Taseko has ambitious North American copper growth plans

Metals miner Taseko Mines is preparing for a nearly fourfold increase in its copper production by the middle of the decade, as the Vancouver-based company advances plans to add 285-million pounds a year of the metal from planned mines in the US and Canada. Taseko’s 70%-owned Gibraltar mine, British Columbia produced 160-million pounds of copper last year, and by 2025, the company will be producing close to 390-million pounds a year from its North American mines. The miner plans to add 85-million pounds a year of copper production from its Florence project, in Arizona, by 2022 and then another 200-million pounds from Yellowhead, British Columbia, by 2025.

Capstone releases ‘best ever’ Cozamin results

Capstone Mining Corp. [CS-TSX] on Thursday January 16 released additional high grade copper and silver results from 21 infill and six step-out drill holes from its Cozamin polymetallic mine in Zacatecas, Mexico. The highlight intercept from the latest batch of results includes 6.3 metres of 5.3% copper.

The expansion and infill drilling results released on Thursday morning includes some of the best ever drilling results from the Cozamin Mine, the company said in a news release. This brings the total drilled to date to 150 holes out of a 200-hole program. The aim of the program is to double the existing reserve base.

Drill results to date continue to demonstrate greater widths and grades than current mineral reserves, as well as the potential for an expanded high-grade resource. Mineral resources and mineral reserves will be updated in late 2020.

Cozamin is expected to achieve a 50% increase to annual copper and silver production of 50-55 million pounds and 1.5 million ounces respectively by 2021.

Capstone shares advanced on the news, rising 3.7% or $0.03 to 84 cents on volume of 258,530. The shares are currently trading in a 52-week range of 41 cents and 87 cents.

Capstone is a Canadian base metals mining company with a focus on copper. Its two producing mines are the Pinto Valley copper mine in Arizona, and the Cozamin Mine in Mexico. In addition, Capstone has the large scale 70%-owned copper-iron Santo Domingo development project in Chile as well as a portfolio of exploration properties.

The Santo Domingo Project is located 50 km southwest of Codelco’s El Salvador copper mine. The project is expected to be ready for a construction start in 2020.

Cozamin is located 3.6 km northwest of Zacatecas City. It is a copper-silver underground mine with a surface milling facility. In 2019, the mine was expected to produce 30-35 million pounds of copper at a cash cost of between US$0.90 and US$1.05/oz.

“The most recent drill results are exceeding our expectations for the Mala Noche Footwall Zone,” said Brad Mercer, senior vice-president exploration and operations with Capstone. “The two-year drilling initiative is more than two months ahead of schedule, allowing us to add more holes for a new mineral resource and mineral reserve estimate and technical report by the end of 2020,” he said.

“These results will ensure that this mine will remain a first quartile cost, cornerstone asset well into the future,” added Capstone President and CEO Darren Pylot. “Development work on both the underground one-way ramp and ventilation are both on budget and ahead of schedule to be completed by the end of 2020,” he said.

Ecuador exports first copper concentrate from Chinese-owned Mirador mine

Ecuador made its first export of 22 000 t of copper concentrate from the Chinese-owned Mirador mine, the energy ministry said on Wednesday, marking a new milestone in the country's effort to develop a large-scale mining industry. Ecuador, an Andean country neighboring No. 2 copper producer Peru, has large mineral reserves but is only beginning to establish industrial-scale mining projects. Mirador is run by Ecuacorriente, a subsidiary of the Chinese consortium CRCC-Tongguan, which has a 30-year concession. It started production in July 2019.

Record quarterly output for Atalaya

European mining and development company Atalaya Mining on Thursday reported record fourth-quarter copper production of 13 527 t, boosting full-year output to 44 950 t. The fourth-quarter production compares with 11 172 t produced a year earlier, while the full-year production was a 6.7% improvement on the 42 114 t produced in 2018.

Atalaya hits record quarter at Spain mine

European mining and development company Atalaya Mining on Thursday reported record fourth-quarter copper production of 13 527 t, boosting full-year output to 44 950 t. The fourth-quarter production compares with 11 172 t produced a year earlier, while the full-year production was a 6.7% improvement on the 42 114 t produced in 2018.Production at Proyecto Riotinto, in Spain, benefited from the recently completed expansion. The processing plant is fully commissioned and operating at an increased yearly rate of 15-million tonnes a year, Atalaya reported.

With copper stocks tapped out, banks see a 2020 price spike

The price of copper, a barometer for the global economy, could jump in 2020 with capital spending for new production down and stockpiles tapped out at a time when US-China trade tensions are easing. The threat of a long trade war limited mining activity and kept manufacturers from adding to their stocks. The result: Inventories at warehouses tracked by the three international exchanges, a last resort for supply, have shrunk by about 37% since July to just shy of 300 000 t as of Friday, equivalent to just 1.2% of global consumption. Meanwhile, mine production fell 0.4% last year from 2018.

GO USA! First New #Copper Mine in USA in 10 Years

For many years Gold Stock Trades has been at the cutting edge of new trends like the electrification of the automobile and a resurgence of mining in the USA for precious and battery metals.

I have searched high and low for the best US mineral assets which can supply gigafactories with the much needed metals needed for electric vehicles and technology.

I have written to some of our top leaders to start developing and incentivizing a return to US mining and manufacturing for the following reasons.

We have become energy independent with regards to oil.  Nevertheless, we import our most important metals like uranium, copper, rare earths and lithium and are totally reliant on foreign countries to supply a whole litany of the periodic table.

This comes at a huge cost.  A major legal case has been launched against the largest tech companies such as Apple, Google, Microsoft and Tesla for using child slave labor.

Families are seeking damages for their relatives that were killed and maimed to provide the materials used in smartphone devices. 

This is the first such case and should bring more support for mining in the USA rather than in other places which take advantage of children.

Demand for copper and cobalt is soaring but a lot originates from areas with extreme poverty and no labor laws.

Washington DC is seeing a push led by President Trump to boost domestic mineral production, development and exploration for the first time in decades.

News came out recently in our sector that a junior copper producer has started mining again in Nevada.  Its the first new copper mine in the USA in over a decade.  

The mine could produce around 27k tonnes of copper annually at a cost below $2 and mine life is at least 13 years but they are also drilling and discovering a lot more copper at surface which is open pit amenable.

This means they could expand significantly and have first mover advantage.  The automakers are all looking to expand their battery and electric vehicle making industry in the Western USA.

This demand growth is going to require a lot more battery metals more specifically copper which has not yet moved like gold and silver but could have its day soon possibly turning the corner to hit new highs.

The stock is forming a cup and handle and has broken out above the 200 DMA which is technically bullish.

Listen to my recent interview with the CEO of this new copper producer in the USA...the first one in 10 years!

Please note for full disclosure Jeb Handwerger is a shareholder and they are a Goldstocktrades.com sponsor that means I have a conflict of interest.

Assume Author (Jeb Handwerger) owns shares and that I want to sell them for a profit. I may have received or intend to receive compensation for digital marketing services from these companies. The content of this article is for information only. Readers fully understand and agree that nothing contained herein, written by Jeb Handwerger about any company, including but not limited to, commentary, opinions, views, assumptions, reported facts, calculations, etc. is to be considered implicit or explicit investment advice. Nothing contained herein is a recommendation or solicitation to buy or sell any security. Author is not responsible under any circumstances for investment actions taken by the reader. Author has never been, and is not currently, a registered or licensed financial advisor or broker/dealer, investment advisor, stockbroker, trader, money manager, compliance or legal officer, and does not perform market making activities. Author is not directly employed by any company, group, organization, party or person. The shares of these companies are highly speculative, not suitable for all investors. Readers understand and agree that investments in small cap stocks can result in a 100% loss of invested funds. It is assumed and agreed upon by readers that they will consult with their own licensed / registered financial advisors before making investment decisions. Readers understand and agree that they must conduct their own due diligence above and beyond reading this article. Author is not responsible for any perceived, or actual, errors including, but not limited to, commentary, opinions, views, assumptions, reported facts & financial calculations, or for the completeness of this article or future content. Author is not expected or required to subsequently follow or cover events & news, or write about any particular company or topic. Author is not an expert in any company, industry sector or investment topic.



Taseko hits copper targets at Gibraltar

Taseko Mines Ltd. [TKO-TSX; TGB-NYSE American] on Thursday January 9 said it achieved its 2019 full-year copper production target at its Gibraltar copper mine in British Columbia in spite of a strike by Canadian National Railway Co. [CNR-TSX] in November that impacted shipments for 11 days.

Annual production in 2019 reached 126 million pounds of copper, which is within the full-year guidance range of 130 million pounds. The mine also produced 2.7 million pounds of molybdenum last year. That includes 33.4 million pounds of copper and 700,000 pounds of molybdenum in the fourth quarter.

Throughput in the fourth quarter of 2019 was at design capacity and grade was approximately life-of-mine average. Taseko also noted that it issued a new form of reclamation security for Gibraltar, which resulted in $36 million of cash being released to Taseko in the fourth quarter.

“Looking forward, with a stronger spot copper price than what was averaged in 2019, combined with lower treatment and refining costs, we expect an improved operating margin to begin in the new year,” said Taseko CEO Russell Hallbauer.

Copper was trading at US $2.79/lb on the spot market, Thursday, up from US $2.52/lb in early September, but down from US $2.95/lb in March 2019.

“We are pleased to have met the annual production guidance that we provided 12 months ago,” Hallbauer said.

On Thursday, Taseko shares eased 1.4% or $0.01 to 69 cents. The shares are currently trading in a 52-week range of 50 cents and $1.05.

Taseko is a Vancouver-based company with a portfolio that includes the Gibraltar Mine, the Florence Copper Project in Arizona, and the New Prosperity copper-gold project, which is located near Williams Lake, B.C.

Gibraltar is a joint venture owned 75% by Taseko and 25% by Cariboo Copper Corp., a company owned jointly by Japanese companies Sojitz Corp. Furukawa Co. Ltd. and DOWA Metals and Mining Co.  All production and sales figures for the mine are reported on a 100% basis.

Gibraltar ranks as the second largest open pit copper mine in Canada and the largest employer in B.C.’s Cariboo region.

News that Taseko achieved its production targets at Gibraltar comes after the company recently released an update related to its New Prosperity mine.

The company said the Tsilhqot’in Nation as represented by the Tsilhqot’in national government and Taseko Mines have entered into a dialogue, facilitated by the Province of British Columbia, to try and obtain a long-term solution to the conflict regarding the proposed New Prosperity Mine, acknowledging Taseko’s commercial interests and the opposition of the Tsilhqot’in Nation to the project.

While Taseko said the details of the process are confidential, in order to facilitate a dialogue, the parties have agreed to a standstill on certain outstanding litigation and regulatory matters, which relate to Taseko’s tenures and the area in the vicinity of the Teztan Biny (Fish Lake).

Rio Silver Inc. Acquires the Palta Dorada Gold-Silver-Copper Project in Northern Peru and Signs Memorandum of Understanding for Joint Development

Rio Silver Inc. [RYO-TSXV] announces the acquisition of the Palta Dorado Au-Ag-Cu property (“Palta Dorada” or the “Property”). The property contains several high-grade gold-silver veins both oxide and sulphide that has been mined by artisanal methods. The Company has also signed a Memorandum of Understanding (“MOU”) with Peruvian Metals Corp (“Peruvian Metals”) to jointly explore the Palta Dorada Au-Ag-Cu Property (“Palta Dorada” or the “Property”) by initially conducting a detailed sampling and mapping program along with a bulk sampling campaign and processing the mineral at Peruvian Metals’ 80% owned Aguila Norte Processing Plant (“Aguila Norte or Plant”).

The Palta Dorada Au-Ag-Cu Property is located in the Ancash Mining Department in Northern Peru and covers an area of approximately 1200 hectares. The Property is accessible from the Plant by approximately 180 kms of mainly paved roadway. The MOU establishes a joint effort to explore and develop the property. Any sales from metal concentrates produced from the bulk sampling activity and all operational expenses will be shared between companies. Peruvian Metals’ 80% owned Plant will charge the joint effort commercial mineral processing rates on a similar basis to its other clients for processing the bulk samples.

Peruvian Metals will also have the option to earn a 50% ownership in the property. Equal ownership will occur once Peruvian Metals has matched Rio Silver’s acquisition price of the project of $250,000 US by assuming all capital and exploration expenditures. Any shortfall of capital expense by Peruvian Metals will require a cash payment to the joint effort by December 31, 2021. Both companies will enter into a definitive shareholder agreement in Peru shortly.

Limited surface mapping and sampling has identified several oxide Au-Ag veins hosted in granodioritic rocks. The previous owner completed extensive production ready access to several levels for exploration and bulk sampling, as well as limited small-scale bulk sampling in several adits and shafts. The main working is a 53 metre shaft where miners hoisted mineral to the surface. Eight chip samples have been taken from quartz veins containing sulphides in the shaft at various depths. Results from these samples range from 3.06 g/t Au to 24.1 g/t Au, 36 g/t Ag to 865 g/t Ag and 0.22% Cu to 4.94% Cu over an average width of 60 centimeters. The weighted average of the quartz-sulphide vein is 9.61 g/t Au, 256 g/t Ag and 1.42% Cu over the 60 centimeters. The mineralized NEE-SWW mesothermal vein exposed in this main working has been observed over an 800 metre strike length on surface. The oxide-sulphide transition occurs at approximately 25 metres below surface.

At the initial property visit by the QP, approximately 45 tonnes of mineral had been selectively exploited; hand sorted and sacked outside of the main working ready for shipment to tolls mills in Southern Peru. Two composite samples were taken from various sacks and returned an average grade of 26.7 g/t Au, 23.76 oz/t Ag and 3.16% Cu. The samples taken were selected random grabs from hand sorted sacks and are not representative of the mineralization hosted on the property.

A third random composite sample of approximately 50 kilograms was taken from these sacks and used for metallurgical work. The work performed on this sample by Procesmin Ingenieros Laboratories head a head grade of 23.21 grams/MT Au, 29.04 oz/MT Ag and 4.95% Cu. Metallurgical work showed that two concentrates can be produced. The first and more valuable concentrate graded 125.59 grams Au/MT, 4,808 grams Ag/MT and 24.41% Cu. A second Au-pyrite concentrate was also produced graded 11.46 grams/MT Au, 565 grams Ag/MT and 2.90% Cu.

Artisanal workings on a second SEE-NWW structure north of the main working exposed strongly oxidized quartz veins ranging between 30 to 70 centimeters in width. Four composite samples taken from mineral sacks containing heavily oxidized material ready for shipment ranged from 8.65 g/t to 17.3 g/t averaging 12.4 g/t Au. The samples taken from the sacks were random grabs and are not representative of the mineralization hosted on the property. A bottle-roll metallurgical sample with a head grade of 13.0 g/t Au and 102 g/t Ag returned a 92.15% gold and 65% silver recoveries over 36 hours.

Peruvian Metals will act as the operator of the joint effort and will be responsible to obtain all the permits necessary to explore and extract a bulk sample and expects no permitting issues . An experienced underground contractor has agreed to start the mobilization of the compressors and  equipment to the site to extract the bulk sample. The bulk sampling and exploration is expected to commence in the first quarter of 2020.

Chris Verrico, CEO of Rio Silver states: “We are very pleased to have accomplished these milestones, leveraging our joint resources and working together. The Palta Dorado property has several high grade Au-Ag-Cu veins ready to be bulk sampled and processed at the Aguila Norte Plant. Oxide gold material can also be bulk sampled and treated at a number toll mills. Initial development and exploration will consist of drifting along the sulphide veins in this prominent structure, potentially identifying a minable resource which would only enhance our ability to explore our flagship Niñobamba project in a timely manner.”

Jeffrey Reeder, P Geo, a qualified person as defined in National Instrument 43-101, has prepared, supervised the preparation or approved the scientific and technical disclosure contained in this news release.

For more information contact:

Christopher Verrico, President, CEO
Tel: (604) 762-4448
Email: chris.verrico@riosilverinc.com
Website: www.riosilverinc.com


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not a guarantee of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required by applicable laws.

Pembridge’s Minto records strong Dec with mine restart

LSE-listed Pembridge Resources subsidiary Minto Explorations has achieved 57% month-on-month increase in December copper production and considerable improvement in head grade, following the restart of operations at the Minto mine in Canada in October. Milling operations are currently operating on a two-weeks-on, two-weeks-off schedule as mining operations continue developing underground, preparing the mine for an increased mining rate later in 2020.