Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
GR Silver Mining (TSX.V: GRSL) announced on Monday that will buy the past producing Plomosas project, in Mexico, from First Majestic Silver (NYSE: AG).
The transaction consolidates ownership of advanced stage projects in the Rosario mining district into a single company, bolstering the likelihood of new discoveries of gold and silver deposits.
Located within 5 km of GR Silver’s San Marcial project, the Plomosas project includes a shallow historical silver/gold/lead/zinc underground mine, four targets at drilling/resource stage and 16 exploration targets, 30 km of under-explored mineralised veins/structures and an extensive drill and exploration database including in more than 500 recent and historical drill holes.
“The incorporation of this project’s extensive database, together with knowledge gained during the last two years exploring, drilling, and expanding the resource at the nearby San Marcial project, provides superb vectors to achieve new discoveries of high-grade deposits on the Plomosas project.” said GR Silver Mining president and CEO Marcio Fonseca.
“I believe GR Silver will own the most attractive mineralized prospects in a favorable geological setting similar to other multi-million-ounce mining districts along the western border of the Sierra Madre Occidental in Mexico” he concluded.
