Guanajuato Silver Company Ltd Stock Price, News & Analysis

Guanajuato Silver Company Ltd. (GSVR, GSVRF) has appointed Reynaldo Rivera Abundis as VP Exploration, enhancing its exploration leadership with over 45 years of experience. Rivera's notable past roles include Director of Exploration for Goldcorp and General Manager for Luismin. The company also plans to apply for trading on the Aquis Stock Exchange in London to increase liquidity and attract British investors. GSilver aims to boost production at its mines, including El Cubo and San Ignacio, amid ongoing forward-looking uncertainties regarding market conditions and operational challenges.

Guanajuato Silver Company Ltd. (GSVRF) provides an exploration update on its 100% owned Valenciana Mines Complex (VMC) in Guanajuato, Mexico. The VMC stretches over 4.2 km along the Veta Madre fault and includes five primary areas. High-grade mining blocks have been identified, with plans to restart mining at VMC before the end of 2022 and process material at the El Cubo Complex. The Cata processing facility is expected to reopen in H1 2023. Historical drill data shows significant mineralization potential in unmined areas, aiding future exploration efforts.

Guanajuato Silver Company Ltd. (GSVRF) announces positive operational updates following the acquisition of mining assets from Great Panther Mining Limited. The integration of the El Cubo mine and the newly acquired Topia, San Ignacio, and Valenciana Mines Complex is ahead of schedule, leading to increased production. In July, El Cubo produced 144,000 silver equivalent ounces, a 23% rise from June. The San Ignacio mine commenced production shortly after the acquisition, expected to add 5,000 to 6,000 tonnes monthly. Plans to restart the Cata mill are anticipated in early 2023.

Guanajuato Silver Company Ltd. (GSVRF) has secured a US$5M concentrate pre-payment facility with Ocean Partners UK Limited, following its acquisition of Minera Mexicana El Rosario. The facility has a 24-month term and is backed by a guarantee from MMR and a pledge over the company’s shares. Concurrently, GSilver will sell all silver, gold, and zinc concentrates from its mines to Ocean Partners. With this financing, the company has approximately US$9.2M in cash as of August 29, 2022. The financing is expected to enhance production capabilities at its acquisitions in Mexico.

Guanajuato Silver Company (GSVRF) reported a strong Q2 2022, producing 337,760 silver equivalent ounces, marking a 22% increase from Q1. Operations at El Cubo Mine showed month-over-month improvements, with an average of 30,000 tonnes milled monthly, well below its capacity of 45,000 tonnes. Cash costs per AgEq ounce fell 16% to $16.98, while the all-in sustaining cost decreased by 6% to $24.06. Despite a 4% drop in revenue to $6.13 million due to falling silver prices, the company reported a net loss reduction of 29%, indicating improved operational efficiencies.

Guanajuato Silver Company Ltd. (TSXV:GSVR)(OTCQX:GSVRF) has successfully closed the acquisition of Great Panther Mining Ltd.'s Mexican subsidiary, Minera Mexicana Rosario, for US$14.7 million, comprising US$8 million in cash and 25,787,200 common shares. This acquisition adds five mines and three processing facilities to GSilver's portfolio, with production from the San Ignacio mine expected to resume within 90 days. Current production from the Topia Mine is projected to exceed 1.1 million AgEq ounces this year.

Guanajuato Silver Company Ltd has successfully closed an oversubscribed equity financing of subscription receipts totaling US$10.7 million. The financing is aimed at supporting the company's acquisition of Great Panther Mining's Mexican subsidiary, Minera Mexicana Rosario S.A. de C.V., which includes several mining assets. Each subscription receipt will convert into a unit of GSilver upon closing of the acquisition, anticipated within two weeks. Additionally, GSilver secured a US$5 million concentrate pre-payment facility to further finance the acquisition.

Guanajuato Silver Company Ltd. (TSXV:GSVR) announced an expansion of its brokered private placement financing, increasing it to 40,300,000 subscription receipts at C$0.33 each, potentially raising up to C$13.3 million. This financing supports the acquisition of Great Panther's Mexican mining assets, valued at US$14.7 million. The acquisition includes three mines and processing facilities. The financing's closing is anticipated by the week of July 21, 2022.

Key risks include conditions for the release of funds and reliance on market conditions for successful financing.

Guanajuato Silver Company Ltd. (TSXV:GSVR)(OTCQX:GSVRF) has discovered high-grade gold and silver in tailings at its El Cubo Mine Complex in Guanajuato, Mexico. A 43,000 sq. meter area has been identified, with drillhole results showing up to 727 gpt AgEq over 1.2m. Over 95% of the 134 drilled holes encountered significant mineralization. The company plans to implement a gravity separation circuit to process these materials, aiming to expand production without disrupting current operations. Preliminary testing has yielded encouraging results, paving the way for potential economic viability.