive director José Gustavo de Castro is a chemical engineer with extensive experience in the evaluation and development of Argentinian lithium projects including the continent’s largest lithium producer, FMC Corp’s Hombre Muerto operation.

Manager of business development and corporate relations José Luis Martin’s 35-year career includes senior positions with Galaxy Lithium S.A. and Rio Tinto’s (NYSE:RIO) Argentinian projects.

Director Jorge Vargas specializes in property, mining and business law in Argentina.

Also last month NRG announced plans to spin out other assets to concentrate on lithium. The portfolio currently includes the LAB graphite project in Quebec and the Groete gold-copper resource in Guyana.

Artificial intelligence, virtual reality help win online Gold Rush Challenge

March 7th, 2016

by Greg Klein | March 7, 2016

Artificial intelligence, virtual reality help win online Gold Rush Challenge

Located just east of Val-d’Or, the past-producing Sigma and Lamaque
mines sit between Integra’s Lamaque North and South projects.

A PDAC opening event demonstrated the evolution of mineral exploration as a high-tech Quebec team won first prize in an online search for Abitibi gold. Integra Gold TSXV:ICG asked contestants to dig through digital data representing some 75 years of mining and exploration at the past-producing Sigma/Lamaque property adjacent to the company’s Lamaque project. Out of five finalists appearing at the March 6 event, the SGS Geostat team won the $500,000 first prize.

The team “used sophisticated geostatistical methods to drive data into an expansive and unbiased block model,” Integra explained. “A prospectivity scoring system harnessed both geological knowledge and machine learning, a subfield of artificial intelligence, to identify high-value targets, which were then vetted through virtual reality with Oculus Rift technology.”

Using somewhat less sophisticated technology, Lamaque produced 4.58 million gold ounces between 1935 and 1985, while Sigma turned out 4.45 million ounces from 1937 to 1997. The digitized files included info from 30,000 holes, over 500,000 assays, hundreds of kilometres of underground workings, mining stats, geological sections, level plans and photos.

As a team of geologists, engineers and computer scientists often bound by certain limitations and boundaries, we relished in the opportunity to channel our collective creativity and curiosity to provide new exploration targets in a historic and famous mining jurisdiction known worldwide.—Guy Desharnais, team leader with SGS Geostat

SGS Geostat leader Guy Desharnais said, “As a team of geologists, engineers and computer scientists often bound by certain limitations and boundaries, we relished in the opportunity to channel our collective creativity and curiosity to provide new exploration targets in a historic and famous mining jurisdiction known worldwide.”

Four other finalists—three teams and one individual—shared another $340,000 in prizes. Integra announced the contest last June. By September over 740 entries had arrived from 65 countries.

Panellists consisted of geologist and commentator Brent Cook, Randy Smallwood and Chantal Gosselin of Silver Wheaton TSX:SLW, Rob McEwen of McEwen Mining TSX:MUX and Sean Roosen of Osisko Gold Royalties TSX:OR.

Integra didn’t specify what the winners proposed for the former mines. But CEO Stephen de Jong said some of the suggested drill targets “are like nothing we’ve ever seen before. We have decided to expedite the drill program and start testing a number of these targets in the immediate future.”

December 14th, 2015

China is snookering the IMF and U.S. (again) on currency Equities Canada
Rob McEwen, the investor, has some advice for mining executives everywhere Streetwise Reports
Graphite 2015: Graphene’s invisible potential Industrial Minerals
John Mauldin interviews George Friedman GoldSeek
Commodity faithful see some hope next year after 2015 heartbreak NAI 500
Chinese-backed electric carmaker picks Nevada for $1-billion plant Stockhouse

December 11th, 2015

Rob McEwen, the investor, has some advice for mining executives everywhere Streetwise Reports
Graphite 2015: Graphene’s invisible potential Industrial Minerals
John Mauldin interviews George Friedman GoldSeek
Commodity faithful see some hope next year after 2015 heartbreak NAI 500
Chinese-backed electric carmaker picks Nevada for $1-billion plant Stockhouse
Is the European Union worth saving? Equities Canada
Dr. Clay: That mud bath might actually be good for you Geology for Investors

A matter of necessity: Rob McEwen clarifies cartel comment

April 13th, 2015

by Greg Klein | April 13, 2015

McEwen Mining TSX:MUX CEO Rob McEwen wants to clear up any misunderstanding about any “relationship” with criminal cartels. In an April 9 BNN interview about the 7,000-ounce gold heist at his company’s El Gallo 1 mine in Mexico, he was asked if that part of the country is dangerous. McEwen responded: “It hasn’t been. I mean the cartels are active down there. Generally we have a good relationship with them.”

It is our policy to contact all property owners or impacted community members in an area to seek their permission and ascertain the appropriate timing to enter their properties to conduct mineral exploration. We respect their wishes as any good neighbour and responsible miner would.—Rob McEwen,
CEO of McEwen Mining

By April 13 McEwen found a clarification necessary. “My answer was related to gaining access to properties we wish to explore,” he stated. “It is our policy to contact all property owners or impacted community members in an area to seek their permission and ascertain the appropriate timing to enter their properties to conduct mineral exploration. We respect their wishes as any good neighbour and responsible miner would.

“Unfortunately, my use of the words ‘good relationship’ was careless and has created the entirely false impression with Mexican media that we have regular contact with criminal elements in their society. This is simply not true. I wish to apologize sincerely for any misunderstanding my words may have caused.”

McEwen had told BNN, “If you want to go explore somewhere you ask them, and they’ll tell you “no,” but then they’ll say come back in a couple of weeks [when] we finish what we’re doing.”

BNN’s Andrew Bell then asked, “What are they doing, transporting drugs or something?”

McEwen answered, “They might be harvesting them, or—a lot of the problems happen higher in the mountains and we’re in the foothills.”

While the word “relationship” might be misunderstood, the unfortunate necessity of consulting criminals isn’t unique to Mexico or McEwen. Nor is it new. In late 2011 Ian Ball, then senior VP for US Gold, McEwen’s predecessor company at El Gallo, told ResourceClips.com, “We have been very active there for three or four years and have been able to establish a pretty good relationship—and this might sound strange—with the cartel. You have to know who they are and inform them what you’re doing and where you’re moving to…. They don’t want you near their marijuana crops.”

US Gold was renamed McEwen Mining in January 2012.

Read more about Rob McEwen’s BNN interview.

Unflappably unfazed, Rob McEwen discusses the 7,000-ounce gold heist

April 10th, 2015

by Greg Klein | April 10, 2015

If you like your mining CEOs calm, confident, soft-spoken and even smiling in the face of calamity, Rob McEwen’s your man. Speaking with BNN’s Andrew Bell on April 9, the McEwen Mining TSX:MUX boss presented a model of poise, at times smiling broadly as he discussed the 7,000-ounce gold robbery two days earlier at his El Gallo 1 refinery in Sinaloa, Mexico. McEwen owns a 25% stake in the company, and therefore any loss.

Unflappably unfazed, Rob McEwen discusses the 7,000-ounce gold heist

McEwen: “Um, it’s not funny to laugh at.”

Bell told him, “Some people might say, ‘How could this happen?’ I mean, it’s $8 million worth of gold.”

McEwen laughed as he replied, “Yeah, I was saying that too.” Quickly regaining composure, he conceded, “Um, it’s not funny to laugh at.”

His demeanour might have sometimes suggested otherwise but McEwen’s statements did express concern. He assured Bell that no serious injuries were suffered, although security staff might have been emotionally scarred. McEwen also expressed confidence in state government and local police. Nor has he written off the loot. Insurance would cover some of it but, he said, “We hope we’re not going to lose anything because we hope to recover the gold.”

As for the facility’s future security arrangements, he said, “It’ll look like Fort Knox.”

Despite the robbery, the company has said El Gallo will maintain 2015 guidance of 50,000 ounces gold and 20,000 ounces silver.

 

April 25th, 2013

Portfolio manager Greg Orrell: “My belief in gold has not wavered” by the Gold Report
Gold buyers get physical as coin and jewellery sales surge: Frank Holmes by VantageWire
“We’re going to be courting exhibitors and writing cheques” at WRIC: Rick Rule by GoldSeek
Rob McEwen says sell-off probability “out into infinity,” still expects $5,000 gold by Stockboard
Update: U.S. stocks/bonds/dollar, gold, mining/exploration by the Grandich Report

Reaping the harvest

January 18th, 2013

Golden Predator to become royalties and streaming company Gold Bullion Royalty Corp

by Greg Klein

(Update: Effective February 22, 2013, Golden Predator Corp began trading as Americas Bullion Royalty Corp TSX:AMB.)

In a late afternoon announcement January 18, Golden Predator Corp TSX:GPD proposed a new name and strategy. Currently an advanced-stage exploration company moving towards production, Golden Predator plans to become Gold Bullion Royalty Corp, a company “focused entirely on royalty creation.”

The newly formed Golden Predator Canada Corp would continue advancing Yukon’s Brewery Creek towards its targeted 2014 gold production.

The proposed new company, Golden Predator Canada Corp,
would continue advancing Yukon’s Brewery Creek towards
its targeted 2014 gold production.

The company stated it “intends to build on its existing portfolio of 34 projects to increase revenue and provide lower risk exposure to shareholders through a variety of gold and silver projects in which it will retain a royalty, metal stream or other interest.

“The company plans to divest Golden Predator Canada Corp, which will continue to advance the Brewery Creek Project, as well as a number of other significant properties across the Yukon. This proposed segregation of its two main business components, by spin-out or other mechanism, is designed to maximize shareholder value by allowing the market to independently value two very different businesses.”

How that will happen has yet to be determined. Pending tax and legal advice, the process could involve “a plan of arrangement, dividend or other suitable method” which would have shareholders owning both companies, which would be staffed independently. Golden Predator Canada Corp would apply for a TSX or TSXV listing.

The Gold Bullion portfolio already includes gross proceeds royalties on Midway Gold’s TSXV:MDW Pan and Gold Rock deposits, a 4% GPR on Barrick Gold’s TSX:ABX DTR property, a 1% GPR on a nearby Barrick property and a 2% NSR on Silver Predator’s TSX:SPD Taylor Silver project.

The statement added, “The company controls a royalty package of 34 North America properties, most of which are owned by Gold Bullion Royalty Corp and under lease to a variety of companies including Evolving Gold [TSX:EVG], Orsa Ventures [TSXV:ORN], Columbus Gold [TSXV:CGT],” among others.

“The royalty portfolio also includes several deeded royalties covering projects of McEwen Mining [TSX:MUX], NV Gold [TSXV:NVX] and Silver Scott Mines [OTCPK:SILS].” While the royalty packages brought in $799,762 last year, the company expects royalty revenue to increase as its portfolio grows and projects advance.

The royalty portfolio is “unique in the mineral development industry due to its ability to receive the majority of projected revenues in-kind (gold bullion as opposed to cash),” the statement added.

Golden Predator Corp’s stock opened January 18 at $0.345, a penny higher than its previous close. The shares then reached $0.35 before closing on $0.33. With 153 million shares outstanding, the company had a press time market cap of $50.49 million.

McEwen reports Argentina Estimates of 68.58M oz Silver, 1.04M oz Gold M&I, 22.26M oz Silver, 344K oz Gold P&P

March 19th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningMcEwen Mining Inc TSX:MUX in joint venture with Hochschild Mining announced updated resource and reserve estimates for their San José Mine in Argentina. The resource estimate shows 1.16 million tonnes grading 560 g/t silver and 8.21 g/t gold for 20.8 million silver ounces and 305,000 gold ounces measured, 3.51 million tonnes grading 423 g/t silver and 6.53 g/t gold for 47.78 million silver ounces and 738,000 gold ounces indicated and 1.81 million tonnes grading 384 g/t silver and 5.3 g/t gold for 22.38 million silver ounces and 309,000 gold ounces inferred.

The reserve estimate shows 805,000 tonnes grading 475 g/t silver and 6.99 g/t gold for 12.29 million silver ounces and 181,000 gold ounces proven and 876,000 tonnes grading 354 g/t silver and 5.79 g/t gold for 9.97 million silver ounces and 163,000 gold ounces probable.

McEwen Mining holds a 49% interest in San José, with Hochschild holding the remaining 51%. Production for 2011 came to 5.87 million silver ounces and 80,952 gold ounces.

View Company Profile

Contact:
McEwen Mining Inc
Jenya Meshcheryakova
Investor Relations
647.258.0395
866.441.0690

Hochschild Mining
Charles Gordon
Investor Relations
44.0.20.7907.2934
44.0.20.7907.2931
or Marianna Adams
Investor Relations
44.0.20.7907.2933
44.0.20.7907.2931

by Greg Klein

Major Attraction

March 14th, 2012

Miners Pay Close Attention as Sniper Drills Nevada Gold

By Greg Klein

Sniper Resources’ TSXV:SIP CEO Scott Baxter says Nevada has earned his loyalty. That’s where Baxter’s former company, Tone Resources, hit paydirt — not just for himself, but for Rob McEwen’s US Gold (now McEwen Mining TSX:MUX). McEwen acquired Tone in 2007. “I made him a huge return on his investment,” Baxter says. “And you know what? Today’s a new day, and I want to do it all over again.”

Now the majors are looking at Sniper‘s flagship Weepah Gold Property. Initial results announced March 5 coincided with PDAC and, Baxter says, “generated interest instantly on arrival.” As a result, “Three of the top 10 mining companies asked me for CAs [confidentiality agreements] specific to Weepah.”

Located in Nevada’s Walker Lane Mineral Belt, Weepah is a joint venture with Columbus Gold Corp TSXV:CGT, which drilled the property last year. Under their agreement, Sniper pays Columbus $30,000 in cash, $60,000 in shares and spends $3 million on exploration over three years for a 51% interest. Sniper can earn an additional 19% by taking the project to feasibility. “It’s the same with most of my projects,” says Baxter. “I go to 51%, then 70%, because that’s what the majors require.”

Miners Pay Close Attention as Sniper Drills Nevada Gold

March 5 Weepah results include

1.18 g/t gold over 38.1 metres
(including 3.8 g/t over 4.6 metres)
1.19 g/t over 27.5 metres
0.25 g/t over 36.6 metres
(including 1.88 g/t over 1.5 metres)
0.34 g/t over 22.9 metres

Three days later, Sniper released the final four holes, including

0.46 g/t gold over 47.3 metres
(including 21.8 g/t over 1.5 metres)
0.25 g/t over 38.1 metres
0.2 g/t over 9.2 metres
0.18 g/t over 16.8 metres

RC drilling resumes March 20. “You can drill through the winter in this part of Nevada,” Baxter points out. “There’s no deep snow. You’ll use more fuel, and your batteries won’t last as long, but so what?” This program could sink up to a dozen holes followed by a third round of drilling to calculate a resource, he explains.

He’s emphatic about priorities. “I don’t promote much because you have to spend money in the ground to have something to promote. Too many guys are promoting and promoting and promoting. But they forget to drill. I’ve seen juniors that have a booth at all the shows, and they haven’t effing drilled in three years. I warn people, ‘I don’t do banquets; I don’t do golf tournaments; and 75% to 80% of every dollar goes into the ground.’ The first quarter of this year, 81 cents of every dollar went into the ground. I have a million dollars of my money up.”

CAs aside, Weepah’s assays drew some unwanted advances. “Unfortunately, half the calls I got were from IR guys looking for contracts. Well you know, I didn’t raise this money to pay you. This money’s going in the ground, and that’s what the shareholders are in for. Think I’m going to let you watch me for six grand a month? Nice try.”

I don’t do banquets; I don’t do golf tournaments; and 75% to 80% of every dollar goes into the ground —Scott Baxter

Baxter attributes the majors’ interest partly to the company’s co-founder and geologist, Doug McGibbon. “He’s a guy they’d love to hire,” Baxter says. With over 30 years’ experience in the state, McGibbon has discovered or added more than 10 million gold ounces to Nevada operations such as Marigold, Pinson, the Lone Tree Mine and the Daisy Gold Mine.

“I always use Nevada guys,” says Baxter. “Otherwise, it’s like bringing in a Las Vegas realtor to buy Vancouver real estate. In Nevada, the ore bodies are so much different than Alaska or northern Ontario.” He adds, “One other thing about Doug and I is that this is the only company we do.”

Sniper also holds options on three other Columbus gold properties in Nevada. Earlier this year, Sniper sank 18 holes into Overland Pass, another 51% earn-in. The project sits in the southeast extension of the Carlin Trend, next to Barrick’s TSX:ABX Bald Mountain Mine lands. Assays have yet to be released.

Sniper holds a 70% option on the Laura Project, situated on Nevada’s Cortez Trend. The property underwent sampling and drilling in the early 1990s. “I can buy the other 30% for 200,000 shares, but I want to do some geophysics on it, then drill it,” Baxter says.

Columbus‘s Guild Project is a Carlin-type target that Sniper trenched and RC drilled last year under a 51% earn-in. Sniper describes its wholly-owned ReHot claims as “more of a wildcat prospect.” In all, Sniper controls 304 claims covering 2,460 hectares.

At press time Sniper had 31 million shares outstanding at $0.15 for a market cap of $4.7 million. Baxter holds 20.5% of the shares, with an additional 5.5% held by other insiders. Sniper announced March 2 a private placement of up to 3.4 million shares at $0.15 to raise up to $510,000. Proceeds will go to Weepah drilling and working capital.