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.
Pending continued improvement in regional health statistics, Vizsla Silver (TSXV: VZLA) plans a staged restart of drilling activities on September 1 at its Panuco silver-gold project in Sinaloa state, Mexico.
Soaring covid-19 cases had prompted the company to voluntarily suspend activities in late July to protect the health and safety of the team and the communities in which they work.
The company plans to start with two rigs initially, ramping up to full capacity (ten rigs) by the end of the month as conditions improve.
The company plans to start with two rigs initially, ramping up to full capacity (ten rigs) by the end of the month
Vizsla remains in regular contact with local and state-level government agencies and will adjust back to work plans as required, but the company has decided to maintain the voluntary pause of onsite work programs imposed through August.
While drilling activities have been suspended, the technical team has used the downtime to refine its geologic model, identify critical path milestones and improve targeting strategies for the remainder of the year, the company said.
The junior is conducting one of Mexico’s most extensive exploration programs, with 35 geologists and eight drill rigs onsite at Panuco. In June, it announced it was adding two more rigs for a total of 10.
Upon restart, Vizsla will continue a more than 100,000 metre, fully funded resource and discovery-based drill program.
The resource drilling at Napoleon and Tajitos focuses on a combined resource target area about 1,500 metres long by 350 metres deep.
Vizsla intends to report a maiden project resource by the end of the first quarter of 2022 underpinned by the Napoleon and Tajitos veins, and says it plans to release respective major updates for Napoleon and Tajitos resource drilling next month.
Meanwhile, preliminary metallurgical testing on samples from Napoleon is underway, with results expected ready for publication by December.
Aside from drilling and on the back of the successful trial fixed loop electromagnetic survey completed on a portion of the Napoleon Corridor in June, Vizsla intends to conduct a property-wide electromagnetic survey following the end of the rainy season in Mexico.
In parallel with resource delineation and exploration drilling, Vizsla has initiated several engineering programs to support ongoing exploration initiatives and set the framework for future mining, milling, and associated development activities.
Vizsla currently has C$57 million cash in the bank following the exercise of the property options to own 100% of Panuco.
Pending ongoing drilling success, the miner aims to complete a maiden resource estimate in the first quarter of 2022.
