Welcome to our dedicated page for Guanajuato Silver news (Ticker: GSVRF), a resource for investors and traders seeking the latest updates and insights on Guanajuato Silver stock.
Guanajuato Silver Company Ltd. reports operating and corporate developments as a Mexico-focused precious metals producer. The company produces silver and gold from the Bolanitos mine, El Cubo Mines Complex, Valenciana Mines Complex and San Ignacio mine in Guanajuato, and produces silver, gold, lead and zinc concentrates from the Topia mine in Durango.
Recurring updates include production and financial results, NI 43-101 technical reports, mineral resource and reserve estimates, drilling programs, mine optimization initiatives, completed asset acquisitions, board appointments, stock option grants and at-the-market equity activity. Company news also addresses concentrate sales exposure to silver and gold and operating risks tied to underground mining in Mexico.
Guanajuato Silver Company Ltd. (GSVRF) announced a non-brokered private placement offering of 15 million units at $0.55 per unit, aiming for gross proceeds of C$8.25 million. Major stakeholders, including Endeavour Silver Corp., subscribed for 5.75 million units, increasing their share to 12.63% post-offering. The funds will support ongoing exploration and development at the El Cubo mine and El Pinguico project. The offering is pending acceptance from the TSXV, with an initial closing expected by November 30, 2021.
Guanajuato Silver Company Ltd. (GSVRF) has announced an early payment of a US$2.5 million promissory note to Endeavour Silver, related to the acquisition of the El Cubo mine. This payment results in a US$25,000 reduction in principal and a VAT settlement via common shares amounting to US$396,000. Additionally, GSilver signed a Collective Bargaining Agreement with the El Cubo Union, ensuring compliance with Mexican labor laws and achieving cost savings compared to the previous CBA. A one-time payment of 10 million Mexican pesos (approximately US$490k) will also be made to the Union.
Guanajuato Silver Company Ltd. (GSVRF) has successfully delivered its first shipment of precious metals concentrate from its El Cubo mill, totaling approximately 75 tonnes valued at US$480,000. The concentrate contained roughly 200 ounces per tonne of silver and 2 ounces per tonne of gold. The company anticipates ramping up production to an expected 22,500 tonnes per month by January 2022. Financially, GSilver has secured US$1.5 million from Ocean Partners as part of a financing facility, bolstering its liquidity to over US$5 million.
Guanajuato Silver Company Ltd. has commenced processing silver and gold material at its El Cubo mine and mill, located near Guanajuato, Mexico. The first concentrate sales are expected by the end of October 2021. The company has completed $3.5 million in upgrades at the processing plant, which is capable of handling 1,500 tonnes per day. Initial production is set at approximately 750 tonnes per day, with potential for expansion. GSilver has also stockpiled about 20,000 tonnes of material from El Cubo for processing, targeting higher-grade areas in the future.
Guanajuato Silver Company Ltd. (GSVRF) announced strong shareholder support at its 2021 Annual General Meeting held on September 23, with 82,639,386 votes cast, equating to 41.065% of outstanding shares. All director nominees were re-elected, achieving over 99% support for each. The company retains auditor Lancaster & David with a 99.94% approval rate. GSilver is focused on reactivating silver and gold production at its El Cubo mine and the El Pingüico project near Guanajuato, Mexico.
Guanajuato Silver Company Ltd. (GSVRF) has finalized a significant silver and gold concentrate sales agreement with Ocean Partners Ltd. for an 18-month period starting October 2021. The deal includes a US$1.5 million prepayment financing facility with a 15-month repayment term. As mining operations progress at the El Cubo mine, pre-commissioning of milling equipment is nearing completion, paving the way for expected commercial production to commence in October 2021. This agreement marks a vital step in GSilver's commitment to reactivating its mining operations.
Guanajuato Silver Company Ltd. (GSVRF) has initiated underground drilling at its El Cubo mine, located near Guanajuato, Mexico. This drill program, managed by Rockdrill Mining, is set to cover 5,200 meters to enhance resource confidence and grade control as mining begins. Concurrently, the primary crusher has been successfully recommissioned, with operations expected to resume in Q4 2021. GSilver currently employs 168 people, primarily local nationals, reflecting its commitment to the regional economy.
Guanajuato Silver Company Ltd. (GSVRF) has commenced stockpiling mineralised material from its El Cubo mine, ahead of schedule, in preparation for operations at the El Cubo mill. The Company signed a 17-month contract with MGA Mine Contractors to provide mining services until December 2022. Focused on the Villalpando Stopes, GSilver aims to extract up to 15,000 tonnes of material per month once fully operational. The strategic partnership with MGA allows GSilver to reduce capital expenditures while leveraging mining expertise.
Guanajuato Silver Company Ltd. has drawn down US$7.5 million from its loan facility with OCIM Group to support the refurbishment of the El Cubo mine in Mexico. This non-dilutive financing strengthens the company’s balance sheet, allowing preparatory steps for commercial production in Q4 2021. The loan will be repayable over 12 months, using approximately 25% of projected silver and gold output. With existing cash of C$4.1 million, GSilver has a total of C$13.3 million for mine operations. Market-making services have also been retained to enhance liquidity.
Guanajuato Silver Company Ltd. (GSVRF) has reported ongoing underground drilling progress at the El Pinguico project, yielding positive results from drill holes P21-09 and P21-10. The latter returned 0.90m of 5.96 gpt Au and 476 gpt Ag, with broader intervals of 8.10m of 1.00 gpt Au and 93 gpt Ag. Despite delays due to assay lab bottlenecks, drilling has resumed, and further drill holes are in progress. A comprehensive drilling program is planned, targeting additional vein connections, which could lead to the first in-situ resource estimate for El Pinguico.