GR Silver Mining Acquires San Marcial Silver ProjectBy Lorenzo Núñez | Fri, 05/07/2021 - 09:54
GR Silver Mining has made the final US$2 million payment and issued 1.5 million common shares to SSR Mining Ltd, said the company in a press release, completing the 100 percent acquisition of the San Marcial Silver Project.
The San Marcial project is located 98km east-southeast of Mazatlan and 5km south of the Plomosas Project. It is a near-surface, high-grade silver-lead-zinc open pit-amenable project that is open for future expansion along strike and down-dip, with silver mineralization hosted in wide hydrothermal breccias in a geological setting similar to other multi-million-ounce districts in the Sierra Madre Occidental, from GR Silver Mining’s website.
The agreement dates back to Apr. 17, 2018. It specified that GR Silver Mining would, over a three-year option period, pay SSR Mining an aggregate of US$2 million in cash and issue it an aggregate of 3.5 million GR Silver Mining common shares. GR Silver Mining would also incur an aggregate of US$2.4 million in exploration expenditures on San Marcial, as stated in the press release.
Since acquiring the option three years ago, GR Silver Mining has invested over US$3.7 million in exploration expenditures on the San Marcial Silver Project, increasing resources by 57 percent and inferred resources by 126 percent. Over the past three years GR Silver Mining has undertaken successful and extensive concession-wide exploration activities. The discoveries of new high-grade resource zones outside of the resource area has allowed the company to identify zones for future resource expansion at San Marcial. In addition, GR Silver Mining was the first company to complete an underground tunnel development into the San Marcial deposit, providing full exposure of the mineralized zones to support an oriented underground drill program and to delineate high-grade extensions to the silver resource, as stated.
Marcio Fonseca, President and CEO of GR Silver Mining, commented: "We are very pleased to have completed the acquisition of 100 percent of the San Marcial Project. While a number of companies have reviewed this project over the past 20 years, GR Silver Mining is the first to recognize its significant potential.” He continued, “The successful consolidation of 100 percent ownership of San Marcial, as well as the neighbouring Plomosas and La Trinidad Projects, provide the Company with two past producer Ag-Au mines, unrestricted access to all exploration targets on three mineralized trends totaling 75 km, where initial field work has already identified 24 old Ag-Au workings,” as stated in the same press release.